Autobacs Seven Co., Ltd. · TSE:9832
Autobacs Seven — H1 FY March 2010 Earnings Presentation
29 slides from Autobacs Seven's earnings presentation, Nov 9, 2009
Slide 1: Analyst Meeting: First-half Results and Outlook
Translation ANALYST MEETING Results of the first-half ended Sep 30, 2009 and outlook for the rest of the fiscal year November 9, 2009 Setsuo Wakuda Representative Director and CEO
Slide 2: What We Want to Explain Today
WHAT WE WANT TO EXPLAIN TODAY I. FIRST-HALF RESULTS: ¾Retail sales and wholesale sales seems not to be paralleled. How will it move from now? II. FINANCIAL FORECASTS FOR THE SECOND-HALF: ¾ETC sales are likely to fall but how is AUTOBACS going to deal with it? III. FROM NEXT FISCAL YEAR: ¾How is AUTO
Slide 3: I. First-half Results
I. FIRST-HALF RESULTS: eTiozens oe A—bhINyI2
Slide 4: Financial Results (first-half ended Sep 30, 2009)
FINANCIAL RESULTS (first-half ended Sep 30, 2009) (billion Yen) First-half ended Sep 30, 2009 First-half Change from the result of the Actual YoY change previous Original original forecast forecast result (amount / %) (amount) fiscal year Net Sales 112.6 114.5 ▲14.8 + 1.9 129.3 ▲ 11.4% Gross Profit
Slide 5: Financial Results: Summary
FINANCIAL RESULTS: SUMMARY REVENUE DECLINE BUT EARNINGS GROWTH z Reforms in the current Mid-term Business Plan began to take effect. z Retail sales including FCs were steady, but wholesale sales were not linked to it. 1. Business environment: positive and negative factors ¾ Positive: Sales of ETC de
Slide 6: Improvement in Operating Income
IMPROVEMENT IN OPERATING INCOME IMPROVEMENT IN OPERATING INCOME (Billion Yen) 5 gross margin 4.7 4.5 improvement in domestic wholesale 0.7 4 business, and other 3.5 Reduction of 3 Withdrawal from SG&A expenses 1.7 a part of 2.5 overseas and Wholesales non-core decline in non- 2.3 4.7 2 domestic cons
Slide 7: Achievements of the Initiatives So Far
ACHIEVEMENTS OF THE INITIATIVES SO FAR THIS YEAR’S OBJECTIVES: Strengthen the core business, the domestic franchise business. PLAN RESULT SALES OF AUTOMOTIVE GOODS ・Outlet reforms: Completed the experiment with a central gondola. AND SERVICES, STATUTORY SAFETY INSPECTIONS ・GM improvement: Wholesale
Slide 8: Store Sales and Wholesale Results
STORE SALES AND WHOLESALE RESULTS Highlight (1) Total store sales including FCs and wholesale results (yoy growth rate) (%) 20.0 Store sales struggled as AUTOBACS increased the retail price of tires. Franchise companies 15.0 improved inventory Wholesale sales rose on last-minute efficiency. demand a
Slide 9: II. Financial Forecasts for the Second-half
II. FINANCIAL FORECASTS FOR THE SECOND-HALF: 8
Slide 10: Financial Forecasts (fiscal year ending Mar 31, 2010)
FINANCIAL FORECASTS (fiscal year ending Mar 31, 2010) (billion Yen) Fiscal year ending March 31, 2010 Result for the fiscal year Full year Full Year Change from the ended March 1st-half 2nd-half original forecast original forecast 31, 2009 Result forecast* forecast (Revised) (Amount) Net Sales 259.1
Slide 11: Towards Realization of Our Vision
TOWARDS REALIZATION OF OUR VISION Vision: “Anything about cars, you find at AUTOBACS” Automotive goods and service market in the second half: ⇒ Remain weak in a struggling economy and growing environmental awareness although firm maintenance demand continues. For growth of the AUTOBACS Group in futu
Slide 12: Initiatives from the 2nd-half of FY 2010
INITIATIVES FROM THE 2ND-HALF OF FY 2010 Highlight (2) SALES OF AUTOMOTIVE GOODS AND SERVICES z Initiatives to increase number of customers and the number of items per customer ¾ Display "300 Special Price Items" that appeal to customers with their low prices and set up sales spaces for goods that s
Slide 13: Advanced Store Prototype Development
ADVANCED STORE PROTOTYPE DEVELOPMENT PUROSE OF THE PROJECT: ¾To develop easy-to-select shopping space and improve shelf efficiency, as well as increase space productivity. CONCEPT OF THE PROJECT: Customer focused Store focused Attract customer and bring in more Develop a profitable store model Creat
Slide 14: Progress Toward the Vision
PROGRESS TOWARD THE VISION Highlight (3) FY March 2009 FY March 2010 FY March 2011 - Sluggish consumer spending - Demand drops for luxury （In addition to items at left) - Shift in consumer tastes to items and increasing Operating lower prices - Temporary strong sales of ETC demand for maintenance en
Slide 15: What We Want to Tell You Today: Review
WHAT WE WANT TO TELL YOU TODAY: REVIEW 1. Retail sales and wholesale sales seems not to be linked together. How will it move from now? ¾ The gap between retail sales and wholesale is narrowing from the second half. 2. ETC sales are likely to fall but how is AUTOBACS going to deal with it? ¾ The oper
Slide 16: Lastly...
