Sapporo Holdings Limited · TSE:2501

Sapporo — FY2012 Earnings Presentation

47 slides from Sapporo's earnings presentation, Feb 12, 2013

Slide 1: Sapporo Group Business Results Presentation for FY2012
Sapporo Group Business Results Presentation for FY2012 February 12, 2013 Sapporo Holdings Ltd. URL http://www.sapporoholdings.jp/english Copyright, 2013 SAPPORO HOLDINGS LTD. All rights reserved. 1/47
Slide 2: Contents
Contents Sapporo Group Management Plan 2013-2014 1. Overview of 2012 Results Progress of Implementation of 2012 Basic Strategies Overview of 2012 Results Reference: Supplementary Information to 2012 Results 2. Sapporo Group Management Plan 2013-2014 Management Targets Basic Strategies Business Plans
Slide 3: Sapporo Group Management Plan 2013-2014
Sapporo Group Management Plan 2013-2014 - Establishing the Foundation for Realizing the New Management Framework and Generating Results- February 8, 2013 Sapporo Holdings Ltd. Copyright, 2013 SAPPORO HOLDINGS LTD. All rights reserved. 3/47
Slide 5: Progress of Implementation of 2012 Basic Strategies
Progress of Implementation of 2012 Basic Strategies We promoted three basic strategies for achieving dramatic growth Creating new opportunities for Challenge toward growth Carrying out growth measures in all businesses growth To realize the fruits of the various We will leverage the strengths of our
Slide 6: Progress of Implementation of 2012 Basic Strategies
Progress of Implementation of 2012 Basic Strategies Carrying out growth measures ¾ Steps for boosting the value of Yebisu Garden Place •Increased the stake in Yebisu Garden Place to 100% in March 2012; started implementing measures to boost its value towards its 20th anniversary in 2014. •Taking int
Slide 7: Progress of Implementation of 2012 Basic Strategies
Progress of Implementation of 2012 Basic Strategies Carrying out growth measures ¾ Progress in the alcoholic beverages business in Vietnam, where we made a full-scale entry •We entered the Vietnamese market at the end of February 2012 and launched full-scale marketing from April. Sales volume and ex
Slide 8: Progress of Implementation of 2012 Strategic Investments
Progress of Implementation of 2012 Strategic Investments Implementation Status of Strategic Investments (incl. ordinary capex) Credit Ratings <Acquisition of stake in Silver Springs Citrus> ¾ Acquired 51% of outstanding shares in Silver Springs Citrus and <Credit rating by JCR> made it a consolidate
Slide 9: Overview of 2012 Results: Special Factors
Overview of 2012 Results: Special Factors Breakdown of special factors that do not allow meaningful year on year comparisons between net sales and operating income for 2012 and a year earlier See the Supplementary Information to our Earnings Report for factors behind changes resulting from other bus
Slide 10: Overview of 2012 Results
Overview of 2012 Results YoY changes 2011 results 2012 results ¾ Net sales: up YoY (billions of yen) (amount, %) Sales increased markedly for the Group as a Japanese Alcoholic Beverages 268.1 274.4 6.3 2.3% whole with increases for Japanese Alcoholic Beverages and Restaurants, which were Internation
Slide 11: Overview of 2012 Results - Revised Targets vs. Results
Overview of 2012 Results - Revised Targets vs. Results- 2012 revised Vs. Targets 2012 results (billions of yen) targets (amount,%) Japanese Alcoholic Beverages 277.5 274.4 (3.0) (1.1)% International 37.3 36.1 (1.1) (3.2)% ¾ Net sales: Unachieved Food & Soft Drinks 128.1 132.1 4.0 3.2% The Japanese A
Slide 12: Overview of 2012 Results – Management Indices, Disclosure of Real Estate Leasing Asset Prices
Overview of 2012 Results – Management Indices, Disclosure of Real Estate Leasing Asset Prices - Management Indices vs. Targets and Previous Year Results vs. Targets 2011 vs. 2012 Results 2012 2012 2011 2012 Change Change Revised targets Results Results Results Operating margin (excl. liquor taxes, 5
Slide 13: Reference: Supplementary Information to 2012 Results
Reference: Supplementary Information to 2012 Results *For information on each business’s profitability, please also see the Supplementary Information to our Earnings Report Copyright, 2013 SAPPORO HOLDINGS LTD. All rights reserved. 13/47
Slide 14: Japanese Alcoholic Beverages (1)
Japanese Alcoholic Beverages (1) (billions of yen) Year-over-year changes Results highlights 2011 2012 Amount % *Incl. liquor taxes Net sales increased first time in eight years as sales volumes of beer, happoshu and new-genre beer products rose compared Net sales* 268.1 274.4 6.3 2.3% with the same
