Dowa Holdings Co., Ltd. · TSE:5714
Dowa — H1 FY2021 Earnings Presentation
24 slides from Dowa's earnings presentation, Nov 16, 2021
Slide 1: Business Results and Progress of Key Measures
Business Results and Progress of Key Measures First Half of FY2021 (FY Ending March 2022) November 16, 2021
Slide 2: Results for FY2021/H1 Overview of Results
Results for FY2021/H1 Overview of Results Billion yen (Amounts less than 100 million yen are omitted.) FY2020 FY2021 H1 Changes Forecasts From Forecasts on H1 Results Results Year-on-Year on Aug. 6 Aug. 6 A C （C - A） B （C - B） Net Sales 252.4 397.1 423.2 170.7 68% 26.1 7% Operating Income 12.6 33.8
Slide 3: FY2021 Full Year Forecasts
FY2021 Full Year Forecasts Billion yen (Amounts less than 100 million yen are omitted.) FY2021 Forecasts Changes FY2020 Forecasts Forecasts Forecasts Results Year on Year on Aug. 6 on Nov. 12 comparison A (C - A) B C (C - B) Net Sales 588.0 780.0 840.0 60.0 8% 251.9 43% Operating Income 37.4 58.0 61
Slide 4: Changes in Business Environment (FY2021 H2)
Changes in Business Environment (FY2021 H2) Billion yen (Amounts less than 100 million yen are rounded down.) Major factors for change FY2021 H1 47.4 Environmental • Fall in unit prices for the waste treatment. Management & (2.1 ) • Prices of precious metals are expected to fall. Recycling • Prices
Slide 5: Progress of Key Measures in Each Segment
Progress of Key Measures in Each Segment 5
Slide 6: Environmental Management & Recycling (1): Business Overview
Environmental Management & Recycling (1) Business Overview Business Environment (FY2021/H2) 《Major Product Trends》 （FY2020/H1＝100） FY2020 FY2021 • Waste treatment: Firm in Japan and remain flat H1 H2 H1 H2 in Southeast Asia. Intermediated Waste • Competition will intensify in the collection of Treat
Slide 7: Progress of Key Measures in Midterm Plan
Environmental Management & Recycling (2) Progress of Key Measures in Midterm Plan Changes Expand melting and recycling Construct a pretreatment facility Start operation business Increase competitiveness of low-concentration PCB Increase low-contaminated PCB waste (0.5%-10%) treatment waste treatment
Slide 8: Strengthening of Business Response Capabilities in Japanese Market
Environmental Management & Recycling (3) Strengthening of Business Response Capabilities in Japanese Market ❚ Expand melting and recycling business Trends in melting/recycling treatment volume (Midterm plan 2020 = 100) A pretreatment facility started operation in June 2021. 100 80 • Remove impuritie
Slide 9: Strengthening of Business Response Capabilities in Southeast Asia Markets
Environmental Management & Recycling (4) Strengthening of Business Response Capabilities in Southeast Asia Markets ❚ Indonesia • The market is sluggish and construction is delayed due to pandemic of COVID-19. • The environment management business still has substantial growth potential against the ba
Slide 10: Nonferrous Metals (1): Business Overview
Nonferrous Metals (1) 環境・リサイクル① Business Overview Business Environment (FY2021/H2) 《Major Product Trends》 （FY2020/H1＝100） • Metal prices: The prices of base metals will be FY2020 FY2021 about the same as the average prices in H1. H1 H2 H1 H2 The prices of precious metals are expected to Copper Produ
Slide 11: The Progress of Major Actions on Midterm plan
Nonferrous Metals (2) The Progress of Major Actions on Midterm plan Changes Increase production of tin Capital Expand sales of high-purity tin and by Kosaka investment for Start mass production High-purity tin cultivate markets for it Smelting & Refining Increase the collection volume from Launch co
Slide 12: Expansion of PGM Recycling Business
Nonferrous Metals (3) Expansion of PGM Recycling Business In FY2021/H1, the collection and treatment volume exceeded the target of the Midterm Plan owing to strong recycling demand. • The PGM price fell sharply from the second quarter of FY2021. -> The Company will keep the collection and treatment
Slide 13: Electronic Materials (1): Business Overview
