Business Structure Centered on the Semiconductor Manufacturing Equipment Business

「In the semiconductor manufacturing equipment business, sales to Taiwan and China increased against a backdrop of higher investment in general-purpose memory, and sales of singulation equipment grew substantially. Sales reached ¥49,870 million, up ¥911 million, or 1.9%, from the previous consolidated fiscal year. Operating income was ¥6,518 million, down ¥1,835 million, or 22.0%, affected by a deterioration in the product mix for transfer equipment and temporary additional costs associated with the initial delivery of compression equipment.」

「[Semiconductor Manufacturing Equipment Business] In the semiconductor manufacturing equipment business, sales declined mainly in China, South Korea and other parts of Asia as customers continued to take a wait-and-see approach to capital investment from the second half of the previous fiscal year. Sales were ¥21,585 million, down ¥3,729 million, or 14.7%, year on year. Operating income was ¥2,350 million, down ¥2,712 million, or 53.6%, year on year, reflecting the decline in sales.」

「In the semiconductor manufacturing equipment business, sales reached ¥48,959 million, up ¥3,055 million, or 6.7%, from the previous consolidated fiscal year, while operating income was ¥8,353 million, up ¥255 million, or 3.2%.」

「In the semiconductor manufacturing equipment business, operating results benefited from continued investment in semiconductor in-house production in China and steady deliveries of equipment for generative AI applications in South Korea. Sales increased mainly for compression equipment and molds, reaching ¥25,314 million, up ¥6,324 million, or 33.3%, year on year. Operating income was ¥5,063 million, up ¥2,971 million year on year, or 2.4 times the prior-year level, reflecting higher sales and an improved product mix resulting from increased compression equipment sales.」

「In the semiconductor manufacturing equipment business, sales in Southeast Asia remained firm, while orders and sales in China showed signs of recovery as investment in semiconductor in-house production accelerated again. However, continued weakness in investment for consumer products, particularly in Taiwan, resulted in net sales of ¥28.651 billion, down ¥8.283 billion, or 22.4%, year on year. In the fine plastic molded products business, net sales were ¥1.624 billion, up ¥197 million, or 13.8%, year on year, and operating profit was ¥353 million, up ¥79 million, or 29.1%. In the laser processing equipment business, net sales were ¥1.756 billion, down ¥52 million, or 2.9%, year on year, and operating profit was ¥91 million, down ¥60 million, or 39.7%.」

「In the semiconductor manufacturing equipment business, sales in Southeast Asia were strong as semiconductor-related capital investment continued in light of geopolitical risks and growing demand for automotive semiconductors. However, sales in China and Taiwan were sluggish due to lower investment in consumer products, resulting in net sales of ¥18.989 billion, down ¥7.672 billion, or 28.8%, year on year. Operating profit was ¥2.091 billion, down ¥3.503 billion, or 62.6%, due to the decline in net sales.」

「In the semiconductor manufacturing equipment business, sales in Southeast Asia were strong as semiconductor-related capital investment continued from the standpoint of geopolitical risk and amid growing demand for automotive and power semiconductors. However, sales in China and Taiwan were sluggish due to lower investment in consumer products, resulting in net sales of ¥8.536 billion, down ¥5.043 billion, or 37.1%, year on year. Operating profit was ¥795 million, down ¥1.972 billion, or 71.3%, due to the decline in net sales.」

「In the semiconductor manufacturing equipment business, sales to China and Taiwan declined due to requests from some customers to postpone delivery of molding equipment amid deteriorating semiconductor market conditions, delays in completing customer factories caused by parts shortages related to COVID-19, and delayed equipment installation due to logistics delays. However, sales of molding equipment and molds for automotive and power semiconductors remained high in Southeast Asia, resulting in net sales of ¥36.935 billion, up ¥1.641 billion, or 4.7%, year on year. As described above, operating profit was ¥7.087 billion, down ¥1.586 billion, or 18.3%, year on year, due to the impact of foreign exchange and higher fixed costs.」

