Taiyo Holdings Co., Ltd. · TSE:4626

Taiyo — Q2 FY11/12 Earnings Presentation

24 slides from Taiyo's earnings presentation, Nov 15, 2011

  1. Slide 1: Consolidated Financial Result Digest FY11/12 Second Quarter

    ZXCV Consolidated Financial Result Digest FY11/12 Second Quarter (April 1- September 30, 2011) ZXCV November 15,2011 Any information incorporated in this document is not intended for suggestion of purchase or sale of equity share of the company . All the description and projection are based on the c

  2. Slide 2: Classification

    Classification ZXCV PWB Materials FPD Materials SR（Solder Resist） For PKG For PDPs PWBs For Rigid PWBs For Flexible PWBs Silver Paste, etc. White SR For Touch Panels For B/U PWBs New Products 1 Copyright © 2011 TAIYO HOLDINGS CO.,LTD. All Rights Reserved.

  3. Slide 3: Terminology

    Terminology ZXCV Term Definition “PWB Materials” Chemical Products for Printed Wiring Boards (Printed Wiring Board) “FPD Materials“ Chemical Products for Flat Panel Display Panels (Flat Panel Display) “PDP Materials” (Plasma Display Panel) Chemical Products for Plasma Display Panels "SR" Solder Resi

  4. Slide 4: INDEX

    INDEX ZXCV 1. Summary of FY 11/12 Second Quarter (April 1- September 30, 2011) 2. Forecasts for FY11/12 3. Progress of Medium-term business plan 3 Copyright © 2011 TAIYO HOLDINGS CO.,LTD. All Rights Reserved.

  5. Slide 5: 1. Summary of FY 11/12 Second Quarter

    ZXCV 1. Summary of FY 11/12 Second Quarter (April 1- September 30, 2011) 4 Copyright © 2011 TAIYO HOLDINGS CO.,LTD. All Rights Reserved.

  6. Slide 6: FY11/12 1H Results

    FY11/12 1H Results ZXCV （JPY millions） FY10/11 FY11/12 Change in 5/11/2011 Change 1H 1H % Forecast Sales 20,716 21,115 399 1.9% 21,500 Operating 3,522 2,416 (1,106) (31.4%) 2,500 Income Ordinary 3,422 2,274 (1,148) (33.5%) 2,500 Income Net Income 2,232 1,578 (654) (29.3%) 1,700 <Ave. Exchange Rate>

  7. Slide 7: Sales: Factors for sales increase

    FY11/12 1H Factors for sales increase (vs. FY10/11 1H) ZXCV （ JPY billions ） Sales FY10/11 1H FY10/11 1H Actuals Actuals 20.7 Increaseininselling Increase sellingprices pricesofofFPD FPD Materials Materials 3.0 Changeininproduct Change productmix mixofofPWB PWB Materials Materials 1.6 Decreaseininsa

  8. Slide 8: Operating Income: Factors for profit decline

    FY11/12 1H Factors for profit decline (vs. FY10/11 1H) ZXCV （ JPY billions ） Operating Income FY10/11 Actuals1H FY10/11 1H Actuals 3.5 Changes in product mixin Changes product mix 0.5 Decrease Decrease in sales in sales volume 0.8 volume Fluctuation ratein Fluctuation in exchange exchange rate 0.8 F

  9. Slide 9: FY11/12 1H Summary of Balance Sheet

    FY11/12 1H Summary of Balance Sheet ZXCV Assets Liabilities and Equity （ JPY billions ） （ JPY billions ） 45 45 40 40 35 1 3 .9 11.8 8.6 35 8.2 30 4.1 4.8 30 25 25 20 9 .6 9.5 20 15 34.1 15 32.4 10 15.1 14.5 10 5 5 0 3/31/11 9/30/11 0 3/31/11 9/30/11 Fixed Assets Other Current Assets Inventories Cash

  10. Slide 10: FY11/12 1H Summary of Cash Flows

    FY11/12 1H Summary of Cash Flows ZXCV Operating CF Investing ＣＦ Financing ＣＦ （ JPY billions ） （ JPY billions ） （ JPY billions ） Increase due to withdrawal Decrease due to Decrease due to increase of time deposits in FY10/11. increasing in inventories. in dividend. FY11/12 maintains the Decrease

  11. Slide 11: Sales of PWB Materials

    Sales of PWB Materials ZXCV Sales （ JPY billions ）  Sales volume decreased due to the global demand decreased 15.8 and production decreased partly 14.0 due to rolling power shortage in Japan.  Ave. selling price fell down due to the stronger yen.  Demand of smartphones and tablet PCs is robust. 1

  12. Slide 12: Sales of FPD Materials

    Sales of FPD Materials ZXCV Sales （ JPY billions ） Sales volume increased slightly year- on-year. Sales was steady in China. Selling price and sales amount increased in 2H due to the soaring price of silver. 11 Copyright © 2011 TAIYO HOLDINGS CO.,LTD. All Rights Reserved.

