Japan Cash Machine Co., Ltd. · TSE:6418
Japan Cash Machine — Q2 FY2018/3 Earnings Presentation
46 slides from Japan Cash Machine's earnings presentation, November 2017
Slide 1: FY2018/3 Q2 Financial Results Briefing
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Slide 2: Agenda
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Slide 3: Cautionary notes on forward-looking statements
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Slide 4: Consolidated results summary
g GLOBAL Mf: BA 2017/3 2Q | 2018/3 2Q| BISEIRISARILE | 2018/3 2q | BAM aT = x ae | dee | RA | | Feb 15,298] 14,995] 4 20%) A303 15,700] A 45%| A705 8,539 7.760] A 9.1% A778 8,050] A 36%| A290 1,884 2,074] +10.1% +189 1,450] +43.0%| +624 (2.323)] (2,090) |‘A10.0%| (A233) (2,300) |cAs1%| (A210) ; 978
Slide 5: Q2 results overview
2017/3 2Q Sat Sate xeon OICM @ HC RIN. FUT ANBRBAlC @ BAC : PY LAR Ub SA ITE © HREA : RRBRAMLE REIS x F—-SUT7 : RMICSO SHER MORRORDR * 2B: 1-OMABCEY, WRBAlC SERIE +14 3-0 A74 A60 2018/3 2Q Rat SEIS
Slide 6: Q2 operating profit factors
2017/3 2Q Et Fe @scm GLOBAL Al SKE Re Hie | ERE CO AHF 184) DFARBA SE BE (+ 99) HEIL AL A14 a—oAl3 RULE w Aye 1 #8455 Aw (A16.1%) : ee 2018/3 © MARKS: MARIS 20 Bit x RERGM: APM aeee co), MRM pars
Slide 7: Consolidated results
@scm GLOBAL Hi: BAA 2017/3AM 202338 2018/3AM 208 FH 2018/38 20RstHH = | 7)Y5-SR Ba 6 & eeealons-| ane | 6 at leemalyns-| aaa | 6 x leewelyns-| eee vue ia 5 L Hy 15,298) 12975] 2,823) | 14995) 12905) 2,090) -] 15,700) 13400) 2,900 | A233] A 210 mL [3905 [969% |50.9% 994% (372% 152.8% 37.6, (358% 148.
Slide 8: Results by segment
@scm 4: Ba cle BX Al it 2017/3 2Q | 2018/3 2Q | 2018/3 2Q | 2017/3 2Q | 2018/3 2Q] 2018/3 2a RHA | RRM | RHA | RHA | RRM | RHA PERCE I) | 47, 187 39,670 42,170 e(Fa—n) [31,678 27,154 27,665 21.3% 19.0% 15.5% (GP) 8,539 7,760 8,050 1,819 1,477 1,250 WRK IW | 8.620 Tat 6,280 e(Fa—m 17,507 10,310 6,250
Slide 9: Global gaming results
jevanem = OJCM 2017/3 2Q | 2018/3 2Q | 2018/3 2Q k Re MK KA Rat RG Rat Ratat el | ase mel PARAL stilt o | MR HS) 122,888 23,345 24,100 +20% +457 |-31% -755 a TRS 3H GAM) 2,559 2,618 2,700 +59 -82 FOr: SE (+x8) [4,057 2,896 3,570 28.5% -1,155 |-18.9% -674 RLI499 =| HE Ga 453 325 400 -128 -75 EM-72un-
Slide 10: Global Gaming results by product
pore 7am = §=OICM 2017/3 2Q | 2018/3 2Q | 2018/3 2a k Rw ER Rat RH Rat RK Metst | aie att . | TRE RS) 5,763 3,850 2,680 -33.2% -1,913 | +4374 +1,170 AA PRR #8 Gam) 644 431 300 -213 +131 PUP: AE (xs) 117,133 2,507 3,180 +121% +1,374 |-21.24% -673 RUIZ HE Gay) 127 281 350 +154 -69 RRIN-FIUn-| WE GO 7,
Slide 11: Operating profit by segment
ate = QJICM | GLOBAL St: BAA 2017/3 2Q | 2018/3 2Q | 2018/3 2Q Kk Re OR Rite Rit Ri Rite | Heme stig it +15.4% +25.4% ES 978 1,129 900 +150 +229 maeaia | 45% gap 101 44g) 98% sol fe 70/ + 64 (FGRRHRE) |e ILIAVULD ASV ER SBA +89 +111 REESE +54 +70 AIT HEB. (ae iecseamnene iia 10
