Kansai Electric Power Company (9503) AI Stock Analysis

• Market Cap: $2.25T
• Dividend Yield: 2.87%
• Average Volume (3M): 5.06M
• Price to Earnings (P/E): 5.2
• Beta (1Y): 0.87
• Revenue Growth: 4.75%
• EPS Growth: -0.16%
• Country: JP
• Employees: 31,437
• Sector: Utilities
• Sector Strength: 60
• Industry: Renewable Utilities
• EPS (TTM): 89.01
• Shares Outstanding: 1,114,927,500
• 10 Day Avg. Volume: 4,323,670
• 30 Day Avg. Volume: 5,061,786
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 2.56
• Enterprise Value/Revenue: 1.36
• Enterprise Value/Gross Profit: 11.06
• Enterprise Value/Ebitda: 6.15
• 1Y Price Target: $1,870.31
• Price Target Upside: -10.58% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 68 Neutral
• Price Target: ¥1,871.00 ▼(-10.54% Downside)

Kansai Electric Power Company scores well overall due to robust financial performance and attractive valuation. Despite high leverage, the company's strong revenue growth and cash flow generation support its operations and growth objectives. Technical indicators suggest a positive market trend, further enhancing its investment appeal.

Kansai Electric Power Company Business Overview & Revenue Model

Company Description

The Kansai Electric Power Company, Incorporated engages in electricity, gas and heat supply, and telecommunication businesses in Japan. It operates through four segments: Energy Business, Power Transmission and Distribution Business, Information and Communication Business, and Life and Business Solution Business. The company generates power from thermal, hydropower, wind, biomass, and nuclear power generation plants. It is also involved in the power transmission and distribution business; provision of information and communication services for homes and businesses under the eo Hikari brand; mobile business under the mineo business; corporate solution business; and real estate leasing, sale, and management activities; and leisure, leasing, call center management, dispatching, medical health care, and home security businesses. In addition, the company engages in the maintenance and construction of power distribution and electricity lines, thermal and nuclear power generation facilities, and information and communication equipment; utility pole advertising; manufacture, supply, and sale of gas; manufacture and sale of power distribution equipment, such as overhead wire hardware, insulators/bushings, steel pipe columns, concrete columns, etc.; housing equipment sales; remodeling work; and passenger/freight transportation. Further, it is involved in the survey and research on safety technology for nuclear power generation, survey/design /construction supervision related to civil engineering/architecture, etc.; acceptance/ storage/vaporization /delivery of LNG; condominium high-voltage batch power reception service business; fuel trading and transportation; corporate settlement; and provision of survey, analysis, consulting, and construction services related to the environment, civil engineering, and architecture, as well as public relations and engineering services The Kansai Electric Power Company, Incorporated was founded in 1951 and is headquartered in Osaka, Japan.

How the Company Makes Money

Kansai Electric Power Company generates revenue primarily through the sale of electricity, which encompasses generation, transmission, and distribution services. The company operates a diverse mix of power generation facilities, including nuclear, thermal, hydroelectric, and renewable energy plants. Revenue is also generated from gas supply services, offering natural gas to residential, commercial, and industrial customers. Additionally, Kansai Electric Power earns income from its telecommunications and real estate ventures. The company's earnings are influenced by regulatory frameworks, energy market prices, and partnerships with other energy providers and technology firms to enhance energy efficiency and expand its service offerings.

Kansai Electric Power Company Financial Statement Overview

Summary

Kansai Electric Power Company shows strong financial performance with significant revenue growth and solid cash flow generation. However, high leverage on the balance sheet poses a potential risk, despite improved return on equity and operational profitability.

Income Statement

Kansai Electric Power Company has demonstrated strong revenue growth in recent years, with a notable increase from 2024 to 2025. Gross and net profit margins are healthy, indicating effective cost management and profitability. However, there was a dip in profitability in 2023, which raises concerns about potential volatility in earnings.

