Ezaki Glico Co., Ltd. · TSE:2206
Ezaki Glico — FY2016 Earnings Presentation
36 slides from Ezaki Glico's earnings presentation, May 25, 2017
Slide 1: Glico Group Financial Results
Glico Group Financial Results For the Fiscal Year ended March 31,2017 May 25, 2017 EZAKI GLICO CO., LTD. Securities Code - 2206 <Inquiries> EZAKI GLICO CO., LTD. Hiroyuki Matsuura: IR Division General Manager TEL 06-6130-6930 E-mail : ir-division@glico.co.jp 1
Slide 2: Contents
Contents I. FYE March 2017 Earnings Report and Review of FYE March 2017 Core Initiatives P. 3-17 II. FYE March 2018 Full-Year Earnings Forecast P. 18-31 (Supplemental Materials) P. 32- 35 2
Slide 3: I. FYE March 2017 Earnings Report and Review of Core Initiatives
I. FYE March 2017 Earnings Report and Review of FYE March 2017 Core Initiatives 3
Slide 4: Status of Net Sales and Income
FYE March 2017 Earnings Report Status of Net Sales and Income (Unit:100 million yen) FYE FYE March'16 March'17 Change from Change from Previous period Forecast Results Forecast Results Change Change Amount Amount （%） （%） Net sales 3,384 3,585 3,532 148 4.4 -53 -1.5 Operating income 171 225 243 71 41
Slide 5: Status of Operating Income
FYE March 2017 Earnings Report Status of Operating Income (Unit:100 million yen) FYE March'16 FYE March'17 Results % Forecast % Results % Net sales 3,384 100.0 3,585 100.0 3,532 100.0 Cost of sales 1,839 54.3 1,927 53.8 1,881 53.2 Gross profit 1,545 45.7 1,658 46.2 1,651 46.8 Freight and charges 300
Slide 6: Factors of increases (decreases) in operating income
FYE March 2017 Earnings Report Factors of increases (decreases) in operating income (Unit:100 million yen) <FYE March 2017 (YoY)> <FYE March 2017 (vs. Plan)> Income increased by ¥3.2 billion thanks to increased Although income declined by ¥1.2 billion due to a net sales of ¥14.8 billion. ¥5.3 bi
Slide 7: Status of Net Sales by Segment
FYE March 2017 Earnings Report Status of Net Sales by Segment (Unit:100 million yen) FYE March'16 FYE March'17 Change from Change from Results Forecast Results Previous period Forecast Amount Change Amount Change Total 3,384 3,585 3,532 148 4.4 -53 -1.5 Confectioneries 1,212 1,203 1,211 -0 0.0 8 0.6
Slide 8: Status of Operating Income by Segment
FYE March 2017 Earnings Report Status of Operating Income by Segment (Unit:100 million yen) FYE March'16 FYE March'17 Change from Change from Results Forecast Results Previous period Forecast Amount Change Amount Change Total 171 225 243 71 41.8 18 7.8 Confectioneries 92 91 105 13 14.6 14 15.9 (Of w
Slide 9: Impact of Raw Material Price Fluctuations on Costs
FYE March 2017 Earnings Report and FYE March 2018 Targets Impact of Raw Material Price Fluctuations on Costs ◆ Review of FYE March 2017:Although the price of sugars, meats, etc., rose compared to the previous year, the influence of price reductions for overseas milk products, almonds, etc. was signi
Slide 10: Capital Investments, Depreciation, and R&D Expenditures
FYE March 2017 Earnings Report and FYE March 2018 Targets Capital Investments, Depreciation, and R&D Expenditures (Unit:100 million yen) FYE FYE FYE Total March'16 March'17 March'18 (FYE March'16～FYE March'18) Results Change from Previous Results Forecast Results Forecast + Previous forecast Forecas
Slide 11: Status of Balance Sheet
FYE March 2017 Earnings Report Status of Balance Sheet ◆The issuance of ¥30 billion in convertible bonds resulted in a significant increase in "Cash and deposits" and "Long- term liabilities". ◆Net worth ratio (%): 63.1% → 59.4% ○Non-current assets – Major account items (Unit:100 million yen) Mar.’1
Slide 12: Euro-yen convertible bonds
FYE March 2017 Earnings Report Euro-yen convertible bonds Summary 12,000 ■Issue amount: ¥30 billion 11,000 Potential investor conversion range Conversion limit price: ¥10,520 10,000 ■Coupon: Zero 9,000 8,000 Initial conversion price: ¥8,093 ■Issue date: January 30, 2017 7,000 6,000 ■Maturity: Januar
Slide 13: Status of Cash flows
FYE March 2017 Earnings Report Status of Cash flows (Unit:100 million yen) FYE FYE FYE FYE FYE March'13 March'14 March'15 March'16 March'17 Main reasons for gains/losses Results Results Results Results Results YoY YoY Increase in net income before income taxes and minority interests 55 Increased dep
Slide 14: Domestic business: FYE March 2017 Target Points
FYE March 2017 Earnings Report Domestic business: FYE March 2017 Target Points *1 Source: Intage SRI, Category Plan Results *2 Source: Ice Cream Ryutsu Shimbun ・ Enhance mainstay brands (Pocky, Caplico, Kobe ◆Market scale (FY2016) *1 -Mainstay brand Caplico and Kobe Roasted Roasted Chocolate, etc.)
