Ushio Inc. · TSE:6925
Ushio — Q2 FY2020 Earnings Presentation
32 slides from Ushio's earnings presentation, Oct 30, 2020
Slide 1: Second Quarter FY2020 Financial Results
Second Quarter FY2020 Financial Results Ushio Inc. October 30, 2020 This report contains forward-looking statements, including earnings forecasts, which are based on information currently available to the Company and on certain assumptions deemed to be reasonable. Please be advised that actual resul
Slide 2: 2Q FY2020 Overview
２Q FY2020 Overview ■ Update on Impact of the Spread of the Novel Coronavirus (COVID-19) ■ Net Sales and Earnings Decreased to YoY for ２Q FY2020 (Result) and YoY for FY2020 (Full-year Forecast) because of COVID-19 impact ■ YoY for FY2020 (Full-year Forecast ): Reasons on FY2020 Financial Results Fore
Slide 3: Agenda
Agenda I. Update on Impact of the Spread of the Novel Coronavirus (COVID-19) II. Financial Results for 2Q FY2020 III Forecast for FY2020 IV. Topics V. Supplementary Information Copyright © 2008 Ushio Inc. All rights reserved 3
Slide 4: Update on Impact of the Spread of the Novel Coronavirus (COVID-19)
Update on Impact of the Spread of the Novel Coronavirus (COVID-19) （Note）Information as of October 30, 2020 Latest status of Ushio Group’s business sites (summary) For the purpose of preventing chances for infection, continue to operate under teleworking and flex-time basis at domestic sites and m
Slide 5: Financial Results for 2Q FY2020
I. Update on Impact of the Spread of the Novel Coronavirus (COVID-19) II. Financial Results for 2Q FY2020 III Forecast for FY2020 IV. Topics V. Supplementary Information Copyright © 2008 Ushio Inc. All rights reserved 5
Slide 6: Highlights of Financial Results for FY2020
Highlights of Financial Results for FY2020 Net Sales : 52.0 billion yen (▲29.9 billion yen YoY, ▲36.6%) Significant decline in sales of image equipment and lamps for cinema (light source business) due to COVID-19 Operating Income : ▲1.0 billion yen (▲5.9 billion yen YoY) Decline in profit due to COV
Slide 7: Summary of Financial Results
Summary of Financial Results YoY FY20 Forecast FY19 FY20 （billion yen） 10.30 1H 1H changes ％ Center Value Achievement Rate (％) after revision Net Sales 82.0 52.0 ▲29.9 ▲36.6 119.0 43.7 Operating Income (Loss) 4.8 ▲1.0 ▲5.9 － ▲2.2 － Operating Income (Loss) (%) 5.9 ▲2.1 ▲8.0P － ▲1.9 － Ordinary Income
Slide 8: YoY Variation Analysis of Operating Income
YoY Variation Analysis of Operating Income (billion yen) COVID-19 impact to operating income 4.8 ▲0.1 ▲4.4 (based on Gross Profit) Forex Approx. ▲8.3 billion yen Lamps for cinema and data projectors COVID-19 impact and etc. ▲0.5 ▲1.0 ▲0.3 ▲3.9 FY19_1H Optical Equipment ＋1.5 Operating Income Business
Slide 9: Financial Results by Business Segments
Financial Results by Business Segments Ref：Net sales breakdown for Light Source Business FY19 FY20 YoY FY20 YoY (billion yen) FY19 1H 1H Changes ％ 1H 1H Changes ％ Net Sales 30.4 21.0 ▲9.3 ▲30.8 UV lamp 20.8 13.9 ▲6.8 ▲32.8 Light Source Halogen 3.9 Operating Income 3.6 0.6 ▲2.9 ▲81.3 lamp 5.3 ▲1.3 ▲2
Slide 10: Business Environment and Business Segment Overview
Business Environment and Business Segment Overview Electronics Field In electronics-related markets, operation is coming back to pre-COVID-19 level, while new capital investments are in recovering stage. Business ・ FPD: New investment is shifting from LCD to OLED. Despite LCD production slowing down
Slide 11: Business Environment and Business Segment Overview
