Financial Results Briefing
for FY ended March 2022
June 7, 2022

C

o

d

e

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©SUNCALL CORPORATION All Right Reserved.

I. Company Outline

AGENDA

II. Summary of Financial Resultsfor FY ended March 2022
III. Forecast for

FY ending March 2023
IV.Medium- to Long-term
Growth Strategy©SUNCALL CORPORATION All Right Reserved.

Company Outline©SUNCALL CORPORATION All Right Reserved.

Suncall’s Mission–Purpose
For the world with our innovation

Second growth phase(Entry into electronic informationand communications segment)
First growth phase(Establishment of automotiverelated business)

Managing global big datawith extremely small
technology

No compromise– Creating products for thevehicles to which we entrust
our lives

1943
Foundation
Founded in Kyoto, which was not
subjected to bombing, in order to develop
and manufacture valve springs for aircraft
engines
Spring manufacture
During the war, produced from materials
transferred from the military’s Kokura
factory, which had been brought in bysubmarines from German

Motor/electric components(electric vehicle products)

Current
positionStartup phase

FutureRollers

HDD suspensions

New environment andenergy materials“Bamboo charcoal”

Transmission
components
Enginecomponents
Safetycomponents

Optical connectors

Demand willcontinue to grow

Medical care

Coiling machine at the time
(Photo of Kyoto headquarters)

4Company Outline

Company name

: SUNCALL CORPORATIONFounded: June 1943

Common stock: 4,808 million yen

Headquarters: 14, Umezunishiura-cho, Ukyo-ku, Kyoto

Share listing: Tokyo Stock Exchange, Prime Market

Number of employees : 2,280 (Consolidated)
632 (Non-consolidated)

Major shareholders: The Master Trust Bank of Japan, Ltd.
(Retirement Benefit Trust Account / Kobe Steel,Ltd. Account)
16.7%
Marubeni-Itochu Steel Inc.
12.6%
ITOCHU Corporation
9.8%(As of March 31, 2022)
5©SUNCALL CORPORATION All Right Reserved.

Corporate Philosophy

For the world with our innovation

Technology Taking
Flight to Create
ChangeOur management philosophy at Suncall is “Technology taking flight to create change,” andthe Company is forging ahead dramatically on this basis.

Technology Taking
FlightCreate Change

Suncall would not exist if it were not for theCompany’s unique technologies

We are taking the lead in transforming theworld
6©SUNCALL CORPORATION All Right Reserved.

Suncall Precision Components Are Used in Variety of Applications
Automotive-related Products Segment
Materials-related business/copper wire for valve springs:
precision shaped wire
Suncall’s cores that support
integrated production
We use a wide range of unique
technologies in this corebusiness. We are pioneering
new domains through safety,
security, and high-quality.

(1) Valve springs

Motor and electric components

Enginecomponents

Top-class market share in Japan
Integrated production from materials to
products enables high-quality andhigh-durability that can withstand
100 million compressions.

(3)(2) Ring gears / drive plates(1)(4) (2)
Transmission
components

Safetycomponents(4) Bus bars
Each designed to suit unit shapes
The main focus of the future of
wiring(4) Shunt on bus bars

Top-class market share in Japan
Our proprietary metal
processing technology achieves
high precision.

A bus bar integrated sensor with builtin feature to measure voltage whiletransmitting current
Also supports high current such as inlithium-ion batteries(3) Spiral springs forseatbelts(4) Shunt sensors
A next-generation sensor equippedwith high-functioning electric circuitboard providing digital and analog
output.

(4) Motor cores/stator cores

We achieve comfort byenabling calibration of
precision torques by
manufacturing from materials.

Components that form the core of
the motor
We achieve high productivity throughautomated integrated production.

7

Suncall Precision Components Are Used in Variety of Applications
Electronic Information and Communications Segment
Printer-related products
Worldwide top market shareby supplying long, lightweight, Torque limitersand high-precision shafts

Printers

HDD suspensions
HDD

Rollers

Spring clutches

Degitoronics Communicationsrelated products
Data centers

Opticalconnectors

Opticaladaptors

Supporting extreme levels of precision
requirements for HDD magnetic heads withpositioning at the level of 10s of nanometers

8©SUNCALL CORPORATION All Right Reserved.

Domestic and Overseas Bases

14 bases in Japan
Headquarters

Kyoto, Kyoto

15 overseas bases in 7 countries
Country

RegionInvestment
Ratio

Goods Produced

Indiana100%

Valve springs, ring gears, etc.

South Carolina

100%

Texas

100%

Optical communications components (sales
base)Aguascalientes

100%

Valve spring materials, ring gears

Aguascalientes

50%

Spiral springs for seatbelts

Guangzhou

100%

Valve springs, ring gears, etc.

Guangzhou

100%

Valve spring materials (sales base)

Foshan25%

Valve spring materials

Tianjin100%

Ring gears

Shenzhen

100%

Hong Kong

100%

Printer rollers, optical communications
components, etc.

Thailand

Chonburi

100%

Valve springs, ring gears
Spiral springs for seatbelts
Printer rollers, etc.

Vietnam

Hanoi

100%

Printer rollers, etc.

South
Korea

Yangsan49%

Materials for spiral springs for seatbelts

Philippines

Manila100%

HDD suspensions (Representative Office)Production bases
Head Plant
Kyoto, Kyoto

U.S.A.

