TDK Corporation · TSE:6762

TDK — H1 FY March 2020 Earnings Presentation

26 slides from TDK's earnings presentation, Oct 31, 2019

  1. Slide 1: Performance Briefing First Half of Fiscal Year March 2020

    Performance Briefing First Half of Fiscal Year March 2020 TDK Corporation Corporate Communications Group October 31, 2019

  2. Slide 2: Agenda

    ●Consolidated Results for First Half of FY March 2020 Tetsuji Yamanishi, Senior Vice President ●Consolidated Full Year Projections for FY March 2020 Shigenao Ishiguro, President and CEO © TDK Corporation  2019 Performance Briefing First Half of Fiscal Year March 2020 Corporate Communications Group

  3. Slide 3: Consolidated Results for First Half of FY March 2020

    Consolidated Results for First Half of FY March 2020 Tetsuji Yamanishi Senior Vice President © TDK Corporation  2019 Performance Briefing First Half of Fiscal Year March 2020 Corporate Communications Group  October 31, 2019  3

  4. Slide 4: Key points concerning earnings for first half of FY March 2020

    Key points concerning earnings for first half of FY March 2020 ● Despite the impact of U.S.-China trade friction gaining momentum and the continuing deceleration of the world economy starting with China, operating income achieved a new record on both a half-yearly and a quarterly basis* ¬ Net sales

  5. Slide 5: Consolidated results for first half of FY March 2020

    Consolidated results for first half of FY March 2020 FY March 2019 FY March 2020 Change Results through 2Q Results through 2Q (Yen billions) (2018.4.1-2018.9.30) (2019.4.1-2019.9.30) Yen billions % Net sales 721.9 707.0 (14.9) -2.1 Operating income 62.2 68.8 6.6 10.6 Operating income margin 8.6% 9.7

  6. Slide 6: First half results - Passive Components segment

    First half results - Passive Components segment Net sales (Yen billions) Net sales 200.1 billion yen (down 11.0% year on year) 224.8 Operating income 21.8 billion yen (down 28.3% year on year) 200.1 ● Ceramic Capacitors ¬ Sales decreased and profit increased year on year. ¬ Sales to the automotive a

  7. Slide 7: First half results - Sensor Application Products segment

    First half results - Sensor Application Products segment Net sales Net sales 38.9 billion yen (down 1.5% year on year) (Yen billions) Operating loss -12.5 billion yen (up ―% year on year) 39.5 38.9 ● Sensors ¬ Sales and profits decreased year on year. ¬ In Magnetic Sensors, sales of Hall Sensors dec

  8. Slide 8: First half results - Magnetic Application Products segment

    First half results - Magnetic Application Products segment Net sales (Yen billions) Net Sales 110.0 billion yen (down 24.6% year on year) 145.9 Operating income 6.7 billion yen (up 52.3% year on year) 110.0 ● HDD Heads ¬ Sales and profits decreased year on year. ¬ Sales of HDD assembly business decr

  9. Slide 9: First half results - Energy Application Products segment

    First half results - Energy Application Products segment Net sales Net Sales 318.2 billion yen (up 13.5% year on year) (Yen billions) 318.2 Operating income 69.0 billion yen (up 27.1% year on year) 280.3 ● Energy Devices (Rechargeable Batteries) ¬ Sales and profit increased year on year. ¬ In the IC

  10. Slide 10: Breakdown of operating income changes

    Breakdown of operating income changes First half of First half of FY March 2019 Operating income +6.6 billion yen FY March 2020 62.2 billion yen 68.8 billion yen (Yen billions) One-time Exchange SG&A expenses Impairment expenses fluctuation Rationalization, Benefits from Sales price increase loss re

  11. Slide 11: Consolidated results for 2Q of FY March 2020

    Consolidated results for 2Q of FY March 2020 FY March 2019 FY March 2020 Change 2Q results 2Q results (Yen billions) Yen billions % Net sales 378.9 370.2 (8.7) -2.3 Operating income 36.8 43.9 7.1 19.3 Operating income margin 9.7% 11.9% +2.2 pt - Income before income taxes 34.1 43.9 9.8 28.7 Net inco

  12. Slide 12: Quarterly results by segment

    Quarterly results by segment YoY change QoQ change 2Q of 1Q of 2Q of (C)-(A) (C)-(B) FY March 2019 FY March 2020 FY March 2020 (Yen billions) (A) (B) (C) Yen billions % Yen billions % Capacitors 43.9 39.3 39.6 (4.3) -9.8 0.3 0.8 Inductive Devices 39.5 34.1 35.7 (3.8) -9.6 1.6 4.7 Other Passive Compo

