Japan Asia Investment Company, Limited · TSE:8518
Japan Asia Investment — Q3 FY Mar. 2024 Earnings Presentation
38 slides from Japan Asia Investment's earnings presentation, Feb 14, 2024
Slide 1: Financial Results Overview for 3rd Quarter Ended December 31, 2023
Financial Results Overview for 3rd Quarter Ended December 31, 2023 Japan Asia Investment Co., Ltd. (JAIC) (TSE 8518) Announcement date : Feb. 14, 2024 Financial Results Overview for 3rd Quarter of FY Mar. 2024 © Japan Asia Investment Co., Ltd. 2024 -1-
Slide 2: Contents
Contents 1 Summary P3 2 Results for the current quarter (year-on-year) P4 Progress of the Medium-Term Management Plan 3 P9 (Action Plan) 4 Result forecast P12 5 Appendix P15 The figures in this document are based on consolidated financial statements prepared in accordance with the previous accountin
Slide 3: 1. Summary
1. Summary Results for the current quarter (year-on-year) • Operating revenue decreased to ¥ 549 million (down, 79.6 %). • Quarterly net loss attributable to owners of parent was ¥ (1,155) million (down, ¥1,075 million). • Since no stocks with relatively large investment amount and no project-orie
Slide 4: 2. Results for the current quarter
2. Results for the current quarter Outline of results P5 Breakdown of operating revenue & operating cost P8 Financial Results Overview for 3rd Quarter of FY Mar. 2024 © Japan Asia Investment Co., Ltd. 2024 -4-
Slide 5: Outline of results - I/S
2. Results for the current quarter - Outline of results - I/S FY 2023 FY 2024 (million yen) Change (3Q) (3Q) Operating revenue 2,688 549 (79.6%) Operating cost 1,774 879 (50.4%) Operating gross profit 914 (329) - SG&A expenses 864 785 (9.2%) Operating income 49 (1,115) - Ordinary income 17 (1,151) -
Slide 6: Outline of results - B/S
2. Results for the current quarter - Outline of results - B/S fluctuation factors (million yen) FY 2023 FY 2024(3Q) Change (billion yen) Total assets 13,413 10,978 (18.2%) repayments of loan (0.8), execution of investments & Cash and deposits 2,464 1,611 (34.6%) loans (1.2), expenses etc.(0.4), coll
Slide 7: Outline of results - C/F
2. Results for the current quarter - Outline of results - C/F (JPY million) FY 2023(3Q) FY 2024(3Q) Operating cash flow 517 234 Investing cash flow (2) 1 Financing cash flow (806) (828) Change in net cash flow (263) (580) Cash & cash equivalents at end of period 2,134 1,181 Operating cash flow dec
Slide 8: Breakdown of operating revenue & operating cost
2. Results for the current quarter - Break down of operating revenue & operating cost Total Private equity investment Project oriented investment （JPY million） FY 2023 FY 2024 FY 2023 FY 2024 FY 2023 FY 2024 (3Q) (3Q) (3Q) (3Q) (3Q) (3Q) Operating revenue 2,688 549 1,936 502 752 47 Fund management f
Slide 9: 3. Progress of the Medium-Term Management Plan (Action Plan)
3. Progress of the Medium-Term Management Plan (Action Plan) Progress in the current quarter P10 Financial Results Overview for 3rd Quarter of FY Mar. 2024 © Japan Asia Investment Co., Ltd. 2024 -9-
Slide 10: Progress in the current quarter
3. Progress of the Medium-Term Management Plan (Action Plan) - Progress in the current quarter Action plan for 3 years Progress in FY 2024 3Q (9 months) Liquidate existing assets and complete JAPAN SYSTEMBANK CORPORATION asset replacement. achieved IPO. Private equity Originate three new funds
Slide 11: Progress in the current quarter
3. Progress of the Medium-Term Management Plan (Action Plan) - Progress in the current quarter Action plan for 3 years Progress in FY 2024 3Q (9 months) Increase investments as a priority area. 1 logistics warehouse has started Distribution construction in Kaskabe City, Saitama, in Jan. Center
Slide 12: 4. Result forecast
4. Result forecast Revised result forecast P13 Cautionary statements P14 Financial Results Overview for 3rd Quarter of FY Mar. 2024 © Japan Asia Investment Co., Ltd. 2024 - 12 -
Slide 13: Revised result forecast
