Osaka Gas Co Ltd - Company Profile

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Osaka Gas Co Ltd: Segment Analysis

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Business Description

Osaka Gas Co Ltd (OGCL) provides natural gas, electricity, LPG, heating and cooling systems, and other services. The company provides its products and services to residential, commercial and industrial sectors, power plants, and heating and cooling industries. The company operates through three reportable business segments: Domestic Energy, International Energy, and Life & Business Solutions. In FY2025, the company’s capital expenditure stood at JPY221,735 million, which was equivalent to 10.7% of its revenue and grew 11.8% YoY.

R&D Overview

OGCL is engaged in research and development activities that focus on achieving a carbon-neutral society. The company is working on methanation, which involves producing synthetic methane (e-methane) from non-fossil fuels, and is also involved in the development of green hydrogen production and technologies for using hydrogen and ammonia fuels. Additionally, OGCL is developing low-cost, compact hydrogen production equipment and technology for biogas purification and utilization. The company is also focused on improving operational efficiency, reducing facility-related costs, and enhancing customer convenience through digital technology. In the residential sector, the company has achieved high power generation efficiency with its residential fuel cell cogeneration system ENE-FARM and is working on energy management solutions. In the commercial and industrial sectors, the company is developing energy-saving equipment and services to support carbon neutrality. The company operates its R&D units through, Osaka Gas Network Co Ltd; Osaka Gas Liquid Co Ltd; Osaka Gas Chemicals Group; KRI Co Ltd; and OGIS Research Institute Group. Osaka Gas Network Co Ltd is responsible for improving safety levels and operational efficiency in gas transportation and supply, developing systems for disaster prediction and recovery, and reducing costs in gas pipeline construction and maintenance. Osaka Gas Liquid Co Ltd engages in the development of system technologies and new products to increase demand for industrial gases and on-site hydrogen businesses, and technologies related to low-temperature crushing of resins and food ingredients. Osaka Gas Chemicals Group conducts research and development related to carbon materials, photoelectronic materials, activated carbon, preservatives, and inorganic adsorbents. KRI Co Ltd focuses on advanced materials and new energy sources such as nanomaterials, next-generation batteries, hydrogen and fuel cells, and environmental and bio technologies. the OGIS Research Institute Group engages in research and development related to software and information systems, including AI and cloud computing. At the end of March 2025, the company had over 2,740 patents. In FY2025, the company incurred a research and development expense of JPY12,690 million which was 0.6% of the company’s total revenue.

Business Segments

Overview

Produces, supplies and sells city gas, sale of gas appliances, gas pipe installation, sale of LNG, LNG transport, sale of LPG, sale of industrial gas, power generation and sale of electricity. In FY2025, the segment incurred a capital expenditure of JPY103,947 million, which grew 0.3% YoY.

Performance

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Overview

Includes development and investment related to petroleum and natural gas, supplies energy, and leases tankers to transport LNG. The company operates this segment through various international investments. In FY2025, the segment incurred a capital expenditure of JPY59,675 million, which grew 12% YoY.

Performance

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Overview

Comprises development and leasing of real estate, information processing services, sale of fine materials and carbon material products. This segment also comprises of Urban Development, Material Solutions and Information solutions. In FY2025, the segment incurred a capital expenditure of JPY60,809 million, which grew 34.7% YoY.

Performance

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Geographical Segments

Performance

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Performance

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