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Chugoku Electric lifts FY net profit forecast to ¥35.0 billion, dividend to ¥40

Fri, Oct 30, 2026 15:30 JST Chugoku Electric Power (9504.T) Electric Utilities 中文

Chugoku Electric Power raised its net profit forecast for the year ending March 2027 to ¥35.0 billion from ¥31.0 billion and lifted its annual dividend forecast to ¥40 a share from ¥30, as it plans to tender Chudenko shares into a ¥4,614-per-share buyback offer.

Revised net profit forecast¥35.0 billion
Annual dividend forecast¥40
Chudenko tender offer price¥4,614
Expected sale proceeds¥29.068 billion

The utility now expects revenue of ¥1.63 trillion, up from ¥1.49 trillion, but cut its operating profit forecast 17.3% to ¥43.0 billion and its ordinary profit forecast 5.0% to ¥38.0 billion. It cited wider losses from the time lag in fuel cost adjustments amid higher fuel prices and a worsening supply-demand balance, partly offset by revised transmission charges. Gains on the sale of securities lift net profit. Earnings per share are now forecast at ¥97.30, versus ¥86.20 previously.

The forecast assumes an exchange rate of ¥157 to the dollar, versus ¥160 before, crude oil CIF prices of $104 a barrel, versus $100, and a nuclear capacity factor of 63%, versus 64%.

Chugoku Electric will tender 6,300,000 Chudenko shares, for expected proceeds of ¥29.07 billion. Its combined stake with Energia L&B Partners would fall to 33.42% from 41.34%. If all shares are sold, it expects an extraordinary gain of about ¥28 billion on a non-consolidated basis and about ¥5 billion on a consolidated basis. Purchases may be pro-rated if the offer is oversubscribed. The company said it will keep its remaining Chudenko stake.

The board set an interim dividend of ¥20 a share, versus a forecast of ¥15 and ¥10 a year earlier, totaling ¥7.21 billion, with a year-end forecast of ¥20. The company said the ¥40 annual payout equals a DOE of about 2%, citing progress in the regulatory review of Shimane Unit 3 and the recovery of its financial base.

Next steps: the Chudenko tender offer runs from November 2 to December 1, 2026, with settlement beginning December 23. The interim dividend takes effect November 30, 2026.


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