2016/3 Presentation Note:This document is a translation of the 2016/3 Presentation written in Japanese. In the event of any discrepancies in words, accounts, figures, or the like between this report and the original, original the original Japanese version shall govern govern.
© 2016 ROHM Co.,Ltd.
Financial Report
1
AGENDA
■Financial Results Ended 2016/3 Financial Results of 2016/3 Factors for Sales Change YOY Comparison p of OP
■Plan Ending 2017/3 Plan of 2017/3 Factors for Sales Change in 2017/3
■ROHM’s ■ROHM s Strategy ■CAPEX Plan ■Return to Shareholders © 2016 ROHM Co.,Ltd.
P. 1 114J01A
Financial Report
2
Financial Results Ended 2016/3 (YOY) (¥billion)
'16/3 Net Sales Operating income (Ratio)
Ordinary income (Ratio)
Net income(※) (Ratio)
EBITDA (Ratio)
A Average rate(¥/US$) t (¥/US$) © 2016 ROHM Co.,Ltd.
352.3
'15/3 362.7
Amount of decrease
YOY
▲10.4
▲2.9%
33.6
38.8
▲5.2
▲13.3%
(9.5%)
(10.7%)
-
-
▲22.6
▲38.2%
-
-
▲19.6
▲43.3%
-
-
▲1 3 ▲1.3
▲1 8% ▲1.8%
-
-
36.6 (10.4%) 25.6 (7.3%) 71 9 71.9
59.2 (16.3%) 45.2 (12.5%) 73 2 73.2
(20.4%)
(20.2%)
(120 0) (120.0)
(110 0) (110.0)
※”Profit attributable to owners of parent” is defined as “Net income” in this presentation
P. 2
1603E0527H
Financial Report
3
Financial Results Ended 2016/3 (V.S. Revised Plan) (¥billion)
'16/3 Net Sales Operating income (Ratio)
Ordinary income (Ratio)
Net income(※) (Ratio)
EBITDA (Ratio)
Average rate(¥/US$) © 2016 ROHM Co.,Ltd.
'16/3 Revised plan
Amount V.S. of decrease Revised plan
352.3
363.0
▲10.7
▲2.9%
33.6
34.0
▲0.4
▲1.1%
(9.5%)
(9.4%)
-
-
36.6
40.0
▲3.4
▲8.4%
-
-
▲5.4
▲17.1%
-
-
▲2.9
▲3.8%
-
-
(10.4%)
(11.0%)
25.6
31.0
(7.3%)
(8.5%)
71.9
74.8
(20.4%) (120.0)
(20.6%) (118.5)
※”Profit attributable to owners of parent” is defined as “Net income” in this presentation
P. 3
1603E0527H
Financial Report
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Factors for Sales Change (¥billion)
Positive Facto ors Negative e Factors
Main Factors for Sales Change in ‘16/3 16/3
V.S. plan l
YOY
Sales for auto control systems expanded
+2.3
+1.7
2 Sales for auto body expanded
+2.1
+3.5
1
Sales of lighting equipments decreased
▲2.5
▲1.3
2
Production of power modules for EVs decreased
▲1.7
▲1.6
3
Misestimation of the PC/OA markets
▲1.5
+0.6
4
The consumer market was overall weak
▲1.3
▲4.4
p market stagnated g 5 The smartphone
▲0.8
▲2.4
6
▲0.6
▲1.3
▲4.0 40
▲5.2 52
1
The conventional car audio market shrunk
Total © 2016 ROHM Co.,Ltd.
P. 4 114J03A
Financial Report
5
YOY Comparison of OP (¥billi ) (¥billion)
( (Major Factors) )
‘15/3
‘16/3
Difference
+38.8
+33.6
▲5.2
Sales Increase in marginal profits due to sales increase by forex Decrease in marginal profits due to sales decline
+21 9 +21.9
▲2.8
▲24.7
Variable & Fixed Costs Cost reduction
+8 8 +8.8
Increase in variable & fixed costs by forex ▲14.4 Increase in depreciation Others
▲3 1 ▲3.1 +6.3
Total © 2016 ROHM Co.,Ltd.
