Kajima Corporation · TSE:1812

Kajima — FY2017 Earnings Presentation

30 slides from Kajima's earnings presentation, May 15, 2018

  1. Slide 1: FY2017 Financial Results

    FY2017 Financial Results May 15, 2018

  2. Slide 2: Contents

    Contents Ⅰ FY2017 Results P.2 - P.15 Ⅱ FY2018 Financial Forecast P.16 - P.28 Copyright (C) 2018 KAJIMA CORPORATION All Rights Reserved. 1

  3. Slide 3: FY2017 Results

    Ⅰ FY2017 Results (April 1, 2017 - March 31, 2018) 1. Business Environment 2. Financial Highlights 3. Segment Performance 4. Financial Positions 5. Dividend Copyright (C) 2018 KAJIMA CORPORATION All Rights Reserved. 2

  4. Slide 4: 1. Business Environment

    Ⅰ FY2017 Results 1. Business Environment Domestic market trends  Stable construction investment in private sector to redevelopment projects in Metro-Tokyo area and manufacturing plant in addition to public sector  Some types of costs have slightly increased but low fluctuation in general Corporate

  5. Slide 5: 2. Financial Highlights

    Ⅰ FY2017 Results 2. Financial Highlights Profit increased due to growth in gross profit in construction business FY16 FY17 FY17 YoY Change Result Result *1Forecast Revenues 1,821.8 1,830.6 +8.8 1,830.0 Operating Income 155.3 158.3 +2.9 136.0 Ordinary Income 163.4 179.7 +16.2 150.0 *2 Net Income 104.

  6. Slide 6: 2. Revenues

    Ⅰ FY2017 Results 2. Revenues FY16 FY17 Change YoY Change Result Result from Forecast Revenues 1,821.8 1,830.6 +8.8 +0.6 2,000 1,600 YoY Change Factors 617.9 665.4  Construction +43.4 1,200  Real Estate and (34.5) 800 Other 1,203.8 1,165.1 400 0 FY16 FY17 Kajima Corp Subsidiaries Copyright (C) 2018

  7. Slide 7: 2. Operating Income

    Ⅰ FY2017 Results 2. Operating Income FY16 FY17 Change YoY Change Result Result from Forecast Operating 155.3 158.3 +2.9 +22.3 Income 200 160 YoY Change Factors 23.1 30.8  Gross Profit 120 +18.8 (Construction) 80  Gross Profit 135.1 (Real Estate and (6.9) 124.4 other) 40  SG&A (8.8) 0 FY16 FY17 Ka

  8. Slide 8: 2. Ordinary Income

    Ⅰ FY2017 Results 2. Ordinary Income FY16 FY17 Change YoY Change Result Result from Forecast Ordinary 163.4 179.7 +16.2 +29.7 Income 200 160 33.4 YoY Change Factors 34.9  Operating +2.9 120 Income  Non-operating 80 +13.2 146.2 Income - net 128.5 Equity in Earnings of +3.0 Partnership 40 Equity in E

  9. Slide 9: 2. Net Income Attributable to Owners of the Parent

    Ⅰ FY2017 Results 2. Net Income Attributable to Owners of the Parent FY16 FY17 Change YoY Change Result Result from Forecast Net Income 104.8 126.7 +21.9 +18.7 * Net Income Attributable to Owners of the Parent 150 120 YoY Change Factors 26.4  Ordinary +16.2 90 23.1 Income  Extraordinary (0.8) 60 In

  10. Slide 10: 3. Civil Engineering (Kajima Corp)

    Ⅰ FY2017 Results 3. Civil Engineering (Kajima Corp) Contracts  Decrease due to correction of relatively favorable result in FY16 Revenues  Increase in domestic and overseas  Domestic: Same level margin ratio due to change orders as well as cost reduction Gross Profit  Overseas: decrease of loss

