JTEKT Corporation · TSE:6473
JTEKT — Q1 FY2023 Earnings Presentation
29 slides from JTEKT's earnings presentation, Aug 1, 2023
Slide 1: Financial results for the First Quarter of fiscal year ending March 2024
1 Financial results for the First Quarter of fiscal year ending March 2024 August 1st, 2023 JTEKT CORPORATION
Slide 2: Overview of Financial results
Overview of Financial results 2 ✔ Revenue increased due to easing the impact of COVID-19, recovery from shortage of semiconductors, and favorable exchange rate. Results ✔ Despite continuing high prices for materials, logistics, energy, and other items, business profit increased with cost reduction a
Slide 3: Contents
Contents 3 １．Results for the First Quarter of fiscal year ending March 2024 P４ ２．Forecasts for Fiscal Year ending March 2024 P９ ３．Appendix P１5 JTEKT CORPORATION
Slide 4: 1-1) FY2023-1Q Results – Consolidated performance
1-1) FY2023-1Q Results – Consolidated performance 4 ■ Revenue increased due to recovery of the Covid-19 and shortage of semiconductor, and favorable exchange rate. ■ Despite continuing high prices for materials, logistics, energy, and other items, business profit increased with cost reduction activi
Slide 5: 1-2) FY2023-1Q Results – Business profit analysis
1-2) FY2023-1Q Results – Business profit analysis 5 Unit：Billion of yen JTEKT CORPORATION
Slide 6: 1-3) FY2023-1Q Results – by Region
1-3) FY2023-1Q Results – by Region 6 ■ Profit increased significantly in NA due to sales recovery, favorable currency rate, and cost reduction activities. Revenue Business profit Unit : Billion of yen FY2022 1Q FY2023 1Q Unit : Billion of yen (Ratio to Revenue) FY2022 1Q FY2023 1Q (4.2%) (8.4%) (7.1
Slide 7: 1-4) FY2023-1Q Results – by Business unit
1-4) FY2023-1Q Results – by Business unit 7 ■ Revenue and Profit increased in all business units due to sales recovery, favorable currency rate, and cost reduction activities. Revenue Business profit Unit : Billion of yen FY2022 1Q FY2023 1Q Unit : Billion of yen (Ratio to Revenue) FY2022 1Q FY2023
Slide 8: Contents
Contents 8 １．Results for the First Quarter of fiscal year ending March 2024 P４ ２．Forecasts for Fiscal Year ending March 2024 P９ ３．Appendix P１5 JTEKT CORPORATION
Slide 9: 2-1) FY2023 Forecast – Consolidated performance
2-1) FY2023 Forecast – Consolidated performance 9 ■ We maintain our forecasts disclosed in the beginning of this FY unchanged, because market prospects for FY still remains uncertain, such as market risk in China. ■ Despite various risks, we will ensure the achievement of our targets by continuing a
Slide 10: 2-2) FY2023 Forecast – Business profit analysis
2-2) FY2023 Forecast – Business profit analysis 10 Unit：Billion of yen JTEKT CORPORATION
Slide 11: 2-3) FY2023 Forecast – by Region
2-3) FY2023 Forecast – by Region 11 ■ Profit increased in Japan and NA due to sales increase and acceleration of cost reduction activities. Europe is still making loss while we have promoted restructuring activities. Revenue Business profit Unit : Billion of yen FY2022 FY2023 Unit : Billion of yen (
Slide 12: 2-4) FY2023 Forecast – by Business unit
2-4) FY2023 Forecast – by Business unit 12 ■ Revenue and Profit increased in all business units due to acceleration of cost reduction activities and appropriate sales price increase. Revenue Business profit Unit : Billion of yen FY2022 FY2023 Unit : Billion of yen (Ratio to Revenue) FY2022 FY2023 80
Slide 13: 2-5) Return to shareholders
2-5) Return to shareholders 13 ■ Under the policy to pay stable dividends in long-term, we will maintain the dividend payout ratio of 30% or more. Also, we will maintain DOE of 1% or more even under bad business condition. Dividend payout ratio (%) 685.2 55.4 Payout 29.8 30.0 27.4 29.6 30.3 29.7 31.
