Presentation of Consolidated Financial Results for the 1st Quarter of the FY Ended March 31, 2019 (from Apr. 2018 to Jun. 2018) 1
Highlights of Consolidated Results Summary of P/L (3M) (3M) Amount % Order Intake 22,270 24,537 2,267 10.2% 15,792 18,862 3,069 19.4% Cost of Sales 12,147 15,224 3,076 25.3% Gross Profit 3,644 3,637 6 0.2% <Gross Profit ratio> 23.1% 19.3% ( 3.8P) Selling, general & administrative expenses 2,329 2,433 104 4.5% Operating Income 1,315 1,203 111 8.5% <Operating Income ratio> 8.3% 6.4% ( 1.9P) Ordinary Profit 1,259 1,369 110 8.7% Income Before Income Taxes 1,259 1,363 104 8.3% Net Income 977 942 34 3.5% Exchange Rate 1USD= 111.17 109.14-2.03-1.8% 1EUR= 122.12 130.13 8.01 6.6% <Summary> Order Intake: : Gross Profit: Orders intake increased by 10.2% from previous FY due to expansion of order intakes from automotive related customers in any region except USA. Net sales increased by 19.4% from previous FY due to world-wide expansion of sales to automotive related customers and consolidation of Reliance Electric Limited/Japan and RAS. Gross Profit is at roughly the same level as previous FY. Rising of raw materials prices and outsourcing costs offset impact of the net sales increase. Orders intake reached record-high Net sales increased,but OP didn't catch up Operating Income: Operating income decreased by 8.5% from previous FY. The decrease was mainly due to decrease of gross profit and increase of SGA. Ordinary Income: Ordinary income increased by 8.7% from previous FY, mainly due to improvement of foreign exchange gain/loss of foreign-currency-denominated assets. Net Income: Net income decreased by 3.5% from previous FY, mainly due to decrease of special tax exemption in Malaysia in FY2017. 2
Quarterly Financial Performances 2Q 3Q 4Q 15,792 16,942 18,028 23,093 18,862 Gross Profit 3,644 3,736 3,718 4,830 3,637 Operating Income 1,315 1,561 1,265 2,170 1,203 Gross Profit ratio 23.1% 22.1% 20.6% 20.9% 19.3% Operating Income ratio 8.3% 9.2% 7.0% 9.4% 6.4% 3
Sales (by Business/Customer/Geographic segment) Sales by Business segment Sales by Geographic segment Amount % Amount % Press Machines 12,709 80.5% 14,502 76.9% 1,792 14.1% Japan 5,599 35.5% 7,270 38.5% 1,671 29.9% Services 3,005 19.0% 3,172 16.8% 166 5.6% China 1,990 12.6% 2,464 13.1% 474 23.8% Others 77 0.5% 1,187 6.3% 1,110 11431.3% Asia 861 5.5% 1,070 5.7% 208 24.1% Total 15,792 100.0% 18,862 100.0% 3,069 19.4% Americas 4,465 28.3% 4,936 26.2% 471 10.6% Europe 2,876 18.2% 3,120 16.5% 244 8.5% 1 including 1,132M due to REJ and RAS Press Machines Services Others newly consolidated effect Total 15,792 100.0% 18,862 100.0% 3,069 19.4% Japan China Asia Europe Americas 3,005 3,572 3,735 12,709 13,280 14,139 5,116 3,172 16,169 14,502 2,552 3,476 2,876 4,465 4,658 4,571 1,069 945 861 1,885 1,990 2,710 5,599 6,775 6,324 4,758 4,684 1,368 2,201 10,081 3,120 4,936 1,070 2,464 7,270 Sales by Business segment of the Mid-Term Management Plan THE AIDA PLAN 523 Sales (press machines) by Customer industry Amount % Amount % Press Machines 10,428 66.0% 12,775 67.7% 2,347 22.5% Automotive related 9,565 75.3% 12,273 84.6% 2,707 28.3% Factory Automation 2,358 14.9% 2,650 14.0% 291 1 12.4% Electric related 978 7.7% 909 6.3% 68 7.0% Services 3,005 19.0% 3,435 16.8% 430 2 14.3% Other industries 2,166 17.0% 1,319 9.1% 846 39.1% Total 15,792 100.0% 18,862 100.0% 3,069 19.4% Total 12,709 100.0% 14,502 100.0% 1,792 14.1% Press Machines Factory Automation Services 1 including 869M due to REJ newly consolidated effect 2 including 263M due to RAS newly consolidated effect 3,005 3,572 2,358 2,868 10,428 10,501 3,735 1,846 5,116 5,286 3,435 2,650 12,446 12,689 12,775 Automotive related Electric related Others 1,409 2,166 1,357 1,156 1,425 978 9,565 10,767 11,304 1,975 1,908 1,319 909 12,286 12,273 4
