Minebeamitsumi Inc. · TSE:6479
Minebeamitsumi — Minebea — Nomura Investment Forum 2015
24 slides from Minebeamitsumi's conference presentation, Dec 2, 2015
Slide 1: Presentation material at Nomura Investment Forum 2015
December 1, 2015 To whom it may concern: Company Name: Minebea Co., Ltd. Representative: Yoshihisa Kainuma Representative Director, President and Chief Executive Officer (Code No. 6479, TSE Div. No. 1) Contact: Hiroshi Shimizu Manager Investor Relations Office Phone: +81-(0)3-6758-6720 Presentation
Slide 2: Policy and Strategy
Policy and Strategy Nomura Investment Forum 2015 December 2, 2015 Yoshihisa Kainuma Representative Director, President and Chief Executive Officer Minebea Co., Ltd.
Slide 3: Table of Contents
Table of Contents Current Performance and Minebea Share Price Our View on Current Market Conditions Our View on Future Business Risks Outlook for this Fiscal Year Future Developments (New Products) December 2, 2015 1
Slide 4: Current Performance and Minebea Share Price - 1
Current Performance and Minebea Share Price - 1 Net sales and operating income continues to hit first half record highs! FY ended FY ending Change 1H of FY ending Mar. '16 Mar. '15 Mar. '16 (Millions of yen) July Vs. 1H 1H YoY Forecast Forecast Net sales 216,557 295,554 +36% 294,500 100% Operating i
Slide 5: Current Performance and Minebea Share Price - 2
Current Performance and Minebea Share Price - 2 TOPIX Electric Minebea Nikkei 225 TOPIX TOPIX Machinery Appliances (%) (%) Up-down ratio vs. April 1, 2009 level Up-down ratio vs. April 1, 2013 level 700 600 600 500 500 400 400 300 300 200 200 100 100 0 0 -100 -100 2009 2010 2011 2012 2013 2014 2015
Slide 6: Our View on Current Market Conditions
Our View on Current Market Conditions Current Chinese economy and automobile/smartphone markets 1 - Although the second half is increasingly uncertain, high-end smartphone and luxury car sales to grow next year and one after next. - Minebea sales keep pace with booming sales of high-end consumer pro
Slide 7: Our View on Future Business Risks
Our View on Future Business Risks Will market share for LED backlights 1 decline next year? Will OLED displays replace LCDs 2 in 3 years? Will diminishing HDD sales volume drive 3 profits down? Which Minebea products other than 4 bearings and LED backlights are growth drivers this year, next and one
Slide 8: 1. Efforts to keep next year's market share for LED backlights
1. Efforts to keep next year’s market share for LED backlights LED Backlight Sales Minebea has confidence in quality and supply capability (Billions of yen) (Minebea aims to keep its 300 288.0 prime vender status next year, too) Sharpen competitive edge to increase market share X2.0 200 ・Introduce a
Slide 9: 2. OLED displays will not replace all high-end smartphone LCDs in 3 years
2. OLED displays will not replace all high-end smartphone LCDs in 3 years Small and medium-sized LCD sales will Global Production of Small and steadily grow Medium-sized LCDs ・Mobile phone applications (smartphones and (Millions of units) According to a Nov. 26 Nikkei feature phones combined) accoun
Slide 10: 3-1. Profits do not decline by HDD volume down (Ball Bearings)
3-1. Profits do not decline by HDD volume down (Future of Ball Bearings and Pivot Assemblies) External sales reached 163 million units in September, hitting a record high again! Demand will continue to drive Correlation between Monthly External external sales up Bearing Shipment and Semiconductor Ma
Slide 11: 3-2. Profits do not decline by HDD volume down (Spindle motors)
3-2. Profits do not decline by HDD volume down (Future of HDD spindle motors) HDD Market Shipment Volume High-end-focused HDD spindle motor business to expand (Millions of October 2008 October 2011 Thai floods ・HDD shipment volume is expected to reach units) Lehman Brothers’ collapse Mid 2012 2015 4
Slide 12: 4-1. Measuring Components business to become a growth driver
4-1. Measuring Components business to become a growth driver this year, next and one after next Leverage synergy from acquisition Measuring Components Sales ・Take advantage of the synergy from the (Billions of yen) February 2015 Sartorius Mechatronics T&H 60 acquisition ASAP (1. increase use of Mine
