Slide 1: Consolidated Results of the 3rd Quarter FY2008
SUMIDA CORPORATION - Consolidated Results of the 3rd Quarter FY2008 - 29th October, 2008 Shigeyuki Yawata, CEO Saburo Matsuda, CFO Copyright © 2008 SUMIDA CORPORATION. All Rights Reserved.
Slide 2: Forex Volatility
1. Forex Volatility 3rd Quarter 3rd Quarter Jul. Aug. Sep. End of 3rd 4th Quarter FY08 FY08 Monthly Monthly Monthly Quarter FY08 Quarterly (Assumption) (Assumption) Average Average Average Average FY08 1USD USD 106.81 109.37 106.65 107.61 104.25 100.00 =¥105 1Euro Euro 168.43 163.71 153.53 161.89 14
Slide 3: Consolidated Results 3rd Quarter 2008
2. Consolidated Results 3rd Quarter 2008 (Unit : Millions of yen) 3rd Quarter 2008 3rd Quarter 2007 Year on year Year on year Actual Plan Difference comparison Actual Difference comparison Net 14,701 16,000 (1,299) 91.9% 17,885 (3,184) 82.2% sales Operating income 819 1,100 (281) 74.5% 1,439 (620) 5
Slide 4: Analysis of Sales 3rd Quarter FY2008
3. Analysis of Sales 3rd Quarter FY2008 (Unit : Millions of yen) Sales forecast in 3rd quarter FY2008 16,000 Slowdown in sales for automotive products of (500) VOGT Component Slowdown in sales for PC and PC peripheral (400) equipments Slowdown in sales for communication (200) equipments Others (199)
Slide 5: Analysis of Operating Income 3rd Quarter 2008
4. Analysis of Operating Income 3rd Quarter 2008 (Unit : Millions of yen) Operating income forecast for 3rd quarter FY08 1,100 Impact of sales variance （Sales variance (1,299)×Gross margin 22.2%) (288) Others 7 Total (281) Actual operating income for 3rd quarter FY08 819 【Compared with the same peri
Slide 6: Analysis of ordinary income 3rd Quarter FY2008
5. Analysis of ordinary income 3rd Quarter FY2008 (Unit : Millions of yen) Ordinary income forecast for 3rd quarter FY08 870 Operating income difference (281) Transfer from non operating expense to 190 extraordinary loss Others 88 Total (3) Actual ordinary income for 3rd quarter FY08 867 6 Copyright
Slide 7: Analysis of extraordinary gain (loss)
6. Analysis of extraordinary gain (loss) 3rd quarter FY2008 (Unit : Millions of yen) Extraordinary gain (loss) for 3rd quarter FY08 Gain on sales of fixed assets 1 Loss on disposal of fixed assets (4) Structural reorganization expenses (36) Others extra cost related to commission (331) on processing
Slide 8: Operating Income Analysis
7. Operating Income Analysis (Unit : Millions of yen, %) 3Q 2008 3Q 2007 Difference Coil 1,170 1,816 (646) O.I.R. (%) 11.8 15.1 － VOGT Components 196 239 (43) O.I.R. (%) 4.3 4.4 － VOGT EMS 53 62 (9) O.I.R. (%) 11.3 9.0 － Elimination (609) (678) 69 Total 819 1,439 (620) O.I.R. (%) 5.6 8.0 － 8 Copyrig
Slide 9: Sales by Region
8. Sales by Region (Unit : Millions of yen) Component Component 3Q 2008 ratio (%) 3Q 2007 ratio (%) Change(%) Japan 2,121 14.4 2,277 12.7 (6.9) Hong Kong 2,776 18.9 3,373 18.9 (17.7) /China ASEAN 922 6.3 922 5.1 0.0 Taiwan 343 2.3 1,391 7.8 (75.3) /Korea NAFTA 1,324 9.0 1,980 11.1 (33.1) EU 7,107 48
Slide 10: Consolidated Balance Sheet
9. Consolidated Balance Sheet (Unit : Millions of yen) End of September End of FY2007 FY2008 Short-term Loan 16,196 15,946 Bond (Alpine CB) 8,000 7,830 Long-term Loan + Bond 3,563 3,637 Total 27,759 27,413 Cash 9,181 6,772 Cash Equivalent 3,800 Net Debt 18,578 16,841 10 Copyright © 2008 SUMIDA CORPO
Slide 11: Capital Expenditure, Depreciation and R&D expenses FY2008
10. Capital Expenditure, Depreciation and R&D expenses FY2008 (Unit : Millions of yen) Plan Adjustment Capital 4,500 2,700 expenditure Depreciation 4,100 3,400 R&D expenses 3,600 3,600 11 Copyright © 2008 SUMIDA CORPORATION. All Rights Reserved.
