JTEKT Corporation · TSE:6473
JTEKT — Q3 FY2019 Earnings Presentation
24 slides from JTEKT's earnings presentation, Feb 3, 2020
Slide 1: IR Presentation for the Third Quarter of Fiscal Year Ending March 2020
1 IR Presentation for the Third Quarter of Fiscal Year Ending March 2020 February 3, 2020 JTEKT Corporation JTEKT CORPORATION
Slide 2: Agenda
2 １. Results for the Third Quarter of Fiscal Year Ending March 2020 ２. Full-year Forecasts for Fiscal Year Ending March 2020 ３. Appendix JTEKT CORPORATION
Slide 3: 1-1) Consolidated Performance
3 1-1） Consolidated Performance ・ The external environment was still severe and sales declined significantly, and profits decreased significantly. ・ Recorded North American business restructuring charges in Q2. Unit : Billions of yen FY2018 FY2019 Increase/ Increase/ (%) : Ratio to sales 3Q total 3Q
Slide 4: 1-2) Operating Profit Analysis
4 1-2） Operating Profit Analysis ・ Despite the effects of cost improvement, it did not possible to cover the decline in selling price level. ・ Significant decrease in profit due to reduced sales and fixed costs such as R&D. Operating profit 19.7 billion yen decrease Factors of profit decrease Factor
Slide 5: 1-3) Results by Business Units
5 1-3） Results by Business Units Mechanical Components ・Despite cost improvement of bearings, demand was drastically reduced mainly in Japan and North America. ・Significant decline in profits due to lower selling prices, increased costs, and worsening profits in China. Machine tools ・Despite cost im
Slide 6: 1-4) Results by Company Location ①
6 1-4） Results by Company Location ① Japan (Billions of yen) Decrease in sales and profit FY2018 FY2019 Increase/ ○Sales decreased in each business 3Q total 3Q total Decrease except STG. ○Bearing costs improved, but profits Net sales 455.9 443.6 △ 12.2 declined due to lower sales. OP income 14.9 7.0
Slide 7: 1-5) Results by Company Location ②
7 1-5） Results by Company Location ② North America (Billions of yen) Decrease in sales and profit FY2018 FY2019 Increase/ ○Sales increased 3Q total 3Q total Decrease for STG and Driveline, but decreased due to declining Net sales 231.8 220.3 △ 11.5 Bearing demand. OP income 3.9 2.9 △ 0.9 ○Cost impro
Slide 8: 1-6) Results by Company Location ③
8 1-6） Results by Company Location ③ China Decrease in sales and profit (Billions of yen) ○Excluding foreign exchange FY2018 FY2019 Increase/ differences, sales of STG increased, 3Q total 3Q total Decrease but other business decreased due to Net sales 116.3 109.6 △ 6.6 falling demand. ○STG sales inc
Slide 9: Agenda: Full-year Forecasts
9 １. Results for the Third Quarter of Fiscal Year Ending March 2020 ２. Full-year Forecasts for Fiscal Year Ending March 2020 ３. Appendix JTEKT CORPORATION
Slide 10: 2-1) Forecasts for Business Environment
10 2-1） Forecasts for Business Environment World economy Although a gradual economic recovery is expected in the United States, China and Europe will continue to show signs of a slowdown, mainly in manufacturing, due to the trade friction between the United States and China. The outlook remains
Slide 11: 2-2) Forecasts for Fiscal Year Ending March 2020
11 2-2）Forecasts for Fiscal Year Ending March 2020 Although the demand environment remains uncertain, the effects of the delayed improvement in profits have certainly been realized. We will further speed up improvements, curb fixed costs, and work toward achieving our targets. FY2018 FY2019 (Forecas
Slide 12: 2-3) Operating Profit Analysis (Previous result vs forecast)
2-3） Operating Profit Analysis 12 (Previous result vs forecast) Significant decline in profit due to that R & D cost increase, material price fluctuation and failure to improve some products, in addition to sales decline and strong yen. Operating profit 21.6 billion yen decrease Factors of profit de
Slide 13: Appendix
13 １. Results for the Third Quarter of Fiscal Year Ending March 2020 ２. Full-year Forecasts for Fiscal Year Ending March 2020 ３. Appendix JTEKT CORPORATION
Slide 14: (Reference) Quarterly Result Trend
14 （Reference） Quarterly Result Trend Net Sales OP income OP income(%) 5.9% 5.6% （Billions of yen ） 5.1% 4.2% 4.5% 3.6% 2.8% 3.0% 2.3% 382.7 395.2 376.3 366.5 360.2 362.2 359.7 349.1 329.5 19.3 20.3 19.3 17.7 16.2 13.2 10.2 10.9 8.0 FY2016※ FY2017※ FY2018 FY2019 1Q 2Q 3Q 4Q 1Q 2Q 3Q USD ¥108 ¥111 ¥1
Slide 15: (Reference) Sales Forecast by Business
15 (Reference) Sales Forecast by Business (Billions of yen) FY2019 (Forecast) Fy2018 Increase/ Increase/ Full year (Actual Full year Decrease Decrease (%) 1H (Actual) 2H (Forecast) (Forecast) ステ アsystems Steering リ ング 770.7 369.6 370.3 740.0 △ 30.7 △ 4.0% Mechanical components ベア リング Drivelines 157.
