IR Supplemental Material

Transcription

1 IR Supplemental Material Consolidated Quarterly Financial Results for (Ninemonth period ended December 31, 2015) Principal Subsidiaries and Associated Companies Contributing to Consolidated Results/Overseas Four Broad Regions p1 Supplemental materials by Segment p26 (Performance Overview) Supplemental materials by Segment p7 (Media, Network, Lifestyle Related Goods & Services Business Unit and Mineral Resources, Energy, Chemical & Electronics Business Unit) Results of Cash flow (supplement) p8 Historical Data p9 (P/L, C/S, B/S, Key Financial Indicator) February 5, 2016 Sumitomo Corporation

2 Principal Subsidiaries and Associated Companies Contributing to Consolidated Results/Overseas Four Broad Regions Unit: billions of yen (rounded to the nearest 100 million) Shares in equity (as of Dec. 31, 2015) (%) Main Business Equity in earnings Results FY2014 Results Metal Products SC Pipe Services Inc Investment in pipe manufacturing and sales company in the U.S Sumisho Metalex Corporation Sale of nonferrous metal products, materials for home heat solution ERYNGIUM Ltd. * Manufacturing, processing and distribution of speciality metals for OCTG market Aluminium smelting business in Malaysia *20.00 Aluminium smelting business in Malaysia (0.4) 1.0 Edgen Group * Global distributor of metal and tubular products for energy industry (5.8) 2.1 Transportation & Construction Systems Sumitomo Mitsui Finance and Leasing, Limited *40.00 Finance & Lease Sumitomo Mitsui Auto Service, Limited Leasing of motor vehicles P.T. Oto Multiartha * Financing of automobiles in Indonesia PT. Bank Tabungan Pensiunan Nasional Tbk *20.00 Investment in Indonesian commercial bank 2.5 P.T. Summit Oto Finance * Financing of motorcycles in Indonesia Sumisho Machinery Trade Corporation * Trading of automobiles, construction equipment, machinery and equipment TBC Corporation *1,3 * Retail and wholesale of tires in the U.S. (0.8) (22.0) Environment & Infrastructure Sumisho Global Logistics Co., Ltd Global logistics provider Perennial Power Holdings Inc. * Development, ownership and management of power plant in the U.S Media, Network, Lifestyle Related Goods & Services Jupiter Telecommunications Co., Ltd Operation of multiple cable TV systems (MSO) and channels (MCO) Jupiter Shop Channel Co., Ltd Operation of TV shopping channel System Integration, IT infrastructure implementation, IT management, BPO, and IT hardware SCSK Corporation software sales Summit, Inc Supermarket chain SC Foods Co., Ltd Import, development, and sale of foodstuffs TOMOD'S Inc Drugstore chain MobiCom Corporation * Integrated telecommunication service in Mongolia companies in the banana business * Import and sale of fruits and vegetables S.C.Cement Co., Ltd. * Sale of cement, readymixed concrete, and concrete products Grain business companies in Australia * Grain accumulation and investment in grain storage and export terminal operating business (1.6) (0.9) Mineral Resources, Energy, Chemical & Electronics Nusa Tenggara Mining Corporation Investment in and financing of the Batu Hijau copper/gold mine project in Indonesia 5.6 (4.1) Investment in the Morenci copper mine, the Pogo gold mine in the U.S. and the SC Minerals America, Inc. * Candelaria & Ojos del Salado copper mines in Chile Sumitronics Corporation Electronics manufacturing service Sumitomo Shoji Chemicals Co., Ltd Sale and trade of chemicals and plastics LNG Japan Corporation Trading of LNG, investment and financing related to LNG business silver, zinc and lead business companies in Bolivia Investment in silver, zinc, and lead mine operating, and ore concentrate sales companies * in Bolivia Summit Rural Western Australia Pty. Ltd. * Import of fertilizer materials and sale of chemical fertilizers in Western Australia Shale gas business in the U.S. * Exploration, development, production, sale of and investment in natural gas in the U.S SMM Cerro Verde Netherlands B.V. *20.00 Investment in the Cerro Verde copper mine in Peru Companies related to coal business in Australia *3 * Investment in coal mines in Australia 0.0 (29.6) Tight oil business in the U.S. *3,4 Exploration, development, production, sale of and investment in tight oil and natural gas * in North America (0.4) (174.1) 2 companies with oil field interests in the North Sea *4 * Development, production and sale of crude oil and natural gas in the British and Norwegian zones of the North Sea (0.5) 1.1 Iron ore mining business in Brazil *5 * Iron ore mining business in Brazil (0.6) 1.5 Copper and molybdenum mining business in Chile *4 Investment in and financing of the Sierra Gorda copper mine in Chile (15.7) (1.4) Oresteel Investments (Proprietary) Limited *4 *49.00 Investment in Assmang iron ore and manganese mine in South Africa (17.0) 4.9 Nickel mining and refining business in Madagascar *4 Investment in and financing of the Ambatovy nickel mining project in Madagascar (85.7) (6.8) Overseas Americas *3,4 Export, import and wholesale 18.0 (34.6) Europe, Middle East, Africa & CIS *4 Export, import and wholesale Asia & Oceania *3 Export, import and wholesale East Asia *4 Export, import and wholesale Notes) (*) Shares in equity and equity in earnings for companies marked with an asterisk are the percentage shares and equity amounts companywide including other segments. (*1) This company has been transferred to Transportation & Construction Systems business unit from Media, Network, Lifestyle Related Goods & Services business unit according to business restructuring since April 1, (*2) In June 2015, our shares in MobiCom Corporation were increased from 33.98% to 34.90%. (*3) The impairment losses included in FY2014 Results: Companies related to TBC Corporation 18.8,Coal business in Australia 24.2, Tight oil business in the U.S (billions of yen) Some portions of the impairment losses are included in FY2014 Results of Americas and Asia & Oceania. (Americas 56.2, Asia & Oceania 3.4 (billions of yen)) (*4) The impairment losses included in Results: Companies related to Tight oil business in the U.S. 1.5, 2 companies with oil field interests in the North Sea 0.7, Copper and molybdenum mining business in Chile 14.0, Oresteel Investments (Proprietary) Limited 18.3, Nickel mining and refining business in Madagascar 77.0 (billions of yen) Some portions of the impairment losses are included in Results of Americas, Europe, Middle East, Africa & CIS, and East Asia. (Americas 0.5, Europe, Middle East, Africa & CIS 0.2, East Asia 0.8 (billions of yen)) (*5) We changed our consolidated periods from the forth quarter of FY2014. The results show equity in earnings for the period of FY2014 Jan.Sep., respectively. 1