South Kyoto Plant
Toyota Plant

Toyota, Aichi

Hirose Plant

Toyota, Aichi

MexicoDomestic subsidiaries
SUNCALL Engineering
Corporation

Minami-Alps, Yamanashi

SUNCALL Kikuchi
Corporation

Kikuchi, Kumamoto
China

Sales offices
Tokyo Branch

Yokohama, Kanagawa

Nagoya Branch

Toyota, Aichi

Nishi-Nihon Branch

Kyoto, Kyoto

Ueda Sales Office

Ueda, Nagano

Kita-Kanto Sales Office

Utsunomiya, Tochigi

Hamamatsu Sales OfficeHamamatsu, Shizuoka

Kinki Sales Office

Kyoto, Kyoto

Nishi-Nihon Sales Office

Hiroshima, Hiroshima

9©SUNCALL CORPORATION All Right Reserved.

Summary of Financial Resultsfor FY ended March 2022

©SUNCALL CORPORATION All Right Reserved.

Key Points: Financial Results for FY ended March 2022

Revenue and profit increased significantly from the previous year, with net sales
and operating income almost in line with the forecast announced on February 10.

Net sales : 47,438 million yen (+7,298 million yen/ +18.2% YoY)

Operating income: 649 million yen（+1,942 million yen YoY)
Significant year-on-year recovery in the automotive-related products segment, despite theimpact of reduced automotive production due to a global shortage of semiconductors andshortage of components attributable to the spread of COVID-19 variant strains.
Revenue also increased year-on-year in the electronic information and communications
segment, due to continued high demand.
Automotive-related products segment

Electronic information and communications Segment

Sales: +13.8% YoY, +3,738 million yen YoY

Sales: + 31.1 % YoY, + 3,765 million yen YoY*Materials-related
Valve spring materials and precision shapedmaterials recovered strongly.
*Automotive-related
Sales increased by12.4% year on year due torecovery from COVID-19 in the previous year,
and sales expansion of key strategic products(bus bars, LED components, etc.)*HDD suspensions
Demand is high due to increased investment fordata centers. Sales increased by 39.1% year on
year.
*Printer-related
Sales increased by 12.9% year on year due tocontinued special demand from households.

11©SUNCALL CORPORATION All Right Reserved.

Summary of Financial Results for FY ended March 2022
 Net sales

Increased by 7,298 million yen year on year, due to recovery in the automotive-related products segment
and increase in HDD suspensions(including foreign exchange effects of +2,036 million yen, passing on of steel price of +226 million yen)

 Operating
incomeOperating income of 649 million yen was recorded due to the increase in revenue, which is a significant
improvement of 1,942 million yen in profit from the previous year.
(including foreign exchange effects of +473 million yen and decrease in depreciation expenses of +341
million yen)

 Ordinary
incomeIncrease in gain on sale of scraps due to soaring steel prices(+120 million yen year on year) Net income

Recorded 401 million yen in extraordinary income on gain on sale of investment securities(805 million yen in FY ended March 2021)

FY ended March 2021
Unit:
Millions of yen

ActualFY ended March 2022
YoYchanges

ActualForecasts
announced on
Feb. 10

Changes fromforecasts(Reference)
Initial forecast

Net sales

40,14047,438+7,29847,600(162)

47,000Operatingincome(1,293)649+1,942

650

(1)

400

Ordinary
income(1,000)1,022+2,023

850

+172

500

Net income

61

904

+843

710

+194

470

Income pershare

1.95 yen

29.34 yen

106.1 yen / dollar

112.4 yen / dollar

123.7 yen / euro

130.6 yen / euro

Averageexchange rate

12

©SUNCALL CORPORATION All Right Reserved.

Changes in Business Performance

Change in Operating income / Operating income margin

Change in Net sale
1H

2H

Operating income

Operating income margin

3,700

23,303
16,837

3,384

23,502 23,936
3,200

12.5%

FY endedMar. 2021

Unit: Millions of yen

FY endedMar. 2022

2,700

2,415
2,250
2,200

7.5%

47,43845,812

7.4%

1,700

42,35442,22537,98040,140

5.9%

1,375

5.7%

1,200

3.2%

1.4%

649

2.5%

700

200

▲2.5%

▲300

(3.2)%▲800(1,293)▲1,300FY endedMar. 2017

FY endedMar. 2018

FY endedMar. 2019

FY endedMar. 2020

FY endedMar. 2021▲7.5%

FY endedMar. 2017

FY endedMar. 2022

13

FY endedMar. 2018

FY endedMar. 2019

FY endedMar. 2020

FY endedMar. 2021

FY endedMar. 2022©SUNCALL CORPORATION All Right Reserved.

Net Sales by Product Category for FY ended March 2022
 Automotiverelated products
segment

 Electronic
information andcommunications
segment

Materials-related

Revenue increased year on year due to the recovery from COVID-19 impact on the automotiverelated products segment in the previous year.

Automotive-related

Revenue increased year on year due to recovery in the automotive-related products segment andsales expansion of key strategic products (bus bars, LED components, etc.), despite the impact ofautomotive production cutbacks due to procurement shortages of components.

