UBE Corporation · TSE:4208
UBE — FY2019 Earnings Presentation
35 slides from UBE's earnings presentation, May 13, 2020
Slide 1: FY2019 Consolidated Results, FY2020 Consolidated Forecasts
FY2019 Consolidated Results FY2020 Consolidated Forecasts Explanatory material May 13, 2020
Slide 2: FY2019 Consolidated Results
FY2019 Consolidated Results 2
Slide 3: Scope of Consolidation
FY2019 Consolidated Results Scope of Consolidation End of FY2018 End of FY2019 Difference Item Notes (A) (B) （B) - （A) - UBE Coal Trading, Ltd. Number of - UBE ELECTRONICS, LTD. consolidated 71 69 (2) - UBE ELECTRONICS (WUXI) CO., LTD subsidiaries + UBE PROCESSING TEC CORPORATION Number of equity me
Slide 4: Environmental Factors: Naphtha Material Price
FY2019 Consolidated Results Environmental Factors FY2018 FY2019 Difference Item (A) (B) (B) - (A) Exchange Rate Yen/$ 110.9 108.7 (2.2) 616 541 (75) Naphtha CIF $/ｔ Domestic Yen/KL 49,400 42,900 (6,500) Material Price Benzene (ACP) $/ｔ 764 666 (98) Australian $/ｔ 125.0 99.3 (25.7) Coal (CIF) Yen/t 1
Slide 5: Major P/L Items
FY2019 Consolidated Results Major P/L Items (Billions of yen) FY2018 FY2019 Difference Percentage Item (A) (B) (B) - (A) change Net sales 730.1 667.8 (62.2) (8.5)% Operating profit 44.5 34.0 (10.5) (23.6)% Ordinary profit 47.8 35.7 (12.1) (25.3)% Profit attributable to 32.4 22.9 (9.5) (29.3)% owners
Slide 6: Net Sales and Operating Profit by Segment
FY2019 Consolidated Results Net Sales and Operating Profit by Segment (Billions of yen) Segment FY2018 FY2019 Difference (A) (B) (B) - (A) Chemicals 324.2 286.0 (38.2) Net sales Construction Materials 321.0 303.0 (17.9) Machinery 97.2 90.7 (6.4) Others 4.9 4.5 (0.3) Adjustment (17.3) (16.5) 0.7 Tota
Slide 7: Analysis - Total
FY2019 Consolidated Results Analysis - Total (Billions of yen) Net Sales Difference of operating profit 850.0 (62.2) 730.1 667.8 Chemicals (38.2) Price ※1 3.5 Construction Materials (17.9) 合成ゴム 69.0 Machinery (6.4) 425.0 Others (0.3) Volume (2.9) Adjustment 0.7 カプロラクタム (6 0) 0.0 (8.5)% Decreased Fix
Slide 8: Analysis - Chemicals
FY2019 Consolidated Results Analysis - Chemicals (Billions of yen) Net Sales Difference of operating profit (38.2) Engineering Plastics & Fine Chemicals (23.0) Price ※1 (4.4) Synthetic rubber (11.7) 合成ゴム 69.0 Specialty Products (2.0) Pharmaceutical 1.2 Volume 1.2 etc カプロラクタム (6 0) Fixed Cost (11.8)%
Slide 9: Analysis - Construction Materials
FY2019 Consolidated Results Analysis –Construction Materials (Billions of yen) Net Sales Difference of operating profit Cement and Ready-mixed concrete (6.3) (17.9) Construction materials and (3.2) Price ※1 7.2 Limestone related products 69.0 Coal (8.8) Power 0.3 Volume (3.7) etc (6 0) Fixed Cost (5
Slide 10: Analysis - Machinery
FY2019 Consolidated Results Analysis - Machinery (Billions of yen) Net Sales Difference of operating profit (6.4) Price ※1 0.8 69.0 Volume (0.4) (6 0) (6.6)% Decreased Fixed Cost and Others ※2 (0.9) Operating profit Total (0.4) (0.4) *1: Including both selling and purchase change *2: Including margi
Slide 11: Operating Profit – Profit attributable to owners of parent
FY2019 Consolidated Results Operating Profit – Profit attributable to owners of parent (Billions of yen) FY2018 FY2019 Difference Item (A) (B) (B) - (A) Operating profit 44.5 34.0 (10.5) Non-operating income/expenses 3.3 1.6 (1.6) Net interests expenses 0.9 0.4 (0.4) Share of profit of entities acco
