The Kansai Electric Power Company (9503) Q2 2025 earnings summary

Executive summary

• Revenue increased year-over-year to ¥2,136.5 billion in 2Q FY 3/2025, with operating revenues for the six months ended September 30, 2024, rising 3.1% year-over-year.

• Operating income declined 39.1% year-over-year to ¥297.2 billion, and net income attributable to owners fell 38.3% to ¥228.8 billion.

• Ordinary income fell to ¥319.2 billion due to lower income from the fuel cost adjustment system despite higher nuclear capacity factor.

• Interim dividend set at ¥30.00 per share, with full-year dividend forecast unchanged at ¥60.00 per share.

• Comprehensive income dropped sharply to ¥238.8 billion from ¥449.6 billion in the prior year period.

Financial highlights

• Operating revenues rose 3.1% year-over-year to ¥2,136.5 billion; operating income dropped 39.1% to ¥297.2 billion.

• Ordinary income decreased 37.5% to ¥319.2 billion; net income attributable to owners fell 38.3% to ¥228.8 billion.

• Interest-bearing debt decreased by ¥52.0 billion to ¥4,528.4 billion; equity ratio improved to 27.2%.

• Total assets increased to ¥9,149.5 billion as of September 30, 2024, up from ¥9,032.9 billion at March 31, 2024.

• Net assets rose to ¥2,548.3 billion, with an equity ratio of 27.2%.

Outlook and guidance

• Full-year forecasts remain unchanged: operating revenues ¥4,450.0 billion, ordinary income ¥360.0 billion, net income ¥260.0 billion.

• Full-year forecasts for FY 3/2025 project operating revenues of ¥4,450 billion, operating income of ¥330 billion, and net income attributable to owners of ¥260 billion.

• Annual dividend forecast maintained at ¥60.00 per share (¥30.00 interim, ¥30.00 year-end).

• Free cash flow for FY 3/2025 projected at approximately -¥110.0 billion.