Mizuho Leasing Company, Limited · TSE:8425
Mizuho Leasing — IBJ Leasing — FY2018 Earnings Presentation
31 slides from Mizuho Leasing's earnings presentation, May 23, 2019
Slide 1: Financial Results for FY2018 Presentation Materials
Financial Results for FY2018 Presentation Materials May 23, 2019 IBJ Leasing Co., Ltd. (Securities Code: 8425) Inquiries: Corporate Communication Division Tel:+81-3-5253-6540 Fax:+81-3-5253-6539
Slide 2: Contents
Contents I. Financial Results and Business Performance Overview ・・・ 2 II. Result of Fifth Mid-term Management Plan ・・・ 12 III. Appendix A ・・・ 16 IV. Appendix B ・・・ 22 This document contains forecasts and other forward-looking statements that are based on information available at the time of preparat
Slide 3: I. Financial Results and Business Performance Overview
I. Financial Results and Business Performance Overview 2
Slide 4: Summary of FY2018
Summary of FY2018 Achieved all target figures for the final fiscal year presented in the Fifth Mid-term Management Plan one year ahead of schedule. ー Net income attributable to owners of the parent: ¥16.6 billion [target: ¥15.0 billion] ー ROE: 10.3% [target: 10%] ー Plan to pay year-end dividend of
Slide 5: Performance Trends (consolidated basis)
Performance Trends (consolidated basis) (¥bn) (¥bn) Forecast FY18 % announced FY16 FY17 FY18 Change full-year Change before forecast *1 revision *2 Revenues 429.4 399.7 384.9 -14.8 -4％ 390.0 420.0 Gross profit before write- ― ― offs and funding costs 44.9 45.2 52.6 +7.4 +16% Operating income 18.0 19
Slide 6: Overview of Financial Results
Overview of Financial Results (¥bn) % ＰＯＩＮＴS FY16 FY17 FY18 Change Change ■ Increased significantly due to success of Revenues 429.4 399.7 384.9 -14.8 -4％ business strategy of Fifth Mid-term Management Plan including global Gross profit before write- offs and funding costs 44.9 45.2 52.6 +7.4 +16％ b
Slide 7: Business Performance Overview
Business Performance Overview ＰＯＩＮＴS (¥bn) % FY16 FY17 FY18 Change ■ Contract execution volume increased 16％ y-o-y Change Contract ・ For “Leasing and installment sales,” execution 1092.0 1,335.9 1,548.8 +212.9 +16% execution volume volume increased mainly in areas such as industrial Leasing and and
Slide 8: Contract Execution Volume / Leasing and Installment Sales
Contract Execution Volume / Leasing and Installment Sales Contract execution volume by equipment type ＰＯＩＮＴS (¥bn) % FY16 FY17 FY18 Change Change Industrial and factory 98.8 61.5 114.1 +52.6 +85% ■ Captured capital investment needs Information and 78.9 81.2 93.4 +12.2 +15% ■ Contract execution volum
Slide 9: Contract Execution Volume / Financing
Contract Execution Volume / Financing Contract execution volume ＰＯＩＮＴS (¥bn) % FY16 FY17 FY18 Change Change Commercial Distribution 516.1 822.8 856.3 ＋33.5 ＋4％ Finance / Loan, etc. Aircraft 12.8 31.3 22.8 -8.5 -27％ 39.4 97.0 +57.6 +146% ■ Executed superior bridge scheme Real Estate 77.2 projects Ves
Slide 10: Balance (Real Estate/Global)
Balance (Real Estate/Global) (¥bn) 4,000 400 ＰＯＩＮＴS 349.9 ■ Property ownership businesses (outlined 3,000 in red) increased 300 101.5 Real estate 245.7 ー Balance substantially increased due to 248.4 219.3 24.7 growth of initiatives targeted at logistics 2,000 200 facilities and hotels capturing soci
Slide 11: Funding
Funding Actively raised funds from markets amid increase in interest-bearing debt in line with the increase in operating assets. ー Raised ¥67.0 billion through 3- to 10-year bonds in FY2018, in addition to increased CP issuance. Funding costs ratio increased due to higher foreign currency borrow
Slide 12: Earnings Forecasts and Dividends
Earnings Forecasts and Dividends Aim to post net income attributable to owners of the parent in the amount of ¥17.0 billion for FY2019, to post record-breaking profit for the seventh straight year. ー Launched the Sixth Mid-term Management Plan , with a plan period of 5 years from FY2019 to FY2023.
