Kurita Water Industries
Information Meeting
Tuesday 15 May, 2001
Tokyo,Japan

Contents◆Overview Mar.2001 results◆Mar.2001 results◆Mar.2002 Plan
◆Market size & share◆Topics･･･2･･･3〜4･･･5〜13･･･14･･･15

Overview Mar.2001 results (Market & Results)◆Market conditions
・Chemicals：Continued tough conditions in price competition
・Electronics：Expanded market with Semi conductors CAPEX・General：Weak CAPEX all industries exclude Electronics◆Sales & income increased with Electronics driving thegrowth・Electronics :strong,・Chemical/General/Environment: weakMar.2000
Mar.2001 （ratio change）
Orders￥１３７．０bill.
￥１５５．０bill.（13.1％）
Sales¥１３１．０bill.
￥１５３．４bill.（17.1％）
Ope.income￥１１．２bill.
￥１５．８bill.（41.2％）
Net income￥４．６bill.
￥８．４bill.（80.0％）（Reference：Domestic ＧＤＰ）（+1.2％）

Overview Mar.2001 results (Strategy)◆Progress EV-2 Plan Important strategy
・Changing “how to sell ”,“what to sell”-Chemicals ：Selling products → Selling customers “value”
Strengthen solution sells style
Expand Contract products sales-Facility ：Increase Module products (Shizuoka Operation Office)Carry out test drive of UPW facilities in factory and shipping-Maintenance：Facilities → All facilities of factories
Out sourcing business of UPW operating systems
Total maintenance services businessMar. 2001 results(Unit:\billion)
155.0

160.0
140.0

137.0

153.4

131.0

120.0
100.0
OrdersSales
Ope.income

80.0
60.0
40.0
20.0

15.8

11.2

0.0
3/20003/2001

Mar. 2001 results
Orders(ratio change)
Sales(ratio change)
costsofsales
ratio
Operating income(ratio change)
Recurring profit(ratio change)
Extraordinary loss
(ratio change)
Incomebeforetax(ratio change)
Net income(ratio change)（Unit：¥billion、％）Mar. 2000
results
137.0(+6.2%)
131.0( - 10.7%)
67.3%

Mar.2001
results155.0(+13.1%)
153.4(+17.1%)
68.8%

11.2( - 26.3%)
11.9( - 25.8%)
3.3( +694.5%)+694.5 %)8.6( - 44.7%)
4.6(-38.6%)

15.8(+41.2%)
17.1(+44.3%)2.9(-12.1%)
14.7(+70.9%(+70.9 % )8.4(+80.0%)

Mar. 2001 results（Unit：¥、％）

Mar.2000
results
35.12

Mar.2001
results
63.22

4.2%

7.2%

ROA(％
ROA( ％ )

7.2%

9.8%

Recurring profit
ratio(％ratio(％)

9.1%

11.2%

Subsidiaries &Consolidated : 25affiliates
Eq.method: 6
Employees
Consolidated: 3,480
Non-consolid: 1,750

Consolidated: 26
Eq.method: 5
Consolidated: 3,419
Non-consolid: 1,725

Net
incomeper share
ROE(％
ROE( ％ )Mar. 2001 results(Financial status/ Cash flow)（ U n it： ¥ b illio n ,％ ）Mar.2000Mar.2001

Total assets

1 6 5 .3

1 8 3 .2

S h a r e h o l d e r ’sequity

1 1 3 .4

1 1 9 .2

S h a r e h o l d e r ’s e q u i t yratio

6 8 .6 %6 5 .1 %S h a r e h o l d e r ’s e q u i t yper share¥ 8 5 6 .7 7

¥ 9 0 0 .7 8
（ U n it： ¥ b illio n ）

C ash
flo w
fr o mo p e r a tin g a c tiv itie s
C ash
flo w
fr o min v e s tin g a c t iv itie s
C ash
flo w
fr o mfin a n c in g a c tiv itie s
C ash
andcashe q u iv a le n t
atyearend

Mar.2000
1 3 .0Mar.2001
5 .3-7 .8-4 .8-3 .3-2 .3

3 3 .23 1 .6

Mar.2002 plan(Market & Plan)◆Market condition
・Chemical：Will continue tough condition
・Electronics：Will expand in Domestic market with driving by
Next generation cellular phone etc.

