Panasonic Holdings Corporation · TSE:6752
Panasonic — FY2025 Earnings Presentation
40 slides from Panasonic's earnings presentation, May 9, 2025
Slide 1: Fiscal 2025 Financial Results, Fiscal 2026 Financial Forecast
Fiscal 2025 Financial Results Fiscal 2026 Financial Forecast May 9, 2025 Panasonic Holdings Corporation Notes: 1. This is an English translation from the original presentation in Japanese. 2. In this presentation, “Fiscal 2025” or “FY3/25” refers to the year ended March 31, 2025. In addition, “Fisca
Slide 2: Summary of FY3/25 Financial Results
Summary of FY3/25 Financial Results *1: Adjusted operating profit and operating profit ◼ FY3/25 Financial Results: Both sales and profit exceeded forecast as of Feb. 4, 2025 Sales & profit*1 increased YoY on the basis of excluding deconsolidation of Automotive (hereinafter, “excluding Automotive”) ‧
Slide 3: Fiscal 2025 Financial Results
Fiscal 2025 Financial Results Fiscal 2026 Financial Forecast
Slide 4: FY3/25 Financial Results
FY3/25 Financial Results YoY % figures represent the year-on-year change relative to the previous year's figures Difference FY3/25 FY3/24 YoY FY3/25(e) (yen: billions) Excl. Excl. Excl. from previous Results Automotive*5 Results (year-on-year) (Feb. 4, 2025) forecast Automotive*5 Automotive*5 Sales
Slide 5: FY3/25 Results by Segment
FY3/25 Results by Segment (yen: billions) YoY % figures represent the year-on-year change relative to the previous year's figures Difference Difference Other Difference Difference Difference Adjusted YoY from from from OP from EBITDA*1 from Sales OP YoY income/ YoY YoY YoY (excl. FX) previous (%) pr
Slide 6: FY3/25 Sales Analysis by Segment
FY3/25 Sales Analysis by Segment Sales: Increased excluding Automotive, with increased sales (Lifestyle, Connect, Industry) (yen: billions) Price revisions for lower raw materials: -80.3 +181.7 +65.6 +84.8 +6.5 +67.5 +2.7 +17.1 +86.9 8,496.4 8,458.2 Industry Headquarter- Effect of Lifestyle Connect
Slide 7: FY3/25 Adjusted Operating Profit Analysis by Segment
FY3/25 Adjusted Operating Profit Analysis by Segment Adjusted OP: Increased due to increased profit at all segments except for Automotive (yen: billions) +31.1 467.2 +23.1 -0.2 +37.8 -14.0 -3.0 Industrial / Other/ 390.0 +2.4 Industry In-vehicle Consumer, Automotive others Eliminations & Lifestyle Co
Slide 8: Lifestyle Segment: FY3/25 Results by Divisional Company
Lifestyle Segment: FY3/25 Results by Divisional Company (yen: billions) YoY % figures represent the year-on-year change relative to the previous year's figures Difference Adjusted Difference Other Difference Difference Difference Sales YoY from OP YoY from income/ YoY from OP YoY from EBITDA*2 YoY f
Slide 9: FY3/25 Operating Profit Analysis (by Factor)
FY3/25 Operating Profit Analysis (by Factor) Increased due to sales increase in real terms, rationalization, etc., despite deconsolidation impact of Automotive, increased fixed costs Effect of Sales Price revisions, exchange increase/decrease rationalization, rates in real terms Raw materials, etc.
