FY 2Q Financial Results
Ended September 201711/8/2017
F-TECH Inc.
TSE 1st Section ：7212
http://www.ftech.co.jp
Copyright(c) 2017 F-tech Inc.All Right Reserved1Table of Contents

1. Financial Results
Overview
2. Earnings Forecast
3. Topics

Yuichi Fukuda
President & CEO
Copyright(c) 2017 F-tech Inc.All Right Reserved

2

Table of Contents

1. Financial Results
Overview
2. Earnings Forecast
3. Topics

Yuichi Fukuda
President & CEO
Copyright(c) 2017 F-tech Inc.All Right Reserved3Consolidated Financial Results Overview (Year on Year)(Million yen)

2Q Ended Mar 2017

2Q Ended Mar 2018

Difference

90,801―

107,511―

16,70918.4%

Operating Income

3,033

3.3%

3,902

3.6%

869

28.7%

Income before tax

2,230

2.5%

3,248

3.0%

1,017

45.6%

Profit Attributable toowners of parent

687

0.8%

1,969

1.8%

1,281

186.5%

Earnings per share(Yen)

44.77

―

114.89―70.12

156.6%

Sales

Foreign Exchange Impacts

Q2 FY
Mar 2017

Q2 FY
Mar 2018

Difference

1US$

105.36 yen

111.29 yen

5.93 yen

1CAN$

81.11 yen

86.16 yen

5.05 yen

1Yuan(RMB)

17.03 yen

16.37 yen

▲ 0.66 yen

Increase in consolidated sales and profit globally.
(Exchange impacts and major customers production increase.)
Copyright(c) 2017 F-tech Inc.All Right Reserved4

Consolidated Sales (Year on Year)
Consolidated Sales by Segment (Million Yen)

Share of Sales （%）

120,000
100,000

Japan 12.5%

N. America
59.6%

N. America
59.8%(NorthAmerica)
0.2%
Increase(Asia)
0.5%
Increase

Japan 11,948

60,000N.America
54,11240,00020,000N. America
64,322

Asia 24,740

Asia 29,795

Asia 27.2%

Asia 27.7%

Q2 FY 2017 ActualQ2 FY 2018 ActualSep 2017 ActualSep 2018 Actual0Changes in Consolidated Sales
Q2 FY
Mar 2017

Q2 FYMar 2018

(Japan)▲0.7%
Decrease

Japan 13.2%
Japan 13,393

80,000(Unit: M Yen)

Difference

Difference(%)

FX Impacts

RealDifference

Difference
(%)

Japan

11,94813,393

1,444

12.1%

－1,444

12.1%

N. America

54,11264,322

10,210

18.9%

3,440

6,769

12.5%

Asia

24,74029,795

5,055

20.4%

▲391

5,446

22.0%

Consolidated

90,801

107,511

16,709

18.4%

3,049

13,66015.0%

All segment increase sales(Except Asian sales made substantial increase without exchange Impacts)
Copyright(c) 2017 F-tech Inc.All Right Reserved5Operating Profit by Segment (Year on Year)(Unit: M yen)Amount

Share

Q2 FY
2017
ActualQ2 FY
2018
ActualJapan

282935653

N. America

1,304

727

Asia

1,518

Total

Q2 FY
2017
ActualQ2 FY
2018
ActualDifference(%)

231.8%

9.3%

24.0%

14.7%

▲576

▲44.2%

43.0%

18.6%

▲24.3%

2,297

778

51.3%

50.1%

58.9%

8.8%

3,105

3,960

855

27.6%

102.4%

101.5%▲0.9%

Adjustment▲71▲5713▲19.0%

▲2.4%

▲1.5%

0.9%

Consolidated

3,0333,902869

28.7%

100.0%

100.0%

0.0%

Difference
Difference(%)

Copyright(c) 2017 F-tech Inc.All Right Reserved

6

Operating Profit Movement Factors
Japan

N. America

Asia

Increase

Decrease（Unit : M Yen)

