Tohoku Electric Power Incorporated : Summary of Quarterly Financial Statements (Unaudited)

July 30, 2021

Tohoku Electric Power Co., Inc.

Summary of Quarterly Financial Statements (Unaudited)

(April 1, 2021 - June 30, 2021)

Information below is an English translation of the "Unaudited Quarterly Financial Release" for three months ended June 30, 2021, which has been filed with the Tokyo Stock Exchange, Inc. for public inspection.

Tohoku Electric Power Co., Inc. (Code : 9506)

1-7-1 Honcho, Aoba-ku, Sendai, Miyagi, Japan (URL : https://www.tohoku-epco.co.jp)

Representative : Kojiro Higuchi, President

Tel : [phone]

(Note) All monetary values are rounded down to the nearest units as indicated in each table.

1. Business Results for Consolidated First Quarter Period in FY2021 (Three months ended June 30, 2021)

(1) Progresses of Financial Results

	Operating revenue	Operating income	Ordinary income	Net income attributable to
	owners of parent
	Millions of yen		%	Millions of yen	%	Millions of yen	%	Millions of yen	%
3 months ended Jun. 30, 2021	400,590	(22.9)	22,877		(45.2)	18,546	(52.7)	9,848	(64.7)
3 months ended Jun. 30, 2020	519,284		(2.0)	41,763		6.8	39,190	11.3	27,930	12.5
(Note) Comprehensive income (3 months ended June 30, 2021: 10,069 million yen -61.0%, 3 months ended June 30, 2020: 29,603 million yen 24.2%)
Percentage figures represent changes as compared to the same period of the previous year.
	Net income per share	Net income per share
	(basic)			(diluted)
	Yen			Yen
3 months ended Jun. 30, 2021	19.71			-
3 months ended Jun. 30, 2020	55.91			51.92
(2) Changes in Financial Positions
	Total assets			Net assets		Equity-to-asset ratio
	Millions of yen	Millions of yen		%
Jun. 30, 2021	4,517,707		901,137	18.3
Mar. 31, 2021	4,471,081		901,534	18.5

(Reference) Shareholders' Equity (June 30, 2021: 826,604 million yen, March 31, 2021: 826,466 million yen)

2. Dividends

		Cash dividends per share
	1Q	2Q	3Q	Year-end	Annual total
	Yen	Yen	Yen	Yen	Yen
Year ended Mar. 31, 2021	-	20.00	-	20.00	40.00
Year ending Mar. 31, 2022	-
Year ending Mar. 31, 2022		20.00	-	20.00	40.00
(forecast)

(Note) Forecast revision of dividends from the latest forecast: Forecasts have been revised

3. Business Results Forecast for Consolidated FY2021 (Year ending March 31, 2022)

	Operating revenue		Operating income	Ordinary income	Net income attributable	Net income per share
		to owners of parent	(basic)
	Millions of yen	%	Millions of yen	%	Millions of yen	%	Millions of yen	%	Yen
FY2021	1,810,000	-	52,000	(40.9)	35,000	(48.2)	23,000	(21.7)	46.03

(Note) Forecast revision of consolidated results from the latest forecast: Forcasts have been revised

The financial forecast was initially undetermined except for operating revenue due to the difficulty in estimating the timing of restoration of the thermal power stations damaged by the earthquake off the coast of Fukushima Prefecture. However, based on the outlook for the restoration time of those power stations the incomes forecast has now been announced. Effective from FY2021, we have adopted the "Accounting Standard for Revenue Recognition." As a result, the rate of change to operating revenue for FY2020, for which this standard has not been applied, is not shown.

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(Reference)

1.Consolidated Cash Income for the First Quarter Period in FY2021 (Three months ended June 30, 2021)

Consolidated Cash Income

	Millions of yen
3 months ended Jun. 30, 2021	82,531

(Note) We've set a target for consolidated cash income identified in the Tohoku Electric Power Group Medium-/Long-Term Vision "Working alongside next." (In FY2024, more than 320 billion yen)

Consolidated cash income = Operating income + Depreciation + Amortization of nuclear fuel + Share of profit of entities accounted for using equity method (Operating income doesn't include time lag between fuel cost and fuel cost adjustment charges.)

