Toyobo Co., Ltd. · TSE:3101
Toyobo — H1 FY3/17 Earnings Presentation
16 slides from Toyobo's earnings presentation, Nov 11, 2016
Slide 1: Presentation to Investors
Presentation to Investors Seiji Narahara President Toyobo Co., Ltd. November 11, 2016 (Analysts’ Meeting)
Slide 2: Highlights
Highlights H1 FY 3/17 Results Operating income was limited to ¥10.7 billion (1.5%), resulting in a reduced profit. Difficult business conditions related to Acrylic fibers and PPS fiber materials for filter bags in China. Growth driver “COSMOSHINE SRF” significantly expanded revenues. FY 3/17 Fore
Slide 3: I. Results for H1 of FY 3/17
I. Results for H1 of FY 3/17
Slide 4: Results for H1 FY 3/17 PL, CF
(1) Results for H1 FY 3/17 1)PL.CF \ bn . H1 H2 H1 Previous YoY FY 3/16 FY 3/16 FY 3/17 forecasts Amount % (Aug, 2016) Net Sales 179.7 168.1 164.7 -15.0 -8.4% 170.0 Operating income 10.5 12.6 10.7 +0.2 +1.5% 12.0 Ratio to sales 5.8% 7.5% 6.5% - - 7.1% Ordinary income 9.7 10.7 8.7 -0.9 -9.4% 11.0 Ext
Slide 5: Analysis of Changes in Operating Income
Analysis of Changes in Operating Income [H1 FY 3/16 H1 FY 3/17] Volume Appreciation decrease of yen -1.1 (sales price) -0.8 -2.3 Down in prices Others Decrease in +0.5 raw material and fuel costs +3.9 10.5 10.7 H1 FY 3/16 H1 FY 3/17 (¥ bn.) H1 FY3/16 H1 FY 3/17 Exchange rate 122 105 （\/US$) Naphtha
Slide 6: BS
2) BS \ bn . Mar . 3 1 , Mar . 3 1 , Se p. 3 0 , Ch a n g e 2015 2016 2016 T o t al asse t s 4 6 5 .8 4 4 4 .6 443.9 - 0 .7 Cash an d de po sit s 2 0 .6 2 0 .3 28.0 + 7 .7 In ve n t o r y 8 2 .4 7 5 .3 72.9 - 2 .4 Ne t asse t s 1 6 1 .1 1 6 0 .1 158.6 - 1 .5 Sh ar e h o lde r s' e qu it y 1 5 8 .0 1
Slide 7: Results by Segment
(2) Results by Segment \ bn. Net Sales Operating Income H1 H2 H1 H1 H2 H1 YoY FY 3/16 FY 3/16 FY 3/17 FY 3/16 FY 3/16 FY 3/17 Films & Functional Polymers 76.5 66.9 69.1 4.0 5.9 6.0 +2.0 Industrial Materials 35.3 35.2 32.4 3.2 3.0 2.0 -1.2 Healthcare 13.5 14.3 14.5 2.1 2.6 1.9 -0.2 Textiles and Tradi
Slide 8: Films & Functional Polymers
1) Films & Functional Polymers Packaging films business experienced lower revenues due to lower raw materials and fuel costs. Product portfolio reforms are proceeding in the industrial films business. Net sales (¥ bn.) Operating income (¥ bn.) 76.5 66.9 69.1 4.0 5.9 6.0 (5.2%) (8.8%) (8.7%) 37.7 33.
Slide 9: Industrial Materials
2) Industrial Materials High-performance fibers were firm. Airbag fabrics business progressed well in overseas business development. PPS fiber materials for filter bags struggled in China. Net sales (¥ bn.) Operating income (¥ bn.) 35.3 35.2 32.4 3.2 3.0 2.0 (9.2%) (8.7%) (6.2%) 17.5 16.2 2.1 1.5 17
Slide 10: Healthcare
3) Healthcare Bioproducts business was greatly affected by the foreign exchange rate fluctuations despite the firm deliveries. Functional membranes business experienced delays in orders from the Middle East. Net sales (¥ bn.) Operating income (¥ bn.) 13.5 14.3 14.5 2.1 2.6 1.9 (15.9%) (18.1%) (13.3%
Slide 11: Textiles and Trading
4) Textiles and Trading Thoub cloth for the Middle East was affected by the foreign exchange rate fluctuations despite the expansion in volume. Acrylic fibers struggled under China’s anti-dumping policies. Net sales (¥ bn.) Operating income (loss) (¥ bn.) 43.8 41.6 39.8 1.2 1.3 0.4 (2.6%) (3.2%) (1.
Slide 12: II. Forecasts for FY 3/17
II. Forecasts for FY 3/17
Slide 13: Forecasts for FY 3/17
(1) Forecasts for FY 3/17 \ bn. Previous FY 3/16 FY 3/17 (Forecasts) Change forecasts H1 H2 Amount & （ Aug, 2016） Net sales 347.8 164.7 175.3 340.0 -7.8 -2.2% 360.0 Operating income 23.1 10.7 12.3 23.0 -0.1 -0.5% 25.0 Ratio to sales 6.6% 6.5% 7.0% 6.8% - - 6.9% Ordinary income 20.4 8.7 11.3 20.0 -0.
Slide 14: Analysis of Changes in Operating Income
Analysis of Changes in Operating Income [Forecasts: FY 3/16→ FY 3/17] Volume Appreciation decrease of yen -2.0 (sales price) -1.2 Down in prices Decrease in -3.2 Others raw material +1.0 and fuel costs +5.3 23.1 23.0 FY 3/16 H1 FY3/16 H1 FY 3/17 FY 3/17 (¥ bn.) Exchange rate 120 104 （\/US$) Naphtha
Slide 15: Forecasts by Segment
(2) Forecasts by Segment \ bn. Net sales Operating income Previous forecasts FY 3/17 (Forecasts) FY 3/17 (Forecasts) （ Aug, 2016） FY 3/16 FY 3/16 H1 H2 H1 H2 Films & Functional Polymers 143.4 69.1 73.3 142.4 9.9 6.0 6.5 12.5 11.5 Industrial Materials 70.5 32.4 34.6 67.0 6.3 2.0 3.3 5.3 6.9 Healthcar
Slide 16: Please Note
Please Note The business performance forecasts and targets included in the business plans contained in this presentation are based on information known to the Company’s management as of the day of presentation. Please be aware that the content of the future forecasts may differ significantly from ac