Slide 1: Consolidated Results 1Q FY2007
SUMIDA CORPORATION Consolidated Results 1Q FY2007 (January1, 2007-March 31, 2007) ＣＦＯ Rocky Matsuda May 8, 2007 1
Slide 2: Consolidated Results 1Q, FY2007
１. Consolidated Results 1Q, FY2007 （Unit: millions of yen） 1Q/07 1Q/06 Achievement ratio YOY Results Projections Results Net Sales 16,888 16,400 14,806 103.0% 114.1% Operating 705 900 1,082 78.3% 65.2% income O.I.R 4.2% 5.5% 7.3% － － Ordinary 563 650 1,206 86.6% 46.7% income Net income 355 390 727 9
Slide 3: Sales Breakdown
２. Sales Breakdown 1Ｑ/07 1Ｑ/06 Change （¥million） (¥million） （¥million） (%) Power Solution 1,062 765 297 38.8 Power Inductor 3,690 3,342 348 10.4 Signal 1,212 1,025 187 18.2 Magnetics total 5,964 5,132 832 16.2 Inverter 1,412 1,823 (411) (22.5) Automotive 2,294 1,950 344 17.6 Other 1,030 639 391 61.2
Slide 4: Sales Breakdown
３. Sales Breakdown 1Ｑ/07 1Ｑ/06 Change （¥million） (¥million） （¥million） (%) Magnetics 5,964 5,132 832 16.2 Inverter 1,412 1,823 △411 △22.5 Automotive 2,294 1,950 344 17.6 Other 1,030 639 391 61.2 Sub-total 10,700 9,544 1,156 12.1 VOGT Components 5,563 4,661 902 19.4 VOGT ＥＭＳ 625 601 24 4.0 Total 16,8
Slide 5: Breakdown of Operating income changes
４. Breakdown of Operating income changes （¥million） Sales for Coil at 1Q/07：10,700×O.I.R at 1Q/06：15.7％＝ 1,680 Operating income for Coil （Results） 1,161 （Change） △519 【Changes in OEM for VOGT △18 （temporary）◎ operating income】 Preoperating cost of SUMIDA SHINTEX △19 （temporary) Influence of Chinese
Slide 6: Sales Price & Material Cost
５．Sales Price & Material Cost Sales Price 4Q/06 → 1Q/07 Magnetics 1.5％down Inverter 1.75%down Automotive 1.85%up 0.77%down Material Cost Magnetics 2.1％down Inverter 0.1%down Automotive 6.53%down 3.08%down 6
Slide 7: Breakdown of Operating Income
６. Breakdown of Operating Income （¥million, ％） 1Q/07 1Q/06 Change Coil 1,161 1,502 (341) O.I.R.（％） 10.8 15.7 － VOGT Components 238 253 (15) O.I.R.（％） 4.2 5.4 － VOGT EMS (7) 62 (69) O.I.R.（％） (1.1) 10.3 － Elimination (687) (735) 48 Total 705 1,082 (377) O.I.R.（％） 4.2 7.3 － 7
Slide 8: Balance Sheet
７. Balance Sheet （¥million） Short-term loans 13,960 Bond（Alpine bond） 8,000 Long-term loans 4,727 Total debt 26,687 Cash and cash equivalent 6,902 Net debt 19,785 Bond 8,000 Promotion of conversion Reduction in assets Debt 11,785 19,785 8
Slide 9: Statement of Cash Flows
８. Statement of Cash Flows 1.Operating activities Increase of inventory with production transfer 185 million yen 2.Investing activities Up of ratio of shareholding of Panta GmbH （60％→70％） Invest to C-Lab 354 million yen 3.Financing activities － 9
Slide 10: Projections for 2Q FY2007 Consolidated
９. Projections for 2Q FY2007 Consolidated （¥million） 2Ｑ/07 2Ｑ/06 Change Projections Results Net sales 17,300 14,953 15.7% Operating income 1,000 1,125 △11.1% O.I.R. 5.7% 7.5% － Ordinary income 800 1,234 △35.2% Net income 480 586 － （JPY115.00/USD） 10
Slide 11: Projections for FY2007 Consolidated
10. Projections for FY2007 Consolidated （¥million, ％） FY2007 FY2006 Change Projections Results Net sales 69,000 63,508 8.6％ Operating income 4,500 4,171 7.9% O.I.R 6.5% 6.6% － Ordinary income 4,000 4,505 △11.2% Net income 2,400 2,182 10.0% （JPY115.00/USD） 11
Slide 12: Quarterly Projections for FY2007 Consolidated
