Taiyo Holdings Co., Ltd. · TSE:4626

Taiyo — FY2018 Q2 Earnings Presentation

26 slides from Taiyo's earnings presentation, Oct 31, 2017

  1. Slide 1: Consolidated Financial Result Digest FY2018 Q2

    Consolidated Financial Result Digest FY2018 Q2 (Fiscal Year Ending March 31, 2018) Z TAIYO HOLDINGS CO., LTD. October 31, 2017 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

  2. Slide 2: Terminology

    1 Terminology Term Definition PWB Printed wiring boards SR “Solder resist ink” or “Solder mask” PKG Semiconductor packages

  3. Slide 3: Classification of Product

    2 Classification of Product Group Category Type Remarks high-end Rigid Liquid regular ・SR materials for insulation and surface PWB protection use PKG Liquid/Dry Film insulating materials FPC Liquid/Dry Film ・build-up materials for interlayer insulation and Build-up Liquid/Dry Film hole plugging use

  4. Slide 4: FY2018 Q2 Overview

    3 FY2018 Q2 Overview 1 Actual exchange rate of the yen against U.S. dollar almost the same as expectation *Estimated exchange rate:1USD=111yen 2 Sales volume increased year-on-year particularly in DF (Dry Film) 3 Revision to consolidated earnings forecasts for FY2018 4 Established a pharmaceutical b

  5. Slide 5: FY2018 Q2 Consolidated Financial Results

    4 FY2018 Q2 Consolidated Financial Results Results summary JPY millions FY2018 FY2017 FY2018 FY2018 full year Q2 Q2 Q2 progress new YoY % rate results results forecasts forecasts Net sales 23,442 25,784 +2,342 +10% 25,000 103% 50,000 Operating 4,557 5,744 +1,187 +26% 5,200 110% 10,200 income Ordinar

  6. Slide 6: FY2018 Q2 Net Sales (YoY)

    5 FY2018 Q2 Net Sales (YoY) Analysis of Net Sales JPY millions +1,768 +179 +395 Foreign currency Increase in Increase in fluctuation, sales volume sales volume change in product of PWB etc. of DF mix, etc. 23,442 25,784 FY2017 Q2 FY2018 Q2

  7. Slide 7: FY2018 Q2 Operating Income (YoY)

    6 FY2018 Q2 Operating Income (YoY) Analysis of Operating Income JPY millions +881 +215 +91 Foreign currency fluctuation, Increase in Increase in change in product sales volume sales volume mix, etc. of DF of PWB etc. 4,557 5,744 FY2017 Q2 FY2018 Q2

  8. Slide 8: FY2018 Q2 BS Highlights

    7 FY2018 Q2 BS Highlights BS (YoY) JPY millions Assets Liabilities and Equity 95,619 92,386 95,619 100,000 92,386 100,000 80,000 80,000 20,540 21,485 Liabilities 48,800 50,005 Cash 60,000 60,000 4,464 Inventories 40,000 4,416 40,000 71,846 74,134 Equity 14,267 15,493 Other Current Assets 20,000 20,0

  9. Slide 9: FY2018 Q2 CF Highlights

    8 FY2018 Q2 CF Highlights CF (YoY) JPY millions Operating CF Investing CF Financing CF 5,000 5,000 5,000 4,000 4,000 4,000 3,000 3,000 3,000 4,807 2,000 2,000 2,000 3,701 1,000 1,000 1,000 0 0 204 0 (656) (1,000) (1,000) (2,038) (1,000) (1,907) (2,000) (2,000) (2,000) FY2017 FY2018 FY2017 FY2018 FY2

  10. Slide 10: FY2018 Q2 Sales Results by Product Group Category

    9 FY2018 Q2 Sales Results by Product Group Category Sales Results by Product Group Category JPY millions FY2016 Q2 FY2017 Q2 15,000 FY2018 Q2 10,903 10,320 10,123 10,000 7,741 6,400 6,637 5,144 4,746 4,531 5,000 1,726 1,523 1,785 1,312 867 865 0 Rigid (high-end) Rigid (regular) PKG Build-up/FPC Othe

