Slide 1: Business Report for FY2017 1st Half
1/22 Business Report for FY2017 1st Half November 6th 2017
Slide 2: FY2017 2Q Outline of Financial Statement
2/22 FY2017 2Q Outline of Financial Statement Executive Vice President and CFO KOHEI OHGAKI
Slide 3: Consolidated 2Q Financial Results
3/22 <Consolidated> 2Q Financial Results Unit: Million yen FY2016 FY2017 Net Sales 4-9 4-9 Profit 7.3% DOWN 35,000 31,708 2,800 29,393 30,000 2,400 25,000 2,000 20,000 1,600 19.9% DOWN 1,095 15,000 900 1,200 747 10,000 598 800 5,000 400 0 0 -5,000 -400 -10,000 -800 -15,000 -853 -1,200 -1,079 -20,000
Slide 4: Consolidated Operating Expenses
4/22 <Consolidated> Operating Expenses Unit: Million yen FY2016 FY2017 4-9 4-9 30,961 28,795 [ ]: Sales Ratio [97.6%] [98.0%] 32,000 Material costs Amount paid to subconstractors Labor costs 24,000 14,602 46.1% 12,475 42.4% Expences Depreciations 2.4% 16,000 756 969 3.3% Improvement by 2.8% in rat
Slide 5: Consolidated Analysis of Sales Expenses
5/22 <Consolidated> Analysis of Sales Expenses Analysis of factors for increase/decrease Unit: Million yen of consolidated operating profit ［ FY2016 4-9 vs FY2017 4-9 ］ Total After adjusting impact of -149 million yen 1,200 foreign exchange rates Reduction in fixed costs (Labor costs/ Business 800 E
Slide 6: Consolidated Non-operating Profit and Loss
6/22 <Consolidated> Non-operating Profit and Loss FY2016 FY2017 Unit: Million yen 4-9 4-9 -1,600 497 [ ]: Percentage to sales amount [-5.0%] [1.7%] 600 72 Currency exchange profit/loss 300 326 334 Revenues from and expenditure to 115 98 fixed assets 0 Financial account balance -20 -7 -300 others -60
Slide 7: Consolidated Extraordinary Profit or Loss
7/22 <Consolidated> Extraordinary Profit or Loss Unit: Million yen FY2016 FY2017 4-9 4-9 [ ]: Percentage to sales amount 150 -42 -421 31 Gain on redemption of 50 46 investment securities 40 23 41 Gain on sales of -50 -58 investment securities -136 -1 Gain on sales of fixed -150 -178 assets Loss on i
Slide 8: Consolidated Segment Information
8/22 <Consolidated> Segment Information Unit: Million yen FY2017 4-9 Reporting Segment Others* TOTAL CS Div. FC Div. TP Div. Total Net Sales 14,435 9,939 4,857 29,231 162 29,393 Operating 1,858 (598) (420) 840 (242) 598 Profit (Loss) FY2016 4-9 Reporting Segment Others* TOTAL CS Div. FC Div. TP Div.
Slide 9: Consolidated Revised Financial Result Forecast
9/22 <Consolidated> Revised Financial Result Forecast Upper row: Percentage to net sales Lower row: Increase (decrease) ratio to FY2016 Forecast of consolidated operating results for FY2017 (Full-year) Announced on Net Sales Operating Profit Ordinary Profit Net Profit Million yen % Million yen % Mil
Slide 10: Consolidated Changes in Financial Results (Full-year)
10/22 <Consolidated> Changes in Financial Results (Full-year) Unit: Million yen FY2016 FY2017 Net Sales Forecast Profit 80,000 0.7% DOWN 8,000 62,971 62,500 60,000 6,000 40,000 280.7% UP 4,000 2,700 2,900 2,400 20,000 1,398 2,000 1,017 630 0 0 Net Sales Operating Profit Ordinary Profit Net Profit
Slide 11: Consolidated Changes in Financial Result (Half Term)
11/22 <Consolidated> Changes in Financial Result (Half Term) Unit: Million yen FY2016 FY2016 FY2017 FY2017 Net Sales 4-9 10-3 4-9 10-3 Profit Forecast 40,000 4,000 31,708 33,107 31,263 29,393 30,000 3,000 2,251 2,096 1,802 2,000 20,000 1,605 2,000 1,095 10,000 747 900 1,000 598 0 0 -117 -10,000 -1,0
