Slide 1: Financial Results Briefing FY Ended March 31, 2024
Fukoku Co., Ltd. (TSE Prime Market: 5185) May 22, 2024 Financial Results Briefing FY Ended March 31, 2024 Copyright © Fukoku Co., Ltd. All Rights Reserved.
Slide 2: Agenda
Agenda 2/27 1. Financial Results: Key Points 2. Results for FY Ended March 31, 2024 3. Forecast of Results for FY Ending March 31, 2025 4. Status per Segment/Region 5. Returns to Shareholders 6. Progress of the Medium-Term Management Plan Financial Results Briefing for the Fiscal Year Ended March 31
Slide 3: 1. Financial Results: Key Points
3/27 1. Financial Results: Key Points Financial Results Briefing for the Fiscal Year Ended March 31, 2024 Fukoku Co., Ltd. (TSE Prime Market: 5185) May 2024 Copyright © Fukoku Co., Ltd. All Rights Reserved.
Slide 4: Financial Results: Key Points
1. Financial Results: Key Points 4/27 Results for FY Ended March 31, 2024 The Company faced impacts such as the economic downturn in China and the continued high cost of raw materials due to high resource prices. However, mitigation of the impact of production adjustments by automobile manufacturers
Slide 5: 2. Results for FY Ended March 31, 2024
5/27 2. Results for FY Ended March 31, 2024 Financial Results Briefing for the Fiscal Year Ended March 31, 2024 Fukoku Co., Ltd. (TSE Prime Market: 5185) May 2024 Copyright © Fukoku Co., Ltd. All Rights Reserved.
Slide 6: Summary of Results (Consolidated)
2. Results for FY Ended March 31, 2024 6/27 Summary of Results (Consolidated) (JPY Millions) FY ended FY ended March 31, March 31, 2023 2024 Change Results Results Change rate Net sales 82,318 88,847 +6,529 +7.9% Operating profit 2,010 3,646 +1,636 (Operating profit to net sales) (2.4%) (4.1%) (+1.7
Slide 7: Business performance trends (Half-year)
2. Results for FY Ended March 31, 2024 7/27 Business performance trends（Consolidated, Half-year financial results） (JPY 100M) Net sales Operating profit 500 30 400 20 300 200 10 100 0 0 23/3 23/3 24/3 24/3 23/3 23/3 24/3 24/3 H1 H2 H1 H2 H1 H2 H1 H2 Ordinary profit Profit 30 30 20 20 10 10 0 0 23/3
Slide 8: Difference in consolidated operating profit (YoY)
2. Results for FY Ended March 31, 2024 8/27 Difference _ consolidated operating profit (YoY) (JPY 100M) 40 35 30 FY ended March 31, 2024 25 Costs of raw materials and 20 Responses to fluctuations Degree of operation FY ended March 31, 2023 transportation 15 10 Expenses Rationalization 5 0 Financial
Slide 9: Financial Position, Cash Flow (Consolidated)
2. Results for FY Ended March 31, 2024 9/27 Financial Position, Cash Flow（Consolidated） (JPY Millions) FY ended FY Ended FY ended FY Ended March 31, 2023 March 31, 2024 Change (YoY) March 31, 2023 March 31, 2024 Results Results Results Results Cash and deposits 9,972 12,011 2,039 Profit before tax 3
Slide 10: 3. Forecast of Results for FY Ending March 31, 2025
10/27 3. Forecast of Results for FY Ending March 31, 2025 Financial Results Briefing for the Fiscal Year Ended March 31, 2024 Fukoku Co., Ltd. (TSE Prime Market: 5185) May 2024 Copyright © Fukoku Co., Ltd. All Rights Reserved.
Slide 11: Forecast of Results (Consolidated)
3. Forecast of Results for FY Ending March 31, 2025 11/27 Forecast of Results (Consolidated) (JPY Millions) FY ended FY ending March 31, March 31, 2024 2025 Results Forecast Change Change rate Net sales 88,847 93,000 +4,153 +4.7% Operating profit 3,646 4,800 +1,154 (Operating profit to net sales) (4
Slide 12: Forecast of Results (Consolidated) charts
3. Forecast of Results for FY Ending March 31, 2025 12/27 Forecast of Results (Consolidated) (JPY 100M) Net sales Operating profit 1,000 50 900 800 40 700 600 30 500 400 20 300 200 10 100 0 0 23/3 24/3 25/3 23/3 24/3 25/3 Ordinary profit Profit 50 50 45 45 40 40 35 35 30 30 25 25 20 20 15 15 10 10 5
Slide 13: Difference in consolidated operating profit (YoY) forecast
3. Forecast of Results for FY Ending March 31, 2025 13/27 Difference _ consolidated operating profit (YoY) (JPY 100M) 50 45 40 35 FY ended March 31, 2025 Costs of raw materials and Degree of operation Responses to fluctuations 30 FY ended March 31, 2024 transportation 25 20 Expenses Rationalization
Slide 14: 4. Status per Segment/Region
14/27 4. Status per Segment/Region Financial Results Briefing for the Fiscal Year Ended March 31, 2024 Fukoku Co., Ltd. (TSE Prime Market: 5185) May 2024 Copyright © Fukoku Co., Ltd. All Rights Reserved.
