Azbil Corporation · TSE:6845

Azbil — Q1 FY2025 Earnings Presentation

39 slides from Azbil's earnings presentation, Aug 5, 2025

Slide 1: Presentation Materials for the First Quarter of Fiscal Year 2025
Presentation Materials for the First Quarter of Fiscal Year 2025 (Ending March 31, 2026) (Based on Japanese GAAP) August 5, 2025 Azbil Corporation RIC: 6845.T, Sedol: 6985543 © Azbil Corporation. All rights reserved.
Slide 2: Highlights
Highlights 1. Consolidated Financial Results for the First Quarter of FY2025  Orders received and net sales decreased owing to the impact of the transfer of Azbil Telstar (ATL) in LA business in FY2024, but operating income increased significantly thanks to higher profits for the BA and AA business
Slide 3: Contents
Contents 1. Consolidated Financial Results for the First Quarter of FY2025 4 2. Consolidated Financial Plan for FY2025 12 →No revision from the most recent announcement on May 13, 2025 3. Returning Profits to Shareholders 16 →No revision from the most recent announcement on May 13, 2025 4. Medium-te
Slide 5: Consolidated Financial Results
1. Consolidated Financial Results for the First Quarter of FY2025 Consolidated Financial Results Orders received and net sales decreased owing to the impact of the transfer of Azbil Telstar (ATL) in LA business in FY2024, but operating income increased significantly thanks to higher profits for the
Slide 6: Financial Results by Segment
1. Consolidated Financial Results for the First Quarter of FY2025 Financial Results by Segment ■ BA: Orders received decreased partly because there were fewer （Billions of yen） renewals of multi-year service contracts. Sales increased FY2024 FY2025 Difference compared to the same period of FY2024 du
Slide 7: Segment Information: BA Business
1. Consolidated Financial Results for the First Quarter of FY2025 Segment Information: BA Business Business environment — In the domestic market, demand for new office buildings in urban redevelopment projects has leveled off at present; however, the market outlook is robust and demand is expected t
Slide 8: Segment Information: AA Business
1. Consolidated Financial Results for the First Quarter of FY2025 Segment Information: AA Business Business environment — In the process automation (PA) market, demand centering on domestic maintenance and refurbishment has remained firm. — In the factory automation (FA) market, although signs of re
Slide 9: Segment Information: LA Business
1. Consolidated Financial Results for the First Quarter of FY2025 Segment Information: LA Business Business environment — In the Lifeline field for gas and water meters, sales partly depend on the LP gas meter market, which exhibits cyclical fluctuations in demand. However, demand centering on city
Slide 10: Overseas Sales by Region
1. Consolidated Financial Results for the First Quarter of FY2025 Overseas Sales by Region  Overseas sales decreased by 31.2% compared to the same period of FY2024 owing to the impact of the FY2024 transfer of Azbil Telstar (ATL). The overseas sales ratio was 18.8%.  BA business sales decreased du
Slide 11: Consolidated Financial Position
1. Consolidated Financial Results for the First Quarter of FY2025 Consolidated Financial Position  Assets: Trade receivables decreased because net sales concentrated in the fourth quarter and collections progressed in the first quarter.  Liabilities: Long-term borrowings increased due to borrowing
Slide 12: 2. Consolidated Financial Plan for FY2025
2. Consolidated Financial Plan for FY2025 →No revision from the most recent announcement on May 13, 2025 © Azbil Corporation. All rights reserved. 12
Slide 13: Consolidated Financial Plan
2. Consolidated Financial Plan for FY2025 Consolidated Financial Plan The BA and AA businesses plan to increase revenue and profit. Although net sales will slightly decrease due to the effect of excluding Azbil Telstar (ATL) from the Company’s scope of consolidation following the transfer of equity
Slide 14: Financial Plan by Segment (1)
2. Consolidated Financial Plan for FY2025 Financial Plan by Segment (1) ■ BA: Market conditions will remain robust. There will continue to be a large order backlog, and we expect increased revenue. While there will be increases in outsourcing costs and personnel expenses, we plan to achieve increase
Slide 15: Financial Plan by Segment (2)
2. Consolidated Financial Plan for FY2025 Financial Plan by Segment (2) Market conditions will remain robust. There will continue to be a large order backlog, and we expect increased revenue. While BA there will be increases in outsourcing costs and personnel expenses, we plan to achieve increased p
Slide 17: Basic Policy and FY2025 Shareholder Returns
3. Returning Profits to Shareholders Basic Policy and FY2025 Shareholder Returns We plan to increase the dividend for the eleventh consecutive year, with an annual dividend of 26 yen per share for FY2025; DOE will improve further to reach 5.6%. In addition to the repurchase and cancellation of the C
Slide 18: Trend of Shareholder Returns
3. Returning Profits to Shareholders Trend of Shareholder Returns  In FY2025, it is planned to increase the annual dividend—for the eleventh consecutive year—by 2 yen to 26 yen per share from FY2024. Dividend per share Dividend on equity (DOE) (Yen) (%) 30 5.5 5.6 6.0 （Plan） 4.8 25 5.0 4.4 4.2 3.9
Slide 20: Medium-term Plan (FY2025-2027)
4. Medium-term Plan and Sustainability Management Medium-term Plan (FY2025-2027)  Under the medium-term plan (FY2025-FY2027), with its key themes of “Evolution” and “Co-creation,” Long-term while actively making necessary investments in human capital, etc., we will achieve, with azbil’s targets uni
Slide 21: The azbil Group's Unique Business Model
4. Medium-term Plan and Sustainability Management The azbil Group’s Unique Business Model  We will achieve growth in core businesses based on our wide customer base (plants/factories, commercial buildings, lifeline utilities) established over the long term, and in our growth businesses, which harne
Slide 22: The azbil Group's Materiality and its Own SDG Targets