  11. Slide 11: FY2018 Q2 Segment Information

    10 FY2018 Q2 Segment Information Sales by Segment (including inter-segment sales or transactions) JPY millions 12,000 FY2017 Q2 FY2018 Q2 10,000 8,000 6,000 9,568 10,439 11,078 4,000 8,594 2,000 4,128 4,579 4,073 5,035 1,990 2,098 0 Japan China Taiwan Korea Other Operating Income by Segment (includi

  12. Slide 12: Trend of Quarterly Performance

    11 Trend of Quarterly Performance Net Sales & Operating Income JPY millions Net sales（left axis） ● Operating income (right axis） 16,000 4,000 14,000 3,500 3,000 12,000 2,500 10,000 2,000 8,000 1,500 6,000 1,000 4,000 500 2,000 0 0 (500) Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1

  13. Slide 13: Revision to FY2018 Consolidated Earning Forecasts

    12 Revision to FY2018 Consolidated Earning Forecasts Forecasts Revision Summary JPY millions FY2018 FY2018 FY2018 full year full year Q2 previous new Change Change results forecasts(A) forecasts(B) (B-A) (%) Net sales 25,784 48,200 50,000 1,800 4% Operating 5,744 9,200 10,200 1,000 11% income Ordina

  14. Slide 14: Medium-Term Business Plan

    Medium-Term Business Plan @TAIYO HOLDINGS CO.,LTD.

  15. Slide 15: Next Stage 2020 Targets

    14 Medium-Term Business Plan “Next Stage 2020” We have formulated the Next Stage 2020 three-year medium-term business plan to extricate the Group from this business structure and make the leap to becoming a comprehensive chemical company, based on the keyword, “chemicals,” which we have adopted as o

  16. Slide 16: Basic Policy

    15 Medium-Term Business Plan “Next Stage 2020” Basic Policy １ Improve profitability of solder resist (SR) Expand into areas related to printed wiring board (PWB) ２ other than solder resist ３ Launch a medical and pharmaceutical business 医療・医薬品事業 ４ Move the energy and food businesses into the black ５

  17. Slide 17: Medical and Pharmaceutical Business Subsidiary

    Medical and Pharmaceutical Business Subsidiary

  18. Slide 18: Management Policy for Future

    17 Management Policy for Future

  19. Slide 19: New Business Creation

    New Business Creation From the top in niche markets _ to a global comprehensive chemical manufacturer The Taiyo Group has long operated a chemical-based business in the electronics sector. In the future, we will pursue business in three additional sectors where growth can be anticipated and that wil

  20. Slide 20: New Business

    19 New Business (Beginning to explore the medical and pharmaceutical manufacturing businesses)

  21. Slide 21: Points of Similarity between Pharmaceuticals and Taiyo Manufacturing Processes

    Points of Similarity between Pharmaceuticals and the Manufacturing 20 Processes of the Taiyo Group

  22. Slide 22: Areas where the Taiyo Group can Manifest its Strengths

    21 Areas where the Taiyo Group can Manifest its Strengths

  23. Slide 23: Means of Entry Growth Strategy

    22 Considering Entry Means of Entry Growth Strategy Proprietary products Assume long listed drugs ・No drug development ・Improve profitability of long listed drugs Corporate acquisition ・Assume additional long listed drugs ・Authorized generics (including antibody drugs) ・Super generics Plant acquisit

  24. Slide 24: Initiatives in ESG

    Initiatives in ESG TAIYO HOLDINGS CO., LTD. Copyright © TAIYO HOLDINGS CO., LTD. All Rights Reserved.

  25. Slide 25: Initiatives in ESG

    24 Initiatives in ESG Taiyo Group floating solar power plant (1.2MW) Environmental ・Bringing floating solar power plant online (October 2015 onward) ・Bringing plant factory online (November 2015 onward) ・Installing energy-saving production equipment ・Switching plant lighting to LED lighting Social ・

  26. Slide 26: TAIYO HOLDINGS CO., LTD.

    TAIYO HOLDINGS CO., LTD. Copyright YO HOLDINGS CO., LTD. All Rights Reserved.

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