Resonac Holdings Corporation · TSE:4004
Resonac — Q3 2023 Earnings Presentation
25 slides from Resonac's earnings presentation, Nov 9, 2023
Slide 1: Consolidated Financial Results Third Quarter, 2023
Consolidated Financial Results Third Quarter, 2023 Hideki Somemiya, CFO Director & Managing Corporate Officer November 9, 2023
Slide 2: Key Takeaways
Key Takeaways - 2023 1-3Q sales figures were 942.3 billion yen, a 91.8 billion yen decrease from 2022 1-3Q - Semiconductor & Electronic Materials segment impacted from correction in semiconductor manufacturing and slowdown in data center demand 1 - 2023 1-3Q operating income was 4.3 billion yen in l
Slide 3: Table of Contents
Table of Contents 1. Consolidated Financial Statements for 2023 1-3Q 2. 2023 Full-year Performance Forecast ©Resonac Holdings Corporation All Rights Reserved.
Slide 4: Summary (2022 1-3Q vs. 2023 1-3Q)
Summary (2022 1-3Q vs. 2023 1-3Q) Based on ongoing businesses *2 (Unit: Billions of Yen) Reference (Unit: Billions of Yen) 2022 2023 Increase/ 2022 2023 Increase/ 1-3Q*1 1-3Q Decrease 1-3Q 1-3Q Decrease Net sales 1,034.2 942.3 (91.8) Net sales 1,014.5 935.8 (78.7) Operating Operating income 54.7 (4.
Slide 5: Breakdown of Operating Income Changes (2022 1-3Q vs. 2023 1-3Q)
Breakdown of Operating Income Changes (2022 1-3Q vs. 2023 1-3Q) (Unit: Billions of Yen) ©Resonac Holdings Corporation All Rights Reserved. 5
Slide 6: Segment Breakdown (2022 1-3Q vs. 2023 1-3Q)
Sales, Operating Income and EBITDA: Segment Breakdown (2022 1-3Q vs. 2023 1-3Q) (Unit: Billions of Yen) 2022 2023 Increase/ Segment 1-3Q 1-3Q Decrease Sales 332.3 241.7 (90.6) (27%) Semiconductor and Operating Income 40.5 (12.5) (53.0) - Electronic Materials EBITDA 78.1 27.5 (50.6) (65%) Sales 134.9
Slide 7: Semiconductor and Electronic Materials
Segment Summary (2022 1-3Q vs. 2023 1-3Q) Semiconductor and Electronic Materials (Unit: Billions of Yen) 2022 2023 Increase/ Performance Overview 1-3Q 1-3Q Decrease Sales dropped as weakened demand, began 2nd Sales 332.3 241.7 (90.6) (27%) half of the previous year, lingered on. Decreased sales, com
Slide 8: Mobility
Segment Summary (2022 1-3Q vs. 2023 1-3Q) Mobility (Unit: Billions of Yen) 2022 2023 Increase/ Performance Overview 1-3Q* 1-3Q Decrease Sales 134.9 131.6 (3.3) (2%) Sales decreased since the product launch for new model vehicles was not enough to make up for the divestiture of ISOLITE GmbH and the i
Slide 9: Innovation Enabling Materials
Segment Summary (2022 1-3Q vs. 2023 1-3Q) Innovation Enabling Materials (Unit: Billions of Yen) 2022 2023 Increase/ Performance Overview 1-3Q 1-3Q Decrease Sales 105.6 95.5 (10.1) (10%) Operating Income 7.6 8.3 0.7 9% Sales decreased while operating income increased, with less sales volume and highe
Slide 10: Chemicals
Segment Summary (2022 1-3Q vs. 2023 1-3Q) Chemicals (Unit: Billions of Yen) 2022 2023 Increase/ Performance Overview 1-3Q 1-3Q Decrease Sales 377.0 384.7 7.8 2% Olefins & Derivatives 230.4 232.7 2.3 1% - Olefins & Derivatives: Both sales and operating income increased due to the absence of 4-year Ba
Slide 11: Non-operating Income/Expenses, Extraordinary Profit/Loss
Non-operating Income/Expenses, Extraordinary Profit/Loss Non-operating Income/Expenses (Unit: Billions of Yen) Extraordinary Profit/Loss (Unit: Billions of Yen) 2022 2023 Increase/ 2022 2023 Increase/ 1-3Q 1-3Q Decrease 1-3Q 1-3Q Decrease Gain on sale of businesses 0.3 24.3 24.1 Interest/Dividends (
Slide 12: Consolidated Balance Sheet
Consolidated Balance Sheet Consolidated Balance Sheet (Unit: Billions of Yen) Dec. 31, Sep. 30, Increase/ Dec. 31, Sep. 30, Increase/ Assets Decrease Liabilities and net assets Decrease 2022*1 2023 2022*1 2023 Cash and deposits 186.5 225.4 38.9 Notes and accounts payable 194.1 177.9 (16.1) Notes and
Slide 13: Table of Contents
Table of Contents 1. Consolidated Financial Statements for 2023 1-3Q 2. 2023 Full-year Performance Forecast ©Resonac Holdings Corporation All Rights Reserved.