3,902

Others
▲264

Other
10

Products
376

Consoli
Adjust13

FX
Impacts
6

3,033
Products917

Others▲1,002

Products812

FY 2Q 2017
Operating
Profit Actual

FY 2Q 2018
Operating
Profit Actual
Copyright(c) 2017 F-tech Inc.All Right Reserved

7

Table of Contents

1. Financial Results
Overview
2. Earnings Forecast
3. Topics

Yuichi Fukuda
President & CEO
Copyright(c) 2017 F-tech Inc.All Right Reserved

8Consolidated Results Forecast Overview (FY Mar 2018)(Unit：M yen)

FY Mar 2018 Forecast(Last forecast)FY Mar 2018 Forecast(Current update)

209,000―

220,000―

11,000

5.3%

Operating profit

8,000

3.8%

8,200

3.7%

200

2.5%

Profit before tax

7,400

3.5%

7,100

3.2%

▲300

▲4.1%

Profit attributable toowners of parent

4,000

1.9%

4,400

2.0%

400

10.0%

239.14―245.70

―

6.56

2.7%

Sales

Earnings per share (Yen)

Difference

Foreign Exchange Impacts

Last forecast

Current update

Difference1US$

108.00 Yen

110.91 Yen

2.91 Yen

1CAN$

80.00 Yen

85.63 Yen

5.63 Yen

1Yuan(RMB)

15.70 Yen

16.44 Yen

0.74 Yen

Increase in sales and profit (Mainly foreign exchange impacts)
Copyright(c) 2017 F-tech Inc.All Right Reserved

9Consolidated Sales Forecast (FY Mar 2018)
Consolidated Sales by Segment
200,000

209,000

220,000

Japan 26,289

Japan 27,876

150,000
100,000

N. America
126,927

Share of Sales （%）

N. America
129,235

Japan 12.6%

Japan 12.7%

N. America
60.7%

N. America
58.7%(Japan)0.1%
Increase(North America)▲2.0%
Decrease50,000
Asia 55,782

Asia 62,887

FY Mar 2018 Last
forecast

FY Mar 2018 Updated
forecast(Asia)
1.9%
Increase

Asia 26.7%

Asia 28.6%

FY Mar 2018 Last
forecast

FY Mar 2018 Updated
forecast

0Changes in Consolidated Sales
Last forecast

Current
updateDifference

Difference(%)

FX Impacts

Real
Difference

Difference
(%)

Japan

26,28927,876

1,586

6.0%

－1,5866.0%

N. America

126,927

129,235

2,307

1.8%

5,309

▲3,001

▲2.4%

Asia

55,78262,887

7,105

12.7%

2,889

4,217

7.6%

Consolidated

209,000

220,000

11,000

5.3%

8,198

2,802

1.3%

Sales increased (Japanese and Asian sales increase covered N. America sales reduction)
Copyright(c) 2017 F-tech Inc.All Right Reserved

10Operating Income by Segment (Year on Year)(Unit: M yen)AmountShare

FY Mar FY Mar
2018
Difference
2018
Difference
Last
Update(%)
forecast forecast

FY Mar FY Mar2018
2018
Difference
Last
Update(%)
forecast forecast

Japan

921

1,469

548

59.6%

11.5%

17.9%

6.4%

N. America

1,705

1,019

▲686

▲40.3%

21.3%

12.4%

▲8.9%

Asia

4,973

5,783

810

16.3%

62.2%

70.5%

8.4%

Total

7,6008,272672

8.8%

95.0%

100.9%

5.9%

Adjustment400▲72▲472▲118.1%

5.0%

▲0.9%

▲5.9%

Consolidated

8,000

8,200

2002.5%100.0%

100.0%－Copyright(c) 2017 F-tech Inc.All Right Reserved

11

Operating Profit Movement Factors
JapanN. America

Increase

Asia

Decrease（Unit ：M Yen）

Other
▲458,000
Products593

Products▲208,200
Other
144
Other
▲753

Products405

March 2018
Operating Profit（Last Forecast）

Consoli
Adjust▲472

FX
Impacts
348

March 2018
Operating Profit（Current update）
Copyright(c) 2017 F-tech Inc.All Right Reserved

