Financial Summary Results of the First Half of FY2011

Transcription

1 Financial Summary Results of the First Half of & Outlook for Mitsui Chemicals, Inc. November 2,, 2011 <Remarks> indicates the fiscal year starting on April 1 of 2011 and ending on March 31 of 2012

2 Contents 1.Results of the First Half of (April 1, 2011 September 30, 2011) 1) Operation Topics in the First Half of 2) Number of Subsidiaries and Affiliates 3) Consolidated Financial Highlights 4) Sales (by Business Segment) 5) Operating Income/loss (by Business Segment) 6) ) Sales and Operating Income/loss (by Business Segment Quarter on Quarter) 7) ) Non-Operating Income and Expenses 8) Special Gains and Losses 9) ) Consolidated Balance Sheet 10) ) Consolidated Statement of Cash Flow 1, Outlook for (April 1, 2011 March 31, ) Operation Topics in (October 2011 through March 2012) 2) Consolidated Financial Highlights 3) ) Sales (by Business Segment) 4) ) Operating Income/loss (by Business Segment) 5) Operating Income/loss (FY2010 against ) 6) Operating Income/loss (FY2010 previous against latest) 7) Non-Operating Income and Expenses 8) Special Gains and Losses 9) Consolidated Accounting Fundamentals 3. Appendix 1) Trends in Main Product Prices 2) Main Subsidiaries and Affiliates 3) Capital Expenditure and R&D 4) Comprehensive Income

3 1. Results of the First Half of (April 1, 2011 September 30, )

4 1) Operation Topics in the First Half of Project Production Capacity Location Dat e Petrochemicals 1) Expansion of production capacity for 1-Hexane +30,000t/y Ichihara Apr Basic Chemicals 2) "MCT PET Resin Ltd." begins production of PET resins and sales operations Apr Polyurethane 3)Start of commercial operations for polyurethane foam raw materials at Foshan Mitsui Chemicals Polyurethanes Co., Ltd. 11K t/y China (Foshan) May Functional polymeric materials 4) Completion of expansion of production capacity for ultra high molecular weight polyethylene (HI-ZEX MILLION ) +2,500 t/y (5,000 7,500t/y) Iwakuni Jun Results of the First Half of 1

5 1) Operation Topics in the First Half of Project Production Capacity Location Dat e Fabricated Products 5) Transfer of ICROS TAPE business to Mitsui Chemicals Tohcello,Inc. 6) Establishment of Joint Venture Company for solar cell encapsulants (SOLAR EVA ) 7) Expansion of production capacity of solar cell encapsulants (SOLAR EVA ) Malaysia (Malacca) Apr.2011 Apr K t/y Nagoya Aug.2011 Functional Chemicals 8) Acquisition of all ACOMON AG (ACOMON) shares (manufacturer and distributor of monomers for ophthalmic lenses) 9) Acquisition of a portion of Thaibased agrichemical company, "Sotus International Co., Ltd.(SOTUS)" 10) Share Purchase of Iharabras S.A. in Brazil Switzerland (Zug) Thailand (Nonthaburi) Brasil (São Paulo) Apr May Sep.2011 Others 11) Establishment of Mitsui Chemicals Singapore R&D Centre Pte. Ltd. Singapore Jun Results of the First Half of 2

6 2) ) Number of Subsidiaries and Affiliates Items FY2010 (a) 1st Q(b) 2nd Q (c) (c)-(a) (c)-(b) Number of consolidated subsidiaries Number of nonconsolidated subsidiaries and affiliates to which the equity method is applied Total Results of the First Half of 3

7 3) Consolidated Financial Highlights (Billions of Yen) Items FY2010 Increase (Decrease) % Sales % Operating income (loss) % Non-operating income/expenses (2.8) (0.8) Ordinary income (loss) % Special gains/losses 11.0 (0.1) (11.1) - Net income (loss) before income taxes and minority interests % Net income (loss) (3.7) (22%) (Supplementary) Net income (loss) excluding Reversal of prov ision for retirement benefits % Exchange Rate (Yen/US$) (9) Domestic Standard Naphtha Price (Yen/KL) 46,200 57,000 10,800 Dividend (Yen/Share) I tems FY2010 Increase (Decrease) % Interest-bearing liabilities (7.9) (2%) Equity % D/E Ratio(%) (0.03) - Equity ratio(%) Results of the First Half of 4

