Slide 1: Summary of Consolidated Financial Results for the Third Quarter of F.Y. 2020
Summary of Consolidated Financial Results for the Third Quarter of F.Y. 2020 (Jan.1 to Sep.30, 2020) OPTEX GROUP CO., LTD. November 9, 2020 （Tokyo Stock Exchange Market 1st Section:#6914） <Disclaimer> The forward-looking statements, including OPTEX CO., LTD.’s operating results, strategies, and busi
Slide 2: Key Points of Financial Results from 3Q of F.Y. 2020
Key Points of Financial Results from 3Q of F.Y. 2020 ・Net sales were -9% year on year, reflecting sluggish growth due to continued restraints on economic activities amid the COVID-19 pandemic. ・Operating income was -32% year on year due to a decline in gross profit, despite cost-cutting initiatives
Slide 3: Summary of Consolidated Financial Results for the Third Quarter of F.Y. 2020
Summary of Consolidated Financial Results for the Third Quarter of F.Y. 2020 Operating Results F.Y.2019 3Q F.Y.2020 3Q Percent Change (Unit: million yen) (1-9) Results (1-9) Results Change Net sales 27,591 25,178 -2,413 -8.7% Operating income 1,868 1,266 -602 -32.2% （Operating income Ratio） （6.8%） （
Slide 4: Quarterly performance - Consolidated Net Sales (Year-on-year)
Quarterly performance - Consolidated Net Sales (Year- on-year) 9,926 9,285 9,308 249 9,322 8,998 8,801 236 279 8,542 294 362 219 EMS/Other 2,555 7,835 237 Business 2,305 2,408 2,448 2,181 2,325 195 1,889 2,188 MVL Business 1,838 1,755 1,789 1,758 1,562 1,911 1,956 FA Business 1,821 SS Business 4,989
Slide 5: Comparison of Financial Results for the Third Quarter between Segments
Comparison of Financial Results for the Third Quarter of F.Y. 2020 between Segments Operating F.Y. 2019 3Q（1-9）Results F.Y. 2020 3Q（1-9）Results Results Operating income Operating (Unit: Percent income Percent Net sales （Operating Net sales million yen) income Ratio） Change （Operating Change income R
Slide 6: Factors of change in Net Sales (Year-on-year)
Factors of change in Net Sales （Year- on-year） SS 27,591 Business -1,549 FA MVL Business Business Impact of +4 EMS Other -456 Business Exchange Business Rate -141 -81 -190 25,178 F.Y. 2019 Consolidated Net Sales F.Y. 2020 3Q（1-9）Results -¥2,413 million 3Q（1-9）Results Copyright (C) 2020 OPTEX GROUP C
Slide 7: Factors of change in Operating Income (Year-on-year)
Factors of change in Operating Income （Year- on-year） Sales 1,868 Decrease -1,198 Impact of Increase Exchange in Expenses Rate 1,266 +58 +713 Impact of Exchange COS% Up Rate -57 -118 Gross operating income Selling, general and administrative Expenses F.Y. 2019 Consolidated Operating F.Y. 2020 3Q（1-9
Slide 8: Business by Segment - SS Business (Security Sensors)
Business by Segment - SS Business(Security Sensors) Region F.Y. 2020 3Q（1-9）Results Sales decreased due to sluggish sales of outdoor intrusion detectors for security companies and for Japan large-scale critical facilities. Sales fell due to postponements of projects for large-scale critical faciliti
Slide 9: Business by Segment - SS Business (Automatic Door Sensors)
Business by Segment - SS Business(Automatic Door Sensors) Region F.Y. 2020 3Q（1-9）Results Sales decreased due to sluggish sales as investment continued to be curbed in the Japan retail industry amid the COVID-19 pandemic. Sales fell as sales to and installation at major customers in North America we
Slide 10: Initiatives for SS Business (Automatic Door Sensors)
Initiatives for SS Business(Automatic Door Sensors) Remote monitoring using data obtained from automatic door sensors OPTEX CO., LTD. develops Japan’s first automatic door data platform. Fulltech INC.* will use the platform in its automatic door maintenance service (January 2021). *Fulltech INC. sel
Slide 11: Business by Segment - Factory Automation Business