12Changes in Sales by Customer
144,089

172,456

175,579

196,343

197,941

209,000

4.0%

4.4%

4.0%

3.8%

3.5%

3.4%

7.6%

8.6%

9.5%

100%
90%

10.9%

80%

12.0%

11.5%

OthersSuzuki
Mitsubishi
ToyotaNissan

70%

80.5%

79.9%

79.0%

77.6%

60%

GM

76.4%

74.6%

Honda

50%

FY Mar 2013 FY Mar 2014 FY Mar 2015 FY Mar 2016 FY Mar 2017 FY Mar 2018

Honda
GM
NissanToyotaMitsubishi
SuzukiOthersFY Mar 2013

FY Mar 2014

FY Mar 2015

FY Mar 2016

FY Mar 2017

116,046
10,935
5,773
3,919
217
114
7,085
144,089

137,70814,880
7,536
5,209
370
127
6,626
172,456

138,635
16,622
7,024
5,875
526
135
6,762
175,579

152,435
21,345
7,435
6,204
1,803
321
6,800
196,343

151,282
23,683
6,985
5,658
2,036
197
8,101
197,941

Copyright(c) 2017 F-tech Inc.All Right Reserved

FY Mar 2018
Forecast
164,057
25,385
7,451
6,188
2,417
208
14,294220,000
13

Financial Position
Total Asset

Capital Investment

Depreciation

Interest-Bearing Debt

Dependence on(Unit: M Yen)
Interest-Bearing Debt

160,000

50.0%

140,000
40.0%

120,000
100,000

30.0%

80,00020.0%

60,00040,000

10.0%

20,0000

FY Mar 2013 FY Mar 2014 FY Mar 2015 FY Mar 2016 FY Mar 2017 FY Mar 2018
Total Asset
91,200111,062
132,697
137,980
144,420
148,145
Capital Investment
10,696
12,715
14,987
20,57814,094
12,762
Depreciation
6,544
7,508
8,920
10,081
10,335
12,322
Interest-Bearing Debt
39,78644,67956,57058,68659,12958,198
Dependence on
43.6%
40.2%
42.6%
42.5%
40.9%
39.3%
Interest-Bearing Debt
Copyright(c) 2017 F-tech Inc.All Right Reserved

0.0%

14Table of Contents

1. Financial ResultsOverview
2. Earnings Forecast
3. Topics

Yuichi Fukuda
President & CEOCopyright(c) 2017 F-tech Inc.All Right Reserved15Capital Status
The 2020 maturity yen convertible bond(CD), which
was fully converted into equity on Sep. 12, 2017 as
we executed a call option.
ColumnMarch 2017

September 2017

Difference

CB Balance

2,350 M Yen

0▲2,350 M Yen

Issued shares

16,760,425

18,712,244＋1,951,819

Capital5,615 M Yen

6,790 M Yen＋1,175 M Yen

Capital Surplus

6,155 M Yen

7,330 M Yen＋1,175 M Yen〈Reference〉
Issue Date
Mature Date
Issued Amt
Convert Amt

2015/3/20
2020/3/23
4,000 M Yen
1,204 Yen

Issued shares
CapitalCapital Surplus

2015 March End
15,390,000
4,790 M Yen
5,228 M Yen

Copyright(c) 2017 F-tech Inc.All Right Reserved

161st Half New production models (2017/4～2017/9)
Areas

Japan

N.A

Customer

April

May

June

July

HONDA

N-BOX

NISSAN

LEAF

HONDA

OdysseyGM

Equinox/TERRAIN

Aug

Sep…

CIVIC

ACCORD
Travers/
Enclave

NISSANLEAF

TOYOTACAMRY

ALTIMANew
customers

HONDA
China,Asia

CITY

Newcustomers※Listed for ordinary production started between April 2017 and Sep. 2017