Slide 12: Other segment results
“ate @Jcm Bf: 85A 2017/3 2Q | 2018/3 2Q | 2018/3 2Q km He OR Ka Rit Sia Rite Ah | a RL Ht 14.9% - 16.6% HRSA 3,543 3,016 3,615 527 599 Peers - we 60 730 1,400 +670 670 vsa-—xX -2.4% -4% XYk 292 285 285 -7 0 ES 3,895 4,031 5,300|+35y +136]-229% -1,269 axa | 25% 95] -0.5% 19) 3.0% 160/- 2% -115]-35 -1
Slide 13: Topics
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Slide 14: Forecast assumptions
@Jcm_ GLOBAL KMORARIS. MME COREL, @UTSABR, xltv1t+2Bw OF O-NNWFH-SL TF a eae ° X AK: AVIOMRRF OMY, THIEL MBM EL MLESEST x EM: BHD ORLYCOT—-SU FEMME LOVIFAREERS X DIYS : RHR COMBREO BY Owiay—yy A @ AK: MMBMEBEL TUS ROEM CO BMBBMATIAIR @ BOW : SB UT—)L, MERARESOMMB EEL ACT, HICH x POF 2 FUR RET ST HS
Slide 15: Full-year forecast
Jem @Jscm Hr: BBA 201773 | 2018/3 | 2018/3 | aysae | aanatmte 16,353 15,450 15,050] A 1,303 A 400 (4,402) (4,050) (4,030)] (A372)| (A 20) BY 3,466 2,800 3,950 +484 +1,150 (252) (250) ( 250) (A_2) C=) 2,234 2,250 2,250 + 16 te) 8,176 11,300 8,750 +574) A 2,550 Bra] pls = 30,230 31,800 30,000 A 230] A
Slide 16: Full-year forecast by segment
JCM | ICM Bf: 857A Tbe 2 Se Fl at 2017/3 2018/3 2017/3 2018/3 2018/3 Rit Ri Bit Pe RRA Rat Pe Bite HECK) | 88, 750 79,300 pea [55,076 48,635 18.1% 17.3% 14.6% #85)! 16,353] 15,050 2,960 2,600 2,250 WEEK) | 14,730 13,825 pheCFa—m | 15,368 18,900 8.0% 12.7% 1.8% (GAD) 3,466 3,950 276 500 50 7.5% 9.3%
Slide 17: Shareholder return policy
: @Jcm | B= FA4SIkSR2AMA PY HHOTMHL. EM2947 A SAOTEELOT. SCETWELELK. AESBHS3EA. PalO 48 8 ICMEBRASEMET SCLEBMELTBVYELEM, 2) HHOMEAIZ DU CIS R CRAEET SRAMERHEAUCL, EK3) ARAL /ICBLTIE, SARA t CHBMACNBUCESEMELT, HHO, ZHORSEEEO WEEDEWERpPNScCEDHY, 4) SABERATSCELWELELE. <HRHIIHT OREO RAG > 1) PRIA OAM -
Slide 18: Dividends
— @scm | | 201853 AMt. FREEBIES (A) Co BY RYKMORE | oot Cee Esta a m0 + gq 8 agg 16 | TT 1 ig 15 45 120 + 90 80 85 85 85 80 CI 40 2013/3 2014/3 2015/3 2016/3 2017/3 2018/3 F48 %K2013/3ITISHALB20M#, 2015/SI IS A6ORFORSRAEtNETN2Aeao ( TRY ASHE (A) 53.1 52.6 55.1 13.3 37.7 51.8 | | REE PHL (%6) 33.9 30
Slide 19: Medium-term plan
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Slide 20: Medium-term plan overview
@scm | GLOBAL BSeTAVECOTLHRE ER, HA MRA CLS MH RAMON SIC‘, mi EE IIB ORME ILAEO RL ae S se 2017 = (2015~174F FE) == BREE S24 iA xz +f 34,500 30,000 x 7.0% = 3.8% OM Fl 2k 2,400 1,150 ae 4.9% 4.9% 25 3 fall Fl 1,700 1,480 EPALE Fb SiS = Al - eo ps me ee py | ALK CO HSS SHI SHES BE. POP COF-IWT—h FA—N
Slide 21: Medium-term policy
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Slide 22: Medium-term targets
veesa QIcM GLOBAL 2017/3 #4 | 2018/3 A 84 | 2019/3 A 84 | 2020/3A 8 | 2021/3A 4 2023/3 AH Rf 7-8 el pate Aste RC vav RL 30,230 30,000 30,500 32,500 33,500 37,000 (B)}5.8% 3.8% 4.3% 5.4% 6.0% 7.6% BRAals 1,752 1,150 1,300 1,750 2,000 2,800 (#)]3.3% 4.9% 2.6% 3.5% 3.9% 4.6% 2 1,012 1,480 800 1,150 1,3
