Optex Group Company Limited · TSE:6914
Optex — FY2021 Earnings Presentation
39 slides from Optex's earnings presentation, Feb 14, 2022
Slide 1: Summary of F.Y. 2021 Consolidated Financial Results
Summary of F.Y. 2021 Consolidated Financial Results (Jan.1 to Dec.31, 2021) OPTEX GROUP CO., LTD. February 14, 2022 (Tokyo Stock Exchange Market 1st Section:#6914) <Disclaimer> The forward-looking statements, including OPTEX CO., LTD.’s operating results, strategies, and business plans, contained in
Slide 2: Key Points of Financial Results of F.Y. 2021
Key Points of Financial Results of F.Y. 2021 New record highs in net sales and ordinary income - Net sales were +32% year on year, reflecting growth in existing businesses(+22%) and the effects of the consolidation of a new operating company (Sanritz Automation Co., Ltd.). - Operating income was +12
Slide 3: Summary of Consolidated Financial Results of F.Y. 2021
Summary of Consolidated Financial Results of F.Y. 2021 Operating Results F.Y.2020 F.Y.2021 Percent Change (Unit: million yen) （1-12）Results （1-12）Results Change Net sales 34,846 45,866 +11,019 +31.6% Operating income 2,098 4,630 +2,532 +120.7% （Operating income Ratio） （6.0%） （10.1%） Ordinary income
Slide 4: Quarterly performance - Consolidated Net Sales
Quarterly performance - Consolidated Net Sales (Year- on-year) 11,776 11,817 10,974 11,299 449 301 772 271 EMS/Other Business 270 759 826 9,668 977 8,801 311 2,943 IA Business(IPC) 8,542 2,764 2,934 219 2,723 7,835 237 2,382 195 IA Business(MVL) 2,483 2,007 2,307 2,697 2,442 2,466 2,013 2,106 IA Bus
Slide 5: Comparison of Financial Results of F.Y. 2021 between Segments
Comparison of Financial Results of F.Y. 2021 between Segments Operating F.Y. 2020 (1-12）Results F.Y. 2021（1-12）Results Results Operating Operating (Unit: income Percent income Percent Net sales Net sales million yen) （Operating Change （Operating Change income Ratio） income Ratio） SS 17,398 1,430 20,
Slide 6: Factors of change in Net Sales (Year-on-year)
Factors of change in Net Sales （Year- on-year） Impact of IA EMS Other Exchange Business Business Business Rate +7,544 +1,233 45,866 +272 +47 SS IPC （+3,334) Business +1,924 34,846 F.Y. 2020 Consolidated Net Sales F.Y. 2021 （1-12）Results +¥11,020 million （1-12）Results Copyright (C) 2022 OPTEX GROUP C
Slide 7: Factors of change in Operating Income (Year-on-year)
Factors of change in Operating Income （Year- on-year） Impact of Sales Change Exchange Increase in Increase in Costs Rate Expenses +6,372 -1,937 +906 +2,491 Impact of Exchange Rate -318 4,630 2,098 Gross operating income Selling, general and administrative Expenses F.Y. 2020 Consolidated Operating F.
Slide 8: Quarterly Sales Trends by Region (SS Business)
Quarterly Sales Trends by Region（SS Business） SS Business（Security Sensors） SS Business (Automatic Door Sensors) Steady recovery in Steady recovery Steady recovery in Delay in supply due to shortage of parts and European and American of principal European demand City lockdowns logistics disruptions
Slide 9: Business by Segment - SS Business (Security Sensors)
Business by Segment - SS Business(Security Sensors) Region F.Y. 2021 （1-12）Results Japan Sales increased, reflecting steady sales for security companies and large-scale critical facilities. Sales rose significantly, reflecting the positive effect of direct marketing targeting offices and large-scale
Slide 10: Business by Segment - SS Business (Automatic Door Sensors)
Business by Segment - SS Business(Automatic Door Sensors) Region F.Y. 2021 （1-12）Results Sales increased, driven by a steady market recovery and brisk sales to meet demand for sensors for non- Japan contact applications. Sales rose, reflecting market recovery and brisk sales to major automatic door
Slide 11: Quarterly Sales Trends by Region (IA Business)
Quarterly Sales Trends by Region （IA Business） IA Business (FA) IA Business (MVL) Delay in supply Recovery in Impact of restrictions on overseas activities following a resurge due to shortage demand in infections in Japan Growth in demand of parts 3,000 Impact of restrictions on for capital 3,000 ac
Slide 12: Business by Segment - IA Business (FA)
Business by Segment - IA Business(FA) Region F.Y. 2021 （1-12）Results Sales increased substantially, reflecting solid sales related to capital investment in electric Japan devices, electronics and semiconductors as well as in the food industry. EMEA Sales increased, reflecting steady sales for displa
Slide 13: Business by Segment - IA Business (MVL)
Business by Segment - IA Business(MVL) Region F.Y. 2021 （1-12）Results Sales increased, reflecting steady sales related to capital investment in electric devices, electronics Japan and semiconductors, despite sluggish sales to the automobile industry. Sales increased due to ongoing projects for the m
Slide 14: F.Y. 2022 Consolidated Earnings Projection
F.Y. 2022 Consolidated Earnings Projection Operating Results F.Y. 2021 F.Y. 2022 Percent Changes (Unit: million yen) Results Forecast Change Net sales 45,866 53,000 +7,134 +15.6% Operating income 4,630 6,000 +1,370 +29.6% （Operating income Ratio） （10.1%） （11.3%） Ordinary income 5,130 6,100 +970 +18.