Slide 16: (Reference) Sales Forecast by Region
16 （Reference）Sales Forecast by Region (Billions of yen) FY2018 FY2019 (Forecast) Increase/ Increase/ Full year Decrease Decrease(%) (Actual) Full year 1H(Actual) 2H(Forecast) (Forecast) ス テ Japan アリング 619.6 300.1 295.8 596.0 △ 23.6 △ 3.8% ベ アEurope リ ン グ 231.2 103.2 101.5 204.8 △ 26.4 △ 11.4% 駆 動 N
Slide 17: (Reference) Financial Results by Business (Mechanical Components)
(Reference) Financial Results by Business 17 (Mechanical Components) (Billions of yen) FY2018 FY2019 Increase/ Increase/ Mechanical components 3Q total 3Q total Decrease Decrease (%) ステ アsystems Steering リ ング 売Net上 sales高 567.4 552.5 △ 14.8 △ 2.6% ベア リング 売 上 高 Drivelines 115.6 112.9 △ 2.7 △ 2.3% 駆 B
Slide 18: (Reference) Financial Results by Business (Machine Tools & Others)
(Reference) Financial Results by Business 18 (Machine Tools & Others) (Billions of yen) FY2018 FY2019 Increase/ Increase/ Machine tools and others 3Q total 3Q total Decrease Decrease (%) ステ アリtools Machine ング 売Net上 sales高 126.6 117.8 △ 8.8 △ 7.0% 駆 Others 動 売Net上 sales高 1.3 0.9 △ 0.3 △ 25.8% 売Net上 s
Slide 19: (Reference) Financial Results by Region (Japan)
19 (Reference) Financial Results by Region (Japan) (Billions of yen) FY2018 FY2019 2011年度 Increase/ Increase/ Japan 3Q total 3Q total 第2四半期 増 減 Decrease 額 増 減 Decrease (%) 額 売 Net上 sales 高 455.9 443.6 △ 12.2 △ 2.7% 営OP業income 利 益 14.9 7.0 △ 7.8 △ 52.7% OP income (%) 3.3% 1.6% Quarterly Trend (Billio
Slide 20: (Reference) Financial Results by Region (Europe)
20 (Reference) Financial Results by Region (Europe) (Billions of yen) FY2018 FY2019 2011年度 Increase/ Increase/ Europe 3Q total 3Q total 第2四半期 増 減 Decrease 額 増 減 Decrease (%) 額 売 Net上 sales 高 169.0 151.2 △ 17.8 △ 10.6% - - - 営OP業income 利 益 △ 3.1 △ 2.9 + 0.1 - OP income (%) △ 1.8% △ 2.0% Quarterly Tre
Slide 21: (Reference) Financial Results by Region (North America)
(Reference) Financial Results by Region 21 (North America) (Billions of yen) North FY2018 FY2019 2011年度 Increase/ Increase/ 3Q total 3Q total 増 減 額 増 減 額 America 第2四半期 Decrease Decrease (%) 売 Net上 sales 高 231.8 220.3 △ 11.5 △ 5.0% - - - 営OP業income 利 益 3.9 2.9 △ 0.9 △ 25.0% OP income (%) 1.7% 1.4% Qu
Slide 22: (Reference) Financial Results by Region (Asia/Oceania)
(Reference) Financial Results by Region 22 [Asia/Oceania (Including India)] (Billions of yen) Asia/Oceania FY2018 FY2019 2011年度 Increase/ Increase/ 3Q total 3Q total 増 減 額 増 減 額 (including India) 第2四半期 Decrease Decrease (%) 売 Net上 sales 高 132.1 127.5 △ 4.5 △ 3.5% - - 営OP業income 利 益 12.7 10.2 △ 2.4 △
Slide 23: (Reference) Financial Results by Region (China)
23 (Reference) Financial Results by Region (China) (Billions of yen) FY2018 FY2019 2011年度 Increase/ Increase/ China 3Q total 3Q total 第2四半期 増 減 Decrease 額 増 減 額 Decrease (%) 売Net上 sales高 116.3 109.6 △ 6.6 △ 5.7% 営OP業income 利 益 19.0 10.6 △ 8.4 △ 44.1% OP income (%) 16.4% 9.7% (Billions of yen) Quarte
Slide 24: (Reference) Financial Results by Region (South America and Others)
(Reference) Financial Results by Region 24 [South America and Others] (Billions of yen) South America FY2018 FY2019 2011年度 Increase/ Increase/ 3Q total 3Q total 増 減 額 増 減 額 & Others 第2四半期 Decrease Decrease (%) 売 Net上 sales 高 20.3 18.5 △ 1.7 △ 8.6% - - - 営OP業income 利 益 1.2 0.6 △ 0.5 △ 44.5% OP income