Slide 1: Fiscal 2017 Financial Results Presentation
Financial Results Presentation Fiscal 2017 Financial Results Presentation January 22, 2018 NEXTAGE Co., Ltd. (3186) 1
Slide 2: Contents
Contents 1. Results Overview 2. Fiscal 2018 Initiatives 3. Reference Information 2
Slide 3: Fiscal 2017 Results (Full-year)
Fiscal 2017 Results (Full‐year) Performance highlights (December 2016 to November 2017) (YoY: +36.4%) ‐ Consolidated net sales ¥118,971 million (Achievement of full fiscal year target: 100.8%) (YoY: +60.6%) ‐ Consolidated operating income ¥3,474 million (Achievement of full fiscal year target: 106.9
Slide 4: Overview of the Fiscal 2017 Results (Full-year)
Overview of the Fiscal 2017 Results (Full‐year) Net sales: up 36.4% YoY, following the full contributions of quasi‐existing dealerships opened last year and the increased sales volume at existing dealerships Gross profit margin: 16.0% (up 1.2 ppt. YoY) due to the improved inventory turnover rate and
Slide 5: Market Environment in Fiscal 2017
Market Environment in Fiscal 2017 Domestic used car registrations Japan Automobile Dealers Association Japan Light Motor Vehicle and Motorcycle (Ordinary passenger cars) Association (Kei (light) cars) Fiscal 2017 Fiscal 2016 Fiscal 2017 Fiscal 2016 Used car registrations (December 2016–November 2017
Slide 6: Sales in Fiscal 2017
Sales in Fiscal 2017 小売販売台数の月次実績と前年対比 Monthly retail car sales volume and YoY comparison Car sales volume increased by 29.2% year on year, but the market environment remains severe. December January February March April May June July August September October November 2016 2017 2017 2017 2017 2017 20
Slide 7: The Three Arrows (Sales, Purchasing, and Maintenance), plus Net Premiums Written
The Three Arrows (Sales, Purchasing, and Maintenance), plus Net Premiums Written Retail car sales (December 2016 to November 2017) ‐ 45,603 vehicles (YoY: +29.2%) Vehicle purchases (December 2016 to November 2017) ‐ 13,932 vehicles (YoY: +223.6%) Vehicle safety inspections (December 2016 to November
Slide 8: Store Openings in Fiscal 2017
Store Openings in Fiscal 2017 End of Fiscal End of Fiscal Q1 Q2 Q3 Q4 2016 2017 New store Medium‐sized dealerships openings 29 37 storefronts (Japanese cars) (*2) Integrations/ storefronts −2 storefronts −1 storefront −5 storefronts format changes New store General store 4 storefronts 1 storefront 1
Slide 9: New Openings (General Store)
New Openings (General Store) January 1, 2017 Grand opening of NEXTAGE Kumamoto in Minami Ward, Kumamoto City, Kumamoto Prefecture Showroom (space for business negotiations) We can do it, Kumamoto! NEXTAGE is supporting the reconstruction of Kumamoto Prefecture through its vehicle business. Supportin
Slide 10: New Openings (General Store)
New Openings (General Store) April 29, 2017 Grand opening of NEXTAGE Kusatsu in Kusatsu City, Shiga Prefecture Showroom (space for business negotiations) * NEXTAGE Kusatsu September 16, 2017 Grand opening of NEXTAGE Gifu No. 21 Bypass in Gifu City, Gifu Prefecture Maintenance workshop * NEXTAGE Kusa
Slide 11: New Openings (New Vehicle Dealership Business)
New Openings (New Vehicle Dealership Business) January 21, 2017 Grand opening of Volvo Car Toyama in Toyama City, Toyama Prefecture January 28, 2017 Grand opening of Volvo Car Sakai in Sakai City, Osaka Prefecture * Image of the completed Volvo Car Toyama store path * Image of the completed Volvo Ca
Slide 12: New Openings (New Vehicle Dealership Business)
