Tokyo Gas Co., Ltd. · TSE:9531

Tokyo Gas — Q2 FY27/3 Earnings Presentation

47 slides from Tokyo Gas's earnings presentation, Oct 29, 2026

  1. Slide 1: FY27/3 Q2 Financial Results

    TSE:9531 FY27/3 Q2 Financial Results ended September, 2026 October 29, 2026 Copyright © TOKYO GAS Co., Ltd. All Rights Reserved.

  2. Slide 2: Index

    Index 1-1 Highlights 1 Executive Summary 1-2 Progress Toward Achieving ROE 8% Target in FY27/3 1-3 Progress of Three Profit Growth Drivers 2-1 Financial Summary 2-2 Consolidated Balance Sheet 2 Financial Summary 2-3 Cash Allocation 2-4 ROIC by Segment 3 Segment Overview 3-1 Segment Overview 4-1 FY27

  3. Slide 3: Executive Summary

    1 Executive Summary Copyright © TOKYO GAS Co., Ltd. All Rights Reserved. 3

  4. Slide 4: 1-1 Highlights

    【1-1 Highlights】 FY27/3 Q2 RESULTS Sales increased and profit decreased YoY. Both segment profit and profit attributable to owners of parent are performing ahead of previous forecast. • Q2 results: Despite a substantial negative time lag impact in the domestic energy business, segment profit reached

  5. Slide 5: 1-1 Highlights: Shareholder Returns

    【1-1 Highlights】 SHAREHOLDER RETURNS Executing an additional 50.0 billion yen share buyback to achieve our FY27/3 ROE target of 8%. • Dividend forecast: Maintained at 120 yen per share, consistent with our progressive dividend policy. • Share buyback: Executing an additional share buyback of up to 5

  6. Slide 6: 1-2 Progress Toward Achieving ROE 8% Target in FY27/3

    【1-2 Progress Toward Achieving ROE 8% Target in FY27/3】 FY26/3 Results FY27/3 Forecast ROE ROE 13.2% 8.2% Profit attributable to owners of parent • Net profit is forecast to decrease, primarily due to the absence of Profit attributable to owners of parent 226.8 a 68.0 billion yen gain on reversal of

  7. Slide 7: 1-3 Progress of Three Profit Growth Drivers

    【1-3 Progress of Three Profit Growth Drivers】 (unit: billion yen) Energy Solutions Overseas (Gas & Electricity & Network) ◼ Q2 Results: ◼ Q2 Results: Margin expansion is on ◼ Q2 Results: Profit momentum in US • Gas: Leveraged competitive LNG track, driven by price optimization for shale gas business

  8. Slide 8: Financial Overview

    2 Financial Overview Copyright © TOKYO GAS Co., Ltd. All Rights Reserved. 8

  9. Slide 9: 2-1 Financial Summary: FY27/3 Q2 Results Summary

    Details on 【2-1 Financial Summary】FY27/3 Q2 Results Summary P.25 • In FY27/3 Q2, sales increased while profit decreased YoY. • Segment profit rose by 13.0 billion yen YoY. Although Energy solutions saw a decline due to negative time lag effects in the gas and electric power businesses, this was more

  10. Slide 10: 2-1 Financial Summary: Profit Variance Analysis

    Details on 【2-1 Financial Summary】FY27/3 Q2 Results Profit Variance Analysis (vs FY26/3 Q2) P.27 (unit: billion yen) Business activity- Adjustment items related -93.3 +102.5 One-time or Ordinary valuation-related profit factors +12.5 Change +21.7 Extraordinary （+25.2%） <Temperature> +0.1 ■Energy sol

  11. Slide 11: 2-1 Financial Summary: FY27/3 Forecast

    Details on 【2-1 Financial Summary】FY27/3 Forecast P.33 • Revised 2H JCC oil price forecast from $70/bbl to $100/bbl, reflecting current Middle East tensions. • In Energy solutions, segment profit revised downward by 24.2 billion yen vs. previous forecast. While incorporating procurement advantages,

