Financial Information
HORIBA, Ltd.
November, 2022
© 2022 HORIBA, Ltd. All rights reserved.

1

Contents◼ 2022 3Q (Jan.- Sep.) Results & 2022 Forecasts◼ Topics – Contribution to Social Issues by Cross-Segment Approach◼ Shareholder Return➢ Financial Data
➢ Corporate Profile© 2022 HORIBA, Ltd. All rights reserved.

2

Contents◼ 2022 3Q (Jan.- Sep.) Results & 2022 Forecasts◼ Topics – Contribution to Social Issues by Cross-Segment Approach◼ Shareholder Return➢ Financial Data
➢ Corporate Profile© 2022 HORIBA, Ltd. All rights reserved.

3

2022 3Q (Jan.-Sep.) Results（Billions of yen）

Increased in sales and profits
mainly due to an increase in sales of the Semiconductor segment
2021

2022

9 Months
Results(Jan.-Sep.)

9 Months
Results(Jan.-Sep.)

vs 2021

Changes

%

185.1
28.5

+31.1

+20.2%

Operating profit

153.9
19.8

+8.7

+43.9%

O.P.%

12.9%

15.4%

＋2.5p

-

Ordinary profit

19.8

29.5

+9.6

+48.5%Net income attributableto owners of parent

13.7

20.7

+6.9

+50.9%

USD/JPY108.58129.87128.30136.05+19.72Sales

EUR/JPY© 2022 HORIBA, Ltd. All rights reserved.

+6.18: Record-high42022 3Q (Jan.-Sep.) Results by Segments
Sales＜Auto＞＜P&E＞＜Medical＞＜Semi＞＜Scientific＞

2021

2022

9 Months
Results(Jan.-Sep.)

9 Months
Results(Jan.-Sep.)

Auto

37.3

P&E

14.5

Medical

19.1

Semi
Scientific

62.6

Total

153.9

41.3
15.4
21.5
81.4
25.3
185.1

20.2

（Billions of yen）

Operating profit
vs 2021

Changes

%

2021

2022

9 Months
Results(Jan.-Sep.)

9 Months
Results(Jan.-Sep.)

-3.2
0.9
-0.0
29.2
1.6
28.5

+4.0

+10.7%

-1.9

+0.8

+5.9%

1.2

+2.4

+12.9%

0.0+18.7+29.9%

19.7+5.1+25.2%

0.6+31.1+20.2%

19.8

vs 2021
Changes

%

-1.3

-

-0.3

-24.2%

-0.1

-

+9.5

+48.3%+0.9 +139.1%+8.7+43.9%： Record-highIncreased in sales of the ECT* business in Europe. Operating loss was recorded owing mainly to rising purchasing prices, anincrease in expenses due to expanded investment in growth area, as well as impact of exchange rate fluctuations
Increased in sales in Americas and Japan. Operating income decreased mainly to rising purchasing prices.
Increased in sales in Asia and Japan. Operating loss was recorded owing mainly to rising purchasing prices, even though thesales of reagents, which are profitable products, increased
Sales to semiconductor production equipment manufacturers increased significantly, in response to expansion of semiconductor
manufacturers’ capital expenditures
Increased in sales of Raman spectrometers and optical components© 2022 HORIBA, Ltd. All rights reserved.

ECT * ：Engineering Consultancy & Testing 5

2022 Forecasts（Billions of yen）

Revised forecasts of sales and all profits upwardly
2021
Results

Changes

2022
Previous
forecasts(as of Aug. 12)

Forecasts(as of Nov. 11)

vs 2021

vs Previous
forecasts

260.0
40.0

265.0
43.0

+40.6

+5.0

Operating profit

224.3
32.0

+10.9

+3.0

O.P.%

14.3%

15.4%

16.2%

+1.9p

＋0.8p

Ordinary profit

32.0

40.0

43.5

+11.4

+3.5

Net income attributableto owners of parent

21.3

28.0

30.0

+8.6

+2.0

USD/JPY

109.90129.91130.00135.00133.00138.00+23.10

+3.00

+8.09

+3.00

Sales

EUR/JPY© 2022 HORIBA, Ltd. All rights reserved.