3 Performance Overview <Contents> 11 Metal Products 12 Transportation & Construction Systems 13 Environment & Infrastructure 14 Media, Network, Lifestyle Related Goods & Services 15 Mineral Resources, Energy, Chemical & Electronics 16 Overseas Subsidiaries and Branches 2 Breakdown of Impairment Losses On April 1, 2015 Tire Department was transferred from Media, Network, Lifestyle Related Goods & Services Business Unit to Transportation & Construction Systems Business Unit. The prior year results are also shown on a new organization basis accordingly. 11 Metal Products 2015 Profit for the period:14.5 billion yen (9.8 billion yen decrease from 2014) Steel sheets Overseas steel service center : stable Gross profit Operating profit Share of profit/loss() of Investments accounted for Profit/loss() for the year attributable to owners of fthe parent Tubular products Q 2Q 3Q North thamerica : decreasedd Basic profit Forecasts Oi Originali SC Pipe Services: Sumisho Metalex: Tubular products in North America : decrease Aluminum smelting business in Malaysia : decrease Overseas steel service center : stable ERYNGIUM(30/100): Aluminum smelting business in Malaysia(14/20): Edgen Group(29/100):

4 12 Transportation & Construction Systems 2015 Profit for the period:40.1 billion yen (11.1 billion yen increase from 2014) Ships, aerospace and railway car Leasing business : robust Automobile Tire business in the U.S. : impairment loss in FY14 (See 2 Breakdown of Impairment Losses on the breakdown) Leasing business : robust Commercial Bank in Indonesia : newly consolidated Construction equipment Rental business in the U.S. : robust Investment & Replacement in FY15 Increased assets in construction equipment rental business in the U.S. Posted value realization in construction equipment rental business in Canada Leasing businesses and construction equipment rental business in the U.S. : robust Affected by sluggish economies in emerging countries and lackluster shipping market Gross profit Operating profit Share of profit/loss() of Investments accounted for Profit/loss() for the year 29.0 attributable to owners 1Q of fthe parent (7 (7.5) 5)* Q 3Q Basic profit , ,755.7 *The amount of impairment losses Forecasts Oi Original i Sumitomo Mitsui Finance and Leasing(35/40): Sumitomo Mitsui Auto Service: Oto Multiartha(90/100): Bank Tabungan Pensiunan Nasional(BTPN)(12.5/20)* 1 : 1.6 SOF(90/100): Sumisho Machinery Trade Corporation(60/100): TBC(40/100): *1 We refrain from disclosing forecasts of since BTPN refrains their forecasts. 13 Environment & Infrastructure 2015 Profit for the period : billion yen (2.7 billion yen decrease from 2014) IPP/IWPP (overseas) : stable Electricity business (Japan) : impacted by price fluctuation in wholesale power market Investment & Replacement in FY15 Started construction in the 3rd project of offshore wind power generation in Belgium (Oct., 2015) Constructing solar farm and biomass power plant in Japan, and combined cycle power plant in Ghana Sold part of interest in wind farm in the U.S. (Aug., 2015) Gross profit Operating profit Share of profit/loss() of Investments accounted for Profit/loss() for the year attributable to owners Q of fthe parent Q 3Q Basic profit Forecasts Oi Originali Sumisho Global Logistics: IPP/IWPP (overseas) : stable Perennial Power Holdings(40/100): Value realization in renewable energy power generation business (Japan and overseas) in Jan.Mar

