Nippon Chemi-Con Corporation · TSE:6997

Nippon Chemi-Con — 1H FY2020 Earnings Presentation

12 slides from Nippon Chemi-Con's earnings presentation, November 2020

  1. Slide 1: Results for 1H FY 2020

    Translation Results for 1H FY 2020 (Six months ended September 30, 2020) Nippon Chemi‐Con Corporation November 2020 1

  2. Slide 2: 1H FY2020 results: return to profitability

    Translation Amid a large decrease in sales, structural reforms effect and reduction of selling, general and administrative expenses led to a return to profitability. FY2019 FY2020 YoY Change (Billion yen) 1H 1H Amount % Net sales 57.57 52.18 (5.38) (9.4) Gross profit 8.70 9.07 +0.37 +4.2 Ratio to ne

  3. Slide 3: Net sales by product

    Translation A large decrease in sales excluding conductive polymer products and capacitor materials due to COVID-19 FY2019 FY2020 YoY Change (Billion yen) 1H 1H Amount % Aluminum Electrolytic 48.60 44.77 (3.83) (7.9) Capacitors (Conductive Polymer 5.86 7.05 +1.19 +20.4 Capacitors) DLCAP™ 2.44 1.41 (

  4. Slide 4: Quarterly net sales by market, 1Q vs 2Q FY2020

    Translation Due to the spread of COVID-19 slowing down, demand in markets besides ICT headed towards recovery. Net Sales ↑ Automotive electronics:Rapid recovery of demand for automotive electronics due to economic stimulus (Billion yen) measures by countries 30.0 28.4 ↑ Industrial equipment : Gradua

  5. Slide 5: Quarterly operating income and QoQ drivers

    Translation Main positives: 1) Increased sales of new products 2) Reduction of manufacturing fixed costs 3) Implementation of cost-cutting, etc. Main negatives: 1) Lower capacity utilization from inventory reduction 2) Foreign exchange losses caused by yen’s rise, etc. Operating income Operating inc

  6. Slide 6: Performance improvement effect total in 1H ¥0.96b

    Translation Effect of structural reforms almost as planned. Higher profitability from new products (conductive polymer products and DLCAPs for vehicle backup power supply). 1Q 2Q 1H Main Measures FY2020 FY2020 FY2020 ① Reduce fixed costs Reduction of personnel costs and ¥0.25b ¥0.31b ¥0.56b deprecia

  7. Slide 7: FY2020 full-year forecast

    Translation Accomplish plans by improving income through expanding new products and increasing the facility operation rate. Steadily implement improvement of earning power by enhancing gross profit ratio and SG&A ratio. FY2019 FY2020 YoY Change Full Year (Billion yen) Full Year 1H 2H (Plan) (Forecas

  8. Slide 8: Half-yearly operating income forecast, 2H vs 1H

    Translation Operating income (Billion yen) Half-yearly Operating Income Operating income 4.4% margin 3.00 5.0% 2.69 HoH Main Positives and Negatives for 2.50 Operating income 4.0% 2H FY2020 Operating Income Forecast (vs 1H) Operating income ratio 2.00 (¥0.3b) from (¥0.3b) from ¥0.2b from ¥0.5b from

  9. Slide 9: FY2020 net sales forecast by product

    Translation Increase in demand for conductive polymer and surface mount type products for automotive electronics/ICT markets FY2019 FY2020 YoY Change Full Year (Billion yen) Full Year 1H 2H (Plan) (Forecast) 2H – 1H Amount % Aluminum Electrolytic 97.21 44.77 52.12 96.90 +7.37 (0.30) (0.3) Capacitors

  10. Slide 10: Net sales forecast by market, 1H and 2H FY2020

    Translation Even with the COVID-19 pandemic、strategic markets such as automotive electronics/industrial equipment are expected to recover. Net sales ↑ Automotive electronics:Further recovery of demand in (Billion yen) Greater China and accelerated development of xEV 70.0 ↑ Industrial equipment : Exp

  11. Slide 11: Management policies and outlook

    Translation 1.Improvement of earning power Lowering of the break-even point by reducing fixed costs/improvement of capital efficiency through selection and concentration of capital investment 2.Improvement of financial strength Improvement of cash flows from operating activities/reduction of invento

  12. Slide 12: Note on projected performance figures

    Translation 〔Note〕 The projected performance figures in this material are based on information available to Nippon Chemi-Con’s management at the time this material was prepared. There are many uncertain factors inherent in forecasting, and there might be cases in which actual results differ from for

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