Performance in Fiscal 2014
Overview of Performance
Results in Fiscal 2014: An Increase in Sales and a Decrease in Income

Up 5.5%

Gas Sales Volumes

An increase in sales due to such factors as growing demand forelectric power generation mainly in the Kashima area led to an 806
million m3 year-on-year, or 5.5%, rise in gas sales volumes, to 15,541
million m3. The gas sales volumes on a 2020 Vision basis, which
includes the portion used in tolling and the volume of LNG liquidsales, came to 18,360 million m3, up 1,135 million m3, or 6.6%.

Up 8.5%Net Sales

Net sales increased ¥180.4 billion, or 8.5%, year on year, to¥2,292.5 billion. This was largely driven by growing city gas sales,
mainly attributable to an increase in sales unit prices owing to thegas rate adjustments as well as the year-on-year upswing in gas
sales volumes coupled with higher year-on-year electricity and LNG
sales from the increase in sales volumes and unit prices.

Up 3.4%

Operating Income

Operating income rose ¥5.7 billion, or, 3.4%, year-on-year, to¥171.7billion. This largely reflected an increase in gas gross profit due
mainly to an improvement in the sliding time lag as well as higher
overseas business profits mainly from the Pluto LNG Project.

Down 11.6%

Net Income

Net income was down ¥12.6 billion, or 11.6%, year-on-year, to¥95.8
billion due mainly to the posting of an impairment loss with respect tooverseas business.

Analysis of Ordinary Income（Year-on-Year Results）●Increase in gas gross profit due mainly to an improvement in thesliding time lag: +¥6.0 billion; otherCity Gas ¥157.1 billion(+¥4.5 billion)

Fiscal 2014 (Results)¥168.1 billion
Operating Income¥171.7 billion(+¥5.7 billion)

Change+¥8.5 billion(Increase in volume: +8.0; sliding difference: +11.4; tariff revision effect: -15.5; other)Gas Appliances andInstallation Work
¥3.0 billion (-¥4.6 billion)●Provision for gas appliance maintenance: -¥3.6 billion, other

Other Energy¥30.5 billion (-¥2.0 billion)●Electricity: -¥2.0 billion: Sales volumes +9.4%; increase in fuelexpenses; other

Real Estate¥4.3 billion (-¥1.4 billion)●Revenue from building leasing declined, other●Overseas +¥7.9 billion: Increase in the Pluto LNG Project selling
price; otherOthers ¥19.5 billion(+¥7.9 billion)

Fiscal 2013 (Results)¥159.6 billion
Non-Operating Incomeand Expenses-¥3.6 billion (+¥2.9 billion)

Adjustments -¥42.8 billion(+¥1.3 billion)

Revenue from dedicated equipment: Increase in income fromlarge-scale dedicated pipeline facilities outside supply areas +¥2.4billion, other*(+) & (–) refer to contribution to income.

Summary of Operating Results

Billions of yen

FY 2014

FY 2013

Change%Gas sales volumes (Million m3, 45MJ/m3)

15,541

14,735+806+5.5

Gas sales volumes on a 2020 Vision basis*(Million m3, 45MJ/m3)

18,36017,225+1,135+6.6

2,292.5

2,112.1+180.4+8.5

2,120.7

1,946.0+174.7

+9.0

171.7

166.0

+5.7+3.4

168.1

159.6

+8.5

+5.4

95.8

108.4

▲12.6

▲11.6

Net sales
Operating expenses
Operating income
Ordinary income
Net income* Includes the portion used in tolling and the volume of LNG liquid sales.

Economic Frame

Pension Investment (non-consolidated)

JCC*（$/bbl）

Exchange rate（¥/$）

Average temperature（℃）

FY 201490.35

109.7616.0

FY 2013110.01

100.17

16.1* Japan Crude Cocktail.

03

Tokyo Gas Annual Report 2015

Investment yield(costs deducted)

Year-end assets(Billions of yen)

FY 2014

5.57%

281.0

FY 2013

1.61%

273.0

FY 20126.10%

276.0