Horiba, Ltd. · TSE:6856

Horiba — FY2019 Earnings Presentation

34 slides from Horiba's earnings presentation, Mar 16, 2020

Slide 1: Financial Information HORIBA, Ltd.
Financial Information HORIBA, Ltd. March, 2019 (This material was prepared for the 2019 financial results briefing performed on the 17th Feb., 2019) © 2020 HORIBA, Ltd. All rights reserved. 1
Slide 4: Review of 2019
Review of 2019  The rise of protectionism (the US-China trade conflict, the deteriorating Japan-South Korea relationship) External  BREXIT Events  Slowdown in capital spending on semiconductors  The accelerating automotive electrification trend and tighter emission regulations globally  Formula
Slide 5: Summary of 2019 Results
Summary of 2019 Results Year-on year decrease in sales and profit due to slowdown of the semiconductor segment Year-on-year decrease in sales and profit of the Semiconductor segment due to impacts of the market P&L Due to a change in geographical sales mix and other factors, decline in profitabili
Slide 6: 2019 Results
2019 Results (Billions of Yen) 2018 2019 Forecast vs vs Results Results Forecast (as of Nov. 11) 2018 (as of Nov. 11) Sales 210.5 207.0 200.2 -10.3 -6.7 Operating Profit 28.8 23.0 20.9 -7.9 -2.0 O.P.% 13.7% 11.1% 10.4% -3.3p -0.7p Ordinary Profit 28.3 22.5 20.5 -7.7 -1.9 Net Income attributable to O
Slide 7: 2019 Results by Segment
2019 Results by Segment (Billions of Yen) Sales Operating profit 2018 2019 2018 2019 vs vs vs vs Results Forecast Results Results Forecast Results (as of Nov. 11) 2018 Forecast (as of Nov. 11) 2018 Forecast :Record-high (as of Nov. 11) (as of Nov. 11) Auto 79.6 83.0 81.0 +1.3 -1.9 7.7 7.0 6.4 -1.2 -
Slide 9: Market Assumptions for 2020
Market Assumptions for 2020 Tighter emission regulations mainly in Asia Auto Strong appetite for investment in the automotive sector due to innovation in electrification & autonomous driving Increase in demand due to tighter environmental regulations in emerging countries P&E Recovery in investment
Slide 10: Exchange Rate
Exchange Rate (Yen) 2018 2019 2020 vs Results Results Forecast 2019 USD 110.44 109.03 110.00 + 0.97 EUR 130.35 122.03 120.00 ▲ 2.03 1 yen O.P. sensitivity for 2020 forecast (Yen appreciation) USD -216 million yen EUR -21 million yen © 2020 HORIBA, Ltd. All rights reserved. 10
Slide 11: 2020 Forecast
2020 Forecast (Billions of Yen) 2018 2019 2020 vs Results Results Forecast :Record-high 2019 Sales 210.5 200.2 215.0 +14.7 Operating Profit 28.8 20.9 25.0 +4.0 O.P.% 13.7% 10.4% 11.6% ＋1.2p Ordinary Profit 28.3 20.5 24.5 +3.9 Net Income attributable to Owners of Parent 22.3 15.4 17.5 +2.0 Net profit
Slide 12: 2020 Forecast by Segment
2020 Forecast by Segment (Billions of Yen) Sales Operating Profit 2019 2020 vs 2019 2020 vs :Record-high Results Forecast 2019 Results Forecast 2019 Auto 81.0 85.0 +3.9 6.4 7.5 +1.0 P&E 19.5 21.5 +1.9 1.6 1.5 -0.1 Medical 25.3 27.0 +1.6 1.3 1.5 +0.1 Semi 47.1 52.5 +5.3 10.7 13.5 +2.7 Scientific 27.1
Slide 14: Auto 2019 Results/2020 Forecast
Auto 2019 Results/2020 Forecast (Billions of yen) 2019 Results A new product in 2019 Driving robot for vehicle development 【EMS】 Higher demand mainly in Asia, driven by adoption of new regulations  Automate running tests on 【MCT1】 Increase in demand for fuel cell test systems chassis dynamos 【ECT2】
Slide 15: P&E 2019 Results/2020 Forecast
P&E 2019 Results/2020 Forecast (Billions of yen) 2019 Results Topic in 2019 Adopted in JICA’s SDG Support Project 【Stack gas analyzers/Air quality monitoring system】  The project aims to introduce continuous elemental and Robust sales of stack gas analyzers in Japan particulate mass analysis with a
Slide 16: Medical 2019 Results/2020 Forecast
Medical 2019 Results/2020 Forecast (Billions of yen) 2019 Results A new product in 2019: Yumizen M100 Banalyst  Enables screening of diabetes and  Business expansion in emerging countries infectious diseases with tiny amount of  Enhanced sales of the new product in Japan blood  Decrease in sales
Slide 17: Semi. 2019 Results/2020 Forecast
Semi. 2019 Results/2020 Forecast (Billions of yen) 2019 Results Topics in 2019: Contribution to miniaturization and 3D-integration processes Miniaturization & EUV 3D-integration & 3D-NAND  Decline in both sales and 【Pellicle particle detection system】【Hot phosphoric acid concentration monitor】 ope
Slide 18: Scientific 2019 Results/2020 Forecast
Scientific 2019 Results/2020 Forecast (Billions of yen) 2019 Results A new product in 2019: LAQUA Collect feedback from people who  Decrease in sales in Asia due to the economic implement water analysis both slowdown within and outside Japan  Increase in sales of high-value-added Portable pH/wat
Slide 20: Priority Measures of MLMAP2023
Priority Measures of MLMAP2023 MLMAP2023 Slogan “ONE STAGE AHEAD” 1. Market Oriented Business  To develop analysis and measurement solutions, utilizing HORIBA’s core technologies, in the leading three business fields of the mega trend 2. Solution Provider Beyond Life Cycle Management  To support c
Slide 21: Accelerate Business in Electrification Area
Market Oriented Business Energy & Environment Accelerate Business in Electrification Area Global increase in demand for electrified vehicles Enhance the field of evaluation Establish a production system that of fuel cell and power-train systems responds to demand HORIBA FuelCon’s new facility Techno
Slide 22: Growing Needs for Environmental Measures
Market Oriented Business Energy & Environment Growing Needs for Environmental Measures 【Water monitoring】【Gas monitoring】 Water monitoring system for vessel emission gas scrubber Air pollution monitoring system Emission gas regulations targeting vessels Air pollution such as PM2.5 is a global-wide
Slide 23: Contribute to the entire semiconductor manufacturing process
Market Oriented Business Materials & Contribute to the entire semiconductor Semiconductors manufacturing process *Typical Diverse product line-up contributing to the overall semicon manufacturing process product example Quality control & Material assessment Manufacturing process waste water treatmen
Slide 24: Medical: Expand and Maintain Production Bases
Market Oriented Business Bio & Healthcare Medical: Expand and Maintain Production Bases Japan France Emerging countries Renovate the production line at Purchase of the land adjacent Prepare for the expanding Aso Plant, HORIBA STEC to HORIBA ABX Medical business Reinforce adaptation to the global sta
Slide 25: Contribute to Research in Life Sciences
Market Oriented Business Bio & Healthcare Contribute to Research in Life Sciences Analyzers for life sciences Nanoparticle measurement Transmission Raman Confocal Raman Microscope instrument Fluorescence analyzer LabRAM HR Evolution ViewSizer™ 3000 DUETTA  2D analysis of medicinal  Particle distri
Slide 26: To Change to a Solution-proposal Style Business
Solution Provider Beyond Life Cycle Management To Change to a Solution-proposal Style Business Always with You Support customers in all ways Architectural Rendering Building a new HQ for HORIBA TECHNO SERVICE Integrate functions and enhance abilities to gather/transmit information Expand the analy
Slide 27: Start construction of a new facility in China
Solution Provider Beyond Life Cycle Management Start construction of a new facility in China Integrate strengths of all businesses and R&D/production/service functions Automotive testing labs Architectural rendering  Install battery/fuel cell test systems, chassis dynamo, and drive test systems  E
Slide 28: A "Super Dream Team" to Embody "Joy and Fun"
HORIBA Core Values “The Next Stage of Super Dream Team” A "Super Dream Team" to Embody "Joy and Fun" Activities to create new value and realize a strong HORIBA BlackJack Project Stained Glass Project Basis for multi-product low-volume manufacturing Promote diversity as a management strategy and a gl
Slide 30: Shareholder Return
Shareholder Return  Dividend payment + Share buyback = 30% of Consolidated net profit to be targeted Basic policy  Remaining earnings are retained internally for strategic investment (i.e. facilities, M&A) Dividends per share and Share buybacks Ordinary dividend: 125yen  2018 Results 145yen [Inte
Slide 32: Expand Core Technologies and Contribute to Society
Expand Core Technologies and Contribute to Society Montajir Rahman, HORIBA Instruments (US), HORIBA Jobin Ybon IBH received the Business received the SAE/InterRegs Standards & Regulations Innovation Award from the Institute of Physics in the UK Award 2020  Award theme: Development of  Montajir Rah

