Lg Chem Ltd. · KRX:051910
Lg Chem — Q4 2022 Earnings Presentation
21 slides from Lg Chem's earnings presentation, Jan 31, 2023
Slide 1: 4Q 2022 Earnings Release
2023.01.31 4Q 2022 Earnings Release @LG Chem | WeConnectScience
Slide 2: Contents
Contents 4Q 2022 Business Results Results & Outlook by Business 2023 Business Plan Business Review & Strategy 12-14 Appendix 15-19 * Income Statements / Financial Position / Cash Flows * CAPEX & R&D Expenses / DPS Trend
Slide 3: Confidential
The business results currently under audit review are presented here for investors’ convenience. Hence, please be advised that some of their contents may be altered in the course of audit. The business results are subject to the K-IFRS (Korea International Financial Reporting Standards). Forecasts a
Slide 4: Confidential
Confidential 4Q 3Q 4Q 157 135 241 7,648 261 128 5,071 8,538 4,342 4,439 222 225 217 218 1,529 1,985 2,582 1,176 245 1,883 5,427 5,964 5,988 5,493 4,279
Slide 5: Confidential
Confidential 0.8 0.7 25.6 17.9 0.6 0.9 12.6 0.8 8.0 4.8 0.7 3.6 20.8 21.7 14.4
Slide 6: Liabilities / Equity, Debts / Equity
Confidential 120.3% 120.3% Liabilities / Equity 81.4% 63.6% 54.2% Debts / Equity 47.1% 42.6% 33.5% Net Debts / Equity 19.9% 2020 2021 2022
Slide 7: Results & Outlook by Business: Petrochemicals
WeConnectScience @ Petrochemicals Advanced Materials Life Sciences @ Farm Hannong. @ Energy Solution Results & Outlook by Business Petrochemicals (Unit: KRW bn) 5,964 5,988 5,427 5,493 él Results erences, » Recorded a loss due to non-recurring factors such as T/A and cargo strike, and reduced demand
Slide 8: Results & Outlook by Business: Advanced Materials
WeConnectScience @ Advanced Materials Results & Outlook by Business Advanced Materials (Unit: KRW bn) 2,582 él Results Sales declined due to reduced shipments from customer inventory adjustments in the battery materials and deteriorating downstream IT/semiconductor market 1,985 1,529 Sales (Proporti
Slide 9: Results & Outlook by Business: Life Sciences
WeConnectScience Petrochemicals Advanced Materials: @ Life Sciences Farm Hannong Energy Solution Results & Outlook by Business (Unit: KRW bn) ' . i \ él Results 1 i H ' » Recorded the highest quarterly revenue H H via sales of major products such as H vaccines and growth hormone products ' ' t I ' H
Slide 10: Results & Outlook by Business: Farm Hannong
WeConnectScience @ Farm Hannong Results & Outlook rene (Unit: KRW bn) él Results Despite increased sales due to expanding sales of crop protection products, YoY profitability worsened due to higher raw material costs and R&D expenses (OPM) t Ly ' ' 261 241 ' ' i ars} Outlook ' 157 Hy ' Annual sales
Slide 11: Results & Outlook by Business: Energy Solution
WeConnectScience Petrochemicals Advanced Materials Life Sciences’ Farm Hannong @ Energy Solution Results & Outlook by Business Energy Solution (Unit: KRW bn) al Results Record-high quarterly revenue due to increased EV battery sales for major customers, GM JV Phase 1 ramp-up, power grid ESS volume g
Slide 12: 2023 Business Plan: Sales Target by Business
Confidential Farm Hannong Life Sciences Advanced Materials 0.8 Petrochemicals 0.8 1.2 0.9 0.7 8.0 0.8 10.5 4.8 20.8 21.7 20.2 ※ The projected amount of the business target is based on our business plan, and may differ from the actual amount due to changes in the business environment and strategy rev
Slide 13: Business Review & Strategy: Overall
Confidential Sales Operating profit 21.7tn 20.8tn 20.2tn 19.7% 4.9% '21 '22 '23(p) ※ The projected amount of the business target is based on our business plan, and may differ from the actual amount due to changes in the business environment and strategy revision.
Slide 14: Business Review & Strategy: Energy Solution
Confidential Sales Operating profit 10.5tn 8.0tn 4.8tn 11.6% 4.9% '21 '22 '23(p) ※ The projected amount of the business target is based on our business plan, and may differ from the actual amount due to changes in the business environment and strategy revision.
Slide 15: Business Review & Strategy: Advanced Materials
Confidential Sales Operating profit 1.2tn 910 bn 760 bn 8.8% 8.1% '21 '22 '23(p) ※ The projected amount of the business target is based on our business plan, and may differ from the actual amount due to changes in the business environment and strategy revision.
Slide 16: Appendix: Income Statements
WeConnectScience Appendix Income Statements (Unit: KRW bn) Sales 9,628 11,439 10,598 10,935 42,600 11,595 12,240 14,178 13,852 51,865 Cost of Sales 7,172 7,594 7,948 8,670 31,385 9,098 9,713 11,410 11,657 41,878 Gross Profit 2,456 3,845 2,649 2,264 11,215 2,497 2,526 2,768 2,195 9,986 (%) 25.5% 33.6
Slide 17: Appendix: Financial Position
WeConnectScience Appendix Financial Position (Unit: KRW bn) LG Chem Assets 44,713 46,735 49,822 51,135 64,417 66,347 69,649 67,974 Cash and Equivalents 5,275 4,198 4,344 3,825 14,138 11,514 9,128 8,512 AR 6,082 6,246 6,434 6,387 7,019 7,515 8,957 7,450 Inventory 5,890 6,876 7,986 8,284 9,312 11,240
Slide 18: Appendix: Cash Flows
WeConnectScience Appendix § (eznugtre (Unit: KRW bn) Beginning Cash B 3,274 5,058 4,189 4,279 3,274 3,761 9,052 5,279 4,912 3,761 Activiti 1,066 1,588 903 1,957 5,513 156 587 1,100 2,101 570 Operating Profit 1,409 2,142 727 749 5,026 1,025 878 901 191 2,996 Depreciation 631 685 741 788 2,844 793 819
Slide 19: CAPEX & R&D Expenses
WeConnectScience PAN») oT-1\t\) qm CAPEX & R&D Expenses (ex CAPEX R&D Expenses (Unit: KRW bn) LG Chem 2021 Petrochemicals LG Chem Petrochemicals (Unit: KRW bn) 2021 Materials 224 240 Waters 160 184 Life Sciences 45 110 Life Sciences 174 200 common 478 593 woe Sn 245 195 (incl. Farm Hannong) (incl. F
Slide 20: Payout ratio and Dividend Per Share
Confidential Payout ratio (based on the consolidated net income) Dividend Per Share (DPS) 151.8% ~~ ~~ 49.0% 42.4% 28.8%* 33.9% 31.2% 28.7% 28.7% 23.3% 23.7% 19.7% 12,000 10,000 10,000 5,000 6,000 6,000 4,000 4,000 4,000 4,500 2,000 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 ※ Dividend P
Slide 21: Thank you
Thank you WeConnectScience @LG Chem LG Twin Tower, 128 Yeoui-daero, Yeongdeungpo-gu, Seoul 07336, Korea Tel. 02-3773-1114 / wwwigchem.com Copyright © 2023 LG Chem, All Rights Reserved