Slide 1: 1Q FY22/12 Results Briefing
Tokyo Stock Exchange Prime Market 6143 1Q FY22/12 Results Briefing Sodick Co., Ltd. May 11, 2022
Slide 2: Table of Contents
Table of Contents I. 1Q FY22/12 Financial Results Summary II. FY22/12 Financial Results Projections (References) 2
Slide 3: Financial Results Highlights
Financial Results Highlights Net sales: 19,604 million yen (up 37% year on year) Sales of electrical discharge machines (EDMs) increased in all regions. Operating income: 1,907 million yen (up 349% year on year) Increased production volume improved plant profitability. Ordinary income: 2,975 million
Slide 4: Financial Results Highlights
Financial Results Highlights Sales of EDMs increased in all regions, driving overall net sales growth. In terms of profits, profitability at plants improved as production volume increased. Non-operating income increased owing to foreign exchange gains stemming from the yen’s depreciation, pushin
Slide 5: Ratio of Operating Income to Net Sales (Quarterly)
Ratio of Operating Income to Net Sales (Quarterly) Machine tools Industrial machinery Food machinery Others Sales decreased due to the Operating income margin Sluggish sales of EDMs due spread of COVID-19. to trade friction between the Recovery is seen in Greater Recovery from the U.S. and China. Ch
Slide 6: Details of Changes in Operating Income
Details of Changes in Operating Income Gross profit increased significantly, as unit sales increased. Total SG&A expenses up 418 million yen year on year (Increased personnel expenses, increased sales promotion and advertising expenses associated with the holding of in-person exhibitions, etc.).
Slide 7: Financial Results by Segment
Financial Results by Segment 1Q FY21/12 1Q FY22/12 YoY change FY 22/12 (million yen) Full-year Actual Actual (Amount) (Rate) projection Machine tool segment 10,382 14,096 3,713 35.8% 51,200 Industrial machinery 1,893 2,625 732 38.7% 10,800 segment Food machinery 580 1,021 440 75.9% 8,200 segment Oth
Slide 8: Financial Results by Segment: Machine Tool Segment
Financial Results by Segment ■ Machine Tool Segment Net sales (Quarterly) Net sales 20,000 • Auto-related industries were sluggish due to 16,000 semiconductor shortages and other factors. 14,096 • Net sales increased year on year as demand 12,000 continued to expand in electronic components, 5G, and
Slide 9: Financial Results by Segment: Industrial Machinery Segment
Financial Results by Segment ■ Industrial Machinery Segment Net sales (Quarterly) Net sales 4,000 • In Japan, sales of automotive such as machines for CASE-related in-vehicle parts, 3,000 2,625 and sales of electronic components and medical-related products are strong. 2,000 • Net sales increased ye
Slide 10: Financial Results by Segment: Food Machinery Segment
Financial Results by Segment ■ Food Machinery Segment Net sales (Quarterly) Net sales 3,000 • Net sales increased significantly year on year due to steady sales of noodle making machine-related equipment in Japan and 2,000 sterile-packed cooked rice production 1,021 systems for overseas markets. 1,0
Slide 11: Financial Results by Segment: Other Segments
Financial Results by Segment ■ Other Segments Net sales (Quarterly) Net sales 2,000 1,861 • Demand for ceramics for semiconductor manufacturing equipment manufacturers 1,500 continued. • In the precision dies and mold operations, net 1,000 sales increased year on year mainly due to expansion of prod
Slide 12: Net Sales by Segment
Net Sales by Segment Sales of maintenance services and consumables increased in all segments owing to an improvement in machine operating rates. Quarterly trends in maintenance services and Breakdown of machinery sales/maintenance service and consumables sales （million yen） consumables Machine too
Slide 13: Ratio of Overseas Sales by Segment
Ratio of Overseas Sales by Segment Sales grew in Japan, where recovery from the COVID-19 disaster had been slow. (million yen) North and South Japan Europe Greater China Asia 7,000 America 6,000 Others 5,000 Food machinery 4,000 Industrial machinery 3,000 Machine tools 2,000 1,000 0 1Q FY21/12 1Q
Slide 14: Balance Sheet
Balance Sheet Inventories increased by approximately 2,600 million yen due to an increase in work in process and raw materials as a result of advance arrangements in preparation for product inventory and material shortages. Assets (million yen) 138,828 134,866 119,555 116,117 114,647 41,705 45,274
Slide 15: Balance Sheet
Balance Sheet Net assets increased by approximately 3,200 million yen mainly due to an increase in foreign currency translation adjustment resulting from the yen’s depreciation. Liabilities and net assets (million yen) 138,828 134,866 14,046 119,555 13,538 114,647 116,117 13,173 9,751 8,587 13,148
Slide 16: Topics (New Product)
Topics (New Product) 1 Achieved unmanned process of adding and mixing seasonings, etc. Sales of Neomazaru, noodle loosening device with sauce dispenser for precooked noodle production Reduced food waste by extending freshness We reduced the risk of contamination with bacteria and foreign matter duri
Slide 17: Topics (DX Initiatives)
Topics (DX Initiatives) 2 Launch of Sodick Connect customer web channel Aim to strengthen customer service by utilizing web channels In February 2022, we opened a web channel called Sodick Connect for customers who own our company machine tools products. We deliver information useful at manufacturin
