FY2021

Results Presentation

May 16,2022

TSE 4182©MITSUBISHI GAS CHEMICAL COMPANY, INC.

1

INDEX

１

FY2021 Results

2

FY2022 Forecast

３

Results and Forecast by Segment

4

Medium-Term Management Plan Progress©MITSUBISHI GAS CHEMICAL COMPANY, INC.

2

１

FY2021 Results

2

FY2022 Forecast

３

Results and Forecast by Segment

4

Medium-Term Management Plan Progress©MITSUBISHI GAS CHEMICAL COMPANY, INC.

3

FY2021 Earnings
Net sales and profits grew, driven largely by robust demand for semiconductor-related
products, recovery from the impact of the pandemic, and increased market pricesーNet sales: YoY growth driven largely by higher methanol prices and across-the-board increases
in unit salesーOperating profit：

ーEquity-method income: Growth in methanol and engineering-plastics affiliates’ profitsーDPS: ¥80 [¥45 interim (¥35 ordinary dividend and ¥10 commemorative dividend)（＋） Growth in unit sales of semiconductor-related products（＋） Recovery in product demand depressed by pandemic（＋） Increased prices of general-purpose products（＋） Shift toward sales prices involving material/fuel cost inflation（－） Raw material/fuel cost inflation（－） Decreased unit sales of optical polymer+ ¥35 year-end dividend*] （+¥10 YoY, in line with initial forecast）*Scheduled to be formally authorized by Board of Directors on May 26, 2022.

©MITSUBISHI GAS CHEMICAL COMPANY, INC.

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FY２０２1 Results
ー Net sales and profits grew, driven largely by robust demand for semiconductor-related
products, recovery from the impact of the pandemic, and increased market prices. ROE
and ROIC also increased.
FY2021
Previous
Forecast*

Changes
FY2020

FY2021

Amount

％

595.7

705.6

109.9

18.5

700.0

Operating Income

44.5

55.3

10.8

24.4

55.0

(Equity in earnings of affiliates)(5.1)(14.8)(9.7)-(17.4)

Ordinary Income

50.2

74.1

23.9

47.6

73.0

Net income attributable toowners of the parent

36.0

48.2

12.2

33.9

50.0

Net Sales＊Announced on Feb8, 2022

E P S（ＪＰＹ）

173.41

232.15

ROE

(%)

7.1

8.8

ROＩＣ

(%)

7.7

10.4

ＦＸ(JPY/USD)

106

112

©MITSUBISHI GAS CHEMICAL COMPANY, INC.

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FY2021 Increase and Decrease Factors of Operating Profit (YoY)[JPY in billions]（＋） Semiconductor-related
products, MXDA, etc.
（＋） Recovery from impact ofpandemic（－） Optical polymers, etc.

（＋） Forex factors（＋） Increased sales prices（－） Raw material/fuel cost inflation,etc.

（－） Fixed costs（－） SG&A（－） Energy-related businesses*,
etc.
*FY2020: Recorded revenue in amount ofapproximately ¥3bn in energy-related businesses
due to spike in electricity pricing

Price factors+4.3

Fixed costs, SG&A, etc.

Other -10.3

Quantity factors
+16.8

55.3

４４.５

OP

+10.8
FY2020

FY2021©MITSUBISHI GAS CHEMICAL COMPANY, INC.

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FY２０２1 Non-Operating & Extraordinary Items【JPY in billions】

FY2020

FY2021

Changes

5.7

18.7

13.0

Equity in earnings of affiliates

5.1

14.8

9.7

Financial income or losses

1.9

2.7

0.7

Foreign exchange gains or losses

0.8

2.5

1.6

▲ 2.2

▲ 1.3

0.9

2.3

6.4

4.0

1.8

3.0

1.2

Insurance claim income

-

2.6

2.6

Gain on step acquisitions

-

0.7

0.7

0.5

-

▲ 0.5

Extraordinary losses▲ 3.6▲ 10.9▲7.3

Impairment losses

▲ 1.6

▲ 7.0

▲ 5.3

Provision for business restructuring

-

▲ 1.7

▲1.7

Provision allowance for doubtful
accounts

-

▲ 0.9

▲0.9

▲ 1.9

▲ 1.1

0.7

Non-Operating items

OthersExtraordinary income
Gains on sales of investment
securities

OthersOthers Equity in earnings ofaffiliates
Basic Chemicals +3.1
Specialty Chemicals +6.5

©MITSUBISHI GAS CHEMICAL COMPANY, INC.

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FY２０２1 Balance Sheets【JPY in billions】

Mar31,2021

Mar31,2022

ChangeCurrent Assets

402.1

452.2

50.0

Cash and deposits

101.7

102.0

0.2

Trade notes andAccounts receivable

159.0

176.5

17.5

Inventories

121.2

155.6

34.3

Others

20.0

17.9

▲ 2.1

Non-current
Assets

434.2

476.4

42.2

Tangible assets

249.9

276.3

26.4

Intangible assets

10.4

11.2

0.7

Investments andotherassets

173.7

188.7

Total Assets

836.3

928.6

Mar31,2021 Mar31,2022

Change

254.9

297.7

42.8

Trade note andaccounts
Payable

75.3

92.3

17.0

Interest-bearing debt

98.4

117.6

19.1

Others

81.1

87.7

6.5

Net Assets

581.4

630.8

49.4

Shareholders’ equity

514.4

547.2

32.7

Accumulated othercomprehensive
income

9.7

21.5

11.7

14.9

Non controllinginterest

57.1

62.1

4.9

92.2

Total liabilities andnet assets

836.3

928.6

92.2

Equity Ratio

62.7%

61.2%

Liabilities©MITSUBISHI GAS CHEMICAL COMPANY, INC.

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【JPY in billions】

FY２０２1 Cash FlowsFY2020

FY2021

Changes

Operating activity cash flow

55.4

52.0

▲ 3.3

Investing activity cash flows▲ 40.3▲ 64.9▲ 24.5

15.0

▲12.8

▲ 27.9

5.1

▲ 3.6

▲8.8

0.6

6.5

5.8

20.9

▲ 10.0

▲30.9

70.0

91.0

21.0

0.0

11.2

11.1

91.0

92.2

1.1

Free cash flows
Financing activity cash flows
Effect of exchange rate change on cash
and cash equivalents
Net increase (decrease) in cash and cash
equivalents
Cash and cash equivalents at beginningof period
Increase in cash and cash equivalents
resulting from inclusion of subsidiaries in
consolidation
Cash and cash equivalents at end of
period©MITSUBISHI GAS CHEMICAL COMPANY, INC.

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１

FY2021 Results

2

FY2022 Forecast

３

Results and Forecast by Segment

4

Medium-Term Management Plan Progress©MITSUBISHI GAS CHEMICAL COMPANY, INC.