Slide 15: Japanese Alcoholic Beverages (2)
Japanese Alcoholic Beverages (2) Key points in business plan: implementation status 3. Expanding sales of wine, western spirits and shochu 2. Laying the groundwork for growth in expanding areas Wine RTD-related actions <Sapporo’s first year of promoting Ready To Drink products: Triple the sales> ¾ S
Slide 16: International Business (1)
International Business (1) (billions of yen) Results highlights Year-over-year changes Sales increased 39.5% YoY primarily in North America on the back of gains in local currency terms and the addition 2011 2012 Amount % of Silver Springs Citrus’s results. Operating income declined due to the impact
Slide 17: International Business (2)
International Business (2) Key points in business plan: implementation status Developments in South Korea ¾ Strengthened Sapporo brand value and sales structure in 2. Expansion in Asian market (incl. Oceania) South Korea by acquiring 15% sake in M’s Beverage Co., Developments in Vietnam Ltd., a whol
Slide 18: Food & Soft Drinks – Sapporo Beverage
Food & Soft Drinks – Sapporo Beverage Results highlights (billions of yen) Sales volume declined to 93% of the previous year against a general demand rise to103%, partly due to the reversal of the Year-over-year changes surge in demand (for Japanese drinking water) following the disaster in 2011. *A
Slide 19: Food & Soft Drinks – POKKA Group (1)
Food & Soft Drinks – POKKA Group (1) Year-over-year change (billions of yen) Results highlights Apr-Dec Jan-Dec Amount % 2011* 2012 Net sales increased partly due to the full-year contribution from the consolidation, which was implemented in April. Operating income declined due to higher good will a
Slide 20: Food & Soft Drinks – POKKA Group (2)
Food & Soft Drinks – POKKA Group (2) Key points in business plan: implementation status Beverages & Foods Business (Overseas): POKKA Singapore Restaurants Business (Domestic): POKKA CREATE Co., Ltd. 1. Expand into Singapore’s neighboring countries 1. Expanded sales via growth at existing stores, ¾ I
Slide 21: Restaurants
Restaurants Results highlights (billions of yen) Sales for the Jan-Dec period increased 2.4% YoY at existing Year-over-year changes stores in the Restaurant Business, which was directly affected by the Great East Japan Earthquake in 2011. 2011 2012 Amount % In addition to this, operating income impr
Slide 22: Real Estate (1)
Real Estate (1) (billions of yen) Year-over-year changes Results highlights Despite decline in real estate revenues, sales and income 2011 2012 Amount % rose from March onwards as we acquired 15% trust beneficiary rights in Yebisu Garden Place. Maintaining stable Net sales 22.4 23.2 0.7 3.3% revenue
Slide 23: Real Estate (2)
Real Estate (2) Overview of Real Estate Business ¾Majority of the business’s operating income is from real estate leasing – Property portfolio largely comprises properties in Tokyo 5 central wards; see the previous slide – Unrealized gains on properties for lease as of the end of December 2012 was ¥
Slide 26: Long-term Management Strategies: Sapporo Group's New Management Framework
Long-term Management Strategies: Sapporo Group’s New Management Framework Basic approach: Working steadily toward long-term goals while also boldly revising resource allocations, executing strategic investments, and enhancing competitiveness through aggressive management Goals (for 2016, 140 th anni
Slide 27: Medium-term Target of New Group Management Structure
Medium-term Target of New Group Management Structure Of the two business domains, we position food value creation business as the core domain and will make active investments for growth both in Japan and abroad. Sapporo Group’s Business Domains International Real Estate Restaurants Creating Food val
Slide 29: Position of Sapporo Group Management Plan 2013-2014
Position of Sapporo Group Management Plan 2013-2014 Four years are left until 2016. We position 2013 and 2014 as a crucial period in building the foundation for achieving the plan and drive forward initiatives for further improving our corporate value under the new group management structure, also w
Slide 30: 2013-2014 Management Targets
2013-2014 Management Targets Consolidated targets 2006 results 2012 results 2013 targets 2014 targets 2016 targets Consolidated net sales *incl. liquor tax ¥435.0 bn ¥492.4 bn ¥512.0 bn ¥533.0 bn ¥600.0 bn (excl. liquor tax) ¥294.0 bn ¥379.7 bn ¥397.3 bn ¥416.0 bn ¥450.0 bn Consolidated operating in
