Fullcast Holdings Co., Ltd. · TSE:4848
Fullcast — H1 2018 Earnings Presentation
30 slides from Fullcast's earnings presentation, Aug 10, 2018
Slide 1: Consolidated Business Results for the First Half of the Fiscal Year Ending December 2018
Consolidated Business Results for the First Half of the Fiscal Year Ending December 2018 (Jan. – Jun. 2018) August 10, 2018 FULLCAST HOLDINGS CO., LTD. (4848) Copyright © 2018 by FULLCAST HOLDINGS CO., LTD. All rights reserved
Slide 2: Agenda
Agenda ■ P3 1H FY12/18 Summary of Business Performance ■ P5 1H FY12/18 Difference Between Business Forecast and Financial Results, and Revision to Full-Year Business Forecast ■ P9 1H FY12/18 Consolidated Business Highlights (Jan. – Jun. 2018) ■ P12 1H FY12/18 Segment Highlights Short-Term Operationa
Slide 3: 1H FY12/18 Summary of Business Performance
1H FY12/18 Summary of Business Performance Copyright © 2018 by FULLCAST HOLDINGS CO., LTD. All rights reserved 3
Slide 4: 1H FY12/18 Summary of Business Performance
1H FY12/18 Summary of Business Performance ■ Consolidated results exceeded business forecast for the first half of the fiscal year ending December 2018 Consolidated business results for the first half of the fiscal year ending December 2018 surpassed each indicator in our consolidated business for
Slide 5: Difference Between Business Forecast and Financial Results, and Revision to Full-Year Forecast
1H FY12/18 Difference Between Business Forecast and Financial Results, and Revision to Full-Year Business Forecast Copyright © 2018 by FULLCAST HOLDINGS CO., LTD. All rights reserved 5
Slide 6: 1H FY12/18 Difference Between Business Forecast and Financial Results
1H FY12/18 Difference Between Business Forecast and Financial Results Consolidated business results for the first half of the fiscal year ending December 2018 surpassed each indicator in our consolidated business forecasts for this period, because of strong demand for hiring among client companies
Slide 7: FY12/18 Revision in the Full-year Business Forecast and Year-end Dividend Forecast
FY12/18 Revision in the Full-year Business Forecast and Year-end Dividend Forecast We will make upward revisions the full-year business forecast for the fiscal year ending December 2018 based on the assumption that our Company determines staffing needs among client companies will continue to excee
Slide 8: FY12/18 Revision in the Full-Year Business Forecast (Net Sales by Segments)
FY12/18 Revision in the Full-Year Business Forecast (Net Sales by Segments) We plan to grow profits by satisfying strong client demand and focusing on growth in the mainstay “Placement” and “BPO” services in the “Short-Term Operational Support Business”. (Million yen) Previously announced Revised
Slide 9: 1H FY12/18 Consolidated Business Highlights
1H FY12/18 Consolidated Business Highlights (Jan. – Jun. 2018) Copyright © 2018 by FULLCAST HOLDINGS CO., LTD. All rights reserved 9
Slide 10: Consolidated: 1H FY12/18 Year-On-Year Comparison
Consolidated: 1H FY12/18 Year-On-Year Comparison 【Factors Behind the Change in Net Sales】 Net sales increased by 19.2% year-on-year attributed mainly to higher sales of the existing mainstay services of “Placement” and “BPO” throughout the first half, in addition to growth in “BPO” from the inclus
Slide 11: Consolidated: 1H FY12/18 Year-On-Year Comparison
Consolidated: 1H FY12/18 Year-On-Year Comparison Ordinary income increased by 29.8% year-on-year on the back of growth in consolidated operating income. Quarterly net income attributable to Fullcast Holdings Co., Ltd. increased by 21.1% year-on-year because the tax burden in the current first ha
Slide 12: Segment Highlights: Short-Term Operational Support Business Earnings
1H FY12/18 Segment Highlights Short-Term Operational Support Business Earnings (Jan. – Jun. 2018) BOD Co., Ltd., which belongs in the Short-Term Operational Support Business segment, changed its settlement date to December 31 during the first half, and as a result, it is now the same as the consol
Slide 13: Short-Term: 1H FY12/18 Year-on-Year Comparison
Short-Term: 1H FY12/18 Year-on-Year Comparison 【Factors Behind the Change in Net Sales】 Net sales increased by 25.0% year-on-year due mainly to growth in “BPO” associated with the inclusion of the earnings of BOD Co., Ltd. and higher sales of the existing mainstay services of “Placement” and “BPO”
Slide 14: Short-Term: 1H FY12/18 Year-On-Year Comparison (By Service Category)
Short-Term: 1H FY12/18 Year-On-Year Comparison (By Service Category) (Million yen) “BPO” sales rose due to the inclusion of earnings of BOD Co., Ltd., which was newly consolidated. 1H FY12/17 1H FY12/18 Difference Rate of Throughout the first half, existing mainstay change “Placement” and “BPO”
Slide 15: Segment Highlights: Sales Support Business Earnings
