Sumitomo Corporation · TSE:8053

Sumitomo — Q1 FY2022 Earnings Presentation

35 slides from Sumitomo's earnings presentation, Aug 3, 2022

  1. Slide 1: Quarterly Results for FY2022

    Quarterly Results for FY2022 (Three-month period ended June 30, 2022) August 3, 2022 Sumitomo Corporation Cautionary Statement Concerning Forward-looking Statements This report includes forward-looking statements relating to our future plans, forecasts, objectives, expectations and intentions. The f

  2. Slide 2: 1. Operating Results (Profit for the Period)

    1. Operating Results (Profit for the Period (Attributable to Owners of the Parent))  Profit for the period attributable to owners of the parent totaled 155.2 billions of yen, record high as a quarterly result.  47.9 billions of yen increase compared to the same period of previous fiscal year (+45%

  3. Slide 3: 2. Profit for the Period by Segment

    2. Profit for the Period by Segment  Profit increased in following segments: Metal Products, Transportation & Construction Systems, Infrastructure, Mineral Resources, Energy, Chemical & Electronics. Metal Transportation Media Living Related Mineral Resources, Corporate (Unit: billions of yen) Infra

  4. Slide 4: 3. Quarterly Trend for Profit for the Period

    3. Quarterly Trend for Profit for the Period  Both mineral resources and non-mineral resources businesses continued the trend of earning increase from FY2021. FY2020 FY2021 FY2022 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 (Unit: billions of yen) excl. one-off profits/losses (Bold at the top) 141.0 Corporate and E

  5. Slide 5: 4. Progress Against Forecasts for FY2022

    4. Progress Against Forecasts for FY2022  Both mineral resources and non-mineral resources businesses made strong progress against the annual forecast in Q1. (Unit: billions of yen) Profit (Company-total) excl. One-off Profits/Losses (Mineral Resources) ■ Mineral resources ■ Non-mineral resources ■

  6. Slide 6: 5. Forecasts for FY2022

    5. Forecasts for FY2022  Both mineral resources and non-mineral resources businesses showed stronger progress than expected at the initial forecasts (+50.0~60.0 billions of yen compared to ordinary basis).  On the other hand, future uncertainty is increasing such as the risk of a global economic s

  7. Slide 7: 6. Operating Results (Cash Flows)

    6. Operating Results (Cash Flows)  Free cash flow (post-dividend) (adjusted) cumulated in SHIFT 2023 (from Apr. 2021 to Jun. 2022) was cash out of 11.4 billions of yen. We will manage and ensure the cash flow to be positive for 3-year total in SHIFT 2023. (Unit: billions of yen) Highlights SHIFT 20

  8. Slide 8: 7. Operating Results (Financial Position)

    7. Operating Results (Financial Position)  Total assets increased to 10.1 trillions of yen due to yen’s depreciation and others (+approx. 500.0 billions of yen compared to the end of Mar. 2022). (Unit: billions of yen) As of Mar. As of Jun. Increase/ Highlights 31, 2022 30, 2022 Decrease Current as

  9. Slide 9: Appendix

    Appendix 8 © 2022 Sumitomo Corporation

  10. Slide 10: Contents

    Contents 8. Assumptions and Sensitivity P. 10 Quarterly Trend for Profit for the Period Attributable to Owners of 9. the Parent by Segment (FY2021・FY2022) P. 11 10. Quarterly Trend for One-off Profit/Loss by Segment (FY2021・FY2022) P. 12-13 11. Performance Overview by Segment P. 14-21 Supplemental M

  11. Slide 11: 8. Assumptions and Sensitivity

    8. Assumptions and Sensitivity FY2021 FY2022 Sensitivity to net income Prices and Mineral Resources Equity Share of Production Q1 Results Q1 Forecasts (Annual base, announced in May 2022) Exchange rate YEN/US$ 109.52 112.39 129.73 120.00 ¥1.2 bill. (Depreciation of ¥1/US$) TORF 6M [YEN] - -0.03% -0.

  12. Slide 12: 9. Quarterly Trend for Profit by Segment

    9. Quarterly Trend for Profit for the Period Attributable to Owners of the Parent by Segment (FY2021・FY2022) (Unit: billions of yen) FY2021 Results FY2022 Results Cumulative Cumulative Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Results Results Metal Products 7.2 15.6 18.6 13.7 55.2 24.3 24.3 Transportation & 14.5 18.9

  13. Slide 13: 10. Quarterly Trend for One-off Profit/Loss by Segment (FY2022)

    10. Quarterly Trend for One-off Profit/Loss by Segment (FY2022) (Unit: billions of yen) Cumulative Q1 Q2 Q3 Q4 Results Main factors Metal Products 0.0 0.0 Transportation & 1.0 1.0 Construction Systems Infrastructure 2.0 2.0 Q1 Power infrastructure business: approx.+2.0 Media & Digital 0.0 0.0 Living

