Kyocera Corporation · TSE:6971
Kyocera — H1 FY2008 Earnings Presentation
24 slides from Kyocera's earnings presentation, Nov 2, 2007
Slide 1: Kyocera Corporation Financial Presentation
Kyocera Corporation Financial Presentation (Six Months Ended September 30, 2007) MAKOTO KAWAMURA President and Representative Director November 2, 2007
Slide 2: Today's Presentation
Today’s Presentation Consolidated Consolidated Financial Financial Results Results Six SixMonths MonthsEnded EndedSeptember September30, 30,2007 2007 Consolidated Consolidated Financial Financial Forecast Forecast Year YearEnding EndingMarch March31, 31,2008 2008 1
Slide 3: Forward-Looking Statements
Forward-Looking Statements Certain of the statements made in this document are forward-looking statements (within the meaning of Section 21E of the U.S. Securities and Exchange Act of 1934), which are based on our current assumptions and beliefs in light of the information currently available to us.
Slide 4: Consolidated Financial Results
Consolidated Financial Results - Six months ended September 30, 2007 - (Unit: Yen in millions) Six months ended September 30, 2006 2007 % change Amount % of net sales Amount % of net sales Net sales 615,390 100.0 636,560 100.0 3.4 Profit from operations 63,128 10.3 67,823 10.7 7.4 Pre-tax income 72,
Slide 5: Summary of First Half (1)
Consolidated Financial Summary of First Half (1) 1. Historic high in interim period net sales 2. Quarterly growth in net sales and profit from operations 3. Profit from operations up from prior interim period despite increase in depreciation • Additional depreciation of ¥7.5 billion due to revision
Slide 6: Summary of First Half (2)
Consolidated Financial Summary of First Half (2) - Consolidated Financial Results by Business - (Unit: Yen in millions) Three months ended Increase or % change Jun. 30, 2007 Sep. 30, 2007 decrease Net Sales 162,695 170,441 7,746 4.8% Components Operating Profit Business 23,456 25,485 2,029 8.7% Oper
Slide 7: Summary of First Half (3)
Consolidated Financial Summary of First Half (3) 1. Historic high in interim period net sales 2. Quarterly growth in net sales and profit from operations 3. Profit from operations up from prior interim period despite increase in depreciation • Additional depreciation of ¥7.5 billion due to revision
Slide 8: Summary of First Half (4) - Quarterly Trend of Profit from Operations Ratio
Consolidated Financial Summary of First Half (4) - Quarterly Trend of Profit from Operations Ratio - (%) 15 12.0 11.3 11.3 10.4 10.5 10.3 10.2 10.3 10.0 10 7.3 5.1 5 0 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 2nd Half (Forecast) FY3/06 FY3/07 FY3/08 Please refer to accompanying note on page 2 and 22. 7
Slide 9: Summary of First Half (5)
Consolidated Financial Summary of First Half (5) 1. Historic high in interim period net sales 2. Quarterly growth in net sales and profit from operations 3. Profit from operations up from prior interim period despite increase in depreciation • Additional depreciation of ¥7.5 billion due to revision
Slide 10: Summary of First Half (6) - Trend of Dividends per Share
Consolidated Financial Summary of First Half (6) - Trend of Dividends per Share - Plan for total annual dividend of ¥120 in FY08 (Unit: Yen) Annual Total 110 (Planned) 100 ¥ 120 80 60 60 60 Interim ¥ 60 FY02 FY03 FY04 FY05 FY06 FY07 FY08 Please refer to accompanying note on page 2. 9
Slide 11: Today's Presentation
Today’s Presentation Consolidated Consolidated Financial Financial Results Results Six SixMonths MonthsEnded EndedSeptember September30, 30,2007 2007 Consolidated Consolidated Financial Financial Forecast Forecast Year YearEnding EndingMarch March31, 31,2008 2008 10
Slide 12: Business Outlook
Business Outlook - Year Ending March 31, 2008 - (Kyocera Forecast) Production Volume Forecast for Key Electronic Equipment CY2006 CY2007 (Estimate) Background to (Million Units) (% change from CY2006) Expanding Demand Mobile • Expanding emerging-market demand phone 980 +10% • Rising replacement dema
