UBE Corporation · TSE:4208

UBE — Q3 FY2018 Earnings Presentation

22 slides from UBE's earnings presentation, Feb 4, 2019

  1. Slide 1: Financial Results for the 3rd Quarter FY2018

    Financial Results for the 3rd Quarter FY2018 Explanatory material February 4, 2019 3rd Quarter: April – December

  2. Slide 2: Scope of Consolidation

    3rd Quarter of the FY2018 Scope of Consolidation End of FY2017 End of FY2018 3Q Difference Item Notes (A) (B) (B) - (A) Number of consolidated 70 71 1 + Oita Ube Co., Ltd. subsidiaries Number of equity method 24 25 1 + Ube Maxell Kyoto Co., Ltd. affiliates Total 94 96 2 2

  3. Slide 3: Environmental Factors

    3rd Quarter of the FY2018 Environmental Factors FY2017 3Q FY2018 3Q Difference Item (A) (B) (B) - (A) Exchange Rate Yen/$ 111.7 111.1 (0.6) 485 657 172 Naphtha CIF $/t Domestic Yen/KL 39,600 52,600 13,000 Material Price Benzene(ACP) $/t 794 826 32 Australian $/t 102.7 127.0 24.3 Coal (CIF) Yen/t 11,

  4. Slide 4: Major P/L Items

    3rd Quarter of the FY2018 Major P/L Items (Billions of yen) FY2017 3Q FY2018 3Q Difference Percentage Item (A) (B) (B) - (A) change Net sales 507.0 540.4 33.4 6.6% Operating profit 37.6 30.0 (7.5) (20.1)% Ordinary profit 39.0 33.4 (5.6) (14.4)% Profit attributable to 26.6 22.8 (3.8) (14.3)% owners o

  5. Slide 5: Net Sales and Operating Profit by Segment

    3rd Quarter of the FY2018 Net Sales and Operating Profit by Segment (Billions of yen) FY2017 3Q FY2018 3Q Difference Segment (A) (B) (B) - (A) Chemicals 225.3 234.7 9.3 Pharmaceutical 6.8 7.1 0.3 Net sales Cement & Construction Materials 178.8 188.3 9.5 Machinery 58.7 67.0 8.2 Energy & Environment 5

  6. Slide 6: Analysis - Total

    3rd Quarter of the FY2018 Analysis - Total (Billions of yen) Net Sales Difference of operating profit Chemicals 9.3 700.0 +33.4 540.4 Pharmaceutical 0.3 Price ※1 (5.9) 507.0 Cement & Construction Materials 9.5 合成ゴム 69.0 Machinery 8.2 350.0 Energy & Environment 4.8 Volume 1.8 Others 0.0 Adjustment 1.

  7. Slide 7: Analysis - Chemicals

    3rd Quarter of the FY2018 Analysis - Chemicals (Billions of yen) Net Sales Difference of operating profit +9.3 Nylon/Caprolactam chain 7.0 Price ※1 (5.7) Synthetic rubber 0.9 合成ゴム 69.0 Battery Materials and Fine Chemicals 0.7 Polyimide and Specialty Products 0.7 Volume 1.0 etc カプロラクタム (6 0) Fixed Co

  8. Slide 8: Analysis - Pharmaceutical

    3rd Quarter of the FY2018 Analysis - Pharmaceutical (Billions of yen) Net Sales Difference of operating profit +0.3 Price ※1 (0.2) Volume 0.0 4.6% Increased Fixed Cost and Others ※2 (0.4) Operating profit Total (0.5) (0.5) *1: Including both selling and purchase change (39.1)% Decreased *2: Includin

  9. Slide 9: Analysis - Cement & Construction Materials

    3rd Quarter of the FY2018 Analysis – Cement & Construction Materials (Billions of yen) Net Sales Difference of operating profit +9.5 Price ※1 0.6 Cement and Ready-mixed concrete 8.1 8.2 69.0 Construction materials and 2.2 Limestone related products Volume 1.0 etc (6 0) 5.3% Increased Fixed Cost and

  10. Slide 10: Analysis - Machinery

    3rd Quarter of the FY2018 Analysis - Machinery (Billions of yen) Net Sales Difference of operating profit +8.2 Price ※1 (0.3) 69.0 Volume 0.1 (6 0) 14.0% Increased Fixed Cost and Others ※2 0.2 Operating profit Total (0.0) (0.0) *1: Including both selling and purchase change (0.7)% Decreased *2: Incl

  11. Slide 11: Analysis - Energy & Environment

    3rd Quarter of the FY2018 Analysis – Energy & Environment (Billions of yen) Net Sales Difference of operating profit +4.8 Price ※1 (0.3) Coal 2.8 69.0 Power 2.1 Volume (0.4) (6 0) 9.4% Increased Fixed Cost and Others ※2 0.9 Operating profit Total 0.2 +0.2 Coal (0.3) Power 0.4 *1: Including both sell