Business Environment and Business Segment Overview Visual Imaging Field Due to COVID-19, visual imaging-related markets are generally sluggish. Business ・ Movie theaters are partially reopened from the end of 1H; however, operation in main markets, such as North America and China is limited. Environ
Slide 12: Update on latest business environment for imaging-related business
Update on latest business environment for imaging-related business Latest business environment Continued to experience a difficult time, particularly in cinema and event-related business Cinema: Continuous impact of COVID-19 ・Postponement of distribution of major Hollywood movies have been announc
Slide 13: Forecast for FY2020
I. Update on Impact of the Spread of the Novel Coronavirus (COVID-19) II. Financial Results for 2Q FY2020 III Forecast for FY2020 IV. Topics V. Supplementary Information Copyright © 2008 Ushio Inc. All rights reserved 13
Slide 14: Summary of Financial Results FY2020
Summary of Financial Results FY2020 Financial Results Forecast Revision As uncertain outlook continues in the image related business, Ushio revised both upper and lower limits of the sales range downward. On the other hand, we will strive to improve profitability through cost reductions and other me
Slide 15: Net Sales and Operating Income Forecast by Sub-segment / Outlook for 2H
Net Sales and Operating Income Forecast by Sub-segment / Outlook for 2H (billion yen) FY20 Forecast 1H Achievement Outlook for 2H Rate※ (％) (revision) (Result) Net sales 44.0 ～ 47.0 21.0 46.3 ・Lamps for cinema: Uncertain business environment continues (Max) After 3Q, reopening gradually expand, movi
Slide 16: New Medium-Term Management Plan Progress
New Medium-Term Management Plan Progress Expected operating income decrease/increase scenario (billion yen) Ambitious Required target target 3.0 6.0 5.0 +4.5 11.0 ～+10.0 19.0 14.0 ▲5.0 6.6 ～+0.5 5.0 (5.0) ▲11.6 ～▲6.1 FY2019 Impact of Expected FY2020 Self-recovery Effect of income Action plan Action
Slide 17: New Medium-Term Management Plan Progress
New Medium-Term Management Plan Progress New Medium- Operating Income Term Expectation Comment (billion yen) Management in FY20 Plan Scenario COVID-19 impact, ▲11.6～▲6.1 ▲10.6～▲7.1 Operated cost reduction but fell slightly below the expectation Effect of income increase, etc. Self-recovery from COVI
Slide 18: Dividend per share and payout ratio / Share Buyback
Shareholders Return Dividend per share and payout ratio FY2020 annual dividend (plan) will be maintained 26 yen per share in a stable and consistent manner Devidend (JPY) 56.3 Payment Ratio (%) 47.2 40.1 50 35.5 33.2 30.2 30.7 31.6 30.3 27.8 26 26 26 26 26 24 26 22 22 22 FY10 FY11 FY12 FY13 FY14 FY1
Slide 19: Topics
I. Update on Impact of the Spread of the Novel Coronavirus (COVID-19) II. Financial Results for 2Q FY2020 III Forecast for FY2020 IV. Topics V. Supplementary Information Copyright © 2008 Ushio Inc. All rights reserved 19
Slide 20: Care222 for Disinfection and Virus Inactivation Solution
Care222 for Disinfection and Virus Inactivation Solution ■Current progress and business expansion during medium-term management plan ■Key issues ・Promotion activities to eliminate resistance FY2020 FY2021 FY2022 towards to “UV rays” themselves and realize Care222 is safe and secure under occupied sp
Slide 21: Care222 for Disinfection and Virus Inactivation Solution
Care222 for Disinfection and Virus Inactivation Solution Care222 related announcements after first quarter financial results briefing (after July 31st, 2020) Christie introduces far-UVC light fixture (Only in North America) https://www.christiedigital.com/commercial-uv-disinfection/ (released on Oct
Slide 22: Supplementary Information
