Minebeamitsumi Inc. · TSE:6479
Minebeamitsumi — Q1 2025 Earnings Presentation
32 slides from Minebeamitsumi's earnings presentation, Aug 2, 2024
Slide 1: Business Results First Quarter of Fiscal Year Ending March 31, 2025
Business Results First Quarter of Fiscal Year Ending March 31, 2025 MinebeaMitsumi Inc. August 2, 2024
Slide 2: Summary of Consolidated Business Results for 1Q
Summary of Consolidated Business Results for 1Q Net sales and operating income hit 1Q record highs FY3/24 FY3/25 Change (Millions of yen) 1Q 4Q 1Q YoY QoQ Net sales 292,370 348,803 355,454 +21.6% +1.9% Operating income 6,743 20,342 20,025 x3.0 -1.6% Profit before taxes 8,502 22,602 19,357 x2.3 -14.4
Slide 3: Net Sales, Operating Income / Margin
Net Sales, Operating Income / Margin (Billions of yen) Net sales Operating income Operating margin 371.4 379.7 381.2 348.8 355.5 330.0 339.7 292.4 251.0 31.4 26.3 25.5 24.7 21.7 20.3 20.0 14.3 9.3% 8.0% 6.7 6.9% 6.5% 5.7% 5.7% 5.8% 5.6% 2.3% 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q FY3/23 FY3/24 FY3/25 A
Slide 4: 1Q Actual: Differences from the Forecast as of May
1Q Actual: Differences from the Forecast as of May (Billions of yen) Net Sales Operating Income August 2, 2024 4
Slide 5: Precision Technologies (PT)
Precision Technologies (PT) Net sales (Billions of yen) Operating income (Billions of yen) Ball Bearings Rod-ends/Fasteners PMC * Operating income Operating margin *The sub-segment name has been changed to PMC (Precision Mechanical Components) from Pivot assemblies from FY3/24 4Q onward. 24.4% 62.7
Slide 6: Motor, Lighting & Sensing (MLS)
Motor, Lighting & Sensing (MLS) Net sales (Billions of yen) Operating income (Billions of yen) Motors Electronic devices Sensing devices Other Operating income Operating margin 5.2% 3.3% 3.9% 3.1% 3.7% 2.2% 2.1% 0.2% 0% -4.8% 98.0 97.0 99.1 96.2 1.5 1.0 90.7 1.5 92.7 91.9 1.7 9.1 10.1 1.1 9.3 87.8 0
Slide 7: Semiconductors & Electronics (SE)
Semiconductors & Electronics (SE) Net sales (Billions of yen) Operating income (Billions of yen) Operating income Operating margin 182.7 10.5% 11.4% 9.0% 8.0% 8.7% 8.7% 4.3% 157.1 0.4% 0.7% 146.5 137.0 123.6 109.5 111.2 16.4 15.6 86.8 81.7 12.6 12.8 9.1 9.5 4.7 0.6 0.6 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q
Slide 8: Access Solutions (AS)
Access Solutions (AS) Net sales (Billions of yen) Operating income (Billions of yen) Operating income Operating margin 87.9 83.0 27.1% 81.5 77.6 73.6 69.5 7.3% 2.7% 3.7% 1.5% 0.6% 2.3% 0.2% 0% -0.9% 46.3 42.9 36.0 18.8 6.4 2.3 3.0 1.8 0.6 0.3 0.2 (0.3) 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q
Slide 9: Profit Attributable to Owners of the Parent / EPS
Profit Attributable to Owners of the Parent / EPS (Billions of yen) Profit for the period attributable to owners of the parent Earnings per share, basic (yen) 30.1 73.4 20.0 18.3 16.4 48.5 15.2 45.3 13.9 12.3 40.2 10.7 37.6 34.5 29.7 26.4 4.1 10.1 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q FY3/23 FY3/24 FY
Slide 10: Inventory
Inventory (Billions of yen) 359.6 303.3 302.8 300.5 294.9 272.8 275.9 264.4 263.1 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q FY3/23 FY3/24 FY3/25 August 2, 2024 10
Slide 11: Net Interest-bearing Debt / Free Cash Flow
Net Interest-bearing Debt / Free Cash Flow (Billions of yen) Net interest-bearing debt * Free cash flow 251.2 208.6 215.0 201.7 86.9 25.5 23.0 14.8 (31.5) (62.2) FY3/22 FY3/23 FY3/24 FY3/25 FY3/25 1Q Forecast *Net interest-bearing debts: “Bonds and borrowings” - (“Cash and cash equivalents”＋Time dep