4. Result forecast-Revised result forecast Result forecast Result forecast Actual FY2024 FY2024 (million yen) Change (%) FY 2024 (3Q) (disclosed in May (Revised in Feb. 2023) 2024) Operating revenue 549 2,300 950～2,300 △58.7%～0% Operating income (1,115) 200 (1,450)～(４００) ー Ordinary income (1,151) 12
Slide 14: Cautionary statements
4. Result forecast - Cautionary statements The private equity investment business conducted by the Group will be significantly affected by changing factors such as stock markets, given the characteristics of the business. In addition, it has been difficult to forecast results reasonably in the rap
Slide 15: 5. Appendix
5. Appendix Business policy of the Medium-Term Management Plan P16 Cases of business progress P17 Renewable energy projects P20 Health care projects (group home for disabled people) P21 List of project-oriented investments P22 Strategic investment P26 Asia network P27 Funds & investment activities P
Slide 16: Business policy of the Medium-Term Management Plan
5. Appendix - Business policy of the Medium-Term Management Plan Secure profits and funds by selling existing financial investment assets Business Increase the balance of project investment based on the new investment policy Policy Establish a hands-on investment style through collaboration in
Slide 17: Succession Investment Limited Partnership II final closing
5. Appendix - Cases of business progress Succession Investment Limited Partnership, Ⅱ completed the final closing with a total amount of ¥5,101 million Name Succession Investment Limited Partnership, Ⅱ Date of establishment 16, August 2022 General Partner AJ Capital Co., Ltd. [JV as a 50% stake in J
Slide 18: KIC Akiruno Distribution Center has been built up
5. Appendix - Cases of business progress KIC Akiruno Distribution Center has been built up Partner: ＫＩＣ Holdings Inc. Partner: Smart Solar Corporation In Dec. 2023, KIC Akiruno Distribution Center, developed ＫＩＣ Holdings Inc, has been built up. The logistics warehouse is in good locations and with
Slide 19: Perpetual memorial tree burial project, Fushimi Momoyama Forest
5. Appendix - Cases of business progress Perpetual memorial tree burial project, “Fushimi Momoyama Forest “, started at Kaihoji Temple in Fushimi-ku, Kyoto City Partner: 366 Co., Ltd. In Nov. 2023, a tree burial garden has opened in Kaihoji Temple in Fushimi-ku, Kyoto City. This is the 2nd project
Slide 20: Renewable energy projects: Mega solar projects
5. Appendix - Renewable energy projects (as of December 2023) Mega solar projects Started electricity sales 11 projects (13 power plants) 26.7 MW Hokkaido, Mega Solar, Under construction or under planning 2 projects 4.2 MW 1 project 2.3MW Total 13 projects (15 power plants) 30.9 MW attributable to J
Slide 21: Health care projects, group home for disabled people
5. Appendix – Health care projects, group home for disabled people (as of December 2023) Number of group homes invested 20 Cyugoku Chubu 1 1 Tohoku Kyushu 1 3 Kanto 11 Shikoku 3 Financial Results Overview for 3rd Quarter of FY Mar. 2024 © Japan Asia Investment Co., Ltd. 2024 - 21 -
Slide 22: List of project-oriented investments
5. Appendix - List of project-oriented investments (as of December 2023) Type of No. Name of power plant or Location Generation Current status FIT project Capacity [MW] [excl. tax, ¥] Solar 1 Nishiki-cho, Kuma-gun, Kumamoto(*) 3.1 Started electricity sales in Dec. 2015 40 2 Nomaike solar power plant
Slide 23: List of project-oriented investments
5. Appendix - List of project-oriented investments (as of December 2023) Type of No. Location Generation Current status FIT project Capacity [MW] [excl. tax, ¥] solar power 1 Koshigaya City, Saitama 0.2 Started electricity sales in Dec. 2022 － systems with storage batteries 2 Hidaka City, Saitama 0.
Slide 24: List of project-oriented investments
5. Appendix - List of project-oriented investments (as of December 2023) Type of No. Location Project scale Current status project 1 Hamamatsu City, Shizuoka Started operation in Aug. 2020 2 Hiroshima City, Hiroshima Started operation in Aug. 2020 3 Utsunomiya City, Tochigi Started operation in Sep.
