Fiscal First Quarter 2012 Results - Nidec/media/nidec-com/en-global/ir/news/2012/n… ·...

1

Fiscal First Quarter 2012 ResultsThree Months Ended June 30, 2012

< U.S. GAAP >

July 24, 2012

OSE, TSE: 6594 NYSE: NJhttp://www.nidec.co.jp/english/

2

-1.9%-1.8%

+12.8%

+10.5%

+2.2%

+13.4%

+1.4%

Change

57,00013,48612,210Net Income

78.00(Assumed exchange

rate applicable from 2Q)

80.2079.31

81.7480.73

FX Rate (Yen/US$)Average：

Term end：

423.6399.5088.20EPS (Yen)

87,00018,65318,260Income Before Tax

95,000(12.2%)

22,502(12.6%)

19,847(11.2%)

Operating Income(Operating Income Ratio)

780,000179,021176,634Net Sales

FY2012 Forecast1Q FY20121Q FY2011Millions of Yen, except

for EPS and FX Rates

Consolidated Profit/Loss

Average exchange rate of the Japanese yen for 1Q FY2012 appreciated about 2% (or 1.54 yen) against the U.S. dollar and about 12% (or 14.49 yen) against the euro, compared to the year ago levels, resulting in a negative effect on net sales and operating income of 4.3 billion yen and 1.1 billion yen, respectively.

2

3

179.0

22.5

0

50

100

150

200

1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q0

5

10

15

20

25

30Sales (LHS) Operating Income (RHS)

Sales

Operating Incom

e

FY2009 FY2010 FY20113

FY2012

(All figures in billions of Yen)

Consolidated Quarterly Sales and Operating Income Steady uptrend since bottoming out in 3Q FY2011

Thai Floods

4

FY2011 FY2012

177

145157 160

175 175

136120 124 125

140 140

0

50

100

150

200

Sep Q Mar Q Jun Q Sep Q (F) Dec Q (F) Mar Q (F)

HDD shipments Nidec motor shipmentsPrevious

High(July-Sep 2011)

Millions of units

Shipments Outlook (HDD & Nidec Motors) Upturn expected in 2H FY2012 as inventory adjustments phase out

(Source: Nidec estimates)

3

5

7mm-height Motors to Make up 40% of 2.5-inch FF Ultra-thin technology will make a big competitive difference

0

20

40

60

80

100

120

140

160

Apr-Jun Jul-Sep Oct-Dec Jan-Mar Apr-Jun Jul-Sep Oct-Dec Jan-Mar

Nidec total HDD motor shipmentsNidec 2.5-inch motorsNidec 2.5-inch, 7mm-height motors

7mm-heightmodels

FY2011 FY2012( F ) (F) ( F )

(Millions of units)

Nidec 7mm-height motor production topping 10M units/month → 40% of all Nidec 2.5-inch models

6

Acquisition of 51% Stake in Jiangsu Kaiyu Auto Appliance, China

Company Name: Jiangsu Kaiyu Auto Appliance Co., Ltd. (Head Office located in Changzhou City, Jiangsu Province, ChinaCapital: 8 million yuanYear of Establishment: 2001Primary Business Locations: China (Changzhou, Wuhan and Chongqing)Principal Businesses: Development, manufacture and sale of brush motors for EPS systems and automotive fansFY2011 Sales*: 94 million yuan (unaudited pro-forma consolidated sales for the year ended December 31, 2011)Schedule: First Payment Date (20% of total consideration): Early September 2012

Second Payment Date (80% of total consideration): Within 3 months of obtaining business license*Business license is expected to be obtained approximately 5 weeks after the first payment date.

Global/Chinese Automobile Shipments –Nidec estimates

Global marketChina market

(Millions of units)

Chinato represent

One-Quarterof global car

market in 2015

Jiangsu Kaiyu Sales Mix

2011 Sales94M Yuan*

40%

60%

*EPS Motors(Brush-commutated)Automotive

Fan Motors, etc.

