Slide 1: Presentation Materials for Financial Results for the First Quarter Ended June 30, 2024
Presentation Materials for Financial Results for the First Quarter Ended June 30, 2024 [IFRS] July 30, 2024 Sojitz Corporation Copyright Copyright © © Sojitz Sojitz Corporation Corporation 2023 2024
Slide 2: Index
Index 1. Financial Results for the First Quarter Ended June 30, 2024 [IFRS] 2. Segment Information 3. Supplemental Information Copyright © Sojitz Corporation 2024 2
Slide 3: Financial Results for the First Quarter Ended June 30, 2024 [IFRS]
INDEX｜1 Financial Results for the First Quarter Ended June 30, 2024 [IFRS]
Slide 4: FY24 Q1 Summary
INDEX ｜1 FY24 Q1 Summary ⚫ Profit up with degree of progress varying between segment ⚫ 21% achieved against forecast. Performance more or less in line with forecast ⚫ Generation of profits accompanied by cash with solid core operating cash flow FY23 Q1 FY24 Q1 Difference FY24 Forecast （BN JPY） Profi
Slide 5: Summary of Profit or Loss
INDEX ｜1 Summary of Profit or Loss FY24 FY23 Q1 FY24 Q1 Difference Main Factors Achieved Forecast (BN JPY） Retail & Consumer service +25.6 Revenue 556.0 623.8 +67.8 Automotive +19.9, Energy solution & Healthcare +11.4 － － Retail & Consumer service +3.4, Gross profit 72.7 84.9 +12.2 Aerospace, Transp
Slide 6: Summary of Balance Sheet – 1.
INDEX ｜1 Summary of Balance Sheet – 1. Mar. 31, Jun. 30, Difference （BN JPY） 2024 2024 Main Factors Assets(current/non-current) 2,886.9 3,075.8 +188.9 Trade and other receivables ⚫ Increased earnings due to tobacco transactions Cash and cash equivalents 196.3 208.0 +11.7 Tangible fixed assets/Intang
Slide 7: Summary of Balance Sheet – 2.
INDEX ｜1 Summary of Balance Sheet – 2. Mar. 31, Jun. 30, FY24 Difference 2024 2024 Forecast （BN JPY） Total Assets 2,886.9 3,075.8 +188.9 3,100.0 Total Equity 924.1 971.8 +47.7 960.0 Shareholder Equity 724.9 730.4 +5.5 - Equity Ratio 32.0% 31.6% (0.4)ppt 31.0% Gross interest-bearing debt 906.7 992.2
Slide 8: Summary of Cash Flow
INDEX ｜1 Summary of Cash Flow FY23 Q1 FY24 Q1 Difference Main Factors （BN JPY） CF from operating activities (13.8) (7.2) +6.6 CF from operating activities ⚫ Increase of working capital ⚫ Dividend received from Equity-method associates CF from investing activities 24.0 (36.3) (60.3) FY23 Q1：¥19.2bn F
Slide 9: Summary of Gross Profit by Segment
INDEX ｜1 Summary of Gross Profit by Segment (BN JPY) FY23 Q1 FY24 Q1 Difference FY24 Forecast Achieved （BN JPY） 84.9 Automotive 15.2 16.9 +1.7 75.0 23% 72.7 16.9 Aerospace, Transportation & 4.1 7.4 +3.3 25.0 30% Infrastructure 15.2 7.4 Energy Solution & Healthcare 6.0 8.0 +2.0 40.0 20% 4.1 8.0 6.0 M
Slide 10: Summary of Profit by Segment
INDEX ｜1 Summary of Profit by Segment (BN JPY) FY23 Q1 FY24 Q1 Difference Main Factors （BN JPY） Decreased earnings, despite earnings contributions for automobile sales Automotive 1.6 (0.1) (1.7) business in Panama, due to slow recovery of used car business in 23.0 Australia, in addition to impacts o
Slide 11: FY24 Forecast Profit for the Year by Segment
INDEX ｜1 FY24 Forecast Profit for the Year by Segment FY24 FY24 Q1 Achieved Outlook Forecast （BN JPY） Earnings contributions anticipated from automotive sales business in Puerto Rico and Panama, while Automotive (0.1) 7.0 － need to monitor improvement in used car business Aerospace, Transportation &
Slide 12: The Sojitz Growth Story: Vietnamese Retail Businesses
INDEX ｜1 The Sojitz Growth Story (Development of Katamari*1) 1. Vietnamese Retail Businesses Targets Initiatives Slow recovery of retail market, despite extension of reduction to Vietnam’s value-added tax until Operating late 2024 and other government stimulus measures, expected to result in sluggis
