Slide 1: ESPEC Corp. investor briefing
ESMEC FEAF I—-K6859 LANYF7RAS Ht 201677R( 201 735 HA) IAG AAS 2017%5A22H www.espec.co.jp ESPEC CORP.
Slide 2: SHRz
o ER ~. SHRz 2016 RARE 2016FE IXY EIA 2017FE Bite 2017R Ris Sent ESPEC CORP. 1
Slide 3: Company profile
Stee ME70NS MRRRBOR RY 7 x—H— 2H @ LAN97 thetB4t AHLEMT Alath ALK Kee 3-5-6 CR F BH HB CULE FESS) mA 1947F( FR #N225F )7 A258 BIZ AA 19545F( FR#N295F 1138 HAZ 68958 AR ST ARNBM 23,781,394 HERA 1,426 ( His ) BRAS RRM. LFD-FNARE. +HARERB. BMVLRORE Me. PIZ—V—-EA, SM REC ice paw HRSOMUE RIAGO%E ESPEC CO
Slide 4: Group companies
FA—-NAYSI—F BARRY kKI-F BAwsA 250 BeTSH 114 (HASH, HAS 4) 43AH33# EB antes 46% = fs RIN J) AESPEC EUROPE GmbH 2 Ee . Le OLBLMMRRAR SRA Al - canstatd arr irieen OFHMARRER (bs) ARAT @ESPEC NORTH AMERICA, INC. LIMITED SIRKETI @R AN MT EEE (ER) BRAT @QUALMARK CORPORATION i OLN MRARAK( bi) ARAA \ J PL, @
Slide 5: Business overview
FRM E( SRO / Az) rs Szeme maman TIUEAZS na RARE ee rt | wi EE od ER RES -FPD3 ‘Em. Rms HEE, REE NAF EIN “LCD, @M#EL . ES 82% 4 Sere ett Cee, Mera Ts] St anereGn ItY-FIN(ZRE -LREDRSUNGRE “RET FS ‘REthGi eee Ee es aeueecee Novy tk +2 FERRER emg -HEZT. || Ae ASE. FG L ‘PI7S-Y—-EA -#BAWLR ‘ETRE, ETRS _
Slide 6: TOPICS
TOPICS (2017%18A) (2017%2A) AAs Aa tt Wim 3s=-F-Yavxke RRESRAE 3 8 ii @RAt 2FRGRA 20164 384iZ 20154 | 48th www 2014 | 113¢h UAE ESHEMAM Pr 100 7A 100 R & Pn 2. 20Kr AN samme . S2=4-9 A zpsunne Wigcae\® ERAS RSP 73 marie aiat URE. (—L) HERR «ARI + — 5 Ef ESPEC CORP.
Slide 7: TOPICS
TOPICS BIN-YF 4 OME — RE ABEEOM |) hs sa @ 2016828 mesmasy oc © FRTHRPRRBET—7 I< SHA) EWE V4 @ 2016%3A AmB ok KRG —F 4 VIAYN6O—) ORTERS Sef, @ 2016F9A manmesY ‘\ ( | see O< BEV—7 'ASIEL) OREMENS ESPEC CORP.