Slide 14: 2023 Consolidated Forecast
2023 Consolidated Forecast (Unit: Billions of Yen except Cash dividends per Share and Net income per Share) 2022 2023 Increase/ 2023 Earlier Forecast*3 Full-year Full-year Full-year Increase/ Results*1 Forecast*2 Decrease Forecast Decrease Net sales 1,392.6 1,290.0 (102.6) 1,270.0 20.0 Operating inc
Slide 15: Segment Breakdown (Consolidated)
Sales and Operating Income 2023: Segment Breakdown (Consolidated) (Unit: Billions of Yen) 2023 Forecast* 2022 Results Segment 1Q 2Q 3Q 4Q Full-year Full-year Increase/ Results Results Results Forecast Forecast Results Decrease Semiconductor and Sales 69.4 84.0 88.3 91.3 333.0 427.2 (94.2) Electronic
Slide 16: Update on Structural Reforms
Update on Structural Reforms Structural reforms underway to drastically improve profitability ▶ Production capacity/workforce optimization - Announced to close a manufacturing plant in Taiwan by the end of 2023 HD Media - Combined with a capacity reduction announced in 1Q, a total 1/3 cut in capacit
Slide 17: Appendix
Appendix ©Resonac Holdings Corporation All Rights Reserved.
Slide 18: Consolidated Companies, Key Outside Factors
Reference Consolidated Companies, Key Outside Factors Consolidated Companies Consolidated subsidiaries: 104 (-4 from Dec. 31, 2022) +4: Related to 100% acquisition of AMI Automation -3: Related to the transfer of diagnostic medicine business -5: Related to the integration of regional HQs, etc. Equit
Slide 19: Capital Expenditures: Segment Breakdown
Reference Capital Expenditures: Segment Breakdown (Unit: Billions of Yen) 2022 1-3Q 2023 1-3Q Increase/ Segment Results* Results Decrease Semiconductor and 33.3 28.9 (4.4) Electronic Materials Mobility 6.6 6.5 (0.1) Innovation Enabling 5.1 4.2 (0.9) Materials Chemicals 15.2 13.3 (1.8) Others 16.2 9.
Slide 20: Capital Expenditures, Depreciation, R&D expenditures, Financial costs and Preferred stock dividends
Capital Expenditures, Depreciation, R&D expenditures, Financial costs and Reference Preferred stock dividends (Consolidated) (Unit: Billions of Yen) 2022 1-3Q 2023 1-3Q Increase/ Results* Results Decrease Capital expenditures 76.3 62.3 (14.0) Depreciation and amortization (excluding PPA & goodwill a
Slide 21: Depreciation: Segment Breakdown
Reference Depreciation: Segment Breakdown (Unit: Billions of Yen) 2022 1- 2023 1- Increase/ Segment 3Q 3Q Decrease Results*1 Results Depreciation (excl. PPA) 18.3 20.7 2.4 Semiconductor and PPA depreciation 9.3 9.3 - Electronic Materials Goodwill amortization 9.9 9.9 - Depreciation (excl. PPA) 11.1
Slide 22: Summary (2023 2Q vs. 2023 3Q)
Reference Summary (2023 2Q vs. 2023 3Q) (Unit: Billions of Yen) Increase/ 2023 2Q 2023 3Q Decrease Net sales 317.2 326.2 9.0 Operating income (4.0) 8.9 12.8 Non-operating income and 3.5 (4.6) (8.2) expenses, net Ordinary income (0.4) 4.2 4.7 Extraordinary profit/loss 0.2 18.5 18.3 Income before inco
Slide 23: Segment Breakdown (Consolidated) 2022
Reference Sales and Operating Income 2022: Segment Breakdown (Consolidated) (Unit: Billions of Yen) 2022*1 Segment 1Q 2Q 3Q 4Q Full-year Semiconductor and Sales 107.3 113.0 112.0 94.8 427.2 Electronic Materials Operating Income 13.2 14.1 13.2 5.0 45.5 Sales 41.2 38.9 45.0 45.7 170.8 Mobility Operati
Slide 24: Topics
Reference Topics Segment Topics Semiconductor Resonac Announces Termination of HD Media Business in Taiwan and Electronic Materials Resonac Forms Strategic Partnership with Matmerize in Materials Informatics Aiming to Accelerate Development of Semiconductor Materials for 6G Mobility Resonac Develops
Slide 25: Note
Note Performance forecast and other statements pertaining to the future as contained in this presentation are based on the information available as of today and assumptions as of today regarding risk factors that could affect our future performance. Actual results may differ materially from the fore