  12. Slide 12: 2-2 Consolidated Balance Sheet

    【2-2 Consolidated Balance Sheet】 Mar. 31, 2026 Mar. 31, 2027 (Forecast) (unit: billion yen) (unit: billion yen) (unit: billion yen) Total assets: 3,892.2 Total assets: 3,998.0 Change Main factors Other liabilities Total 105.8 Other liabilities assets Current Profit attributable to owners of Current

  13. Slide 13: 2-3 Cash Allocation

    【2-3 Cash Allocation】 • Total investments, net of cash-in from investment recovery and asset sales, are planned at 395.7 billion yen (gross investments of 477.7 billion yen), remaining in line with the Medium-term Management Plan. • We will execute asset recycling and selective investments focused o

  14. Slide 14: 2-4 ROIC by Segment

    【2-4 ROIC by Segment】 (unit: billion yen) FY27/3 Forecast FY29/3 Plan Invested Invested 3- yr WACC ROIC ROIC Capital Capital Energy 1,404.9 5.2% 1,300.0 6.0% 3.0% (Gas, Electric power, Network) Solutions 273.4 4.1% 410.0 5.0% 4.0% Overseas business 9.1% 7.0% 8.0% 806.6 900.0 (Parentheses: upstream o

  15. Slide 15: Segment Overview

    3 Segment Overview Copyright © TOKYO GAS Co., Ltd. All Rights Reserved. 15

  16. Slide 16: 3-1 Segment Overview: Energy Solution

    【3-1 Segment Overview】Energy Solution • FY27/3 Q2 Results (vs. FY26/3 Q2 Results): Profit decreased as LNG procurement advantage in the gas business was more than offset by several factors: lower unit prices due to gas and power time lag effects, higher power procurement costs driven by rising JEPX

  17. Slide 17: 3-1 Segment Overview: Energy Solution

    【3-1 Segment Overview】Energy Solution ■Segment profit (Gas) ■Segment profit (Electric Power) ■Segment profit (Solution) (unit: billion yen) (unit: billion yen) (unit: billion yen) 50 20 110 90 30 15 70 10 10 50 30 -10 5 10 -10 -30 0 Full-year Q1 Q2 Q3 Q4 Full-year Q1 Q2 Q3 Q4 Full-year Q1 Q2 Q3 Q4 t

  18. Slide 18: 3-1 Energy Solution (City Gas Sales Volume)

    Details on 【3-1 Segment Overview】Energy Solution (City Gas Sales Volume) P.30,39 • FY27/3 Q2 Results (vs. FY26/3 Q2 Results): Overall sales volume decreased due to a decline in commercial demand, driven by lower summer temperatures. • FY27/3 Forecast (vs. Previous Forecast): Revised upward, factorin

  19. Slide 19: 3-1 Energy Solution (Electric power Sales Volume)

    Details on 【3-1 Segment Overview】Energy Solution (Electric power Sales Volume) P.30,39 • FY27/3 Q2 Results (vs. FY26/3 Q2 Results): Overall sales volume decreased, from a decline in retail due the absence of the high temperatures seen from June last year, as well as decline in wholesale. • FY27/3 Fo

  20. Slide 20: 3-1 Segment Overview: Network

    【3-1 Segment Overview】Network • FY27/3 Q2 Results (vs. FY26/3 Q2 Results): Segment loss narrowed due to a rise in number of pipeline construction projects and a reduction in SG&A expenses. • FY27/3 Forecast (vs. Previous Forecast): Full-year forecast remain unchanged as we continue to focus on cost

  21. Slide 21: 3-1 Segment Overview: Overseas Business

    【3-1 Segment Overview】Overseas Business • FY27/3 Q2 Results (vs. FY26/3 Q2 Results): Profit increased in the US shale gas business, driven by higher sales unit prices resulting from the cold snap in late January 2026, alongside on-track new well development and continuous improvements in production

