Slide 1: Financial Information Meeting for 2nd Quarter FY2008
Financial Information Meeting for 2nd Quarter FY2008 (April 1, 2008 through September 30, 2008) October 29, 2008 Mitsuo Kitagawa Representative Director & President Copyright © 2008 NS Solutions Corporation, All rights reserved.
Slide 2: Forward-Looking Statements
FORWARD-LOOKING STATEMENTS This document includes statements of forward-looking descriptions regarding the intent, belief or current expectations of NS Solutions Corporation (the “Company”) or its officers in terms of its operation and financial condition. Accordingly, such statements contain risks
Slide 3: 1H FY08 Consolidated Financial Highlights
1H FY08 Consolidated Financial Highlights （Billions of yen） yen） ((Pr Preevi vioouuss 1H 1H FY FY07 07 1H 1H FY FY08 08 oouuttllooookk iinn ((A Accttuual al)) ((A Accttuual al)) C Chhan ange ge Ju Jullyy 2008) 2008) C Chhan ange ge A A B B B B--A A D D B B--D D Sales Sales 76.0 76.0 76.4 76.4 + + 0.
Slide 4: 1H FY08 Quarterly Consolidated Results
1H FY08 Quarterly Consolidated Results （Billions of yen） yen） FY FY07 07（（Ac Actu tual al）） FY FY08 08（（A Acctu tual al）） C Chhan anggee 1Q 1Q 2Q 2Q 1H 1H 1Q 1Q 2Q 2Q 1H 1H 1Q 1Q 2Q 2Q 1H 1H A A B B C C D D E E FF D- D-AA E- E-BB F- F-CC Sales Sales 33.0 33.0 43.0 43.0 76.0 76.0 34.8 34.8 41.6 41.6
Slide 5: 1H FY08 Sales by Business Line/Customer Industry
1H FY08 Sales by Business Line/Customer Industry （Billions of yen） yen） 11HHF FY0 Y077 11HHF FY0 Y088 C Coom mmmeent nt ((A Act ctua uall)) ((A Act ctua uall)) C Cha hange nge A A B B B - B -AA Bu Busin siness ess solu solution tionss 37.9 37.9 35.8 35.8 -- 2.1 2.1 -- IT IT investment investment red
Slide 6: 1H FY08 Consolidated Operating Income Breakdown
1H FY08 Consolidated Operating Income Breakdown Year on Year Gross profit increase （Billions of yen） yen） relative to sales growth +0.1 ６.３ Increase in SG&A -0.9 Down ¥2.0 bn. Drop in gross profit margin -1.2 ・Budget overruns on a few projects -0.8 ・Decreases in an engineer utilization ４.３ rate and
Slide 7: Market Trends by Business Line/Customer Industry
Market Trends by Business Line/Customer Industry are... Business line/ Market Market trend customer industry direction Business solutions Manufacturing, Decreasing IT investments due to soaring prices of raw distribution and materials, sluggish markets within Japan and abroad, the service industries
Slide 8: Outlook for FY08 Consolidated Results
Outlook for FY08 Consolidated Results （Billions of yen） yen） FY FY08 08 FY FY0707 FY FY08 08 ((Pr Preevi vioouuss ((A Acctu tual) al) ((O Ouutlo tloookk)) C Chhan anggee oouuttllooookk**)) C Chhan anggee A A BB BB--A A C C BB--C C Sales Sales 165.4 165.4 165.0 165.0 -- 0.4 0.4 170.0 170.0 -- 5.0 5.0
Slide 9: Outlook for FY08 Sales by Business Line/Customer Industry
Outlook for FY08 Sales by Business Line/Customer Industry （Billions of yen） yen） FY0 FY077 FY0 FY088 CCom ommment ent （（AAct ctua uall）） （（Out Outllook ook）） CCha hange nge AA BB BB-A -A Business Business solutions solutions 86.5 86.5 82.0 82.0 -- 4.5 4.5 -- IT ITinvestment investmentreduction reduc
Slide 10: FY08 Consolidated Operating Income Breakdown
FY08 Consolidated Operating Income Breakdown Year on Year Gross profit decrease （Billions of yen） yen） relative to sales fall -0.1 １４.９ Increase in SG&A -1.3 Down ¥2.3 bn. Drop in gross profit margin -0.9 ・Budget overruns on a few projects -0.4 ・Decreases in an engineer utilization rate and in profi
Slide 11: Outlook for FY08 Semiannual Consolidated Results
Outlook for FY08 Semiannual Consolidated Results （Billions of yen） yen） FY0 FY077（（A Act ctua uall）） FY0 FY088（（Out Outllook ook）） C Cha hange nge 11H H 22H H 11H H 22H H 11H H 22H H AA BB CC D D C- C-AA D D--BB SSaalles es 76.0 76.0 89.4 89.4 76.4 76.4 88.6 88.6 ++ 0.4 0.4 -- 0.8 0.8 Business Busin
Slide 12: Progress with Major Business Strategies for FY08
Progress with Major Business Strategies for FY08 Progress Enhancing and (1) Action to bolster profit reinforcing earnings Investigating profit improvement measures and implementing capabilities them at emergency meetings ・Improving ability to secure orders z Improving ability to secure ・Implementing
Slide 13: Measures for Improving Earnings
Measures for Improving Earnings Improving ability to secure orders z Improving capabilities for proposing system solutions based on close cooperation between sales persons and system engineers (account axis, solution axis) zBoosting up retention rate zEnhancing SLC* total solutions Implementing tigh
Slide 14: Strengthening Advanced Technical Capabilities (1)
Strengthening Advanced Technical Capabilities (1) Improving strategic integrated IT platforms and overall optimization total solutions Each application and IT platform has Developing overall optimization systems capable been individually developed and of adjusting to changes deployed so far Differen
Slide 15: Strengthening Advanced Technical Capabilities (2)
Strengthening Advanced Technical Capabilities (2) Developing large-scale enterprise BI systems Systems Research & Development Center's technical (Example of system development for Shiseido) support to individual BUs Shiseido Gr. Supporting flexible adjustment to changes in organizations and business
Slide 16: Enhancing the Software Development Center
Enhancing the Software Development Center Promoting education on and diffusion of SLC standards and SI Support System z In-house training on SLC standards/guidebook z Demonstrating SI Support System Adding different functions to SI Support System and making improvements to it z Project management su
Slide 17: Topics: Acquiring 100% of Financial Engineering Group
Topics Acquiring 100% shares of Financial Engineering Group, Inc. ("FEG") NS Solutions aims to attain the position of leading vendor of risk management systems for financial institutions by utilizing FEG's capabilities for risk management and data mining using customer information in the personal fi
Slide 18: Policy on Profit Sharing
Policy on Profit Sharing Provide stable dividends to shareholders and maintain internal reserves for expanding our businesses and for other purposes Distribute profits among shareholders •We plan to distribute dividends of 22.50 yen per share at the end of the 2nd quarter ended September 30, 2008.
Slide 19: http://www.ns-sol.co.jp/
http://www.ns-sol.co.jp/ NS Solutions, NSSOL, NS logos, NSFLEASY, NSGRANDIR, and absonne are either registered trademarks or trademarks of NS Solutions Corporation. All other company and product names in this material are either registered trademarks or trademarks of their respective owners. Copyrig