「In the semiconductor manufacturing equipment business, sales of molding equipment and molds remained high, mainly in China, Taiwan and elsewhere in Asia, resulting in net sales of ¥26.662 billion, up ¥4.365 billion, or 19.6%, year on year. Despite the increase in net sales, costs at overseas subsidiaries rose sharply due to the weaker yen, while fixed costs increased because of staffing increases toward achieving TOWA Vision 2032 and research and development expenses aimed at anticipating customer needs. As a result, operating profit rose only slightly to ¥5.595 billion, up ¥173 million, or 3.2%.」

「In the semiconductor manufacturing equipment business, investment continued at a high level from the previous fiscal year to increase production of automotive semiconductors, including EV applications, and power semiconductors. As a result, net sales were ¥13.580 billion, up ¥2.634 billion, or 24.1%, year on year. Although net sales increased, profitability declined due to changes in product mix, including a lower sales mix of high-value-added compression equipment, higher fixed costs from measures to strengthen staffing toward achieving TOWA Vision 2032, and temporarily higher expenses such as repairs. Operating profit therefore rose only slightly to ¥2.767 billion, up ¥87 million, or 3.3%.」

「In the semiconductor manufacturing equipment business, sales of molding equipment, molds and singulation equipment increased substantially in China, where investment in semiconductor in-house production continued, while sales also grew significantly in Taiwan and elsewhere in Asia, mainly for high-speed communications standard (5G)-related products and automotive applications. As a result, net sales were ¥46.715 billion, up ¥20.179 billion, or 76.0%, from the previous consolidated fiscal year. Operating profit was ¥11.007 billion, up ¥7.674 billion, or 3.3 times the prior-year level, due to higher profit from increased sales and cost savings from improved factory utilization.」

「In the semiconductor manufacturing equipment business, sales of semiconductor molding equipment, molds and singulation equipment in China remained high, while sales also increased in Taiwan and elsewhere in Asia. As a result, net sales were ¥35.293 billion, up ¥17.012 billion, or 93.1%, year on year. Operating profit was ¥8.673 billion, up ¥6.561 billion, or 4.1 times the prior-year level, due to higher profit from increased sales and cost savings from improved factory utilization.」

「In the semiconductor manufacturing equipment business, sales of semiconductor molding equipment and molds remained high, mainly in China and Taiwan, resulting in net sales of ¥22.296 billion, up ¥10.943 billion, or 96.4%, year on year. Operating profit was ¥5.421 billion, up ¥4.366 billion, or 5.1 times the prior-year level, as higher sales increased profit and improved factory utilization reduced costs, while profit margins on semiconductor molding and singulation equipment also improved.」

「In the semiconductor manufacturing equipment business, investment in semiconductor in-house production in China and investment to expand production capacity in Taiwan and elsewhere became more active. As a result, sales of molding equipment and molds increased, resulting in net sales of ¥10.946 billion, up ¥5.930 billion, or 2.2 times the prior-year level. Profitability improved as increased orders and sales improved factory utilization, while sales of high-value-added products such as compression equipment also increased. Operating profit was ¥2.680 billion, up ¥2.413 billion, or 10.0 times the prior-year level.」

「In the semiconductor manufacturing equipment business, sales of molding equipment and molds increased substantially in China, where investment in semiconductor in-house production continued, while sales of singulation equipment grew significantly, mainly for 5G-related products such as smartphones. As a result, net sales were ¥26.536 billion, up ¥4.632 billion, or 21.1%, from the previous consolidated fiscal year.」

「In the semiconductor manufacturing equipment business, sales increased to China, where investment continued as the country promoted semiconductor in-house production, and to Taiwan, where active investment continued on the back of growing demand for a broad range of products, including 5G-related products, notebook PCs, game consoles and home appliances.」

「As a result, net sales were ¥11.353 billion, up ¥1.445 billion, or 14.6%, year on year, and operating profit was ¥1.055 billion, compared with an operating loss of ¥276 million in the prior-year period.」

「As a result, net sales were ¥5.016 billion, up ¥1.210 billion, or 31.8%, year on year, and operating profit was ¥267 million, compared with an operating loss of ¥643 million in the prior-year period.」

