Kajima Corporation · TSE:1812
Kajima — H1 FY2020 Earnings Presentation
25 slides from Kajima's earnings presentation, Nov 10, 2020
Slide 1: FY2020 First Half Financial Results
FY2020 First Half Financial Results November 10, 2020 An overview of our fiscal 2020 first half financial results follows.
Slide 2: FY2020 First Half Results / FY2020 Forecast
Ⅰ FY2020 First Half Results 01 Ⅱ FY2020 Forecast 13 Copyright Ⓒ 2020 KAJIMA CORPORATION All Rights Reserved.
Slide 3: FY2020 First Half Results
Ⅰ FY2020 First Half Results (April 1 ‐ September 30, 2020) 1. Business Environment Review 2. Financial Highlights 3. Segment Performance Copyright Ⓒ 2020 KAJIMA CORPORATION All Rights Reserved. First, the results for the first half of fiscal 2020.
Slide 4: Business Environment Review
Ⅰ FY2020 First Half Results 1. Business Environment Review Domestic construction market trends Steady demand in public sector in tandem with gradual downward trend in private capital expenditure due to careful investing Generally stable balance of supply and demand for labor as well as materials
Slide 5: Financial Highlights
Ⅰ FY2020 First Half Results 2. Financial Highlights Higher profit in the face of lower revenues than H1 2019 Good progress toward the initial full‐year forecast FY20 H1 2019 H1 2020 YTD % Billions of yen YoY Change Initial Result Result Progress Forecast Revenues 947.1 912.6 (34.5) 48.8% 1,870.0
Slide 6: Revenues
Ⅰ FY2020 First Half Results 2. Revenues H1 2019 H1 2020 Billions of yen YoY Change Result Result Revenues 947.1 912.6 (34.5) YoY Change Factors Civil Engineering +23.4 (Kajima Corp) Building Construction (85.5) (Kajima Corp) Overseas Subsidiaries and +19.0 Affiliates Copyright Ⓒ 2020 KAJIMA CO
Slide 7: Operating Income
Ⅰ FY2020 First Half Results 2. Operating Income H1 2019 H1 2020 Billions of yen YoY Change Result Result Operating 59.7 72.0 12.2 Income YoY Change Factors Gross Profit (Civil Engineering, +10.8 Kajima Corp) Gross Profit (Building Construction, (5.0) Kajima Corp) Gross Profit (Real Estate and
Slide 8: Ordinary Income
Ⅰ FY2020 First Half Results 2. Ordinary Income H1 2019 H1 2020 Billions of yen YoY Change Result Result Ordinary 65.0 79.3 14.2 Income YoY Change Factors Operating +12.2 Income Non‐operating Income – net +2.0 Equity in earnings of unconsolidated +1.3 subsidiaries and affiliates Copyright Ⓒ 2020
Slide 9: Net Income Attributable to Owners of the Parent
Ⅰ FY2020 First Half Results 2. Net Income Attributable to Owners of the Parent H1 2019 H1 2020 Billions of yen YoY Change Result Result Net Income 49.8 51.8 2.0 * Net Income Attributable to Owners of the Parent YoY Change Factors Ordinary +14.2 Income Extraordinary Income ‐ net (8.2) Increase
Slide 10: Civil Engineering (Kajima Corp)
Ⅰ FY2020 First Half Results 3. Civil Engineering (Kajima Corp) Contracts Decreased due to fewer target projects to win in the first half Revenues Increased owing to steady progress on backlog projects Gross Profit Improved in profitability of some projects to be completed in the current fiscal
Slide 11: Building Construction (Kajima Corp)
Ⅰ FY2020 First Half Results 3. Building Construction (Kajima Corp) Contracts Decreased due to delays in contract negotiations caused by the state of emergency Revenues Dropped by fewer backlog balance at the beginning of the period Gross Profit Declined in response to a decrease in revenues
Slide 12: Real Estate and Other (Kajima Corp)
Ⅰ FY2020 First Half Results 3. Real Estate and Other (Kajima Corp) Contracts Achieved higher level than 1H 2019 Revenues Increased due to successful disposition of a specific large‐scale property Gross Profit Contract Awards Revenues Gross Profit Copyright Ⓒ 2020 KAJIMA CORPORATION All Rig
Slide 13: Domestic Subsidiaries and Affiliates
Ⅰ FY2020 First Half Results 3. Domestic Subsidiaries and Affiliates Contracts Decreased in the area of interior finish works Revenues Lower than H1 2019 with high‐level revenues Operating income kept the same level of H1 2019 by improving profitability of Net Income construction business ¥2.
