Hosokawa Micron Corporation · TSE:6277
Hosokawa Micron — FY2020 Earnings Presentation
47 slides from Hosokawa Micron's earnings presentation, Dec 27, 2020
Slide 1: Financial Results of FY2020
Financial Results of FY2020 27 th Dec. 2020 Process Technologies for Tomorrow © HOSOKAWA MICRON CORP. All rights Reserved.
Slide 2: Contents
Contents 1. Financial summary 2. Future initiative 3. Corporate information Management philosophy, Corporate vision, What’s HOSOKAWA MICRON? © HOSOKAWA MICRON CORP. All rights Reserved. 1/46
Slide 3: Contents
Contents 1. Financial summary 2. Future initiative 3. Corporate information Management philosophy, Corporate vision, What’s HOSOKAWA MICRON? © HOSOKAWA MICRON CORP. All rights Reserved. 2/46
Slide 4: Financial Summary
Financial Summary One hundred million yen Operating Ordinary Profit Booking Net sales profit attributable to profit owners of parent Con 576 534 47 50 33 solid ated Year–on-Year 107.2% 96.6% 81.0% 82.1% 79.3% Non - 147 138 14 18 13 cons olid ated YoY 110.2% 96.6% 78.8% 72.1% 71.2% Exchange US dollar
Slide 5: Financial Summary; Healthy application
Financial Summary; Healthy application Japan/Asian group American group European group Powder processing Lithium ion Inhouse recycle Minerals (e.g., Calcium Electronics business battery of plastics carbonate) for rubber materials and plastics Special designed film for paper diaper For Monolayer Blow
Slide 6: Financial Summary; Application segmentation
Financial Summary; Application segmentation (Excepting Aftersales and toll processing 450 400 Booking (Hundred million yen) 350 Blown film 300 Blown film business 250 Chemicals 200 Polymers 150 Electronic material Powder processing Metals & Minerals business 100 Pharmaceuticals 50 Foods 0 FY2011 201
Slide 7: Financial Summary; Geographical segmentation
Financial Summary; Geographical segmentation Expanding business globally in a well-balanced manner in Japan (Asia), Europe, and the Americas Each areas show sales volume Location of our group 50.7% 30.8% 18.5% Location of customer 15.6% 38.7% 24.6% 21.1% © HOSOKAWA MICRON CORP. All rights Reserved.
Slide 8: Financial Summary; Major group companies
Financial Summary; Major group companies Each areas show sales volume Powder processing business Blown film business 404 hundred million yen 131 hundred million yen © HOSOKAWA MICRON CORP. All rights Reserved. 7/46
Slide 9: Financial Summary; Business segmentation
Financial Summary; Business segmentation 700 600 Booking (Hundred million yen) Others Toll processing 500 Aftersales 400 Blown film 300 200 Powder 100 processing 0 FY2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 Wide range of business through sales of machinery & system to aftersales and toll pr
Slide 10: Financial Summary; Service business
Financial Summary; Service business CAGR 4.9% 120 112 Booking (Hundred million yen) 105 103 100 90 90 86 Aftersales 82 75 80 70 67 60 40 Toll CAGR 2.9% processing 21 21 21 22 22 23 19 18 15 15 20 0 FY2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 CAGR：Compound Average Growth Rate © HOSOKAWA MICRO
Slide 11: Financial Summary; Profit/Loss
Financial Summary; Profit/Loss Percentage (million yen) FY2020 FY2019 Change change Booking 57,656 53,763 3,892 7.2% Net sales 53,497 55,381 -1,884 -3.4% Gross profit 19,357 20,075 -718 -3.6% Percentage gross profit 36.2% 36.2% -0.0pt - Operating profit 4,791 5,918 -1,127 -19.0% Ordinary profit 5,00
Slide 12: Financial Summary; Profit/Loss
11/46 (million yen) 110.08 Yen 124.18 Yen FY2019 Profit attributable to owners of parent ▲865 107.88 Yen 120.50 Yen Financial Summary; Profit/Loss Total income FY2020 taxes Extraordinary loss Euro US$ Extraordinary All rights Reserved. income Exchange ▲1,092 Ordinary profit rate Non-operating © HOSO
Slide 13: Financial Summary; Balance sheet
Financial Summary; Balance sheet (million yen) FY2019 FY2020 - M&A（Solids Solutions GmbH） - Goodwill - Building investment in Japan & Germany, etc. Property, plant and equipment Non- Non- Property, plant 18,868 Curren and equipment Curren Intangible assets 21,681 303 t Net Intangible assets t Net In
Slide 14: Financial Summary; Cash flow
Financial Summary; Cash flow (million yen) YonY YonY ▲829 +2,022 Building investment in Japan & Germany and M&A（Solids Solutions GmbH), etc. Proceeds from long-term debt and Dividends paid, etc. © HOSOKAWA MICRON CORP. All rights Reserved. 13/46
Slide 15: Trends of ROE & ROA
Trends of ROE & ROA ROE Return On Equity 11.8% 11.4% 11.3% 11.0% 9.7% Decreasing 8.7% 8.6% 8.6% 8.6% with profit 8.5% decreasing 7.1% 6.8% 6.8% 5.4% 5.3% 5.1% 4.9% 5.1% 4.7% 4.2% ROA Return On Assets 2010 2012 2014 2016 2018 2020 FY © HOSOKAWA MICRON CORP. All rights Reserved. 14/46
Slide 16: Trends of costs
Trends of costs (million yen) 3,774 Capital investment 3,299 Building of New Osaka factory & Logistic center (Germany) 1,996 and, M&A 1,393 1,182 983 1,102 1,105 Depreciation 1,003 739 924 918 670 798 866 R&D expenses FY2016 2017 2018 2019 2020 © HOSOKAWA MICRON CORP. All rights Reserved. 15/46
