Seiko Epson Corp. · TSE:6724
Seiko Epson — Q1 FY2015 Earnings Presentation
26 slides from Seiko Epson's earnings presentation, 2015
Slide 1: EPSON Exceed Your Vision - FY2015 Q1 Presentation
EPSON EXCEED YOUR VISION 20154 (201643AH#) 1H RAS 2015 7308 40 y YEARS
Slide 2: BRR RBLICRDSMICOWTOR ER BIA
BRR RBLICRDSMICOWTOR ER BIA SRARMCERAN TSH RORMICMS SRBUS, LRG ATA FOES ROP MCRD, MENS BUZIPFHERRESALCOTS. CORD, RAOMMSAESERBS RIL, RATURBLEAR MGS REE OMSCEROAGOBAKKAL, ROMPRES ADOBMLUTS, BRBLUMNORFAD. THMCHISTIV ONES MY-CAOMT RLENSICMISRBOME), GHMPEAGMMLOMA. F9/05-OBML, MMORMBEY Asses. 85, RMP EBES
Slide 3: Q1 FY2015 Results
[ACELO YOUN ven m1 2015 310+HiRe
Slide 4: Q1 results summary (1H)
RBS h (1H) EPSON a | 2,609 > « 76 EMR 2,462 - 2,60 +146 +6.0% 235 9.5% 165 6.3% -69 -29.8% S46 22.2% 465 gag © —- 383 -70.2% 1 (245) (10.0%) (-82) (-33.6%) 547, 22.2% 469 1% 386, -70.7% (246) (10.0%) (-86) (-35.0%) 465 18.9% 495 4.9% -360 -77.3% (165) (6.7%) (-59) (-36.1%) sue (29.43 1 20140608 1 QO
Slide 5: Quarterly revenue trend
TOEHAS_LUNZSHERS > BSI X> Kell EPSON 2,462) (2,665 3,019 (2,715 ERS ea (8) Meret +146 3,500 3,000 2,500 —— 2,000 1,500 1,000 —— 500 — meer +120 0 Co —_ . whiqus a © 7 _ aoe —e GG) Ga) Ge) Seay |Ster-aee -_ Wise RMA -2 2014/1Q = 2014/2Q_ = 2014/3Q_ = 2014/4Q_ = 2015/1Q
Slide 6: Printing solutions segment: inkjet printers
POERAZS _LINZStER Bm DUS 7yUa-savxvyxyk EPSON 11,597 cool © PCHUMAREAOML BE _ os 36 1,500 © AF), POSTUD9—-CoICR MBM +48 1,000 CUP : KBM1LI9DIEF Sag. 500 MAM +104 HERE LE ®@SIDM: mbes SIDM: ARFEEREE *14/1Q'15/1Q 0 DP 76% 77% “4 6 SIDM 12% 12% . 12% 11% CIXT MAAK ® DP: Inkjet printers ‘SIDM = Serial i
Slide 7: Visual communications segment
POERAZS _LINZSHER B OLPSI-eeIO99ye7x>b EPSON OOKS : NVI D> ERMA YAMOFIAAR > NK : BRT (ZILA wenn ||. co: mmmamremee : TRS FLMBIR "14/1Q'15/1Q % Lien KM «51% = 51% $M 38% 35% EO 11% 14% SC Oth : AMIS ISAR RABLOROM MSM -11 [Barzan TS ° 94> : SPST | WML 8=+7 2014/1Q 2015/1Q
Slide 8: Quarterly gross margin trend
DOH HAART ES RU — As ie BB ETS § 888 8 § 8 8 8 8 [707| [773] (806 | (7B _Laes tt) 26.7% 26.5% 2014/1Q 2014/2Q 2014/3Q 29.7% 2014/4Q 2015/1Q 29 a 28.0%
Slide 9: Operating income trend
OFA RASHES > BCI XD bel EPSON mermtt = -69 TEORICIA HMR vem) 235. (273) 345) 158) am 363 198 a 3 7 0 - .- a = woos (112) (107) (81 =119 — St - Wee 2014/1Q 2014/2Q = 2014/3Q 2014/4Q 2015/1Q meemt -14
Slide 10: Segment commentary
1 0OHA BAF ZOD b EPSON <AItF IRATE > @ DLT 1 IW 1—- Yay AO ses |CLOL HH Cihiszes = BUBIP ARI CHIDIA CHA a + IPOXBB1YI9DVEF NELUAREMOF HLA A IPOADIA- Wy SEF IEERSO NN A PHP RROKDOIRA CE AOR ERAS F A PibislC LOBE mORISIA NBN <ttAatiBitt> @ DUT 1D IW -Fay ZORIECLO SH CH FORE = RIEIPARYSOZAE + IJPOKBB1I
Slide 11: Segment results
PRAMS EPSON ab om au +11 BM aw +12 235 mee $Bh0 EDT ses -32 * BUFR AF 2014/1Q COME 2015/1Q ©: SURAT A RUS HIF NCAT MORAL ORC BAG OS: PROMO 10
Slide 12: Balance sheet: assets and equity
PARC AR ST St BIR Bes i i i BEA (HAE) 10,000 5,000 7,785 9,036 10,062 0 (8) 2013/3 2014/3% 2014/6% 2015/3% 2015/6% BARR IFRS IFRS IFRS IFRS HAE iE 2,000 nooo 1,635 1,932 o _ (RP) 2013/3% 2014/3% 2014/6% 2015/34 2015/6% Bae IFRS IFRS IFRS IFRS 11
Slide 13: Balance sheet: ratios and equity
