Presentation of Financial Results
Third Quarter of the Fiscal Year Ending
October 31, 2024
OHARA INC. (Code: 5218)
September.13th.2024
1 Overview of FY2024 3Q
• Main Points of Results
• Summary of Results
• Optical Business
• Electronics Business
• Factors for Changes in Operating Profit/Loss
CONTENTS2 Outlook for FY2024
• Summary of Full-Year Results Forecasts
• Explanation of future business environment
• Forecasts for the Optical Business
• Forecasts for the Electronics Business
• Summary of semi-annual changes
• Capital Expenditure, Depreciation, and Research and Development
2
Overview of FY2024 3Q
Main Points of Results
Business Environment
■Signs of a gradual recovery were observed in the global economy, reflecting the easing of inflation, although economic activity remained sluggish in some areas.
■The outlook remained uncertain, mainly reflecting the Russian-Ukrainian crisis, the Middle East situation, the stagnation of the real estate market in China and the remaining high policy interest rates in Europe and the United States, as well as unstable foreign exchange rates.
■The camera market contracted largely due to the popularization of smartphones. Nonetheless, demand remained firm for interchangeable lens digital cameras and interchangeable lenses in the mirrorless camera market in particular, reflecting solid demand from professional and amateur photographers who seek to express high-quality images.
■The semiconductor lithography system market saw strong demand for equipment due to increased demand for power semiconductor devices and for memory and logic semiconductors used in generated AI.
■FPD lithography system remained sluggish given weak investment by panel manufacturers.
Outlook for FY2024
■Although inventory adjustments in the supply chain for interchangeable lens applications, which account for a large portion of optical business sales, are recovering after bottoming out in the second quarter, both pressed optical glass products and block optical glass products failed to reach the level of the same period of the previous year in the cumulative third quarter.
■Sales in the electronics business were strong for both special glass and glass-ceramics and quartz glass due to continued strong demand for semiconductor lithography system applications and sales of special glass and glass-ceramics for space astronomy applications in the third quarter.
■Operating profit is on a recovery trend due to gradually better utilization of production facilities in the optical business this fiscal year and increased sales of high value-added products in the electronics business.
1_Overview of FY2024 3Q | Copyright© 2024 OHARA INC. All Rights Reserved. | 4 |
Summary of Results
(Million yen, %) | |||
FY2023 | FY2024 | Change | |
3Q | 3Q | ||
Net Sales | 21,449 | 20,838 | (611) |
(2.8%) | |||
Operating Profit | 2,130 | 1,659 | (470) |
[Operating Profit | 9.9% | 8.0% | (22.1%) |
ratio] | |||
Ordinary Profit | 2,301 | 1,976 | (324) |
[Ordinary Profit | 10.7% | 9.5% | (14.1%) |
ratio] | |||
Profit | 1,554 | 1,173 | (381) |
(attributable to | |||
owners of parent) | |||
[Profit ratio] | 7.2% | 5.6% | (24.5%) |
Exchange Rate | Average for | Average for | |
the period | the period | ||
Yen/USD | 136.52 | 151.85 | |
Yen/EUR | 146.59 | 164.35 | |
Breakdown of net sales
Pressed optical glass products | Block optical glass products | |||
（Million yen） | Special glass and glass-ceramics | Quartz glass | ||
8,000 | 7,044 | 7,510 | 6,893 | 6,900 | 7,592 | ||
6,673 | 6,345 | ||||||
6,000 | 3,206 | 3,272 | 3,088 | 2,784 | 3,239 | ||
2,767 | 2,599 | ||||||
4,000 | 964 | 610 | 517 | 596 | |||
995 | 898 | 726 | |||||
2,000 | 1,848 | 2,218 | 1,752 | 2,131 | 1,976 | 2,308 | 2,413 |
0 | 995 | 1,055 | 1,155 | 1,164 | 1,043 | 1,290 | 1,343 |
1Q | 2Q | 3Q | 4Q | 1Q | 2Q | 3Q | |
FY2023 | FY2024 |
Breakdown of operating profit
（Million yen） | Optical Business | Electronics Business | Total | ||||
1,500 | |||||||
937 | 822 | ||||||
1,000 |
332 | 640 | 552 | ||||
470 | ||||||
366 | ||||||
500 | 933 | |||||
672 | ||||||
605 | 658 | 337 | 667 | 775 | ||
0 | (31) | (106) | 103 | (110) | ||
(234) | ||||||
(300) | (304) | |||||
(500) | ||||||
1Q | 2Q | 3Q | 4Q | 1Q | 2Q | 3Q |
