Mitsui & Co.,ltd · TSE:8031
Mitsui & Co.,ltd — Investor Day (2022)
11 slides from Mitsui & Co.,ltd's investor day presentation, Dec 5, 2022
Slide 1: Evolution of Portfolio Management
Evolution of Portfolio Management Strengthening business management capability by utilizing ROIC Representative Director, Executive Managing Officer Chief Financial Officer (CFO) Tetsuya Shigeta
Slide 2: Portfolio Management (Overview)
Portfolio Management (Overview) Our approach to portfolio management of globally spanning business across a wide range of industries Peripheral Core Extend Financial Management & Advisory Div. businesses business Peripheral businesses Peripheral businesses Grow Core business Core business Create Cor
Slide 3: Portfolio Management (Post-Investment)
Portfolio Management (Post-Investment) Monitoring of executed investments Yearly cycle of portfolio management Start of fiscal year Mid-fiscal year End of fiscal year ⚫ Confirm business strategies, investment plans and projects priorities, and future cash flow of ⚫ Evaluate company’s annual results
Slide 4: Portfolio Management (Business Areas)
Portfolio Management (Business Areas) ◆ Analyze ROIC by business area and identify position in four-quadrants (See Appendix4) Image of ◆ A method to set the future vision for each business area, define action plans to achieve it, Four- Quadrants and monitoring of each business area (dynamic ROIC ana
Slide 5: As CFO of Mitsui
Closing Resource allocation at management level Ensure investment discipline according to profitability and growth according to the timing of individual potential of individual projects and projects (investment decision, holding, recycling) business strategy (maintain, expand, withdraw) As CFO of Mi
Slide 6: Appendix
Appendix MITSUL&CO
Slide 7: Appendix 1: Examples of Improvement in Portfolio Quality during Current Medium-term Management Plan
Appendix 1: Examples of Improvement in Portfolio quality during current Medium-term Management Plan Main Measures Segment Relevant Portfolio Relevant Profit/Loss, etc. (Unit:Billion Yen) ⚫Machinery & MAF Colombia (became associated company as a result of partial sale) Reduction of invested capital t
Slide 8: Appendix 2: Trend of ROIC at Company Level
Appendix 2: Trend of ROIC at Company level Trend of Invested Capital and ROIC*1 (Unit: Billion Yen) 12,000 12% 11% 10,000 10% 8.8% 8.7% 9% 8,000 8% 6,000 7% 5.3% 6% 4,000 4.7% 4.6% 5% 3.9% 4% 2,000 3.6% 3% 0 2% FY17/3 FY18/3 FY19/3 FY20/3 FY21/3 FY22/3 FY23/3 *2 Investment assets Working Capital ROI
Slide 9: Appendix 3: Invested Capital/Ratio of Working Capital by Segment
Appendix 3: Invested Capital/ Ratio of Working Capital by Segment ◆ The amount of invested capital was maintained at a certain level through portfolio reconfiguration (excluding major new investments, increases in affiliates’ profits, increase in fair value (e.g VALE held by Mineral & Metal Resource
Slide 10: Appendix 4: Four-Quadrant Analysis
Appendix 4: Four-Quadrant Analysis ◆ Visualization of the ideal business portfolio and the process to realize it using four- quadrants of profitability and growth potential. ◆ROIC活用 ◆ Accelerate the strengthening of the competitiveness of each business, replacement of the business portfolio and form
Slide 11: 360° business innovation.
360° business innovation. MiTsUI&co.