Mitsui O.s.k.lines,ltd. · TSE:9104
Mitsui O.s.k.lines,ltd — FY2023 Earnings Presentation
27 slides from Mitsui O.s.k.lines,ltd's earnings presentation, Apr 29, 2024
Slide 1: Business Performance in FY2023 And Outlook for FY2024
Business Performance in FY2023 And Outlook for FY2024 2024/4/30 Mitsui O.S.K. Lines, Ltd.
Slide 2: Contents
1. FY2023 Full-year Results [Consolidated] P3-7 2. FY2024 Full-year Forecast [Consolidated] P8-12 3. Management Plan BLUE ACTION 2035 FY2023 Progress Report P13-18 Contents (Reference) BLUE ACTION 2035 Initiatives P19 [Supplement #1-6] P20-25 Note 1: Fiscal Year = from April 1 to March 31 Q1 = April
Slide 3: FY2023 Full-year Results [Consolidated]
1 FY2023 Full-year Results [Consolidated] *as of January 31, 2024 FY2023 FY2023 FY2022 Result Result Previous Forecast* (￥billion) Q1 Q2 Q3 Q4 Full-year Full-year YoY Full-year Variance Revenue 385.1 404.9 428.5 409.2 1,627.9 1,611.9 +15.9 +1% 1,615.0 +12.9 Operating profit/loss 24.4 24.8 30.8 23.0
Slide 4: FY2023 Full-year Results [By segment]
1 FY2023 Full-year Results [By segment] Upper Revenue (*1) Lower Ordinary profit/loss *as of January 31, 2024 FY2023 FY2022 FY2023 Result Result(*6) Previous Forecast* (￥billion) Q1 Q2 Q3 Q4 Full-year Full-year YoY Full-year Variance Dry Bulk Carriers 95.4 94.4 107.3 98.3 395.5 429.6 -34.0 -8% 386.0
Slide 5: FY2023 Full-year Results Analysis [By segment] in ordinary profit/loss
1 FY2023 Full-year Results Analysis [By segment] in ordinary profit/loss ＊as of January 31,2024 5
Slide 6: Outline of FY2023 Full-year Results (I) [Consolidated]
1 Outline of FY2023 Full-year Results (I) [Consolidated] [Overall] Revenue: An increase of 15.9 billion yen year-on-year mainly due to the contribution of the energy business, despite a decrease in dry bulk business. Business profit / Ordinary profit / Income before income taxes / Net income: -¥
Slide 7: Outline of FY2023 Full-year Results (II) [Consolidated]
1 Outline of FY2023 Full-year Results (II) [Consolidated] Product Transport Business [ ¥125.5 billion (-¥578.0 billion)] Containerships [ ¥51.5 billion (-¥568.6 billion)] ONE: North America liftings improved significantly, however freight rates remained low in the face of increased supply due to
Slide 8: FY2024 Full-year Forecast [Consolidated]
2 FY2024 Full-year Forecast [Consolidated] FY2024 Forecast FY2023 Result YoY (￥billion) 1st Half 2nd Half Full-year 1st Half 2nd Half Full-year Variance Revenue 953.0 847.0 1,800.0 790.1 837.8 1,627.9 +172.0 +11% Operating profit/loss 77.0 75.0 152.0 49.3 53.8 103.1 +48.8 +47% Business profit/loss (
Slide 9: FY2024 Full-year Forecast [By segment]
2 FY2024 Full-year Forecast [By segment] Upper Revenue(*1) Lower Ordinary profit/loss FY2024 Forecast FY2023 Result YoY (￥billion) 1st Half 2nd Half Full-year 1st Half 2nd Half Full-year Variance Dry Bulk Carriers 266.0 222.0 488.0 189.8 205.6 395.5 +92.4 +23% Dry Bulk Business (excluding Thermal Po
Slide 10: FY2024 Full-year Forecast Analysis [By segment] in ordinary profit/loss
2 FY2024 Full-year Forecast Analysis [By segment] in ordinary profit/loss 10
Slide 11: Key Points of FY2024 Full-year Forecast (I) [Consolidated]
2 Key Points of FY2024 Full-year Forecast (I) [Consolidated] [Overall] Business profit / Ordinary profit / Income before income taxes / Net income: +¥40.9 billion / -¥28.9 billion / -¥50.4 billion / -¥46.6 billion year-on-year. Key points: Amid concerns over China’s economic recovery and stagnat
Slide 12: Key Points of FY2024 Full-year Forecast (II) [Consolidated]
2 Key Points of FY2024 Full-year Forecast (II) [Consolidated] Product Transport Business [ ¥135.0 billion (+¥9.4 billion)] Containerships [ ¥55.0 billion (+¥3.4 billion)] ONE: Freight rates are assumed to ease with a flood of new vessel deliveries. However, we expect to secure a certain profit l
Slide 13: 3. Management Plan BLUE ACTION 2035 FY2023 Progress Report
1. Core KPIs 3. Management Plan 2. Rebalancing Plan BLUE ACTION 2035 3. Phase 1 Investment Progress FY2023 Progress Report 4. Phase 1 Cash Allocation 5. Phase 1 Shareholder Return Policy 6. FY2024 Action Plan
Slide 14: Core KPIs