Slide 12: Estimation for 4th Quarter FY2008
11. Estimation for 4th Quarter FY2008 (Unit : Millions of yen) 4th Quarter 4th Quarter FY08 FY07 Difference Amount of Estimation Actual ％ difference Net sales 13,000 17,035 (4,035) 76.3 Operating 525 1,316 (791) 39.9 income Operating income 4.0% 7.7% ratio Ordinary income 255 1,032 (777) 24.7 Net in
Slide 13: Forecast for FY2008
12. Forecast for FY2008 (Unit : Millions of yen) 1st 2nd 3rd 4th FY2008 Quarter Quarter Quarter Quarter (Actual) (Actual) (Actual) (Plan） (Plan) Net sales 14,835 15,479 14,701 13,000 58,000 Operating 1,042 1,051 819 525 3,430 income Operating 7.0% 6.9% 5.6% 4.0% 5.9% income ratio Ordinary 810 517 86
Slide 14: Revision of Forecast for FY2008
13. Revision of Forecast for FY2008 (Unit Millions of yen) Operating Ordinary Net sales Net income income Income Previous Forecast (Released on 6th Aug. ’08) 62,000 4,200 3,000 2,200 (A) Revised Forecast (Released on 28th Oct. ’08) 58,000 3,430 2,450 1,130 (B) Difference (4,000) (770) (550) (1,070)
Slide 15: Approaches to be taken in 4th Quarter 2008 and year 2009
Approaches to be taken in 4th Quarter 2008 and year 2009 Business environment analysis and measures to be taken 1. Consumer Electronics In the challenging business environment towards 2009, the following approaches will be taken: ① Negotiation for price increase ② Review of low margin products (incl
Slide 16: Further improvement of flexible cost structure
Further improvement of flexible cost structure which resilient to the fluctuations of demand Trend of long Trend of long term term profit profit rate rate structure structure 40 ①① Cut Cut excess excess labour labour force force 35 ②② Operation Operation ofof Nanning factory Nanning factory started
Slide 17: Progress of main themes in New Mid-Term Business Plan Triple Ex
Progress of 5 main themes in New Mid-Term Business Plan “Triple Ex” Content Main themes Activities carried out up to 3rd Planned Approaches from the 4th quarter quarter onwards ¾ To strengthen and expand the low-cost mass production in Asia ◎Right-sizing manufacturing labour force（20% cut） ◎Nanning
Slide 18: Progress of main themes in New Mid-Term Business Plan Triple Ex
Progress of 5 main themes in New Mid-Term Business Plan “Triple Ex” Content Main themes Activities carried out up to 3rd Planned Approaches from the 4th quarter quarter onwards Invest in ¾ Market & customer oriented R&D activities in Germany and Japan. New R&D Center in China (C-Lab) will coordinate
Slide 19: Progress of main themes in New Mid-Term Business Plan Triple Ex
Progress of 5 main themes in New Mid-Term Business Plan “Triple Ex” Content Main themes Activities carried out up to 3rd Planned Approaches from the 4th quarter quarter onwards ¾ Further improve and strengthen our Global Management System and strive to make the most of our synergies that derive from
Slide 20: Outline of EIWA
Outline of EIWA Company EIWA Co., Ltd. Name Major High-frequency transformers, Unit for switching power supplies, motor Business coils and stator coils for HDDs HQ ： Ota-ku, Tokyo Japan： Nagano (R&D, Sales), Major Aomori (Manufacturing / transformers: 100 workers) Operation Sites Outside Japan： Thai
Slide 21: Outline of MOSTEC
Outline of MOSTEC Company Name Mostec Inc. Manufacturing, Sales and R&D for various types of Major Business edge-wise coils Major Operation HQ ： Kyotanabe-City, Kyoto (15 employees) Sites Net Sales 170 mil. Yen (as of September 30, 07) Edge-wise coil: Round wire Edge-wise coil “Edge-wise coil” is a
Slide 22: Business Structure in FY 2009
Business Structure in FY 2009 Our 3 main Aim to become the businesses SUMIDA consolidator in the corresponding to CORPORATION power electronics developing market industry Reorganization according to products SPE <Sumida Power SECL SVG Electronics Co., Ltd.> SPE - newly established - Power Inductor C
Slide 23: Market growth and our strategies
Market growth and our strategies Expected Expected growth growth in in coil coil market market and and Sumida Sumida Steady growth of coil market together with expansion in electric/electronics-related industry -Long term growth owing to the promotion of digitalization, ubiquitous society, increase
Slide 24: Significance of share acquisition of EIWA and MOSTEC in Triple Ex
Significance of share acquisition of EIWA and MOSTEC in Triple Ex Further Further improvement improvement of of flexible flexible cost cost Securing Securing No.1 No.1 position position as as pure-coil-manufacturer pure-coil-manufacturer in in structure structure which which is is resilient resilien
Slide 25: Effect of acquiring EIWA and MOSTEC
Effect of acquiring EIWA and MOSTEC Expand Component environment/en Component / / ergy-saving module module business business related for for high high power power businesses (current (current xx voltage) voltage) + fields fields Roll up through High further M&A High current current power power busi
Slide 26: End of the Report
End of the Report Disclaimer The present slides are provided only to serve the purpose of disclosing information in your evaluation of the Company. Final decision on investments or similar decision is left to your absolute discretion. The Company disclaims responsibility or liability for any or all