Espec Corp. · TSE:6859

Espec — Investor Presentation (August 2022)

43 slides from Espec's investor presentation, Aug 23, 2022

  1. Slide 1: Company Presentation and Business Overview, Sustainability Initiatives

    Reference Company Presentation and Business Overview Sustainability Initiatives August 23, 2022

  2. Slide 2: Company Profile

    Company Profile Industry-leading manufacturer of environmental test chambers Name ESPEC CORP. Head Office 3-5-6, Tenjinbashi, Kita-ku, Osaka Representative Satoshi Arata Established July 25, 1947 Incorporated January 13, 1954 Paid-up Capital ¥6,895 Million Issued shares 23,781,394 Shares Employees 1

  3. Slide 3: Global Network

    会社概要 Global Network Consolidated Subsidiaries Global Network 13 companies Business Facilities in Japan: 16 50 locations (Global 9 companies, Domestic Agencies in Japan: 46 Domestic 4 companies) 45 companies EUROPE U.S.A. ●ESPEC EUROPE GmbH ●ESPEC NORTH AMERICA, INC * -ESPEC IKLIM KABINLERI SATIS VE

  4. Slide 4: Summary of ESPEC Business (Per Market / Use)

    Summary of ESPEC Business (Per Market / Use) Sales Composition Main Products Market Use (FY2021) ・Temperature & humidity chamber ・Electronic component ・Thermal shock chamber and equipment market ・For R & D ・Bench-top type temperature & humidity chamber ・Automobile market ・For credibility Environment

  5. Slide 5: History of Environmental Test

    History of Environmental Test What is Environmental Test Test to analyze and evaluate effects of environmental factors such as temperature, humidity, pressure, and vibration on various industrial products like electronic components in order to ensure product quality. 1950s 1970s–1990s Present The en

  6. Slide 6: Transition in Business

    Transition in Business Expanding business based on the “environmental creation technology” refined during the course of developing environmental test chambers Large scale Integrated integration IoT, Next-generation PC circuit automobiles Smartphones Eco cars such as EVs, HVs, and PHVs Surface Home a

  7. Slide 7: ESPEC's Strengths

    ESPEC’s Strengths Share of Environmental Test Chambers: Over 30% worldwide, Over 60% domestic (ESPEC estimates) Top Market Share First in Japan to develop environmental test chambers, rapidly established a brand in Japan and overseas and have held the top market share for many years ・Developed a var

  8. Slide 8: Equipment Business Usage Case with Environmental Test Chambers

    Equipment Business Usage Case with Environmental Test Chambers Ensure reliability of new technologies and new products by repeatedly testing each component, module and finished product CCD Secondary Cell Power Devices In-vehicle Sensor In-vehicle Sensor , , , , 7

  9. Slide 9: Equipment Business Main New Products

    Equipment Business Main New Products Release Date Name of product Features ・Greatly reduces GWP values (an 88% reduction), and also enables energy Environmental Stress Chamber AR Series Apr. 2022 Featuring R-473A Low-GWP Refrigerant conservation during operation *GWP: Global Warming Potential Jun. 2

  10. Slide 10: Equipment Business New Product Introduction (1)

    Equipment Business New Product Introduction (1) (Released in Feb. 2020) ■Walk-In Type ■ Walk-In Type Temperature (& Humidity) Chamber Temperature (& Humidity) Chamber for High-Power Series for Drive-In Series Feature: Features: ・Compliant with IEC International Standards and ・Closely recreates vario

  11. Slide 11: Equipment Business New Product Introduction (2)

    Equipment Business New Product Introduction (2) For the medical field (Released in Apr./Jun. 2021) For material field (Released in Dec. 2019) ■ Freezer for Temperature Controlled Transport ■ Thermal Air Test System Ultra-Low-Temperature Freezer Features: Features: ・Freezer for Temperature Controlled

  12. Slide 12: Equipment Business Examples of Products Delivered (1)

    Equipment Business Examples of Products Delivered (1) (Delivered in Jul. 2018) ■Walk-in Type Temperature (& Humidity) Chamber, for building materials Uses: Reproduce the environment inside apartments (temperature and humidity) and outdoors (weather such as rain, snow, and sunlight), conduct performa

  13. Slide 13: Equipment Business Examples of Products Delivered (2)

    Equipment Business Examples of Products Delivered (2) (Delivered in Mar. 2016) ■Smart System Research Facility, ■National Laboratory for advanced energy storage Fukushima Renewable Energy Institute, AIST technologies (NLAB), National Institute of Technology (Koriyama city, Fukushima) and Evaluation