5 14 Media, Network, Lifestyle Related Goods & Services 2015 Profit for the period:41.8 billion yen (9.9 billion yen increase from 2014) Major group companies in Japan J:COM, Jupiter Shop Channel, SCSK etc. : robust Real estate business : steady Investment & Replacement in FY Gross profit Operating profit Share of profit/loss() of Investments accounted for Profit/loss() for the year attributable to owners Q of the parent Q 3Q Basic profit , ,758.6 Acquired real estate t including commercial facilities Sold office building Sold part of shares in SKY Perfect JSAT Holdings Inc. J:COM: Jupiter Shop Channel: SCSK: Major group companies in Japan (J:COM, SCSK, Jupiter Shop Channel etc.) and real estate business : stable Grain business in Australia : weak Summit: SC Foods: TOMOD S INC.: MobiCom* 1 : S.C.Cement(98/100): Banana business: Grain business in Australia(70/100): *1 In June 2015, our shares in MobiCom Corporation were increased from 33.98% to 34.90%. 15 Mineral Resources, Energy, Chemical & Electronics 2015 Profit for the period:95.0 billion yen (6.7 billion yen increase from 2014) Mineral Resources & Energy (excl. impairment losses) 2015 / 2014 (increase/decrease), billion yen Mineral Resources & Energy (excl. Impairment Losses) 8.9 / 14.7 (5.9) Silver, zinc and lead business in Bolivia : decline in prices 0.7 / 9.3 (8.6) LNG Japan : decline in selling prices 1.4 / 4.8 (3.4) Oresteel Investments : decline in prices 1.2 / 4.5 (3.2) Iron ore mining business in Brazil : decline in prices and decrease in volume 0.6 / 1.5 (2.1) Nickel mining and refining business in Madagascar : decline in prices 8.6 / 6.8 (1.9) Coal mining projects in Australia : onetime expenses in FY / 4.7(+4.2) Nusa Tenggara Mining : increase in sales volume 5.6 / 4.1 (+9.7) (See 2 Breakdown of Impairment Losses on the breakdown of impairment losses) Chemical & Electronics : stable Investment & Replacement in FY Gross profit Operating profit Share of profit/loss() of Investments accounted for Profit/loss() for the year (110.1)* attributable to owners of the parent (125.7)* 1Q 2Q 3Q Basic profit , ,514.4 *The amount of impairment losses Nusa Tenggara Mining: Sumitronics: SC Minerals America(75/100)* 1 : Sumitomo Shoji Chemicals: LNG Japan: Silver, zinc and lead business in Bolivia(93/100): SUMMIT RURAL WA(80/100): Shale gas business in the U.S.(70/100): SMM Cerro Verde Netherlands(19/20)* 2 : Tight oil business in the U.S.(70/100): Oil field interests in the North Sea: Companies related to coal business in Australia: Iron ore mining business in Brazil* 3 : Copper and molybdenum mining business in Chile: Oresteel Investments(45/49): Nickel mining and refining business in Madagascar* 4 : Participated in multifaceted agricultural support SC Minerals America(75/100) : business for crop production in Brazil (May, 2015) Additional investment in nickel mining and refining business in Madagascar (Sep., 2015) Decrease due to decline in oil and mineral resources prices Tax effect in Jan.Mar *1 Shares in equity of the segment were decreased from 84.75% to 75% in Aug *2 Shares in equity of the segment were decreased from 20% to 19% in Aug *3 The results and forecasts show equity in earnings for the period of FY2014 Jan.Sep., and Apr. FY2016 Mar. respectively. *4 The results and forecasts show equity in earnings for the period of FY2014 Jan.Sep., Jan.Sep. and Jan. FY2016 Mar. respectively. 4

