Japan Aviation Electronics Industry, Limited · TSE:6807
Japan Aviation Electronics Industry — Q1 FY2020 Earnings Presentation
22 slides from Japan Aviation Electronics Industry's earnings presentation, Jul 22, 2020
Slide 1: Financial Results for Q1 FY2020 and Prospects for FY2020
Financial Results for Q1 FY2020 (Apr to Jun 2020) and Prospects for FY2020 July 22, 2020 6807 Japan Aviation Electronics Industry, Ltd. Copyright ©2020, Japan Aviation Electronics Industry, Ltd.
Slide 2: Agenda
Agenda Technology to Inspire Innovation I. Financial Results for Q1 FY2020 II. Prospects for FY2020 Copyright ©2020, Japan Aviation Electronics Industry, Ltd. 2
Slide 3: I. Financial Results for Q1 FY2020
Technology to Inspire Innovation Ⅰ. Financial Results for Q1 FY2020 （From April 1, 2020 to June 30, 2020） ※ Amounts less than 100 million JPY are rounded off. Copyright ©2020, Japan Aviation Electronics Industry, Ltd. 3
Slide 4: Net Sales and Incomes
Net Sales and Incomes Technology to Inspire Innovation (JPY in 100 millions) Year/Year Sequential Q1 FY2019 Q4 FY2019 Q1 FY2020 Change Change 3 months ended Jun 30, 2019 Mar 31, 2020 Jun 30, 2020 Q1FY2020/Q1FY2019 Q1FY2020/Q4FY2019 Net Sales 452 510 433 -19 96% -76 85% Operating 25 30 -17 -43 - -48
Slide 5: Net Sales by Market Segment
Net Sales by Market Segment Technology to Inspire Innovation (JPY in 100 millions) Year/Year Sequential Q1 FY2019 Q4 FY2019 Q1 FY2020 Change Change 3 months ended Jun 30, 2019 Mar 31, 2020 Jun 30, 2020 Q1FY2020/Q1FY2019 Q1FY2020/Q4FY2019 Component Component Component Mobile Ratio Ratio Ratio Devices
Slide 6: Connector Business
Connector Business Technology to Inspire Innovation (JPY in 100 millions) Sales by Market Segment Sales：96% (of Q1 FY2019) 395 Year/Year Change 380 ▶ Mobile Devices 96％ Sales increased for the specific products Mobile Devices 192 Sales to smartphone customers in China 115% 221 decreased ▶ Automotive
Slide 7: UIS Business
UIS Business Technology to Inspire Innovation (JPY in 100 millions) Sales by Market Segment Sales; 127% (of Q1 FY2019) ▶ Automotive (In-Vehicle Touch Panels) Year/Year Change 22 Sales significantly increased 127％ compared with the same period last 17 year due to expansion of vehicle models adopting
Slide 8: Aerospace Business
Aerospace Business Technology to Inspire Innovation (JPY in 100 millions) Sales by Market Segment 38 Year/Year Sales：77% (of Q1 FY2019) Change 77％ 29 ▶ Industrial & infrastructure, and Industrial & Automotive Infrastructure 29 63% Sales decreased due to sluggish and Automotive 18 demand of sensors f
Slide 9: First Quarter, Monthly Situation
First Quarter, Monthly Situation Technology to Inspire Innovation ▶ Net sales in May declined more than anticipated due to sharp decline in mobile devices and delay in operation resumption at Philippines and Tijuana plants which manufacture products for automotive markets. Recovery in June owes to t
Slide 10: II. Prospects for FY2020
Technology to Inspire Innovation Ⅱ. Prospects for FY2020 Copyright ©2020, Japan Aviation Electronics Industry, Ltd. 10
Slide 11: Assumptions for the earnings forecasts
Assumptions for the earnings forecasts Technology to Inspire Innovation ▶ Business Environment Resumption and Expansion of economic activities in Asia, Europe and North America to further continue Assuming that decline in demand by the novel coronavirus (COVID-19) diseases remains insignificant
Slide 12: Prospects for FY2020
