FUJIFILM Holdings Corp · TSE:4901
FUJIFILM — Investor Day (April 2024)
46 slides from FUJIFILM's investor day presentation, Apr 17, 2024
Slide 1: VISION2030 FY2024-2030 Medium-term Management Plan
Fujifilm Internal Use Only 開 示 範 囲： FFグループ 再配布禁止 作 成 / 日 付： ESG推進 CP&RMG 富士幸太郎('23.5.15) 取 扱 指 定： Update date：May 9th, 2024 FY2024-2030 Medium-term Management Plan Correction VISION2030 Page 44 Appendix-3 | VISION2030 : ROIC and Depreciation April 17, 2024 Forward-looking statements, such as those r
Slide 2: FUJIFILM Holdings Corporation
FUJIFILM Holdings Corporation
Slide 3: Agenda
01 Recap of Medium-term Management Plan “VISION2023″ New Medium-term Management Plan “VISION2030″ 2-1 Overview Agenda 2-2 Towards a Sustainable Society 02 2-3 Portfolio Management 2-4 Targets and KPI 2-5 Financial Capital Strategy 2-6 Strategy by Business FUJIFILM Holdings Corporation 3
Slide 4: Agenda
01 Recap of Medium-term Management Plan “VISION2023″ New Medium-term Management Plan "VISION2030″ 2-1 Overview Agenda 2-2 Towards a Sustainable Society 02 2-3 Portfolio Management 2-4 Targets and KPI 2-5 Financial Capital Strategy 2-6 Strategy by Business FUJIFILM Holdings Corporation 4
Slide 5: Recap of VISION2023
FY2021-FY2023 Medium-term Management Plan 1-1 | Recap of VISION2023 ⃞ Achieved target of VISION2023 in Revenue and Operating income one year ahead of schedule. FY2023 is also expected to achieve a record high. ⃞ KPIs for Capital Efficiency were not achieved, due to large capital expenditure in Bio-C
Slide 6: Recap of VISION2023: By Segment
FY2021-FY2023 Medium-term Management Plan 1-2 | Recap of VISION2023: By Segment Achieved steady development in Healthcare and Electronic Materials and set Imaging on a growth path, while the challenge lies in improving resilience to volatility and enhancing profitability in each business field. A A-
Slide 7: Recap of VISION2023: Sustainability (non-financial)
FY2021-FY2023 Medium-term Management Plan 1-3 | Recap of VISION2023: Sustainability (non-financial) Toward sustainable growth and enhancement of corporate value over the medium to long term, We have worked to build a framework to continue to generate innovation and sources of value. Expect to redu
Slide 8: Agenda
01 Recap of Medium-term Management Plan “VISION2023″ New Medium-term Management Plan “VISION2030″ 2-1 Overview Agenda 2-2 Towards a Sustainable Society 02 2-3 Portfolio Management 2-4 Targets and KPI 2-5 Financial Capital Strategy 2-6 Strategy by Business FUJIFILM Holdings Corporation 8
Slide 9: Overview
02-1 New Medium-term Management Plan "VISION2030” Overview FUJIFILM Holdings Corporation 9
Slide 10: What Should We Be in 2030
2-1-1 | What Should We Be in 2030 Enhance corporate value with focusing on Profitability and Capital Efficiency. As a collection of global top-tier businesses, we will change the world step-by-step and create value (more smiles) for various stakeholders. 01 02 Focus on Growth Investment and Profitab
Slide 11: The Fujifilm Group's Approach to CSR
2-1-2 | The Fujifilm Group's Approach to CSR Sustainable Value Plan 2030 Under the SVP2030, the Fujifilm Group will contribute to realize a sustainable society by resolving social issues through innovative technologies, products, and services. Sustainable Value Plan 2030 (SVP2030) Long-term goal, wh
Slide 12: VISION2030 and our Group's Purpose
2-1-3 | VISION2030 and our Group’s Purpose FUJIFILM Holdings Corporation 12
Slide 13: Materiality and Direction of Our Efforts
2-1-4 | Materiality and Direction of Our Efforts We have set targets in each of four priority areas of the Environment, Health, Daily Life and Work Style, and are working to resolve social issues through our businesses. ▍Priority Issues (Materiality) ▍Priority Issues (Materiality) Address climate
Slide 14: Towards a Sustainable Society
02-2 New Medium-term Management Plan "VISION2030” Towards a Sustainable Society FUJIFILM Holdings Corporation 14
Slide 15: Towards a Sustainable Society
2-2-1 | Towards a Sustainable Society With the belief that a commitment to the environment is a qualification for participation in global business, addressing issues in four areas in an integrated manner. 1. GHG (Scope 1+2) emission reduction 1. Conservation of water resources • FY2026 reduction tar
Slide 16: Portfolio Management
02-3 New Medium-term Management Plan "VISION2030” Portfolio Management FUJIFILM Holdings Corporation 16
Slide 17: Policy of Portfolio Management
