UBE Corporation · TSE:4208
UBE — H1 FY2019 Earnings Presentation
34 slides from UBE's earnings presentation, Nov 1, 2019
Slide 1: Financial Results for the 1st half of FY2019
Financial Results for the 1st half of FY2019 Explanatory material November 1, 2019 1st half: April – September
Slide 2: Contents
Contents FY2019 1st half Consolidated Results FY2019 Consolidated Forecasts Reference 2
Slide 3: FY2019 1st half Consolidated Results
FY2019 1st half Consolidated Results 3
Slide 4: Scope of Consolidation
1st half of the FY2019 Scope of Consolidation End of FY2019 End of FY2018 Difference Item 2Q Notes (A) (B) （B) - （A) Number of consolidated 71 70 (1) － UBE Coal Trading, Ltd. subsidiaries Number of equity method 25 25 0 affiliates Total 96 95 (1) 4
Slide 5: Business Environment: Naphtha Material Price
1st half of the FY2019 Business Environmental FY2018 2Q FY2019 2Q Difference Item (A) (B) (B) - (A) Exchange Rate Yen/$ 110.3 108.6 (1.7) CIF $/ｔ 646 539 (107) Naphtha Domestic Yen/KL 51,300 42,800 (8,500) Material Price Benzene (ACP) $/ｔ 855 640 (215) Australian $/ｔ 127.8 104.0 (23.8) Coal (CIF) Ye
Slide 6: Major P/L Items
1st half of the FY2019 Major P/L Items (Billions of yen) FY2018 2Q FY2019 2Q Difference Percentage Item (A) (B) (B) - (A) change Net sales 348.2 335.0 (13.2) (3.8)% Operating profit 15.0 16.7 1.7 11.4% Ordinary profit 18.6 16.6 (2.0) (11.0)% Profit attributable to 12.3 10.7 (1.5) (12.6)% owners of p
Slide 7: Net Sales and Operating Profit by Segment
1st half of the FY2019 Net Sales and Operating Profit by Segment (Billions of yen) Segment FY2018 2Q FY2019 2Q Difference (A) (B) (B) - (A) Chemicals 154.6 146.4 (8.1) Net sales Construction Materials 155.8 152.7 (3.0) Machinery 43.2 42.0 (1.1) Others 2.2 2.3 0.1 l Adjustment (7.5) (8.4) (0.8) y Tot
Slide 8: Analysis – Total
1st half of the FY2019 Analysis – Total (Billions of yen) Net Sales Difference of operating profit 440.0 348.2 Chemicals (8.1) Price ※1 5.9 335.0 (13.2) Construction Materials (3.0) 合成ゴム 69.0 Machinery (1.1) 220.0 Others 0.1 Volume 1.4 Adjustment (0.8) カプロラクタム (6.0) 0.0 Fixed Cost FY2018 2Q FY2019 2
Slide 9: Analysis – Chemicals
1st half of the FY2019 Analysis – Chemicals (Billions of yen) Net Sales Difference of operating profit Price ※1 2.2 Engineering Plastics & Fine Chemicals (6.9) (8.1) Synthetic rubber (4.5) 合成ゴム 69.0 Specialty Products 1.2 Volume 1.9 Pharmaceutical 2.1 カプロラクタム (6.0) Fixed Cost (5.3)% Decreased and Ot
Slide 10: Analysis – Construction Materials
1st half of the FY2019 Analysis – Construction Materials (Billions of yen) Net Sales Difference of operating profit Cement and Ready-mixed concrete 0.4 Construction materials and (0.0) Price ※1 3.2 (3.0) Limestone related products 69.0 Coal (3.8) Power 0.5 Volume (0.4) etc (6.0) Fixed Cost (2.0)% De
Slide 11: Analysis – Machinery
1st half of the FY2019 Analysis – Machinery (Billions of yen) Net Sales Difference of operating profit Price ※1 0.6 (1.1) 69.0 Volume (0.1) (6.0) Fixed Cost (2.8)% Decreased and Others ※2 (0.1) Operating profit Total 0.3 +0.3 *1: Including both selling and purchase change *2: Including marginal prof
Slide 12: Operating Profit – Profit attributable to owners of parent
1st half of the FY2019 Operating Profit – Profit attributable to owners of parent (Billions of yen) FY2018 2Q FY2019 2Q Difference Item (A) (B) (B) - (A) Operating profit 15.0 16.7 1.7 Non-operating income/expenses 3.6 (0.1) (3.7) Net interests expenses 1.1 0.6 (0.5) Share of profit of entities acco