▲2.4
▲5.2 P. 5 114J04A
Financial Report
6
Plan Ending 2017/3 (YOY) (¥billion)
'16/3
'17/3 Plan
Amount
Net Sales Operating income (Ratio)
Ordinary income (Ratio)
Net income(※) (Ratio)
EBITDA (Ratio)
A Average rate(¥/US$) t (¥/US$) © 2016 ROHM Co.,Ltd.
YOY
Amount
352.3
▲2.9%
343.0
33.6
▲13.3%
14.0
-
((9.5%))
36.6
▲38.2% -
(10.4%)
25.6
▲43.3% -
(7.3%)
71 9 71.9
▲1 8% ▲1.8% -
(20.4%)
(120 0) (120.0)
((4.1%))
16.5 (4.8%)
10.0 (2.9%)
64 0 64.0 (18.7%)
Amount of decrease
▲9.3
YOY
▲2.7%
▲19.6 ▲58.4% -
-
▲20.1 ▲54.9% -
-
▲15.6 ▲61.1% -
-
▲7 9 ▲11.1% ▲7.9 ▲11 1% -
-
(110 0) (110.0)
※”Profit attributable to owners of parent “ is defined as “Net income” in this presentation P. 6 1603E0527H
Financial Report
7
Factors for Sales Change in 2017/3 Estimate (¥billi ) (¥billion)
Positiv ve Factors Negative Factors
Main Factors for Sales Change in ’17/3
YOY
(Without impact from forex)
1
Sales expansion for smartphones
+5.4
((+8.2))
2
Sales expansion for the auto market excluding conventional car audios
+3.8
(+4.6)
3
Sales expansion for the industrial market excluding lighting equipments
+2 6 +2.6
(+2 8) (+2.8)
4
Sales recovery in the gaming equipment market
+1.0
(+2.1)
1
Sales decrease of drivers for large LCD panels
▲6 3 ▲6.3
(▲4 5) (▲4.5)
2
Continuous decline of the PC/OA equipment market
▲5.5
(▲1.3)
3
Withdrawal from the lighting equipment market
▲4.4
(▲4 3) (▲4.3)
4
Shrinking of the conventional car audio market
▲2.9
(▲1.3)
5
Shrinking of the AV equipment market
▲2.4
( 0 5) (+0.5)
Total
▲8.7
(+6.8)
T t l Total
▲9 3 ▲9.3
( +13.2) 13 2)
© 2016 ROHM Co.,Ltd.
Impact from forex rate (¥/US$)
(120→110) (110→110) P. 7 114J06A
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8
ROHM’s Strategy
1. Market Reform ・Focusing g on the auto market ・Tapping the industrial market ・Increasing sales ratio of overseas customers
2. Product Reform ・Reorganizing the “Four Growth Engines” to “Four Growth Solutions” ・High performance Analog Solutions with digital control capabilities ・Power Solutions centering on SiCs ・Sensor Solutions introducing MEMS・Photonics ・Mobile M bil Solutions S l i providing idi ultra l small-sized ll i d d devices i
3. Production Reform ・Aiming for World’s No.1 Manufacturing Plant ■Thoroughly enhancing RPS(Rohm Production System) ■Accomplishing “Zero Zero Defect Defect” and improving power of work sites in manufacturing plants © 2016 ROHM Co.,Ltd.
