Tokyo Ohka Kogyo : Supplemental Data of Business Results

TOKYO OHKA KOGYO CO., LTD.

Supplemental Data of Business Results

― The 1st Half of Fiscal Year ending Dec. 2020―

Aug. 6, 2020

TOKYO OHKA KOGYO CO., LTD.

© 2020 TOKYO OHKA KOGYO CO., LTD.

Summary

02

（Millions of yen）

	FY2019/12	FY2020/12	1H
	1H		Change	%
Net sales	48,932	57,203	+8,271	+16.9
Operating income	4,428	6,664	+2,236	+50.5
Ordinary income	4,407	6,785	+2,378	+54.0
Profit attributable	2,924	4,639	+1,715	+58.7
to owners of parent
■ Average exchange rate (US$)︓
¥109.0／$（FY2019/12 1H）⇒ ¥107.1／$（FY2020/12 1H)

■ Net sales: Increased 16.9% year on year due to increased sales of electronic functional materials, etc. for Taiwan and South Korea supported by strong demand for semiconductors

■ Operating income︓Increased 50.5% year on year due to an increase in net sales

■ Profit attributable to owners of parent︓

Increased 58.7% year on year due to an increase in operating income

© 2020 TOKYO OHKA KOGYO CO., LTD.

	Results by Business Segment			03
							（Millions of yen）
			FY2019/12		FY2020/12	1H
			1H			Change			%
Net sales	48,932	57,203		+8,271		+16.9
	Material business	47,791	55,964		+8,172		+17.1
		Electronic	27,847	32,095		+4,247		+15.3
		functional materials
		High purity	19,903	23,816		+3,912		+19.7
		chemicals
		Other	40	52		+12		+30.1
	Equipment business	1,141	1,239		+98		+8.6
Operating income	4,428	6,664		+2,236		+50.5
	Material business	6,423	9,190		+2,766		+43.1
	Equipment business	(270)	(294)		(23)		－
	Eliminations and	(1,724)	(2,231)		(506)		－
	corporate

© 2020 TOKYO OHKA KOGYO CO., LTD.

Balance Sheets

04

（Millions of yen）

As of

v.s.

June 30,

December

2020

31, 2019

Buildings and structures

(364)

Current Assets

97,655

+4,373

Machinery

+840

Cash and deposits

51,239

+4,833

Furniture and fixtures

Notes and accounts

(362)

23,679

(208)

Land

receivable

(277)

Construction in progress

Inventories

17,755

+315

(1,490)

Property, plant and equipment

53,399

(1,657)

Long-term debt (152)

Intangible assets

590

(71)

Retained earnings

Investments and other assets

36,811

(673)

+2,106

Treasury stock

Current Liabilities

20,846

+530

+399

Notes and accounts payable

11,493

+1,148

Unrealized loss on

available-for-sale

Long-Term Liabilities

14,562

securities

(502)

Total net asset

153,048

+1,314

Foreign currency

translation adjustments

Total asset

188,456

+1,970

(564)

© 2020 TOKYO OHKA KOGYO CO., LTD.

Cash Flows

05

（Millions of yen）

		FY2019/12	FY2020/12
		1H	1H
Cash flows from operating activities	+5,205	+11,461
	Income before income taxes and	+4,379	+6,924
	minority interests
	Depreciation	+3,546	+3,702
	Decrease (increase) in trade notes	+1,307	+156
	and accounts receivable
	Decrease (increase) in inventories	(1,707)	(485)
	Decrease (increase) in trade notes	(1,648)	+1,058
	and accounts payable
	Increase (decrease) in advances	+265	(33)
	received
	Income taxes paid	(1,158)	(781)
Cash flows from investing activities	(5,873)
Cash flows from financing activities	(3,247)
Translation adjustments	(699)	(381)
Net increase (decrease) in cash and	(4,615)	+19,415
cash equivalents

Major breakdown

Refund of long-term deposits +14,000

Purchases of property, plant and equipment (3,197)

Major breakdown Proceeds from sales of treasury stock +153

Dividends paid

(incl. minority shareholders) (3,377)

© 2020 TOKYO OHKA KOGYO CO., LTD.

		Earnings Forecasts (Full-year)	06
							（Millions of yen）
			FY2019/12		FY2020/12 Forecasts
					Change		%
	Net sales	102,820		111,700	+8,879		+8.6
	Operating income	9,546		13,800	+4,253		+44.6
	Ordinary income	9,707		14,100	+4,392		+45.3
	Profit attributable to	5,410		9,600	+4,189		+77.4
	owners of parent
■ Exchange rate assumptions（US$）︓
	¥108.1／$（2019/12）⇒ ¥ 105.0 ／$（2020/12	2H）

■ Net sales :

Forecast to increase 8.6% year on year while incorporating the slowdown in the semiconductor market

■ Operating income :

Forecast to increase 44.6% year on year with a continued upward trend in profit in 2H despite an increase in corporate expenses

■ Profit attributable to owners of parent :

Forecast to increase 77.4% year on year due to an increase in operating income as well as a rebound from declined profit attributable to owners of the parent in FY2019/12

© 2020 TOKYO OHKA KOGYO CO., LTD.

	Performance Forecasts by Business Segment	07
						（Millions of yen)
				FY2019/12	FY2020/12 Forecasts
						Change		%
Net sales	102,820	111,700	+8,879		+8.6
		Material business	98,986	108,700	+9,713		+9.8
			Electronic functional	58,249	62,700	+4,450		+7.6
			materials
			High purity chemicals	40,674	45,900	+5,225	+12.8
		Equipment business	3,833	3,000	(833)	(21.7)
Operating income	9,546	13,800	+4,253	+44.6
		Material business	13,462	18,700	+5,237	+38.9
		Equipment business	(286)	(300)	(13)		－
		Eliminations and corporate	(3,628)	(4,600)	(971)		－

© 2020 TOKYO OHKA KOGYO CO., LTD.

Capital Investments/Depreciation/R&D 08

				(Millions of yen)
	FY2019/12	FY2020/12 Forecast
		Change	%
Capital Investments	14,183	6,800	(7,383)	(52.1)
Depreciation	7,216	6,700	(516)	(7.2)
R&D	8,879	9,600	+720	+8.1

© 2020 TOKYO OHKA KOGYO CO., LTD.

www.tok.co.jp/eng

(Note)

This presentation material contains forward-looking statements that describe future prospects of TOKYO OHKA KOGYO CO., LTD. (the Company) in terms of business planning, earnings and management strategies. Such statements are based on management's judgement, derived from information available to it at the time such information was prepared. Readers are cautioned not to rely solely on these forward-looking statements, as actual results and strategies may differ substantially according to changes in the Company's business environment.

© 2020 TOKYO OHKA KOGYO CO., LTD.