3rd Quarter of Fiscal Year 2021 (Ending February 28, 2022)

Financial Results Briefing Materials
January 14, 2022

FURUNO ELECTRIC CO., LTD.
Cautions:
This document is a translation of the Japanese original, which is authoritative.
The information listed in these materials regarding the Company’s future prospects are determined by management, based on the information available at the timeof announcement, and potential risks and uncertainties. It should be noted that the actual results may differ substantially from these forecasts, due to these variouselements.
The numerical values shown in these materials are the monetary amounts listed in the consolidated balance sheet, consolidated profit-and-loss statement,
consolidated statement of changes in shareholders’ equity, and notes to consolidated financial statements. Shown values of less than one unit are truncated, andratios and other values are rounded off.
* “E” in this material represents that the figure is an estimation or a projection for operation.
** “FY” in this material indicates the fiscal year ending February 28 (29) of the succeeding year.
*** “3Q” in this material represents the nine-month period beginning on March 1 and ending on November 31.
FURUNO ELECTRIC CO., LTD. All Rights Reserved.

Summary of 3rd Quarter of FY 2021

 Net Sales: Increase Sales recovery for Marine Business mainly in Europeand the Americas
 Profit: Decrease Increase in Profit for Marine Business, but overall decrease inProfit due to end of special demand for GIGA School for
Wireless Access Point

FURUNO ELECTRIC CO., LTD. All Rights Reserved.

2

Consolidated Income Statement
Increase in Gross Profit with sales recovery for Marine Business,but overall Decrease in Operating Profit with end of special demand for GIGA School.
(Unit: Millions of yen)

FY 2019
3rd Quarter

FY 2020
3rd Quarter

FY 2021
3rd Quarter

Year-over-Year(amount)

Year-over-Year(ratio)

Net sales
Gross profit

62,582
22,43460,41823,04362,613+2,195+3.6%

24,057(35.8%)(38.1%)(38.4%)+1,013

+4.4%

2,928

3,347

2,835

(4.7%)(5.5%)(4.5%)-512-15.3%

3,062

3,625

3,343

(Sales ratio)(4.9%)(6.0%)(5.3%)

-282

-7.8%

Profit attributable to ownersof parent

2,576

2,738

2,270-468-17.1%(Sales ratio)(4.1%)(4.5%)(3.6%)

3,176

3,686

3,896

+210

(5.1%)(6.1%)(6.2%)

+5.7%

2,241

2,368

2,549+181(3.6%)(3.9%)(4.1%)

+7.6%

2,358

2,329

2,318

-10

(3.8%)(3.9%)(3.7%)

-0.5%

110
123

108
121

108
130

-0+9-0.1%+7.1%(Sales ratio)

Operating profit(Sales ratio)

Ordinary profit

R&D expenses(Sales ratio)

Capital investment(Sales ratio)

Depreciation expenses(Sales ratio)(Unit: Yen, annual average exchange rate)

1USD
1EUR
FURUNO ELECTRIC CO., LTD. All Rights Reserved.

3Analysis of Increase/Decrease in Net Sales
Sales recovery for Marine Business mainly in Europe and the Americas.
End of special demand for GIGA School.
700

650

Marine Business
Net Sales Decrease
-37.4

600

550

Industrial Business
Net Sales Decrease-2.6(Unit: 100 Millions of Yen)

625

Industrial
Business
Net Sales
Decrease
-9.2

Other
Business
+0.3

Other
Business-1.2

Marine Business
Foreign Exchange
Wireless
ImpactLAN Systems-4.4
Net Sales Increase
+30.6

604

MarineBusiness
ForeignExchange
Impact+9.1
MarineBusiness
Net Sales
Increase+50.8

Sales500

FY 2019
3rd Quarter-21.6

FURUNO ELECTRIC CO., LTD. All Rights Reserved.

Wireless
LANSystems
Net Sales Decrease-35.6626

Sales
FY 2020
3rd Quarter+21.9

FY 2021
3rd Quarter
4

Analysis of Increase/Decrease in Gross Profit on Sales
Increase in Gross Profit on Sales with increase in Sales for Marine Business.
(Unit: 100 Millions of Yen)

Industrial Business
Gross Profit on
Sales Decrease, etc.

300

-2.5250

Marine Business
Gross Profit on
Industrial Business
Sales Decrease
Gross Profit on-9.2
Sales Decrease, etc.

