UBE Corporation · TSE:4208

UBE — H1 FY2020 Earnings Presentation

36 slides from UBE's earnings presentation, Oct 30, 2020

  1. Slide 1: Financial Results for the 1st half of FY2020

    Financial Results for the 1st half of FY2020 Explanatory material October 30, 2020 1st half: April – September

  2. Slide 2: FY2020 1st half Consolidated Results

    FY2020 1st half Consolidated Results 2

  3. Slide 3: Scope of Consolidation

    1st half of the FY2020 Scope of Consolidation End of FY2020 End of FY2019 Difference Item 2Q Notes (A) (B) （B) - （A) Number of ＋ Premium Composite Technology North America, Inc. － U-MHI Platech Co., Ltd. consolidated 69 67 (2) － U-MHI Platech America, Inc. subsidiaries － AET Electrolyte Technologies

  4. Slide 4: Environmental Factors: Naphtha Material Price

    1st half of the FY2020 Environmental Factors FY2019 2Q FY2020 2Q Difference Item (A) (B) (B) - (A) Exchange Rate Yen/$ 108.6 106.9 (1.7) CIF $/ｔ 539 346 (193) Naphtha Domestic Yen/KL 42,800 27,700 (15,100) Material Price Benzene (ACP) $/ｔ 640 398 (242) Australian $/ｔ 104.0 75.8 (28.2) Coal (CIF) Yen

  5. Slide 5: Major P/L Items

    1st half of the FY2020 Major P/L Items (Billions of yen) FY2019 2Q FY2020 2Q Difference Percentage Item (A) (B) (B) - (A) change Net sales 335.0 280.0 (55.0) (16.4)% Operating profit 16.7 3.4 (13.3) (79.6)% Ordinary profit 16.6 1.5 (15.1) (90.9)% Profit attributable to 10.7 0.2 (10.5) (97.5)% owners

  6. Slide 6: Net Sales and Operating Profit by Segment

    1st half of the FY2020 Net Sales and Operating Profit by Segment (Billions of yen) Segment FY2019 2Q FY2020 2Q Difference (A) (B) (B) - (A) Chemicals 146.4 112.3 (34.1) Net sales Construction Materials 152.7 139.1 (13.5) Machinery 42.0 34.9 (7.0) Others 2.3 1.4 (0.8) Adjustment (8.4) (7.8) 0.5 y Tot

  7. Slide 7: Analysis – Total

    1st half of the FY2020 Analysis – Total (Billions of yen) Net Sales Difference of operating profit 400.0 335.0 Chemicals (34.1) Price ※1 (4.9) (55.0) 280.0 Construction Materials (13.5) 合成ゴム 69.0 Machinery (7.0) 200.0 Others (0.8) Volume (8.3) Adjustment 0.5 カプロラクタム (6 0) 0.0 Fixed Cost FY2019 2Q FY

  8. Slide 8: Analysis – Chemicals

    1st half of the FY2020 Analysis – Chemicals (Billions of yen) Net Sales Difference of operating profit Price ※1 (7.0) Engineering Plastics & Fine Chemicals (18.5) (34.1) Synthetic rubber (8.1) 合成ゴム 69.0 Specialty Products (4.3) Volume (5.0) Pharmaceutical (2.0) etc カプロラクタム (6 0) Fixed Cost (23.3)% D

  9. Slide 9: Analysis – Construction Materials

    1st half of the FY2020 Analysis – Construction Materials (Billions of yen) Net Sales Difference of operating profit Cement and Ready-mixed concrete (0.6) Construction materials and (5.4) Price ※1 2.2 (13.5) Limestone related products 69.0 Coal (7.4) Power (0.6) Volume (3.0) etc (6 0) Fixed Cost (8.9

  10. Slide 10: Analysis – Machinery

    1st half of the FY2020 Analysis – Machinery (Billions of yen) Net Sales Difference of operating profit Price ※1 (0.1) (7.0) 69.0 Volume (0.4) (6 0) Fixed Cost (16.8)% Decreased and Others ※2 (0.9) Operating profit Total (1.4) (1.4) *1: Including both selling and purchase change *2: Including margina

  11. Slide 11: Operating Profit – Profit attributable to owners of parent

    1st half of the FY2020 Operating Profit – Profit attributable to owners of parent (Billions of yen) FY2019 2Q FY2020 2Q Difference Item (A) (B) (B) - (A) Operating profit 16.7 3.4 (13.3) Non-operating income (expenses) (0.1) (1.8) (1.7) Net interests expenses 0.6 0.2 (0.3) Share of profit (loss) of

  12. Slide 12: Consolidated Balance Sheet

    1st half of the FY2020 Consolidated Balance Sheet (Billions of yen) End of FY2019 End of FY2020 2Q Difference Item (A) (B) (B) - (A) Current assets 303.9 284.2 (19.6) Fixed assets 423.1 421.5 (1.5) Total assets 727.2 706.0 (21.1) Interest-bearing debt 190.7 199.3 8.6 Other liabilities 182.1 155.5 (2