New Openings (New Vehicle Dealership Business) September 16, 2017 Grand opening of Jaguar Land Rover Tenpaku in Tenpaku Ward, Nagoya City ※店舗パースはボルボ・カー堺の完成イメージ図、店内はイメージとなります。 * Image of the completed Jaguar Land Rover Tenpaku store path (currently under construction) 12
Slide 13: Consolidated Balance Sheets – Assets
Consolidated Balance Sheets – Assets (Millions of yen) As of As of Item November 30, November 30, Change Remarks 2016 2017 Current assets 16,958 26,368 +9,410 Cash and deposits 2,228 6,670 +4,441 Merchandise 12,522 15,217 +2,695 Accounts receivable – trade 1,029 3,136 +2,107 Increase in installment
Slide 14: Consolidated Balance Sheets – Liabilities and Net assets
Consolidated Balance Sheets – Liabilities and Net assets (Millions of yen) As of As of Item November 30, November 30, Change Remarks 2016 2017 Current liabilities 8,686 12,186 +3,500 Accounts payable – trade 1,739 2,301 +562 Short‐term loans payable 2,483 4,813 +2,330 Increase in short‐term working
Slide 15: Capital Policy and Returns to Shareholders
Capital Policy and Returns to Shareholders The capital policy implemented in Fiscal 2017 was as follows: ■ February 2017 Announcement on the two‐for‐one stock split * Effective as of April 1, 2017 ■ October 2017 Announcement on the three‐for‐one stock split * Effective as of December 1, 2017 ■ Octob
Slide 16: Contents
Contents 1. Results Overview 2. Fiscal 2018 Initiatives 3. Reference Information 16
Slide 17: Consolidated Operating Results Forecasts for Fiscal 2018
Consolidated Operating Results Forecasts for Fiscal 2018 Percent of (Millions of yen) Plan YoY net sales Net sales 135,000 113.5% 100.0% Operating income 3,800 109.4% 2.8% Ordinary income 3,700 112.0% 2.7% Profit attributable to owners of 2,500 110.5% 1.9% parent 100,000 vehicles Up 19,242 vehicles
Slide 18: Policy for Initiatives for Fiscal 2018
Policy for Initiatives for Fiscal 2018 Expanding the lifelong customer relationships and the sales network (1) (2) (3) Expand general Strengthen vehicle Strengthen new stores and SUV purchasing vehicle dealerships LAND [Plan] [Plan] [Plan] General stores: 5 New store openings: 11 New brand: 1 storef
Slide 19: Business Model for the General Stores
Business Model for the General Stores Purchasing actions by customers Control stocks Motivation to visit thoroughly (Attract customers) Price Vehicle Quality lineups Build welcoming store settings Good prices Extensive stock Late model used Selections to cars meet customers’ Motivation to Low mileag
Slide 20: Establishing the General Store Model
Establishing the General Store Model The primary goal of the general store model is to increase profitability per dealership base (per square meter), and to create highly profitable storefronts through establishing lifelong customer relationships.* A further goal for this initiative is to increase R
Slide 21: Fiscal 2018 Store Opening Plan
Fiscal 2018 Store Opening Plan End of Fiscal End of Change in Q1 Q2 Q3 Q4 2017 Fiscal 2018 FY2018 New store openings Medium‐sized Integrations/ 28 −1 dealerships 29 storefronts closings/ −1 storefronts storefront (Japanese cars) Format storefront changes New store 2 1 2 12 +5 General store 7 storefr
Slide 22: Achieving the 2020 Vision
Achieving the 2020 Vision Fiscal 2020 Targets Net sales: ¥200 billion Operating income: ¥10 billion (1) Develop large‐scale specialist stores (SUV LAND) nationwide (2) Develop general stores (comprehensive services, from sales through to maintenance and purchasing) nationwide (3) Develop vehicle pur
