Presentation Materials with Script (PDF:5,478KB)

I am Takahara of Unicharm.

Thank you very much for participating in Unicharm Co., Ltd.'s second quarter financial results web conference for the fiscal year ending December 2021. Please take a look at page 2 of the materials you have.

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First, I would like to give you an overview of the financial results for the second quarter.

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Look at page 3.

Here is a summary of the second quarter of the fiscal year ending December 2021.

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Please see page 4. Here are the highlights.

As for the results for the second quarter of the fiscal year ending December 2021,

sales increased by 5.7% to JPY377 billion, and core operating income increased by 11.7% to JPY61.8 billion, setting a new record high.

The core operating income margin also improved by 0.9 points to 16.4%, which is the highest income margin ever for the first half of a fiscal year.

The gross profit rate here improved by 1.2 points, and the key factor was a 0.4 point improvement in material-related costs in the first half of the fiscal year, which made a significant contribution.

The reason for the large increase in quarterly profit before tax and quarterly profit attributable to owners of the parent company is that JPY16.1 billion in losses from the fire at the plant in India, which was treated as other expenses in the previous fiscal year was recorded. In financial expenses, foreign exchange losses were recorded in the previous fiscal year.

In the current fiscal year, on the contrary, the appreciation of the local currency resulted in foreign exchange gains, which is the main reason for the improvement of JPY2.7 billion.

As for the progress of the consolidated forecast, as you can see on the right side of the table, both sales and core operating income ratio are progressing steadily, and especially core operating income is progressing more than expected.

The details of the financial results will be explained on the next and subsequent pages.

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Please see page 5.

This is the transition of the quarterly results.

The coronavirus has spread again in Asia. In China, mutant viruses have recently reappeared.

But even in this environment, hygiene products have remained very stable because they are daily necessities.

Compared to 2019, the year before expansion of coronavirus, both sales and income have been growing steadily.

Incidentally, in terms of quarterly sales, for the second quarter, sales for the past 3 months were JPY194.9 billion, which is a record high on an IFRS basis.

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