HDD suspensions

Continued increase in demand due to increased investment in data centers

Printer-related

Continued increase in demand for home use (consumer use) products due to increase in remotework

Communicationsrelated

Revenue increased year on year due to recovery in demand in the main markets of North Americaand Asia.

FY ended March 2021

FY ended March 2022

Unit: Millions of yen
ActualActualYoY changes

Net sales

40,14047,438+7,298+18.2%

Automotive-related
products segment

27,03930,777+3,738+13.8%

Materials-related

5,399

6,447

+1,047+19.4%

Automotive-related

21,63924,330+2,690+12.4%

Electronic informationand communications
segment

12,106

15,871+3,765+31.1%

HDD suspensions

7,871

10,948+3,076+39.1%

3,271

3,694

+423

+12.9%

963

1,228

+133

+27.6%

995

789

(206)

(20.7)%

Printer-related
Communicationsrelated
Other

14

©SUNCALL CORPORATION All Right Reserved.

Net Sales by Product Category (Changes, Composition ratio)

Composition ratio of net sales in FY ended March 2022

Changes in net sales by product category
Unit: Millions of yen

Materials-related products
HDD suspensions
Communications-related

Automotive-related products
Printer-related
Other products
47,43845,81242,35442,225
3,834
3,747
8,084
6,705

Communications-related
Other
Electronic
2.6%
products
information and
1.6%
communications
segment
33.5%

3,403

40,140

3,694

3,271

10,948Printer-related
8.1%

Automotiverelated
products
segment
64.9%

Materials-related
products
13.6%

6,092
7,871
HDD suspensions
23.1%

25,13926,518

5,020

5,555

25,192

5,057

Automotive-related products
51.3%

24,33021,639

5,399

6,447

FY ended
FY ended
FY ended
FY ended
FY ended
March 2018 March 2019 March 2020 March 2021 March 2022

15

©SUNCALL CORPORATION All Right Reserved.

Net Sales by Region for FY ended March 2022
Automotive-related
products segment

Revenue increased due to recovery in automotive production.

Automotive-related
products

Revenue increased by 245 million yen year on year due to recovery in automotive production,
despite the impact of semiconductor shortages.

Communications-related
products

Revenue increased by 204 million yen year on year due to increased demand related to 5G
and IoT.

 China

Automotive-related
products segment

Revenue increased by 819 million yen year on year due to recovery in automotive production,
despite the impact of semiconductor shortages.

 Philippine

HDD suspensions

Continued increase in demand due to increased investment in data centers Other areas

HDD suspensions

Increase in deliveries to Thailand, etc.

 Japan U.S.A.

FY ended March 2021

FY ended March 2022

Unit: Millions of yen
ActualNet sales

ActualYoY changes

40,14047,438+7,298+18.2%

Japan

16,641

18,358+1,716+10.3%

U.S. A.

3,243

3,723

+480

+14.8%

China

4,286

5,396

+1,109+25.9%

Philippine

6,736

9,492

+2,755+40.9%

Other areas

9,232

10,468+1,235+13.4%

16©SUNCALL CORPORATION All Right Reserved.

Net Sales by Region (Changes, Composition Ratio)
Composition ratio of net sales by region
in FY ended March 2022

Changes in net sales by region
Unit: Millions of yen

Japan

U.S.A.

China

Philippine

Other areas
47,43845,81242,35442,22540,140

8,722
7,884

10,468Other areas
22.1%

8,563

9,232
6,032
5,822
4,233

8,103
5,099

4,018

4,401

4,280

6,736
5,396
4,286
3,243

18,251

19,486

19,488FY endedMar. 2018

FY endedMar. 2019

FY endedMar. 2020

Japan
38.7%

9,492

6,002

Philippine
20.0%

3,723

16,641

18,358FY endedMar. 2021

FY endedMar. 2022

China
11.4%

17

U.S.A.
7.8%©SUNCALL CORPORATION All Right Reserved.

Consolidated Balance Sheet for FY ended March 2022
 Increase in noncurrent assets

Property, plant and equipment increased by 977 million yen due to active investment in HDD suspensions
and key strategic products.

 Current liabilities

Short-term borrowings: +3,456 million yen; Accounts payable - trade: +1,100 million yen;Accounts payable - other: (696) million yen

 Increase in net
assets

Net income: +904 million yen; Dividends: (625) million yen;
Foreign currency translation adjustment: +930 million yen
Increase in treasury stock (tender offer, etc.): (692) million yen
FY ended March 2021

Unit: Millions of yen
Current assets

FY ended March 2022

ActualChanges from the end of theprevious year

Actual25,20728,328+3,120Cash and deposits

7,570

7,510

(60)

Trade receivables

9,996

11,076+1,079Inventories

6,465

8,463

+1,997

Non-current assets

28,16729,602+1,435

Total assets

53,37557,932+4,557

Total liabilities

17,054

20,749+3,695Current liabilities

13,781

17,471+3,689

2,802

6,031

+3,228

3,272

3,278

+5

1,541

1,186

(355)

Total net assets

36,32037,182+861

Total liabilities and net assets

53,37557,932+4,557

Interest-bearing liabilities
Non-current liabilities
Interest-bearing liabilities

18©SUNCALL CORPORATION All Right Reserved.

Status of Cash Flows for FY ended March 2022
 Cash flows fromoperating activities

Net income before income taxes increased by 1,294 million yen year on year.

