JTEKT Corporation · TSE:6473
JTEKT — Q3 FY2024 Earnings Presentation
29 slides from JTEKT's earnings presentation, Feb 4, 2025
Slide 1: Financial results for the 3rd Quarter of fiscal year ending March 2025
1/29 Financial results for the 3rd Quarter of fiscal year ending March 2025 February 4, 2025 JTEKT CORPORATION
Slide 2: Overview of Financial results
Overview of Financial results 2/29 ■ Revenue decreased YoY due to weak sales, especially in Japan, China and Europe. ■ Despite favorable foreign exchange rate and cost reduction activities, Result business profit decreased YoY due to weak sales and continued extra costs caused by low productivity in
Slide 3: Contents
Contents 3/29 １．Results for the 3rd Quarter of fiscal year ending March 2025 P４ ２．Forecasts for Fiscal Year ending March 2025 P９ ３．Appendix P１5 JTEKT CORPORATION
Slide 4: 1-1) FY2024 3Q Results – Consolidated performance
1-1) FY2024 3Q Results – Consolidated performance 4/29 ■ Revenue decreased due to weak sales, especially in Japan, China and Europe. ■ Business profit decreased due to weak sales and continued extra costs caused by low productivity in North America. ■ Net profit decreased due to business profit decr
Slide 5: 1-2) FY2024 3Q Results – Business profit analysis
1-2) FY2024 3Q Results – Business profit analysis 5/29 ■ Despite favorable foreign exchange rate and cost reduction activities, business profit decreased due to weak sales, continued extra costs caused by low productivity in North America and cost inflation which has not been fully recovered from cu
Slide 6: 1-3) FY2024 3Q Results – by Region
1-3) FY2024 3Q Results – by Region 6/29 ■ Business profit decreased in Japan due to weak sales. ■ Business profit decreased in North America due to extra costs caused by low productivity. Revenue Business profit Unit：Billion of yen Unit：Billion of yen ratio to revenue(%) 564.6 8.3 9.2 8.5 8.1 542.4
Slide 7: 1-4) FY2024 3Q Results – by Business unit
1-4) FY2024 3Q Results – by Business unit 7/29 ■ Although tough market conditions continue, revenue and business profit increased in Machine tools due to sales price up to recover cost inflation. Revenue Business profit Unit：Billion of yen Unit：Billion of yen ratio to revenue(%) 9.4 9.9 674.9 658.5
Slide 8: Contents
Contents 8/29 １．Results for the 3rd Quarter of fiscal year ending March 2025 P４ ２．Forecasts for Fiscal Year ending March 2025 P９ ３．Appendix P１5 JTEKT CORPORATION
Slide 9: 2-1) FY2024 Forecast – Consolidated performance
2-1) FY2024 Forecast – Consolidated performance 9/29 ■ Considering the 3rd quarter results, recent customer demands and market conditions, we revised our forecasts upward in revenue and business profit for this fiscal year. ■ We revised our forecasts downward in net profit, with cost for restructuri
Slide 10: 2-2) FY2024 Forecast – Business profit analysis
2-2) FY2024 Forecast – Business profit analysis 10/29 ■ Business profit decreased YoY due to weak sales and continued extra costs caused by low productivity in North America. ■ However, we revised our forecasts upward in business profit from the previous forecast due to sales price up to recover pas
Slide 11: 2-3) FY2024 Forecast – by Region
2-3) FY2024 Forecast – by Region 11/29 ■ Business profit decreased significantly in North America due to continued extra costs caused by low productivity. Revenue Business profit Unit：Billion of yen Unit：Billion of yen ratio to revenue(%) 9.6 7.6 8.3 7.2 735.7 731.0 4.3 4.4 2.1 -0.7 31.4 32.0 -3.7 -
Slide 12: 2-4) FY2024 Forecast – by Business unit
2-4) FY2024 Forecast – by Business unit 12/29 ■ Except for Machine tools, business profit decreased in all business units due to weak sales on automotive and industrial customer. Revenue Business profit ratio to revenue(%) Unit：Billion of yen Unit：Billion of yen 9.6 9.7 912.0 3.3 3.5 3.5 872.0 2.2 2
Slide 13: 2-5) Return to shareholders
2-5) Return to shareholders 13/29 ■ The dividend policy in the Mid-term plan is “Dividend: DOE of 2-3%”. ➡ During the current Medium Business plan period, We promote growth of existing businesses and development of new businesses and we aim to further expansion of shareholder return. ■ The dividend
Slide 14: Contents
Contents 14/29 １．Results for the 3rd Quarter of fiscal year ending March 2025 P４ ２．Forecasts for Fiscal Year ending March 2025 P９ ３．Appendix P１5 JTEKT CORPORATION
Slide 15: 3-1) Management indicators
3-1) Management indicators 15/29 Cash Flow statement Capital Efficiency Indicators Upper row Cash flows from operating activities ROE ROA ROIC Unit : Billion of yen Lower row Cash flows from investing activities (%) 5.9 FCF 154.4 5.4 5.5 5.3 91.7 4.2 78.2 3.8 67.0 58.7 83.1 3.5 39.2 41.7 9.7 26.1 2.
