Renesas Electronics Corporation · TSE:6723
Renesas Electronics — Q2 FY2014/3 Earnings Presentation
16 slides from Renesas Electronics's earnings presentation, Oct 30, 2013
Slide 1: Reforming Renesas
Reforming Renesas Renesas Electronics Corporation October 30, 2013 Hisao Sakuta Chairman and CEO
Slide 2: Outline of Today’s Announcement
Outline of Today’s Announcement 1 Renesas‘ Current Status 2 3 Issues Facing Renesas 3 The Future Renesas 4 Realizing the Future Renesas 5 Summary © 2013 Renesas Electronics Corporation. All rights reserved. 2
Slide 3: Renesas’ Current Status
Renesas’ Current Status Consolidated sales Operating income (loss) 409.4 416.9 B Yen 376.4 B Yen B Yen 20.7 -23.3 0.1 B Yen B Yen B Yen Operating ratio -5.7% 0.0% 5.0% FY13/3 1H FY13/3 2H FY14/3 1H (Sep. 30, 2012) (Mar. 31, 2013) (Sep. 30, 2013) Net Assets 77.9 B Yen 80.3 B Yen 222.1 B Yen Equity Ra
Slide 4: 3 Challenges Facing Renesas
3 Challenges Facing Renesas Foster strong ties with market and customers with market-oriented approach Internal operational challenges Conduct profit-oriented, autonomous management Facilitate rapid decision-making and business activities Construct stronger financial base © 2013 Renesas El
Slide 5: The Future Renesas
The Future Renesas … excels in the global arena Overcome the Pursues profitability 3 Challenges and for future growth and Realize a Company achieves double-digit that … operating profit … contributes ratio to all aspects of society (FY17/3 Target) Launch reform plan to realize the future Renesas © 2
Slide 6: The Future Renesas
The Future Renesas 4 Months After Assuming the Role of CEO – Launch of reform Plan Achieve double-digit operating profit ratio in FY17/3 Growth strategy Execution phase Structural reform 30 months October 31, 2013 Development Framework of Reform plan of framework Reform businesses to better utiliz
Slide 7: Improve Profitability by Pursuing Gross Profit (Enhance Product Mix)
The Future Renesas Improve Profitability by Pursuing Gross Profit (Enhance Product MIX) Pursue Gross Profit improvement to increase profitability Enhance product mix and improve fixed and variable costs Variable-cost Product mix and fixed-cost containment improvements Increase Adoption of Real
Slide 8: Shift From Product-Orientation to Application-Orientation and Optimize Product Mix
Realizing the Future Renesas Shift From Product-Orientation to Application-Orientation and Optimize Product Mix Application Product mix improve- ment Increased value offering Platform Customer solution expan- Platform value sion Eco System Software Widening Kit Application application valu
Slide 9: Reforming towards New Business Domains
Realizing the Future Renesas Reforming towards New Business Domains Strengthened solution offerings by business domain in response to changes in demography and the environment as well as the technological advance- ments from the fusion of control and IT New business domains Renesas’ 3 Solution Off
Slide 10: Implementation Structure / Business Unit
Realizing the Future Renesas Implementation Structure / Business Unit Reorganize the business unit structure focusing on business domains with an application-oriented structure and, Enhance product mix focusing on profit and optimized solution offerings to customers Business Unit Business Unit
Slide 11: Implementation Structure Manufacturing / Sales
Realizing the Future Renesas Implementation Structure Manufacturing / Sales Empower sales companies in EMEA and Americas as regional business manage- ment sites to promote sales expansion through autonomous decision making Give priority to profit and turnover rate for manufacturing. Empower manu
Slide 12: Implementation Structure (As of November 1, 2013)
Realizing the Future Renesas Implementation Structure (As of November 1, 2013) Member of the Board 5 persons Hisao Sakuta Tetsuya Tsurumaru Hidetoshi Shibata Shigeo Mizugaki Haruyasu Asakura (Chairman & CEO) (President & COO) (Executive Vice President and CFO) (Outside Director) Special Assignment f
Slide 13: Summary
Summary Use financing activities and structural reforms to arrive at strong financial base necessary for future growth Accomplish Renesas reform plans and achieve double-digit profit ratio to invest in future growth FY14/3 FY16/3 FY17/3 Secured growth Completion of Double-digit structural reform
Slide 14: Forward-Looking Statements
(FOREWARD-LOOKING STATEMENTS) The statements in this presentation with respect to the plans, strategies and forecasts of Renesas Electronics and its consolidated subsidiaries (collectively “we”) are forward-looking statements involving risks and uncertainties. We caution you in advance that actual r
Slide 15: Kit Solution Offerings
Kit Solution Offerings Provide a kit solution combining MCU, power device and algorithm optimized for each motor application of the diverse motor market which accounts for approximately 60% of the overall power consumption HE Motor Industrial/Medical Platform value Eco System Software, Application
Slide 16: Platform Solution Offerings
Platform Solution Offerings Expand businesses by providing platform and construction an Eco system for new business areas including next-generation automotive infotainment systems and industrial Ethernet market High-performance Next-generation Industrial navigation and integrated cockpit Ethernet
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