Mitsubishi Corporation · TSE:8058
Mitsubishi — Mitsubishi Corp Ord — FY2022 Earnings Presentation
47 slides from Mitsubishi's earnings presentation, May 11, 2023
Slide 1: Results of FY2022 and Forecast for FY2023 Presentation Materials
May 9, 2023 Mitsubishi Corporation Results of FY2022 and Forecast for FY2023 Presentation Materials May 9, 2023 Mitsubishi Corporation Forward-Looking Statements - This release contains forward-looking statements about Mitsubishi Corporation’s future plans, strategies, beliefs and performance that a
Slide 2: Contents
May 9, 2023 Mitsubishi Corporation Contents 1 Progress of Midterm Corporate Strategy 2024 2 Detailed Results of FY2022 and Forecast for FY2023 3 Supplementary Information of Consolidated Financial Statements 4 Supplementary Information by Segment Copyright © 2023 Mitsubishi Corporation 1
Slide 3: Progress of Midterm Corporate Strategy 2024
May 9, 2023 Mitsubishi Corporation 1 Progress of Midterm Corporate Strategy 2024 Copyright © 2023 Mitsubishi Corporation 2
Slide 4: Summary of Results of FY2022 and Forecast for FY2023
May 9, 2023 Mitsubishi Corporation Summary of Results of FY2022 and Forecast for FY2023 （Billions of Yen） Forecast for Forecast for FY2021 FY2022 Change FY2022 Change (Announced Feb. 3) FY2023 Consolidated net income 937.5 1,180.7 +243.2 1,150.0 +30.7 920.0 Dividend per share 150 yen 180 yen +30 yen
Slide 5: Cash Flow Allocation of FY2022
May 9, 2023 Mitsubishi Corporation Cash Flow Allocation of FY2022 Cash Flow FY2022 Remarks Underlying ¥1.3 Trillion Underlying operating CF is making solid progress with the operating CF *1 （¥1,284.7 bn） growth of consolidated net income. Cash in CF from ¥0.7 Trillion CF from divestments is also mak
Slide 6: Progress of Midterm Corporate Strategy 2024 (Growth Strategy Implementation)
May 9, 2023 Mitsubishi Corporation Progress of Midterm Corporate Strategy 2024 (Growth Strategy Implementation in FY2022/FY2023) Policy for FY2023 Integrated EX/DX initiatives to promote Execute carefully selected projects while keeping regional revitalization investment discipline • Advance offshor
Slide 7: Progress of Midterm Corporate Strategy 2024 (Profit Model of EX-related Strategy)
May 9, 2023 Mitsubishi Corporation Progress of Midterm Corporate Strategy 2024 （Profit Model of EX-related Strategy） Concept of EX-related Strategy Profit Model ◼ Realize future stable incomes/capital gains or high returns during mature stage by investing with foresight • Seek stable income during o
Slide 8: Cash Flow Allocation Under Midterm Corporate Strategy 2024
May 9, 2023 Mitsubishi Corporation Cash Flow Allocation Under Midterm Corporate Strategy 2024 ➢ Underlying operating CF is making solid progress. ➢ In order to increase enterprise value, we will allocate Post-Returns FCF to investments and/or additional shareholder returns while maintaining financia
Slide 9: Forecast for FY2023
May 9, 2023 Mitsubishi Corporation Forecast for FY2023 ➢ Consolidated net income in FY2023 is expected to decrease ¥260.7 billion year over year (¥1,180.7 bn→¥920.0 bn), mainly due to high market prices, especially for resources, in FY2022. ➢ Earnings independent of market factors is expected to rem
Slide 10: Shareholder Returns
May 9, 2023 Mitsubishi Corporation Shareholder Returns FY2022 Dividend per share of ￥180 and ￥170.0 billion in share buybacks will be carried out. Additional returns of up to ¥200.0 billion in share buybacks will be executed, in light of the Company’s strong financial performance, financial soundnes
Slide 11: Management with an Awareness of Capital Cost and Share Price
