Presentation Material (PDF: 141KB)

Consolidated Results
for First Half of FY March 2015
Takakazu Momozuka
Corporate Officer
Copyright© 2014 TDK Corporation. All rights reserved.
First Half of Fiscal Year March, 2015
October 31, 2014
-1-
Key points concerning earnings for First Half of FY March 2015
◆ 502.3 billion yen, first half sales, was the highest ever.
Operating income was 27.9 billion yen, increased
by 64% year on year.
◆Passive components achieved record first-half earnings
(doubled year on year).
There were strong sales to the automobile market and
Chinese and North American smartphone customers.
◆First half operating income of film application products
was same as previous fiscal year despite a slow start
in 1Q. Rechargeable batteries saw strong sales to the US
smartphone customer from 2Q.
Copyright© 2014 TDK Corporation. All rights reserved.
First Half of Fiscal Year March, 2015
October 31, 2014
-2-
Consolidated Results for First Half of FY March 2015
(Yen billions)
FY March 2014
Results through 2Q
FY March 2015
Results through 2Q
(2013.4.1-2013.9.30)
(2014.4.1-2014.9.30)
Net Sales
Operating Income
Change
Yen billions
%
483.8
502.3
18.5
3.8
17.0
27.9
10.9
64.1
3.5%
Operating Income Margin
5.6%
+2.1pt
-
Income from Continuing Operations
before Income Taxes
18.1
27.4
9.3
51.4
Income from continuing Operations
10.8
19.6
8.8
81.5
Loss from discontinued operations
-3.8
-
Net income attributable to
noncontrolling interests
0.6
1.4
0.8
133.3
Net Income
6.4
18.1
11.7
182.8
50.90
144.17
98.88
130.04
103.02
138.96
Earning Per Share (JPY)
US$ (JPY)
EURO (JPY)
Ex-rate impact to Net sales &
Operating Income
-
-
-
-
Depreciated by 4.2%
Depreciated by 6.9%
Net sales:Increased by about 16.9 billion Yen
Operating income:Increased by about 3.2 billion Yen
Note: The figures related to the data tape business and the blu-ray business, which became discontinued operations in
the year ended March 31, 2014, are restated.
Copyright© 2014 TDK Corporation. All rights reserved.
First Half of Fiscal Year March, 2015
October 31, 2014
-3-
First Half Results - Passive Components Segment
Net Sales
(Yen billions)
255.8
Net Sales 255.8 billion yen (up 8.2% year on year)
Operating Income 17.6 billion yen (up 95.6% year on year)
236.4
◆ Ceramic Capacitors
・Sales increased year on year, particularly to the steady automobile market.
・Profit margins also improved due to increased productivity.
14/3
15/3
Operating Income
(OP margin)
(Yen billions)
17.6
6.9%
9.0
3.8%
14/3
◆ Inductive Devices
・Sales to a brisk ICT market (particularly for communications equipment)
and a steady automotive market increased year on year
・Earnings increased due to an improved product portfolio.
◆ High-frequency Components
・Sales of discrete products were strong, mainly due to buoyant demand
from the Chinese smartphone market.
・Profitability of the business improved year on year due to increased
productivity and improved product portfolio
◆ Piezoelectric Material Products
・Both revenues and profits increased year on year mainly due to strong
sales of components for automobiles and VCMs for camera modules
15/3
Copyright© 2014 TDK Corporation. All rights reserved.
First Half of Fiscal Year March, 2015
October 31, 2014
-4-
First Half Results - Magnetic Application Segment
Net Sales
(Yen billions)
179.1
177.5
Net Sales 177.5 billion yen (down 0.9% year on year)
Operating income 15.3 billion yen (up 23.4% year on year)
◆ Recording Devices (HDD Heads)
・Although the volume shipped declined, profits were almost the same as
that of previous year due to increased productivity and an improved
product portfolio.
14/3
15/3
Operating Income
(OP margin)
(Yen billions)
◆Magnets
・Expenses relating to the consolidation of production sites for
ferrite magnets, which took place in the same period of the previous
year, were no longer incurred. As a result of these factors, losses
narrowed compared with the same period of the previous year.
15.3
12.4
8.6%
6.9%
14/3
◆Power Supplies
・Sales to the industrial equipment market of products such as
semiconductor production equipment, FA equipment and measuring
equipment were steady, while the business got back into the black.
