Kawasaki Kisen Kaisha, Ltd. · TSE:9107
Kawasaki Kisen Kaisha — FY2003 Earnings Presentation
25 slides from Kawasaki Kisen Kaisha's earnings presentation, May 2004
Slide 1: Financial Highlights Brief Report for FY2003
Financial Highlights Brief Report for FY2003 May 2004 Kawasaki Kisen Kaisha,Ltd. 1
Slide 2: A. Financial Highlights for FY2003
A. Financial Highlights for FY2003 2
Slide 3: A-1. Financial Highlights for FY2003
A-1. Financial Highlights for FY2003 (unit:billion yen) FY2002 FY2003 Comparison Comparison Prospect in (b) (a) (a)-(b) (ratio) FY2003* Operating Consoli 632.7 724.7 92.0 14.5% 707.0 R e v e n u e s Non 499.8 585.0 85.2 17.0% 570.0 Operating Consoli 29.3 70.5 41.2 140.6% 65.0 i n c o m e Non 19.8 55
Slide 4: A-2. Consolidated Financial Results on Segment Basis for FY2003
A-2. Consolidated Financial Results on Segment Basis for FY2003 (unit:billion yen) March 2004 Shippin Transportatio O t h e r s Consolidate g n d Operating Revenues(a) 622.1 89.9 12.7 724.7 Operating Profit(b) 61.3 8.0 1.2 70.5 March 2003 Shippin Transportatio O t h e r s Consolidate g n d Operating
Slide 5: A-3. Business Environment
A-3. Business Environment (Global Economy) z U.S.:Growth in consumer spending, Increased capital investment >>>Speedy economic recovery z E.U.:Economic recovery z Japan:Stable export, Tendency toward recovery z Other Asia: Limited effect from SARS, Rapid growth in China (Our business) z Fuel-oil pri
Slide 6: A-4. Trend of Division-wise Results FY2003 (Container Business)
A-4. Trend of Division-wise Results FY2003 (for Container Business) Container: FY2003 result exceeded prospect* (Loaded cargo volume:2.07(’02F) >>>2.28mil. TEU(’03F)(+10%) z Positive cargo volume in Asia-North America/Europe trades mainly from China z Number of containers carried exceeded prospects
Slide 7: A-5. Trend of Division-wise Results FY2003 (Bulker & Car Carrier)
A-5. Trend of Division-wise Results FY2003 (for Bulker & Car Carrier Service) Bulker & Car Carrier : FY2003 result exceeded prospect* z Bulker : Market freight level favorable Remarkable increase in tonnage of every type of bulker, from ‘Cape-size’, ‘Panamax‘ to ‘small handy’ (Operating Tonnage : 1.
Slide 8: A-6. Trend of Division-wise Results FY2003 (Energy Transportation)
A-6. Trend of Division-wise Results FY2003 (for Energy Transportation) Energy Transportation : FY2003 result meets prospect z LNG Carrier : Stable progress in each project (Operating Tonnage : 5.52 (’02F) >>> 5.52 mil.tons (’03F) (flat)) z Thermal Coal Carrier : Increase of cargo volume with newly b
Slide 9: A-7. Trend of Division-wise Results FY2003 (Consolidated Subsidiaries)
A-7. Trend of Division-wise Results FY2003 (for Consolidated Subsidiaries) • Short Sea/Coastal Shipping: Stable with efficient ship deployment and increase of cargo volume • Services Incidental to Transportation: Stable with increased container volume 9
Slide 10: A-8. Outline of upward/downward Profit Factors for FY2003
A-8. Outline of upward/downward Profit Factors for FY2003 (unit: billion yen) Ordinary Income* : FY2003 prospect**56.0, FY2002 result 23.7 >>> FY2003 result 62.6 billion yen expected FY2003** /comparison with FY2002 • Fluctuation in exchange rate - -10.0 • Increase of Bunker Price - - 1.9 • Market i
Slide 11: B. Prospects for FY2004
it KLINE B. Prospects for FY 2004
Slide 12: B-1. Prospects for FY2004
B-1. Prospects for FY2004 (unit:billion yen) 04F1Q 04F1H 04F Yearly FY 2003 Difference I n c r e a s e Prospect R a t i o Prospect Prospect Result O p e r a t i n g Consoli 180.0 370.0 760.0 724.7 +35.3 +4.9% R e v e n u e s Non 145.0 300.0 600.0 585.0 +15.0 +2.6% Operating income Consoli 17.0 38.0
Slide 13: B-2. Consolidated Financial Prospect on Segment Basis for FY2004
B-2. Consolidated Financial Prospect on Segment Basis for FY2004 (unit:billion yen) March 2005 Shipping Transportation O t h e r s Consolidated Operating Revenues (a) 645.0 102.0 13.0 760.0 Operating Profit (b) 66.0 9.0 1.0 76.0 March 2004 Shipping Transportation O t h e r s Consolidated Operating R