Slide 15: Revisions to the F.Y. 2021 Dividend Projection
Revisions to the F.Y. 2021 Dividend Projection Year-end dividend（¥） Interim dividend（¥） 36 32.5 30 30 30 Acquisition of treasury shares 18 2018 2019 2021 15 1.5 1.0 1.0 15 15 15 Amount billion billion billion yen yen yen No. of 700,000 670,000 630,000 shares shares shares shares 17.5 18 15 ※ 15 15 *
Slide 16: Medium-Term Management Plan
Medium-Term Management Plan Copyright (C) 2022 OPTEX GROUP CO., LTD. 16
Slide 17: Key Points of Medium-Term Management Plan 2024
Key Points of Medium-Term Management Plan 2024 We aim to become a corporate group full of Venture Spirit ! Group Philosophy The venture spirit is the ability to create new value, a strong desire for growth and speed, and an attitude to face challenges without giving up. Mid-term We are aiming for a
Slide 18: Numerical Targets in Medium-Term Management Plan 2024
Numerical Targets in Medium-Term Management Plan 2024 67,000 60,000 53,000 Sales 1,500 45,851 9,000 EMS/Others 1,293 （13%） 34,846 IA Business 7,300 960 （12％） 6,000 SS Business （11％） 29,500 24,409 4,630 Operating Income 16,488 （10%） Carry out business reforms and （Operating income Ratio） accelerate D
Slide 19: Growth Strategy: Three Arrows
Strategies for Accomplishing Medium-Term Management Plan 2024 Business Size Growth Strategy: Three Arrows Synergy with companies acquired Growth of companies acquired Growth of existing businesses HOP 2009-2015 STEP 2016-2021 JUMP 2022-2024～ Time Axis Copyright (C) 2022 OPTEX GROUP CO., LTD. 19
Slide 20: Growth of Existing Businesses: Offering System Solutions
Growth of Existing Businesses_Offering System Solutions SS (Security Sensors) SS (Automatic Door Sensors) Expansion of the data service business Sensors × Surveillance camera by leveraging the high market share, Visual Verification Solution or 50%, of the business in Japan. IA (FA) IA (MVL) Predicti
Slide 21: Growth of Companies Acquired: Sanritz Automation
Growth of Companies Acquired IA Business (IPC) Sanritz Automation Co., Ltd. Market with promising demand Semiconductor manufacturing Sales expansion of embedded boards equipment / medical equipment Strengths: High quality and reliability ➢ Highly reliable in terms of environmental durability and noi
Slide 22: Growth of Companies Acquired: MITSUTEC
Growth of Companies Acquired IA Business MITSUTEC CO., LTD. Market with promising demand Sales expansion of secondary battery Hybrid car / Electric car manufacturing equipment Strengths: Boasting advanced mechatronics technology ➢ High-speed/high-precision filling technology ➢ High-speed material ha
Slide 23: Synergy with Companies Acquired
Synergy with Companies Acquired SS IA Business Business Accelerating sales of services in the IA Business as a total solution vendor Sensors Traffic Control Machine Vision Packaging Industrial PC Lighting Actuator/ AI/IoT system mechatronics development Building an image processing Management of Cri
Slide 24: Optex Group's Management Indicator
Optex Group's Management Indicator Operating ROE Sales growth profit 10%up More than More than 15% 10% Copyright (C) 2022 OPTEX GROUP CO., LTD. 24
Slide 25: https://www.optexgroup.co.jp/en/
https://www.optexgroup.co.jp /en /
Slide 26: Company Overview
Company Overview Copyright (C) 2022 OPTEX GROUP CO., LTD. 26
Slide 27: Company Overview
Company Overview Company Name OPTEX GROUP CO., LTD. Location Shiga Otsu, Japan The OPTEX Group Established May 25, 1979 is an integrated Capital 2,798 million JPY manufacturer of sensors. Sales 45,866 million JPY To see things what eyes cannot see, that is our business ! Operating Profit 4,630 milli
Slide 28: Trends in Consolidated Performance
Trends in Consolidated Performance 67,000 2020 - COVID-19 60,000 2019 - U.S.-China trade tensions, economic slowdown in China - Deceleration 53,000 in demand for smartphone- related capital investment 2016 - Acquired CCS Inc. 45,866 40,113 37,504 37,517 9,000 34,846 (13%) 2008 - Lehman Brothers 31,0
