Tohoku Electric Power Company,Incorporated [9506.T]
TOKYO, Apr 30 (Pulse News Wire) – Tohoku Electric Power Company,incorporated (9506.T) reported an operating loss of ¥50.60 billion due to mark-to-market valuation losses on power forward transactions and related trades for its fiscal year ending March 2026. The company utilized trading subsidiaries to mitigate fuel price volatility risks and ensure stable profits for future electricity sales.
However, deteriorating Middle East conditions led to a sharp rise in fuel and power market prices, resulting in valuation losses for certain forward transactions as of the end of the fiscal year. The impact of these mark-to-market valuation losses, amounting to ¥__NUM_0__, was reflected in the company’s interim earnings announcement released today.
Notably, such losses are expected to revert to gains in the subsequent fiscal year, thus having no net effect on profitability over two accounting periods. Additionally, since these valuation adjustments do not involve cash flows, there is no impact on the consolidated cash flow statement.
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