Toagosei Co., Ltd. · TSE:4045
Toagosei — Q2 2018 Earnings Presentation
19 slides from Toagosei's earnings presentation, Aug 8, 2018
Slide 1: Financial Results for 2Q FY2018
Financial Results for 2Q FY2018 August 8, 2018 This document is a translation of the official Japanese version provided for information purpose only.
Slide 2: Overview of Results for 2nd Quarter of FY2018
Overview of Results for 2nd Quarter of FY2018 Scope of consolidation Number of consolidated subsidiaries: 20 (no change) Number of equity-method affiliates: 2 (no change) 2017 2Q 2018 2Q Change (Millions of Net sales yen) 70,743 73,148 2,404 3.4% (Millions of Operating income yen) 8,793 7,801 -991 -
Slide 3: Summary of Financial Results for 2nd Quarter of FY2018
Summary of Financial Results for 2nd Quarter of FY2018 ＜Business Environment＞ ・The Japanese economy made a mild recovery. ・The economies of developed countries and Asian emerging countries also remained robust. ・Costs for raw materials, fuels, logistics, etc. increased along with a rise in oil price
Slide 4: Consolidated Results (by Segment)
Consolidated Results (by Segment) Net sales (by consolidated segment) (Millions of yen) Changes in net sales 2017 2Q 2018 2Q Volume Unit price Change Commodity Chemicals 32,684 33,887 -404 1,607 1,203 Polymer & Oligomer 13,850 14,531 651 30 681 Adhesive Material 5,938 5,849 -35 -53 -88 Performance C
Slide 5: Other Income/Expenses and Extraordinary Income/Loss (Consolidated)
Other Income/Expenses and Extraordinary Income/Loss (Consolidated) [Other income/expenses] [Extraordinary income/loss] (Millions of yen) (Millions of yen) 2017 2Q 2018 2Q Change 2017 2Q 2018 2Q Change Interest and dividend income 480 465 -14 Gain on sales of 369 5 -364 non-current assets Equity in e
Slide 6: Consolidated Balance Sheet
Consolidated Balance Sheet (Millions of yen) Dec. 31, Jun. 30, 2017 2018 Change [Balance Sheet] Cash and deposits 29,636 34,527 4,891 ①Market value of investment securities Notes and accounts 42,583 40,551 -2,032 decreased because of a downturn of the receivable stock market. Securities 47,000 46,00
Slide 7: Overview of Consolidated Subsidiaries
Overview of Consolidated Subsidiaries (Results for 2nd Quarter of FY2018) (Millions of yen) Net income (loss) Ownership Net sales Operating income (loss) attributable to owners of Company name Segment (%) parent 2017 2Q 2018 2Q 2017 2Q 2018 2Q 2017 2Q 2018 2Q Commodity 1 Toa Techno-Gas Chemicals 100
Slide 8: Forecast for 2nd Half of FY2018
Forecast for 2nd Half of FY2018 Domestic economy is expected to maintain a recovery trend and demand for chemical products is expected to be strong, but there are concerns over intensified trade war originating in the U.S. and fluctuations in financial and capital markets. “2018 is (still) the year
Slide 9: Consolidated Results Forecast for FY2018
Consolidated Results Forecast for FY2018 (Millions of yen) FY2018 2H FY2018 forecast Change FY2017 (A) FY2018 1H (forecast) (B) (B-A) Net sales 144,708 73,148 75,852 149,000 4,292 Operating income 17,453 7,801 9,699 17,500 47 Operating income ratio 12.1% 10.7% 12.8% 11.7% -0.4% Other income/expenses
Slide 10: Consolidated Results Forecast for FY2018 (by Segment)
Consolidated Results Forecast for FY2018 (by Segment) Net sales (Millions of yen) FY2017 FY2018 Change Factors for change results forecast Commodity Chemicals 66,630 67,200 570 [Increase] Caustic soda [Decrease] Acrylic monomer Polymer & Oligomer 28,096 30,100 2,004 [Increase] Acrylic polymer, UV-cu
Slide 11: Historical Consolidated Results
Historical Consolidated Results (Millions of yen) (Yen) 30,000 M/標準 120 104.8 98.1 98.8 25,000 100 M/標準 20,000 80 M/標準 17,453 (12.1%) 17,500 (11.7%) 63.9 16,147 (11.9%) 15,000 13,801 60 M/標準 50.9 12,911 12,015 (8.1%) 12,347 (8.8%) 13,000 10,000 40 M/標準 8,414 6,696 5,000 20 M/標準 0 0 M/標準 FY2014 FY201
Slide 12: Reference for Consolidated Performance
Reference for Consolidated Performance (Billions of yen) FY2018 FY2014 FY2015 FY2016 FY2017 forecast Depreciation and amortization 8.6 8.8 7.9 7.9 8.1 Capital investment 7.8 5.8 5.1 10.0 10.8 Research and development expenses 3.9 3.7 3.6 3.7 3.7 Overseas sales 24.8 23.1 21.6 24.2 24.5 Interest-beari
Slide 13: Historical Reference for Consolidated Performance
Historical Reference for Consolidated Performance (Millions of yen) (Millions of yen) 200,000 192,070 50,000 76.5% 76.0% 182,624 75.9% 167,990 77.2% 158,173 76.3% 160,000 152,711 40,000 120,000 30,000 80,000 20,000 13,234 12,693 12,307 12,150 11,692 40,000 10,000 0 0 FY2014 FY2015 FY2016 FY2017 FY20
Slide 14: Medium-Term Management Plan: Operating Income Trend
Medium-Term Management Plan “Trajectory Toward Growth 2019” Operating Income Trend (Billions of yen) High-value-added products Commodity products 18.0 17.5 17.5 16.1 14.5 Commodity 5.5 products 6.8 7.1 12.0 12.3 5.9 1H 6.5 2.9 3.1 3.6 High-value- added products 12.5 10.2 10.7 10.4 8.4 9.2 8.0 1H 4.9
Slide 15: Toagosei (Thailand) Co., Ltd.
Toagosei (Thailand) Co., Ltd. Phase 1 project Completion ceremony Completion of an acrylic polymer plant Highly-functional and high-value-added acrylic polymer manufacturing facilities completed on July 5, 2018. ⇒ A full-scale marketing in the Southeast Asian market is planned to achieve a high util
Slide 16: Business Status (1) Polymer & Oligomer Segment
Business Status (1) Polymer & Oligomer Segment Completion of polymer manufacturing facilities for LIB components Polymer manufacturing facilities for LIB electrodes completed on August 1. A full-scale entry into the growing Electric Vehicle material market. Development of “Aronix Sheet®,” a resin al
Slide 17: Business Status (2) Adhesive Material Segment
Business Status (2) Adhesive Material Segment Development of “Aron Mighty AF700,” a low dielectric constant adhesive film We developed an adhesive agent for FPC compatible with 5G and other high speed telecommunication. Intended to be used as components for smartphones and telecommunication base sta
Slide 18: Business Status (3) Performance Chemicals and Plastics Segments
Business Status (3) Performance Chemicals Segment Manufacturing facilities Expansion of production and shipment capacity of at the Yokohama Plant high-purity liquefied hydrogen chloride Cutting-edge manufacturing and filling equipment is under construction at the Yokohama Plant to respond to high qu
Slide 19: Topics in 1st Half of FY2018
Topics in 1st Half of FY2018 New R&D bases Opening ceremony Establishment of “Tokyo Techno Lab,” a product development base This facility was established in April 2018 as a new product development base primarily for providing technical support to users in the Tokyo metropolitan area, strengthening n