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FY2022 Earnings Forecast
Although facing increased fixed costs and raw material/fuel cost inflation, growth forecast in net
sales and profits, largely driven by increased unit sales and forex fluctuationsーNet sales: （＋） Increase in sales volume, reflecting continuously robust semiconductor demand, etc.
（＋） Yen depreciation（＋） Shift to sales prices involving raw material/fuel cost inflation（＋） Inclusion of subsidiary in consolidation (South Korean polyacetals sales company)–

Operating profit： （＋） Increased unit sales（＋） Yen depreciation（＋） Shift to sales prices involving raw material/fuel cost inflation（－） Increase of depreciation and amortization, R&D expenditures [-¥5.5bn]（－） Increase in repair expenses at parent company (large-scale regular
maintenance at Mizushima and Niigata Plants) [-¥3.5bn]（－） Raw material/fuel cost inflationーEquity-method income: Profit growth largely driven by equity-method investees in methanolーDPS: Ordinary dividend of ¥80 (increase of ¥10 YoY) forecast©MITSUBISHI GAS CHEMICAL COMPANY, INC.

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FY2022 Forecast
ー We forecast growth of net sales and profits that will bring into view recording ourhighest-ever profit figures. We expect that ROE and ROIC will surpass 10%.
Changes
FY2021

FY2022

Amount

705.6

800.0

94.3

13.4

55.3

61.5

6.1

11.1

(14.8)(20.6)(5.7)-

Ordinary Income

74.1

81.5

7.3

9.9

Net income attributable toowners of the parent

48.2

61.0

12.7

26.3

232.15296.95Net Sales
Operating Income(Equity in earnings of affiliates)

E P S（ＪＰＹ）
ROE

(%)

8.8

10.4

ROＩＣ

(%)

10.4

10.4

ＦＸ(JPY/USD)

112

125

％

©MITSUBISHI GAS CHEMICAL COMPANY, INC.

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FY2022 Increase and Decrease Factors of Operating Profit (YoY)[JPY in billions]（＋） Semiconductor-related
products

Price factors+0.3（＋） Optical polymers, etc.
Forex factors

Fixed costs, SG&A

+8.7

Other -12.4

Quantity factors
+9.6

５５.3

（－） Fixed costs(Repair expenses
incurred at parent company,
depreciation and amortization, etc.)（－） SG&A(R&D expenditures, etc.)（＋） Inclusion of subsidiary in consolidation(South Korean polyacetals sales company), etc.

61.5

OP
+6.1
FY2021

FY 2022©MITSUBISHI GAS CHEMICAL COMPANY, INC.

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Shareholder return policy / Shareholder returnーThe MGC Group places topmost management priority on enhancing corporate value. The Company will continuously provide stabledividends, while taking operating performance and other factors into account when determining the distribution amount.

ー

The Company’s basic policy is to improve capital efficiency and enhance shareholder returns by flexibly purchasing treasury stock
while considering the levels of internal reserves and returns to shareholders.

ー

Ｔotal payout ratio of 40% as a target for medium-term shareholder returns.

• Dividend for FY2022 is expected to be 80 yen (10 yen increase on an ordinary dividend basis)• Announced on May 12,2022: Repurchase (up to ¥8.0 billion, 3.5 million shares*) and cancel (3.5 million shares) of own Shares*Representing 1.68% of the total number of issued shares (excluding treasury shares)【JPY in billions】
Forecast

Share buybacks

Total dividends

8.0

8.7

16.6

16.3

2020

2021

2022

21.1

36.0

48.2

61.0

70

70

80※

80

14.9

14.8

14.5

2018

2019

Net income
JPY in billions

55.0

Annualdividend（Yen/share）

70(Announced on May12,2022)（FY）※Interium45yen（Commemorative10yen）、Year-end（Forecast）35yen©MITSUBISHI GAS CHEMICAL COMPANY, INC.

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１

FY2021 Results

2

FY2022 Forecast

３

Results and Forecast by Segment

4

Medium-Term Management Plan Progress©MITSUBISHI GAS CHEMICAL COMPANY, INC.

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Results and Forecast by Segment【JPY in billions】

FY2020

FY2021

FY2022 forecast

1H

2H

FY

1H

2H

FY

1H

2H

FY

Net sales

266.6

329.0

595.7

335.8

369.7

705.6

390.0

410.0

800.0

Basic Chemicals

146.8

190.9

335.7

200.9

224.4

425.3

223.3

236.5

459.8

Specialty Chemicals

124.0

143.7

267.8

137.5

147.9

285.5

169.7

176.3

346.0

Other and
Adjustment

▲4.2

▲5.6

▲7.8

▲2.6

▲2.5

▲5.2

▲3.0

▲2.8

▲5.9

Operatingincome

14.3

30.1

44.5

30.0

25.3

55.3

30.0

31.5

61.5

Basic Chemicals

0.3

12.4

12.8

15.8

9.8

25.7

11.6

9.0

20.6

Specialty Chemicals

15.3

19.4

34.8

15.9

17.6

33.6

20.2

24.2

44.4

Other and
Adjustment

▲1.3

▲1.8

▲3.1

▲1.8

▲2.1

▲4.0

▲1.8

▲1.7

▲3.5

Ordinary
income

16.5

33.6

50.2

38.7

35.3

74.1

39.0

42.5

81.5

1.4

12.8

14.2

19.1

10.9

30.0

17.1

15.8

33.0

Specialty Chemicals

15.9

21.6

37.5

20.7

24.6

45.4

23.2

28.7

52.0

Other and
Adjustment

▲0.7

▲0.7

▲1.5

▲1.1

▲0.2

▲1.3

▲1.4

▲2.1

▲3.5

Basic Chemicals

Effective from the fiscal year ending March 31, 2022, the Company has changed the segments of some of its products.
Segment information for the previous fiscal year has also been prepared based on the classification method after the change.
©MITSUBISHI GAS CHEMICAL COMPANY, INC.

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Basic Chemicals(JPY in billions)Operating
IncomeFY2021 Results* Top-line impact of adoption of new accounting standard for revenue
recognition: -¥14.9bn

Net sales
459.8
50 0

425.3

4,50 0Net sales and profits grew substantially, largely by virtue of arecovery in demand for products which had been impacted by
the pandemic, increased unit sales for high-performance
products, and increased methanol prices.

Ordinary
Income45 0

4,00 040 0335.7
3,50 0

33.0

35 0

30.0

3,00 030 025.7
2,50 025 0

20.6
2,00 0

FY2022 Forecast

20 0

1,50 0We expect to see elements arise such as increased repair
costs* and increased raw material/fuel costs. Operating
profit is forecast to decrease. We expect to see profit
growth in equity-method income driven by investees inmethanol. We forecast an increase in ordinary profit.
*Large-scale regular maintenance taking place once every two years at Mizushima andNiigata Plants resulted in increase of approximately ¥3.5bn.