Slide 18: Topics (DX Initiatives)
Topics (DX Initiatives) 3 Opened new Virtual Showroom for food machinery Make food machinery closer We opened a New virtual showroom. We Introduce various food machinery in the showroom inside the food machinery factory in the Kaga Office with 360-degree camera images. The image of each machine is e
Slide 19: Topics (DX Initiatives)
Topics (DX Initiatives) 4 Opened new Web Exhibition for motion products Contributed greatly to the development of global technology through unique nanometer drive technology We introduce unique nanometer drive technology developed by machine tools such as EDMs, injection molding machines, and cuttin
Slide 20: Topics (External Awards)
Topics (External Awards) The 64th (2021) Best 10 New Product Awards (sponsored by Nikkan ５ Kogyo Shimbun) High-speed building metal 3D printer “LPM325S” won the Main Award Dramatically reduces maintenance frequency and leads manufacturing of the latest technologies This machine realized performance
Slide 21: Table of Contents
I. 1Q FY22/12 Financial Results Summary II. FY22/12 Financial Results Projections (References) 21
Slide 22: Market Environment
Market Environment The government’s subsidy policies, replacement demand Tightness in material procurement, particularly for electronic Japan for aging equipment, and demand for next-generation components is continued. Procurement automobiles and 5G-related products are expected. We implemented adva
Slide 23: Orders by Region
100 150 200 0 50 200 400 600 800 0 1,000 1,200 Jan.–Mar. 1-3月 Jan.–Mar. 1-3月 Apr.–Jun. 4-6月 Apr.–Jun. 4-6月 Jul.–Sep. 2017 Europe. 7-9月 2017年 Jul.–Sep. 2017 7-9月 2017年 Oct.–Dec. 10-12月 Oct.–Dec. 10-12月 Jan.–Mar. 1-3月 Jan.–Mar. 1-3月 Apr.–Jun. 4-6月 Apr.–Jun. 4-6月 Jul.–Sep. 2018 7-9月 2018年 Jul.–Sep. 201
Slide 24: FY22/12 Full-year Financial Results Projections
FY22/12 Full-year Financial Results Projections Both net sales and operating income are progressing well compared with the plan. Due to concerns over tight procurement of materials, supply chain disruptions, the situation in Ukraine, the lockdown caused by COVID-19, and sharp currency fluctuatio
Slide 25: FY22/12 Full-year Financial Results Projections (by Segment)
FY22/12 Full-year Financial Results Projections (by Segment) Machine While demand for high-precision machine is expected to increase in the automotive, semiconductor, and 5G-related industries, sales tools in Greater China declined slightly year on year due to a rebound from the previous year’s stro
Slide 26: Shareholder Return Policy and Dividend Projection
Shareholder Return Policy and Divided Projection Shareholder return policy Aim for DOE of 2% or more and total return ratio of 30% or more 1株当たり配当金 Dividends per share DOE（配当金総額/株主資本） DOE (Total Dividends/Shareholders’ Equity) 2.3% 2.3% 2.1% 2.1% 2.1% 2.1% 2.1% 2.0% 2.0% 1.8% 25 25 26 27 22 24 20 18
Slide 27: Table of Contents
I. FY21/12 Financial Results Summary II. FY22/12 Financial Results Projections III. Medium- and Long-term Management Plans and Business Strategies IV. Shareholder Return (References) 27
Slide 28: References: Business Segment Composition and Major Products
References: Business Segment Composition and Major Products Segment Machine tools Industrial machinery Food machinery Die-sinker EDM Horizontal injection molding Noodle-making equipment Wire-cut EDM machine (Noodle production line) Sterile-packed cooked rice production system Small Hole EDM Metal 3D
Slide 29: References: Domestic and Overseas Sites
References: Domestic and Overseas Sites Head Office and Research and Technology Center Sodick F・T Miyazaki Plant Head Office Production site R&D Site Sales and Service Site Fukui Plant Sodick America Corporation (San Jose) Shanghai Sodick Software Sodick Suzhou Sodick Special Equipment Co., Ltd. Amo
Slide 30: References: Participation in Major Exhibits
References: Participation in Major Exhibits Period Location Exhibition Summary and Remarks 2022 MEX Kanazawa May 19 - 21 Japan Kanazawa (The 58th Machinery & Electronics Exhibition in Kanazawa) Jun. 7 - 10 Japan Tokyo FOOMA JAPAN Food machinery exhibition Sep. 12 - 17 U.S.A Chicago IMTS Internationa
Slide 31: References: Web Exhibition and Official YouTube Channel
References: Web Exhibition and Official YouTube Channel Our website URL: https://www.sodick.co.jp/ Introducing our latest machines and technologies with a video at Sodick Web Exhibition A wide range of contents including our group's YouTube channel is also open! overseas sites is also availabl
Slide 32: References: New products and awards in 2021
References: New products and awards in 2021 Segment Machine tools Industrial machinery Metal 3D Printer Thermosetting rubber injection Injection molding system LPM325S molding machines INFILT-V® with degassing function The 64th Ten Great GL-LSR Series The 18th Super New Product Awards Monozukuri Par
Slide 33: Disclaimer
Disclaimer This presentation material has been prepared exclusively for the purpose of providing information; the material was not created to advertise, solicit, market, etc., specific products or shares of the Company. The information included in this material is not required by the Financial Instr