  22. Slide 22: 3-1 Segment Overview: Urban Development

    【3-1 Segment Overview】Urban Development • FY27/3 Q2 Results (vs. FY26/3 Q2 Results): Increase in profit from the full-year operations of Park Hyatt Tokyo (FY26/3: temporary closure for renovation through December) • FY27/3 Forecast (vs. Previous Forecast): Profit is expected to increase, driven by h

  23. Slide 23: 3-1 Segment Overview: Urban Development

    【3-1 Segment Overview】Urban Development ■Segment profit (unit: billion yen) 30 20 10 Gain on divestments 0 Leasing business, etc. -10 FY27/3 FY26/3 FY27/3 FY26/3 FY27/3 FY26/3 FY27/3 FY26/3 FY27/3 FY26/3 Full-year total 1Q 2Q 3Q 4Q *FY27/3 Full-year total is forecast; all others are results ■Profit

  24. Slide 24: Supplementary Information

    4 Supplementary Information Copyright © TOKYO GAS Co., Ltd. All Rights Reserved. 24

  25. Slide 25: 4-1 Sales, Profit, etc.

    【4-1 FY27/3 Q2 vs FY26/3 Q2】Sales, Profit, etc. (+/- indicate impact on profit, unit: billion yen) FY27/3 Q2 Results FY26/3 Q2 Results Change % Net sales 1,375.8 1,347.5 28.3 2.1 Operating profit 103.2 95.2 8.0 8.4 Segment profit 105.9 92.9 13.0 14.0 (Operating profit + equity method profit/loss) Or

  26. Slide 26: 4-1 Sales, Profit by Segments

    【4-1 FY27/3 Q2 vs FY26/3 Q2】Sales, Profit by Segments (unit: billion yen) *5 Segment Profit Net Sales (Operating profit + equity method profit/loss) FY27/3 Q2 FY26/3 Q2 FY27/3 Q2 FY26/3 Q2 Change % Change % Results Results Results Results Energy solution*1 1,189.0 1,196.0 -7.0 -0.6 77.0 99.9 -22.9 -

  27. Slide 27: 4-1 Ordinary Profit Analysis

    【4-1 FY27/3 Q2 vs FY26/3 Q2】Ordinary Profit Analysis (unit: billion yen) Segment profit ⚫ Gas +3.3: +13.0 ➢ Decrease in city gas gross profit -25.2 Details on P.31 （+14.0%）  Change in volume, etc. +42.4 (incl. change due to temp effect +0.1), time lag effect -67.6 105.9←92.9 ➢ City gas fixed costs,

  28. Slide 28: 4-1 Assets, Cash Flow, etc.

    【4-1 FY27/3 Q2 vs FY26/3 Q2】Assets, Cash Flow, etc. (unit: billion yen) FY27/3 Q2 Results FY26/3 Results Change % (Sep. 30, 2026) (Mar. 31, 2026) Total assets 4,135.3 3,892.2 243.1 6.2 Equity 1,754.6 1,717.4 37.2 2.2 Equity ratio 42.4% 44.1% -1.7% ― Factoring in hybrid bonds/loans 43.4% 45.2% -1.8%

  29. Slide 29: 4-1 Financial Indicators

    【4-1 FY27/3 Q2 vs FY26/3 Q2】Financial Indicators FY27/3 Q2 Results FY26/3 Q2 Results Change % Total assets turnover *1 (times) 0.34 0.36 -0.02 ― EPS (\/share) 300.63 366.15 -65.52 -17.9 BPS (\/share) 5,391.66 *2 4,589.30 802.36 17.5 *1 Total assets, Equity are based upon average in each period *2 Fi

  30. Slide 30: 4-1 Sales Volume/Number of Customers

    【4-1 FY27/3 Q2 vs FY26/3 Q2】Sales Volume/Number of Customers FY27/3 Q2 Results FY26/3 Q2 Results Change % Gas sales volume (million m3) 7,003 7,292 -289 -4.0 City gas sales volume 4,997 5,127 -130 -2.5 Residential 944 952 -8 -0.8 Commercial 1,028 1,120 -92 -8.3 Industrial 2,305 2,327 -22 -1.0 Indust

