Taiyo Yuden Co., Ltd. · TSE:6976
Taiyo Yuden — Q1 FY2019 Earnings Presentation
20 slides from Taiyo Yuden's earnings presentation, Aug 6, 2018
Slide 1: Consolidated Financial Results, First Quarter FYE March 2019
—— as enanaa TAIYO YUDEN Consolidated Financial Results First quarter for the year ending March 31, 2019 Shinji Masuyama Chief of Management Planning Headquarters August 6, 2018 ©TAIYO YUDEN 2017
Slide 2: Financial Summary for 1Q FYE March 2019
Financial Summary for 1Q FYE March 2019 Nett sales N l were 5959.66 billi billion yen, roughly hl the th same level l l as the th ffourth th quarter t off the previous fiscal year. Operating income increased 34% Q/Q to 6.0 billion yen. Demand for use in automobiles in which use of electronic compone
Slide 3: Net sales as expected, operating income exceeded forecast
Net sales were largely as expected as of May, and operating income exceeded th forecast. the f t We recorded non-operating income of 1.1 billion yen, mainly from foreign exchange gains and subsidy income. As a result, we recorded 6.9 billion yen in ordinary income and 5.6 billion yen in net income a
Slide 4: Factors for increase in operating income
A factor for increase in operating income was the 2.1 billion yen effect from capacity it utilization. tili ti The effect from capacity utilization includes the impacts of sales volume increases, improvement in product mix, and changes in inventory. Company-wide inventory as of June 30 rose approxim
Slide 5: 1Q Financial Results by Product Classification (Q/Q)
1Q - Financial Results by Product Classification (Q/Q) Meenas FYE Mar 31, 2018 FYE Mar 31, 2019 Change Q/Q 4Q 1Q Capacitors 37,290 | 62.3% 36,184 | 60.7% (1,106) (3.0)% Ferrite and applied products 9,006 | 15.0% 9,228] 15.5% 221 2.5% Integrated modules & 5 5 5 devices 12,722 | 21.2% 13,208 | 22.2% 4
Slide 6: Net sales of capacitors were 36.2 billion yen
Net sales of capacitors were 36.2 billion yen. S l ffor use in Sales i iinformation f ti equipment i t and d automobiles t bil increased i d Q/Q, Q/Q but b t sales l for use in communication equipment and industrial equipment fell, resulting in 3% lower sales. Sales of ferrite and applied products w
Slide 7: Composition of sales by market application
Composition of sales classified by market application is 38% for use in communication i ti equipment. i t Use in automobiles and industrial equipment, where TAIYO YUDEN is making efforts, accounts for 34% of sales. We will continue to expand sales for use in automobiles and industrial equipment towa
Slide 8: Forecast of Consolidated Performance for the Year ending March 31, 2019
TAIYO YUDEN Forecast of Consolidated Performance for the Year ending March 31, 2019 ©TAIYO YUDEN 2017
Slide 9: Forecast figures revised upward
As stated at the beginning, the figures announced in May have been revised upwarddddue tto th the revision i i off th the results lt fforecasts t ffor the th first fi t half. h lf The exchange rate assumption for the second quarter is US$1:¥110. No revisions have been made to the initial forecasts f
Slide 10: First half net sales forecasts revised upward by product
The net sales forecasts for the first half have been revised upward for each product d t classification. l ifi ti The change in sales from the first quarter through the second quarter is expected to be an increase of 22% for capacitors and ferrite and applied products respectively and 4% for integra
Slide 11: Supplementary Information
Supplementary Information TAIYO YUDEN ©TAIYO YUDEN 2017
Slide 12: 1Q Consolidated Financial Results (Y/Y)
1Q — Consolidated Financial Results (Y/Y) ¥in million FYE Mar 31, 2018 FYE Mar 31, 2019 Change Y/Y 1Q 1Q Net sales 54,072 | 100.0% 59,576 | 100.0% 5,503 10.2% Operating income 3,412] 6.3% 5,981} 10.0% 2,568 75.3% Ordinary income 4,421] 8.2% 6,896 | 11.6% 2,474 56.0% Net income attributable to owners
Slide 13: 1Q Factors driving Operating Income (Y/Y)
1Q - Factors driving Operating Income (Y/Y) Effect from capacity utilization (¥ in billion) 8 6 Operating income (1Q FYE Mar 2018) 4 3.4 2 0 (2) (4) (4.2) Selling price (6) reductions ©TAIYO YUDEN 2017 74 Effect from cost reductions 1.0 Ll (0.3) Changes in fixed costs Operating income (1Q FYE Mar 20
Slide 14: 1Q Financial Results by Product Classification (Y/Y)
1Q - Financial Results by Product Classification (Y/Y) ¥in million FYE Mar 31, 2018 FYE Mar 31, 2019 Change Y/Y 1Q 1Q Capacitors 29,747 | 55.0% 36,184 | 60.7% 6,436 21.6% Ferrite and applied products 8,847 | 16.4% 9,228 | 15.5% 381 4.3% Integrated modules & 9 y 9 devices 14,711 | 27.2% 13,208 | 22.2
Slide 15: Financial Results by Product Classification (Y/Y)
Financial Results by Product Classification (Y/Y) (¥ in billion) 80 60 40 20 59.6 54.1 14.7 8.8 29.7 18/3 19/3 1Q 1Q @ Capacitors +21.6% Y/Y Sales for use in all equipment increased. In particular, sales for use in communication equipment and automobiles/industrial equipment increased dramatically.
Slide 16: Consolidated Earnings Trends (Quarterly)
Consolidated Earnings Trends (Quarterly) Net sales 53,471 | 59,561 | 60,185 | 57,498 | 54,072 | 64,107 | 66,053 | 59,883 | 59,576 Capacitors 26,963 | 30,120] 30,580] 30,002] 29,747] 37,019] 38,800} 37,290} 36,184 Ferrite and applied products 9,243 11,594 | 10,959 9,475 8,847 11,376 11,746 9,006 9,22
Slide 17: Consolidated Earnings Trends (Quarterly)
Consolidated Earnings Trends (Quarterly) (¥ in billion) 80 Net sales 60 | Others 40 = Integrated modules & devices = Ferrite and applied 20 products 0 = Capacitors 10 20 3Q0 4Q 1Q 2Q 3Q 4Q 1Q 17/3 18/3 19/3 (¥ in billion) 8 12% 5 8% = Operating income 3 + 4% Operating | margin 0 0% 10 2Q 3Q 4Q 1Q 2Q
Slide 18: Orders Received and Order Backlog Trends (Quarterly)
Orders Received and Order Backlog Trends (Quarterly) (¥ in billion) Orders received Order backlog 80 80 698 [102 ] 60 4 [s12 | (1) 0 1Q 3Q 40, 10: «62Q) «633Q) «6 4Q) 1 1 2Q 3Q 4Q/1Q 2Q 3Q 4Q 1Q 2Q 17/3 18/3 19/3 17/3 18/3 19/3 60 Ss S roy N 3S ny Ss ™@ Capacitors ™ Ferrite and applied products MM I
Slide 19: Forward-looking statements
Forward-looking statements This document contains information about the plans, business results, and strategies of TAIYO YUDEN CO., LTD. and the TAIYO YUDEN Group. These forward-looking statements other than historical facts represent judgments made by the Company based on information available at p
Slide 20: ©TAIYO YUDEN 2017
©TAIYO YUDEN 2017 TAIYO YUDEN