12.8

14.2
15 0

1,00 0

10 0

50 0
50

0

0

FY2020

FY2021

FY2022(F)©MITSUBISHI GAS CHEMICAL COMPANY, INC.

17

Basic Chemicals: Performance by Business
FY2021 Results
ー Methanol: Prices saw a significant increase in comparison with the previous period ($256 in FY2020 to $399 in FY2021) and net sales and profits
grew.

ー Methanol/ammonia-based chemicals: Net sales and profits grew, driven largely by higher neopentyl glycol prices and decreases seen in repair
costs, even as raw material prices also increased.
ー High-performance products*1: Net sales and profits grew, boosted by buoyant sales of aromatic aldehydes in addition to a recovery in terms of
demand for MXDA in comparison with the same period of the previous year, when performance had been impacted by the pandemic.
*1 Previously called specialty aromatic chemicals; includes MXDA, MX-Nylon, aromatic aldehydes

ー Xylene separators/derivatives*2: Net sales and profits grew, boosted by factors such as increased purified isophthalic acid (PIA) prices.

*2 Previously called general-purpose aromatic chemicals; includes MX, PIA

ー Foamed plastic (JSP): While there was an increase in unit sales of automotive materials and protective materials for flat-panel displays, P/L
figures fell below that of the previous period due to elements such as raw material/fuel cost inflation.

FY2022 Forecast
ー Methanol: Prices are projected to transition at a high level ($399 in FY2021 to $420 in FY2022) and we expect equity in the earnings of affiliates
to increase.
ー Methanol/ammonia-based chemicals: We expect to see a decrease in profits due to factors such as increased repair costs and decreased
neopentyl glycol prices.
ー High-performance products: While we expect to see a solid transition in terms of sales, we also expect to see an increase in terms of income
and a decrease in terms of profits due to factors such as increased repair costs.
ー Xylene separators/derivatives: We expect to see a decrease in profits due to factors such as the worsening profitability of PIA resulting from raw
material/fuel cost inflation, as well as increased repair costs.
ー JSP: While we do forecast developments such as a recovery in terms of unit sales in the auto sector, P/L figures are forecast to be at the samelevel as the previous period owing to factors such as raw material/fuel cost inflation.
©MITSUBISHI GAS CHEMICAL COMPANY, INC.

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Specialty Chemicals(JPY in billions)

FY2021 Results

Operating
IncomeOrdinary
IncomeNet Sales
346.0

Net sales and ordinary profit grew largely due to increased
unit sales of semiconductor-related products and strong
sales for polyacetals (POM). Worsening profitability ofpolycarbonates (PC) and decreased unit sales for opticalpolymer served as negative factors.

3,50 0

60 0

285.5

3,00 0

52.0

267.8
50 0

45.4

44.4

2,50 0* Top-line impact of adoption of new accounting standard for revenue
recognition: -¥19.8bn

37.5
2,00 0

34.8

40 0

33.6
30 0

FY2022 Forecast

1,50 020 0

1,00 0

We forecast a continuation of strong sales of semiconductorrelated products and POM. We also expect P/L figures toimprove at our PC China base and expect to see a recovery
terms of unit sales for optical polymers. We forecast net sales
and profit growth.

10 0

50 0

0

0

FY2020

FY2021

FY2022(F)©MITSUBISHI GAS CHEMICAL COMPANY, INC.

19

Specialty Chemicals: Performance by Business
FY2021 Resultsー Inorganic chemicals: Net sales and profits improved due mainly to increased sales volume in chemicals for use in semiconductor
manufacturing.
ー Engineering plastics: Despite the worsening of profitability in terms of PC owing to raw material/fuel cost inflation, favorable sales of POM, arecovery in terms of unit sales primarily in the auto sector, and other factors, resulted in the growth of net sales and profits.
ー Optical materials: While there was a shift toward a recovery in terms of demand for optical polymer products after figures had bottomed out
during the first quarter, a decrease in net sales and profits occurred owing to factors such as decreases in unit sales resulting from issues such as
inventory destocking undertaken by customers during 1H.
ー Electronic materials: Net sales and profits increased as a result of such factors as increased unit sales, primarily during 1H, of general-purpose
materials used in a wide variety of products, including electronics and PC-related hardware; moreover, there was also a strong transition seen insales of materials for memory devices and 5G smartphones.
ー Oxygen absorbers: P/L improved relative to the pandemic-stricken previous period, largely by virtue of a recovery in sales to the domestic foodindustry.

FY2022 Forecast
ー Inorganic chemicals: We expect strong demand to continue when it comes to the sale of products to the semiconductor industry, and forecast
an increase in net sales and profits.
ー Engineering plastics: We expect net sales and profits to increase as a result of factors such as P/L improvements, seen at our PC China base,and continued strong sales of POM.
ー Optical materials: We forecast a recovery of unit sales due to developments such as the absence of any impacts resulting from inventory
destocking which took place during 1H of the previous year. We expect to see an increase in net sales and profits.
ー Electronic materials: We expect to see a continued solid transition in demand for memory products for 5G smartphones and data centers. We
also expect there to be an increase in unit sales of products for notebook computer processors, and forecast an increase in net sales and profits.
ー Oxygen absorbers: Although we expect to see an increase in unit sales, primarily overseas, we forecast that P/L figures will be lower than thatseen during the previous period, owing to factors such as raw material cost inflation and increased transportation costs.
©MITSUBISHI GAS CHEMICAL COMPANY, INC.

20

１

FY2021 Results

2

FY2022 Forecast

３

Results and Forecast by Segment

4

Medium-Term Management Plan Progress©MITSUBISHI GAS CHEMICAL COMPANY, INC.

21

Medium-Term Management Plan: Numerical Targets for Grow UP 2023
ー Sales, operating profit, and ordinary income for FY2021 approached FY2023 targets.
Rate indicators also saw significant improvements.
(JPY in billions)

FY2020

FY2021

FY2023
Target*

Ne t s al e s

595.7

705.6

730.0

OperatingI n c o m e

44.5

55.3

70.0

Ordinary
I n c o m e

50.2

74.1

80.0

Ｒ

R

Ｏ

O

Ｉ

Ｃ

E

7.7%
7.1%

10.4%
8.8%

10% orhigher9% orhigher*Announced on May,2021

FY2020

FY2021

FY2023
Target*M e t h a n o l( U S $ / M T )

256

399

325

Crude oil price( D u b a i )( U S $ / B B L )

45

78

60

Exchange rate
(JPY/USD)

106

112

105

*Announced on May,2021©MITSUBISHI GAS CHEMICAL COMPANY, INC.