Business by Segment - Factory Automation Business Region F.Y. 2020 3Q（1-9）Results Sales decreased due to sluggish capital expenditures in the automobile-related Japan industries, although sales of image sensors were firm in the food industry. Sales remained flat as restrictions on economic activitie
Slide 12: Business by Segment - Machine Vision Lighting (MVL) Business
Business by Segment - Machine Vision Lighting (MVL) Business Region F.Y. 2020 3Q（1-9）Results Sales fell, reflecting restrictions on sales activities from the second quarter, although Japan sales related to 5G investments were solid. Sales rose as restrictions on economic activities due to the COVID-
Slide 13: Initiatives for Machine Vision Lighting (MVL) Business
Initiatives for Machine Vision Lighting (MVL) Business Launching LED lights for testing that is seamlessly linked to industrial cameras Joint development with CCS Inc. and Basler of Germany* LED lighting for image inspection “Basler Camera Light” *Basler AG is a world-leading manufacturer of high-qu
Slide 14: F.Y. 2020 Consolidated Earnings Projection
F.Y. 2020 Consolidated Earnings Projection F.Y. 2019 F.Y. 2020 Revised Percent Operating Results Change (Unit: million yen) （1-12）Results Projections Change （Announced on Jul. 13) Net sales 37,517 34,500 -3,017 -8.0% Operating income 2,856 1,800 -1,056 -37.0% （Operating income Ratio） （7.6%） （5.2%） O
Slide 15: Revisions to the F.Y. 2020 Dividend Projection
Revisions to the F.Y. 2020 Dividend Projection Year-end dividend（¥） Interim dividend（¥） 90.4 32.5 Acquisition of treasury shares 30 30 27.5 2018 2019 1.5 22.5 Amount 1.billion yen 15 billion yen 15 15 No. of 700,000 670,000 41.2 15 shares shares shares 54.1 28.2 28.6 12.5 17.5 15 * 15 *The amount in
Slide 16: Growth Strategy
Growth Strategy Copyright (C) 2020 OPTEX GROUP CO., LTD. 16
Slide 17: Predicted Social Phenomenon_Deterioration of Public Order
Predicted Social Phenomenon_Deterioration of Public Order The number of crimes targeting empty offices and stores is trending up as more people work from home and businesses voluntarily close or shorten their operating hours. Burglary and car theft are up by 46% and 61% (YoY)respectively. According
Slide 18: Our Growth Strategy_Security sensors
Our Growth Strategy_Security sensors Accelerate sales expansion of “Visual Verification Solutions” in Europe and the U.S. amid drawn-out COVID-19 crisis Monitoring company （Security company） Outdoor security sensor Cloud Working in (Current) conjunction When sensors detects something, with each othe
Slide 19: Predicted Social Phenomenon_Non-contact
Predicted Social Phenomenon _Non-contact Demand for “touchless” technology is growing in all walks of life, including elevator buttons, light switches, touch panels and thermometers. Copyright (C) 2020 OPTEX GROUP CO., LTD. 19
Slide 20: Our Growth Strategy_Automatic door sensors
Our Growth Strategy_Automatic door sensors We are currently facilitating shift away from existing products to Shift from manual doors to automatic ”non-contact” products doors will accelerate in the future Automatic door sensor Push-button switch Touchless “Clean Switch” Doorknob Automatic door Grow
Slide 21: Predicted Social Phenomenon_More time spent at home
Predicted Social Phenomenon _ More time spent at home Meal replacement products (pre-cooked dishes and convenience store bento) Increased internet use, including telework, market size is expanding as more people online lessons and online medical work from home consultations, will accelerate 5G Copyr
Slide 22: Our Growth Strategy_Factory Automation
Our Growth Strategy_Factory Automation Expand line-up of factory sensors and machine vision lighting products for manufacturing industries, and strengthen solution proposals For food and packaging industries For semiconductor and electric and electronic parts industries Demand related to capital inv
Slide 23: https://www.optexgroup.co.jp/en/
https://www.optexgroup.co.jp /en /