Slide 23: Medium-term plan by region
#E: AAA @Jcm ' (AVS BEBLATFA+ EVLHANORMADR _wMeECPRAO AM 2017/3 ABA | 2018/3A #4 | 2019/3 A 84 | 2020/3 A 8A | 2021/3 2023/3 A 3A Ri F 8 buZES ati BEES RH VaL : . |CFUSS) | 47,976 44,700 48,645 49,100 48,200 47,700 atk: ARR we 5,250 5,000 5,350 5,400 5,300) 5,250 yor. |CFUSS|9,176 7,800 8,500 9,100
Slide 24: Gaming product FUZION
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Slide 25: New product Pixel Pro
ORKRBLEDFIATLA (Pixel Pro) D-ANCT-LINUFEREL, TORRERMLT, SHRROBRORSETE—IL (G2E2017) RES1S, Fay aC yD SAI OMRERAS DE 49 J-AOBBIC.' H OMBERR SLETVBUARWREDY Scio FATS, HERTZ BREET SLEEK Leal a A wd 24
Slide 26: FUZION award
@scm GLOBAL QOOYIMYATFL (FUZION) K SEORTORF > « FUZIONAS . GGB201777—-F EG EOHOMAELT. ADYKOMBE. ELA VA L CHIE A-S ORES OF BAT HE CHSCED HL, FT YbEMMITITO), ALAKFFYADTicket, AVKPFIADILIYFABOBIRGE DAES ChE, FEOVA—CSLFEWRLELE SAT LABS > [AAb DABL—Y—-EATI/OL—MFI CBE. SABRILUTOLSY. [‘FUZION’ [4A “L—4—® F
Slide 27: Global gaming business expansion
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Slide 28: Global gaming plan
ORM MRAI KOMHB~OREA - ARGH IG THiS ~ C= Re BA DOR #8: BAA @scm 2017/3Af | 2018/3 AHA | 2019/3A HR | 2020/3 | 2021/3A 2023/3 A i F tH Bees ate RHE Vay (FUSS)| 9,504 6,500 5,100 5,350 7,330 14,500 Ales ok HE 1,040 730 560 580 800) 1,600 FOP + |(FUSS)|2924 5,095 7,365 9,545 11,360 17,270 KYI499 | HE 32
Slide 29: Global gaming strategy
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Slide 30: Strategy details
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Slide 31: Other business plan
@scm | GLOBAL At: B5A 2017/3 #4 | 2018/3 A 8 | 2019/3A #4 | 2020/3 A | 2021/3A 2023/3 AA & fi > He HEIR Bees EME Day (AIHALL)|+16.4% + 0.7% + 8.9% +4.1% + 7.8% +42% (X) # it 2,234 2,290: 2,450 2,500 2,750 3,200 (18 PARI) (BRR) O FU NOUERBORBEY . RRAU-NDISIT TERRA OE a xX BRERBOMDI LOH BRIO te) (BAIR
Slide 32: Other business plan details
@scm | x MBAWEICKS HR BIIE . Pe 7 ILS RGEMRO BIE RRA NDEI A OHRROA Bi Hw: BAA 2017/3 AHA | 2018/3 A #8 | 2019/3 A 8A | 2020/3 A #4 | 2021/3 2023/3FA A i > Hes Hes ates REVAL RFK IS A) we 6,981 6,540 6,100 5,450 5,100 6,900 yra—zX Aub 571 360 - - = = M&A, FRSe Heiss 624 1,850 2,300 3,500 4,100 4,100
Slide 33: Appendix
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Slide 34: Net sales trend
xeon QOICM BEOM -4+11822655M IMAL) WOHAE+ 149 : BAS +471. kKRMBE A147, ZOMA109 EREA 26 : BEAE AS62,. HATO +336 (2) SRE 42,511 40,428 39,755 39,878 2,041 40,000 ees “= 12,644) 11,627 — OAS 30,000 5.900 SE 86 969 1,558 : cere 20,000 oreo 11,385 OAS SACRE ROE ORT OH Ota eR 10,000 OF. [oe lo _— 0 201343
Slide 35: Sales trend by segment