8 4) ) Sales (by Business Segment) (Billions of Yen) Segment FY2010 Breakdown Volume Price Petrochemicals (2.6) 18.8 Basic Chemicals Polyurethane (6.2) (3.7) (2.5) Functional Polymeric Materials Fabricated Products Functional Chemicals (1.4) Others (0.3) (0.4) 0.1 Total Results of the First Half of 5

9 5) ) Operating Income/Loss (by Business Segment) (Billions of Yen) Segment FY2010 Breakdown Volume *Price Costs Petrochemicals (1.1) 2.4 (1.0) Basic Chemicals Polyurethane (4.3) (7.1) (2.8) (1.0) (4.3) 2.5 Functional Polymeric Materials (0.4) 0.6 Fabricated Products (0.2) 1.0 Functional Chemicals (0.6) 0.4 Others (1.2) (1.4) (0.2) (0.2) Total *Price:including both sale and purchase price v ariances 1. Results of the First Half of 6

10 6) Sales and Operating Income/loss (by Business Segment Quarter on Quarter) (Billions of Yen) Sales Operating income(loss) Segment Apr.-Jun Jul.-Sep. Apr.-Jun. Jul.-Sep. Petrochemicals Basic Chemicals Polyurethane (2.6) (4.5) (7.1) Functional Polymeric Materials Fabricated Products Functional Chemicals Others (0.9) (0.5) (1.4) Total Results of the First Half of 7

11 7) ) Non-Operating Income and Expenses (Billions of yen) Items FY2010 Equity in earnings of non-consolidated subsidiaries and affiliates I nterest expenses, interest and div idend income Gain (loss) on foreign exchange (2.7) (2.1) 0.6 (2.6) (3.0) (0.4) Other (0.3) Total (2.8) (0.8) Results of the First Half of 8

12 8) ) Special Gains and Losses (Billions of yen) Items FY2010 Special gains (a) Gain on sales of fixed assets Rev ersal of prov ision for env iromental measures Reversal of provision for retirement benefits (12.5) (0.1) (14.6) Special losses (b) Loss on sales and disposal of fixed assets Loss on valuation of investment securities Loss on disaster Impairment loss Loss on restructuring of subsidiaries and affiliates, etc. Loss on adjustment for changes of accounting standard for asset retirement obligations (3.9) (2.5) 1.4 (1.6) (0.8) (0.3) (0.3) 0.0 (1.4) (1.4) (0.6) (0.7) (1.0) 0.0 (1.0) Special gains and losses (a)+(b) 11.0 (0.1) (11.1) 1. Results of the First Half of 9

13 9) ) Consolidated Balance Sheet (Billions of Yen) Items End of 11/3 End of 11/9 Items End of 11/3 End of 11/9 Current assets Liabilities (18.2) Cash and cash equivalents (5.6) Notes and accounts payables (6.3) Notes and accounts receivables (3.0) Interest-bearing liabilities (7.9) Inventories Other liabilities (4.0) Other current assets (8.5) Net assets Fixed assets (15.7) Shareholders' equity Tangible fixed assets (12.8) Other accumulated Comprehensiv e income (19.8) (26.7) (6.9) Investments & other non-current assets (2.9) Minority interest Total 1, ,282.3 (13.3) Total 1, ,282.3 (13.3) 1. Results of the First Half of 10 Contingent liabilities as guarantor of indebtedness (0.8)

14 10) ) Consolidated Statement of Cash Flow (Billions of yen) Items FY2010 I. Cash flows from operating activities[a] (2.6) II. Cash flows from investing activities[b] (17.7) (22.2) (4.5) Free cash flows[a+b] (7.1) III. Cash flows from financing activities 2.2 (16.2) (18.4) IV. Others (0.6) (0.2) 0.4 Net incr.(decr.) in cash and cash equivalents 19.5 (5.6) (25.1) 1. Results of the First Half of 11

15 2. Outlook for (April 1, 2011 March 31, 2012) This summary contains forward-looking statements the future plans, strategies, belief and performance of the Mitsui Chemicals Group as a whole and its individual consolidated companies. These forward-looking statements are not historical facts. They are expectations, estimates, forecasts and projections based on information currently available to the Mitsui Chemicals Group and are subject to a number of risks, uncertainties and assumptions, which, without limitation, include economic trends, fluctuations in foreign currency exchange rates, fluctuations in the price of raw materials, competition in markets where the Company is active, personal consumption, market demand, the tax system and other legislation. As such, actual results may differ materially from those projected and the Mitsui Chemicals Group cannot guarantee that these forward-looking statements are accurate or will be achieved.

