Nisshinbo Holdings Inc. · TSE:3105
Nisshinbo — FY2015 Earnings Presentation
43 slides from Nisshinbo's earnings presentation, May 13, 2016
Slide 1: Financial Results for the Fiscal Year Ended March 2016
Financial Results for the Fiscal Year Ended March 2016 (Apr. 2015 – Mar. 2016) May 2016 May 13, 2016
Slide 2: Abbreviation Lists
ABBREVIATION LISTS 2 NISH: Nisshinbo Holdings Inc. The followings are consolidated subsidiaries of NISH. JRC: Japan Radio Co., Ltd. NJR: New Japan Radio Co., Ltd. NJRC: Nagano Japan Radio Co., Ltd. UJRC: Ueda Japan Radio Co., Ltd. NISB: Nisshinbo Brake Inc. NISM: Nisshinbo Mechatronics Inc. NISC: Ni
Slide 3: Management Policy
3 Management Policy May 13, 2016
Slide 4: Management Policy Philosophy
4 Management Policy Philosophy Public Corporate Philosophy Entity, Consistent Integrity, Innovation Business Conduct Guidelines Mission Providing solutions to sustainable society as an “environmental and energy company” group Environment, Safety/Security, Disaster prevention, Value Health, Comfo
Slide 5: Management Policy
Management Policy 5 CSR Synergy of Corporate governance Quality Enhancement and Performance Improvement Compliance based on Corporate philosophy and Safety and Quality Business Conduct Guidelines Communication Diversified human Resources Focus on Shareholder value and return Corporate
Slide 6: Strategic Business Domains ①
Mid-to-long term management strategies 6 Strategic Business Domains ① Disaster prevention system （JRC） Semi conductor device （NJR） May 13, 2016
Slide 7: Strategic Business Domains ②
Mid-to-long term management strategies 7 Strategic Business Domains ② Plastic moldings for automobiles （Nanbu Plastics） Precision parts for automobiles （NISM） Friction materials for automobiles （NISB・TMD Friction） May 13, 2016
Slide 8: Strategic Business Domains ③
Mid-to-long term management strategies 8 Strategic Business Domains ③ Dress Shirts （Tokyo Shirts） Household Paper Products （NISP） Insulation Products for Housing （NISC） May 13, 2016
Slide 9: Strategic Business Domains ④
Mid-to-long term management strategies 9 Strategic Business Domains ④ J-Marine GIS （JRC） Fuel Cell for Emergency J-Marine Routing power supply （JRC） May 13, 2016
Slide 10: Expansion of existing domains, R&D, M&A
10 Mid-to-long term management strategies • Expansion of the existing domains • Demonstration of R&D • Utilization of M&A May 13, 2016
Slide 11: M&A history
Mid-to-long term management strategies 11 M&A history NISH Consolidated JRC and NJRC as subsidiaries 2010 Dec. NISH sold Aloka's shares 2011 Nov. NISH acquired 100% ownership of TMD Friction Group 2013 Dec. JRC consolidated Alphatron Marine as a subsidiary Feb. NISH transferred business of CHOYA 201
Slide 12: Contribution of M&A
Mid-to-long term management strategies 12 Contribution of M&A Net Sales Tokyo Shirts Consolidation 570 600 Alphatron Marine Nanbu Plastics TMD Friction Group Consolidation consolidation consolidation （JRC） 500 Others JRC and NJRC Consolidation Precision 400 Instruments （bil. yen） 300 Brakes 242 200
Slide 13: Mid-to-long term management strategies 13
Mid-to-long term management strategies 13 May 13, 2016
Slide 14: Friction Materials Copper-free
Mid-to-long term management strategies 14 Friction Materials Copper-free From California Department of May 13, 2016 Toxic Substances Control’s web site
Slide 15: Friction Materials Copper-free
Mid-to-long term management strategies 15 Friction Materials Copper-free May 13, 2016
Slide 16: Fuel Cell
Mid-to-long term management strategies 16 Fuel Cell Fuel Cell Bipolar Plates （NISC） Fuel Cell for Housing Platinum Alternative Catalyst May 13, 2016 （NISH）
Slide 17: Fuel Cell Alliance with Ballard Power Systems, Canada
Mid-to-long term management strategies 17 Fuel Cell Alliance with Ballard Power Systems, Canada Fuel Cell （Ballard） A bus with fuel cell made by Ballard May 13, 2016
Slide 18: Wireless Communication Technology
Mid-to-long term management strategies 18 Wireless Communication Technology Intersection accident prevention system Light beacon transceiver Car Navigation System Vehicle-to-Vehicle, Road-to-Vehicle communication GPS receiver 700MHz communication equipment Traffic Information VICS Beacon transceiver
Slide 19: Electronic Components Manufacturing Technology
19 Mid-to-long term management strategies Electronic Components Manufacturing Technology Source : MarkLines Co., Ltd. May 13, 2016
Slide 20: Advanced Driving Assistant System (ADAS)
Mid-to-long term management strategies 20 Advanced driving Assistant System (ADAS) ・One of the most rapidly growing automotive categories ・Functions such as automatic emergency brake, cruise control, lane keeping assist system, and parking assist system ・Equipped with sensors such as radar, camera,
Slide 21: To realize Super-Smart Society (Society 5.0)