Electronic Materials (1) Business Overview Business Environment (FY2021/H2) 《Major Product Trends》 （FY2020/H1＝100） • The smartphone sales volume will be recovering FY2020 FY2021 trend. H1 H2 H1 H2 • The sales volume of wearable devices will increase. LED Sales Volume 100 96 121 135 • Solar panels to
Slide 14: Progress of Key Measures in Midterm Plan
Electronic Materials (2) Progress of Key Measures in Midterm Plan Changes Conductive Atomized Powder Develop applications and Expand sales build facilities for mass Start mass production production for telecommunications equipment Fuel Cell Materials Increase line of Develop applications and prepare
Slide 15: Expansion to Automobiles, Telecommunications, Medical and Healthcare Markets
Electronic Materials (3) Expansion to Automobiles, Telecommunications, Medical and Healthcare Markets ❚ Conductive atomized powder Trends in Conductive atomized powder sales volume (Midterm plan 2020 = 100) • Orders from the existing users are increasing as demand for 120 automotive and telecommunic
Slide 16: Expansion to New Energy Fields
Electronic Materials (4) Expansion to New Energy Fields ❚ Silver powder Strong demand for solar panels due to new energy policies for carbon neutrality in many different countries. -> Step up activities for developing Silver powder answering demand for finer wiring and for higher efficiency. -> Star
Slide 17: Metal Processing (1): Business Overview
Metal Processing (1) Business Overview Business Environment (FY2021/H2) 《Major Product Trends》 （FY2020/H1＝100） • Automotive production will increase. The shift FY2020 FY2021 of automobiles to electric power and H1 H2 H1 H2 intelligence advances. • Telecommunication devices will support Copper Alloy
Slide 18: Progress of Key Measures in Midterm Plan
Metal Processing (2) Progress of Key Measures in Midterm Plan Changes Invest in melting and casting facilities Copper rolled for increasing production Start operation products: Enhance production capacity of copper Invest in rolling and other facilities for increasing production alloy China (copper
Slide 19: Actions in Anticipation of Medium- and Long-Term Market Growth
Metal Processing (3) Actions in Anticipation of Medium- and Long-Term Market Growth ❚ Copper rolled products For automobiles: DOWA DOWA Demand is increasing, reflecting a shift to electric power and EVs. METAL METANIX Needs for materials that can respond to high current and high Using part of each o
Slide 20: Heat Treatment (1): Business Overview
Heat Treatment (1) Business Overview Business Environment (FY2021/H2) 《Major Product Trends》 （FY2020/H1＝100） • The effect of production cutbacks at automobile FY2020 FY2021 manufacturers will likely become apparent in H1 H2 H1 H2 part of the business, but the effect is expected to be minor due to a
Slide 21: Progress of Key Measures in Midterm Plan
Heat Treatment (2) Progress of Key Measures in Midterm Plan Changes Promote automation and Introduce automatic conveyor systems to labor-saving at key factories factories in Japan U.S.A. Strengthen the heat treatment Acquire certification Start mass production process China Strengthen treatment capa
Slide 22: Transformation to a Business That Can Respond to Changes in Demand
Heat Treatment (3) Transformation to a Business That Can Respond to Changes in Demand ❚ Outlook for demand for heat treatment processing Trends in sales amounts of Heat treatment • Demand in FY2021 is expected to be at the same level as （FY2017=100） in FY2018. 120 • The effect of production cutbacks
Slide 23: Next Midterm Plan
Next Midterm Plan ・In the next midterm plan (FY2022-FY2024), DOWA will also focus not only on measures to evolve our core businesses, but also on ESG-related initiatives, such as addressing climate change and strengthening our risk management system. ・DOWA have positioned this as a three-year period
Slide 24: Forward-looking statements
* Forward-looking statements made in this document, such as business forecast, are based on the information available at this time and on certain premises that the Company assumes to be reasonable. Actual performance may differ materially from such forecasts due to a variety of factors. 24