Minebeamitsumi Inc. · TSE:6479
Minebeamitsumi — Minebea — Q2 FY2009 Earnings Presentation
26 slides from Minebeamitsumi's earnings presentation, Oct 31, 2008
Slide 1: Business Results
Business Results Second Quarter of Fiscal Year Ending March 31, 2009 October 31, 2008 Minebea Co., Ltd.
Slide 2: 1. Financial Results 2. Policy and Strategy
1. Financial Results 2. Policy and Strategy October 31, 2008 1
Slide 3: Financial Results
Financial Results Hiroharu Katogi Director, Senior Managing Executive Officer October 31, 2008 2
Slide 4: Summary of Consolidated Business Results for 1H
Summary of Consolidated Business Results for 1H Net Sales and Income decreased due to negative impacts from currency, higher raw materials costs and global economic slowdown Year ended Year ending Change 1H of year ending Mar. '09 Mar. '08 Mar. '09 (Millions of yen) Original Vs. 1H 1H yoy Forecast f
Slide 5: Summary of Consolidated Business Results for 2Q
Summary of Consolidated Business Results for 2Q From 1Q net sales and income increased due to improved impacts from currency and company-wide cost reduction efforts FY ended FY ended Mar.'09 Change (Millions of yen) Mar.'08 2Q 1Q 2Q YoY QoQ Net sales 86,481 74,041 76,572 -11.5% +3.4% Operating incom
Slide 6: Quarterly Net Sales
Quarterly Net Sales (Billions of yen) Decreased 11.5% YoY 100.0 Increased 3.4% QoQ 83.8 83.3 83.7 86.5 85.1 80.2 81.8 81.0 80.0 74.0 76.6 60.0 40.0 20.0 0.0 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q FY 3/07 FY 3/08 FY 3/09 October 31, 2008 5
Slide 7: Quarterly Operating Income
Quarterly Operating Income Decreased 17.4% YoY (Billions of yen) Increased 30.1% QoQ 10.0 9.8% 9.0% 9.3% 9.0% 10.0% 8.7% 8.6% 8.0 7.9% 7.5% 7.3% 8.0% 6.9% 6.0 8.4 8.0 6.0% 7.5 7.1 7.3 4.0 6.3 6.6 6.6 4.0% 5.9 5.1 2.0 2.0% 0.0 0.0% 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q FY 3/07 FY 3/08 FY 3/09 Operating incom
Slide 8: Machined Components Business
Business Segments Machined Components Business Net sales (Billions of yen) Ot h e r m ac h i ne d c o m po n e n t s Operating income Pivo t asse m bl ie s 40.0 Ro d- e nds (Billions of yen) Operating Income Operating Margin Ball be ar in gs 8.0 36.7 36.1 20.6% 35.7 35.5 35.7 19.8% 19.3% 19.8% 34.5
Slide 9: Electronic Devices and Components Business
Business Segments Electronic Devices and Components Business Net sales Operating income HDD spi ndl e m o to r s In fo rm ati o n m o to r s (Billions of yen) Oth e r s Ke ybo ar ds 1.5 6.0% El e c t ro n i c de vi ce s Spe ake r s M e asu r i n g c o m po n e n t s Operating Income Operating Margin
Slide 10: Quarterly Net Income
Quarterly Net Income (Billions of yen) Decreased 17.7% YoY （Yen） 6.0 12.7 Increased 35.5% QoQ 14 5.0 10.5 10.5 10.9 12 9.5 8.2 9.0 10 4.0 7.9 5.1 6.6 8 3.0 4.2 4.2 4.3 6 3.8 3.6 2.0 3.3 3.0 3.1 4 2.6 1.0 1.2 2 0.0 4Q 0 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q FY 3/07 FY 3/08 FY 3/09 Net income Net income per s
Slide 11: Quarterly S.G. & A. Expenses
Quarterly S.G. & A. Expenses (Billions of yen) 15.0 20% 12.0 12.1 12.4 12.8 12.8 12.3 12.6 11.4 11.7 12.0 16.6% 16.5% 15% 10.0 15.2% 14.8% 15.1% 14.8% 14.2% 13.9% 14.3% 14.5% 10% 5.0 5% 0.0 0% 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q FY 3/07 FY 3/08 FY 3/09 S.G. & A. expenses S.G. & A. to sales ratio October 3
Slide 12: Quarterly Inventories
Quarterly Inventories (Billions of yen) 60.0 50.9 47.7 48.1 48.6 45.9 48.6 48.5 46.4 45.4 42.4 40.0 20.0 0.0 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q FY 3/07 FY 3/08 FY 3/09 October 31, 2008 11
Slide 13: Capital Expenditure & Depreciation
Yearly Capital Expenditure & Depreciation (Billions of yen) 30.0 26.4 24.0 24.6 24.9 24.5 25.5 23.1 22.5 21.9 20.0 17.0 11.812.7 10.0 0.0 FY 3/05 FY 3/06 FY 3/07 FY 3/08 FY 3/09 FY 3/09 Capital Expenditure 1H Forecast Depreciation & Amortization Expenses *From FY 3/09, due to change in lease account
Slide 14: Net Interest-Bearing Debt