Slide 13: Consolidated Financial Forecast (1)
Consolidated Financial Forecast (1) - Year Ending March 31, 2008 - (Unit: Yen in millions) Year ended March 31, Year ending March 31, 2007 2008 % change Amount % of net sales Amount % of net sales Net sales 1,283,897 100.0 1,330,000 100.0 3.6 Profit from operations 135,102 10.5 151,000 11.4 11.8 Pre
Slide 14: Consolidated Financial Forecast (2)
Consolidated Financial Forecast (2) - Year ending March 31, 2008 - (Unit: Yen in millions) Year ended Year ending % change March 31, 2007 March 31, 2008 Net Sales 650,877 695,000 6.8% Components Business Operating Profit 104,708 108,000 3.1% Operating Profit ratio 16.1% 15.5% － Net Sales 519,964 512
Slide 15: Consolidated Financial Forecast by Reporting Segment
Consolidated Financial Forecast by Reporting Segment - Compared with FY3/07 - (Unit: Yen in billions) Fine Ceramic Semiconductor Applied Electronic Telecommu- Information Others Adjustments FY3/08 Parts Parts Ceramic Device nications Equipment and Products Equipment eliminations (Forecast) Net sales
Slide 16: Initiatives from Second Half Onward (1)
Initiatives from Second Half Onward (1) Fine Ceramic Parts Expand sales of sapphire substrates for LEDs and dielectric ceramic parts for base stations in line with continued global growth in mobile phone demand Push forward with initiatives to drive continuing business expansion Sapphire Substra
Slide 17: Initiatives from Second Half Onward (2)
Initiatives from Second Half Onward (2) Applied Ceramic Products - Solar Energy Business - Increase production of solar modules by 25% in second half relative to first half Increase large domestic orders for industrial application in second half Plan to expand production to 500MW in FY3/11 S
Slide 18: Initiatives from Second Half Onward (3)
Initiatives from Second Half Onward (3) Telecommunications Equipment W53K Expand sales in domestic mobile phone handset business by releasing new CDMA1XWIN handsets Achieve profitability at KWC in second half Strengthen domestic PHS handset business KPC680 15.4mm slim EV-DO Rev.A capable 3.1Mb
Slide 19: Consolidated Net Sales and Pre-tax Income Trends
Consolidated Net Sales and Pre-tax Income Trends - FY3/04 through FY3/08 (Forecast) - Achieve Achieve Continuous Continuous Net sales Sales Sales Expansion Expansion and and High High Profit Profit Ratio Ratio Pre-tax income 1,330.0 Pre-tax income ratio (%) 1,283.9 Attain Pre-tax (Unit: Yen in billi
Slide 20: Strengthen Telecommunications Equipment Group
Strengthen Telecommunications Equipment Group Enhance Kyocera Group’s core business Mobile phone Establish highly profitable business of Sanyo wireless communications Electric Co., Ltd. equipment business Outstanding Outstanding development development capability capabilityand anddesign Mobile phone
Slide 21: Consolidated Sales Forecast by Reporting Segment
Consolidated Sales Forecast by Reporting Segment (Unit: Yen in millions) Year ending March 31, 2008 Year ended March 31, 2007 Previous forecast Revised forecast % change Reporting segment (April 2007) (October 2007) to FY2007 Amount % of total Amount % of total Amount % of total Fine Ceramic Par
Slide 22: Consolidated Operating Profit Forecast by Reporting Segment
Consolidated Operating Profit Forecast by Reporting Segment (Unit: Yen in millions) Year ended Year ending March 31, 2008 March 31, 2007 Previous forecast Revised forecast % change Reporting segment (April 2007) (October 2007) to FY2007 Amount profit ratio (%) Amount profit ratio (%) Amount profit
Slide 23: Notes for Consolidated Financial Results
Notes for Consolidated Financial Results During first half of fiscal year ended March 31, 2007, Kyocera sold its shares in Kyocera Leasing Co., Ltd., a subsidiary engaged in financing services. For this reason, business results of Kyocera Leasing Co., Ltd. and profit on sales of the shares in Kyocer
Slide 24: THE NEW VALUE FRONTIER
THE NEW VALUE FRONTIER tt KYOCERA