22

Business Portfolio Reform during Grow UP 2023
ー During Grow UP 2023, we will pursue business portfolio reform by classifying each of our businesses into one of the four quadrants shown
below.
ー We have set final fiscal year targets of more than 40% of sales for differentiating businesses and under 3% of sales for unprofitable businessesor those needing rebuilding.
At Commencement of Grow UP 2023
FY2020 (Image)

Final Fiscal Year Targets during Grow UP 2023
FY2023 (Image)High

Room in potential market = “Growth”

Percentage ofsales 30%
New/next-generation
businesses

Further strengthen competitively
advantageous businesses

Differentiating
businesses

Accelerate creation anddevelopment of new businesses
Bring higher added value and higher
efficiency to foundation businesses

Percentage of sales 6%
Unprofitablebusinesses or thoseneeding rebuilding

Foundation
businesses

Identify and reorganize
unprofitable businesses

Low

Percentage of sales >40%
(Objective)
Room in potential market = “Growth”

High

New/next-generation
businesses

Differentiating
businesses

Percentage of sales <3%(Objective)
Unprofitablebusinesses or thoseneeding rebuilding

Foundation
businesses

Low
Weak

Competitive advantage = “Can win”

StrongWeak

Competitive advantage = “Can win”

©MITSUBISHI GAS CHEMICAL COMPANY, INC.

Strong23

(Reference) Classification of Product Lines during Grow UP 2023
Differentiating
businesses

Medium-Term
Management
Plan:

Product Line
Breakdown

New/next-generation
businesses(Includes products in development
stage)

MXDA, aromatic aldehydes, MX-Nylon, electronic chemicals, polyacetal, optical polymers, ultra-high refractive lens monomer, IC plastic packaging BT material, and so forth
Medical/Food:
ICT/Mobility:
Environment/Energy:

OXYCAPT, bio-products, contract manufacturing of antibody drugs, factory-grown vegetables, and so forth
Solid electrolytes, cellulose fiber composite materials, Neopulim transparent polyimide resin, semiconductor-related materials and so forthCO2-derived methanol, CO2-derived polycarbonate, methanol fuel cells and so forth

Foundation businesses

Methanol, ammonia and amines, MMA products, energy resources and environmental businesses (geothermal and other types of power generation, water-soluble natural gas, iodine), foamed plastic(JSP), hydrogen peroxide, polycarbonate/sheet film, oxygen absorbers, and so forth

Unprofitable businessesor those needingrebuilding

Formalin and polyol products, and xylene separators and derivatives

Strengths of the Group’s business portfolio: Effectively-balanced deployment of unique, globally-competitive products

Foundation

差異化Super-pure hydrogen
peroxide
差異化

Optical resin polymers
差異化Meta-xylenediamine(MXDA)
差異化

Global market share #1

Global market share #1

Refractive index*: global rank #1

Global market share #1

BT products

Proprietary material meeting need for more compact,
extremely thin IC plastic packaging offering higher
performance
Primary
applications

Differentiation

IC plastic package substrates

Global production capability ensures stable supply ofhigh-quality products to meet needs of mosttechnologically-advanced customers
Primary
applications

Cleaning agents for electronics industry, etching
agents, resist stripping agents

Features that balance high refractive index with lowbirefringence contribute to enhanced camera
functionality
Primary
applications

Smartphone and other compact camera lensmaterials

Superior rapid curing and chemical resistancePrimary
applications

Epoxy resin curing agent, MX-Nylon (MXD6)*As compact camera lens materials

Polyacetal (POM)
差異化

Aromatic Aldehydes
差異化

Global market share #3
Engineering plastics offering superior abrasion
resistance, sliding resistance and chemical resistancePrimary
applications

Automotive components, electronic
products

MX-Nylon

Global market share #1
Proprietary production methods distinguished by
efficiency and low environmental impact
Primary
applications

Fragrances, resin additives

Methanol

差異化

Global market share #1
Superior gas barrier properties, also contributes toreducing weight of PET bottles
Primary
applications

Food product packaging, PET bottles
Engineering plastics

差異化

Production capacity: global rank #3
World’s only comprehensive manufacturer with
proprietary catalyst technology and complete methanol
value chain for derivatives, from manufacture to sales
Primary
applications

Raw material for formalin, acetic acid, etc.,
intermediate materials

Geothermal power
generation 差異化

Foamed plastic
差異化

Polycarbonate resin
(PC)
差異化

AGELESS™
Oxygen Absorbers
差異化Chemicals company: Only 1

Global market share* #1

Supply capacity*: global rank #3

Global market share #1

Since 1981, 40 years of experience and results

Superior weight saving, flexibility and durability
Primary
applications

Automotive components, precision equipment
packaging*For automotive use

Also developing high-value-added products that arelightweight, highly transparent and high-strength
Primary
applications

Interior and exterior materials (automotive), electronic
components, office automation equipment

Maintain extensive customer base as pioneer of food
freshness agentsPrimary
applications

Food products (confectionery, processed meatproducts, etc.)*In terms of the Mitsubishi Group©MITSUBISHI GAS CHEMICAL COMPANY, INC.

24

Business Portfolio Reform (1): Transition of Business Portfolio from FY2020 to FY2021
ー Steady progress is being seen in our business portfolio reform toward a “business structure resilient to changes in the environment.”
Transition of Business Portfolio Reform from FY2020 to FY2021 (Image)

Differentiating businesses• Executed growth investments aimed at growing markets. Steady growth seen indifferentiating businesses across the board

New/next-generation
businesses

Differentiating
businesses• While profits decreased year on year for optical polymer products, growth seen in
products in other differentiating businesses

Foundation businesses• Earnings for all foundation businesses improved significantly• Progress also made in efforts aimed at implementation of circular carbon methanol andCO2-derived specialty chemicals, in addition to price improvements

Unprofitablebusinesses or thoseneeding rebuilding

Foundation
businesses

Unprofitable businesses or
those needing rebuilding• Improved earnings structure of formalin and polyol business thanks to various efforts aimed
at structural reform, in addition to price improvement for xylene separators/derivatives

New/next-generation
businesses• Proactively injected resources into R&D. Also increased number of research personnel©MITSUBISHI GAS CHEMICAL COMPANY, INC.

25

Business Portfolio Reform (2): Progress in Strengthening Differentiating
Businesses and Rebuilding Unprofitable Businesses
ー Steady growth was seen in sales and earnings in differentiating businesses. We expect that FY2022 will see further growth and higher levels of
earnings.
ー Acceleration of the action plan aimed at targets of more than 40% of sales for differentiating businesses and under 3% of sales for unprofitablebusinesses or those needing rebuilding, as outlined in Grow UP 2023.
Transition of Ordinary Income in Differentiating Businesses
Expansion of sales indifferentiating businesses

45%

Percentage of Sales in Differentiating Businesses, andin Unprofitable Businesses /Businesses Needing
Rebuilding
Expansion of unit sales volume
in differentiating businesses

40%
35%

40%

32%
30%

30%

＋

25%

← P/L →

20%
15%
10%

6%

Improvement of earnings structure
for unprofitable businesses or those7%
needing rebuilding
3%

－

5%
0%
FY2020

FY2021

Differentiating businesses

FY2023(Targets)

Other businesses

FY2020Differentiating businesses

FY2021

FY2023(Targets)

Unprofitable businesses or those needing rebuilding*We expect to see migration in terms of business classification for Formalin and polyol business due
to it no longer being classified as an unprofitable business or one needing rebuilding.
©MITSUBISHI GAS CHEMICAL COMPANY, INC.

