Nippon Chemi-Con Corporation · TSE:6997
Nippon Chemi-Con — FY2024 Earnings Presentation
25 slides from Nippon Chemi-Con's earnings presentation, May 2025
Slide 1: Financial Results Explanatory Material for FY2024
Financial Results Explanatory Material for FY2024 (FY ended March 31, 2024) TSE Prime Market, Securities code:6997 NIPPON CHEMI‐CON CORPORATION May 2025 1
Slide 2: Trends in Quarterly Earnings
Trends in Quarterly Earnings Net Sales Operating Unit: Million yen Trends in Net Sales and Operating Margin Margin (%) 50,000 9th Medium-term Management Plan 10th Medium-term Management Plan 11% 45,000 42,858 41,982 41,137 38,439 38,602 9.7% 39,203 40,000 9.4% 9% 37,825 35,989 35,680 34,718 35,000 3
Slide 3: FY2024 Consolidated Earnings Summary
FY2024 Consolidated Earnings Summary Performance fells significantly below plans due to delays in the recovery of the industrial equipment market and sluggish growth for EVs in the automotive electronics market, as well as a stagnant EU market Rate of Change Unit: Million yen FY2023 FY2024 Change (%
Slide 4: Main Points of FY2024 Financial Results
Main Points of FY2024 Financial Results Main Points of FY2024 Financial Results Net Sales ◇Net sales (Market Trends) Automotive: Sales were low due to sluggish EV growth and a 122,684 million yen stagnant EU market. -18.6% YoY Industrial equipment: Customer inventory optimization progressed but mark
Slide 5: FY2024 Net Sales by Market and by Region
FY2024 Net Sales by Market and by Region □ Percentage of Net Sales by Market Net Sales Trends by Market 180 Unit: Billion yen ICT+3pt, automotive electronics +2pt = industrial equipment, new energy -2pt 150.7 150 Automotive 122.7 Automotive electronics Industrial New Home ICT Other 120 50.7 FY2023 e
Slide 6: FY2024 Net Sales by Product
FY2024 Net Sales by Product Industrial equipment market and automotive electronics market were sluggish but sales of hybrid capacitors and conductive polymer capacitors for servers remained strong Rate of Change Unit: Million yen FY2023 Results FY2024 Results Change (%) Aluminum electrolytic 132,497
Slide 7: FY2024 Operating Income Analysis
FY2024 Operating Income Analysis Unit: Billion yen + Lowered fixed costs by reducing operating costs and depreciation and amortization + Reduced costs through production efficiency improvements + Trend of yen depreciation － Lower sales due to delay in recovery of industrial equipment, stagnant autom
Slide 8: FY2024 Financial Results Summary (Statement of Cash Flow)
FY2024 Financial Results Summary (Statement of Cash Flow) 🔷 Free cash flow increased YoY mainly due to an increase in net income before taxes and other adjustments and a decrease in payment amounts for antitrust law-related losses 🔶 The balance of cash and cash equivalents decreased YoY due to…
Slide 9: FY2024 Classified Shares
FY2024 Classified Shares The removal of conversion restriction from FY2025 onwards was March 10, 2025 accelerated by one year Press release ※Japanese Only Applies to "In the case of confident projections that results will fall, or have already fallen, 20% below the FY2024 Medium-term Management Plan
Slide 10: Trends in Balance Sheet
FY2024 Profit/Loss, Other Financial Information (Trends in Balance Sheet) (times) 2,100 3.50 1. Accumulate net assets Net assets Equity capital Interest-bearing debt D/E ratio 1,950 → Achieve D/E ratio of 1.0 or less 2. Maintain and improve credit rating Financial Structure Improvement (D/E ratio of
Slide 11: Trends in Financial Position
FY2024 Profit/Loss, Other Financial Information (Trends in Financial Position) In light of the impact of demand fluctuations, this fiscal year equity capital increased only slightly. From next fiscal year onwards, we will aim to improve financial structure by accumulating retained earnings, redeemin
Slide 12: FY2025 Consolidated Full-Year Forecast
FY2025 Consolidated Full-Year Forecast Earnings are projected to improve on increased sales and improvement in product mix thanks to a recovery in the industrial equipment market and increased demand for parts for the ICT and automotive electronics markets FY2024 FY2025 Unit: Million yen Full-year 1
Slide 13: Main Points of FY2025 Consolidated Full-Year Forecast
Main Points of FY2025 Consolidated Full-Year Forecast Main Points of FY2025 Forecast (excluding impact of tariffs) Net Sales ◇ Net Sales * For the automotive electronics market, we forecast an end to parts inventory adjustments and growth for high value-added products, 146,000 million yen particular
