Mitsui Chemicals, Inc. · TSE:4183
Mitsui Chemicals — Investor Presentation (November 2023)
37 slides from Mitsui Chemicals's investor presentation, Nov 28, 2023
Slide 1: FY23-2 CEO Presentation
FY23-2 Chemistry for Sustainable World CEO PRESENTATION 橋本 修 HASHIMOTO Osamu Mitsui Chemicals, Inc. President & CEO November 28, 2023
Slide 2: Message
Message Mitsui Chemicals was established on October 1, 1997, as a result of the merger between Mitsui Petrochemical Industries and Mitsui Toatsu Chemicals. Thanks to a variety of M&As, an expansion in mid-career hiring and a push to appoint talents from outside the company over the 26 years since th
Slide 3: Contents
Nov 28, 2023 Contents ▶ Business Performance Full-year outlook for FY23 ▶ VISION 2030 Basic policies toward 2030 Measures in line with our five-point Basic Strategy
Slide 4: Full-year outlook for FY23
4 Full-year outlook for FY23 Nov 28, 2023 FY2023 FY2021 FY2022 FY2023 FY2023 August Outlook Items → November Outlook （億円） August November Increase (JPY bn) Results Results Rate Outlook Outlook (Decrease) Sales revenue 1,613 1,880 1,850 1,757 △ 93 -5% Operating income before special items 162 114 125
Slide 5: Shareholder returns
5 Shareholder returns Nov 28, 2023 Provide stable and continuous shareholder returns 160 Dividend increase 1500 +20yen/share ■ Dividends (interim) ■ Dividends (year-end) 140 ■ Memorial 110.0 ● FY23 dividend outlook ー Net income (billion yen) 82.9 1000 76.1 76.0 120 64.8 71.6 57.9 Interim Year-end Fu
Slide 6: Contents
Nov 28, 2023 Contents ▶ Business Performance Full-year outlook for FY23 ▶ VISION 2030 Basic policies toward 2030 Measures in line with our five-point Basic Strategy
Slide 7: Basic Management Policies Toward Achieving Our VISION 2030 Goals
7 Basic Management Policies Toward Achieving Our VISION 2030 Goals Nov 28, 2023 ◆ We have set a target of reaching 200 billion yen in operating income before special items by fiscal 2025, as a checkpoint for achieving our 2030 goals. To help achieve this target, we will implement strategies based on
Slide 8: Working to Achieve Our VISION 2030 Goals
8 Working to Achieve Our VISION 2030 Goals Nov 28, 2023 Increasing profit through steady expansion of growth domains and further progress with B&GM restructuring 250.0 (JPY bn) 2022 *Figures for FY18 and earlier are for previous segments 85% 50.0 200.0 2016 70.0 40.0 B&GM 65% 161.8 113.9 112.0 47.0
Slide 9: Approach to Pursuing Business Portfolio Transformation
9 Approach to Pursuing Business Portfolio Transformation Nov 28, 2023 Becoming a truly global specialty company by advancing strategies and pursuing multi-company collaborations in the growth domains as well as B&GM Becoming a VISION 2030 global specialty company Current phase onward by 2030 Active
Slide 10: Increasing Our Social Contribution Value Through Blue Value and Rose Value Products
10 Increasing Our Social Contribution Value Through Blue Value™ and Rose Value™ Products Nov 28, 2023 Environmental Contributions Blue Value™ QOL Improvements Rose Value™ Reducing CO2 Conserving resources Coexisting with nature Enriching life and society Extending healthy life-span Protecting food B
Slide 11: Contents
Nov 28, 2023 Contents ▶ Business Performance Full-year outlook for FY23 ▶ VISION 2030 Basic policies toward 2030 Measures in line with our five-point Basic Strategy
Slide 12: VISION 2030 Basic Strategy
12 VISION 2030 Basic Strategy Nov 28, 2023 STRATEGY ▶ Rolling out a social issue perspective in all of our businesses 01 Pursuing business portfolio transformation ▶ Achieving growth by expanding and fleshing out our business domains ▶ Accelerating structural reform of our existing businesses and tr
Slide 13: Pursuing Business Portfolio Transformation: Life & Healthcare Solutions
Pursuing Business Portfolio Transformation 13 Life & Healthcare Solutions Nov 28, 2023 ■ Return from previous investments Providing solutions that contribute to life, health and ■ Organic growth 90.0 ■ New businesses + M&A comfortable lifestyles as our first pillar of earnings (JPY bn) Expansion mai
Slide 14: Life Care: Vision Care