  14. Slide 14: Usage Case with Energy Device Equipment

    Equipment Business Usage Case with Energy Device Equipment Charge-discharge Cycle Evaluation Equipment Equipment for ensuring the reliability and safety of lithium-ion secondary batteries for next-generation vehicles (e.g., hybrid and electric vehicles) socket test area Secondary battery Batteries D

  15. Slide 15: Usage Case with Semiconductor Equipment

    Equipment Business Usage Case with Semiconductor Equipment Screening Eliminate defective products to maintain initial-period quality at the final inspection stage of semiconductor device manufacturing Semiconductors × Heat × load Burn-In Chamber Elimination of latent early failures Reliability Evalu

  16. Slide 16: Service Business

    Service Business After–Sales Service and Engineering Preventive maintenance of products, maintenance service, and the upgrading/improvement and installation/relocation of products ■ Speedy response via one of the most extensive networks in Japan ■ Launching new services by utilizing the network func

  17. Slide 17: Service Business After-Sales Service: Network Service

    Service Business After–Sales Service (Started in Apr. 2022) “Network service” utilizing mobile communications and cloud computing. Eases the burden on customers’ tests and machinery management, and reduces equipment downtime. Espec’s new network service Business trip Remote office destination Suppor

  18. Slide 18: Home-based Online Service

    Service Business After–Sales Service “Home-based online service” to support continuity of customers’ development operations When using ESPEC products When using laboratory testing center Operate equipment and monitor samples from home All testing operations performed on behalf of ・Centralized manage

  19. Slide 19: Laboratory Testing Services: 100% Green Electricity

    Service Business Laboratory Testing Services First in Japan to realize 100% green electricity for laboratory testing services Contributing to the reduction of CO2 emissions in customers’ supply chains We introduced renewable energy and became first in Japan to realize 100% green electricity for labo

  20. Slide 20: Laboratory Testing Services

    Service Business Laboratory Testing Services First testing facility in Japan to address World’s first German Automotive Manufacturer Testing Battery Safety Testing Center compliant Standards with United Nations regulations Renovated the Toyota Test Center Providing a one-stop service to support the

  21. Slide 21: Other Business

    Other Business Environmental Preservation ■Reforestation (Tree planting) Recovery of local forest by selecting species and planting out seedlings using potential natural vegetation data. ■Waterfront biotope restoration Reconstruction of natural environment, 1 development of vegetative revetments, an

  22. Slide 22: Other Business Plant Production Systems

    Other Business Plant Production Systems Produced a high value-added vegetables using deep sea water Production and sales of vegetables high in minerals with the use of deep sea water at a plant factory near Haneda Airport. Interior of the plant factory and factory-produced vegetables “mineraleaf” 21

  23. Slide 23: Other Business Examples of Products Delivered

    Other Business Examples of Products Delivered (Delivered in Mar. 2016) ■Arid Land Research Center, Tottori University Products delivered: Experimental System for Analyzing Responses of Dryland plants to Climate Changes (2 units) (Simulates the climates of arid lands, including high temperature, low

  24. Slide 24: Strengthen Technology Development Capability

    Strengthen Technology Development Capability (Introduction to technology development building) Objective: Strengthen technology development capabilities by encouraging open innovation and promote preservation of biodiversity Concepts : “Open innovation,” “Open communication,” Rooftop green space usi

  25. Slide 25: ESPEC's All Weather Simulation Chamber

    Introduction to ESPEC’s All Weather Simulation Chamber (in the Kobe R&D Center) (Mar. 2021) Opened the world’s first All Weather Simulation Chamber Encouraging open innovation and strengthening environmental creation technology Replicates dynamic climate environments with high-precision control and

  26. Slide 26: About ESPEC's Sustainability

    About ESPEC’s SDGs and ESG Initiatives ■ About ESPEC’s Sustainability Guided by our corporate philosophy, “THE ESPEC MIND,” ESPEC will help to solve social and environmental issues through businesses centered on environmental creation technology, with the aim of achieving sustainable growth. 25

  27. Slide 27: THE ESPEC MIND (Excerpt)

    Corporate Philosophy Our important values that have been passed on since our inception “THE ESPEC MIND” (Excerpt) The Origin Aim for better value exchange as a public institution Provide more certain Seikankyo (living environment) via Mission environmental creation technology Style Progressive, Reli

  28. Slide 28: Sustainability Policy and Materiality

    Sustainability Policy and Materiality Looking toward sustainable growth, we formulated a sustainability policy, and identified materiality (important issues) that must be addressed in order to produce social and economic value. Sustainability Policy ■ By putting our corporate philosophy (THE ESPEC M

