Results of Operations and Fiscal Year Forecast

Transcription

1 Results of Operations and Fiscal Year Forecast First Half of the Fiscal Year Ending May 2005 January 26, 2005 INTER ACTION Corporation 1

2 Corporate Profile - Established June 25, Locations Head office: Kanazawa-ku, Yokohama Kumamoto TSDC: Koushi-machi, Kikuchi-gun, Kumamoto - Common stock 1,101,259,450 -Shares issued 63,820 shares - Number of employees 45 (average age: 29 years old) - IPO on Mothers Market of the Tokyo Stock Exchange February 14, 2001 (stock code: 7725) 2

3 Corporate Philosophy Client First The Client is Always First Outstanding technology Young and talented employees 3

4 Core Activities Illuminators IP modules Fiber-optic sensors 4

5 Optical Product Division Front-end process illuminators Illuminator for connection with prober [IA-OPT228W] Illuminator with built-in tester [IA-OPT190] 5

6 Optical Product Division Back-end process illuminators Quad-site illuminator [OPTPATH-4P] Eight-site illuminator [OPTPATH-8P] 6

7 Optical Product Division Comprehensive skills in optical, mechanical and software technology Dedicated to putting the client first An operating framework that competitors cannot match 7

8 Image Processing Division IP module [IA-IPM020] IP module linked to a tester 8

9 Image Processing Division Sell the IP module worldwide. Accumulate technologies and knowledge required to supply clients with total solutions. 9

10 The Kumamoto TSDC Exterior view of the Kumamoto Test Solutions Development Center (TSDC) 10

11 The Kumamoto TSDC Equipped with various testing equipment The Agilent tester 11

12 The Kumamoto TSDC Equipped with testers, IP modules, illuminators and probers Develops total solutions for the testing of semiconductor imagers An efficient developments and manufacturing base 12

13 Fiber-Optic Sensor Division Sensors for specific applications Standard unit Extender (optional) Rod unit Waterproof unit (option) Binary unit 13

14 Fiber-Optic Sensor Division Introduction of FiSty A new home security system Progress with FiMty An environmental monitoring system to prevent disasters 14

15 INTER ACTION Corporation Financial Highlights (First Half of the Fiscal Year Ending May 2005) 15

16 Financial Results 1 Year ended May 31, 2004 First-half results Year ending May 31, 2005 Second-half forecasts (yen in millions) Full year forecasts Sales 2, ,600 Gross profit 1, SG&A expenses Operating income Ordinary income Net income

17 Financial Results 2 Year ended May 31, 2004 First-half results Year ending May 31, 2005 Second-half forecasts (yen in millions) Full year forecasts R&D expenditures Capital investment Depreciation and amortization

18 Analysis of the Financial Results (yen in millions) 1H ended Nov. 30, H ended Nov. 30, 2004 Sales 1, Gross profit 784 (56.1%) 371 (54.3%) SG&A expenses Operating income 549 (39.3%) Ordinary income 524 (37.5%) Net income 299 (21.4%) 37 (5.5%) 14 (2.2%) 6 (0.9%) 18

19 Quarterly Sales and Profit Margins (Two-year summary) (yen in millions) Gross profit margin 56.2% 34.7% Sales 57.2% 54.9% 57.6% 43.4% 41.6% 36.4% Operating margin 54.0% 23.5% 56.5% 31.4% 47.8% % FY02/3Q 4Q FY03/1Q 2Q 3Q 4Q FY04/1Q 2Q 59.3% 9.9% 70% 60% 50% 40% 30% 20% 10% 0% 19

20 Cash Flows (yen in millions) 1H ended Nov. 30, 2003 Year ended May 31, H ended Nov. 30, 2004 Net income before income taxes Depreciation and amortization Decrease (increase) in receivable trade Others (172) (244) (401) Net cash provided by (used in) operating activities (31) Capital investment and others (26) (231) (167) Net cash provided by (used in) investing activities (26) (231) (167) Increase (decrease) in short- and long-term 18 (45) 266 borrowings Proceeds from new share issue 6 1, Cash dividends paid (45) (44) (51) Payment for acquisition of treasury stock - - (163) Net cash provided by (used in) financing activities (20) Effective of exchange rate changes on cash and cash - (9) (8) equivalents Net change in cash and cash equivalents 442 1,337 (145) Cash and cash equivalents at beginning of period ,266 Cash and cash equivalents at end of period 1,372 2,266 2,121 20

