Slide 1: Briefing on the Financial Results for the Fiscal Year Ended March 31, 2021
Briefing on the Financial Results for the Fiscal Year Ended March 31, 2021 May 11, 2021 TDC SOFT Inc. © 2021 TDC SOFT Inc. 1
Slide 2: Agenda
1. Overview of Consolidated Financial Results for the Fiscal Year Ended March 31, 2021 2. Status of the Key Measures for the Fiscal Year Ended March 31, 202 3. Outlook for the Fiscal Year Ending March 31, 2022 Hiroyoshi Kobayashi, President and Representative Director 4. Details of Financial Results
Slide 3: Important Points in the Fiscal Year Ended March 31, 2021
Important Points in the Fiscal Year Ended March 31, 2021 Results of the fiscal year ended March 31, 2021 • IT consulting and services and IT solutions for public corporations performed well. However, due to the certain projects being postponed as a result of the COVID-19 pandemic, net sales were 27,
Slide 4: Overview of Consolidated Financial Results for the Fiscal Year Ended March 31, 2021
Overview of Consolidated Financial Results for the Fiscal Year Ended March 31, 2021 © 2021 TDC SOFT Inc. 4
Slide 5: Overview of Financial Results for the Fiscal Year Ended March 31, 2021
Overview of Financial Results for the Fiscal Year Ended March 31, 2021 (unit: millions of Fiscal year ended Year-on-year Fiscal year ended Profit margin yen) March 31, 2021 change March 31, 2020 Net sales 27,292 - -1.8% 27,795 Gross profit 5,398 19.8% +2.3% 5,277 Operating profit 2,358 8.6% +6.9% 2,
Slide 6: Highlights of Each Field
Highlights of Each Field IT Consulting & Services +91.0% YoY Developing IT strategies and information system concepts to facilitate customers’ DX 2,600 2,458 projects and provided solutions services, such as technology consulting, educational services, proprietary cloud applications, BI/DWH, ERP, CR
Slide 7: Highlights by field
Highlights by field IT Solutions for Public Corporations +7.9% YoY 8,000 7,945 Offered integrated IT solutions for the logistics, manufacturing, and service industries 7,363 as well as the public sector, including information system concepts, design, 7,250 development, and maintenance. 6,500 5,750 D
Slide 8: Overview of Net Sales by Field
Overview of Net Sales by Field Fiscal year ended March 31, 2020 Fiscal year ended March 31, 2021 ¥27,795 million ¥27,292 million 1,287 2,458 (4.6%) (9.0%) 3,514 3,612 (12.6%) (13.2%) 7,363 7,945 (26.5%) (29.1%) 13,276 15,630 (48.7%) (56.3%) IT consulting & services IT solutions for nancial services
Slide 9: Status of the Key Measures for the Fiscal Year Ended March 31, 2021
Status of the Key Measures for the Fiscal Year Ended March 31, 2021 © 2021 TDC SOFT Inc. 9
Slide 10: Medium-term Management Plan
Medium-term Management Plan Evolve into a next-generation system integration (“SI”) business geared to digital technology and new trends based on the potential needs of the market Vision Aim to become a next-generation system integrator Medium-term Management Plan Create high-value-added SI services
Slide 11: Overview of the Next-generation SI Business
Initiatives to Become a Next-generation System Integrator Overview of the Next-generation SI Business Sales Ratios and Net Sales of the Next-generation The next-generation SI business is SI Business over Recent Years steadily growing (millions of yen) The business has grown to make up 12.3% of net s
Slide 12: TOPICS: Key Strategic Field Agile Development Business
Initiatives to Become a Next-generation System Integrator TOPICS: Key Strategic Field Agile Development Business From last year, concentrated on agile development, which is required to realize DX, and strengthened services 1. Organizational/process reform support services 2. Agile development suppor
Slide 13: TOPICS: Key Strategic Field Agile Development Business
Initiatives to Become a Next-generation System Integrator TOPICS: Key Strategic Field Agile Development Business From last year, concentrated on agile development, which is required to realize DX, and strengthened services 1. Organizational/process reform support services Number of Agile Development
Slide 14: TOPICS: Key Strategic Field Agile Development Business
Initiatives to Become a Next-generation System Integrator TOPICS: Key Strategic Field Agile Development Business As customer DX demand grows, agile development business net sales to approximately 4x in three years Drive creation of high added value through gross profit margin of approximately 7% hig
Slide 15: TOPICS: Key Strategic Field Information System Security Business
Initiatives to Become a Next-generation System Integrator TOPICS: Key Strategic Field Information System Security Business Focus more on the initiatives to create high added value, such as adding new services Released new services targeting needs of security market To meet the growing social demand
Slide 16: TOPICS: Support SI Model Reforms