11. Quarterly Projections for FY2007 Consolidated （¥million） 1Q 2Q 3Q 4Q FY2007 Net sales 16,900 17,300 17,800 17,200 69,200 Operating income 700 1,000 1,400 1,460 4,560 Ordinary income 560 800 1,350 1,400 4,110 Net income 350 480 810 840 2,480 12
Slide 13: Consolidated Results 1Q FY2007
SUMIDA CORPORATION Consolidated Results 1Q FY2007 (January1, 2007-March 31, 2007) Ｃ EＯ Shigeyuki Yawata May 8, 2007 13
Slide 14: FY2006 Sumida Group Sales Profit Ratio
FY２００６ Sumida Group Sales Profit Ratio Former VOGT Cost Center Total Sumida EBITDA １４．７％ １１．５％ －１．９％ １１． ratio(%) ４％ Operating １０．０％ ５．２％ －１．９％ ６．６％ Profit (%) 14
Slide 15: FY2007 Sumida Group Business Forecast
FY ２００７ Sumida Group Business Forecast Sales ６９ Billion Yen （１００．０％） EBITDA ７.８ Billion （１１．３％） Yen Operating ４.５ Billion （６．５％） Profit Yen Ordinary ４ Billion Yen （５．８％） Profit Net Profit ２.４ Billion （３．５％） Yen 15
Slide 16: Improvement of Operating income toward Q4
Improvement of Operating income toward Q4 Target EBITDA10%～14% on （Mil Yen） quarterly basis 1,800 1,600 1,400 1,200 1,000 800 600 400 200 0 2007.1Q 2007.4Q Profit from increased sales and other Improvement of productivity Divestment of non profitable subsidiary Profit from factory shutdown and consi
Slide 17: FY2007 Extraordinary Profit and Restructuring Cost
FY２００７ Extraordinary Profit and Restructuring Cost IN OUT Sales of unused asset Mainly restructuring cost Sales of business －Review of production sites －Consolidation of production sites and other Approximately Approximately ３～４ billion yen ３.３～３.５ billion yen capital gain （of which approximately 50
Slide 18: Completion of 1B7
Completion of １B７ FY２００７ （Unit: million yen） FY2007 FY2007 FY2007 Q1 result Q2 forecast Q4 forecast (Profit Sales Ratio) (Profit Sales Ratio) (Profit Sales Ratio) Net Sales １６，８８８(100.0%) １７，３００(100.0%) １７，２００(100.0%) Operating ７０５(4.2%) １，０００(5.8%) １，４６０(8.5%) income Ordinary income ５６３(3.3%) ８００(4
Slide 19: To be successful in coil business, we must compete and increase our market share
To be successful in coil business, we must compete and increase our market share Condition for success 1. Ability to respond to Customer Request （Quality / Lead time / Pricing） 2. Ability to quickly accommodate to new application 3. Ability to increase productivity and to seek for low cost productio
Slide 20: Outline of long-term strategy
Outline of long-term strategy （Response Capability ・ Product Development Capability） to strengthen the system for small-lot manufacturing of multi-product ¾ to further strengthen application development capability in China （C- Lab） ¾ to further improve the coalition of sales, development and manuf
Slide 21: Outline of long-term strategy
Outline of long-term strategy （Product Development Capability ・ Manufacturing Capability） to strengthen application development department in China （strengthen competitiveness of development cost） to reduce manufacturing cost in China ¾ to strengthen coordination with sub-contractors ¾ to improv
Slide 22: C-Lab
C – Lab Kou Shui Heng area, Panyu, China Floor area: 31,811㎡ Development Capability 300 ⇒ 600 people in charge of development Development Facility is the same level or more of Japan (M-Lab) 22