Others-0.3-1.2200

224+0.8

OthersMarine BusinessWirelessForeign Exchange
LAN Systems
ImpactGross Profit on-3.0
Sales Increase, etc.

MarineBusiness
Foreign
Exchange
Marine Impact
Business +6.8
Gross Profiton Sales
230 Increase

WirelessLAN Systems
Gross Profit onSales Decrease, etc.

-22.5

241+27.4+20.1
150

FY 2019
3rd Quarter

Gross Profit on Sales+6.0

FURUNO ELECTRIC CO., LTD. All Rights Reserved.

FY 2020
3rd Quarter

Gross Profit on Sales+10.1

FY 2021
3rd Quarter
5Analysis of Increase/Decrease in Operating Profit
Increase in Gross Profit on Sales for Marine Business.
Overall decrease in Operating Profit due to end of special demand for GIGA School.
Marine Business
Increase in Expenses-9.5(Unit: 100 Millions of Yen)
75

Marine+22.1

Industrial,
Wireless LAN-23.960

Wireless
LAN Systems
Gross Profit
on Sales Increase, etc.

Marine Business
45

Gross Profit
on SalesDecrease

MarineBusiness+16.4

Foreign Exchange
Impact on
SG&A Expenses

-12.2
30

15

Marine Business
Foreign Exchange
Impact on
SG&A Expenses-2.6+1.0

Others-4.5

Marine Business
Gross Profit
on Sales Increase+34.3

Wireless
LAN Systems
Gross Profit
on Sales Decrease, etc.

Industrial Business
Marine Business
Decrease in Expenses

Others-3.4

Gross Profit
on SalesDecrease, etc.

-4.53329IndustrialBusiness28-19.4

Gross Profit
on Sales Decrease, etc.

-0.7+4.30

FY 2019
3rd Quarter

Operating Profit+4.1

FURUNO ELECTRIC CO., LTD. All Rights Reserved.

FY 2020
3rd Quarter

Operating Profit-5.1

FY 2021
3rd Quarter

6

Overview of Marine Business
Marine Business Consolidated Sales(by Region)(Unit: 100 Millions of Yen)

600

500

日本 ■Americas
米州
欧州
その他
■Japan■Europeアジア■Asia ■Other
32

1921400

300

200

100140124120

133

60

153

155
129

60

134

69

“100M” stands for 100 Million

Marine Business:Net Sales 523 100M yen (+12.9% year-over-year)
Segment Profit 29.8 100M yen (+22.1 100M yen)Strong Retrofit demand, stability in demand in
Fishery market, and strong sales for Pleasure BoatsJapan: Net sales 142 100M yen (+6.6%)
 Sales helped by projects eligible for businesssubsidy from Ministry of Agriculture, Forestryand Fisheries

Americas: Net sales 69 100M yen (+14.9%)
 Continuous strong sales for Pleasure Boats
since last fiscal year

Europe: Net sales 155 100M yen (+20.2%)142 Strong sales for Merchant Vessels, and significant
increase year-over-year for Pleasure BoatsAsia: Net sales 124 100M yen (+4.0%)

0FY 2019
3rd Quarter

FY 2020
3rd Quarter

FURUNO ELECTRIC CO., LTD. All Rights Reserved.

FY 2021
3rd Quarter Merchant Vessels market still in recovery, but
significant increase in sales for Fishery market
7Overview of Industrial BusinessIndustrial Business Consolidated Sales(by Product)(Unit: 100 Millions of Yen)

160

■PNT ■Healthcare ■Other Industrial■Wireless LAN Systems“100M” stands for 100 Million

Industrial Business:
Net Sales 76 100M yen (-3.4% year-over-year)
Segment Loss -1.7 100M yen (-4.5 100M yen)

140



120



1003061
258060PNT Business: Sales increase for on-board ETC
and GNSS Oscillator with 5G areas expansion
Healthcare: Sales increase for Chemistry
Analyzer and Reagent
Decrease in Profit due to lower renewal
demand in contracted business13131591315

PNT Business: Net sales 52 100M yen (+3.4%)
Healthcare: Net sales 15 100M yen (+14.8%)

Wireless LAN Systems:

4061
205152Net Sales 25 100M yen (-58.5% year-over-year)
Segment Profit 3.1 100M yen (-19.4 100M yen)
0FY 2019
3rd Quarter

FY 2020
3rd Quarter

FURUNO ELECTRIC CO., LTD. All Rights Reserved.