Initiatives to Become a Next-generation System Integrator TOPICS: Support SI Model Reforms First in information services industry to be certified as a "DX-certified operator" by the Ministry of Economy, Trade and Industry On February 1, 2021, TDC Soft was the seventh company overall and the first in
Slide 17: Outlook for the Fiscal Year Ending March 31, 2022
Outlook for the Fiscal Year Ending March 31, 2022 © 2021 TDC SOFT Inc. 17
Slide 18: Outlook: Important initiatives for the fiscal year ending March 31, 2022
Outlook for the Fiscal Year Ending March 2022 Important initiatives for the fiscal year ending March 31, 2022 ●Recovery of performance in IT solutions for financial services field • In the fiscal year ended March 31, 2021, the COVID-19 pandemic caused postponements and cancellations of projects, lea
Slide 19: Outlook: Strengthen investments to expand businesses
Outlook for the Fiscal Year Ending March 2022 Important initiatives for the fiscal year ending March 31, 2022 ● Strengthen investments to expand businesses As the trend of DX accelerates, in order to acquire the elemental technologies expected to become mainstream in the future and establish a footh
Slide 20: Outlook for the Fiscal Year Ending March 2022 (by field)
Outlook for the Fiscal Year Ending March 2022 (by field) IT Consulting & Services +15.9% YoY 3,000 2,850 2,458 2,250 Demand for data analytics infrastructure-related projects is 1,287 expected to continue, allowing for further growth 1,500 750 0 2020.3 2021.3 2022.3 IT Solutions for Financial Servic
Slide 21: Outlook for the Fiscal Year Ending March 2022 (by field)
Outlook for the Fiscal Year Ending March 2022 (by field) IT Solutions for Public Corporations +0.7% YoY 7,945 8,000 8,000 7,363 Performance expected to be roughly equal to the fiscal year 7,250 ended March 31, 2021 6,500 as development projects for manufacturing and 5,750 transportation continue. 5,
Slide 22: Earnings forecast and dividend forecast
Outlook for the Fiscal Year Ending March 2022 Earnings forecast and dividend forecast Dividend (unit: millions EPS Net sales Operating profit Ordinary profit Net income forecast of yen) (yen) (yen) Second quarter 13,500 1,100 1,120 750 (cumulative) 31.12 0.00 (+2.4%) (+2.1%) (+1.2%) (+0.6%) 28,500 2
Slide 23: Details of Financial Results for the Fiscal Year Ended March 31, 2021
Details of Financial Results for the Fiscal Year Ended March 31, 2021 © 2021 TDC SOFT Inc. 23
Slide 24: Financial Statements, Net Sales Analysis, Orders and Backlog, Operating Profit Analysis
• Financial Statements • Net Sales Analysis • Orders Received; Backlog of Orders • Operating Profit Analysis © 2021 TDC SOFT Inc. 24
Slide 25: Financial Statements: Statement of Income, Balance Sheet
Financial Statements Statement of Income Balance Sheet Fiscal year Fiscal year Fiscal year Fiscal year (unit: millions of yen) ended March ended March 31, Change ended March ended March (unit: millions of yen) Change 31, 2021 2020 31, 2021 31, 2020 Year-end Year-end Net sales 27,292 27,795 -1.8% Tot
Slide 26: Financial Statements: Statement of Cash Flows
Financial Statements Statement of Cash Flows Balance of cash, etc. at the beginning of the period 8,379 Profit before income taxes 2,564 Depreciation and amortization 86 2,273 17 Notes and accounts receivable-trade 93 -594 Notes and accounts payable-trade (82) Inventories (27) CF from 10,077 Account
Slide 27: Overview of Sales by Customer's Business Category
Overview of Sales by Customer’s Business Category (millions of yen) Fiscal year ended March 31, 2019 Fiscal year ended March 31, 2020 Fiscal year ended March 31, 2021 6,234 6,853 6,123 6,362 5,161 5,372 4,794 4,760 4,970 4,945 4,446 3,895 3,350 3,277 2,683 2,907 2,883 2,659 Banking Credit Insurance
Slide 28: Orders Received; Backlog of Orders
Orders Received; Backlog of Orders (millions of yen) 14,575 14,565 13,700 13,796 14,100 Orders received 13,622 13,415 12,937 Backlog of orders 6,650 7,067 6,498 6,551 6,380 6,500 5,804 6,000 Net sales 12,247 13,434 13,128 14,667 13,186 14,106 1H 2H 1H 2H 1H 2H Fiscal year ended March 31, 2019 Fiscal
Slide 29: Operating Profit Analysis
Operating Profit Analysis (millions of yen) SG&A expenses Gross profit -31 2,358 +121 <Gross profit> The profit increased owing to profitability 2,206 improved through higher net sales and the high-value-added business. <SG&A expenses> Despite decrease in costs incurred as a result of the COVID-19 p
Slide 30: TDC SOFT Inc.
TDC SOFT Inc. https://www.tdc.co.jp/ *Note on this document: The matters related to the forecasts of the TDC SOFT Group in this document have been determined based on currently available information and may change due to uncertain factors inherent in forecasts and/or changes in the situation surroun
Slide 31: TDC SOFT Inc.
TDC SOFT Inc. https://www.tdc.co.jp/ © 2021 TDC SOFT Inc. 31