Slide 24: Company Overview
Company Overview Copyright (C) 2020 OPTEX GROUP CO., LTD. 24
Slide 25: Company Overview
Company Overview Company Name OPTEX GROUP CO., LTD. Location Shiga Otsu, Japan The OPTEX Group Established May 25, 1979 is an integrated Capital 2,798 million JPY manufacturer of sensors. Sales 37,517 million JPY To see things what eyes cannot see, that is our business ! Operating Profit 2,856 milli
Slide 26: Trends in Consolidated Performance
Trends in Consolidated Performance 2019 - U.S.-China trade tensions, economic slowdown in China - Deceleration in demand for smartphone- related capital investment 2016 2020 - Acquired CCS Inc. - COVID-19 40,113 37,504 37,517 34,500 2008 31,027 - Lehman Brothers collapse 27,793 25,678 4,885 4,989 23
Slide 27: Company Overview_History
Company Overview _ History 1979 Established OPTEX CO., LTD. 1980 Developed the world's first Automatic Door Sensors with far-infrared Founding members 1985 Founded a subsidiary in California, U.S.A. 1991 Made the company's stock public. 1996 Developed Outdoor Crime Prevention Sensors 2001 Listed on
Slide 28: Company Overview_Holding Company Structure
Company Overview _ Holding Company Structure Holding Company OPTEX GROUP CO., LTD （Tokyo Stock Exchange Market 1st Section：#6914） OPTEX CO.,LTD. OPTEX FA CO., LTD. CCS Inc. Three Ace Co., Ltd. OPTEX MFG Co., Ltd. O'PAL OPTEX CO.,LTD. Sales & Development Sales & Development Sales, Development Manufac
Slide 29: Company Overview_Data
Company Overview _ Data Sales by Product Category Sales by Region EMS/ Others Asia/ 3% Oceania 12% MVL AMERICAs 25% SS 13% 37.5 Security Sensors 37.5 Japan billion yen 35% billion yen 45% (F.Y.2019) (F.Y.2019) SS FA Automatic EMEA 19% SS Door Sensors 30% Others 12% 6% EMEA : Europe, the Middle East,
Slide 30: Company Overview_Global Market Share
Company Overview _ Global Market Share Global niche No.1 Security Automatic door Machine vision sensors sensors lighting 40% Intrusion detector 30% Automatic door 30% LED lighting for outdoor sensor for inspection Infrared sensor Sensor for large-scale critical facilities Push plate LED lighting sys
Slide 31: Business Domain_Security sensors
Business Domain _ Security sensors Largest market share in the world for intrusion detectors for outdoor use Residential home・Commercial facilities Residence Office [Security company] Alarm Guard visit service signal Outdoor sensors Rush to the scene Police rush in Europe and the United States Impor
Slide 32: Business Domain_Automatic door sensors
Business Domain _ Automatic door sensors Domestic market Share: Over 50% Jun. 2020 Automatic door sensors selected for the Overseas market Share: Over 20% New Global Niche Top Companies Selection 100 by the Ministry of Economy, Trade and Industry. In 1980, we applied the far-infrared ray, Over 60% s
Slide 33: Business Domain_Factory Automation sensors
Business Domain _ Factory Automation sensors Provision of sensors for factory automation which help automate factory production processes and save labor Displacement sensors Image sensors Photoelectric sensors Products for the semiconductor and Products for the three-item industries Products for the
Slide 34: Business Domain_Machine Vision Lighting
Business Domain _ Machine Vision Lighting CCS produces lighting for image inspection using LED since 1993. Lighting for image inspections * When producing something at a plant, each stage of work requires an “inspection” process. Photos or images of the inspection targets are Bearing raised characte
Slide 35: ESG's Efforts
ESG’s Efforts _ We have been making efforts to improve our corporate value by responding positively to ESG tasks. Environment Social Governance Products and services helping Relationships with local Corporate governance resolve environment issues communities Sensors for shutters that help reduce ene