Keihan Holdings Co.,ltd. · TSE:9045
Keihan Holdings Co.,ltd — FY2022 Earnings Presentation
42 slides from Keihan Holdings Co.,ltd's earnings presentation, May 17, 2022
Slide 1: FY2022 Financial Results Presentation
FY2022 (Fiscal year ended March 31, 2022) Financial Results Presentation May 17, 2022 Keihan Holdings Co., Ltd. (Tokyo Stock Exchange Prime Market / Securities Code: 9045 https://www.keihan-holdings.co.jp/)
Slide 2: Table of Contents
Table of Contents Summary of Consolidated Financial Results and … 2 Forecasts Progress of Measures Based on the Future Business … 11 Direction Progress of the Long-term Management Strategy … 18 Overview of FY2022 Financial Results … 22 FY2023 Forecasts … 36 ◆Notes on forecasts ◆ Descriptions of
Slide 3: Summary of Consolidated Financial Results and Forecasts
Summary of Consolidated Financial Results and Forecasts 2
Slide 4: Summary of Consolidated Financial Results
Summary of Consolidated Financial Results • Despite the decrease in revenue due to the impact of application of the Accounting Standard for Revenue Recognition, both revenue and profits increased due to an increase in revenue from real estate sales and a rebound from the impact of the COVID-19 pande
Slide 5: COVID-19 Pandemic: Impact and Response
COVID-19 Pandemic: Impact and Response Impact of the COVID-19 pandemic FY2022 results FY2021 results Change Revenue status Keihan Electric Non-commuter pass Compared to the Compared to the (full-year) Railway passenger revenue average year: -33% average year: -39% 6pt Commuter pass passenger revenue
Slide 6: Situation of Main Segments (1)
Situation of Main Segments (1) Railway (Keihan Electric Railway): Passenger figures compared to 2019 (%) 0.0 State of State of State of State of Emergency Emergency Emergency Emergency -8.0 -14.2 -14.9 -14.9 -17.1 -17.2 -16.3 -17.2 -16.0 -16.7 -18.0 -18.4 -18.2 -18.7 -17.8 -18.4 -18.7 -20.6 -19.8 -2
Slide 7: Situation of Main Segments (2)
Situation of Main Segments (2) Department Store (Keihan Department Stores): Operating revenue compared to 2019 (%) 20.0 State of State of State of State of Emergency Emergency Emergency Emergency Entry Suspension Suspension restrictions of some of some to the food stores -1.5 stores 0.0 floor, etc.
Slide 8: Situation of Main Segments (3)
Situation of Main Segments (3) Hotel: Occupancy rates (%) 100.0 State of State of State of State of Emergency Emergency Emergency Emergency 80.0 Suspension and Suspension and 69.8 scaling back of scaling back of 65.8 some hotels 62.6 some hotels 58.6 56.4 60.0 Suspension of the “Go To Travel” 53.2 5
Slide 9: Preconditions for FY2023 Forecasts
Preconditions for FY2023 Forecasts Revenue forecasts (for all segments) Although the impact of the COVID-19 pandemic will remain to a certain extent, economic activity in Japan will recover moderately due to improved consumer confidence and a social trend of resumption of outings in accordance wit
Slide 10: Summary of Forecasts
Summary of Forecasts • Overall revenue is forecast to decrease due to a large reactionary decrease in real estate sales after the previous fiscal year. However, recovery from the impact of the COVID-19 pandemic is expected for the transportation business and the leisure and service business, among o
Slide 11: Shareholder Return
Shareholder Return While maintaining a stable management foundation, we will make aggressive Basic policy on profit investments and strengthen our financial structure toward growth, and continuously distribution provide shareholder returns based on results. • In FY2022, we plan to maintain a stable
Slide 12: Progress of Measures Based on the Future Business Direction
Progress of Measures Based on the Future Business Direction 11
Slide 13: Future Business Direction
Future Business Direction • Given drastically changing lifestyles, the Keihan Group will steer its business toward Safety & Security, Structural Reform, and BIOSTYLE in the future. • Along with the main strategies advocated in the long-term management strategy, the Keihan Group will implement measur
Slide 14: Measures by Segment (Safety & Security)
Measures by Segment (Safety & Security) Safety & Providing products and services that can reassure customers even under a pandemic, Security natural disaster, or other insecure conditions Improving accessibility Enhancing measures against disasters • Jan. to Feb. 2022: Screen doors were installed at
Slide 15: Measures by Segment (Structural Reform)
