Risk of fluctuations in LNG procurement prices, foreign exchange rates and crude oil prices
First written in FY2017-Q1. 22 of 35 entries say "Materialised", first in FY2017-Q2. Latest entry: 2026-07-30.
Tokyo Gas moved to the "Worse" side of this theme in 2016, 8 years before the typical company in this theme (2024).
The whole theme swung hardest in 2022: 4 of 8 companies on the "Worse" side.
1 other company's latest entry also says "Materialised".
- 2026-07-30MaterialisedEarnings
「Operating expenses increased by ¥33,206 million year on year to ¥618,023 million, up 5.7%, due mainly to higher cost of sales resulting from the impact of higher crude oil prices and other factors.」
Higher cost of sales resulting from higher crude oil prices and other factors was reflected in increased operating expenses in the first quarter. - FY2026RestatedAnnual report
「Foreign exchange: approximately ¥600 million decrease for each ¥1 depreciation of the yen against the US dollar; crude oil prices: approximately ¥700 million decrease for each US$1 per barrel increase」
While indicating the medium- to long-term absorption provided by the raw material cost adjustment system, the company continues to quantify the following fiscal year's gross profit sensitivity to changes in foreign exchange rates and crude oil prices. - 2026-04-28WorsenedRevision of earnings forecasts
「Operating expenses are expected to increase due to the impact of higher raw-material costs resulting from the rise in crude oil prices and other factors.」
The company assumes a crude oil price of $85/bbl for fiscal 2026, up from the fiscal 2025 actual price of $71.41/bbl, indicating higher costs in the following fiscal year due to increased raw-material expenses. - FY2026-H1MitigatedAnnual report
「Foreign exchange: approximately ¥800 million decrease for each ¥1 depreciation of the yen against the US dollar Crude oil prices: approximately ¥1.1 billion decrease for each US$1 per barrel increase For the current consolidated fiscal year forecast, the assumed annual average foreign exchange rate and crude oil price are ¥148.01 per US dollar and US$74.34 per barrel, respectively, compared with ¥152.62 per US dollar and US$82.41 per barrel, respectively, in the previous consolidated fiscal year.」
Sensitivity for the second half was an approximately ¥800 million decrease for foreign exchange and an approximately ¥1.1 billion decrease for crude oil prices, both lower than the levels disclosed for the previous fiscal year. The assumed foreign exchange rate and crude oil price for the year are also below the previous fiscal year's actual results. - FY2025-H1MaterialisedAnnual report
「Revenue for the current interim consolidated accounting period decreased by ¥51,237 million year on year to ¥1,221,494 million due to the impact of lower revenue per unit resulting from raw material cost adjustments, among other factors (down 4.0% year on year). The impacts of changes in foreign exchange rates and crude oil prices on gross profit in the second half are as follows: Foreign exchange: approximately ¥1.0 billion decrease for each ¥1 depreciation of the yen against the US dollar; crude oil prices: approximately ¥1.5 billion decrease for each US$1 per barrel increase.」
The decrease in revenue per unit resulting from raw material cost adjustments materialized as a 4.0% year-on-year decline in revenue. The disclosed sensitivity for the second half is an approximately ¥1.0 billion decrease for foreign exchange and an approximately ¥1.5 billion decrease for crude oil prices. - FY2024Changes in foreign exchange and crude oil price sensitivityAnnual report
「Foreign exchange: approximately ¥600 million decrease for each ¥1 depreciation of the yen against the US dollar Crude oil prices: approximately ¥1.7 billion decrease for each US$1 per barrel increase」
Sensitivity for the following fiscal year decreased to an approximately ¥1.2 billion decrease for foreign exchange from the approximately ¥1.2 billion decrease disclosed previously, while sensitivity to crude oil prices was an approximately ¥1.7 billion decrease. - FY2024-Q3MitigatedAnnual report
「The impacts of changes in foreign exchange rates and crude oil prices on gross profit for the fiscal year during the fourth-quarter consolidated accounting period are as follows. Foreign exchange: approximately ¥1.1 billion decrease for each ¥1 depreciation of the yen against the US dollar Crude oil prices: approximately ¥100 million decrease for each US$1 per barrel increase」