： Record-high62022 Forecasts by Segments（Billions of yen）

Sales
Previous
Results

Changes

2022

2021

forecasts(as of Aug. 12)

Auto

61.2

66.0

P&E

20.2

23.5

Medical

25.8

28.5

Semi

87.0

107.0

Scientific

29.9

35.0

Total

224.3

260.0

Operating profit

Forecasts(as of Nov. 11)

66.0
23.5
28.5
112.0
35.0
265.0

Previousvs 2021

vs Previous
forecasts

Changes

2022

2021

Results

Forecasts

forecasts(as of Aug. 12)

+4.7

-

-0.0

-

+3.2

-

1.9

2.0

+2.6

-

0.1

0.5

+24.9

+5.0

28.0

35.0

+5.0

-

1.9

2.5

+40.6

+5.0

32.0

40.0

(as of Nov. 11)

-1.5
2.0
0.5
39.5
2.5
43.0

vs 2021

vs Previous
forecasts

-1.4

-1.5

+0.0

-

+0.3

-

+11.4

+4.5

+0.5

-

+10.9

+3.0

： Record-high<Auto><Semi>

Revised downward operating profit, reflecting mainly the expected impact of a temporary increase of
expenses in response to boosting order, and rising purchasing prices.
Revised sales and operating profit upwardly by taking into account recent order and exchange rate trends.

© 2022 HORIBA, Ltd. All rights reserved.

7

Contents◼ 2022 3Q (Jan.- Sep.) Results & 2022 Forecasts◼ Topics – Contribution to Social Issues by Cross-Segment Approach◼ Shareholder Return➢ Financial Data
➢ Corporate Profile© 2022 HORIBA, Ltd. All rights reserved.

8

Contribution to Social Issues by Cross-Segment Approach
Mid-Long Term Management Plan ”MLMAP2023”

Market Oriented BusinessTo develop analysis and measurement solutions, utilizing HORIBA’s core technologies,
in the leading three business fields of the mega trend

Energy & Environment

Bio & Healthcare

Materials & Semiconductor

Medical-Diagnostic

Semiconductor

Automotive
Environmental
Process
Scientific

Solution Provider Beyond “Life Cycle Management”
To support customers’ core businesses from all aspects – from product introduction to replacement

Three concepts ofAutomotive Business© 2022 HORIBA, Ltd. All rights reserved.

Service Lifecycle
Management

Mobility Solution
Business

Alternative Energy
Conversion
9

HORIBA FuelCon New Facility Launched Operation

Alternative Energy
Conversion

Response to needs to realize carbon neutrality✓ Named "HORIBA eHUB" as a global hub for new energy
business.
✓ Production capacity to be tripled by the end of 2023.
Started mass production ofelectrolyzers that generate hydrogenusing renewable energy in Europe.

Top:
Evaluator series
production line at eHUB
Right:
Battery, fuel cell,electrolyzer evaluation
device "Evaluator"© 2022 HORIBA, Ltd. All rights reserved.

Evaluator series is composed ofevaluation devices for electrolyzer
development and inspection devices fortheir manufacturing.

Location:
Barleben, Germany
Building area: 9,900㎡(Development/production area 7,000㎡
Office area 2,900㎡）

HORIBA eHUB,
a base to meet growing needs

Employees: 139 (Dec. 2021)
Total cost:
Approx. 3.5 billion yen
10Contributing to Next-Generation Mobility Development

Mobility Solution
Business

Demand growth for advanced vehicle engineering services
Continuous investment immediately after
acquisition
Advanced Emission Test Facilities
Advanced Battery Test Facilities
Environmental Wind Tunnel Laboratory
Vehicle Resilience* Technology Centre
Comprehensive Development Engineering Facilityー
Assured CAV etc.

2015

2016
2016

2017
2017

2018
2018

*Solutions that eliminate threats associated with advanced
vehicle technologies

Acquisition of
HORIBA MIRA
REE

Vehicle Resilience Technology Centre
2019
2020
2021
2020
2019
2021

2022…
Further leap

Order intake in ECT business
TOGG

Increase inorder intake

Viritech

Projects with companies
focused on next-generation
mobility development© 2022 HORIBA, Ltd. All rights reserved.