  14. Slide 14: 10. Quarterly Trend for One-off Profit/Loss by Segment (FY2021)

    10. Quarterly Trend for One-off Profit/Loss by Segment (FY2021) (Unit: billions of yen) Cumulative Q1 Q2 Q3 Q4 Results Main factors Whole Structural reform, losses related to the Russian-Ukrainian situation: approx.-1.0 (Q1: approx.-2.0, Metal Products -2.0 2.0 1.0 -2.0 -1.0 year Q2: approx.+2.0, Q3

  15. Slide 15: 11. Performance Overview (1) (Metal Products)

    11. Performance Overview (1) (Metal Products) Key Financial Indicators (Unit: billions of yen) Profit (Excl. One-off Profits/Losses) for FY2022 Q1 Outlook after FY2022 Q2 (approx.¥15.0 bil. increase from FY2021 Q1) (Excl. One-off Profits/Losses) FY2021 FY2022 Increase/ (Reference) FY2022 Q1 Results

  16. Slide 16: 11. Performance Overview (2) (Transportation & Construction Systems)

    11. Performance Overview (2) (Transportation & Construction Systems) Key Financial Indicators (Unit: billions of yen) Profit (Excl. One-off Profits/Losses) for FY2022 Q1 Outlook after FY2022 Q2 (approx.¥3.0 bil. increase from FY2021 Q1) (Excl. One-off Profits/Losses) FY2021 FY2022 Increase/ (Referen

  17. Slide 17: 11. Performance Overview (3) (Infrastructure)

    11. Performance Overview (3) (Infrastructure) Key Financial Indicators (Unit: billions of yen) Profit (Excl. One-off Profits/Losses) for FY2022 Q1 Outlook after FY2022 Q2 (approx.¥2.0 bil. decrease from FY2021 Q1) (Excl. One-off Profits/Losses) FY2021 FY2022 Increase/ (Reference) FY2022 Q1 Results Q

  18. Slide 18: 11. Performance Overview (4) (Media & Digital)

    11. Performance Overview (4) (Media & Digital) Key Financial Indicators (Unit: billions of yen) Profit (Excl. One-off Profits/Losses) for FY2022 Q1 Outlook after FY2022 Q2 (approx.¥2.0 bil. decrease from FY2021 Q1) (Excl. One-off Profits/Losses) FY2021 FY2022 Increase/ (Reference) FY2022 Q1 Results

  19. Slide 19: 11. Performance Overview (5) (Living Related & Real Estate)

    11. Performance Overview (5) (Living Related & Real Estate) Key Financial Indicators (Unit: billions of yen) Profit (Excl. One-off Profits/Losses) for FY2022 Q1 Outlook after FY2022 Q2 (approx.¥1.0 bil. increase from FY2021 Q1) (Excl. One-off Profits/Losses) FY2021 FY2022 Increase/ (Reference) FY202

  20. Slide 20: 11. Performance Overview (6) (Mineral Resources, Energy, Chemical & Electronics)

    11. Performance Overview (6) (Mineral Resources, Energy, Chemical & Electronics) Key Financial Indicators (Unit: billions of yen) Profit (Excl. One-off Profits/Losses) for FY2022 Q1 Outlook after FY2022 Q2 (approx.¥39.0 bil. increase from FY2021 Q1) (Excl. One-off Profits/Losses) FY2021 FY2022 Incre

  21. Slide 21: 11. Performance Overview (6): Principal Subsidiaries and Associated Companies

    11. Performance Overview (6) (Mineral Resources, Energy, Chemical & Electronics) Principal Subsidiaries and Associated Companies Mineral Resources & Energy (Unit: billions of yen) Chemical & Electronics (Unit: billions of yen) Equity in Earnings Equity in Earnings Shares in Equity FY2021 FY2022 FY20

  22. Slide 22: 11. Performance Overview (6): Ambatovy Nickel Project

    11. Performance Overview (6) (Mineral Resources, Energy, Chemical & Electronics) Ambatovy Nickel Project FY2021 FY2022 FY2022 Q1 Results Q1 Results Initial forecasts Equity in Earnings (billions of yen) 12.6 3.0 4.2*1 Excl. one-off profits/losses (billions of yen) approx.-2.0 approx.3.0 approx.4.0 N

  23. Slide 23: 12. Supplemental Materials by Segment (Living Related & Real Estate)

    12. Supplemental Materials by Segment (Living Related & Real Estate) (Unit: billions of yen) FY2021 Q1 FY 2022 Q1 Increase/ End of End of Increase/ Results Results Decrease FY2021 FY2022 Q1 Decrease Gross profit 59.7 63.1 +3.4 Total assets 1,527.7 1,610.4 +82.6 Lifestyle Business Division 44.9 42.1