Slide 15: Status per Segment
4. Status per Segment/Region 15/27 *Due to a change in the reporting segment, FY ending March 31, 2025 the figures for FYs ended March 31, 2023, Per segment and 2024 are after the reclassification of FY ended March 31, 2024 the industrial equipment segment. FY ended March 31, 2023 (JPY Millions) Net
Slide 16: Status per Region
4. Status per Segment/Region 16/27 FY ending March 31, 2025 Per Region FY ended March 31, 2024 (JPY Millions) FY ended March 31, 2023 Net sales Operating profit Japan Japan ASEAN & ASEAN & India India China China South South Korea Korea Americas & Americas & Europe Europe *Before consolidation adjus
Slide 17: 5. Returns to Shareholders
17/27 5. Returns to Shareholders Financial Results Briefing for the Fiscal Year Ended March 31, 2024 Fukoku Co., Ltd. (TSE Prime Market: 5185) May 2024 Copyright © Fukoku Co., Ltd. All Rights Reserved.
Slide 18: Returns to Shareholders
5. Returns to Shareholders 18/27 Views on shareholder returns (basic policy on dividends) ◼ Continue providing stable dividends with a consolidated dividend payout ratio of 30% as the standard ◼ Provide dividends of 20 yen per share a year as the minimum As per the target in *Except in the case wher
Slide 19: 6. Progress of the Medium-Term Management Plan
19/27 6. Progress of the Medium-Term Management Plan Financial Results Briefing for the Fiscal Year Ended March 31, 2024 Fukoku Co., Ltd. (TSE Prime Market: 5185) May 2024 Copyright © Fukoku Co., Ltd. All Rights Reserved.
Slide 20: Overview of the new Medium-Term Management Plan 2026
6. Overview of the new Medium-Term Management Plan 2026 20/27 Structural enhancement Profitability improvement Rapid growth Corporate value Productio n process Collaboration stream -lining Collaborating with diverse SX stakeholders to create new value DX Cost GX Reduction Improving back- Defect offi
Slide 21: Review of the previous Medium-Term Management Plan
6. Review of the previous Medium-Term Management Plan 21/27 (FY ended March 31, 2022 – FY ended March 31, 2024) Structural enhancement Profitability improvement Rapid growth Corporate value SX DX GX Long-Term Management Plan 前中期経営計画 New Medium-Term Management Plan 2021 2022 2023 2024 2025 2026 2027
Slide 22: Review of previous plan: sales, margin, ROE, payout ratio
6. Review of the previous Medium-Term Management Plan 22/27 (FY ended March 31, 2022 – FY ended March 31, 2024) Consolidated sales・Ordinary profit margin ・ROE・Consolidated payout ratio Target Results (Year ending March 2024) (Year ending March 2024) Consolidated sales (JPY100M) 800 888 Ordinary prof
Slide 23: Review of previous plan: achievement status
6. Review of the previous Medium-Term Management Plan 23/27 (FY ended March 31, 2022 – FY ended March 31, 2024) Achievement status Deepening and Developing • Expanding CASE businesses Overview ◼ Expansion in sales of battery hold sheets and development of new structures ◼ Efficient cooling of batter
Slide 24: Overview of the new Medium-Term Management Plan 2026
6. Overview of the new Medium-Term Management Plan 2026 24/27 Structural enhancement Profitability improvement Rapid growth Corporate value Productio n process Collaboration stream -lining Collaborating with diverse SX stakeholders to create new value DX Cost GX Reduction Improving back- Defect offi
Slide 25: New Medium-Term Management Plan 2026 Strategic Scheme
6. New Medium-Term Management Plan 2026 Strategic Scheme 25/27 (JPY 100M) Net sales Operating profit margin ROE 20% 1,500 15% 1,000 10% 500 5% 0 0% 2022 2023 2026 2030 Net sales 823 888 1,200 1,500 Operating 2.4% 4.1% 8.0% - profit margin ROE 6.3% 8.1% 12.0% - Financial Results Briefing for the Fisc
Slide 26: Balancing business strategies
6. New Medium-Term Management Plan 2026 Balancing business strategies 26/27 Growing growth businesses Enhancing existing businesses and new businesses Growing sales through solutions businesses Growing industrial and other products Development of/establishment of mass- ● Simulation design through in
Slide 27: Enhancing existing businesses: wiper rubber
6. New Medium-Term Management Plan 2026 Enhancing existing businesses 27/27 Wiper rubber Technological development OEM global market Production capacity increase total solution share expansion at main factory in Thailand FY2022 FY2030 45％ 65％ Further solidifying our top global market share Financial
Slide 28: Product introduction of Fukoku Wiper
28/27 Product introduction of Fukoku Wiper Please click the link to watch the movie. fukoku-rubber.co.jp/dcms_media/other/wiper_introduction.mp4 2024年3月期決算説明会 株式会社フコク(東証プライム:5185) 2024年5月 Copyright © Fukoku Co., Ltd. All Rights Reserved.