11

"HORIBA will Never Stop Combustion Measurement”

Service Lifecycle
Management

Contribute to energy issues caused by increasingly complex international affairs
Respond to demand for new vehicles in the transition period to vehicle electrification
Thoroughly support customers’ utilization of HORIBA’s existing emission measurement
systems and development labs
Multifaceted approach to ensure availabilityof automotive development labs

<UPDATE>

Contribute to improving the efficiency of
conventional power plants to meet the growing
demand for electricity
Stack Gas Analyzer
ーENDAーEquipment for process control
of stack gas treatment installedin power plants, etc.

Upgrade to the latest equipment for future use
Introduce equipment with latest specification

Emission Measurement System—MEXA—
Monitoring combustion control in theengine through analysis of emission

Shipment of about 8,000 units of
MEXA series in 2001-2021, creating
the installed base of HORIBA© 2022 HORIBA, Ltd. All rights reserved.

<PROLONG PRODUCT LIFE>
Maintain functions with a prolonged life plan
Add new functions<RECYCLE>
Remove parts
Manage stock parts for repair✓ Contribute to solving thermal power plantissues such as safe operation, stable power
supply, and improved power generation
efficiency.
✓ Support the efficiency of the power generation
process by monitoring the equipment for stackgas desulfurization and denitrification.
12

Bio & Healthcare

Development of Healthcare Business<Medical Business>*IVD: In Vitro Diagnostics

Medical Business – Aiming to expand business in the IVD* field
Hematology and CRP analyzer “Yumizen H330 CRP”

【Medical Business】

Global network for product development and reagent production✓ Simultaneous measurement of blood cell count and CRP, an index
of inflammation.
✓ Used as one of the diagnostic indicators of the severity of
infectious diseases including COVID-19.
HORIBA’s
hematology and CRP analyzer➢ Introduced to the market for the
first time in the world in 1998
➢ 90% market share in Japan

Kyoto/Aso

New product

HORIBA India Nagpur New Reagent Factory✓ Quadrupled annual reagent production capacity to approximately 8,000
tons by combining new factory with the Haridwar Factory.
✓ Demand is expected to grow in the fields of hematology and clinicalchemistry testing in India.

Location:
Nagpur, India
Total floor area: 23,900㎡(Reagent factory7,769㎡)

Reagent factory

Start operation in
January 2022

Employees:
Total cost:

35 (as of end of Dec. 2021)
Approx. 1.9 billion yen
13© 2022 HORIBA, Ltd. All rights reserved.

Bio & Healthcare

Business Expansion in Life-science Field
Proactive approach to the food and pharmaceutical industries
Residual chlorine concentration monitor “UP-400CL”✓ An online monitor that manages the chlorine
concentration of washing water at food cooking,manufacturing, and processing sites with ourunique measurement technology that specializes
in vegetable washing✓ Automatic sampling and measurement data output
to collectively manage measured figures andcontribute to food safety and security➢ The world's first* diamond electrode is used
for a residual chlorine concentration monitor.
➢ Achieve long-life and measure electrolyzed
water with high accuracy.

*HORIBA’s estimates as of Apr. 2022

Microbial rapid inspection device “Rapica”✓ Inspects microorganisms
contained in products
and enable strict quality
control.
✓ Contributes tosophistication of quality
control and productivity
improvement in a wide
range of fields such as
pharmaceuticals,
beverages, andregenerative medicine.

➢ Microorganisms can be detected in about
2.5 hours without culture, instead ofseveral days with the culture method.
➢ Minimize human operations, reduce therisk of contamination from workers, andreduce work man-hours.

Raman monitor for pharmaceutical processes✓ Enables non-destructive monitoring in the pharmaceutical manufacturing process and contributes tomanufacturing design, analysis, and quality control.
✓ Improves the efficiency and quality in development and manufacturing by monitoring control indicatorsof the composition and antibody concentration of biopharmaceuticals with a growing need in the future.
© 2022 HORIBA, Ltd. All rights reserved.