P. 8 114J07A
Financial Report
9
ROHM’s Strategy
4 Years Trend of Sales by Market (YOY) ( )Indicates difference from last year
(¥billion)
4,000 400
362 7 362.7 331.0
300
3 000 3,000
35.5
36.9
(▲1.4/▲4%)
(▲2.4/▲6%)
79.9
75.2
352 3 352.3 33.4 (▲2.1/▲6%)
343.0 29.9 (▲3.5/▲11%))
Japanese Digital Home Appliances
(+4.7/+6%)
74.7
70.1
(▲5.2/▲6%)
(▲4.6/▲6%)
108.7
104.3
102.0
(+14.4/+15%)
(▲4.4/▲4%)
(▲2.3/▲2%)
Overseas Consumer
39.9
39.1
39.3
Industrial
(+3.0/+8%)
(▲0.8/▲2%)
87.7
98.7
100.8
(+11.7/+25%)
(+11.0/+13%)
(+2.0/+2%)
56期 ʻ14/3 14/3
57期 ʻ15/3 15/3
実績
実績
Other Japanese Consumer
(+8.8/+13%)
200
2,000
94.3 (+15.3/+19%)
100 1,000
36.9 (+4.7+15%)
00
© 2016 ROHM Co.,Ltd.
ʻ16/3 16/3 58期
実績
(+0.2/+1%)
101.7
Auto
(+0.9/+1%) ʻ17/3 17/3 59期 Plan
⽇系⺠⽣から減額 計画 P. 9 114J008A
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10
ROHM’s Strategy Trend of Sales Composition Ratio by Market 100%
80%
60%
36% Japanese
Digital Home Appliances
20%
(2017/3 Plan)
10%
・TV、DVD ・Mobile Phone ・AD ・Camera ・Storage, etc.
9%
9%
22% 21% 21% ・Office Equipment ・Lighting g g ・Home Appliance ・Amusement, etc.
Other Japanese Consumer
30% 30% 29%
40% 28% 20%
16% 0%
41%
Auto
11%
© 2016 ROHM Co.,Ltd.
27% 29% 30%
Industrial
5%
'04
11% 11% 11%
Overseas Consumer
'05
'06
'07
'08
'09
'10
'11
'12
'13
'14
'15
'16 '17 ʼ16/3 ʼ17/3 見込み Plan l
P. 10 114J009A
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11
ROHMSʼs Strategy
Sales Ratio of Auto・Industrial and Overseas Customers
Reaching 50% sales ratio for auto + industrial markets ASAP 37.6%
38.2%
Auto 26.5% Consumer 62.4%
Industrial 11.1%
39.7%
Auto 27.2% Consumer 61.8%
Industrial 11.0%
ʻ15/3
ʻ14/3
41.1%
Auto 28.6% Consumer 60.3%
Industrial 11 1% 11.1%
ʻ16/3
Auto 29.6% Consumer 58.9%
Industrial 11.5%
ʻ17/3 Plan
Reaching 50% sales ratio for overseas customers ASAP
Overseas 37 3% 37.3% Japanese 62.7%
ʻ14/3 © 2016 ROHM Co.,Ltd.
Japanese 60.5%
Overseas 39.5%
ʻ15/3
Japanese 59.8%
ʻ16/3
Overseas 40.2%
Japanese 59.4%
Overseas 40 6% 40.6%
ʻ17/3 Plan P. 11 114J010A
Financial Report
12
ROHM’s Strategy 〜+10%
+10%〜+2%
+2%〜▲2%
Market Outlook ▲2%〜▲10%
($ based)
▲10%〜
ʼ16/3 Industry
Consumer
Communication PC/OA
Auto
Industrial
© 2016 ROHM Co.,Ltd.
