Inpex Corporation · TSE:1605
Inpex — H1 2022 Earnings Presentation
29 slides from Inpex's earnings presentation, Aug 9, 2022
Slide 1: Financial Results for the six months ended June 30, 2022
INPEX CORPORATION Financial Results for the six months ended June 30, 2022 August 9, 2022
Slide 2: Agenda
Agenda Corporate Overview Consolidated Financial Results for the six months ended June 30, 2022 Consolidated Financial Forecasts for the year ending December 31, 2022 Copyright © 2022 INPEX CORPORATION. All rights reserved. 1
Slide 3: Cautionary Statement
Cautionary Statement This presentation includes forward-looking information that reflects the plans and expectations of the Company. Such forward-looking information is based on the current assumptions and judgments of the Company in light of the information currently available to it, and involves k
Slide 4: Corporate Overview
Corporate Overview Takayuki Ueda Representative Director, President & CEO
Slide 5: FY2022 Second Quarter Financial Results Highlights
FY2022 Second Quarter Financial Results Highlights Net Sales ¥1,098.4 billion (120.4% increase YoY) 2Q FY2022 Net Income ¥184.4 billion (254.9% increase YoY) Financial Results Net Production 654 thousand BOED (23.9% increase YoY) Net Sales ¥2,182.0 billion (75.3% increase YoY) FY2022 Full-year Net I
Slide 6: Oil and Gas Business Highlights: Australia
Oil and Gas Business Highlights CORE AREA #1 Australia Ichthys LNG Project (In production, 66.245% INPEX Interest) Production Status & Cargoes Shipped Net production volume (BOE, INPEX interest): 225 thousand barrels per day (Average between April to June 2022) Approximately 10 LNG cargoes per
Slide 7: Oil and Gas Business Highlights: Abu Dhabi and Southeast Asia
Oil and Gas Business Highlights CORE AREA #2 Abu Dhabi CORE AREA #3 Southeast Asia Abu Dhabi Onshore Concession Abadi LNG Project (In production, 5% INPEX Interest) (In preparation for development, 65% INPEX Interest) Production capacity: 2 million bbl/d Production Capacity Further development
Slide 8: Oil and Gas Business Highlights: Japan and Europe
Oil and Gas Business Highlights CORE AREA #4 Japan CORE AREA #5 Europe Natural Gas Business in Japan Snorre Project etc. in Norway (In production) (In production, 100% INPEX Interest) In January 2022, completed acquisition of 50.5% shares in Idemitsu Natural Gas Sales Volume (1m3 =41.8605MJ) Sno
Slide 9: Net Zero Businesses Highlights
5 Net Zero Businesses Highlights Net Zero Businesses #1 Hydrogen & Ammonia Net Zero Businesses #2 CCUS Integrated Demonstration of Hydrogen & Ammonia Production CO2EOR Demonstration (Kashiwazaki City, Niigata Prefecture, Japan) (Agano City, Niigata Prefecture, Japan) Preparing to demonstrate the f
Slide 10: Net Zero Businesses Highlights
5 Net Zero Businesses Highlights Net Zero Businesses #3 Renewable Energy Net Zero Businesses #4 Carbon Recycling & New Business Offshore Wind Power Project (Netherlands) (Fixed-bottom) Methanation (Nagaoka City, Niigata, Japan) 129MW capacity (Luchterduinen) & 731.5MW capacity (Borssele III/IV) As
Slide 11: Net Production Volume (Daily) by Segment
Net Production Volume (Daily) by Segment Acquisition of the Snorre Project (Norway) and the easing of 700 654 OPEC’s coordinated output cuts are the main reasons of the 2% increase in production volume. 600 528 3% 40% (Thousand BOED) 500 40% Americas 400 Middle East/Africa 12% 300 Eurasia 10% Asia/O
Slide 12: Progress against Medium-term Business Plan 2022-2024
Progress against Medium-term Business Plan 2022-2024 FY2021 1Q-2Q FY2022 FY2022 Targets for FY 2024 (Actual) (Actual) (Forecast) Assumptions Brent Oil Price (US$ per barrel) 70.95 104.9 95.0 US$60 US$70 Exchange rate (JPY/US$) 109.90 123.2 125.0 110 110 Net income ¥223.0 billion ¥184.4 billion ¥350.
Slide 13: Expected Cash Allocation for the Increased Cash Flow
Expected Cash Allocation for the Increased Cash Flow • Expected cash allocation for the forecasted increase in operating cash flow before exploration* (based on the financial forecasts as of 2Q FY2022) compared to the forecasts at the beginning of the fiscal year Debt Reduction etc.* ◦ Additional re
Slide 14: Consolidated Financial Results for the six months ended June 30, 2022
Consolidated Financial Results for the six months ended June 30, 2022 Daisuke Yamada Director, Managing Executive Officer, Finance & Accounting
Slide 15: Highlights of the Consolidated Financial Results
Highlights of the Consolidated Financial Results for the six months ended June 30, 2022 2Q FY2021 2Q FY2022 Change % Change (January - June ’21) (January - June ’22) Net sales (Billions of yen) 498.3 1,098.4 600.0 120.4% Crude oil sales 375.3 843.2 467.8 124.6% Natural gas sales (including LPG) 114.
