Japan Foods Holding Ltd. · SGX:5OI
Japan Foods — H1 2012 Earnings Presentation
28 slides from Japan Foods's earnings presentation, Nov 10, 2011
Slide 1: 1H2012 Financial Results Presentation
1H2012 Financial Results Presentation 10 November 2011 This presentation has been reviewed by the Company’s sponsor, CIMB Bank Berhad, Singapore Branch (“Sponsor”) for compliance with the Singapore Exchange Securities Trading Limited (“SGX-ST”) Listing Manual Section B: Rules of Catalist. The Sponso
Slide 2: Important Notice
Important Notice DISCLAIMER This presentation is prepared for informational purposes only, without regard to the objectives, financial situation nor needs of any specific person. This presentation does not constitute, or form any part of any offer for sale or subscription of, or solicitation of any
Slide 3: Corporate Profile
JAPAN FOODS HOLDING LTD. Corporate Profile
Slide 4: Company Snapshot
Company Snapshot One of the leading Japanese restaurant chains in Singapore, managing various established brands of authentic Japanese fare Founded in 1997 by our Executive Chairman and CEO, Mr. Takahashi Kenichi OUR BRANDS 9 Franchise Brands From Japan 8 Self-Developed Brands Ajisen Ramen Botej
Slide 5: Our Business
Our Business Self-Operated Restaurants Self-Operated Outlets Operates restaurants under the following Operates outlets at selected food courts: brands: Restaurants in Singapore No. of Outlets* Outlets in Singapore No. of Outlets* Ajisen Ramen 19 Botejyu Yatai 2 Aoba 2 Kazokutei 3 Sub-Franchise a
Slide 6: 1H2012 Financial Highlights
1H2012 Financial Highlights 6
Slide 7: Overview of 1H2012
Overview of 1H2012 Revenue Expenses 7
Slide 8: Updates on Self-operated Restaurants
Updates on Self-operated Restaurants Restaurants Updates No. of Restaurants No. of Restaurants As at 30 Sept 2010 As at 30 Sept 2011 Ajisen Ramen • Opened Clementi Mall outlet in February 2011 17 19 • Opened “Ajisen Gourmet Town” at nex Shopping Mall in December 2010 Aji Tei • Closed Takashimaya Sho
Slide 9: Updates on Sub-franchisees and Franchisee
Updates on Sub-franchisees and Franchisee Restaurants Updates No. of Outlets No. of Outlets As at 30 Sept 2010 As at 30 Sept 2011 Ajisen Ramen* • Opened Ho Chi Minh City (Vietnam) outlet in 4 in Indonesia 4 in Indonesia August 2011 5 in Malaysia 5 in Malaysia 1 in Vietnam Aji Tei# - 1 in Indonesia 1
Slide 10: Financial Highlights
Financial Highlights Period Ended 30 September S$’million 1H2011 1H2012 Change (%) Revenue 24.2 26.2 8.1 Gross Profit 18.9 20.4 8.2 Gross Profit Margin (%) 77.8% 77.9% 0.1pp EBIT 3.5 2.1 40.0 EBITDA 5.1 4.1 19.6 Net Profit After Tax (NPAT) 2.8 1.7 39.1 NPAT Margin (%) 11.7% 6.6% 5.1pp Earnings Per S
Slide 11: Revenue
Revenue S$’ m CAGR : 24.9% YoY : 8.1% 11
Slide 12: Revenue Mix by Brands
Revenue Mix by Brands S$’ m 16 5 14 5 12 5 10 15.0 14.3 4.1 18 744 1.9 13 1.6 1.3 t 8 17° [Joo 2% 0.03 i o1041 2° Ajisen Aji Tei Botejyu Manpuku oa Aoba Fruit Sub Others Ramen Gourmet Paradise Franchise Town ™1H2011 &1H2012 JAPAN FOODS HOLDING LTD. 12
Slide 13: Revenue Breakdown
Revenue Breakdown 1H2011 1H2012 13
Slide 14: Gross Profit and Margin
Gross Profit and Margin S$’ m CAGR : 27.5% YoY : 8.2% 14
Slide 15: Net Profit
Net Profit S$’ m CAGR : 44.3% YoY: 39.1% 15
Slide 16: Dividend and Bonus Issue