The projected impact of foreign exchange movements was an approximately ¥1.1 billion decrease, while the impact of a US$1 increase in crude oil prices was limited to an approximately ¥100 million decrease, narrowing from the approximately ¥1.4 billion decrease disclosed previously. The raw material cost adjustment system and the risk of unrecovered amounts exceeding the cap remain in place. - FY2024-Q2WorsenedAnnual report
「The impacts of changes in foreign exchange rates and crude oil prices on gross profit for the consolidated fiscal year from the third-quarter consolidated accounting period onward are as follows: Foreign exchange: approximately ¥1.2 billion decrease for each ¥1 depreciation of the yen against the US dollar; crude oil prices: approximately ¥1.4 billion decrease for each US$1 per barrel increase.」
While foreign exchange sensitivity remains at the previous level, at an approximately ¥1.2 billion decrease, the projected impact on gross profit of a US$1 increase in crude oil prices has increased to an approximately ¥1.4 billion decrease from the approximately ¥1.1 billion decrease disclosed previously. - FY2024-Q1MaterialisedAnnual report
「The impact of higher revenue per unit resulting from adjustments to raw material costs in response to rising raw material prices, among other factors, increased revenue by ¥39,757 million year on year to ¥649,696 million (up 6.5% year on year).」
The increase in raw material prices has materialized as higher revenue per unit and increased revenue through raw material cost adjustments. The disclosed impact on gross profit from the second quarter onward is an approximately ¥900 million decrease for each ¥1 depreciation of the yen against the US dollar and an approximately ¥1.1 billion decrease for each US$1 per barrel increase in crude oil prices. - FY2023WorsenedAnnual report
「The impact of foreign exchange and crude oil price fluctuations on gross profit for the following consolidated fiscal year is as follows: foreign exchange, approximately ¥1.2 billion decrease for a ¥1 depreciation against the US dollar; crude oil prices, approximately ¥1.1 billion decrease for a US$1-per-barrel increase.」
The sensitivity of gross profit in the following fiscal year to foreign exchange and crude oil prices is shown as an approximately ¥1.2 billion decrease for a ¥1 depreciation against the US dollar and an approximately ¥1.1 billion decrease for a US$1-per-barrel increase in crude oil prices. - FY2023-Q3RestatedAnnual report
「The impact of foreign exchange and crude oil price fluctuations on gross profit for the fourth-quarter consolidated accounting period is an approximately ¥1.1 billion decrease for a ¥1 depreciation against the US dollar. The impact of a US$1-per-barrel increase in crude oil prices is minor, at less than an approximately ¥100 million decrease.」
The impact of foreign exchange and crude oil price fluctuations continues to be quantified. The disclosure also reiterates the conditions under which amounts exceeding the ceiling under the feedstock cost adjustment system remain unrecovered, as well as the change in the ceiling calculation basis effective 1 September 2022. - FY2023-Q2WorsenedAnnual report
「The impact of foreign exchange and crude oil price fluctuations on gross profit from the third-quarter consolidated accounting period onward in the current consolidated fiscal year is as follows. Foreign exchange: approximately ¥1 billion decrease for a ¥1 depreciation against the US dollar Crude oil prices: approximately ¥1.2 billion decrease for a US$1-per-barrel increase The annual average exchange rate and crude oil price assumed in the outlook for the current consolidated fiscal year are ¥137.02 per US dollar and US$105.96 per barrel, respectively, compared with ¥112.39 per US dollar and US$77.15 per barrel, respectively, in the previous consolidated fiscal year.」
The assumed foreign exchange rate and crude oil price are substantially above the previous year's actual levels, and the sensitivity of gross profit is quantified as an approximately ¥1 billion decrease for foreign exchange and an approximately ¥1.2 billion decrease for crude oil prices. The disclosure continues to state the risk that amounts exceeding the ceiling under the feedstock cost adjustment system will remain unrecovered, as well as the change in the ceiling calculation basis effective 1 September 2022. - FY2023-Q1Change in the benchmark used to calculate the feedstock cost adjustment ceilingAnnual report
「Meanwhile, operating expenses increased ¥175,714 million year on year to ¥558,732 million, up 45.9%, due to higher gas feedstock costs and other expenses resulting from higher crude oil prices and other factors. (*) Effective 1 September 2022, the company will change the adjustment ceiling from 160% of the benchmark feedstock price to 160% of the average feedstock price from March to May 2022.」