16 1) Operation Topics in (October 2011 through March 2012) Project Production Capacity Location Date Petrochemicals 1)Completion of expansion of production capacity for linear low-density polyethylene (EVOLUE ) +60K t/y ( K t/y) Ichihara Nov Functional polymeric materials 2) Establishment of joint company for EPT in China China (Shanghai) 2nd Half 2011 Fabricated Products 3)Establishment of new company for production and sales of spunbonded nonwovens in China 15K t/y (Planned completion date of Sep.2013) China (Tianjin) Dec Outlook for 12

17 2) Consolidated Financial Highlights (Billions of yen) Items FY2010 Outlook Outlook on Aug 4 Full Year Full Year Full Year Sales , , ,580.0 Operating income (loss) Non-operating income (expenses) (2.8) (1.6) (0.8) Ordinary income (loss) Special gains/losses (0.1) (2.0) (2.0) (2.0) Net income (loss) before income taxes and minority interests Net income (loss) Exchange Rate (Yen/US$) Domestic Standard Naphtha Price (Yen/KL) 46,200 47,500 57,000 54,000 57,000-2nd half outlook: Exchange Rate 77 Domestic Standard Naphtha Price 51, Outlook for 13

18 3) ) Sales (by Business Segment) (Billions of Yen) Segment FY2010 Full Year (a) Outlook Full Year (b) (b)-(a) Outlook on Aug 4 Full Year Petrochemicals Basic Chemicals Polyurethane (6.8) Functional Polymeric Materials Fabricated Products Functional Chemicals Others (1.2) 19.0 Total , , , Outlook for 14

19 4) Operating Income/Loss /Loss (by Business Segment) (Billions of Yen) Segment FY2010 Full Year (a) Outlook Full Year (b) (b)-(a) Outlook on Aug 4 Full Year Petrochemicals Basic Chemicals Polyurethane (4.3) (9.0) (7.1) (12.0) (3.0) (8.0) Functional Polymeric Materials Fabricated Products Functional Chemicals Others (1.2) (2.3) (1.4) (1.5) 0.8 (2.0) Total Outlook for 15

20 5) Operating Income/loss (FY2010 against ) (Billions of Yen) Segment FY2010 Outlook Breakdown Volume *Price Costs Petrochemicals (1.1) (0.6) 1.9 Basic Chemicals (0.3) 0.3 Polyurethane (9.0) (12.0) (3.0) 0.5 (7.4) 3.9 Functional Polymeric Materials Fabricated Products (1.5) 2.8 Functional Chemicals (1.2) (0.2) Others (2.3) (1.5) Total (10.3) 9.9 *Price:including both sale and purchase price v ariances 2. Outlook for 16

21 6) Operating Income/loss( previous against latest) (Billions of Yen) Segment Previous Outlook Latest Outlook Breakdown Volume *Price Costs Petrochemicals (0.9) Basic Chemicals (0.4) (1.0) 1.9 Polyurethane (8.0) (12.0) (4.0) (1.0) (5.6) 2.6 Functional Polymeric Materials (0.6) (0.7) 1.8 Fabricated Products (1.0) (0.5) (1.3) 0.8 Functional Chemicals Others (2.0) (1.5) Total (2.0) (2.0) (7.3) 7.3 *Price:including both sale and purchase price v ariances 2. Outlook for 17

22 7) Non-Operating Income and Expenses (Billions of yen) Items FY2010 Outlook Outlook on Aug 4 Full Year (a) Full Year (a) (b)-(a) Full Yaer Equity in earnings of nonconsolidated subsidiaries and affiliates Interest expenses, interest and dividend income (2.7) (5.4) (2.1) (4.5) 0.9 (6.0) Gain (loss) on foreign exchange (2.6) (3.0) (3.0) (3.0) 0.0 (1.0) Other (0.3) (0.5) Total (2.8) (1.6) (0.8) Outlook for 18

23 8) Special Gains and Losses (Billions of yen) Special gains (A) Items FY2010 Outlook Full Year Full Year (a) (b) Outlook (b)-(a) on Aug 4 Full Year (12.9) 0.2 Gain on sales of fixed assets Reversal of provision for enviromental measures Reversal of provision for retirement benefits Special losses (B) Loss on sales and disposal of fixed assets Impairment loss Loss on restructuring of subsidiaries and affiliates, etc. Loss on v aluation of inv estment securities (0.5) (14.6) 0.0 (3.9) (9.2) (2.5) (4.4) 4.8 (2.2) (1.6) (2.9) (0.8) (2.7) 0.2 (0.9) (0.6) (2.2) (0.7) (1.0) (0.7) (0.3) (0.3) Other (1.0) (2.4) (1.4) (1.4) 1.0 (1.3) Special gains and losses (A)+(B) (0.1) (2.0) (8.1) (2.0) 2. Outlook for 19

