Resonac Holdings Corporation · TSE:4004
Resonac — FY2023 Earnings Presentation
28 slides from Resonac's earnings presentation, Feb 14, 2024
Slide 1: Consolidated Financial Results 2023
Consolidated Financial Results 2023 Hideki Somemiya, CFO Director & Managing Corporate Officer February 14, 2024
Slide 2: Key Takeaways
Key Takeaways 1. 2023 Financial Results - Compared to 2022: Income decreased - Compared to earlier forecast(released Nov. 9): Loss decreased - Decrease in sales and income from 2022 is mostly attributed to Semiconductor & Electronic Materials segment, severely affected by an unfavorable market condi
Slide 3: Table of Contents
Table of Contents 1. 2023 Consolidated Financial Statements 2. 2024 Performance Forecast ©Resonac Holdings Corporation All Rights Reserved.
Slide 4: Summary (2022 vs. 2023)
Summary (2022 vs. 2023) (Unit: Billions of Yen except figures per share) Reference Based on ongoing businesses *2 (Unit: Billions of Yen) Increase/ 2022 2023 Decrease Increase/ 2022 2023 Decrease Net sales 1,392.6 1,288.9 (103.8) Net sales 1,369.6 1,282.4 (87.2) Operating income 61.7 (3.8) (65.5) Op
Slide 5: Breakdown of Operating Income Changes (2022 vs. 2023)
Breakdown of Operating Income Changes (2022 vs. 2023) Semiconductor & Electronic (Unit: Billions of Yen) Materials segment: (41.9) Other segments: (10.5) Chemicals segment: Graphite Electrodes +32.7 negative impact of the Other segments: inventory valuation Chemicals segment: difference and write- (
Slide 6: Segment Breakdown (2022 vs. 2023)
Sales, Operating Income and EBITDA: Segment Breakdown (2022 vs. 2023) (Unit: Billions of Yen) Increase/ Segment 2022 2023 Decrease Sales 427.2 338.1 (89.0) (21%) Semiconductor and Operating Income 45.5 (9.4) (55.0) - Electronic Materials EBITDA 96.1 43.9 (52.2) (54%) Sales 180.6 179.0 (1.7) (1%) Mob
Slide 7: Semiconductor and Electronic Materials
Segment Summary (2022 vs. 2023) Semiconductor and Electronic Materials (Unit: Billions of Yen) Increase/ 2022 2023 Decrease Performance Overview Sales dropped as the weakened demand lingered Sales 427.2 338.1 (89.0) (21%) on since the end of previous year. Decreased sales, combined with inventory wr
Slide 8: Mobility
Segment Summary (2022 vs. 2023) Mobility (Unit: Billions of Yen) Increase/ 2022* 2023 Decrease Performance Overview Sales: Mostly unchanged despite the divestiture of Sales 180.6 179.0 (1.7) (1%) ISOLITE GmbH and a weak consumer demand of some products, as automobile production recovers and products
Slide 9: Innovation Enabling Materials
Segment Summary (2022 vs. 2023) Innovation Enabling Materials (Unit: Billions of Yen) Increase/ 2022 2023 Decrease Performance Overview Sales 141.1 130.1 (11.0) (8%) Operating Income 10.1 11.3 1.2 12% Sales decreased while operating income increased, with less sales volume and higher sales price, wh
Slide 10: Chemicals
Segment Summary (2022 vs. 2023) Chemicals (Unit: Billions of Yen) Increase/ 2022 2023 Decrease Performance Overview Sales 527.8 516.3 (11.5) (2%) - Olefins & Derivatives: Lower naphtha price led to a decrease in sales, although sales volume increased due to the absence of 4-year cycle Olefins & Deri
Slide 11: Segment Breakdown (Consolidated) 2023
Sales and Operating Income 2023: Segment Breakdown (Consolidated) (Unit: Billions of Yen) 2023 Results Earlier Forecast* Segment 1Q 2Q 3Q 4Q Full-year Full-year Increase/ Results Results Results Results Results Forecast Decrease Semiconductor and Sales 69.4 84.0 88.3 96.4 338.1 333.0 5.1 Electronic
Slide 12: 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) Increase/ Increase/ 2022 2023 Decrease 2022 2023 Decrease Gain on sale of noncurrent Interest/Dividends 13.6 3.7 (9.9) (13.9) (11.1) 2.8 as
Slide 13: Consolidated Balance Sheet
Consolidated Balance Sheet Consolidated Balance Sheet (Unit: Billions of Yen) Dec. 31, Dec. 31, Increase/ Dec. 31, Dec. 31, Increase/ Assets Decrease Liabilities and net assets Decrease 2022*1 2023 2022*1 2023 Cash and deposits 186.5 190.3 3.8 Notes and accounts payable 194.1 177.4 (16.7) Notes and
Slide 14: Results of Structural Reforms
Results of Structural Reforms Profitability improved for troubled businesses ▶ Production capacity/workforce optimization - Closed a manufacturing plant in Taiwan. Combined with other plants, a total HD Media 1/3 cut of the global capacity compared to the beginning of the year - Expects reduction of
Slide 15: Table of Contents
Table of Contents 1. 2023 Consolidated Financial Statements 2. 2024 Performance Forecast ©Resonac Holdings Corporation All Rights Reserved.
