Nippon Paper Industries Co., Ltd. · TSE:3863

Nippon Paper Industries — H1 FY2009 Earnings Presentation

19 slides from Nippon Paper Industries's earnings presentation, Nov 9, 2009

  1. Slide 1: FY2009 First 6-month Result Financial Review

    FY2009 First 6-month Result Financial Review November 9, 2009 Nippon Paper Group, Inc. All Rights Reserved, Copyright (C) 2009 Nippon Paper Group, Inc.

  2. Slide 2: Contents

    Nippon Paper Group Contents I. FY2009 First 6-month Review (1 Apr. 2009 – 30 Sep. 2009) (1) Overview 3-6pp (2) Operating results 7-9pp (3) Analysis of profit and loss 10p (4) Extraordinary items 11p (5) Balance sheet 12p II. FY2009 Full Year Forecast (1 Apr. 2009 – 31 Mar. 2010) (1) Earnings Forecas

  3. Slide 3: Overview: Business environment, domestic shipment of paper and paperboard

    I. 1st 6-month Review (1)Overview①Business environment Domestic shipment of paper and paperboard Paper industry FY2009 1stst 6-month results (Apr.2009－Sep.2009) % change Shipment(1,000 tons) yoy Newsprint 1,671 -5.6% Uncoated printing paper 1,036 -12.8% Coated printing paper ※ 2,426 -24.8% Business

  4. Slide 4: Trend in paper and paperboard prices

    I. 1st 6-month Review (1)Overview①Business environment Trend in paper and paperboard prices Paper industry (Apr. 2008 － Sep. 2009) （¥／ｋｇ） Printing A A2 Coated A3 Coated （¥／ｋｇ） (Woodfree) (Coated woodfree) (Light weight coated woodfree) 150 85 Kraft-liner board 80 140 75 70 130 65 60 120 55 110 50 45

  5. Slide 5: Trend in fuel and raw material prices

    I. 1st 6-month Review (1)Overview①Business environment Trend in fuel and raw material prices Paper industry (Oct. 2007 － Sep. 2009) Eucalyptus Dubai NBSK Crude oil Coal (AU$/BDT) Wastepaper ONP OCC Eucalyptus (¥/kg) （US$/t） (US$/BL) (US$/t) 250 NBSK Crude oil Coal 200 25 2000 1800 180 200 20 1600 16

  6. Slide 6: Group Topics (Apr - Oct. 2009)

    I. 1st 6-month Review (1)Overview②Topics Group Topics (Apr - Oct. 2009) Apr.09 Apr.09 -Nippon -Nippon Paper Paper Chemicals Chemicals developed developed clear clear hardcoat hardcoat film film for for next-generation next-generation LCD LCD Panels Panels May.09 May.09 -Nippon Paper -Nippon Paper Gr

  7. Slide 7: Operating results: Outline

    I. 1st 6-month Review (2)Operating results ①Outline Consolidated operating results FY2008 FY2009 (¥ billion) Change 1st 6-month 1st 6-month <Net sales> 629.0 526.8 -102.2 <Operating income> 15.6 18.6 3.0 <Ordinary income> 18.7 17.8 -0.9 <Net income> 5.2 7.8 2.6 All Rights Reserved, Copyright (C) 200

  8. Slide 8: Operating results: Sales volume by product

    Ｉ．1st 6-month Review （２）Operating results ②Sales volume by product （ Thousand tons) FY2008 FY2009 % change 1st 6 mos 1st 6 mos yoy ※ （ Average domestic paper price： \ /ｋ ｇ ） (120.8) (122.8) (1.6%) Newsprint 639 606 -5.2% Uncoated paper 347 298 -14.3% Coated paper 1,039 754 -27.4% Business communicat

  9. Slide 9: Operating results: Segment information

    Ｉ．1st 6-month Review (2)Operating results ③Segment information （¥billion） Sales Operating income FY2008 FY2009 FY2008 FY2009 Difference Difference Comments 1st 6 mos 1st 6 mos 1st 6 mos 1st 6 mos Sales declined, but operating income Pulp and Paper Div. 499.6 419.5 ▲ 80.1 11.2 15.4 4.2 increased due

