Slide 1: Performance Briefing 3Q of Fiscal Year March 2020
Performance Briefing 3Q of Fiscal Year March 2020 TDK Corporation Corporate Communications Group January 31, 2020
Slide 2: Consolidated Results and Full Year Projections
●Consolidated Results for 3Q of FY March 2020 Consolidated Full Year Projections for FY March 2020 Tetsuji Yamanishi, Senior Vice President © TDK Corporation 2020 Performance Briefing 3Q of Fiscal Year March 2020 Corporate Communications Group January 31, 2020 2
Slide 3: Consolidated Results for 3Q of FY March 2020
Consolidated Results for 3Q of FY March 2020 Consolidated Full Year Projections for FY March 2020 Tetsuji Yamanishi Senior Vice President © TDK Corporation 2020 Performance Briefing 3Q of Fiscal Year March 2020 Corporate Communications Group January 31, 2020 3
Slide 4: Key points concerning earnings for 3Q of FY March 2020
Key points concerning earnings for 3Q of FY March 2020 TDK delivered increases in net sales and earnings in 3Q, amid continuing global economic uncertainty and no major changes in the demand environment. ● Net sales for 3Q rose 1.4% year on year. Operating income increased 23.2% year on year. ● Oper
Slide 5: Consolidated results for 3Q of FY March 2020
Consolidated results for 3Q of FY March 2020 FY March 2019 FY March 2020 Change 3Q results 3Q results (Yen billions) Yen billions % Net sales 350.8 355.6 4.8 1.4 Operating income 32.8 40.4 7.6 23.2 Operating income margin 9.4% 11.4% +2.0 pt - Income before income taxes 31.0 41.2 10.2 32.9 Net income
Slide 6: 3Q results - Passive Components segment
3Q results - Passive Components segment Net sales (Yen billions) 106.7 Net sales 98.3 billion yen (down 7.9% year on year) 98.3 Operating income 10.6 billion yen (down 27.9% year on year) ● Ceramic Capacitors ¬ Sales and profit decreased year on year. ¬ Sales increased to the automotive market, whil
Slide 7: 3Q results - Sensor Application Products segment
3Q results - Sensor Application Products segment Net sales Net sales 20.3 billion yen (up 3.0% year on year) (Yen billions) 19.7 20.3 Operating loss -5.5 billion yen (up ―% year on year) ● Sensors ¬ Sales of conventional products (Temperature and Pressure Sensors, and Hall Sensors) to the automotive
Slide 8: 3Q results - Magnetic Application Products segment
3Q results - Magnetic Application Products segment Net sales (Yen billions) Net sales 57.9 billion yen (down 12.8% year on year) 66.4 Operating income 5.2 billion yen (down 33.3% year on year) 57.9 ● HDD Heads and HDD Suspension Assemblies ¬ Sales and profit decreased year on year. ¬ Volume of HDD a
Slide 9: 3Q results - Energy Application Products segment
3Q results - Energy Application Products segment Net sales (Yen billions) Net sales 161.2 billion yen (up 10.9% year on year) 161.2 145.4 Operating income 40.5 billion yen (up 64.6% year on year) ● Energy Devices (Rechargeable Batteries) ¬ Sales and profit increased year on year. ¬ Sales expanded fo
Slide 10: Quarterly results by segment
Quarterly results by segment 3Q of 2Q of 3Q of YoY change QoQ change (C)-(A) (C)-(B) FY March 2019 FY March 2020 FY March 2020 (Yen billions) (A) (B) (C) Yen billions % Yen billions % Capacitors 42.7 39.6 37.3 (5.4) -12.6 (2.3) -5.8 Inductive Devices 37.3 35.7 34.8 (2.5) -6.7 (0.9) -2.5 Other Passiv
Slide 11: Breakdown of operating income changes
Breakdown of operating income changes 3Q of 3Q of FY March 2019 Operating income +7.6 billion yen FY March 2020 32.8 billion yen 40.4 billion yen (Yen billions) Sales price Benefits from SG&A expenses One-time Exchange Rationalization, Changes in sales reduction restructuring increase expenses fluct
Slide 12: Consolidated results through 3Q of FY March 2020
