Lg Chem Ltd. · KRX:051910
Lg Chem — Q4 2013 Earnings Presentation
15 slides from Lg Chem's earnings presentation, Jan 27, 2014
Slide 1: 4Q 2013 Business Results & Outlook
4Q 2013 Business Results & Outlook Jan 27, 2014
Slide 2: Disclaimer
Disclaimer The business results for the forth quarter of 2013 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 IFRS(International Financial R
Slide 3: Table of Contents
Table of Contents Yearly Business Results 1 4Q 2013 Business Results 2 Divisional Results & Outlook 4 2014 Business Plan 6 Appendix 8 - Divisional Sales & Operating Profit - Borrowings & Cash Flow - CAPEX Plan & Results - Quarterly Price Trends - Monthly Price Trends
Slide 4: Yearly Business Results
Yearly Business Results (Unit: KRW) 22.7tn 23.3tn 23.1tn 19.5tn 15.5tn 2,821bn 2,819bn 14.1tn 12.2tn 10.7tn 2,098bn 1,910bn 1,743bn 1,374bn 1,043bn 500bn '06 '07 '08 '09 '10 '11 '12 '13 Sales OP Sales OP ※ Results from ’06~’08 are converted based on the IFRS without audit for investors’ convenience.
Slide 5: 4Q 2013 Business Results: Income Statements
4Q 2013 Business Results Income Statements (Unit: KRW bn) Classification ’12.4Q ’13.3Q ’13.4Q YoY QoQ Sales 5,681 5,865 5,641 -0.7% -3.8% Operating Profit 364 516 316 -13.1% -38.7% (%) (6.4) (8.8) (5.6) Pre-tax Income 375 441 236 -37.1% -46.5% (%) (6.6) (7.5) (4.2) Net Income 292 352 177 -39.5% -49.
Slide 6: 4Q 2013 Business Results: Financial Position
4Q 2013 Business Results Financial Position Financial Position Financial Ratios (Unit: KRW bn) Classification ’12 ’13 Change Classification ’12 ’13 Change Asset 16,581 17,447 5.2% Total Liabilities/ 54.0 48.8 -5.2%p Cash and Equity (%) equivalents 1,341 1,909 42.4% Borrowings / 27.4 25.7 -1.7%p Liab
Slide 7: Divisional Results & Outlook: Petrochemicals
Divisional Results & Outlook Petrochemicals Business results Analysis (Unit: KRW bn) • Analysis ▣ Earnings declined due to weak seasonal demand, rising feedstock 4,426 costs and strengthening Korean won, etc. 4,201 4,300 -NCC/PO : Maintained profitability with strong PE spread despite 26% rising nap
Slide 8: Divisional Results & Outlook: I&E Materials/Energy Solution
Divisional Results & Outlook I&E Materials/Energy Solution Business results Analysis (Unit: KRW bn) • Analysis ▣ Earnings decreased due to weak seasonality and stronger KRW - I&E : Recorded sluggish earnings due to weak display market Materials and strengthening KRW 788 - Energy : Diminished results
Slide 9: 2014 Business Plan
2014 Business Plan Business Plan Business Strategy (Unit: KRW bn) Petrochemicals : Sustainable growth with profitability through technology and expanding overseas complex Classification ’13 ’14 Plan • Strengthen technology-based products and cost competitiveness - Secure world-best technology(SAP,
Slide 10: 2014 Business Plan: Cash Flow and CAPEX
2014 Business Plan Cash Flow CAPEX (Unit: KRW bn) Key Investments Classification Amounts Classification Amounts (Unit: KRW bn) Cash Inflow 2,660 Total 1,950 <New & Expansion> 960 From Operating 1,510 ▣ Petrochemicals 480 Type New / Expansion 960 - Yeosu : NCC, SAP, and AA Depreciation 1,150 - Daesan
Slide 11: Appendix: Divisional Sales & Operating Profit
Appendix Divisional Sales & Operating Profit (Unit: KRW bn) 2012 2013 Classification 1Q 2Q 3Q 4Q Total 1Q 2Q 3Q 4Q Total Sales 5,753 5,996 5,834 5,681 23,263 5,721 5,917 5,865 5,641 23,144 Operating Profit 447 499 601 364 1,910 409 502 516 316 1,743 Petrochemicals 4,491 4,521 4,366 4,201 17,579 4,35
Slide 12: Appendix: Borrowings & Cash Flow
Appendix Borrowings & Cash Flow Borrowings Cash Flow (Unit : KRW bn) (Unit: KRW bn) Classification ’12 ’13 Classification ’12 ’13 Total 2,947 3,011 Beginning Cash 1,379 1,341 (Overseas Subsidiaries) (1,024) (1,172) 100% 100% Operating/Investing -143 813 KRW Currency 812 803 28% 27% Net Income 1,506
Slide 13: Appendix: CAPEX Plan & Results
Appendix CAPEX Plan & Results (Unit: KRW bn) Classification ’11 ’12 ’13 Plan ’13 New / Expansion 664 784 549 405 Petrochemicals Maintenance 296 226 245 250 Total 960 1,009 795 655 New / Expansion 330 242 744 254 I&E Maintenance 100 82 135 118 Materials Total 430 324 878 371 New / Expansion 660 395 7
Slide 14: Appendix: Quarterly Price Trends
Appendix Appendix 분기별 제품가격 Quarterly 추이 Price Trends (Unit:U$/MT) (Unit:U$/MT) 1,696 1,676 1,611 1,535 1,542 4,458 1,459 1,531 4,159 1,411 3,997 1,360 1,375 1,364 1,345 1,356 1,462 1,326 1,319 1,434 3,766 1,401 1,404 3,612 1,377 3,479 3,310 1,356 1,340 3,372 1,318 1,274 1,350 1,306 1,311 1,275 1,277
Slide 15: Appendix: Monthly Price Trends
Appendix Monthly Price Trends (Unit:U$/MT) (Unit:U$/MT) 1,676 1,632 1,720 1,588 1,680 1,551 1,550 2,488 2,470 1,491 1,486 1,534 1,548 1,540 2,389 2,424 2,248 1,454 1,453 1,431 1,511 2,060 2,164 1,464 1,395 1,390 1,476 2,089 1,384 1,421 1,448 1,461 2,026 2,046 2,075 2,065 2,000 2,000 1,416 1,428 1,44