Kansai Electric Power Company (9503) AI Stock Analysis

• Market Cap: ¥3.02T
• Dividend Yield: 2.44%
• Average Volume (3M): 4.37M
• Price to Earnings (P/E): 7.9
• Beta (1Y): 0.89
• Revenue Growth: 2.08%
• EPS Growth: 19.52%
• Country: JP
• Employees: 31,437
• Sector: Utilities
• Sector Strength: 65
• Industry: Renewable Utilities
• EPS (TTM): 96.29
• Shares Outstanding: 1,114,927,500
• 10 Day Avg. Volume: 4,760,990
• 30 Day Avg. Volume: 4,371,646
• PEG Ratio: -0.34
• Price to Book (P/B): 0.56
• Price to Sales (P/S): 0.39
• P/FCF Ratio: 18.00
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: ¥2,760.00
• Price Target Upside: 11.49% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 5
• EPS Forecast (FY): 330.58
• Revenue Forecast (FY): ¥4.11T

• Rating: 75 Outperform
• Price Target: ¥3,176.00 ▲(28.30% Upside)
• Action: Reiterated Date: 11/14/25
• Date: Action: Reiterated 11/14/25

Kansai Electric Power Company is rated positively due to strong technical indicators and attractive valuation metrics. The financial performance is solid, though high leverage is a concern. The absence of earnings call data and corporate events does not impact the score.

Positive Factors

Regulated network + retail stability

A dual revenue base of retail electricity sales and regulated transmission/distribution charges creates durable cash flows tied to consumption and regulated tariffs. This reduces exposure to wholesale price swings and supports predictable revenue and capital planning over the next 2–6 months and beyond.

Diversified generation mix

Owning thermal, hydro and nuclear assets provides operational flexibility across fuel cycles and seasons. This diversification helps manage fuel cost and dispatch risk, supporting generation reliability and margin resilience through fuel-price cycles and maintenance periods over multiple quarters.

Strong operating cash flow

Consistent operating cash generation and improving free cash flow indicate the business converts earnings to cash effectively. This underpins capacity to fund maintenance, service debt, and invest in grid or generation upgrades without immediate external financing, improving long-term financial flexibility.

Negative Factors

High leverage

Elevated leverage increases interest and refinancing risk and limits strategic flexibility. In a capital-intensive utility industry, high debt can constrain spending on grid upgrades or new capacity and make the company more sensitive to rate-setting or interest-rate movements over the medium term.

Recent revenue trend weakness

Negative recent revenue growth implies demand or pricing pressure that could persist if structural factors (efficiency, competition, or slower consumption) remain. Continued revenue contraction would stress margins and cash generation, complicating funding for capex and debt service over coming quarters.

Earnings volatility / EPS decline

A sharp EPS decline and historical dips signal earnings volatility from fuel costs, plant outages, or one-off items. Persistent volatility undermines predictability of dividends and reinvestment, and makes long-term planning and regulatory negotiations more challenging for a utility reliant on steady returns.

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 to residential, commercial, and industrial customers. The company's revenue model is largely based on regulated tariffs approved by the government, which dictate electricity prices. Key revenue streams include electricity sales, grid services, and ancillary services. Additionally, the company earns income from investments in renewable energy projects and nuclear power operations. Strategic partnerships with other energy firms and participation in government initiatives to promote energy efficiency and sustainability further contribute to its earnings. Regulatory frameworks and market conditions in Japan also significantly influence the company's profitability.

Kansai Electric Power Company Financial Statement Overview

Summary

Kansai Electric Power Company displays a solid financial performance with robust revenue growth and operational profitability. However, high leverage poses financial risks, despite maintaining a healthy cash flow position.

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	TTM	Mar 2025	Mar 2024	Mar 2024	Mar 2023	Mar 2022
Income Statement
Total Revenue	4.27T	4.34T	4.06T	3.95T	2.85T	3.09T
Gross Profit	449.05B	468.88B	728.94B	-52.06B	99.33B	145.75B
EBITDA	898.65B	1.01T	1.02T	349.05B	468.00B	474.95B
Net Income	403.75B	420.37B	441.87B	17.68B	85.83B	108.98B
Balance Sheet
Total Assets	9.39T	9.65T	9.03T	8.77T	8.66T	8.08T
Cash, Cash Equivalents and Short-Term Investments	672.69B	942.39B	495.94B	266.96B	469.05B	249.28B
Total Debt	4.48T	4.50T	4.04T	5.01T	4.84T	4.47T
Total Liabilities	6.24T	6.55T	6.70T	6.93T	6.95T	6.35T
Stockholders Equity	3.11T	3.07T	2.27T	1.79T	1.66T	1.68T
Cash Flow
Free Cash Flow	0.00	94.94B	698.65B	-347.92B	-131.50B	-278.27B
Operating Cash Flow	0.00	589.83B	1.15T	128.04B	410.31B	369.21B
Investing Cash Flow	0.00	-342.06B	-428.05B	-417.88B	-532.63B	-660.75B
Financing Cash Flow	0.00	137.67B	-488.91B	117.10B	318.77B	325.64B

Kansai Electric Power Company Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 2475.50
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• 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 2475.5 is below the 20-day moving average (MA) of 2658.35, below the 50-day MA of 2557.81, and above the 200-day MA of 2165.43, indicating a bullish trend. The MACD of 67.85 indicates Negative momentum. The RSI at 70.61 is Negative, neither overbought nor oversold. The STOCH value of 79.78 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	75 Outperform	¥3.02T	7.90	14.42%	2.44%	2.08%	19.52%
9506	74 Outperform	¥647.49B	3.80	16.13%	3.47%	-8.73%	-6.98%
9509	71 Outperform	¥252.64B	4.33	14.57%	2.36%	-1.60%	-10.41%
9505	69 Neutral	¥231.21B	3.24	17.95%	2.31%	1.75%	38.58%
9504	69 Neutral	¥392.15B	4.35	15.45%	3.23%	-1.02%	79.80%
Sector *	66 Neutral	$17.65B	18.10	5.60%	3.62%	6.62%	11.55%
9501	52 Neutral	¥1.12T	-1.51	-22.13%	―	-2.28%	-794.92%

Kansai Electric Power Company Corporate Events

Kansai Electric Profit Holds Firm Despite Lower Sales; Dividend Hike Signals Shareholder Focus

Kansai Electric Power reported consolidated net sales of ¥2.95 trillion for the nine months ended December 31, 2025, down 6.5% year on year, while operating profit slipped 3.0% to ¥387.8 billion and profit attributable to owners of parent declined 6.1% to ¥340.2 billion, reflecting softer top-line performance despite relatively resilient earnings. The company’s financial position improved, with total assets rising to ¥9.69 trillion and the equity ratio strengthening from 31.8% to 34.9%, and it maintained its full-year forecast for fiscal 2025/26, projecting lower sales and profit versus the prior year but signaling stability through unchanged guidance and a planned increase in the annual dividend to ¥75 per share, underscoring an ongoing commitment to shareholder returns despite a more challenging earnings environment.

The most recent analyst rating on (JP:9503) stock is a Hold with a Yen2776.00 price target. To see the full list of analyst forecasts on Kansai Electric Power Company stock, see the JP:9503 Stock Forecast page.