Slide 13: Consolidated Balance Sheet
1st half of the FY2019 Consolidated Balance Sheet (Billions of yen) End of FY2018 End of FY2019 2Q Difference Item (A) (B) (B) - (A) Current assets 315.6 292.2 (23.4) Fixed assets 424.4 424.2 (0.1) Total assets 740.2 716.6 (23.6) Interest-bearing debt 187.2 181.4 (5.8) Other liabilities 198.4 180.5
Slide 14: Consolidated Statements of Cash Flows
1st half of the FY2019 Consolidated Statements of Cash Flows (Billions of yen) Item FY2018 2Q FY2019 2Q Profit before income taxes 15.7 Depreciation and amortization 18.1 A.Cash flows from operating activities 21.6 36.7 Increase working capital 8.8 Income taxes paid (3.5) etc. B.Cash flows from inve
Slide 15: FY2019 Consolidated Forecasts
FY2019 Consolidated Forecasts 15
Slide 16: Scope of Consolidation
FY2019 Consolidated Forecasts Scope of Consolidation End of FY 2018 End of FY 2019 Difference Item Notes (A) (B) （B) - （A) － UBE Coal Trading, Ltd. Number of － UBE ELECTRONICS, LTD. consolidated 71 69 (2) － UBE ELECTRONICS (WUXI) CO., LTD. subsidiaries ＋ UBE PROCESSING TEC CORPORATION Number of + CN
Slide 17: Business Environment: Naphtha Material Price
FY2019 Consolidated Forecasts Business Environmental FY 2018 FY 2019 Difference Item (A) (B) (B) - (A) Exchange Rate Yen/$ 110.9 107.8 (3.1) [107.0] 555 Naphtha CIF $/ｔ 616 (61) [570] 43,600 Material Price Domestic Yen/KL 49,400 (5,800) [44,400] Benzene 680 $/ｔ 764 (84) (ACP) [720] 101.5 Australian
Slide 18: Major P/L & B/S Items
FY2019 Consolidated Forecasts Major P/L & B/S Items (Billions of yen) FY 2018 FY 2019 Difference Percentage Item change (A) (B) (B) - (A) Net sales 730.1 705.0 (25.1) (3.4)% Operating profit 44.5 42.0 (2.5) (5.7)% Ordinary profit 47.8 41.0 (6.8) (14.3)% Profit attributable to 32.4 27.5 (4.9) (15.4)%
Slide 19: Net Sales and Operating Profit by Segment
FY2019 Consolidated Forecasts Net Sales and Operating Profit by Segment (Billions of yen) FY 2018 FY 2019 Difference Segment (A) (B) (B) - (A) Chemicals 324.2 305.0 (19.2) Net sales Construction Materials 321.0 320.0 (1.0) Machinery 97.2 93.0 (4.2) Others 4.9 4.5 (0.4) Adjustment (17.3) (17.5) (0.2)
Slide 20: Forecasts Analysis – Total
FY2019 Consolidated Forecasts Analysis – Total (Billions of yen) Net Sales 900.0 730.1 705.0 Chemicals (19.2) (25.1) Construction Materials (1.0) Machinery (4.2) 450.0 Others (0.4) Adjustment (0.2) 0.0 (3.4)% Decreased FY 2018 FY 2019 Operating Profit 60.0 Chemicals (4.1) 44.5 (2.5) 42.0 Constructio
Slide 21: Forecasts Analysis – Chemicals
FY2019 Consolidated Forecasts Analysis – Chemicals (Billions of yen) Net Sales Engineering Plastics & Fine Chemicals (9.0) (19.2) Synthetic rubber (11.1) Pharmaceutical 1.0 etc (5.9)% Decreased Operating Profit Engineering Plastics & Fine Chemicals (2.4) (4.1) Synthetic rubber (0.8) Specialty Produc
Slide 22: Forecasts Analysis – Construction Materials
FY2019 Consolidated Forecasts Analysis – Construction Materials (Billions of yen) Net Sales Cement and Ready-mixed concrete (3.5) (1.0) Construction materials and 3.2 Limestone related products Coal (2.2) Power 1.3 etc (0.3)% Decreased Operating Profit Cement and Ready-mixed concrete 0.1 +2.1 Constr
Slide 23: Forecasts Analysis – Machinery
FY2019 Consolidated Forecasts Analysis – Machinery (Billions of yen) Net Sales (4.2) (4.4)% Decreased Operating Profit (0.4) (7.6)% Decreased 23