  24. Slide 24: 12. Supplemental Materials by Segment (Mineral Resources, Energy, Chemical & Electronics)

    12. Supplemental Materials by Segment (Mineral Resources, Energy, Chemical & Electronics) (Unit: billions of yen) FY2021 Q1 FY 2022 Q1 Increase/ End of End of Increase/ Results Results Decrease FY2021 FY2022 Q1 Decrease Gross profit 59.0 92.5 +33.5 Total assets 2,747.4 2,779.4 +32.1 Mineral Resource

  25. Slide 25: 13. Supplementary Segment Information (1) (Metals Products)

    13. Supplementary Segment Information (1) (Metals Products) Change in Hot Rolled Steel Sheet Export Prices (Japan), the U.S. Hot Rolled Coil Steel Futures and the U.S Rig Count (Oil Drilling Facilities) Change in Hot Rolled Steel Sheet Export Prices (Japan) Change in the U.S Rig Count and the U.S. H

  26. Slide 26: 13. Supplementary Segment Information (2) (Transportation & Construction Systems)

    13. Supplementary Segment Information (2) (Transportation & Construction Systems) Global Map of Mobility Business Europe Toyota Ukraine (Ukraine) Moto Pfohe EOOD (Bulgaria) Engineering service Summit Motors Slovakia (Slovakia) Auto parts manufacture Summit Motors Slovenia (Slovenia) Automotive sales

  27. Slide 27: 13. Supplementary Segment Information (3) (Infrastructure)

    13. Supplementary Segment Information (3) (Infrastructure) Global Development of the Renewable Energy Business Our net ownership generation capacity of Renewable energy is 1.5GW as of end of Mar. 2022. We aim to achieve 3GW or more by 2030. As of end of Mar. 2022 Topic: Geothermal Power Business in

  28. Slide 28: 13. Supplementary Segment Information (4) (Media & Digital)

    13. Supplementary Segment Information (4) (Media & Digital) Initiatives for Telecommunication Business in Ethiopia  Contributing to Ethiopia's economic and human resource development through the construction of telecommunications infrastructure and the development of various value-added services on

  29. Slide 29: 13. Supplementary Segment Information (5) (Living Related & Real Estate)

    13. Supplementary Segment Information (5) (Living Related & Real Estate Business Unit) Retail Business: Development around “Summit” Major Food Supermarket in Tokyo Metropolitan Area 1 History of Summit Established “GO GREEN” Challenge 2 Development of Summit Stores Declaration that outlines key them

  30. Slide 30: 13. Supplementary Segment Information (6) (Agriculture-Related Business)

    13. Supplementary Segment Information (6) (Mineral Resources, Energy, Chemical & Electronics) Agriculture-Related Business Initiatives Agribusiness SBU Strengthen existing businesses through expansion of products and functions and geographic expansion (Steady Business Growth) Crop Protection Trade,

  31. Slide 31: 14. Summary of Consolidated Statements of Comprehensive Income

    14. Summary of Consolidated Statements of Comprehensive Income (Unit: billions of yen) FY2021 FY2022 Increase/ Q1 Q1 Summary Decrease (Apr.-Jun.) (Apr.-Jun.) Revenues 1,266.0 1,615.2 +349.2 Gross profit Gross profit 235.3 295.5 +60.2  Tubular products business in North America: strong performance S

  32. Slide 32: 15. Summary of Consolidated Statements of Cash Flows

    15. Summary of Consolidated Statements of Cash Flows (Unit: billions of yen) FY2021 FY2022 Increase/ Q1 Q1 Summary Decrease (Apr.-Jun.) (Apr.-Jun.) Net cash provided by (used in) operating 53.2 76.5 +23.3 Net cash provided by (used in) operating activities activities Basic profit cash flow* 110.4 15

  33. Slide 33: 16. Summary of Consolidated Statements of Financial Position

    16. Summary of Consolidated Statements of Financial Position (Unit: billions of yen) FY2022 Increase/ FY2021 Summary Q1 Decrease Assets 9,582.2 10,099.4 +517.2 Current assets 4,645.5 4,913.9 +268.4 Trade and other receivables (current / non-current)  Increase: impact by rise in mineral resources pr

  34. Slide 34: 17. Historical Data (1) PL, CF

    17. Historical Data (1) PL, CF (Unit: billions of yen) MEDIUM-TERM MANAGEMENT PLAN ▶ f(x) BBBO2014 BBBO2017 Medium – Term Management Plan 2020 SHIFT 2023 Fiscal Year ▶ 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 Revenues 3,016.2 3,317.4 3,762.2 4,010.8 3,997.0 4,827.3 5,339.2 5,299.8 4,645.1 5

  35. Slide 35: 17. Historical Data (2) BS, Key Financial Indicators

    17. Historical Data (2) BS, Key Financial Indicators (Unit: billions of yen) MEDIUM-TERM MANAGEMENT PLAN ▶ f(x) BBBO2014 BBBO2017 Medium – Term Management Plan 2020 SHIFT 2023 Fiscal Year ▶ 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 Total assets 7,832.8 8,668.7 9,021.4 7,817.8 7,761.8 7,770.6

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