  13. Slide 13: Consolidated Full Year Projections for FY March 2020

    Consolidated Full Year Projections for FY March 2020 Shigenao Ishiguro President and CEO © TDK Corporation  2019 Performance Briefing First Half of Fiscal Year March 2020 Corporate Communications Group  October 31, 2019  13

  14. Slide 14: Projections for 3Q of FY March 2020

    Projections for 3Q of FY March 2020 - Image of changes in sales (Yen billions) 3Q projections Segment 2Q of FY March 2020 (QoQ change) Passive Components 101.9 ±0% Sensor Application Products 20.8 +6%～+9% Magnetic Application Products 54.5 +5%～+8% Energy Application Products 173.7 -6%～-9% Other 19.4

  15. Slide 15: Full year / dividend projections

    FY March 2020 full year / dividend projections FY March 2020 FY March 2020 YoY change FY March 2019 full year projections full year projections full year results Yen billions % (Yen billions) (announced on Apr. 26, 2019) (announced on Oct. 31, 2019) Net sales 1,381.8 1,420.0 1,390.0 8.2 0.6 Operatin

  16. Slide 16: Supplementary Data

    Supplementary Data © TDK Corporation  2019 Performance Briefing First Half of Fiscal Year March 2020 Corporate Communications Group  October 31, 2019  16

  17. Slide 17: Quarterly sales and operating income by segment

    Quarterly sales and operating income by segment FY March 2019 FY March 2020 (Yen billions) 1Q 2Q 3Q 4Q Total 1Q 2Q 3Q 4Q Total Capacitors 44.5 43.9 42.7 42.3 173.3 39.3 39.6 Inductive Devices 38.9 39.5 37.3 34.3 150.0 34.1 35.7 Other Passive Components 29.3 28.7 26.7 25.3 110.1 24.8 26.6 Passive Com

  18. Slide 18: FY March 2020 projections and forex sensitivity

    FY March 2020 projections and forex sensitivity Expenses (Yen billions) Capital expenditure Depreciation R&D 250 200.0 200 178.6 167.6 173.6 160.7 150 130.0 115.2 120.0 106.6 102.6 100 87.5 92.2 84.9 91.3 83.2 50 0 FY16/3 FY17/3 FY18/3 FY19/3 FY20/3 FY16/3 FY17/3 FY18/3 FY19/3 FY20/3 FY16/3 FY17/3 F

  19. Slide 19: Financial position

    Financial position March End, June End, September End, Change (Yen billions) 2019 2019 2019 Total asset 1,992.5 2,017.4 1,952.7 (64.7) Total liability 1,108.7 1,165.1 1,091.1 (74.0) Stockholders's equity 877.3 846.1 856.3 10.2 (comprehensive income) (124.4) (161.3) (176.5) (15.2) Stockholders's equi

  20. Slide 20: Cash flows

    Cash flows FY March 2019 FY March 2020 YoY (Yen billions) Results through 2Q Results through 2Q change Operating cash flow 7.7 59.9 52.2 Investing cash flow (55.0) 64.6 119.6 Free cash flow (47.3) 124.5 171.8 Financing cash flow 14.7 (77.0) (91.7) Effect of exchange rate changes on cash and cash equ

  21. Slide 21: Quarterly sales by applications

    Quarterly sales by applications (1Q of FY March 2019 – 2Q of FY March 2020) © TDK Corporation  2019 Performance Briefing First Half of Fiscal Year March 2020 Corporate Communications Group  October 31, 2019  21

  22. Slide 22: Passive Components business quarterly sales by applications

    Passive Components business quarterly sales by applications (1Q of FY March 2019 – 2Q of FY March 2020) © TDK Corporation  2019 Performance Briefing First Half of Fiscal Year March 2020 Corporate Communications Group  October 31, 2019  22

  23. Slide 23: Performance Briefing First Half of Fiscal Year March 2020

    © TDK Corporation  2019 Performance Briefing First Half of Fiscal Year March 2020 Corporate Communications Group  October 31, 2019  23

  24. Slide 24: Performance Briefing First Half of Fiscal Year March 2020

    © TDK Corporation  2019 Performance Briefing First Half of Fiscal Year March 2020 Corporate Communications Group  October 31, 2019  24

  25. Slide 25: Cautionary statements with respect to forward-looking statements

    Cautionary statements with respect to forward-looking statements This material contains forward-looking statements, including projections, plans, policies, management strategies, targets, schedules, understandings, and evaluations about TDK, or its group companies (TDK Group). These forward-looking

  26. Slide 26: Text data including Q&A of performance briefing

    Text data including Q&A of performance briefing will be uploaded on following site. https://www.tdk.com/corp/en/ir/ir_events/conference/2020/2q_1.htm

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