Slide 8: FY2016 results
2016 RARE ESPEC CORP. 7
Slide 9: FY2016 results highlights
201 6SF ER OR!) 38!) *TABBONE ESPECHAHMORANMGAS—h MPOMBOR GER E (2015%7A EMIZNY ARS FSHI) RAP OMLICHSEAAME- PA BHBLelIy—oO eM + AEA QUALMARK4t 2 i 5 F 44 (6( 20152125) BRA_REHKORSUICET SHSM 201 131 A. FOMABRBRELT (ECE R100-2. Partll )0)i8FABH98: 20165F78 Felet LER Sei SMO ABER MAO RMR “WyFV-REBELY 9
Slide 10: ARR
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Slide 11: Financial results summary
HAO AKIN LA hi 25, 461 Cte (65. 2%) sole Flat 13, 573 10, 051 Salat 3,521 eA 3, 570 eitasaniel 2. 410 ToRMMAR 20164%E itm 39,903 39,000 40, 289 cli 39,035 38,000 39, 507 24,847 26,059 (65. 4%) (66. 0%) 13,153 1 2.3% 3,447 A0.9% 10,153 10, 204 1.5% 3, 000 2, 850 2, 000 ESPEC CORP. 3,171 A11.2% 2,233
Slide 12: Results by segment
29 AVA BI ORO AK: 32,951 32,060 33,124 0.5% 3. 3% “ELE 32,030 30,910 32,334 0.9% 4.6% ‘Se He 2,986 2,500 2,630 A11.9% 5, 2% 5,874 5,910 6,096 3. 8% 3.1% ES) 5.786 «5,950 6, 065 4. 8% 1.9% 516 500 594. 15.1% 18. 8% 1,340 1,230 1,331 A0.7% 8. 2% a 1,474 1,340 1,378 A6.6% 2. 8% ‘Sens 19 o 18 A3.9% - cE
Slide 13: Operating income change analysis
SRNROWREAD (BAA) ; llsasx { ) d-EARe: yp 102 [tomas | En ° a \A68 A136 a « ‘A631 116) | | moR & SF h tit z Sf 8 # 8 g € H ' ' a La \ Ne 4 3,521 \ ) ‘ y | - ‘Toad 160 A286 A152 FLOBRICLS | REF OZ HC ERO ALVARO jé§ LSALVM } OR ; 218k A 207655 ESPEC CORP.
Slide 14: Mm i @ MHC MR
Mm i 5 @ MHC MR oe CR - RR A HAMwWS BERR L246 101K S CEM e MRS oo ne N Ke MKOWt N a a fe} 1S) u Ww a. La) WW HK<BRCRS RORMMCBE CRLERE ote Ahab ER HEANN OE TN P|
Slide 15: FY2016 segment overview
2016%E tAxVb ID ESPEC CORP.
Slide 16: Environmental test equipment segment
Rie SRCIXV/ BMP CRie sc becelcieM NAB LR OB 3 FO QUALMARKAL MAC EI Misiitmlt Cite se bectl Les iiwls,. ABEL CRRA ES LAocko Linn ligls, VEORMCBAFSHOREROMEYL CLIC IEHOLEbLINN LF Y-FINAZRE MAbs CR IM, ToL SARA. HS IEST LE CRS SIGN. Sob ls stk RAST MiRESLOTSHORRA REHRERESGA +E BRE MniHAle (SITES MLO, Ri
Slide 17: Environmental test equipment results
Re SREIXY/ (SAR) 2016 {SIE 32, 951 32, 060, 33, 124 32, 030 30, 910 92,984 0. 9% 4.6% BRAs . 2, 500 A11.9% 5. 2% [ARES (%) ] . [8. 1%] ESPEC CORP.
Slide 18: Energy/device segment results
Y-EARRUIAVL/ (BAR) 3. 8% 3.1% BRA 516 500 [FURERE%) | [8. 9%] [8. 4%] 4.8% 1.9% 15.1% 18.8% PIZS-V-ERZ-LTYVYIPYY DF MBURALG- SERB MbCtlASGIREL EGER LU BIL MMM Cissy FT) -REBEY 2—hER RHE POICTANIY T1417 GABAT Rite Tb moBCIM, Sst MICML CISA SEIBMEL ESPEC CORP.
Slide 19: Service and other segment results
EO th FREI XL (BAR) 2016%E f$1E 1, 340 1, 230 AO. 7% 8.2% 1,474 1, 340 AG. 6% 2. 8% Bea 19 [AUmESE (%) ] [1. 3%] [-] WURLYINIP UY Le MBA TISFRI<SUA BAL, BIER Thm: SRAROTS TB TRY MSE BICHL CSM LE, ADSORB CLES TLEcChMEs LAS ESPEC CORP.
