Slide 1: FY15/3 Q3 Financial Results
FY15/3 Q3 Financial Results Renesas Electronics Corporation February 5, 2015
Slide 2: Agenda
Agenda I. FY15/3 Q3 Financial Results II. FY15/3 Financial Forecasts © 2015 Renesas Electronics Corporation. All rights reserved. 2
Slide 3: Executive Summary
Executive Summary I. FY15/3 Q3 Financial Results Though semiconductor sales decreased by 11% QoQ to 177.4 B yen, due to the impact from the transfer of shares in Renesas SP Drivers, if sales from Renesas SP Drivers were excluded, then sales remained flat versus the previous quarter, thanks to the
Slide 4: I. FY15/3 Q3 Financial Results
I. FY15/3 Q3 Financial Results © 2015 Renesas Electronics Corporation. All rights reserved. 4
Slide 5: FY15/3 Q3 Financial Snapshot
FY15/3 Q3 Financial Snapshot Though semiconductor sales decreased by 11% QoQ due to the impact from the transfer of shares in Renesas SP Drivers, if sales from Renesas SP Drivers were excluded, then sales remained flat versus the previous quarter, thanks to the currency impact and solid sales of a
Slide 6: Quarterly Financial Results
Quarterly Financial Results (B Yen) FY15/3 Q3 semiconductor sales decreased by 11% QoQ and 15% YoY, due to the impact from the transfer of shares in Renesas SP Drivers Though both gross profit ratio and operating profit ratio continued to show trends toward improvement, they include currency imp
Slide 7: Semiconductor Sales by Application Categories (I)
FY15/3 Q3 Semiconductor Sales by Application Categories (I) While Automotive sales increased both YoY and QoQ, General-Purpose sales decreased both YoY and QoQ impacted by the business withdrawal in addition to the impact from the transfer of shares in Renesas SP Drivers FY14/3 FY15/3 (B yen) Q3 Q
Slide 8: Semiconductor Sales by Application Categories (II)
FY15/3 Q3 Semiconductor Sales by Application Categories (II) Automotive General-Purpose Industrial/HE Automotive Information Approx. 25% approx. Other General- 30% Automotive Purpose Control approx. 50％ OA/ICT approx. Approx. 25% 70% Sales of both Automotive Control and Automotive Sales of Indus
Slide 9: Operating Income (Loss) QoQ
FY15/3 Q3 Operating Income (Loss) QoQ (B yen) Despite the profit decline from decreased sales including the impact from the transfer of shares in Renesas SP Drivers, operating profit increased by 5.9 B yen QoQ, thanks to the reduced fixed-cost from structural reforms, rebound from the seasonal cos
Slide 10: Operating Income in Comparison with Forecasts (Oct 29, 2014)
FY15/3 Q3 Operating Income (Loss) in Comparison with Forecasts (Oct 29, 2014) (B yen) Operating income increased by 16.5 B yen from the previous forecast, due to lower-than- expected R&D and other costs resulting from the improved cost efficiencies, in addition to currency impact, increased profit
Slide 11: Net Income (Loss)
FY15/3 Q3 Net Income (Loss) (B yen) Despite the special loss from the early retirement program, net income was 38.2 B yen, due to special income from the transfer of shares in Renesas SP Drivers Income taxes, -5.1 minority interests +10.1 Special income (loss) +3.7 Non-operating income (loss) Non-
Slide 12: Balance Sheets
FY15/3 Q3 Balance Sheets Aim to sustain equity ratio at the 30% range by increasing profits As of As of As of (B yen) Mar. 31, 2014 Sep. 30, 2014 Dec. 31, 2014 Total Assets 786.0 836.8 854.6 Cash and Cash Equivalents 265.9 288.2 335.8 Inventories 126.1 119.6 109.5 Liabilities 558.7 588.2 568.7 Int
Slide 13: Cash Flows
FY15/3 Q3 Cash Flows Despite the payments for extra retirement benefits in accordance with the implementation of early retirement program, Q3 free cash flows climbed to the highest level to date on a quarterly basis, thanks to the high level of profit before income taxes and gains from transfer of
Slide 14: II. FY15/3 Financial Forecasts
II. FY15/3 Financial Forecasts © 2015 Renesas Electronics Corporation. All rights reserved. 14
Slide 15: Consolidated Financial Forecasts
FY15/3 Consolidated Financial Forecasts Though full-year semiconductor sales are expected to decrease by 6% YoY to 748.0 B yen, excluding sales from Renesas SP Drivers, it is expected to decrease by 3% YoY With the progress of fixed-cost reduction, operating income is expected to be 98.0 B yen,
Slide 16: Quarterly Financial Results and Forecasts
Quarterly Financial Results and Forecasts (B Yen) Due to decreased sales, Q4 gross profit ratio is expected to decrease from the actual result that excludes the Renesas SP Drivers’ resale [Excl. 217.8 Renesas SP 215.6 Drivers‘ resale] 209.3 207.7 Net 191.9 42.4% 177.1 Sales 199.1 200.5 39.3% 40.9%
Slide 17: Q4 Semiconductor Sales Forecast
FY15/3 Q4 Semiconductor Sales Forecast (QoQ / B yen) Sales of Automotive are expected to remain almost flat versus the previous quarter, while sales of General-Purpose are expected to decrease by mid single-digit percent QoQ, due to impact from business withdrawal in addition to seasonal factors G
Slide 18: Q4 Operating Income Forecast
FY15/3 Q4 Operating Income (Loss) Forecast (QoQ / B yen) Despite a currency impact and increase in cost recovery from inventory variations, operating income is expected to decrease by 11.4 B yen QoQ, mainly due to profit decline from decrease in sales and seasonal cost increases at the year-end Pr
Slide 19: Q4 Net Income Forecast
FY15/3 Q4 Net Income (Loss) Forecast (B yen) Q4 net income is expected to be 0.7 B yen, due to special loss from manufacturing- related structural reforms, etc. Non-operating -2.3 income (loss) Special income -12.6 (loss) 18.0 Income taxes, -2.5 minority interests 0.7 Breakdown of special income (
Slide 20: Full-Year Semiconductor Sales Forecast
FY15/3 Full-Year Semiconductor Sales Forecast (YoY / B yen) Excluding sales from Renesas SP Drivers, sales of Automotive are expected to increase by mid single-digit percent YoY supported by steady market demands, while sales of General-Purpose are expected to decrease by high single-digit percent
Slide 21: Full-Year Operating Income Forecast
FY15/3 Full-Year Operating Income (Loss) Forecast (YoY / B yen) Despite a decrease of profit from sales decline, operating income is expected to increase by 30.4 B yen YoY, due to improved product mix and positive impact from fixed-cost reduction Although the Group’s cost structure has been impr
Slide 22: Full-Year Net Income Forecast
FY15/3 Full-Year Net Income (Loss) Forecast (B yen) Expect to achieve net income of 74.0 B yen, mainly due to special income of 19.8 B yen from transfer of Renesas SP Drivers shares, in spite of recording special loss from structural reforms including implementation of early retirement program ±0
Slide 23: Forward-Looking Statements
(FOREWARD-LOOKING STATEMENTS) The statements in this presentation with respect to the plans, strategies and forecasts of Renesas Electronics and its consolidated subsidiaries (collectively “we”) are forward-looking statements involving risks and uncertainties. We caution you in advance that actual r