TOKYO -- Japan's Tokyo Electric Power Co. Holdings expects to swing to a consolidated net loss of around 16 billion yen ($140 million) for the fiscal year ending next March, compared to a net profit of 180.8 billion yen for the previous year, the company said on Wednesday.

TEPCO has revised down its previous forecast of a profit of 67 billion yen, marking the first time in nine years the company will post an annual loss.

Rising fuel prices have put downward pressure on profits.

Utilities like TEPCO raise electricity rates by using the fuel cost adjustment system, which automatically reflects the price fluctuations of raw materials and fuel. But due to a time lag between when the fuel is procured and when the price is reflected, TEPCO experienced a temporary increase in procurement costs amid soaring fuel prices that were not immediately passed on to consumers.

The company, operator of the Fukushima Daiichi nuclear plant, has not been able to restart its nuclear power facilities due to safety flaws. In the meantime, it has been relying on its core thermal power generation business, while rising prices for liquefied natural gas and crude oil have had a negative impact on profits.

TEPCO forecasts its annual revenue to fall 17% to 4.8 trillion yen. It trimmed the scope of decline from its previous outlook, which had expected revenue to fall 24% to 4.4 trillion yen. The company has seen an increase in wholesale electricity sales as business activity resumes in Japan after the worst of the coronavirus pandemic.