Nippon Paper Industries Co., Ltd. · TSE:3863

Nippon Paper Industries — Q1 FY2005 Earnings Presentation

16 slides from Nippon Paper Industries's earnings presentation, Jul 28, 2005

  1. Slide 1: FY2005 1st Quarter Financial Review

    FY2005 1st Quarter Financial Review July 28, 2005 Nippon Paper Group, Inc. All Rights Reserved, Copyright (C) 2005 Nippon Paper Group, Inc.

  2. Slide 2: Contents

    Nippon Paper Group Contents FY2005 1Q Review （April. 1, 2005～June. 30, 2005） （１） Overview （２） Topics （３） Operating results （４） Full year forecast （April. 1, 2005～March. 31, 2006） （５） Other *FY2004:April.1, 2004～March. 31, 2005 FY2005:April.1, 2005～March. 31, 2006 All Rights Reserved, Copyright (C) 2

  3. Slide 3: Overview - Business environment: Domestic shipment of paper and paperboard

    （１）Overview - Business environment Paper Industry Domestic shipment of paper and paperboard FY2005 1Q(April 2005 – June 2005) %change Shipment(1,000 tons) yoy Newsprint 860 2.1% Uncoated printing paper 640 -1.6% Coated printing paper ※ 1,516 2.3% Business communication paper 403 0.9% Other papers (P

  4. Slide 4: Overview - Business environment: Trend in paper and paperboard prices

    （１）Overview -Business environment Trend in paper and paperboard prices Paper industry (April 2003 － June 2005) （¥／ｋｇ） Printing A A2 Coated A3 Coated （¥／ｋｇ） (Woodfree) (Coated woodfree) (Light weight coated woodfree) 150 75 Kraft-liner board 140 70 130 65 120 60 110 55 100 Apr. 2003 Oct. 2003 Apr. 20

  5. Slide 5: Overview - Business environment: Trend in fuel and raw material prices

    （１）Overview -Business environment Paper industry Trend in fuel and raw material prices (April 2003 － June 2005) Dubai NBSK Crude oil Coal Eucalyptus Wastepaper ONP OCC Old magazine Eucalyptus (AU$/BDT) (¥/kg) （US$/t） (US$/BL) (US$/t) NBSK Crude oil Coal 180 18 900 90 160 16 800 80 140 14 700 70 120

  6. Slide 6: Topics of the 1st Quarter

    （２）Topics Topics of the 1stst Quarter Apr. 2005 ：Suzukawa Apr. 2005 ：Suzukawa Mill Mill and and Fuji Fuji Mill Mill to to integrate. integrate. (The (The new new integrated integrated mill mill is is called called Nippon Nippon Paper Paper Industries Industries Co., Co., Ltd. Ltd. Fuji Fuji Mill) Mi

  7. Slide 7: Operating results: Outline

    （２）Operating results①Outline Consolidated operating results FY2004 FY2005 Difference (¥ billion) 1st Q 1st Q <Net sales> 295.5 286.2 -9.3 <Operating income> 15.9 15.3 -0.6 <Ordinary income> 15.3 15.8 0.5 <Net income> 10.3 -1.5 -11.8 All Rights Reserved, Copyright (C) 2005 Nippon Paper Group, Inc. 7

  8. Slide 8: Operating results: Sales volume by product

    （３）Operating results ②Sales volume by product （Thousand tons) FY2004 FY2005 % change 1Q 1Q yoy Newsprint 334 333 -0.3% Uncoated paper 187 185 -1.2% Coated paper 463 483 4.3% Business communication paper 168 182 7.9% Packaging paper and others 170 150 -11.3% Total domestic sales 1,322 1,333 0.8% Expo

  9. Slide 9: Operating results: Segment information

    （２）Operating results③Segment information （¥ billion） Sales Operating income FY2004 FY2005 FY2004 FY2005 Comments 1Q 1Q 1Q 1Q Paper: Coated paper sold well. Pulp and Paper Div. ※ 218.4 212.1 11.6 11.6 Paperboard:Maintained sales volume. Household tissue: Intensified competition continued. Paper-relat

  10. Slide 10: Operating results: Balance sheet

    （３）Operating results④Balance sheet （¥ billion） Balance sheet Mar. 31, 2005 Jun. 30, 2005 Difference Comments Cash and time deposits 18.3 12.2 -6.2 Notes and accounts receivable 247.9 273.9 26.0 Inventories 131.8 136.7 4.8 Other current assets 45.1 64.6 19.5 Capital investment16.3bn , Property, plant

  11. Slide 11: Operating results: Cash flow statement

    （３）Operating results⑤Cash flow statement (¥ billion) Items FY2005 1Q Comments Operating activities -25.9 Income before income taxes 2.9 Depreciation,and amortization of difference between cost and underlying net equity in consolidated subsidiaries 17.5 Change in net working capital ① -30.1 ① Decreas

  12. Slide 12: Full year forecast: Outline

    （４）Full year forecast①Outline Reviewing oil price and exchange rate, revised FY2005 2nd nd half’s estimation. FY2005 FY2005 FY2005 Interim (¥ billion) Original estimation Current estimation estimation <Net sales> 1,180.0 1,180.0 590.0 <Operating income> 71.0 65.0 32.0 <Ordinary income> 70.0 64.0 32.

  13. Slide 13: Full year forecast: Changes of assumption

    （４）Full year forecast②Changes of assumption Revised former assumption ● 1st half Estimations are unchanged from the figures announced on May 11. ● 2nd half Crude oil price US$51/BL (Original estimation US$40/BL) Exchange rate：US$1=¥110 (Original estimation US$1=¥107) AU$1=¥ 84 (Original estimation A

  14. Slide 14: Full year forecast: Analysis

    （４）Full year forecast③Analysis <Original> <Revised> (¥ billion) Non-operating income and expense Revised Revised 70.0 +1.4 Increase in Non-operating Retirement Retirement Increase in income and expense ordinary income ordinary income benefit benefit cost, cost, etc. etc. +1.4 +7.2 +1.2 Sales price 6

  15. Slide 15: Other: Cutting consumption of heavy oil with biomass boilers

    （５）Other Cutting cosumption of heavy oil：Installment of biomass boilers Invested Company Location amount Operation start (\ billion) Nippon Daisyowa Tohoku 4.3 Oct. 2003 Paperboard Nakoso 3.8 Oct. 2004 Nippon Paper Ishinomaki 5.3 Oct. 2006(planned) Industries Fuji 6.4 Oct. 2007(planned) Iwakuni 9.0

  16. Slide 16: Disclaimer Regarding Forward-Looking Statements

    Disclaimer Regarding Forward-Looking Statements Any statements in this presentation document, other than those of historical fact, are forward-looking statements about the future performance of Nippon Paper Group,Inc. and its group companies, which are based on management’s assumptions and beliefs i

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