Business Results First Quarter of Fiscal Year Ending March 31, 2021 MinebeaMitsumi Inc. August 4, 2020
Summary of Consolidated Business Results for 1Q 1Q operating income was up 61% YoY FY3/20 Change FY3/21 (Millions of yen) * * 1Q 4Q 1Q YoY QoQ 204,425 226,897 187,463 -8.3% -17.4% Net sales 3,324 12,401 5,364 +61.4% -56.7% Operating income 3,341 11,870 5,274 +57.9% -55.6% Profit before taxes Profit for the period 2,173 10,428 3,573 +64.4% -65.7% attributable to owners of the parent Earnings per share, 5.23 25.44 8.75 +67.3% -65.6% basic (yen) FY3/20 FY3/20 FY3/21 Foreign * 1Q FY3/21 Operating Income Exchange Rates 1Q 4Q 1Q COVID-19 related expense Approx. ¥4.0bn * 1Q FY3/20 Operating Income ¥110.73 ¥109.35 ¥107.74 US$ 1 Special factors ¥4.0bn Euro ¥123.56 ¥121.05 ¥118.23 2 Revised by the impact of U-Shin PPA ¥3.47 ¥3.54 ¥3.34 Thai Baht ¥16.28 ¥15.63 ¥15.12 Chinese RMB August 4, 2020 2
Net Sales, Operating Income/margin Net sales (Billions of yen) Operating income Operating margin 279.5 267.7 249.6 236.3 31.1 226.9 213.0 204.4 187.5 185.8 23.3 19.6 19.6 14.3 12.4 7.0 12.5% 5.4 8.7% 8.3% 3.3 7.0% 6.7% 5.5% 2.9% 3.8% 1.6% 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q FY3/19 FY3/20 FY3/21 August 4, 2020 3
Machined Components Net sales (Billions of yen) Operating income (Billions of yen) Operating income Operating margin Ball bearings Rod-ends/Fasteners Pivot assemblies 27.1% 26.0% 24.8% 23.5% 23.2% 22.6% 47.3 48.2 47.4 12.5 12.9 21.2%21.1% 20.1% 45.5 46.1 45.1 45.2 44.5 11.7 8.0 7.6 7.9 6.2 6.0 6.3 6.4 10.7 10.7 5.6 10.2 9.6 9.4 35.5 9.1 9.4 10.1 10.0 9.6 8.9 9.5 10.1 4.5 7.2 7.4 30.4 31.1 30.3 29.4 29.8 29.2 29.4 28.7 23.6 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q FY3/19 FY3/20 FY3/21 FY3/19 FY3/20 FY3/21 August 4, 2020 4
Electronic Devices & Components Net sales (Billions of yen) Operating income (Billions of yen) Motors Electronic devices Sensing devices Other Operating income Operating margin 9.2% 6.6% 7.9% 4.6% 3.0% 2.7% 2.1% 0.5% 0% 114.4 111.5 -0.7% 1.2 1.1 9.7 101.3 8.6 1.0 93.7 91.7 8.2 10.6 89.0 0.8 87.4 1.0 8.3 1.2 1.2 9.1 79.7 7.5 8.8 77.6 9.3 1.2 1.1 56.4 6.9 55.9 8.3 46.4 6.7 39.6 34.5 27.9 37.7 22.4 32.5 4.0 2.7 2.2 1.9 47.0 49.0 47.1 44.9 45.8 45.7 46.0 42.7 39.0 0.4 (0.6) 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q FY3/19 FY3/20 FY3/21 FY3/19 FY3/20 FY3/21 August 4, 2020 5
Mitsumi Business Net sales (Billions of yen) Operating income (Billions of yen) Operating income Operating margin 14.8% 7.1% 9.2% 7.4% 6.7% 4.1% 2.4% 0.0% 0% -2.6% 100.9 100.6 13.0 Extraordinary expenses/losses approx. +5.0bn in 3Q 87.6 79.2 73.9 7.5 7.1 7.3 62.4 56.6 49.7 4.2 46.3 3.0 1.4 0.0 (1.2) 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q FY3/19 FY3/20 FY3/21 FY3/19 FY3/20 FY3/21 August 4, 2020 6
U-Shin Business Both net sales and operating income before March of 2019 are pre-merger results. Net sales (Billions of yen) Operating income (Billions of yen) Operating income Operating margin 5.9% 5.7% 4.5% 3.7% 3.6% 1.5% 2.2% 2.4% Including ¥4.0bn of 0% Sales of April 1 - 9 -0.9% 40.9 39.1 2.2 2.1 36.5 35.7 34.7 32.0 1.5 32.0 31.5 30.9 1.4 1.2 -13.9% 30.7 0.8 0.7 0.5 15.6 (0.3) (2.2) 1Q 2Q 3Q 4Q Jan. 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q Jan. 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q -Mar. -Mar. FY12/18 FY3/20 FY3/21 FY12/18 FY3/20 FY3/21 [JGAAP] [ IFRS ] [ IFRS ] [JGAAP] August 4, 2020 7
Profit attributable to owners of the parent / EPS (Billions of yen) Profit for the period attributable to owners of the parent Earnings per share, basic (yen) 24.2 19.2 16.0 57.9 14.1 46.4 10.9 10.4 38.0 9.1 34.1 26.0 25.4 3.6 21.9 2.2 8.8 5.2 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q FY3/19 FY3/20 FY3/21 August 4, 2020 8
Inventory (Billions of yen) 204.4 174.4 181.4 175.9 169.8 169.1 176.8 156.8 141.4 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q FY3/19 FY3/20 FY3/21 August 4, 2020 9
Net interest-bearing debt / Free cash flow *JGAAP until FY3/18 Net interest-bearing debt * Free cash flow 126.5 (Billions of yen) 75.2 70.9 56.0 52.5 46.5 42.9 53.2 37.2 36.3 46.2 49.0 21.7 (30.6) FY3/17 FY3/18 FY3/19 FY3/20 FY3/21 FY3/21 1Q Forecast *Net interest-bearing debts :”Bonds and borrowings” – (“Cash and cash equivalents” ＋ Time deposit more than 3 months) [JGAAP] [ IFRS ] August 4, 2020 10
