Release of Financial Statements for the Nine Months Ended December 31, 2016 (PDF:219KB)

This is an English translation of the Financial Results (Kessan Tanshin) filed with the Tokyo Stock Exchange on January 31, 2017. Please note that if there is any discrepancy, the original Japanese version will take priority.

(English Translation)

Quarterly Financial Results (Unaudited)

(for the Nine Months Ended December 31, 2016)

Electric Power Development Co., Ltd. (J-POWER) Listed exchange: Tokyo Stock Exchange (Code: 9513) Representative: Toshifumi Watanabe, President

Contact: Akira Kurihara, IR Chief Manager

Tel.: [phone]

URL: http://www.jpower.co.jp/english/

January 31, 2017

Scheduled date for filing of a quarterly report: February 1, 2017

Scheduled date of dividend payment commencement: Not applicable

Preparation of supplementary explanations material: Yes

Quarterly financial results presentation held: No

(Note) All monetary values are rounded down to the nearest units as indicated in each table.

1. Consolidated Financial Results (From April 1, 2016 to December 31, 2016)

2. Consolidated Operating Results

   (Note) Comprehensive income:	Nine months ended Dec. 31, 2016	6,429 million yen (23.7) %
   Nine months ended Dec. 31, 2015	8,422 million yen (80.8) %

   (Percentages (%) represent changes from the same period of the previous year)

   Operating revenue	Operating income	Ordinary income	Profit attributable to owners of parent
   Nine months ended Dec. 31, 2016	million yen %	million yen %	million yen %	million yen %
   	530,995 (8.3)	70,925 (8.8)	63,261 14.8	44,568 12.9
   Nine months ended Dec. 31, 2015	578,880 6.4	77,784 30.6	55,115 4.2	39,480 2.2

   Earnings per share	Fully diluted earnings per share
   Nine months ended Dec. 31, 2016 Nine months ended Dec. 31, 2015	yen 243.48 215.68	yen ─ ─

   (Note) Accounting policies were partially changed from the three months ended June 30, 2016 and the figures for nine months ended Dec. 31, 2015 reflect retroactive application of the change. For the details, please refer to "Inclusion of loan interest in asset acquisition cost" under "Summary Information (Notes)" on page 4.

3. Consolidated Financial Position

   Total assets	Net assets	Equity ratio
   Nine months ended Dec. 31, 2016	million yen	million yen	%
   	2,494,934	707,793	27.1
   Year ended March 31, 2016	2,540,723	675,433	26.2

   (Reference) Shareholders' equity: Nine months ended Dec. 31, 2016 676,759 million yen

   Year ended March 31, 2016 666,593 million yen

   (Note) Accounting policies were partially changed from the three months ended June 30, 2016 and the figures for the year ended March 31, 2016 reflect retroactive application of the change. For the details, please refer to "Inclusion of loan interest in asset acquisition cost" under "Summary Information (Notes)" on page 4.

4. Dividends

   Cash dividends per share
   Record date				Annual
   Jun. 30	Sep. 30	Dec. 31	Mar. 31
   Year ended March 31, 2016 Year ending March 31, 2017	yen ─ ─	yen 35.00 35.00	yen ─ ─	yen 35.00	yen 70.00
   Year ending March 31, 2017 (forecasts)	35.00	70.00

   (Note) Revisions to dividends forecasts in the current quarter: None

5. Consolidated Earnings Forecasts for the Year Ending March 31, 2017 (From April 1, 2016 to March 31, 2017)

   (Percentages (%) represent changes from the same period of the previous year)

   Operating revenue	Operating income	Ordinary income	Profit attributable to owners of parent	Earnings per share
   Year ending March 31, 2017	million yen % 713,000 (8.6)	million yen % 73,000 (17.0)	million yen % 53,000 (9.5)	million yen % 37,000 (7.7)	yen 202.13

   (Note) Revisions to consolidated earnings forecasts in the current quarter: None

6. Other Information

7. Principal subsidiaries subject to changes: None

8. Application of accounting methods which are exceptional for quarterly consolidated financial statements: None

9. Changes in accounting policies, accounting estimates and restatement of corrections

10. Changes in accounting policies due to revisions of accounting standards etc.: Yes

11. Changes in accounting policies except 1): Yes

12. Changes in accounting estimates: Yes

13. Restatement of corrections: None

    Note: For the details, please refer to "Summary Information (Notes)" on page 4.