Measures by Segment (Structural Reform) Structural Establishing a system that can cover changes in demand in existing segments and Reform promoting products and services that can flexibly respond to new lifestyles Efforts for structural reform at Keihan Electric Railway • Fundamental review of busin
Slide 16: Measures by Segment (Structural Reform): Retail and Hotels
Measures by Segment (Structural Reform) Efforts for structural reform in the retail Efforts for structural reform at hotels distribution business • Conversion of the in-station convenience store “Anthree” to • Operation of restaurants by tenants is promoted to ensure “Moyori-ichi,” a new-style food
Slide 17: Measures by Segment (BIOSTYLE)
Measures by Segment (BIOSTYLE) Promoting products and services that can increase people’s life value and solve social BIOSTYLE issues at the same time Cooperating with local governments along Developing ZEH condominiums railway lines • Keihan Real Estate develops and supplies ZEH condominiums • Keih
Slide 18: Initiatives toward Increase in Profits
Initiatives toward Increase in Profits Main condominiums to be sold in FY2023 and thereafter Expanding the detached housing business area Name of property, location No. of housing • Keihan Real Estate started its detached housing business units in Sapporo City, in addition to the sales of condominiu
Slide 19: Progress of the Long-term Management Strategy
Progress of the Long-term Management Strategy 18
Slide 20: Progress of the Main Strategies: Redevelop Keihan areas
Progress of the Main Strategies Increasing the value of the areas along the Keihan Railway lines is the basis for the Keihan Redevelop Group’s business. So, we will continue developing the Hirakatashi, Nakanoshima and Keihan areas Yodoyabashi Station areas in line with changing lifestyles. Hirakatas
Slide 21: Progress of the Main Strategies: Co-create tourism opportunity
Progress of the Main Strategies Co-create tourism While assessing the tourism situation during and after the COVID-19 pandemic, we will opportunity surely capture the local demand and start preparations toward the recovery period. Launching new hotels in anticipation of Promoting Tourism MaaS the re
Slide 22: Initiatives in ESG
Initiatives in ESG Formulating the “BIOSTYLE Environmental Action 2030” Promoting information disclosure in support of the TCFD • The climate change action plan with a target year of 2030 • We expressed support for the TCFD (Task Force on was formulated to promote initiatives to address Climate-Rela
Slide 23: Overview of FY2022 Financial Results
Overview of FY2022 Financial Results 22
Slide 24: Consolidated Statements of Income
Consolidated Statements of Income • Despite the decrease in revenue due to the impact of application of the Accounting Standard for Revenue Recognition, both revenue and profits increased due to an increase in revenue from real estate sales and a rebound from the impact of the COVID-19 pandemic in t
Slide 25: Segment Information
Segment Information （単位：百万円） (Millions of yen) 2022/3 FY2022 2021/3 FY2021 2022/3 FY2022 増減額 Change 増減率(%) Change forecasts 増減額 Change 増減率 Change (%) 実績 results 実績 results 予想 営 業 revenue Operating 収 益 70,768 65,694 5,073 7.7% 70,000 768 1.1% 運 輸 Transportation 業 営 業 income Operating 利 益 173 △9,658 -
Slide 26: Segment Information (Breakdown)
Segment Information (Breakdown) [Consolidated subsidiaries] 40 companies (2 companies reduced year on year) [Equity-method affiliates] 2 companies (No change year on year) Keihan Electric Railway Co., Ltd., Keifuku Electric Railroad Co., Ltd., Keihan Bus Co., Ltd., Transportation and 12 other compan
Slide 27: Segment Information (Quarterly Changes)
Segment Information (Quarterly Changes) (Millions of yen) Changes Transitioninofoperating operating revenue by segment revenue by segment 49,882 50,000 40,000 32,002 30,649 30,000 24,960 19,910 17,250 17,700 20,000 14,865 15,907 13,173 12,719 12,149 10,000 4,300 3,034 1,767 2,427 1Q 2Q 3Q 4Q 1Q 2Q 3
Slide 28: Segment Information (Transportation)
Segment Information (Transportation) (Millions of yen) （単位：百万円） 2022/3 FY2022 2021/3 FY2021 増減額 Change 増減率 (%) Change 実績 results 実績 results Operating 営 revenue 業 収 益 70,768 65,694 5,073 7.7% 鉄 Railway 道 事 業 58,271 55,051 3,219 5.8% バ Bus ス 事 業 19,596 18,479 1,116 6.0% Elimination 消 去 △7,098 - △7,836
Slide 29: Operating Results for Transportation: Keihan Electric Railway