「In the semiconductor manufacturing equipment business, sales of equipment using TOWA’s proprietary compression technology remained firm in the period under review, but the decline during the first-quarter consolidated accounting period, from April to June 2019, which was heavily affected by the US-China trade war, resulted in net sales of ¥16.371 billion, down ¥2.890 billion, or 15.0%, year on year. On the earnings front, growth in sales of highly profitable compression equipment eliminated the operating loss recorded through the six months ended the second quarter, resulting in operating profit of ¥96 million for the nine months ended the third quarter, down ¥354 million, or 78.6%, year on year.」

「In the semiconductor manufacturing equipment business, customers continued to take a cautious approach to capital investment against the backdrop of the US-China trade war, while a full-scale recovery in semiconductor market conditions was slower than expected. As a result, net sales were ¥9.907 billion, down ¥4.227 billion, or 29.9%, year on year. Operating loss was ¥276 million, compared with operating profit of ¥811 million in the prior-year period.」

「In the semiconductor manufacturing equipment business, the decline in memory prices, slowing smartphone demand and uncertainty over the outlook due to factors including the US-China trade war significantly affected customers’ investment decisions, and the recovery in investment sentiment took longer than expected. As a result, net sales were ¥3.805 billion, down ¥3.443 billion, or 47.5%, year on year. Although the Company continued cost-reduction initiatives from the fourth quarter of the previous fiscal year and reviewed fixed costs, the significant decline in net sales resulted in an operating loss of ¥643 million, compared with operating profit of ¥606 million in the prior-year period.」

「In the semiconductor manufacturing equipment business, net sales were ¥24.825 billion, down ¥4.753 billion, or 16.1%, from the previous consolidated fiscal year, and operating profit was ¥540 million, down ¥2.961 billion, or 84.6%. In the laser processing equipment business, net sales were ¥1.844 billion and operating profit was ¥172 million, achieving profitability in its first year as a member of the Group.」

「In the laser processing equipment business, sales of laser trimmers remained firm against the backdrop of resilient demand for electronic components, particularly automotive applications, resulting in net sales of ¥903 million. However, the Company recorded ¥56 million in amortization of goodwill related to the acquisition of shares in OMRON Laserfront Inc. during the second quarter, resulting in an operating loss of ¥0 million.」

「As the Company acquired shares in OMRON Laserfront Inc. in August 2018, the laser processing equipment business was added as a reportable segment from the second quarter of the fiscal year under review.」

「In the semiconductor manufacturing equipment business, net sales were ¥7.249 billion, up ¥532 million, or 7.9%, year on year, while operating profit was ¥606 million, down ¥360 million, or 37.3%.」

「In the semiconductor manufacturing equipment business, net sales were ¥29.579 billion, up ¥3.197 billion, or 12.1%, from the previous consolidated fiscal year, while operating profit was ¥3.502 billion, down ¥196 million, or 5.3%.」

「In the semiconductor manufacturing equipment business, net sales were ¥21.599 billion, up ¥988 million, or 4.8%, year on year, while operating profit was ¥3.099 billion, down ¥87 million, or 2.8%.」

「In the semiconductor manufacturing equipment business, net sales were ¥14.930 billion, up ¥1.369 billion, or 10.1%, year on year, and operating profit was ¥2.412 billion, up ¥482 million, or 25.0%.」

「In the semiconductor manufacturing equipment business, net sales were ¥6.716 billion, up ¥271 million, or 4.2%, year on year, and operating profit was ¥966 million, up ¥337 million, or 53.6%.」

「In the semiconductor manufacturing equipment business, net sales were ¥20.611 billion, up ¥5.541 billion, or 36.8%, year on year, and operating profit was ¥3.187 billion, up ¥2.129 billion year on year, or 3.0 times the prior-year level.」

「In the semiconductor manufacturing equipment business, net sales were ¥13.561 billion, up ¥2.492 billion, or 22.5%, year on year, and operating profit was ¥1.929 billion, up ¥704 million, or 57.5%.」

「In the semiconductor manufacturing equipment business, net sales were ¥6.445 billion, up ¥1.013 billion, or 18.7%, year on year, and operating profit was ¥629 million, up ¥151 million, or 31.7%.」