Slide 20: Thal 5c Lt abe
Thal 5c Lt abe AZO the th (EWR) = Ott A7FIbN RF" 427 V4 TH OST mn - STs 100% oR Tht 80% | 60% | 40% + 20% | 10 10 10 j 9 2012%FR 20135FR 2014FE 2015 2016FE 0% ESPEC CORP.
Slide 21: Sales by region and customer industry
Shia Bll 5c _b te Ae LL 201658 PAL BLE: 41, 2% SARL BLE: 42, 2% 2. 4% sae 3.46 ache 4.1% RE 20154 aay (eee 201 64 58. 8% ee ezow | 87. 8% 14, 4% BA 5. 1% 4. 9% 0. 8% 0. 8% st 39, 5078 at 39, 035874 (45255 :16, 66385) (HLH :16, O728HA) ESPEC CORP.
Slide 22: FY2017 forecast
2017 He ESPEC CORP.
Slide 23: Business environment and outlook
201 7 FE Oa AS mizls. SHib-BRib- ARBROMEH BATH BAACERAS RISA AVHABIS. RUEKAVHOMBALA TSUA AACECRES EA HA. RARRICR SHS" Gala ot RSS HESS. ALAR PIS EEE. BRINIS AAA SRB, HI AREDREOLOSR Lt Y-FINMARE RA Bibs, MA BRROMENEA THUR +BCHERE +HCSARRAVEPOICEH PIA-LY ASHE ik mH SRR AR Hee PCE >P OOOP PRR OO MYLIS-
Slide 24: Exchange rate assumptions
201 7FRMESBL—b BMEAael—b = 2015 20165 201 7K m8 ERA FB g esemn | 121.11 111.74 108.81 11000 (SF )2017FRABSGR HMI AD ) TL 12385 RRY BRA ee 1ISHARRY ESPEC CORP.
Slide 25: Market trends
Pie Stic 201 (FRR 201 72 ROSAS Ae 4061537 EC FACE ET ae malas 8 oo | eM — Sa 2) mee — Manette Bm OR RAE 395 400 “00 — 40 35(9.0%) SEBe 350 | 336 30 | B2 Bos) 300 | 20 - 250 - 10. 200 0 20145F 201555201 6SF R201 7 201 ace 201 SEE 20161 201 TEE ESPEC CORP.
Slide 26: FY2017 forecast
(AF) 20175 Hi | tm | rm | am | aia Zim 40, 289 | 20,000 20,500! 40, 500 0. 5% 39,507 17,500 22,500] 40, 000 1.2% LAS 13,447 6,200 7,950 14,150 5. 2% EIFS 3()) [34.0%] | [85.4%] [35.3%] [85. 4%] “ Er 3,243 1,200 2,500f 3,700) 4, 44, LAURER (96) ] [8. 2%] 16.9%] [11.1%] [9. 2%] — ahi 3,171 1,250 2,550
Slide 27: Forecast by segment
REBRCIXVE (BAR) SRA 1, 050 2, 000 3, 050 16.0% [ARES (%) ] [7.3%] [10.8%] [9. 3%] _° ESPEC CORP.
Slide 28: Forecast by segment
Y-EARRUIAVA (BAR) a+ Fa] 6, 096 3, 000 3, 200 6, 200 1.7% 6, 065 2, 800 3, 400 6, 200 2.2% BRA 594 200 450 650 [FURS (%) 1 [9.8%] [7.1%] [13.2%] [10.5%] ch Ged ESPEC CORP.
Slide 29: Forecast by segment
EMHBREIX YA (BAA) xi 1, 331 600 700 1, 300 A2. 3% 1,378 500 800 1, 300 A5. 7% 18 A50 50 fo) [ARES (%) ] 11.3%] [A10. 0%] [6. 3%] [-] ~ ESPEC CORP.