1H
2H
YOY
ʼ17/3 Comments
1H
2H
Comments
・The TV market remained almost flat ・Inventories of air conditioners in home appliances increased ・DSC, game consoles were weak
・Slight positive impact from the Olympics in 1H ( (Takes over 1 year to eliminate inventories of air conditioners)
・1H was bullish due to launch of new models Sales greatly decreased in 2H
・Saturating of the global market ・Weak demand growth of components due to higher exposure to low-end models
・PC/tablets sales less than last year (Windows10 was not strong enough ・OA adjusted due to weak demand
・PC except for servers will continue to be weak due to spread of the Cloud ・Recovery of office equipments will be weak
・Auto sales increased in 2H due to subsidy measures in China, India, etc. ・The component market was bullish d to iincrease in due i electronics l i content ratio per car
・Number of autos and electronics content ratio per car will increase ・High expectations for sales increase in developing nations
・Strong and weak markets offset Medical, HEMS related FA FA, energy related
・Recovery from the end of 2016 expected
P. 12 114J011A
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13
1.Market Reform
ROHM’s Strategy
① Focusing on the Auto・Industrial Markets
Auto Market Design-ins for safety, power train, car body are increasing globally
Installing the latest power modules and gate drivers for FCV・EV/HEV
Expanding reference business with CPU manufacturers strong in the auto market
Accelerating shift from conventional audio to devices related to infotainment panels
(¥billion) Sales by Applications
Safety
98 7 98.7
100 8 100.8
101.7 Power Train
87.7
Car Body Infotainment
Conventional audio ʻ14/3
ʻ15/3
© 2016 ROHM Co.,Ltd.
ʻ16/3
ʻ17/3 Plan
ʻ18/3 Estimate
ʻ19/3 Estimate
ʻ20/3 Estimate P. 13 114J014A
Financial Report
1.Market Reform
14
ROHM’s Strategy
① Focusing on the Auto・Industrial Markets
Industrial Market New・Long Tail Customers
Major・Direct Sales Customers
Design-ins of especially new products such as SiC・Wi-SUN・digital power, etc. to FA・infrastructure・ energy markets k are iincreasing i
Grasping new businesses in broad areas
Expanding reference business with CPU manufacturers strong g in the industrial market
U.S.A. : IIC
HANNOVER MESSE
Maker Faire
Wi-SUN Wi SUN
Wireless charging syste
USB-PD USB PD
Improving service by strengthening relationships p with influential trading g companies p and providing information on our website
(¥billion)
※Excluding lighting business
33 2 33.2
36.7
36.4
39.3
New・Long New Long tail Major・Direct sales
ʻ14/3
ʻ15/3
© 2016 ROHM Co.,Ltd.
ʻ16/3
ʻ17/3 Plan
ʻ18/3 Estimate
ʻ19/3 Estimate
ʻ20/3 Estimate
P. 14 114J014A
Financial Report
1.Market Reform
15
ROHM’s Strategy
② Increasing Sales Ratio of Overseas Customers
Penetrating P t ti nott only l the th auto・industrial t i d t i l markets, k t b butt also the giant mobile equipment market with new characteristic products
Auto・Industrial Sales to Overseas Customers Industrial
(¥billion)
Sales Estimate for Smartphones
41.0
Auto
34.9
35.2
29.1 15.5 14.0
22.1
17.0 ʻ14/3 '14/3期 実績
© 2016 ROHM Co.,Ltd.
ʻ15/3 '15/3期 実績
ʻ16/3 '16/3期 実績
ʻ17/3 '17/3期 Plan 計画
'14/3期 ʻ14/3
'15/3期 ʻ15/3 実績
'16/3期 ʻ16/3
'17/3期 '18/3期 ʻ17/3 ʻ18/3 予測 Estimate
P. 15 114J015A
Financial Report
2.Product Reform
16
ROHM’s Strategy
①Reorganizing the “Four Growth Engines” to “Four Growth Solutions”
S l Sales off th the F Four Growth G th Engine E i P Product d t Categories C t i till Now N
¥billion
4,000 400
362.7
352 3 352.3
343.0
331.0 300
3,000 ,
292.4
226.3 226 3 68%
200
2,000
204.7 70%
100 1,000 30% 87.7 00
7.0 3.5 37.7 15.7 30.8 ʻ13/3 55期
32% 104.7
240.7 66%
232.7 66%
220.7 64%
12.6
10.6
13.8
Synergy of ICs
59 9 59.9
Power Devices
22.7
25.6
Sensor Network Optical Devices
47 3 47.3
34%
55 8 55.8
16.2
122.0
20.4
34%
57 6 57.6
119.6
36%
Current Products
122.3
34.2
33.2
28.7
23.0
ʻ14/3 56期
ʻ15/3 57期
ʻ16/3 58期
ʻ17/3 59期計画 Plan
© 2016 ROHM Co.,Ltd.
