Toyobo Co., Ltd. · TSE:3101
Toyobo — H1 FY3/19 Earnings Presentation
27 slides from Toyobo's earnings presentation, Nov 8, 2018
Slide 1: Presentation to Investors
Presentation to Investors Toyobo Co., Ltd. November 8, 2018
Slide 2: Agenda
Agenda Ⅰ．Fire accident at Tsuruga Research and Production Center Ⅱ．Results for H1 of FY 3/19 Ⅲ．Forecasts for FY 3/19 Ⅳ．Progress of 2018 Medium-Term Management Plan Ⅴ．Towards the restoration of confidence
Slide 3: Fire accident at Tsuruga Research and Production Center
Ⅰ．Fire accident at Tsuruga Research and Production Center
Slide 4: Our apologies
Ⅰ．Fire accident at Tsuruga Research and Production Center Our apologies We sincerely apologize to people concerned for all the great inconvenience and concerns caused by the fire accident that occurred at Tsuruga Research and Production Center on September 6, 2018. 4
Slide 5: Overview of the fire accident
Ⅰ．Fire accident at Tsuruga Research and Production Center Overview of the fire accident (1) Date and time of occurrence September 6, 1:20 p.m. (Extinguished at September 7, 5:30 p.m.) (2) Overview of the fire accident Fire accident occurred at Tsuruga Research and Production Center. Machines and sys
Slide 6: Results for H1 of FY 3/19
II. Results for H1 of FY 3/19
Slide 7: Highlights
Ⅱ．Results for H1 of FY 3/19 Highlights H1 FY 3/19 Results Operating profit of ¥10.6 billion (up 0.9%). Sales of growth drivers “COSMOSHINE SRF” and mold releasing film for MLCC were strong. Packaging films, engineering plastics, airbag fabrics incurred effects of the rise in raw material and f
Slide 8: Results for H1 FY 3/19 PL・CF
Ⅱ．Results for H1 of FY 3/19 Results for H1 FY 3/19 PL・CF FY 3/18 FY 3/19 YOY (¥ bn.) H1 H2 H1 Amount % Net sales 161.4 169.7 164.7 +3.3 +2.1 Operating profit 10.5 13.4 10.6 +0.1 +0.9 (Ratio to sales） 6.5% 7.9% 6.4% - - Ordinary profit 9.1 11.3 8.7 -0.3 -3.7 ■Extraordinary Extraordinary losses 1.9 11
Slide 9: Analysis of Changes in Operating Profit
Ⅱ．Results for H1 of FY 3/19 Analysis of Changes in Operating Profit Increase [H1 FY 3/18→H1 FY 3/19] in raw Depreciation Up in Volume material of yen prices increase and fuel (sales price) Others costs +1.1 +1.6 ±0 -0.1 12.0 -2.5 10.0 YOY 8.0 ＋0.1 （¥bn.） Real estate, Nylon, Olefin, R&D 6.0 Polyester
Slide 10: Results for H1 FY 3/19 BS
Ⅱ．Results for H1 of FY 3/19 Results for H1 FY 3/19 BS (A) (B) (¥ bn.) Mar. 31, Mar. 31, Sep. 30, Change 2017 2018 2018 (A)→(B) Total assets 450.2 445.5 453.7 +8.2 Cash and deposits 32.3 26.0 24.5 -1.5 Inventories 72.8 71.3 76.7 +5.4 Net assets 170.9 184.5 187.8 +3.2 Shareholder's equity 167.8 180.6
Slide 11: Results by Segment
Ⅱ．Results for H1 of FY 3/19 Results by Segment (¥ bn.) Net sales Operating profit FY 3/18 FY 3/19 FY 3/18 FY 3/19 YOY H1 H2 H1 H1 H2 H1 (Amount) Films & 73.1 75.5 77.7 6.4 7.3 6.9 +0.5 Functional Polymers Industrial Materials 30.5 32.9 32.7 2.2 2.0 1.9 -0.3 Healthcare 16.3 19.4 15.9 1.7 3.4 1.9 +0.2
Slide 12: Films & Functional Polymers
Ⅱ．Results for H1 of FY 3/19 Films & Functional Polymers Net sales Operating profit ratio to sales(%) ■Sales of “COSMOSHINE 77.7 SRF” and mold releasing （¥ bn.） 73.1 6.4 6.9 film for MLCC were (8.7%) (8.9%) strong. 38.9 ■Sales of packaging films Q2 36.2 3.3 and functional polymers 3.3 were struggling
Slide 13: Industrial Materials
Ⅱ．Results for H1 of FY 3/19 Industrial Materials Net sales Operating profit ratio to sales(%) ■Sales of airbag fabrics and products for （¥ bn.） 32.7 consumer and industrial 30.5 2.2 (7.3%) uses expanded. 1.9 (5.8%) 16.6 ■Challenges were faced Q2 owing to the rise in raw 16.0 material prices. 1.4 1.0
Slide 14: Healthcare
Ⅱ．Results for H1 of FY 3/19 Healthcare Net sales Operating profit ratio to sales(%) ■The pharmaceuticals business faced （¥ bn.） challenges in winning new contracts. 16.3 15.9 1.9 ■Sales of enzymes for Q2 1.7 (12.2%) (10.7%) diagnostic reagents and 8.3 volatile organic compound 8.7 (VOC) emissions 0.