Gaining strong supplier position with Chinese tier-1 manufacturers

7587

96

19 2315

2011 2013 2015 *EPS: Electric Power Steering

4

7

Total Chinese

passenger car market

14.5

23

6.212

2011(Nidec estimates)

Chinese Domestic-

brand passenger

cars

►Domestic-brand passenger car shipments will double in 4 years, half of which will be accounted for by EPS-equipped cars.

Chinese automobile demand outlook for 2015

Penetrating Chinese Regional Markets via Kaiyu -1

60.4

50%

2015

EPS cars increasing 15-fold (0.4M→6M units) in 4 years Total Chinese

passenger car market

Chinese Domestic-

brand passenger

cars

(Millions of units)

Less than 10%of Chinese

domestic-brand passenger cars

equipped with EPS

8

23

Chinese domestic-brand passenger cars

12

6

Total Addressable

Market

92B Yen

Window lift

Engine-cooling fan

EPS

Powerseat

ABS

Others

EPS-equipped Chinese

domestic-brand

passenger cars

2015 Target Markets

Reaching out beyond EPS to a wide range of automotive applications

Penetrating Chinese Regional Markets via Kaiyu -2

Total Chinese passenger car

market

2015

(Millions of units)

(Nidec estimates)

5

9

M&A for Customer Reach ExpansionNidec EPS motor unit growth driven by M&A

FY2015 Target 20M units

Up 10-foldfrom FY2006

Global customer basebuilt up through two M&A deals

(FY2006 & FY2012)0

5

10

15

20

FY'00 '01 '02 '03 '04 '05 '06 '07 '08 '09 '10 '11 '12 '13 '14 '15

(Millions of units)

7.8(F)

1.9

Up 4-fold

FY2012Capital alliance with Jiangsu Kaiyu Auto Appliance, China

Number of EPS customers 1 1 1 1 2 3 3 3 3 3 3 4 7 9 15 15

FY2000Mass-

production launch

FY2006Acquisition of

Motors & Actuators business of Valeo, France (Currently, Nidec Motors &

Actuators)

10

Manufacturing Expansion for Cellphone Vibration Motors

Nidec Seimitsu Vietnam established to underpin global market share leadership

Company name: Nidec Seimitsu Vietnam CorporationInvestment: 9 million US$ (100% owned by Nidec Seimitsu)Completion: December 2012Production volume: 45 million units/monthProducts: Cellphone vibration motors

■Eying No.1 marketshare position in thesmartphone market

■Increased focus on emerging marketcustomers (Chinese major manufacturers, etc.)

■Eying No.1 marketshare position in thesmartphone market

■Increased focus on emerging marketcustomers (Chinese major manufacturers, etc.)

6

11

14%24,65037%9,7003,542Total

24%2,50051%1,200610Nidec-Read

18%4,70043%2,000865Nidec Copal Electronics

10%3,15039%800313Nidec Tosok

11%6,30027%2,500675Nidec Copal

13%8,00034%3,2001,079Nidec Sankyo

Progress (%)ForecastProgress (%)ForecastResults

Full-year FY2012 Operating Income

Apr-Sep FY2012 Operating Income

Apr-June FY2012 Operating IncomeMillions of

Yen

Listed Subsidiaries’ Profit Performance

*All figures are based on the generally accepted accounting standards in Japan.