 Cash flows frominvesting activities

Proceeds from sale of investment securities decreased by 459 million yen year on year, while capital
investment remained at a high level, mainly for HDD suspensions.

 Cash flows fromfinancing activities

Short-term borrowings increased by 1,892 million yen;decrease of 703 million yen due to acquisition of treasury stock (tender offer, etc.)

Unit: Millions of yen

FY ended March 2021
ActualFY ended March 2022
ActualChangesCash flows from operating activities

3,014

3,170

+156

Net Income before income taxes

136

1,431

+1,294

Depreciation

4,278

3,937

(341)

Decrease (increase) in trade receivables

(666)

(832)

(165)

Decrease (increase) in inventories

237(1,708)(1,946)

Increase (decrease) in trade payables

352

954

+601

Gain on sale of investment securities

(805)

(401)

+403

Cash flows from investing activities(4,356)(4,822)(466)

Purchase of non-current assets(5,208)(5,237)

(28)

869

410

(459)

250

1,154

+903

Increase (decrease) in short-term borrowings

1,484

3,377

+1,892

Increase (decrease) in long-term borrowings

(381)

(691)

(310)

Purchase of treasury shares

(100)

(704)

(703)

Proceeds from sale of investment securities
Cash flows from financing activities

19©SUNCALL CORPORATION All Right Reserved.

Capital Expenditure and Depreciation
for FY ended March 2022
Continued capital expenditure in FY ended March 2022, mainly in HDD suspensions

Capital expenditure and depreciation
Unit: Millions of yen

Capital expenditure

Depreciation

GGP24

5,978

6,000

5,900

5,142
4,500

4,278

4,079

4,000

3,937

3,292

2,000

0

FY ended Mar. 2020
ActualFY ended Mar. 2021
ActualFY ended Mar. 2022
ActualFY endingMar. 2023
Medium-term Plan

*Capital expenditure above is on a completion basis.

20©SUNCALL CORPORATION All Right Reserved.

Forecast for FY ending March 2023

©SUNCALL CORPORATION All Right Reserved.

Key Points of Business Forecast for FY ending March 2023
Profits expected to increase due to significant sales growth in business related to electric vehicles
and electrification and business related to electronic information and communications

Net sales

57,000 million yen

Operatingincome2,000 million yen+1,351 million yen YoY

Net income

1,500 million yen+596 million yen YoY+9,562 million yen (+20.2%) YoY

Expecting substantial sales expansion in each field
responding to expanding markets and growth in demand
Pursue profit growth by ensuring profitability in areas of prior investment
Net sales

Unit: Millions of yen

Operating income

Net income
63,000ROE
9.0%

57,00047,438

ROE
4.0%

ROE
2.4%
2,000
649

4,500
3,500

1,500

904

FY ended Mar. 2022
Actual (FY2021)

FY ending Mar. 2023
Forecast (FY2022)
22

FY ending Mar. 2025
Target (FY2024)©SUNCALL CORPORATION All Right Reserved.

Business Forecast for FY ending March 2023
・Revenue is expected to increase by 9,562 million yen due to the recovery of automotive production, sales
expansion of key products, and expansion of HDD suspension (including +1,510 million yen of foreignexchange effects)

YoY

 Net sales
Compared with
Medium-termManagement Plan Operating
income・Increase of 2,100 million yen due to soaring steel prices and yen depreciation
・Operating income is expected to increase by 1,351 million yen due to higher sales, in spite of continued
strategic investments to nurture next-generation businesses (including +487 million yen from foreign exchange
effects and (563) million yen from an increase in depreciation expenses)

YoY
Compared with
Medium-termManagement Plan

・Expected to be in line with the PlanFY ended
March 2022
(Millions of yen)

FY ending March 2023
Medium-termManagement Plan

ActualFull year

Forecast

Full-year

1H

2H

Full-year
YoY changes

Compared with
Medium-termManagement
Plan

47,43854,90027,70057,000+9,562+2,100Operating income

649

2,000

600

2,000

+1,351±0

Ordinary income

1,022

-

700

2,100

+1,178-Net income

904

-

450

1,500

+596

-

29.34 yen-

15.00 yen

49.96 yen

112.4 dollars / yen

110.0 yen / dollar

120.0 yen / dollar

120.0 yen / dollar

130.6 euros / yen

125.0 yen / euro132.0 yen / euro132.0 yen / euro

Net sales

Income per share
Average exchange rate

23

©SUNCALL CORPORATION All Right Reserved.

FY ending March 2023 Net Sales Forecast by Business Segment(Medium-term Management Plan GGP24 Classification)
 Expecting growth in next-generation businesses toward achieving Medium-Term Management Plan GGP24
 Business related to electric vehicles andelectrification

Growth of electrification-related products such as bus bars and LED
components: Revenue increase by 1,434 million yen

 Business related to electronic
information and communications

Increased demand due to increased investment in data centers Existing automotive-related products
segment

Increase in revenue expected due to recovery from COVID-19 impact andsemiconductor shortages
Reflecting soaring steel prices into sales prices

Unit: Millions of yen

FY ended March 2022

FY ending March 2023

Compared with FY ended
March 2022

ActualForecast

Compared with actual figures

Net sales

47,43857,000+9,562Business related to electric vehicles
and electrification

2,036

3,470

+1,434

Business related to electronic
information and communications

16,66022,230+5,570HDD suspensions

10,94816,380+5,432Printer-related

3,694

3,900

+206

Communications-related

1,228

1,290

+62

789

660

(129)

Existing automotive-related
products segment

28,741

31,300+2,559Materials-related

6,447

6,750

+303

Automotive-related

22,29424,550+2,256

Other

24©SUNCALL CORPORATION All Right Reserved.