Yearly Net Interest-Bearing Debt Target to reduce net interest-bearing debt (Billions of yen) to ¥100 billion by this FY end (Billions of yen) 160.0 150.7 146.9 30.0 128.5 23.4 120.0 109.6 106.1 100.0 22.7 20.0 80.0 16.0 9.1 10.0 40.0 8.0 3.8 0.0 0.0 FY 3/05 FY 3/06 FY 3/07 FY 3/08 FY 3/09 FY 3/09 1
Slide 15: Forecast for Fiscal Year Ending March 31, 2009
Forecast for Fiscal Year Ending March 31, 2009 Full year forecast revised downward due to negative impacts from currency and global economic slowdown FY ended Fiscal Year ending Mar.'09 Fiscal Year ending Mar.'09 Mar.'08 Previous forecast (Millions of yen) 2H Full year Amount Full year 1H revised re
Slide 16: Business Segments 2H Forecast
Business Segments 2H Forecast for Fiscal Year Ending March 31, 2009 Machined Components Electronic Devices and Components Business Net Sales Net Sales Bal l be ari n gs Ro d- e n ds HDD spi n dle m o t o r s In fo r m at io n m o t o r s Ot h e rs Ke ybo ar ds Pivo t asse m bli e s Ot h e r m ac h i
Slide 17: Policy and Strategy
Policy and Strategy Takayuki Yamagishi Representative Director, President and Chief Executive Officer October 31, 2008 16
Slide 18: Basic Policy for Growth
Basic Policy for Growth ・Future sales target is maintained at 500 billion yen ・Considering current environment, target years are delayed Aiming net sales of ¥500 billion Growth Growth Strengthen Business Strategy, Business Growth of Strategic Technological Foundation and Technology Businesses Advanc
Slide 19: Actions under Deteriorating Business Conditions
Actions under Deteriorating Business Conditions Investments in growth businesses Actions to prepare for the next jump up ・Manufacturing efficiency improvement ・Energy efficiency improvement ・New product development Strengthening the weak businesses October 31, 2008 18
Slide 20: Manufacturing Efficiency Improvement
Manufacturing Efficiency Improvement = Actions to prepare for the next jump up = What priority on Which efficiency? – actions to improve efficiency to prepare for the next jump up Priority Efficiency of Increase in production volume workforce per worker Efficiency of Reduction of scraps raw material
Slide 21: Energy and Raw Materials Efficiency Improvement
Energy and Raw Materials Efficiency Improvement = Actions to prepare for the next jump up = Aiming at energy efficient factory Actions taken at new Thai factory = New initiative - Improved energy efficiency by integration of front-end processes - Targeting 40% less electricity usage - Improved recyc
Slide 22: New Product Development
New Product Development = Actions to prepare for the next jump up = Market introduction of LED backlights for automobile Φ3 mm Stepping Motor (for displays of fuel consumption, gear position and others) ・planning to produce several 100,000 per month in this FY ・Growing market of LED backlights for a
Slide 23: Strengthening the Weak Businesses
Strengthening the Weak Businesses = Further restructuring in motor business = New strategy in HDD spindle motors “Aiming profitability at 4 million units per month sales volume “ = lowering breakeven volume target ・Further cost reductions to lower breakeven point – low cost automation ・Doubling prod
Slide 24: Investments in Growth Businesses
Investments in Growth Businesses = Expansion in aircraft part business = Ball Bearings ・ Capacity expansion at Chatsworth factory (U.S.A.) Introduced cutting and grinding machines for medium-sized bearings ・ Capacity expansion at Peterborough factory (U.S.A) Investment in roller bearings for aircraf
Slide 25: New Financial Strategy
New Financial Strategy Maintaining soundness of B/S ・Net interest-bearing debts are expected to reach medium-term target of 100 billion yen by this fiscal year end after putting priority to pay down debts in recent years with increased free cash flow. ・Keep maintaining soundness of B/S M&A “For syne
Slide 26: Minebea Co., Ltd.
Minebea Co., Ltd. Business Results http://www.minebea.co.jp/ Any statements in the presentation which are not historical fact are future projections made based on certain assumptions and executive judgment drawn from currently available information. Please note that actual performance may vary signi