2-3-1 | Policy of Portfolio Management As a collection of global top-tier businesses, we will change the world step-by-step and create value (more smiles) for various stakeholders by strengthening the business portfolio management. ▍ Business Portfolio Management ■Healthcare ■Electronics ■Business I
Slide 18: Reorganization of Segment
2-3-2 | Reorganization of Segment Reorganize ″Graphic Communications” into Business Innovation segment. This is to develop business as the only ″Solution Partner” that can cover all areas from office to commercial and industrial printing. ～ FY2023 FY2024 ～ Healthcare Healthcare Medical Systems Medic
Slide 19: Targets and KPI
02-4 New Medium-term Management Plan "VISION2030” Targets and KPI FUJIFILM Holdings Corporation 19
Slide 20: Financial Target
2-4-1 | Financial Target Aggressive investment in Bio-CDMO and Semiconductor Materials in the three years to FY2026 will generate returns from FY2027 onwards, aiming for a company-wide operating margin of 15% in FY2030. FY2023 FY2024 FY2026 FY2030 (Billions of yen) Forecast Change from CAGR As of 20
Slide 21: Financial Target: By Segment
2-4-2 | Financial Target: By Segment FY2023 FY2024 2024年3月期 FY2026 2024年3月期 FY2030 (Billions of yen) Forecast Change from CAGR As of 2024/4/17 FY2023 (FY2023→FY2026) Direction Healthcare Revenue 975.0 1,010.0 +3.6% 1,200.0 +7.2% Operating Income 97.0 112.0 +15.5% 140.0 +13.0% approx.20％ Operating Ma
Slide 22: Non-Financial Target
2-4-3 | Non-Financial Target Environment Health GHG emissions from our own energy, The entire product lifecycle Introduction of Products and Services Health Checkup Center NURA compared to FY2019 GHG emissions, compared to FY2019 Using medical AI technology Number of locations opened (FY2030) (FY203
Slide 23: Financial Capital Strategy
02-5 New Medium-term Management Plan "VISION2030” Financial Capital Strategy FUJIFILM Holdings Corporation 23
Slide 24: Cash Allocation
2-5-1 | Cash Allocation 1.9 trillion yen* investment in growth over the next 3 years, exceeding VISION2023 Out of this amount, 1.6 trillion yen will be allocated to "New /Future Potential” and “Growth Driver" businesses *Total R&D and capital expenditures to be invested in FY2024-FY2026 March 31, 20
Slide 25: Capital Expenditures and Free Cash Flows
2-5-2 | Capital Expenditures and Free Cash Flows Additional large investment in Bio-CDMO and Semiconductor Materials to capture strong market demand Free Cash Flow will turn positive in FY2026 after heavy investment phase Capital Expenditure and Free Cash Flow Trends ¥1.08 trillion ¥1.35 trillion (B
Slide 26: Shareholder Return Policy
2-5-3 | Shareholder Return Policy The basic policy is to return profits to shareholders through dividends by balancing business growth and financial discipline. Buybacks will be considered and implemented based on the status of cash flow, share price, and other factors. TSR (Total Shareholder Return
Slide 27: Management Conscious of Cost of Capital and Stock Price
2-5-4 | Implement Management That Is Conscious of Cost of Capital and Stock Price By transforming the business portfolio and improving profitability and efficiency through previous medium-term plans, P/B (Price to book ) Ratio raised to a stable level above 1.0x Market Price Shareholder’s equity P/B
Slide 28: Strategy by Businesses
02-6 Healthcare New Medium-term Management Plan "VISION2030” Electronics Strategy by Businesses Business Innovation Imaging FUJIFILM Holdings Corporation 28
Slide 29: Healthcare – Medical Systems
2-6-1 | Healthcare – Medical Systems ▍ Medical Systems Long-term competitive Shift to focusing on "prevention, early diagnosis, and early treatment" as a means of curbing the escalating medical expenditure Increased need for operational efficiency in hospital management against a backdrop of phy
Slide 30: Healthcare – Bio-CDMO
2-6-1 | Healthcare – Bio-CDMO ▍ Bio-CDMO Long-term As market of antibody drugs is growing (CAGR+8%), backed by strong investment by pharmaceutical companies, competitive CDMO companies are required to have ample supply capacity and high productivity environment In addition to supply capacity, "t
Slide 31: Healthcare – Bio-CDMO
2-6-1 | Healthcare – Bio-CDMO ▍ Bio-CDMO 8 x 20,000L tanks Aim to achieve 700 billion yen in revenue, with the contribution of new additional facilities in North Carolina, U.S., which will start operation in FY2028. Achieve stable and high profitability by increasing the rate of large tanks. Free ca