Listed SubsidiariesPerformance Highlights

7

13

-5.6%8.6%Operating Income Ratio

24.7%2.8711.62EPS (Yen)

24.7%5442,200Net Income

31.1%9633,100Recurring Income

33.7%1,0793,200Operating Income

51.9%19,22037,000Sales

Progress(B) / (A)

1Q Results(B)

1H Forecast(A)

Millions of Yen, except for EPS

23,017

18,946 17,555 19,22022,406

689

2,452

1,0792,0231,069

0

10,000

20,000

30,000

40,000

1Q FY2011

2Q 3Q 4Q 1Q FY2012

0

1,000

2,000

3,000 Sales (LHS) Operating income (RHS)

■ Sales up 9.5 points and operating income up 1.0 point Q/Q, maintaining recovery momentum.→Despite sluggishness in LCD robots business, 1Q sales increased mainly due to healthy

revenue streams from new application fields and emerging markets.■ Mid-term strategy underscores M&A-driven exploration of new products, new markets and

new customers. ■ Share Exchange Agreement approved by shareholders to become a wholly-owned subsidiary

of Nidec Corporation as of October 1, 2012.

1Q FY2012 Highlights(Millions of Yen)

13

14


45.9%9.0019.61EPS (Yen)

45.9%5961,300Net Income


43.3%8652,000Operating Income

48.8%6,82914,000Sales

Progress(B) / (A)

1Q Results(B)

1H Forecast(A)


7,782

6,8296,8517,1797,305

867

807

1,421

8651,098

0

5,000

10,000

1Q FY2011

2Q 3Q 4Q 1Q FY2012

0

500

1,000

1,500Sales (LHS) Operating income (RHS)

■ Sales and operating income turned upwards after bottoming out in 4Q FY2011. Order intake for E&MC sensors back in uptrend.Aggressive growth strategy making steady progress ● Business partnership enhancement and pinpoint market penetration→ New line of optical unit accepted by a major medical equipment manufacturer.

Order entry getting started.● Expansion into growth markets and new areas of application → Bringing 5 products to the electric infrastructure market by the end of FY2012.

1Q FY2012 Highlights(Millions of Yen)

14

8

15

■ Thai flood effect mostly receded, but remains a drag on operating income with the main factory a step short of full recovery. A swift upturn expected after bottoming out in 1Q.Order intake and customer inquiry strong enough to catch up on last year’s shortfall. Current applications: replacement optical lenses, camera shutters, coreless motors,

vibration motors, image stabilizer units, etc. New applications: electric assist bicycle drive motors (gearing up for mass-production) Strong initiative for returning to double-digit profitability

15,228 14,66613,381

10,759

16,747

704 675

1,608 1,606

1,106

0

10,000

20,000

1Q FY2011

2Q 3Q 4Q 1Q FY2012

0

1,000

2,000

3,000Sales (LHS) Operating income (RHS)

EPS (Yen)

Net Income

Recurring Income

Operating Income Ratio

Operating Income

Sales


-4.6%8.9%

44.7%10.0522.46

44.7%6261,400

18.3%4402,400

27.0%6752,500

52.4%14,66628,000

Progress(B) / (A)

1Q Results(B)

1H Forecast(A)

(Millions of Yen)

1Q FY2012 Highlights

15

16


55.6%31.7557.14EPS (Yen)

55.5%444800Net Income


50.8%6101,200Operating Income

45.5%2,8686,300Sales

Progress(B) / (A)

1Q Results(B)

1H Forecast(A)


2,714

1,409

2,5752,868

3,113

468

610

103

577

391

0

1,000

2,000

3,000

4,000

1Q FY2011

2Q 3Q 4Q 1Q FY2012

0

500

1,000Sales （LHS) Operating income (RHS)


■ Smartphone inspection equipment (for printed circuit boards and touch panels) driving growth.● Sales continued on the uptrend after bottoming out in 3Q FY2011.● Operating income up 6% Y/Y.

