NIPPON GAS CO., LTD. Consolidated Financial Results for the Fiscal Year Ended March 31st, 2022
[Japanese GAAP]
April 27th, 2022
Company name: NIPPON GAS CO., LTD.
Code number: 8174
URL:http://www.nichigas.co.jp/en/
Stock exchange listing: Tokyo Stock Exchange
Representative: Shinji Wada, Representative Director, Chief Executive Officer Contact: Shinichi Kiyota, Managing Executive Officer
Phone: 03-5308-2111
Scheduled date of Ordinary General Meeting of Shareholders: June 22nd, 2022 Scheduled date of commencing dividend payments: June 23rd, 2022 Scheduled date of filing securities report: June 22nd, 2022
Availability of supplementary briefing material on financial results: Available Schedule of financial results briefing session: Scheduled (for institutional investors)
(Amounts are rounded down to the nearest million yen.)
1. Consolidated Financial Results for the Fiscal Year Ended March 31st, 2022 (April 1st, 2021 to March 31st, 2022)
(1) Consolidated Results of Operations (% indicates changes from the previous corresponding period.)
Net sales | Operating income | Ordinary income | Profit attributable to owners of parent | |
Fiscal Year ended Mar. 31st, 2022 Fiscal Year ended Mar. 31st, 2021 | Millions of yen %
| Millions of yen %
| Millions of yen %
| Millions of yen %
|
(Note) Comprehensive income: | Fiscal year ended Mar. 31st, 2022 | ¥9,397 million [(2.0)%] | ||
Fiscal year ended Mar. 31st, 2021 | ¥9,590 million [25.4%] |
Basic earnings per share | Diluted earnings per share | Rate of return on equity | Ordinary income to total assets | Operating income to net sales | |
Fiscal year ended Mar. 31st, 2022 Fiscal year ended Mar. 31st, 2021 | Yen 86.24 78.94 | Yen - - | % 14.1 13.6 | % 8.8 10.3 | % 7.9 9.5 |
(Reference) Equity in earnings (losses) of affiliates:
Fiscal year ended Mar. 31st, 2022 ¥34 million Fiscal year ended Mar. 31st, 2021 ¥- million
(Note)The Company conducted a 3-for-1 stock split of common shares on April 1st, 2021. "Basic earnings per share" is calculated on the assumption that the stock split was implemented at the beginning of the previous fiscal year.
(2) Consolidated Financial Position
Total assets
Millions of yen
As of Mar. 31st, 2022
153,811
As of Mar. 31st, 2021
140,120
(Reference) Equity:
As of Mar. 31st, 2022 ¥71,887 million
Net assets | Net assets per share |
Millions of yen | Yen |
71,890 | 624.79 |
69,342 | 592.64 |
As of Mar. 31st, 2021 ¥69,338 million
Equity ratio % 46.7
49.5
(Note)The Company conducted a 3-for-1 stock split of common shares on April 1st, 2021. "Net assets per share" is calculated on the assumption that the stock split was implemented at the beginning of the previous fiscal year.
(3) Consolidated Cash Flows
Net cash provided by (used in) operating activities | Net cash provided by (used in) investing activities | Net cash provided by (used in) financing activities | Cash and cash equivalents at end of period | |
Fiscal year ended Mar. 31st, 2022 Fiscal year ended Mar. 31st, 2021 | Millions of Yen 20,694 16,068 | Millions of Yen (8,792) (14,513) | Millions of Yen (7,407) (5,706) | Millions of Yen 16,912 12,411 |
2. Dividends
Annual dividends | Total dividends paid (annual) | Payout ratio (consolidated) | Dividend to net assets (consolidated) | |||||
End of 1Q | End of 2Q | End of 3Q | Year- end | Total | ||||
Fiscal year ended Mar. 31st, 2021 Fiscal year ended Mar. 31st, 2022 | Yen | Yen 62.50 | Yen | Yen 62.50 | Yen 125.00 | Millions of yen 4,977 5,823 | % 52.8 | % 7.2 8.2 |
25.00 | 25.00 | 50.00 | 58.0 | |||||
Fiscal year ending Mar. 31st, 2023 (Forecast) | 32.50 | 32.50 | 65.00 | 67.2 |
(Note)
The Company conducted a 3-for-1 stock split of common shares on April 1st, 2021.
Actual amounts of dividends before the stock split are shown for the fiscal year ended March 31st, 2021. Dividends for the fiscal year ended March 31st, 2022 and fiscal year ending March 31st, 2023 (Forecast) are stated after taking into account the effect of the stock split.
