Nec Capital Solutions Limited · TSE:8793
Nec Capital Solutions — FY2012 Earnings Presentation
26 slides from Nec Capital Solutions's earnings presentation, Apr 26, 2013
Slide 1: Financial Results Briefing for the Fiscal Year Ended March 2013 (FY2012)
Financial Results Briefing for the Fiscal Year Ended March 2013 (FY2012) April 26, 2013 NEC Capital Solutions Limited
Slide 2: Contents
Contents 1.Financial Results for the Fiscal Year 2. Business Plan for March 2014 Ended March 31,2013 (FY 2012) Term (FY 2013) 1) Highlights of Consolidated Financial 1) Consolidated Earnings Statements Forecasts 2) Business Environment 3. Progress of Medium-Term 3) Consolidated Financial Summary Bus
Slide 3: Highlights of Consolidated Financial Statements
1. Financial Results for Fiscal Year Ended March 31, 2013 1) Highlights of Consolidated Financial Statements Business Environment -Including disaster (the Great East Japan Earthquake) reconstruction demand, total leasing contracts have increased. -Conditions for procuring funds remained favorable. -
Slide 4: Business Environment
1. Financial Results for Fiscal Year Ended March 31, 2013 2) Business Environment Total Leasing Contracts -With a backdrop of reconstruction demand, construction equipment performed well. Our company's mainstay information and communication equipment remained at the same level as in the previous ter
Slide 5: Consolidated Financial Summary
1. Financial Results for Fiscal Year Ended March 31, 2013 3) Consolidated Financial Summary -Revenues: Despite large-scale real estate sales in the RISA business, revenue was flat Y/Y, partly due to the effects of the discontinued small-scale leasing business. -Ordinary income: Increased by 11.6% Y/
Slide 6: Consolidated Revenues by Business Segment
1. Financial Results for Fiscal Year Ended March 31, 2013 4) Consolidated Revenues by Business Segment ▌Revenues by Business Segment Leasing/Installment Sales Business (Unit: JPY Billion) Revenues fell by 2.4% Y/Y. Operating income FY2011 FY2012 decreased 6.2% Y/Y, due to diminished positive Leasing
Slide 7: Contracts Executed by Business Segment
1. Financial Results for Fiscal Year Ended March 31, 2013 5) Contracts Executed by Business Segment (Consolidated) ▌Contracts Executed by Business Segment ▌New Transactions by Business Segment (Unit: JPY Billion) (Unit: JPY Billion) FY2011 FY2012 FY2011 FY2012 Leasing/ Leasing/ Installment Sales Bus
Slide 8: Leasing/Installment Sales Business
1. Financial Results for Fiscal Year Ended March 31, 2013 6) Leasing/Installment Sales Business (Consolidated, excluding small-scale leasing ) ▌Contracts Executed by Customers’ Sector (Unit: JPY Billion) ▌New Transactions by Customers’ Sector (Unit: JPY Billion) (excluding small-scale leasing) FY201
Slide 9: Loan Business
1. Financial Results for Fiscal Year Ended March 31, 2013 7) Loan Business (Consolidated, excluding bulk factoring) ▌Contracts Executed by Form of Contract ▌Contracts Executed by Customers’ Sector (Unit: JPY Billion) (Unit: JPY Billion) FY2011 FY2012 FY2011 FY2012 Reimbursements,APF, Public Sector:
Slide 10: RISA Business (Gross Profit)
1. Financial Results for Fiscal Year Ended March 31, 2013 8) RISA Business (Gross Profit) (Unit: JPY Billion) Principal Investment Investment Banking Fund Business Business Business Corporate Investment Solution Fund Corporate Advisory Corporate 0.8 1.9 0.2 Former RISA Group Loan Asset Regional Corp
Slide 11: Consolidated Operating Assets Balances
1. Financial Results for Fiscal Year Ended March 31, 2013 9) Consolidated Operating Assets Balances (Consolidated, excluding small size leasing) (Unit: JPY Billion) 800 Operating Assets Balance RISA Business 635.9 -Excluding small-scale leasing, 620.8 603.4 leasing/installment sales business grew by
Slide 12: Procurement Funds (Consolidated)
1. Financial Results for Fiscal Year Ended March 31, 2013 % 10) Procurement Funds (Consolidated) ▐ Funding Cost Ratio ▐ Interest-bearing Debts (Unit: JPY Billion) Funding cost ratio(%) 1.2% FY2011 FY2012 = Cost of funding/ Average Balance of Interest-bearing debts 1.1% 0.97% Short-term Borrow ings 2
Slide 13: Credit Costs (Consolidated)
1. Financial Results for Fiscal Year Ended March 31, 2013 11) Credit Costs (Consolidated) -Credit costs decreased by JPY6.8bn Y/Y (of which, general expenses decreased by JPY1.9bn). -Specific reserve expenses fell by JPY4.9bn Y/Y, also in response to the large-scale of reserve expenses booked last f
