Taiyo Yuden Co., Ltd. · TSE:6976

Taiyo Yuden — Q2 FY2023 Earnings Presentation

30 slides from Taiyo Yuden's earnings presentation, Nov 7, 2022

  1. Slide 1: Consolidated Financial Results

    Consolidated Financial Results Second quarter for the year ending March 31, 2023 Katsuya Sase Chief of Management Planning Headquarters November 7, 2022 ©TAIYO YUDEN 2017

  2. Slide 2: Financial Summary

    Financial Summary 2Q for the Year Ending March 2023 Net sales were ¥86.3 billion, up 6% Q/Q. Sales of inductors were up 29% Q/Q, driving the increase in sales overall. The recovery in demand was slower than our forecast, and sales were lower than expected as of August. Operating profit was ¥16.5 bil

  3. Slide 3: 2Q – Consolidated Financial Results (Q/Q)

    2Q – Consolidated Financial Results (Q/Q) FYE Mar 31, 2023 FYE Mar 31, 2023 ¥ in million 1Q 2Q Change Q/Q (01 Apr 2022 – 30 Jun 2022) (01 Jul 2022 – 30 Sep 2022) Net sales 81,740 100.0% 86,272 100.0% 4,532 5.5% Operating profit 13,142 16.1% 16,475 19.1% 3,332 25.4% Ordinary profit 17,204 21.0% 18,35

  4. Slide 4: 2Q – Factors behind Operating Profit (Q/Q)

    2Q – Factors behind Operating Profit (Q/Q) Operating profit (2Q FYE Mar 2023) 16.5 Operating profit (1Q FYE Mar 2023) 13.1 Effect from Currency capacity fluctuations utilization Effect from +3.5 +2.4 cost reductions ±0 (1.2) (1.3) Impact of Changes selling price In fixed costs ©TAIYO YUDEN 2017 4

  5. Slide 5: 2Q – Financial Results by Product Classification (Q/Q)

    2Q – Financial Results by Product Classification (Q/Q) FYE Mar 31, 2023 FYE Mar 31, 2023 ¥ in million Change Q/Q 1Q 2Q Capacitors 54,583 66.8% 56,438 65.4% 1,855 3.4% Inductors 11,748 14.4% 15,156 17.6% 3,408 29.0% Integrated modules & devices 9,159 11.2% 8,276 9.6% (882) (9.6)% Others 6,248 7.6% 6,

  6. Slide 6: 2Q – Financial Results by Product Classification (Q/Q)

    2Q – Financial Results by Product Classification (Q/Q) ■ Capacitors (+3.4% Q/Q) Sales increased for use in a wide range of applications, including information equipment and automobiles. Sales for use in IT infrastructure/industrial equipment decreased slightly. ■ Inductors (+29.0% Q/Q) Sales increas

  7. Slide 7: Sales by Market Sector

    Sales by Market Sector Consumer products • TV • Game console • Smart watch Information equipment • Tablet device • PC • HDD, SSD Communication equipment • Smartphone Automotive • ADAS • Meter cluster • ECU IT infrastructure/ Industrial equipment • Base station communication device • Server • Securit

  8. Slide 8: Forecast of Consolidated Performance

    Forecast of Consolidated Performance for the year ending March 31, 2023 ©TAIYO YUDEN 2017

  9. Slide 9: Full-Year Forecast (compared with the previous forecast)

    Full-Year Forecast (compared with the previous forecast) FYE Mar 31, 2023 FYE Mar 31, 2023 Forecast as of May 10 Forecast as of Nov 7 ¥ in million 1H 2H Full year 1H 2H Full year Actual results Net sales 183,000 202,000 385,000 168,013 173,987 342,000 Operating profit 32,000 38,000 70,000 29,618 12,

  10. Slide 10: Full-Year Forecast (Y/Y)

    Full-Year Forecast (Y/Y) FYE Mar 31, 2023 ¥ in million FYE Mar 31, 2022 Change Y/Y Forecast as of Nov 7 Net sales 349,636 100.0% 342,000 100.0% (7,636) (2.2)% Operating profit 68,218 19.5% 42,000 12.3% (26,218) (38.4)% Ordinary profit 72,191 20.6% 48,000 14.0% (24,191) (33.5)% Profit attributable to