3. Consolidated Financial Results Forecast for the Fiscal Year Ending March 31st, 2023 (April 1st, 2022 to
March 31st, 2023)
(% indicates changes from the previous corresponding period.)
Net sales | Operating income | Ordinary income | Profit attributable to owners of parent | Basic earnings per share | |
Six months ending Sep. 30th, 2022 Full-year | Millions of yen %
| Millions of yen %
| Millions of yen %
| Millions of yen %
| Yen 14.88 96.79 |
4. Notes
(1) Significant changes of subsidiaries during the year under review (changes in specified subsidiaries resulting in changes in scope of consolidation during the year under review): No
(2) Changes to accounting policies, changes to accounting estimates, and revision restatements
1) Changes to accounting policies accompanying the revision of accounting standards, etc.: Yes
2) Changes to accounting policies other than 1) above: No
3) Changes to accounting estimates: No
4) Revision restatements: No
(3) Total number of issued shares (common shares)
1) Total number of issued shares (including treasury shares):
Mar. 31st, 2022 | 118,603,698 shares |
Mar. 31st, 2021 | 120,591,498 shares |
2) Total number of treasury shares at the end of the period:
Mar. 31st, 2022 | 3,544,616 shares |
Mar. 31st, 2021 | 3,592,506 shares |
3) Average number of shares during the period:
Fiscal year ended Mar. 31st, 2022 | 115,642,189 shares |
Fiscal year ended Mar. 31st, 2021 | 118,739,763 shares |
(Note 1) The Company conducted a 3-for-1 stock split of common shares on April 1st, 2021. "Total number of issued shares," "Total number of treasury shares at the end of the period," and "Average number of shares during the period" are calculated on the assumption that the stock split was implemented at the beginning of the previous fiscal year.
(Note 2) The number of treasury shares includes the shares of the Company held by the "Directors' Compensation
BIP (Board Incentive Plan) Trust" (As of March 31st, 2022: 1,426,053 shares, as of March 31st, 2021: 1,474,194 shares). The number of shares is calculated on the assumption that the stock split was implemented at the beginning of the previous fiscal year.
(Reference) Summary of Non-consolidated Financial Results
1. Non-consolidated Financial Results for the Fiscal Year Ended March 31st, 2022 (April 1st, 2021 to March 31st, 2022)
(1) Non-consolidated Results of Operations (% indicates changes from the previous corresponding period.)
Net sales | Operating income | Ordinary income | Profit | |
Fiscal year ended Mar. 31st, 2022 Fiscal year ended Mar. 31st, 2021 | Millions of yen %
| Millions of yen %
| Millions of yen %
| Millions of yen %
|
Basic earnings per share | Diluted earnings per share | |
Fiscal year ended Mar. 31st, 2022 Fiscal year ended Mar. 31st, 2021 | Yen 75.29 65.37 | Yen - - |
(Note)
The Company conducted a 3-for-1 stock split of common shares on April 1st, 2021. "Basic earnings per share" is calculated on the assumption that the stock split was implemented at the beginning of the previous fiscal year.
(2) Non-consolidated Financial Position
Net assets | Net assets per share | ||
Millions of yen | % | Yen | |
As of Mar. 31st, 2022 | 44,681 | 34.7 | 388.33 |
As of Mar. 31st, 2021 | 43,573 | 37.7 | 372.43 |
(Reference) Equity: | ¥43,573 million |
As of Mar. 31st, 2022 ¥44,681 million
Total assets
Equity ratio
Millions of yen 128,750 115,486
As of Mar. 31st, 2021
(Note)The Company conducted a 3-for-1 stock split of common shares on April 1st, 2021. "Net assets per share" is calculated on the assumption that the stock split was implemented at the beginning of the previous fiscal year.
* These financial results are outside the scope of audit by a certified public accountant or an audit corporation.
* Explanation of the proper use of performance forecast and other notes
The earnings forecasts and other forward-looking statements herein are based on information available to the Company and certain assumptions deemed reasonable as of the date of publication of this document. Actual results may differ significantly from these forecasts due to a wide range of factors. Please refer to "Overview of Operation Results, etc." on page 2 of the attached Appendix for the notes on the use of preconditions for the earnings forecast and the use of the earnings forecast.
