IR meeting of FY2014

May 15th,2015

Contents

• Performance of FY2014• Forecast of FY2015• Our growth strategy

2

• About Performance of FY2014

3

FY2014:From April 1st,2014 to March 31st,2015

Performance of FY2014

FY2013 FY2014 Gap Percentage

Net sales 42,080 45,220 +3,140 +7.5%

Operating income 2,276 2,918 +642 +28.2%

Net income 2,561 4,580 +2,019 +78.8%

4

・ Increased both in sales and profits of “Electronic Devices”.・ 954 million of yen from sales of fixed assets is reported as extraordinary profits. （Note: change of segment name from “Semiconductors” to “Electronic Devices” at April 1st

2014

（million of JPY）

36,417

42,080 45,220

0

10,000

20,000

30,000

40,000

50,000

60,000

FY2012 FY2013 FY2014

Forward

EMS(existing)

Microwave(existing)

GaAs ICs(existing)

Si IC (existing)

Change of sales

5

+7.5%+15.6%

（million of JPY）

Change of sales and profit

6

0

2,000

4,000

6,000

8,000

10,000

12,000

Microwave tubesMicrowave application productsElectoronic devices

△ 1,500

△ 1,000

△ 500

0

500

1,000

1,500Operating incomeNet income

(million of JPY) (million of JPY)

FY2014FY2013

FY2012

FY2011

FY2014

FY2013

FY2012

FY2011

Change of operation profit

7

(million of JPY)

2,276

+2,576

△111

△1,103

△720 2,918

0

1,000

2,000

3,000

4,000

5,000

6,000

FY2013 FY2014

Depreciation cost Payroll

cost

Others

Increase of sales

Balance sheet

March 31st 2014 March 31st 2014 Gap

Total assets 37,174 39,011 +1,837

Net assets 7,455 10,708 +3,253

Capital ratio 20.1% 27.4% +7.3%

8

Total assets：Increase of liquid assetsNet assets：Increase of profit growth

（million of yen）

Change of net assets and interest-bearing debt

9

(million of JPY)

0

4,000

8,000

12,000

16,000

20,000

June,2010

Sep,2010

Dec,2010

Mar,2011

June,2011

Sep,2011

Dec,2011

Mar,2012

June,2012

Sep,2012

Dec,2012

Mar,2013

June,2013

Sep,2013

Dec,2013

Mar,2014

June,2014

Sep,2014

Dec,2014

Mar,2015

Net assets

Cash flow

10

(million of JPY)

FY2014 FY2015

O p e r a t i n g 4,243 5,416

I n v e s t i n g △1,975 △769

F i n a n c i n g △2,239 △4,102Cash and cashe q u i v a l e n t s 609 1,273

• Forecast of FY2015

11

FY2014:From April 1st 2014 to March 31st 2015

Forecast of FY2015

FY2014 FY2015(F) Gap Percentage

N e t s a l e s 45,220 49,000 +3,780 +8.4%

O p e r a t i n gi n c o m e

2,918 3,700 +782 +26.8%

N e t i n c o m e 4,580 3,700 △880 △19.2%

12

(million of JPY)

Change of sales(business segments)

13

(million of JPY)

Forecast

36,417

42,080

45,220

49,000

0

20,000

40,000

60,000

FY2012 FY2013 FY2014 FY2015(F)

Microwave tubesMicrowave application productsElectoronic devices

36,417

42,080

45,220

49,000

0

10,000

20,000

30,000

40,000

50,000

60,000

FY2012 FY2013 FY2014 FY2015(F)

ForwardEMS(existing)Microwave(existing)GaAs ICs(existing)Si IC (existing)

Change of sales

14

FORWARD drives our growth.

+7.5%

+15.6%

+8.4%

(million of JPY)

（Forecast）

Change of operation income

15

(million of JPY)

2,918

＋2,293

＋67

△1,150

△4283,700

0

1,000

2,000

3,000

4,000

5,000

6,000

FY2014 FY2015（Forecast）

Depreciation cost Payroll

cost

Others

Increase of sales

Capital investment

16

(million of JPY)

4,131

2,396

717

3,393

3,021

2,194

1,761

2,214

3,845

0

1,000

2,000

3,000

4,000

5,000

• Our growth strategy

17

Change of business environment

18

2012 2013 2014 2015

Sales promotion for automotive field

Cost down, maintaining our market share

Existing items

Paradigm Shift

19

PHS

20

• Automotive products

• SAW filter• MEMS• Microwave

0

10,000

20,000

30,000

Others

Security

Home appliances

PC

Communication

Automotive

Audio/Video

Change of sales (application)

21

Sales promotion for automotive field(million of JPY)

22

0

2,000

4,000

6,000

8,000

10,000

Automotive devices

23

(million of JPY)

For car AV

For smart key

For PCU and more

Our automotive ICs

24

Car navigation system

Battery

Power control unit

LED head lampSource : Marklines

25

EMS associatedwith industry restructuring

NJR

Technologies

SAW

Foundry

（ＪＲＣ＋ＸＸ）

GaAs

Thin film

Technologies

Foundry

service

MEMS

FEM

Wi-Fi(A社)

SAWRelated

Microwave-related

Microwave Application ProductsNew market O3b

C社

B社

Collaboration with Electronic Components

Manufacturer.

