Toa Road Corporation · TSE:1882
Toa Road — H1 FY2024 Earnings Presentation
32 slides from Toa Road's earnings presentation, Mar 31, 2025
Slide 1: Financial Results Briefing Material Six months ended March 31, 2025
Six months ended March 31, 2025 Financial Results Briefing Material Ahead of the Curve On Top of the Market
Slide 2: Contents
Contents Summary of financial results 1 for the six months ended March 31, 2025 Financial results forecasts 2 for the fiscal year ending March 31, 2025 Progress on the FY2024–FY2026 3 Medium-term Management Plan 4 Action to implement management that is conscious of capital cost and stock price 5 Cor
Slide 3: Summary of financial results for the six months ended March 31, 2025
1 Summary of financial results for the six months ended March 31, 2025
Slide 4: Major initiatives in FY2024
Business environment in period under review ■The economy continued to show a gradual recovery trend, backed by improvement in the employment and income environment and increasing demand from foreign visitors to Japan. On the other hand, the economic outlook still remains uncertain as the long-lastin
Slide 5: Financial results summary (consolidated)
Financial results summary (consolidated) (Millions of yen) YoY change YoY change Initial Achievement Consolidated 1H of FY2023 1H of FY2024 (Amount) (%) forecast ratio Net sales 50,824 53,881 3,057 6.0% 126,000 42.8% Gross profit 4,760 4,383 ▲377 ▲7.9% ― ― SGA expenses 4,130 4,206 75 1.8% ― ― Operat
Slide 6: Results of net sales and profit/loss by segment
Results of net sales and profit/loss by segment (consolidated) (Millions of yen) YoY change YoY change Initial Achieveme Net sales 1H of FY2022 1H of FY2023 1H of FY2024 (Amount) (%) forecast nt ratio Construction 27,428 29,114 31,520 2,406 8.3% ― ― Asphalt Products, 22,895 21,710 22,360 650 3.0% ―
Slide 7: Analysis of factors for changes in profit
Analysis of factors for changes in profit (consolidated) Profit increased by 629 Profit decreased by 513 (Millions of yen) Increase in extraordinary income Impact of surging raw material and from gain on sale of securities energy prices, etc. in each business 22 5 27 28 600 377 income taxes Decrease
Slide 8: Consolidated financial position and consolidated cash flows
Consolidated financial position and consolidated cash flows ■ Interest-bearing ■ Net assets －●－ Equity-to- Consolidated financial position (Millions of yen) liabilities asset ratio (Millions of yen) (%) YoY change 1H of FY2022 1H of FY2023 1H of FY2024 70,000 70.0 (Amount) Total assets 79,319 84,000
Slide 9: Financial results forecasts for the fiscal year ending March 31, 2025
2 Financial results forecasts for the fiscal year ending March 31, 2025
Slide 10: Financial Results Forecast for FY2025
Financial Results Forecast for FY2025 (Millions of yen) FY2025 Consolidated FY 2024 (Forecast) YoY change (Amount) YoY change (%) Net sales 118,060 126,000 7,939 6.7% Operating profit 5,473 6,000 526 9.6% Ordinary profit 5,707 6,100 392 6.9% Profit attributable to owners of parent 3,793 3,900 106 2.
Slide 11: Progress on the FY2024–FY2026 Medium-term Management Plan
3 Progress on the FY2024–FY2026 Medium-term Management Plan
Slide 12: Corporate philosophy, 100th anniversary vision and medium-term management plan
Corporate philosophy, 100th anniversary vision and medium-term management plan 〇Corporate philosophy Corporate philosophy Support peoples’ lives from the road they stand on with our own Vision (What we should be) will and growth 〇100th anniversary vision Medium-term management plan (Basic policies a
Slide 13: Corporate philosophy, 100th anniversary vision and medium-term management plan
Corporate philosophy, 100th anniversary vision and medium-term management plan (Consolidated financial result) “TOA ROAD Vision 2030,” the 100th anniversary vision Net sales (target) GOAL ¥150.0 billion Operating profit (target) Refine the TOA Style to be the Only One Company always chosen by the so
Slide 14: Progress of Strategic Targets (FY2024–1H FY2024)
Progress of Strategic Targets (FY2024–1H FY2024) Progress of the business strategy toward “establishment of a foundation for sustainable growth” We aim to establish “a foundation for sustainable growth” by deploying individual business strategies using the R&D strategies as a common platform and man
Slide 15: Action to implement management that is conscious of capital cost and stock price
4 Action to implement management that is conscious of capital cost and stock price
Slide 16: Profitability Improvement on Balance Sheets
Profitability Improvement on Balance Sheets 2 Reduction of cross-shareholdings Basic reduction policy It is our basic policy to reduce cross-shareholdings when the significance or rationale for the cross-shareholdings cannot be acknowledged through the annual examination on the significance and econ
