Key Point of President's Regular Press Conference

Key Point of President's Regular Press Conference

Press Conference on the FY2013 Financial Results: President Mizuno’s Message

April 28, 2014
Chubu Electric Power Co.,Inc.

  • Today I will be discussing
  • Chubu Electric's financial statements for FY2013.

Overview of financial results

  • Consolidated net sales in the electricity business reached 2,842.1 billion yen, a gain of 193.1 billion yen year on year, owing to such factors as increased the volume of electric sales and service charges due to an increase in fuel cost adjustments.
  • In the area of consolidated ordinary profit (loss), despite an increase in the volume of electricity sales, factors including increased fuel costs due to the weak yen saw our result decrease by 49 billion yen compared to the previous fiscal year, for a loss of 92.6 billion yen.
  • Next, for Chubu Electric's non-consolidated financial results.
    Operating revenue: 152.5 billion yen increase YoY for a 2638.2 billion yen lossOperating income: 48.3 billion yen decline YoY for a 77.2 billion yen loss
    Ordinary income: 51.9 billion yen decline YoY for a 104.1 billion yen loss
    Net income: 31.9 billion yen decline YoY for a 67.2 billion yen loss
  • This will represent the third consecutive year that we have recorded operating, ordinary, and net losses in both our consolidated and non-consolidated results.

(Earnings outlook for FY2014)

  • Next, let’s look at the earnings outlook for FY2014.
  • Due to an increase in electricity charges because of price increases for electricity rates, consolidated net sales are expected to be 3.09 trillion yen.
  • With regards to ordinary profit (loss), in addition to the increased income due to price increases of electricity rates, Chubu Electric Power alone would like to achieve profits of 10 billion yen by a continuous drive towards maximum management efficiency for profitability. We will continue to aim for ordinary income of 20 billion yen on the consolidated results.
  • I will stand at the head, and by pushing business efficiency with strong determination, we will achieve profitability in FY2014.


  • Next, I’d like to talk about dividends.
  • As shown in the dividend forecast, we are considering to omit the year-end dividend in FY 2013.
  • With regards to the dividend forecast for FY2014, as already explained, a certain improvement in our balance sheet can be expected due to the increase of electricity rates. However, initiatives toward further improving management efficiency and attempts to strengthen the impaired financial foundation are necessary in response to a strict assessment, including the reduction of fuel costs under the electricity rate review. Therefore, we are forced to omit the interim dividend for FY2014. I would like to give my greatest apologies to all of the shareholders.
  • As it is difficult to assess the future with a certain accuracy and rationality at this time, the year-end dividend forecast will be considered as “pending.”


  • In addition to incorporating the maximum efficiency into the electricity rates approved the other day, the prices are also intended to reflect further efficiency efforts instructed by the Ministry of Economy, Trade and Industry.
  • The entire company will work with no areas considered off limits, to further strengthen our initiative for management efficiency.
  • That is all for me.

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