May 9, 2023 Mitsubishi Corporation Management with an Awareness of Capital Cost and Share Price • Analysis indicates that if the Company can stably maintain double-digit ROE—one of the quantitative targets of Current Status Midterm Corporate Strategy 2024—then ROE can exceed the cost of equity. and
Slide 12: (Reference) Progress of Quantitative Targets
May 9, 2023 Mitsubishi Corporation (Reference) Progress of Quantitative Targets Quantitative Targets of Midterm Corporate Strategy 2024 Ongoing Net Income/CF Growth Maintain/Improve Capital Efficiency Ensuring Financial Soundness Consolidated net income (FY2024) ¥800.0 Billion Maintain High Single-A
Slide 13: Detailed Results of FY2022 and Forecast for FY2023
May 9, 2023 Mitsubishi Corporation 2 Detailed Results of FY2022 and Forecast for FY2023 Copyright © 2023 Mitsubishi Corporation 12
Slide 14: (Details) Year-over-Year Net Income by Segment
May 9, 2023 Mitsubishi Corporation (Details) Year-over-Year Net Income by Segment Consolidated Net Income: FY2021: 937.5 (Billions of Yen) FY2022: 1,180.7 [YoY +243.2] FY21 105.1 ■ Natural Gas FY21 106.8 ■ Automotive & Mobility Increased earnings in the LNG-related Increased earnings in the ASEAN bu
Slide 15: (Details) Forecast for FY2023 by Segment
May 9, 2023 Mitsubishi Corporation (Details) Forecast for FY2023 by Segment Consolidated Net Income: FY2022: 1,180.7 (Billions of Yen) FY2023 forecast: 920.0 [YoY (260.7)] FY22 170.6 ■ Natural Gas FY22 131.6 *2 ■ Automotive & Mobility Decreased earnings in the LNG-related Decreased earnings in the A
Slide 16: (Details) Market Conditions
May 9, 2023 Mitsubishi Corporation (Details) Market Conditions Foreign Exchange, Commodity Prices and Interest Rates Consolidated net income FY2022 Forecast for FY2023 *1 Change sensitivities for FY2023 Foreign Exchange 135.50 130.00 (5.50) ¥5.0 billion (JPY/US$)*2 (JPY/US$) Crude Oil *3 (Brent) 98
Slide 17: Supplementary Information of Consolidated Financial Statements
May 9, 2023 Mitsubishi Corporation 3 Supplementary Information of Consolidated Financial Statements Copyright © 2023 Mitsubishi Corporation 16
Slide 18: Breakdown of Consolidated Net Income (FY2022 Results)
May 9, 2023 Mitsubishi Corporation Breakdown of Consolidated Net Income (FY2022 Results) FY2021 FY2022 Change Net Income Net Income Net Income One-off Total One-off Total One-off Total （Billions of Yen） excl. One-off excl. One-off excl. One-off Natural Gas 0.1 105.0 105.1 (9.3) 179.9 170.6 (9.4) 74.
Slide 19: Breakdown of Consolidated Net Income (Forecast for FY2023)
May 9, 2023 Mitsubishi Corporation Breakdown of Consolidated Net Income (Forecast for FY2023) FY22 Results Forecasts for FY2022 Reclassification (Post-FY23 segment Change FY2023 (Billions of Yen) reorganization basis) Natural Gas 170.6 - 170.6 146.0 (24.6) Industrial Materials 62.0 - 62.0 46.0 (16.0
Slide 20: Cash Flows by Segment (FY2022 Results)
May 9, 2023 Mitsubishi Corporation Cash Flows by Segment (FY2022 Results) [Major items of cash flows] (Billions of Yen) Deemed Deemed investing cash flows Deemed free operating cash Sales and New/Sustaining Net cash flows flows Collection Investments Natural Gas 107.5 121.1 (69.6) 51.5 159.0 Industr
Slide 21: Major Items by Segment (FY2022)
May 9, 2023 Mitsubishi Corporation Major Items by Segment (FY2022) (Billions of Yen) Petroleum Automotive MAJOR BALANCE SHEET ITEMS Natural Industrial & Mineral Industrial Food Consumer Power Urban & Others Total [Year End FY2022] Gas Materials Chemicals Resources Infrastructure Mobility Industry In
Slide 22: Major Items by Segment (FY2021)
May 9, 2023 Mitsubishi Corporation Major Items by Segment (FY2021) (Billions of Yen) Petroleum Automotive MAJOR BALANCE SHEET ITEMS Natural Industrial & Mineral Industrial Food Consumer Power Urban & Others Total [Year End FY2021] Gas Materials Chemicals Resources Infrastructure Mobility Industry In