Slide 10: FY3/25 Cash Flows and Cash Positions
FY3/25 Cash Flows and Cash Positions Operating CF: Cumulative amount for 3 years (FY3/23 - FY3/25) was 2.2 tr. yen, achieving medium-term target of 2 tr. yen Cash Flows Gross cash & interest-bearing debt / Net cash 3-year cumulative amount: 2,183.7 (yen: billions) (yen: billions) 866.9 Gross cash*2
Slide 11: Fiscal 2026 Financial Forecast
Fiscal 2025 Financial Results Fiscal 2026 Financial Forecast
Slide 12: FY3/26 Forecast
FY3/26 Forecast YoY % figures represent the year-on-year change relative to the previous year's figures (yen: billions) FY3/26 (e) FY3/25 Excl. Automotive*5 YoY Excl. Automotive*5 92% -658.2 100% +15.0 Sales 7,800.0 8,458.2 7,785.0 (96%)*6 (-358.2)*6 (104%) (+315.0)*6 *6 Adjusted operating profit*1
Slide 13: FY3/26 Outlook of Changes in Demand by Segment
FY3/26 Outlook of Changes in Demand by Segment (US tariff impact not factored in) Positive (YoY) Segment Changes in Demand Negative (YoY) ✓ Consumer Electronics: Slight decrease expected in Japan, broadly same level YoY in China with ongoing economic downturn, gradual recovery expected in other over
Slide 14: Impact of US Tariffs
Impact of US Tariffs ✓ Impact of US tariffs not yet factored into FY3/26 forecast; Continue to assess developments ✓ Aim to minimize impact of tariffs through measures from both short-term and medium- to long-term perspectives FY3/25 US sales: Approx. 1,570 bil. yen Assumptions for estimating tariff
Slide 15: FY3/26 Operating Profit Forecast Analysis (by Factor)
FY3/26 Operating Profit Forecast Analysis (by Factor) ✓ Adjusted OP: Expected to increase due to sales increase in real terms, price revisions, rationalization, etc., despite deconsolidation impact ✓ OP: Expected to decrease due to restructuring expenses Sales Price revisions, increase/decrease rati
Slide 16: Structural Reform in FY3/26
Structural Reform in FY3/26 Restructuring expenses (FY3/26) • Personnel optimization -130.0 bil. yen • Site integration/closure (Recording in Other income/loss) • Streamlining & increasing efficiency of indirect functions, etc. (yen: billions) Restructuring expenses Effect of restructuring (Recordin
Slide 17: FY3/26 Forecast by Segment
FY3/26 Forecast by Segment (yen: billions) YoY % figures represent the year-on-year change relative to the previous year's figures Other Sales YoY Adjusted OP YoY income/ YoY OP YoY EBITDA*1 YoY (excl. FX) (% to sales) (% to sales) (% to sales) loss 99% 176.0 96.0 2.260 Lifestyle 3,535.0 +39.5 -80.0
Slide 18: FY3/26 Sales Forecast Analysis by Segment
FY3/26 Sales Forecast Analysis by Segment Sales: Expected to increase YoY excluding Automotive, due to increased sales in Energy (yen: billions) Projector business: -45.5 +125.6 +5.7 +25.0 +117.7 -1.7 8,458.2 +82.3 +25.3 Entertainment & Housing Industrial / Communication Headquarter- Consumer, -300.
Slide 19: FY3/26 Adjusted Operating Profit Forecast Analysis by Segment
FY3/26 Adjusted Operating Profit Forecast Analysis by Segment Adjusted OP: Expected to increase YoY due to increased profits (Lifestyle, Industry, Energy), despite decreased profit in Connect (yen: billions) Projector business: -4.8 +32.9 +12.4 +26.7 Industrial / +39.5 Consumer, 500.0 467.2 In-vehic
Slide 20: Lifestyle Segment: FY3/26 Forecast by Divisional Company
Lifestyle Segment: FY3/26 Forecast by Divisional Company (yen: billions) YoY % figures represent the year-on-year change relative to the previous year's figures Other Adjusted OP OP EBITDA*1 Sales YoY YoY income/ YoY YoY YoY (% to sales) (% to sales) (% to sales) loss Living Appliances and 100% 57.0
Slide 21: Shareholder Return
Shareholder Return ✓ FY3/25 annual dividend at 48 yen; year-on-year increase of 13 yen (increased by 8 yen from the forecast announced on August 30, 2024) ✓ Payout ratio: 30.6% Annual 48 yen Payout ratio: 30.6% Dividend (YoY increase of 13 yen) • Distribute stable and continuous dividends • Achieve
Slide 22: Panasonic Group
Panasonic Group
Slide 23: Disclaimer Regarding Forward-looking Statements
Disclaimer Regarding Forward-looking Statements This presentation includes forward-looking statements about Panasonic Holdings Corporation (the "Company") and its Group companies (the "Panasonic Group"). To the extent that statements in this presentation do not relate to historical or current facts,
Slide 24: Impact of US IRA Tax Credit on Financial Results
Reference: Impact of US IRA Tax Credit (Section 45X) on Financial Results ✓ Among monetization methods of “Deductible tax credit,” “Refundable tax credit (direct pay)” and “Transferable tax credit,” assuming to elect “Refundable tax credit (direct pay)” for FY3/25 and FY3/26 ✓ Half of total tax cred
Slide 25: Progress in EV Battery Production Capacity
Reference: Progress in EV Battery Production Capacity North • Expand our capacity for strategic customer based on our achievements America as a leading company in North America and using IRA tax credit Factory Annual Production Capacity Status 2170 cells • Operation of additional equipment started i
Slide 26: Future EV Battery Business in Japan