Slide 17: Shareholder returns – dividend forecast and purchase of treasury shares
Shareholder returns – dividend forecast and purchase of treasury shares Actual dividend per share (FY2023) : 42 yen Forecast divided per share (FY2024) : 52 yen Note 1 Note 1: The amount is calculated a post-split basis following the 5-for-1 stock split of common stock on April 1, 2024. The amount h
Slide 18: Trends in Return to Stockholders
Trends in Return to Stockholders Dividends paid Total return (dividend + stock repurchase) FY2020 FY2020 16.61% 709 129.34% 1,399 (consolidated) (consolidated) FY2021 FY2021 10.01% 780 ▲0.57% 1,391 (consolidated) (consolidated) FY2022 FY2022 9.87% 857 ▲38.39% 856 (consolidated) (consolidated) FY2023
Slide 19: Cash flow allocation
Cash flow allocation We plan to invest ¥5 billion in CSR activities, R&D and M&As as an aggressive investment in growth. As for renewal of existing facilities, we plan to invest ¥10 billion in three years for improvement of production capability and efficiency, renewal of existing facilities by cons
Slide 20: Management strategies with a keen eye on capital costs
“Management strategies with a keen eye on capital costs” Having a precondition that we will ensure resilient management foundation to address the era of uncertainty, we will strive to improve our corporate value with a keen eye on capital cost, by setting a KPI for profitability on invested capital
Slide 21: Summary of Capital Policy
Summary of Capital Policy Strengthen shareholder returns by increasing dividend payout ratio ◇ Target: Dividend payout ratio of at least 50% ◇ Dividends are on an upward trend, such as the dividend paid of ¥42 per share (dividend payout ratio: 52.5%) for FY2023, and dividend forecast of ¥52 per shar
Slide 22: Corporate profile
(TOA RBS RCSRASA Corporate profile
Slide 23: Corporate philosophy and corporate profile
Corporate philosophy and corporate profile Corporate philosophy Support peoples’ lives from the road they stand on with our own will and growth Corporate name TOA ROAD CORPORATION Date of establishment November 28, 1930 Head office 7-3-7 Roppongi, Minato City, Tokyo Representative Kyouichi Morishita
Slide 24: Major offices, research institute, consolidated subsidiaries, etc.
Major offices, research institute, consolidated subsidiaries, etc. Branch offices, sales 40 offices offices, etc. Technical Research 1 location Institute Hokkaido Product factories 24 factories • Hokkaido Branch Asphalt mixing 45 plants plants Subsidiaries 24 subsidiaries Tohoku Shin-etsu and Hokuri
Slide 25: Our track record in construction
Our track record in construction FY2022 Shizuma Nima Road pavement construction Improvement and pavement construction work at Hokuriku Shinkansen work in Isotake district Kammuriyama Toge Road in Tsuka district (Chugoku Regional Development Bureau, MLIT) (Kinki Regional Development Bureau, MLIT) Fuk
Slide 26: Our new technologies
Our new technologies MWD plus (a pavement inspection vehicle that measures deflection Development of photovoltaic road surfacing system (Wattway) volume and pavement surface conditions at the same time） In order to achieve the SDG goals, the Company is working jointly with Colas (a The Company devel
Slide 27: Our products
Our products ECO Binder series Fast-As ECO Binder series are environmentally-friendly modified asphalt Fast-As is a road surface repair material developed for easier use that can be produced at approximately 30℃ lower than the for small-scale work. It is made of modified asphalt emulsion and tempera
Slide 28: Appendix
(TOA RBBRTERASA Appendix
Slide 29: Consolidated management indicators
Consolidated management indicators (Capital investment, R&D, depreciation, shareholder returns, etc.) Consolidated management indicator trends Term 107th 108th 109th 110th 111st 112nd 113rd 114th 115th 116th 117th 118th Fiscal year 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 Net sale
Slide 30: Consolidated management indicators
Consolidated management indicators (Capital investment, R&D, depreciation, shareholder returns, etc.) Consolidated management indicator trends Consolidated management indicator trends ■ Ordinary profit ■ Profit (loss) attributable to owners of parent －●－ Equity-to-asset ratio －●－ Return on equity (R
Slide 31: Forward-looking statements
Forecasts, plans and any other forward-looking statements contained herein are based on the information currently available and assumptions and hypothesis deemed to be reasonable by the Company. Actual results may differ from these statements due to future changes in the business environment and var
Slide 32: Inquiries
Inquiries Corporate Planning Office TEL +81-3-3405-1811 FAX +81-3-3405-9800 URL https://www.toadoro.co.jp