Slide 14: Contents
Contents 14 １．Results for the First Quarter of fiscal year ending March 2024 P４ ２．Forecasts for Fiscal Year ending March 2024 P９ ３．Appendix P１5 JTEKT CORPORATION
Slide 15: 3-1-1) Management indicators
3-1-1) Management indicators 15 Cash Flow statement Capital Efficiency Indicators Upper row Cash flows from operating activities FCF ROE ROA ROIC (%) Lower row Cash flows from investing activities Unit : Billion of yen 39.2 41.7 26.1 6.2 7.3 5.4 -29.4 5.3 5.0 91.7 3.6 3.8 78.2 62.3 67.0 41.6 3.5 1.5
Slide 16: 3-1-2) Management indicators
3-1-2) Management indicators 16 Capital expenditures Depreciation & amortization R&D expenses Upper row Jul-Mar Unit : Billion of yen Unit : Billion of yen Ratio to Revenue Unit : Billion of yen Lower row Apr-Jun 4.6% 4.2% 3.3% 3.1% 3.1% 75.0 73.0 69.4 67.0 66.9 64.6 63.0 64.7 62.3 55.0 50.7 52.1 51
Slide 17: 3-1-3) Management indicators
3-1-3) Management indicators 17 Inventories Interest-bearing debt / Cash reserves Inventory turnover month Unit : Billion of yen Left bar Interest-bearing debt NET DE ratio Right bar Cash reserves Unit : Billion of yen 1.6 1.8 1.7 1.7 1.7 0.39 262.6 0.30 247.5 0.22 328.1 0.20 0.20 229.0 286.2 283.7
Slide 18: 3-2-1) Financial statements
3-2-1) Financial statements 18 Assets Liabilities and equity Unit : Billion of yen Unit : Billion of yen FY2023 Liabilities FY2023 Assets FY2022 Change FY2022 Change 1Q and equity 1Q Cash and cash Trade and other 123.8 144.7 +20.9 346.5 364.7 +18.1 equivalents payables Trade and other Interest-beari
Slide 19: 3-2-2) Financial statements
3-2-2) Financial statements 19 Consolidated Statement of Profit or Loss Consolidated Statement of Cash Flows Unit : Billion of yen Unit : Billion of yen FY2022 FY2023 FY2022 FY2023 Change Change 1Q 1Q 1Q 1Q Cash flows from Revenue 371.6 445.6 +73.9 operationg activities 14.6 41.6 +27.0 Cash flows fr
Slide 20: 3-3-1) Performance comparison – FY2023-1Q Results (by Region)
3-3-1) Performance comparison – FY2023-1Q Results 20 (by Region) Unit : Billion of yen FY2022 FY2023 Foreign FY2023 Change excluding Regeion Change 1Q 1Q exchange 1Q foreign exchange Japan 138.1 172.8 +34.6 +25.1% - 172.8 +34.6 +25.1% North America 89.3 111.0 +21.6 +24.2% +7.0 104.0 +14.6 +16.4% Eur
Slide 21: 3-3-2) Performance comparison – FY2023-1Q Results (by Business unit)
3-3-2) Performance comparison – FY2023-1Q Results 21 (by Business unit) Unit : Billion of yen FY2022 FY2023 Foreign FY2023 Change excluding Business unit Change 1Q 1Q exchange 1Q foreign exchange Steering Systems 177.0 215.1 ＋38.1 +21.5% ＋6.7 208.3 ＋31.3 +17.7% Drivelines 81.9 98.0 ＋16.0 +19.6% ＋1.6
Slide 22: 3-4-1) Quarterly result trend – by Region
3-4-1) Quarterly result trend – by Region 22 Unit : Billion of yen 1Q (Apr-Jun) 2Q (Jul-Sep) 3Q (Oct-Dec) 4Q (Jan-Mar) FY2022 Revenue Business profit Revenue Business profit Revenue Business profit Revenue Business profit Japan 138.1 1.2 0.9% 164.0 9.8 6.0% 159.8 7.0 4.4% 176.3 10.3 5.9% North Ameri
Slide 23: 3-4-2) Quarterly result trend – by Business unit
3-4-2) Quarterly result trend – by Business unit 23 Unit : Billion of yen 1Q (Apr-Jun) 2Q (Jul-Sep) 3Q (Oct-Dec) 4Q (Jan-Mar) FY2022 Revenue Business profit Revenue Business profit Revenue Business profit Revenue Business profit Steering Systems 177.0 -3.4 -1.9% 205.9 4.8 2.4% 202.5 5.6 2.8% 220.7 1
Slide 24: 3-5-1) Business profit analysis – Steering Systems / Drivelines
3-5-1) Business profit analysis – Steering Systems 24 / Drivelines Unit : Billion of yen Steering Systems Unit : Billion of yen Drivelines JTEKT CORPORATION
Slide 25: 3-5-2) Business profit analysis – Industrial & Bearings / Machine tools
3-5-2) Business profit analysis – Industrial & Bearings 25 / Machine tools Unit : Billion of yen Industrial & Bearings Unit : Billion of yen Machine tools *Others excluded JTEKT CORPORATION
Slide 26: 3-6-1) Performance comparison – FY2023 Forecasts (by Region)
3-6-1) Performance comparison – FY2023 Forecasts 26 (by Region) Unit : Billion of yen Foreign Change excluding Region FY2022 FY2023 Change FY2023 exchange foreign exchange Japan 638.4 734.0 +95.5 +15.0% - 734.0 +95.5 +15.0% North America 400.1 424.0 +23.8 +6.0% -22.8 446.8 +46.6 +11.7% Europe 196.2
Slide 27: 3-6-2) Performance comparison – FY2023 Forecasts (by Business unit)
3-6-2) Performance comparison – FY2023 Forecasts 27 (by Business unit) Unit : Billion of yen Foreign Change excluding Business unit FY2022 FY2023 Change FY2023 exchange foreign exchange Steering Systems 806.2 828.5 ＋22.2 +2.8% -31.4 859.9 ＋53.6 +6.6% Drivelines 336.3 396.0 ＋59.6 +17.7% -3.1 399.1 ＋6
Slide 28: 3-7) Profit trends
3-7) Profit trends 28 Equity ratio (%) 42.0 42.3 43.6 45.0 46.3 46.8 42.0 42.4 40.1 42.7 Left bar Business profit Unit : Billion of yen Right bar Profit attributable to owners of parent company 81.9 77.4 81.3 75.0 74.1 71.7 62.6 48.6 47.5 49.6 42.5 42.3 37.5 34.2 35.0 27.2 20.6 15.9 0.8 -3.7 FY2014
Slide 29: Note on forward-looking statements
29 【Note on forward-looking statements】 This report contains forward-looking statements pertaining to future plans and strategies. These forward-looking statements include risks, uncertainties and other factors, and actual results and business results may differ from those stated. JTEKT CORPORATION