Slide 25: List of project-oriented investments
5. Appendix - List of project-oriented investments (as of December 2023) Type of No. Location Project scale Current status project Existing part: started operation in Vegetable Tamba Sasayama City, Mar. 2019 Annual production: 470 tons in total plant Hyogo Expansion part: full-scale operation starte
Slide 26: Strategic investment
5. Appendix – Strategic investment Renewable Japan Co., Ltd. Smart Solar Corporation social inclu CO., LTD. Partner company in mega solar Partner company in mega solar Partner company in projects for projects projects group homes for the handicapped IPO date : 22 Dec. 2021 Investment Exit: Nov. 2022
Slide 27: Asia network
5. Appendix - Asia network Financial Results Overview for 3rd Quarter of FY Mar. 2024 © Japan Asia Investment Co., Ltd. 2024 - 27 -
Slide 28: Funds & investment activities
5. Appendix - Funds & investment activities FY 2023 FY 2024 (JPY million) FY 2019 FY 2020 FY 2021 FY 2022 FY 2023 (3Q) (3Q) New & increased funds 2,000 1,359 151 1,001 3,701 2,701 1,400 AUM of funds - total *1 16,494 17,390 16,450 16,463 15,850 14,813 15,416 AUM of funds - JAIC *1 5,344 5,163 5,434
Slide 29: Business results, financial position
5. Appendix - Business results, financial position (Previous accounting standards) FY 2023 FY 2024 (JPY million) FY 2019 FY 2020 FY 2021 FY 2022 FY 2023 (3Q) (3Q) Business results Operating revenues 2,475 2,760 3,089 2,409 3,017 2,688 549 Operating gross profit 1,286 1,359 1,301 1,276 961 914 (329)
Slide 30: Statement of Income - break down
5. Appendix - Statement of Income - break down (Previous accounting standard) FY2023 FY2024 (JPY:million) FY 2019 FY 2020 FY 2021 FY 2022 FY 2023 Change(%) (3Q) (3Q) １． Fund management operation Operating revenue 241 199 169 154 134 103 115 12.3% Operating cost - - - - - - - - Operating gross profit
Slide 31: Business field
5. Appendix - Business field Private equity investment Strategic investment Project oriented investment JAIC provides growth capital in venture Strategic investment in partner JAIC has been investing to renewable energy companies and small and medium sized companies that correspond to industries rep
Slide 32: Profit structure – Private equity investment
5. Appendix - Profit structure – Private equity investment • Private equity investment is an investment in promising companies centered on venture companies and small and medium- sized enterprises in the Asian region including Japan. We support investee companies to increase their corporate value an
Slide 33: Profit structure – Project oriented investment
5. Appendix - Profit structure – Project oriented investment • We invest in SPCs (special purpose companies) that own facilities such as power plants, factories, residential facilities and warehouses. We construct these facilities and receive the profits generated by the operation of the facilities
Slide 34: Core competence
5. Appendix - Core competence Historical background in Asian region Since its establishment in 1981 by the Japan Association of Corporate Executives (Keizai Capability to capture up-to-date Doyukai), JAIC has contributed to economic business information exchange between Japan and Asian countries Thr
Slide 35: Efforts for SDGs
5. Appendix – Efforts for SDGs Becoming an SDGs investment company as our core value, we will thoroughly carry out investment activities with a strong awareness of SDGs based on our management policy. Environment We contribute to reducing the burden on the environment by Renewable energy investing i
Slide 36: Company data
5. Appendix - Company data (as of December 31, 2023) Company name Japan Asia Investment Co., Ltd. Abbreviation; JAIC 2F Medical Friend Building, 3-2-4 Kudn-kita, Chiyoda-ku, Tokyo 102- Head office 0073, Japan Established July 10, 1981 Paid-in capital 5,426 million yen Listed market Tokyo Stock Excha
Slide 37: Disclaimer
Disclaimer The information in this document is for presentational purposes only and is not an inducement to invest in securities issued by JAIC. Any forward-looking statements in this document are based on materials available at the time of its compilation and no guarantee can be made as to the
Slide 38: https://www.jaic-vc.co.jp
https://www.jaic-vc.co.jp Contact to: Kenji Kishimoto, Executive Officer Miyuki Maruyama, Administration Group IR e-mail : ir@jaic-vc.co.jp Financial Results Overview for 3rd Quarter of FY Mar. 2024 © Japan Asia Investment Co., Ltd. 2024 - 38 -
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