  10. Slide 10: Analysis of profit and loss

    I. 1st 6-month Review (3)Analysis of profit and loss 1stst 6-month: FY2009 vs FY2008 A ¥3.0 billion Increase in Operating Income （¥15.6 bn → ¥18.6 bn） A ¥0.9 billion Decrease in Ordinary Income （¥18.7 bn → ¥17.8 bn） （¥ billion） 18.6 Increase in operating income 15.6 +3.0 Cost Cost reduction, reducti

  11. Slide 11: Extraordinary items

    Ｉ．1st 6-month Review (4)Extraordinary items FY2008 FY2009 1st 6 mos 1st 6 mos Ordinary income 18.7 17.8（¥billion） Extraordinary gains 1.1 0.4 Gain on sale of property, plant and equipment 0.1 0.3 Gain on sale of securities, etc. 0.4 0.0 Others 0.6 0.1 Extraordinary losses 10.0 2.8 Loss on disposal o

  12. Slide 12: Balance sheet

    Ｉ．1st 6-month Review (5)Balance sheet （¥billion） Balance sheet Mar. 31, Sep. 30, Change Comments 2009 2009 Cash and time deposits 15.1 17.5 2.4 Notes and accounts receivable 211.4 215.5 4.2 Inventories 165.5 170.3 4.9 Other current assets 44.0 38.8 -5.2 Property, plant, equipment, 878.7 901.9 23.2 a

  13. Slide 13: Assumptions for FY2009 forecast

    ＩＩ．FY2009 Forecast (1)Earnings Forecast ①Business environment Assumptions for FY2009 forecast ●Domestic sales (2nd 6mos) -Sales volume [full year] Paper : Same as FY2008 [ -9.7%] Paperboard : Same as FY2008 [ -8.1%] -Sales price Paper,Paperboard : Stay at current levels ●Raw material and fuel prices

  14. Slide 14: FY2009 Earnings Forecast Revised

    ＩＩ．FY2009 Forecast (1)Earnings Forecast ②Outline FY2009 Earnings Forecast Revised: Previous: Revised: (Reference) (¥ billion) as of 28 Apr.09 as of 30 Oct.09 FY2008 Results <Net sales> 1,080.0 1,090.0 1188.1 <Operating income> 32.0 36.0 20.0 <Ordinary income> 24.0 30.0 17.9 <Net income> 12.0 22.0 -2

  15. Slide 15: Forecast: Sales volume by product

    ＩＩ．FY2009 Forecast （1）Earnings forecast ③Sales volume by product （ Thousand tons) FY2008 FY2009 est. % change （ Ａ） （ Ｂ） yoy Newsprint 1,270 1,204 -5.2% Uncoated paper 624 598 -4.1% Coated paper 1,765 1,504 -14.8% Business communication paper 688 630 -8.4% Packaging paper and others 488 431 -11.8% To

  16. Slide 16: Forecast: Segment information

    ＩＩ．FY2009Forecast (1)Earnings forecast ④Segment information （¥billion） Sales Operating Income FY2009 FY2009 FY2008 Difference FY2008 Difference Comments estimated estimated Sales declined, but operating income Pulp and Paper Div. 940.3 864.5 ▲ 75.8 12.7 28.8 16.1 increased due to decrease in input c

  17. Slide 17: FY2009 forecast vs FY2008: Analysis of profit and loss

    ＩＩ．FY2009 Forecast (2)Analysis of profit and loss FY2009 forecast vs FY2008 A ¥16.0 billion Increase in Operating Income （¥20.0 bn → ¥36.0 bn） A ¥ 12.1 billion Increase in Ordinary Income （¥17.9 bn → ¥30.0 bn） （¥ billion） 36.0 Increase in operating income +16.0 Cost Cost reduction, reduction, etc. e

  18. Slide 18: Key figures and indices

    ＩＩ．FY2009 Forecast (3)Key figures and indices FY2009 FY2009 FY2007 FY2008 1st 6 mos est. ROE 1.3% -5.4% 3.8% 5.4% Operating margin on sales 2.7% 1.7% 3.5% 3.3% Ordinary margin on sales 2.7% 1.5% 3.4% 2.8% D/E (times) x1.7 x1.9 x1.8 x1.8 Capital investment (\ billion) 121.2 64.9 20.1 39.7 Depreciatio

  19. Slide 19: Disclaimer Regarding Forward-Looking Statements

    Disclaimer Regarding Forward-Looking Statements Any statements in this presentation document, other than those of historical fact, are forward-looking statements about the future performance of Nippon Paper Group,Inc. and its group companies. These statements are based on management’s assumptions an

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