Balance Sheet

The company's debt-to-equity ratio remains relatively high, suggesting significant leverage, which could pose financial risk. However, the return on equity has improved, reflecting better profitability relative to shareholder's equity. The equity ratio indicates a moderate level of equity financing.

Cash Flow

Kansai Electric Power Company shows a strong operating cash flow, which is a positive sign of its ability to generate cash from operations. The free cash flow has fluctuated, but recent growth is promising. The company maintains a solid ratio of operating cash flow to net income, indicating efficient cash conversion.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	4.34T	4.06T	3.95T	2.85T	3.09T
Gross Profit	468.88B	728.94B	-52.06B	99.33B	145.75B
EBITDA	1.01T	1.02T	349.05B	462.22B	483.49B
Net Income	420.37B	441.87B	17.68B	85.83B	108.98B
Balance Sheet
Total Assets	9.65T	9.03T	8.77T	8.66T	8.08T
Cash, Cash Equivalents and Short-Term Investments	942.39B	495.94B	266.96B	469.05B	249.28B
Total Debt	4.50T	4.04T	4.50T	4.35T	3.89T
Total Liabilities	6.55T	6.70T	6.93T	6.95T	6.35T
Stockholders Equity	3.07T	2.27T	1.79T	1.66T	1.68T
Cash Flow
Free Cash Flow	94.94B	698.65B	-347.92B	-131.50B	-278.27B
Operating Cash Flow	589.83B	1.15T	128.04B	410.31B	369.21B
Investing Cash Flow	-342.06B	-428.05B	-417.88B	-532.63B	-660.75B
Financing Cash Flow	122.85B	-488.91B	117.10B	318.77B	325.64B

Kansai Electric Power Company Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2091.50
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:9503, the sentiment is Positive. The current price of 2091.5 is above the 20-day moving average (MA) of 2059.00, above the 50-day MA of 1896.09, and above the 200-day MA of 1759.18, indicating a bullish trend. The MACD of 59.33 indicates Positive momentum. The RSI at 60.30 is Neutral, neither overbought nor oversold. The STOCH value of 52.32 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:9503.

Kansai Electric Power Company Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
9503	68 Neutral	$2.25T	5.15	14.81%	2.87%	4.75%	-0.16%
Sector *	66 Neutral	$17.25B	17.99	5.54%	3.64%	6.63%	11.55%
CGKEF	―	$2.14B	3.13	15.39%	2.73%	―	―
EPWDF	―	$3.52B	3.50	9.38%	4.96%	―	―
TEPCF	―	$3.86B	3.64	17.06%	2.11%	―	―
TKECF	―	$8.03B	5.88	-25.31%	―	―	―
5IE	―	€1.38B	3.50	17.25%	―	―	―

Kansai Electric Power Company Corporate Events

Kansai Electric Power Reports Decline in Q1 2025 Financial Results

Kansai Electric Power Company reported a decline in its financial performance for the three months ending June 30, 2025, with net sales decreasing by 6.7% and operating profit dropping by 13.3% compared to the previous year. The company also experienced a reduction in ordinary profit and profit attributable to owners of the parent, indicating challenges in maintaining profitability. Despite these declines, the company’s equity ratio improved slightly, suggesting a stronger financial position. The exclusion of KE Fuel International Co., Ltd from the scope of consolidation and the maintenance of dividend forecasts reflect strategic adjustments and stability in shareholder returns.

Kansai Electric Resumes Survey for Mihama Nuclear Plant Successor

Kansai Electric Power Company has announced the resumption of a voluntary on-site survey to evaluate the feasibility of constructing a successor plant for the Mihama Nuclear Power Station. This initiative aligns with Japan’s strategic energy plans and the company’s goal of sustainable nuclear power use. The survey will assess the site’s geomorphic and geological characteristics to ensure compliance with new regulatory requirements. The decision to construct the plant will consider various factors beyond the survey results, including advancements in reactor technology and the business environment. The company emphasizes safety and community cooperation in its nuclear power operations.