Slide 24: Operating Profit – Profit attributable to owners of parent
FY2019 Consolidated Forecasts Operating Profit – Profit attributable to owners of parent (Billions of yen) FY 2018 FY 2019 Difference Item (A) (B) (B) - (A) Operating profit 44.5 42.0 (2.5) Non-operating income/expenses 3.3 (1.0) (4.3) Ordinaly profit 47.8 41.0 (6.8) Extraordinary income/losses (3.1
Slide 25: Reference
Reference 25
Slide 26: Reference: Difference of Net sales forecast
Reference: FY2019 Consolidated Forecast Difference of Net sales （Billions of yen） Previous Revised forecasts forecasts Difference Major factors Segment 2019/5/14 2019/10/28 (A) (B) (B) - (A) Engineering Plastics & Fine Chemicals (21.1) Synthetic rubber (7.7) Chemicals 345.0 305.0 (40.0) Specialty Pr
Slide 27: Reference: Difference of Operating profit forecast
Reference: FY2019 Consolidated Forecasts Difference of Operating profit （Billions of yen） Previous Revised forecasts forecasts Difference Major factors Segment 2019/5/14 2019/10/28 (A) (B) (B) - (A) Engineering Plastics & Fine Chemicals (3.5) Chemicals 26.5 20.5 (6.0) Synthetic rubber (0.9) Specialt
Slide 28: Reference: Analysis of Operating Profit by Segment
Reference: 1st half of FY2019 Analysis of Operating Profit by Segment （Billions of yen） Operating profit Segment Fixed cost FY2018 2Q FY2019 2Q Difference Price Volume and others (A) (B) (B) - (A) *1 *2 Chemicals 8.2 8.3 0.0 2.2 1.9 (4.0) Construction Materials 5.5 6.7 1.1 3.2 (0.4) (1.6) *3 Machine
Slide 29: Reference: Progress of Major P/L Items
Reference: 1st half of FY2019 Progress of Major P/L Items (Billions of yen) FY2018 (A) FY2019 (B) Difference (B) - (A) Item 2Q 2Q 2Q Progress Progress 348.2 335.0 Net sales 730.1 705.0 (25.1) (13.2) 47.7% 47.5% 15.0 16.7 Operating profit 44.5 42.0 (2.5) 1.7 33.8% 39.9% 18.6 16.6 Ordinary profit 47.8
Slide 30: Reference: Net Sales
Reference: 1st half of FY2019 Net Sales (Billions of yen) FY2019 Full-year Segment Progress (Forecast) 1Q 2Q 3Q 4Q Total Chemicals 74.5 71.9 - - 146.4 305.0 48.0% Construction Materials 75.4 77.2 - - 152.7 320.0 47.7% Machinery 18.8 23.1 - - 42.0 93.0 45.2% Others 1.1 1.1 - - 2.3 4.5 52.0% Adjustmen
Slide 31: Reference: Operating Profit
Reference: 1st half of FY2019 Operating Profit (Billions of yen) FY2019 Full-year Segment Progress (Forecast) 1Q 2Q 3Q 4Q Total Chemicals 4.6 3.6 - - 8.3 20.5 40.6% Construction Materials 2.3 4.4 - - 6.7 16.5 41.0% Machinery 0.4 1.2 - - 1.6 5.0 33.6% Others 0.1 0.0 - - 0.2 0.7 30.3% Adjustment (0.2)
Slide 32: Reference: Consolidated Key Indicators
Reference: 1st half of FY2019 Consolidated Key Indicators (Billions of yen) FY2019 full-year FY2018 Item FY2018 2Q FY2019 2Q (forecast) full-year Capital investment 17.0 18.0 50.0 41.7 Depreciation and amortization 17.8 18.1 37.0 36.4 Research and development expenses 5.9 6.5 14.0 12.1 Adjusted oper
Slide 33: Reference: Consolidated Major Subsidiaries
Reference: 1st half of FY2019 Consolidated Major Subsidiaries (Billions of yen) Difference of Net Sales operating Subsidiaries and affiliates Business profit from FY2019 2Q FY2018 2Q Manufacture and sales of nylon, caprolactam, ammonium sulfate and fine UBE Corporation Europe, S.A. Unipersonal chemi
Slide 34: Forward-looking statements notice
This presentation material contains forward-looking statements concerning UBE’s 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.