  11. Slide 11: 3. Building Construction (Kajima Corp)

    Ⅰ FY2017 Results 3. Building Construction (Kajima Corp) Contracts  Decrease due to correction of relatively favorable result in FY16 Revenues  Large-scale projects under construction is in the early stage  Decrease due to less revenues Gross Profit  Same level margin ratio due to cost reduction

  12. Slide 12: 3. Real Estate and Other (Kajima Corp)

    Ⅰ FY2017 Results 3. Real Estate and Other (Kajima Corp) Contracts  Increase due to contracts of consulting services and condominium Revenues  Decrease compared to the previous year sold large-scale projects Gross Profit  Decrease due to less revenues ■Contract Awards ■Revenues ■Gross Profit Forec

  13. Slide 13: 3. Domestic Subsidiaries and Affiliates

    Ⅰ FY2017 Results 3. Domestic Subsidiaries and Affiliates Contracts  Equivalent level Revenues  Equivalent level Ordinary Income  Decrease mainly due to decline in gross profit margin ratio ■Construction Contract Awards ■Revenues ■Ordinary Income Forecast 363.4 250 Forecast 400 25 Forecast 203.1 3

  14. Slide 14: 3. Overseas Subsidiaries and Affiliates

    Ⅰ FY2017 Results 3. Overseas Subsidiaries and Affiliates Contracts  Increase in Oceania and Southeast Asia Revenues  Increase in Oceania due to M&A Ordinary Exchange rate（JPY/USD） Income  Decrease mainly due to increase in SG&A FY15 : 121 FY16 : 116 FY17 : 113 ■Construction Contract Awards ■Reven

  15. Slide 15: 4. Financial Positions

    Ⅰ FY2017 Results 4. Financial Positions FY16 FY17 FY17 YoY Change Result Result Forecast Total Assets 1,992.8 2,074.1 +81.3 ― Interest-bearing 372.9 344.8 (28.0) 370.0 Debt Owners’ Equity 548.5 666.0 +117.4 ― Owners’ 27.5% 32.1% +4.6pt ― Equity Ratio ROE 20.6% 20.9% +0.3pt ― Copyright (C) 2018 KAJIM

  16. Slide 16: 5. Dividend

    Ⅰ FY2017 Results 5. Dividend Increase dividend per share by 4 yen in comparison with FY16 FY16 FY17 FY17 Result Result Forecast Dividend per Share 20.00 24.00 20.00 Basic Net Income 101.01 122.14 104.05 per Share Payout Ratio 19.8% 19.6% 19.2% Copyright (C) 2018 KAJIMA CORPORATION All Rights Reserve

  17. Slide 17: FY2018 Financial Forecast

    Ⅱ FY2018 Financial Forecast (April 1, 2018 - March 31, 2019) 1. Business Environment 2. Financial Highlights 3. Segment Performance 4. Dividend Copyright (C) 2018 KAJIMA CORPORATION All Rights Reserved. 16

  18. Slide 18: 1. Business Environment

    Ⅱ FY2018 Financial Forecast 1. Business Environment Domestic market outlook  Stable construction investment supported by redevelopment projects in Metro- Tokyo area  Concern of cost escalation along with progress of large-scale projects New Mid-Term Business Plan  Start new Medium-Term Business P

  19. Slide 19: 2. Financial Highlights

    Ⅱ FY2018 Financial Forecast 2. Financial Highlights Forecast is set with concern of cost escalation FY17 FY18 YoY Change Result Forecast Revenues 1,830.6 2,000.0 +169.3 Operating Income 158.3 108.0 (50.3) Ordinary Income 179.7 117.0 (62.7) * Net Income 126.7 82.0 (44.7) Construction 1,685.9 1,740.0

  20. Slide 20: 2. Revenues

    Ⅰ FY2018 Financial Forecast 2. Revenues FY17 FY18 YoY Change Result Forecast Revenues 1,830.6 2,000.0 +169.3 2,000 1,600 750.0 YoY Change Factors 665.4  Construction +164.5 1,200  Real Estate and +4.8 800 Other 1,165.1 1,250.0 400 0 FY17 Result FY18 Forecast Kajima Corp Subsidiaries Copyright (C)