  13. Slide 13: Consolidated Statements of Cash Flows

    1st half of the FY2020 Consolidated Statements of Cash Flows (Billions of yen) Item FY2019 2Q FY2020 2Q Profit before income taxes 1.8 Depreciation and amortization 18.0 A.Cash flows from operating activities 36.7 29.7 Increase in working capital 14.9 Income taxes paid (4.9) etc. B.Cash flows from i

  14. Slide 14: FY2020 Consolidated Forecasts

    FY2020 Consolidated Forecasts 14

  15. Slide 15: Scope of Consolidation (Forecast)

    FY2020 Consolidated Forecasts Scope of Consolidation End of FY2019 End of FY2020 Difference Item Notes (A) (B) （B) - （A) ＋ Premium Composite Technology North America, Inc. Number of － U-MHI Platech Co., Ltd. consolidated 69 66 (3) － U-MHI Platech America, Inc. subsidiaries － AET Electrolyte Technolo

  16. Slide 16: Environmental Factors: Naphtha Material Price

    FY2020 Consolidated Forecasts Environmental Factors FY2019 FY2020 Difference Item (A) (B) (B) - (A) 107.0 Exchange Rate Yen/$ 108.7 (1.7) [107.0] 393 Naphtha CIF $/ｔ 541 (148) [440] 31,200 Material Price Domestic Yen/KL 42,900 (11,700) [34,700] Benzene 439 $/ｔ 666 (227) (ACP) [480] 76.5 Australian $

  17. Slide 17: Major P/L & B/S Items

    FY2020 Consolidated Forecasts Major P/L & B/S Items (Billions of yen) FY2019 FY2020 Difference Percentage Item change (A) (B) (B) - (A) Net sales 667.8 592.0 (75.8) (11.4)% Operating profit 34.0 21.5 (12.5) (36.8)% Ordinary profit 35.7 17.5 (18.2) (51.0)% Profit attributable to 22.9 13.0 (9.9) (43.4

  18. Slide 18: Net Sales and Operating Profit by Segment

    FY2020 Consolidated Forecasts Net Sales and Operating Profit by Segment (Billions of yen) FY2019 FY2020 Difference Segment (A) (B) (B) - (A) Chemicals 286.0 243.0 (43.0) Net sales Construction Materials 303.0 279.0 (24.0) Machinery 90.7 78.0 (12.7) Others 4.5 3.0 (1.5) Adjustment (16.5) (11.0) 5.5 T

  19. Slide 19: Analysis – Total

    FY2020 Consolidated Forecasts Analysis – Total (Billions of yen) Net Sales 1,000.0 Chemicals (43.0) 667.8 (75.8) Construction Materials (24.0) 592.0 Machinery (12.7) 500.0 Others (1.5) Adjustment 5.5 0.0 (11.4)% Decreased FY2019 FY2020 Operating Profit 60.0 Chemicals (9.0) Construction Materials (1.

  20. Slide 20: Analysis – Chemicals

    FY2020 Consolidated Forecasts Analysis – Chemicals (Billions of yen) Net Sales Engineering Plastics & Fine Chemicals (21.5) (43.0) Synthetic rubber (12.9) Specially Products (5.7) Pharmaceutical (1.8) etc (15.0)% Decreased Operating Profit Engineering Plastics & Fine Chemicals (4.8) (9.0) Synthetic

  21. Slide 21: Analysis – Construction Materials

    FY2020 Consolidated Forecasts Analysis – Construction Materials (Billions of yen) Net Sales Cement and Ready-mixed concrete (1.8) Construction materials and (6.5) (24.0) Limestone related products Coal (13.1) Power (2.4) etc (7.9)% Decreased Operating Profit Cement and Ready-mixed concrete 0.8 (1.5)

  22. Slide 22: Analysis – Machinery

    FY2020 Consolidated Forecasts Analysis – Machinery (Billions of yen) Net Sales (12.7) (14.1)% Decreased Operating Profit (1.9) (39.3)% Decreased 22

  23. Slide 23: Operating Profit – Profit attributable to owners of parent

    FY2020 Consolidated Forecasts Operating Profit – Profit attributable to owners of parent (Billions of yen) FY2019 FY2020 Difference Item (A) (B) (B) - (A) Operating profit 34.0 21.5 (12.5) Non-operating income (expenses) 1.6 (4.0) (5.6) Ordinaly profit 35.7 17.5 (18.2) Extraordinary income (losses)

  24. Slide 24: Reference

    Reference 24

  25. Slide 25: Reference: Forecast Difference of Net sales

    Reference: FY2020 Consolidated Forecast Difference of Net sales （Billions of yen） Previous Revised forecasts forecasts Difference Segment Major factors 2020/5/13 2020/10/23 (A) (B) (B) - (A) Engineering Plastics & Fine Chemicals (8.0) Synthetic rubber (4.5) Chemicals 260.0 243.0 (17.0) Specialty Pro

