Daito Trust Construction Co., Ltd. · TSE:1878
Daito Trust Construction — FY2007 Earnings Presentation
37 slides from Daito Trust Construction's earnings presentation, May 2008
Slide 1: Financial Highlights, Year ended March 31, 2008
Financial Highlights, Year ended March 31, 2008 Index Ⅰ．Financial Results year ended March 31, 2008・・・・・・・・・・・・・ 3 Ⅱ．Results of major indexes and background・・・・・・・ 17 Ⅲ． P/L planning for year end March 31, 2009・・・・・・・ 25 Ⅳ．Group companies・・・・・・・・・・・・・・・・・・・・・・・・・・・・･ 31 Ⅴ． Major indexes and strategy
Slide 2: I-1 Financial Highlight, Year ended March 2008
Ⅰ. Financial Results, Year ended March 31, 2008 I-1 Financial Highlight, Year ended March 2008 TTIncrease Increasebothbothin insales sales&&netnet income, income,99consecutive consecutive terms terms **AtAtOperating Operatingincome, income,Recurring Recurringincome incomenon-achieve non-achieve TT B
Slide 3: Income summary and non-consolidated statement of income
I–2 Income summary Net sales Operating income (billion of yen) (billion of yen) 800 ¥641.0bln 100 +13.6% y/y 72.6 ¥66.2bln 600 538.6 564.3 80 63.7 -8.7% y/y 60 400 40 200 20 0 0 06/3 07/3 08/3 06/3 07/3 08/3 Recurring income Net income (billion of yen) (billion of yen) 100 60 ¥44.4bln ¥69.6bln 80 73
Slide 4: Income summary by segment (Construction)
I-4 Income summary by segment（Construction） Construction sales ¥439.9 billion -0.3%, year on year Gross profit margin ¥141.8 billion +4.7%, year on year Gross profit margin ratio 32.3% +1.6point, year on year Sales Gross profit margin （billion of yen） (billion of yen) 500 200 419.8 441.2 ¥439.9bln 4
Slide 5: Income summary by segment (Real Estate)
I-6 Income summary by segment（Real Estate） Net sales ¥171.3 billion +82.5%, year on year Gross profit margin ¥28.0 billion +11.9%, year on year Gross profit margin ratio 16.4% -10.3point, year on year Gross profit margin Net sales (billions of yen) \171.3 bln (billions of50yen) 150 Including whole 4
Slide 6: Income summary by segment (Others)
I-8 Income summary by segment (Others) Net sales ¥29.7 billion +2.0%, year on year Gross profit margin ¥17.1 billion -16.3%, year on year Gross profit margin ratio 57.7% -12.7point, year on year Net sales Gross profit margin （billion of yen） (billion of yen) 30 28.9 29.1 \29.7bln 30 25 19.5 20.5 ¥17
Slide 7: SG&A expenses and financial condition
I-10 Selling, general and administrative expenses SG&A expenses ¥120.8 billion +11.4%, year on year SG&A ratio 18.8% -0.4point, year on year Personnel cost rose because salespeople was increased Number of salespeople (manager + staff) at the ended of Mar, 2008 3,583 Year on year comparisons 20.0% 59
Slide 8: I-12 Cash flow
I-12 Cash flow Net income taxes before taxes and others, Cash flow provided by payment for income taxes operating activities 25.4 Write-down a securities Cash flows by provided by Investing activities 12.4 Payment for dividend Cash flows used in financing activities -10.7 Cash and cash equivalents a
Slide 9: Results of major indexes and background: Orders received
Ⅱ. Results of major indexes and background II-1 Orders received (non-consolidated) ◇Orders received ¥498.6 billion（+20.3%, year on year） Orders received Average contract value (million of yen) (billion of yen) \498.6bln 500 120 412.8 414.3 400 100 300 84.17 \83.19mil 81.29 200 80 100 0 60 06/3 07/3
Slide 10: Number of sales people and orders backlog
II-2 Background of orders received incense（Sales people & Sales efficiency） Number of sales people (staff) 3,087 (ended Mar, 2008) +614, year on year Orders received by each sales people ¥15.31million -¥0.5mil, year on year Orders received Number by each sales people of sales people Nunmer of sales
Slide 11: Kyosaikai occupancy rate
II-4 Kyosaikai occupancy rate （comparisons of the end of March） Residential property (Mar) 96.37% -0.23point, year on year Commercial property (Mar) 95.49% -0.34point, year on year Occupancy rate 100% 96.95% 95.14% 96.60% 95.83% 96.37% 95.49% 90% 80% 70% 60% 50% 06/3 07/3 08/3※ Residential property
Slide 12: Tenant recruiter staff, search engine site, completed construction sales
II-6 Increase of tenants recruiter staff and Improvement of search engine site TIncrease of tenant recruiter staff 959 200 year on year TImprovement of search engine site E-Heya Net Number of recruited tenants: 19,949 (+45.0%, year on year) Number of tenant recruited Number of through search engine
Slide 13: III-1 Income summary plan
Ⅲ. P/L planning for year end March 31, 2009 III-1 Income summary plan Net sales Operating income (billion of yen) (billion of yen) 1,200 ¥976.5bln 150 +52.3% y/y 1,000 800 641.0 100 ¥66.8bln 564.3 72.6 66.2 +0.8% y/y 600 400 50 200 0 0 07/3 08/3 09/3（plan） 07/3 08/3 09/3（plan） Recurring income Net i
Slide 14: Income summary plan by segment (Construction, Real estate)
III-2 Income summary by segment (Construction) Construction sales ¥483.0 billion +9.8%, year on year Gross profit margin ¥149.4 billion +5.3%, year on year Gross profit margin 30.9% -1.4point, year on year Sales Gross profit margin (billion of yen) (billion of yen) 500 \483.0bln 200 441.2 439.9 400
Slide 15: Income plan by segment (Other) and SG&A plan
III-4 Income summary by segment (Other) Net sales ¥21.6 billion -27.4%, year on year Gross profit margin ¥6.0 billion -65.1%, year on year Gross profit margin ratio 27.8% -29.9point, year on year Sales Gross profit margin (billion of yen) (billion of yen) 29.7 25 30 29.1 20.5 20 17.1 \21.6bln 20 70.
