ULVAC : Financial Results Presentation for FY2023.06 (Mid-term Management Plan)

ULVAC, Inc.

FY2023/6

Business Results

(July 2022 - Jun 2023)

Aug.8, 2023

Disclaimer regarding forward-looking statements

Forward-looking statements of the company in this presentation are based on information that was available at the time these documents were prepared. There are several factors that directly or indirectly impact the company performance, such as the global economy; market conditions for FPDs, semiconductor, electronic devices, and raw materials; trends in capital expenditures and fluctuations in exchange rates. Please note that actual business results may differ significantly from these forecasts and future projections.

Note:

This document has been translated from the Japanese original for reference purposes only. In the event of any discrepancy between this translated document and the Japanese original, the original shall prevail.

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Summary

Consolidated Financial Results for the Fiscal Year Ended June 30, 2023

• Both orders and sales decreased vs. same period of the previous year due to a reactionary decline in LCD investments for IT panels, but Semiconductors, Electronics and Components steadily increased.
• Operating profit decreased vs. same period of the previous fiscal year due to lower sales and higher R&D expenses for Semiconductors-related and other products, which are upfront investments.
• Both sales and operating profit exceeded the previous revised forecast.

Review of previous mid-term management plan

• Sales exceeding the original mid-term management plan sales target of ¥210 billion.
• Orders received grew 1.6 times from FY20/6 to ¥247.2 billion, driven by growth drivers such as logics for Semiconductors, power devices, and various electronic devices.
• Profit margin improved steadily through strengthening manufacturing capabilities until the first half of FY22/6. Thereafter, the effect was reduced by the impact of longer delivery times for parts and materials, etc and the target for improvement in gross profit margin was not achieved.

New mid-term management plan

• B as ic po l ic y: "Creating Social Value Through Vacuum Technology" and "Enhancing Profit and Capital Efficiency Oriented
  Management"
• FY26/6 target: Net sales of ¥300 billion, gross profit margin of 35% and operating profit (margin) of ¥48 billion(16%)
• Recovery in both sales and operating profit is expected from FY24/6 H2

Copyright© 2023, ULVAC, Inc. All rights reserved

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FY2023/6 Business Results

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Business Results for FY2023/6

• Both orders and sales decreased from the same period of the previous year due to a decrease in FPDs and materials, despite an increase in Semiconductors, Electronics and Components.
• Operating profit margin declined to 8.8% (-3.7 pt. YoY) due to lower sales and higher SG&A expenses, mainly due to upfront R&D expenses.

	FY22/6			FY23/6
(Unit:¥1 billion)
Actual	Forecast	Actual	YoY		Vs.Forecast
Orders Received	270.1	250.0	247.2	-22.9	-8%	-2.8	-1%
Net Sales	241.3	215.0	227.5	-13.8	-6%	+12.5	+6%
Gross Profit	73.7	-	67.2	-6.5	-9%	-	-
Gross Profit Margin	30.6%	-	29.5%	-1.1pt	-	-	-
SG&A	43.7	-	47.2	+3.5	+8%	-	-
Operating Profit	30.1	17.5	19.9	-10.2	-34%	+2.4	+14%
Operating Profit Margin	12.5%	8.1%	8.8%	-3.7pt	-	+0.6pt	-
Profit attributable to	20.2	16.0	14.2	-6.0	-30%	-1.8	-11%
owners of parent
To net sales ratio	8.4%	7.4%	6.2%	-2.2pt	-	-1.2pt	-

• Forecast revised in May 2023

Copyright© 2023, ULVAC, Inc. All rights reserved

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