Our business with core-technologies (2012)

SAW Ass’y（ＪＲＣ＋ＸＸ）

MicAmp

Challenge the New market in 2013

F社

G

E社D社

PowerＳ/Ｊ

NewTechnology

Smartphone etc.

＋

26

EMS associatedwith industry restructuring

NJRTechnologies

SAWFoundry

（ＪＲＣ＋ＸＸ）

GaAs

Thin filmTechnologies

Foundryservice

MEMS

FEM

Wi-Fi(A)

SAWRelated

LNA/SW

Microwave-related

マイクロ波コンポーネント 新規事業分野（通信インフラ）O3b

C

B

Collaboration with Electronic Components

Manufacturer

XX

Our business with core-technologies (currently)

SAW Ass’y（ＪＲＣ＋ＸＸ）

MicAmp

Challenge the New market in 2013

F

G

ED

PowerS / J

NewTechnology

Smartphone

＋

BUCBUC27

36,417

42,080 45,220

49,000

0

10,000

20,000

30,000

40,000

50,000

60,000

FY2012 FY2013 FY2014 FY2015(F)

ForwardEMS(existing)Microwave(existing)GaAs ICs(existing)Si IC (existing)

FORWARD

28

FORWARD drives our growth.

+7.5%+15.6%

+8.4%

(million of JPY)

Forecast

Change of sales “FORWARD” products

29

(million of JPY)

0

2,000

4,000

6,000

8,000

10,000

FY2012 FY2013 FY2014 FY2015(Forecast)

Microwave Application

MEMS

SAW

Passive

EMS

GaAs IC

Si IC

5,414

9,511

0

2,000

4,000

6,000

8,000

10,000

12,000

FY2014 FY2015

Change of sales “FORWARD” products

30

(million of JPY)

0 500 1,000 1,500 2,000

Si IC

MEMS

SAW

MicrowaveApplication

（Forecast）

Microwave application products

31

The data and telephone communications are transmitted long distances by microwaves between ground stations and communications satellites.

Microwave application products

32

24G High-speed satellite communications Ka band transceiver(EMS)

Ka band(30GHz)

K band(18-26GHz)

Ku band(12-18GHz)

X band(8-12GHz)

C band(4-8GHz)

Frequency

High

Low

Communication Capability

High

Low

Microwave application products

33

Microwave

Technology

Assembling Technology of the

Semiconductor

Microwave Technology(30GHz)

Adjustment Technique of the Analog Circuit

Assembling technology of the Semiconductor

Power Devices

Submicron technology THAI NJR CO.,LTD. Adjustment Technique

SAW(Surface Acoustic Wave)•SAW (surface acoustic wave) filters are electromechanical devices commonly used in radio frequency applications.

MEMS(Micro electro mechanical systems)•MEMS transducer of New JRC is a sound sensor. MEMS microphones are adopted to smartphones in order to cancel noises and improve sound quality. Also, microphone amp is our strong field.

SAW & MEMS

34

Microphone ampMEMS transducer +

ABC

ASAW filter

Forecast of mobile terminal market

35

2. The number of SAW Filter to be used for one smartphone2G 3G 4G LTE

4- 6 6 - 8 15 - 20

EE Catalog

1. 3G/4G/LTE

0

400

800

1,200

1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q

Products BusinessFoundly Business

Change of sales “SAW”

36

(million of JPY)

FY2012

FY2013

FY2014

FY2015

Forecast

0

200

400

600

800

1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q

Change of sales “MEMS”

37

FY2012

FY2015

(million of JPY)

FY2013

FY2014

Forecast

May, 2014 Total shipments 100 millionsNov, 2014 Total shipments 200 millions

FEM

Source：Garmin HP

LNA SAW

Antenna

SAW

GNSS Receiver IC

FEM: SAW+LNA+SAW

LNA Post SAWSAW

GNSS Receiver IC

FEM: SAW+LNA

0

50

100

150

200

250

FY2014 FY2015(Forcast)

170%

38

(million of JPY)

Others(Forward Item)

Analog IC design and Manufacturing technique

・Custom・Foundry

Utilization of semiconductor production technology

・Collaboration with Electronic Components Manufacturer

0

200

400

600

800

1,000

1,200

153%

39

(million of JPY)

Impedance Converter for Microphone

40

0

10

20

30

40

50

60

70

80

FY2014 FY2015(Forecast)

Microphone Module

ECMMic.

AMP.FET

BIASVocal Microphone

Pin Microphone

(million of JPY)

Facilitation of logistics flow

41

USAUSA

East AsiaEast AsiaEuropeEurope

Domestic SalesDomestic Sales

South East AsiaSouth East Asia

BKK W/H

Domestic W/HDomestic W/H

JAPANJAPAN

THAI NJRTHAI NJR

Thank you for your kind attention.