Mitsubishi Corporation · TSE:8058

Mitsubishi — Mitsubishi Corp Ord — H1 FY2023 Earnings Presentation

45 slides from Mitsubishi's earnings presentation, Nov 2, 2023

1. Slide 1: Results for the First Six Months of FY2023

   November 2, 2023 Mitsubishi Corporation Results for the First Six Months of FY2023 Presentation Materials November 2, 2023 Mitsubishi Corporation Forward-Looking Statements - This release contains forward-looking statements about Mitsubishi Corporation’s future plans, strategies, beliefs and perform

2. Slide 2: Contents

   November 2, 2023 Mitsubishi Corporation Contents 1 Progress of Midterm Corporate Strategy 2024 2 Detailed Results for the First Six Months of FY2023 3 Supplementary Information of Consolidated Financial Statements 4 Supplementary Information by Segment Copyright © 2023 Mitsubishi Corporation 1

3. Slide 3: Progress of Midterm Corporate Strategy 2024

   November 2, 2023 Mitsubishi Corporation 1 Progress of Midterm Corporate Strategy 2024 Copyright © 2023 Mitsubishi Corporation 2

4. Slide 4: Summary of Results for the First Six Months of FY2023

   November 2, 2023 Mitsubishi Corporation Summary of Results for the First Six Months of FY2023 (Billions of Yen) Forecast for First Six Months FY2022 FY2023 Change Released in May Revised Change FY2023 Consolidated Consolidated 720.0 466.1 (253.9) 920.0 950.0 +30.0 Net Income Net Income Dividend per

5. Slide 5: Cash Flow Allocation Under Midterm Corporate Strategy 2024

   November 2, 2023 Mitsubishi Corporation Cash Flow Allocation Under Midterm Corporate Strategy 2024 (First Six Months of FY2023) Cash Flow (Reference) Cumulative (Three-year plan for Midterm First Six Months of results under Midterm Related Details Corporate Strategy 2024) FY2023 Corporate Strategy 2

6. Slide 6: Promoting the Value-Added Cyclical Growth Model

   November 2, 2023 Mitsubishi Corporation Promoting the Value-Added Cyclical Growth Model We continue to optimize our business portfolio and reallocate managerial resources to investment in future growth. Value-Added Cyclical Growth Model 1 Strategic rebalancing of business portfolio Growth Core Growt

7. Slide 7: Breakdown and Progress of Investment Plan

   November 2, 2023 Mitsubishi Corporation Breakdown and Progress of Investment Plan We are steadily executing investments in line with the investment plans of our Midterm Corporate Strategy 2024. Opportunities for potential investments, on top of those already realized, add up to over￥3 trillion for t

8. Slide 8: Start of Contribution to Revenues by Investment Area

   November 2, 2023 Mitsubishi Corporation Start of Contribution to Revenues by Investment Area Investments made before Midterm Corporate Strategy 2024 are steadily beginning to contribute to earnings. With an expanding pipeline of diverse projects that will start contributing to earnings beyond April

9. Slide 9: Shareholder Returns and Stock Split

   November 2, 2023 Mitsubishi Corporation Shareholder Returns and Stock Split Shareholder Returns Dividends: Per-share dividend forecast revised upward to ¥210 (+¥10 from the May 9 forecast) under our progressive dividend policy, comprehensively considering: higher revised earnings forecast in multipl

10. Slide 10: (Reference) Progress of Quantitative Targets

    November 2, 2023 Mitsubishi Corporation (Reference) Progress of Quantitative Targets Quantitative Targets of Midterm Corporate Strategy 2024 Net Income/CF Maintain/Improve Capital Efficiency Ensuring Financial Soundness Consolidated net income (FY2024) ¥800.0 Billion Maintain High Single-A Credit Ra

11. Slide 11: Detailed Results for the First Six Months of FY2023

    November 2, 2023 Mitsubishi Corporation 2 Detailed Results for the First Six Months of FY2023 Copyright © 2023 Mitsubishi Corporation 10

12. Slide 12: (Details) Year-over-Year Net Income by Segment

    November 2, 2023 Mitsubishi Corporation (Details) Year-over-Year Net Income by Segment Consolidated Net Income: First 2022年度 six months 第2四半期 of FY2022: 7,200 720.0 (Billions of Yen) First 2023年度 six months 第2四半期 of FY2023: 4,661 466.1 (▲2,539[YoY ：前年同期比) (253.9)] ■ Natural Gas ■ Automotive & Mobili

