Slide 1: Financial Information
Financial Information HORIBA, Ltd. August, 2022 © 2022 HORIBA, Ltd. All rights reserved. 1
Slide 2: Contents
Contents ◼ 2022 First Half Results ◼ 2022 Forecasts ◼ Outlines by Business Segment ◼ Topics – Contribution to Social Issues by Cross-Segment Approach ◼ Shareholder Return ➢ Financial Data ➢ Corporate Profile © 2022 HORIBA, Ltd. All rights reserved. 2
Slide 3: Contents
Contents ◼ 2022 First Half Results ◼ 2022 Forecasts ◼ Outlines by Business Segment ◼ Topics – Contribution to Social Issues by Cross-Segment Approach ◼ Shareholder Return ➢ Financial Data ➢ Corporate Profile © 2022 HORIBA, Ltd. All rights reserved. 3
Slide 4: Review of First Half of 2022
Review of First Half of 2022 ◆ Procurement difficulties and rising purchasing prices ◆ Increasingly complex international situations such as the Russia-Ukraine war and energy issues External ◆ Global structural reform of the semiconductor industry from the economic security Events perspective ◆ Grow
Slide 5: 2022 First Half Results
2022 First Half Results (Billions of yen) vs 2021 2022 vs 2021 Previous Forecasts 1st half 1st half Results 1st half Results Forecasts Changes Changes (Jan-Jun) (Jan-Jun) (as of May 13) Sales 101.3 119.0 114.9 +13.6 - 4.0 Operating Profit 13.0 17.0 16.2 +3.1 - 0.7 O.P.% 12.9% 14.3% 14.1% ＋1.2p -0.2p
Slide 6: 2022 First Half Results by Segment
2022 First Half Results by Segment (Billions of yen) Sales Operating Profit 2021 2022 vs 2021 2021 2022 vs 2021 1st half 1st half 1st half 1st half Results Results Changes Results Results Changes (Jan-Jun) (Jan-Jun) (Jan-Jun) (Jan-Jun) Auto 24.9 25.6 +0.7 -1.1 -1.7 -0.5 P&E 10.0 10.1 +0.1 1.1 0.6 -0
Slide 7: B/S, CF
2022 First Half Results (B/S, CF) ◆Total assets were ¥398.3bn, up ¥26.8bn, by increasing B/S inventory ◆Equity ratio: 56.2% (compared to the end of Dec. 2021) ◆Operating CF: Cash in ¥10.2bn due to operating profit Free CF: + ¥7.1bn CF ◆Investing CF: Cash out ¥3.0bn due to capital investments ◆Financ
Slide 8: Contents
Contents ◼ 2022 First Half Results ◼ 2022 Forecasts ◼ Outlines by Business Segment ◼ Topics – Contribution to Social Issues by Cross-Segment Approach ◼ Shareholder Return ➢ Financial Data ➢ Corporate Profile © 2022 HORIBA, Ltd. All rights reserved. 8
Slide 9: HORIBA's Assumptions Regarding Market Environment
HORIBA’s Assumptions Regarding Market Environment Expect a recovery in economic activities living-with/post COVID-19. General Remain concerned about procurement issues such as material shortages and rising prices, as well as increasingly complex international affairs. Expect an increase in R&D inves
Slide 10: 2022 Forecasts
2022 Forecasts (Billions of yen) 2021 2022 Changes Previous Forecasts vs Previous Results Forecasts vs 2021 (as of Aug. 12) Forecasts (as of May 13) Sales 224.3 260.0 260.0 +35.6 - Operating Profit 32.0 38.0 40.0 +7.9 +2.0 O.P.% 14.3% 14.6% 15.4% +1.1p ＋0.8p Ordinary Profit 32.0 37.5 40.0 +7.9 +2.5
Slide 11: 2022 Forecasts by Segment
2022 Forecasts by Segment (Billions of yen) Sales Operating Profit 2021 2022 Changes 2021 2022 Changes Previous Previous Forecasts vs Previous Forecasts vs Previous Results Forecasts vs 2021 Results Forecasts vs 2021 (as of Aug. 12) Forecasts (as of Aug. 12) Forecasts (as of May 13) (as of May 13) A
Slide 12: Contents
Contents ◼ 2022 First Half Results ◼ 2022 Forecasts ◼ Outlines by Business Segment ◼ Topics – Contribution to Social Issues by Cross-Segment Approach ◼ Shareholder Return ➢ Financial Data ➢ Corporate Profile © 2022 HORIBA, Ltd. All rights reserved. 12
Slide 13: Automotive: First Half Results and 2022 Forecasts
Automotive First Half Results and 2022 Forecasts (Billions of yen) 2022 Full Year Forecasts *1 Mechatronics 2022 First Half Results Medium- to long-term outlook *2 Engineering Consultancy & Testing ◼ Orders were on a recovery trend; the timing of shipments and ◼ Remain concerned about procurement di
Slide 14: Process & Environment: First Half Results and 2022 Forecasts
Process & Environment First Half Results and 2022 Forecasts (Billions of yen) 2022 Full Year Forecasts 2022 First Half Results Medium- to long-term outlook *1 Carbon dioxide Capture, Utilization and Storage *2 Total Organic Carbon ◼ Business was strong but was affected by procurement difficulties. ◼