6 Mineral Resources Equity Share of Production and Sensitivity to Profit for the Year Coking coal Thermal coal FY14 FY15 Sensitivity to net income (annual base/ 1Q 2Q 3Q Annual Results Forecasts excluding prices hedge) Results Results Results shipping Volume mil t mil Pi Prices $/t ($1/t) shipping Volume mil t mil Prices $/t * ($1/t) Iron ore Project in Brazil, shipping Volume mil t included in the above Prices $/t mil ($1/t) Manganese ore Copper Nusa Tenggara Mining, included in the above shipping Volume mil t Prices $/t Production Kt Prices $/t 6,860 5,815 6,054 5,251 5, mil ($1/t) 540mil ($100/t) Note) Prices are general market price. FY15 forecasts and sensitivity to net income are as of Feb., The shipping volume of Iron ore and manganese of Oresteel Investments are recognized semiannually (in second and fourth quarter). * Prices were not settled. Mineral Resources Equity Share of Production and Sensitivity to Profit for the Year FY14 FY15 Sensitivity to net income (annual base/ 1Q 2Q 3Q Annual Results Forecasts excluding prices hedge) Results Results Results Silver Zinc Lead Nickel Crude oil, gas Production (mil toz) Prices $/toz production Kt Prices $/t 2,175 2,193 1,844 1,611 1,787 production Kt Prices $/t 2,021 1,946 1,712 1,681 1,742 production Kt Prices $/lb production mil bbl Prices $/bbl mil ($1/toz) 1.1 bil ($100/t) 300 mil ($100/t) 3.6 bil ($1/lb) 60 mil ($1/bbl) LNG production Kt Note) Prices are general market price. FY15 forecasts and sensitivity to net income are as of Feb.,