Copyright(c) 2017 F-tech Inc.All Right Reserved17

New businesses with Major Customers
Odyssey
Production ：April 2017
Location ：USA （F&P Georgia）
Products ：Suspension parts
Mount parts
Pedals control parts

N-BOX
Production ：July 2017
Location ：Japan (Kameyama)
Products ：Suspension parts
Mount parts
Pedal control parts

ACCORD
Production ：Sep. 2017
Location ：USA （F&P America）
Products ：Suspension parts
Mount parts
Pedal control parts

CIVIC
Production ：Sep. 2017
Location ：Japan (Kuki)
Products ：Suspension parts
Mount parts
Pedal control parts※Listed for ordinary production started between April 2017 and Sep. 2017

Respond to the major customers needs accurately
to obtain new business to start production
Copyright(c) 2017 F-tech Inc.All Right Reserved18

New businesses with Major Customers
NISSAN

GM

Production ：July, Aug. 2017
Location ：USA （F&P Georgia）,
Japan (Kyushu F.tech）
Products ：Suspension parts
Pedal control parts

Production ：April, May 2017
Location ：Mexico （F&P Mexico）
Canada （Dyna-Mig）
Products ：Suspension parts
Mount parts

New Customer

New Customer

Production ：April 2017
Location ：Thailand （FMTL）,
Products ：Suspension parts
Mount parts

Production ：July 2017Location ：Canada （Dyna-Mig）
Products ：Suspension parts
Mount parts※Listed for ordinary production started between April 2017 and Sep. 2017

Start new model production as the results of active sales
promotion to develop new customers
Copyright(c) 2017 F-tech Inc.All Right Reserved

19Activities to achieve light weight parts
Design, Processing

ＣＡＥ Optimization
Optimum design developmentby the latest CAE analysis

Precision press technology

ＦＳＷ Technology・FUT-1

Steel/Aluminum
different material welding
SteelAluminum

High HTSS steel processing

Challenge for new materials welding

Chassis System

Technology evolution leads to advance to chassis◆Optimum design and system maker from single parts maker ◆Estimate vehicle performance,development in standalone
and achieve optimum design
development in assembled products
product

Integration

RR SUBFRM

Quality Assurance
after installed
Optimal processing
technology

DamperAssy

Trailing-Arm

KnuckleUpper-Arm
Stabilizer〈Real car performance〉
Lower-Arm〈Suspension characteristic〉〈BODY & SUBFRAME Rigidity,Strength, Crash performance〉

Simulation
technology
Technology evolution leads to advance to chassis system makerand to achieve further weight saving
Copyright(c) 2017 F-tech Inc.All Right Reserved20

IR events for individual investors＜Nikkei IR・Investment Fair2017＞
Dates ：Aug. 25,26, 2017
Venue ：Tokyo Big Sight
Visitors：17,346
Hall presentation, Booth session
Connect with much individual investors
to explain company profile.

＜Individual IR at ＞
Date：July 6, 2017
Venue ：TKP Omiya
Visitors ：120
Companypresentation to
Individual investors

Date ：Dec 5 2017 (Plan)
Venue ：Kuki-city cultural hall
Visitors：120
First IR event at
our home town

Expanding the IR events to increase individual investors
Copyright(c) 2017 F-tech Inc.All Right Reserved21

Exhibit to Technology Fairs～Automotive Engineering Exposition Nagoya～
Dates ：June 28 - 30 2017
Venue ：Portmesse Nagoya
Visitors ：39,810
Booth Exhibition (Lightweightpedals, Aluminum parts technology)
F-tech booth was introduced on"The Motor Fan" magazine＜Future Event＞
The largest light～8th Lightweight Technology Expo～ weight technology
exhibition in Japan
Dates：Jan 17, 18 2018
Venue ：Tokyo Big Sight
Display our development technology to OEM manufactures
Copyright(c) 2017 F-tech Inc.All Right Reserved22