Slide 15: Medical-Diagnosis: First Half Results and 2022 Forecasts
Medical- Diagnosis First Half Results and 2022 Forecasts (Billions of yen) 2022 Full Year Forecasts 2022 First Half Results Medium- to long-term outlook ◼ Sales of test reagents remained sluggish due to the ◼ Expect containment of COVID-19, leading to full lingering impact of COVID-19. normalization
Slide 16: Semiconductor: First Half Results and 2022 Forecasts
Semiconductor First Half Results and 2022 Forecasts (Billions of yen) 2022 Full Year Forecasts 2022 First Half Results Medium- to long-term outlook ◼ Semiconductor manufacturers further boosted capital ◼ Expect an increase in sales to SPE manufacturers on the investment. Significant increase in sale
Slide 17: Scientific: First Half Results and 2022 Forecasts
Scientific First Half Results and 2022 Forecasts (Billions of yen) 2022 Full Year Forecasts 2022 First Half Results Medium- to long-term outlook ◼ Strong demand for and increased sales of optical ◼ Concerned about procurement difficulties and rising prices, components for semiconductor production eq
Slide 18: Contents
Contents ◼ 2022 First Half Results ◼ 2022 Forecasts ◼ Outlines by Business Segment ◼ Topics – Contribution to Social Issues by Cross-Segment Approach ◼ Shareholder Return ➢ Financial Data ➢ Corporate Profile © 2022 HORIBA, Ltd. All rights reserved. 18
Slide 19: Solution Provider Beyond "Life Cycle Management"
Contribution to Social Issues by Cross-Segment Approach Mid-Long Term Management Plan ”MLMAP2023” Market Oriented Business To develop analysis and measurement solutions, utilizing HORIBA’s core technologies, in the leading three business fields of the mega trend Energy & Environment Bio & Healthcare
Slide 20: HORIBA FuelCon New Facility Launched Operation
Alternative Energy Conversion HORIBA FuelCon New Facility Launched Operation Response to needs to realize carbon neutrality ✓ Named "HORIBA eHUB" as a global hub for new energy business. ✓ Production capacity to be tripled by the end of 2023. Started mass production of electrolyzers that generate hy
Slide 21: Contributing to Next-Generation Mobility Development
Mobility Solution Business Contributing to Next-Generation Mobility Development Demand growth for advanced vehicle engineering services Continuous investment immediately after acquisition Advanced Emission Test Facilities Advanced Battery Test Facilities Environmental Wind Tunnel Laboratory Vehicle
Slide 22: "HORIBA will Never Stop Combustion Measurement"
Service Lifecycle Management "HORIBA will Never Stop Combustion Measurement” Contribute to energy issues caused by increasingly complex international affairs Respond to demand for new vehicles in the transition period to vehicle electrification Contribute to improving the efficiency of Thoroughly su
Slide 23: Development of Healthcare Business
Bio & Healthcare Development of Healthcare Business <Medical Business> *IVD: In Vitro Diagnostics Medical Business – Aiming to expand business in the IVD* field 【Medical Business】 Hematology and CRP analyzer “Yumizen H330 CRP” Global network for product development and reagent production ✓ Simultane
Slide 24: Business Expansion in Life-science Field
Bio & Healthcare Business Expansion in Life-science Field Proactive approach to the food and pharmaceutical industries Residual chlorine concentration monitor “UP-400CL” Microbial rapid inspection device “Rapica” ✓ An online monitor that manages the chlorine ✓ Inspects microorganisms concentration o
Slide 25: Expanding Cross-segment Business Opportunities for the Semiconductor Market
Materials & Expanding Cross-segment Business Opportunities Semiconductor for the Semiconductor Market Contribute to productivity improvement in the semiconductor manufacturing process CEMS for semiconductor factories* AMC* monitoring system 【Under development】 ✓ AMC affects the performance of produc
Slide 26: Growth Investment in Europe