Slide 13: The Sojitz Growth Story: Marine Product Business
INDEX ｜1 The Sojitz Growth Story (Development of Katamari*1) 2. Marine Product Business Targets Initiatives Bolstering of sales in growing overseas Operating Recovery in tuna market, but rising prices of certain products due to smaller catches markets as marine product group boasting strengths in En
Slide 14: Creation of Value through Digital Transformation
INDEX｜1 Creation of Value through Digital Transformation ⚫ Adoption of digital technologies in all businesses with goal of creating value based on “Digital -in-All” concept ⚫ Creation of value together with major affiliates supporting digital transformation (SAKURA internet, Sojitz Tech -Innovation)
Slide 15: Cash Flow Management
INDEX ｜1 Cash Flow Management ⚫ Allocating approx. 70% of the core operating cash flow over the three-year period to growth investments for reinforcing base of growth and human capital investments, and approx. 30% to shareholder returns under MTP2026 ⚫ Maintain positive core cash flow along with pos
Slide 16: Investments and Asset Replacement
INDEX ｜1 Investments and Asset Replacement Total Investments ¥21.5bn ● Off-shore wind power generation in Taiwan Essential infrastructure ¥9.0bn ● Domestic solar power generation etc. ● Railcar leasing business in North America etc. ● SaaS business in Vietnam Food value chain ¥11.0bn ● Takeout sushi
Slide 17: Commodity Prices, Foreign Exchange, and Interest Rate
INDEX ｜1 Commodity Prices, Foreign Exchange, and Interest Rate FY23 Results FY24 Assumptions FY24 Results Latest data (Apr. - Jun. Avg.) (Annual Avg.) (Apr. - Jun. Avg.) （As of Jul. 24, 2024） Coking coal *1 US$244/t US$230/t US$242/t US$225/t Thermal coal *1 US$161/t US$125/t US$136/t US$137/t Crude
Slide 18: Shareholder Returns Policy, Stock Price and Credit Ratings
INDEX ｜1 Shareholder Returns Policy, Stock Price and Credit Ratings ⚫ Issuance of stable and continuous shareholder returns based on cash flow management policies to drive ongoing improvements in corporate value ⚫ Ongoing emphasis on share price to keep PBR consistently above 1.0 times and raise mar
Slide 19: Segment Information
INDEX｜2 Segment Information Note: Effective April 1, 2024, Sojitz Group reorganized several segments and changed its reporting figures for FY2023.
Slide 20: Automotive
INDEX ｜2 Automotive Summary Vehicle Sales (Profit for the period) FY23 FY24 Main Factors of Difference Dealership Business Difference (BN JPY） Q1 Q1 in Profit for the Period （Unit） ⚫ Decreased earnings in North America due to rebound from temporary sales volume growth seen in previous equivalent per
Slide 21: Automotive: Main Subsidiaries and Associates
INDEX ｜2 Automotive Main Subsidiaries and Associates (Excluding one-time factors) FY2023 FY2024 Q1 Q2 Q3 Q4 Total Q1 Q2 Q3 Q4 Total Difference Business Areas (BN JPY) Sales of automobiles by Region Japan, the Phillipines, Pakistan Japan and Asia (0.2) (0.3) (0.1) (0.8) (1.4) (0.2) － － － (0.2) 0.0 et
Slide 22: Aerospace, Transportation & Infrastructure
INDEX ｜2 Aerospace, Transportation & Infrastructure Project Summary (Profit for the period) FY23 FY24 Main Factors of Difference Difference (BN JPY） Q1 Q1 in Profit for the Period ⚫ Increased earnings in business jet operation businesses and others Gross profit 4.1 7.4 +3.3 SG&A expenses (3.8) (4.1)
Slide 23: Aerospace, Transportation & Infrastructure: Main Subsidiaries and Associates
INDEX ｜2 Aerospace, Transportation & Infrastructure Project Main Subsidiaries and Associates (Excluding one-time factors) FY2023 FY2024 Equity Accounting Q1 Q2 Q3 Q4 Total Q1 Q2 Q3 Q4 Total Difference Business Description ownership Period （BN JPY） Transportation vessel asset Aircraft sales represent