FY ending March 2023 Net Sales Forecast by Business Segment(Medium-term Management Plan GGP24 Classification)
Business related to electricvehicles and electrification andbusiness related to electronic
information and communications• In addition to two Japanese automakers
adopting our bus bars for electric vehicles, wewill promote the use of bus bars for other typesof vehicles.

Business related to electric vehicles
and electrification and business related toelectronic information and communications

Existing automotive-related products
segment
Precision functional components

Others

Unit: Millions of yen

Precision functional materials

Communications-relatedPrinter-related

57,000HDD suspensions

31,300Electric vehicles and electrification products

54,90030,40047,43828,741• We will expand sales of shunt on bus bars,
which have already been mass-produced andsupplied for electric vehicles, together withshunt sensors for high-precision current
detection, in Europe, China, and the U.S.

40,14024,871• Sales in the suspension business is expected toincrease due to high demand for nearline drive
large-capacity hard disk drives (HDDs) for data
centers, driven by factors such as IoT growthand storage of video data.

25,70018,697
15,269

Existing automotive-related
products segment• Existing businesses (consisting of the main
products of engine parts and precisionfunctioning transmission parts) will maintainsales on current scale while improving
profitability, despite delays in passing on soaring
steel prices to prices.

24,500

2,000

2,000

649
(1,293)Net
sales

FY ended March
2021(FY2020)
Actual

25

Net
sales

OperatingincomeFY ended March
2022(FY2021)
ActualNet
sales

OperatingincomeFY endingMarch 2023
(FY2022)
Forecast

Net
sales

OperatingincomeFY ending March 2023
(FY2022)
Feb. 14 2022 Forecast
at time of announcementof the Medium-termManagement Plan

©SUNCALL CORPORATION All Right Reserved.

Dividend Policy for FY ending March 2023
 FY ended
March 2022

Net profit margin of 1.9%, despite the trend of recovery from the impact of COVID-19, due to lower
automotive production amid persistent COVID-19 variants and parts shortages.
Meanwhile, the minimum dividend of 20 yen was maintained.

 FY ending
March 2023

Aggressively implement return to shareholders to prevent a buildup of equity capital, in order to promote
return on capital and balance sheet management.

Dividend
Policy
45
40
35
30
25
20
15
10
5
0

 Dividend payout ratio will be 75% until ROE exceeds 9.0%
(maintain lower limit of dividend at 20 yen)

1,024.3％(Yen)

280 .0 %38
230 .0 %180 .0 %68.2%
130 .0 %

18
10

26.9%

8

19

20

11 26.2%

11

8

9

56.6%

20

20

27
80.0%

76.1%
11

11

30.0%

-20.0%

9911-70.0%-120.0%FY ended
March 2018

FY ended
March 2019

FY ended
March 2020

FY ended
March 2021

FY ended
March 2022

FY endingMarch 2023

Interim dividend

8 yen

8 yen

9 yen

9 yen

9 yen

11 yenYear-end dividend

10 yen11 yen11 yen11 yen11 yen27 yenTotal annual
dividends

18 yen19 yen20 yen20 yen20 yen38 yen(*forecast)*If the earnings forecast is revised going forward, it will be revised in accordance with the dividend policy.

26©SUNCALL CORPORATION All Right Reserved.

Medium- to Long-term
Growth Strategy©SUNCALL CORPORATION All Right Reserved.

Key Strategies and Quantitative Targets of GGP24(Global Growth Plan 2024)
Acceleration of an effective strategy to create a business portfolio for 2030

Business Strategy
Growth business related to electricvehicles and electrification- Grow sales globally and develop it intonext-generation main business• Offer mass production of bus bars and shunt on bus bars tomeet needs for electric vehicles• Expand sales of products for electric vehicles andelectrification in Europe, China, and the U.S.

Growth business related to electronic
information and communications

Existing automotive-related
products segment- Achieve dramatic growth and pursue profit growth- Respond to changes in industry structure andimprove earnings strength• Continuously make capital investment and enhance
production efficiency to meet customer demand• Enhance suspension production capacity to meet demand forlarge-capacity hard disk drives• Develop communications- and printer-related products, andimprove production efficiency through process improvements• Validate market growth rate and profitability on an individual
product basis• Focus on improving earnings strength of existing projects bythoroughly managing earnings on an individual product basis• Consider optimizations of production and sales locations

Capital Strategy

Balance sheet managementwith an understanding of appropriate capital structure••

Maintain payout ratio at 75% until ROE exceeds 9% in order to prevent a buildup of equity capital
Investment decisions with a thorough awareness of cost of capital

Net sales

Quantitative
targets of GGP24

Operating income margin

63.0 billion yen 7.1%
28

ROE

9.0%
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Position of GGP24

FY2024FY2030Global Growth Plan 2024

Pursue optimization of ourbusiness portfolio

Accelerate an effective strategy to create a businessportfolio for 2030

From Change to Growth• Net sales: 63.0 billion yen• Operating income margin: 7.1%
• Promote management with awareness of return on
capital and balance sheet management in order toconsistently exceed ROE of 9.0%
• Launch reforms of business portfolio• Boldly invest management resources in growth fields• Ensure recoupment of invested capital

FY2021

ActualUnit: Millions of yen• Application of related technologies
and new businesses• Create added value

63,00047,438

4,500
3,500

649

904
FY ending March 2025
Target(FY2024)

FY ended March 2022
Actual(FY2021)Net sales
売上高

Operating income
営業利益29

Net income
当期純利益

FY ending March 2031
Target(FY2030)©SUNCALL CORPORATION All Right Reserved.