P. 16 1603E0527H
Financial Report
2.Product Reform
17
ROHM’s Strategy
①Reorganizing the “Four Growth Engines” to “Four Growth Solutions”
4 Growth Engines Synergy of ICs
150
(¥billion)100 10 50 50
12.6
Results in the Past 4 Years
13.8 10.6 Collaboration
70 7.0 3.5
Reference
00 '13/3
'14/3
'15/3
'16/3
'17/3
P Power Devices D i
800
(¥billion)600 60 40 400
37.7
47.3
55.8
57.6
59.9 Power Devices
20 200
Ne Modules New Mod les
00 '13/3
'14/3
'15/3
Sensor Network
'16/3
300
(¥billion) 20 200
20.4 15 7 15.7
22.7
25.6 h i Photonics Sensor
16 2 16.2
MEMS Sensor
00 '14/3
'15/3
'16/3
'17/3
Wireless Modules
Optical Devices (¥billion) 400 40 300 30
30.8
34.2
33.2
28.7
Lighting+ AGLED
23.0
200 20
LED+DP
100 10
LED Driver
00 '13/3
© 2016 ROHM Co.,Ltd.
'14/3
'15/3
'16/3
・Developing our new power module business centering on SiC, as well as steadily expanding power DIODE, IGBT and MOSFET
'17/3
10 100
'13/3
・Succeeding to develop large-scale PMIC for reference business with Intel, NXP, etc. by integrating ROHM’s analog technology and LAPIS’s digital technology
'17/3
・Start-up of wireless modules as well as expansion of sensor devices such as MEMS・photonics, etc. ・Although LED drivers steadily expanded, we couldn’t expand our finished product business, therefore we determined to sell our lighting division (2016/3 sales: ¥4.4 billion) P. 17 1603E0527H
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18
ROHM’s Strategy
2.Product Reform ①Reorganizing the “Four Growth Engines” to “Four Growth Solutions” Establishing E t bli hi corporate t market k t strategy t t divisions di i i categorized t i d by b markets k t directly di tl under the president. Providing solutions matching demands of crucial markets with ROHMʼs technology
New Organization
Old Organization President
President Automotive Corporate Market S Strategy Div.
IC
Fundamental Technology Development Div. Audio・Sensing Solution IC Product Development Div. Motor Control IC Product Development Div. Power Technology Project Linear IC Product Development Div. Div Power Management IC Product Development Div. Application Engineer Div.
IC
semiconductor devices
RASMID Development Dep. Discrete Product Strategy Dep. © 2016 ROHM Co.,Ltd.
Reference Business Corporate M k t Market Strategy Div.
Fundamental Technology Development Div. General-purpose IC Product Development Dep. Audio・Sensing Solution IC Product Development Div. Motor Control IC Product Development Div.
Sensor Business Strategy
Sensor Business Strategy
R&D Div. Power Application Development Div. Tr / Di Device Production Div. Power Device Production Div. Transistor Production Div. Diode Production Div. Optical Device Production Div. Resistor Production Div. TC Production Div.
Consumer & Smart Device Corporate M k t Market Strategy Div.
Power Technology Project Power Management IC Product Development Div. Digital Power IC Product Development Div Wireless Module Product Development Div. Application Engineer Div.
Automotive Corporate Market Strategy Div/ Industry Corporate Market Strategy Div. Consumer & Home Appliance Corporate Strategy Div. PC・Smart Device Corporate Market Strategy Div Div.
