Expansion of Semiconductor Products for Automobiles and White Goods

「At Sanken Core, growth in battery EVs slowed in the automotive market, the Company’s main market, but demand for internal-combustion vehicles, including hybrid vehicles, remained stable. In contrast, sales of products for white goods declined significantly from the second quarter onward as the shift to domestically produced semiconductors progressed in China and the Company’s market share declined.」

「At Sanken Core, products for automobiles, the Company’s main market, performed steadily. However, sales decreased 11.8% from the previous fiscal year for products for white goods because its market share declined amid intensifying competition in China.」

「Automobiles 141,536 60.2 55,562 45.7 △85,973 △60.7 White goods 47,322 20.1 47,953 39.4 630 1.3 Industrial equipment, consumer products and other 46,361 19.7 18,103 14.9 △28,258 △61.0」

「Automobiles 69,460 57.1 37,440 51.4 △32,020 △46.1 White goods 25,021 20.6 23,920 32.9 △1,101 △4.4 Industrial equipment, consumer products and other 27,067 22.3 11,430 15.7 △15,636 △57.8」

「Products for automobiles grew steadily as electrification and ADAS and other environmental and safety features advanced. In contrast, products for white goods decreased 14.2% year on year as customer inventory adjustments continued amid a prolonged adjustment in residential sales in China. The industrial and consumer markets increased only 0.7% year on year as inventory adjustments throughout the supply chain continued while capital investment in IT-related areas such as data centers stagnated.」

「The industrial and consumer markets increased 13.3% year on year, driven mainly by growth in products for FA and clean energy applications. In contrast, products for white goods decreased 9.9% year on year, significantly affected by the stagnation in property sales in China and customer inventory adjustments.」

「Products for automobiles performed well as the shift toward xEVs and the adoption of ADAS and other environmental and safety features progressed. Products for white goods generated sales at approximately the same level as the previous year, affected by weak consumption in China and customer inventory adjustments. In the industrial equipment market, performance remained firm as demand for products for FA and clean energy applications expanded.」

「Automotive products performed well as applications expanded into xEVs, electrification and environmental and safety functions such as ADAS. Products for the white goods market continued to undergo customer inventory adjustments due to deteriorating market conditions in Europe, the United States and China. Sales of products for the industrial equipment market increased significantly as demand for clean energy and factory automation applications grew substantially.」

「Products for automobiles remained firm due to progress in environmental measures such as the shift toward xEVs and the advancement of ADAS. Products for white goods continued to shift toward inverter technology and DC motors, but remained in an adjustment phase due to the impact of the global economic slowdown. In the industrial equipment market, products for OA and FA applications remained resilient, while products for servers also continued to perform steadily, resulting in higher sales.」

「For products for automobiles, progress in environmental measures such as the shift toward xEVs and the advancement of ADAS, as well as continued efforts to secure components throughout the supply chain, supported performance. For products for white goods, the shift to inverter technology and DC motors continued, but growth fell short of plan due to the economic slowdown resulting from China’s zero-COVID policy and the situation in Ukraine. In the industrial equipment market, high shipment levels continued for products such as those for servers.」

「Products for automobiles performed well, with high shipment levels continuing against a backdrop of order backlogs, the shift toward xEVs and the advancement of ADAS, as well as efforts to secure components throughout the supply chain. Products for white goods entered an adjustment phase as rapidly changing market conditions in China, Europe and the United States, caused by factors including China’s zero-COVID policy and the situation in Ukraine, affected the market, despite continued progress in the shift to inverter technology and DC motors. Sales were approximately flat year on year.」

「Products for the automotive market remained strong, supported by robust orders as in the first half. Products for the white goods market, including air conditioners and washing machines, benefited from continued demand driven by the shift to inverter technology and progressed steadily in line with plans incorporating seasonal factors. Products for the industrial equipment market also remained firm, with sales of products for servers continuing to perform well and exceeding the previous year’s level.」

「As a result, sales increased substantially from the same quarter of the previous year, which had been significantly affected by COVID-19, and consolidated net sales increased by ¥12,703 million, or 40.2%, to ¥44,314 million.」

「After the start of the second half, market conditions improved, particularly for products for white goods and automobiles, enabling full-year sales in the semiconductor device business to remain at the same level as the previous year」