FY2023 | FY2024 |
1_Overview of FY2024 3Q | Copyright© 2024 OHARA INC. All Rights Reserved. | 5 |
Optical Business
3Q comparison
Net sales of pressed optical glass products
Net sales of block optical glass products
Operating profit
(Million yen)
14,000
12,424
11,000 | 10,463 |
8,0009,566
8,623
5,000
2,000
2,858 | 1,840 |
194 | (716) |
(1,000) | |
FY2023 3Q | FY2024 3Q |
Quarterly changes | |||||||
Net sales of pressed optical glass products | |||||||
Net sales of block optical glass products | |||||||
Operating profit | |||||||
(Million yen) | |||||||
5,000 | |||||||
4,500 | 4,201 | 4,237 | 3,986 | ||||
4,000 | 3,836 | ||||||
3,500 | 3,378 | 3,325 | 3,301 | ||||
3,000 | |||||||
2,500 | 3,206 | 3,272 | 3,088 | ||||
3,239 | |||||||
2,000 | 2,767 | 2,599 | |||||
2,784 | |||||||
1,500 | |||||||
1,000 | |||||||
500 | 995 | 964 | 898 | 610 | 726 | 517 | 596 |
332 | |||||||
0 | |||||||
(31) | |||||||
(106) | (234) | (110) | |||||
(500) | (300) | (304) | |||||
1Q | 2Q | 3Q | 4Q | 1Q | 2Q | 3Q | |
FY2023 | FY2024 |
1_Overview of FY2024 3Q | Copyright© 2024 OHARA INC. All Rights Reserved. | 6 |
Electronics Business
3Q comparison | Quarterly changes | ||||||||
Net sales of special glass and glass-ceramics | Net sales of special glass and glass-ceramics | ||||||||
Net sales of quartz glass | Net sales of quartz glass | ||||||||
Operating profit | Operating profit | ||||||||
(Million yen) | (Million yen) |
14,000
11,00010,374
9,024 |
8,000 |
5,000
4,500
4,000
3,500
3,000
3,598
3,2733,295
2,8432,9073,019
3,756
6,697 | ||
5,818 | ||
5,000 | ||
3,205 | 3,676 | |
2,000 | ||
2,376 | ||
1,936 | ||
(1,000)
FY2023 3Q | FY2024 3Q |
2,500
2,000
1,500
1,000
500
0
(500)
2,308 2,413
2,218 | 2,131 | ||
1,752 | 1,976 | ||
1,848 | |||
1,155 | 1,164 | 1,290 | 1,343 | |||
995 | 1,055 | 1,043 | ||||
933 | ||||||
775 | ||||||
605 | 672 | 658 | 667 | |||
337 |
1Q | 2Q | 3Q | 4Q | 1Q | 2Q | 3Q |
FY2023 | FY2024 |
1_Overview of FY2024 3Q | Copyright© 2024 OHARA INC. All Rights Reserved. | 7 |
Factors for Changes in Operating Profit/Loss
Optical Business
（Million yen）
Electronics Business | |||
（Million yen） | Improved | ||
profitability | Raw | ||
of | materials, |
194
FY2023 3Q
Operating profit
Effects of volume and unit prices
FY2024 3Q
Operating profit
(800)
Raw | Decreased | |||
materials, energy | Deterioration | (716) | ||
etc. | cost | in productivity | ||
Other | ||||
(200) | 185 | |||
(235) | ||||
139 | ||||
Improved | |
profitability quartz glass | etc. |
of special glass
177 (256)
519
2,376
1,936
FY2023 3Q | FY2024 3Q |
Operating profit | Operating profit |
1_Overview of FY2024 3Q | Copyright© 2024 OHARA INC. All Rights Reserved. | 8 |
Outlook for FY2024
Summary of Full-Year Results Forecasts
Breakdown of net sales
（Million yen, %) | |||
FY2023 | FY2024 | Change | |
Results | Forecasts | ||
Net Sales | 28,123 | 26,900 | (1,223) |
(4.3%) | |||
Operating Profit | 2,233 | 2,000 | (233) |
[Operating Profit ratio] | 7.9% | 7.4% | (10.5%) |
Ordinary Profit | 2,603 | 2,400 | (203) |
[Ordinary Profit ratio] | 9.3% | 8.9% | (7.8%) |
Profit | 1,572 | 1,400 | (172) |
（attributable to | |||
owners of parent） | |||
[Profit ratio] | 5.6% | 5.2% | (10.9%) |
Exchange Rate | Average for | Average for | |
the period | the period | ||
Yen/USD | 139.28 | 145.00 | |
Yen/EUR | 149.49 | 155.00 | |
Annual Dividend (yen） | 20.0 | 23.0 | |
（Million yen） | Pressed optical glass products | Block optical glass products | |
Special glass and glass-ceramics | Quartz glass | ||
35,000 | |||
30,000 | 28,304 | 28,123 | 26,900 | |||
25,000 | ||||||
12,855 | 12,334 | 11,000 | ||||
20,000 | ||||||
15,000 | 2,600 | |||||
4,044 | 3,468 | |||||
10,000 | ||||||
6,648 | 7,950 | 8,650 | ||||
5,000 | ||||||
4,755 | 4,370 | 4,650 | ||||
0 | ||||||
FY2022 | FY2023 | FY2024 | ||||
Results | Forecast |
Breakdown of operating profit
（Million yen） | Optical Business | Electronics Business | Total | ||||||
3,500 | 2,976 | 2,233 | 2,000 | ||||||
2,500 | |||||||||
1,156 | |||||||||
1,500 | 1,820 | 2,274 | 2,900 | ||||||
500 | |||||||||
(40) | (900) | ||||||||
(500) | |||||||||
(1,500)
FY2022 | FY2023 | FY2024 |
Results | Forecast |
2_Outlook for FY2024 | Copyright© 2024 OHARA INC. All Rights Reserved. | 10 |