21 Sales by Product Segment (yen in millions) Illuminators IP modules Others FY02/3Q 4Q FY03/1Q 2Q 3Q 4Q FY04/1Q 2Q 21

22 Share of Total Sales 0% 50% 100% 2Q FY04/1Q 4Q 3Q 2Q FY03/1Q 4Q FY02/3Q Illuminators IP modules Others 22

23 Quarterly Orders (yen in millions) Orders received 1Q ended Aug. 31, 2003 FY ended May 31, 2004 FY ending May 31, Q ended 3Q ended 4Q ended 1Q ended 2Q ended Nov. 30, Feb. 29, May 31, Aug. 31, 2004 Nov. 30, Illuminators 110 Illuminators 411 IP modules 97 IP modules 154 Services/Others 79 Services/Others 42 Cancellation, etc. (150) Sales Illuminators 190 Illuminators 162 IP modules 69 IP modules 109 Services/Others 42 Services/Others 113 Order backlog , Illuminators 406 Illuminators 547 IP modules 306 IP modules 318 Services/Others 121 Services/Others 43 23

24 INTER ACTION Corporation Business Objectives Aiming to become a source of total solutions that integrate optical technology with expertise in image processing tests 24

25 Optical Product Division Optical Products Today Halogen Large Area Built-in Illuminator Multi site test for ATE system LED Built-in Illuminator Low cost test for ATE system Camera Module LED Illuminator Single or multi site Future More multi sites More downsizing Automated solutions Remote service Infrared Rays Illuminator Automotive applications Security applications Pupil Lens Module Multi sites More multi sites Aspheric surface lens solution Variable parameters 25

26 Image Processing Division Image Processing Kumamoto TSDC IP Module Today Agilent SOC Tester Automated Camera Module inspection Unit LED illuminator + IP module + DC tester Future More multi sites Speeding up Lower price Mega-pixel capability Automated solutions Speeding up General-Purpose IP Module Image testing and evaluation Expanded scope of inspection (includes items other than semiconductors) 26

27 The Future of Image Sensor Testing Today Future Wafer tests Semiconductor Tester 4-8 chips at once Advanced SOC Semiconductor Tester 8-16 chips at once More advanced SOC Package testers Semiconductor Tester 4-8 chips at once Wafer sales Automation Production of Camera Modules No need for semiconductor tester Module testers Built-in Tester Manual inspections 27

28 Growth in Global Production of CCD/CIS Imagers (Unit: Million units) CCD CIS (Source: isuppli Japan K.K.) 28

29 Manufacturers of Image Sensors CCD Manufacturers * Companies are listed in alphabetic order Atmel, Fujifilm Microdevices, Kodak, Matsushita, Samsung, Sanyo, Sharp, Sony CIS Manufacturers Agilent, Altasens, Canesta, Canon, Cypress(Fillfactory), ElecVision, ESS, Foveon, Fujitsu, Hynix Semiconductor, IC Media, Kodak, Matsushita, Micron, Omnivision Technologies, Panavision, Philips, PixArt,Pixim,Samsung, Sharp, SMal Camera, Sony, STMicroelectronics, TASC, Toshiba, Tower Semiconductor, TransChip, Zoran Test Houses ASE, Amkor, ChipMOS, GTI, KEYC, Winstek, Sigurd, SPIL, STATS 29

30 Fiber-Optic Sensor Division Today Future Fiber Optic Sensors The FiMty environmental monitoring system to prevent disasters Detection of land movement Detection of cracks Detection of fluid leaks Monitors health of large structures The FiSty home security system More downsizing Lower price Fiber-optic security technology Plan to increase sales by granting licenses to other companies and forming business alliances 30

31 Precautions Concerning Forward-Looking Statements These presentation materials contain information that is based on the company s current expectations, estimates and forecasts. These forward-looking statements embody known and unknown risks and uncertainties that could cause the company s actual financial condition and operating activities to differ from these statements. 31