Financial and Business Overview

Transcription

1 IR Roadshow Financial and Business Overview January 2014 Executive Vice President and Senior General Manager, Corporate Administrative & Financial Affairs Division and Chief Financial Officer JGC CORPORATION Masayuki Sato Contents Settlement of Accounts Balance Sheets Order Received in the First Half Business Fields -New Contracts by Business Field Summary of Outstanding Contracts Summary of Target Projects in the 2nd Half Second Half Policy and Order Receipt Strategy Market Environment for FY2014 Addressing the Expanding Market Investment Business 2

2 1. Settlement of Accounts JPY base (Billions of JPY) (Forecast) Sep. 30, 2013 Net sales Gross profit (18.2%) (15.6%) (13.5%) (13.04%) (13.03%) Operating income (14.2%) (12.0%) (10.27%) (10.07%) (9.85) Net income (5.7%) (7.0%) (7.3%) (6.8%) (7.9%) New contracts Settlement of Accounts USD base (Millions of USD) (Forecast) Sep. 30, 2013 Net sales 5, , , , ,214.8 (Progress45.5 %) Gross profit (18.2%) 1,055.4 (15.6%) (13.5%) (13.04%) (Progress 45.5%) Operating income (14.2%) (12.0%) (10.27%) (10.07%) (Progress 44.5%) Net income (5.7%) (7.0%) (7.4%) (6.8%) (Progress 52.8%) New contracts 7, , , , ,792.4 (Progress 42.0%) (USD 1= JPY 83.15) (USD 1= JPY 82.19) (USD 1= JPY 94.05) (USD 1= JPY95.00) (USD 1= JPY 97.75) 4

3 2. Balance Sheets (Unit : Billions of Yen) FY2012 FY2013 2Q Difference Current assets * Noncurrent assets Total assets *1 Cash & equivalents Accounts receivable -7.6 Contract works in progress Current liabilities Noncurrent liabilities *2 *2 Short-term loans -5.0 Income tax payable -9.5 Advances received Total liabilities Total net assets Total liabilities & net assets * *3 Net income Dividends Accumulated other comprehensive income +1.7 Minority interest Orders Received in the First Half Orders Received in First Half Target: 270 billion yen (Full year target:650 billion yen) Major Projects Received Russia N. America (A portion of Engineering and Procurement) (FEED) Gas Chemicals Pharmaceutical Hospital 6

4 4. Business Fields -New Contracts by Business Field Fiscal year , , , , As of Sep. 30, 2013 : 272,956 Full Year Target: 650, , , , , , , , ,000 Millions of JPY Oil & Gas development Petroleum refining Chemical Power generation, nuclear power, new energy Living and general production Environmental protection, social development and IT Others 7 5. Summary of Outstanding Contracts FY2012 JPY 1,512.8 bn FY2013 2Q JPY 1,488.0 bn (USD bn ) (USD bn ) by Business sector Others 77.1 (5.1%) Chemical 37.0 (2.4%) Others 83.1 (5.6%) Chemical 141.4(9.5%) by Region (Unit : Billions of JPY) North America & others 39.4 (2.6%) North America & others (11.1%) (62.2%) Oceania (43.4%) Oceania (40.1%) (58.4%) Africa and Others 59.6 (4.0%) Middle East (17.4%) Africa and Others 38.5 (2.6%) Middle East (13.4%) Petroleum refining (16.6%) Petroleum refining (17.9%) Asia (25.7%) Asia (24.5%) Oil & gas development 206.9(13.7%) Oil & gas development 128.4(8.6%) (6.9%) (8.3%) Mar. 31, 2013 Sep. 30, 2013 Mar. 31, 2013 Sep. 30,

5 6. Summary of Target Projects in the 2nd Half Middle East/Africa Oil Refining Gas Processing Power Generation North America Southeast Asia Oil Refining Oil Refining Pharmaceutical Mega Solar, Hospital 9 7. Second Half Policy and Order Receipt Strategy Target for consolidated orders received: 650 billion yen Order Receipt Strategy North America Realizing superior quality based on years of experience Working in cooperation with American contractors Minimizing risk on contracts Middle East Reducing costs through optimal alliances with other contractors Offer high-level risk management on large-scale projects General Using our superior experience in to expand into F- Supporting overseas group companies with taking on independent projects, and forming partnerships within the Group 10

6 8. Market Environment for FY2014 Continuing investment in domestic oil and gas projects JGC s Target Projects Middle East/Africa Oil refining, gas processing, petrochemicals, Southeast Asia, oil refining, non-ferrous metals North America (receiving terminals), petrochemicals, pharmaceutical, hospital Addressing the Expanding Market (1) Establishment of JGC America Main base for North American projects Starting operations from 2014 Planned expansion to 500 employees Expanding JGC s business style to North America JGC America Limited 12

7 9. Addressing the Expanding Market (2) Expanding our Project Execution Resources Making more efficient use of JGC s human resources through joint ventures Making full use of EPC Subsidiaries Expanding capacity through involvement of JGC Plant Innovation overseas Actively developing overseas EPC group companies Synergizing work with domestic and overseas EPC group companies Increasing Efficiency of JGC Personnel Optimizing human resource deployment and further the young Engineer accelerated education program Investment Business (1) Synergizing with our EPC Business Achievements in the First Half of FY2013 Mega Solar () Shipbuilding Company Management (Brazil) Power and Steam Supply Business (Saudi Arabia) Strategies for the Second Half of FY2013 and Beyond Water Supply, Electric Power, Airports, Urban Development, and other infrastructure fields 14

8 10. Investment Business (2) More than a dozen projects are being developed and operated. UAE: Taweelah B&A2 IWPP China 2 Juhua HFC23 recovery and decomposition CDM 3 Alternative cement raw material CDM (Inner Mongolia) 4 Cement plant residual heat recovery and generation CDM 5 Coal mine methane power generation CDM Saudi Arabia: Power and Steam Supply Business U.S. Canada: Shale gas development business 19 Spain: Solar thermal generation business 16 6 China: Seawater desalination business 8 DME promotion business Matsuzawa hospital PFI business Pharma services business 7 Oil and gas field production and sales business Photovoltaic power generation project 17 Shale oil development business Gas field development business India: Integrated township Project Philippines: Bioethanol production and power supply operations Algeria: Power plant O&M business Indonesia: JCF business 14 Brazil: Investment in shipbuilding company Australia: Water and sewage business Power and Water Water Emission trading (CDM) New energy Other businesses Resource development Power plant O&M 9 10 Investment in Ebara Engineering Services 15 Note on Future Outlook This presentation may contain forward-looking statements about the JGC Corporation. You can identify these statements by the fact that they do not relate strictly to historic or current facts. These statements discuss future expectations, identify strategies, contain projections of results of operations or of financial condition or state other forward-looking information. These statements are based on currently available information and represent the beliefs of the management of the JGC Corporation. These statements are subject to numerous risks and uncertainties that could cause the JGC Corporation s actual results, performance, achievements or financial condition to differ materially from those described or implied in the forward-looking statements. The JGC Corporation undertakes no obligation to publicly update any forward-looking statements after the date of this presentation. These potential risks and uncertainties include, but are not limited to: competition within the financial services industries in and overseas, our ability to adjust our business focus and to maintain profitable strategic alliances, volatile and sudden movements in the international securities markets, foreign exchange and global economic situations affecting the JGC Corporation. For questions concerning this material, please contact: JGC Corporation PR and IR Department Tel: Fax: ir@jgc.co.jp 16