Slide 29: To transform all wishes into excitement.
29/27 To transform all wishes into excitement. Financial Results Briefing for the Fiscal Year Ended March 31, 2024 Fukoku Co., Ltd. (TSE Prime Market: 5185) May 2024 Copyright © Fukoku Co., Ltd. All Rights Reserved.
Slide 30: Note
30/27 Note ◆ This document contains forward-looking statements including strategies and management plans of Fukoku Co., Ltd. and its group companies. All statements contained in this document, other than statements regarding past and present facts, are forward-looking statements. These forward-looki
Slide 31: Appendix
31/27 Appendix Financial Results Briefing for the Fiscal Year Ended March 31, 2024 Fukoku Co., Ltd. (TSE Prime Market: 5185) May 2024 Copyright © Fukoku Co., Ltd. All Rights Reserved.
Slide 32: Trend of R&D Expenditures, Depreciation and Capital investments
Trend of R&D Expenditures, Depreciation and Capital investments 32/27 Trend of R&D Expenditures, Depreciation and Capital investments (JPY 100 M) 23/3 24/3 25/3 80 70 60 50 40 30 20 10 0 R&D Capital investments Depreciation Financial Results Briefing for the Fiscal Year Ended March 31, 2024 Fukoku C
Slide 33: Company Profile
Company Profile 33/27 Company Profile P ro duc ti o n a n d s al es o f Rub b er p ro duc ts, B usi n ess M eta l p ro duc ts ・ P l asti c p ro duc ts, p ro f i l e OA・ El ec tri c , dev i c es ・ M edi c al dev i c es etc . S ecuri ty c o de Pri m e m arket, To kyo S to c k Exc h an ge (5 1 8 5 ) Fo
Slide 34: Company Profile: History
Company Profile 34/27 History Founder, Eiichi Kawamoto established Fukoku Rubber Industry Co., 1953 Dec Ltd. 1956 Apr Succeeded in developing Wiper blade rubber technology 1972 Sep Invested in Sueyoshi Industries Co., Ltd. 1983 Jan Thai Fukoku Co., Ltd. Was established in Bangkok, Thailand. Changed
Slide 35: Sales per business
Company Profile 35/27 Sales per business (FY2023 Consolidation) Functional Parts Industrial Equipment 4% Wiper blade rubber CVJ boots Diaphragm Metal Hose 8% 6% Anti-Vibration Parts Functional 88.8 parts 40% Billion JPY Damper pulley V-rod Viscous mount Metal Anti- vibration 42% Fuel tank for Door c
Slide 36: Sales per region, global network
Company Profile 36/27 Sales per region (FY2023 Consolidation) Global network Korea China 7% 8% Americas ＆ 88.8 Japan Europe 46% 18% Billion JPY ASEAN ＆ India 21% Japan Indonesia India 1953 1997 2010 Thailand America Vietnam 1983 2001 2011 *Based on countries or regions of customers locations Korea C
Slide 37: Our strength: wide variety of products
Company Profile 37/27 Our strength: Production and sales of a wide variety of products Financial Results Briefing for the Fiscal Year Ended March 31, 2024 Fukoku Co., Ltd. (TSE Prime Market: 5185) May 2024 Copyright © Fukoku Co., Ltd. All Rights Reserved.
Slide 38: High share products in niche fields
Company Profile 38/27 Domestic High share product Wiper blade rubber share ■ Other industries ■ Automotive industry Over 90% Viscous mount World (for Construction Share* Crankshaft damper Machinery) （％） 50% *our estimation 15% 70% Diaphragm Cell culture bag 30% 35% Ingot wire-saw Piston Seals CVJ bo
Slide 39: Award: 2020 Global Niche Top
Company Profile 39/27 Award: 2020 Global niche Top 100 June 2020 Fukoku was selected by the Ministry of Economy, Trade and Industry under the 2020 Global Niche Top Companies Selection 100 program that recognizes companies striving to capture global markets, securing a high market share in niche sect