INPEX CORPORATION Support Material
Financial Results for the nine months ended September 30, 2023
November 9, 2023
Cautionary Statement
This presentation includes forward-looking information that reflects the plans and expectations of the Company. Such forward-looking information is based on the current assumptions and judgments of the Company in light of the information currently available to it, and involves known and unknown risks, uncertainties and other factors. Such risks, uncertainties and other factors may cause the Company's performance, achievements or financial position to be materially different from any future results, performance, achievements or financial position expressed or implied by such forward-looking information. Such risks, uncertainties and other factors include, without limitation:
- Price volatility and change in demand in crude oil and natural gas
- Foreign exchange rate volatility
- Change in costs and other expenses pertaining to exploration, development and production
The Company undertakes no obligation to publicly update or revise the disclosure of information in this presentation (including forward-looking information) after the date of this presentation.
Copyright © 2023 INPEX CORPORATION. All rights reserved. | 1 |
Subsidiaries and Affiliates
68 Consolidated Subsidiaries
Major Subsidiaries | Country / Region | Ownership | Phase | Accounting Term |
INPEX Sahul, Ltd. | Timor-Leste | 100% | Production | December |
INPEX Ichthys Pty Ltd | Australia | 100% | Production | December |
INPEX Oil & Gas Australia Pty Ltd | Australia | 100% | Production | December |
INPEX Southwest Caspian Sea, Ltd. | Azerbaijan | 51% | Production | December |
INPEX North Caspian Sea, Ltd. | Kazakhstan | 51% | Production | December |
Japan Oil Development Co., Ltd. | UAE | 100% | Production | December |
JODCO Onshore Limited | UAE | 65.76% | Production | December |
JODCO Lower Zakum Limited | UAE | 100% | Production | December |
INPEX Idemitsu Norge AS | Norway | 50.51% | Production | December |
INPEX Masela, Ltd. | Indonesia | 51.93% | Preparation for | December |
development | ||||
25 Equity Method Affiliates
Major Equity Method Affiliates | Country / Region | Ownership | Phase | Accounting Term |
Ichthys LNG Pty Ltd | Australia | 66.245% | Production | December |
MI Berau B.V. | Indonesia | 44% | Production | December |
Copyright © 2023 INPEX CORPORATION. All rights reserved. | 2 |
Highlights of the Consolidated Financial Results for the nine months ended September 30, 2023
3Q FY2022 | 3Q FY2023 | Change | % Change | |
Average crude oil price (Brent) ($/bbl) | 102.48 | 81.94 | (20.54) | (20.0%) |
yen | 7.7% | |||
Average exchange rate (¥/$) | 128.30 | 138.24 | 9.94 | |
depreciation | depreciation | |||
Net sales (Billions of yen) | 1,698.7 | 1,601.8 | (96.9) | (5.7%) |
Operating income (Billions of yen) | 915.8 | 839.3 | (76.5) | (8.4%) |
Ordinary income*1 (Billions of yen) | 1,027.7 | 995.6 | (32.1) | (3.1%) |
Net income attributable to | 266.6 | 280.3 | 13.7 | 5.1% |
owners of parent*1 (Billions of yen) | ||||
Net income per share*1*2 (Yen) | 193.10 | 215.15 | 22.05 | 11.4% |
*1 International Accounting Standards (IAS) 12 "Income Taxes" (amended in May 2021) has been applied to some foreign consolidated subsidiaries and foreign equity-method affiliates from FY2023, and the figures for 3Q FY2022 listed as reference to 3Q FY2023 have been revised due to this.