  31. Slide 31: 4-1 Analysis of Gas Gross Profit

    【4-1 FY27/3 Q2 vs FY26/3 Q2】Analysis of Gas Gross Profit (unit: billion yen) FY27/3 Q2 Results FY26/3 Q2 Results Change % Gas sales 553.5 546.9 6.6 1.2 Change in volume, etc. - 6.3 Change in unit price 12.9 Gas raw materials 367.3 335.5 31.8 9.5 and supplies incl. impact from exchange 21.1 rate impa

  32. Slide 32: 4-1 Main Consolidated Subsidiaries

    【4-1 FY27/3 Q2 vs FY26/3 Q2】Main Consolidated Subsidiaries (unit: billion yen) Company name FY27/3 Q2 Results FY26/3 Q2 Results Change % Tokyo Gas Co.,Ltd. 978.9 988.5 -9.6 -1.0 Tokyo Gas Engineering *1 119.6 113.8 5.8 5.1 Solutions Group Net sales Tokyo Gas America Group*1 138.3 110.0 28.3 25.8 Oth

  33. Slide 33: 4-2 FY27/3 Forecast: Sales, Profit, etc.

    【4-2 FY27/3 Forecast vs Previous Forecast / vs FY26/3 Results】Sales, Profit, etc. (+/- indicate impact on profit, unit: billion yen) FY27/3 Previous FY26/3 Change % Change % Forecast Forecast Results Net sales 3,194.0 2,947.0 247.0 8.4 2,834.7 359.3 12.7 Operating proft 174.0 186.0 -12.0 -6.5 197.6

  34. Slide 34: 4-2 Sales, Profit by Segments

    【4-2 FY27/3 Forecast vs Previous Forecast / vs FY26/3 Results】Sales, Profit by Segments (unit: billion yen) *5 Segment Profit vs Previous Net Sales (Operating profit + equity method profit/loss) Forecast FY27/3 Previous FY27/3 Previous Change % Change % Forecast Forecast Forecast Forecast Energy sol

  35. Slide 35: 4-2 Ordinary Profit Analysis vs Previous Forecast

    vs Previous 【4-2 FY27/3 Forecast vs Previous Forecast / vs FY26/3 Results】Ordinary Profit Analysis Forecast (unit: billion yen) vs Previous Forecast Segment profit ⚫ Gas +10.3: -16.8 ➢ Decrease in city gas gross profit -5.1: Details on P.39 （-8.6%）  Change in volume, etc. +81.5 (incl. change due to

  36. Slide 36: 4-2 Ordinary Profit Analysis vs FY26/3 Results

    vs FY26/3 【4-2 FY27/3 Forecast vs Previous Forecast / vs FY26/3 Results】Ordinary Profit Analysis Results (unit: billion yen) vs FY26/3 Results Segment profit ⚫ Gas +33.2: -22.9 ➢ Increase in city gas gross profit +2.7: Details on P.39 （-11.4%）  Change in volume, etc. +82.3 (incl. change due to temp

  37. Slide 37: 4-2 Assets, Cash Flow, etc.

    【4-2 FY27/3 Forecast vs Previous Forecast / vs FY26/3 Results】Assets, Cash Flow, etc. (unit: billion yen) FY27/3 Previous FY26/3 Change % Change % Forecast Forecast Results Total assets 3,998.0 3,956.0 42.0 1.1 3,892.2 105.8 2.7 Equity 1,701.0 1,704.0 -3.0 -0.2 1,717.4 -16.4 -1.0 Equity ratio 42.5%

  38. Slide 38: 4-2 Financial Indicators

    【4-2 FY27/3 Forecast vs Previous Forecast / vs FY26/3 Results】Financial Indicators FY27/3 Previous FY26/3 Change % Change % Forecast Forecast Results Total assets turnover *1 (times) 0.81 0.75 0.06 ― 0.73 0.08 ― ROA *1 (%) 3.5% 3.5% 0.0% ― 5.9% -2.4% ― ROE*1 (%) 8.2% 8.0% 0.2% ― 13.2% -5.0% ― WACC (

