What is the outlook for orders in the July to September quarter? Also, what are the trends by application?
We expect orders for SPE in the July to September quarter to be in the range between the same level as the April to June quarter and 100 billion yen. There is no change to our expectation that the April to June quarter was the bottom point, but it is difficult to predict how much it will increase in the July to September quarter. Orders for both NAND and foundries have been slowing recently, but we anticipate that they will pick up, starting, in September. We expect orders for FPD/PV to be in the 5 billion yen to 10 billion yen range.
Will next year be a good year?
We expect business environment to improve starting at the end of this year, but conditions may remain difficult until early next year.
How much do you expect expenses to decrease in the current downward revision?
Selling, general & administrative expenses in the first half will be in line with our initial predictions. In the second half, we plan to reduce these expenses by 5 to 6 billion yen compared to the first half. We also plan to cut production-related costs other than selling, general & administrative expenses.
How are the two acquisitions (NEXX Systems and Oerlikon Solar) factored into the current forecast?
NEXX Systems is included in the current financial forecast, but there is almost no impact on profit and loss when amortization of goodwill is taken into account. The acquisition procedures have not been completed for Oerlikon Solar, so it is not included in the current forecast.
Intel Corporation announced that it will acquire a stake in ASML. What will be TEL's response with respect to EUV and 450 mm wafers?
With respect to EUV, our coater/developers with EUV stepper scanners have been installed and well evaluated by customers, so we believe that we are fully prepared. Concerning 450 mm wafers, we are conducting the necessary development and evaluation on an appropriate scale. Like other equipment manufacturers, we are talking to customers about issues such as cost effectiveness. There are no significant changes to our development roadmap as a result of this announcement.
Will 450 mm wafer equipment development costs be added to the current development expenses, or will you select development projects within the scope of the current development expenses?
Development of 450 mm wafer equipment will be conducted in parallel with miniaturization, so if we start full-scale 450 mm wafer development, it will be added to the current development costs.
What is the status of OLED?
We are receiving customer evaluations as initially planned. We expect that the direction will become clear during this fiscal year.