Slide 29: Company Overview: History
Company Overview _ History 1979 Established OPTEX CO., LTD. 1980 Developed the world's first Automatic Door Sensors with far-infrared Founding members 1985 Founded a subsidiary in California, U.S.A. 1991 Made the company's stock public. 1996 Developed Outdoor Crime Prevention Sensors 2001 Listed on
Slide 30: Holding Company Structure
SS Business: Sensing Solution Business Holding Company Structure IA Business: Industrial Automation Business Holding Company OPTEX GROUP CO., LTD （Tokyo Stock Exchange Market 1st Section：#6914） OPTEX CO., LTD. OPTEX FA CO., LTD. CCS Inc. Sanritz Automation MITSUTEC CO., LTD. Co., Ltd. Development/ma
Slide 31: Company Overview: Data
Company Overview _ Data Sales by Product Category Sales by Region EMS/ IA Others (IPC) 3% AMERICAs 7% 12% SS Security Asia/ Sensors Oceania IA (MVL) 45.8 30% 14% 45.8 Japan 46% 25% billion yen billion yen (F.Y.2021) SS (F.Y.2021) Automatic Door Sensors EMEA IA SS 10% (FA) Others 28% 21% 4% Copyright
Slide 32: Company Overview: Global Market Share
Company Overview _ Global Market Share Global niche No.1 Security Automatic door Machine vision sensors sensors lighting 40% Outdoor Intrusion 30% Automatic door 30% LED inspection Detector sensor lighting Infrared sensor Sensor for large-scale critical facilities Push plate LED lighting systems Cam
Slide 33: Business Domain: Security sensors
Business Domain _ Security sensors Largest market share in the world for outdoor intrusion detectors Residential home・Commercial facilities Residences Offices Alarm [Security company] signal Outdoor sensors Rush to the scene Police alerted in Europe and the United States Important facilities Oil, ga
Slide 34: Business Domain: Automatic door sensors
Business Domain _ Automatic door sensors Domestic market share: Over 50% Overseas market share: Over 20% In 1980, we applied far-infrared rays, until Shopping centers Over 60% share then mainly used for military purposes, to of convenience stores automatic door sensors. The world's first Hospitals S
Slide 35: Business Domain: Factory Automation sensors
Business Domain _ Factory Automation sensors Provision of sensors for factory automation which help automate factory production processes and save labor Displacement sensors Image sensors Photoelectric sensors Products for the semiconductor and Products for the three-item industries Products for the
Slide 36: Business Domain: Machine Vision Lighting
Business Domain _ Machine Vision Lighting CCS produces lighting for image inspection using LED since 1993. Lighting for image inspections* When producing something at a plant, each stage of work requires an “inspection” process. Photos or images of the inspection targets are Letter/shape imaging (Sm
Slide 37: Business Domain: Industrial Computers
Business Domain _Industrial Computers Provision of products that are highly reliable in terms of environmental durability, noise insulation, and other factors. Our competitive edge is that we highlight long-term technical support services based on a wealth of expertise on the development of hardware
Slide 38: Business Domain: Mechatronics (Mitsutec Co., Ltd.)
Business Domain _Mechatronics (Mitsutec Co., Ltd.) Image Processing Automation Systems Inspection Systems Boasting advanced mechatronics technology "Motion technology" to move things ✓ High-speed/high-precision filling technology × ✓ High-speed material handling technology, etc. "Vision technology"
Slide 39: ESG's Efforts
ESG’s Efforts _ We are proactively addressing ESG issues to enhance our corporate value. See our ESG report here. Environment Social Governance Products and services to help Relationships with local Corporate governance resolve environment issues communities ＜Automatic Door Sensors＞ Four of the Dire