14 Life Care: Vision Care Nov 28, 2023 Synergy creation Business expansion of MRTM high-refractive-index lens material in the lens processing sector Highly growing MR™ expansion in key markets Joint development & sales high-refractive-index lens market of new products Market All lenses: 3% Switching
Slide 15: Wellness: Agrochemical Products
15 Wellness: Agrochemical Products Nov 28, 2023 Expanding business by launching new agrochemicals to tap into key overseas market growth and replacement demand Expansion exceeding India Southeast Asia market growth Market scale $3.5B Market scale $3B Brazil Market growth rate 4% Market scale $14B CA
Slide 16: Life Care: Nonwovens
16 Life Care: Nonwovens Nov 28, 2023 Promoting portfolio transformation by bolstering industrial materials Increasing synergies by combining materials design & processing Mitsui Chemicals Asahi Life Materials technology via greater post-merger technology integration established (October 2023) Levera
Slide 17: Medical: Oral Care
17 Medical: Oral Care Nov 28, 2023 Leveraging polymer science technologies and collaboration among Group companies to become a global leading company in the field of dental preservation Expanding share in the top 3 markets (Europe, Japan & U.S.) Scale of the dental preservation market Complementary
Slide 18: Pursuing Business Portfolio Transformation: Mobility Solutions
Pursuing Business Portfolio Transformation 18 Mobility Solutions Nov 28, 2023 (JPY bn) Providing unique materials, features and services 80.0+ to help solve social challenges and let us achieve ■ Return from previous investments sustainable business growth ■ Organic growth ＋3.0 Despite slow growth i
Slide 19: Materials Business: Elastomers and Composite Materials
19 Materials Business Nov 28, 2023 Investing resources in line with strategies since VISION 2025 is delivering steady growth, with the prospect of exceeding our targets Global expansion based on local production for local consumption Speeding up our transition to a focus on growth markets & differen
Slide 20: Solutions Business
20 Solutions Business Nov 28, 2023 Providing a wide range of materials and development support with a precise grasp of changing needs Automotive trends Offering concepts for modular components Existing Offering differentiated materials Need for improved OEMs & parts Growing electric mileage Exterior
Slide 21: Pursuing Business Portfolio Transformation: ICT Solutions
Pursuing Business Portfolio Transformation 21 ICT Solutions Nov 28, 2023 (JPY bn) Creating and growing a “unique” ICT Solutions business ■ Return from previous investments 70.0 to grow operations here into our third pillar of earnings ■ Organic growth ■ New businesses + M&A Continuing to boost capac
Slide 22: Semiconductor & Assembly Solutions: Pellicles
22 Semiconductor & Assembly Solutions: Pellicles Nov 28, 2023 Joint development of next-generation Helping to bring about more advanced exposure processes EUV pellicles involving 3 companies Process Materials Materials Maintaining first-mover EUV pellicles advantage optimization optimization innovat
Slide 23: Mitsui Chemicals Tohcello Split and Partial Share Transfer
23 Mitsui Chemicals Tohcello Split and Partial Share Transfer Nov 28, 2023 Pursuing swift & flexible execution of strategy, with a focus on strong core businesses Business environment Mitsui Chemicals Tohcello Mitsui Chemicals ICT Materia Semiconductors Medium- to long-term ICT business Strategy Sec
Slide 24: Basic & Green Materials
Pursuing Business Portfolio Transformation 24 Basic & Green Materials Nov 28, 2023 Reducing volatility and strengthening the business foundations by accelerating the second phase of restructuring Stable cash flow ensured ⇔ Profit still highly volatile External environment Trends in profit & cash flo
Slide 25: Improving Capital Efficiency by Promoting the Second Phase of Restructuring
Improving Capital Efficiency by Promoting the Second Phase of 25 Restructuring and Bolstering Downstream Businesses Nov 28, 2023 FY13-17 FY18-22 FY23-25 Ideal state Securing stable earnings Improving capital efficiency Reducing volatility via restructuring (8% ROIC by FY30) 2023: AC-based IPA capaci