Dividend and Bonus Issue S’pore cents Proposed bonus issue of shares in 1H2012: 1 new share for every 5 existing shares 0.80 2 + 1 1 Includes the interim tax-exempt (one-tier) dividend of 0.3 cents per ordinary share in the capital of the Company 2 Includes the interim tax-exempt (one-tier) dividend
Slide 17: Balance Sheet
Balance Sheet S$ ’m As at 31 Mar 2011 As at 30 Sept 2011 Change (%) ASSETS Current Assets 11.4 13.3 16.7 Non-Current Assets 14.0 13.1 6.4 Total Assets 25.4 26.4 3.9 LIABILITIES Current Liabilities 6.8 6.8 - Non-Current Liabilities 1.1 0.8 27.3 Total Liabilities 7.9 7.6 3.8 EQUITY Share Capital 8.8 8
Slide 18: Cash Flow
Cash Flow As at 31 Mar As at 30 Sept S$ ’m Change (%) 2011 2011 Net cash provided by operating activities 3.9 3.9 - Net cash used in investing activities (2.2) (0.6) 72.7 Net cash provided by / (used in) financing activities 1.1 (1.0) N.M. Net increase in cash and cash equivalents 2.8 2.3 17.9 Cash
Slide 19: Key Financial Ratios
Key Financial Ratios As at 31 Mar 2011 As at 30 Sept 2011 Change (%) Cash and bank balances (S$’m) 7.6 9.8 28.9 Total assets (S$’m) 25.4 26.4 3.9 Total equity (S$’m) 17.5 18.8 7.4 Net cash ratio (%) 34.9 47.7 36.7 Net asset value per share (S’pore cents) 18.17 19.57 7.7 Net cash per share (S’pore ce
Slide 20: Outlook and Strategy
JAPAN FOODS HOLDING LTD. Outlook and Strategy
Slide 21: Outlook and Strategy
Outlook and Strategy Business Diversification Intense Competition Network Expansion & Consolidation Consumers faced with numerous F&B choices Overseas Expansion Rising Costs Cost & Quality Control Rising labour, rental and utility costs 21
Slide 22: Business Diversification – Food Court Concept Stalls
Business Diversification – Food Court Concept Stalls To restaurants & From restaurants food court concept stalls “Botejyu Yatai” is an extension of Japan Foods’ existing franchise brand, “Botejyu” •“Botejyu Yatai” is a new F&B concept stall that operates out of selected food courts •Opened at food c
Slide 23: Cost & Quality Control – New Noodle Production Facility
Cost & Quality Control – New Noodle Production Facility New Noodle Production Facility Establish noodle production facility in existing central kitchen in Kampong Ampat by early 2012 for own utilisation Consistency Better cost Reduce in quality of control reliance on noodles suppliers 23
Slide 24: Network Expansion & Consolidation
Network Expansion & Consolidation Latest Restaurants Increase number of outlets of better • Ajisen Ramen performing • Kazokutei October 2011: brands New “Kazokutei” restaurant and “Ajisen Ramen” restaurant at Causeway Point Close or • Let’s Sweets convert • Botejyu under performing outlets November
Slide 25: Overseas Expansion: Vietnam
Overseas Expansion: Vietnam Expand geographical footprint via sub- franchising… New Market: Vietnam •Launched first “Ajisen Ramen” restaurant in Ho Chi Minh City in August 2011 through a sub-franchisee agreement with Golden Chopsticks Co., Ltd •240m2 restaurant, 120 seats Ho Chi Minh City 25
Slide 26: Investment Highlights
JAPAN FOODS HOLDING LTD. Investment Highlights
Slide 27: Investment Highlights
Investment Highlights Established market presence and brand recognition, with scalable business model Continuously innovating and introducing new, quality and authentic Japanese cuisines Growing F&B industry in Singapore and regionally Potential to expand in the region 27
Slide 28: Thank You
JAPAN FOODS HOLDING LTD. Thank You