  39. Slide 39: 4-2 Sales Volume/Number of Customers

    【4-2 FY27/3 Forecast vs Previous Forecast / vs FY26/3 Results】Sales Volume/Number of Customers FY27/3 Previous FY26/3 Change % Change % Forecast Forecast Results Gas sales volume (million m3) 15,274 15,135 139 0.9 15,612 -338 -2.2 City gas sales volume 10,979 10,790 189 1.8 11,175 -196 -1.7 Resident

  40. Slide 40: 4-2 Analysis of Gas Gross Profit

    【4-2 FY27/3 Forecast vs Previous Forecast / vs FY26/3 Results】Analysis of Gas Gross Profit (unit: billion yen) FY27/3 Previous FY26/3 Change % Change % Forecast Forecast Results Gas sales 1,383.7 1,253.1 130.6 10.4 1,191.0 192.7 16.2 Gas raw 928.7 793.1 135.6 17.1 738.8 189.9 25.7 materials and incl

  41. Slide 41: 4-2 Main Consolidated Subsidiaries

    【4-2 FY27/3 Forecast vs Previous Forecast / vs FY26/3 Results】Main Consolidated Subsidiaries (unit: billion yen) FY27/3 Previous FY26/3 Company name Change % Change % Forecast Forecast Results Tokyo Gas Engineering 242.6 243.4 -0.8 -0.4 235.5 7.1 3.0 Solutions Group*1 *1,2 Net sales Tokyo Gas Americ

  42. Slide 42: 4-3 Gross Profit Sensitivity to Crude Oil Price / Exchange Rate

    【4-3 Gross Profit Sensitivity to Change in Crude Oil Price / Exchange Rate (City Gas)】 Impact of rising JCC (Japan Crude Cocktail Prices) by $1/bbl *Sensitivity to our crude oil price assumption: H2 average $100/bbl (unit: billion yen) Impact on Earnings Q3 Q4 Full year Gas sales: 0.4, Q3 -0.1 -0.9

  43. Slide 43: 4-4 Crude Oil Price / Exchange Rate

    【4-4 Crude Oil Price / Exchange Rate】 Crude oil price（Japan Crude Cocktail Prices） 130.00 120.00 110.00 100.00 90.00 80.00 70.00 60.00 50.00 ($/bbl) Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar FY27/3 FY26/3 FY25/3 Exchange rate 170.00 165.00 160.00 155.00 150.00 145.00 140.00 135.00 130.00 (¥/$)

  44. Slide 44: 4-5 Time Lag Profit / Loss (City Gas)

    【4-5 Time Lag Profit / Loss (City Gas)】 Conceptual diagram of time lag profit/loss (city gas) Revenues Costs FY27/3 Q2 Results Time lag loss: -53.3 billion yen FY26/3 Results FY27/3 Forecast Time lag profit: 10.6 billion yen Time lag loss: -69.0 billion yen Copyright © TOKYO GAS Co., Ltd. All Rights

  45. Slide 45: 4-6 Reference: Impact from the Middle East Situation

    【4-6 Reference】Impact from the Middle East Situation • We have confirmed that there is currently no significant impacts on our stable supply of energy. • Reflecting uncertainty surrounding the outlook for the situation in the Middle East and recent trends in resource and energy prices, we have raise

  46. Slide 46: 4-6 Reference: Impact from the Middle East Situation

    【4-6 Reference】Impact from the Middle East Situation ■Impact on time lag profit/loss from revised oil price assumptions (illustrative) Previous Forecast FY27/3 Forecast Revenues Under the previous forecast, we anticipated However, due to the delay in the timing of the oil Costs that time lag losses

  47. Slide 47: Copyright © TOKYO GAS Co., Ltd. All Rights Reserved.

    Copyright © TOKYO GAS Co., Ltd. All Rights Reserved. 47

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