While higher raw material costs due to higher crude oil prices and other factors were reflected in actual results, the disclosure specifies that the calculation basis for the ceiling under the feedstock cost adjustment system will change effective 1 September 2022. - FY2022MaterialisedAnnual report
「Foreign exchange: approximately ¥800 million decrease for a ¥1 depreciation against the US dollar Crude oil prices: approximately ¥800 million decrease for a US$1-per-barrel increase」
The impact of crude oil price and foreign exchange fluctuations continues to be quantified. The assumptions for the following fiscal year are ¥120 per US dollar and US$85 per barrel for crude oil prices. - FY2022-Q3MaterialisedAnnual report
「The impact of foreign exchange and crude oil price fluctuations on gross profit for the fourth-quarter consolidated accounting period is an approximately ¥1 billion decrease for a ¥1 depreciation against the US dollar. The impact of a US$1-per-barrel increase in crude oil prices is minor, at less than an approximately ¥100 million decrease. The annual average exchange rate and crude oil price assumed in the outlook for the current consolidated fiscal year are ¥112.11 per US dollar and US$74.21 per barrel, respectively, compared with ¥106.10 per US dollar and US$43.35 per barrel, respectively, in the previous consolidated fiscal year.」
The effects of foreign exchange and crude oil price fluctuations continue to be quantified, and the assumed exchange rate and crude oil price for the current fiscal year are above the previous year's actual levels. In terms of earnings, gas feedstock costs have also increased due to higher crude oil prices and other factors. - FY2022-Q2MaterialisedAnnual report
「Meanwhile, operating expenses increased ¥50,874 million year on year to ¥827,274 million, up 6.6%, due to higher gas feedstock costs and other expenses resulting from higher crude oil prices and other factors.」
The impact of higher crude oil prices was actually reflected in higher gas feedstock costs and other expenses, leading to an increase in operating expenses. The estimated impact on gross profit from the third quarter onward is an approximately ¥900 million decrease for a ¥1 depreciation against the US dollar and an approximately ¥1,000 million decrease for a US$1-per-barrel increase in crude oil prices. - FY2022-Q1MaterialisedAnnual report
「Although household demand for city gas declined due to higher temperatures and other factors, industrial demand increased due to higher demand for power generation and other factors, causing city gas sales volumes to increase 7.1% year on year to 2,845 million m3. However, due to the impact of lower sales unit prices resulting from the feedstock cost adjustment associated with lower feedstock prices and other factors, gas revenue decreased ¥11,702 million year on year to ¥273,278 million.」
Lower feedstock prices were actually reflected in lower sales unit prices through the feedstock cost adjustment. While city gas sales volumes increased, gas revenue decreased 4.1% year on year. - FY2021MaterialisedAnnual report
「Gas revenue decreased ¥208,634 million, or 15.4%, from the previous consolidated fiscal year to ¥1,146,791 million, due to city gas sales volumes falling below the previous consolidated fiscal year and lower sales unit prices resulting from the feedstock cost adjustment.」
The feedstock cost adjustment associated with lower crude oil prices was reflected in full-year results as lower gas sales unit prices and revenue. - FY2021-Q3MaterialisedAnnual report
「In addition to lower city gas sales volumes, lower sales unit prices resulting from the feedstock cost adjustment associated with lower crude oil prices caused total gas segment revenue to decrease ¥159,474 million year on year to ¥795,847 million, down 16.7%.」
Lower crude oil prices actually affected gas revenue through lower sales unit prices resulting from the feedstock cost adjustment. - FY2021-Q2MaterialisedAnnual report
「In addition to lower city gas sales volumes, lower sales unit prices resulting from the feedstock cost adjustment associated with lower crude oil prices caused total gas segment revenue to decrease ¥95,550 million year on year to ¥544,060 million, down 14.9%.」
Lower crude oil prices actually affected gas revenue through lower sales unit prices resulting from the feedstock cost adjustment. - FY2021-Q1MaterialisedAnnual report
