Kureha Corporation · TSE:4023
Kureha — Q1 FY2024 Earnings Presentation
12 slides from Kureha's earnings presentation, Aug 8, 2024
Slide 1: FY2024 1Q Results
FY2024 1Q Results August 8, 2024
Slide 2: Key Takeaways
Key Takeaways FY2024 1Q Results Revenue and profit (billion yen) FY2024 1Q YoY Change FY24 FY23 Change FY24 forecast • FY2024 1Q revenue and profit declined YoY. 1Q 1Q YoY 1H 2H Full-year Advanced Materials 14.3 16.4 -2.2 34.0 36.0 70.0 • Revenue fell owing to lower PVDF sales volume and price, as w
Slide 3: FY2024 1Q Financial Summary
FY2024 1Q Financial Summary (billion yen) Key factors driving YoY changes FY24 FY23 Change • Revenue declined despite higher sales in 1Q 1Q Amount % packaging materials as sales fell for PVDF, Revenue 41.9 43.8 -1.8 -4.2% agrochemicals, industrial chemicals, and home products. Core operating profit
Slide 4: Segment Performance: Advanced Materials and Specialty Chemicals
Segment Performance: Advanced Materials and Specialty Chemicals Advanced Materials Specialty Chemicals (billion yen) FY24 FY23 Change FY24 FY23 Change 1Q 1Q Amount % 1Q 1Q Amount % Advanced plastics 9.3 11.9 -2.6 -22% Agrochemicals 2.6 3.3 -0.7 -22% Carbon products 2.0 1.9 0.0 1% Pharmaceuticals 0.6
Slide 5: Segment Performance: Specialty Plastics, Construction, and Other Operations
Segment Performance: Specialty Plastics, Construction, and Other Operations Specialty Plastics Construction (billion yen) FY24 FY23 Change FY24 FY23 Change 1Q 1Q Amount % 1Q 1Q Amount % Home products 5.5 6.1 -0.6 -10% Revenue 1.9 2.2 -0.2 -11% Fishing lines 1.5 1.3 0.2 11% Operating profit 0.1 0.1 0
Slide 6: Financial Position
Financial Position Assets Liabilities and Equity (billion yen) Jun. 30, Mar. 31, Jun. 30, Mar. 31, Change Change 2024 2024 2024 2024 Cash and cash equivalents 23.7 23.1 0.5 Trade and other payables 21.2 20.5 0.7 Trade and other receivables 36.7 40.6 -3.9 Interest-bearing debt 54.1 54.9 -0.8 Inventor
Slide 7: Cash Flow
Cash Flow (billion yen) FY24 FY23 Change 1Q 1Q Profit before income taxes 3.8 5.6 -1.8 Depreciation 3.2 2.8 0.4 Other 4.2 -11.5 15.6 *1 *1 Income taxes paid: +2.7 Cash flow from operating activities 11.1 -3.1 14.2 Trade and other receivables: +5.4 Inventories: +2.3 Cash flow from investing activitie
Slide 8: PVDF Business
PVDF Business PVDF Revenue • No change in the medium- to long-term outlook 15 for sustained growth in LiB demand for EVs. • EV market growth slowed from FY2022 2H, resulting in excess product and raw material 10 inventories at EV and LiB-related companies. As a result, inventory adjustments have con
Slide 9: PGA Business
PGA Business PGA Revenue • Weak gas prices have stalled drilling activity 2 at existing customers (high underground temperature areas). We expect gas prices to recover toward FY2024 2H. • In addition to market recovery in high underground temperature areas, we will continue pursuing orders for full-
Slide 10: Policy Shareholdings
Policy Shareholdings 250 25% (billion yen) 200 20% 150 15% 100 10% 50 5% 0 0% end- end- end- end- end- end- end- end- FY2016 FY2017 FY2018 FY2019 FY2020 FY2021 FY2022 FY2023 Policy shareholdings 21.2 26.2 24.4 20.2 17.5 16.5 17.7 23.2 Consolidated net assets 126.0 152.0 162.2 166.6 185.5 200.7 216.8
Slide 11: Green Bonds
Green Bonds We are making capital investments to increase PVDF production capacity at our Iwaki Factory. The expansion will help increase EV production and contribute to reducing global CO2 emissions. We have decided to utilize green bonds to finance this capital investment. By proactively making us
Slide 12: Disclaimer
Disclaimer • This document is intended solely for the purpose of providing a better understanding of our Company and is not intended as a solicitation to invest or take any other action. • This document has been prepared based on currently available information. Please note that actual results may d