Premium Group Co., Ltd. · TSE:7199
Premium — Q1 FY2021 Earnings Presentation
26 slides from Premium's earnings presentation, Aug 14, 2020
Slide 1: Financial Results Presentation for Q1 of FY Ending March 31, 2021
Financial Results Presentation for Q1 of FY Ending March 31, 2021 August 14, 2020 TSE First Section: 7199 Premium Group Co., Ltd.
Slide 2: Contents
Contents (1) Summary of Financial Results for Q1 of FY Ending March 31, 2021 (2) Impacts from the COVID-19 Pandemic (3) Earnings Forecast for FY Ending March 31, 2021 (4) Appendix 2
Slide 3: (1) Summary of Financial Results for Q1 of FY Ending March 31, 2021
(1) Summary of Financial Results for Q1 of FY Ending March 31, 2021
Slide 4: Highlights from Q1 of FY Ending March 31, 2021
Highlights from Q1 of FY Ending March 31, 2021 Operating income increasing steadily driven by strength of stock-business model, which continuously increases profits Total volume of main businesses declined YoY due to the impacts of COVID-19 Operating income: ¥4,022 million (up 27.7% YoY) Both
Slide 5: Consolidated Performance for Q1 of FY Ending March 31, 2021
Consolidated Performance for Q1 of FY Ending March 31, 2021 (Graph/table unit: millions of yen) Operating income totaled ¥4,022 million (up 27.7% YoY) on reversal of stock from business growth Profit before tax of core business excluding one-off factors totaled ¥601 million (up 12.1% YoY) FY21 F
Slide 6: About Profit before Tax of Core Business
About Profit before Tax of Core Business (Graph unit: millions of yen) Booked one-off profits of ¥1,828 million in the previous fiscal year and ¥578 million yen this fiscal year Profit before tax of core business was up 12.1% YoY to ¥601 million, following ¥536 million in previous fiscal year Pr
Slide 7: Credit Finance Business: Total Volume of New Loans
Credit Finance Business: Total Volume of New Loans Total volume of new loans Total volume of new loans: Auto loan PH Auto loan PH…The average monthly (Billions of yen) 40.7 –10.8% YoY total volume of new loans per sales ¥36.4 staff billion Auto loan PH: 31.4 –16.0% YoY Q1 total volume of new loans Q
Slide 8: Credit Finance Business: Loan Receivables
Credit Finance Business: Loan Receivables Loan receivables Loan receivables: Delinquency rate (more than 3 months) (Billions of yen; %) ¥326.1 billion +21.6% YoY 268.3 Delinquency rate: 1.05% Q1 loan receivables 216.5 Q1 delinquency rate Factors driving change The delinquency rate has risen slight
Slide 9: Credit Finance Business: Number of Network Stores
Credit Finance Business: Number of Network Stores Number of credit network stores (Companies) Number of credit network stores: 22,676 +7.6％ YoY 21,067 Q1 number of network stores 18,901 Factors driving change Refrained from new sales calls during the state of emergency ・Only up 0.6% from March 31,
Slide 10: Automobile Warranty Business: Total Volume of New Warranties
Automobile Warranty Business: Total Volume of New Warranties Total volume of new warranties Automobile warranty: total volume of new (Millions of yen) warranties 1,100 ¥980 million –10.5% YoY EGS Total volume of Premium Group: –11.3% YoY ¥220 Total volume of EGS: –7.7% YoY million Q1 total volume fo
Slide 11: Operating Income (P/L) by Segment
Operating Income (P/L) by Segment (Graph unit: millions of yen) (Figures in parentheses in graph indicate YoY change) Operating income by segment totaled ¥4,022 million (up 27.7% YoY) All three segments recorded growth, while new businesses and new subsidiaries drove the increase in earnings Ear
Slide 12: Trends in Operating Expenses (P/L)
Trends in Operating Expenses (P/L) (Graph unit: millions of yen) (Parentheses in graph indicate percentage versus operating income) Operating expenses totaled ¥3,484 million (up 25.2% YoY) Expenses increased by about ¥330 million after three subsidiaries newly joined the Group (operating expense
Slide 13: Other Topics
