Earnings Release 2Q11 August, 2011

Earnings Release 2Q11
August, 2011
CONTENTS
1. Earnings Release 2Q11
2. Business Review & Outlook
3. Appendix
• This document is provided for the convenience of investors only, before the completion of an external audit.
Some figures may be subject to change according to the audit outcomes.
• As the forward-looking statements this release may contain are based on the company’s own business
outlook, they may differ from the real result. Therefore, the responsibility for investment on this material
is imputed only to investors.
• The financial information in this document are consolidated earnings results based on K-IFRS.
1
Earnings Release
2Q11
4
Business Results 2Q11
Sales
(Wbn)
Profitability
단위: 억원
 Chemicals  ECM ■ Fashion ■ Others
1,400
377
384
621
1Q11
1,480
1Q
11
QoQ
2Q
11
YoY
2Q
10
O P
103
↓39%
63
↓39%
103
R P
110
↓49%
56
↓48%
108
N P
92
↓35%
55
↓34%
87
1,327
396
343
407
650
2Q11
368
591
2Q10
5
Quarterly Business Results
Earnings Trend
■ Sales
(Wbn)
1,480
O P
1,400
1,327
1,325
1,291
103
103
1,170
90
63
91
46
1Q10
2Q10
3Q10
4Q10
1Q11
2Q11
6
Financial Status
Financial Position
Assets
Current
Cash
Receivables
(Wbn)
2011.6
2010.12
Change
4,682
4,039
643
1,454
1,234
220
70
33
37
533
459
74
700
613
87
3,228
2,805
423
1,563
1,272
291
Total Borrowings
508
327
181
(Net Borrowings)
(443)
(300)
(143)
Inventories
Non-current
Liabilities
Shareholder’s
Equity
3,119
2,767
352
Financial Ratios
2010.6
(%)
2010.12
2011.6
56
 Total Liabilities
/ Equity
 Shareholder
Equity Ratio
 Net Debt
to Equity
 Total Borrowings
/ Total Assets
46
50
69
67
64
17
14
11
14
11
8
2
Business Review
& Outlook
8
Chemicals
Business Results
(Wbn)
650
Review & Outlook
■ Pricing trend of raw materials
($/bbl, ton)
621
Oil Price
591
2Q11
1Q11
2Q10
102
94
78
S
M
1,411
1,400
1,157
A
N
2,765
2,503
2,415
B
D
3,441
2,404
2,095
2,229
2,268
1,916
ABS(spot)
■ Though sales rose on the back of rise in
raw materials prices, profitability weakened
due to limited ASP increases
amid weak demand
1Q11
2Q11
2Q10
OP
36
23
69
%
5.7
3.5
11.7
■ Demand recovery in downstream industries
will be key factor in deciding profitability
improvements during 2H11
9
ECM
Business Results
■ Polarizers
384
75
157
152
■ Display
(Wbn)
■ Semiconductors
407
368
81
Review & Outlook
■ Sales was able to post largest quarterly
with further M/S gaining despite unfavorable
industry condition
70
- Sales from Semiconductor material rose
on the back of widened application
for patterning material
166
124
- Sales for CR and paste have seen increase,
but film products for display have seen dip
in profitability due to depressed market conditions
in LCD industry
160
174
- Due to constrained LCD market conditions, sales for
polarizing film fell YoY, but films for TV expanded sales
■ Recovery in downstream industry during 2H11 is
1Q11
2Q11
2Q10
still uncertain, but Cheil Industries will strive for early
OP
36
27
22
entrance in OLED market with differentiated product
%
9.5
6.6
6.1
mix and market share expansion
10
Fashion
Business Results
■ Casual
377
20
70
■ Men’s
■ Women’s etc.
(Wbn)
■ Others
27
343
95
22
115
■ Thanks to continued favorable consumer
spending, sales rose throughout
396
all clothing styles
- Casual brands’ sales rose 8% on the back of
strong sales from Bean Pole
73
114
Review & Outlook
- Sales for men’s wear rose 14% on the back of
swift response to changes in suit trends and
101
quick stabilization in newly launched brands
- Continued growth seen in women’s wear and
new brands (30% increase YoY)
173
159
147
■ Marketing costs rose due to aggressive
marketing activities such as “Super style
1Q11
2Q11
2Q10
OP
29
11
11
%
7.6
2.8
3.1
campaigns” for Bean Pole
■ Major brands’ market dominance will be
strengthened as well as building business
infrastructure for profit generation
11
Non-operating Gains/Losses
Analysis
(Wbn)
Equity Method Gains(Losses)
(Wbn)
63
개발비
Finance
감액손
Expenses Equity
Method
1487
losses
0.4
56
1Q
11
Ace
Digitech
Samsung
Petrochem
Others
Total
O
P
R
P
QoQ
2Q
11
YoY
2Q
10
-5.1
- 2.9
-8.0
- 8.05
0.05
19.0
-11.4
7.6
-0.5
8.1
0.2
-0.2
0
-0.05
0.05
14.1
- 14.5
-0.4
- 8.6
8.2
3
APPENDIX
Quarterly Business Results
13
(Consolidated /K-IFRS)
’10.1Q
’10.2Q
’10.3Q
’10.4Q
FY2010
’11.1Q
‘11.2Q
s
1,170
1,327
1,291
1,325
5,113
1,400
1,480
Chemicals
516
591
602
558
2,267
621
650
E
M
321
368
372
352
1,413
384
407
F a s h i o n
317
343
289
404
1,353
377
396
O t h e r s
16
25
28
11
80
18
27
O p e ra t i n g P r o f i t
91
103
90
46
330
103
63
Chemicals
25
69
42
30
166
36
23
E
M
39
22
40
3
104
36
27
F a s h i o n
28
11
7
13
59
29
11
O t h e r s
-1
1
1
0
1
2
2
F i n a n c e
incomes/expenses
-7
-3
-15
0
-25
-7
-7
Equity Method
gains/losses
7
8
10
15
40
14
-0.4
Re c u r r i n g P r o f i t
91
108
85
61
345
110
56
N e t
79
87
77
33
276
92
55
(Wbn)
S
a
l
e
C
C
P r o f i t
※ This document is provided for the convenience of investors only, before the completion of
an external audit. Some figures may be subject to change according to the audit outcomes.
Quarterly Business Results
14
(Non-consolidated /K-IFRS)
’10.1Q
’10.2Q
’10.3Q
’10.4Q
FY2010
’11.1Q
‘11.2Q
s
1,161
1,305
1,232
1,306
5,004
1,352
1,451
Chemicals
519
592
568
551
2,230
598
651
E
M
321
367
371
351
1,410
383
406
F a s h i o n
307
322
270
385
1,284
353
367
O t h e r s
14
24
23
19
80
18
27
O p e ra t i n g P r o f i t
97
102
90
23
312
104
65
Chemicals
30
69
39
28
166
38
24
E
M
37
23
39
2
101
32
28
F a s h i o n
30
11
10
12
63
33
13
O t h e r s
0
-1
2
-19
-18
1
0
F i n a n c e
Incomes/Expenses
-7
-3
-14
-0.5
-25
-6
-7
Re c u r r i n g P r o f i t
90
99
76
22
287
98
58
N e t
78
79
67
20
244
81
55
(Wbn)
S
a
l
e
C
C
P r o f i t
※ This document is provided for the convenience of investors only, before the completion of an external audit.
Some figures may be subject to change according to the audit outcomes.