Slide 14: FY2025 Difference Compared to the 10th Medium-term Management Plan
FY2025 Difference Compared to the 10th Medium-term Management Plan ◇ External environment: Orders fell significantly from initial plans due to a market correction as customers had excess inventory investments attributable to the semiconductor shortage caused by COVID-19, the prolonged conflict in Uk
Slide 15: Market Forecasts
Current Business Environment and FY2025 Forecast (Envisioned market rebound) [Net Sales Index Trends by Market] (1H/FY2024≒100) 200 ICT Industrial 150 equipment Automotive 100 electronics Market Forecasts 50 1H 2H 1H 2H FY2024 FY2024 FY2025 FY2025 Automotive Stagnant due to sluggish EV growth and EU
Slide 16: FY2025 Forecast of Net Sales by Product
FY2025 Forecast of Net Sales by Product Increased sales of aluminum electrolytic capacitors thanks to a recovery in industrial equipment market and increased number of parts for the ICT market (AI servers, etc.) and automotive electronics market FY2025 FY2024 % Unit: Million yen Full-year Compositio
Slide 17: FY2025 Analysis of Factors Behind YoY Change in Operating Income
FY2025 Analysis of Factors Behind YoY Change in Operating Income Unit: Billion yen + Increased sales thanks to strong sales for ICT (servers, etc.) market and a recovery for industrial equipment market and automotive electronics market + Cost reductions thanks to the promotion of smart factories － D
Slide 18: Promote structure for increase hybrid capacitor production capacity
10th Medium-term Management Plan Growth Strategy: Promote structure for increase hybrid capacitor production capacity Increasing in production capacity of hybrid capacitors ■Chemi-Con East Japan Corp. Miyagi Plant ■Production expansion to progress as planned ・Completion of new manufacturing building
Slide 19: Competitive Advantage on Server Market
10th Medium-Term Management Plan Growth Strategy: Competitive Advantage on Server Market Aim for growth by capturing server market growth to expand profits Demand for electrolytic capacitors will increase significantly on Number of AI servers increasing power consumption CAGR25% Supply Capability Pr
Slide 20: Product Strategy for the AI Server Market
10th Medium-Term Management Plan Growth Strategy: Product Strategy for the AI Server Market Aiming for broad adoption for AI servers as a key market [Aluminum Electrolytic Capacitors] New cathode foil developed in-house will be incorporated into all products [EDLC] Propose solutions for AI servers
Slide 21: Promoting Smart Factory Initiative to Improve Productivity and Save Labor
10th Medium-Term Management Plan Growth Strategy: Promoting Smart Factory Initiative to Improve Productivity and Save Labor Production process SCM Restructuring automation Labor-saving measures based on Scheduler/MES construction manufacturing process automation Improved delivery schedule Aim to con
Slide 22: View on FY2025 Business Environment
10th Medium-term Management Plan: View on FY2025 Business Environment ⚫ Impact of the US government's reciprocal tariff policy and measures to address this policy - Global footprint Maximize the effective use of our global production sites We are the only company in the US that has both an aluminum
Slide 23: Response to US trade policy risks
10th Medium-Term Management Plan: Response to US trade policy risks Avoid risks from trade policies/Maximize potential of our supply system Strengthen the optimization of production sites, supply chains, and pricing strategies Production in multiple locations We own production plants around the wor
Slide 24: ESG Initiatives in Strengthening Governance
ESG Initiatives in Strengthening Governance Progress toward declaring an end to the antitrust law issue that has continued for nearly 10 years Continue implementing measures to strengthen governance [Current status of antitrust law] 2024/12/25 Timely disclosure of settlement to class action lawsuit
Slide 25: Disclaimer
Disclaimer This material has been translated from the Japanese original for reference purposes only. In the event of any discrepancy between this translated document and the Japanese original, the original shall prevail. The projected performance figures in this material are based on information ava