  21. Slide 21: 2. Operating Income

    Ⅰ FY2018 Financial Forecast 2. Operating Income FY17 FY18 YoY Change Result Forecast Operating Income 158.3 108.0 (50.3) 200 160 YoY Change Factors 23.1  Gross Profit 120 (43.8) (Construction) 20.0 80  Gross Profit 135.1 (Real Estate and (0.1) other) 40 88.0  SG&A (6.4) 0 FY17 Result FY18 Forecas

  22. Slide 22: 2. Ordinary Income

    Ⅰ FY2018 Financial Forecast 2. Ordinary Income FY17 FY18 YoY Change Result Forecast Ordinary Income 179.7 117.0 (62.7) 200 YoY Change Factors 160 33.4  Operating (50.3) Income 120  Non-operating 23.0 (12.3) Income - net 80 Equity in Earnings of (1.5) 146.2 Partnership 94.0 Financing Balance (1.3)

  23. Slide 23: 2. Net Income Attributable to Owners of the Parent

    Ⅰ FY2018 Financial Forecast 2. Net Income Attributable to Owners of the Parent FY17 FY18 YoY Change Result Forecast Net Income 126.7 82.0 (44.7) 150 120 YoY Change Factors 26.4  Ordinary (62.7) 90 Income 16.0  Extraordinary +4.0 60 Income – net 100.3  Income Taxes +14.3 30 66.0  Noncontrolling (

  24. Slide 24: 3. Civil Engineering (Kajima Corp)

    Ⅱ FY2018 Financial Forecast 3. Civil Engineering (Kajima Corp) Contracts  Equivalent level Revenues  Decrease due to less backlogs  Forecast based on the status of backlog projects, not include uncertain change order Gross Profit  No contribution of particular overseas project to FY18 in contras

  25. Slide 25: 3. Building Construction (Kajima Corp)

    Ⅱ FY2018 Financial Forecast 3. Building Construction (Kajima Corp) Contracts  Equivalent level Revenues  Increase along with progress of large-scale projects  Margin ratio achievable by self-effort, taking into account concern of cost escalation Gross Profit  Not include uncertain change order ■

  26. Slide 26: 3. Real Estate and Other (Kajima Corp)

    Ⅱ FY2018 Financial Forecast 3. Real Estate and Other (Kajima Corp) Contracts  Equivalent level Revenues  Decrease based on the status of holding projects Gross Profit  Decrease due to decline in revenues ■Contract Awards ■Revenues ■Gross Profit 60 100 20 JPY bil 19.6% 18.4% 51.5 16.8% 50.0 20 .0

  27. Slide 27: 3. Domestic Subsidiaries and Affiliates

    Ⅱ FY2018 Financial Forecast 3. Domestic Subsidiaries and Affiliates Contracts  Equivalent level Revenues  Equivalent level Ordinary Income  Decline due to decrease in gross profit and increase in SG&A ■Construction Contract Awards ■Revenues ■Ordinary Income 250 400 383.9 25 363.3 366.7 JPY bil 22

  28. Slide 28: 3. Overseas Subsidiaries and Affiliates

    Ⅱ FY2018 Financial Forecast 3. Overseas Subsidiaries and Affiliates Contracts  Increase in North America and Oceania Exchange rate（JPY/USD） Revenues  Increase due to M&A FY16 Result: 116 FY17 Result : 113 FY18 Forecast : 113 Ordinary Income  Increase mainly due to rise of gross profit from revenu

  29. Slide 29: 4. Dividend

    Ⅱ FY2018 Financial Forecast 4. Dividend Maintain the same amounts of dividend as the previous year FY16 FY17 FY18 Result Result Forecast Dividend per Share 20.00 24.00 24.00 Basic Net Income 101.01 122.14 79.00 per Share Payout Ratio 19.8% 19.6％ 30.4％ - Dividend Policy - Aim to distribute stable amo

  30. Slide 30: Inquiries: Corporate Communication Group, Corporate Planning Department

    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

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