Slide 31: 2013-2014 Management Targets by Segment
2013-2014 Management Targets by Segment Targets 2012 results 2013 targets 2014 targets Japanese Alcoholic Beverages ¥269.9 bn ¥275.2 bn ¥283.5 bn International Business ¥36.1 bn ¥43.3 bn ¥46.4 bn Food & Soft Drinks ¥129.0 bn ¥136.5 bn ¥145.5 bn Net sales Restaurants ¥26.6 bn ¥26.8 bn ¥28.2 bn Real E
Slide 33: Basic Strategies for Promoting Dynamic Growth
Basic Strategies for Promoting Dynamic Growth I. Challenges toward growth in all businesses While leveraging the strengths of each business’s brands and management resources, we will accept new challenges to beat the competition in all of our businesses. II. Carrying out growth measures To realize t
Slide 34: Strategic Investment
Strategic Investment Basic concept of strategic investment We will continue to pursue active strategic investments aimed at further developing the Sapporo Group. We envisage strategic investments worth ¥150 billion to ¥200 billion from 2012 through 2016. These investments will generally be made with
Slide 36: Overall Group Strategy
Overall Group Strategy 1. Further promotion of efficiency in Group Management As the size of the Group expands, we will further Holding company/Group headquarters concentrate common operations on SGM, a functional Sapporo Holdings Ltd. support company. Functional company Sapporo Group Management LTD
Slide 38: Japanese Alcoholic Beverages
Japanese Alcoholic Beverages (billions of yen) We are pursuing the dual strategies of “Growth Quantitative in the beer-taste market” and “Growth as a 2012 results 2013 targets 2014 targets targets comprehensive alcoholic beverage enterprise,” under which we aim to display to the markets Net sales 26
Slide 39: Japanese Alcoholic Beverages
Japanese Alcoholic Beverages Key Points in Management Plan 2013-2014 (cont.) 2. Revitalize beer market and disseminate information In a bid to revitalize the beer market and enhance information dissemination, we, as an organization that creates beer Hyaku-nin Beer Lab culture, are holding the Japan
Slide 40: International Business
International Business (billions of yen) In North America, we will accelerate the Quantitative 2012 results 2013 targets 2014 targets growth of the business by capitalizing on its targets strengths in the premium beer category and Net sales 36.1 43.3 46.4 aim to boost sales by actively engaging in g
Slide 41: International Business
International Business Key Points in Management Plan 2013-2014 (cont.) 2. Expansion in Asia and Oceania We aim to boost sales by actively engaging in growth markets in Southeast Asia and elsewhere while keeping an eye on opportunities to tap into new markets as we strengthen the foundations of our I
Slide 42: Food & Soft Drinks
Food & Soft Drinks (billions of yen) We will achieve complete integration of Quantitative 2012 results 2013 targets 2014 targets POKKA SAPPORO FOOD & BEVERAGE targets LTD., which commenced its business in Net sales 129.0 136.5 145.5 January 2013, and strongly pursue synergies to grow the business in
Slide 43: Restaurants
Restaurants (billions of yen) As the operating company engaged in realizing both “Food value creation” and Quantitative 2012 results 2013 targets 2014 targets “Creating comfortable surroundings,” we aim targets to expand sales by increasing customer Net sales 26.6 26.8 28.2 satisfaction through prom
Slide 44: Real Estate
Real Estate (billions of yen) We will raise Sapporo brand’s value and Quantitative 2012 results 2013 targets 2014 targets targets strengthen Group synergies while boosting the value of our prime Net sales 23.2 23.6 22.4 properties so as to further improve Operating income 9.3 8.3 7.3 profitability f
Slide 46: Returning Profits to Shareholders
Returning Profits to Shareholders Basic Policy ¾Providing fair returns to our shareholders is a key management policy of our Group. Our basic policy is to pay stable dividends to the extent permitted by our operating performance and financial condition. We also aim to maximize corporate value by int
Slide 47: To make people's lives richer and more enjoyable
To make people’s lives richer and more enjoyable The earnings forecasts and forward-looking statements appearing in this document were prepared by the SAPPORO Group based on currently available information and its best assessment of potential risks and uncertainties. Actual outcomes may differ mater