Discrete
Industry/IoT Corporate Market Strategy Div.
Discrete semiconductor i d t devices
R&D Div. Tr / Di Device Development Div. Power Application Development Div. Power Device Production Div. Power Transistor Production Div. Power Diode Production Div. Small-signal Device Production Div. LED Production Div. LD Production Div Div. Resistor Production Div. TC Production Div.
Power Device
+
RASMID Development Dep Dep.
P. 18 114J013A
Financial Report
19
2.Product Reform ①Reorganizing the “Four Growth Engines” to “Four Growth Solutions”
Key Devices Centered on the Four Growth Engines IC Synergy Collaboration of ROHMʼs Analog Technology + LAPISʼs Digital Technology Power Device Development of Power DI, , , SiC IGBT,MOSFET, Sensor Network
Developing Four Growth Solutions that will resolve customer's problems Analog Solution Providing solutions for customers by ROHMʼs power IC, LED driver, motor driver with digital control technology
Power Solution Supporting customerʼs needs of energy efficiency and miniaturization by mainly SiC, optimal power devices, ICʼs control technology and module technology
Sensor Solution
Providing a variety of sensor devices and wireless technology
Supporting customerʼs IoT by combining unique
Optical Device
Drastically changing our strategy
Sales of LED related devices, mainly lighting and display
Aiming g for all products p to become smaller, lighter and energy efficient
© 2016 ROHM Co.,Ltd.
sensor devices, d i wireless i l ttechnology h l and d control t l ASIC
Withdrawal from the lighting business (finished product) ・Power supply for lighting、 LED driver ・Ultra small-sized LED
Shift to Analog Solution
Shift to Mobile Solution
Mobile Solution Enabling miniaturization and high-precision of discrete semiconductors and modules by utilizing ROHMʼs original method as well as IC technology P. 19 1603E0527H
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20
ROHM’s Strategy
2.Product Reform ② Four Growth Engines PMIC
Expansion of reference business Providing complex power supply for various platforms
Analog Solution
Intelligent LED Driver
Digital Control Motor Driver
Supporting high efficiency and multifunction driving of mainly y European p maker autos by cutting-edge auto LED lighting
Enabling ultra fast auto focus by sensing・analog digital control technology
■For Auto Auto・Industrial Industrial
Position Sensing
Actuator Control
ATM NVL HALL Sensor
© 2016 ROHM Co.,Ltd.
AFE/ ADC
Driver
MPU Programmable Control Logic
P. 20 114J016A
Financial Report
21
ROHM’s Strategy
2.Product Reform ② Four Growth Solutions
Power Solution
Achievements and applications in the auto & industrial are expanding SiC-SBD PMIC for EV battery charger
Supporting high efficiency and miniaturization of fast battery chargers Achieving more than 80% of share Various product lineup
Started mass production
Full SiC IPM for industrial
Started mass production
Adopted into large sized IH inverter power supply Enabled higher efficiency and drastic miniaturization Size ▲40%, Weight ▲50% 160kW-200kHz
SiC AC/DC power supply デジタルモータドライバ for industrial
Developed ROHMʼs original control IC for industrial taking full advantage of SiC P Providing idi SiC power supply l solution to various customers Application of input power supply AC400V〜690V SiC
Control IC Power conditioner
Large sized robot © 2016 ROHM Co.,Ltd.
Inverter P. 21 114J017A
Financial Report
22
ROHM’s Strategy Sensor Solution
2.Product Reform ② Four Growth Solutions Sensor
Wireless
Lineup of characteristic devices based on MEMS・Photonics MEMS Photonics technologies
Providing IoT solution based on wireless technology・control ASIC
MEMS Technology
Wireless Technology
Accelerometer
Gyro
Geomagnetic
Hall
Temperature Pressure
Ultrasound
Photonics Technology
Wi-SUN
EnOcean
Wi-Fi
HDPLC
Bluetooth Smart
Zi B ZigBee
Control ASIC Low p power microcontroller
UV
RGB
Proximity
IR
© 2016 ROHM Co.,Ltd.