14. Number of shares issued (common stock)

15. Number of shares issued at the end of the period (including treasury stock) Nine months ended Dec. 31, 2016: 183,051,100

    Year ended March 31, 2016: 183,051,100

16. Treasury stock at the end of the period

    Nine months ended Dec. 31, 2016: 1,271

    Year ended March 31, 2016: 1,191

17. Average number of shares outstanding during the period Nine months ended Dec. 31, 2016: 183,049,875 Nine months ended Dec. 31, 2015: 183,050,176

18. • Presentation for quarterly review procedures

      • This report does not apply to quarterly review procedures based on the Financial Instruments and Exchange Act. At the time of disclosure of this report, review procedures for financial statements pursuant to the Financial Instruments and Exchange Act had not been completed.

    • Forward-looking statements and other special notes

    • The earnings forecasts are forward-looking statements made on the basis of available information current at the time forecasts are made and contain uncertain elements. Therefore, actual earnings may differ from forecast figures as a result of changes in business performance and other factors.

    • The supplementary explanation material is available on our website at http://www.jpower.co.jp/english/ under the investor relations section.

    Table of Contents

19. Qualitative Information on Consolidated Financial Results 2

20. Qualitative Information on Consolidated Operating Results 2

21. Qualitative Information on Consolidated Financial Position 3
22. Qualitative Information on Consolidated Earnings Forecasts 3
23. Summary Information (Notes) 4
24. Consolidated Financial Statements 6
25. Consolidated Balance Sheet 6
26. Consolidated Statement of Income and Comprehensive Income 8
27. Notes on Premise of Going Concern 10
28. Notes on Significant Changes in Shareholders' Equity 10
29. Additional Information 10
30. Appendixes 11

31. [Appendix 1] 11

    [Appendix 2] 12

    [Appendix 3] 13
32. Qualitative Information on Consolidated Financial Results

    Accounting policies regarding "Inclusion of loan interest in asset acquisition cost" were changed from this fiscal year, and the comparison with the previous fiscal year is based on figures after retroactively applying the change.

33. Qualitative Information on Consolidated Operating Results

34. Electricity Sales Volume

    In the electric power business, electricity sales volume from hydroelectric power plants for the nine months ended December 31, 2016 showed 17.6% decrease to 6.5 TWh, due mainly to the decrease of water supply rate from 109% in the same period of the previous fiscal year to 93%. In thermal power, a decrease in the load factor of thermal power plants of J-POWER (non-consolidated) from 78% to 74% resulted in 4.6% decrease in electricity sales volume from the same period of the previous fiscal year to 39.5TWh. Mainly due to these factors, total electricity sales volume in the electric power business decreased by 6.6% from the same period of the previous fiscal year to 46.6TWh.

    Electricity sales volume in the overseas business increased by 17.5% from the same period of the previous fiscal year to 11.3 TWh. This was mainly due to the operation of U-Thai IPP project in Thailand, which commenced commercial operation in 2015 (unit No.1 in June 2015, unit No.2 in December 2015), throughout the term.

35. Overview of Income and Expenditures

36. Sales (operating revenues) decreased by 8.3% from the same period of the previous fiscal year to 530.9 billion yen mainly due to the decline of the fuel price and the decrease of the load factor of thermal power plants in the electric power business. Total ordinary revenue including non-operating income also decreased by 7.7% from the same period of the previous fiscal year to 548.8 billion yen.

    In spite of the increase of retirement benefit expenses, operating expenses resulted in 8.2% decrease from the same period of the previous fiscal year to 460.0 billion yen mainly due to the decrease of fuel costs associated with the decline of the fuel price and the decrease of the load factor of thermal power plants, in addition to the decrease of depreciation and amortization costs as a result of J-POWER's change of the depreciation and amortization method (from declining-balance method to straight-line method) from this fiscal year. Non-operating expenses also decreased by 34.0% from the same period of the previous fiscal year to 25.4 billion yen mainly due to the elimination of foreign exchange losses. Total ordinary expenses decreased by 10.0% from the same period of the previous fiscal year to 485.5 billion yen reflecting these factors.

    As a result, ordinary income increased by 14.8% from the same period of the previous fiscal year to 63.2 billion yen and profit attributable to owners of parent after corporate income tax increased by 12.9% from the same period of the previous fiscal year to 44.5 billion yen.