7 16 Overseas Subsidiaries and Branches 2015 Profit for the period : billion yen (50.9 billion yen increase from 2014) Impairment losses in FY14 and FY15 (See 2 Breakdown of Impairment Losses on the breakdown) Value realization through asset replacements Tubular products in North America : decreased Overseas Four Broad Regions Am ericas Europe, Middle East, Africa &CS CIS Asia & Oceania East Asia (Ref.)2015 Forecasts (As of Oct.2015) (Ref.)2015 Original Forecasts (56.2)* (0.5)* (0.2)* (3.4)* (08)* *The amount of impairment losses Investment & Replacement in FY15 Sold office building in Washington (May, 2015) Sold part of shares in wind farm in South Africa (Jun., 2015) Tubular products in North America : decrease Value realization in overseas renewable energy power generation business in Jan.Mar Gross profit Operating profit Share of profit/loss() of Investments accounted for Profit/loss() for the year attributable to owners (1.5)* of the parent (59.6)* 1Q 2Q 3Q Basic profit , ,102.4 *The amount of impairment losses Perennial Power Holdings(60/100): (0.8)* Bank Tabungan Pensiunan Nasional(BTPN) (5/20)* 1 : 0.6 Companies related to coal business in Australia: SC Minerals America(25/100)* 2 : ERYNGIUM(70/100): Silver, zinc and lead business in Bolivia(7/100): Tight oil business in the U.S.(30/100): Aluminum smelting business in Malaysia(6/20): Shale gas business in the U.S.(30/100): TBC(60/100): Oresteel Investments(4/49): Edgen Group(71/100): *1 We refrain from disclosing forecasts of since BTPN refrains their forecasts. *2 Shares in equity of the segment were increased from 15.25% to 25% in Aug Breakdown of Impairment Losses /3Q Results (Reference) FY2014/3Q Results Projects Amount (bil.yen) Nickel Project in Madagascar (Ambatovy) 77.0 Projects Amount (bil.yen) Tight Oil Development Project in the U.S Iron Ore Mining Project in South Africa Coal Mining Projects in Australia 18.3 (Oresteel) 24.2 Copper and Molybdenum Mine Project in Chile (Sierra Gorda) 14.0 Tight Oil Development Project in the U.S. 1.5 Oil field interests in the North Sea 1.0 Tire business in the U.S. (TBC Corporation) 21.9 T ff t t +0 3 Tax effect etc Tax effect etc Total (breakdown) Mineral Resources, Energy, Chemical & Electronics Overseas Subsidiaries and Branches 1.5 Total 1,928 (breakdown) Transportation & Construction Systems 7.5 Mineral Resources, Energy, Chemical & Electronics Overseas Subsidiaries and Branches

8 Supplemental materials by segment Apr. Dec. Results Unit: Billions of yen (rounded to the nearest 100 million yen) FY2014 Apr. Dec. *1 Results Increase/ (decrease) Media, Network, Lifestyle Related Goods & Services Gross profit Media and Network* Lifestyle & Retail Business Division Food & Agriculture Business Division Materials, Supplies & Real Estate Division Profit (loss) for the period attributable to owners of the parent Media and Network* Lifestyle & Retail Business Division (0.5) Food & Agriculture Business Division (1.0) 1.8 (2.8) Materials, Supplies & Real Estate Division As of As of Dec 31, ,758.6 Mar 31, ,762.7 (4.1) Media and Network* Lifestyle & Retail Business Division Food & Agriculture Business Division (8.7) Materials, Supplies & Real Estate Division (17.7) Mineral Resources, Energy, Chemical & Electronics Gross profit Mineral Resources and Energy* (1.5) Chemical and Electronics* Profit (loss) for the period attributable to owners of the parent (95.0) (101.7) 6.7 Mineral Resources and Energy* 3 (101.3) (111.0) 9.7 Chemical and Electronics* (3.0) As of As of Dec 31, ,514.4 Mar 31, ,682.7 (168.3) Mineral Resources and Energy* 3 1, ,358.4 (146.4) Chemical and Electronics* (20.3) *1 On April 1, 2015 Tire Department was transferred from Media, Network, Lifestyle Related Goods & Services Business Unit to Transportation & Construction Systems Business Unit. At the same time, Materials & Supplies Division and Construction & Real Estate Division were merged into the newly established Materials, Supplies & Real Estate Division. FY2014 Apr. Dec. Results are also shown on a new organization basis accordingly. *2 Media and Network is a sum of Media Division and Network Division. *3 Mineral Resources and Energy is a sum of Mineral Resources Division No.1, Mineral Resources Division No.2 and Energy Division. *4 Chemical and Electronics is a sum of Basic Chemicals & Electronics Division and Life Science Division. 7

9 Results of Cash flow (supplement) (Ninemonth period ended December 31, 2015) 1. Breakdown of Net cash provided by operating activities (Unit:Billions of yen) FY2014 Increase / (decrease) Net cash provided by operating activities Basic profit cash flow Basic profit (120.5) Share of (profit) loss of investments accounted for (75.6) Dividend from investments accounted for Depreciation and amortization Others (Increase / decrease in working capital etc.) (155.1) Progress of Cash flow plan (Unit:Billions of yen) Basic profit cash flow BBBO2017 Plan (threeyear total) (FY2017) +700 Depreciation and amortization Asset replacement approx Others approx Cashin Total approx ,400 Investment & Loan approx. (230.0) ~ (1,200) Additional and replacement investment approx. to existing projects (190.0) (600) New investment approx. (40.0) ~ (600) Free cash flow ~ Dividend (62.4) Free cash flow (postdividend) (200) positive 8