3 Core KPIs FY2023 has gotten off to a smooth start, with the chemical tanker business and car carrier business performing well. No changes from BA2035 FY2022 FY2023 FY2024 Phase 1 Phase 2 Phase 3 KPI Actual Actual Forecast FY2025 FY2030 FY2035 Profit before tax (unit: JPY) 819.1 bil 295.4 bil 245.0
Slide 15: Rebalancing Plan
3 Rebalancing Plan The assets of stable revenue business and non-shipping business were increased to realize the business portfolio aimed for FY2035. No Changes from BA2035 FY2022 FY2023 FY2035 Actual Actual Plan Correlation with Field Our Business Shipping market 4.7tn 5.1tn 7.5tn Shipping Containe
Slide 16: Phase 1 Investment Progress
3 3 Phase 1 Investment Progress Decisions have been made to invest over one trillion yen, mainly in Energy Business and Wellbeing Lifestyle Business. Investment Progress Amount by Business Units（On a cash-out basis. M&A, including deals led by regional organizations.） Market Driven Stable Revenue In
Slide 17: Phase 1 Cash Allocation
4 3 Phase 1 Cash Allocation Improvement of operating CF due to the upward swing in FY2023 profit and special dividends from ONE generated additional investment capacity of 140 bil yen. BLUE ACTION 2035 Latest Projection Original Plan 1,540 bil yen 1,540 bil yen Additional Investment Capacity 1,390 b
Slide 18: Phase 1 Shareholder Return Policy
3 Phase 1 Shareholder Return Policy The current shareholder return policy is maintained and expect a dividend of 180 yen per share for FY2024. No Changes Policy in Phase 1 of BLUE ACTION 2035 from BA2035 • Payout ratio: 30% • Minimum dividend: 150 yen per share • Potential share buybacks subject to
Slide 19: FY2024 Action Plan
3 FY2024 Action Plan Portfolio Strategy Initiatives to Sustainability Issues Dry Bulk Business • Investigation and preparation towards the Task Force on Nature-related Financial Disclosures (TNFD) • Exploring business opportunities in new trade flows (such as reduced iron transportation) in the stee
Slide 20: (Reference) BLUE ACTION 2035 Initiatives
(Reference) BLUE ACTION 2035 Initiatives Strategies / Materiality Actions (Press Release) ・Mitsui O.S.K. Lines Enters Strategic Investment Agreement with Delfin (2023-6-9) ・Mitsui O.S.K. Lines, Ltd. (MOL) makes strategic investment in Ascension Clean Energy (2023-6-15) ・MOL Cruises Announces its new
Slide 21: Dry Bulker Market (Spot Charter Rate) [Supplement #1]
Dry Bulker Market (Spot Charter Rate) [Supplement #1] 1. FY2023 (Result) (US$/day) FY2023 Size 1st Half 2nd Half Full-year Market for vessels operated by Apr-Sep, 2023 Oct, 2023 - Mar, 2024 Average MOL and MOL Drybulk Apr-Jun Jul-Sep Oct-Dec Jan-Mar Capesize 15,600 13,400 14,500 29,000 24,200 26,600
Slide 22: Tanker Market (Spot Earning) [Supplement #2]
Tanker Market (Spot Earning) [Supplement #2] １．FY2023 (Result) (US$/day) Vessel Type Trade FY2023 1st Half 2nd Half Full-year Market for vessels operated by MOL Jan-Jun, 2023 Jul-Dec, 2023 Average and its overseas subsidiaries Jan-Mar Apr-Jun Jul-Sep Oct-Dec Crude Oil Tanker Arabian Gulf - Far East
Slide 23: Containerized Freight Index (CCFI*) [Supplement #3]
Containerized Freight Index (CCFI*) [Supplement #3] 1. FY2022 (Result) (Jan 1, 1998=1,000) FY2022 1st Half 2nd Half Full-year Trade Apr-Sep, 2022 Oct, 2022 - Mar, 2023 Average Apr-Jun Jul-Sep Oct-Dec Jan-Mar U.S. West Coast 2,502 2,331 2,416 1,079 781 930 1,673 U.S. East Coast 2,796 2,844 2,820 1,74
Slide 24: Car Carrier Loading Volume [Supplement #4]
Car Carrier Loading Volume [Supplement #4] 1. FY2023 (Result) (1,000 units) FY2023 (Percentage of voyage completion basis /including voyage charter) 1st Half 1st Half 2nd Half 2nd Half Total Q1 Q2 Q3 Q4 Total (Includes Intra-European trade) 814 815 1628 813 757 1570 3199 2. FY2024 (Forecast) (1,000
Slide 25: Cash Flows [Supplement #5]
Cash Flows [Supplement #5] 24
Slide 26: Fleet Composition and Real Properties [Supplement #6]
Fleet Composition and Real Properties [Supplement #6] Number of ships 31-Mar, 2023 31-Mar, 2024 31-Mar, 2025 (Forecast) Capesize 80 78 83 Small and Panamax 31 33 41 Number of buildings and area owned by DAIBIRU Handymax 49 50 57 medium-sized Handysize 35 33 36 bulkers Dry Bulk Business (Sub total) W
Slide 27: Mitsui O.S.K. Lines
MitsuiO.S.K.Lines