26

Business Portfolio Reform (3): Action Plan Aimed at Achievement of Grow UP 2023
Targets
Business Portfolio for Final Fiscal Year in Grow UP 2023 (Image)

Differentiating businesses• Proactive investment primarily in differentiated products including MXDA, electronic
chemicals (EL), and BT products. Priority allocation of management resources

New/next-generation
businesses

Differentiating
businesses
Priority allocation ofmanagement resources

Proactively inject R&D resources,
primarily in target areas*We expect to see migration of somefoundation businesses to being classified as
differentiating businesses

Foundation businesses• Accelerate various efforts for PC products and turn MEP* into consolidated subsidiary in
FY2023• Promote measures aimed at further increasing high levels of added value, and at
streamlining for other foundation products as well, including methanol*Mitsubishi Engineering-Plastics Corporation

Unprofitable businesses or
those needing rebuilding
Unprofitable businesses or
those needing rebuilding
Promote further structural reforms
and overhauls*We expect that formalin and polyol business will
move to no longer being classified as an
unprofitable business or one needing rebuilding

Foundation
businesses
Promote higher added
value, higher efficiency• Move forward with further structural changes and overhauls primarily in formalin
and polyol business and aim to have business no longer classified as unprofitablebusiness or one needing rebuilding

New/next-generation
businesses• Move forward with proactive injection of R&D resources with aim of creating andnurturing new/next-generation businesses©MITSUBISHI GAS CHEMICAL COMPANY, INC.

27

Progress for Major Investment Projects during Grow UP 2023
ー Currently promoting these projects, primarily in differentiating businesses, in a manner roughly in line with plan figures (total
amount of 240 billion yen).
: Investment approvals andpublic announcements

FY2021

FY2022

FY2023

FY2024 Onward

Aromatic aldehydes: Boosting production capacity (Mizushima Plant)
Aromatic aldehydes: Establishing new production facilities(Mizushima Plant)
Establishment of new MXDA production
facility (Netherlands)

EL: Establishment of new raw material hydrogen peroxide plant (China)

Differentiating
businesses

EL: Establishment of new raw material hydrogen peroxide plant (Taiwan)

EL: Establishment of new super-pure hydrogen peroxide manufacturing plants(China)Optical polymers: Boosting production capacity (Kashima Plant)
Optical polymers: Establishment of new raw material monomer plant(Niigata Plant)

IC plastic packaging BT materials: Boosting production capacity (Thailand Plant)
POM production plantinvestment (China)

Foundation
businesses
Unprofitable businesses or
those needing rebuilding

Mitsubishi Engineering-Plastics Corporation (MEP): Make company into
consolidated subsidiary
Acquisition of shares of J-CHEMICAL, Inc. (made company into subsidiary) ⇒ Establishment of MGC Woodchem Corporation(*Initiative aimed at ending classification of business as unprofitable businesses or one needing rebuilding)©MITSUBISHI GAS CHEMICAL COMPANY, INC.

28

Further Strengthen Competitively Advantageous (“Differentiating”) Businesses (1):
Products for Semiconductor Industry
ー Semiconductor market is growing in parallel with progress being seen in 5G and IoT. We are currently seeing growth of electronic chemicals(EL chemicals) and BT materials in parallel with the growth of semiconductors.
ー BT materials: Addition of production capacity in Thailand completed in April 2022. EL chemicals: projects in Taiwan and PRC progressing well.
WSTS Semiconductor Market Forecasts US$M
613,523555,893412,307440,389

BT Materials: Transition in Net Sales(FY2019 = 100)

160
140

140

120

120

100

100

80

80

60

60

40

40

20

20

0
CY2019CY2020CY2021

CY2022(F)EL Chemicals: Transition in Net Sales(FY2019 = 100)160

0FY2019FY2020

FY2021

FY2022(F)FY2019FY2020

FY2021

FY2022(F)Source: WSTS (March 18, 2022)

BT materials, Thailand Plant: Increased production capacity for high-performance
products in order to provide stable supply of products at two bases

EL chemicals, Taiwan base: Currently running project for integrated production usinghydrogen peroxide feedstock©MITSUBISHI GAS CHEMICAL COMPANY, INC.

29

Further Strengthen Competitively Advantageous (“Differentiating”) Businesses (2):Polyacetal (POM)
ー Gave GPAC*(fully-owned subsidiary) supervisory function for POM business so that production, sales and development pertaining to Group’s
POM business is run in integrated manner.
ー Decided on investment in new manufacturing company for polyacetals in China. Increased presence primarily in Asia, the area with greatest
demand for POM.
*Global Polyacetal Co., Ltd.: new engineering plastics company concentrating on POM, PPE and Reny.

Primary Applications• Automobiles (mechanism components forturning signals, etc., and fuel pumps)• Electronic products (printer gears and levers)• Clothing and bag fasteners, etc.

POM Manufacturing BaseBusiness Framework
Toward a flexible framework which allows for
immediate responses to market needs

Equity (50%)

100%

Korea Engineering Plastics Co..Ltd.

Supervision

MGC

145,000t/y
Equity (30%)
DP Engineering Plastics(Nantong) Co., Ltd.
150,000t/y

Yokkaichi Plant
20,000t/y

Sales
100%
GPAC

(Scheduled for suspension in
September 2023)

Shanghai (Subsidiary)
PolyacetalFirst term: Operation scheduled for commencement in November of 2024
Second term: Operation scheduled for commencement in January of 2026

100%

CompanyA
Consolidated
subsidiary (70%)

Other

Thai Polyacetal Co., Ltd.

(Consolidated
subsidiary)

TPAC(Consolidated
subsidiary)

Development
/TS

70%

CompanyB

100,000t/y

KPAC

Manufacturing

GPAC

10%
KEP

Global market share 14% (#3)
*Reference
China/Asia Pacific 16% (#2)
Japan 13% (#3)

(Equity method
affiliate)40%

Source: FUJI KEIZAI

12%

17%
PTM
KEP：Korea Engineering Plastics Co., Ltd.
KPAC：KOREA POLYACETAL CO., LTD.
TPAC：THAI POLYACETAL CO., LTD.
PTM: PTM Engineering Plastics (Nantong) Co., Ltd.
DPEP：DP Engineering Plastics (Nantong) Co., Ltd.

30%

(Affiliate)(Suspension ofoperation scheduled)(Affiliate*)(Operation scheduled
for Commencement inNovember of 2024)*Forecast to be included within consolidated accounting of Company after commencement of commercial production

DPEP©MITSUBISHI GAS CHEMICAL COMPANY, INC.