13. Slide 13: (Details) Forecast for FY2023 by Segment

    November 2, 2023 Mitsubishi Corporation (Details) Forecast for FY2023 by Segment Consolidated Net Income: Forecast released on May 9: 920.0 (Billions of Yen) Revised forecast: 950.0 [Revised +30.0] May 9 Forecast 146.0 ■ Natural Gas May 9 110.0 ■ Automotive & Mobility Forecast Increased trading prof

14. Slide 14: (Details) Market Conditions

    November 2, 2023 Mitsubishi Corporation (Details) Market Conditions Foreign Exchange, Commodity Prices and Interest Rates Revised Forecast for Consolidated net Forecast for FY2023 First six months of FY2023 Change income sensitivities (Released May 9) *1 FY2023 (Released Nov. 2)*1 for FY2023 *2 Fore

15. Slide 15: Supplementary Information of Consolidated Financial Statements

    November 2, 2023 Mitsubishi Corporation 3 Supplementary Information of Consolidated Financial Statements Note on previous fiscal year figures In accordance with reorganization and changes in accounting policies, etc., implemented the current fiscal year, the figures in the financial statements and i

16. Slide 16: Breakdown of Consolidated Net Income

    November 2, 2023 Mitsubishi Corporation Breakdown of Consolidated Net Income FY2022 FY2023 Revised Forecast for Forecast Change FY2023 (Released H1 H1 (Released Nov. 2) May 9) Net Income Net Income Net Income One-off Total One-off Total One-off Total Total Progress Total （Billions of Yen） excl. One-

17. Slide 17: Cash Flows by Segment

    November 2, 2023 Mitsubishi Corporation Cash Flows by Segment（Results for the First Six Months of FY2023） Major Items of Cash Flows (Billions of Yen) Deemed investing cash flows Deemed operating Deemed free Sales and New/Sustaining cash flows Net cash flows Collection Investments Natural Gas 68.1 34

18. Slide 18: Major Items by Segment (Current Period)

    November 2, 2023 Mitsubishi Corporation Major Items by Segment (Current Period) MAJOR BALANCE SHEET ITEMS (FY2023 H1) (Billions of Yen) Industrial Natural Industrial Chemicals Mineral Automotive Food Consumer Power Urban Infra- Others Total Gas Materials Solution Resources structure & Mobility Indus

19. Slide 19: Major Items by Segment (Previous Period)

    November 2, 2023 Mitsubishi Corporation Major Items by Segment (Previous Period) MAJOR BALANCE SHEET ITEMS (FY2022 End) (Billions of Yen) Industrial Natural Industrial Chemicals Mineral Automotive Food Consumer Power Urban Infra- Others Total Gas Materials Solution Resources structure & Mobility Ind

20. Slide 20: Major Index

    November 2, 2023 Mitsubishi Corporation Major Index Major Index FY2022 FY2023 Change End H1 *1 Investment leverage ratio 27.3% 26.5% (0.8%) Current ratio 136.1% 135.6% (0.5%) *2 Shareholders' equity ratio 36.4% 38.3% 1.9% *2 Equity per share /BPS (yen) 5,645 6,301 656 Total assets (Billion yen) 22,1

21. Slide 21: Supplementary Information of Consolidated Balance Sheet

    November 2, 2023 Mitsubishi Corporation Supplementary Information of Consolidated Balance Sheet Consolidated Balance Sheet (Billions of Yen) FY2022 FY2023 Accounts with material changes Change Remarks End H1 Total assets 22,147.5 22,891.9 744.4 Current assets 9,109.3 9,013.1 (96.2) Inventories 1,771

22. Slide 22: Consolidated Income Statement / Performances of Subsidiaries and Affiliates

    November 2, 2023 Mitsubishi Corporation Supplementary Information of Consolidated Income Statement / Performances of Subsidiaries and Affiliates Consolidated Income Statement Attributable Incomes/Losses of Subsidiaries and Affiliates (Billions of Yen) (Billions of Yen) FY2022 FY2023 FY2022 FY2023 Ac

23. Slide 23: Supplementary Information of Cash Flow Statement

    November 2, 2023 Mitsubishi Corporation Supplementary Information of Cash Flow Statement Consolidated Cash Flow Statement (Billions of Yen) FY2022 FY2023 Accounts with material changes Change Remarks H1 H1 Decreased operating income and less working capital in the Cash flows from operating activitie

24. Slide 24: Supplementary Information by Segment (Financials)

    November 2, 2023 Mitsubishi Corporation 4 Supplementary Information by Segment (Financials) Notes for Equity in Earnings of Subsidiaries and Affiliates • Material subsequent events are included when subsidiaries and affiliates have different reporting periods from Parent‘s (April to March). • "Equit

25. Slide 25: Natural Gas Group

    November 2, 2023 Mitsubishi Corporation Natural Gas Group (Billions of Yen) Summary of Net Income 1Q 2Q 3Q 4Q H2 forecast (revised) 200.0 FY2022 FY2023 170.6 170.0 Change Remarks H1 H1 150.0 55.0 One-off (1.9) － 1.9 88.6 Net Income Trading losses in the LNG sales business in 100.0 48.3 81.4 33.1 69.