  29. Slide 29: ESPEC's Contribution to the SDGs

    ESPEC’s Contribution to the SDGs ESPEC will contribute to the realization of a sustainable society by supplying products and services centered on environmental creation technology in a wide range of fields, including advanced technologies. ESPEC Customer products and Society technologies Realize a s

  30. Slide 30: ESPEC's Businesses and the SDGs

    ESPEC’s Businesses and the SDGs Equipment Business Contribute to the development of advanced technologies through the supply of products and services leveraging environmental creation technology ・Supply products and services that contribute to the development of advanced technologies to solve social

  31. Slide 31: ESPEC's Business and the SDGs

    ESPEC’s Business and the SDGs Service Business Contribute to the development of advanced technologies through the supply of products and services leveraging environmental creation technology ・Supply products and services that contribute to the development of advanced technologies to solve social and

  32. Slide 32: ESPEC's Business and the SDGs

    ESPEC’s Business and the SDGs Environmental Preservation Plant Production Systems Business Business Contribute to biodiversity Contribute to a stable food supply to address preservation global warming and extreme weather A business to restore natural environments through Supply plant factories that

  33. Slide 33: Contribute to SDGs in the Supply Chain

    Contribute to SDGs in the Supply Chain Procurement Development and design Production and logistics ・Conduct supplier evaluations, ・Develop and design environmentally ・Reduction of CO2 emissions including factors such as the friendly products with features such ・Appropriate management of chemical env

  34. Slide 34: Products and Services that Contribute to Resolving Environmental and Energy Issues

    Products and Services that Contribute to Resolving Environmental and Energy Issues ■ Product lineup to evaluate the performance and durability of secondary batteries, fuel cells, solar batteries and power devices Secondary Battery Charge- Fuel Cells Evaluation System Temperature Cycle Test System Po

  35. Slide 35: Biodiversity Preservation Initiatives

    Biodiversity Preservation Initiatives Kobe R&D Center, a hub for biodiversity preservation activities Developed rooftop green space using only plant species native to the northern Rokko region The site has a forest of approximately 30,000 trees comprising native plant species, planted and grown by e

  36. Slide 36: Contributing to COVID-19 Vaccination

    Contributing to COVID-19 Vaccination Contributing to the cold chain of COVID-19 vaccines ・Launched sales of freezer for temperature controlled transport in April 2021, and launched sales of ultra-low temperature freezers in June 2021, and also expanded services. ・Free rental of constant temperature

  37. Slide 37: Promotion of Diversity

    Promotion of Diversity Opened ESPEC Smile Farm, a plantation Initiatives to promote women's success staffed by workers with disabilities ・Opened a farm staffed by workers with disabilities within a rented farm operated by a company to support the hiring of people with disabilities in November 2021.

  38. Slide 38: Employee Education/Donation System

    Employee Education/Donation System Employee Education System ESPEC Smile Club: a donation system Enhancement featuring employee participation ・Implement training sessions to share the corporate ・Established a matching gift system in which philosophy the company matches donations made by employees ・I

  39. Slide 39: Contributions to Society

    Contributions to Society ESPEC Foundation for Earth Environment Tree Planting Ceremony at “Millenium Hope Hills” Research and Technologies in Iwanuma, Miyagi Prefecture ・Provides funding support every year for research, ・A disaster recovery project started in 2013 technology development on global en

  40. Slide 40: Non-Financial Data (Environmental Aspects)

    Non-Financial Data (Environmental Aspects) Number of participants in ESPEC Midori-no- Contribution to CO2 emissions mitigation gakko schools (ESPEC Green School) through the sale of energy efficient products Total amount of effluents Number of seedlings provided for green curtains (t- CO2 ) (t) Wast

  41. Slide 41: Non-Financial Data (Social Aspects)

    Non-Financial Data (Social Aspects) FY 2021 Results Number of registered Number of employees Number of female officers (consolidated) members of the (including executive officers) “Test Navi” information website for engineers 1,628 2 Number of employees at overseas consolidated subsidiaries Ratio of

  42. Slide 42: External Recognition

    External Recognition July, 2022 ・ Ranked 334th in Toyo Keizai Inc.’s 2022 SDGs Corporate Ranking April, 2022 ・First Selection as Part of FTSE Blossom Japan Sector Relative Index February, 2022 ・Ranked 334th in Toyo Keizai Inc.’s 2022 CSR Corporate Ranking December, 2021 ・A score of B for the second

  43. Slide 43: Quality is more than a word

    Quality is more than a word ESOEC ESPEC CORP.

Espec — Investor Presentation (August 2022) on 6ix