4. Medium-term Plan and Sustainability Management The azbil Group’s Materiality and its Own SDG Targets Materiality is identified from the perspective of sustainability and contributing “in series” to a sustainable society. As regards the seven key categories related to business and corporate activi
Slide 23: Appendix I: Financial Data
Appendix I Financial Data • Performance Trend by Segment ・・・24 • Capital Investment, Depreciation and R&D Expenses ・・・28 © Azbil Corporation. All rights reserved. 23
Slide 24: Performance Trend by Segment: Orders Received
Appendix I Performance Trend by Segment: Orders Received  Comparison to past results (Q1)  Quarterly (3 months) (Billions of yen) (Billions of yen) 100.0 100.0 80.0 75.0 60.0 50.0 40.0 25.0 20.0 0.0 0.0 FY2022 FY2023 FY2024 FY2025 FY2024 FY2025 Q1 Q1 Q1 Q1 Q1 Q2 Q3 Q4 Q1 ■BA 48.9 46.4 56.2 55.5 ■B
Slide 25: Performance Trend by Segment: Order Backlog
Appendix I Performance Trend by Segment: Order Backlog  Comparison to past results  Quarterly (Billions of yen) (Billions of yen) 200.0 200.0 150.0 150.0 100.0 100.0 50.0 50.0 0.0 0.0 FY2022 FY2023 FY2024 FY2025 FY2024 FY2025 Q1 Q1 Q1 Q1 Q1 Q2 Q3 Q4 Q1 ■BA 101.1 104.5 113.5 116.6 ■BA 113.5 116.3 1
Slide 26: Performance Trend by Segment: Sales
Appendix I Performance Trend by Segment: Sales  Comparison to past results (Q1)  Quarterly (3 months) (Billions of yen) (Billions of yen) 100.0 100.0 75.0 75.0 50.0 50.0 25.0 25.0 0.0 0.0 FY2022 FY2023 FY2024 FY2025 FY2024 FY2025 Q1 Q1 Q1 Q1 Q1 Q2 Q3 Q4 Q1 ■BA 23.5 24.9 28.8 29.5 ■BA 28.8 33.6 40.
Slide 27: Performance Trend by Segment: Segment Profit (Operating Income)
Appendix I Performance Trend by Segment: Segment Profit (Operating Income)  Comparison to past results (Q1)  Quarterly (3 months) (Billions of yen) (%) (Billions of yen) (%) 8.0 40.0 16.0 40.0 7.0 35.0 14.0 35.0 6.0 30.0 12.0 30.0 5.0 25.0 10.0 25.0 4.0 20.0 8.0 20.0 3.0 15.0 6.0 15.0 2.0 10.0 4.0
Slide 28: Capital Investment, Depreciation and R&D Expenses
Appendix I Capital Investment, Depreciation and R&D Expenses ■ Capital investment, depreciation ■ R&D expenses Full-year results/ Q1 results for FY2025 Full-year plan for FY2025 (Billions of yen) (Billions of yen) (%) 15.0 15.0 6.0 12.5 12.5 5.0 10.0 10.0 4.0 7.5 7.5 3.0 5.0 5.0 2.0 2.5 2.5 1.0 2.7
Slide 29: Appendix II
Appendix II Initiatives to Strengthen Corporate Governance, Returning Profits to Shareholders, Investing in Human Capital, Decarbonization Transition Plan • Initiatives to Strengthen Corporate Governance ・・・30 • Returning Profits to Shareholders (FY2025 Annual Dividend Plan, Repurchase and Cancellat
Slide 30: Strengthen Corporate Governance (1): Transition to a New Board Structure
Appendix II Strengthen Corporate Governance (1): Transition to a New Board Structure  Aiming to further strengthen the independence and supervisory function of Board of Directors  before June, 2022: Operated as a company with an audit & supervisory board  June, 2022: Transitioned to a company wit
Slide 31: Strengthen Corporate Governance (2): Revision of the Remuneration Policy for Officers
Appendix II Strengthen Corporate Governance (2): Revision of the Remuneration Policy for Officers * Revisions are highlighted in red. Further motivate corporate executives to achieve medium- and long-term performance targets and enhance the enterprise value under the medium-term plan Expansion of th
Slide 32: Shareholder Returns (1): FY2025 Annual Dividend Plan
Appendix II Shareholder Returns (1): FY2025 Annual Dividend Plan FY2025 It is planned to increase the dividend by 2 yen per share, to make an annual dividend of 26 dividend yen per share, and DOE to improve to 5.6%.  In FY2025, geopolitical risks and the US reciprocal tariff policy will serve to in
Slide 33: Shareholder Returns (2): Repurchase of Own Stock and Cancellation of Treasury Shares
Appendix II Shareholder Returns (2): Repurchase of Own Stock and Cancellation of Treasury Shares Repurchase of The Company is repurchasing its own stock up to a maximum of 15.0 billion yen or 24.0 own stock million shares. * Stock repurchased as of July 31, 2025: 5,637,800 shares (7.4 billion yen) C
Slide 34: Investing in Human Capital: Benefits and Financial Measures to Improve Employee Engagement
Appendix II Investing in Human Capital: Benefits and Financial Measures to Improve Employee Engagement Readoption of Trust-Type Employee Shareholding Incentive Plan (E-Ship®) (May 2025) Further Increase Incentives to Employees Utilizing the Company Stock, and Improve Engagement  Trust-type Employee
Slide 35: Decarbonization Transition Plan
Appendix II Decarbonization Transition Plan We are actively contributing to solutions for energy challenges faced by both our customers and society at large, and we have also developed a transition plan to support decarbonization efforts. Our scope 3 emission reduction target towards FY2030, which h
Slide 36: Notes (1)
Notes (1) 1. Financial data and financial statements have been prepared based on Japanese GAAP and the amounts have been rounded down. 2. The following are the azbil Group’s segments (each identified by abbreviation) together with the various sub-segments and their principal business fields. BA: Bui
Slide 37: Notes (2)
Notes (2) 4. Essential Goals of azbil Group for SDGs *1 3.40 million metric tons of CO2/year: The FY2030 emission factor from electricity generation is our own estimated value based on the Japanese government’s Energy Basic Plan in 2019. *2 Science-based targets (SBT): Greenhouse gas emission reduct
Slide 38: Notes (3)
Notes (3) 4. Essential Goals of azbil Group for SDGs *9 Provide environments that support stress-free and diverse work styles to 6 million people: As of April 2022, environments that support stress-free and diverse work styles have been provided to 0.6 million people, aiming to increase tenfold to 6
Slide 39: IR Inquiries and Disclaimer
IR Inquiries and Disclaimer Inquiries regarding investor relations Azbil Corporation Investor Relations Phone: +81-3-6810-1031 Website: https://www.azbil.com/index.html Email: azbil-ir@azbil.com Disclaimer The projections are based on management’s assumptions, intent and expectations in light of the

