Slide 1: FY2017 1st Quarter Financial Results ended June 30, 2016
Slide 2: Overview of FY2017 1st Quarter Financial Results
Overview of FY2017 1%t Quarter Financial Results 1/16 1. Despite production volume increase and the growth in sales, revenue and operating profit decreased due to appreciation of the Yen. 2. Downward revision to the first-half and full-year forecast due to appreciation of the Yen. DENSO
Slide 3: Overview of the consolidated financial results
[Overview of the consolidated financial results] We posted revenue of 1,092.8 billion yen, down 13.2 billion yen from the previous year, equivalent to annual revenue decline of 1.2%. Operating profit (excludes other income/ expenses) reached 74.6 billion yen, 12.6 billion yen lower than a year, down
Slide 4: Sales by customer (Quantity base)
[Sales by customer](Quantity base) Sales to the Toyota Group Despite the production decrease mainly due to compact cars, domestic production volume increased as a whole. Overseas production level also increased mainly in North America and China and due to the growth in sales of active safety product
Slide 5: Sales by product (Quantity base)
[Sales by product] (Quantity base) Sales of Powertrain Control products Sales increased due to production volume increase in Europe and Asia. Sales of Thermal products Sales increased in Europe and China due to the production volume increase in addition to the sales expansion of air conditioners. Sa
Slide 6: Factors that contributed to increases or decreases in operating profit
[Factors that contributed to increases or decreases in operating profit(excludes other income/expenses)] Negative factors 1) Appreciation of yen: An increase of 28.0 billion yen was due to the impact of the strong yen, which is 13 yen higher against US dollar and 12 yen higher against Euro. 2) Highe
Slide 7: Revenue and operating profit by operating region
[Revenue and operating profit by operating region] * Based on Japanese yen
Slide 8: Revenue and operating profit by operating region
[Revenue and operating profit by operating region] * Excluding the effect of foreign exchange rates and other income / expenses. Japan • Despite the production volume increase and growth in sale mainly in export sales, impact of the exchange rate led to a decrease in revenue by 1.2% from the previou
Slide 9: 1st Half financial forecast
[1st Half financial forecast] Considering the appreciation of the yen, we expect revenue to be 2,170.0 billion yen, operating profit (excludes other income/ expenses) to be 125.0 billion yen. This forecast is based on the currency rate of 107 yen to the dollar and 119 yen to the euro. Car production
Slide 10: Full-year financial forecast
[Full-year financial forecast] Considering the appreciation of the yen, we expect revenue to be 4,400.0 billion yen, operating profit (excludes other income/ expenses) to be 282.0 billion yen. This forecast is based on the currency rate of 106 yen to the dollar and 117 yen to the euro. Car productio
Slide 11: Return to Shareholders
[Return to Shareholders] Based on our policy of shareholders return, to increase returns to shareholders and improve capital efficiency, a resolution was adopted at the board of directors meeting held on July 29th to acquire own shares. Total number of shares to be purchased is up to 8 million share
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Slide 13: Appendix
Appendix + Non-Consolidated Financial Results + Pre-Conditions (Foreign Exchange Rate/Car Production) * Consolidated Revenue by Customer « Consolidated Revenue by Product * Trend of Capital Expenditures, Depreciation and R&D Expenditures « Capital Expenditures, Depreciation, and R&D Expenditures DEN
Slide 14: Non-Consolidated Financial Results
Non-Consolidated Financial Results 11 Income Statements(Japanese accounting standards) (Ratio to Sales) Net Sales ( 100.0 ) 56840 ( Operating Income ( 16 ) 90.0 ( Income Before Income Taxes ( alli mcal Ih Net Income ( 5.6) 321.0 | ( DENSO FY16 1Q 100.0 ) 5,725.0 63 ) 359.0 1.9 ) 683.0 99 ) 565.0 (Un
Slide 15: Pre-Conditions (Foreign Exchange Rate/Car Production)
Pre-Conditions (Foreign Exchange Rate/Car Production) 12 FY2017 Full Year FY 2017 First-Haif FY2017 Second-Halt i) Famcan | Forecast Fawn | Forecast Famcen | Forecast Prior Year| Actuat | Change | Prior Year| ‘onew | enceas| Change | Prior Year] ‘own | meucesy| Change |PrirYear] ‘sm, | ‘mevees) | Ch
Slide 16: Consolidated Revenue (By Customer)
Consolidated Revenue (By Customer) 13 (Unit: Billions of Yen, %) FY2017 FY2016 Change Change Ended Jun. 30, 2016 Ended Jun. 30, 2015 quanitity base ‘Amount | %to Total] Amount _| % to Total| Amount % Amount % Toyota 457.7 | 41.9) 4544) 41.4 33) 07 385 | 85 Daihatsu 20.4 | 19) 21.7 | 20 1.3/ 64 0.1)
Slide 17: Consolidated Revenue (By Product)
Consolidated Revenue (By Product) 14 FY201T (Unit: Billions of Yen,%) FY2016 ca ‘Change Ended Jun. 30, 2016 Ended Jun. 30, 2015 quanitity base Amount | %eto Total Amount | %to Total Amount % Amount | % Powertrain Control 389.8 35.7] 397.2) 35.9 74 1.9 27.4) 68 Thermal 341.0) 31.4 351.8) 31.8 -10.8 |
Slide 18: Trend of Capital Expenditures, Depreciation and R&D Expenditures
Trend of Capital Expenditures, Depreciation and R&D Expenditures 19 [Bil.Yen] 500 <> Ratio to FY17F () Ratio to Revenue (9.2%) (8.8%) (9.4%) J i240 (2.0%) "396.4 309.3 4150 400 3687 3241 242 334.4 333.0 a 7 242.0 236.8 242: MUA 220.4 200 <24.1%> 100 i i ).4 ; 4 FY14 FY15 FY16 FY17F FY14 FY15 FY16 FY
Slide 19: Capital Expenditures, Depreciation and R&D Expenditures
Capital Expenditures, Depreciation and R&D Expenditures (Unit: Billions of Yen) DENSO FY17 | 12 YTD | Progress FY16 Forecast} Change | to FYI7 1Q 1Q from PY | Forecast Japan 38.9] 191.9 52.3] 200.5] 34.4%] 26.1% North America 12.2; 454 12.3] 41.8{ 0.8%] 29.4% Europe 58| 309 46 29.3] -20.7%| 15.7%! [