Other Topics Inclusion of Central Servicer Corporation in the Group April 2020 Central Servicer Corporation, a servicer with a wealth of experience in the collection of auto loan receivables, joined the Group. The company has a nationwide team of investigators and negotiators, which is expected to p
Slide 14: (2) Impacts from the COVID-19 Pandemic
(2) Impacts from the COVID-19 Pandemic
Slide 15: External Environment and Our Situation
External Environment and Our Situation Total volume of new auto credit has dropped sharply following negative year-on-year growth in the used car market Gross margin increased and we worked to secure high quality receivables using a service-focused sales policy, including proposals of composite
Slide 16: Internal and External Initiatives for COVID-19
Internal and External Initiatives for COVID-19 Actively implemented social and economic contribution activities Promoted initiatives to co-exist with COVID-19 giving top priority to employee safety and stopping the spread State of emergency ▼ Donation ceremony held at Saitama Prefectural Office
Slide 17: (3) Earnings Forecast for FY Ending March 31, 2021
(3) Earnings Forecast for FY Ending March 31, 2021
Slide 18: Earnings Forecast for FY Ending March 31, 2021
Earnings Forecast for FY Ending March 31, 2021 (Graph/table unit: millions of yen) Disclosed now because it has become possible to forecast performance taking into account the situation of market recovery, despite the prevalence of COVID-19 Expect to see consistent, ongoing growth, with increase
Slide 19: Comparison of Medium-Term Management Plan and Forecast for FY Ending March 31, 2021
Comparison of Medium-Term Management Plan and Forecast for FY Ending March 31, 2021 (Table unit: millions of yen) Given the downturn in our core business from COVID-19, operating income is expected to fall below the plan, despite additional income recorded from Central Servicer Corporation and gro
Slide 20: Management Policy for FY ending March 31, 2021
Management Policy for FY ending March 31, 2021 The policy is based on the assumption that COVID-19 will not end this fiscal year and the automobile market will not see major growth Existing businesses forecast conservatively, but investment in Medium-Term Management Plan strategies will be susta
Slide 21: (4) Appendix
(4) Appendix po
Slide 22: Company Profile
Company Profile Name Premium Group Co., Ltd. Securities Code / Exchange 7199 / First Section of Tokyo Stock Exchange Established May 25, 2015 Note: G-ONE Credit Services Co., Ltd. (currently, Premium Co., Ltd.) was established in 2007. Head Office The Okura Prestige Tower, 2-10-4 Toranomon, Minato-k
Slide 23: Overview of Premium Group
Overview of Premium Group Other businesses Automobile warranty business 5.0 % 26.1 % Operating income by business Auto mobility business ・Provision of multiple services required for managing automobile logistics business Overseas business ■ Automobile warranty (FY Ended March 31, ・Business expan
Slide 24: B/S
B/S （Thousand yen） Compared to FY20 FY20 FY21 previous QoQ (As of June 30, 2019) (As of March 31, 2020) (As of June 30, 2020) quarter Assets Cash and cash equivalents 6,285,647 6,285,647 10,235,760 162.8% 162.8% Financing receivables 20,010,590 20,010,590 21,551,401 107.7% 107.7% Other financial ass
Slide 25: P/L
P/L （Thousand yen） Q1 FY20 Q4 FY20 Q1 FY21 Compared to (April 1, 2019 - June (January 1, 2020 - (April 1, 2020 - June previous QoQ 31, 2019) March 31, 2020) 31, 2020) quarter Operating income 3,148,563 3,843,227 4,021,820 127.7% 104.6% Other finance income 6,789 328 37,999 559.7% 11571.0% Share of p
Slide 26: P/L (Operating income/Operating expenses)
P/L（Operating income/Operating expenses） （Thousand yen） Q1 FY20 Q4 FY20 Q1 FY21 Compared to (April 1, 2019 - June (January 1, 2020 - (April 1, 2020 - June previous QoQ 31, 2019) March 31, 2020) 31, 2020) quarter Operating income Finance income 1,877,895 2,163,746 2,350,244 125.2% 108.6% Warranty rev