I. Update on Impact of the Spread of the Novel Coronavirus (COVID-19) II. Financial Results for 2Q FY2020 III Forecast for FY2020 IV. Topics V. Supplementary Information Copyright © 2008 Ushio Inc. All rights reserved 22
Slide 23: Sales Expansion of Exposure Equipment for Latest IC Package Substrates
Sales Expansion of Exposure Equipment for Latest IC Package Substrates Cutting-edge & Next generation With IoT evolution, demand increased for servers for data centers processing high package demand expansion capacity and high speed data processing Data center market Large Field Stepper（UX-5） Equipm
Slide 24: EUV Light Source for Mask Inspection
EUV Light Source for Mask Inspection Mask Inspection equipment Semiconductor device EUV light source for next- Sale manufacturer/ manufacturers Maintenance generation semiconductor Research & development mass-production process institution Development, Production, Sales Next-generation semiconductor
Slide 25: Reference: Summary of Quarterly Financial Results
Reference: Summary of Quarterly Financial Results FY20 FY19 FY20 FY20 FY19 FY20 2Q - 2Q 2Q - 1Q (billion yen) 1Q 2Q 3Q 4Q 1Q 2Q Changes ％ Changes ％ Net Sales 38.9 43.0 38.0 38.9 23.6 28.3 ▲14.7 ▲34.3 4.6 19.6 Operating Income (Loss) 2.1 2.7 1.4 0.3 ▲0.7 ▲0.3 ▲3.0 － 0.4 56.2 Operating Income Ratio (%
Slide 26: Reference: Summary of Quarterly Financial Results by Business Segments
Reference: Summary of Quarterly Financial Results by Business Segments FY20 FY19 FY20 FY20 (billion yen) FY19 FY20 2Q - 2Q 2Q - 1Q 1Q 2Q 3Q 4Q Total 1Q 2Q Changes ％ Changes ％ Net Sales 15.4 14.9 14.3 13.7 58.5 10.4 10.5 ▲4.3 ▲29.1 0.1 1.4 Light Source Operating Income 1.9 1.6 1.0 1.3 6.0 0.4 0.1 ▲1.
Slide 27: Reference: Sales Ratio by Region
Reference: Sales Ratio by Region Others 2.8% FY19_1H Net Sales Japan North America Asia Europe 82.0 21.5% 20.5% 46.0% 9.2% billion yen FY20_1H Net Sales Japan North America Asia Europe 52.0 billion 29.2% 17.6% 44.0% 8.5% yen Others 0.7% Copyright © 2008 Ushio Inc. All rights reserved 27
Slide 28: Reference: R&D Expenses/Capital Expenditures and Depreciation
Reference : R&D Expenses/Capital Expenditures and Depreciation R&D Expenses（billion yen） Capital Expenditures (billion yen) Ratio of R&D Expenses to net sales (%) Depreciation (billion yen) 8.1～8.7 10.2 6.4 8.2 8.0 6.2 7.9 6.1 5.7 7.1 7.0 6.5 6.7 6.7 5.0 1H 1H 10.1 10.0 Result Result 1H 10.6 10.1 1H
Slide 29: Reference: Balance Sheet
Reference: Balance Sheet ◆Assets (billion yen) ◆ Liabilities/Total Net Equity (billion yen) Changes Changes 274.9 274.6 ▲0.2 274.9 274.6 ▲0.2 ▲3.9 Notes and AP +11.3 Cash and Bank Deposits 18.7 14.8 60.6 28.9 +10.1 Other Current Liabilities 72.0 38.1 26.4 ▲2.5 Long-term Liabilities ▲12.7 Marketable
Slide 30: Reference: Cash Flow
Reference: Cash Flow (billion yen) Operating CF + Investing CF Operating CF + Investing CF ▲2.2 ＋5.7 74.6 ▲2.1 ▲0.1 ▲12.1 +7.3 ▲1.6 +5.0 ▲0.8 68.9 Operating Investing 59.0 Activities ▲1.2 59.0 Effect of Activities Investing Financing Exchange Financing Operating Activities Activities Effect of rate
Slide 31: Glossary
Glossary AI Artificial Intelligence BGA Ball Grid Array COF Chip on Film CoO Cost of Ownership CPU Central Processing Unite DI Direct Imaging EUV Extreme Ultraviolet Radiation FPD Flat Panel Display GPU Graphic Processing Unit IoT Internet of Things LaPH Laser Phosphor OA Office Automation OLED Orga
Slide 32: Contact: Corporate Planning Department, Ushio Inc.
Contact: Corporate Planning Department, Ushio Inc. Email: ir@ushio.co.jp https://www.ushio.co.jp/en/ Copyright © 2008 Ushio Inc. All rights reserved 32