Slide 17: Trends of stock price and dividend
Trends of stock price and dividend Stock price and Turnover of HOSOKAWA MICRON 9,000 1,800 Turn over (thousand stocks) 8,000 1,600 7,000 1,400 Stock price (Yen) 6,000 1,200 5,000 1,000 4,000 800 3,000 600 2,000 400 1,000 200 0 0 5 shares were consolidated on March, 29th (2017) Stock price and turnov
Slide 18: Contents
Contents 1. Financial summary 2. Future initiative 3. Corporate information Management philosophy, Corporate vision, What’s HOSOKAWA MICRON? © HOSOKAWA MICRON CORP. All rights Reserved. 17/46
Slide 19: Annual plan of FY2021
Annual plan of FY2021 Severe business environment due to global economic stagnation and corona influence Planning a single year only. ==> To strengthen the management foundation and structure for next 17 th mid-term plan (FY2022-2024) © HOSOKAWA MICRON CORP. All rights Reserved. 18/46
Slide 20: Annual plan of FY2021; Summary
Annual plan of FY2021; Summary One hundred million yen Operating Ordinary Net sales Profit profit profit Consolidated 530 40 40 27 Exchange rate US dollar Euro (plan) 105.00 Yen 115.00 Yen © HOSOKAWA MICRON CORP. All rights Reserved. 19/46
Slide 21: Annual plan of FY2021; Domestic divisions
Annual plan of FY2021; Domestic divisions Powder Maintenance Material div. processing div. service div. LIB Energy Foods Pharmaceuticals Enhancement of Expanding sales of collaboration with parts overseas by Hosokawa Micron Focusing to active collaborating with Cosmetics Corp. & markets Asian bases
Slide 22: Annual plan of FY2021; Global operation
Annual plan of FY2021; Global operation For future Asian Marketing development market https://eetimes.jp/ee/articles/2003/30/news049.html Enhancement of South Africa Hopes for collaboration among America group companies economic Market Market recovery of expansion development China Assessing of acti
Slide 23: Trend of sales & operating profit (consolidated)
Trend of sales & operating profit (consolidated) 14 th Mid-term plan 15 th Mid-term plan 16 th Mid-term plan 17 th Mid-term plan Further development of Hosokawa Micron Hosokawa Micron Challenge to be Global Standard Mountain Range of Group intends to Group enhance its Powder and Associated maximize
Slide 24: 17th Mid-term plan; Basic policy
17 th Mid-term plan; Basic policy - Group basic policy Challenge to be Global Standard Hosokawa Micron Group continues to develop superior products and provide technical services to achieve a dominant position by market acceptance. © HOSOKAWA MICRON CORP. All rights Reserved. 23/46
Slide 25: Basic measures of 17th Mid-term plan
Policy & Measures Achievement of goals – Business growth Marketing & Product development Global collaboration among group Basic measures of 17 th companies Mid-term plan DX : Digital transformation ESG/SDGs : Social contribution, Environmental preservation Work system reform Development of human res
Slide 26: 17th Mid-term plan; Basic measures 1
17 th Mid-term plan; Basic measures 1 -Expansion of sales network by reinforcement of Group Corporation ・Expansion of sales to emerging market ・For Asian market : Enhancement of group collaboration & Rethinking of product & sales strategy © HOSOKAWA MICRON CORP. All rights Reserved. 25/46
Slide 27: 17th Mid-term plan; Basic measures 2
17 th Mid-term plan; Basic measures 2 - Promoting business by centralizing information by DX：Digital ・Reconstruction of grand design of IT ・ Analyzing & Utilizing of accumulated information (market, application , customer, test data, etc.) ・Proposing a high-value added technology to customer by fusi
Slide 28: 17th Mid-term plan; Basic measures 2, DX
17 th Mid-term plan; Basic measures 2, DX -Example : Increasing customer satisfaction by proposing remote services. Real time communication for test and/or measured results. © HOSOKAWA MICRON CORP. All rights Reserved. 27/46
Slide 29: 17th Mid-term plan; Basic measures 3
17 th Mid-term plan; Basic measures 3 -Application oriented marketing & promoting the development of corresponding products ・Market research by industries and materials, it will be applied to consider product development ・Reconstruction of global R&D and sales network (Construction of an specializat
Slide 30: 17th Mid-term plan; Basic measures 4
Activation of intra-group communication for the development of global and open-minded human resources 17 th Mid-term plan; Basic measures 4 -Open & Challenge Mind Work system reform & development of human resources ・ Creating a culture and reforming the system to support the challenge mind ・ Activat
Slide 31: 17th Mid-term plan; Basic measures 5
17 th Mid-term plan; Basic measures 5 -Initiatives toward ESG/SDGs & further contribution to society and environmental preservation ・Contribution to circular economy by our product, toll processing, and aftersales business ・Improvement of QoL (Quality of Life) by proposing our products, materials an