15/3
Copyright© 2014 TDK Corporation. All rights reserved.
First Half of Fiscal Year March, 2015
October 31, 2014
-5-
First Half Results - Film Application Segment
Net Sales
(Yen billions)
59.2
59.7
Net sales 59.7 billion yen (up 0.8% year on year)
Operating income 5.5 billion yen (up 1.9% year on year)
◆Energy Devices (Rechargeable Batteries)
14/3
15/3
Operating Income
(OP margin)
(Yen billions)
5.4
9.1%
14/3
5.5
・Despite slow sales in 1Q due to a major North American customer
making production adjustments ahead of a new model launch,
2Q sales to North American customer recovered sharply and
sales to Chinese customers also expanded.
9.2%
15/3
Copyright© 2014 TDK Corporation. All rights reserved.
First Half of Fiscal Year March, 2015
October 31, 2014
-6-
Breakdown of Operating Income Changes (First Half)
First Half of
FY March 2014
17.0 billion yen
Operating Income
+ 10.9 billion yen
First Half of
FY March 2015
27.9 billion yen
(Yen billions)
Changes in sales
+19.9
Sales price
Reduction
-21.4
Rationalization,
cost reduction
+13.4
Benefits from
Restructuring
+1.5
SG&A expenses
increase
-5.7
27.9
Exchange
fluctuation
(US$=Yen 103.02)
17.0
Copyright© 2014 TDK Corporation. All rights reserved.
+3.2
First Half of Fiscal Year March, 2015
October 31, 2014
-7-
Consolidated Results for 2Q of FY March 2015
(Yen billions)
FY March 2014
2Q Results
Net Sales
Operating Income
FY March 2015
2Q Results
Change
Yen billions
%
249.4
264.8
15.4
6.2
12.5
18.3
5.8
46.4
5.0%
Operating Income Margin
6.9%
+1.9pt
-
Income from Continuing Operations
before Income Taxes
12.9
17.0
4.1
31.8
Income from continuing Operations
9.3
13.3
4.0
43.0
Loss from discontinued operations
-3.3
-
Net income attributable to
noncontrolling interests
-0.1
0.9
1.0
-
6.0
12.4
6.4
106.7
47.95
98.43
99.02
131.11
103.86
137.77
Net Income
Earning Per Share (JPY)
US$ (JPY)
EURO (JPY)
Ex-rate impact to Net sales &
Operating Income
-
-
-
-
Depreciated by 4.9%
Depreciated by 5.1%
Net sales:Increased by about 11.1billion Yen
Operating income:Increased by about 2.2billion Yen
Note: The figures related to the data tape business and the blu-ray business, which became discontinued operations in
the year ended March 31, 2014, are restated.
Copyright© 2014 TDK Corporation. All rights reserved.
First Half of Fiscal Year March, 2015
October 31, 2014
-8-
Quarterly Results by Segment
(Yen billions)
YoY Change
(C)-(A)
QoQ Change
(C)-(B)
2Q of
FY March 2014
(A)
1Q of
FY March 2015
(B)
2Q of
FY March 2015
(C)
35.1
35.5
48.8
36.5
36.7
50.2
37.3
38.8
56.2
2.2
6.3
0.8
2.2
3.3
9.3
2.1
5.7
7.4
15.2
6.0
12.0
119.4
123.4
132.4
13.0
10.9
9.0
7.3
66.3
26.6
59.1
28.0
63.7
26.7
(2.6)
0.1
-3.9
0.4
4.6
(1.3)
7.8
-4.6
92.9
32.7
4.4
249.4
87.1
22.5
4.5
237.5
90.4
37.2
4.8
264.8
(2.5)
4.5
-2.7
13.8
3.3
14.7
3.8
65.3
0.4
9.1
0.3
6.7
15.4
6.2
27.3
11.5
6.2
7.8
3.3
-0.8
16.5
-4.0
7.8
7.1
0.3
-0.4
14.8
-5.2
9.8
8.2
5.2
0.1
23.3
-5.0
3.6
58.1
2.0
25.6
0.4
5.1
1.1
15.5
1.9
0.9
57.6
-
4.9
0.5
-
6.8
(1.0)
41.2
-
8.5
0.2
57.4
-
12.5
9.6
18.3
5.8
46.4
8.7
90.6
5.0%
4.0%
Capacitors
Inductive Devices
Other Passive Components
Net Sales
Passive Components
Recording Devices
Other Magnetic Application Products
Magnetic Application Products
Film Application Products
Other
Total
Passive Components
Operating Income
Magnetic Application Products
Film Application Products
Other
Sub total
Corporate and Eliminations
Total
Operating Income margin
Ex- US$/Yen
rate EURO/Yen
Copyright© 2014 TDK Corporation. All rights reserved.