  11. Slide 11: Factors behind Operating Profit (Y/Y)

    Factors behind Operating Profit (Y/Y) Operating profit (FYE Mar 2022) 68.2 Operating profit (FYE Mar 2023) Currency 42.0 fluctuations +29.9 (2.0) (4.8) (10.6) Effect from Changes Impact of cost in selling price reductions fixed costs (38.7) Effect from capacity utilization ©TAIYO YUDEN 2017 11

  12. Slide 12: Forecast by Product Classification (compared with the previous forecast)

    Forecast by Product Classification (compared with the previous forecast) FYE Mar 31, 2023 FYE Mar 31,2023 Forecast as of May 10 Forecast as of Nov 7 ¥ in million 1H 2H Full year 1H 2H Full year Actual results Capacitors 126,000 136,000 262,000 111,021 114,979 226,000 Inductors 27,000 29,500 56,500 2

  13. Slide 13: Forecast by Product Classification (Y/Y)

    Forecast by Product Classification (Y/Y) FYE Mar 31, 2023 ¥ in million FYE Mar 31, 2022 Change Y/Y Forecast as of Nov 7 Capacitors 230,383 65.9% 226,000 66.1% (4,383) (1.9)% Inductors 48,925 14.0% 56,000 16.4% 7,075 14.5% Integrated modules & devices 48,799 14.0% 33,000 9.6% (15,799) (32.4)% Others

  14. Slide 14: 2H - Forecast by Product Classification

    2H - Forecast by Product Classification FYE Mar 31, 2023 FYE Mar 31, 2023 FYE Mar 31, 2023 ¥ in million 2Q 3Q 4Q (Q/Q) (Q/Q) Capacitors 56,438 Almost flat Approx. +4% Inductors 15,156 +8~12% (29~22)% Integrated modules & devices 8,276 (9~5)% (2)~+7% Others 6,400 +6~10% +4~12% Total net sales 86,272

  15. Slide 15: Supplementary Information

    Supplementary Information ©TAIYO YUDEN 2017

  16. Slide 16: Impact of International Situation, COVID-19 and Other Factors

    Impact of International Situation, COVID-19 and Other Factors Shipments were sluggish in April – May 2022 given the impact of Sales large-scale lockdowns in some regions due to the spread of COVID-19. Although procurement costs are rising and procurement lead Procurement times increasing, we do not

  17. Slide 17: Shareholder Return Policy

    Shareholder Return Policy Annual cash dividends per 20 20 21 26 40 80 90 share (yen) Net income per share (yen) 46.08 138.80 189.93 143.04 227.99 433.46 268.84 Aim to achieve a stable dividend payout ratio of 30% ©TAIYO YUDEN 2017 17

  18. Slide 18: 2Q – Consolidated Financial Results (Y/Y)

    2Q – Consolidated Financial Results (Y/Y) FYE Mar 31, 2022 FYE Mar 31,2023 ¥ in million Change Y/Y 2Q 2Q Net sales 88,833 100.0% 86,272 100.0% (2,560) (2.9)% Operating profit 19,508 22.0% 16,475 19.1% (3,033) (15.5)% Ordinary profit 20,370 22.9% 18,355 21.3% (2,015) (9.9)% Profit attributable to own

  19. Slide 19: 2Q – Factors behind Operating Profit (Y/Y)

    2Q – Factors behind Operating Profit (Y/Y) Operating profit (2Q FYE Mar 2022) 19.5 Operating profit (2Q FYE Mar 2023) 16.5 Currency fluctuations +8.0 (0.5) Effect from (1.9) (2.7) Changes in Impact of cost (5.9) reductions fixed costs selling price Effect from capacity utilization ©TAIYO YUDEN 2017

