TDK Corporation · TSE:6762
TDK — Q1 FY March 2012 Earnings Presentation
22 slides from TDK's earnings presentation, Jul 28, 2011
Slide 1: Performance Briefings 1Q of Fiscal Year March, 2012
Performance Briefings 1Q of Fiscal Year March, 2012 TDK Corporation July. 28, 2011 1
Slide 2: Agenda and presenters
◆Consolidated 1Q Results of FY March, 2012 Takakazu Momozuka Corporate Officer, General Manager, Finance & Accounting Department ◆Passive Components Business Shinichi Araya Director, Senior Vice President ◆Recording Device Business Atsuo Kobayashi General Manager, Senior Vice President 2
Slide 3: Consolidated 1Q Results of FY March, 2012
Consolidated 1Q Results of FY March, 2012 Takakazu Momozuka Corporate Officer, General Manager of Finance & Accounting Department 3
Slide 4: Consolidated 1Q Results of FY March, 2012
Consolidated 1Q Results of FY March, 2012 FY March 2011 FY March 2012 Change (Yen billions） 1Q Results 1Q Results Yen billions % Net Sales 221.9 206.8 (15.2) -6.8 Operating Income 20.2 5.6 (14.6) -72.1 Operating Income Margin 9.1% 2.7% -6.4pt - Income before Income Taxes 18.8 3.3 (15.5) -82.3 Net In
Slide 5: Features in 1Q results of FY March, 2012
Features in 1Q results of FY March, 2012 ◆Electronics market trend ●Output of smartphones and tablet devices increased ●Output of flat-screen TVs, notebook PCs and HDDs was around the same level as the corresponding period of the previous fiscal year ●Recovery of the Japanese automotive market accel
Slide 6: Quarterly Results (1Q of FY 2011 vs. 1Q of FY 2012)
Quarterly Results (1Q of FY 2011 vs. 1Q of FY 2012) FY March 2011 FY March 2012 Change 1Q Results 1Q Results Yen billions ％ Yen billions ％ Yen billions % Capacitors 38.0 17.1 36.1 17.5 (1.9) -5.0 Inductive devices 32.1 14.5 32.9 15.9 0.7 2.3 Other Passive Components 34.6 15.6 32.8 15.8 (1.8) -5.3 Ne
Slide 7: Breakdown of Operating Income Changes
Breakdown of Operating Income Changes Operating Income : - 14.6 billion yen Rationalization, Cost reduction・ Purchased materials savings +3.7 billion yen Changes in sales and Products mix +8.5 billion yen SG&A expenses increase （including decrease in restructuring cost by 400 million yen) 20.2 -2.3
Slide 8: Quarterly Results (4Q of FY 2011 vs. 1Q of FY 2012)
Quarterly Results (4Q of FY 2011 vs. 1Q of FY 2012) 4Q results of FY 2011 1Q results of FY 2012 Q on Q change （2011.1.1～2011.3.31） （2011.4.1～2011.6.30） Yen billions ％ Yen billions ％ Yen billions % Passive Components 105.0 49.1 101.7 49.2 (3.3) -3.1 Net sales Magnetic Applicatons Products 85.2 39.9 8
Slide 9: Passive Components Business
Passive Components Business Shinichi Araya Director, Senior Vice President 9
Slide 10: Passive Components Business Quarterly Overview
Passive Components Business Quarterly Overview（4Q vs. 1Q) Sector Net sales in 4Q Net sales in 1Q Sales status Change % ●Ceramic capacitors Capacitors Decreased sales for IT home electronics applications such as flat-screen TVs 34.5 billion yen and PCs, and automobiles 36.1 billion yen Increased sale
Slide 11: Recording Device Business
Recording Device Business Atsuo Kobayashi General Manager, Senior Vice President 11
Slide 12: Recording Device Business
Recording Device Business ●HDD Head shipment index FY March'11 FY March'12 1Q 2Q 3Q 4Q 1Q 2Q Index 100 100 102 95 95 100 Index transition based on shipment volume in 1Q of FY March 2011 as 100 ●Sales projections in FY March 2012 Results in FY March 2011 Results and projections in FY March 2012 1Q 71
Slide 13: Supplementary Data
{TDK Supplementary Data 13
Slide 14: Full Year Projections in FY March 2012
Full Year Projections in FY March 2012 Term FY2012 FY2012 FY2011 (April 1, 2011 - (April 1, 2011 - (April 1, 2010 - March 31, 2012) March 31, 2012) March 31, 2011) vs. FY2011 Changes Forecast in Forecast in July'11 June'11 Actual Item (Yen billions) (Yen billions) (Yen billions) (Yen billions) % Net
Slide 15: Dividends Forecast of FY March 2012
Dividends Forecast of FY March 2012 Dividend forecast per a common share Interim dividend 40 yen Year-end dividend 50 yen Annual dividend 90 yen 15
Slide 16: Expenses
Expenses FY2011 FY2012 Change (Yen billions） 1Q Results 1Q Results Yen billions % Capital expenditures 13.9 26.8 12.9 93.3 Depreciation and amortization 18.8 18.7 (0.1) -0.6 Research and development 12.8 13.6 0.8 6.2 16
Slide 17: Quarterly Results Breakdown
Quarterly Results (1Q vs. 1Q) (4Q vs. 1Q) YoY Change QoQ Change 1Q of FY 2011 4Q of FY 2011 1Q of FY 2012 （Ｃ）－（Ａ） （Ｃ）－（Ｂ） Apr 1- Jun 30, 2010 Jan 1- Mar 31, 2011 Apr 1- Jun 30, 2011 （Ａ） （C） （C） Yen billions % Yen billions % Yen billions Net Sales 221.9 213.6 206.8 (15.2) -6.8 (6.8) -3.2 Passive Comp
Slide 18: Quarterly Sales and Operating Income by Segment
Quarterly Sales and Operating Income by Segment FY March 2011 FY March 2012 Yen billions 1Q 2Q 3Q 4Q Total 1Q 2Q 3Q 4Q Total Net Sales 221.9 220.3 219.9 213.6 875.7 206.8 Passive Components 104.7 108.7 107.1 105.5 425.6 101.7 Capacitors 38.0 37.7 35.2 34.5 145.4 36.1 Inductive Devices 32.1 33.6 32.6
Slide 19: Net Sales, Operating Income and R&D Trends
{TDK (iilions of yen) Net Sales & Overseas Sales Ratio (09) Milons of yen Operating Income, Net Income & Operating Income Ratio a 1,000,000 100 100,000 a 2 SF Netsales 10 mO== Overseas sales ratio (%) so 80,000 D x 8 800,000 80 60,000 m8 728 743 720 ¢ ‘ 65! 70 ones 655,792 657,853 40,000 7 33,300 44
Slide 20: Total Assets, Equity, Dividends and Employees
‘800,000 600,000 400,000 200,000 140.00 120.00 100.00 60.00 20.00 Total Assets, Stockholders’ Equity & Stockholders’ Equity Ratio 1 ‘747,337 i i i 19 794 SP Totalassets SSR Stockhoklers’ equity s=O== Stockholders’ equity ratio(%) | = | | 20023 = 2003/3 2004/3, 2005/3 2006/3 Dividends per Common Shar
Slide 21: Cautionary Statements with Respect to Forward-Looking Statements
Cautionary Statements with Respect to Forward-Looking Statements This Thismaterial materialcontains containsforward-looking forward-lookingstatements, statements,including includingprojections, projections,plans,plans,policies, policies, management managementstrategies, strategies,targets, targets,s
Slide 22: Slide 22