Slide 1: Financial Results for the First Quarter Ended June 30, 2020
Financial Results for the First Quarter Ended June 30, 2020 (Reference) August 4, 2020 Sojitz Corporation
Slide 2: Index
Index Ⅰ. Financial Results for the First Quarter and Full Year Forecast of Fiscal Year Ending March 31, 2021 Ⅱ. Dividends 【Supplemental Data】 I. Segment Information II. Summary of Financial Results Caution regarding Forward-looking Statements This document contains forward-looking statements based o
Slide 3: Financial Results for the First Quarter and Full Year Forecast
Ⅰ. Financial Results for the First Quarter and Full Year Forecast of Fiscal Year Ending March 31, 2021
Slide 4: Summary of Financial Results for the First Quarter Ended June 30, 2020
Summary of Financial Results for the First Quarter Ended June 30, 2020 Downturn in the global economic due to the movement of people and commodities was greatly restricted by the global COVID-19 pandemic Impacts of global COVID-19 pandemic on decreased steel demand and coal and other resource pr
Slide 5: Effects of COVID-19
Effects of COVID-19 Impacts of global COVID-19 pandemic on decreased steel demand and coal and other resource prices beyond initially assumed; may continue throughout the fiscal year All other segments are generally in line with our expectations, although there have been increases and decreases
Slide 6: Summary of Financial Results for the First Quarter Ended June 30, 2020
Summary of Financial Results for the First Quarter Ended June 30, 2020 FY2020 FY2020 FY2019 FY2020 Revised Difference Initial Achieved 1Q Results 1Q Results Forecast (Billions of Yen) Forecast (Aug. 4, 2020) Revenue 437.4 349.3 (88.1) ― ― ― Gross profit 54.9 39.0 (15.9) 210.0 203.0 19% Selling, gene
Slide 7: Summary of Profit or Loss for the Period by Segment
Summary of Profit or Loss Profit for the Period by Segment Profit for the period (attributable to owners of the Company) by segment Main Factors Behind Difference (Billions of yen) 20.0 ■ Automotive ¥ (1.8) billion（down ¥ (3.3) billion YoY） Decreased due to reduced automobile sales as a result of th
Slide 8: FY2020 Forecast Profit for the Year by Segment
FY2020 Forecast Profit for the Year by Segment FY2020 FY2020 FY2020 Progress Overview 1Q Initial Revised Results Forecast Forecast (Billions of Yen) (Aug. 4, 2020) ■ Automotive ¥ (1.8) billion Automotive (1.8) 1.0 1.0 Performance expected to be in line with forecasts as sales activities are ramped u
Slide 9: Summary of Balance Sheets
Summary of Balance Sheets Changes in Total Equity End of End of End of (End of Mar. 2020 vs. Difference Mar.2021 Mar. 2020 June. 2020 Forecast End of June. 2020, Breakdown) (Billions of Yen) Profit for the period attributable to owners of the Company ¥ 2.4 billion Total Assets 2,230.3 2,208.0 (22.
Slide 10: Cash Flow Management
Cash Flow Management Positive three-year aggregate FCF and core cash flow Funding to be secured using on-hand funds as well as long-term commitment lines denominated in yen and other currencies FY2018・ MTP 2020 FY2020 1Q FY2019 3-year total Results (FY2018–FY2020) Results Core operating ¥159.0 bn ¥
Slide 11: Summary of Free Cash Flows
Summary of Free Cash Flows (Billions of Yen) 150.0 Operating Cash Flow Investing Cash Flow FCF Core Cash Flow 98.8 96.5 100.0 63.1 50.0 40.5 54.3 18.6 15.7 4.8 12.4 2.9 0.0 1.3 (3.5) (50.0) (56.7) (35.7) (42.2) (100.0) (86.4) FY2017 FY2018 FY2019 FY2020 1Q ※Core cash flow = Core operating cash flow
Slide 12: Investments and Loans and Asset Replacement for the First Quarter
Investments and Loans and Asset Replacement for the First Quarter Ended June 30, 2020 FY2020 1Q Results Main Businesses ■ Domestic solar power generation operations Investments and Loans ■ CAPEX etc. Investments and Loans Approx. ¥11.0 bn Results ■ IPP business in the United States Asset Replacement
Slide 13: Major One-time Gain/Loss for the First Quarter Ended June 30, 2020