30

Bring Higher Added Value and Higher Efficiency to Foundation Businesses (1):
Polycarbonates (PC) and Turning MEP* into a Consolidated Subsidiary*Mitsubishi Engineering-Plastics Corporation

ー MEP will be made a consolidated subsidiary starting in FY2023 (equity held by Company to go from 50% to 70%); new MEP will be fully
dedicated to PC business.
ー Various efforts will be accelerated to speed up decision-making at the initiative of the Company. Rather than pursuing scale, aim to transform toprofit structure resilient to change in business environment by pursuing high-value-added activities and so forth.
PC Business Strategy of MGC with Higher Levels of Added Value Serving as Axis

1. Grade integration
Streamlining of production through consolidation of grades and improvement of
profitability via optimization of product structures

MEP Strengths
1. Customer-focused technical services
2. Marketing functions(businesses based in 27 locations in Japan and overseas)

2. Generation of synergy between members of MGC GroupStrengthening of generation of synergy with other engineering plastics
businesses, such as MX nylon, JSP, and optical materials

3. Promotion of efforts aimed at achieving carbon neutrality
Global deployment of CO2 to PC, currently being developed by the Company

3. Thai manufacturing base that offers superior cost-competitivenessand high profitability: THAI POLYCARBONATE CO., LTD.(TPCC)→ Make TPCC consolidated subsidiary of Company as well

Thoroughly pursue above efforts in speedy and flexible manner
under Company initiative
Generate value for sectors characterized by high added value, our target areas

Decarbonization

Mobility (EV)IoT and 5G

Medical andhealthcare

Optical (light guideplates/lenses)©MITSUBISHI GAS CHEMICAL COMPANY, INC.

31

Bring Higher Added Value and Higher Efficiency to Foundation Businesses (2):Methanolー Currently conducting proof of concept testing for manufacturing of methanol which uses CO2 and hydrogen as raw materials, with the aim of achieving Circular Carbon
Methanol Production.
ー Market conditions for methanol are currently stable at a high level. The profitability and capital efficiency of the methanol business is at a level equivalent with that
demonstrated by differentiating businesses.
ー With a view to having the business migrate to being classified as a differentiating businesses, we will pursue measures and investments aimed at ensuring even higher
levels of added value in the methanol business and an increased market presence.
ー We will aim for the commercialization of circular carbon methanol in the amounts of tens of thousands of tons by FY2024, 100,000 tons by FY2030, and a maximum of
1,000,000 tons from FY2030 onward.

Overview of Circular Carbon Methanol

Outline of Methanol Commercialization and Increasing Scale
FY2021 onward
Phase 1▎ By-product hydrogen, etc. + Utilization of recovered
CO2▎ Demonstration of circular carbon methanol

Recovered CO2
CO2 emitted into atmosphereH2 derived from renewableenergy sources

Technology

Powergeneration

Fuel

Up to tens of
thousandsof tons

FY2025 onward

Renewable H2

Phase 2
Circular carbon
methanol(Wind, geothermal and solar energy, etc.)

Gasification, producer gas, etc.
Gas derived from recycledmaterials

Catalyst
development
Processdevelopment
Plant operation

Up to▎ Commercialization of circular carbon methanol, using
renewable hydrogen

100,000
tons

FY2030 onward
Chemicals
Plastics

Phase 3

▎ Larger scales for circular carbon methanol▎ Full introduction to primary materials industry

Up to

1,000,000
tons(Non-fossil biomass, waste plastics, etc.)©MITSUBISHI GAS CHEMICAL COMPANY, INC.

32

Initiatives Aimed at Restructuring Unprofitable Businesses or Those Needing
Rebuilding
Formalin and Polyol Products
ー Promotion of streamlining via production suspension and consolidation①Formalin: Decided to suspend production at the Niigata and Yokkaichi Plants. Steamlining production.
②TMP (trimethylolpropane): Suspension of production at the Mizushima Plant.
③Paraformaldehyde and hexamine: Decided to suspend production at the Niigata Plant.

ー Formalin: Built an integrated production system extending from formalin to downstream (adhesives) byturning J-CHEMICAL* into fully-owned subsidiary*April 2022: J-Chemical, Inc. and Yutaka Chemicals Corporation merged together, with the company name being changed to MGC Woodchem Corporation

Improvement of profitability in formalin and polyol businesses
Both FY2021 results and the FY2022 forecast indicate the business is reaching a level equivalent tothat of a foundation business; consequently, we expect it will no longer be classified as an
unprofitable business or one needing rebuilding.

Xylene Separators and Derivatives
ー Currently promoting various efforts aimed at maximizing earnings in the business overall, including
derivative products such as MXDA in the downstream©MITSUBISHI GAS CHEMICAL COMPANY, INC.

33

Initiatives Aimed at Next-Generation Businesses
ー Focused injection of management resources into R&D. Appropriation of development costs of approx. 1/3 for new/next-generation
businesses, and acceleration of initiatives aimed at strengthening ability to generate new products.

250

Transition in R&D Expenditures and
R&D Personnel

Initiatives Undertaken by Advanced Business Development Division
1050

200

1000

150

950

100

900

50

850

0

800

Solid Electrolytes

New BT Materials

Target: EVs
Research system expandingin anticipation of future
market launch

Meeting 5G needs with sheet
products possessing superior
dielectric characteristics in highfrequency ranges and areappropriate for thin layers

Cellulose Fiber Composite Material

Carbon Fiber Composite Material

Developing a manufacturing
process for high-strength
cellulose fibers and fiberreinforced resin

Developing carbon fiber
composite materials that cancontribute to metal substitutes
and weight savings, utilizing
seeds of research from Group
companies as well

ICT/Mobility

FY2020

FY2021R&D expenditures (in hundred
研究開発費(億円、左軸)
millions of JPY; left axis)

FY2022(F)研究開発人員数(右軸)
R&D personnel (right axis)

Breakdown of R&D Expenditures(Company on stand-alone basis,
FY2022 Forecast)
Other
Foundation
businesses

Differentiating
businesses

New/next-generation
businesses
New/nextgeneration/differentiation-focused investments

Medical/FoodOXYCAPT

Antibody Drug Manufacturing Business

Establishing and maintaining
commercial production framework.
Working to further expand productline-up and advance market
development

Succeeded in mass cultivationof biosimilar producing cells for
Denosumab, an antibody drug

Allergy Test Chips

Bio-Products

Developing an allergy test chipthat can predict the severity ofpediatric milk allergy

Confirmation of growth
inhibition effects for Feline
Coronavirus and adiposity
inhibition effects of BioPQQ©MITSUBISHI GAS CHEMICAL COMPANY, INC.