Slide 16: Group Companies: Care Partner
Ⅳ. Group Companies IV-1 Care Partner - Present status and Income summary of FY2008 plan - 55 55Day Daycare careservice servicecenters centersare areoperating operatingcountry countrywide wide FY2008：4 FY2008：4centers centersare arescheduled, scheduled, 59 59 centerswill centers willoperate operate I
Slide 17: Gaspal and Hotel in Malaysia
IV-2 Gaspal - Present status and Income summary of FY2008 plan - Number Numberof ofservicing servicingunits units More Morethan than30,000units！ 30,000units！ FY2008: FY2008: 58,400 58,400units units(plan) (plan) Servicing units Number of staff Servicing units 60,000 58,400units Income summary Number
Slide 18: Other business - Income summary of FY2007 and FY2008 plan
IV-4 Other business - Income summary of FY2007 and FY2008 plan - million of yen Real Estate business Other business Daito Building Housecom House Leave Management FY FY Year on FY FY Year on FY FY Year on 2008 2007 year 2008 2007 year 2008 2007 year Net sales 433,602 114,366 +279.1% 7,422 6,766 +9.7
Slide 19: Premised major indexes for income summary plan
Ⅴ. Major indexes and strategy for year end March 31, 2009 V-1 Premised major indexes for income summary plan １．Orders received ¥580.0 １．Ordersreceived billion（+16.3%, ¥580.0billion （+16.3%,y/y） y/y） ２．Occupancy ２．Occupancy rate rate Residential 96.5%（+0.1point, Residential 96.5% （+0.1point,y/y） y/y）
Slide 20: Orders received plan and strategy
V-2 Orders received plan (non-consolidated) ◇Orders received plan ¥580.0billion （+16.3%, year on year） ～Orders received strategy～ ①Strength of Sales people ②Upturn sales efficiency ③New branches proliferation (billion of yen) ④Area strategy 600 ¥580.0bln 498.5 500 414.3 400 300 200 100 0 07/3 08/3 0
Slide 21: Upturn sales efficiency and new branches
V-4 Strategy② － Upturn sales efficiency － ◇Orders received by each sales staff : ¥15.40 mil （+¥90ths, year on year） Orders received Number of Number of sales staff by each sales staff sales staff Orders received by each sales staff (million of yen) 3,200 18 3,087 3,000 2,525 17 2,000 15.81 15.31 \15
Slide 22: Area Strategy
V-6 Strategy④ －Area Strategy（１）－ Major inner-cities Suburban areas Residential Major Business areas inner-cities operating areas Urban areas （Business areas） Target area from this term 43 V-7 Strategy④ －Area Strategy（2）－ ■ Promotion of Apartment Building rehabilitation ■Development of middle/high -
Slide 23: Number of tenants recruited and occupancy rate plan
V-8 Number of tenants recruited and Occupancy rate plan End of Mar. 2009 Residential Occupancy rate 96.5% Number of tenants recruited （+0.1point, year on year） ：182,000 +14.2% y/y Commercial Occupancy rate 96.0% （+0.5poit, year on year） 【Residential 【Commercial occupancy rate】 occupancy rate】 96.5%
Slide 24: Strengthen search engine site and expand channel
V-10 Strategy② －Strengthen search engine site “E-Heya Net” － Enhance Improvement of search engine site access to search engine site ◆Haul 7million ●Increase ●Increaseaabudget budgetfor forinternet internet strengthen strengthen +20% +20%year year on on year year 47 V-11 Strategy③ － Expand Channel －
Slide 25: Expand new tenants line
V-12 Strategy④ － Expand new tenants line （１） － ◆Target people who keeping a pet ◆Provide a secure and comfortable room for a pet and pet’s owner Major function equipment Tough floor material for pet’s scratch Dividing wall-wood for relieve change a wall paper Corner protect for avoid scratch Frame f
Slide 26: Completed construction sales and Lease Management Trust plan
V-14 Completed construction sales Completed construction gross profit margin ratio plan and background Orders received backlog Orders receive plan of at start of period ¥501.0 bln FY2008 580.0 bln zCompleted construction sales ¥483.0billion（+9.8%, y/y） zCompleted construction gross profit margin rat