Slide 30: Shareholder returns
Bic Si BS RENALSE OARBLERSOBRRAD—OCMMISCLE, KRNE ERMHEOM LARS MEM LOBACHA, A SMRECH A EMER ORE RY UBM SCRE cam) (FAD 50 FAR 6 HR 40 . 3 38 22 241 18 20 oa a 14 %2 15 15 13 T T T T 7 1 RAE 20.6% 46.7% - — 21.4% 21.9% 28.6% 29.6% 28.5% 30.5% 36.8% 42.3% 3% 1.2007SF REIS MUSR6O RIS Sooo 2A 1 ARIA eaG 3
Slide 31: Medium-term plan
201 7SFR RH ESPEC CORP.
Slide 32: Medium-term management plan
2017#R Bris BR 1 Bele 2 AAS LABRaO RE - $E LANYIIN—THO Meh Hrresene YFIIP-lKS ma: JOLAMEORR BATHS T OUMK PR - Riese 2-7 b nie es SERBS & S BAER ER CLEBRRROMAL soph ale MAS RA AM ORE ESPEC CORP.
Slide 33: Basic policy and priorities
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Slide 34: Overseas expansion
2-1 BH TOK * EMLAN IIR OMTHEX RIF BM FI=AWYR-hEYS— | ‘AAS LINGEA OAC *ASEAN* 4K CO) ARSC iit Fa BE WKB AORA hElaseed J f f+ + <7 ool ZA IAN7 ' ¢ ‘ A ESPEC ENGINEERING (THAILAND) 4 "FI=ANTE EYE | ~ a i. ESPEC CORP.
Slide 35: Strategy 3-1
3-1 BRAMOMA- MRSA Eel REE O ARCH (BRR -AASLRE) tM RY-EANTLMA WIF)-REBTEYS— (FRERBAA) ESPEC CORP.
Slide 36: Strategy 3-2
3-2 BRAMOMA: Mine HALT/HAS SHRRB » BAO MTGE (20171 ABAROMASBHHIRS L TMI BP) *IANYIIN-TFOMERY KI- TOGA 54(7Hs/RB- BR: VTUPIW HALT/HASSSt 8838 Rete ARS OMIA + Reet MRO IE REtTRS ESPEC CORP.
Slide 37: Strategy and product initiatives
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Slide 38: Quality is more than a word
Quality is more than a word ESOEC
Slide 39: Notes and IR contact
CORPS. SHOREOH MP RARBLECASEN THES. TNSBROHMY PMMBECS. MEA FO RECRESClC, HASH - PHMLLEONTHVET. RRORMECIS, SROMRVERA- BRICLVCOH MSCS RESRAVS', CNRS TORREBHLEN, (REET SEO Tt TEWVECA. [SHUAadts) LANYIRASA 7530-8550 APRA KMB3-5-6 TEL 06-6358-4744 FAX 06-6358-4795 e-mail ir-div@espec.jp a—-#L—has3a=47—-Y
Slide 40: Appendix
Sent ESPEC CORP.