「From the second quarter, demand for products for white goods for China, Europe and the United States increased, and sales exceeded the level of the same quarter of the previous year. After the start of the third quarter, products for automobiles also recovered to the same level as the previous year. Products for industrial and consumer markets, including servers and televisions, also remained firm, supported by increased communications demand during the COVID-19 pandemic and stay-at-home demand」

「In the second quarter, sales of products for white goods such as highly energy-efficient inverter air conditioners recovered to above the level of the same quarter of the previous year, while products for automobiles also showed signs of recovery toward the end of the second quarter」

「The business was affected by order adjustments throughout the supply chain in line with the global decline in automotive production, as well as a temporary adjustment in products for white goods compatible with highly energy-efficient inverter air conditioners, which had previously performed well. As a result, consolidated net sales in the business fell sharply by ¥5,488 million, or 16.4%, year on year to ¥28,067 million.」

「Products for inverter air conditioners with high energy efficiency, which leverage the Company’s technological strengths, continued to grow, particularly in the Chinese market. However, amid sluggish growth in the global automotive market, sales of the Company’s core products for automobiles declined, while demand for products for AV equipment and industrial equipment also decreased due to weak market conditions.」

「In the semiconductor device business, products for inverter air conditioners with high energy efficiency, which leverage the Company’s technological strengths, continued to grow steadily, particularly in the Chinese market. However, amid sluggish growth in the global automotive market, sales of products for automobiles, a core product line of the Company and its U.S. subsidiary Allegro MicroSystems, Inc., declined, while sales of products for industrial equipment also fell sharply.」

「As market conditions in the global automotive market deteriorated, inventory adjustments progressed gradually throughout the supply chain. Sales fell sharply not only for products for automobiles, a core product line of the Company and its U.S. subsidiary Allegro MicroSystems, Inc., but also for products for industrial equipment.」

「Sales of the Company’s products, particularly those used in highly energy-efficient inverter air conditioners, continued to grow. However, demand for products for automobiles, a core product line of the Company and its U.S. subsidiary Allegro MicroSystems, Inc., declined, while sales of products for industrial equipment also remained sluggish.」

「Sales in the semiconductor device business remained firm, but growth slowed after the start of the second half due to factors including the economic slowdown in China」

「In the semiconductor device business, sales of products for white goods and industrial equipment remained strong, mainly in overseas markets, while products for the automotive market also performed steadily. As a result, consolidated net sales in the business increased by ¥3,859 million, or 3.6%, year on year to ¥111,722 million.」

「In the semiconductor device business, sales of products for white goods such as air conditioners and washing machines continued to expand, while sales of products for automobiles remained firm. As a result, consolidated net sales in the business increased by ¥3,475 million, or 4.8%, year on year to ¥75,180 million.」

「In the semiconductor device business, sales of products for white goods such as air conditioners and washing machines expanded, while sales of products for automobiles remained firm. As a result, consolidated net sales in the business increased by ¥1,293 million, or 3.7%, year on year to ¥36,485 million.」

「In the semiconductor device business, sales of products for white goods continued to perform well, while sales of products for automobiles also remained firm. As a result, consolidated net sales in the business increased by ¥13,919 million, or 14.8%, year on year to ¥107,863 million.」

「In the semiconductor device business, sales of products for white goods and automobiles continued to perform well, resulting in net sales of ¥86,000 million, an increase of ¥9,944 million, or 13.1%, from the same quarter of the previous year.」

「In the semiconductor device business, sales of products for white goods such as air conditioners, washing machines and refrigerators expanded, while products for automobiles, where electrification is progressing, continued to sell well. As a result, consolidated net sales in the business increased by ¥4,271 million, or 13.8%, year on year to ¥35,192 million.」

「In the semiconductor device business, sales of products for automobiles and products for white goods such as air conditioners and washing machines remained strong. As a result, consolidated net sales in the business increased by ¥1,928 million, or 2.1%, year on year to ¥93,944 million. Consolidated operating income consequently increased by ¥228 million, or 3.7%, from the same quarter of the previous year to ¥6,362 million.」

「Sales of products for automobiles and products for white goods such as air conditioners and washing machines increased, but」

「Consolidated net sales increased by ¥1,220 million, or 4.1%, year on year to ¥30,921 million, reflecting increased sales of products for automobiles and products for white goods such as washing machines and refrigerators.」