Higher power procurement costs due to surging prices in the JEPX spot market
First written in FY2021. 4 of 9 entries say "Mitigated", first in FY2024-Q1. Latest entry: FY2026-H1.
The whole theme swung hardest in 2026: 8 of 15 companies on the "Worse" side.
7 other companies' latest entry also says "Mitigated".
- FY2026-H1MitigatedAnnual report
「In the environmental business, we mainly operate an electricity retail business. Revenue declined, but lower procurement unit costs resulted in profit growth. Accordingly, revenue was ¥1,015 million (81.6% of the prior-year period) and segment profit was ¥158 million (148.1% of the prior-year period).」
Whereas higher power procurement unit prices had pressured profit in the past, lower procurement unit prices during the current interim consolidated accounting period resulted in segment profit at 148.1% of the previous year's level, indicating that the impact has eased. - FY2025-H1WorsenedAnnual report
「In the environmental business, we mainly operate an electricity retail business. Revenue increased, but higher procurement unit costs resulted in lower profit. Accordingly, revenue was ¥1,244 million (101.5% of the prior-year period) and segment profit was ¥106 million (38.2% of the prior-year period).」
The impact of higher procurement unit prices was again reflected in results, and the power retail business posted higher sales but lower profit. Segment profit declined to 38.2% of the previous year's level. - FY2024-Q3MitigatedAnnual report
「In the environmental business, we mainly operate an electricity retail business. Revenue declined, but lower procurement unit costs resulted in profit growth. Accordingly, revenue was ¥1,807 million (91.9% of the prior-year period) and segment profit was ¥364 million (513.8% of the prior-year period).」
While higher power procurement unit prices had been affecting results, lower procurement unit prices resulted in segment profit of ¥364 million, or 513.8% of the previous year's level, and the impact continued to ease. - FY2024-Q2MitigatedAnnual report
「In the environmental business, we mainly operate an electricity retail business. Revenue declined, but lower procurement unit costs resulted in profit growth. Accordingly, revenue was ¥1,226 million (97.7% of the prior-year period) and segment profit was ¥279 million (1,232.0% of the prior-year period).」
While the risk of higher power procurement unit prices had materialized, lower procurement unit prices in the current quarter increased segment profit from ¥22 million in the previous year to ¥279 million, indicating that the impact has eased further. - FY2024-Q1MitigatedAnnual report
「In the environmental business, we mainly operate an electricity retail business. Revenue declined, but lower procurement unit costs resulted in profit growth. Accordingly, revenue was ¥514 million (85.3% of the prior-year period) and segment profit was ¥152 million (compared with a ¥57 million loss in the prior-year period).」
While the risk of higher power procurement unit prices had previously materialized, lower procurement unit prices in the current quarter resulted in a swing from a loss of ¥57 million in the previous year to profit of ¥152 million. - FY2023-Q2Profit secured despite continued higher procurement unit prices, but profit declinedAnnual report
「Higher selling unit prices resulted in higher sales, but higher procurement unit prices led to lower profit. As a result, net sales were ¥1,255 million, up 117.4% year on year, and segment profit was ¥22 million, down to 29.0% of the previous year's level.」
Power procurement unit prices continued to rise, weighing on profit year on year. However, the business returned to a profit of ¥22 million from a segment loss in FY2023-Q1, so the impact has eased to some extent. - FY2023-Q1MaterialisedAnnual report
「In the environmental business, we mainly operate an electricity retail business. Higher selling prices resulted in revenue growth, but higher procurement unit costs resulted in lower profit. Accordingly, revenue was ¥602 million (132.2% of the prior-year period) and segment loss was ¥57 million (compared with profit of ¥64 million in the prior-year period).」
The impact of higher procurement unit prices continued in the power retail business, which swung from profit of ¥64 million in the previous year to a loss of ¥57 million despite higher sales resulting from higher selling unit prices. - FY2022-Q3MaterialisedAnnual report
「In the environmental business, we mainly operate an electricity retail business. With the acquisition of new customers, revenue was ¥1,686 million (103.1% of the prior-year period), while higher unit procurement costs and other factors resulted in a segment loss of ¥11 million (compared with profit of ¥109 million in the prior-year period).」
The impact of higher procurement unit prices in the power retail business was reflected in results as a swing from the previous year's profit to a segment loss of ¥11 million. - FY2021First statedAnnual report
「Since December 2020, power procurement costs have surged due in part to the impact of soaring JEPX spot market prices resulting from increased electricity demand caused by cold weather, resulting in lower sales and profit.」
In the power retail business, higher procurement costs resulting from surging market prices actually occurred, and the environmental business swung from profit of ¥147 million to a loss of ¥704 million.