Slide 16: Crude Oil Sales
Crude Oil Sales 2Q FY2021 2Q FY2022 Change % Change (January - June ’21) (January - June ’22) Net sales (Billions of yen) 375.3 843.2 467.8 124.6% Sales volume (thousand bbl) 55,454 70,956 15,502 28.0% Average unit sales price of 62.71 96.29 33.58 53.5% overseas sales ($/bbl) Average unit sales pric
Slide 17: Natural Gas Sales (excluding LPG)
Natural Gas Sales (excluding LPG) 2Q FY2021 2Q FY2022 Change % Change (January - June ’21) (January - June ’22) Net sales (Billions of yen) 113.3 242.4 129.0 113.9% Sales volume (million cf) 203,293 238,760 35,466 17.4% Average unit sales price of 3.84 6.63 2.79 72.7% overseas sales ($/thousand cf)
Slide 18: 2Q FY2022 Analysis of Net Sales Increase
2Q FY2022 Analysis of Net Sales Increase (Billions of Yen) Crude Oil +257.7 Natural Gas (including LPG) +95.6 Crude Oil +104.8 Crude Oil +105.1 Natural Gas (including LPG) +14.6 Natural Gas (including LPG) +19.5 Copyright © 2022 INPEX CORPORATION. All rights reserved. 17
Slide 19: Statement of Income
Statement of Income 2Q FY2021 2Q FY2022 Change % Change (January - June ’21) (January - June ’22) (Billions of Yen) Increase in sales volume : +119.5 Net sales 498.3 1,098.4 600.0 120.4% Increase in unit sales price : +353.3 Exchange rate: +124.7 Cost of sales 233.7 447.5 213.7 91.4% Others : +2.4 G
Slide 20: Analysis of Net income attributable to owners of parent
2Q FY2022 Analysis of Net income attributable to owners of parent (Billions of Yen) +132.4 Copyright © 2022 INPEX CORPORATION. All rights reserved. 19
Slide 21: Balance Sheet
Balance Sheet December Summary of financial information for June 2022 Change % Change (Billions of yen) 2021 Ichthys downstream JV (100% basis - the Company equity share is 66.245%) Current assets 518.8 700.6 181.7 35.0% (Billions of yen) • Current assets : 158.5 Tangible fixed assets 2,259.8 2,626.
Slide 22: Statement of Cash Flows
Statement of Cash Flows 2Q FY2021 2Q FY2022 (Billions of Yen) Change (January - June ’21) (January - June ’22) Income (loss) before income taxes 219.8 626.1 406.3 Depreciation and amortization 77.2 141.1 63.9 Modification loss on financial assets - 80.0 80.0 Recovery of recoverable accounts under pr
Slide 23: Consolidated Financial Forecasts for the year ending December 31, 2022
Consolidated Financial Forecasts for the year ending December 31, 2022 Daisuke Yamada Director, Managing Executive Officer, Finance & Accounting
Slide 24: Differences between Forecasts and Actual Results for the six months
Differences between Consolidated Financial Forecasts and Actual Results for the six months ended June 30, 2022 Assumptions 1st half (May 11, 2022) (Previous Forecasts) Crude oil price (Brent) (US$/bbl) 95.0 Exchange rate (yen/US$) 120.0 1st half (August 8, 2022) (Actual Results) Crude oil price (B
Slide 25: Revisions of Financial Forecasts for the year ending December 31, 2022
Revisions of Financial Forecasts for the year ending December 31, 2022 Assumptions (May 11, 2022) 1st half (Jan-Jun) 2nd half (Jul-Dec) Full year Crude oil price (Brent) (US$/bbl) 95.0 75.0 85.0 Exchange rate (yen/US$) 120.0 120.0 120.0 (August 8, 2022) 1st half (Jan-Jun) 2nd half (Jul-Dec) Full y
Slide 26: FY2022 Financial Forecasts Analysis of Net Income
FY2022 Financial Forecasts Analysis of Net Income (Billions of Yen) 450 400 8.9 7.1 13.8 62.4 (19.8) 350 (15.4) (7.0) Exchange Rate (yen/US$) 300 May 11 Forecast 120.0 Aug 8 Forecast 125.0 250 Crude Oil Price (Brent) （US$/bbl） May 11 Forecast 85.0 Aug 8 Forecast 95.0 200 350.0 150 300.0 100 50 0 FY2
Slide 27: Net Sales, Ordinary Income and Net Income Attributable to Owners of Parent
Net Sales, Ordinary Income and Net Income Attributable to Owners of Parent (Billions of Yen) 2,200.0 1,900.0 1,600.0 1,255.0 1,300.0 1,042.0 1,000.0 657.6 700.0 257.3 400.0 100.0 -200.0 2018/3 2019/3 2019/12 2020/12 2021/12 2022/12 2022/12 (9 months) (Previous forecast) (forecast) Net sales Ordinary
Slide 28: Sales and Investment Forecasts for the Year ending December 31, 2022
Sales and Investment Forecasts for the Year ending December 31, 2022 Forecasts for the year ending Forecasts as of Forecasts as of (Reference) Change December 31, 2022 February 9, 2022 August 8, 2022 Half-year results Crude oil (thousand bbl) *1 133,071 140,915 7,844 70,956 Natural gas (million cf)
Slide 29: FY2022 Cash Flow Forecast
FY2022 Cash Flow Forecast * Approximately ¥510 billion in free cash flow* forecasted for FY2022. (Billions of Yen) Approx. 960 Approx. 450 Approx. 510 * Including the Ichthys Downstream IJV (Incorporated Joint Venture) Copyright © 2022 INPEX CORPORATION. All rights reserved. 28