Slide 12: Consolidated Balance Sheet
FY2019 Consolidated Results Consolidated Balance Sheet (Billions of yen) End of FY2018 End of FY2019 Difference Item (A) (B) (B) - (A) Current assets 315.6 303.9 (11.7) Fixed assets 424.4 423.1 (1.2) Total assets 740.2 727.2 (13.0) Interest-bearing debt 187.2 190.7 3.4 Other liabilities 198.4 182.1
Slide 13: Consolidated Statements of Cash Flows
FY2019 Consolidated Results Consolidated Statements of Cash Flows (Billions of yen) Item FY2018 FY2019 Profit before income taxes 30.3 A.Cash flows from operating activities 50.4 68.4 Depreciation and amortization 36.8 etc. B.Cash flows from investing activities (42.6) (40.6) Acquisition of PP&E (42
Slide 14: FY2020 Consolidated Forecasts
FY2020 Consolidated Forecasts 14
Slide 15: Scope of Consolidation
FY2020 Consolidated Forecasts Scope of Consolidation End of FY2019 End of FY2020 Difference Item Notes (A) (B) （B) - （A) Number of ＋ Premium Composite Technology consolidated 69 70 1 North America, Inc. subsidiaries Number of equity + CNSG ANHUI HONG SIFANG and UBE NEW method 26 27 1 MATERIAL TECHNO
Slide 16: Environmental Factors and COVID-19 Impact
FY2020 Consolidated Forecasts ・ The impact of COVID-19 on our customers and our business is very difficult to predict. ・ To the extent possible, we have incorporated cost reduction measures into our performance forecasts, along with the expected negative impact on sales. Environmental Factors FY2019
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 667.8 614.0 (53.8) (8.1)% Operating profit 34.0 26.0 (8.0) (23.6)% Ordinary profit 35.7 23.5 (12.2) (34.2)% Profit attributable to 22.9 14.0 (8.9) (39.1)%
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 286.0 260.0 (26.0) Net sales Construction Materials 303.0 290.0 (13.0) Machinery 90.7 79.0 (11.7) Others 4.5 3.0 (1.5) Adjustment (16.5) (18.0) (1.5)
Slide 19: Analysis - Total
FY2020 Consolidated Forecasts Analysis - Total (Billions of yen) Net Sales 900.0 (53.8) 667.8 Chemicals (26.0) 614.0 Construction Materials (13.0) Machinery (11.7) 450.0 Others (1.5) Adjustment (1.5) 0.0 (8.1)% Decreased FY2019 FY2020 Operating Profit 40.0 34.0 (8.0) Chemicals (5.0) 26.0 Constructio
Slide 20: Analysis - Chemicals
FY2020 Consolidated Forecasts Analysis -Chemicals (Billions of yen) Net Sales (26.0) Engineering Plastics & Fine Chemicals (13.5) Synthetic rubber (8.4) Specially Products (2.2) Pharmaceutical (1.3) etc (9.1)% Decreased Operating Profit (5.0) Engineering Plastics & Fine Chemicals (1.8) Synthetic rub
Slide 21: Analysis - Construction Materials
FY2020 Consolidated Forecasts Analysis –Construction Materials (Billions of yen) Net Sales Cement and Ready-mixed concrete (8.8) (13.0) Construction materials and (1.0) Limestone related products Coal (2.1) Power (0.3) etc (4.3)% Decreased Operating Profit Cement and Ready-mixed concrete (0.9) (1.0)
Slide 22: Analysis - Machinery
FY2020 Consolidated Forecasts Analysis – Machinery (Billions of yen) Net Sales (11.7) (13.0)% Decreased Operating Profit (1.4) (29.1)% Decreased 22
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 26.0 (8.0) Non-operating income/expenses 1.6 (2.5) (4.1) Ordinaly profit 35.7 23.5 (12.2) Extraordinary income/losses (5.3)
Slide 24: Reference
Reference 24
Slide 25: Analysis of Operating Profit by Segment