Azbil — Q1 FY2025 Earnings Presentation on 6ix

Azbil — Q1 FY2025 Earnings Presentation

Slide 1: Presentation Materials for the First Quarter of Fiscal Year 2025

Slide 2: Highlights

Slide 3: Contents

Slide 4: 1. Consolidated Financial Results for the First Quarter of FY2025

Slide 5: Consolidated Financial Results

Slide 6: Financial Results by Segment

Slide 7: Segment Information: BA Business

Slide 8: Segment Information: AA Business

Slide 9: Segment Information: LA Business

Slide 10: Overseas Sales by Region

Slide 11: Consolidated Financial Position

Slide 12: 2. Consolidated Financial Plan for FY2025

Slide 13: Consolidated Financial Plan

Slide 14: Financial Plan by Segment (1)

Slide 15: Financial Plan by Segment (2)

Slide 16: 3. Returning Profits to Shareholders

Slide 17: Basic Policy and FY2025 Shareholder Returns

Slide 18: Trend of Shareholder Returns

Slide 19: 4. Medium-term Plan and Sustainability Management

Slide 20: Medium-term Plan (FY2025-2027)

Slide 21: The azbil Group's Unique Business Model

Slide 22: The azbil Group's Materiality and its Own SDG Targets

Slide 23: Appendix I: Financial Data

Slide 24: Performance Trend by Segment: Orders Received

Slide 25: Performance Trend by Segment: Order Backlog

Slide 26: Performance Trend by Segment: Sales

Slide 27: Performance Trend by Segment: Segment Profit (Operating Income)

Slide 28: Capital Investment, Depreciation and R&D Expenses

Slide 29: Appendix II

Slide 30: Strengthen Corporate Governance (1): Transition to a New Board Structure

Slide 31: Strengthen Corporate Governance (2): Revision of the Remuneration Policy for Officers

Slide 32: Shareholder Returns (1): FY2025 Annual Dividend Plan

Slide 33: Shareholder Returns (2): Repurchase of Own Stock and Cancellation of Treasury Shares

Slide 34: Investing in Human Capital: Benefits and Financial Measures to Improve Employee Engagement

Slide 35: Decarbonization Transition Plan

Slide 36: Notes (1)

Slide 37: Notes (2)

Slide 38: Notes (3)

Slide 39: IR Inquiries and Disclaimer