Sumitomo Heavy Industries, Ltd. · TSE:6302
Sumitomo Heavy Industries — Q2 FY2011 Earnings Presentation
23 slides from Sumitomo Heavy Industries's earnings presentation, 2011
Slide 1: Part 1: Second Quarter Financial Summary and Projections for FY2011
Part 1: Second Quarter Financial Summary and Projections for FY2011 Sumitomo Heavy Industries, Ltd.
Slide 2: FY2011 Second Quarter Performance Summary
1-1 FY2011 Second Quarter Performance Summary ■ Key points Unit: JPY billion (1) Orders ・ Significant increase over same period last FY2011 FY2010 Change year. 1H 1H ・ Increase in all segments. (2) Net Sales Orders 303.1 243.8 59.3 ・ Although increased over the same period last year, Environmental F
Slide 3: Orders and Net Sales
1-2 Orders and Net Sales Unit: JPY billion Orders Net Sales Orders recovered to JPY300 billion for the first half. Machinery components, construction machinery and Machinery components, construction and industrial machinery showed an increase. industrial machinery showed an increase. Four new ships
Slide 4: Operating Income by Segment
1-3 Operating Income by Segment ■ Comparison with previous year <Machinery components> Unit: JPY billion Profits increased, due to an increase in sales overseas. <Precision machinery> FY2011 FY2010 Change Injection molding machines experienced a significant 1H 1H increase in profits, due to increase
Slide 5: Analysis of change in Operating Income
Analysis of change in Operating Income 1-4 (FY2010 / 1H to FY2011 / 1H) Impact of sales Unit: JPY billion reduction/increase +9.9 Improvement of cost of sales ratio, etc. Impact of currency ＋2.2 21.6 exchange fluctuations (2.4) Sales administrative 16.3 costs, etc. (4.4) FY2010 FY2011 1H 1H
Slide 6: Consolidated Balance Sheet
1-5 Consolidated Balance Sheet Unit: JPY billion September March September March Change 2011 2011 Change 2011 2011 Current assets 380.3 365.3 15.0 Liabilities 364.8 357.4 7.4 Cash and deposits Notes and accounts 135.6 132.0 3.7 57.5 52.5 5.0 payable Notes and accounts 158.4 155.3 3.1 Advance payment
Slide 7: Consolidated Cash Flow Statement
1-6 Consolidated Cash Flow Statement Unit: JPY billion Category FY2011 FY2010 Change 1H 1H Operating activities 13.5 14.4 (0.8) Income before income taxes and 17.4 14.3 3.1 minority interests Depreciation 8.5 8.7 (0.2) Working capital (0.2) 1.4 (1.5) Others (income taxes etc.) (12.2) (10.1) (2.2) In
Slide 8: Performance Forecast for FY2011 by Segment
1-7 Performance Forecast for FY2011 by Segment ■ Key Points: (1) Slight slowdown in orders for machinery components and construction machinery. Two new vessel orders for ships are expected in the second half. (2) In terms of sales, improvement occurs for machinery components, precision machinery, co
Slide 9: Performance Forecast for FY2011
1-8 Performance Forecast for FY2011 ■ Key Points: (1) The assumed currency exchange rate was modified from the previous JPY80 to JPY77, but the operating income still remained the same as previous forecast. (2) The interim dividend of JPY4 was revived. The dividend become JPY10 for the full fiscal y
Slide 10: Part 2: Management Strategy
Part 2: Management Strategy
Slide 11: Transitions of Orders and Net Sales
2-1 Transitions of Orders and Net Sales Unit: JPY billion Orders Net Sales The economic condition for the second half of The delivery of three ships is planned for the second FY2011 is uncertain, with the overall condition half. All segments other than ships are expected to remaining at about the sa
Slide 12: Order-receiving Environment for FY2011 by Segment
2-2 Order-receiving Environment for FY2011 by Segment ■ Although orders remain steady for mass-produced machinery in general, the outlook of the global economy remains uncertain. ■ The environment for orders of heavy machinery continues to be severe, except for certain sections. Unit: JPY billion FY
