FY2018 Financial Result <Supplement>

Transcription

1 FY2018 Financial Result <Supplement> February 13, 2019 Round off to the first decimal place (the same shall apply hereafter)

2 Summary Higher net sales but lower net income Net sales: Steady expansion of existing business in Asia and the acquisition of DUNN-EDWARDS CORPORATION. Operating profit: Impact of globally rising raw material prices. Net income: Temporary impact of changes in the U.S. tax system in last year although gain on non-operating income and extraordinary income. (100 million Yen) Twelve Months Ended Dec. 31 GAP Gap Breakdown Amount % Impact of Impact of FX acquisition Actual GAP Net sales 6, , % Operating profit % Operating profit margin 10.6% 12.4% - - Ordinary income % Net income % 1 Net income attributable to owners of the parent 2 Including subsidy income of Asia segment 3 Including gain on sales of non-current assets 2

3 Operating profit Gap analysis 3

4 Net sales by business segment Amount % Impact of FX (100 million Yen) Gap Breakdown Impact of Actual GAP acquisition Automotive coatings 1, , % Decorative paints (Including heavy duty) 3, , % Industrial coatings % Others ( Marine & Auto refinishes, etc) Twelve Months Ended Dec % Coatings total 6, , % Fine chemicals % Total 6, , % From 1Q 2018, consolidating a part of Industrial coatings business into Automotive coatings business GAP 4

5 Net sales & Operating profit by region Japan Asia Americas Others (Mainly Europe) Total Amount % Impact of FX (100 million Yen) Gap Breakdown Impact of Actual GAP acquisition Net sales 1, , % Twelve Months Ended Dec. 31 Operating profit % Net sales 3, , % Operating profit % Net sales % Operating profit % Net sales % Operating profit Net sales 6, , % Operating profit % Excluding dividends from overseas group companies( 2018 : 14.0 billion yen, 2017 : 12.5 billion yen) GAP 5

6 Japan Asia Americas Others (Mainly Europe) Total Net sales by region & business segment (100 million Yen) Twelve Months Ended Dec. 31 GAP Gap Breakdown Impact of Impact Amount % acquisitio Actual GAP of FX n Automotive coatings % Decorative paints (Including heavy duty) % Industrial coatings % Others ( Marine & Auto refinishes, etc) % Fine chemicals % Automotive coatings % Decorative paints (Including heavy duty) 2, , % Industrial coatings % Others ( Marine & Auto refinishes, etc) % Fine chemicals % Automotive coatings % Decorative paints % Fine chemicals % Automotive coatings % Fine chemicals % From 1Q 2018, consolidating a part of Industrial coatings business into Automotive coatings business 6, , %

7 B/S < B/S > <Assets> (100 million Yen) <Liability and net assets> (100 million Yen) Dec, 2018 Dec, 2017 Dec, 2018 Dec, 2017 Current assets 4, ,019.0 Current liabilities 2, ,992.1 Property, plant and equipment 1, ,428.8 Non-current liabilities Intangible assets 2, ,132.2 Total liabilities 3, ,911.8 Investment and Other assets Shareholders equity 5, ,210.4 Accumulated other Total assets 9, , comprehensive income Subscription rights to shares Non-controlling interests 1, ,249.3 Total n et assets 6, ,294.1 Total liabilities an d n et assets 9, ,

8 Capital expenditures, Depreciation, R&D expenses, and Debts Capital expenditures (100 million Yen) Twelve Months Ended Dec Property, plant and equipment Intangible assets Total Property, plant and equipment Depreciation Intangible assets Total Amortization of goodwill R&D expenses Short-term loans payable Current portion of long-term loans payable Long-term loans payable Total debts Dec, 2018 (100 million Yen) Dec,

9 Key indicators Dec, 2018 Dec, 2017 Capital equity ratio (%) 53.7% 54.8% Net assets (100 milion yen) 6, ,294.1 Total assets (100 million yen) 9, ,205.9 Net assets per share(yen) 1, ,572.6 Earnings per share (yen) (Net income + Amortization of goodwill ) Average 9

10 Foreign exchange rates and market conditions < Exchange rate for P/L (average rate) > < Exchange rate for B/S > Twelve Months Ended Dec Dec, 2018 Dec, 2017 JPY/USD JPY/USD JPY/RMB JPY/RMB <Paint shipment> (10,000t) < Others( Japan market)> (10,000 unit) Twelve Months Ended Dec. 31 Twelve Months Ended Dec Japan Housing starts China 2 1,747 1,929 Construction machinery productions Source : Japan paint manufacturers association Machine tool production Period : Jan. - Nov. 4 Source : Ministry of land,infrastructure,transport and tourism 2 Source : National bureau of statistics of China 5 Source : Japan construction equipment manufacturers association Period : Jan. - Nov. <Automobile production 3 > (10,000 unit) 6 Source : Japan machine tool builders' association Twelve Months Ended Dec Period : Jan. - Nov. Japan < Naphtha price > (JPY/KL) China 2,781 2,902 Twelve Months Ended Dec. 31 North America total USA Canada Mexico 1,723 1,732 Thailand Source Japan : Various publicity materials by automakers 3 Source China, North America : JAMA 3 Source Thailand : Federation of Thai industries 1,131 1, Japan produced naphtha price 51,100 40,400 10

11 2019 Full-year forecast: P/L Aiming for Higher net sales and net income Full-year forecast is based on IFRS. Keep focused on increasing net sales and net income in real terms through steady market expansion although a tough external environment is expected to continue across all regions. Significant differences is due to the cessation of amortization of goodwill. 2018: 12 billion yen <PL> 2019( IFRS Plan ) 1H 2H Total Net sales 3,100 3,300 6,400 (100 million yen) Operating profit Ordinary income Net income Net income attributable to owners of the parent 11

12 2019 Full-year forecast: Net sales & operating profit by region <By region> 2019( IFRS Plan ) 1H 2H Total Japan Net sales ,842 Operating profit Asia Net sales 1,752 1,903 3,655 Operating profit Americas Net sales Operating profit Others Net sales (Mainly Europe) Operating profit Total Net sales 3,100 3,300 6,400 Operating profit Excluding dividends from overseas group companies (100 million yen) 12

13 2019 Full-year forecast: Net sales by business segment <By business segment> 2019( IFRS Plan ) 1H 2H Total Automotive coatings ,599 Decorative paints (Including heavy duty) 1,587 1,677 3,264 Industrial coatings Others (Marine & Auto refinishes, etc) Coatings total 2,999 3,196 6,195 Fine Chemicals Total 3,100 3,300 6,400 (100 million yen) 13

14 2019 Full-year forecast: Other indicators <Capital expenditures, etc.> (100 million yen) 2019 (Plan) 2018 Capital expenditures Depreciation R&D Expenses <Exchange rate/naphtha price> Exchange rate (Average rate) Japan produced naphtha price (JPY) 2019 (Plan) 2018 USD RMB ,000 51,100 <Cash dividends/dividend payout ratio> Annual cash dividends (JPY/share) Dividend payout ratio (%) 2019 (Plan) 2018 Interim Year-end Total Interim Year-end Total

15 Memo 15

16 The forward-looking statements in this document are based on information available at the time of preparation and involve inherent risks and uncertainties. Accordingly, the actual results and performance of Nippon Paint Holdings Co., Ltd. and the Nippon Paint Holdings Group may differ significantly from the forward-looking statements. Please be advised that Nippon Paint Holdings Co., Ltd. and information providers shall not be responsible for any damage suffered by any person relying on any information or statements contained herein. 16