Slide 14: B-3. Trend of division-wise result
B-3. Trend of division-wise result <Container Business> – Positive cargo movement Negative factor : Fuel price staying higher, hike in charterage Measure : further cost curtailment in operation cost, rationalization of service network >>Stable in general <Bulker&Car Carrier Service> Bulker : Stable
Slide 15: B-4. Outline of Upward/Downward Factors Affecting Prospects for FY2004
B-4. Outline of Upward/Downward Factors Affecting Prospects for FY2004 Ordinary Income*:FY2003 result 62.6 >>>74.0billion yen, +11.4billion yen comparison with FY2003 result • Fluctuation in exchange rate(+¥5.97) - 6.0 • Bunker Oil Price - • Market volatility(Container, Bulker, Tanker) +12.0 • Busin
Slide 16: B-5. Investment and Cash Flows
B-5. Investment and Cash Flows (unit: billion yen) F Y 2 0 0 2 F Y 2 0 0 3 F Y 2 0 0 4 R e s u l t s R e s u l t s Prospects Investment* 64.2 53.8 73.2 Vessel 51.7 42.6 59.9 Others 12.5 11.2 13.3 (Non-consolidated) 4.5 11.8 4.2 Operating Cash 32.9 78.6 80.0 Flow (Depreciation) （29.5） （25.6） （24.5） I
Slide 17: C. Overview of KV-Plan & New Management plan "K"LINE Vision 2008
C. Overview of KV-Plan & New Management plan ”K”LINE Vision 2008 17
Slide 18: C-1. KV-Plan Achievement (P/L)
C-1. KV-Plan Achievement (P/L) <P/L indices> (unit: billion yen) Result Result KV-Plan KV-Plan (Billion Yen) for 2002F for 2003F for 2004F achievement ratio 80.0 70.5 Exchange Rate /US$ \122 \114 \130 +\14 Bunker Prcie /MT $162 $170 $130 +$40 70.0 62.6 Non- Consolidated Revenues 499.8 585.0 500.0 11
Slide 19: C-2. KV-Plan Achievement (Management Indices)
C-2. KV-Plan Achievement (Management Indices) （Billion Yen） Decreased 53.8 Billion yen FY2002 FY2003 FY2003 FY2004 for 2 years in KV-Plan Results Results KV Target KV Target 450.0 Operating Revenue 632.7 724.7 630.0 650.0 Ordinary Income* 23.7 62.6 23.0 35.0 400.0 90.0% Shareholders’ Equity 82.0 121
Slide 20: C-3. KV-Plan Achievement (Cost Slash-300)
C-3. KV-Plan Achievement (Cost curtailing plan in KV-Plan /Cost Slash-300) (Target for the 3-year plan : 30.0 Billion Yen) (unit:billion yen) Cost saving items 2002F 2003F Total Vessel cost reduction 6.5 2.4 8.9 Service rationalization(fixed cost reduction p er box 5.8 1.0 6.8 Various cargo charges
Slide 21: C-4. Positioning of "K"LINE Vision 2008
C-4. Positioning of “K”LINE Vision 2008 -sustainable growth and establishment of a stable profitability structure -Strengthen company’s overall organization “K”LINE Vision 2008 - Recovery in Containership business 2004-2008 -Expand the business scale KV-PLAN -Secure profitability -Consecutive divide
Slide 22: C-5. Fundamental Assignments
C-5. Fundamental Assignments 1. Ensuring a stable profitability structure through reinforcing business base 2. Creation of a high-level, refined and more matured culture of the group companies with materialization of dreams and upgrading of the “K” LINE Brand 3. Strengthening corporate governance an
Slide 23: C-6. Financial objective for "Vision 2008"-1
C-6. Financial objective for “Vision 2008”-1 Financial objective Profit transition Net/Ordinary Revenues (Unit:billion yen) Income(Unit:billion yen) Result Plan Plan Target for 2003F for 2004F for 2005F for 2008F 900 90 Exchange Rate /US$ ¥114 ¥108 ¥110 ¥110 Vision2008 Bunker /Mt $170 $170 $170 $170
Slide 24: C-7. Financial objective for "Vision 2008"-2
C-7. Financial objective for “Vision 2008”-2 Major financial data target (unit:billion yen) Shareholder’s Equity Result Plan for Plan for Target for Reinforcement f o r 2003F 2004F 2005F 2 0 0 8 F 400.0 50% New K-21 Shareholder’s 121.0 160.0 200.0 340.0 350.0 KV-Plan 45% E q u i t y Vision 2008 40%
Slide 25: C-8. Fleet scale transition & Amount of investments
C-8. Fleet scale transition &Amount of investments March 2009 Coastal/Ferry Container （Total 461 Vessels） 12% 15% 55 70 Energy Resources 22% 102 85 149 Bulk Carrier Increase PCTC 32% 100 vessels 19% March 2004 （Total 361 Vessels） Coastal/Ferry Container Total investment amount in next 5 years: 13% 1