Versatile Raman probe

14

Materials &Semiconductor

Expanding Cross-segment Business Opportunities
for the Semiconductor Market

Contribute to productivity improvement in the semiconductor manufacturing process
CEMS for semiconductor factories*

AMC* monitoring system✓ AMC affects the performance of products and manufacturing
equipment in clean rooms used in the semiconductor and electronic
component industries, etc.
✓ Automatically monitors AMC trends and estimates pollution causes.
✓ Visualizes pollution status and reduces management costs.
*AMC: Airborne MolecularContamination

Line selector

Automatic continuous
measurement at eachpoint with a stand-alone
analyzer【Under development】

Send data to
the central
control room
via LANconnection✓ A measuring device that monitors whether thegases used in the semiconductor manufacturing
process have been rendered harmless before
being released into the atmosphere.
✓ Utilizing proprietary technology IRLAM, various
components contained in emission gas aremeasured with high accuracy.
*CEMS: Continuous Emission Monitoring System

IRLAM
Infrared Laser Absorption Modulation

Analyzer

Automatic measurement
at multiple points by a line
selector
Point-by-point
measurement with aportable stand-alone
analyzer© 2022 HORIBA, Ltd. All rights reserved.

✓ Gas concentration
calculation algorithm
originally developed by
HORIBAIn-house developed laser

15

Cross-segment

Growth Investment in Europe
Respond to increasing demand for analysis and measurement in various industries
Drive the market as a leading company with spectroscopic technology✓ Relocated the custom grating production base in Saclay near Paris to the "HORIBA Europe
Research Center“.
✓ Respond to increasing demand in fields such as advanced materials research, medical care, andbiotechnology by consolidating production functions.
Top:
HORIBA France SAS
Right:
Manufacturing
facilities for large
gratings【Gratings】➢ A device which disperses light by wavelength➢ Critical components for analytical instruments
and laser systems

HORIBA’s meter-size grating

Professor Gérard Moule,winner of the 2018 Nobel Prize in Physics (photo).
He uses HORIBA’s gratings for research for a long time.

Respond to measurement needs to achieve carbon neutrality✓ The production base for gas analyzers such as air pollution analyzers in Reichlingen, Germany, has been
expanded to about twice the size of the existing production base, and began full-scale operations this spring.
✓ Respond to growing needs for gas measurement in order to improve factory production efficiency andreduce CO2 emissions.
✓ Provide total solutions that combine gas measurement technology with evaluation technology for fuel cells
and hydrogen production equipment.
© 2022 HORIBA, Ltd. All rights reserved.

16

Cross-segment

New Product Development for Target Markets
HORIBA's technology that contributes to efficiency,such as by reducing analysis time and maintenance man-hours
No-refill self-cleaning pH electrode
X-ray Analytical Microscope
No need to replenish electrode solution;
the world's first1 antifouling technology“XGT-9000 Pro” and “XGT-9000 Expert”✓ High-precision analysis of types andamounts of elements contained inmaterials.

✓ Achieved stable continuous measurement in thewastewater treatment process where the electrodes
are prone to contamination.

✓ Maximum reduction in analysis time:
65% for the Pro and 50% for the
Expert1 .

✓ Reduce maintenance man-hours by 99%2 at max
and contribute to more efficient wastewater treatment.
Factory wastewater treatment process (illustration)✓ The Expert is the first device in theworld2 to achieve light element
analysis from boron.
Contributing to quality control andR&D of all kinds of materials, suchas semiconductor wafer film
thickness analysis and foreign
matter analysis in the manufacturing
process of lithium-ion batteries© 2022 HORIBA, Ltd. All rights reserved.

Wastewater

To rivers, sewage treatment plants, etc.

XGT-9000 Expert
12

Non-refill self-cleaning
pH electrode

Comparison with HORIBA’sconventional products. The effectmay vary depending on the methodof use and conditions.
The world's first tabletop energy
dispersive X-ray fluorescence
spectrometer (as of August 2022,
based on HORIBA’s research)

Raw Pretreatment tank
Bio- Sedimentation tankreactivewater
The product is usedcisternatank
Return sludge tank1
2

for pH control ofeach tank

As a glass electrode pH meter (as of October 2022, based on HORIBA’s research)
Comparison with HORIBA’s conventional products. The effect may vary depending on themethod of use and conditions.