「In addition to lower city gas sales volumes, lower sales unit prices resulting from the feedstock cost adjustment associated with lower crude oil prices caused total gas segment revenue to decrease ¥58,035 million year on year to ¥284,980 million, down 16.9%.」
Lower crude oil prices actually affected gas revenue through lower sales unit prices resulting from the feedstock cost adjustment. - FY2020WorsenedAnnual report
「Even when feedstock costs fluctuate, the feedstock cost adjustment system passes the changes through to gas tariffs within a maximum of 5 months. However, if the fluctuation exceeds 160% of the benchmark feedstock price, the excess amount is not recovered.」
In addition to the existing foreign exchange and crude oil price fluctuation risks, the disclosure specifies the conditions under which amounts exceeding the ceiling under the feedstock cost adjustment system remain unrecovered. - FY2020-Q3MaterialisedAnnual report
「Operating expenses decreased ¥22,307 million, or 2.4% year on year, mainly because gas feedstock costs declined due to lower city gas sales volumes and the effects of lower crude oil prices.」
Lower crude oil prices were actually reflected in expenses through lower gas feedstock costs. For the fourth quarter, the estimated impact is an approximately ¥1,100 million decrease for a ¥1 depreciation against the US dollar and an approximately ¥100 million decrease for a US$1-per-barrel increase in crude oil prices. - FY2020-Q2MaterialisedAnnual report
「Although city gas sales volumes declined, higher sales unit prices resulting from the feedstock cost adjustment associated with higher crude oil prices and other factors caused gas revenue to increase ¥48,094 million year on year to ¥639,610 million. Foreign exchange: approximately ¥800 million decrease for a ¥1 depreciation against the US dollar Crude oil prices: approximately ¥1,700 million decrease for a US$1-per-barrel increase」
Higher crude oil prices were actually reflected in gas revenue through the feedstock cost adjustment. The outlook for the impact on gross profit from the third quarter onward is also quantified for foreign exchange and crude oil prices. - FY2020-Q1MaterialisedAnnual report
「Partly due to higher sales unit prices resulting from the feedstock cost adjustment associated with higher crude oil prices and other factors, gas revenue increased ¥52,277 million year on year to ¥343,015 million.」
The disclosure states that higher crude oil prices were actually reflected in gas sales unit prices and revenue through the feedstock cost adjustment. The outlook for the impact from the second quarter onward is an approximately ¥800 million decrease for a ¥1 depreciation against the US dollar and an approximately ¥1,400 million decrease for a US$1-per-barrel increase in crude oil prices. - FY2019RestatedAnnual report
「However, because the feedstock cost adjustment system is applied, changes in feedstock purchase prices are reflected in city gas tariffs with a lag of up to 5 months (Note 1). This can result in over-recovery or under-recovery when measured by fiscal year, known as a sliding time lag, but the medium- to long-term impact on the balance of income and expenses is minor.」
The risks from fluctuations in LNG prices, crude oil prices and foreign exchange rates, and the offset provided by the feedstock cost adjustment system, continue to be disclosed. The estimated impact for the following fiscal year is an approximately ¥700 million decrease for a ¥1 depreciation against the US dollar and an approximately ¥1,300 million decrease for a US$1-per-barrel increase in crude oil prices. - FY2019-Q3MaterialisedAnnual report
「Although city gas sales volumes declined, higher sales unit prices resulting from the feedstock cost adjustment associated with higher crude oil prices and other factors caused gas revenue to increase ¥55,331 million year on year to ¥947,697 million.」
The disclosure states that higher crude oil prices were actually reflected in gas sales unit prices and revenue through the feedstock cost adjustment. The outlook for the fourth-quarter impact is an approximately ¥1,400 million decrease for a ¥1 depreciation against the US dollar and an approximately ¥200 million decrease for a US$1-per-barrel increase in crude oil prices. - FY2019-Q2MaterialisedAnnual report
「Although city gas sales volumes declined, higher sales unit prices resulting from the feedstock cost adjustment associated with higher crude oil prices and other factors caused gas revenue to increase ¥12,528 million year on year to ¥591,516 million.」