*2 Average number of INPEX shares issued and outstanding during the nine months ended September 30, 2022: 1,380,953,337 shares Average number of INPEX shares issued and outstanding during the nine months ended September 30, 2023: 1,303,261,977 shares
Copyright © 2023 INPEX CORPORATION. All rights reserved. | 3 |
Sales by Product
3Q FY2022 | 3Q FY2023 | Change | % Change | ||
Net sales (Billions of yen) | 1,318.3 | 1,167.4 | (150.9) | (11.4%) | |
Sales volume (thousand bbl) | 102,921 | 104,728 | 1,807 | 1.8% | |
Crude Oil | |||||
Average unit price of overseas sales ($/bbl) | 99.83 | 80.67 | (19.16) | (19.2%) | |
Average exchange rate (¥/$) | 128.43 | 138.19 | 9.76yen | 7.6% | |
depreciation | depreciation | ||||
Net sales (Billions of yen) | 362.2 | 412.5 | 50.3 | 13.9% | |
Sales volume (million cf) | 322,299 | 362,722 | 40,423 | 12.5% | |
Natural Gas | Average unit price of overseas sales ($/thousand cf) | 6.75 | 5.76 | (0.99) | (14.7%) |
(excluding LPG) | |||||
Average unit price of domestic sales (¥/m3) | 75.15 | 93.96 | 18.81 | 25.0% | |
Average exchange rate (¥/$) | 128.76 | 137.94 | 9.18yen | 7.1% | |
Depreciation | depreciation | ||||
Net sales (Billions of yen) | 2.8 | 6.7 | 3.8 | 134.5% | |
Sales volume (thousand bbl) | 69 | 441 | 372 | 536.2% | |
LPG | |||||
Average unit price of overseas sales ($/bbl) | 66.18 | 47.02 | (19.16) | (29.0%) | |
Average exchange rate (¥/$) | 126.37 | 137.49 | 11.12yen | 8.8% | |
depreciation | depreciation | ||||
* 1m3=41.8605MJ
Copyright © 2023 INPEX CORPORATION. All rights reserved. | 4 |
3Q FY2023
Analysis of Net Income (3Q FY2022 vs 3Q FY2023)
(Billions of Yen) | +13.7 |
Increase in exploration expenses: | (0.8) |
Increase in provision for explorations (other expense): | (9.6) |
Increase in sales volume: +63.0
(Crude oil:+23.5, Natural gas (including LPG): +39.5 )
Decrease in unit price: (262.5)
(Crude oil: (256.6), Natural gas (including LPG): (5.9) )
Exchange rate: +102.7
(Crude oil: +82.1, Natural gas (including LPG): +20.6 )
Others: (0.1)
Main factors for change: | |
Decrease in other (other income): | (32.0) |
Increase in interest expenses: | (22.5) |
Increase in Interest income: | +31.4 |
+27.9
Net impact of
revaluation of financial assets
(86.1) | (3.4) | +106.3 | |||||||||||
Operating income (loss)*1 | Other income (expense)*1 | Income taxes | |||||||||||
3Q FY2022 | Decrease in | Decrease in | Increase in | Increase in | Equity in | Net interest | Impairment | Revaluation of | Tax effect on | Other tax | Net income | 3Q FY2023 | |
Net income | Net sales | Cost of sales | Exploration | SG&A | earnings | income | loss | financial assets | revaluation of | expenses | (loss) | Net income | |
attributable to | expenses | of affiliates | and others | financial assets | attributable | attributable to | |||||||
owners of parent*2 | to non-controlling | owners of parent |
interests
*1 Income (loss) related to movement of provision for explorations included in "other income (expense)" in the consolidated financial statements, is presented in "operating income (loss)" in this slide.
*2 International Accounting Standards (IAS) 12 "Income Taxes" (amended in May 2021) has been applied to some foreign consolidated subsidiaries and foreign equity-method affiliates from FY2023, and the figures for 3Q FY2022 listed as reference to 3Q FY2023 have been revised due to this.