Slide 15: Textiles and Trading
Ⅱ．Results for H1 of FY 3/19 Textiles and Trading Net sales Operating profit ratio to sales(%) ■Sales of thobe cloth in the Middle East were （¥ bn.） 33.8 weak due to worsening 31.7 market conditions. Q2 -0.2 0.1 17.6 (-0.5%) (0.2%) 16.9 0.2 0.2 -0.1 Q1 16.1 14.8 -0.4 H1 H1 H1 H1 FY3/18 FY3/19 FY3/18
Slide 16: Forecasts for FY 3/19
Il. Forecasts for FY 3/19
Slide 17: Forecasts for FY 3/19
Ⅲ．Forecasts for FY 3/19 Forecasts for FY 3/19 (¥ bn.) Previous FY 3/18 FY 3/19 YOY forecasts result H1 H2 forecasts Amount ％ (Aug. 2018) Net sales 331.1 164.7 175.3 340.0 +8.9 +2.7 340.0 Operating profit 23.9 10.6 12.4 23.0 -0.9 -3.9 25.0 (Ratio to sales) 7.2% 6.4% 7.1% 6.8% - - 7.4% Ordinary profit
Slide 18: Analysis of Changes in Operating Profit
Ⅲ．Forecasts for FY 3/19 Analysis of Changes in Operating Profit Increase Depreciation [FY 3/18→FY 3/19] Up in Volume in raw of yen prices increase material (sales price) Others 30.0 and fuel costs +2.4 +2.5 -0.1 -0.1 -5.6 25.0 20.0 （¥ bn.） 15.0 Real estate, R&D 23.9 23.0 Nylon, Olefin 10.0 and Polye
Slide 19: Forecasts by Segment
Ⅲ．Forecasts for FY 3/19 Forecasts by Segment (¥ bn.) Net Sales Operating Profit Previous FY 3/18 FY 3/19 FY 3/18 FY 3/19 Change forecasts result forecasts result forecasts ('17→'18) (Aug. 2018) Films & 148.7 154.0 13.7 14.6 +0.9 14.7 Functional Polymers Unchanged Industrial Materials 63.5 67.0 4.3 3
Slide 20: Progress of 2018 Medium-Term Management Plan
Ⅳ．Progress of 2018 Medium-Term Management Plan
Slide 21: SDGs 「Jun-ri soku-yu」
Ⅳ．Progress of 2018 Medium-Term Management Plan Creation of value that contributes to society 「Jun-ri soku-yu」 SDGs 「順理則裕」 Mobility ●Airbag fabrics ●Engineering plastics ●“HARDLEN” Films＆ Healthcare＆ Coatings Wellness ●Enzymes for ●“COSMOSINE SRF” ●Mold releasing film Overseas diagnostic reagents ●“N
Slide 22: Films & Coatings
Ⅳ．Progress of 2018 Medium-Term Management Plan Films & Coatings ■“COSMOSHINE SRF” ・In H1, sales increased largely by approx. 90%. Aim for 30% share in FY 3/19. ・Sales expanded for use in LCD TVs in overseas markets. ・Emerging dominance of polyester due to market trending to larger panels, bezel-free
Slide 23: Healthcare & Wellness, Environment-conscious product
Ⅳ．Progress of 2018 Medium-Term Management Plan HealthCare＆Wellness、Environment-conscious product 【Healthcare＆Wellness】 ■Bone regeneration inducing materials ・Will obtain PMDA approval within FY 3/19. ・From implant applications. ■Clinical testing device ・Sales of genetic testing device “GENECUBE” and
Slide 24: Towards the restoration of confidence
Ⅴ．Towards the restoration of confidence
Slide 25: Towards the restoration of confidence
Ⅴ．Towards the restoration of confidence Towards the restoration of confidence We are currently investigating the cause of the fire accident in cooperation with relevant authorities and taking appropriate preventive steps including safety measures for other business establishments. From now, we will
Slide 26: Please Note
Please Note The business performance forecasts and targets included in the business plans contained in this presentation are based on information known to the Companyʼs management as of the day of presentation. Please be aware that the content of the future forecasts may differ significantly from ac
Slide 27: All Rights Reserved
Ideas & Chemistry All Rights Reserved