Slide 12: Forecast: Full-year forecast revised upward in light of 1Q upswing
Forecast Full-year forecast revised upward in light of 1Q upswing FY3/24 FY3/25 (Millions of yen) Full Year 1st Half 2nd Half Full Year YoY Net sales 1,402,127 770,000 790,000 1,560,000 +11.3% Operating income 73,536 48,000 55,000 103,000 +40.1% Profit before taxes 75,545 46,000 53,000 99,000 +31.0%
Slide 13: Forecast for Business Segment
Forecast for Business Segment FY3/24 FY3/25 (Millions of yen) Full Year 1st Half 2nd Half Full Year YoY Net sales 1,402,127 770,000 790,000 1,560,000 +11.3% Precision Technologies (PT) 211,406 126,000 129,000 255,000 +20.6% Motor, Lighting & Sensing (MLS) 369,388 206,000 209,000 415,000 +12.3% Semic
Slide 14: Full-year forecast: Differences from the Forecast as of May
Full-year forecast: Differences from the Forecast as of May (Billions of yen) Net Sales Operating Income August 2, 2024 14
Slide 15: Today's Point
Today‘s Point 1Q results were higher than expected. Confirmed that the market environment has mostly recovered to pre-COVID-19 level Revised forecast upward to reflect 1Q upswing, expecting continued strong performance in 2Q. PT & MLS: Market for data centers and high-margin products recovered,
Slide 16: FY3/25 Forecast
FY3/25 Forecast Revised forecast upward to reflect only of 1Q upswing. 2Q also above plan? (Millions of yen） FY3/24 FY3/25 1Q Full Year 1Q YoY 2Q-4Q Full Year YoY Net sales 292,370 1,402,127 355,454 +21.6% 1,204,546 1,560,000 +11.3% Operating 6,743 73,536 20,025 x3.0 82,975 103,000 +40.1% Income Pro
Slide 17: Precision Technologies (PT) Update
Precision Technologies (PT) Update Overall market for data centers and other highly profitable products has recovered, and is expected to remain strong 2Q onward Key Points Ball bearings external and internal sales volume (monthly average, millions of yen) 1 Recovered to pre-COVID-19 level 500 Ball
Slide 18: Motor, Lighting & Sensing (MLS) Update
Motor, Lighting & Sensing (MLS) Update Profitability of motors improved due to firm recovery in highly profitable fields. Increased confidence of achieving the plan Key Points Global niche top products and applications for automotive 1 HDD motor product mix continues Motors 主なポイント Global market shar
Slide 19: Semiconductors & Electronics (SE) Update
Semiconductors & Electronics (SE) Update Semiconductors on the way to recovery Closely watch demand trends for camera actuators Semiconductor division sales plan image Key Points （Assumed figures after business integration with MPSD) 1 PMI is in progress （billions of yen） Analog Semiconductors MPSD
Slide 20: Access Solutions Segment (AS) Update
Access Solutions Segment (AS) Update Fulfilling results of INTEGRATION leading to further growth Unchanged conservative stance due to China market risks Key Points Wing Handle INTEGRATION of door locks, motors, and sensors enables unprecedented electric locking/unlocking via touch-sensitive INTEGR
Slide 21: Current overview of the Company: 2.5 trillion yen sales, 250 billion yen operating income
Current overview of the Company 1 Success of structural reforms = Proved the legitimacy of 8 spears strategy Although operating income from LED backlight has been almost completely gone, Operating Income of over 100 billion yen is expected for FY3/25 2 Various High-Value-Added Products to be Launc
