Financial Results for FY2021 2Q ended September 2021[PDF]

October 28, 2021

Consolidated Financial Results Bulletin for the 2nd Quarter Ended September 30, 2021 (J-GAAP)

Tokyo Gas Co., Ltd.

Securities code:

9531

Stock listings:

(URL https://www.tokyo-gas.co.jp/IR/english/index.html)

Tokyo Stock Exchange, Nagoya Stock Exchange

Representative:

Mr. UCHIDA Takashi, Representative Corporate

Executive Officer, President and CEO

Contact:

Mr. KOMORI Rikiya, Chief Manager,

Location of head office: Tokyo

Consolidated Settlements Sect.

Scheduled date of the filing of quarterly report:

November 15, 2021

Scheduled date of the start of dividend payments:

November 29, 2021

Preparation of 2Q earnings presentation material (yes/no): Yes

Holding of 2Q earnings announcement (yes/no):

Yes (for institutional investors)

(Amounts are rounded down to the nearest million yen)

1. Consolidated Performance for 2nd Quarter (from April 1, 2021 to September 30, 2021)

(Unit: million yen)

(1) Consolidated Business Performance

(% of change from the corresponding period of previous year)

Net sales

Operating profit

Ordinary profit

Profit attributable to

owners of parent

Six months ended

872,616

5.4%

45,342

-12.2%

46,330

-6.9%

31,849

14.5%

Sep. 30, 2021

Six months ended

828,071

-9.1%

51,671

11.9%

49,787

3.0%

27,822

-1.9%

Sep. 30, 2020

Note: Total comprehensive income

Six months ended September 30, 2021: 43,092 million yen (115.3%)

Six months ended September 30, 2020: 20,011 million yen (-8.6%)

Profit per share

Diluted profit

per share

Six months ended

72.42 yen

-

Sep. 30, 2021

Six months ended

63.09 yen

-

Sep. 30, 2020

Note: As provisional accounting treatments on business combinations were confirmed in the FY2020 ended March 31, 2021, the figures for the six months ended September 30, 2020 reflect the confirmed details of the provisional accounting treatments.

(2) Consolidated Financial Position

					(Unit: million yen)
		Total assets		Total net assets	Equity ratio
As of Sep. 30, 2021		2,978,177		1,206,026	39.9%
As of Mar. 31, 2021		2,738,348		1,178,271	42.1%
Reference: Shareholders' equity
As of September 30, 2021: 1,187,700 million yen	As of March 31, 2021: 1,153,813 million yen

2. Dividend

			Dividend per share (Unit: yen)
		End of 1Q	End of 2Q		End of 3Q		End of 4Q	Annual
FY2020 ended Mar. 31,		-	30.00			-		30.00	60.00
2021
FY2021 ending Mar. 31,		-	30.00
2022
FY2021 ending Mar. 31,						-		35.00	65.00
2022 (Forecast)
Note: Revision to the dividend forecast that has been disclosed lastly: Yes

3. Consolidated Results Forecast for FY2021 ending March 31, 2022 (April 1, 2021 - March 31, 2022)

(Unit: million yen) (% of change from the corresponding period of previous year)

	Net sales		Operating profit	Ordinary profit	Net profit attributable	Profit
		to owners of parent	per share
Full-year	1,970,000		11.6%	100,000	28.7%	93,000	31.9%	67,000	35.3%	152.39 yen

Note: Revision to the consolidated results forecast that has been disclosed lastly: Yes

*Notes

1. Significant changes in consolidated subsidiaries (changes in specified subsidiaries resulting in change of scope of consolidation during the quarter) (yes/no): No
   Reference: Scope of consolidation and application of equity method
   Number of consolidated subsidiaries: 108 (Increased: 2, decreased: 1)
   Number of subsidiaries and affiliates accounted for by equity method: 15
2. Application of accounting treatment peculiar to quarterly consolidated financial statement preparation (yes/no): Yes
   Note: Please see page 9 of the Attachment, "2. Consolidated Financial Statements and Main Notes: (3) Notes on consolidated financial statements (Application of accounting treatment peculiar to quarterly consolidated financial statement preparation)" for details.
3. Change in accounting policies or estimates and retrospective restatements

1. Change in accounting policies in accordance with revision of accounting standards: Yes
2. Change in accounting policies other than item 1) above: No
3. Change in accounting estimates: No
4. Retrospective restatements: No

1. Number of issued shares (common stock)

							(Unit: share)
1)	Number of issued shares at end of period		Sep. 30, 2021	440,996,559		Mar. 31, 2021	442,436,059
	(including treasury stock):
2)	Number of shares of treasury stock		Sep. 30, 2021	1,443,820		Mar. 31, 2021	1,437,924
	at end of period:
3)	Average number of shares during period:		Apr. - Sep. 2021	439,795,455		Apr. - Sep. 2020	441,009,114

Note: As the Company introduced a share delivery trust for executives in the second quarter ended September 30, 2021, Company shares held by the trust were included in the treasury stock that was deducted in calculating the number of shares of treasury stock at end of period and the average number of shares during period.

• Quarterly review procedures by a certified public accountant or an audit firm do not apply to quarterly consolidated financial results bulletins.
• Explanation related to appropriate use of results forecasts and other items warranting special mention
• 1. The consolidated and non-consolidated results forecasts include numerous elements of uncertainty, including the impact of the COVID-19 pandemic. Therefore, the forecasts are subject to drastic changes depending on future developments.
     For details of the above forecasts, please refer to "1. Overview of Business Performance, etc. (2) Future outlook" on page
     3 of the Attachment.
  2. The information related to this Financial Results will be posted on the Web site of the Company.

