Densan System Holdings Co. Ltd. · TSE:4072
Densan System — Q1 2024 Earnings Presentation
21 slides from Densan System's earnings presentation, June 2024
Slide 1: Presentation Materials for the 1Q FY2024 Results Briefing
Densan System Holdings Co., Ltd. Presentation Materials for the 1Q FY2024 Results Briefing Tokyo Stock Exchange Prime Nagoya Stock Exchange Premier Securities Code: 4072 Forward-looking statements contained in this document are based on current estimates and projections and include potential risks a
Slide 2: Table of Contents
Table of Contents ▸ 1Q FY2024 Business Results Highlights P3 ▸ 1Q FY2024 By Segment P5 ▸ 1Q FY2024 Transition in Quarterly Business Results P6 ▸ FY12/2024 1Q Financial Condition (B/S) P7 ▸ 1Q FY2024 Information Services Summary P8 ▸ 1Q FY2024 Information Services in Detail P9 ▸ 1Q FY2024 Payment Age
Slide 3: 1Q FY2024 Business Results Highlights
1Q FY2024 Business Results Highlights Net sales 14.653 billion yen (0.4% ) Operating income 1.119 billion yen (5.6% ) Operating income ratio 7.6 % Net income attributable to shareholders of the parent company 786billion yen (1.6% ) 親会社株式に帰属する純利益 3
Slide 4: Business Results Highlights
FY12/2024 1Q Business Results Highlights Unit: Million yen ▸ In 1Q of the current fiscal year, net sales increased and operating income and ordinary income decreased year on year. ▸ Net income increased 1.6% year on year due to a decrease in the impact of unprofitable projects in information service
Slide 5: By Segment
FY12/2024 1Q By Segment Unit: Million yen ▸ Net sales increased ¥300 million (3.3%) from the previous year for information services, but decreased ¥240 million (4.2%) for payment agency services. ▸ Operating income increased ¥105 million (22.3%) from the previous year for information services, but d
Slide 6: Transition in Quarterly Business Results
FY12/2024 1Q Transition in Quarterly Business Results Unit: Million yen ▸ Net sales began quite modestly in 1Q of the current fiscal year, considering the extremely good performance in 1Q of the previous fiscal year. ▸ Operating income decreased from 1Q of the previous fiscal year due to an increase
Slide 7: Financial Condition (B/S)
FY12/2024 1Q Financial Condition (B/S) Unit: Million yen FY2024 Change in FY2023 1Q amount Total assets 57,051 57,569 518 Current assets 48,228 48,546 317 Non-current assets 8,822 9,022 200 Total liabilities 36,277 36,070 (206) Current liabilities 33,953 34,036 82 Non-current liabilities 2,323 2,034
Slide 8: Information Services Summary
FY12/2024 1Q Information Services Summary Unit: Million yen ▸ SI/software development increased 8.0% year on year due to steady performance of Google business and various SI projects. ▸ Net sales in information processing remained flat due to a decline in the number of other BPO services, although B
Slide 9: Information Services in Detail (Google Business)
FY12/2024 1Q Information Services in Detail (Google Business) ▸ Google Workspace saw steady Net sales Number of Google (Google Workspace) installations growth in the number of business (million yen) (Number of installations) partners and licenses, and net sales increased year on year. ▸ We aim for f
Slide 10: Information Services in Detail (BPO Business)
FY12/2024 1Q Information Services in Detail (BPO Business) ▸ Invoice preparation services performed Net sales Number of items processed well. (million yen) (in thousand items) ▸ Invoice printing operations decreased, and BPO as a whole remained flat. FY2022 FY2023 FY2024 10
Slide 11: Payment Agency Services Summary
FY12/2024 1Q Payment Agency Services Summary Unit: Million yen ▸ Net sales and operating income of convenience store payment agency services decreased from the previous fiscal year due to the termination of transactions with a large customer in 1Q of the previous fiscal year and an increase in the u
Slide 12: Payment Agency Services in Detail (Payment and Collection / Online)
FY12/2024 1Q Payment Agency Services in Detail (Payment and Collection Agency Services / Online Payment Services) ▸ The decrease in the number of Number of items processed (in thousand items) payments, which had been continuing since 1Q of the previous fiscal year, turned into an increase from 4Q of
Slide 13: Payment Agency Services in Detail (Remittance / Peripheral)
FY12/2024 1Q Payment Agency Services in Detail (Remittance Services / Payment Agency Peripheral Services) Number of items processed (in thousand items) ▸ International remittance continued to be International remittance Domestic remittance sluggish due to the impact of depreciation of the yen and st
Slide 14: Topics: Collaboration with NEC in education DX
FY12/2024 1Q Topics ▸ April 16, 2024: Collaboration with NEC in the education DX field, strengthening the system for NEXT GIGA (2025) • Took over the “Learning Visualization Service,” a data utilization service for schools that NEC has been developing, and integrated it with “Ra:Class” to strengthen
Slide 15: Topics: Web3, NFT, Blockchain
FY12/2024 1Q Topics ▸ Web3, NFT, Blockchain: We started working on cutting-edge digital technologies. • March 18, 2024: Signed a basic agreement on collaboration with Bucket Co., Ltd. for the purpose of developing the tourism and regional development platform business. Promoting the Web3 Digital Cas
Slide 16: Topics: PB Pass launch
FY12/2024 1Q Topics ▸ February 19, 2024: We launched PB Pass , a purchasing solution for trading companies. • It solves problems faced by trading companies and their customers It is possible to cross-reference all product catalogs that trading companies sell to their customers, including catalogs pr
Slide 17: Medium-Term Plan FY2024 to FY2026
Medium-Term Plan FY2024 to FY2026 Unit: Million yen ▸ Aim for sales increase of 10% or more each fiscal year. ▸ Improve the income ratio each fiscal year. ▸ Create new value and aim to grow the plan to higher levels. Growth rate FY2023 FY2024 FY2025 FY2026 YoY Actual Plan Plan Plan Average Net sales
Slide 18: Medium-Term Plan FY2024 to FY2026
Medium-Term Plan FY2024 to FY2026 Transforming into a value creator for the realization of a sustainable society DSK Transformation → From contracted development to packaged services Be a co-creation partner that shares customer issues and considers ways to resolve them together with the customer in
Slide 19: Long-Term Plan: Challenge 1000
Long-Term Plan December 2021 to December 2027 Challenge 1000 2027年 Net sales 1000 billion yen Taking on the challenge to become a company with Information service ¥100 billion in net sales by 2027! ・BPO services ・Software development, operation, and maintenance services ・Medical services 2021 The co
Slide 20: Response to Achieve Management with Awareness of Capital Cost and Stock Price
Response to Achieve Management with Awareness of Capital Cost and Stock Price We will aim to further strengthen profitability while also steadily implementing measures to improve capital cost, including timely and appropriate disclosure of information as well as financial and capital policies. We wi
Slide 21: Dividends
Dividends ▸ FY2023: Annual ordinary dividend of ¥37 per share (interim dividend of ¥18 and year-end dividend of ¥19) ▸ FY2024 plan: Annual ordinary dividend of ¥40 per share (interim dividend of ¥20 and year-end dividend of ¥20) Commemorative dividend for Interim Year-end the transition to a holding
Densan System Holdings — Q1 2024 Earnings Presentation on 6ix