Forecast for Fiscal Year Ending March 31, 2021 Keep our expectation unchanged in upper and lower end FY3/20 FY3/21 (Millions of yen) Upper End Lower End Full Year Full Year YoY Full Year YoY 978,445 1,000,000 +2.2% 900,000 -8.0% Net sales 58,647 60,000 +2.3% 50,000 -14.7% Operating income 58,089 59,000 +1.6% 49,000 -15.6% Profit before taxes Profit for the period 45,975 47,000 +2.2% 39,000 -15.2% attributable to owners of the parent Earnings per share, 111.11 115.08 +3.6% 95.49 -14.1% basic (yen) FY3/20 FY3/21 Foreign Exchange Rates Full Year Assumptions ¥109.12 ¥107.00 US$ ¥121.27 ¥115.00 Euro Thai Baht ¥3.52 ¥3.30 Chinese RMB ¥15.68 ¥15.00 August 4, 2020 11
Forecast for Business Segment FY3/20 FY3/21 (Millions of yen) Upper End Lower End Full Year Full Year YoY Full Year YoY 978,445 1,000,000 +2.2% 900,000 -8.0% Net sales 180,885 170,000 -6.0% 160,000 -11.5% Machined components 379,422 356,000 -6.2% 324,000 -14.6% Electronic devices and components 292,243 373,000 +27.6% 335,000 +14.6% Mitsumi business 125,145 100,000 -20.1% 80,000 -36.1% U-Shin business 750 1,000 +33.3% 1,000 +33.3% Other 58,647 60,000 +2.3% 50,000 -14.7% Operating income 39,874 37,000 -7.2% 33,000 -17.2% Machined components 17,552 16,000 -8.8% 14,000 -20.2% Electronic devices and components 18,656 24,000 +28.6% 22,000 +17.9% Mitsumi business 2,598 1,000 -61.5% △ 1,000 - U-Shin business △ 1,502 △ 2,500 +66.4% △ 2,500 +66.4% Other △ 18,531 △ 15,500 -16.4% △ 15,500 -16.4% Adjustment August 4, 2020 12
Today's highlights Overall: Q1 operating profit was up 61% YoY despite the coronavirus pandemic. H1 operating profit is expected to be on a par with last year. Diversified portfolio keeps revenues up and disperses risk. Full-year earnings guidance remains in high to low ranges due to the uncertainty for H2. Machined components: External ball bearing shipment volumes remain uncertain but should start to gradually recover in Q3. No change in sales of commercial aircraft-related products. Electronics & Mitsumi: Smartphone and game-related businesses keep revenues up. Analog semiconductors made a solid contribution to our bottom line as core business. U-Shin: Some factories are back in full operation. The business should start to pick up after bottoming out in Q2. August 4, 2020 13
No change in mid-to-long term growth scenario 1 Earning guidance for this fiscal year remains in ranges H1 operating profit is expected to be on a par with last year Back on growth track after COVID-19 2 Strengthen business mix over the medium to long run via growth of core businesses Ball bearings Ultra-high quality, structural growth, overwhelming competitive edge Motors Focus on high-end Camera actuators Innovation and structural growth Analog semiconductors Synergy with ABLIC 3 No change in medium-to-long-term cash allocation policy Dividends and share buyback: 50 % of FCF, 20 % payout ratio M&A: Seize opportunities when valuation is more attractive August 4, 2020 14
Any statements in this presentation which are not historical are future projections based on certain assumptions and executive judgments drawn from currently available information. Please note that actual performance may vary significantly from any particular projection due to various factors. Factors affecting our actual performance include but are not limited to: (i) changes in economic conditions or demand trends related to MinebeaMitsumi’s business operations; (ii) fluctuation of foreign exchange rates or interest rates; and (iii) our ability to continue R&D, manufacturing and marketing in a timely manner in the electronics business sector, where technological innovations are rapid and new products are launched continuously. All the information in this document is the property of MinebeaMitsumi Inc. All parties are prohibited, for whatever purpose, to copy, modify, reproduce, transmit, etc. this information regardless of ways and means without prior written permission of MinebeaMitsumi Inc. August 4, 2020 15
Reference August 4, 2020 16
Recommend
More recommend