Copyright © 2023 INPEX CORPORATION. All rights reserved. | 5 |
Balance Sheet
(Billions of yen) | December 2022 | September 2023 | Change | % Change |
Current assets | 729.4 | 966.8 | 237.4 | 32.5% |
Tangible fixed assets | 2,473.1 | 2,568.6 | 95.5 | 3.9% |
Intangible assets | 482.7 | 462.8 | (19.8) | (4.1%) |
Recoverable accounts under | 521.5 | 493.0 | (28.4) | (5.5%) |
production sharing | ||||
Other | 2,106.9 | 2,535.7 | 428.7 | 20.4% |
Less allowance for recoverable | (53.8) | (55.7) | (1.9) | 3.6% |
accounts under production sharing | ||||
Total assets | 6,259.8 | 6,971.3 | 711.4 | 11.4% |
Current liabilities | 526.7 | 824.1 | 297.3 | 56.5% |
Long-term liabilities | 1,710.7 | 1,563.1 | (147.5) | (8.6%) |
Total net assets*2 | 4,022.3 | 4,584.0 | 561.7 | 14.0% |
of which (Translation adjustments) | 815.9 | 1,207.3 | 391.3 | 48.0% |
of which (Non-controlling interests) | 261.5 | 266.1 | 4.6 | 1.8% |
Total liabilities and net assets*2 | 6,259.8 | 6,971.3 | 711.4 | 11.4% |
Net assets per share*2 (Yen) | 2,879.68 | 3,351.88 | 472.20 | 16.4% |
Summary of financial information for Ichthys downstream Incorporated Joint Venture (100% basis, including the
Company's equity share 66.245%)
(Billions of yen) | |
• Current assets: | 337.4 |
• Fixed assets*1: | 4,614.8 |
• Total assets: | 4,952.3 |
*1 Fixed assets include interest expense and
- capitalized costs before FID.
Of which the total of long-term loans and short-term loans is 1.3 trillion yen.
Adding the off-balanced net interest- bearing debt of the Ichthys downstream IJV brings the total of INPEX net loans to be 1.4 trillion yen (as of September 2023).
(Billions of yen)
Total shareholders' equity: | +161.8 |
Accumulated other | |
comprehensive income: | +395.1 |
*2 International Accounting Standards (IAS) 12 "Income Taxes" (amended in May 2021) has been applied to some foreign consolidated subsidiaries and foreign equity-method affiliates from FY2023,
and the figures for December 2022 listed as reference to 3Q FY2023 have been revised. | |
Copyright © 2023 INPEX CORPORATION. All rights reserved. | 6 |
Statement of Income
(Billions of Yen) | 3Q FY2022 | 3Q FY2023 | Change | % Change |
Net sales | 1,698.7 | 1,601.8 | (96.9) | (5.7%) |
Cost of sales | 681.3 | 654.5 | (26.8) | (3.9%) |
Gross profit | 1,017.3 | 947.2 | (70.0) | (6.9%) |
Exploration expenses | 23.1 | 23.9 | 0.8 | 3.5% |
Selling, general and administrative expenses | 78.3 | 83.9 | 5.6 | 7.2% |
Operating income | 915.8 | 839.3 | (76.5) | (8.4%) |
Other income*3 | 224.9 | 221.7 | (3.2) | (1.4%) |
Other expenses | 113.0 | 65.4 | (47.6) | (42.1%) |
Ordinary income*3 | 1,027.7 | 995.6 | (32.1) | (3.1%) |
Extraordinary loss (Impairment loss) | 18.2 | 75.6 | 57.4 | 314.2% |
Total income taxes*3 | 751.7 | 645.3 | (106.3) | (14.1%) |
Net income (loss) attributable to | (8.8) | (5.8) | 3.0 | (34.4%) |
non-controlling interests | ||||
Net income attributable to | 266.6 | 280.3 | 13.7 | 5.1% |
owners of parent*3 | ||||
Increase in sales volume: | +63.0 |
Decrease in unit price: | (262.5) |
Exchange rate: | +102.7 |
Others : | (0.1) |
Cost of sales for Crude Oil: | 429.6 |
Change: | (35.9) |
Cost of sales for Natural Gas*1: | 213.6 |
Change: | +5.8 |
*1 Including LPG | |
Main factors for change: | |
Interest income: | +31.4 |
Equity in earnings of affiliates: | (90.5) |
Gain on reversal of allowance for recoverable accounts under production
sharing: | (7.6) |
Modification gain on financial | |
assets and others*2: | +95.0 |
Other | (32.0) |
Main factors for change : | |
Interest expenses: | +22.5 |
Modification loss on financial | |
assets and others: | (83.3) |
Income taxes decreased mainly due to lower revenues from lower crude oil prices in some high-tax countries.