Slide 23: Major Index and Performances of Subsidiaries and Affiliates
May 9, 2023 Mitsubishi Corporation Major Index and Performances of Subsidiaries and Affiliates MAJOR INDEX ROE & ROA FY2023 FY2021 FY2022 Change FY2021 FY2022 (Forecast) Investment leverage ratio *1 38.0% 27.3% (10.7%) ROE *3 15.0% 15.8% 11.2% Current ratio 130.2% 136.1% 5.9% ROA *3 4.6% 5.4% 4.1% S
Slide 24: Supplementary Information of Consolidated Balance Sheet
May 9, 2023 Mitsubishi Corporation Supplementary Information of Consolidated Balance Sheet ASSETS (Billions of Yen) Accounts with material changes FY2021 FY2022 Change Remarks Current assets 9,531.0 9,109.3 (421.7) Trade and other receivables 4,283.2 4,127.3 (155.9) … Lower prices and decreased tran
Slide 25: Supplementary Information of Consolidated Income Statement / Cash Flow Statement
May 9, 2023 Mitsubishi Corporation Supplementary Information of Consolidated Income Statement / Cash Flow Statement INCOME STATEMENTS (Billions of Yen) Accounts with material changes FY2021 FY2022 Change Selling, general and administrative expenses (1,432.0) (1,607.5) (175.5) Provision for doubtful
Slide 26: Supplementary Information by Segment (Financials)
May 9, 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). • "Equity H
Slide 27: Natural Gas Group
May 9, 2023 Mitsubishi Corporation Natural Gas Group (Billions of Yen) Summary of Net Income 1Q 2Q 3Q 4Q 170.6 150.0 FY2021 FY2022 Change Remarks 55.0 105.1 One-off 0.1 (9.3) (9.4) Increased earnings in the LNG-related 100.0 20.0 Net Income business and the North American shale gas 69.2 105.0 179.9
Slide 28: Industrial Materials Group
May 9, 2023 Mitsubishi Corporation Industrial Materials Group (Billions of Yen) Profit Summaryand Loss of Net Summary Income 1Q 2Q 3Q 4Q 62.0 60.0 FY2021 FY2022 Change Remarks 10.2 50.0 One-off (6.3) 1.4 7.7 Increased earnings in the North American 36.8 14.5 40.0 Net Income 4.9 excl. One-off 43.1 60
Slide 29: Petroleum & Chemicals Solution Group
May 9, 2023 Mitsubishi Corporation Petroleum ＆ Chemicals Solution Group (Billions of Yen) Profit Summaryand Loss of Net Summary Income 1Q 2Q 3Q 4Q 50.0 45.0 FY2021 FY2022 Change Remarks 40.3 40.0 7.6 3.3 1.7 One-off (9.3) 2.0 11.3 Net Income Deduction of deferred tax liabilities in the 30.0 16.4 13.
Slide 30: Mineral Resources Group
May 9, 2023 Mitsubishi Corporation Mineral Resources Group (Billions of Yen) Profit Summaryand Loss of Net Summary Income 1Q 2Q 3Q 4Q 420.7 439.3 FY2021 FY2022 Change Remarks 54.2 400.0 172.7 63.6 One-off 6.0 (33.4) (39.4) Increased earnings due to higher Australian 300.0 66.7 Net Income metallurgic
Slide 31: Industrial Infrastructure Group
May 9, 2023 Mitsubishi Corporation Industrial Infrastructure Group (Billions of Yen) Profit Summaryand Loss of Net Summary Income 1Q 2Q 3Q 4Q 45.0 31.9 FY2021 FY2022 Change Remarks 35.0 17.3 6.4 25.0 One-off (15.3) 0.1 15.4 8.1 13.1 Net Income Losses at Chiyoda Corporation in the previous 15.0 8.0 3
Slide 32: Automotive & Mobility Group
May 9, 2023 Mitsubishi Corporation Automotive ＆ Mobility Group (Billions of Yen) Profit Summaryand Loss of Net Summary Income 1Q 2Q 3Q 4Q 150.0 FY2021 FY2022 Change Remarks 127.5 106.8 8.7 One-off (10.0) (22.7) (12.7) 100.0 33.3 21.0 Net Income Increased earnings in the ASEAN automotive 116.8 150.2
Slide 33: Food Industry Group
May 9, 2023 Mitsubishi Corporation Food Industry Group (Billions of Yen) Profit Summaryand Loss of Net Summary Income 1Q 2Q 3Q 4Q 79.3 FY2021 FY2022 Change Remarks 8.0 63.4 70.0 One-off (8.7) (7.3) 1.4 27.9 26.4 50.0 Net Income Impairment losses on fixed assets in overseas 88.0 70.7 (17.3) 23.7 19.7
Slide 34: Consumer Industry Group