◆PlanMar.2002
Mar.2002（Revision）（EV‑2 initial plan）
Orders
１６０．０bill.
（１６０．０bill.）
Sales
１５８．０bill.
（１５８．０bill.）
Ope.income
１７．１bill.
（ １６．０bill.）
Net income
９．５bill.
（９．０bill.）

Mar.2002 plan(Strategy)◆Important strategy〜The 2nd step for our changing
・Chemicals:Expand contract product sales・Facilities:Increase Module products
・Maintenance:Expand out sourcing business・New environment business:
Fuel cell etc.Mar. 2002 plan
(Unit:\billion)
155.0

160.0
140.0

160.0

153.4

158.0

137.0
131.0

120.0
100.0
OrdersSales
Ope.income

80.0
60.0
40.0
17.1

15.8

20.0

11.2

0.0
3/20003/20013/2002

Mar. 2002 plan
（Unit：¥billion、％）Orders(ratio change)
Sales(ratio change)
Operating income(ratio change)
Recurring profit(ratio change)
Net income(ratio change)

Mar. 2000
results
137.0(+6.2%)
131.0(-10.7%)
11.2(-26.3%)
11.9(-25.8%)4.6(-38.6%)Mar.2001
results155.0(+13.1%)
153.4(+17.1%)15.8(+41.2%)
17.1(+44.3%)8.4(+80.0%)

Mar.2002
plan
160.0(+3.2%)
158.0(+3.0%)
17.1(+8.1)
18. 0(+5.0%)
9.5(+13.6%)

Orders by segments(Unit:\billion)

160.0
140.0
53.4
120.0

52.1

34.1

100.0

28.2

29.1

25.4

28.6

29.6

32.7

45.2

46.6

47.0

3/20003/20013/2002

80.0
60.0
40.0
20.0
0.0

Electronics
Environment
GeneralChemicalsOrders by segments（Unit：¥billion、％）Mar.2000
results

Mar.2001
results

Mar.2002
plan

45.2 (+2.0% )46.6 (+3.1%)

47.0 (+0.9%)

LSI<overseas>

3.2 <-1.2>

12.6 <4.1>

12.7 <5.0>

LCD/etc.<overseas>

11.8 < 4.7>

16.4 <5.0>

11.2 <2.7>

Maint.<overseas>

14.8 <1.4>

18.0 <1.9>

19.1 <2.1>

Cleaning<overseas>

4.3 < 0>6.4 < 0>9.1 < 3>34.1(+42.7%)

53.4(+55.6 %)52.1(-2.4%)

28.6(-6.2%
6.2%)
6.2%)
28.6(-

29.6 (+3.5 %)32.7(10.5%)

29.1(-4.0%
29.1(-4.0%)
4.0%)

25.4 (-12.7 %)28.2(+11.0%)

Total facilities(ratio change)

91.8(+8.4% )108.4 (+18.1 %)113.0 (+4.2 %)Total(ratio change)

137.0 (+6.2%)

155.0(+13.1%)

160.0( +3.2%)

Chemicals(ratio change)
Fa Electc ronics
iliTotal elec.

(ratio change)tGeneral(ratio change)
ie Environment(ratio change)sSales by segments(Unit:\billion)

160.0
140.0
120.0

48.7

52.8

23.7

27.5

27.2

31.0

31.5

32.0

45.5

45.7

46.0

3/20003/20013/2002

30.8

100.0
80.0
60.0
40.0
20.0
0.0

Electronics
Environment
GeneralChemicals

Sales by segments（Unit：¥billion、％）Mar.2000
results

Mar.2001
results

Mar.2002
plan

Chemicals（Chemicals（ratio change）change）

45.5 (+2.0% )45.7(+0.4%)

46.0(+0.7%)F
LSI<overseas>a
LCD/etc.<overseas>c
Maint.<overseas>i Electro
Cleaning<oveeseas>nics
lTotal electronicsi（ratio change）
change）
t
General（General（ratio change）
change）i
e Environment（Environment（ratio change）
change）s

6.0 <1.3>

9.9 <1.7>

11.7 <4.0>

6.1 <2.3>

14.3 <4.7>

13.4 <3.5>

14.4 <1.4>

18.1 <1.8>

18.6 <1.6>

4.3 < 0>6.4 < 0>9.1 <0.3>

30.8(30.8(-11.2%)

48.7(+58.1%)

52.8(+8.4%)

31.0(0%31.0(0%)31.5 (+1.6%)

32.0(+1.6%)

23.7(-34.0%
23.7(-34.0%)-34.0%)

27.5 (+16.0%)

27.2(-1.1%)

change） 85.5(+26.2% )Total facilities（ratio change）

107.7 (+26.0%)

112.0(+4.0%)

131.0 (-10.7%)

153.4(+17.1%)

158.0(+3.0%)