26. Slide 26: Industrial Materials Group

    November 2, 2023 Mitsubishi Corporation Industrial Materials Group (Billions of Yen) Summary of Net Income 1Q 2Q 3Q 4Q H2 forecast (revised) 70.0 62.0 FY2022 FY2023 57.0 Change Remarks 60.0 H1 H1 10.2 50.0 One-off 1.4 － (1.4) 14.5 22.6 40.0 Net Income 35.9 34.4 (1.5) Decreased earnings in the Steel

27. Slide 27: Chemicals Solution Group

    November 2, 2023 Mitsubishi Corporation Chemicals Solution Group (Billions of Yen) Summary of Net Income 1Q 2Q 3Q 4Q H2 forecast (revised) 35.0 29.5 FY2022 FY2023 Change Remarks 30.0 H1 H1 5.7 25.0 One-off 4.9 － (4.9) Deduction of deferred tax liabilities in the 0.9 20.0 20.0 6.9 Net Income Chemical

28. Slide 28: Mineral Resources Group

    November 2, 2023 Mitsubishi Corporation Mineral Resources Group (Billions of Yen) Summary of Net Income 1Q 2Q 3Q 4Q H2 forecast (revised) 500.0 439.3 FY2022 FY2023 Change Remarks 54.2 H1 H1 400.0 63.6 298.0 One-off 6.8 － (6.8) 300.0 66.7 Net Income Decreased earnings due to lower Australian 314.7 13

29. Slide 29: Industrial Infrastructure Group

    November 2, 2023 Mitsubishi Corporation Industrial Infrastructure Group (Billions of Yen) Summary of Net Income 1Q 2Q 3Q 4Q H2 forecast (revised) 35.0 31.9 33.0 FY2022 FY2023 30.0 Change Remarks 6.4 H1 H1 25.0 16.3 20.0 8.1 One-off － － － Net Income ー 15.0 excl. One-off 17.4 16.7 (0.7) 8.0 7.9 10.0 T

30. Slide 30: Automotive & Mobility Group

    November 2, 2023 Mitsubishi Corporation Automotive ＆ Mobility Group (Billions of Yen) Summary of Net Income 1Q 2Q 3Q 4Q H2 forecast (revised) 140.0 131.6 128.0 FY2022 FY2023 8.9 Change Remarks 120.0 H1 H1 33.3 100.0 62.4 One-off 0.4 (0.8) (1.2) 80.0 Net Income Decreased earnings in the Russia-relate

31. Slide 31: Food Industry Group

    November 2, 2023 Mitsubishi Corporation Food Industry Group (Billions of Yen) Summary of Net Income 1Q 2Q 3Q 4Q H2 forecast (revised) 90.0 FY2022 FY2023 63.4 64.0 Change Remarks H1 H1 70.0 0.4 26.4 14.6 One-off 2.6 36.9 34.3 50.0 Net Income 39.5 26.7 (12.8) Gains on sale of an affiliated company. 30

32. Slide 32: Consumer Industry Group

    November 2, 2023 Mitsubishi Corporation Consumer Industry Group (Billions of Yen) Summary of Net Income 1Q 2Q 3Q 4Q H2 forecast (revised) 50.0 FY2022 FY2023 38.0 Change Remarks 40.0 H1 H1 30.0 12.2 One-off (2.9) － 2.9 Increased earnings in the Convenience store 18.9 Net Income business and impairmen

33. Slide 33: Power Solution Group

    November 2, 2023 Mitsubishi Corporation Power Solution Group (Billions of Yen) Summary of Net Income 1Q 2Q 3Q 4Q H2 forecast (revised) 113.0 125.0 FY2022 FY2023 Change Remarks 100.0 H1 H1 61.9 75.0 One-off (5.1) (5.3) (0.2) Increased earnings in the European 107.8 Net Income 50.0 63.5 (4.0) 10.5 14.