Slide 16: 2024 Consolidated Forecast
2024 Consolidated Forecast (Unit: Billions of Yen except figures per share) 2023 2024 Increase/ 2024 Forecast*1 Full-year Full-year Decrease 1H 2H Results Forecast*1 Forecast Forecast Net sales 1,288.9 1,330.0 41.1 640.0 690.0 Operating income (3.8) 28.0 31.8 (5.0) 33.0 Non-operating income and expe
Slide 17: Change in Segmentation
Change in Segmentation As of 2024, Aluminum Specialty Components business belongs to Mobility segment Segmentation as of 2024 Backgrounds of organizational/segmentation change Semiconductor and Electronic Materials - Aluminum Specialty Components business sets to Mobility focus further on automobile
Slide 18: Segment Breakdown (Forecast)
Sales and Operating Income 2024: Segment Breakdown (Forecast) (Unit: Billions of Yen) 2024 Forecast* 2023 Results Segment 1H 2H Full-year Full-year Increase/ Forecast Forecast Forecast Results Decrease Sales 180.0 210.0 390.0 338.1 51.9 Semiconductor and Operating Income 1.0 18.0 19.0 (9.4) 28.4 Ele
Slide 19: Appendix
Appendix ©Resonac Holdings Corporation All Rights Reserved.
Slide 20: Consolidated Companies, Key Outside Factors
Reference Consolidated Companies, Key Outside Factors Consolidated Companies Consolidated subsidiaries: 102 (-6 from Dec. 31, 2022) +4: Related to 100% acquisition of AMI Automation -3: Related to the transfer of diagnostic medicine business -7: Related to the integration of regional HQs, etc. Equit
Slide 21: Consolidated Cash Flows
Reference Consolidated Cash Flows (Unit: Billions of Yen) 2022 2023 2024 Increase/ Increase/ Full-year Full-year Full-year Decrease Decrease Results*(A) Results (B) Forecast (C) (B) - (A) (C) - (B) CF from operating activities 99.4 118.7 87.0 19.3 (31.7) CF from investing activities (54.7) (61.9) (1
Slide 22: Capital Expenditures: Segment Breakdown
Reference Capital Expenditures: Segment Breakdown (Unit: Billions of Yen) 2022 2023 2024 Increase/ Increase/ Segment Full-year Full-year Full-year Decrease Decrease Results*(A) Results (B) Forecast (C) (B) - (A) (C) - (B) Semiconductor and 44.3 38.8 75.5 (5.5) 36.6 Electronic Materials Mobility 8.9
Slide 23: Capital Expenditures, Depreciation, R&D, Financial costs
Capital Expenditures, Depreciation, R&D expenditures, Financial costs and Reference Preferred stock dividends (Consolidated) (Unit: Billions of Yen) 2022 2023 2024 Increase/ Increase/ Full-year Full-year Full-year Decrease Decrease Results*(A) Results (B) Forecast (C) (B) - (A) (C) - (B) Capital exp
Slide 24: Depreciation: Segment Breakdown
Reference Depreciation: Segment Breakdown 2022 2023 2024 Increase/ Increase/ (Unit: Billions of Yen) Segment Full-year Full-year Full-year Decrease Decrease Results(A) Results (B) Forecast (C) (B) - (A) (C) - (B) Depreciation (excl. PPA) 24.9 27.6 30.6 2.8 2.9 Semiconductor and PPA depreciation 12.4
Slide 25: Summary (2023 3Q vs. 2023 4Q)
Reference Summary (2023 3Q vs. 2023 4Q) (Unit: Billions of Yen) Increase/ 2023 3Q 2023 4Q Decrease Net sales 326.2 346.6 20.4 Operating income 8.9 0.5 (8.3) Non-operating income and (4.6) (8.2) (3.5) expenses, net Ordinary income 4.2 (7.6) (11.8) Extraordinary profit/loss 18.5 (26.2) (44.7) Income b
Slide 26: 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 27: Topics
Reference Topics Segment Topics Resonac Plans to Establish Semiconductor Back-end Process R&D Center in Semiconductor Silicon Valley and Electronic Materials Resonac Participates in a US-based Leading-edge Semiconductor Consortium The First Japanese Strategic Material Manufacturing Partner Resonac a
Slide 28: 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