Total（Total（ratio change）
change）

Operating income(Unit:\billion)
15 .8

17 .1

4. 1

4. 1

2. 6

2. 6

2. 1

2. 1

6. 3

6. 6

6. 6

3/20003/20013/2002

16.0
14.0
12.0

11 .2

10.0

2. 2

8.0

1. 5
1. 2

6.0
4.0
2.0
0.0

Electronics
Environment
GeneralChemicals

Operating income ratio（Unit：％）

Mar.2000results

Mar.2002
plan

13.8 %

14.5 %

14.8 %

Electronics

7.1 %

9.4 %

11.0 %

General

4.0 %

6.0 %

5.6 %

Environment

6.0 %

9.8 %

9.8 %

Total facilities

5.7 %

8.5 %

9.2 %

8.6 %

10.3 %

10.8 %

Chemicals

Facilities

Mar.2001
results

Total

Soil remediation business（Unit：¥billion、％）Orders（ratio change）
change）

Sales（ratio change）
change）

Mar.2000
results
5.6(-)
4.8(-)

Mar.2001 Mar.2002
results
plan
5.6
7.3
(-0.3%) (+30.8 %)6.5
6.3(+35.4%)(-3.3%)

Overseas business（Unit：¥billion、％）Orders（ratio change）
change）

Sales（ratio change）
change）

Mar.2000
results
9.5(-)
9.7(-)

Mar.2001
results
15.5(63.2 %)12.9(+33.0 %)Mar.2002
plan
15. 0(-3.2 %)15. 5(+20.2%)

Consolidated/Non-consolidated（Unit：times）

Sales
OperatingincomeRecurring
Profit
Net income

Mar.2000
results
1.22

Mar.2001
results
1.18

Mar.2002
plan
1.19

1.34

1.32

1.35

1.22

1.25

1.28

1.12

1.24

1.25

Mar.2002 CAPEX(tangible)・
Depreciation(tangible)・R&D
expenses（Unit：¥billion）
Mar.2000
results
２．０

Mar.2001
results
２．７

Mar.2002
plan
３．４Depreciation

３．２

２．９

３．２

R&D expense

５．３

５．６

５．９

CAPEX

Consolidated domestic subsidiary
results( Unit: billion yen, % )Mar.2000Mar.2001( No.of( No.ofsubsidiaries 13) subsidiaries 14)
46.2
49.3
Sales
(ratio change)(+6.7%)（ +3.0%）+3.0% ）
Opera.income(ratio change)

2.4（－ 6.0%)3.3(+34(+ 34.7%)
34 .7%)

Main consolidated domestic subsidiary
results( Unit : billion yen, %)Sales
Kuritaz(ratio change)
Opera. income(ratio change)
Sales
Kurita(ratio change)
Engeering Opera.income(ratio change)

Mar.2000
13.3(+2.6%)

Mar.2001
13.8(+3.9%)

1.4(+10.7%)
8.3(+2.7%)

1.8(+27.0%)(+27.0%)8.7(+5.1%)

0.5(-13.1%)

0.7(+30.7%)

Consolidated overseas subsidiary results( Unit : billion yen , % )Mar.2000Mar.2001( No.of( No.ofsubsidiaries 12) subsidiaries 12)
8.087
Sales
(ratio change)(+8.2% )（ -4.7% ）Recur.income(ratio change)

0.6（ +30.8% )

0.6(+0.3% )Main consolidated overseas subsidiaryresults( Unit : billion yen , % )Sales(ratio change)
KuritaSingapore
Rec.income(ratio change)

Mar.20001.3(+11.7%(+11.7%)
7%)

Mar.2001
1.5(+9.5%(+9.5%)
9.5%)

0.1(-)

0.1(+57.0%(+57.0%)
57.0%)

Market size/share of water treatment chemicals‑ domestic(Non‑consolidated)(Unit ¥billion)

Iron/steel
Petro chemical
Pulp & paper
Other industries
PublicTotal

Market size
¥ billion
5.0
12.0
20.0
110.0
41.0

188.0

Market share%
355020202020

Market size/share of facilities industry ‑domestic (Non‑consolidated)(Unit ¥billion)

Electronics
Power station
OthersSoil
PublicMaintenanceTotal

Market size
¥ billion
52.0
17.0
55.0
48.0
357.0
101.0

630.0

Market share%
4020151553515

Topics◆Oct. 2000 Began field testing of organic waste recycleplant◆Dec. 2000 Developed fixing quantity pollutant method
pollutant land’s value◆Mar. 2001 Formed alliance to enter the US Fuel Cell
Business Market◆Apr. 2001 Kurita Engeering increase CAPEX of Iga
operation office ( Mie pref.)Our ＩＲ organization
Takahide Santo◆President◆Managing Director & General manager(IR Director)
Corporate Planning Division
Toyoaki Inoue◆Director
Corporate Planning Division
Hiroshi Saito◆Corporate Communication Section Corporate Planning Division
Manager
Susumu Tahara
Vice Manager
Yasumoto Horiike
Satoshi Iseki
Jonathon Clifton◆Contact
Kurita Water Industries Ltd.
Corporate Communication Section Corporate Planning Division
TEL.03-3347-3250 FAX.03-3347-3099
E-MAIL: ir@kurita.co.jp