LASTLY... AUTOBACS Seven is determined to win the support and trust of all stakeholders by strengthening store profitability and pursuing continuous cost efficiency centering on store reforms. 15
Slide 17: Forward-Looking Statements
Forward-Looking Statements These materials include forecasts regarding the Company’s future plans, strategies, and performance. This information is based on judgments and estimates made in accordance with information currently available. Actual results may differ substantially from forecasts due to
Slide 18: Data book
Data book eTiozens oe A—bhINyI2
Slide 19: Major Drivers of Variance
MAJOR DRIVERS OF VARIANCE (Billion Yen) First-half of Fiscal year ending March 31, 2010 FY Mar 09 Results first-half (% of YoY Major drivers of variance results Sales) (% of Sales) Net Sales 114.5 ▲14.8 ↓Non-consolidated sales: ▲4.2 129.3 ▲11.4% - Business restructuring: ▲3.5, tires and wheels:▲1.2,
Slide 20: Performance of Subsidiaries
PERFORMANCE OF SUBSIDIARIES (Billion Yen) Change FY Mar 2009 Original from results Results YoY estimates original estimates Domestic retail sales Net Sales including FCs 143.87 + 2.1% 140.80 Net Sales 94.20 94.18 ▲ 4.3% ▲ 0.0% 98.46 Non-consolidated Ordinary Income 5.10 5.72 + 58.4% + 12.2% 3.61 Dom
Slide 21: Performance of Subsidiaries: Non-consolidated
PERFORMANCE OF SUBSIDIARIES Non-consolidated (Billion Yen) ↑Car electronics devices, oil ▲ 3.71 Net Sales Wholesale ↓Tires & wheels, motorsports goods, motorcycle related goods, used (▲ 4.1%) cars 94.2 (YoY: ▲4.28) ▲ 0.51 ↑Services, oil Retail ↓motorcycle related goods, Tires & wheels, motor sports
Slide 22: Geographical Segments (Overseas)
GEOGRAPHICAL SEGMENTS (Overseas) SINGAPORE, FRANCE CHINA THAILAND Number of Stores 12 6 5 (at Sep 30, 2009) Comp store sales Singapore：+ 3.7% ▲ 8.7% ▲ 22.0% (yoy change rate) Thailand：▲ 2.9% Net Sales 3.4 billion Yen 0.3 billion Yen 0.7 billion Yen (yoy change) (▲ 1.4 billion Yen) (▲ 0.6 billion Yen
Slide 23: Balance Sheet / Assets
BALANCE SHEET / Assets TOTAL ASSETS 224.2 billion Yen 207.9 billion Yen 39.1 Cash and deposits 42.2 23.6 Trade notes and Major items changed account receivables 16.3 Lease investment assets 22.7 Marketable securities: CP redemption 13.8 15.4 Inventories: Mainly merchandise 21.2 10.6 decrease of STRA
Slide 24: Balance Sheet / Liabilities & Net Assets
BALANCE SHEET / Liabilities & Net Assets TOTAL LIABILITIES AND NET ASSETS 224.2 billion Yen 207.9 billion Yen 16.5 Accounts payable 3.4 ST borrowings and Major items changed corporate bond 13.9 25.0 2.8 Other ST liabilities: Provision for business Other ST liabilities 19.7 restructuring (+ 4.8 billi
Slide 25: Retail Sales Including Franchisees
RETAIL SALES INCLUDING FRANCHISEES* RETAIL SALES INCLUDING FCs: 143.8 billion yen (up by 2.1% YoY) (billion yen) 175 143.8 Statutory safety inspection sales**:6.4billion Yen 150 140.8 (+10.0% YoY) 6.4 5.8 6.6 8.7 Number of cars inspected： 206,000 cars (+15.8% YoY) 125 Number of fully certified & des
Slide 26: Sales by Merchandise Category
SALES BY MERCHANDISE CATEGORY SALES TREND* (YOY change, total store basis) (Million yen) 5,000 Fewer customers ETC devices: + 5,100M Yen 4,274 enjoying driving Navigation systems ：+ 350M Yen 4,000 Impact on luxury Car audios: ▲ 1,000M yen items due to sluggish economy 3,000 ＋2.9% in quantity ＋3.2% i
Slide 27: Estimates at Parent & Subsidiary Level
ESTIMATES AT PARENT & SUBSIDIARY LEVEL (Billion Yen) Fiscal year ending March 31, 2010 Fiscal year ended Change March 31, 1st-half 2nd-half Full Year from the Original 2009 forecast forecast original forecast Result Results (Revised) (Revised) forecast (Amount) Net Sales 199.00 190.00 94.18 95.72 18
Slide 28: Store Openings and Closings
STORE OPENINGS AND CLOSINGS Domestic stores No. of Fiscal year ending March 31, 2010 No. of stores at 1st-half (Results) 2nd-half （Forecasts） stores at Store Type Mar 31, Mar 31, 2009 New S/B ･R/L Close New S/B ･R/L Close 2010 AUTOBACS 397 ＋2 ＋1/▲1 ＋3/▲3 ▲2 397 Super AUTOBACS 77 ▲1 ＋1 77 AUTO HELLOE
Slide 29: Forward-Looking Statements
Forward-Looking Statements These materials include forecasts regarding the Company’s future plans, strategies, and performance. This information is based on judgments and estimates made in accordance with information currently available. Actual results may differ substantially from forecasts due to
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