Reference: FY2019 Consolidated Results Analysis of Operating Profit by Segment （Billions of yen） Operating profit Segment Fixed cost FY2018 FY2019 Difference Price Volume and others (A) (B) (B) - (A) *1 *2 Chemicals 24.6 14.5 (10.0) (4.4) 1.2 (6.8) Construction Materials 14.4 14.5 0.0 7.2 (3.7) (3.4
Slide 26: Net Sales
Reference: FY2019 Consolidated Results Net Sales (Billions of yen) FY2019 Full-year Segment Progress (Forecast) 1Q 2Q 3Q 4Q Total Chemicals 74.5 71.9 68.4 71.1 286.0 295.0 97.0% Construction Materials 75.4 77.2 74.9 75.3 303.0 305.0 99.4% Machinery 18.8 23.1 22.6 26.0 90.7 89.0 102.0% Others 1.1 1.1
Slide 27: Operating Profit
Reference: FY2019 Consolidated Results Operating Profit (Billions of yen) FY2019 Full-year Segment Progress (Forecast) 1Q 2Q 3Q 4Q Total Chemicals 4.6 3.6 2.7 3.4 14.5 15.5 93.7% Construction Materials 2.3 4.4 4.5 3.2 14.5 15.5 94.0% Machinery 0.4 1.2 1.2 2.0 4.9 5.0 98.8% Others 0.1 0.0 0.2 0.1 0.5
Slide 28: 3Q on 4Q - Net Sales
Reference: FY2019 Consolidated Results 3Q on 4Q - Net Sales （Billions of yen） FY2019 FY2019 Difference Segment 3Q 4Q Major factors (A) (B) (B) - (A) Engineering Plastics & Fine Chemicals 2.0 Synthetic rubber (0.3) Chemicals 68.4 71.1 2.6 Specialty Products 1.0 Pharmaceutical 0.3 etc. Cement and Read
Slide 29: 3Q on 4Q - Operating Profit
Reference: FY2019 Consolidated Results 3Q on 4Q - Operating Profit （Billions of yen） FY2019 FY2019 Difference Segment 3Q 4Q Major factors (A) (B) (B) - (A) Engineering Plastics & Fine Chemicals (0.4) Synthetic rubber (0.1) Chemicals 2.7 3.4 0.6 Specialty Products 0.2 Pharmaceutical 0.2 etc. Cement a
Slide 30: Net Sales and Operating Profit in Half Years by Segment
Reference: FY2020 Consolidated Forecasts Net Sales and Operating Profit in Half Years by Segment （Billions of yen） Net Sales Operating profit Segment First Second First Second Total Total half half half half Chemicals 125.0 135.0 260.0 1.0 8.5 9.5 Construction Materials 140.0 150.0 290.0 5.5 8.0 13.
Slide 31: Consolidated Key Indicators
Reference: FY2019 Consolidated Results Consolidated Key Indicators (Billions of yen) FY2020 Item FY2018 FY2019 (forecast) Capital investment 41.7 47.6 47.0 Depreciation and amortization 36.4 36.8 37.0 Research and development expenses 12.1 12.8 14.0 Adjusted operating profit 51.5 37.8 29.0 Interest-
Slide 32: Consolidated Major Subsidiaries
Reference: FY2019 Consolidated Results Consolidated Major Subsidiaries (Billions of yen) Difference of Net Sales operating Subsidiaries and Affiliates Business profit from FY 2019 FY 2018 Manufacture and sales of nylon, caprolactam, ammonium sulfate and fine UBE Corporation Europe, S.A. Unipersonal
Slide 33: Major Items for Capital Expenditure
Reference: FY2020 Consolidated Forecasts Major Items for Capital Expenditure Estimeated Segment Subject Place completion date Expand production capacity of Lithium- Sakai, Japan FY2020 ion battery separator Chemicals Construct 5th pharmaceutical plant Ube, Japan FY2021 Construction Construct high-ef
Slide 34: IR Calendar
Reference: IR Calendar Analyst Briefing and Announcement of 1st Quarter Business Results FY2020 Analyst Briefing （Telephone conference） • May 20, 10:00 Announcement of 1st quarter Business Results • July 31, 15:00 Telephone Conference for 1st Quarter • July 31, 18:00 (Note) This schedule is su
Slide 35: Forward-looking statements
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 date currently available.