Prospects for FY2020 Technology to Inspire Innovation (JPY in 100millons) FY2019 FY2020 Year/Year 1H 2H Change 1H 2H Projections Projections Projections Net Sales 1,008 1,073 2,081 955 975 1,930 -151 93% Operating 71.1 69.1 140.2 10.0 50.0 60.0 -80.2 43% Profit to Net Sales 7.1% 6.4% 6.7% 1.0% 5.1%
Slide 13: Sales by Market Segment (Projection of 1st Half)
Sales by Market Segment (Projection of 1st Half) Technology to Inspire Innovation Market Environment to recover from Q2 ▶ Mobile Devices: Sales expected to recover in Q2 by new model releases ▶ Automotive: Sales expected to increase by the recovery of both customer demand and JAE production. ▶ Indus
Slide 14: Prospects for FY2020
Prospects for FY2020 Technology to Inspire Innovation (JPY in 100millons) FY2019 FY2020 Year/Year 1H 2H Change 1H 2H Projections Projections Projections Net Sales 1,008 1,073 2,081 955 975 1,930 -151 93% Operating 71.1 69.1 140.2 10.0 50.0 60.0 -80.2 43% Profit to Net Sales 7.1% 6.4% 6.7% 1.0% 5.1%
Slide 15: Sales by Market Segment (Projection of 2nd Half)
Sales by Market Segment (Projection of 2nd Half) Technology to Inspire Innovation In spite of the recovery in market environment, sales for mobile devices is predicted to decline ▶ Mobile Devices: Sales for smartphones in China remain severe. ▶ Automotive: Sales in the 2nd Half is projected to be on
Slide 16: Efforts to ensure business recovery
Efforts to ensure business recovery Technology to Inspire Innovation ▶ Restructure production system and reduce indirect costs matching with current demand Initiatives to return ▶ Postpone capital investments which does not to profitability directly link to the sales expansion in FY2020 ▶ Release ne
Slide 17: Technology to Inspire Innovation
Technology to Inspire Innovation
Slide 18: Cautionary Statement
Technology to Inspire Innovation <Cautionary Statement> The plans, strategies & results forecasts and targets for our company and our consolidated affiliates (hereinafter JAE) noted in these materials are forecasts and targets as of July 22, 2020, and include risks and uncertainties. The targets not
Slide 19: [Reference] Connector Business
［Reference］Connector Business Technology to Inspire Innovation ▶ Mobile devise: Sales to smartphone customers in China fall sharply from May ▶ Automotive: Sales declined due to global operational restrictions for both customers and at JAE ▶ Industrial & Infrastructure: Overall market remained stagna
Slide 20: [Reference] UIS Business
［Reference］UIS Business Technology to Inspire Innovation ▶ Automotive: Sales of in-vehicle film-type touch panel significantly declined due to shutdown of operations at customer production plants by COVIT-19 impact ▶ Industrial & Infrastructure: Sluggish market continues due to slow recovery of the
Slide 21: [Reference] Aerospace Business
［Reference］ Aerospace Business Technology to Inspire Innovation ▶ Industrial & Infrastructure: Demand declined sharply for oil drilling sensors due to the drop in crude oil prices, however sales of linear motors for semiconductor manufacturing equipment bottomed out （JPY in 100 millions） Sales By Ma
Slide 22: [Reference] Net Sales and Profits By Business Segment
［Reference］Net Sales and Profits By Business Segment Technology to Inspire Innovation (JPY in 100millons) Year/Year Sequential Q1 FY2019 Q4 FY2019 Q1 FY2020 Change Change 3 months ended 30, Jun 2019 31, Mar 2020 30, Jun 2020 Q1FY2020/Q1FY2019 Q1FY2020/Q4FY2019 Sales 395 437 380 -15 96% -57 87% Conne
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