Oki Electric Industry Company, Limited · TSE:6703

Oki Electric Industry — FY2022/3 Earnings Presentation

22 slides from Oki Electric Industry's earnings presentation, May 11, 2022

  1. Slide 1: Financial Results for the FY Ended March 31, 2022

    Financial Results for the FY Ended March 31, 2022 May 11, 2022 Oki Electric Industry Co., Ltd. © Copyright 2022 Oki Electric Industry Co., Ltd. 1

  2. Slide 2: Contents

    Contents 1. Financial Results for FY2022/3 2. Financial Forecasts for FY2023/3 3. Management Policy for FY2023/3 © Copyright 2022 Oki Electric Industry Co., Ltd. 2

  3. Slide 3: 1. Financial Results for FY2022/3

    1. Financial Results for FY2022/3 © Copyright 2022 Oki Electric Industry Co., Ltd. 3

  4. Slide 4: Summary of Financial Results

    Summary of Financial Results  Substantial supply chain impact resulted in decrease in sales and fall in each profit .  Steadily implemented investments for the future and planned structural reforms.  Net income remained in the black, supported by the sale of assets in non-focused areas and foreig

  5. Slide 5: Segment Information (Net Sales/ Operating Income)

    Segment Information (Net Sales/ Operating Income) (Billion yen) FY2022/3 FY2022/3 FY2021/3 Net Sales Forecasts Variance Variance Results Results (As of Feb. 7) Solution Systems 162.6 173.0 (10.4) 190.8 (28.2) Components & Platforms 189.0 191.5 (2.5) 201.5 (12.5) Others 0.4 0.5 (0.1) 0.6 (0.2) Total

  6. Slide 6: Reasons for Changes in Operating Income

    Reasons for Changes in Operating Income  Changes in volume was negative due to a decrease in Solution Systems, despite strong demand for FA/semiconductor manufacturing equipment.  Impact of material procurement exceeded the previous forecast.  Fixed costs improved through structural reform, reduc

  7. Slide 7: Overview: Solution Systems Business

    Overview: Solution Systems Business  Fell in each subsegment due to the impact of material procurement (¥13.1 B decrease in sales) and investment restraint. (DX domain sales of ¥32.3 B)  Made steady progress in efforts to expand sales in the DX domain despite failure to achieve its target.  Compl

  8. Slide 8: Overview: Components & Platforms Business

    Overview: Components & Platforms Business ■Components: sales decreased due to impact of materials procurement (¥10.0 B decrease in sales). ■Mono-zukuri Platforms: sales increased YOY due to strong demand for FA/semiconductor manufacturing equipment, despite impact of materials procurement (¥6.7 B de

  9. Slide 9: Balance Sheets

    Balance Sheets  There is no major change in the composition of each asset and liability. Total assets were reduced.  Shareholders’ equity ratio decreased by 0.9 points Mar. 2022 Mar. 2021 Variance (Billion yen) Current assets 211.8 222.2 (10.4) Fixed assets 157.3 149.4 +7.9 Assets 369.2 371.5 (2.3

  10. Slide 10: Cash Flows

    Cash Flows  Operating cash flow worsened YOY due to an increase in working capital caused by the supply chain impact. FY2022/3 FY2021/3 (Results) (Results) Variance (Billion yen) Ⅰ Cash flows from operating activities 5.9 17.4 (11.5) Ⅱ Cash flows from investing activities (17.6) (13.8) (3.8) Free c

  11. Slide 11: (Reference) Quarterly Results

    (Reference) Quarterly Results (Billion yen) FY2021/3 FY2022/3 Net Sales 1Q 2Q 3Q 4Q FY １Q 2Q 3Q 4Q FY Solution Systems 39.6 43.1 44.6 63.5 190.8 33.9 35.0 38.7 55.0 162.6 Components & 41.6 48.9 48.6 62.4 201.5 45.9 44.8 47.8 50.5 189.0 Platforms Others 0.2 0.1 0.2 0.1 0.6 0.1 0.1 0.1 0.1 0.4 Total 8

  12. Slide 12: 2. Financial Forecasts for FY2023/3

    2. Financial Forecasts for FY2023/3 © Copyright 2022 Oki Electric Industry Co., Ltd. 12

  13. Slide 13: Financial Forecasts

    Financial Forecasts  Medium-Term Business Plan 2022 not achieved; revised as single-year plan  Expect supply chain impact to continue this year  Annual dividend plan: ¥30.00 per share FY2023/3 FY2022/3 Variance (Billion yen) Forecasts Results Net sales 210.0 162.6 +47.4 Solution Systems Operating

  14. Slide 14: (Reference) Reasons for Changes in Operating Income

    (Reference) Reasons for Changes in Operating Income  Plan YOY profit increase by offsetting the negative impact of supply chain issues and one-time factor with increases in volume, including shift from previous year, and improvement in fixed costs. (Billion yen) +16.2 (12.0) +1.5 (2.6) One-time Sup

  15. Slide 15: (Reference) Business Overview

    (Reference）Business Overview Solution Systems Business Net sales 211.0 Operating income (Billion yen) 162.6 （Public Solutions） 80.7 49.3 (Enterprise Solutions) 62.8 9.5 (DX Platforms) 51.6 14.0 13.7 15.4 (Construction and Maintenance Services) 48.0 52.1 FY22/3 FY23/3 FY22/3 FY23/3 2021年度 2022年度予想 20

  16. Slide 16: (Reference) Investments and Cash Flows Forecasts

    (Reference) Investments and Cash Flows Forecasts  Continue to make investments essential for sustainable growth. Investments FY2023/3 FY2022/3 Forecasts Results Variance (Billion yen) Capital Expenditure* 25.0 22.3 +2.7 Depreciation* 14.0 11.5 +2.5 R&D 12.0 11.5 +0.5 *Scope: property, plant, and eq

  17. Slide 17: 3. Management Policy for FY2023/3

    3. Management Policy for FY2023/3 © Copyright 2022 Oki Electric Industry Co., Ltd. 17

  18. Slide 18: Progress of Medium-Term Business Plan 2022

    Progress of Medium-Term Business Plan 2022 【Structural Reforms】 【Growth Strategy】 ① Restructuring Business Portfolio ①Solution Systems • Strengthen development structure • Increase sales in DX domain （700 people) • Acquire aviation equipment business • Narrow down printer models and ②Components ＆ Pl

  19. Slide 19: FY2023/3 Management Policy and Direction of Next Medium-Term Business Plan

    FY2023/3 Management Policy and Direction of Next Medium-Term Business Plan ■ Based on the changes in the business environment since the formulation of the Medium-Term Business Plan 2022 and the progress of the Medium-Term Business Plan, FY2023/3 change to a single-year plan. FY2023/3 FY2024/3~ Final

  20. Slide 20: (Reference) Major Products and Services

    (Reference) Major Products and Services Solution Systems Components & Platforms  Public Solutions  Components • Roads (ETC, VICS), air traffic control, • ATMs, cash handling equipment disaster preparedness, fire prevention • Bank branch terminals, ticket reservations • Business systems for central

  21. Slide 21: Notice

    Notice • The projections and plans in this material are based on information currently available to OKI as of the date of publication and certain assumptions judged as rational, therefore actual results are subject to change depending upon the changes of business environments and other conditions. •

  22. Slide 22: © Copyright 2022 Oki Electric Industry Co., Ltd.

    © Copyright 2022 Oki Electric Industry Co., Ltd. 22

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