Future Outlook for Business Segments toward 2030
Growth business related to electric vehicles
Existing automotive-related
and electrification, and growth business related products segment
to electronic information and communications
Products related to electricvehicles and electrification(bus bars, current sensors, etc.)
Optical and printer-related products

Hard disk drive suspensions

Existing products(valve springs, wire for valve spring, ring gears, etc.)

Others47.4 billion yen

39%

61%

FY2021 Actual

52%

48%

FY2024 Target
30

64%

FY2030 Target

36%* Percentages represent
proportions of net sales©SUNCALL CORPORATION All Right Reserved.

Our Mission: Next-generation Businesses“Integrated production from materials to products” —Expanding our established technology to target new domains

Optical Communication
Business
HDD Suspension Business

Bus Bar BusinessCurrent Sensor Business
Automotive LED BusinessBamboo Charcoal
Sustainable Business

Rehabilitation Robot
Business
Ultrasonic Sensors(Development)

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Respond to 5G- and IoT- Driven Expansion of Data Society
HDD Suspension Business
The HDD suspension business is the pillar of Suncall electronic information and communications
segment. Demand for nearline HDDs will continue to increase in response to significant growth indemand for cloud storage capacity.
The global market for cloud storage is expected to see an explosive growthwith the advancement of 5G, IoT, and digital transformation.

Achieved

sales exceeding 10 billion yen in FY2021

doublePlan to approximately
production capacity
compared to FY2021
The Company’s production capacity planfor nearline drive HDDs

Data storage capacity demand trends
9,000 65.5%
8,000

44.2%

57.0%

50.1%

7,000
6,000

50.8%
48.2%

46.3%

5,000
4,000

70.0%

300

60.0%

250

50.0%

200

40.0%

150

30.0%

3,000
1,000

10.0%

50

0

0.0%

0

150
100

FY2018HDD

SSD/NAND/ODD/Tape/Others

300

100

20.0%

2,000

280

FY2021

FY2024FY2025■ Production capacity setting FY2018 production
capacity level as 100

HDD Share

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Respond to Climate Change: Electric Vehicle Market Trends©SUNCALL CORPORATION All Right Reserved.

2050, toward a world of electrification
The share of electric vehicles are growing rapidly

Electrification rate (%)

Global new vehicle sales (million units)
Impact of mobility trends, including car-sharing, ride-sharing, and other consumer behaviors
ActualImpact of government
regulations

Lower TCO (Total Cost of Ownership) of xEVs, moving their advantage over gasoline vehicles, etc.

7%

9%

PHEV

5%

HEV

MHEV
Diesel

10％
8%

13%

11%

5％
12％

15％

18％

6％

19％

7%
7%

5%

6％

20％

16%

18%

5%

6%

7％

BEV
48%

7％

Vehicles withinternal
combustion
engines

44%

20％

6%

20％
5%

Gasoline

71%

2022

2023

5%

67%

2024

62%

2025

Battery Electric Vehicle (BEV)

Hybrid Electric Vehicle (HEV)

Diesel car

Plug-in Hybrid Vehicles (PHEV)

Mild Hybrid Electric Vehicle(MHEV)

Gasoline car

58%

54%

2026

2027

51%

2028

5%

48%

2029

4%

Global vehicle sales
Global Automotive
Market Forecast 2050

44%

2030

－ Electrification rate
(market share of electric vehicles / xEVs)

Source: Boston Consulting Group✓2021

BEV+PHEV sales will double year on year to 6.6 million units in 2021
(IEA research report).

✓2025

Electric vehicle sales will reach 30% of total sales.

✓2030

Electric vehicles will account for more than 50% of total.

✓2050

BEV sales volume will reach 48%. Battery-powered types accountfor the overwhelming majority.

*Report by wood Mackenzie

Reference article: 700 million electric vehicles will be on the roads by 2050 (Feb. 8, 2021)

33©SUNCALL CORPORATION All Right Reserved.