Slide 13: Machinery Components
2-3 Machinery Components Unit: JPY billion Power transmission & control: Orders 50 FY2011 / 1H: Practically all models made a favorable turn, and both the amount of orders received and the net sales increased due to 49.8 49.2 the acquisition of Hansen, which contributed to the expansion of 37.2 38.6
Slide 14: Precision Machinery
2-4 Precision Machinery Unit: JPY billion Orders Plastic machinery: 100 80.6 80.9 FY2011 / 1H: Demand decreased in the North Asian market, 69.9 74.1 principally, in China, while the market is somewhat sluggish in Advanced 41.6 precision 49.9 37.4 machinery Japan. The European market continues to be
Slide 15: Construction Machinery
2-5 Construction Machinery Hydraulic excavators: Unit: JPY billion Orders FY2011 / 1H: Although there was confusion in the supply chain 100 88.6 86.4 for hydraulic excavators, due to the earthquake, recovery was 67.4 73.8 15.3 15.7 Mobile cranes made early on. 11.6 11.5 Orders and net sales both inc
Slide 16: Industrial Machinery
2-6 Industrial Machinery Forging press : Unit: JPY billion Orders 50 FY2011 / 1H: The amount of orders intended for overseas manufacturing plants, with products intended for Japanese capital manufacturers, Forging press recovered somewhat. Material Handling systems FY2011 / 2H: Orders will be secure
Slide 17: Ships
2-7 Ships Ships: Unit: JPY billion 50 Orders FY2011 / 1H: Conditions in the oil tanker market have not recovered, with the ship owners continuing to observe the situation, which resulted in no orders to build new ships in the first half. Net sales consisted of four vessels, 13.7 11.1 which was the s
Slide 18: Environmental Facilities and Plants
2-8 Environmental Facilities and Plants Unit: JPY billion CFB Boilers for IPP: Orders FY2011 / 1H: Boilers were sluggish, with only one order received. 50 42.5 44.8 Pressure FY2011 / 2H: The project for boilers received in Singapore during the second half of 40.2 3.9 4.1 vessels, etc. 8.1 FY2009 wil
Slide 19: Launch of operations at manufacturing plant in Indonesia
2-9 Launch of operations at manufacturing plant in Indonesia ■ Points (1) Operations has started in September in Indonesia, as the location for supplying hydraulic excavators to the Southeast Asian region. (2) Production capacity: 1,000 units (for FY2012) to increase to 2,000 units in the early stag
Slide 20: Launch of operations at manufacturing plant in Brazil
2-10 Launch of operations at manufacturing plant in Brazil ■ Points (1) Operations are scheduled to start in November as the supply location for medium and large size gearboxes for the South American region. (2) An increase in infrastructural investments, relating to increased demand for medium and
Slide 21: Overseas Sales
2-11 Overseas Sales Unit: JPY billion Overseas Sales by Regional Segment FY2011 / 1H Overseas Sales by Segment Environmental facilities and plants Unit: JPY billion Machinery components 5.1 400 Ships (3%) 23.2 30.8 (14%) (19%) 296.1 294.1 Industrial machinery 10.0 (6%) 31.9 Precision machinery 300 (
Slide 22: Management Policies
2-12 Management Policies FY2011: Amidst Amidst the the global global economy economy for for which which the the outlook outlook is is unclear, unclear, we we aim aim to build aa “Strong to build “Strong and and Powerful Powerful SHI” SHI” by by assessing assessing thethe situation situation of of f
Slide 23: Forward-looking statements notice
All forward-looking statements regarding the company’s future performance are based on information currently available to Sumitomo Heavy Industries and determined subjectively. Future performance is not guaranteed and all information related to future performance contained herein is subject to chang
Sumitomo Heavy Industries — Q2 FY2011 Earnings Presentation on 6ix