Erex exceeds retail and fuel plans, boosts overseas renewables initiatives

Erex Co., Ltd. announced a solid financial performance for the first half of FY March 2026, with net sales reaching ¥86.5 bn, operating income at ¥3.6 bn, income before income taxes at ¥3.2 bn, and net income at ¥1.5 bn. These figures exceeded full-year plans, with progress rates of 49.1% for net sales, 42.1% for operating income, 42.8% for income before income taxes, and 46.5% for net income. Sales growth was primarily attributed to increased retail sales volume and higher fuel sales to other companies, offsetting rises in SG&A expenses and losses from ENETRADE Inc.'s civil rehabilitation proceedings.

In the high-voltage retail sector, power sales volume was 7.6% above plans at 1,471 GWh, leading to net sales of ¥29.9 bn, a 7.9% year-on-year increase. Erex ranked 8th in high-voltage power sales volume among new power companies as of June 2025. The low-voltage sector saw 257,000 power supply contracts, 6.0% better than planned, contributing to 578 GWh in power sales volume.

Erex is actively expanding its overseas business, with projects in Vietnam and Cambodia. In Vietnam, the Hau Giang Biomass Power Plant and Tuyen Quang Pellet Factory have begun operations. The company is also developing new biomass power plants, including the Yen Bai and Tuyen Quang Biomass Power Plants (50MW each), slated to start operations by the end of FY2027, and is conducting biomass co-firing tests at coal-fired plants. In Cambodia, an 80MW hydroelectric power plant is under development, with a 35-year power purchase agreement, and biomass (50MW) and solar (40MW) power projects are approved. These initiatives aim to generate carbon credits and contribute to profit expansion.