Non-Consolidated Results Forecast for FY2021 ending March 31, 2022 (April 1, 2021 - March 31, 2022)

(Unit: million yen) (% of change from the corresponding period of previous year)

	Net sales		Operating profit	Ordinary profit	Net income	Profit
		per share
Full-year	1,770,000	9.7%	42,000	-10.8%	37,000	-20.9%	28,000	-34.1%	63.68 yen

Note: Revision to the non-consolidated results forecast that has been disclosed lastly: Yes

Contents of Attachment
1. Overview of Business Performance, etc.............................................................................................................................	2
(1)	Overview of business performance of the 2nd quarter ............................................................................................	2
(2)	Future outlook .........................................................................................................................................................	3
2. Consolidated Financial Statements and Main Notes ........................................................................................................	4
(1)	Consolidated balance sheets ....................................................................................................................................	4
(2)	Consolidated statements of income and comprehensive income.............................................................................	6
Consolidated statement of income.............................................................................................................................	6
(Six months ended September 30, 2021)
Consolidated statement of comprehensive income ...................................................................................................	7
(Six months ended September 30, 2021)
(3)	Notes on consolidated financial statements.............................................................................................................	8
(Note on going concerns' premise)............................................................................................................................	8
(Additional information) ...........................................................................................................................................	8
(Significant changes in shareholders' equity)............................................................................................................	9
(Application of accounting treatment peculiar to quarterly consolidated financial statement preparation) ..............	9
(Change in accounting policies) ..............................................................................................................................	10

1

1. Overview of Business Performance, etc.

(1) Overview of business performance of the 2nd quarter
					(Unit: million yen)
		Gas	Electric	Overseas	Energy-	Real estate	Others
		power	related
	FY2021	561,856	193,792	37,800	147,778	28,475	48,549
	(% of total)	(55.2%)	(19.0%)	(3.7%)	(14.5%)	(2.8%)	(4.8%)
Sales	FY2020	544,060	195,558	19,164	154,163	22,930	52,428
(% of total)	(55.1%)	(19.8%)	(1.9%)	(15.6%)	(2.3%)	(5.3%)
	Amount of change	17,796	-1,766	18,636	-6,385	5,545	-3,879
	(Rate of change)	3.3%	-0.9%	97.2%	-4.1%	24.2%	-7.4%
	FY2021	527,420	185,592	28,895	140,999	20,304	47,805
	(% of total)	(55.6%)	(19.5%)	(3.0%)	(14.8%)	(2.1%)	(5.0%)
Operating	FY2020	496,184	182,372	16,695	148,454	19,149	50,881
expenses	(% of total)	(54.3%)	(20.0%)	(1.8%)	(16.2%)	(2.1%)	(5.6%)
	Amount of change	31,236	3,220	12,200	-7,455	1,155	-3,076
	(Rate of change)	6.3%	1.8%	73.1%	-5.0%	6.0%	-6.0%
	FY2021	34,435	8,200	10,509	6,779	8,630	786
	(% of total)	(49.7%)	(11.8%)	(15.2%)	(9.8%)	(12.4%)	(1.1%)
Segment	FY2020	47,876	13,185	1,723	5,708	4,262	1,537
profit/loss	(% of total)	(64.5%)	(17.7%)	(2.3%)	(7.7%)	(5.7%)	(2.1%)
	Amount of change	-13,441	-4,985	8,786	1,071	4,368	-751
	(Rate of change)	-28.1%	-37.8%	509.9%	18.8%	102.5%	-48.9%
Notes:

1. Figures for sales include internal transactions. Figures for operating expenses do not include expenses that cannot be allocated to specific segments. Figures for segment profit/loss are adjusted against the amount based on operating profit/loss of consolidated financial statements plus or minus investment income or loss on equity method.
2. As provisional accounting treatments on business combinations were confirmed in the FY2020 ended March 31, 2021, the figures for the six months ended September 30, 2020 reflect the confirmed details of the provisional accounting treatments.

• Consolidated City Gas Sales Volume, etc.>

				Apr. - Sep. 2021	Apr. - Sep. 2020	Change	% change
No. of customers for city	Thousands	8,762	8,975	-213	-2.4
gas retail sales
No. of customers (meters)	Thousands	12,132	12,005	127	1.1
volume	Residential	Mil. m3	1,135	1,242	-107	-8.6
	Commercial	Mil. m3	1,022	1,059	-37	-3.4
sales		Industrial	Mil. m3	2,838	2,469	369	14.9
	Subtotal	Mil. m3	3,860	3,527	333	9.4
gas
Supplies to other utilities	Mil. m3	724	800	-76	-9.5
City
Total	3	5,719	5,569	150	2.7
	Mil. m
Average temperature	°C	21.5	21.3	0.2	-
Notes:

1. No. of customers for city gas retail sales indicates the number of billed customers for city gas retail sales.
2. No. of customers (meters) indicates the number of meters that includes inactive meters and meters for gas supply from other retail companies.
3. "Commercial" indicates sales to commercial, public and medical institutions.
4. City gas sales volumes are on the basis of 45MJ/m3.
5. Average temperature is the average temperature during the period of use by each customer (from date of initial

month's meter reading to final month's meter reading). The aforementioned notes also apply to the relevant tables.

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