Toyo Gosei Co., Ltd. · TSE:4970
Toyo Gosei — Q3 FY2023 Earnings Presentation
14 slides from Toyo Gosei's earnings presentation, Feb 9, 2024
Slide 1: Business Results for the Third Quarter of Fiscal Year Ending March 31, 2024
Business Results for the Third Quarter of Fiscal Year Ending March 31, 2024 (April 1, 2023 – December 31, 2023) February 9, 2024 1
Slide 2: Financial Results for the Q3 FY2023
Financial Results for the Q3 FY2023 • Net sales were 23,095 million yen, affected by weak demand for semiconductors and inventory adjustments in the supply chain since the beginning of the period. (YoY -10%) • Operating profit was 2,628 million yen due to lower sales, despite efforts to curb costs i
Slide 3: Variance Analysis: Operating profit
Variance Analysis: Operating profit • Operating profit of 2.62 billion yen thanks to curb expenses planned at the beginning of the period on the rise, foreign exchange gains and inventory valuation gains, against a decline in profit due to lower sales. (Exceeding the Full-year Forecast) (Billion yen
Slide 4: Quarterly Sales & Operating profit
Quarterly Sales & Operating profit • Although demand recovery is slow, inventory adjustments in the supply chain appear to have bottomed out and sales increased quarter-on-quarter. • In Q3, inventory valuation gains due to cost increase mainly in photosensitive materials (one-time) Quarterly Sales &
Slide 5: Photosensitive Materials Segment
Photosensitive Materials Segment Net sales & Operating profit Net sales (Million yen) (Million yen) 6,000 Operating profit 1,500 Net sales: ¥13,775 million 5,511 5,442 YoY: (¥1,636 million), (11％) 4,970 4,930 4,832 • In materials for semiconductors, although inventory 4,466 4,477 adjustment has begu
Slide 6: Chemicals Segment
Chemicals Segment Net sales & Operating profit Net sales Net sales: ¥9,320 million 4,000 Operating profit 800 3,721 YoY: (¥1,015 million), (10%) 3,563 3,350 • Electronic materials-related business continued to recover from 3,262 inventory adjustments and exceeded as the Q3 on year-on-year 2,966 2,97
Slide 7: Q3 FY2023 Income Statement
Q3 FY2023 Income Statement • Net sales were 23,095 million yen, affected by weak demand for semiconductors and inventory adjustments in the supply chain since the beginning of the period. (YoY -10%) • Gross profit was 5,656 million yen due to a decrease in sales of high value-added products caused b
Slide 8: Q3 FY2023 Balance sheet
Q3 FY2023 Balance sheet • Inventories -¥709 million: Inventory reduction in line with declining demand. • Trade payables -¥1,762 million: Reduction of raw material purchases to meet declining demand. • Tangible fixed assets +¥5,223 million: Continued investment to increase production capacity in pre
Slide 9: Status of Inventories
Status of Inventories • Reduce inventory in line with declining demand. • Inventories decreased by 0.7 billion yen from the end of the previous fiscal year and by 1.2 billion yen from the first quarter. Inventories Trend (Billion yen) 14 Raw Materials Products 12.2 12 11.7 11.2 11.0 (¥1.2 billion) 1
Slide 10: Progress of Full-Year Earnings Forecasts
Progress of Full-Year Earnings Forecasts • Progress against the forecast was 75% for net sales, and profits exceeded the forecast. • In the Q3, cost of sales rose and an inventory valuation gain was recorded as a result of a drop-in operations in response to declining demand. • In the Q4, inventory
Slide 11: Appendix
Appendix @TOYO GOSEI 11
Slide 12: Investment to achieve the medium-term management plan
(Republished November 20, 2023 documents) Investment to achieve the medium-term management plan • The semiconductor market will return to high growth from 2024 onward after a production adjustment in 2023. • To meet growing demand, constructing photosensitive materials manufacturing facilities, deve
Slide 13: Measures to Secure full-year Operating profit
(Republished November 20, 2023 documents) Measures to Secure full-year Operating profit • Cost reductions, including timing adjustments, will continue in the second half of the year to offset the impact of lower sales in order to secure profits. (Billion yen) 4.96 Previous Plan ¥2.5 billion ¥1.52 bi
Slide 14: Individual Development, to the global Chemical
Individual Development, to the global Chemical (NB) The forecasts made in this document contain a variety of uncertain factors since it has been prepared based on judgments from information that is currently available. Therefore, actual business results may differ from those projected, depending on