Major One-time Gain/Loss for the First Quarter Ended June 30, 2020 FY2019 1Q Results FY2020 1Q Results Non- ￥- ￥0.5 - - Resource billion billion ￥- ￥0.8 ・ Sales of oil and gas Resource - billion billion interests etc. Total (After income tax ￥- billion ￥1.3 billion expenses) Copyright © Sojitz Corpo
Slide 14: Resource and Non-Resource Profit
Resource and Non-Resource Profit FY2019 FY2020 FY2017 FY2018 FY2019 1Q 1Q Difference Results Results Results Results Results (Billions of yen) ①Profit for the year (attributable to 14.3 2.4 (11.9) 56.8 70.4 60.8 Owners of the Company) (②Total one-time income movements) ー 1.3 1.3 (7.0) 1.9 1.5 ① - ②
Slide 15: Commodity Prices, Foreign Exchange, and Interest Rate
Commodity Prices, Foreign Exchange, and Interest Rate FY2020 FY2019 Initial Assumptions FY2020 Latest Data Results (Annual Avg.) Results (As of July 29, (Apr.-Jun. Avg.) (Apr.-Jun Avg.) 2020) ⇒ Revised Forecast Crude oil US$25.0/bbl（1H） US$68.4/bbl US$33.4/bbl US$43.8/bbl (Brent) US$35.0/bbl（2H） US$
Slide 16: Dividends
Il. Dividends
Slide 17: Dividend Policy
Dividend Policy Basic Dividend Policy Sojitz recognizes that paying stable, continuous dividends is a management priority, together with enhancing shareholder value and boosting competitiveness through the accumulation and effective use of retained earnings. Under MTP2020, our basis policy will be
Slide 18: Supplemental Data: Segment Information
【Supplemental Data】 Ⅰ. Segment Information
Slide 19: Automotive
Automotive Profit for the year (attributable to owners of the Company） 1Q 2Q 3Q 4Q Forecast 【Main Factors Behind Difference】 (Billions of Yen) Decreased due to reduced automobile sales 10.0 as a result of the global COVID-19 pandemic 8.0 6.4 6.0 1.4 4.0 1.4 2.4 0.5 1.0 【Progress Overview】 2.0 1.1 3.
Slide 20: Aerospace & Transportation Project
Aerospace & Transportation Project Profit for the year (attributable to owners of the Company) 1Q 2Q 3Q 4Q Forecast 【Main Factors Behind Difference】 (Billions of Yen) Decreased due to reduced aircraft related 8.0 transactions 6.0 6.0 4.0 4.0 1.1 【Progress Overview】 2.0 1.0 1.8 Earnings contributions
Slide 21: Machinery & Medical Infrastructure
Machinery & Medical Infrastructure Profit for the year (attributable to owners of the Company) 1Q 2Q 3Q 4Q Forecast 【Main Factors Behind Difference】 (Billions of Yen) Increased due to higher returns from medical 6.0 infrastructure business and industrial machinery 4.6 transactions 4.0 3.5 2.0 2.8 【P
Slide 22: Energy & Social Infrastructure
Energy & Social Infrastructure Profit for the year (attributable to owners of the Company) 1Q 2Q 3Q 4Q Forecast 【Main Factors Behind Difference】 (Billions of Yen) Increased due to gains on asset replacement in power 12.0 generation businesses 9.6 8.0 5.8 5.8 2.6 3.5 【Progress Overview】 4.0 0.4 0.5 P
Slide 23: Metals & Mineral Resources
Metals & Mineral Resources Profit for the year (attributable to owners of the Company) 1Q 2Q 3Q 4Q Forecast 【Main Factors Behind Difference】 (Billions of Yen) 35.0 Decreased due to steel demand declines and coal 30.5 30.0 market stagnated as a result of the global COVID-19 6.9 pandemic 25.0 20.1 20.
Slide 24: Metals & Mineral Resources Year on Year Main Factors Behind Difference
Metals & Mineral Resources Year on Year Main Factors Behind Difference (Billions of Yen) 7.1 (4.0) Steel 71 Metal One (4.3) (0.3) (0.4) Coal (4.0) Ferroalloys and non- Industrial SDP* (2.8) ferrous metals minerals Nickel (0.2) Carbon Aluminum (0.4) products (0.2) Others Impact of commodity prices (0
Slide 25: Chemicals
Chemicals Profit for the year (attributable to owners of the Company) 1Q 2Q 3Q 4Q Forecast 【Main Factors Behind Difference】 (Billions of Yen) Decreased due to impacts of the drop in methanol price 12.0 as a result of the global COVID-19 pandemic 9.0 9.3 8.0 2.0 3.2 2.2 5.0 1.3 【Progress Overview】 4.