The disclosure states that higher crude oil prices were actually reflected in gas sales unit prices and revenue through the feedstock cost adjustment. Gas feedstock costs also increased, and the estimated impact is an approximately ¥1,300 million decrease for a ¥1 depreciation against the US dollar and an approximately ¥1,500 million decrease for a US$1-per-barrel increase in crude oil prices. - FY2019-Q1MaterialisedAnnual report
「Although higher sales unit prices resulting from the feedstock cost adjustment associated with higher crude oil prices and other factors had a positive effect, lower city gas sales volumes and other factors caused gas revenue to decrease ¥13,063 million year on year to ¥290,738 million. Foreign exchange: approximately ¥800 million decrease for a ¥1 depreciation against the US dollar Crude oil prices: approximately ¥1,300 million decrease for a US$1-per-barrel increase」
The disclosure states that higher crude oil prices were reflected in sales unit prices through the feedstock cost adjustment, creating an actual impact on gas revenue. The outlook for the effects of foreign exchange and crude oil prices is also quantified. - FY2018-Q3MaterialisedAnnual report
「Due to higher sales unit prices resulting from the feedstock cost adjustment associated with higher crude oil prices and other factors, city gas revenue increased ¥79,208 million year on year to ¥786,347 million.」
The disclosure states that higher crude oil prices were actually reflected in city gas sales unit prices and revenue through the feedstock cost adjustment. The estimated impact of foreign exchange and crude oil price fluctuations on gross profit for the fourth-quarter consolidated accounting period is an approximately ¥1,100 million decrease for a ¥1 depreciation against the US dollar and an approximately ¥200 million decrease for a US$1-per-barrel increase in crude oil prices. - FY2018-Q2MaterialisedAnnual report
「Due to higher sales unit prices resulting from the feedstock cost adjustment associated with higher crude oil prices and other factors, city gas revenue increased ¥45,136 million year on year to ¥507,380 million.」
The disclosure states that higher crude oil prices were actually reflected in city gas sales unit prices and revenue through the feedstock cost adjustment. City gas feedstock costs also increased with higher crude oil prices, and the estimated impact on gross profit is an approximately ¥1,900 million decrease for a US$1-per-barrel increase in crude oil prices. - FY2018-Q1MaterialisedAnnual report
「Due to higher sales unit prices resulting from the feedstock cost adjustment associated with higher crude oil prices and other factors, city gas revenue increased ¥14,909 million year on year to ¥271,757 million.」
The disclosure states that higher crude oil prices were actually reflected in city gas sales unit prices and revenue through the feedstock cost adjustment. The estimated impact of a US$1-per-barrel increase in crude oil prices on gross profit is an approximately ¥1,900 million decrease. - FY2017-Q3MaterialisedAnnual report
「Due to lower sales unit prices resulting from the feedstock cost adjustment associated with lower crude oil prices, city gas revenue decreased ¥211,134 million year on year to ¥707,139 million.」
The disclosure states that lower crude oil prices continued to have an actual impact on sales unit prices and city gas revenue through the feedstock cost adjustment. - FY2017-Q2MaterialisedAnnual report
「Due to lower sales unit prices resulting from the feedstock cost adjustment associated with lower crude oil prices and other factors, city gas revenue decreased ¥162,162 million year on year to ¥462,244 million.」
The disclosure states that lower crude oil prices actually affected sales unit prices and city gas revenue through the feedstock cost adjustment, while city gas feedstock costs also declined. - FY2017-Q1First statedAnnual report
「LNG, the main feedstock for the city gas we supply, is imported from overseas under US dollar-denominated purchase and sales contracts, exposing us to the risk of fluctuations in the yen/US dollar exchange rate. In addition, since US dollar-denominated LNG prices are determined in line with crude oil prices, we are also exposed to fluctuations in international crude oil markets.」
The estimated impact is a ¥800 million decrease for a ¥1 depreciation against the US dollar and an approximately ¥1,500 million decrease for a US$1-per-barrel increase in crude oil prices. The earnings commentary states that the effects of lower crude oil prices and other factors were actually reflected in sales unit prices and gas feedstock costs, while also explaining the medium- to long-term offset provided by the feedstock cost adjustment system.