Slide 12: Consolidated Cash Position
12/22 <Consolidated> Cash Position Unit: Million yen Mar. 2017 Sep. 2017 Differential （Ａ） （Ｂ） （Ｂ－Ａ） Assets 62,318 65,058 2,740 Cash and cash equivalents 10,117 10,989 872 Accounts receivable 14,853 16,345 1,491 Inventories 7,199 7,712 512 Fixed assets 28,044 28,104 60 Liabilities 30,999 32,829 1,830
Slide 13: Consolidated Cash Flow Position
13/22 <Consolidated> Cash Flow Position Unit: Million yen FY2016 4-9 FY2017 4-9 Cash flow from operating activities 243 1,959 Working capital (619) (1,206) Profit before taxes (895) 674 Depreciation 2,136 2,085 Others (379) 406 Cash flow from investing activities (2,434) (1,914) Free cash flow (2,19
Slide 14: Annual Dividend
14/22 Annual Dividend At second At fiscal Annual quarter end year end FY2016 5.00 yen 5.00 yen 10.00 yen Result FY2017 4.00 yen ― ― Result FY2017 ― 4.00 yen 8.00 yen Forecast
Slide 15: FY2017 Prospect
15/22 FY2017 Prospect President, CEO and COO YASUMITSU IKEDA
Slide 16: Net Sales by Product Div. (FY2014-FY2017)
16/22 Net Sales by Product Div. (FY2014-FY2017) Unit: Million yen %: Compared to 99% previous term 80,000 77,206 95% 195 70,000 66,230 14,467 65,500 118 62,971 62,500 2,870 1,927 60,000 263 15,184 11,931 10,211 9,940 83% 50,000 35,449 40,000 25,027 25,743 21,320 27,238 78% 30,000 20,000 25,901 27,09
Slide 17: Operating Profit by Product Div. (FY2014-FY2017)
17/22 Operating Profit by Product Div. (FY2014-FY2017) Unit: Million yen Profitability (%)=Profit/Sales 5.4% 5,000 4,171 3.8% 3.2% 3.4% 2,400 4,000 1,838 2,113 1.0% 3,000 6 2,200 370 630 52 2,000 113 133 1,909 3,651 4 1,000 2,215 1,919 2,011 921 0 -723 -786 -449 -252 -524 -1,000 -616 -279 -2,000 FY2
Slide 18: Reference: Net Sales by Market (FY2014-FY2017)
18/22 Reference: Net Sales by Market (FY2014-FY2017) %: Compared to Unit: Million yen previous term 99% 77,206 80,000 66,230 7,119 70,000 62,971 62,500 60,000 7,606 21,178 8,077 12,539 155% 50,000 19,341 18,982 40,000 18,209 96% 30,000 32,207 22,591 24,086 17,506 73% 20,000 10,000 16,691 16,700 11,8
Slide 19: FY2017 Priority Matters
19/22 FY2017 Priority Matters １. Increase sales and profits in the short term ① Enhance activities to improve profitability ② Secure sales in existing key markets ③ Generate profits through new business ２. Realize mid- to long-term growth ① Explore new markets ② Create new business by open innovatio
Slide 20: LPWA RF Module for IoT Market
20/22 LPWA RF Module for IoT Market Sigfox SubGHz SubGHz Product Sigfox Module with Sigfox IP500™ RF Module RF Module Name RF Module Gateway RF Module Module (SMK) (LoRa®) Function Series WF921 WF923 WF923G WF931 CNX200 - Appear- ance Sigfox/ LoRaWAN™/ Network SMK Sigfox SMK Sigfox IP500 SMK protoco
Slide 21: Relocation of Chinese R&D Location and Works
21/22 Relocation of Chinese R&D Location and Works Baiwangxin Industrial Area SMK Electronics (Shenzhen) Co., Ltd. SMK Electronics Abbr.: SMK-SZ Technology Development (Shenzhen) Co., Ltd. Operation start at new factory: Mar. 2018 6km Operation end at current factory: Feb. 2018 Abbr.: SMK-CTC Operat
Slide 22: Notice
22/22 Notice All information in this material concerning the forecast of business achievements, projections of general business conditions and our business strategies is dependent on our conclusion made to a normally foreseeable extent applying information reasonably accessible to us at the time of