Slide 23: Market Size of Our Businesses
Market Size of Our Businesses Retail used car Trade‐in and purchasing Maintenance New import market used car market market vehicle market Approx. ¥5.3 Approx. ¥2.8 Approx. ¥2.0 trillion Approx. ¥1.5 trillion trillion (Vehicle safety trillion (Approx. 2.7 (Approx. 4.0 inspection: (Approx. 0.34 millio
Slide 24: The Vision for 2025
The Vision for 2025 Retail used car Trade‐in and purchasing Maintenance New import market used car market market vehicle market Approx. ¥5.3 Approx. ¥2.8 Approx. ¥2.0 trillion Approx. ¥1.5 trillion trillion (Vehicle safety trillion (Approx. 2.7 (Approx. 4.0 inspection: (Approx. 0.34 million vehicles
Slide 25: The Vision for 2030
The Vision for 2030 Retail used car Trade‐in and purchasing Maintenance New import market used car market market vehicle market Approx. ¥5.3 Approx. ¥2.8 Approx. ¥2.0 trillion Approx. ¥1.5 trillion trillion (Vehicle safety trillion (Approx. 2.7 (Approx. 4.0 inspection: (Approx. 0.34 million vehicles
Slide 26: Contents
Contents 1. Results Overview 2. Fiscal 2018 Initiatives 3. Reference Information 26
Slide 27: Reference Information
Reference Information YoY comparison on existing‐store basis (quarterly) (¥ million, %) YoY comparison on existing‐store basis (quarterly) (¥ million, %) Net sales Q1 Q2 Q3 Q4 Operating income Q1 Q2 Q3 Q4 FY2012 5,826 7,579 6,385 7,471 FY2012 328 445 363 593 Fiscal 2013 FY2013 6,024 7,460 6,524 7,87
Slide 28: Reference Information
Reference Information New store openings (¥ million, %) New store openings (¥ million, %) Net sales Q1 Q2 Q3 Q4 Operating income Q1 Q2 Q3 Q4 Quarter 2,110 2,197 2,689 3,143 Quarter 84 110 70 208 Fiscal 2013 Cumulative 2,110 3,573 5,487 6,790 Fiscal 2013 Cumulative 84 151 138 291 YoY YoY Quarter 3,09
Slide 29: Reference Information
Reference Information Car sales‐related (¥ million, %) Maintenance‐related (¥ million, %) Net sales Q1 Q2 Q3 Q4 Total Net sales Q1 Q2 Q3 Q4 Total (1) Fiscal 2012 5,431 7,167 5,792 6,896 25,289 (1) Fiscal 2012 118 130 120 127 496 (2) Fiscal 2013 7,404 8,602 8,228 10,155 34,390 (2) Fiscal 2013 127 143
Slide 30: Reference Information
Reference Information Fiscal 2016 (Non‐consolidated) Fiscal 2017 (Non‐consolidated) Car sales per store per month Car sales per employee per Car sales per store per month Car sales per employee per Unit: Vehicles month Unit: Vehicles Unit: Vehicles month Unit: Vehicles 70.0 7.0 70.0 7.0 6.4 6.5 6.4
Slide 31: Reference information
Reference information (¥ thousand) Q1 Q2 Q3 Q4 Full year Consolidated statements of income Fiscal 2015 Fiscal 2016 YoY Fiscal 2015 Fiscal 2016 YoY Fiscal 2015 Fiscal 2016 YoY Fiscal 2015 Fiscal 2016 YoY Fiscal 2015 Fiscal 2016 YoY Net sales 15,761,046 19,240,940 22.10% 15,334,620 22,695,343 48.00% 1
Slide 32: Notices
Notices Start of the distribution of the IR E‐magazine The Company will distribute in a timely manner a variety of IR information to those people who register their email addresses on the Company website for its IR E‐magazine. This initiative is intended to help people to understand the Company bett
Slide 33: Company Overview
Company Overview ■Company name NEXTAGE Co., Ltd. ■Address 14F, Meiji‐Yasuda Life Insurance Nagoya Building, 1‐1, Shinsakaemachi, Naka Ward, Nagoya, Aichi Prefecture, 460‐0004, Japan ■Businesses Sales of new and used vehicles, automobile maintenance, purchases of used vehicles and an insurance agency