Edion Corporation · TSE:2730
Edion — Q3 FY03/21 Earnings Presentation
18 slides from Edion's earnings presentation, Feb 2, 2021
Slide 1: EDION Corporation Analyst Meeting Q3 FY03/21
EDION Corporation Analyst Meeting Q3 FY03/21 February 2, 2021 © EDION Corporation
Slide 2: Greetings & Combating COVID-19
Greetings & Combating COVID-19 We respectfully offer our sympathies to all those affected by the spread of the novel coronavirus disease (COVID-19). Giving priority to preventing the spread of COVID-19 for the safety of our customers, partners, employees, and their families. Measures at operating st
Slide 3: Q3 FY03/21 Net Sales
Results Q3 FY03/21 Net Sales • In October, seasonal autumn rains caused an increase in precipitation in western Japan, which depressed sales. On the other hand, same-store sales were 125.1% YoY due to demand related to telework needs and the tendency to spend more time at home that continued into 2H
Slide 4: Consolidated Statements of Income (Cumulative Q3)
Results Consolidated Statements of Income (Cumulative Q3) Q3 FY03/20 Q3 FY03/21 Apr.–Dec. FY03/21 Million Yen, % % of Q3 % of Q3 Difference vs. Full-Year % of Sales Results % of Sales Results YoY Change FY03/19 FY03/20 Plan Plan * Net Sales 100.0 568,106 105.3 100.0 581,289 102.3 +13,183 +24,719 760
Slide 5: Net Sales at Edion-Owned Chains (POS Basis)
Results Net Sales at Edion-Owned Chains (POS Basis) Same-Store Sales for Edion-Owned Chains (% of Year-Earlier Level) 101.7% of Q1 FY03/20 88.9% of Q2 FY03/20 118.3% of Q3 FY03/20 102.9% of Q1 FY03/20 (incl. e-commerce) 90.1% of Q2 FY03/20 (incl. e-commerce) 119.7% of Q3 FY03/20 (incl. e-commerce) 1
Slide 6: Net Sales by Product (POS Basis)
Results Net Sales by Product (POS Basis) POS Sales for Mainstay Products at Edion-Owned Chains (% of Year-Earlier Level) (%) 1H 1H Oct.–Dec. Oct.–Dec. Oct.–Dec. Oct.–Dec. (Reference) Product (versus (versus October November December (versus (versus (versus (versus Recorded basis FY03/20) FY03/19) FY
Slide 7: Net Sales by Product (POS Basis)
Results Net Sales by Product (POS Basis) (%) POS Sales for Non-Mainstay Products at Edion-Owned Chains (% of Year-Earlier Level) 1H 1H Oct.–Dec. Oct.–Dec. Product October November December (versus FY03/20) (versus FY03/19) (versus FY03/20) (versus FY03/19) Game Consoles and 134.5 157.3 173.9 150.9 1
Slide 8: Cumulative Q3 E-Commerce Earnings (Recorded)
Results Cumulative Q3 E-Commerce Earnings (Recorded) Recorded Sales Q3 FY03/20 Q3 FY03/21 Q3 FY03/21 % of Full-Year FY03/21 Versus Plan (Million Yen) Actual Plan Actual Q3 FY03/20 Plan Edion Net Shop 9,992 13,300 16,002 160.1% 120.3% 18,000 • Sales expanded dramatically as Edion Net Shop users incre
Slide 9: Factors Affecting Sales by Product in Cumulative Q3
Results Factors Affecting Sales by Product in Cumulative Q3 (Recorded; Consolidated) (Million Yen, %) Change versus % of % of Product Q3 FY03/19 Q3 FY03/20 Q3 FY03/21 YoY Change Q3 FY03/19 Q3 FY03/19 Q3 FY03/20 Audio-Visual 64,939 70,083 74,525 +9,585 +4,442 114.8% 106.3% Equipment Home Appliances 2
Slide 10: Gross Profit Margin