Slide 16: 3-2) Management indicators
3-2) Management indicators 16/29 Capital expenditures Depreciation & amortization R&D expenses Upper row Jan-Mar Unit : Billion of yen Unit : Billion of yen Unit : Billion of yen ratio to revenue Lower row Apr-Dec (%) 4.2 3.3 3.1 3.1 3.2 75.0 72.3 85.0 69.4 66.9 63.0 19.0 21.6 58.9 60.0 16.9 65.1 27
Slide 17: 3-3) Management indicators
3-3) Management indicators 17/29 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 1.8 1.7 1.7 1.6 1.8 0.30 283.6 0.22 0.20 267.0 0.09 0.10 247.5 229.0 286.2 261.7
Slide 18: 3-4-1) Financial statements
3-4-1) Financial statements 18/29 Assets Liabilities and equity Unit : Billion of yen Unit : Billion of yen FY2024 Liabilities FY2024 Assets FY2023 Change FY2023 Change 3Q and equity 3Q Cash and cash Trade and other 167.0 153.5 -13.4 388.9 373.3 -15.5 equivalents payables Trade and other Interest-be
Slide 19: 3-4-2) Financial statements
3-4-2) Financial statements 19/29 Consolidated Profit and Loss statement Consolidated Cash Flow statement Unit : Billion of yen Unit : Billion of yen FY2023 FY2024 FY2023 FY2024 Change Change 3Q 3Q 3Q 3Q Cash flows from Revenue 1,411.8 1,385.0 -26.7 operationg activities 129.8 58.7 -71.0 Cash flows
Slide 20: 3-5-1) Performance comparison – FY2024 3Q Results (by Region)
3-5-1) Performance comparison – FY2024 3Q Results (by Region) 20/29 Unit:Billion of yen FY2023 FY2024 Foreign FY2024 Change excluding Region change 3Q 3Q exchange 3Q foreign exchange Japan 564.6 542.4 -22.1 -3.9% - 542.4 -22.1 -3.9% North America 339.4 349.3 +9.9 +2.9% ＋18.3 330.9 -8.4 -2.5% Europe
Slide 21: 3-5-1) Performance comparison – FY2024 3Q Results (by Business unit)
3-5-1) Performance comparison – FY2024 3Q Results (by Region) Unit:Billion of yen 21/29 FY2023 FY2024 Foreign FY2024 Change excluding Business unit change 3Q 3Q exchange 3Q foreign exchange Steering 674.9 658.5 -16.4 -2.4% ＋18.2 640.2 -34.7 -5.1% Drivelines 327.6 320.3 -7.2 -2.2% ＋6.5 313.7 -13.8 -4
Slide 22: 3-6-1) Quarterly result trend – by Region
3-6-1) Quarterly result trend – by Region 22/29 Unit : Billion of yen 1Q 2Q 3Q 4Q FY2023 Revenue Business profit Revenue Business profit Revenue Business profit Revenue Business profit Japan 172.8 2.8 1.7% 195.7 14.2 7.3% 196.1 10.0 5.1% 171.0 4.3 2.5% North America 111.0 4.7 4.2% 113.8 -0.5 -0.5% 1
Slide 23: 3-6-2) Quarterly result trend – by Business unit
3-6-2) Quarterly result trend – by Business unit 23/29 Unit : Billion of yen 1Q 2Q 3Q 4Q FY2023 Revenue Business profit Revenue Business profit Revenue Business profit Revenue Business profit Steering Systems 215.1 5.4 0.3% 223.1 7.0 0.3% 236.7 9.8 0.4% 237.0 7.6 0.3% Drivelines 98.0 2.3 0.2% 113.5
Slide 24: 3-7-1) Business profit analysis – Steering Systems / Drivelines
3-7-1) Business profit analysis – Steering Systems / Drivelines 24/29 Unit : Billion of yen Steering Systems Unit : Billion of yen Drivelines JTEKT CORPORATION
Slide 25: 3-7-2) Business profit analysis – Industrial & Bearings / Machine tools
3-7-2) Business profit analysis – Industrial & Bearings / Machine tools 25/29 Unit : Billion of yen Industrial & Bearings Unit : Billion of yen Machine tools *Others excluded JTEKT CORPORATION
Slide 26: 3-8-1) Performance comparison – FY2024 Forecasts (by Region)
3-8-1) Performance comparison – FY2024 Forecasts (by Region) 26/29 Unit:Billion of yen Foreign Change excluding Region FY2023 FY2024 Change FY2024 exchange foreign exchange Japan 735.7 731.0 -4.7 -0.6% - 731.0 -4.7 -0.6% North America 466.5 476.0 ＋9.4 +2.0% ＋13.3 462.7 -3.8 -0.8% Europe 239.5 210.0
Slide 27: 3-8-2) Performance comparison – FY2024 Forecasts (by Business unit)
3-8-2) Performance comparison – FY2024 Forecasts (by Business unit) Unit:Billion of yen 27/29 Foreign Change excluding Business unit FY2023 FY2024 Change FY2024 exchange foreign exchange Steering 912.0 872.0 -40.0 -4.4% ＋7.5 864.5 -47.5 -5.2% Drivelines 432.3 432.5 ＋0.1 +0.0% ＋5.8 426.7 -5.6 -1.3% A
Slide 28: 3-9) Profit trends
3-9) Profit trends 28/29 Equity ratio (%) 46.3 48.4 49.2 42.3 43.6 42.0 42.4 42.7 45.0 40.1 Left bar Business profit Right bar *Net profit Unit : Billion of yen 81.9 81.3 77.4 71.7 72.8 62.6 55.0 48.6 47.5 49.6 42.3 40.2 37.5 34.2 27.2 20.6 15.9 5.0 0.8 -3.7 2015年度 2016年度 2017年度 2018年度 2019年度 2020年度
Slide 29: Thank You
29/29 Thank You J-Nyan TEK-NYAN 【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 tho