  20. Slide 20: 2Q – Financial Results by Product Classification (Y/Y)

    2Q – Financial Results by Product Classification (Y/Y) FYE Mar 31, 2022 FYE Mar 31, 2023 ¥ in million Change Y/Y 2Q 2Q Capacitors 59,035 66.5% 56,438 65.4% (2,596) (4.4)% Inductors 12,863 14.5% 15,156 17.6% 2,293 17.8% Integrated modules & devices 11,959 13.5% 8,276 9.6% (3,682) (30.8)% Others 4,975

  21. Slide 21: 2Q – Financial Results by Product Classification (Y/Y)

    2Q – Financial Results by Product Classification (Y/Y) ■ Capacitors ((4.4)% Y/Y) Sales for use in information equipment, automobiles, and IT infrastructure/industrial equipment increased while sales for use in communication equipment decreased. ■ Inductors (+17.8% Y/Y） Sales increased for use in con

  22. Slide 22: 1H – Consolidated Financial Results (Y/Y)

    1H – Consolidated Financial Results (Y/Y) FYE Mar 31, 2022 FYE Mar 31, 2023 ¥ in million Change Y/Y 1H 1H Net sales 172,670 100.0% 168,013 100.0% (4,657) (2.7)% Operating profit 34,655 20.1% 29,618 17.6% (5,037) (14.5)% Ordinary profit 35,544 20.6% 35,559 21.2% 15 0.0% Profit attributable to owners

  23. Slide 23: 1H – Factors behind Operating Profit (Y/Y)

    1H – Factors behind Operating Profit (Y/Y) Operating profit (1H FYE Mar 2022) 34.7 Operating profit (1H FYE Mar 2023) 29.6 Currency fluctuations +12.8 (1.0) (4.0) Effect from (4.1) Impact of cost Changes in reductions fixed costs selling price (8.8) Effect from capacity utilization ©TAIYO YUDEN 2017

  24. Slide 24: 1H – Financial Results by Product Classification (Y/Y)

    1H – Financial Results by Product Classification (Y/Y) FYE Mar 31, 2022 FYE Mar 31, 2023 ¥ in million Change Y/Y 1H 1H Capacitors 112,244 65.0% 111,021 66.1% (1,222) (1.1)% Inductors 24,250 14.0% 26,905 16.0% 2,655 11.0% Integrated modules & devices 25,936 15.0% 17,436 10.4% (8,500) (32.8)% Others 1

  25. Slide 25: 1H – Financial Results by Product Classification (Y/Y)

    1H – Financial Results by Product Classification (Y/Y) (¥ in billion) ■ Capacitors ((1.1% Y/Y) Sales for use in information equipment, automobiles, and IT infrastructure/industrial equipment increased. Sales for use in smartphones in China decreased. ■ Inductors (+11.0% Y/Y) Sales for use in consume

  26. Slide 26: Consolidated Earnings Trends (Quarterly)

    Consolidated Earnings Trends (Quarterly) FYE Mar 31, FYE Mar 31, 2021 FYE Mar 31, 2022 ¥ in million 2023 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q Net sales 60,493 79,728 81,226 79,471 83,836 88,833 89,840 87,125 81,740 86,272 Capacitors 40,075 52,596 51,895 50,630 53,209 59,035 59,787 58,352 54,583 56,438 Indu

  27. Slide 27: Consolidated Earnings Trends (Quarterly)

    Consolidated Earnings Trends (Quarterly) Net sales ©TAIYO YUDEN 2017 27

  28. Slide 28: Orders Received and Order Backlog Trends (Quarterly)

    Orders Received and Order Backlog Trends (Quarterly) (¥ in billion) ■ Capacitors ■ Inductors ■ Integrated modules & devices ■ Others ©TAIYO YUDEN 2017 28

  29. Slide 29: Forward-looking statements

    Forward-looking statements This document contains information about the plans, business results, and strategies of TAIYO YUDEN CO., LTD. and the TAIYO YUDEN Group. These forward-looking statements other than historical facts represent judgments made by the Company based on information available at p

  30. Slide 30: ©TAIYO YUDEN 2017

    TAIYO YUDEN @©TAIYO YUDEN 2017

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