MIKE BE SABE EPSON AFAR - ANF RAKE 34.9% oh.28 on 18.5% 18.8% 2,000 eae on 2014/3%& 2014/6% 2015/34 2015/62 IFRS IFRS IFRS IFRS RATOMA ABI SID MATL A A BIG D Le (BCH*- BCAA) 6,000 39.9% 44.6% 49.1% 49.3% 33.0% based 4,000 e— 4,943 0 = (@F3) «-2013/3% 2014/3% 2014/6% 2015/34 2015/64 Bae IFRS IFRS IFR
Slide 14: FY2015 Forecast
2 YOUR veBvON m2 20158 MY%
Slide 15: FY2015 forecast assumptions
2015S ERM PIBONR Yb EPSON <2015FS FAA iO LI. SEPA SHEAS> OHARA. BARTS. OD PRS, PHAR, KEFLIBEOMEACLRNSWNEOD, TUYI—- FOYIII-BEOS HB Cd, LIC CRAP ARERE SECO KEBRHBAL O TFYLOBAN BRAS, HEPIARICS LD RRIHSEOO, ERC Cat ills CHEB Y POX IID IEF ERTL A Y DPOMIF (hina) OMNB( CLS Amik M ¥ FOT1I9-OMF AMS MSL a Th
Slide 16: FY2015 forecast
15 2015 RRA PAR ea 4% OMI OM +436 +0 10,863 - 11,300 - 11,300 cel _ baat 1,012 9.3% 1,020 9.0% 1,020 9.0% °7 = 0 1,313 12.1% -313) (13) +0 =1(1,013) (9.3%) Br000; SB MEE -23.0%! (1.20) 40.0% 1,325 12.2% 2 -325' (24) +0 (1,024) (9.4%) 1,000: 8.6% Isa000 12: -24.5% | (-2.4%)| £0.0% 1,127 10.4% ‘ -427)
Slide 17: FY2015 forecast revenue by factor
201SFRRAPAR (FLMe) m BHeCIXbGI EPSON ({@FA) 112,000 110,000 8,000 6,000 ~ 10,863 11,300 4,000 — 16 Ce) FY2014 FY2015 FY2015 RA MEFS SHTe AMAL C+ 6S MEF +0 MEF +0 IMAL +138 AUNALE = +261 HEP +0 St EA had -24 WEF +0 ce) 5400 BERR) 5.000 ERE 5,000 16
Slide 18: FY2015 forecast operating income factors
17 7,308 7,570 AMAL +88 WEF +0 AUFALE = +188 AeFat +0 A 90) FY2014 FY2015 eA = Mere Fy2015 Sere AEFAY A exteovoer eae TE ee (a9) 3,520 & 4,500 — - —— 4,000 3,500 3,000 2,500 2,000 17
Slide 19: FY2015 forecast: printers
{XCEEO Youn WAIN BS Aso LUNA PAB >» U4 se 18 FY2014 FY2015 FY2015 RA HOF SUP SIOM : Serial impact dot matrix car) 2,460 BG 240 ERED 0+ i | 1H 1H 2H 2H fn 38 m#a 38 nes FE FR FM Fie 18
Slide 20: FY2015 forecast: visual communications
HFSS LUNZS PAR» OLrSI-exTOIOyL7x>+ ERSON ({@Fa) 2,000 1,500 1,000 500 co mHA 1,734 FY2014 FY2015 FY2015 RA MOF SUP 6 EWS 1,80 PAF IARRY AURAL -28 REP +0 AURAL +3 WEF +0 WME +79 MEF +0 LIX HAI Z 19
Slide 21: FY2015 forecast segment
(@) 1,078 1,050 Rieke) 1,200 1,000 800 600 400 200 FY2014 FY2015 FY2015 sa pat at eal RA MOFL SOF es a
Slide 22: FY2015 forecast segment
201SFRRAPAR (BRA) Pm BHRCIXYKGI EPSON ({@Fa) 1,600 1,400 1,200 1,000 21 1,012 1,020 (396) _(-440) 440} FyY2014 FY2015 FY2015 eh MEF SOP wut ~=~C«G MEF +0 WARE +35 AFB +0 od ||: Eg Eo Eo (F) 440 8 10-10 (-240) (-240) (-200] (-200) 1H 1H 2H 2H i 38 me se Fea FR FR Fi 21
Slide 23: Capital expenditure and depreciation
53S TAT ABAD 8 5238 L ORMR OME (1aF3) 700 454 470 500 - 389376 431.393, «37g 407, “444 0 ii | FY2011 FY2012 FY2013 FyY2014 FY2015 BAR BAR IFRS IFRS IFRS RH Ra Ria Rei Bin} FY2014 38 FY2015 F148 na MeO RE MEOW DUyF4AYIYa—-Pay ze 221 230 320 250 eyaPIs1-7-T3ay 68 72 90 80 OLPSTN-RRI70999 83 80 90 90 t
Slide 24: Free cash flow
DW—-Fryy1:-7O-—BiwL ((@F3) SRM AMC LS4r9y2-IJO- MMAMCLSF79F2-70— Ph Se ee od 1,000 - oO. -1,000 FY2011 FY2012 Bae Bam Ri Rw 23 FY2013 IFRS EH FY2014 1,225 FY2015 23
Slide 25: ROE and ROA
EBS ROE EPSON (%) 0 30. 27.7 26.3 20.0 13.5 10.0 - 10.1 So 2.8 0.0 2:0 -4.0 Ro, (B89) BRE RR (FM -10.0 + = (IFRS) MURAI = WIS / ET CP) —-ros , (B*ER) BRE Le * HFRS} LMR : RPE / bE uta | Roe. (SEMI) MINERS HR CEM) “TFRS] =| RETEST RAO CMMI SSMS 30.0 SOEAOR ABI MM I SIGS (PIR) FY2011 FY2012 FY2013 FY2
Slide 26: EPSON
EPSON