■ Active customer inquiry on inspection equipment for device embedded substrates andultrathin/flexible circuit boards● Following smartphones, PC central processing units came within the scope of application

for Nidec-Read’s inspection equipment.Stronger focus on semiconductor inspection equipment business● Acquisition of Nidec Tosok’s semiconductor wafer bump inspection business● Establishment of a wholly owned, Canada-based subsidiary dedicated to the development

of optical inspection systems 16

(Millions of Yen)

9

17


1H Forecast(A)

1Q Results(B)

Progress(B) / (A)

Sales 14,500 8,366 57.7%

Operating Income 800 313 39.1%

Operating Income Ratio 5.5% 3.7% -

Recurring Income 800 288 36.0%

Net Income 450 189 42.0%

EPS (Yen) 11.69 4.92 42.1%

17

■ Sales and operating income up 21% and 1.9%, respectively Y/Y■ Main product demand trends:

● CVT control valves maintained upward momentum.● Solenoid valves for environment-conscious diesel engine systems struggled under the

European economic downturn.■ Production augmentation in Vietnam and China on the right track for expanding customer

and market reach.→ Construction of a second building for the die casting factory in Vietnam→ New die casting and molding factory of the joint venture company in China


8,3668,7899,290

8,538

307

Sales (LHS) Operating income (RHS)

6,891

6611,007

1,164

313

(Millions of Yen)

0

8,000

10,000

1QFY2011

2Q 3Q 4Q 1QFY2012

2,000

4,000

6,000

2Q( F)

800

1,200

1,600

2,000

0

400

17

18

Disclaimer Regarding Forward-Looking Statements

These presentation materials and the subsequent discussions regarding the Nidec Groups’ financial results contain forward-looking statements including expectations, judgment, plans, and strategies. The forward-looking statements are based on management’s assumptions and belief in light of the information currently available. Certain risks, uncertainties and other factors could cause actual results to differ materially from those discussed in the forward-looking statements. Such factors include, but are not limited to: fluctuation of currency exchange rates, overall supply and customer demand in the motor industry, product development and production capabilities, performance of affiliated companies, and other risks and uncertainties. Nidec undertakes no obligation to update forward-looking statements to reflect events or circumstances that occur after the date the forward-looking statements are made.

10

Japan Tel: +81-75-935-6140E-mail: [email protected]

U.K. Tel: +44-870-351-7388 E-mail: [email protected]

U.S. Tel: +1-212-703-7988 E-mail: [email protected]

Nidec logo is a registered trademark or a trademark of Nidec Corporation in Japan, the United States and/or certain other countries. All for dreams logo is a registered trademark of Nidec Corporation in Japan, and a trademark in the United States and/or certain other countries.

Nidec IR Contacts

20

Performance Trend &

Product Groups Overview

Appendix

11

21

72.1%(70.2%)

46.6%(42.6%)

27.1%(26.4%)

10.6%（9.6%)

4.5%4.4%25.5%

(27.6%)

8.8%(10.8%)

13.5%(14.4%)

5.6%(4.6%)

Sales by Product Group (1Q FY2012)

179.0B

Yen

Parenthetic percentages represent 1Q FY2011 mix.OthersOthers

Auto parts, Logistics, Services Etc., Musical products

Electronic & Optical Components


Camera shutters, Switches, Trimmer potentiometers,Actuator units, Processing, Precision plastic mold products

MachineryMachineryIndustrial Robots, Card Readers, Circuit board testers, High-speed pressing machines, Chip mounters, Measuring equipment, Power transmission equipment, Factory automation system

General MotorsGeneral MotorsMotors for automobiles, home electronic appliances and industrial equipment

MotorsMotors

Other DC MotorsOptical disk drives,OA equipment motors,Polygon scanners,Other brushless DC motors

Fan MotorsGame machine consoles,MPU cooling fans,PC/communication devices,Home appliances,Automobiles

Other Small MotorsVibration motors,Brush motors,Stepping motors

Small Precision MotorsSmall Precision Motors

HDD Motors

22

167.6157.4

180.7176.6 179.0

0

50

100

150

200

1Q 2Q 3Q 4Q

FY11 FY12

Consolidated Sales

(Billions of Yen)

12

23

18.8

13.5

20.919.822.5

0

5

10

15

20

25

1Q 2Q 3Q 4Q

FY11 FY12

Consolidated Operating Income

(Billions of Yen)

