Sumco : Presentation - Result for Q2 FY2021

Results for

Second Quarter of FY2021

(Ended June 30, 2021)

August 5, 2021

SUMCO Corporation

（Code：3436）

（LEI：353800SUSRUOM0V6KU92）

SUMCO CORPORATION

2Q-2021 Results	1
August 5, 2021

Notes Regarding the Forecasts

This material is prepared for the purpose of continuous disclosure to general shareholders and investors and will not constitute an offer or solicitation of securities of the Company in any states or jurisdictions.

The estimate, expectation, forecast and other future information is prepared based on the information which is available for the Company as of today and on certain assumptions and qualifications (which includes our subjective judgment) and the actual financial performance or result may be substantially different from such future information contained in the material due to risk factors including domestic and global economic conditions, trend of semiconductor market and foreign exchanges.

SUMCO CORPORATION

2Q-2021 Results	2
August 5, 2021

Contents

• Summary and Market Environment
• 2Q-2021Consolidated Business Result
• 1. Summary of Consolidated Business Result
  2. Analysis of Changes in Operating Income
  3. Consolidated Balance Sheet
  4. Consolidated Cash-Flow
• 3Q-2021Consolidated Business Forecast
• 1. Consolidated Business Forecast
  2. Analysis of Changes in Operating Income
• Reference Materials

SUMCO CORPORATION

2Q-2021 Results	3
August 5, 2021

Summary and

Market Environment

Mayuki Hashimoto

Representative Director,

CEO & Chairman of the Board

SUMCO CORPORATION

2Q-2021 Results	4
August 5, 2021

1-1. Summary

■ 2Q-2021 Consolidated Business Result		(Billions of Yen)
	2Q-2021	2Q-2021	Change
	Forecast	Actual
Net Sales	81.0	81.8	+0.8
Operating Income	11.5	12.4	+0.9
Ordinary Income	11.0	11.5	+0.5
Net Income (Note)	8.0	9.0	+1.0
Exchange Rate (Yen/US$)	109.0	109.8	+0.8
■ 3Q-2021 Consolidated Business Forecast	(Billions of Yen)
	2Q-2021	3Q-2021	Change
	Actual	Forecast
Net Sales	81.8	86.0	+4.2
Operating Income	12.4	12.5	+0.1
Ordinary Income	11.5	12.0	+0.5
Net Income (Note)	9.0	9.0	+0.0
Exchange Rate (Yen/US$)	109.8	110.0	+0.2
(Note) Net income attributable to owners of the parent
SUMCO CORPORATION	August 5, 2021		5
	2Q-2021 Results

1-2. Shareholder Return

				FY2017	FY2018	FY2019	FY2020	FY2021
				(Dec-2017)(Dec-2018)(Dec-2019)(Dec-2020)	(Dec-2021)
Dividends per share for		Interim	10	30	25	18		17
	Year-end	18	32	10	9	(*2)	-
	common stocks (Yen)
		Total	28	62	35	27	(*2)	-
	Dividends payment		Interim	2.9	8.7	7.3	5.2		4.9
		Year-end	5.2	9.3	2.9	2.6	(*2)	-
	(Billions of Yen)
		Total	8.2	18.1	10.2	7.8	(*2)	-
	Dividend ratio (%)	Total	30.4%	31.0%	31.0%	30.9%	(*1)	30.2%
	Share Buyback
	Amount （Billions of Yen)	Total	-	-	3.3	2.5	(*2)	-
	Ratio (%)	Total	-	-	10.0%	9.8%	(*2)	-
	Total Return Ratio (%)	Total	30.4%	31.0%	41.0%	40.7%	(*2)	-
			*1. Dividend ratio for FY2021 is caluculated by Interim dividend basis.
			*2. Year-end dividend and share buyback for FY2021 are not determined.

SUMCO CORPORATION

2Q-2021 Results	6
August 5, 2021

 Pricing

 Pricing

2-1. Market Environment

■ 2Q-2021

 Volume - Demand for 300 mm wafers for logic grew further, increasing tightness; for memory, NAND followed DRAM into recovery

- Due to strong demand for 200 mm and smaller wafers for automotive, consumer, and industrial, supply fell short even after boosting production with additional personnel

- Long-term contract prices held firm, while rises in spot prices have started to be accepted by some customers

■ 3Q-2021 Forecast

 Volume - Further supply and demand tightness for 300 mm wafers expected due to growing demand for memory in addition to ongoing logic demand

- Demand for 200 mm and smaller wafers should continue strong, such that supply will not be able to keep up with demand even after boosting production with additional personnel

- Aside from long-term agreement prices, rises in spot prices for both 300 mm and 200 mm wafers are taking hold

■ Outlook

 Strong demand for 300 mm wafers will continue, driven by 5G, smartphone, data center, and other needs. We have begun studies and negotiations on Green Field Investment; until Green Field Investment is launched and new production capacity is added, the supply and demand situation is expected to become increasingly tighter

 Strong demand for 200 mm wafers will also continue; supply and demand tightness is forecast to continue even after boosting production with additional personnel

SUMCO CORPORATION

2Q-2021 Results	7
August 5, 2021

2-2. 200mm Wafer Trend

(K wafres/month)

8,000
6,000
4,000
2,000	2014	2015	2016	2017
	2018	2019	2020	2021
0	1Q	2Q	3Q	4Q

(Source： SUMCO estimation)

SUMCO CORPORATION

2Q-2021 Results	8
August 5, 2021

2-3. 300mm Wafer Trend
(K wafers/month)
8,000
6,000
4,000
2,000	2014	2015	2016	2017
	2018	2019	2020	2021
0	1Q	2Q	3Q	4Q

		(Source： SUMCO estimation)
SUMCO CORPORATION	August 5, 2021	9
	2Q-2021 Results

2-4. Customer 300mm Wafer Inventory Trend

Volume（Index）			Turnover days（Index）
Input volume	Purchase volume	Customer inventory	Turnover days

14/3

6

9

12

15/3

6

9

12

16/3

6

9

12

17/3

6

9

12

18/3

6

9

12

19/3

6

9

12

20/1

2

3

4

5

6

7

8

9

10

11

12

21/1

2

3

4

5

6

(Source： SUMCO estimation)

SUMCO CORPORATION

2Q-2021 Results	10
August 5, 2021