Consolidated results through 3Q of FY March 2020 FY March 2019 FY March 2020 Change Results through 3Q Results through 3Q (Yen billions) (2018.4.1-2018.12.31) (2019.4.1-2019.12.31) Yen billions % Net sales 1,072.7 1,062.7 (10.0) -0.9 Operating income 94.9 109.2 14.3 15.1 Operating income margin 8.8%
Slide 13: FY March 2020 full year and dividend projections
FY March 2020 full year / dividend projections FY March 2020 FY March 2020 YoY change FY March 2019 full year projections full year projections full year results Yen billions % (Yen billions) (announced on Apr. 26, 2019) (announced on Oct. 31, 2019) Net sales 1,381.8 1,420.0 1,390.0 8.2 0.6 Operatin
Slide 14: Supplementary Data
Supplementary Data © TDK Corporation 2020 Performance Briefing 3Q of Fiscal Year March 2020 Corporate Communications Group January 31, 2020 14
Slide 15: Quarterly sales and operating income by segment
Quarterly sales and operating income by segment FY March 2019 FY March 2020 (Yen billions) 1Q 2Q 3Q 4Q Total 1Q 2Q 3Q 4Q Total Capacitors 44.5 43.9 42.7 42.3 173.3 39.3 39.6 37.3 Inductive Devices 38.9 39.5 37.3 34.3 150.0 34.1 35.7 34.8 Other Passive Components 29.3 28.7 26.7 25.3 110.1 24.8 26.6 2
Slide 16: FY March 2020 projections and forex sensitivity
FY March 2020 projections and forex sensitivity Expenses (Yen billions) Capital expenditure Depreciation R&D 250 200.0 200 178.6 167.6 173.6 160.7 150 130.0 115.2 120.0 106.6 102.6 100 87.5 92.2 84.9 91.3 83.2 50 0 FY16/3 FY17/3 FY18/3 FY19/3 FY20/3 FY16/3 FY17/3 FY18/3 FY19/3 FY20/3 FY16/3 FY17/3 F
Slide 17: Financial position
Financial position March End, September End, December End, Change from (Yen billions) 2019 2019 2019 Sep End, 2019 Total asset 1,992.5 1,952.7 2,051.4 98.7 Total liability 1,108.7 1,091.1 1,139.3 48.2 Stockholders's equity 877.3 856.3 906.7 50.4 (comprehensive income) (124.4) (176.5) (144.2) 32.3 St
Slide 18: Cash flows
Cash flows FY March 2019 FY March 2020 YoY (Yen billions) Results through 3Q Results through 3Q change Operating cash flow 90.4 149.5 59.1 Investing cash flow (95.8) 11.4 107.2 Free cash flow (5.4) 160.9 166.3 Financing cash flow 21.2 (89.4) (110.6) Effect of exchange rate changes on cash and cash e
Slide 19: Quarterly sales by applications
Quarterly sales by applications (1Q of FY March 2019 – 3Q of FY March 2020) © TDK Corporation 2020 Performance Briefing 3Q of Fiscal Year March 2020 Corporate Communications Group January 31, 2020 19
Slide 20: Passive Components business quarterly sales by applications
Passive Components business quarterly sales by applications (1Q of FY March 2019 – 3Q of FY March 2020) © TDK Corporation 2020 Performance Briefing 3Q of Fiscal Year March 2020 Corporate Communications Group January 31, 2020 20
Slide 21: Performance Briefing 3Q of Fiscal Year March 2020
© TDK Corporation 2020 Performance Briefing 3Q of Fiscal Year March 2020 Corporate Communications Group January 31, 2020 21
Slide 22: Performance Briefing 3Q of Fiscal Year March 2020
© TDK Corporation 2020 Performance Briefing 3Q of Fiscal Year March 2020 Corporate Communications Group January 31, 2020 22
Slide 23: Cautionary statements with respect to forward-looking statements
Cautionary statements with respect to forward-looking statements This material contains forward-looking statements, including projections, plans, policies, management strategies, targets, schedules, understandings, and evaluations about TDK, or its group companies (TDK Group). These forward-looking
Slide 24: Text data including Q&A will be uploaded on following site
Text data including Q&A of performance briefing will be uploaded on following site. https://www.tdk.com/corp/en/ir/ir_events/conference/2020/3q_1.htm