FY 2021
3rd Quarter

Wireless LAN Access Point: end of special
demand for GIGA School8Consolidated Balance Sheet
Increase in raw materials (inventories) due to production delays with parts procurement difficulties.
Increase in “Tangible fixed assets” with construction of new R&D Building.
(Unit: Millions of yen)

FY 2020

FY 2021 YoY (amount)

YoY (ratio)

Current assets

60,77064,556+3,786+6.2%(Cash and deposits)(Inventories)(15,301)(24,028)(17,753)(26,431)(+2,451)(+2,402)(+16.0%)(+10.0%)

Fixed assets

21,47823,355+1,876+8.7%(Tangible fixed assets)(Intangible fixed assets)(Investments and other assets)(11,184)(4,645)(5,648)(12,233)(4,357)(5,763)(+2,049)(-287)(+115)(+18.3%)(-6.2%)(+2.0%)

Total assets

82,24887,911+5,663+6.9%

Current liabilities
Long-term liabilities

22,93013,62627,125
14,244+4,195+618+18.3%+4.5%

Total liabilities

36,55641,369+4,813+13.2%

Shareholders’ equity
OthersNon-controlling interests

48,333-2,973332

48,251-1,7090-82+1,264-332-0.2%+42.5%-100.0%Total net assets

45,692

46,542

+849

+1.9%

Total liabilities and net assets

82,24887,911+5,663+6.9%

Equity ratio

55.1%

52.9%

-2.2P

FURUNO ELECTRIC CO., LTD. All Rights Reserved.

9Appendix: FURUNO’s Business Outline

FURUNO ELECTRIC CO., LTD. All Rights Reserved.

10Appendix: Corporate Outline
Since commercializing the world's first Fish Finder in 1948, FURUNO has supplied many
types of products for the marine electronics market. By using its exclusive knowledge ofultrasonic and electronics technologies, FURUNO has developed a wide array of products thathave been world firsts and Japan firsts.
As of February 28, 2021

Nishinomiya Headquarter

Company NameFURUNO ELECTRIC CO., LTD.

Headquarters

Nishinomiya City, Hyogo, Japan

Incorporated

May 23, 1951

Business

Manufacturing and sale of maritime
and industrial electronic products

Paid-in Capital¥7,534 million

Number of Employees 2,978 (consolidated)

New R&D Building(finished on September, 2021)
FURUNO ELECTRIC CO., LTD. All Rights Reserved.

Consolidated Sales¥82,255 million

President

Yukio Furuno

Investor Relations: http://www.furuno.co.jp/en/ir/
Products Site: http://www.furuno.com/en/
Corporate Movie: http://www.furuno.com/special/en/corporatemovie/
11Appendix: FURUNO’s Business Fields

GPS/GNSS
Disciplined
Oscillator

Automatic
Identification
System (AIS)
Satellite
Communications
Equipment

GPS/GNSS
Displacement Continuous
Remote Monitoring
SystemMeteorological
Monitoring andAnalyzing
SystemWireless LAN
Access Point

Radar
Voyage Data
Recorder(VDR)

GPS Plotter

FishFinder/Sonar

FURUNO ELECTRIC CO., LTD. All Rights Reserved.

Multi Beam
Sonar

GPS/GNSS
Receiver for Car
Navigation
SystemUltrasoundBone
Densitometer
ClinicalChemistryAnalyzer

ETC12Appendix: FURUNO’s Marine Business
For Merchant Vessels

ECDIS(Electronic Chart Displayand Information System)

Radar

Satellite Communications
Equipment

For Fishing Vessels

Sonar

Fish Finder

Radar

Multi-Function Display

Current IndicatorRadiotelephone

For Pleasure BoatsFURUNO ELECTRIC CO., LTD. All Rights Reserved.

GPS/WAAS
Chart Plotter

Autopilot
13

Appendix: FURUNO’s Industrial Business
PNT

ETC2.0 / ETC *ETC, Vehicle
Management Solution*

GPS / GNSS
Chips & Modules

Healthcare

Clinical Chemistry Analyzer & Reagent

Ultrasound Bone Densitometer

Wireless LAN Systems

Wireless LAN Access Point*
FURUNO ELECTRIC CO., LTD. All Rights Reserved.

Wireless Handheld Terminal**Japanese market only14