Nihon Dempa Kogyo Co., Ltd. · TSE:6779
Nihon Dempa Kogyo — FY2019 Earnings Presentation
24 slides from Nihon Dempa Kogyo's earnings presentation, May 17, 2019
Slide 1: Result of Operations for Fiscal Year 2019 (Ended March 31, 2019)
Result of Operations for Fiscal Year 2019 (Ended March 31, 2019) Nihon Dempa Kogyo Co., Ltd. May 17, 2019 【Note】 Statements made in this presentation with respect to our current plans, estimates, strategies and beliefs and other statements that are not historical facts are forward-looking statements
Slide 2: Contents
＜Contents＞ １．Results for FY2019 ２．Initiatives for Growth ３．Outlook for FY2020 Presented by Hiromi Katoh, Representative Director and President 2
Slide 3: Summary of Performance in FY2019
Summary of Performance in FY2019 （Million yen） ① ② ③ ④＝②＋③ ④－① Change from FY2019 FY2019 FY2018 FY2019 Outlook as of Full Year Temporal Full Year Full Year Full Year May 11 （exclude temporal Outlook as of Factors Result （exclude factors） Result （exclude temporal May 11 factors） temporal factors） Net
Slide 4: Results for FY2019: Net Sales
Results for FY2019 : Net Sales Mobile Communications and IoT Comparison to outlook: ▲¥0.8 billion Mobile Communications YoY comparison : ▲¥1.3 billion Automotive Comparison to outlook: ▲¥1.0 billion 4
Slide 5: Results for FY2019: Profit
Results for FY2019 : Profit I) NIK Crystal Bridge to the Future FY2019 Outlook vs Result FY2019 outlook Operating Income +¥0.5 billion — = Exclude temporal factors H Exchange rate Unachieved target for fluctuation _ fixed cost reduction Cher facors Chang: in unit prices + +¥0:3 billion A¥02 billion
Slide 6: Quarterly Results for FY2019
Quarterly Results for FY2019 *1 *2 FY2018 4Q FY2019 4Q *1 Temporal factors *1 Temporal factors are excluded are excluded 6
Slide 7: Sales Trends in Main Applications
Results for FY2020 : Sales Trends in Main Applications 7
Slide 8: Contents
＜Contents＞ １．Results for FY2019 ２．Initiatives for Growth ３．Outlook for FY2020 Presented by Hiromi Katoh, Representative Director and President 8
Slide 9: Initiatives for Growth (5G Will Take Off Soon)
Initiatives for Growth （5G Will Take Off Soon） Full-scale ５G-System operations will start in FY2021 Base Stations Business opportunities for NDK Smartphones ５G ADAS Autonomous- IoT driving Source ：NDK Source ：TSR 9
Slide 10: Initiatives for Growth (Requirement Level Rises)
Initiatives for Growth （Requirement Level Rises） ５G System Significant increase in the amount of information carried in radio waves 【 5G_Phase1 ／ 【 5G_Phase2 ／ 【4G】 4G_Advance】 IEEE802.11ax】 When the code Becomes 64QAM (information) 256QAM sensitive due to 1024QAM Q gets nearer Q noise Q II I I NDK
Slide 11: Initiatives for Growth (Integrated Production of Crystal Devices)
Initiatives for Growth （Integrated Production of Crystals Devices） 5G system requires higher frequency ●In response to needs for low noise and high frequency crystal units, Manufacture “high quality Make the best use of synthetic quartz crystal” in-house “photolithographic technology” High quality M
Slide 12: Initiatives for Growth (Products for 5G)
Initiatives for Growth（Products for 5G） Clear superiority over the performance of MEMS oscillators Low g Oscillator （*１） NT2016S NT3225S (*1) Vibration Sensitivity: Amount of frequency change per 1G (acceleration of gravity). The smaller the figure is, the influence of the vibration reduce. MEMS Osc
Slide 13: Initiatives for Growth (5G Base Stations)
Initiatives for Growth （5G Base Stations） Core Network Begins to be introduced in cities in Japan, South Korea, US and China Optical Fiber Macro Backhaul Base Station Distributer Unit Fronthaul 5G-RRU Volume of small cells will increase Center Unit Usage for 5G will grow Small Cell from 2020 Station
Slide 14: Initiatives for Growth (Products for 5G Base Stations)
Initiatives for Growth （Products for 5G Base Stations） Core Network 【Macro/Small Cell ・ＣＵ】 Reference clock : High quality oscillators Optical Fiber Holdover：±1.5μsec ◆25×22mm OCXO Macro Backhaul Base Station Fronthaul Distributer Unit 5G-RRU Center Unit Small Cell Station 【DU】 Low noise/high quality
Slide 15: Initiatives for Growth (5G Smartphones, IoT)
Initiatives for Growth （5G Smartphones, IoT） Blood Glucose Level Monitor Measure blood glucose in real time for 24 hours Logistic tracker 15
Slide 16: Initiatives for Growth (Automotive)
Initiatives for Growth（Automotive） Applications for crystals will expand GPS Camera V2X Rader LiDAR Autonomous Keyless system/ TPMS driving Smart key ④ ③ Needs for security are increasing such as ① anti relay attack ② 16
Slide 17: Initiatives for Growth (Synthesizers, Sensors)
Initiatives for Growth （Synthesizers, Sensors） Synthesizers Outgas Sensors Developed jointly For special applications with JAXA and satellite station for space applications ⇒ Resin/ solvent manufacturers Down Converter Ultrasonic For inspection of Medical automotive radar Care Nursing 17
Slide 18: Initiatives for Growth (Restructure of Production System)
Initiatives for Growth （Restructure of Production System） ■Sayama⇒Factories in Japan Sayama⇒Hakodate（Small mass-production products） Sayama⇒Furukawa（Crystal oscillators for industrial use） Sayama⇒Niigata（Crystal filters） ■Factories in Japan⇒Factories abroad Furukawa⇒Malaysia Japan （Tuning fork type
Slide 19: Contents
＜Contents＞ １．Results for FY2019 ２．Initiatives for Growth ３．Outlook for FY2020 Presented by Hiromi Katoh, Representative Director and President 19
Slide 20: Outlook for FY2020: Net Sales
Outlook for FY2020 : Net Sales ▲0.8 billion +0.6 billion 20
Slide 21: Outlook for FY2020: Profit
Outlook for FY2020 : Profit 21
Slide 22: Outlook for FY2020: Full Year
Outlook for FY2020 : Full Year Million Yen FY2019 FY2020 FY2020 FY2020 Full Year Full Year 1st half 2nd half Results Outlook Outlook Outlook Net Sales 42,498 42,500 20,300 22,200 Operating 406 600 ▲500 1,100 Income/ Loss Income/ Loss ▲56 200 ▲650 850 before Tax Net Income/ ▲251 100 ▲700 800 Loss Exc
Slide 23: Target for Medium-Term
Target for Medium-Term Wy NIK Net Sales : ¥50 billion Operating Profit Ratio : 10% ae gS Autonomous synthesizers, driving, Sensors ADAS 5G Smartphones, loT 5G Base Stations Photolithographic Process Lower Phase Noise High Quality Synthetic Quartz Crystal New Products Development Production System Re
Slide 24: We look forward to your continuing support in the years ahead
We look forward to your continuing support in the years ahead. Thank you For investor relations related inquiries, please contact: Corporate Planning Group Nihon Dempa Kogyo Co., Ltd. E-mail: irmaster@ndk.com 24