Cross-segment Growth Investment in Europe Respond to increasing demand for analysis and measurement in various industries Drive the market as a leading company with spectroscopic technology ✓ Relocated the custom grating production base in Saclay near Paris to the "HORIBA Europe Research Center“. ✓
Slide 27: Contents
Contents ◼ 2022 First Half Results ◼ 2022 Forecasts ◼ Outlines by Business Segment ◼ Topics – Contribution to Social Issues by Cross-Segment Approach ◼ Shareholder Return ➢ Financial Data ➢ Corporate Profile © 2022 HORIBA, Ltd. All rights reserved. 27
Slide 28: Shareholder Return
Shareholder Return Dividend payment + Share buyback = 30% of Consolidated net profit to be targeted Basic policy Remaining earnings are retained internally for strategic investment (i.e. facilities, M&A) Dividends per share and Share buybacks ⚫ 2020 Results 90yen [Interim 30yen/Year-end 60yen] ⚫ 202
Slide 29: Contents
Contents ◼ 2022 First Half Results ◼ 2022 Forecasts ◼ Outlines by Business Segment ◼ Topics – Contribution to Social Issues by Cross-Segment Approach ◼ Shareholder Return ➢ Financial Data ➢ Corporate Profile © 2022 HORIBA, Ltd. All rights reserved. 29
Slide 30: Exchange Rate Trend / Forecasts / Impacts
Exchange Rate Trend / Forecasts / Impacts 2021 2022 Previous Actual Forecasts 1H Annual Forecasts vs 2021 (as of 13 May) 1H 2H Annual USD 107.82 109.90 124 123.14 136.86 130 +20.10 EUR 129.89 129.91 133 134.39 135.61 135 +5.09 Exchange rate impact Exchange rate impact for 2022 Forecasts (2022 First
Slide 31: Operating Profit Analysis (vs 2021)
Operating Profit Analysis (vs 2021) (Billions of yen) 2021 2022 Jan. – Jun. Jan. – Jun. Exchange Exchange Increase Increase Increase Increase impact for impact for R&D Other 13.06 Sales COGS Gross Profit Expense Expense Expense 16.26 ＋6.59 -5.04 +4.56 -1.35 -0.34 -1.22 Increase Exchange Increase Gro
Slide 32: Capital Investment, Depreciation, R&D
Capital Investment, Depreciation, R&D (Billions of Yen) 2021 2022 2022 Previous Forecasts vs Actual Actual Forecasts Previous (as of Aug 12) Jan - Jun (as of May 13) Forecasts Capex 12.4 15.0 15.0 - 4.0 Depreciation and amortization 10.4 11.0 11.0 - 5.5 R&D expenses 16.7 19.0 19.0 - 8.5 to net sales
Slide 33: Cash Balance
(Consolidated basis, each end of period) Cash Balance (Billions of Yen) Total Loan Balance Cash Bond 139.9 Cash redemption 135.0 80.1 ￥15.0bn Cash 79.6 （2026） 77.0 70.3 114.5 ￥15.0bn （2029） Bonds Bonds Cash Bonds 30.0 95.6 30.0 30.0 Borrowed from Bonds 45.0 Banks Long 25.0 Long 25.2 ¥15.1bn Long 37.
Slide 34: Contents
Contents ◼ 2022 First Half Results ◼ 2022 Forecasts ◼ Outlines by Business Segment ◼ Topics – Contribution to Social Issues by Cross-Segment Approach ◼ Shareholder Return ➢ Financial Data ➢ Corporate Profile © 2022 HORIBA, Ltd. All rights reserved. 34
Slide 35: Five Business Segments & Major Products
Five Business Segments & Major Products Figures are the sales composition ratio for FY 2021 Process & Automotive Medical Semiconductor Scientific Environmental （27%） （12%） （39%） （13%） （9%） Emission Measurement Automatic Blood Cell Stack Gas Analyzers Mass Flow Controllers Raman Imaging Device Syste
Slide 36: Global Network
Global Network Sales by region (as of Dec 2021) ● : Major business hubs Americas Europe Asia Japan 15% 20% 35% 30% Employee headcount by region (as of Dec 2021) Americas Europe Asia Japan 12% 32% 19% 37% Number of companies （as of Dec 31, 2021) 49 Overseas sales ratio （as of Dec 2021) 70% Foreign em
Slide 37: Achieving Sustainable Growth Through M&A
Achieving Sustainable Growth Through M&A Major M&As 1996 1997 2005 2015 2018 ABX （France） Jobin Yvon SCHENCK DTS MIRA （UK） FuelCon 【Medical】 （France） （Germany） 【Automotive】 （Germany） 【Scientific】 【Automotive】 【Automotive】 Trends in consolidated sales 224.3 billion yen Six-fold growth in corporate sc
Slide 38: HORIBA's Business Domain
HORIBA’s Business Domain Space Planetary probe Development Auroral analysis Agriculture New Material IT Infrastructure Health and Security Plant factory Development Diagnostic equipment IoT, Cloud, 5G Soil analysis Secondary battery New drug development Automation informatics Food safety Biomaterial
Slide 39: © 2022 HORIBA, Ltd. All rights reserved.
© 2022 HORIBA, Ltd. All rights reserved. 39