Terumo Corporation · TSE:4543

Terumo — Q1 FYE March 2013 Earnings Presentation

18 slides from Terumo's earnings presentation, Jul 31, 2012

  1. Slide 1: Financial Results for the First Quarter of the Fiscal Year Ending March 31, 2013

    Financial Results for the First Quarter of the Fiscal Year Ending March 31, 2013 Terumo Corporation July 31, 2012

  2. Slide 2: Consolidated Q1 Results

    Consolidated Q1 Results (billions of yen) Q1 Q1 YoY% Mar. 2012 Mar. 2013 Net Sales 95.6 95.9 + 0% Gross Profit 50.9 (53.2%) 51.7 (53.9%) + 2% SG&A Expenses 28.4 (29.7%) 30.2 (31.5%) + 6% R&D Expenses 5.1 ( 5.3%) 6.0 ( 6.3%) +18% Operating Income 17.4 (18.2%) 15.5 (16.1%) -11% (Excl. Amortization of

  3. Slide 3: Net Sales (by Region)

    Net Sales (by Region) (billions of yen) Consolidated：+0% (+3%) Q1 Q1 Mar. 2012 Mar. 2013 ( )Excluding Foreign Exchange Japan Outside of Japan -9% 19.5 +2% -1% Europe (+0%) 17.7 (+4%) Americas +3% 19.9 (+5%) 20.5 +30% 3.2 44.7 45.5 51.0 50.4 China (+32%) 4.2 Asia -5% 8.4 & Others (+0%) 8.0 2012/7/31

  4. Slide 4: Net Sales (by Business Segment)

    Net Sales (by Business Segment) (billions of yen) Q1 Q1 Mar. 2012 Mar. 2013 +1% +3% ( )Excluding Foreign Exchange (+3%) (+7%) -8% (-5%) 38.2 37.6 41.1 40.0 18.0 16.6 General Cardiac & Blood Hospital Vascular Management 2012/7/31 ©Terumo Corporation 4/18

  5. Slide 5: Net Sales (by Business Segment, JP/Outside JP)

    Net Sales (by Business Segment, JP/Outside JP) (YoY %): Excluding Foreign Exchange Business Japan Outside of Japan Segment General 31.2 billion yen 6.9 billion yen Hospital （ 4%） （-3%） Cardiac & 11.7 billion yen 29.3 billion yen Vascular （-2%） （11%） Blood 2.6 billion yen 14.1 billion yen Management

  6. Slide 6: Gross Profit Variance Analysis

    Gross Profit Variance Analysis 0.8 2.3 Foreign 1.0 Exchange Prices 1.0 Production 1.0 volume Cost for Quality System 0.2 Shift to High improvement Cost Profit Products reduction 53.9% 53.2% Q1 Q1 Average Q1 Q1 Mar. 2012 Exchange Rate Mar. 2012 Mar. 2013 Mar. 2013 US$: 82 yen 80 yen EUR: 117 yen 103

  7. Slide 7: SG&A Expenses

    SG&A Expenses (billions of yen) Q1 Mar. 2012 Q1 Mar. 2013 YoY YoY% Salaries & Wages 12.2 12.7 + 0.5 +4% Sales Promotion 2.7 2.9 + 0.2 +6% Logistical Costs 2.5 2.5 - 0.0 -1% Depreciation & 4.3 4.4 + 0.1 +1% Amortization Others 6.7 7.7 + 1.0 +17% General Administrative Total 28.4 (29.7%) 30.2 (31.5%)

  8. Slide 8: Operating Income Variance Analysis

    Operating Income Variance Analysis (billions of yen) 2.1 Revision of JP reimbursement 2.2 6.0 price Foreign 0.9 Exchange Cost for 1.8 Quality Increase in System Increase 0.9 gross profit improvement in SG&A Increase expenses in R&D expenses 17.4 15.5 Average Q1 Q1 Q1 Exchange Rate Mar. 2012 Mar. 201

  9. Slide 9: Topics

    Topics 1. Q1 Results to 1H Forecast 2. Steady Increase in Interventional Systems outside JP 3. Terumo BCT Status 2012/7/31 ©Terumo Corporation 9/18

  10. Slide 10: Q1 Results to 1H Forecast

    Q1 Results to 1H Forecast „ Sales is in line, operating income is above forecast Q1 Result 1H Forecast Progress: 49% Progress: 54% (billions of yen) (billions of yen) 195.0 30 28.5 200 150 20 15.5 95.9 100 10 50 0 0 Sales Operating Income 2012/7/31 ©Terumo Corporation 10/18

  11. Slide 11: Steady Increase in Interventional Systems Sales outside JP

    Steady Increase in Interventional Systems Sales outside JP „ Sustaining high growth of the sales (at constant currency) Q1 Mar. 2012 Q1 Mar. 2013 (billions of yen) 10% 1% 12% 35% 2012/7/31 ©Terumo Corporation 11/18

  12. Slide 12: Terumo BCT Status

    Terumo BCT Status „ Sales Integration ¾ EU: all products are now distributed by direct sales force thru previous BCT’s channel ¾ JP & Asia: utilize previous Terumo’s sales channel „ Production Integration and Expansion ¾ A new factory will be constructed in the southern part of Vietnam to manufactur

  13. Slide 13: Reference

    Reference 2012/7/31 ©Terumo Corporation 13/18

  14. Slide 14: Capital Expenditure, R&D Expenses

    Capital Expenditure, R&D Expenses (billions of yen) Mar. 2013 Q1 Mar. 2012 Forecast Mar. 2013 Capital Expenditure* 26.6 38.0 6.5(17%) Depreciation & Amortization* 28.8 32.5 7.7(24%) R&D Expenses 24.3 27.0 6.0(22%) * Including intangibles %: Progress to forecast 2012/7/31 ©Terumo Corporation 14/18

  15. Slide 15: Foreign Exchange Sensitivity

    Foreign Exchange Sensitivity US$ EUR Net Sales 1.6 billion yen 0.7 billion yen Operating 0.4 billion yen 0.4 billion yen Income ‹ Incl. the sales of sub-subsidiaries at foreign currency ‹ Incl. the impact of goodwill 2012/7/31 ©Terumo Corporation 15/18

  16. Slide 16: Gross Profit, SG&A Expenses, Operating Income

    Gross Profit, SG&A Expenses, Operating Income (%) Gross Profit 53.2 55.0 51.7 51.8 53.9 SG&A Expenses 35.0 36.9 36.2 38.3 37.8 Operating Income 18.2 18.1 15.5 16.1 13.5 Ｑ1 Ｑ2 Ｑ3 Ｑ4 Ｑ1 Mar. 2012 Mar. 2013 (Quarterly: 3 months) 2012/7/31 ©Terumo Corporation 16/18

  17. Slide 17: Changes of Quarterly Average Exchange Rates

    Changes of Quarterly Average Exchange Rates (yen) 130 ＥＵＲ(Mar. 2012) 117 110 110 ＥＵＲ(Mar. 2013) 104 104 103 90 ＵＳ＄(Mar. 2012) 82 78 77 79 80 ＵＳ＄(Mar. 2013) 70 Q1 Q2 Q3 Q4 (Quarterly: 3 months) 2012/7/31 ©Terumo Corporation 17/18

  18. Slide 18: IR Contact

    IR Contact Terumo Corporation Corporate Communication (IR) Dept. E-mail: kouhou_terumo01@terumo.co.jp Among the information that Terumo discloses, the forward-looking statements including financial projections are based upon our assumptions using information available to us at the time and are not i

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