Ambient
Module & Support Supporting wide range of usage with generalpurpose microcontroller boards and various tools
Makers Support Sensor medal
Analog front-end Power supply
General-purpose microcontroller i t ll board b d Development of Lazlite series P. 22 114J018A
Financial Report
23
ROHM’s Strategy Mobile Solution
2.Product Reform ② Four Growth Solutions Ultra-small Device Worldʼs smallest※ transistor VML0604
RASMID®
Ultracompact low profile chip LED
Worldʼs smallest class image stabilization hall device
PICOLED® Series S i
RHS 0122 Series RHS-0122 S i ※
※
Worldʼs smallest
Worldʼs smallest
Worldʼs smallest
1.0×0.6mm t=0.2mm
TCT(Case U)
Infrared LED embedded proximity・ ambient light sensor RPR-0521 Series
※
TVS diode SMD0402
※
World s Worldʼs smallest
※
Worldʼs smallest
Worldʼs smallest 1.0×0.5mm t=0.65mm
0.25×0.125mm t=0.08mm
1.0×0.5mm t=0.6mm
HMD package Multiple diode chips embedded in 1 chip
Worldʼs smallest
1.2×0.5mm t=0.3mm
Worldʼs smallest※ Worldʼs smallest※ conductive polymer tantalum capacitor tantalum capacitor TCTO(Case U)
SMR002 ※
※
0.6×0.4mm t=0.36mm
Chip resistor
Low noise
0.4×0.2mm t=0.12mm
3.94×2.36mm t=1.35mm
Schottky S h ttk barrier b i diode
HMD8 Multifunctional composite
SMD0402
※
0.4×0.2mm t=0.12mm
Worldʼs smallest
1.6×0.8mm t=0.3mm © 2016 ROHM Co.,Ltd.
P. 23 114J019A
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24
ROHM’s Strategy
2.Product Reform ② Sales Trend of the Four Growth Solutions (¥billion)
400
4,000
362.7
352.3
343.0
331.0 300
3,000
292.4
204.6
200
2,000
215.4
202.7
59%
58%
68.3
67.0
185.0 Current products
54%
62%
186.2
64%
100 1,000
60.2 51.3
38%
41%
42%
126.4
147.3
149.6
36% 106.2
37.7
47.3
00
15.7 15 7 1.5
16.2 16 2 2.7
55期 ʻ13/3
© 2016 ROHM Co.,Ltd.
ʻ14/3 56期
69.4
Analog solution
46% 158 0 158.0
55.8
57.6
59.9
Power solution
20.4 20 4 2.8
22.7 22 7 2.3
25.6 3.1
Sensor solution Mobile solution
57期 ʻ15/3
ʻ16/3 58期
59期計画 ʻ17/3 Plan
P. 24 114J020A
Financial Report
25
ROHM’s Strategy
3. Production Reform ① RPS・Zero Defect Initiatives “Zero Defect” Initiatives
RPS
・Reducing costs and achieving higher quality q y ・Developing human resources
Aiming for Zero Defects by minimizing variations
The Three Wastes (Sangen Shugi) Waste of movement
Waste of stagnation
Waste of coveyance
ROHM Dailan ●
Eliminating the three wastes!
Human Development Improvement and transmission of know-how and knowledge Real time monitoring by automatic sensing technology
Improving workplace skills Automatic sensing waveform
ROHMʼs ROHMʼ ideal quality
ROHM Tianjin a j ●
ROHM Thailand ●
ROHM Philippines ●
ROHM ●Malaysia
●Front-end process(Wafer process) ●Back-end process(Assembly process)
Investing for higher quality in all manufacturing plants
Objectives of Investment for Quality Automatic monitoring SPC control t l chart h t
© 2016 ROHM Co.,Ltd.