Slide 41: Company history
Fate ee Oi BT RMECOSESES LRN MCT, MR. HR. ED, MHCCOMRMATICLS RECO - HHL, RRORALHERTSEOORR <19505K> <19708K~ 19905 > <RtE> BATHE nO RA te! RAGE ARR MROR RS LA¥—-HH? AHO JISHIBIE F—VeGR'), BHC BRCOMBCH Bib- AERO Pose OMANI ABCA CRRA EA 7: — > @) | 1961 BAMORRRREEME HRY IP No.1 2 BAY? - D 6O% LE THR IP
Slide 42: History
ERORE Mb Clon RAE MIC R EIA | sameELsI | > SE PRELEACIC) f EV, ‘Hv, PHV@EOLAA— 1975 1982% +RRRREE FPDRE HAYATL BHenee BRSA BREA
Slide 43: Product and application examples
(Re FITZ JOA / BRE eet [WI—FINT2Z) BGG RMR: —40004+125C SAERRE oe inte | MBM: +1750, +850 (AD)A-T BN Not RE (Rtv y—) ae BEHOREI 17 VRB: —4000+4+110C EMRE 7IFI2A)/A-7v BSACHVRORE SARE: -3005+85C8U=7 RIG | Nyy RE- ARRBRICF EU — @ seg | RRMBREIR: —30ORTO +800, —55'CO+155°C | SRNR {CCD/CMOS] | 4g | MsGH
Slide 44: Topics
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Slide 45: TOPICS
[ie 5 TOPICS PT \ Mee ARRIETA TiFF¥TYPI-K2016) €2e5 HRAWICREBROHDSTVIYE iFT¥ Ty PT—K2016) (CUT, SHO OBR #1 S7OSITbLHBCRALELE. ARials, BAST Bin. ARB OMT aE RRC ORME GHES OTHER SH. fthets MIISBWIAYVND RSP, MEEORUIT YT VECHARBAISESAZABATEBS HHS NTWETF, ESPEC CORP. DESIGN AWARD 2016
Slide 46: (RBS) LIVY—FNAAZARBOMESGH
(RBS) LIVY—FNAAZARBOMESGH FRSA Tie 'NMT7JIK AEP BAAMRECREKARRICASNSUF9LT4Ay— BHOPRMEC RACER SOOKE TCHS AGRE = RB ith OU GE He Op ST PRENYANINIFY—FAR— ESPEC CORP.
Slide 47: [RBSX) +SCMEREO MES Hl
[RBSX) +SCMEREO MES Hl PRAT NI AZAREZORRRE LEIS. ARMERALMMRACER m 7U> bie aig sy ESPEC CORP.
Slide 48: Reliability testing services
[Y-EARR] RMOPKMRLS. AVTFYAY-EA, RROMS- MR. RB BREE Hi BANO. 1929h9-FICKSAE—F 1 EHG HB RAFMDNY—-EA LANIYIAY IAL Yh LEAB—h BRS RICKS, BCS TE! FORT AD ERE SHMR- D-H. IVT, NEL SI), PENRO, RRBRECE Bf BASom, Ramee AMER (HA: FS 2am SHS, pe: b-eM) + ISO/IEC 170251 S<IECQ ITER ER A ig + HEARIE RR ERME (JCSS)
Slide 49: Reliability testing topics
[Y—EABR TOPICS HRM Ny FU -REBEeY S—) lcT BRAS L CEC + RAE —E A Sie ES RAVECE R100—2. Partll* TESSnZ-ZGARORSERRORIE SAUER ORE HEV AKT SIV AhY TV —-EASi (20159 FRETI/AYILYIAICHR) 20164575 5 bade NWIFIRPRELY 2— ($8855 aS ILD OAK) ERR HIRES) BORER ESPEC CORP.
Slide 50: M RO<4) ‘
M RO<4) ‘ MEARS FI LORERE, Mee RERAVLBLORICY BxkiaS<Y) ; \. KEBMERALE, ARR. Hee FOR. AME MB Mimieit E-h7?/ 47 -KRROBMICMRNEBICE BL SBRbYATL MMLBRR HVORMICDREH REE - BILE Riel hI CMe CS R-BMVATLSESURE AY FFL 7retbhay ESPEC CORP.
Slide 51: TOPICS
(Othe) TOPICS MPREKeSAL LRT MERRe SE 20165535. HAVA MICRBLABM LCST. MERBKEEALESAIVE RCE MBP ReELE - Ms MAL RAT 1 -LIFY—, RBKFCORAMR MMLRcCteRR TS R5U-71 ESPEC CORP.
Slide 52: TOPICS
(Oh S5] TOPICS LANY7SIIORIV AGS GBES MAH ICCHIC PICHROMHA MHRibmBSRAeS A x KYRA LCHRICSURRENEERRSAR GES SHRM OR ERE SEMAN THEOHRSHACHASEMET. SACLRHORERT 2K Dae KA SBT RRC HS AeA PLLRHOR Cea ESOS iE ) MOL COHORT ESPEC CORP.