CSR (Work style reform to all)【2017 Actions】

・Shorter hours employees
Expand Half day off plan・Extend short hour work plan forparents to End of 3rd grade
・Support the Parenting/Nursing withwork, Guideline was Published andAnnounced (Uploaded on the Intranet）【Continued】
・Consume pay day off, No carry over⇒18 years achieved
・Reduce long hours work
⇒ Manage overtime works
・Haga Technical Center⇒Flex time work plan

【Leave/Short time work programs】
Program

16/3

17/3

18/3

Return %HC on Child-care leave（Female/Male）

6/1

4/2

5/1

100%/100%

HC on Child-care shorttime work program（Female/Male）

12/1

11/0

14/1-/-

HC on Nursing leave003100%HC on Nursing short timework program

002-【Awards, Certifications】
・Saitama Pref. 「Company conductmultiple work style」
Gold certification（2015）
・Saitama Pref. Senior work promotion
participation (2016)

F-tech considers employees work life balance, and try toestablish the better work conditions by multiple work styles.
Copyright(c) 2017 F-tech Inc.All Right Reserved

23

Information
Our corporate website was renewed in July 7, 2015
We disclose our information in a timely and appropriate manner on our website.

http://www.ftech.co.jp/Corporate Governance
IR Calendar
Archives of IR Reports
Business Results Data
Corporate Stock Information
Our Action Guidelines

http://www.ftech.co.jp/company/

Copyright(c) 2017 F-tech Inc.All Right Reserved24

The future outlook and earnings forecasts in this document are made based on the information available atthe moment, and they include potential risks and uncertainties.
As a result, please bear in mind that actual business performance may substantially differ from the statedfuture forecasts due to changes in various factors.

For inquiries on IR information, please contact:
F-tech Inc.
E-MAIL：webmaster@ftech.co.jp
Copyright(c)20172016 F-techF.tech Inc.AllRightReserved
Copyright(c)Inc.All
Right
Reserved25

Copyright(c) 2017 F-tech Inc.All Right ReservedConsolidated Balance Sheet (Mar. 2017 Forecast)

Unit：M Yen

March 2017 March 2018 Difference

Unit：M YenMarch2017March2018

Difference

Current Assets

61,89964,683

2,784

Current Liabilities

63,46557,364▲6,101

Cash and Deposits

5,719

4,802

▲917

Notes Payable, AccountPayable21,186

20,771▲415

Notes Receivable,Account Receivable

33,151

34,537

1,386

Short term loan

20,562

16,565▲3,997

Inventories

18,645

20,423

1,778Current portion of Long
term loan

10,953

10,953-Fixed Liabilities

31,222

34,515

3,293

Fixed Assets

82,521

83,461

940

Long term loan

23,271

29,062

5,791

shareholder's Equity

33,17739,455

6,278

Other Comprehensive
Income Cumulative

477

▲270

▲747

Minority Interests

16,077

17,080

1,003

Total Equity

49,73256,264

6,532

Total Liability and Equity

144,420

148,145

3,725

Net Asset per Share Yen)

2,012.06

2,097.85

85.79

Tangible
Fixed Assets

74,676

Assets Total

144,420

75,117148,145

441

3,725

Copyright(c) 2017 F-tech Inc.All Right ReservedConsolidated Cash Flow （Mar. 2018 Forecast)

M Yen

Unit：M Yen

March2017

March2018

Operating Activities

13,24515,092

1,847

Investment Activities▲13,116▲12,762354

Financing Activities▲870▲3,030▲2,160Exchange Impacts of Cashand Cash Equivalents▲261▲21645

Net Decrease in Cash andCash equivalent▲1,112▲916196

Beginning Balance in Cashand Cash equivalent

6,831

5,719

▲1,112Ending Balance in Cashand Cash equivalent

5,719

4,802

▲917

Difference

20,00015,00010,0005,000
0-5,000-10,000-15,000
Operationg CF
Investment CFFree CF

2017/3

2018/3

13,245▲ 13,116
12915,092▲ 12,762
2,330

Copyright(c) 2017 F-tech Inc.All Right Reserved