1H FY12/18 Segment Highlights Sales Support Business Earnings (Jan. – Jun. 2018) Copyright © 2018 by FULLCAST HOLDINGS CO., LTD. All rights reserved 15
Slide 16: Sales: 1H FY12/18 Year-On-Year Comparison
Sales: 1H FY12/18 Year-On-Year Comparison 【Factors Behind the Change in Net Sales】 Net sales declined by 9.8% year-on-year due to slow sales of telecommunications products throughout the first half. 【Factors Behind the Change in Operating Income】 Operating income declined by 110 million yen year
Slide 17: Segment Highlights: Security, Other Businesses Earnings
1H FY12/18 Segment Highlights Security, Other Businesses Earnings (Jan. – Jun. 2018) Copyright © 2018 by FULLCAST HOLDINGS CO., LTD. All rights reserved 17
Slide 18: Security, Other: 1H FY12/18 Year-on-Year Comparison
Security, Other: 1H FY12/18 Year-on-Year Comparison 【Factors Behind the Change in Net Sales】 Net sales increased by 6.0% year-on-year due mainly to an increase in the number of long- term security projects in the “Security Business”, the core service of this segment. 【Factors Behind the Change in
Slide 19: FY12/18 Progress of Strategy Implementation and Ongoing Initiatives
FY12/18 Progress of Strategy Implementation and Ongoing Initiatives Copyright © 2018 by FULLCAST HOLDINGS CO., LTD. All rights reserved 19
Slide 20: Business Targets and Strategy for FY Ending December 2018
FY12/18 Progress of Strategy Implementation and Ongoing Initiatives Business Targets for the Fiscal Year Ending December 2018 ● Achieve record high profits by reinforcing * Group synergies and further increasing productivity * The previous “record high profits” indicates operating income of 4,720 mi
Slide 21: Progress of Strategies (1) to (3)
Progress of Strategies (1) to (3) ● Strategy 1: Improve Recruitment Efficiency and Staff Operation Rate We controlled recruitment expense ratio by continually reviewing the allocation of investments in recruitment expenses and made efforts to increase hiring efficiency (See page 24). We are cons
Slide 22: Strategy 4: Capital and Business Collaboration with Advancer Global Limited
Strategy 4: Other Strategy ● Initiative (1) Capital and Business Collaboration with Advancer Global Limited On June 22, 2018, we entered into a business, capital collaboration agreement with Advancer Global Limited (Hereinafter, “Advancer”), a company based on Singapore that provides various human
Slide 23: Strategy 4: Acquisition of Shares of DeliArt Co., Ltd.
Strategy 4: Other Strategy ● Initiative (2) Acquisition of Shares of DeliArt Co., Ltd. We acquired shares of DeliArt Co., Ltd. on June 29, 2018, making it an affiliate accounted for by the equity-method (Shareholding percentage: 20%). We will now reinforce our growth strategy and boost earnings
Slide 24: Ongoing Initiatives
The number of hires was 256,804, which Ongoing Initiatives marks a 13.9% increase over the previous year. ● Initiative 1: Increase Hiring Capability We lowered the recruitment expense to gross 256,804 income ratio and are now able to efficiently acquire large numbers of hires. (Million yen) 225,
Slide 25: FY12/18 Progress Relative to Business Forecast
FY12/18 Progress Relative to Business Forecast Copyright © 2018 by FULLCAST HOLDINGS CO., LTD. All rights reserved 25
Slide 26: FY12/18 Progress Relative to Business Forecast
FY12/18 Progress Relative to Business Forecast The rate of progress our revised full-year business forecast for the first half of the fiscal year ending December 2018, was 48.6% for net sales, 48.9% for operating income, 48.8% for ordinary income, and 48.9% for quarterly net income attributable to
Slide 27: FY12/18 Interim Dividends
FY12/18 Interim Dividends Copyright © 2018 by FULLCAST HOLDINGS CO., LTD. All rights reserved 27
Slide 28: FY12/18 Interim Dividends
FY12/18 Interim Dividends We passed a resolution during the Board of Directors Meeting held on August 10, 2018 to pay 14 yen per share dividend from retained earnings. Most recent divided Previous term results Amount determined forecasts (Announced on (Interim dividend for FY Feb. 9, 2018) 12/17)
Slide 29: (Reference) Basic Stance on Capital Policy
(Reference) Basic Stance on Capital Policy ■ Basic Stance on Capital Policy The Fullcast Group maintains a basic policy of maximizing capital efficiency and securing financial soundness to achieve sustained improvement in corporate value. Maintaining a total return ratio of 50% relative to adjuste
Slide 30: Providing the best place for people to bring out their best
Providing the best place for people to bring out their best. ADR (American Depositary Receipts) Program: Program Type: Sponsored Level 1 Exchange Ratio with Underlying Stock: 1ADR = 1 Underlying Stock CUSIP Code: 35968P100 Symbol: FULCY [Inquiries] Depositary: The Bank of New York Mellon 101 Barclay