Slide 32: Healthcare – Bio-CDMO
2-6-1 | Healthcare – Bio-CDMO ▍ Bio-CDMO Build an Earning Base (FY24-26) : Smoothly launch new large facilities. Structural reforms of small to mid- facilities in FY24 to rebuild the earnings base. Expand Profit (FY27-30) : Expand large scale tanks operations. Reap profits in line with demand recove
Slide 33: Healthcare - Life Sciences
2-6-1 | Healthcare - Life Sciences ▍ Life Science Long-term Driven by high-growth biopharmaceutical demand, materials for drug discovery support and drug manufacturing also continue to grow competitive Differentiation and gaining a competitive advantage by providing solutions combining iPS cells
Slide 34: Electronics - Semiconductor Materials
2-6-2 | Electronics - Semiconductor Materials ▍ Semiconductor Materials Long-term competitive Market growth for semiconductors supporting DX/AI technology will continue at a CAGR of +7% from 2023 onward environment In addition to miniaturization, technology evolution in the back-end process for
Slide 35: Electronics - Semiconductor Materials
2-6-2 | Electronics - Semiconductor Materials ▍ Semiconductor Materials Revenue of Semiconductor Materials 500.0 Bln yen 1 2 FY2030 Robust Line-up covering 300.0 Global a wide range of Bln yen FY2026 Supply Chain processes 240 .0 Bln yen FY2024 14％ CAGR (FY2023→FY2030) Become the world's most truste
Slide 36: Electronics – Display Materials and Others
2-6-2 | Electronics – Display Materials and Others ▍ Display Materials and Other Electronics Materials Long-term Materials are required to support the explosion of communication volume and changes in energy infrastructure, competitive in addition to the development of Human Machine Interface (HMI)
Slide 37: Business Innovation
2-6-3 | Business Innovation ▍ Business Innovation Print volumes on MFPs and printers are downwards due to digitization and hybrid work, although decline in A3 color is moderate due to replacement Long-term from monochrome *MFP : Multifunction Printer competitive While the need for DX is increasi
Slide 38: Business Innovation Strategies
2-6-3 | Business Innovation ▍ Business Strategies 〉 Business Solutions While growth in "IT/Business solutions" centered on new in-house solutions (IT Expert Services, FUJIFILM IWpro, etc.) for SMEs, expand the "ERP solutions" based on D365 to acquire a new earning base Provide new value to custo
Slide 39: Imaging
2-6-4 | Imaging ▍ Imaging Long-term Diversification of photographic and visual expressions, products and solutions due to technological progress, changes in the social competitive environment and changes in user awareness and behavior Increased demand for realistic communication, analogue sensib
Slide 40: FUJIFILM Holdings Corporation
FUJIFILM Holdings Corporation 40
Slide 41: Appendix
New Medium-term Management Plan "VISION2030” Appendix FUJIFILM Holdings Corporation 41
Slide 42: Full Year Forecast for FY2023 (as of April 17 2024)
Appendix-1 | Full Year Forecast for FY2023 (as of April 17 2024) ▍ Revenue by Business (Billions of yen) FY2023 FY2023 FY2022 Change from Change from Previous forecast Revised forecast Actual previous year previous forecast (As of 2024/2/8) (As of 2024/4/17) Healthcare 928.6 970.0 975.0 46.4 +5.0% 5
Slide 43: VISION2030: Revenue by Business
Appendix-2 | VISION2030 : Revenue by Business ▍ Revenue by Business (Billions of yen) FY2023 FY2024 Change from FY2026 Revised forecast VISION2030 previous year VISION2030 (As of 2024/4/17) Healthcare 975.0 1,010.0 35.0 +3.6% 1,200.0 Medical Systems 660.0 670.0 10.0 +1.5% 710.0 Bio CDMO 200.0 215.0
Slide 44: VISION2030: ROIC and Depreciation
Appendix-3 | VISION2030 : ROIC and Depreciation ▍ ROIC (Billions of Yen) FY2023 FY2024 FY2026 Revised forecast VISION2030 VISION2030 (As of 2024/4/17) Healthcare 3.6% 3.7% 4.1% Electronics 7.0% 8.2% 9.3% Business Innovation 4.8% 5.0% 6.7% Imaging 40.8% 39.3% 37.2% *ROIC per segment = NOPAT/(Working
Slide 45: VISION2030: Capital Expenditure and R&D Expense
Appendix-4 | VISION2030 : Capital Expenditure and R&D Expense ▍ Capital Expenditure and R&D Expense (FY2024～FY2026) (Billions of yen) Capital expenditure R&D expenses Total Healthcare 863.0 186.0 1,049.0 Electronics 180.0 97.0 277.0 Business Innovation 198.0 164.0 362.0 Imaging 81.0 42.0 123.0 Corpo
Slide 46: FUJIFILM Value from Innovation
FUJIFILM Value from Innovation