| wth BA Oscm Al :A31850555 MHARA3Z,235 : (ERR) MMBAE A2,790, ARH AB57 MBE .+3218738 5A: Aas +2.610 4 (BAR) see 42,511 40,428 39,755 39,878 40,000 3,728 29,449 33,683 3,433 3.161 20019 [4620 a0) 3.164 786 3,787 2.386 3.251 : 30,000 Tae PAE a al THI] 5 502 OLARE ae OeHEAS TABARTO ae ome AM OMAE Ast 0
Slide 36: Cash flow and balance sheet
Hi: AAA @scm — “BECr : MESMR AMAR 840. HB 574, HAMM AZ00, BRAAGLAHE LARE-ER)OWM A306 ‘RACr: ABBERENS A389 “PLIECE : SRP MET HIC KY +3279, SHARIR A2,766 ASR A226 13/3. FA 14/3A A 15/3 16/3A A 17/3AA | '18/3A 8 2a MR BwICLSCr 918} 2,098] 1,801] 1,758 611 641 WREHICLECE A 166] A545/A 6,991] A 242] A 29
Slide 37: Capex and R&D trends
Bala | 347 WARMER 574 Hoag] COR (arse _oag | comm (BaP) Oe OM 100 tse OLA OBR | oh ats 94) 1.200 ; 1,258 1,200 ‘000 1112 wot gy 828 504 1,000 0 383 506 577 505 569 55 10 F 044 280 ; of] 291 300 500 voll 275 00 a 0 2014/3RE 2015/ARH 2016/3RH 2017/3RR 2018/3iH a. 2014/38 2015/3KH 2016/3RM 2017/3RK 201
Slide 38: Headcount and exchange rates
@scm — GLOBAL CFD 160 150 140 130 120 110 100 90 80 7O 13/73 14/3 "15/3 "16/3 17/3 "18/3 48 OF Lh (A 1ASLYVORRARAORBE (hl: BDF) FKEIL 9 18 11 21 KARMRMBILFIAIS 23 a1—a 6 7 6 5 OHA BL—h (A) 2017/32 2018/3°% 48 ABEGE ~LB~EAA) 2017/38 2018/3 WRPE ABBE ~ BS ~GaP) 109.43 111.86 93 REIL 112.18 112.00 35 1
Slide 39: Half-year results history
ipogl xen OJICM 2015/3 FH 2016/3 Ri 2017/3 Rf L+H | F+H iH L+H | F+H i # L+H | PtH i cs + | 13.324] 14,593 —-27.917| —*14.501} ~—*15,260| —=29,761| —*15,298| —*14,932| ——30,280) se | OR fl 8494 9.052] 17546] —=s.621] ~—=9,387| ~—=s 18,008] —= 9,338] ~—s8.952| _—18,290) ae t #8 Bl ae]? 4.900)99% 5541
Slide 40: Quarterly results history
@scm | MW: BBA 2015/3 Si 2016/3 £48 2017/3 $48 18/3H 10} 20} 30] 40 | BH | 1A | 20 | 3a | 40 | HH} 1a) 2a) 3a) 4a | BH | 10 | 20 6,899) 7,265} 7,328) 27,917} 7,148) 7,353] 7,903) 7,357| 29,761) 7,398) 7,900} 7,738) 7,194} 30,280) 7,140) 7,855 mE Hot > ~ Ss yoni’ | 3,172] 3,115} 2,893] 3,808] 12,987]
Slide 41: Long-term sales and profit trend
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Slide 42: Market environment
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Slide 43: Gaming market data
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Slide 44: Notes on the Company's shares
(iF) KORBROBMICKY [REEERIORM MRE OBRHSUEIRORAALE OTE. SORELCULSUOBRHSA OM DS AIIGEN, BC CE2020F UR EeH TUE HICkS IR O EERIE BEE SAD CIDE CHO, —BOBAACL—F— OBR MERICHSCHUSNTHS, (Bath) ORR AGU THRE lS, REESE (SRE IRERR, 19% CHM) ESA LI, HOM SHK. BRA OURHES S|] COMBA RLBEZEMD, ARMOS THAME ROBE, AMIROBA
Slide 45: Contact
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Slide 46: Competitors
vs ARB aah ll (HERS) RARE + Transact (USA) =Nanoptix (CAN) RACK Crane payment innovations (MEI, Cash Code , Money Control (USA) ) *Innovative Technology (UK) “it — 1X3 (6428) AF IL BME ATL “Mix 5— (SEES) fE AE MmBM (BO) 45
Japan Cash Machine — Q2 FY2018/3 Earnings Presentation on 6ix