Slide 22: Shareholder Return
Shareholder Return Share buyback Resolution of share buyback (August 2, 2024) - Number of shares：Up to 2.8 million shares (equal to 0.69% of total issued shares excluding treasury shares) - Amount： Up to 10 billion yen - Period： From August 21, 2024 to December 23, 2024 - Purpose： In order to improv
Slide 23: Forward-looking statements disclaimer
Any statements in this presentation which are not historical are future projections based on certain assumptions and executive judgments drawn from currently available information. Please note that actual performance may vary significantly from any particular projection due to various factors. Facto
Slide 24: Reference
Reference August 2, 2024 24
Slide 25: Net Sales, Operating Income / Margin
Net Sales, Operating Income / Margin *Operating income prior to 3Q FY3/24 has been revised in accordance with finalization of PPA for HONDA TSUSHIN KOGYO CO., LTD,, Minebea Connect Inc., and Minebea AccessSolutions Inc. (Billions of yen) Net sales Special factors 10.5* 1,560.0 Operating income Opera
Slide 26: Precision Technologies (PT)
Precision Technologies (PT) Net sales (Billions of yen) 255.0 Operating income (Billions of yen) Ball Bearings Rod-ends/Fasteners PMC * Operating income Operating margin 25.0 *The sub-segment name has been changed to PMC (Precision Mechanical Components) from Pivot assemblies from FY3/24 4Q onward.
Slide 27: Motor, Lighting & Sensing (MLS)
Motor, Lighting & Sensing (MLS) Net sales (Billions of yen) Operating income (Billions of yen) Motors Electronic devices Sensing devices Other Operating income Operating margin 5.8% 5.8% 4.8% 415.0 6.0 3.2％ 3.2% 371.0 36.0 363.8 366.3 369.4 0.3% 4.2 4.3 4.2 4.6 32.6 35.4 37.5 35.7 49.0 24.0 49.3 21.
Slide 28: Semiconductors & Electronics (SE)
Semiconductors & Electronics (SE) *Operating income prior to 2Q FY3/24 has been revised Net sales (Billions of yen) Operating income (Billions of yen) in accordance with finalization of PPA for HONDA TSUSHIN KOGYO CO., LTD, and Operating income Operating margin Minebea Connect Inc. **Excl. special f
Slide 29: Access Solutions (AS)
Access Solutions (AS) Net sales (Billions of yen) Operating income (Billions of yen) *Operating income prior to 3Q FY3/24 has been revised in accordance with finalization of PPA for Minebea AccessSolutions Inc. Operating income Operating margin **Excl. special factors 330.0 9.9% 3.3% 5.2% 322.1 2.3%
Slide 30: S.G.&A. Expense / Ratio
S.G.&A. Expense / Ratio (Billions of yen) S.G.&A. expenses S.G.&A. to sales ratio 42.7 43.5 41.6 39.2 39.9 38.1 35.6 36.8 32.7 13.0% 13.0% 12.2% 12.2% 11.5% 10.9% 10.8% 10.5% 9.9% 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q FY3/23 FY3/24 FY3/25 August 2, 2024 30
Slide 31: Capital Expenditure / D&A Expense
Capital Expenditure / D&A Expense (Billions of yen) Capital expenditure Depreciation & Amortization expenses * 147.0 * 83.6 80.0 73.5 ** 64.0 ** 58.4 53.0 45.5 48.6 45.2 21.6 15.9 FY3/21 FY3/22 FY3/23 FY3/24 FY3/25 FY3/25 1Q Forecast * Capital expenditures of FY3/22 & FY3/23 include new HQ building
Slide 32: ROIC (Return On Invested Capital)
ROIC (Return On Invested Capital) MinebeaMitsumi ＝ NOPAT (Operating income + extraordinary profit/loss) x (1-tax rate) ROIC Invested capital (Notes receivable/accounts receivable + inventories + non-current assets - notes payable/accounts payable) Calculated using business assets (trade receivable/p