  26. Slide 26: Reference: Forecast Difference of Operating profit

    Reference: FY2020 Consolidated Forecast Difference of Operating profit （Billions of yen） Previous Revised forecasts forecasts Difference Segment Major factors 2020/5/13 2020/10/23 (A) (B) (B) - (A) Engineering Plastics & Fine Chemicals (3.1) Synthetic rubber (0.9) Chemicals 9.5 5.5 (4.0) Specialty P

  27. Slide 27: Analysis of Operating Profit by Segment

    Reference: 1st half of FY2020 Analysis of Operating Profit by Segment （Billions of yen） Operating profit (loss) Segment Fixed cost FY2019 2Q FY2020 2Q Difference Price Volume and others (A) (B) (B) - (A) *1 *2 Chemicals 8.3 (2.5) (10.8) (7.0) (5.0) 1.0 Construction Materials 6.7 5.6 (1.0) 2.2 (3.0)

  28. Slide 28: Progress of Major P/L Items

    Reference: 1st half of FY2020 Progress of Major P/L Items (Billions of yen) FY2019 (A) FY2020 (B) Difference (B) - (A) Item 2Q 2Q 2Q Progress Progress 335.0 280.0 Net sales 667.8 592.0 (75.8) (55.0) 50.2% 47.3% 16.7 3.4 Operating profit 34.0 21.5 (12.5) (13.3) 49.2% 15.9% 16.6 1.5 Ordinary profit 35.

  29. Slide 29: Net Sales

    Reference: 1st half of FY2020 Net Sales (Billions of yen) FY2020 Full-year Segment Progress (forecast) 1Q 2Q 3Q 4Q Total Chemicals 52.5 59.7 ー ー 112.3 243.0 46.2% Construction Materials 69.1 69.9 ー ー 139.1 279.0 49.9% Machinery 16.7 18.2 ー ー 34.9 78.0 44.8% Others 0.7 0.7 ー ー 1.4 3.0 49.1% Adjustmen

  30. Slide 30: Operating Profit

    Reference: 1st half of FY2020 Operating Profit (Billions of yen) FY2020 Full-year Segment Progress (forecast) 1Q 2Q 3Q 4Q Total Chemicals (2.7) 0.1 ー ー (2.5) 5.5 －% Construction Materials 1.9 3.7 ー ー 5.6 13.0 43.6% Machinery 0.2 0.0 ー ー 0.2 3.0 8.4% Others 0.0 0.1 ー ー 0.1 0.5 28.6% Adjustment (0.1)

  31. Slide 31: 2Q on 1Q – Net Sales

    Reference: 1st half of FY2020 2Q on 1Q – Net Sales （Billions of yen） FY2020 FY2020 Difference Segment 1Q 2Q Major factors (A) (B) (B) - (A) Engineering Plastics & Fine Chemicals 4.5 Synthetic rubber 1.1 Chemicals 52.5 59.7 7.1 Specialty Products 1.2 Pharmaceutical (0.6) etc. Cement and Ready-mixed c

  32. Slide 32: 2Q on 1Q – Operating Profit

    Reference: 1st half of FY2020 2Q on 1Q – Operating Profit （Billions of yen） FY2020 FY2020 Difference Segment 1Q 2Q Major factors (A) (B) (B) - (A) Engineering Plastics & Fine Chemicals 4.0 Synthetic rubber (1.1) Chemicals (2.7) 0.1 2.9 Specialty Products (0.0) Pharmaceutical (0.5) etc. Cement and Re

  33. Slide 33: Consolidated Key Indicators

    Reference: 1st half of FY2020 Consolidated Key Indicators (Billions of yen) FY2020 full-year FY2019 Item FY2019 2Q FY2020 2Q (forecast) full-year Capital investment 18.0 17.8 47.0 47.6 Depreciation and amortization 18.1 18.0 36.0 36.8 Research and development expenses 6.5 5.6 14.0 12.8 Adjusted oper

  34. Slide 34: Consolidated Major Subsidiaries

    Reference: 1st half of FY2020 Consolidated Major Subsidiaries (Billions of yen) Difference of Net Sales operating Subsidiaries and affiliates Business profit from FY2020 2Q FY2019 2Q Manufacture and sales of nylon, caprolactam, ammonium sulfate and fine UBE Corporation Europe, S.A. Unipersonal chemi

  35. Slide 35: IR Calendar: Announcement of 3rd quarter Business Results

    Reference: IR Calendar Announcement of 3rd quarter Business Results  Announcement of 3rd quarter Business Results • February 2, 2021 15:00  Telephone Conference for 3rd quarter Business Results • February 2, 2021 18:00 ー 18:45 (Note) This schedule is subject to change without notice due to circums

  36. Slide 36: Forward-looking statements disclaimer

    This presentation material contains forward-looking statements concerning UBEʼs future plans, strategies, and performance. These forward-looking statements are not historical facts; rather, they represent assumptions and beliefs based on economic, financial, and competitive conditions currently obse

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