17

2022 Masao Horiba Awards Ceremony (Held on 2022/10/18)【Theme】
Analytical and measurement technologies that contribute to the use of hydrogen for a decarbonized society
Application targets: Advanced analysis and measurement technologies
that contribute to technological innovation for new use of hydrogen
Focus:
Research that leads to technological development for the realization of carbon neutrality

Masao Horiba Awards
A contribution to the acceleration of
innovation, by supporting young researchersand engineers in Japan and overseas“We hope that this award will givesome encouragement to academics
striving in the field of measurement
technology research…“A record 26 entries from Japan and overseas,
three Masao Horiba Award winners andtwo Special Award winner© 2022 HORIBA, Ltd. All rights reserved.

Established in 2003
by the company founderDr. Masao Horiba18

Co-sponsorship of a Thematic Project for EXPO2025
Contribution to the “Future of Life" by measurement technology
Sponsorship as a Bronze Partnerof one of the Signature Pavilions
Pavilion led by Dr. Hiroshi Ishiguro, Producer

Theme: “Future of Life”
Expand the possibilities of life by fusing with technology
Erase the boundaries between humans and robots

Future of Life Co-creation Project 2025
Logo of the
Osaka-Kansai Expo

Create the future of 50 years from now
with the thematic project sponsors

Dr. Hiroshi Ishiguro
Professor,
Osaka University
Visiting Director,
ATR Hiroshi Ishiguro
Laboratories

Based on the "measurement" technology that we have cultivated since our founding,we will contribute to the world of 50 years from today whether Dr. Ishiguro will envision.
© 2022 HORIBA, Ltd. All rights reserved.

19

Contents◼ 2022 3Q (Jan.- Sep.) Results & 2022 Forecasts◼ Topics – Contribution to Social Issues by Cross-Segment Approach◼ Shareholder Return➢ Financial Data
➢ Corporate Profile© 2022 HORIBA, Ltd. All rights reserved.

20

Shareholder Return➢ Dividend payment + Share buyback = 30% of Consolidated net profit to be targeted➢ Remaining earnings are retained internally for strategic investment (i.e. facilities, M&A)

Basic Policy

Dividends per share and Share buybacks⚫ 2020 Results: 90YEN [Interim 30yen / Year-end 60yen]⚫ 2021 Results: 150YEN [Interim 50yen / Year-end 100yen]⚫ 2022 Forecast: 210YEN [Interim 65yen / Year-end 145yen]
Per-share dividend
Ordinary Div. (yen)240Commemorative Div. (yen)Total Return Ratio (%)

60.0%

200
45.0%

Share Buyback
160
120

28.2%

30.6%

30.0%

26.8%

67

70

2013

2014

2015

29.7%

29.6%
30.0%

27.4%

80

60

28.8%

210

27.6%

40

145
20

35.4%

116

125

2017

2018

150

130

15.0%

90

85

0

0.0%

© 2022 HORIBA, Ltd. All rights reserved.

2016

2019

2020

2021

2022F

21

Contents◼ 2022 3Q (Jan.- Sep.) Results & 2022 Forecasts◼ Topics – Contribution to Social Issues by Cross-Segment Approach◼ Shareholder Return➢ Financial Data
➢ Corporate Profile© 2022 HORIBA, Ltd. All rights reserved.

22

Operating Profit Analysis (vs 2021 Jan. – Sep.)（Billions of yen）

2021

2022

Jan. – Sep.

Jan. – Sep.

19.85

Increase
Sales

Increase
Cost of Goods
Sales

Exchange
Impact for
Gross Profit

Exchange
Impact for
Expenses

Increase
R&D Cost

Increase
Other
Expense＋16.96-12.20

+9.54

-2.56

-0.75

-2.26

Increase
Gross Profit ＋4.75

Exchange
Impact ＋6.98

Increase
Expenses -3.02

Increase Operating Profit ＋8.71© 2022 HORIBA, Ltd. All rights reserved.

28.57

23

Exchange Rate Trend / Forecasts / Impacts
2021

2022
Previous
Forecasts

AnnualActualForecasts

Jan. - Sep. Oct. - Dec.