Respond to Climate Change: Bus Bar Business

Mass production started in 2013. The pillar of the electric vehicle business,
which has supported Japanese hybrid vehicles.
Shares of new vehicle sales in Japan until 2030 (%)

Hybrids will continue to maintain market share in Japan

日本市場では、ハイブリッド車は引き続きシェアを維持す
BEV

22%
11%

22%

12%

23%

12%

HEV

23%

61%

60%

58%

12%

13%

23%

23%

23%

14%

15%

MHEV
14%

62%

10%

4%

23%

13%

7%

Gasoline

52%

Battery Electric Vehicle (BEV)

Hybrid Electric Vehicle (HEV)

Diesel car

Plug-in Hybrid Vehicles (PHEV)

Mild Hybrid Electric Vehicle (MHEV)

Gasoline car

14%
49%

46%

44%

The share of electric vehicles in new vehicle sales inJapan is expected to exceed 40% by 2025, and reach 55%
by 2030.
In Japan, hybrid electric vehicles (HEVs) alreadyaccounted for 22% of the market share in 2019. In 2030,
they are projected to continue to hold a share of 23%.
(Global share of 7% in 2030)－ Electrification rate
(market share of electric vehicles / xEVs)(Billions of yen)

Bus bar sales:
1.7 billion yen scale in 2022
Adoption of new products
for mass production
at two Japanese automobile
manufacturers (EV and HEV
vehicles) from FY2022

EV/HEV Bus Bar Sales Plan (2021-2024)

20
2.0

1.78
17.8

15.8
1.58

16.7
1.67

15
1.5
1.0
10

0.77
7.7
0.53
5.3

0.5
5

0.0
0
FY20202020年度FY20212021年度FY2022
2022年度FY2023
2023年度FY20242024年度ActualActual

Plan

Plan

計画

実績

34

実績

計画

計画

Plan

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Respond to Climate Change: Current Sensor Business
Europe, the U.S., and China - rapid acceleration with adoption in electric vehicles overseas,amid advances in electrification

Storage batteries for mega solar and wind
power generation, etc.
2019 — NITE testing facilities for largescale battery energy storage systems
2020 — Photovoltaic power storage
battery systems

Electric vehicles (EV, HEV, BEV)2019 — HV trucks for domestic market
2021 — EV racing cars for Europe
2021 — Electric passenger vehicles for North America

Industrial equipment
2017 — Electric forklifts for domestic market
2017 — Forklift trucks for the U.S.
2020 — AGVs (Automated Guided Vehicles)
for Europe<“image: Freepik.com” This slide was designed using resources from Freepik.com.

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Respond to Climate Change: Current Sensor BusinessWe will solidify the foundation for a global strategy in regions where electricvehicle adoption has advanced.
2023: Line expansion to
new site
Increase production
capacity by 1.8 times
September: North
America
Exhibition
2023: Establishment ofsales office (underplanning)•
2020: Shunt Sales Expansion Officeestablished at SGT (Suncall
Guangzhou Trading Co., Ltd.)•••

500 million yen
scale in 2023
Establish bases in China, Europe,and North America
Acquire IATF 16949 certification at
Kyoto Minami Plant
Invest 250 million yen to add a new
production line
Collaborate globally with ITOCHU
Corporation and Marubeni-Itochu
Steel Inc.
36

2022
June: Exhibit at Battery Show
October: Establish sales officein Germany (underconsideration for 2H)©SUNCALL©SUNCALL CORPORATIONCORPORATION All
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Respond to Climate Change: LED BusinessNew business with mass production starting in 2021; contributed to the realization of smaller
and thinner LEDs.
LEDs for automotive use have been spreading rapidly in recent years. They are already in use not only in luxury andmass-market vehicles, but also in vehicles for emerging markets.
Interior / Exterior

LED
LED基板
substrates

LED package
manufacturers

Automobile
manufacturers

Various types of module

DRL▲Suncall products

Metering systems

 Succeeded in mass production of automotive LED substrates
 Estimated 2023 sales: 700 million yen(Billionunits)

Global Automotive LED Package Market Forecast(Billions of yen)

700.0

2,400.0600.02,200.0500.02,000.0400.0

1,800.0300.01,600.0200.0

1,400.0

100.0

1,200.0

1,000.0

2016

2017

2018
Estimate

2019
Forecast

37

2020
Forecast

2021
Forecast

2025
Forecast©SUNCALL©SUNCALL CORPORATIONCORPORATION All
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Respond to Climate Change:
Bamboo Charcoal Sustainable BusinessToward Carbon Fixation
From coating material for automotive instrument panels and interior touch panel business to further
applications
Solvingbamboo damage

Commitment toproduction in Kyoto✔Kyo-Kaguya-sumi brandmade of bamboo from
Miyazu City, the site of
Amanohashidate✔Grown in Kyoto andprocessed in Kyoto by
Kyoto companies; a true
Made in Kyoto

Consistentquality

A clean process with
low CO2 emissions✔Abandoned bamboo
forests are a serious
environmental issue.
They impact thesurrounding ecosystem
by eroding hardwood
trees and causing
landslides.

✔A clean manufacturing method that uses
heated steam and emits less CO2 in theprocess✔Electrical properties, blackness, andlight-blocking performance are precisely
controlled✔Consistent quality ensured as anindustrial product
Under development

Carbon fixation✔By mixing it into the
product, it fixes the carbon
in the bamboo that has
absorbed CO2.
✔This concept is a stepbeyond carbon neutrality.

Natural plant fibers
Pellets
Cutting Bamboo
Under development

Capacitormaterials
Conversion to
charcoal

Laminate pack

Electrode
plate

Grinding andclassification

Paper
impregnation
Coating

Cloth
impregnation

Non-wovenfabric slippers

Ink
Screens©SUNCALL CORPORATION All Right Reserved.