Slide 26: Chemical Complex Transformation
26 Chemical Complex Transformation Nov 28, 2023 Transitioning to advanced chemical complexes – with a focus on regional and multi–company collaborations - while also speeding up the shift to the green chemicals business Advanced chemical complex Mulling multi-company collaborations (Future) Carbon-n
Slide 27: Adoption of Bio-Based PP Produced Under the Mass Balance System
Bolstering Circular Adoption of Bio-Based PP Produced 27 Economy Initiatives Under the Mass Balance System Nov 28, 2023 Helping to reduce CO2 by promoting the social implementation of bio-based products Japanese Consumers’ Co-operative Union Tableware designed by KUMA Kengo for the food packaging en
Slide 28: Commercialization of Recycling
Bolstering Circular 28 Economy Initiatives Commercialization of Recycling Nov 28, 2023 Chemical recycling of polyurethane mattresses Development of Eki* PET sound absorbing material Eki: Stations Adopted for the Ministry of the Environment’s FY2023 Current item Eki PET sound absorbing material Progr
Slide 29: Technology Development for Carbon Neutrality
Bolstering Circular Economy Initiatives 29 Technology Development for Carbon Neutrality Nov 28, 2023 Success in existing technology improvement & innovative technology development at MCI-CNRC Speeding up efforts toward social implementation Synthesis of ethanol from CO2 Synthesis of hydrogen & ammon
Slide 30: Providing Materials That Help to Solve Social Challenges
Building Solutions-Based Business Models 30 Providing Materials That Help to Solve Social Challenges Nov 28, 2023 NAGORI™ selected for a new shaver housing Development of marine-degradable polyurethane Panasonic Corporation: LAMDASH PALM IN A specific grade of FORTIMO™-based (launched September 2023
Slide 31: Enhancing Systems for Identifying & Cultivating New Businesses
Building Solutions-Based Business Models 31 Enhancing Systems for Identifying & Cultivating New Businesses Nov 28, 2023 Increasing the quantity & quality of candidate projects to create the next generation of core businesses ① Identifying new business candidates ② Monitoring based on our own transpa
Slide 32: Aiming to Increase Corporate Value
32 Aiming to Increase Corporate Value Nov 28, 2023 Seeking to increase our P/B ratio by raising the level of ROE (under consideration), accelerating profit growth in growth domains, promoting the second phase of restructuring, shifting to the green chemicals business and more 250 2,500 20% Accelerat
Slide 33: Summary of Targets-1
33 Reference Summary of Targets-1 Nov 28, 2023 FY22 Results FY23 Outlook FY25 Around FY30 Target Operating income before special items (B yen) 114 112 200 250 Net income attributable to owners of the parent (B yen) 83 76 110 140 ROE 11.1% 9.2% 10% or more 10% or more ROIC*1 5.4% 4.7% 7.0% or more 8.
Slide 34: Summary of Targets-2
34 Reference Summary of Targets-2 Nov 28, 2023 Contributing to a sustainable society Material topics KPIs FY22 Results FY23 Target FY30 Target • Climate change • Circular economy Blue Value™ products sales revenue ratio ・22% ・24% ・40% • Health and livelihood Rose Value™ products sales revenue ratio
Slide 35: Summary of Targets-3
35 Reference Summary of Targets-3 Nov 28, 2023 Abilities essential to business continuity Material topics KPIs FY22 Results FY23 Target FY30 Target • Corporate Improvement of employee engagement • Implementation rate for culture improvement plans from ・36％ or more ・50％ Engagement score our FY21 surv
Slide 36: A global solutions company that leads change and contributes to a sustainable future
A global solutions company that leads change and contributes to a sustainable future
Slide 37: Challenge Diversity One Team
Chemistry for Sustainable World Challenge Diversity One Team Statements made in this document with respect to Mitsui Chemicals' current plans, estimates, strategies, and beliefs and other statements that are not historical facts are forward-looking statements about the future performance of Mitsui C
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