Sk Innovation Co., Ltd · KRX:096770

Sk Innovation — Q4 2004 Earnings Presentation

34 slides from Sk Innovation's earnings presentation, Jan 27, 2005

  1. Slide 1: 2004 Earnings Presentation, January 27, 2005

    2004 2005. 1. 27. SK

  2. Slide 2: 2004 · . ,

    2004 · . , 1

  3. Slide 3: Agenda

    1. 2004 2. 2004 3. 4. 2005 5. Q&A 2

  4. Slide 4: 1. 2004 Results

    1. 2004 3

  5. Slide 5: Q4 2004 results summary

    ( 2004 4 ) 4Q ‘03 4Q ’04 (%) 36,428 49,616 +13,188 (36) 3,024 4,521 +1,496 (49) 4,054 3,800 +7,854 (N/A) 1,030 8,321 +9,350 (N/A) 4

  6. Slide 6: 2004 full-year results

    (2004 ) 2003 2004 (%) 137,886 173,997 +36,111 (26) 6,713 16,163 +9,450 (141) 6,775 6,698 +13,473 (N/A) 62 22,861 +22,923 (N/A) 5

  7. Slide 7: Sales by segment

    (2004 ) 2003 ( ) 2004 ( ) (%) 99,491 (72.2) 118,476 (68.1) 18,985 (19) 30,536 (22.1) 44,054 (25.3) 13,518 (44) 3,966 (2.9) 5,369 (3.1) 1,403 (35) 1,031 (0.7) 2,757 (1.6) 1,726 (167) 2,863 (2.1) 3,341 (1.9) 478 (17) 137,887 (100) 173,997 (100) 36,111 (26) 6

  8. Slide 8: Operating profit by segment

    (2004 ) 2003 ( ) 2004 ( ) (%) 1,559 (1.6) 7,178 (6.1) 5,619 (360) 3,738 (12.2) 6,315 (14.3) 2,577 (69) 663 (16.7) 747 (13.9) 84 (13) 697 (67.6) 1,982 (71.9) 1,285 (184) 56 (1.9) 59 (-1.8) 115 (N/A) 6,713 (4.9) 16,163 (9.3) 9,450 (141) 7

  9. Slide 9: Non-operating items and cash flow

    2003 2004 2,767 2,241 526 96 2,549 2,645 2,615 8,094 10,709 1,297 1,704 407 6,775 6,698 13,473 * ’04 : 154.0/U$ (2003 1,197.8/U$ 2004 1,043.8/U$ ) ** ’04 : SK (2,810 ), SK (2,458 ) 8

  10. Slide 10: Balance sheet and leverage

    ’03.12 ’04.12 150,303 150,183 120 97,824 81,863 15,961 (57,091) (45,446) ( 11,645) 52,479 68,320 15,841 ( 6,499 ) (6,506) (57) 186.4 % 119.8% 66.6% P 110.6 % 72.0% 38.6% P 9

  11. Slide 11: Debt breakdown

    ’03.12 ’04. 12 27,837 11,977 15,860 29,254 33,469 4,215 (a) 57,091 45,446 11,645 ( b)* 10,144 7,231 2,913 (a+b) 67,235 52,677 14,558 (C) 9,167 3,505 5,662 (a+b-c) 58,068 49,172 8,896 * ’04. 12 : ABS (5,150 ) (US $199 ) 10

  12. Slide 12: 2004 investment and shareholder returns

    2004 2002 2003 2004 800 750 1,800 16% 15% 36% 2004 45,000 4 11

  13. Slide 13: 2. 2004 Business Review

    2. 2004

  14. Slide 14: Sales volume by product

    , 24% ( bbl) ‰ ‰ - 24% - 7% (34% 41%) ( ) ( : %) 2003 26 39 12 23 2004 38 27 11 24 ( Bunkering, Aviation ) (Source : Company) *Kero (incl. Jet), B-C (incl Asphalt) 13

  15. Slide 15: Refining margin (GRM) and cracking spreads

    ( ) , (GRM) ‰ (Cracking ) (US$/bbl) - / Crack / Spread 40 13 (US$/bbl) Diesel 35 WTI / B-C 11 30 9 25 20 7 15 5 ‰ 10 3 - Value Chain Integration 5 - Risk Management 0 1 '03 1 4 7 10 '04 1 4 7 10 Source: Company 14

  16. Slide 16: Petrochemicals: cracker and polymer grade

    2% ( ) ‰ Cracker ‰ - Polymer Grade ( ‰ PX, SM ( 41% ) Source: Company 15

  17. Slide 17: Ethylene-Naphtha spread

    ( ) Ethylene-Naphtha Spread (US$/Ton) ‰ Spread 900 2002 2003 2004 - Trouble 800 700 Tight 600 - 500 400 300 ‰ / 200 , 100 - / PE 0 - PP Jan Mar May Jul Sep Nov >> Source : ICIS 16

  18. Slide 18: Lubricants No.2 base oil

    No.2 3,500 ( ) ‰ 3,000 ( ) 2,500 2003 2004 2,000 2,300 3,600 1,300(56%) 1,500 1,000 ‰ 500 0 17

  19. Slide 19: E&P: BM-C-8 and Defnin

    ’98 2004 (B/D) (U$/B) 12 12 20 20 (2005 (2005 11 )) ‰ • / • D / • BM-C-8 ( ) ‰ • / Defnin • BM-C-30, BM-C-32 * • 56 (* CM-61, CM-101 ) 18

  20. Slide 20: 3.

    3.

  21. Slide 21: Board of directors

    SK( ) (10 ) • - (7 ) : , , , , , , - (3 ) : , , • : , , , 20

  22. Slide 22: Governance and IR activities

    Working BOD „ 4 „ – 2004 3 14 – – : 96% – – „ 6 – – : – 2004 3 29 „ „ session – – 28 briefings – 13 meetings ( ) – 37 seminars, „ „ / „ - : Sales & Leaseback , * 2004 12 31 21

  23. Slide 23: 4. 2005 Outlook

    4. 2005

  24. Slide 24: 2005 business plan

    2005 2004 (P) 2005 (E) 173,997 174,700 16,163 14,100 - 7,178 5,900 - 6,315 4,700 - E&P 1,982 2,000 - 747 1,100 - - 59 400 8,094 5,600 Net Debt 49,172 48,000 Capex 4,300 7,500 23

  25. Slide 25: Q&A

    Q&A

  26. Slide 26: Appendix

    Appendix; 1. ( ) 2. / PLANT 3. ( / ) 4. /

  27. Slide 27: Domestic petroleum product demand

    1. ( ) Unit: bbl / Mon Diesel Diesel Kero B-C B-C Kero Gasoline Gasoline Source: KNOC 26

  28. Slide 28: Plant utilization rates

    2. / Plant (SK Corp) ‰ Plant – CDU (%) 93 78 77 86 84 95 78 82 99 89 * 810mb/d ‰ Plant (%) ’03. 1Q ’03.2Q ’03.3Q ’03.4Q ’04.1Q ’04.2Q ’04.3Q ’04.4Q NCC 100 89 98 100 100 100 100 100 PX 97 96 96 97 96 95 95 95 PE 94 94 95 95 94 89 89 83 PP 100 100 100 100 100 100 100 100 27

  29. Slide 29: 3-A

    3- A. 28

  30. Slide 30: 3-B

    3- B. 29

  31. Slide 31: 4-A

    4- A. 30

  32. Slide 32: 4-B

    4- B. - 31

  33. Slide 33: 4-C

    4- C. - 32

  34. Slide 34: 4-D

    4- D. – / E&P / 33

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