Slide 27: Points of Whole-Building Leasing business management
V-16 Point of Whole-Building Leasing business management ① T 24 hours call center T Emergency call center 53 V-17 Point of Whole-Building Leasing business management ② T Optical internet (by NTT East) T Fixed fire-alarm box Existing service T Pet allowed rooms T Reduce cost of recovery after move ou
Slide 28: Topics: Middle term Major Management Challenge
Ⅵ. Topics Middle term Major Management Challenge 1. Improvement of reliability Lease Management Trust System” 2. Product Development Capabilities Technical Capabilities 3. Brand strategy 4. Compliance 5. Management strategy committee 56
Slide 29: Lease Management Trust System; Products & Technical capabilities
1.Lease Management Middle term Major Management Challenge Trust System 1. Ad on news paper Appeal 2. TVCM and other Land Owners 1. Regular forum retention for providing Land Owners 2. Profit return Sales staff 1. Education Training education 2. Achieve Orders receive ¥650 650bln Tenant recruitment 1
Slide 30: Brand strategy and Compliance
Middle term Major Management Challenge 3.Brand strategy Service system Development For fulfill the expectations by each stakeholders Personnel education Image strategy 59 Middle term Major Management Challenge 4.Compliance Compliance promotion Dev Education Planning Promotion theme Monitoring Propos
Slide 31: Management strategy committee
5.Management strategy Middle term Major Management Challenge committee Existing subsidiaries Synergy redevelopment 1. Derivational business from Derivational business Management building business 2. Stock business 1. Group companies New business plan growth up strategy 2. New business domain 61
Slide 32: Appendix: Number of employees by occupation
Ⅶ. Appendix VII-1 Number of employees by each occupations Sales staff Engineers Terant recruiters Total employees(right axis) 5,000 10,000 4,000 8,000 3,000 6,000 2,000 4,000 1,000 2,000 0 0 2 3 09/3（plan） Year on 07/3 08/3 09/3(plan) year Total employees 7,821 8,912 +1,091 9,518 Sales staff※ 2,985
Slide 33: Market share and number of construction started
VII-2 Market share and Number of construction started Number of Construction started units 479,111 498,280 500,000 20% 399,918 400,000 15% 300,000 10.5% 8.9% 8.5% 10% 200,000 5% 100,000 0 0% 06/2 07/2 08/2 Number of Construction started units（Apr-Feb） Dauto's Share(Apr-Feb) The Ministry of Internal
Slide 34: Regional orders received and repeat orders
VII-4 Regional Orders received (non-consolidated) Orders received （billion of yen） 140 100% 137.7 120 58.4% 75% 51.1% 44.7% 43.1% 50% 100 (106.6) 22.2% 24.6% Company 10.3% 11.1% 25% Ave 80 20.4% 6.4% 77.9 0% 60 （7.9%） 66.3 64.1 -25% 40 -50% 39.9 39.8 34.9 20 27.8 -75% 0 9.6 -100% n) gio i u o al nto
Slide 35: Kyosaikai occupancy rate
VII-6 Kyosaikai occuoancy rate Kyosaikai Occupancy rate Kyosaikai Membership fee rate 98% 2% 97% 3% 96% 4% 95% 5% 94% 6% 93% 7% 92% 8% 91% 9% 90% 10% 03/3 03/9 04/3 04/9 05/3 05/9 06/3 06/9 07/3 07/9 08/3 Residential property Commercial property Membership fee rate (residential property) Membership
Slide 36: Real estate business sales composition
VII-8 Real estate business – sales composition million of yen 06/3 07/3 08/3 Amount （Ratio） Amount （Ratio） Amount （Ratio） Year on year Brokerage 9,664 (10.7%) 10,855 (11.6%) 11,325 (6.6%) +4.3% Management 34,963 (38.9%) 37,433 (39.9%) 28,570 (16.7%) △23.7% service Sub-lease※１ 35,141 (39.1%) 33,377 (
Slide 37: Diversifying fund-raising channel
VII-10 Diversifying fund-raising channel Trend of financial institution share (construction starts basis) 35% Japan Housing 30% Finance Other; (4.4%) 25% Agency ※; (13.4%) Regional 20% Banks; (33.0%) 15% Securitization; (8.2%) 10% 5% Agricultural ooperative; 0% (8.5%) 05/3 06/3 07/3 08/3 Shinkin Ban
Daito Trust Construction — FY2007 Earnings Presentation on 6ix