Slide 26: Foods & Agriculture Business
Foods & Agriculture Business Profit for the year (attributable to owners of the Company) 1Q 2Q 3Q 4Q Forecast 【Main Factors Behind Difference】 (Billions of Yen) Increased due to improved profitability stemming 4.0 from lower production costs as well as higher sales 3.0 2.3 volumes in overseas fertil
Slide 27: Retail & Lifestyle Business
Retail & Lifestyle Business Profit for the year (attributable to owners of the Company) 【Main Factors Behind Difference】 1Q 2Q 3Q 4Q Forecast Decreased due to halted operation of commercial (Billions of Yen) facilities as a result of the global COVID-19 pandemic 8.0 6.0 5.7 6.0 5.5 0.9 1.3 4.0 1.5 1
Slide 28: Industrial Infrastructure & Urban Development
Industrial Infrastructure & Urban Development Profit for the year(attributable to owners of the Company) 1Q 2Q 3Q 4Q Forecast 【Main Factors Behind Difference】 (Billions of Yen) Relatively unchanged year on year 4.0 1.5 3.0 1.1 1.3 2.0 0.5 1.0 【Progress Overview】 1.3 1.5 0.0 0.1 Performance generally
Slide 29: Profit or Loss of Major Subsidiaries and Associates
Profit or Loss of Major Subsidiaries and Associates (Billions of Yen) Subsidiary/ FY2019 FY2020 Segment Company Difference Associate 1Q 1Q ■ Automotive Sojitz Autrans Corporation Subsidiary 0.4 0.0 (0.4) ■ Automotive Sojitz Automotive Group, Inc Subsidiary 0.3 (0.1) (0.4) ■ Automotive Sojitz de Puer
Slide 30: Profit or Loss of Major Subsidiaries and Associates
Profit or Loss of Major Subsidiaries and Associates (Billions of Yen) Subsidiary/ FY2019 FY2020 Segment Company Difference Associate 1Q 1Q ■ Chemicals Sojitz Pla-Net Corporation Subsidiary 0.0 0.0 0.0 ■ Chemicals PT. Kaltim Methanol Industri Subsidiary 1.3 (0.2) (1.5) ■ Chemicals solvadis deutschlan
Slide 31: Supplemental Data: Summary of Financial Results
【Supplemental Data】 Ⅱ. Summary of Financial Results Copyright © Sojitz Corporation 2020 31
Slide 32: Summary of Profit or Loss (Results)
Summary of Profit or Loss (Results) FY2020 FY2009 FY2010 FY2011 FY2012 FY2013 FY2014 FY2015 FY2016 FY2017 FY2018 FY2019 (Billions of Yen) 1Q Net sales 3,844.4 4,014.6 4,321.7 3,934.5 4,046.6 4,105.3 4,006.6 3,745.5 4,209.1 － － － (JGAAP) Revenue － － 2,006.6 1,747.8 1,803.1 1,809.7 1,658.1 1,555.3 1,8
Slide 33: Summary of Balance Sheets (Results)
Summary of Balance Sheets (Results) End of End of End of End of End of End of End of End of End of End of End of End of Mar. Mar. Mar. Mar. Mar. Mar. Mar. Mar. Mar. Mar. Mar. June. (Billions of Yen) 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2020 Total assets 2,160.9 2,117.0 2,190.7 2,15
Slide 34: Summary of Cash Flow (Results)
Summary of Cash Flow (Results) End of End of End of End of End of End of End of End of End of End of End of End of Mar. Mar. Mar. Mar. Mar. Mar. Mar. Mar. Mar. Mar. Mar. June. (Billions of Yen) 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2020 Core cash flow ー ー ー ー ー ー 18.3 5.5 (56.7) 63.
Slide 35: Summary of Profit or Loss
Summary of Profit or Loss (Billions of Yen) 3.0% 80.0 3.0% Profit for the Year* ROA 2.7% 70.0 2.5% 70.4 60.0 60.8 1.9% 56.8 2.0% 50.0 1.7% 1.5% 40.0 40.8 36.5 30.0 33.1 1.0% 20.0 10.0 0.0 0.0% FY2014 FY2015 FY2016 FY2017 FY2018 FY2019 Results Results Results Results Results Results * Attributable to
Slide 36: Summary of Balance Sheets
Summary of Balance Sheets (Billions of Yen) (Times) Net Interest-Bearing Debt Total Equity Net DER 700.0 1.5 629.6 603.5 618.2 611.1 613.2 586.4 584.7 579.1 600.0 571.6 550.9 550.5 520.3 500.0 1.1 1.1 1.1 1.0 1.1 1.0 400.0 1.0 300.0 0.5 200.0 100.0 0.0 0.0 End of End of End of End of End of End of M
Slide 37: Summary of Cash Flow
Summary of Cash Flow (Billions of Yen) Cash flows from operating activities Cash flows from investing activities Free cash flow Core cash flow 150.0 135.7 107.2 99.9 98.8 96.5 100.0 88.7 67.9 63.1 55.1 66.0 47 50.0 48.0 46.4 39.1 40.5 43.4 28.4 54.3 22.5 25.3 18.3 0.9 5.5 12.4 4.8 0.0 1.3 (11.7) (13
Slide 38: Sojitz: New way, New value
nd sojitz New way, New value