Source disclosure: February 03, 2026
NIPPON GAS CO.,LTD. [8174.T]
TOKYO, Feb 03 (Pulse News Wire) – Nippon GAS CO.,LTD. (8174.T) reported its third-quarter operating profit exceeded expectations, reaching ¥110 billion compared to the plan of ¥106 billion.
Despite this positive performance, the company maintained its full-year forecast for operating profit at ¥200 billion, citing cautious estimates for the fourth quarter due to potential impacts from weather conditions and sliding prices. In the quarter ending December 2025, gross profit saw growth driven by electricity sales, while liquefied petroleum gas (LPG) and city gas met their planned targets. Sales volumes for LPG increased in the household sector but declined slightly in the commercial sector. City gas sales remained stable across both segments. For the fiscal year ending March 2026, the company expects continued strong performance in the first three quarters, having surpassed previous high marks.
However, the outlook for the final quarter remains unchanged, with management emphasizing careful assessment of crude margins amid anticipated temperature fluctuations and sliding price effects. Capital efficiency initiatives continue to drive improvements in return on invested capital (ROIC) and return on equity (ROE). The firm plans to maintain a targeted ROIC of 7.5% and ROE of 10.5% for the fiscal year ending March 2026, aiming to enhance corporate value through optimal capital structure adjustments and cost reduction strategies. Regarding shareholder returns, NIPPON GAS reaffirmed its commitment to robust dividend payouts and share buybacks. In October 2025, the company set a ceiling of ¥90 billion for self-share repurchases, reflecting ongoing efforts to optimize capital allocation and maximize shareholder value.
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