*2 In accordance with International Financial Reporting Standards (IFRS) 9 "Financial Instruments" implemented to foreign consolidated subsidiaries, the gain or loss was recognized mainly due to modification of financial assets
that do not result in derecognition, revisions to estimated future cash flows of financial assets, and other factors. It includes the gain or loss incurred from transactions with affiliated companies. Adjusted for equity in earnings of affiliates and tax effect accounting, the impact to consolidated net income was minimal.
*3 International Accounting Standards (IAS) 12 "Income Taxes" (amended in May 2021) has been applied to some foreign consolidated subsidiaries and foreign equity-method affiliates from FY2023,
and the figures for 3Q FY2022 listed as reference to 3Q FY2023 have been revised due to this. | |
Copyright © 2023 INPEX CORPORATION. All rights reserved. | 7 |
FY2023 Revision of Financial Forecasts
- Financial Forecasts for the year ending December 31, 2023
Previous forecasts | Revised forecasts | Change | % | Change | ||
(August 9, 2023) | (November 9, 2023) | |||||
Crude oil price (Brent)（US$/bbl） | 80.0 | 82.7 | ||||
1st half (Jan-Jun)：79.9 | 1st half (Jan-Jun)：79.9 | 2.7 | 3.4% | |||
2nd half (Jul-Dec)：80.1 | 2nd half (Jul-Dec)：85.5 | |||||
Exchange rate（yen/US$） | 135.0 | 138.6 | ||||
1st half (Jan-Jun)：135.0 | 1st half (Jan-Jun)：135.0 | 3.6 | 2.7% | |||
2nd half (Jul-Dec)：135.0 | 2nd half (Jul-Dec)：142.3 | |||||
Net sales (billions of yen) | 2,031.0 | 2,155.0 | 124.0 | 6.1% | ||
Operating income (billions of yen) | 1,009.0 | 1,107.0 | 98.0 | 9.7% | ||
Ordinary income (billions of yen) | 1,151.0 | 1,291.0 | 140.0 | 12.2% | ||
Net income attributable to owners of | 320.0 | 340.0 | 20.0 | 6.3% | ||
parent (billions of yen) | ||||||
- Shareholder Returns
End of 2Q | End of fiscal year | Full year |
(forecast) | (forecast) | |
¥37.00 | ¥37.00 | ¥74.00 |
Copyright © 2023 INPEX CORPORATION. All rights reserved.
Total Share Buybacks
¥100 billion
Total
Payout Ratio
Around
57%
8
FY2023 Financial Forecasts
Analysis of Net Income (Previous forecasts vs Revised forecasts)
(Billions of Yen)
400
Market factors | Business Activities factors |
+22.7 Billions of Yen | +3.4 Billions of Yen |
Other factors (6.1) Billions of Yen
350
300
250
200
320.0
150
11.73.4
11.0(1.0)
Exchange Rate (Yen/US$)
Aug 9 Forecast 135.0
Revised Forecast 138.6
Crude Oil Price (Brent) （US$/bbl）
Aug 9 Forecast 80.0
Revised Forecast 82.7
1.0
35.0
(52.9)
10.0 | 2.0 | 9.7 | 3.1 |
(13.0)
340.0
100
50
0
FY2023 | Impact from | Impact from | Decrease in | Decrease in | Decrease in | Prelude | Ichthys | Decrease in | Decrease in | Divestments | Decrease in | Others | FY2023 |
Net income | crude oil price | exchange rate | sales volume | exploration | G＆A | Impairment loss decarbonization asset retirement | project-related | taxes costs | Net income | ||||
(Previous forecasts | expenses | cost | obligation | losses | (Revised forecasts | ||||||||
August 9, 2023) | November 9, 2023) |
Copyright © 2023 INPEX CORPORATION. All rights reserved. | 9 |
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Disclaimer
Inpex Corporation published this content on 09 November 2023 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 14 November 2023 13:56:43 UTC.