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QUARTERLY CONSOLIDATED BALANCE SHEETS (Unaudited)

First Quarter FY2021 (as of June 30, 2021) and FY2020 (as of March 31, 2021)
Assets		(Millions of yen)
Item	June 30, 2021	March 31, 2021
Non-current assets:	3,728,690	3,731,366
Electric utility plant and equipment:	2,465,296	2,492,694
Hydroelectric power production facilities	176,327	177,880
Thermal power production facilities	390,669	398,062
Nuclear power production facilities	241,653	247,275
Transmission facilities	575,061	579,633
Transformation facilities	249,257	251,793
Distribution facilities	679,847	680,945
General facilities	125,839	129,929
Other electric utility plant and equipment	26,640	27,173
Other non-current assets	224,304	223,546
Construction in progress:	475,812	449,526
Construction and retirement in progress	425,853	399,393
Special account related to nuclear power decommissioning	23,949	24,124
Special account related to reprocessing of spent nuclear fuel	26,009	26,009
Nuclear fuel:	174,084	174,071
Loaded nuclear fuel	30,591	30,591
Nuclear fuel in processing	143,493	143,479
Investments and other assets:	389,191	391,526
Long-term investments	106,684	109,699
Net defined benefit asset	6,193	6,191
Deferred tax assets	159,414	159,536
Other	117,234	116,389
Allowance for doubtful accounts	(335)	(290)
Current assets:	789,017	739,715
Cash and deposits	215,498	205,290
Notes and accounts receivable - trade	168,467	270,266
Inventories	63,577	65,255
Other	341,984	199,679
Allowance for doubtful accounts	(510)	(777)
Assets	4,517,707	4,471,081

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Liabilities and net assets		(Millions of yen)
Item	June 30, 2021	March 31, 2021
Non-current liabilities:	2,593,746	2,518,124
Bonds payable	1,100,000	1,025,000
Long-term loans payable	1,121,869	1,117,549
Reserve for restoration costs of natural disaster	6,614	6,614
Net defined benefit liability	156,861	160,468
Asset retirement obligations	170,793	170,236
Deferred tax liabilities for land revaluation	1,310	1,323
Other	36,296	36,933
Current liabilities:	1,022,824	1,051,422
Current portion of non-current liabilities	230,066	269,587
Notes and accounts payable - trade	128,704	142,186
Accrued taxes	14,655	58,750
Other advances	325,449	323,575
Reserve for restoration costs of natural disaster	10,341	11,060
Other	313,607	246,262
Liabilities	3,616,570	3,569,547
Shareholders' equity:	819,032	819,051
Capital stock	251,441	251,441
Capital surplus	22,369	22,369
Retained earnings	550,081	550,245
Treasury shares	(4,858)	(5,004)
Accumulated other comprehensive income:	7,571	7,415
Valuation difference on available-for-sale securities	(254)	(124)
Deferred losses on hedges	241	171
Revaluation reserve for land	(906)	(902)
Foreign currency translation adjustments	683	666
Remeasurements of defined benefit plans	7,808	7,604
Non-controlling interests	74,532	75,067
Net assets	901,137	901,534
Liabilities and net assets	4,517,707	4,471,081

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CONSOLIDATED STATEMENTS OF INCOME (Unaudited)

First Quarter FY2021 (Three months ended June 30, 2021) and First Quarter FY2020 (Three months ended June 30, 2020)

			(Millions of yen)
Item	Three months ended June 30,
2021		2020
Operating revenue:		400,590	519,284
Electric utility operating revenue		347,007	472,383
Other business operating revenue		53,583	46,901
Operating expenses:		377,713	477,520
Electric utility operating expenses		324,663	432,264
Other business operating expenses		53,050	45,255
Operating income		22,877	41,763
Non-operating income:		1,663	2,404
Dividend income		255	370
Interest income		69	51
Share of profit of entities accounted for using equity method		335	1,511
Other		1,003	470
Non-operating expenses:		5,994	4,977
Interest expenses		3,606	4,006
Other		2,388	971
Ordinary revenue		402,254	521,688
Ordinary expenses		383,708	482,498
Ordinary income		18,546	39,190
Income before income taxes		18,546	39,190
Income taxes - current		8,377	8,075
Income taxes - deferred		204	3,357
Income taxes		8,582	11,433
Net income		9,963	27,757
Net income attributable to non-controlling interests		114	(173)
Net income attributable to owners of parent		9,848	27,930

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