Slide 13: II. Result of Fifth Mid-term Management Plan
II. Result of Fifth Mid-term Management Plan 12
Slide 14: Overview of Fifth Mid-term Management Plan (FY2017-2019)
Overview of Fifth Mid-term Management Plan (FY2017-2019) Vision “Value-creating company tackling challenges together with clients” Business Strategies and Reinforcement of Management Base Vigorously promote more profitable businesses leveraging expertise Basic policy and financial strengths gained E
Slide 15: Marketing Strategies and Results in Focus Areas (Summary)
Marketing Strategies and Results in Focus Areas (Summary) Existing client base Real estate Medical and healthcare Large and mid-sized companies New business strategies Achieved the target for the final fiscal year of Contract execution volume steadily increased the Mid-term Management Plan due t
Slide 16: Marketing Strategies and Results in Focus Areas (Summary)
Marketing Strategies and Results in Focus Areas (Summary) Environment and energy Global (Aircraft) Global (Overseas subsidiaries) Achieved in FY2017 the initial target for the Started in-house management of aircraft for Balance of operating assets steadily increased as final fiscal year by suc
Slide 17: III. Appendix A
III. Appendix A Fifth Mid-term Management Plan Focused area strategies and results 16
Slide 18: Real estate: Strategies and Track Record
Real estate: Strategies and Track Record Strategies Focus on initiatives in areas with high societal needs such as hotels, childcare, and nursing care Drive forward expansion of bridge schemes, investments in overseas investment funds, and joint investments in excellent properties Strategies Tra
Slide 19: Medical and Healthcare: Strategies and Track Record
Medical and Healthcare: Strategies and Track Record Strategies Expand scope to the high-growth potential area of convalescence and nursing care, in addition to diagnosis and treatment Aim to expand service business by leasing real estate and collaborating with new partners Strategies Track recor
Slide 20: Environment and Energy: Strategies and Track Record
Environment and Energy: Strategies and Track Record Strategies Expand equipment leasing in response to needs of energy conservation project suppliers and consumers Meet a diverse range of needs by acquiring contracts via strengthening sales activities targeting local governments, and being invol
Slide 21: Global (Aircraft): Strategies and Track Record
Global (Aircraft): Strategies and Track Record Strategies Aim to attain targets for the final year of the mid-term plan by increasing aircraft-backed collateralized loans, setting up more aircraft operating leases, and entering business related to engines, parts, and other aircraft peripherals Str
Slide 22: Global (Overseas Subsidiaries): Strategies and Track Record
Global (Overseas Subsidiaries): Strategies and Track Record Strategies Further expand client base by responding to changes in social structure in existing markets In addition, consider entering new leasing business via M&As and purchasing assets in untapped markets Strategies Track record Exampl
Slide 23: IV. Appendix B
Ⅳ. Appendix B 22
Slide 24: Company Profile
Company Profile Company Name IBJ Leasing Company, Limited Address 1-2-6 Toranomon, Minato-ku, Tokyo 105-0001 Representative Hiroshi Motoyama, President and CEO Establishment December 1, 1969 Listing Tokyo Stock Exchange, 1st Section (Code: 8425) Capital Stock 26,088 million yen (Outstanding shares:
Slide 25: Stock Status (As of March 31, 2019)
Stock Status (As of March 31, 2019) ○ Number of shares issued 49,004,000 ○Major Shareholders ○ Number of shareholders 44,427 Shareholders Shares Held Holding Ratio (1,000 shares) (%) ○ Distribution of shareholders (shareholding ratio) Mizuho Bank, Ltd. 11,283 23.03 Individuals The Dai-ichi Life Insu
Slide 26: IBJL Group Internal Control System
IBJL Group Internal Control System IBJL Group has established a system to ensure proper execution of business operations, and is operating this system in an effective and appropriate manner. Management structure: 8 directors (incl. 3 outside directors), 4 auditors (incl. 4 outside auditors) * Pl
Slide 27: Consolidated Balance Sheet (Assets)
Consolidated Balance Sheet (Assets) (¥bn) End of Mar End of Mar End of Mar End of Mar End of Mar Change % Change 2015 2016 2017 2018 (A) 2019 (B) (B)-(A) (B)/(A) Current assets 1,433.1 1,552.9 1,564.7 1,602.4 1,866.6 +264.2 +16.5％ Cash and deposits 38.7 49.4 42.3 30.3 25.9 -4.4 -14.7％ Investment in
Slide 28: Consolidated Balance Sheet (Liabilities and Equity)
Consolidated Balance Sheet (Liabilities and Equity) (¥bn) End of Mar End of Mar End of Mar End of Mar End of Mar Change % Change 2015 2016 2017 2018 (A) 2019 (B) (B)-(A) (B)/(A) Current liabilities 1,044.3 1,119.2 1,045.8 1,082.1 1,294.2 +212.1 +19.6％ Short-term borrowings 336.5 364.4 312.7 270.7 30
Slide 29: Consolidated Statements of Income
Consolidated Statements of Income (¥bn) FY17 FY18 Change Change FY14 FY15 FY16 (A) (B) (B) – (A) (B)/(A) Revenues 353.7 364.2 429.4 399.7 384.9 -14.8 -3.7％ Gross profit before write-offs 41.6 44.8 44.9 45.2 52.6 +7.4 +16.5％ and funding costs Funding costs 6.3 6.4 5.7 7.0 8.5 +1.5 +21.7％ Gross profit
Slide 30: Consolidated Statement of Comprehensive Income
Consolidated Statement of Comprehensive Income (¥bn) FY17 FY18 Change Change FY14 FY15 FY16 (A) (B) (B)-(A) (B)/(A) Net income* 11.6 12.1 12.6 14.2 17.2 +3.0 +21.4％ Unrealized gain on available-for-sale 2.8 1.6 0.1 1.0 -2.3 -3.3 - securities Deferred loss on derivatives under 0.1 -0.4 0.2 0.1 -0.6 -
Slide 31: Gross Profit Before Write-offs and Funding Costs by Segment
Gross Profit Before Write-offs and Funding Costs by Segment (¥bn) FY17 FY18 Change Change FY14 FY15 FY16 (A) (B) (B) – (A) (B)/(A) Revenues 353.7 364.2 429.4 399.7 384.9 -14.8 -3.7％ Leasing and 343.9 352.1 417.0 386.4 366.4 -20.0 -5.2％ Installment sales Finance 9.0 11.4 11.7 12.8 17.4 +4.6 +35.6％ Ot