Slide 32: Examples of our activity before SDGs
Examples of our activity before SDGs Target 3.9: By 2030, Target 11.6: By 2030, reduce Target 9.4: By 2030, upgrade infrastructure and substantially reduce the the adverse per capita retrofit industries to make them sustainable, number of deaths and environmental impact of cities, with increased res
Slide 33: Our proposal to contribute ESG, SDGs
Our proposal to contribute ESG, SDGs Goal 9. Build resilient Goal 12. Ensure Goal 13. Take Goal 3. Ensure healthy infrastructure, promote sustainable urgent action to lives and promote well- inclusive and consumption and combat climate being for all at all ages sustainable production change and its
Slide 34: Example of our challenge from this year
Example of our challenge from this year Target 3.9: By 2030, Target 11.6: By 2030, substantially reduce the reduce the adverse per number of deaths and capita environmental impact illnesses from hazardous of cities, including by paying chemicals and air, water and special attention to air soil pollu
Slide 35: Contribution of our technology to circular economy; Powder technology
Contribution of our technology to circular economy ; Powder technology LIB for EV Neodymium magnet, ceramics Materials for manufacturing bearing for motor, generator apparatus of silicon Micronizing and high functionality of raw materials particles Fine milling of raw materials of secondary batterie
Slide 36: Contribution of our technology to circular economy; Blown film technology
Contribution of our technology to circular economy ; Blown film technology (Cross section of film) Present high-functional film Multi materials (Polyethylene [PE],PET,PA, etc.) are layered to = Difficult separation -> Hard to recycle satisfy the performance MONO MATERIAL (Cross-sectional view of fil
Slide 37: Contents
Contents 1. Financial summary 2. Future initiative 3. Corporate information Management philosophy, Corporate vision, What’s HOSOKAWA MICRON? © HOSOKAWA MICRON CORP. All rights Reserved. 36/46
Slide 38: Powder Technology contributes to the Society
Message “Powder Technology contributes to the Society” © HOSOKAWA MICRON CORP. All rights Reserved. 37/46
Slide 39: Corporate Vision
Corporate Vision The Hosokawa Micron Group will always be the leading global company covering the mountain range of Powder Technologies. The Group will achieve peaks of excellence in the development and commercialization of advanced materials, process equipment and systems engineering. © HOSOKAWA MI
Slide 40: Global synergy
Global synergy Business management that maximizes the synergistic effects of group companies Technology Human Globalization development resources A flat organization under the direct control of the group headquarters 33bases 22companies 15countries Sharing the latest R&D by utilizing Mutual supply o
Slide 41: Core business
Core business Development of comprehensive service business that leads to improvement of customer satisfaction Video Powder Blown film Video processing processing Aftersales R&D Machine sales & Toll Material & Blown Engineering processing Cosmetics film line Customers are various companies / organiz
Slide 42: Where is our technology used?
Where is our technology used? Lithium ion battery Synthetic resin Water pipe : Poly Vinyl Chloride (PVC) Cathode：Cobalt Based, Phosphate based Fluorine coating : Fluorocarbon resin (PTFE) Precursors of Cobalt Based Manganese PET bottle, Synthetic fiber, Industrial plastic : Anode : Graphite, Silicon
Slide 43: "Powder" is a solid
Why the powder technology is difficult? Gas “Powder” （If you blow it, it floats is a solid like as smoke） （If you press it, it solidify） Liquid （Flowing like as water） Handling is more complex than handling of gas or liquid -> Professional technology is required © HOSOKAWA MICRON CORP. All rights Re
Slide 44: Powder technologies: Various operations
Powder technologies Milling Drying Various operations Granulation Separation Blending Measurement Recovery of powders, Filtration and More! © HOSOKAWA MICRON CORP. All rights Reserved. 43/46
Slide 45: Blown film line
Blown film line The melted polymer is inflated with Inflation method air and molded into a bag shape. The translucent part is the film Offering the system (including Winder, Orientation, etc.) © HOSOKAWA MICRON CORP. All rights Reserved. 44/46
Slide 46: "HOSOKAWA" change and support the world life.
We continue to grow as the leading global company to expand the mountain range of Powder Technologies. “HOSOKAWA” change and support the world life. © HOSOKAWA MICRON CORP. All rights Reserved. 45/46
Slide 47: Please do not reproduce and/or forwarding the contents.
Please do not reproduce and/or forwarding the contents. © HOSOKAWA MICRON CORP. All rights Reserved. 46/46