Operating Results for Transportation Keihan Electric Railway FY2022 FY2021 Change Change (%) results results millions of yen millions of yen millions of yen % Passenger transportation revenue 37,835 35,541 2,294 6.5 Non-commuter passes 23,738 21,566 2,172 10.1 Commuter-passes 14,096 13,974 122 0.9 t
Slide 30: Segment Information (Real Estate)
Segment Information (Real Estate) (Millions of yen) FY2022 FY2021 Change Change (%) results results Operating revenue 137,495 110,270 27,224 24.7% Real estate 117,583 90,802 26,781 29.5% Real estate sales 87,214 61,968 25,246 40.7% Real estate leasing service 25,907 24,974 932 3.7% Other businesses
Slide 31: Segment Information (Retail Distribution)
Segment Information (Retail Distribution) (Millions of yen) FY2022 FY2021 Change Change (%) results results Operating revenue 52,908 83,109 -30,200 -36.3% Department store 19,742 42,444 -22,701 -53.5% Store 16,941 25,525 -8,583 -33.6% Shopping mall management 12,265 12,344 -78 -0.6% Other businesses
Slide 32: Segment Information (Leisure & Service)
Segment Information (Leisure & Service) FY2022 FY2021 Change Change (%) results results Operating revenue 11,529 9,724 1,804 18.6% Hotel 9,364 7,492 1,872 25.0% Leisure 2,186 2,257 -70 -3.1% Elimination -22 -24 2 － Operating income -9,324 -10,823 1,498 － Hotel -8,814 -10,203 1,388 － Leisure -528 -63
Slide 33: Consolidated Balance Sheets
Consolidated Balance Sheets (Millions of yen) （単位：百万円） FY2022 2022/3 2021/3 FY2021 Change 増減額 Main factors 増減要因 of changes results 実績 実績 results 販売土地及び建物△7,020、 Land and buildings for sale: -7,020 流 Current 動 assets 資 産 186,794 197,185 △10,390 - 現金及び預金△6,234 Cash and deposits: -6,234 固 定 assets Non-
Slide 34: Consolidated Statements of Cash Flows
Consolidated Statements of Cash Flows (Millions of yen) FY2022 FY2021 Change Main factors of changes results results Decrease in inventories: +18,198 Cash flows from operating activities 21,673 15,282 6,391 Profit before income taxes: +17,023 Decrease in other current liabilities: -24,205 Decrease i
Slide 35: Capital Expenditure by Segment
Capital Expenditure by Segment FY2022 FY2021 FY2022 Change Change results results forecasts Capital expenditure 17,193 33,261 -16,067 30,000 -12,806 Transportation 6,142 14,641 -8,498 14,800 -8,657 Real estate 9,473 16,521 -7,048 6,500 2,973 Retail distribution 826 491 335 1,700 -873 Leisure and ser
Slide 36: EBITDA by Segment
EBITDA by Segment (Millions of yen) FY2022 FY2021 Change results results EBITDA 34,331 19,967 14,363 Transportation 12,022 2,059 9,963 Real estate 29,043 24,761 4,282 Retail distribution 2,837 2,474 362 Leisure and service -8,181 -9,259 1,078 Others -1,211 -1,164 -47 Adjustments -179 1,096 -1,276 35
Slide 37: FY2023 Forecasts
F KEfHAN FY2023 Forecasts 36
Slide 38: Consolidated Statement of Income (Performance Forecasts)
Consolidated Statement of Income (Performance Forecasts) • Overall revenue is forecast to decrease due to a large reactionary decrease in real estate sales after the previous fiscal year. However, recovery from the impact of the COVID-19 pandemic is expected for the transportation business and the l
Slide 39: Segment Information (Performance Forecasts)
Segment Information (Performance Forecasts) (Major factors affecting performance) • Transportation : Increases in both revenue and profits due to factors such as recovery from the impact of the COVID-19 pandemic • Real estate : Decreases in both revenue and profits in reaction to the sales of newly
Slide 40: Operating Results for Transportation (Performance Forecasts)
Operating Results for Transportation (Performance Forecasts) Keihan Electric Railway FY2023 FY2022 Change Change (%) forecasts results millions of yen millions of yen millions of yen ％ Passenger transportation revenue 42,994 37,835 5,159 13.6 Non-commuter passes 28,784 23,738 5,045 21.3 Commuter pas
Slide 41: Capital Expenditure by Segment (Performance Forecasts)
Capital Expenditure by Segment (Performance Forecasts) (Millions of yen) FY2023 FY2022 Change forecasts results Capital expenditure 38,800 17,193 21,606 Transportation 14,000 6,142 7,857 Real estate 9,500 9,473 26 Retail distribution 2,700 826 1,873 Leisure and service 1,900 586 1,313 Others 100 46
Slide 42: EBITDA by Segment (Performance Forecasts)
EBITDA by Segment (Performance Forecasts) (Millions of yen) FY2023 FY2022 Change forecasts results EBITDA 37,000 34,331 2,668 Transportation 15,800 12,022 3,777 Real estate 22,400 29,043 -6,643 Retail distribution 3,600 2,837 762 Leisure and service -3,400 -8,181 4,781 Others -700 -1,211 511 Adjustm