Chubu Electric Power Company,Incorporated
9502・Prime Market・Electric Power & Gas
Business
Chubu Electric Power, established in 1951, is a major electric power company with 78 subsidiaries and 97 affiliated companies. Its business consists of three reportable segments—retail (Chubu Electric Power Mirise), transmission and distribution (Chubu Electric Power Grid), and fuel and power generation (JERA, an equity-method affiliate)—along with a diversified group of businesses including renewable energy, global operations, and real estate. Its main customers are household and corporate electricity and gas users in the Chubu area, and the company is also expanding sales outside this area. Consolidated net sales for FY2026 (ending March 2026) were ¥3,546,041 million, and the company is developing its business primarily around responding to the trend of increasing electricity demand driven by progress in GX (green transformation) and DX (digital transformation).
Business Model
Power Grid exclusively operates the transmission and distribution network in the Chubu area, securing stable wheeling revenue, while Mirise builds up earnings through retail sales of electricity and gas and value-added services. Through its equity-method investment in JERA (investment amount ¥1,626,806 million), the company incorporates profits from fuel procurement and power generation, and also seeks to diversify revenue through the renewable energy and global businesses. The structure is such that profit levels are affected by optimization of the power source procurement portfolio and management of timing gaps (period lag).
Company Strengths
Chubu Electric Power Grid handles the general power transmission and distribution business across the entire Chubu area, with electricity demand in the Chubu area reaching 123,921 million kWh in FY2026 (ending March 2026). The stable earnings from this regulated business (segment ordinary income of ¥47,596 million) underpin the earnings base, giving the company an advantage as regional infrastructure that competitors would find difficult to replicate in a short period.
The equity-method investment balance in JERA reaches ¥1,626,806 million, incorporating profits from a value chain spanning fuel upstream operations through power generation and wholesale sales as equity-method income. JERA segment ordinary income for FY2026 (ending March 2026) was ¥94,183 million, achieving a year-on-year increase of ¥26.8 billion due to improved coal procurement competitiveness. This secures fuel procurement capabilities that would be difficult to build independently.
Mirise has continuously carried out restructuring of its power source procurement portfolio. In FY2026 (ending March 2026), the expansion of cost reduction effects coincided with a shift from timing-related losses to gains, resulting in segment ordinary income of ¥137,990 million, up ¥20.9 billion year on year. This procurement optimization capability, based on the company's own decision-making, functions as a unique competitive advantage.
ENVALITH's Perspective
Performance Trend
Consolidated net sales for FY2026 (ending March 2026) came to ¥3,546,041 million (down 3.4% year on year), marking a second consecutive year of declining revenue due to a decrease in fuel cost adjustment amounts (fuel adjustment income) and other factors. On the other hand, ordinary profit turned upward, reaching ¥291,072 million (up 5.3% year on year), and profit attributable to owners of parent recovered to ¥227,795 million (up 12.7% year on year). The main driver of the profit increase was the sharp expansion of equity-method investment income (from ¥61,137 million to ¥94,702 million), reflecting improved competitiveness in JERA's coal procurement. Although the company recorded impairment losses on subsidiaries and others of ¥16,057 million as an extraordinary loss, a decrease in corporate income taxes and other taxes (from ¥60,359 million to ¥40,905 million) pushed up net profit. Consolidated ordinary profit after adjusting for timing differences came to approximately ¥284.0 billion, achieving the medium-term management target of consolidated ordinary profit of ¥200.0 billion or more. The equity ratio improved to 41.0% (from 39.1% in the previous period), and the financial base was also strengthened.
Growth Strategy
Expanding new revenue sources across four pillars—renewable energy, global business, nuclear power plant restart, and real estate—while responding to increasing demand driven by GX/DX
Through an investment of ¥1,626,806 million in equity-method affiliate JERA, the Group aims to expand earnings via improved coal procurement competitiveness, offshore wind power (JERA Nex bp), and ammonia co-firing technology demonstrations. Equity in earnings of affiliates for FY2026 (ending March 2026) reached ¥94,702 million, up 54.9% year on year.
The Renewable Energy Company is advancing the development of solar power, offshore wind power, biomass, and other projects both domestically and overseas. Overseas renewable energy and energy infrastructure investment in the Global Business Division is also expanding, with investment in equity-method affiliates (Other segment) increasing to ¥556,424 million (from ¥488,134 million in the previous fiscal year).
Units 3 and 4 had been undergoing conformity review against the new regulatory standards, but the review was suspended in January 2026 following an inappropriate matter related to the formulation of the design basis ground motion. A cancellation cost of ¥8,809 million was recorded for the review-related outsourcing contract. The outlook for resumption of the review and restart remains unclear at this time, and the company states that the recoverability of fixed assets is maintained.
The Real Estate Business Division was established in April 2025, deepening group collaboration with Nippon Escon and Chuden Real Estate. Shiba Real Estate Co., Ltd. was added as a new consolidated subsidiary (FY2026, ending March 2026). The Group is promoting revenue diversification in non-energy areas, aiming to establish a stable medium- to long-term revenue source.
To respond to increasing electricity demand driven by progress in GX and DX, the company is promoting expansion of grid interconnection demand and investment in facility reinforcement. The increase in tangible and intangible fixed assets in the Power Grid segment for FY2026 (ending March 2026) was ¥226,382 million, a substantial increase from ¥165,728 million in the previous fiscal year. Renewable energy interconnection is being promoted through initiatives such as the publication of the Welcome Zone map.
Last updated: July 19, 2026