34. Slide 34: Urban Development Group

    November 2, 2023 Mitsubishi Corporation Urban Development Group (Billions of Yen) Summary of Net Income 1Q 2Q 3Q 4Q H2 forecast (revised) 150.0 123.3 FY2022 FY2023 125.0 Change Remarks 7.01.7 H1 H1 100.0 10.0 One-off 84.1 － (84.1) Gains on sale of a real estate management 75.0 company in the previou

35. Slide 35: Supplementary Information by Segment (Operational Data)

    November 2, 2023 Mitsubishi Corporation 4 Supplementary Information by Segment (Operational Data) Copyright © 2023 Mitsubishi Corporation 34

36. Slide 36: Global Energy Resources Business Natural Gas Group

    November 2, 2023 Mitsubishi Corporation Global Energy Resources Business Natural Gas Group Mitsubishi Corporation’s Growth Outlook of Reserves of Oil and Gas *1 LNG Equity Capacity *2 （As of Dec 31, 2022） Unit: MTPA (Million Tons Per Annum) 0.208 1.613 1.405 billion barrels Natural Gas *1 Oil equiva

37. Slide 37: Involvement in LNG Projects

    November 2, 2023 Mitsubishi Corporation Involvement in LNG Projects Natural Gas Group *1 Business Segment: Existing Projects in Production A Investment in exploration & development (upstream), BB Investment in liquefaction plant, C C Marketing and/or import agent, :D Shipping Beginning Annual Produc

38. Slide 38: Global Mineral Resources Business

    November 2, 2023 Mitsubishi Corporation Global Mineral Resources Business Mineral Resources Group Product Project Country Annual Production Capacity *1 Main Partners MC's Share Metallurgical BMA Australia Metallurgical Coal, etc., 57 mil. mt *2 BHP 50.00% Coal Escondida Chile Copper 1,200 kt BHP, Ri

39. Slide 39: Metallurgical Coal Business

    November 2, 2023 Mitsubishi Corporation Metallurgical Coal Business Mineral Resources Group BMA Annual Production and Sales Volume (50% Basis) （mil. mt） Apr-Jun Jul-Sep Oct-Dec Jan-Mar • BMA production in Jul-Sep 2023 decreased by 16% to 5.6 mil. 40.0 mt on a year on year basis. 30.2 29.5 • The decr

40. Slide 40: Copper Business: Quellaveco

    November 2, 2023 Mitsubishi Corporation Copper Business Mineral Resources Group Equity Share Production Volume Jan-Mar Apr-Jun Jul-Sep Oct-Dec (Due to rounding, the quarterly figures do not necessarily add up to the total annual figures.) （kt） CY2020 CY2021 CY2022 CY2023 Total 227 Total 218 Total 24

41. Slide 41: Global Automobile Business (MMC・MFTBC-Related)

    November 2, 2023 Mitsubishi Corporation 自動車事業本部の世界展開図 Global Automobile Business (MMC・MFTBC-Related) Automotive & Mobility Group GMMC / (As of September 30, 2023) MCBR MMCR GMMSC（Changsha） Automobile Production/Distribution Finance Distribution Country/Region HLL SAME ① Overall Demand Russia （Shangh

42. Slide 42: Global Automobile Business (Isuzu-Related)

    November 2, 2023 Mitsubishi Corporation Global Automobile Business (Isuzu-Related) Automotive ＆ Mobility Group LCV: Light Commercial Vehicle CV: Commercial Vehicle (As of September 30, 2023) Isuzu vehicle sales IPC ① Overall Demand Production/ ② CV and LCV sales of MC’s IMEX partner ​car maker (shar

43. Slide 43: Salmon Farming Business

    November 2, 2023 Mitsubishi Corporation Salmon Farming Business Food Industry Group Cermaq Norway Cermaq 82,300 Canada 10,600 Europe 1,224,900 Russia North 78,300 America Japan 711,000 248,000 Other South Asia America 364,900 197,100 Consumption Cermaq Sales Volume Cermaq (Market Size) （by region） C

44. Slide 44: Electric Power Business

    November 2, 2023 Mitsubishi Corporation Electric Power Electric Business Power Business Power Power Solution Solution GroupGroup Eneco (Netherlands) An integrated energy company Americas mainly active in the Netherlands, Belgium and Germany Japan Diamond Generating Mitsubishi Corporation Energy Solu

45. Slide 45: Urban Development & Real Estate Business

    November 2, 2023 Mitsubishi Corporation Urban Development & Real Estate Business Urban Development Group Development Multifamily, Student Housing, North Industrial Properties, America Medical Offices, Senior Living Asset Management Real Estate Equity/Debt Fund Europe Asset Management Vietnam Real Es

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