Slide 13: 4-2. Motor business to become a growth driver
4-2. Motor business to become a growth driver this year, next and one after next Vehicles with more sophisticated features to １ drive demand for Minebea's small-sized motors Orders for motor technology-driven EMS ２ products to remain upbeat (Billions of yen) EMS Product Sales Motor Sales (Billions o
Slide 14: 4-3. Growth of automobile motors
4-3. Growth of automobile motors BLDC Motor PM Motor DC Brush Motor DC Brush Motor (Urea SCR) (HVAC) (Mirror, Door, Sun roof) (Power lift gate) PM Motor PM Motor Fan Motor Fan Motor (Cluster) (Light A/C) (Charger cooling) (LED Light) (Billions of yen) 70.0 Automobile motor sales 60.0 50.0 40.0 30.0
Slide 15: Outlook for this Fiscal Year
Outlook for this Fiscal Year Sales and profits set to reach new record highs 1. September sales and operating income jumped, totaling 69 billion yen and 7 billion yen respectively (on a managerial accounting basis). 2. Positive effects of weak Thai baht and Chinese renminbi to start showing. 3. Exte
Slide 16: New Mid-term Business Plan targets
New Mid-term Business Plan targets No change in targets which are 2020年に向けた通過点としての新中期事業計画を策定 simple check points to our goal for 2020 (billion yen) (billion yen) 800 New Mid-term Business Plan targets 120 750.0 Operating Sales Income 700.0 680.0 100 FY3/16 600 updated (as of 80.0 Nov. 2015) 500.7 73
Slide 17: Future Developments (New Products)
Future Developments (New Products) １ Smart city project in Cambodia ２ SALIOTTM (Smart Adjustable Light for IoT) ３ J3DD head-up displays 4 Bed sensor system for medicals and cares December 2, 2015 15
Slide 18: 1. Smart City Project in Cambodia
1. Smart City Project in Cambodia Combining Minebea's wireless control technology-driven Smart City Project with Mitsubishi Heavy Industries' road traffic solutions/technologies! OSAKI Electric has joined this project with smart meter technologies! Building showcase for the most advanced Smart City
Slide 19: 2. SALIOT (Smart Adjustable Light for IoT)
2. SALIOTTM (Smart Adjustable Light for IoT) will be in full marketing stage next year Industry's first LED light capable of automatically adjusting light distribution angle Build a global sales network for SALIOTTM ・Formed an alliance with CTI, which will serve as a general distributor of Minebea l
Slide 20: 3. J3DD head-up displays
3. J3DD head-up displays Started mass production of optical components for head-up displays (HUDs) Leverage thin glass molding technology to make more lightweight HUDs with a higher degree of precision Orders received for European luxury cars Kashiwazaki factory may ・Okamoto Glass received an order
Slide 21: 4. Bed Sensor System for Medicals and Cares
4. Bed Sensor System for Medicals and Cares Human body data monitoring using bed sensor system for medicals and cares Collaborative work with IBM Japan, Chiba University, and Chiba University Hospital Minebea ・Combines Minebea’s bed sensors with high-precision pressure IBM’s advanced machine learnin
Slide 22: Dividend Forecast
Dividend Forecast Also raised the year-end dividend forecast by 4 yen for an annual dividend of 20 yen Dividend for FYE 3/2016 May forecast July forecast Current forecast Interim TBD 10 yen/share Year-end (forecast)TBD TBD 10 yen/share (For reference) Dividend for FY ended 3/2015 Annual dividend: 12
Slide 23: M&A and Alliance Strategies
M&A and Alliance Strategies Look into M&A and alliance opportunities in specific fields and targets Cautiously aiming at large scale M&A deals Give priority to boosting machined components business, including via medium to small M&As and various alliances December 2, 2015 21
Slide 24: Minebea Co., Ltd.
Minebea Co., Ltd. http://www.minebea.co.jp/ Any statements in this presentation which are not historical are future projections based on certain assumptions and executive judgments drawn from currently available information. Please note that actual performance may vary significantly from any particu