Sapporo Holdings — FY2012 Earnings Presentation on 6ix

Sapporo — FY2012 Earnings Presentation

Slide 1: Sapporo Group Business Results Presentation for FY2012

Slide 2: Contents

Slide 3: Sapporo Group Management Plan 2013-2014

Slide 4: 1. Overview of 2012 Results

Slide 5: Progress of Implementation of 2012 Basic Strategies

Slide 6: Progress of Implementation of 2012 Basic Strategies

Slide 7: Progress of Implementation of 2012 Basic Strategies

Slide 8: Progress of Implementation of 2012 Strategic Investments

Slide 9: Overview of 2012 Results: Special Factors

Slide 10: Overview of 2012 Results

Slide 11: Overview of 2012 Results - Revised Targets vs. Results

Slide 12: Overview of 2012 Results – Management Indices, Disclosure of Real Estate Leasing Asset Prices

Slide 13: Reference: Supplementary Information to 2012 Results

Slide 14: Japanese Alcoholic Beverages (1)

Slide 15: Japanese Alcoholic Beverages (2)

Slide 16: International Business (1)

Slide 17: International Business (2)

Slide 18: Food & Soft Drinks – Sapporo Beverage

Slide 19: Food & Soft Drinks – POKKA Group (1)

Slide 20: Food & Soft Drinks – POKKA Group (2)

Slide 21: Restaurants

Slide 22: Real Estate (1)

Slide 23: Real Estate (2)

Slide 24: 2. Sapporo Group Management Plan 2013-2014

Slide 25: Medium- to Long-Term Strategy

Slide 26: Long-term Management Strategies: Sapporo Group's New Management Framework

Slide 27: Medium-term Target of New Group Management Structure

Slide 28: 2013-2014 Management Targets

Slide 29: Position of Sapporo Group Management Plan 2013-2014

Slide 30: 2013-2014 Management Targets

Slide 31: 2013-2014 Management Targets by Segment

Slide 32: 2013-2014 Basic Strategies

Slide 33: Basic Strategies for Promoting Dynamic Growth

Slide 34: Strategic Investment

Slide 35: Overall Group Strategy

Slide 36: Overall Group Strategy

Slide 37: Business Plans

Slide 38: Japanese Alcoholic Beverages

Slide 39: Japanese Alcoholic Beverages

Slide 40: International Business

Slide 41: International Business

Slide 42: Food & Soft Drinks

Slide 43: Restaurants

Slide 44: Real Estate

Slide 45: Returning Profits to Shareholders

Slide 46: Returning Profits to Shareholders

Slide 47: To make people's lives richer and more enjoyable