99.02
131.11
102.17
140.17
Yen billions
6.9% +1.9pt
%
Yen billions
- +2.9pt
%
-
103.86
137.77
First Half of Fiscal Year March, 2015
October 31, 2014
-9-
Sales Results by Priority Markets
TDK Total
(Yen billions)
600
483.8
502.3
+3.8%
Automotive
(Yen billions)
500
400
300
200
100
80
60
40
20
0
81.0
+14.3%
First Half of
FY March 2014
100
0
Automotive
Industrial & Others
First Half of
FY March 2015
ICT*
Consumer Products
300
First Half of
FY March 2015
ICT
(Yen billions)
First Half of
FY March 2014
92.6
271.7
Flat
271.3
200
100
*Includes HDD Heads and HDD Suspensions
0
Automotive:
Strong sales of passive components
ICT:
Strong sales of passive components
Weak sales of HDD heads
Industrial & Others:
Increase in sales of power supplies to the
industrial equipment market
Copyright© 2014 TDK Corporation. All rights reserved.
First Half of
FY March 2014
First Half of
FY March 2015
(Yen billions)
150
100
Industrial & Others
96.2
+6.4%
102.4
50
0
First Half of Fiscal Year March, 2015
First Half of
FY March 2014
First Half of
FY March 2015
October 31, 2014
- 10 -
Recording Device Business
●HDD market in FY March 2015 *TDK’s estimation
About 535 million units (end of April)
About 552 million units (end of July)
About 560 million units (Current estimation, increase by 8 million units
from the previous estimation)
●Shipment index
Recording Device Sales (Left, including HDD Head (HGA) and HDD Suspention)
HDD Head Shipment Index (Right)
(Yen billions)
60.2
66.3
69.0
111
116
(shipment index)
61.2
60
40
100
98
59.1
95
62.9
Projections
106
104
20
0
$/¥
1Q
2Q
3Q
4Q
1Q
2Q
3Q
98.74
99.02
100.38
102.97
102.17
103.86
105.00
FY March 2014
Copyright© 2014 TDK Corporation. All rights reserved.
First Half of Fiscal Year March, 2015
120
110
100
90
80
70
60
50
FY March 2015
October 31, 2014
- 11 -
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 statements are based on the current forecasts, estimates, assumptions,
plans, beliefs, and evaluations of the TDK Group in light of the information currently available to it, and
contain known and unknown risks, uncertainties, and other factors. The TDK Group therefore wishes to
caution readers that, being subject to risks, uncertainties, and other factors, the TDK Group’s actual
results, performance, achievements, or financial position could be materially different from any future
results, performance, achievements, or financial position expressed or implied by these forward-looking
statements, and the TDK Group undertakes no obligation to publicly update or revise any forwardlooking statements after the issue of this material except as provided for in laws and ordinances.
The electronics markets in which the TDK Group operates are highly susceptible to rapid changes, risks,
uncertainties, and other factors that can have significant effects on the TDK Group including, but not
limited to, shifts in technology, fluctuations in demand, prices, interest and foreign exchange rates, and
changes in economic environments, conditions of competition, laws and regulations. Also, since the
purpose of these materials is only to give readers a general outline of business performance, many
numerical values are shown in units of a billion yen. Because original values, which are managed in
units of a million yen, are rounded off, the totals, differences, etc. shown in these materials may appear
inaccurate. If detailed figures are necessary, please refer to our financial statements and supplementary
materials.
Copyright© 2014 TDK Corporation. All rights reserved.
First Half of Fiscal Year March, 2015
October 31, 2014
- 12 -
Text data including Q&A of performance briefing will be uploaded on following site
http://www.global.tdk.com/ir/ir_events/conference/2015/2q_1.htm