38©SUNCALL CORPORATION All Right Reserved.

Contribute to an Aging Society: Rehabilitation Robot BusinessAs one of the COI projects of the Ministry of Education, Culture, Sports,
Science and Technology, we developed a robot that helps patients learn to walkthrough joint research and development with Kyoto University.

Since its launch in 2020 as a nursing care equipment model, the robot
has been adopted and well received by not only rehabilitation centers
across Japan but also senior and other care facilities.

Mounting image◇ Lightweight and medical device models
are under development.
We support people in their wish to walk.

SportsNursingcare

Medicalcare

BeautyIndustrial
assistance©SUNCALL CORPORATION All Right Reserved.

Rehabilitation using our company’s products
39©SUNCALL CORPORATION All Right Reserved.

For a Safe and Secure Social Life: Aerial Ultrasonic Sensor(Under Development) Developing the world’s first aerial ultrasonic sensor capable of simultaneous detection of distance and direction,
toward a safer and more secure society.
Sound waves are emitted over a wide area.

Existing
products The specific location of the object within thisPiezoelectric element mounting technology+ Vibration control technology

range is unknown.

Suncall- Along with the distance to the object, thedeveloped direction of the object can be determined
product simultaneously.

It helps reduce the number of sensor
providing multiple functions that needs several
sensors currently.

ObjectReflected
sound
wave

Radiated
sound
wave

Suncall’s unique new structure
The market size of ultrasonic sensors is approximately 150.0
billion yen for automotive use, and 9.0 billion yen for FA/PA
applications. We will open up new territory.

Nursing care /Surveillance / Drones

Ultrasonic sensor

Home service robots

Parking assist /Collision prevention systems

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Initiatives for Strengthening Governance and Sustainability
Progress of the Medium-term Management Plan GGP24

Medium-term Management Plan GGP24
Evaluation of effectiveness of the Board of
Directors using third parties(Considering implementing this one time within
period of Medium-term Management Plan) Initiatives for Enhancing Governance Enhance management oversight by increasing
the number of independent outside directors

Strengthen

Increase ratio of independent
outside directors to one third• One additional independent outside director to beappointed at the General Meeting of Shareholders inJune 2022• Target is for one-third of the Board to consist of
independent outside directors by the General Meeting of
Shareholders in June 2023

corporate
governance••

June 2022
General Meeting of
Shareholders

 Initiatives for Sustainability
 Establish Suncall Group Basic Policy for
Sustainability Promotion• We will establish the Suncall Group Basic Policy
for Sustainability Promotion in accordance with our
Basic Philosophy. We will work organizationallyand systematically to promote sustainability as oneof our management issues.
• We will contribute to the achievement of the
Sustainable Development Goals (SDGs) byidentifying materiality (key issues) that the Groupshould prioritize, incorporating them into ourManagement Plan, and working to resolve themthrough each of our business activities.

Enhance ESG disclosure
Begin TCFD compliance

2018

2015

June 2023
General Meetingof Shareholders
2023

Increase the number of independent
outside directors to three

Establishment of the SDGs Promotion
Committee

2021

2020

2023–2025

Transition to a company with an Audit andSupervisory Committee

Evaluation of effectiveness of the Board of Directors(Conducted via in-house questionnaire)

Respond to corporate governance code

■ Items to be implemented■ Progress against Medium-termManagement Plan
■ Implemented items

41©SUNCALL CORPORATION All Right Reserved.

Initiatives for Strengthening Governance and Sustainability
 Suncall Group’s Materiality (Key Issues)
The Company’s initiatives

Biodiversity

Response to climatechangeMaterialitythat leads tovaluecreation・Support resource recycling and environmentally friendly
manufacturing
・Solve issues through development and application of technology
Contribute to carbon neutrality by development andprovision of electric vehicle products and bamboo
charcoal application products
Adopt manufacturing lines that reduce environmental impact

Contribute to a safe
and secure social life

Contribute to theaging society

Business continuity

Hire diverse
workforce
Materialitythat servesasinfrastructure
for business
continuity

Relation to SDGs

Respect humanrightsRealize corporate
management that
supports sustainablegrowth・Reduce risk of automotive accidents through our products
・Promote communication with society and harmony withlocal communities
・Promote business activities that consider the human rights
of all stakeholders

・Contribute to the era in which people live to 100 throughproducts such as our walking assist robot

・Provide an environment in which a diverse workforce canthrive (Diversity & Inclusion)Aim
to adopt “Kurumin” by the end of FY2022
・・Improving the working environment in each country
・Nurture talent with flexible thinking and high level ofknowledge, technology, and skills
・Create an optimal and rewarding work environment

・Enhance corporate governance・Thorough compliance and risk management
42©SUNCALL CORPORATION All Right Reserved.

[Notice]
The materials for today’s briefing include statements regarding the Company’s
performance outlook and future plans and policies. Please ensure that you comply
with the Financial Instruments and Exchange Act and other laws and regulations
when trading stock, etc. In addition, forward-looking statements in the materials areprepared based on currently available information and include factors of known andunknown risks and uncertainty. Accordingly, the Company’s actual performance,business activities, and financial position may differ significantly from thesestatements. Please note that the Company has no obligation to announce or disclose
updates or revisions to these forward-looking statements.

©SUNCALL CORPORATION All Right Reserved.