Posco Holdings Inc. · KRX:005490
Posco — Q1 2020 Earnings Presentation
15 slides from Posco's earnings presentation, Apr 27, 2020
Slide 1: 1Q 2020 Earnings Release
Exhibit 99.1 1Q 2020 Earnings Release April 24, 2020Exhibit 99.1 1Q 2020 Earnings Release April 24, 2020
Slide 2: Disclaimer
Disclaimer This presentation was prepared and circulated to release the informations regarding the company’s business performance to shareholders and investors prior to the completion of auditing for the period of the first quarter of 2019. As figures in this presentation are based on unaudited fina
Slide 3: Contents
Contents § 1Q 2020 Business Performance - Parent Performance - Consolidated Performance - Subsidiary Performance § Treasury Share Buyback Plan § 2020 Business Outlook 1Q20 Earnings Release │ April 24, 2020Contents § 1Q 2020 Business Performance - Parent Performance - Consolidated Performance - Subsi
Slide 4: Parent Performance: Production / Sales
4 Parent Performance_Production / Sales Production Sales QoQ QoQ (thousand tons) (thousand tons, %) 9,602 9,283 9,406 9,009 9,066 -536 8,620 -389 Crude Steel Sales Volume 9,040 8,966 55.3 -243 8,723 Domestic 54.8 +1.7%p 53.1 Product Sales Ratio WTP 29.7 -0.4%p Sales Ratio 28.0 27.6 ’19.1Q ’19.4Q ’20
Slide 5: Parent Performance: P/L and Financial Structure
5 Parent Performance P/L Financial Structure (billion KRW) QoQ QoQ 28.3% 7,817 22.1% Liabilities 7,345 20.0% Revenue +6.2%p Ratio 6,970 -375 833 Operating Profit +91 458 Net Debt 367 -2.5 10.7% -3.1 (trillion KRW) -0.6 6.6% +1.6%p -3.5 OP Margin 5.0% ’19.1Q ’19.4Q ’20.1Q ’19.1Q ’19.4Q ’20.1Q ○ Opera
Slide 6: Consolidated Performance: P/L and Financial Structure
6 Consolidated Performance P/L Financial Structure (billion KRW) QoQ QoQ 16,043 16,014 73.5% Liabilities Revenue 68.8% 14,546 -1,497 +8.1%p Ratio 65.4% Operating 1,203 Profit 705 +147 9.0 Net Debt +0.2 8.2 8.0 7.5% 558 (trillion KRW) 4.8% OP Margin +1.3%p 3.5% ’19.1Q ’19.4Q ’20.1Q ’19.1Q ’19.4Q ’20.
Slide 7: Subsidiary Performance
7 Subsidiary Performance POSCO E&C POSCO International · Profit improved supported by housing segment and reduced · Operating profit jumped on stable gas sales while revenue shrank general & administrative expenses from weakened global trading sector due to COVID-19 - Housing projects incl. Songdo F
Slide 8: Treasury Share Buyback Plan
8 Treasury Share Buyback Plan Share repurchase worth of KRW 1 trillion to be carried out through trust agreement for one year period ○ Purpose of Share Buyback - Raise shareholders’ value by stabilizing the stock price and increasing shareholder return ○ Trust Agreement Period - April 13, 2020 ~ Apr
Slide 9: 2020 Business Outlook (Modified)
9 2020 Business Outlook (Modified) Parent Consolidated (trillion KRW) 25.2 Revenue 57.5 Crude steel production 34.1 million tons Product sales 32.4 million tons Capex 3.2 5.2 Debt 7.2 22.09 2020 Business Outlook (Modified) Parent Consolidated (trillion KRW) 25.2 Revenue 57.5 Crude steel production 3
Slide 10: Appendix
※ Appendix § Summarized Financial Statements § Aggregated Earnings by Segment 1Q20 Earnings Release │ April 24, 2020※ Appendix § Summarized Financial Statements § Aggregated Earnings by Segment 1Q20 Earnings Release │ April 24, 2020
Slide 11: Summarized F/S: Parent Income Statement
11 Summarized F/S_Parent Income Statement ’19.1Q ’19.4Q ’20.1Q QoQ Crude Steel Production (thousand tons) 9,406 9,602 9,066 -536 Product Sales (thousand tons) 9,283 9,009 8,620 -389 STS 507 481 469 -12 Carbon Steel Sales Price (thousand KRW) 722 697 692 -5 (billion KRW) Revenue 6,970 -375 7,817 7,34
Slide 12: Summarized F/S: Parent Balance Sheet
12 Summarized F/S_Parent Balance Sheet (billion KRW) ’19.1Q ’19.4Q ’20.1Q QoQ Current Assets 17,604 18,216 20,774 +2,558 Cash Balance* 7,734 8,822 11,723 +2,901 Accounts Receivable 4,449 3,987 3,680 307 - Inventories 4,998 4,989 4,768 -221 Current Ratio 422.7% 546.8% 497.1% -49.7%p Non-Current Asset
Slide 13: Summarized F/S: Consolidated Income Statement
13 Summarized F/S_Consolidated Income Statement (billion KRW) ’19.1Q ’19.4Q ’20.1Q QoQ Revenue -1,497 16,014 16,043 14,546 Gross Profit 1,813 1,210 1,310 +100 (Gross Margin) (11.3%) (7.5%) (9.0%) (+1.5%p) SG&A 610 652 605 -47 Operating Profit 1,203 558 705 +147 (Operating Margin) (+1.3%p) (7.5%) (3.
Slide 14: Summarized F/S: Consolidated Balance Sheet
14 Summarized F/S_Consolidated Balance Sheet (billion KRW) ’19.1Q ’19.4Q ’20.1Q QoQ Current Assets 34,678 34,843 37,813 +2,970 Cash Balance* 10,887 12,463 15,351 +2,888 Accounts Receivable 10,110 9,078 9,344 +266 Inventories 11,259 10,920 10,712 -208 Current Ratio 183.0% 213.4% 206.8% -6.6%p Non-Cur
Slide 15: Aggregated Earnings by Segment
15 Aggregated Earnings by Segment (billion KRW) Revenue Operating Profit Net Profit Segment ’19.1Q ’19.4Q ’20.1Q ’19.1Q ’19.4Q ’20.1Q ’19.1Q ’19.4Q ’20.1Q Steel 12,556 12,018 11,075 893 279 383 635 -964 285 Global&Infra 12,155 12,710 11,435 293 266 375 178 45 261 Trading 9,371 9,232 8,424 180 107 14