Unicharm Corporation · TSE:8113

Unicharm — 9M 2013 Earnings Presentation

22 slides from Unicharm's earnings presentation, Jan 31, 2014

  1. Slide 1: Unicharm Presentation Materials for Investor's Meeting

    Unicharm Presentation Materials for Investor’s Meeting January 31, 2014 Takahisa Takahara President and CEO Unicharm Corporation Projections stated herein include those based on the Company’s assumptions, forecasts and plans as of January 31, 2014. Therefore, actual results may differ significantly

  2. Slide 2: 1. Overall Financial Performance Review: Nine Months Ended December 2013

    1. Overall Financial Performance Review: Nine Months Ended December 2013 Copyright (c) 2013 Unicharm Corporation. All rights reserved.

  3. Slide 3: Overall Financial Performance Review

    Overall Financial Performance Review  Net sales and operating income reached record highs for 10th and 3rd consecutive periods, respectively.  Net Sales ¥438.9 billion (UP 20.4%↑)  Operating Income ¥49.1 billion (UP 8.1%↑)  Sales contribution of overseas business again reached a record high. Sal

  4. Slide 4: 2. Financial Performance Summary: Nine Months Ended December 2013

    2. Financial Performance Summary: Nine Months Ended December 2013 Copyright (c) 2013 Unicharm Corporation. All rights reserved.

  5. Slide 5: Year-on-Year Comparison

    Net sales and operating income achieved an all-time high with year on year growth of 20.4% and 8.1% and reached record highs for 10th and 3rd consecutive periods, respectively.  Year-on-Year Comparison （Millions of yen） 9 Months Ended 9 Months Ended Difference December 31, December 31, Difference N

  6. Slide 6: Changes in Operating Income

    By the increase in gross profit due to sales increase, absorbed sales promotional costs and etc, so the operating income increased approximately ¥3.6 billion yen  Changes in Operating Income Increase in billion gross profit due to sales increase of ¥74.4 billion 49.1 billion yen 45.5 yen Increase i

  7. Slide 7: Geographical Segment Information

    Both sales and profits largely increased in Asia continuously, Health Care was the driver for increase in both sales and operating income in Japan  Geographical Segment Information (Millions of yen) Elimination/ Japan Asia Other Total Companywide Consolidated 9 Months Ended Dec 2012 Net Sales 181,9

  8. Slide 8: Operating Income by Geographical Segment

    Affected operating income due to increase in raw materials price under depreciation of currency in emerging countries while allocating marketing costs to expand sales channels in Asia  Operating Income by Geographical Segment 20% 14.8% 15.0% 15.3% 15% 12.6% 13.7% 12.3% 13.7% 13.6% 13.3% 11.7% 11.3%

  9. Slide 9: Business Segment Information

    Sales and operating income expanded in Asia for personal care  Business Segment Information (Millions of yen) Personal Elimination/ Pet Care Others Total Consolidated Care Companywide 9 Monthes Ended Dec 2012 Net Sales 304,111 56,218 4,152 364,482 － 364,482 Operating income 41,195 4,017 286 45,499

  10. Slide 10: Changes in Domestic and Overseas Net Sales

    Sales contribution of overseas business reached an all-time high of 57.2% driven by the steady sales growth in Asia  Changes in Domestic and Overseas Net Sales (Billions of yen) 500 57.2% 60% 450 50.4% 44.8% 50% 400 40.9% 42.0% 350 36.2% 36.9% 37.0% 36.5% 40% 31.3% 32.9% 300 30.5% 25.0% 25.4% 30% 2

  11. Slide 11: 3. Operating Environment Review: Nine Months Ended December 2013

    3. Operating Environment Review: Nine Months Ended December 2013 Copyright (c) 2013 Unicharm Corporation. All rights reserved.

  12. Slide 12: Impact from foreign exchange (FY2012/DEC to FY2013/DEC)

    Impact from foreign exchange (FY 2012/DEC ⇒FY 2013/DEC) Net sales increased by ¥42.6 billion and operating income increased by ¥1.2 billion year on year Previous year Current year Currency Change in rate exchange rate exchange rate Taiwan (TWD) 2.71 3.34 23.2% Thailand (THB) 2.57 3.21 24.9% South Ko

  13. Slide 13: Foreign exchange rate sensitivity to a 1% yen depreciation

    Foreign exchange rate sensitivity to a 1% depreciation of the yen vis-à-vis local currencies increases net sales and operating income approx. ¥3,400 million and ¥300 million, respectively Impact of a 1% change (Depreciation of yen) Assumed rate for (Millions of yen) Currency FY2014 Net sales Operati

  14. Slide 14: Retail prices of disposable diapers in China and Indonesia increased gradually

    Retail prices of disposable diapers in China and Indonesia increased gradually  Disposable Diapers: Changes in Retail Price per Piece (Average of All Manufacturers) China Thailand (RMB) (Baht) 1.60 12.00 1.50 11.00 1.40 10.00 1.30 9.00 1.20 8.00 1.10 7.00 1.00 6.00 Indonesia Japan 2,100 (Rupiah) 23

  15. Slide 15: Sanitary products retail price rising in Asia with value added products

    For Asian region, retail price is in increasing trend due to the introduction of value added product  Sanitary Products: Changes in Retail Price per Piece (Average of All Manufacturers) China Thailand (Baht) 0.60 (RMB) 3.20 0.55 3.00 2.80 0.50 2.60 0.45 2.40 0.40 2.20 2.00 0.35 1.80 0.30 1.60 Indon

  16. Slide 16: 4. Financial Results Forecasts for FY2014

    4. Financial Results Forecasts for FY2014 Copyright (c) 2013 Unicharm Corporation. All rights reserved.

  17. Slide 17: Achievement Rates for 3Q and Full Year FY2014 Forecasts

    Due to the high performance of ASEAN region, sales and net income is expected to progress steadily  Achievement Rates for 3Q of FY2014 FY2014 9 Months Ended (Millions of yen) Achievement Forecasts Dec 2013 Rate (%) Net Sales 580,000 438,978 75.7% Operating 70,000 49,195 70.3% Income 12.1% 11.2% 65,

  18. Slide 18: 5. Shareholder Return Policy

    5. Shareholder Return Policy Copyright (c) 2013 Unicharm Corporation. All rights reserved.

  19. Slide 19: Outlook for Returns to Shareholders

    Expected to achieve total shareholder return plan of 50% through result-driven dividends and the share repurchase program  Outlook for Returns to Shareholders (Millions of yen) 25,000 Dividends Share repurchase Payout ratio 70.0% 64.2% 59.9% 60.0% 58.7% 55.6% 20,000 56.0% 50.0% 49.5% 50.0% 47.5% 46

  20. Slide 20: Changes in Dividends

    Interim dividend for first half of fiscal 2014 up ¥1 per share, to ¥18 Expect year-end dividend to also increase ¥1 per share, to ¥18  Changes in Dividends （Yen） 40 Forecast 12th consecutive year of increase 35 30 25 20 15 10 5 0 2001/3 2002/3 2003/3 2004/3 2005/3 2006/3 2007/3 2008/3 2009/3 2010/3

  21. Slide 21: Unicharm Ideals

    Unicharm Ideals We contribute to creating a better quality of life for everyone by offering only the finest products and services to the market and customers, both at home and abroad. We strive to pursue proper corporate management principles which combine corporate growth, associated well-being and

  22. Slide 22: Copyright (c) 2013 Unicharm Corporation. All rights reserved.

    Copyright (c) 2013 Unicharm Corporation. All rights reserved. 22

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