(as of 12 Aug.)

Annualvs 2021USD

109.90130128.30147.10133+23.10EUR

129.91135136.05143.85138+8.09

Exchange rate impact
for 2022 Forecasts

Exchange rate impact
for 2022 Jan. – Sep.
(vs 2021 Jan. – Sep.)

Increase sales（Billions of yen）

+14.20

Increase cost of goods sales-4.65

Impact to gross profit+9.54

Increase expenses-2.56

Impact to operating profit+6.98© 2022 HORIBA, Ltd. All rights reserved.

1 yen impact of Sales and O.P.
(Weak yen)（Billions of yen）

USD
EUR

Sales

Operatingprofit

+0.70
+0.34

+0.37
-0.00
24

Capital Investment, Depreciation, R&D
Previous
Forecasts(as of Aug. 12)

Forecasts(as of Nov. 11)

vsPrevious
Forecasts

ActualJan. - Sep.

Capex

12.4

15.0

13.5

-1.5

7.4

Depreciation andamortization

10.4

11.0

11.0

-

8.3

R&D expenses

16.7

19.0

19.0

-

13.2

7.4%

7.3%

7.2%

-0.1p

7.2%

to net sales(%)

2022
Topics

2022

2022

2021

Actual(Billions of Yen)

PP&E:
Continuation : Investment in a new facility in China, HORIBA FuelCon’s new facility, etc.
New : Enhance the base of global production© 2022 HORIBA, Ltd. All rights reserved.

25

Contents◼ 2022 3Q (Jan.- Sep.) Results & 2022 Forecasts◼ Topics – Contribution to Social Issues by Cross-Segment Approach◼ Shareholder Return➢ Financial Data
➢ Corporate Profile© 2022 HORIBA, Ltd. All rights reserved.

26

Five Business Segments & Major Products
Figures are the sales composition ratio for FY 2021​

Automotive（27%）

Emission Measurement
Systems

Process &Environmental（9%）

Stack Gas Analyzers© 2022 HORIBA, Ltd. All rights reserved.

Medical

Semiconductor

Scientific

（12%）

（39%）

（13%）

Automatic Blood Cell
Counters plus CRP

Mass Flow Controllers

Raman Imaging Device

Global Network
Sales by region●(as of Dec 2021): Major business hubs

Americas

Europe

Asia

Japan

15%

20%

35%

30%

Asia

Japan

19%

37%

Employee headcount by region

Americas(as of Dec 2021)

Europe12%32%

Number of companies（as of Dec 31, 2021)© 2022 HORIBA, Ltd. All rights reserved.

49

Overseas sales ratio（as of Dec 2021)

70%

Foreign employee ratio（as of Dec 31, 2021)

63%

Achieving Sustainable Growth Through M&A
Major M&As
1996
ABX （France）【Medical】

1997
Jobin Yvon

2005
SCHENCK DTS【Scientific】【Automotive】（France）（Germany）

2015
MIRA （UK）【Automotive】

2018
FuelCon（Germany）【Automotive】

224.3 billion yen

Trends in consolidated sales

Six-fold growth in corporate scale in 30 years

1990

2000
© 2022 HORIBA, Ltd. All rights reserved.

2010

2020

HORIBA’s Business Domain
Space
Development
Agriculture
Plant factory
Soil analysis
Food safety
Safety management

New Material
Development
Secondary battery
Biomaterial
Steel and ceramics

Planetary probe
Auroral analysis

IT Infrastructure

Health and Security

IoT, Cloud, 5G
Automation informatics

Diagnostic equipment
New drug development
Drinking water

Manufacturing Process
Semiconductor device
Solar panels
Petrochemical plant

Water Quality
Management

Global Environment
Conservation

Monitoring system
Compliance with
waste water regulations

Monitoring air pollution
Renewable energy/power plant
Greenhouse gases© 2022 HORIBA, Ltd. All rights reserved.

Automotive/Ship Development
Ultra-low emission
Vehicle electrification, EV
Autonomous driving
Regulatory compliance© 2022 HORIBA, Ltd. All rights reserved.

31