HORIBA — FY2019 Earnings Presentation on 6ix

Horiba — FY2019 Earnings Presentation

Slide 1: Financial Information HORIBA, Ltd.

Slide 2: Contents

Slide 3: Contents

Slide 4: Review of 2019

Slide 5: Summary of 2019 Results

Slide 6: 2019 Results

Slide 7: 2019 Results by Segment

Slide 8: Contents

Slide 9: Market Assumptions for 2020

Slide 10: Exchange Rate

Slide 11: 2020 Forecast

Slide 12: 2020 Forecast by Segment

Slide 13: Contents

Slide 14: Auto 2019 Results/2020 Forecast

Slide 15: P&E 2019 Results/2020 Forecast

Slide 16: Medical 2019 Results/2020 Forecast

Slide 17: Semi. 2019 Results/2020 Forecast

Slide 18: Scientific 2019 Results/2020 Forecast

Slide 19: Contents

Slide 20: Priority Measures of MLMAP2023

Slide 21: Accelerate Business in Electrification Area

Slide 22: Growing Needs for Environmental Measures

Slide 23: Contribute to the entire semiconductor manufacturing process

Slide 24: Medical: Expand and Maintain Production Bases

Slide 25: Contribute to Research in Life Sciences

Slide 26: To Change to a Solution-proposal Style Business

Slide 27: Start construction of a new facility in China

Slide 28: A "Super Dream Team" to Embody "Joy and Fun"

Slide 29: Contents

Slide 30: Shareholder Return

Slide 31: Contents

Slide 32: Expand Core Technologies and Contribute to Society

Slide 33: © 2020 HORIBA, Ltd. All rights reserved.

Slide 34: © 2020 HORIBA, Ltd. All rights reserved.