Slide 24: Energy Solution & Healthcare
INDEX ｜2 Energy Solution & Healthcare Summary Net Power-Generation Capacity (Profit for the period) （MW） FY23 FY24 Main Factors of Difference Difference (BN JPY） Q1 Q1 in Profit for the Period 2,000 Fuel oil Gas Solar power Wind power Biomass ⚫ Increased profit due to steady progress 1,500 Gross pro
Slide 25: Energy Solution & Healthcare: Main Subsidiaries and Associates
INDEX ｜2 Energy Solution & Healthcare Main Subsidiaries and Associates (Excluding one-time factors) FY2023 FY2024 Equity Accounting Q1 Q2 Q3 Q4 Total Q1 Q2 Q3 Q4 Total Difference Business Description ownership Period （BN JPY） Energy-related and thermal power generation businesses LNG project and inv
Slide 26: Metals, Mineral Resources & Recycling
INDEX ｜2 Metals, Mineral Resources & Recycling Summary Change in Coal Sales Volume (Profit for the period) （10,000 MT） FY23 FY24 Main Factors of Difference Difference 1,000 Thermal Coal Coking Coal PCI Coal (BN JPY） Q1 Q1 in Profit for the Period ⚫ Decreased due to decline of market prices in coal b
Slide 27: Metals, Mineral Resources & Recycling: Main Subsidiaries and Associates
INDEX ｜2 Metals, Mineral Resources & Recycling Main Subsidiaries and Associates (Excluding one-time factors) FY2023 FY2024 Equity Accounting Q1 Q2 Q3 Q4 Total Q1 Q2 Q3 Q4 Total Difference Business Description ownership Period （BN JPY） Investment in coal mines in Sojitz Development Pty. Ltd. 100% 4.8
Slide 28: Chemicals
INDEX ｜2 Chemicals Summary Sales Volume for Methanol (Profit for the period) FY23 FY24 Main Factors of Difference （10,000 t） Difference (BN JPY） Q1 Q1 in Profit for the Period 230 190 180 190 180 190 190 ⚫ Increased earnings due to absence of 170 one-time losses recorded in previous Gross profit 14.
Slide 29: Chemicals: Main Subsidiaries and Associates
INDEX ｜2 Chemicals Main Subsidiaries and Associates (Excluding one-time factors) FY2023 FY2024 Equity Accounting Q1 Q2 Q3 Q4 Total Q1 Q2 Q3 Q4 Total Difference Business Description ownership Period （BN JPY） Manufacture and sale of PT. Kaltim Methanol Industri 85% 1.4 1.5 1.7 0.1 4.7 1.3 － － － 1.3 (0
Slide 30: Consumer Industry & Agriculture Business
INDEX ｜2 Consumer Industry & Agriculture Business Summary (Profit for the period) FY23 FY24 Main Factors of Difference Difference (BN JPY） Q1 Q1 in Profit for the Period ⚫ Increased earnings following sales volume growth driven by higher rain Gross profit 7.0 9.5 +2.5 fall in overseas fertilizer bus
Slide 31: Consumer Industry & Agriculture Business: Main Subsidiaries and Associates
INDEX ｜2 Consumer Industry & Agriculture Business Main Subsidiaries and Associates (Excluding one-time factors) FY2023 FY2024 Equity Accounting Q1 Q2 Q3 Q4 Total Q1 Q2 Q3 Q4 Total Difference Business Description ownership Period （BN JPY） Fertilizer-related businesses -Thai Central Chemical Public Ma
Slide 32: Retail & Consumer Service
INDEX ｜2 Retail & Consumer Service Summary (Profit for the period) FY23 FY24 Main Factors of Difference Difference (BN JPY） Q1 Q1 in Profit for the Period ⚫ Strong performance in domestic retail businesses Gross profit 10.8 14.2 +3.4 ⚫ Increased earnings in retail businesses in Vietnam due to earnin
Slide 33: Retail & Consumer Service: Main Subsidiaries and Associates
INDEX ｜2 Retail & Consumer Service Main Subsidiaries and Associates (Excluding one-time factors) FY2023 FY2024 Equity Accounting Q1 Q2 Q3 Q4 Total Q1 Q2 Q3 Q4 Total Difference Business Description ownership Period （BN JPY） Opera ti on of MINISTOP Vi etna m l oca ti ons , Retail-related businesses in