Slide 14: Consolidated Earnings Forecasts
2. Business Plan for March 2014 Term (FY2013) 1) Consolidated Earnings Forecasts ▐ Consolidated Earnings Forecasts (Unit: JPY Billion, unless otherwise started) Actual FY2012 FY2013 Revenues 229.2 210.0 91.6% Operating Income 9.1 6.5 71.2% Ordinary Income 9.4 6.5 69.5% Net Income 4.3 3.0 69.2% Net I
Slide 15: Progress of Medium-Term Business Plan 2011: Positioning in Respective Fiscal Years
3. Progress of Medium-Term Business Plan 2011 1) Positioning in Respective Fiscal Years Medium-term Objective Basic Strategies of Medium-Term “To be a corporation that leads the way Business Plan 2011 in creating new social capital and Put in place and expand Capital Solutions infrastructure opened
Slide 16: Achievements in FY 2012
3. Progress of Medium-Term Business Plan 2011 2) Achievements in FY 2012 ▐Recovery in leasing and public sector businesses Contracts executed in government and public agencies and in the private sector both increased Y/Y (excluding small-scale leasing) -Achieved higher than industry-average growth
Slide 17: Key Objectives for the Current Fiscal Year
4. Initiatives for FY2013 1) Key Objectives for the Current Fiscal Year Establish business activities and systems that can produce stable growth Strengthen existing businesses Investments in and servicing of new businesses Further stabilize RISA business Company-wide, across-the-board reduct
Slide 18: Key Strategies for the Current Fiscal Year
4. Initiatives for FY2013 2) Key Strategies for the Current Fiscal Year ▐ Strengthen existing businesses Expand accumulation of superior assets in government and public agency business Further expand consultation-based sales in corporations business ▐ Investments in and servicing of new business
Slide 19: Key Strategies for the Current Fiscal Year (RISA, SG&A)
4. Initiatives for FY2013 2) Key Strategies for the Current Fiscal Year ▐ Further stabilize RISA business Along with contributing to revenues by establishing new business systems and methodologies, promote integrated management with NEC Capital Solutions Ltd (NECAP) ▐ Company-wide, across-the-boar
Slide 20: Topics: Reorganizing Lines of Business to a 4-Division System
4. Initiatives for FY2013 3) Topics Relating to Key Strategies ▐ Strengthen existing businesses Reorganizing lines of business from a 3-division system to a 4- division system -Reinforce centralized relationships on NEC projects, and make plans to strengthen operations in the Kansai area and expand
Slide 21: Topics: Composition of Overseas Project Opportunities
4. Initiatives for FY2013 3) Topics Relating to Key Strategies ▐ Investments in and servicing of new businesses Composition of Overseas Project Opportunities From March 2013, local companies in both Singapore and Hong Kong have begun operations. In addition to further strengthening relations with
Slide 22: Topics: Further Stabilize RISA Business
4. Initiatives for FY2013 3) Topics Relating to Key Strategies ▐ Further stabilize RISA business Anticipate post-SME Financing Facilitation Act*3 new management contracts for regional corporate revitalization funds and proactive investment activities. Steady recording of profits in debt servicin
Slide 23: Topics: Company-wide Reductions in SG&A Expenses
4. Initiatives for FY2013 3) Topics Relating to Key Strategies ▐ Company-wide, across-the-board reductions Outline in selling, general and administration -Shinagawa Intercity C Building -Floors to be occupied: Middle floors expenses (18th, 19th floors) (expected) Transform work patterns by relocat
Slide 24: APPENDIX: Terminology
APPENDIX: Terminology ▐ *1 ICT (Information and Communication Technology) Collectively a general term referring to technology related to information and communications. This represents the sharing of information and knowledge through communications over networks. ▐ *2 BPR (Business Process Re-engine
Slide 25: The presentation materials are solely for the purpose of providing corporate information of NEC
The presentation materials are solely for the purpose of providing corporate information of NEC Capital Solutions Limited and not for soliciting purchase, sale, or investment in securities issued by the Company. We ask for the discretion of investors in making investment decisions. The presentation
Slide 26: Empowered by Innovation
Empowered by Innovation NEC