Autobacs Seven Co., Ltd. · TSE:9832
Autobacs Seven — H1 FY2008 Earnings Presentation
24 slides from Autobacs Seven's earnings presentation, Nov 16, 2007
Slide 1: FY 2008 First-Half Financial Results
FY 2008 First-Half Financial Results Six months ended September 30, 2007 November 16, 2007 Koichi, Sumino Representative Director and CEO
Slide 2: Contents
Contents I. Summary of Consolidated Results of FY2008 1H II. Summary of Chain-wide Retail Sales of FY2008 1H III. Plans and measures for FY2008 2H
Slide 3: I. Summary of Consolidated Results of FY2008 1H
I. Summary of Consolidated Results of FY2008 1H
Slide 4: FY2008 1H Financial Results (Consolidated)
FY2008 1H Financial Results (Consolidated) (Hundred Million Yen) FY2008 1H FY2007 1H Results Actual Initial Plan Results vs. FY07 1H vs. Plan Chain-wide Retail Sales 1,429 1,476 1,448 +1.3% 1.9% Net Sales 1,166 1,284 1,295 +11.0% +0.9% Gross Profit 361 398 396 +10.0% 0.5% % of Net Sales 31.0% 31.0%
Slide 5: FY2008 1H Financial Summary (Consolidated)
FY2008 1H Financial Summary (Consolidated) Factors for Increases and Decreases Acquisition of US auto-parts retailer, Strauss Discount Auto vs. FY07 1H Growth in new business initiatives – automobile sales, inspection and maintenance services, and motorcycle Consolidated +12.9billion goods sales Net
Slide 6: Sales and Income of Subsidiaries
Sales and Income of Subsidiaries (Hundred Million Yen) FY2008 1H FY2007 1H Initial Actual Results Plan Results vs. FY07 1H vs. Plan Net Sales 1,166 1,284 1,295 +129 +11 Consolidated Ordinary Income 86.2 62.0 48.1 38.1 13.9 Non- Net Sales 973 1,010 990 +17 20 Consolidated Ordinary Income 88.6 65.0 60
Slide 7: Overseas Business: Overall Performance
Overseas Business: Overall Performance YoY sales growth rate Business Conditions in each Market Penetration of AUTOBACS-style selling methods Expanding AUTOBACS brand acceptance and recognition France +34.7% in the market Growing confidence in future sales/profit growth U.S. West +10.5% U.S. Focusin
Slide 8: Overseas Business: AUTOBACS STRAUSS
Overseas Business: AUTOBACS STRAUSS May: ¾AUTOBACS SEVEN acquired Strauss Comparable store sales Discount Auto (YoY comparisons) 115% ¾Started product replenishment YoY June: ¾Store modification: experimented tower- 110% stocking of tires at four stores 105% July: ¾Store modification: strengthened c
Slide 9: AUTOBACS STRAUSS: Store Modifications
AUTOBACS STRAUSS: Store Modifications Tires: Tower-stocking Engine Oil: Full replenishment of products
Slide 10: II. Summary of Chain-wide Retail Sales of FY2008 1H
II. Summary of Chain-wide Retail Sales of FY2008 1H
Slide 11: 1H Domestic Chain-wide Retail Sales
FY2008 1H Domestic Chain-wide Retail Sales* Domestic Chain-wide Retail Sales: Hundred Million Yen up 1.2% YoY 2,000 Statutory Car Inspection: up 15.9% YoY 1,429 1,448 1,500 Car sales: up 29.6% YoY 44 51 54 70 ¾Growing as one of our new business pillar 1,000 Car related goods: down 0.38% YoY 1,331 1,
Slide 12: Sales Breakdown by Product Category
Sales Breakdown by Product Category Sales Increases and Decreases (vs prior year, total store basis) Millions of Yen 600 Engine starters 58 million yen Radar detectors 100 million yen Theft detectives 221 million yen 431 Car Aromas 144 million yen ts s ts uc od 400 rts uc s od od Go 291 od 281 Pa s