Slide 14: Overseas Subsidiaries and Affiliates
Ⅰ FY2020 First Half Results 3. Overseas Subsidiaries and Affiliates Contracts Equivalent level to H1 2019 Revenues Increased mainly because of uptick in the U.S. (KUSA) NetIncome Net Income Contribution from warehouse property business in the U.S. along with revenue growth Construction Contr
Slide 15: FY2020 Forecast
Ⅱ FY2020 Forecast (April 1, 2020 ‐ March 31, 2021) 1. Business Environment Outlook 2. Financial Highlights 3. Segment Performance 4. Stockholder Returns Copyright Ⓒ 2020 KAJIMA CORPORATION All Rights Reserved. Next, the forecast for the fiscal 2020.
Slide 16: Business Environment Outlook
Ⅱ FY2020 Forecast 1. Business Environment Outlook COVID‐19 Associated Impacts and Market Outlook Persisting uncertainties on construction demand both in Japan and overseas to observe closely Limited impact on progress of domestic construction works performed by Kajima Corp. Minimal impact on d
Slide 17: Financial Highlights (Forecast)
Ⅱ FY2020 Forecast 2. Financial Highlights Updated in light of H1 result and foreseeable business environment FY20 FY20 Change from FY19 Billions of yen Initial Updated YoY Change Initial Result Forecast Forecast Forecast Revenues 2,010.7 1,870.0 1,910.0 (100.7) 40.0 Operating Income 131.9 111.0 11
Slide 18: Civil Engineering (Kajima Corp) Forecast
Ⅱ FY2020 Forecast 3. Civil Engineering (Kajima Corp) Contracts Same as initial forecast Revenues Upward thanks to steady progress of backlog projects Gross Profit Expect earnings growth in accordance with increased revenues Contract Awards Revenues Gross Profit Copyright Ⓒ 2020 KAJIMA CO
Slide 19: Building Construction (Kajima Corp) Forecast
Ⅱ FY2020 Forecast 3. Building Construction (Kajima Corp) Contracts Revenues Same as initial forecast Gross Profit Contract Awards Revenues Gross Profit Copyright Ⓒ 2020 KAJIMA CORPORATION All Rights Reserved. 17 Next, Building Construction business at Kajima Corporation. We made less pro
Slide 20: Real Estate and Other (Kajima Corp) Forecast
Ⅱ FY2020 Forecast 3. Real Estate and Other (Kajima Corp) Contracts Same as initial forecast Revenues Gross Profit Upward in light of H1 result Contract Awards Revenues Gross Profit Copyright Ⓒ 2020 KAJIMA CORPORATION All Rights Reserved. 18 Next, Real Estate and Other business at Kajima
Slide 21: Domestic Subsidiaries and Affiliates Forecast
Ⅱ FY2020 Forecast 3. Domestic Subsidiaries and Affiliates Contracts Expect to increase mainly in road paving works Revenues Expect to increase in construction business and sales of materials Net Income Upward associated with increased revenues Construction Contract Awards Revenues Net In
Slide 22: Overseas Subsidiaries and Affiliates Forecast
Ⅱ FY2020 Forecast 3. Overseas Subsidiaries and Affiliates Contracts Downward due to delayed negotiations in large promising projects in Asia (KAP) Revenues Expect to increase with steady progress of construction business in the U.S. (KUSA) Net Income Expect to decrease caused by lower profit i
Slide 23: Investment Plan
Ⅱ FY2020 Forecast 4. Investment Plan Steady progress in investment for future growth expecting to exceed the Medium‐Term Business Plan (\billion) FY18‐FY19 FY20 FY18‐20 3‐year Plan Result Forecast Forecast (FY18‐FY20) ■Domestic/Overseas real estate 212.0 200.0 412.0 400.0 development (Recoup of in
Slide 24: Stockholder Returns
Ⅱ FY2020 Forecast 5. Stockholder Returns Leave dividend forecast unchanged Decided on share repurchase up to 10 billion yen FY20 FY20 FY18 FY19 Initial Updated Result *1 Result Forecast Forecast Dividend per Share ¥50.00 ¥50.00 ¥50.00 ¥50.00 Earnings per Share ¥211.67 ¥200.99 ¥156.07 ¥156.03 (EP
Slide 25: Inquiries and Disclaimer
Inquiries: Corporate Communication Group, Corporate Planning Department E‐Mail ： ir@ml.kajima.com Disclaimer: All financial information has been prepared in accordance with generally accepted accounting principles in Japan. While every attempt has been made to ensure the accuracy of information, for