May 9, 2023 Mitsubishi Corporation Consumer Industry Group (Billions of Yen) Profit Summaryand Loss of Net Summary Income 1Q 2Q 3Q 4Q 30.0 21.0 23.0 FY2021 FY2022 Change Remarks 10.2 6.6 20.0 One-off (3.1) (5.7) (2.6) Net Income Increased earnings in the Convenience store 8.3 9.7 24.1 28.7 4.6 10.0
Slide 35: Power Solution Group
May 9, 2023 Mitsubishi Corporation Power Solution Group (Billions of Yen) Profit Summaryand Loss of Net Summary Income 1Q 2Q 3Q 4Q 61.9 FY2021 FY2022 Change Remarks 50.5 55.0 63.5 One-off (14.2) (0.1) 14.1 Gains on sale of power generating assets and increased 35.0 46.5 Net Income earnings in the Ov
Slide 36: Urban Development Group
May 9, 2023 Mitsubishi Corporation Urban Development Group (Billions of Yen) Profit Summaryand Loss of Net Summary Income 1Q 2Q 3Q 4Q 123.3 FY2021 FY2022 Change Remarks 7.0 1.7 10.0 90.0 One-off (8.3) 77.5 85.8 Net Income Gains on sale of a real estate management 48.3 45.8 (2.5) 40.0 104.6 excl. One
Slide 37: Supplementary Information by Segment (Operational Data)
May 9, 2023 Mitsubishi Corporation 4 Supplementary Information by Segment (Operational Data) Copyright © 2023 Mitsubishi Corporation 36
Slide 38: Global Energy Resources Business
May 9, 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 Ton Per Annum) 0.208 1.613 1.405 billion barrels Natural Gas *1 Oil equivalent,
Slide 39: Involvement in LNG Projects
May 9, 2023 Mitsubishi Corporation Involvement in LNG Projects Natural Gas Group *1 Business Segment: ＜Existing Projects in Production＞ A Investment in exploration & development (upstream), B A B Investment in liquefaction plant, C C Marketing and/or import agent, :D Shipping Beginning Annual Produc
Slide 40: Global Mineral Resources Business
May 9, 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, Rio Tin
Slide 41: Metallurgical Coal Business
May 9, 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 Jan-Mar 2023 decreased by 13% to 6.9 mil. 40.0 mt on a year on year basis. 31.7 31.2 30.2 29.5 • T
Slide 42: Copper Business
May 9, 2023 Mitsubishi Corporation Copper Business Mineral Resources Group Equity Share Production Volume （kt） Jan-Mar Apr-Jun Jul-Sep Oct-Dec (Due to rounding, the quarterly figures do not necessarily add up to the total annual figures.) CY2020 CY2021 CY2022 CY2023 Total 227 Total 218 Total 248 Tot
Slide 43: Global Automobile Business (MMC・MFTBC-Related)
May 9, 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 March 31, 2023) MCEB MCBR MMCR GMMSC（Changsha） Automobile Finance Automobile Production/Distribution Finance Distribution Country/Region Germany HLL SAME ① Overal
Slide 44: Global Automobile Business (Isuzu-Related)
May 9, 2023 Mitsubishi Corporation Global Automobile Business (Isuzu-Related) Automotive ＆ Mobility Group LCV: Light Commercial Vehicle CV: Commercial Vehicle (As of March 31, 2023) Isuzu vehicle sales IPC ① Overall Demand Production/ ② CV and LCV sales of MC’s Distribution IMEX partner car maker (
Slide 45: Salmon Farming Business
May 9, 2023 Mitsubishi Corporation Salmon Farming Business Food Industry Group Cermaq Norway Cermaq 82,300 Canada 10,600 Europe 1,360,000 Russia North 142,000 America Japan 767,000 287,600 Other South Asia America 377,400 219,000 Consumption Cermaq Sales Volume Cermaq (Market Size) （by region） Chile
Slide 46: Electric Power Business
May 9, 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 Diamond Transmission Mitsubishi Corpora
Slide 47: Urban Development & Real Estate Business
May 9, 2023 Mitsubishi Corporation Urban Development & Real Estate Business Urban Development Group 【Development】 Vietnam Multifamily, Student Housing, North Industrial Properties, 【Development】 America Medical Offices, Senior Living Large-Scale Urban Development, 【Asset Management】 Condominiums Rea