Results Gross Profit Margin Sales Composition Q3 FY03/20 Q3 FY03/21 Gross Profit Margin by Quarter Audio-Visual Equipment 12.3% 12.8% Cumulative Q3 Cumulative Q3 28.9% 29.5% Home Appliances 11.4% 11.2% (Air Conditioners) Home Appliances (Other) 33.0% 33.4% Information Appliances 14.3% 14.5% (PCs, et
Slide 11: SG&A Expenses (Cumulative Q3)
Results SG&A Expenses (Cumulative Q3) Q3 FY03/20 Q3 FY03/21 Apr.–Dec. Million Yen % of Difference vs. % of Sales Results % of Sales Results YoY Change Q3 FY03/20 Plan * Total SG&A Expenses 27.1% 154,063 25.6% 148,668 96.5% -5,395 -4,103 Advertising Expenses and Selling 8.3% 47,199 7.3% 42,317 89.7%
Slide 12: Consolidated Balance Sheet (Assets)
Results Consolidated Balance Sheet (Assets) Million Yen Dec. 31, 2019 March 31, 2020 Dec. 31, 2020 Vs End-FY03/20 YoY Change Current Assets 164,058 153,296 201,847 +48,551 +37,789 Cash and Cash Equivalents 8,988 15,974 37,197 +21,222 +28,208 Accounts Receivable – Trade 36,780 33,666 41,890 +8,224 +5
Slide 13: Consolidated Balance Sheet (Liabilities & Net Assets)
Results Consolidated Balance Sheet (Liabilities & Net Assets) Million Yen Dec. 31, 2019 March 31, 2020 Dec. 31, 2020 Vs End-FY03/20 YoY Change Liabilities 193,385 169,623 203,395 +33,771 +10,009 Notes and Accounts Payable - Trade 58,228 34,434 64,314 +29,880 +6,086 Short-Term Borrowings 1,000 70 30
Slide 14: Total Asset Turnover & Inventory Turnover
Results Total Asset Turnover & Inventory Turnover Total Asset Turnover Inventory Turnover Q3 FY03/17 Q3 FY03/18 Q3 FY03/19 Q3 FY03/20 Q3 FY03/21 Q3 FY03/17 Q3 FY03/18 Q3 FY03/19 Q3 FY03/20 Q3 FY03/21 • Total Asset Turnover: Maintained at a level above 2.0 in Q3 FY03/21 by securing high-demand produc
Slide 15: Consolidated Statements of Income (FY03/21 Plan)
Plan Consolidated Statements of Income (FY03/21 Plan) FY03/20 FY03/21 Million Yen, % % of Sales Results % of FY03/19 % of Sales Plan % of FY03/20 Net Sales 100.0% 733,575 102.1% 100.0% 760,000 103.6% Gross Profit 28.7% 210,605 100.4% 28.9% 219,488 104.2% SG&A Expenses 27.0% 198,321 103.3% 25.6% 194,
Slide 16: ROE, ROIC, Long-Term Credit Rating
ROE & Financial Stability ROE, ROIC, Long-Term Credit Rating (100 Million Yen) (%) Ordinary profit Net income ROE ROIC FY03/16 FY03/17 FY03/18 FY03/19 FY03/20 FY03/21 (forecast) *Excludes the impact of deferred tax assets: FY03/17 +5.8 billion yen *Formulae: ROE = Net income ÷ Average shareholders’
Slide 17: Overview of Store Openings
Results Overview of Store Openings Change in the Number of Stores (April 2020 through December 2020) Relocated/ March 2020 Newly Opened Closed Change Dec. 2020 Remodeled Home Electrical 396 8 1 0 +8 404 Appliance Stores Non-Home Electrical 37 0 0 -1 -1 36 Appliance Stores Total Edion-Owned 433 8 1 -
Slide 18: Events in Q3 FY03/21
Events Events in Q3 FY03/21 October ・Established an Edion 5G Experience Corner (10/17) November ・Launched Tsukurobo, a new service where children can learn programming from home (11/1) ・Began offering a disinfecting service for in-store items and repaired items (11/9) ・Opened Aeon Hara Store (11/19)