24

16.3

22.1

14.2

18.3 18.7

0

5

10

15

20

25

1Q 2Q 3Q 4Q

FY11 Consolidated Income Before TaxFY12 Consolidated Income Before Tax

12.2

9.19.110.3

13.5

0

5

10

15

20

25

1Q 2Q 3Q 4Q

FY11 Consolidated Net IncomeFY12 Consolidated Net Income

Consolidated Income Before Tax & Net Income<Consolidated Income Before Tax> <Consolidated Net Income>

(Billions of Yen)(Billions of Yen)

13

25

17.2

14.7

12.414.1

10.9

0

20

40

60

80

100

FY11/1Q 2Q 3Q 4Q FY12/1Q0

5

10

15

20

25

HDD motors sales(LHS) Other DC motors sales(LHS)Fan motors sales(LHS) Other small motors sales(LHS)Operating Income(RHS)

75.282.4

71.975.7

83.5

Small Precision Motors

Sales Operating Income(Billions of Yen)

26

100 105

8493 95

0

15

30

45

60

FY11/1Q 2Q 3Q 4Q FY12/1Q0

30

60

90

120

Sale(LHS) Shipment Index(RHS)

HDD Motors(Sales: Billions of Yen) (Shipment Index: FY11/1Q=100)

14

27

100 101

8170

89

0

10

20

30

FY11/1Q 2Q 3Q 4Q FY12/1Q0

40

80

120

Sales (Subsidiaries, LHS) Sales (Parent, LHS) Shipment Index (Parent, RHS)

Other DC Motors

(Sales: Billions of Yen) (Shipment Index: FY11/1Q=100)

28

126107 99

100100

0

5

10

FY11/1Q 2Q 3Q 4Q FY12/1Q0

70

140

Sales (Subsidiaries, LHS) Sales (Parent, LHS) Shipment Index (Parent, RHS)

Fan Motors(Sales: Billions of Yen) (Shipment Index: FY11/1Q=100)

15

29

2.2 2.41.9

0.7

1.5

0

15

30

45

60

FY11/1Q 2Q 3Q 4Q FY12/1Q0

1

2

3

4

Nidec sales (LHS) NMA sales (LHS)Nidec Sole Motor sales (LHS) Nidec Techno Motor Holdings sales (LHS)Nidec Motor sales (LHS) Operating Income (RHS)

48.744.2

41.244.1 45.6

General Motors

Sales Operating Income(Billions of Yen)

30

2.2

1.1

0.4

2.22.9

0

5

10

15

20

25

FY11/1Q 2Q 3Q 4Q FY12/1Q0

1

2

3

4

5

Nidec Sankyo sales (LHS) Nidec-Shimpo & Read sales (LHS)Nidec Kyori sales (LHS) Nidec Copal sales (LHS)Minster sales (LHS) Other Sabsidiaries sales (LHS)Operating Income (RHS)

19.117.5

13.5 14.815.7

Machinery

Sales Operating Income

(Billions of Yen)

16

31

2.23.1 3.3

1.80.8

0

10

20

30

40

FY11/1Q 2Q 3Q 4Q FY12/1Q

0

2

4

6

8

Nidec Sankyo sales (LHS) Nidec Copal sales (LHS)

Nidec Copal Electronics sales (LHS) Operating Income (RHS)

25.5 26.7

20.423.0 24.3



(Billions of Yen)

32

0.4

1.3 1.4

1.0

0.5

0

3

6

9

12

FY11/1Q 2Q 3Q 4Q FY12/1Q0.0

0.5

1.0

1.5

2.0

Nidec Tosok sales (LHS) Nidec & Other Sabsidiaries sales (LHS)Operating Income (RHS)

10.49.9 10.1

8.1

10.0

Others


(Billions of Yen)

Fiscal First Quarter 2012 Results - Nidec/media/nidec-com/en-global/ir/news/2012/n… ·...

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