Sales / Operating Income (by Geographic segment) Amount % Amount % Amount % 10,059 11,774 1,715 17.1% 2,103 2,730 626 29.8% 2,015 2,430 414 20.6% Operating Income Japan 541 5.4% 468 4.0% 73 13.5% Operating Income 14,683 Operating Income China 187 8.9% 88 3.2% 99 53.2% Operating Income Operating Income Asia 375 18.6% 344 14.2% 31 8.3% Operating Income 10,059 541 10,742 10,863 842 749 1,329 11,774 468 2,103 1,987 187 71 2,932 91 2,430 17 2,730 88 2,015 2,090 2,194 375 480 358 381 2,502 2,430 344 Amount % Amount % 4,580 4,973 392 8.6% 3,137 3,234 96 3.1% Operating Income Americas 356 7.8% 248 5.0% 107 30.3% Operating Income Europe 45 1.5% 36 1.1% 82 - Operating Income Operating Income 4,580 4,759 4,708 4,777 4,973 3,137 2,818 3,869 4,844 3,234 356 343 132 364 248 45 18 36 26 36 5
Orders Intake & Backlog (by Business/Customer/Geographic segment) Orders Intake by Business Segment Orders Intake by Customer Industry (Press Machines) JPY mil. Press Machine Services Others JPY mil. Automotive related Electric related Others 24,537 22,270 22,940 18,230 19,058 21,668 17,891 3,966 3,764 1,245 2,094 3,554 3,449 2,034 1,465 1,228 16,263 2,045 4,198 18,230 17,891 19,058 19,369 15,519 15,736 13,810 11,043 11,043 1,402 672 8,968 19,369 1,447 3,236 14,685 Orders Intake by Geographic Segment Orders intake at Orders Backlog by Geographic Segment JPY mil. Japan China Asia Americas Europe 22,270 21,668 22,940 4,589 2,372 5,337 3,727 6,659 1,453 4,616 1,261 793 5,737 1,816 3,196 2,105 2,649 1,588 1,646 8,412 8,377 8,528 8,274 reached record-high 16,263 JPY mil. Japan China Asia Americas Europe Increased by 9.6% from previous FY 24,537 66,150 64,997 58,191 59,321 4,706 53,464 13,350 12,283 11,489 10,697 2,570 11,669 13,236 8,836 1,235 11,201 13,191 2,577 3,747 2,191 14,122 2,411 11,872 1,875 11,143 10,589 1,491 10,657 6,805 12,277 26,228 19,375 20,977 24,421 29,427 6
Major Changes on Balance Sheet Fixed assets 67,342 67,342 Current assets 71,300 百万円 Assets Liabilities and Net Assets VS end of Mar. 2017 Current liabilities Long-term liabilities VS end of Mar. 2017 Net assets Total assets 1,907 Total current liabilities 488 116,108 116,108 114,201 114,201 78,390 76,769 Current liabilities 623 Advances from customers on contracts 744 33,198 Accounts payable, trade and 32,575 Current assets 1,621 electronically recorded monetary +770 obligations-operating Cash on hand and at bank 2,131 Income taxes payable 713 Notes and accounts receivable, trade and electronically recorded 2,028 monetary claims-operating 6,985 7,120 Inventories +1,897 Non-current assets + 135 75,924 74,505 37,718 37,431 Fixed assets 286 Capital Adequacy Ratio (CAR) Net assets 1,419 Retained earnings 1,012 64.8% 64.6% /3 /3 7
(for Reference) Statistics of Forming Machinery Industry- 1) JPY(billion) Press: Mechanical, Hydraulic, Forging & Automation Monthly Average Place of origin: JFMA 8
(for Reference) Statistics of Forming Machinery Industry- 2) Trend of Order Intake Trend of Order Intake (Overseas) by Geographic Segment 9
Remarks Cautions about forecast statements contained in this package The information in this package contains future forecasts. Future forecasts contained in this document are based on the judgment of company management based on currently available information. Although the future forecasts are based on or grounded in assumptions, future economic circumstances and actual business results may differ from these assumptions. Although the Company or its management is stating its expectations and/or convictions regarding future results, this does not guarantee that these expectations or convictions will be realized, nor does it guarantee that the actual results will be close to the forecasts. Moreover, the Company does not assume any obligation to update or revise any forecasts unless otherwise stipulated by law. August 2018 AIDA ENGINEERING, LTD. 10