Slide 13: Statutory Car Inspection Sales
Statutory Car Inspection Sales* Statutory Car Inspection Sales: 5.1 Billion Yen (YoY sales growth +16.9% / YoY volume growth +15.7%) Statutory Car Inspection Sales z Number of fully certified centers** (Cars in ten thousands) 16 (Sales in million yen) 5,500 No. of Cars 238 (Mar 07) 249 (Sep 07) Sale
Slide 14: Car Sales
Car Sales* Car Sales: 7.4 Billion Yen (YoY sales growth +22.6% / YoY volume growth +23.4%) Numbers and sales volume of Cars z SUGOKAI used car purchasing system (Cars) 10,000 No. of Cars (Sales in million yen) 8,000 Sales Amounts 7,455 Stores operating SUGOKAI: 133 (Sep 07) 9,000 7,000 8,000 6,081 C
Slide 15: III. Plans and Measures for FY2008 2H
III. Plans and Measures for FY2008 2H
Slide 16: Financial Plan (Consolidated)
FY2008 Financial Plan (Consolidated) (Hundred Million Yen) FY March 2007 FY March 2008 Full Year Full Year vs. FY07 1st Half Full Year 1st Half (Initial (Revised Full Year Results Results Results Plan) Plan) Results Chain-wide Retail Sales 1,429 2,984 1,448 3,100 3,072 +2.9% Net Sales 1,166 2,425 1,
Slide 17: Sales and Income Plan of Subsidiaries
FY2008 Sales and Income Plan of Subsidiaries (Hundred Million Yen) FY2008 FY2007 Full Year Full Year Full Year Results (Initial (Revised vs. FY07 vs. Initial Plan) Plan) Full Year Plan Net Sales 2,425 2,720 2,749 +324 +29 Consolidated Ordinary Income 163.2 135.0 93.0 70.2 42.0 Non- Net Sales 2,032 2
Slide 18: Business Plan: Store Allocations
FY2008 Business Plan: Store Allocations Domestic Store Openings and Closings No.of FY 2008 No.of Store Stores Stores 1H (Results) 2H (Plan) Type at FY07 at FY08 end New AB SA S/B R/L Closed New AB SA S/B R/L Closed end AB 402 2 2 4/ 4 1 1 2 1/ 1 - 400 SA 70 1 2 - - - 2 - - 75 AH 11 - - - - - - - 1 1
Slide 19: Business Plan: Merchandising Initiatives
FY2008 Business Plan: Merchandising Initiatives For all Products z Add lower-priced items to increase customer traffic z Prepare with the best product arrangements that fulfills the needs of each store’s core customer z Improve gross margin by having more products controlled under category managemen
Slide 20: Business Plan: New Business Initiatives
FY2008 Business Plan: New Business Initiatives Statutory Car Inspections and Maintenance Services z Statutory Car Inspection Services: ¾Promote inspection booking in the peak selling season of car parts ¾Attract customers by using several communication packages z Maintenance Services: ¾Introduce sta
Slide 21: Business Plan: Staff Training Initiatives
FY2008 Business Plan: Staff Training Initiatives Staff Training: To focus on the empowerment of “Total Car-life Services” z Nurture younger generations z Facilitate certificate acquisition / enhance training programs ¾Store Manager certification program ¾Car-life advisor certification program ¾Mecha
Slide 22: Future Growth Strategy
Future Growth Strategy M&A programs as a vector of Growth z Business backgrounds: The Direction of our M&A strategy Sales Growth Rate Q Q1 ¾Market shrinkage Simple Growers Value Growers ¾Growing concern over the reducing use of automobiles Under Performers Profit Seekers z Fund usage and the directi
Slide 23: Conclusion
Conclusion z FY 2008 Financial Performance z Mid-Term Business Plan
Slide 24: 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