Hokuriku Gas released its results for the second quarter of the fiscal year ending March 2027. Revenue was ¥27.76 billion, up 0.8% year on year, while operating income declined to ¥1.108 billion. The company raised its full-year forecast because gas sales volume exceeded its plan.
Hokuriku Gas (北陸ガス) released its consolidated earnings report, posting revenue of ¥27.76 billion (up 0.8% year on year), operating income of ¥1.18 billion (down 25.5%), ordinary income of ¥1.311 billion (down 22.4%) and interim net income attributable to owners of the parent of ¥1.066 billion (down 12.9%), resulting in higher revenue but lower profit.
Gas demand for water heating and air conditioning was below the level of the same period a year earlier, but gas sales volume exceeded the prior-year level as equipment utilization by commercial customers increased. Although gas rates per unit were reduced due to the adjustment of raw-material costs, the increase in sales volume helped secure revenue.
Operating expenses were kept down by lower LNG prices, but profit was pushed down by higher raw-material and other costs associated with the increase in gas sales volume.
Based on its interim results, Hokuriku Gas raised its full-year consolidated earnings forecast. The company cited expectations that gas sales volume will exceed its plan and that the cost of replacing long-life gas pipelines will be lower than expected. The new forecast calls for revenue of ¥70.9 billion, operating income of ¥2.23 billion, ordinary income of ¥2.61 billion and net income attributable to owners of the parent of ¥2.12 billion.