Slide 34: Topics: Hospital PPP and Wind Power Projects in Uzbekistan
INDEX ｜2 Topics Energy Solution & Healthcare Hospital PPP Project and Large-Scale Wind Power Generation Project in Uzbekistan Conclusion of Term Sheet Agreement Regarding Development Signing of MOU for Hospital PPP Project in Samarkand of Large-Scale Wind IPP Project Healthcare-Related Conditions in
Slide 35: Topics: Investment in Vietnamese SaaS Company
INDEX ｜2 Topics Retail & Consumer Service Sojitz Invests in a Vietnamese SaaS Company Introducing Cashless Payment Apps and Online Ordering Platform for Physical Retail Businesses in Vietnam Improvement of distributor and consumer convenience by seamlessly linking manufacturers and consumers Finviet
Slide 36: Supplemental Information
補足資料｜3 INDEX｜3 Supplemental Information
Slide 37: Changes in Business Portfolio (Resource and Non-Resource Businesses)
INDEX｜3 Changes in business Portfolio（Resource and Non-Resource Businesses） ⚫ Reinforcement of reliable earnings foundations through investments focused on non-resource businesses (BN JPY) Resource business Non-resource business 133.3 Percentage of total attributable to non-resource businesses Total
Slide 38: PL Summary
INDEX｜3 PL Summary FY14 FY15 FY16 FY17 FY18 FY19 FY20 FY21 FY22 FY23 (BN JPY) Net sales 4,105.3 4,006.6 3,745.5 4,209.1 ー ー ー ー ー ー (JGAAP) Revenue 1,809.7 1,658.1 1,555.3 1,816.5 1,856.2 1,754.8 1,602.5 2,100.8 2,479.8 2,414.6 Gross profit 197.7 180.7 200.7 232.4 241.0 220.5 188.1 271.3 337.6 326.0
Slide 39: PL Summary
INDEX｜3 PL Summary Profit for the year (BN JPY) ROA （％） 4.2 111.2 3.6 3.3 100.8 3.0 2.7 82.3 2.5 70.4 1.9 60.8 1.7 56.8 1.5 40.8 1.2 36.5 33.1 27.0 FY14 FY15 FY16 FY17 FY18 FY19 FY20 FY21 FY22 FY23 Copyright © Sojitz Corporation 2024 39
Slide 40: Balance Sheets Summary
INDEX｜3 Balance Sheets Summary End of End of End of End of End of End of End of End of End of End of (BN JPY) Mar. 2015 Mar. 2016 Mar. 2017 Mar. 2018 Mar. 2019 Mar. 2020 Mar. 2021 Mar. 2022 Mar. 2023 Mar. 2024 Current assets 1,323.5 1,146.4 1,229.8 1,376.3 1,267.7 1,217.5 1,195.4 1,394.2 1,444.5 1,4
Slide 41: Balance Sheets Summary
Index｜3 Balance Sheets Summary (BN JPY) Net Interest-Bearing Debt Total Equity Net DER （Times） 1.14 1.10 1.11 1.03 0.95 1.06 0.99 1.06 0.75 0.75 924.1 837.7 770.2 728.0 697.3 629.6 619.0 611.1 603.5 618.2 613.2 610.6 629.4 571.6 586.4 584.7 579.1 550.9 550.5 520.3 End of End of End of End of End of
Slide 42: Financial Summary
Index｜3 Financial Summary End of End of End of End of End of End of End of End of End of End of Mar. 2015 Mar. 2016 Mar. 2017 Mar. 2018 Mar. 2019 Mar. 2020 Mar. 2021 Mar. 2022 Mar. 2023 Mar. 2024 (BN JPY) Total assets 2,297.4 2,056.7 2,138.5 2,350.4 2,297.1 2,230.3 2,300.1 2,661.7 2,660.8 2,886.9 To
Slide 43: Cash Flow Summary
INDEX｜3 Cash Flow Summary End of End of End of End of End of End of End of End of End of End of Mar. 2015 Mar. 2016 Mar. 2017 Mar. 2018 Mar. 2019 Mar. 2020 Mar. 2021 Mar. 2022 Mar. 2023 Mar. 2024 (BN JPY) Core CF ー 18.3 5.5 (56.7) 63.1 1.3 (8.0) 10.5 135.6 (62.8) Free CF 25.3 66.0 (31.3) 12.4 54.3 4
Slide 44: Cash Flow Summary
INDEX｜3 Cash Flow Summary (BN JPY) Copyright © Sojitz Corporation 2024 44
Slide 45: Caution regarding Forward-looking Statements and Original Language
Caution regarding Forward-looking Statements and Original Language This document contains forward-looking statements based on information available to the company at the time of disclosure and certain assumptions that management believes to be reasonable. Sojitz makes no assurances as to the actual
Slide 46: New way, New value
New way, New value