34

カーボンニュートラル戦略（全体像）

Reference: Initiatives Aimed at Carbon Neutrality (CN) [CN Promotion Goals]

2030

Circular carbon methanol

Clean ammonia

CO2 to PC

DAC

Judgment on demonstration (upto 2025)

2050

Larger scales and full introduction
to primary materials industry

Commercialization (up to 2030)

Consider factors such as where to conduct procurement and conditions thereof

Bench plantverification (Up to 2024)

Pilot plant verification (up to 2028)

Commercialization

Basic research to scale-up

Implementation
実証判断 （～’30）

EOR/EGR in the
Higashiniigata Oil-Gas Field

EGR in water-soluble
natural gas fields

FS of viability as
business (Up to 2023)

Judgment on commercialization (Up to 2030)

Implementation

Judgment on commercialization (Up to 2030)

Implementation35

１

2020年度決算概要

Appendix

３

セグメント別 業績概要

©MITSUBISHI GAS CHEMICAL COMPANY, INC.

36

Reference: MGC’s Roadmap toward its Ultimate Goal of Carbon Neutrality by 2050
ー Aim to achieve reduction of 36% by 2030 in comparison with 2013 and carbon neutrality by 2050**Subject scope was expanded to entire Group in March 2022

Roadmap below depicts path to achievement of CN by MGC on stand-alone basis (Date of public announcement: March 29, 2021)- 2019

Scope

2013

1

• Improve energy efficiency• Reconfigure business portfolio

Main initiatives

2020 - 2023
• Improve energy efficiency• Stop using heavy oil

2024 - 2030
16kt

• Improve energy efficiency

2030 - 2050
• Improve energy efficiency

28kt

40kt

13kt

• Reconfigure business portfolio• Deploy new energy systems/CCUS, switch feedstocks (R&D/collaboration) 610kt in total

258kt in total(CO2 Reduction)

14kt

2

• Source 10% of energy from renewables
10kt• Use transitional energyー• Source 50% of energy from renewables• Source 100% of energy from renewables

69kt

55kt

Businesses &technologies
Fukushima Natural Gas Power Plant
Provided by: Fukushima Gas Power Co., Ltd.

CO2 emissions(kt of CO2/year)
1107
2013
baseline

Wasabizawa Geothermal Power Starion
Provided by: Yuzawa Geothermal Power Corp

For consideration of circular carbon methanol
Pilot plant

Collaboration

23% reduction

28% reduction

36% reduction

258

308

394

849

799

714

2023

2030

2019
actualFeedstock switching

2050
Achieve carbon neutrality

45% reduction
55% reduction

502
610
2050

Date of public announcement: March 29, 2021
©MITSUBISHI GAS CHEMICAL COMPANY, INC.

37

Reference: MGC’s Strengths in Carbon-Neutral Technologies (Accumulation ofEnergy Resources and Environmental Technologies)
ー Over a period of around 60 years, the company (on a stand-alone basis) deployed a business to develop natural gas. MGC has exploration anddevelopment technologies that are unique among those found at chemical manufacturers.
ー Furthermore, MGC has implemented natural gas and crude oil exploration technologies on a joint basis with other resource development
companies.
ー MGC has deployed businesses in the compatible areas of geothermal development and LNG-fired power generation.
ー Over many years, it also developed catalysts used in methanol synthesis.

Fukushima Natural Gal Power Plant
Provided by : Fukushima Gas Power Co., Ltd.

Exploratory well “Kajikawa R-1 Well”

1952
Methanol synthesis
1953
Development of watersoluble natural gas
1957
Ammonia synthesis

1981
Developmentof geothermal
power

2016
LNG power*1
generation

Tomakomai CCS Demonstration ProjectCenter2016
CCS *22021
Production of water*3
soluble natural gas

Accumulated intellectual property
and know-how adapted andapplied to capturing, storing andrecycling CO₂, as well as tobuilding of hydrogen supply
chains*1 Investment in Fukushima Gas Power Co., Ltd.
*2 Commenced press fitting of CO2 within Carbon dioxide Capture & Storage (CCS) demonstration project conducted in Tomakomai City
*3 New production of water-soluble gas for first time in 50 years by TOHO EARTHTECH, INC., an MGC subsidiary©MITSUBISHI GAS CHEMICAL COMPANY, INC.

38

Reference: Toward Achieving Carbon Neutrality
ー Pursue development of products and technologies conducive to decarbonization by leveraging distinctive technologies found only at MGC
ー Move forward with efforts such as promotion of energy efficiency, introduction of new energy, CCUS* implementation, and feedstock switching
to reduce GHG emissions (Scope 1)*Carbon dioxide Capture, Utilization and Storage: Capturing, effective usage and storage of carbon dioxide emissions.

Development of Products and Technologies Conducive to Decarbonization

Hydrogen manufacturing
technologies using
methanol as raw materials(catalysts)

Methanol manufacturing
technologies using CO2
as raw materials

Polycarbonates
using CO2

Energy control
systems:
Semiconductormaterials

Direct air capture (DAC):Specialty amines

Procurementof cleanammonia(fuels, greenhydrogen raw
materials)

Solid-statebatteries (for EVs)
Fuel cells (for FCVs)

Biodegradable
polymers

Chemicalrecycling

Methanol: Hydrogen carrier

Initiatives Aimed at GHG Emission Reductions(Scope 1)Promotion of energy efficiency,
end use of fuel oilNew energy system/CCUS
implementation



Reconfiguring business portfolio



Smart-Factory

Also contributing to reduction of energy derived
from fossil fuels (Scope 2)

Operational streamlining:
Optical polymers for sensing
cameras for automotive use

LNG-fired power generation+ CCUS

Geothermal power
generation©MITSUBISHI GAS CHEMICAL COMPANY, INC.

39

Appendix： Key Indicators （1）【JPY in billions】

2013

2014

2015

2016

2017

2018

2019

2020

2021

2022(F)

25.4

22.2

30.5

35.0

30.9

39.2

42.3

40.2

54.7

90.0

[13.8][10.3][14.9][13.7][13.9][18.6][22.4][15.8][22.0][49.0]

23.5

23.7

26.7

25.6

27.0

27.4

29.5

30.6

31.9

34.0

[11.4][11.5][13.1][12.2][13.1][13.5][14.4][15.1][15.8][16.0]

16.1

16.8

18.9

19.2

18.9

18.6

19.6

19.9

21.0

24.5

[8.0]

[8.0]

[9.2]

[9.6]

[9.5]

[9.1]

[9.4]

[9.8]

[10.1][12.0]

5,445

8,254

8,176

8,034

8,009

8,276

8,954

8,998

9,888

10,541EPS(Yen)*

66

192

154

222

281

257

101

173

232

296

ROA(%)

4.8

5.8

5.9

8.4

10.6

8.7

3.9

6.2

8.4

8.5

ROE (%)

5.0

12.6

9.0

12.0

13.6

11.3

4.3

7.1

8.8

10.4

ROIC(%)

6.1

7.2

7.3

10.4

13.2

10.9

4.9

7.7

10.4

10.4

24.0

28.0

32.0

38.0

59.0

70.0

70.0

70.0

80.0※

80.0

[12.0][14.0][16.0][16.0][24.0][35.0][35.0][35.0][45.0※][40.0]

Capital expenditure(1H)
Depreciation&
Amortization(1H)
R&D expenditure(1H)
Employees(as of
Mar 31)Dividend(yen)*(of which,Interim
dividend)*The Company conducted a consolidation of shares at a ratio of one share for every two shares effective October1,2016. EPS and dividends have been calculated by retroactive adjustment applying the above shareconsolidation to preceding periods as well.
※Commemorative dividend 10yen©MITSUBISHI GAS CHEMICAL COMPANY, INC.