10 Historical Data(1) P/L, C/S U.S.GAAP IFRS AG Plan GG Plan FOCUS'10 f(x) BBBO2014 BBBO2017 (Billion yen) FY2006 FY2007 FY2008 FY2009 FY2010 FY2011 FY2012 FY2013 FY2014 nine months ended Dec. 31 Gross profit Selling, general and administrative expenses (609.9) (669.4) (654.4) (639.2) (660.7) (686.4) (657.1) (706.4) (755.2) (566.2) Interest expense, net (37.1) (42.8) (36.1) (24.1) (18.1) (15.1) (15.8) (17.4) (13.0) (3.9) Dividends Share of profit (loss) of investments accounted for (29.3) Gain on securities and other investments, net Gain (loss) on property, plant and equipment, net (7.5) (10.1) (15.1) 5.0 (17.6) (9.0) (5.8) (19.8) (269.2) 4.6 Other, net (1.8) (0.7) (1.6) 1.5 (2.2) (3.6) (1.6) 3.5 (13.0) 21.6 Profit(loss) before tax (18.6) Income tax expense (114.8) (119.8) (96.3) (61.8) (70.7) (77.7) (75.3) (70.4) (52.3) (54.5) Profit(loss) for the year (70.8) 73.0 Profit(loss) for the year attributable to: owners of the parent (73.2) 61.3 Noncontrolling interests Total trading transactions 10, , , , , , , , , ,798.1 Basic profit Net cash from operating activities Net cash used in investing activities (449.7) (298.0) (261.5) (59.4) (469.4) (35.7) (186.2) (249.9) (399.6) (133.2) Free cash flows (255.5) (249.9) (155.9) Net cash from (used in) financing activities (5.8) (150.1) (33.3) (24.7) (74.8) (381.2) Historical Data(2) B/S, Key Financial Indicator AG Plan U.S.GAAP IFRS GG Plan FOCUS'10 f(x) BBBO2014 (Billion yen) FY2006 FY2007 FY2008 FY2009 FY2010 FY2011 FY2012 FY2013 FY2014 BBBO2017 nine months ended Dec. 31 Total Assets 8, , , , , , , , , ,539.3 Equity attributable t bl to owners of fthe parent , , , , , , , , , , Interestbearing liabilities (gross) 3, , , , , , , , , ,055.6 Interestbearing liabilities (net) 2, , , , , , , , , ,276.0 Equity attributable to owners of the parent ratio (%) ROE (%) (3.0) ROA (%) (0.8) DebtEquity Ratio (net) (times) (Yen) Stock price of Sumitomo Corp. (closing price) 2,120 1, ,075 1,189 1,196 1,178 1,313 1, ,240.5 (highest) 2,330 2,445 1,658 1,113 1,297 1,284 1,276 1,616 1, ,513.0 (lowest) 1,280 1, ,101 1, ,126.0 Nikkei stock average (closing price) 17, , , , , , , , , , Shares of common stock issued (unit: thousand) 1,250,603 1,250,603 1,250,603 1,250,603 1,250,603 1,250,603 1,250,603 1,250,603 1,250,603 1,250,603 Earnings per share attributable to owners of the parent (basic) (58.64) We have prepared consolidated financial statements in accordance with U.S. GAAP for FY2009 or earlier and International Financial Reporting Standards ( IFRSs ) for FY2010 or later. Under U.S. GAAP, Share of profit of investments accounted for corresponds to Equity in earnings of associated companies, net, Profit for the year attributable to owners of the parent corresponds to Net income attributable to Sumitomo Corporation, Equity attributable to owners of the parent corresponds to Sumitomo Corporation shareholders equity and Equity attributable to owners of the parent ratio corresponds to Sumitomo Corporation shareholders equity ratio. 9