Contents of Appendix
1. Overview of Operation Results, etc. --------------------------------------------------------------------------------------2
(1) Overview of Operation Results for the Fiscal Year Under Review ------------------------------------------------2
(2) Overview of Financial Position for the Fiscal Year Under Review -----------------------------------------------5
(3) Overview of Cash Flows for the Fiscal Year Under Review -------------------------------------------------------6
(4) Future Outlook ------------------------------------------------------------------------------------------------------------7
2. Basic Approach to the Selection of Accounting Standards -------------------------------------------------------------7
3. Consolidated Financial Statements and Primary Notes -----------------------------------------------------------------8
(1) Consolidated Balance Sheet ---------------------------------------------------------------------------------------------8
(2) Consolidated Statement of Income and Comprehensive Income ------------------------------------------------10
(3) Consolidated Statement of Changes in Equity ----------------------------------------------------------------------13
(4) Consolidated Statement of Cash Flows ------------------------------------------------------------------------------15
(5) Notes to Consolidated Financial Statements ------------------------------------------------------------------------17
(Notes on Going Concern Assumption) -------------------------------------------------------------------------17
(Changes to Accounting Policies) -------------------------------------------------------------------------17
(Segment Information, etc.) ---------------------------------------------------------------------------------------19
(Per Share Information) --------------------------------------------------------------------------------------------21
(Significant Subsequent Events) ---------------------------------------------------------------------------------22
4. Non-consolidated Financial Statements and Primary Notes ----------------------------------------------------------23
(1) Balance Sheet ------------------------------------------------------------------------------------------------------------23
(2) Statement of Income ----------------------------------------------------------------------------------------------------26
(3) Statement of Changes in Equity --------------------------------------------------------------------------------------28
5. Others -------------------------------------------------------------------------------------------------------------------------32
(1) Production, Order and Sales Status -----------------------------------------------------------------------------------32
(2) Changes to the Officers of the Company ----------------------------------------------------------------------------33
(3) Trends in the Number of Households, etc. ---------------------------------------------------------------------------34
1. Overview of Operation Results, etc.
(1) Overview of Operation Results for the Fiscal Year Under Review
During the current fiscal year, Japan continued to face major restrictions due to COVID-19. After repeated outbreaks and containment of COVID-19 variants, a trend toward return to normalcy in the economic and social activities started to be seen everywhere. However, this was followed by the Russian invasion of Ukraine, which once more plunged the global economic situation into uncertainty.
The limits of conventional centrally supervised social systems have been exposed by the rapid trend towards digitalization driven by COVID-19, as well as innovative, continuous developments in technology, such as the blockchain, virtual space technology in the metaverse, NFTs (non-fungible tokens), smart contracts, and Web 3.0.
In the future, we expect that the role of intermediaries in transactions will decline, and commercial transactions between parties will be virtually indistinguishable from P2P (peer-to-peer). In this drastically changing business environment, redefining businesses through backcasting will be a prerequisite for sustainable growth in every industry. We believe it will be essential to incorporate technological advances and the trend toward decarbonization into management, and to reform the conventional energy business framework of a "gas and electricity retailer." As such, we will develop our business model into that of an "energy solution package service company" which provides a one-stop system for optimal energy usage centered on digital technologies.
By providing our customers with an "energy solution package service," our aim is to deliver on the realization of a "community-integrated and disaster-resilient smart energy city that is green both in terms of energy and lifestyle," based on the DX foundation we have built so far. As a first step toward this, we will expand sales of electricity and gas as a set, centered on the family demographic, which will be the base for future growth of corporate value. As a second step, we have started providing equipment for distributed energy resources (DER: solar power generation equipment, as well as electric vehicles and hybrid water heaters as storage cells, etc.) to our customers as part of efforts to promote a shift towards the popularization of the smart home, and achieving optimal use of energy in each household. As a third step, we will go beyond the boundaries of households to connect entire communities over power distribution networks. And at virtual power plants in the metaverse, we will use AI deep learning algorithms to control DER, optimizing energy usage of entire communities with the aim of realizing smart cities.
As a first step towards this Nippon Gas version of a smart city, in February 2022 we started sales of the new electricity and gas set plan with the brand name "Degawari 007." This is a new option that realizes virtually zero CO2 emissions. Considering nighttime power storage needs of electric vehicle users, we designed this plan to be particularly beneficial for use from midnight until 7:00 am. We will strengthen sales of "Degawari 007" as a product that greatly advances the "hybridization of gas and electricity" with the aim of realizing smart cities.
Our strategy of evolving our company's business domain towards optimization of customer energy usage is based on the high quality of our energy business that we have been promoting for 70 years and on our corporate philosophy of prioritizing the needs of our customers. While energy resilience and environmental issues have become pressing issues, assuming the ideal state of society, this means realizing a co-creation collaboration platform that functions between businesses with an open energy platform, and facing up to risks that we must address.
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NIPPON GAS Co. Ltd. published this content on 27 April 2022 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 27 April 2022 07:14:06 UTC.