40

Appendix：Key Indicator （2） Capex, depreciation and amortization by segment

Natural Gas

2013

2014

2015

2016

2017

2018

2019

4.5

5.7

5.3

9.0

6.0

5.7

7.2

Capex※

Aromatic

2.3

4.0

10.6

10.5

11.3

14.6

15.0

Specialty

11.2

7.6

9.9

8.1

11.0

14.4

14.6

2020

2021

Basic
Chemicals

19.7

19.2

Specialty
Chemicals

18.6

32.6

Depreciation

Information &Advanced Materials

6.6

4.3

3.8

6.6

1.9

2.3

2.6

Other

0.5

0.3

0.7

0.5

0.6

2.1

2.7

Other

1.8

2.9

Total

25.4

22.2

30.5

35.0

30.9

39.2

42.3

Total

40.2

54.7

Natural Gas

6.3

6.9

6.1

5.0

5.1

5.5

6.3

Basic
Chemicals

16.4

17.1

Specialty
Chemicals

13.0

13.0

Aromatic

4.1

3.9

8.2

8.5

8.5

8.7

9.5

Specialty

9.5

9.2

8.8

8.6

9.1

8.7

8.7

Information &Advanced Materials

3.1

3.3

3.0

3.0

3.5

3.6

3.8

Other

0.3

0.3

0.3

0.3

0.5

0.8

1.0

Other

1.1

1.7

23.5

23.7

26.7

25.6

27.0

27.4

29.5

Total

30.6

31.9

Total

©MITSUBISHI GAS CHEMICAL COMPANY, INC.

41

Appendix： Key Indicator （3）FY2018FY2019FY20201H

FY2021
2H

1H

FY2022
Forecast

1H

2H

1H

2H

2H

FX(JPY/USD)

110

112

109

109

107

105

110

115

125

FX(JPY/EUR)

130

127

121

120

121

126

131

130

130

Crude Oil(Dubai)（US＄/BBL）

73

65

64

56

37

52

69

87

100

Methanol (US$/MT)

408

335

277

245

194

319

370

428

420

Mixed
Xylene(US$/MT)

845

730

705

640

420

560

780

875

975

Bisphenol A(US$/MT)＊

1,600～1,9001,200～1,8001,000～1,4501,050～1,350900～1,4501,400～3,3002,750～3,7002,100～3,1501,700～2,300Polycarbonate(US$/MT)＊

2,700～3,8002,100～2,8001,900～2,2501,650～2,0001,500～2,150

2,100～4,0003,100～4,0502,650～3,6502,200～3,000*Describe the minimum and maximum values during the period

Sensitivity（Rough estimates）
FX（USD） ：with an appreciation(depreciation) of 1 yen against the USD, annual operating income falls (increase) by 0.6 billion yen, while annual ordinary income falls(increases)
by 0.5 billion yen.
FX（EUR）：with an appreciation(depreciation) of 1 yen against the USD, annual operating income falls (increase) by 0.1 billion yen, while annual ordinary income falls(increases)
by 0.1 billion yen.
Crude oil(Dubai)：A 1 dollar/BBL increase(drop) in crude oil reduces(raises) income by 0.15 billion yen. (exclude methanol affect)
Methanol ： A 1 dollar/MT increase (drop) in market price raises (reduces) equity in earnings of affiliates by 0.1 billion yen.
©MITSUBISHI GAS CHEMICAL COMPANY, INC.

42

【Reference】：Results and Forecast by Old Segment
FY2020

FY2021

FY2022(F)

1H

2H

FY

1H

2H

FY

1H

2H

FY

266.6

329.0

595.7

335.8

369.7

705.6

390.0

410.0

800.0

Natural Gas

65.4

93.0

158.2

104.9

121.3

226.2

111.8

123.3

235.1

Aromatic

84.9

98.4

183.4

97.6

105.1

202.8

113.3

115.0

228.3

Specialty

96.4

111.0

207.4

102.3

111.8

214.1

132.1

137.6

269.8

Information & Advanced
Materials

29.3

32.9

62.3

35.3

36.1

71.5

37.6

38.7

76.4

Corporate/Adjustment

▲9.6

▲6.4

▲15.8

▲4.3

▲4.6

▲9.1

▲4.9

▲4.7

▲9.7

Operatingincome

14.3

30.1

44.5

30.0

25.3

55.3

30.0

31.5

61.5

Natural Gas

▲3.5

4.5

0.9

5.4

4.3

9.7

3.9

3.2

7.2

Aromatic

3.8

7.9

11.7

10.4

5.5

16.0

7.6

5.7

13.4

Specialty

10.3

12.4

22.8

7.8

9.5

17.4

10.4

14.7

25.1

Information & Advanced
Materials

4.9

6.9

11.9

8.0

8.1

16.1

9.7

9.4

19.2

Corporate/Adjustment

▲1.3

▲1.8

▲3.0

▲1.7

▲2.1

▲3.9

▲1.8

▲1.7

▲3.5

Ordinary
Income

16.5

33.6

50.2

38.7

35.3

74.1

39.0

42.5

81.5

Natural Gas

▲2.3

4.9

2.6

8.5

5.4

14.0

9.5

10.4

19.9

Aromatic

3.7

7.8

11.6

10.5

5.5

16.0

7.6

5.4

13.0

Specialty

10.7

14.8

25.5

12.0

15.5

27.6

12.7

18.6

31.3

Information & Advanced
Materials

5.1

6.8

11.9

8.6

9.1

17.8

10.5

10.1

20.7

Corporate/Adjustment

▲0.8

▲0.7

▲1.5

▲1.0

▲0.2

▲1.3

▲1.4

▲2.1

▲3.5

Net Sales*The figures are reference figures that have been simply rearranged for comparison with the new segment.
©MITSUBISHI GAS CHEMICAL COMPANY, INC.

43

Disclaimer

These materials contain performance forecasts and other statements concerning the future.
These forward-looking statements are based on information available at the time.
These materials were prepared and on certain premises judged to be reasonable.

None of these forward-looking statements are intended to be guarantees of future performance.
Various factors may cause actual performance to differ significantly from forecasts.

44