Reference: Future EV Battery Business in Japan (for New Customers) ✓ Rebuild business foundation in Japan through strategic partnerships with Mazda Motor Corporation and SUBARU CORPORATION ✓ Both collaboration projects approved by Japan’s Ministry of Economy, Trade and Industry (METI) as part of its
Slide 27: Business Growth related to Generative AI
Reference: Business Growth related to Generative AI Reference: Briefings on Generative AI-related Businesses (Nov. 27, 2024) Links to: Presentation materials and Minutes (Previously disclosed) High growth of generative AI-related businesses is expected to continue Industry Energy ◼ Products: Energy
Slide 28: FY3/25 Segment Information Lifestyle
Reference: FY3/25 Segment Information Lifestyle Overview Sales: Increased overall due to increased sales of electrical construction materials (yen: billions) FY3/25 YoY (year-on-year) (e.g. Japan, India) and HVAC (e.g. room air conditioners mainly in Japan and Asia, environmental engineering, device
Slide 29: FY3/25 Segment Information Connect
Reference: FY3/25 Segment Information Connect Sales: Increased with increased sales of Process Automation, capturing Overview demand for AI servers and by China market (EV, ICT), in addition to (yen: billions) FY3/25 YoY (year-on-year) increased sales of Gemba Solutions, Avionics, Blue Yonder and 11
Slide 30: Blue Yonder's KPIs
Reference: Blue Yonder’s KPIs Connect Completed acquisition of One Network Enterprises, Inc. in August 2024, consolidation from FY3/25 2Q Sales / Adjusted OP (Stand alone) Recurring / SaaS sales ratio ◼ Steady growth of SaaS sales; maintained profitability of adjusted OP ◼ SaaS ratio maintained abov
Slide 31: FY3/26 Forecast of Blue Yonder
Reference: FY3/26 Forecast of Blue Yonder Connect ✓ Adjusted EBITDA (a priority KPI) to be disclosed from FY3/26 as an indicator of profitability in real terms excluding investments, etc. ✓ Adjusted EBITDA expected to increase YoY by 1.9 bil. yen (excl. FX effect), despite increased strategic invest
Slide 32: FY3/25 Segment Information Industry
Reference: FY3/25 Segment Information Industry Overview Sales: Increased due mainly to increased sales of products (capacitors, multi- PID layer circuit board materials) for information & communication (yen: billions) FY3/25 YoY (year-on-year) applications such as generative AI servers, despite decr
Slide 33: Situation of Voluntarily Disclosed Businesses
Reference: Situation of Voluntarily Disclosed Businesses (FY3/25) Industry ◼ In FY3/25, sales increased and profit decreased (excluding effect of exchange rates): Sales increased with favorable sales of capacitors for ICT-related applications (e.g. generative AI servers), despite decreased sales of
Slide 34: Situation of Voluntarily Disclosed Businesses
Reference: Situation of Voluntarily Disclosed Businesses (FY3/25) Industry Electronic Devices: BB ratio* of capacitors *BB ratio: book-to-bill ratio The BB ratio recovered to 1.10 in Q4. Orders mainly for general servers and PCs increased. Orders for automotive- use from Japanese companies remain st
Slide 35: Situation of Voluntarily Disclosed Businesses
Reference: Situation of Voluntarily Disclosed Businesses (FY3/25) Industry * 3C: Consumer, Computer, Communication ◼ Sales in FY3/25: Decreased YoY due to market slowdown (e.g. Japan, Europe), and seasonal factors in 4Q, despite steady market conditions for 3C*-related market in China FA ◼ Adjusted
Slide 36: Situation of Voluntarily Disclosed Businesses
Reference: Situation of Voluntarily Disclosed Businesses (FY3/25) Industry ◼ FY3/25: Both sales and profit increased due to growing demand for generative AI servers as well as general-purpose servers and peripheral devices; efforts in rationalization, price revisions and Electronic material rational
Slide 37: FY3/25 Segment Information Energy
Reference: FY3/25 Segment Information Energy Sales: Overview In-vehicle: Decreased with price revisions reflecting lower raw material prices and decreased demand at Japan factory, despite increased sales volume at (yen: billions) FY3/25 YoY (year-on-year) North America factory Industrial / Consumer:
Slide 38: Medium-term Management Indicators
Reference: Medium-term Management Indicators: KGI Target Results Cumulative Operating CF (FY3/23 - FY3/25) 2.0 trillion yen 2.2 trillion yen ROE KGI (FY3/25) 10.0% or more 7.9% Cumulative OP (FY3/23 - FY3/25) 1.5 trillion yen 1.1 trillion yen (yen: billions) Cumulative Operating CF ROIC (FY3/23 – FY
Slide 39: FY3/25 List of Voluntarily Disclosed Businesses
Reference: FY3/25 List of Voluntarily Disclosed Businesses Lifestyle Businesses with Sales Disclosed Major Business Divisions, etc. (Panasonic Corporation) (For underlined businesses, Adjusted OP also disclosed in Supplemental Financial Data) Living Appliances and • Kitchen Appliances : Kitchen Appl
Slide 40: FY3/26 List of Voluntarily Disclosed Businesses
Reference: FY3/26 List of Voluntarily Disclosed Businesses Lifestyle Businesses with Sales Disclosed Major Business Divisions, etc. (Panasonic Corporation) (For underlined businesses, Adjusted OP also disclosed in Supplemental Financial Data) Living Appliances and • Kitchen Appliances : Kitchen Appl