  12. Slide 12: Operating Profit – Profit attributable to owners of parent

    3rd Quarter of the FY2018 Operating Profit – Profit attributable to owners of parent (Billions of yen) FY2017 3Q FY2018 3Q Difference Item (A) (B) (B) - (A) Operating profit 37.6 30.0 (7.5) Non-operating income/expenses 1.4 3.3 1.9 Net Interests expenses 0.0 1.0 1.0 Share of profit of entities accou

  13. Slide 13: Consolidated Balance Sheet

    3rd Quarter of the FY2018 Consolidated Balance Sheet (Billions of yen) End of FY2017 End of FY2018 3Q Difference Item (A) (B) (B) - (A) Current assets 316.8 323.7 6.9 Fixed assets 425.4 419.2 (6.1) Total assets 742.4 743.1 0.7 Interest-bearing debt 195.5 200.5 5.0 Other liabilities 210.0 197.7 (12.2

  14. Slide 14: Consolidated Statements of Cash Flows

    3rd Quarter of the FY2018 Consolidated Statements of Cash Flows (Billions of yen) Item FY2017 3Q FY2018 3Q Profit before income taxes 31.6 Depreciation and amortization 26.9 A.Cash flows from operating activities 42.5 21.1 Decrease workig capital (17.3) Income taxes paid (12.6), etc. B.Cash flows fr

  15. Slide 15: Reference

    Reference 15

  16. Slide 16: Analysis of Operating Profit by Segment

    Reference: 3rd Quarter of the FY2018 Analysis of Operating Profit by Segment (Billions of yen) Operating profit Segment Fixed cost FY2017 3Q FY2018 3Q Difference Price Volume and others (A) (B) (B) - (A) *1 *2 Chemicals 22.1 15.9 (6.2) (5.7) 1.0 (1.6) Pharmaceutical 1.4 0.8 (0.5) (0.2) 0.0 (0.4) Cem

  17. Slide 17: Progress of Major P/L Items

    Reference: 3rd Quarter of the FY2018 Progress of Major P/L Items (Billions of yen) FY2017 (A) FY2018 (B) Difference (B) - (A) Item 3Q 3Q 3Q Progress Progress 507.0 540.4 Net sales 695.5 740.0 44.5 33.4 72.9% 73.0% 37.6 30.0 Operating profit 50.2 44.0 (6.2) (7.5) 74.9% 68.2% 39.0 33.4 Ordinary profit

  18. Slide 18: Net Sales

    Reference: 3rd Quarter of the FY2018 Net Sales (Billions of yen) FY2018 Full-year Segment (Forecast) Progress 1Q 2Q 3Q 4Q Total Chemicals 73.5 78.1 83.0 - 234.7 320.0 73.3% Pharmaceutical 1.7 1.6 3.7 - 7.1 10.0 71.0% Cement & Construction 59.4 60.0 68.8 - 188.3 250.0 75.3% Materials Machinery 18.7 2

  19. Slide 19: Operating Profit

    Reference: 3rd Quarter of the FY2018 Operating Profit (Billions of yen) FY2018 Full-year Segment (Forecast) Progress 1Q 2Q 3Q 4Q Total Chemicals 3.6 4.6 7.6 - 15.9 22.5 70.7% Pharmaceutical (0.0) 0.0 0.8 - 0.8 0.5 160.0% Cement & Construction 2.0 2.5 3.9 - 8.5 12.5 68.0% Materials Machinery 0.1 1.1

  20. Slide 20: Consolidated Key Indicators

    Reference: 3rd Quarter of the FY2018 Consolidated Key Indicators (Billions of yen) FY2018 full-year FY2017 Item FY2017 3Q FY2018 3Q (forecast) full-year Capital investment 24.0 24.9 40.0 40.3 Depreciation and amortization 26.1 26.9 37.0 35.3 Research and development expenses 9.8 9.0 14.0 13.2 Adjust

  21. Slide 21: Consolidated Major Subsidiaries

    Reference: 3rd Quarter of the FY2018 Consolidated Major Subsidiaries (Billions of yen) Net Difference of Sales operating Subsidiaries and affiliates Business profit from FY2018 3Q FY2017 3Q Manufacture and sales of caprolactam, ammonium sulfate, nylon, and UBE Corporation Europe, S.A. Unipersonal fi

  22. Slide 22: Forward-looking statements disclaimer

    This presentation material contains forward-looking statements concerning UBEʼs future plans, strategies, and performance. These forward-looking statements are not historical facts; rather, they represent assumptions and beliefs based on economic, financial, and competitive date currently available.

UBE — Q3 FY2018 Earnings Presentation on 6ix