Flash Report
Results of FY2021 2Q & Outlook for FY2021
Teijin Limited
November 8, 2021
Points of Financial Results of FY2021 2Q & Outlook for FY2021
Due to increased sales accompanying the economic recovery and the effect of succession of sales of diabetes treatment drugs, growth of sales and profit was secured compared to the first half of the previous year, with actual sales of 453.4 billion yen and operating income of 31.5 billion yen in the first half, despite of convergence of special demand for medical gowns. EBITDA also grew by 15% to 65.1 billion yen.
There is no change to the previously announced the consolidated annual forecasts*1 despite uncertainty about the second half of FY2021 due to the semiconductor shortage and the rise in material and fuel prices
- First half results for FY2021
- Strong sales in the Healthcare Business Field offset the impact of the convergence of governmental demand for medical protective equipment (gowns, etc.)
- Compared to the full-year forecast, EBITDA achieved a progress rate of 50% (65.1 billion yen) and operating income 52% (31.5 billion yen), both going well
Changes in half-year EBITDA by segment
(Billions of Yen) Materials Healthcare Fibers&Products/IT/Others
80
Impact of medical protective | 65.1 |
equipment (gowns, etc.) | |
■ Outlook for FY2021 |
60
56.7 | 9.5 |
• The previous outlook* 1 remains unchanged, while the first half was generally |
as expected and the outlook for the second half is highly uncertain. Sales and |
profits are expected to increase compared to the previous year. |
40
* 2
19.5
50.0
.0Strong in
37.5 healthcare
• There is no change to the previously announced annual dividend forecast* 1 |
as well (55 yen / share, 5 yen increase from the previous year, interim dividend: 27.5 |
20
22.421.3
yen) | 14.8 | 16.7 | 18.0 | |
Outlook for FY2021 | 0 | |||
FY20 1st half | FY20 2nd half | FY21 1st half | ||
Net sales 900.0 billion yen, EBITDA 130.0 billion yen, Operating income 60.0 billion yen,
Profit attributable to owners of parent 35.0 billion yen
* 1 Announced on August 6, 2021 | * 2 Medical protective equipment (gowns, etc.) contributed significantly | 1 |
Key Assumptions regarding the Company's Main Target Markets in FY2021
Main businesses | Markets | Main | FY2021 1H | Outlook for FY2021 2H | |
Areas | |||||
Automotive | Europe | • Demand for tires, brakes, and hoses increased | • The situation will remain the same as in the first | ||
US | half of this fiscal year | ||||
Aramid | |||||
Europe | • Sales of products for optical-fiber and other | • Demand will remain firm | |||
Industrial materials | applications recovered to the FY2019 level; | ||||
US | |||||
demand remained high | |||||
Asia | • Customers' operations decreased due to | • Customers' operations will remain at a decreased | |||
Office machine | lockdown impact of COVID-19 and impact of | ||||
level due to the semiconductor shortage | |||||
semiconductor shortage | |||||
Resin | |||||
Materials | Japan | • The semiconductor shortage caused a decline in | • Customers' operations will remain at a decreased | ||
power restrictions in China | |||||
Automotive | China | customers' operations | • Close attention should be paid to the impact of | ||
Asia | |||||
• In regions with a high vaccination rate, demand | • Demand for both domestic and international | ||||
Europe | for air travel, mainly on domestic routes, | ||||
Carbon fibers | Aircraft | recovered. There are also signs of a recovery in | flights will recover | ||
US | demand for international flights | • Demand for freight transportation will remain | |||
• Supply chains also moved to secure the necessary | strong | ||||
inventory | |||||
US | • In the latter half of period, OEM production | • The impact of the semiconductor shortage will | |||
Composites | Automotive | Europe | output markedly decreased due to the | remain at the same level as in 2Q, but it will | |
China | semiconductor shortage | gradually diminish late in the period | |||
■ Assumption about costs | |
During 2Q, the impact of an increase in raw material, fuel and logistics costs became obvious. Since there is a concern that costs | |
will continue to increase in the second half of this fiscal year as well, the situation must be closely watched. | 2 |
Key Assumptions regarding the Company's Main Target Markets in FY2021
Main | Markets | Main | FY2021 1H | Outlook for FY2021 2H |
businesses | Areas | |||
• The market for gout and hyperuricemia treatments grew | ||||
continuously | ||||
Pharmaceuticals | • Since medical institutions continued to impose restrictions | |||
on in-person visits to them amid the COVID-19 pandemic, | ||||
e-promotion was continuously enhanced | • The situation will remain the same as in the first | |||
Healthcare | Japan | |||
• In the home oxygen therapy (HOT) market, restrictions on | ||||
half of this fiscal year | ||||
hospitalization caused a continued shift to home | ||||
Home healthcare | healthcare | |||
• The market for continuous positive airway pressure (CPAP) | ||||
continued to grow, and the number of examinations | ||||
gradually recovered | ||||
Europe | • Consumption recovered in Europe, North America and | • The impact of the COVID-19 pandemic will lessen | ||
Fiber materials and | US | China | due to the prevalence of vaccinations | |
apparel | China | • The Japanese market remained sluggish due to the COVID- | • Close attention should be paid to the impact of | |
Fibers & | Japan | 19 pandemic | power restrictions in China | |
• Sales of automotive applications are on a recovery trend, | ||||
Products | ||||
Japan | but were affected by semiconductor shortages | |||
Converting | Industrial materials | • The impact of semiconductor shortage continues | ||
China | • The market for water treatment filters and related | |||
products firm | ||||
Medical protective | Japan | • Governmental demand for supplies once fell | ― | |
Equipment (gowns, etc.) | ||||
IT | IT | Japan | • Piracy websites continued to affect e-comic services from | • The impact of piracy websites will last |
4Q of the previous fiscal year | ||||
3
Contents
1. Results of FY2021 2Q | P. 5 |
2. Outlook for FY2021 | P.13 |
3. Main topics | P.20 |
4. Supplementary information | P.22 |
Disclaimer Regarding Forward-Looking Statements
Any statements in this document, other than those of historical facts, are forward-looking statements about the future performance of Teijin and its Group companies, which are based on management's assumptions and beliefs in light of information currently available and involve risks and uncertainties. Actual results may differ materially from these forecasts.
Note
Information about pharmaceuticals, medical devices, and regenerative medical products (including pipeline products) included in this material is not provided for the purposes of advertising or medical advice.
This material is based on the consolidated results for FY2021 2Q announced at 11:30 A.M. on November 8, 2021 (local time in Japan).
This is an excerpt of the original content. To continue reading it, access the original document here.
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Teijin Limited published this content on 08 November 2021 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 08 November 2021 02:47:12 UTC.