Ulvac, Inc. · TSE:6728
Ulvac — H1 FY2024/6 Earnings Presentation
21 slides from Ulvac's earnings presentation, Feb 13, 2024
Slide 1: The First Half of FY2024/6 Business Results
ULVAC ULVAC, Inc. The First Half of FY2024/6 Business Results (Jul. 2023 - Dec. 2023) Feb. 13, 2024
Slide 2: Disclaimer regarding forward-looking statements
Disclaimer regarding forward-looking statements Forward-looking statements of the company in this presentation are based on information that was available at the time these documents were prepared. There are several factors that directly or indirectly impact the company performance, such as the glob
Slide 3: H1 FY24/6 orders received and net sales summary
For the H1 of FY24/6,orders received and net sales totaled ¥134.0 billion and ¥120.2 billion respectively, an increase YoY due to increased investment in power devices and more active investment in double-sided evaporation roll-to- roll equipment related to EV batteries. In semiconductors, investmen
Slide 4: Orders and net sales increased YoY on power devices and EV batteries
Orders received and net sales both increased YoY due to an increase in power devices and active investment in double-sided evaporation roll-to-roll equipment related to EV batteries. Orders received were expected to be ¥131.0 billion in H1, especially concentrated in Q1, and ¥119.0 billion in H2, a
Slide 5: Q2 sales increased QoQ and margins improved
Q2 sales increased QoQ and both gross profit margin and operating profit margin improved. 5
Slide 6: Orders received increased YoY to ¥134.0 billion
Orders received increased YoY to ¥134.0 billion. In particular, SiC power devices and battery-related business grew significantly. Net sales increased YoY due to contribution of orders received from semiconductors and electronics such as power devices and high level orders backlog. 6
Slide 7: Quarterly profit margins improved in 2Q
Looking at quarterly profit margins, gross profit margin improved to 30.8% and operating profit margin improved to 11.5% in 2Q due to a significant increase in net sales. 7
Slide 8: H1 gross and operating profit margins improved
Gross profit margin improved to 29.4% and operating profit margin improved to 8.6% in H1 as net sales increased. Net sales are expected to increase in H2 as well, leading to an improvement in profit margins. 8
Slide 9: Growth drivers are steadily driving business growth
Growth drivers are steadily driving the business growth. Looking from the bottom up, in power devices, in addition to China, where SiC investment has been active, investment in 6-inch SiC has started in Japan. Japanese companies are considering 8-inch SiC devices, and full-scale investment is expect
Slide 10: Memory and advanced Logic moving to investment recovery
Both memory and advanced Logic are expected to move from the adjustment phase to a phase of investment recovery. The figure on the left shows that semiconductor capital investment forecast by Semi shows that from 2023 to 2024, logic and memory will enter a phase of investment recovery. This trend re
Slide 11: SiC investment increasing in Japan as well as China
In the power device business, SiC investment has been increasing in Japan as well as in China. Packaging investment has recently become more active, and orders for our ashing equipment are on the rise. 11
Slide 12: SiC will be the center of future power device investment
SiC will be the center of future power device investment. We will take advantage of business opportunities and grow by providing equipment that responds to the movement to increase substrate size from 6 inch to 8 inch and structural changes to trench structure. Specifically, as substrate size increa
Slide 13: Double-sided evaporation roll-to-roll equipment for EV batteries
This section describes the double-sided evaporation roll-to-roll equipment for EV batteries. The figure on the left bottom is the layers of lithium battery. The cathode current collector was previously aluminum foil, but by replacing this with a double-sided evaporation film, there are advantages su
Slide 14: ULVAC holds 90% share of evaporation roll-to-roll market
Until now, ULVAC has held a 90% share of the evaporation roll-to-roll equipment market for film capacitors used for automotive. This technological capability enables high-speed, long-length film deposition through thermal damage control so that PET film, which is easily melted by heat, does not melt
Slide 15: Development of double-sided aluminum and copper evaporation equipment
Regarding double-sided aluminum evaporation roll-to-roll equipment for cathode current collectors, we are working on increasing the width of the film to further improve productivity. We are also working on the development of double-sided evaporation roll-to-roll equipment to replace the anode curren
Slide 16: Stable business basis also growing steadily
Stable business basis are also growing steadily. Components were about 1.1 times YoY due to strong sales of medium and large pumps for EV batteries, leak detectors, helium leak test equipment, and other products. Cryopumps for OLEDs and other products are expected to contribute in the future. Materi
Slide 17: Topics: award received from TSMC
For the Topics, we received an award from TSMC. This is in recognition of the prompt and reliable installation and on-time delivery of the ashing equipment used in the packaging process. Packaging business is also an area of future growth. 17
Slide 18: Orders Received and Net Sales by Segment (Quarterly)
| 15 J Orders Received and Net Sales by Segment (Quarterly) ULVAC | Orders Received (Unit ¥1 billion L Net Sales Unit: ¥4 billion Semiconductors & Electronics Semiconductors & Electronics Device Production Equipment HE Component Device Production Equipment Component Materials |i FPO Production Equip
Slide 19: Consolidated Balance Sheet
| 16 J Consolidated Balance Sheet ULVAC | Assets (Unit: ¥1 bition) l Liabilities and Net Assets (Unit ¥1 bition) = Cash and deposts = Notes and accounts payabie ade = Notes and aocounts receivable rade = interest beasng ett + Inventories * other curenthabittes "Other curent assets, *= Property.plant
Slide 20: Supporting a smart and digital society and green energy
BEF rvorting the realization of a smart and digital society and green energy through technological innovation JJ \/AC Smart and Digital Society BeBHAn Green Energy Conversion Realization alal 2 flea ols] Low Power Consumption EEA 22:3 veccunncons Sensor * Electronic Devices Miniaturization/ High per
Slide 21: ULVAC Vacuum Technology Contributes to Many Industries and Applications
ULVAC Vacuum Technology Contributes to Many Industries and:Applications 21