Current quality
ROHM HQ ● ●●●ROHM Hamamatsu ● ROHM ROHM Shiga ROHM Wako Apollo
Taking quick actions in case of abnormality (improve processes, eliminate waste)
Detecting changing points instantly by IoT Improve process by PDCA cycle
Standard High limit
Center value
ROHM ● Korea
Visualization of Processes Visualization of logistics, quality and operation
Standard Lower limit
1.Installing new methods・ manufacturing lines
2.Improving design・structure
3. Improving process capacity
4. Improving analysis precision P. 25 114J022A
Financial Report
26
CAPEX Plan Investing in new products and quality while watching market trend Wafer Process
Assembly Process
・Reinforcing mass production system for power device such as IGBT, etc. ・Startup St t off piezoelectric i l t i sensor manufacturing line in ROHM Shiga
・Startup of new factory in Malaysia ・Continuously improving quality and renewing equipment
(¥billion)
Total ʻ16/3 ʻ17/3 Japan/Overseas Ratio
Japan Overseas
Total © 2016 ROHM Co.,Ltd.
56.6 51 0 51.0 100%
Capacity C it increase
Land・ L d building
New N products
Quality
Others
24.1
15.4
4.0
4.0
9.1
15.4 15 4 33%
11.0 11 0 22%
10.5 10 5 21%
6.3 6 3 12%
7.8 7 8 15%
ʻ16/3
ʻ17/3 Plan
31.7(56%) 24.9(44 ( %)
28.8(57%) 22.2(43 ( %)
56.6(100%)
51.0(100%) P. 26 114J023A
Financial Report
27
Return to Shareholders ①2016/3 annual divided will be ¥130/share as planned. (Payout ratio 54%) ②We will strive to put an emphasis on shareholder returns by continuing to improve our performance. Thus, we will return 100% of our free cash flow and maintain payout ratio of 30% or more. ʻ16/3 Calculation of FCF
(¥billion)
Net income(※) ¥+25.6 billion ¥+38.3 billion Depreciation ¥▲56 6 billion ¥▲56.6 CAPEX Acquisition of PV ¥▲8.6 billion
450 50 45
31.0 31.0
350 35
¥▲1.3 billion
Net
25 8 25.8 17.0 buyback
25
150
for retirement in May.,2016
5.3 50 5
Net income(※) ¥+10.0 billion Depreciation ¥+50.0 billion CAPEX ¥▲51.0 billion
Net
¥+9.0 billion
Payout ratio 106%
9.0 10.5
配当 14.0 Dividend
▲1.3
-50 -5
© 2016 ROHM Co.,Ltd.
13.7
Shares planned
Free cash flow
15
Annual dividends per share
Payout ratio 54%
Share
250
ʻ17/3 Calculation of FCF
ʻ14/3 Plan '14/3期
¥50
ʻ15/3 Plan '15/3期
¥130
ʻ16/3 Plan '16/3期[予定]
¥130 (Interim dividend ¥65, Year-end dividend ¥65)
ʻ17/3 Plan '17/3期[予定]
¥100
(Interim dividend ¥50, Year-end dividend ¥50) P. 27
※Profit attributable to owners of parent is defined as “Net income” in this presentation 1603E0527H
Financial Report
23
Note Regarding Future Forecasts The forecast statements in this report are based on information currently available and deemed by ROHM Group as reasonable, and therefore, are not intended to guarantee to be achieved by ROHM Group, G and d actuall results l may differ diff materially i ll b by various factors. ROHM Group does not bear responsibility to update and disclose any future forecasts in this report. Also, since the purpose of this report is to provide an outline of business performance, many figures are shown in unit of a billion yen, therefore, totals and differences of figures may appear inaccurate. i t Please Pl refer f to t our Financial Fi i lR Reportt ffor detailed figures.
© 2016 ROHM Co.,Ltd.
P. 28 1603E0527H
© 2016 ROHM Co.,Ltd.