24 9) Consolidated Accounting Fundamentals Items FY2010 Outlook Full Year Full Year Exchange Rate Yen/US$ Domestic Standard Naphtha Price Yen/KL 46,200 47,500 57,000 54,000 Capital Expenditure Billions R&D Expenditures Billions Depreciation & Amortization Billions Financing Income and Expense Billions (2.7) (5.4) (2.1) (4.5) Interest-bearing Liabilities Billions Number of Employees persons 12,860 12,782 12,823 13, Outlook for 20

25 3. Appendix

26 1) Trends in Main Product Prices (Naphtha prices are Domestic Standard Naphtha Price ) (PE, PP, PH, BPA : Change in Prices and Raw Materials Prices in Japan / BPA, PTA, TDI : Chinese Market Price) Year Month Jan.-Mar. Apr.-Jun. Jul.-Sep. Oct.-Dec. Jan.-Mar. Apr.-Jun. Jul.-Sep. Oct.-Dec. Jan.-Mar. Apr.-Jun. Jul.-Sep. Naphtha 27,000 33,300 41,200 42,500 47,700 49,700 42,700 45,200 52,400 59,000 54,900 (Yen/KL) PE (Yen/KG) (75) (10) (10) PP (Yen/KG) (75) (10) (10) PH (Yen/KG) +10 Base Price of Formula +25 Base Price of Formula BZ(ACP) (US$/T) BPA(Japan) (Yen/KG) BPA (China) (US$/T) PTA (US$/T) PX(ACP) (US$/T) TDI (US$/T) $350 $590 $820 $790 $960 $940 $820 $920 $1,120 $1,160 $1,130 (30) negotiation based on BZ price and BPA market price $820 $1,130 $1,260 $1,410 $1,690 $1,920 $2,000 $2,280 $2,430 $2,450 $2,080 $700 $850 $870 $890 $960 $920 $880 $1,130 $1,440 $1,280 $1,250 $730 $960 $1,010 $950 $1,060 $1,010 $910 $1,170 $1,550 $1,600 $1,530 $2,200 $2,500 $2,800 $3,200 $3,100 $2,800 $2,420 $2,530 $2,430 $2,670 $2, Appendix 21

27 2) ) Main Subsidiaries and Affiliates Our Item Common stock share Subsidiaries % Sales amount Billions of Yen Operating I ncome Outlook Prime Polymer Billions of Yen gain Osaka Petrochemical I ndustries Billions of Yen gain Mitsui Chemicals America Millions of USD gain Siam Mitsui PTA Millions of BAHT 4, gain Mitsui Phenols Singapore Millions of USD gain Mitsui Elastomers Singapore Millions of USD gain Mitsui Chemicals Agro, I nc. Billions of Yen gain Mitsui Chemicals Tohcello, Inc. Billions of Yen gain (formerly TOHCELLO CO., LTD. ) Affiliates DU PONT-Mitsui Polychemicals Billions of Yen gain Amoco Mitsui PTA Indonesia Millions of USD gain 3. Appendix 22 Operating Income: " " represents "no change", or a gain/loss under 500 million yen compared to FY2010.

28 3) ) Capital Expenditure and R&D 100 (billions of yen) 93.2 Capital Expenditure investment and financing Capex (billions of yen) R&D FY07 FY08 FY09 FY10 FY11 (outlook) 3. Appendix 23 0 FY07 FY08 FY09 FY10 FY11 (outlook)

29 4) ) Comprehensive Income (Billions of yen) Items FY2010 1st Half 1st Half Net income before Minority I nterests [A] Other Comprehensive Income [B] (11.4) (7.7) 3.7 Net unrealized holding gain on securities (5.2) (4.6) 0.6 Foreign currency translation adjustments (5.3) (2.8) 2.5 Others (0.9) (0.3) 0.6 Comprehensiv e I ncome[a+b] (Breakdown of the total Comprehensive Income) Comprehensiv e Income for Parent company's Shareholder Comprehensiv e Income for Minority Shareholder Appendix 24