Ajinomoto Co., Inc. · TSE:2802
Ajinomoto — Q1 FY2024 Earnings Presentation
16 slides from Ajinomoto's earnings presentation, Aug 5, 2024
Slide 1: Financial Results for Q1 of FY2024 (Ending March 31, 2025)
Ajinomoto Co., Inc. (2802) Financial Results for Q1 of FY2024 (Ending March 31, 2025) Masataka Kaji Corporate Fellow General Manager, IR Office August 5, 2024 Note: Business profit (consolidated) in this material: Sales -Cost of sales -Selling expenses, Research & development expenses and General &
Slide 2: Today's Message
Today's Message • Revenue and profit increased in Q1-FY2024. Sales and business profit set new records for the first quarter. Excluding the impact of the Forge Biologics acquisition, business profit increased 7% compared to the same period in FY2023. • In the Seasonings and Foods segment, Sauce and
Slide 3: I-1. Digest of the First Quarter (April - June)
I-1. Digest of the First Quarter (April - June) Profit attributable to owners of the Sales: Increased Business profit: Increased parent company ¥365.5 billion ¥43.0 billion ¥23.9 billion 107.7% of FY2023 100.5% of FY2023 88.0% of FY2023 Excluding currency translation: 102.3% Excluding currency trans
Slide 4: I-2. Changes in Business Profit (Q1 Results by P&L Factor)
I-2. Changes in Business Profit (Q1 Results by P&L Factor) (¥ bil.) Increased GP from increased sales Investment in intangible and an improved profit structure assets to bring growth -0.2 50 9.5 -10.7 1.6 Investment in marketing: Initiative to increase added value. Approx. -¥2.3 bil. 42.8 Increased
Slide 5: I-3. Changes in Business Profit (Q1 Results by Disclosed Segment)
I-3. Changes in Business Profit (Q1 Results by Disclosed Segment) Q1-FY2024 Actual vs. Q1-FY2023 Actual (¥ bil.) 50 1.1 0.7 0 -0.5 -1.1 42.8 43.0 30 Q1-FY23 Seasonings Frozen Foods Healthcare Other FY24 Q1-FY24 Actual and Foods and Others 1Q実績 Actual FY2024 Forecast vs. FY2023 Actual (¥ bil.) 180 16
Slide 6: I-4. Key Financial Results by Segment (1) - Sales
I-4. Key Financial Results by Segment (1) Although decreased sales volume due to increased prices for coffee in In Japan Quick Nourishment, increased unit prices and increased volume in Sauce Seasonings and and Seasonings, overall level with the previous year Foods +¥14.2 billion In addition to stea
Slide 7: I-4. Key Financial Results by Segment (2) - Business Profit
I-4. Key Financial Results by Segment (2) Although increased profit in some categories such as umami seasonings, In Japan mayonnaise, soups, etc., coffee couldn’t absorb increased raw material Seasonings and cost, overall, decreased profit. Foods +¥1.0 billion Although umami seasonings for processed
Slide 8: 1-5. Food Products Businesses in Japan
1-5.Food Products Businesses (Seasonings and Foods, Frozen Foods) in Japan Initiatives to promote the evolution of marketing and expand efforts Enhancement of added value with Evolution of marketing packaging As the second action in the Cook Do® Oyster Sauce communication We are working to increase
Slide 9: 1-5. Food Products Businesses Overseas
1-5.Food Products Businesses (Seasonings and Foods, Frozen Foods) Overseas Looking to the future, we are strengthening the portfolio of the Food Products businesses overseas Year-on-year sales are on a local currency basis Umami seasonings, sales Flavor seasonings, sales Main High single-digit % inc
Slide 10: 1-6. Functional Materials
1-6. Functional Materials Significant increase in revenue and profit associated with the steady recovery of the semiconductor market Growth in sales Recovery in business profit margin Shipping status by ABF* application Functional Materials business profit margin Sales recovery PCs due to replacemen
Slide 11: 1-7. Bio-Pharma Services (CDMO services)
1-7. Bio-Pharma Services (CDMO services) Excluding elimination of unrealized gains and losses, Q1-FY2024 is about the same as the previous year, other than Forge The market environment surrounding our Bio-Pharma Services continues to gradually recover. We will grow profit from the second quarter, an
Slide 12: Reference: Growth Paths by Segment
Reference: Growth Paths by Segment Segment Organic growth Business profit ROIC EBITDA margin Vs. prev. year CAGR Vs. prev. year CAGR FY23 Q1- FY24 FY23 Q1- FY24 FY23 FY24 FY25 FY23 Q1- FY24 Sauce & actual FY24 forecast actual FY24 forecast actual forecast plan actual FY24 forecast (sales) (BP) Seaso
Slide 13: Forward-looking statements, such as business performance forecasts, made in these materials are based
Forward-looking statements, such as business performance forecasts, made in these materials are based on management's estimates, assumptions and projections at the time of publication. A number of factors could cause actual results to differ materially from expectations. This material includes s
Slide 14: Fighting Back through Price Increases (Reference)
Fighting Back through Price Increases (Reference) (Q1-Q2 of FY2024 price increases in major countries, implemented and planned) April 2024 Ongoing weak yen in addition to soaring coffee bean prices Instant coffee Japan Increased prices (20%) following the increases in March 2022 May 2024 Seasonings
Slide 15: Initiatives for Sustainability, Health, and Nutrition through Collaboration
Initiatives for Sustainability, Health, and Nutrition through Collaboration (1) Began collaboration with Kewpie Corporation to recycle mayonnaise bottles as a resource. (2) Beginning to study cooperative efforts by five companies to ensure sustainable growth in frozen food logistics. (3) A new metho
Slide 16: Reference Links
Reference Links Ajinomoto Group IR Information https://www.ajinomoto.co.jp/company/en/ir/ Ajinomoto Group ASV Report (Integrated Report) 2023 https://www.ajinomoto.co.jp/company/en/ir/library/annual.html Ajinomoto Group Medium-Term ASV Initiatives https://www.ajinomoto.co.jp/company/en/ir/event/medi