Mid-to-long term management strategies 21 To realize Super-Smart Society (Society 5.0) Energy value chain Intelligent traffic New manufacturing system system Society 5.0 Smart food Region-inclusive Service platform care system chain system Standardization of Improvement of Utilization of Smart manuf
Slide 22: Mid-to-long term performance target
Mid-to-long term management strategies 22 Mid-to-long term performance target FY ending Net Sales 600 billion yen Mar. 2018 ROE9% FY ending Net Sales 1 trillion yen Mar. 2026 ROE12% May 13, 2016
Slide 23: Mid-to-long term performance target
Mid-to-long term management strategies 23 Mid-to-long term performance target 1,400 ROE 15% ROE 12.0% Net 1,200 9.0% Sales 10% (bil. yen) 6.1% 5.5% 1,000 1,000 5.1% 3.2% 4.0% 4.4% 5% 1.0% CAGR 6.6% 800 -0.6% 0% Net Sales (550) 600 570 600 524 534 -5% ( ) Plan 494 451 (510) 379 Utilization of M&A 200
Slide 24: Summary for FY ended Mar. 2016 (yr/yr)
Summary for FY ended Mar. 2016（yr/yr） 24 Increase in sales ＊Increase ： Textiles acquiring Tokyo Shirts ＊Decrease ： Electronics Decrease in profit ＊Increase ： Brakes and Textiles ＊Decrease ： Electronics and Real Estate （mil. yen） Mar. Mar. 2016 2015 Results change Net Sales 523,757 533,989 2.0% Opera
Slide 25: FY ended Mar. 2016 Net Sales (yr/yr)
FY ended Mar. 2016 Net Sales (yr/yr) 25 May 13, 2016
Slide 26: FY ended Mar. 2016 Operating Profit (yr/yr)
FY ended Mar. 2016 Operating Profit (yr/yr) 26 May 13, 2016
Slide 27: Ordinary Income, Net Income (yr/yr)
FY ended Mar. 2016 27 Ordinary Income, Net Income（yr/yr） May 13, 2016
Slide 28: Overview on major segments
28 Overview on major segments May 13, 2016
Slide 29: Electronics (yr/yr)
Electronics（yr/yr） 29 Decreased in sales JRC：Sales decreased due to lower sales of water and river management systems and intelligent transport systems and postponed delivery date NJR：Sales increased due to firm sales of electronic devices and microwave components Decreased in profit JRC：Profit decr
Slide 30: Brakes (yr/yr)
Brakes（yr/yr） 30 Sales increased, Operating profit ameliorated Japan： Decreased in sales and profit Overseas： Increased in sales and profit May 13, 2016
Slide 31: FY ended Mar. 2016 Net Sales (vs forecast)
FY ended Mar. 2016 Net Sales (vs forecast) 31 May 13, 2016
Slide 32: FY ended Mar. 2016 Operating Profit (vs forecast)
FY ended Mar. 2016 Operating Profit (vs forecast) 32 May 13, 2016
Slide 33: Forecast on FY ending Mar. 2017
33 Forecast on FY ending Mar. 2017 May 13, 2016
Slide 34: Forecast on FY ending Mar. 2017
FORECAST ON FY ENDING MAR. 2017 34 (mil. yen) Mar. 2016 Mar. 2017e. Change Change(%) Net Sales 533,989 570,000 36,011 6.7% Operating Income 12,617 16,000 3,383 26.8% Ordinary Income 17,034 21,000 3,966 23.3% Net Income 10,775 10,000 -775 -7.2% Exchange rate JPY/USD 121.03 120.00 (Annual average) JPY
Slide 35: Forecast on FY ending Mar. 2017
Forecast on FY ending Mar. 2017 35 May 13, 2016
Slide 36: Forecast on FY ending Mar. 2017
Forecast on FY ending Mar. 2017 36 May 13, 2016
Slide 37: Topics
NSSHNBO 37 TOPICS May 13, 2016
Slide 38: TOPICS (1) JRC group's reorganization
38 TOPICS（1） JRC group’s reorganization JRC made NJRC and UJRC a wholly owned subsidiary in March 2016, targeting further growth through consolidated management and strengthened governance. May 13, 2016
Slide 39: TOPICS (2) Corporate Governance
39 TOPICS（2） Corporate Governance Accomplishing sustained growth and boosting long- term corporate value under the fair, transparent, prompt and drastic decision-making complying with corporate governance policy. Establishing the optional nominating committee and compensation committee, aiming f
Slide 40: Appendix: Electronics and Brakes
APPENDIX 1 40 (mil. yen) Mar. 2017 est. Mar. 2016 Mar. 2015 Apr.-Sep. 2016 est. Apr.-Sep. 2015 Apr.-Sep. 2014 Electronics Operating Operating Operating Operating Operating Operating Net sales Net sales Net sales Net sales Net sales Net sales income income income income income income JRC 165,000 5,40
Slide 41: Appendix: Precision instruments, Plastic molding
APPENDIX 2 41 (mil. yen) Mar. 2017 est. Mar. 2016 Mar. 2015 Apr.-Sep. 2016 est. Apr.-Sep. 2015 Apr.-Sep. 2014 Precision Operating Operating Operating Operating Operating Operating instruments Net sales income Net sales income Net sales income Net sales income Net sales income Net sales income Precis
Slide 42: Appendix: Textiles
APPENDIX 3 42 (mil. yen) Mar. 2017 est. Mar. 2016 Mar. 2015 Apr.-Sep. 2016 est. Apr.-Sep. 2015 Apr.-Sep. 2014 Textiles Operating Operating Operating Operating Operating Operating Net sales Net sales Net sales Net sales Net sales Net sales income income income income income income NIST 23,700 600 23,
Slide 43: Appendix: Real estate and others
APPENDIX 4 43 (mil. yen) Mar. 2017 est. Mar. 2016 Mar. 2015 Apr.-Sep. 2016 est. Apr.-Sep. 2015 Apr.-Sep. 2014 Real estate Operating Operating Operating Operating Operating Operating Net sales Net sales Net sales Net sales Net sales Net sales income income income income income income NISH 8,800 5,000