  13. Slide 13: Result by segment for FY11/12 1H

    Result by segment for FY11/12 1H ZXCV Sales （ JPY billions ） Operating Income 12 Copyright © 2011 TAIYO HOLDINGS CO.,LTD. All Rights Reserved.

  14. Slide 14: 2. Forecasts for FY11/12

    ZXCV 2. Forecasts for FY11/12 13 Copyright © 2011 TAIYO HOLDINGS CO.,LTD. All Rights Reserved.

  15. Slide 15: Forecasts for FY11/12

    Forecasts for FY11/12 ZXCV (JPY millions ) Forecast for FY11/12 FY10/11 Result Original Revised Change in Forecast(5/11) Change Forecast % Sales 40,366 44,500 42,500 (2,000) (4.5%) PWB+ 30,909 33,000 29,500 (3,500) (10.6%) FPD 9,455 11,500 13,000 1,500 13.0% Operating 5,380 5,600 4,800 (800) (14.3%)

  16. Slide 16: Factors of revision to FY11/12 forecasts

    Factors of revision to FY11/12 forecasts ZXCV Macroeconomics factors  Considered partly uncertain factors such as the impact of the floods in Thailand on supply chain of electronics device production.  A decline in worldwide demand expected.  Review of the foreign exchange rate.（assumed rate in 2

  17. Slide 17: Trend of consolidated sales from PWB+ and FPD

    Trend of consolidated sales from PWB+ and FPD ZXCV Sales （ JPY billions ） PWB+ expected slow. FPD expected to increase due to price increase of silver. Forecast 16 Copyright © 2011 TAIYO HOLDINGS CO.,LTD. All Rights Reserved.

  18. Slide 18: Trend of consolidated performance

    Trend of consolidated performance ZXCV （ JPY billions ） Forecast 17 Copyright © 2011 TAIYO HOLDINGS CO.,LTD. All Rights Reserved.

  19. Slide 19: Change to the market price of silver

    Change to the market price of silver ZXCV Change to the market price of silver which is the main materials of FPD Materials （JPY/kg） Showing the stable trend recently. 120,000 110,000 100,000 90,000 80,000 70,000 60,000 50,000 2010 2011 18 Copyright © 2011 TAIYO HOLDINGS CO.,LTD. All Rights Reserved

  20. Slide 20: Investment & Depreciation expense

    Investment & Depreciation expense ZXCV （JPY millions） Investment Depreciation 3,000 Projected 1.7 billion 2,500 investment for Taiyo Zhongshan included. 2,000 1,500 1,000 500 0 FY08/09 FY09/10 FY10/11 FY11/12 (Projection) 19 Copyright © 2011 TAIYO HOLDINGS CO.,LTD. All Rights Reserved.

  21. Slide 21: 3. Progress of Medium-term business plan

    ZXCV 3. Progress of Medium-term business plan 20 Copyright © 2011 TAIYO HOLDINGS CO.,LTD. All Rights Reserved.

  22. Slide 22: Strategy for Local production for Local consumption

    ZXCV Progress of Medium-term business plan Strategy for Chinese market • Grabbed market share from the competitors by the low- priced products. • The Office of China Strategy：Identifying a market for new products. Established a liaison office in Shenzhen in Nov. 2011. • Construction of Taiyo Zhongsh

  23. Slide 23: Strategy for new products development

    Progress of Medium-term business plan ZXCV Strategy for new products development • Sales of new products in 1H was JPY 1.6 billion. （Sales target is JPY 3 billion for FY11/12.） • Sales of white SR was about JPY 0.4 billion. • Participation in Japan Advanced Printed Electronics Technology Research As

  24. Slide 24: ZXCV

    ZXCV 23 Copyright © 2011 TAIYO HOLDINGS CO.,LTD. All Rights Reserved.

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