Slide 15: Domestic business: Chocolate and Cookies categories
FYE March 2017 Earnings Report Domestic business: FYE March 2017 Target Points Chocolate category 売上高推移 Transitions in net sales チョコレート市場 Chocolate Market Transitions in Net Sales by Brand (When FYE March 2015 net sales are set as 100.) -Chocolate category total- ～当社チョコレートカテゴリー合計～ (When April 2014-M
Slide 16: Domestic business: Ice cream and Western confections
FYE March 2017 Earnings Report Domestic business: FYE March 2017 Target Points Ice cream category 売上高推移 Transitions in net sales アイスクリーム市場 Ice cream Market ブランド別売上高実績推移 Transitions in Net Sales by Brand -Ice cream category total- ～当社冷菓カテゴリー合計～ (When April 2014-March 2015 is set as 100. Ice cream (14
Slide 17: Domestic business: Yogurt and Drinking milk
FYE March 2017 Earnings Report Domestic business: FYE March 2017 Target Points Yogurt category 売上高推移 Transitions in net sales ヨーグルト市場 Yogurt Market ブランド別売上高実績推移 Transitions in Net Sales by Brand -Yogurt category total- ～当社発酵乳カテゴリー合計～ (When April 2014-March 2015 is set as 100. Intage SRI) (14/4-15/3を
Slide 18: II. FYE March 2018 Full-Year Earnings Forecast
Ⅱ. FYE March 2018 Full-Year Earnings Forecast 18
Slide 19: Full-Year Plan and Forecast
FYE March 2018 Full-Year Earnings Forecast Full-Year Plan and Forecast (Unit:100 million yen) FYE March'16 FYE March'17 FYE March'18 Full year Full year First half Full year Change from Previous period Results Results Forecast Forecast Amount Change（%） Net sales 3,384 3,532 1,971 3,750 218 6.2 Opera
Slide 20: Operating Income Forecast
FYE March 2018 Full-Year Earnings Forecast Operating Income Forecast (Unit:100 million yen) FYE March'16 FYE March'17 FYE March'18 Results % Results % Forecast % Net sales 3,384 100.0 3,532 100.0 3,750 100.0 Cost of sales 1,839 54.3 1,881 53.2 1,975 52.7 Gross profit 1,545 45.7 1,651 46.8 1,775 47.3
Slide 21: Factors of increases (decreases) operating income
FYE March 2018 Full-Year Earnings Forecast Factors of increases (decreases) operating income <FYE March 2018 Plan (YoY)> Compared to FYE March 2017, net sales will increase by ¥21.8 billion for a ¥5.0 billion increase in income and changes to our product composition will result in increased income
Slide 22: Net Sales Forecast by Segment
FYE March 2018 Full-Year Earnings Forecast Net Sales Forecast by Segment (Unit:100 million yen) FYE March'16 FYE March'17 FYE March'18 Full year Full year First half Full year Change from Previous period Results Results Forecast Forecast Amount Change（%） Total 3,384 3,532 1,958 3,750 218 6.2 Confect
Slide 23: Operating Income Forecast by Segment
FYE March 2018 Full-Year Earnings Forecast Operating Income Forecast by Segment (Unit:100 million yen) FYE March'16 FYE March'17 FYE March'18 Full year Full year First half Full year Change from Previous period Results Results Forecast Forecast Amount Change（%） Total 171 243 153 250 7 3.1 Confection
Slide 24: China (Glico Shanghai): Status of Net Sales and Income
Review of FYE March 2017 and FYE March 2018 Targets China(Glico Shanghai):Status of Net Sales and Income Net sales /Operating income (Unit: one million CNY) Net sales Operating income 1,600 200 1,500 150 118 110 105 101 Net sales 売上高 1,400 100 Operating 営業利益 income 1,500 1,465 1,470 1,300 1,392 50 1
Slide 25: China (Glico Shanghai): Cookie market environment in China
Review of FYE March 2017 and FYE March 2018 Targets China(Glico Shanghai):Cookie market environment in China (1) Cookie market - Nationwide, All channels, Monthly sales (1,000 CNY) ■During FY2016, the China cookie market saw zero growth, result in a stagnant market. 3,000,000 2014年 Y2014 2015年 Y2015
Slide 26: China (Glico Shanghai): Response for China's EC market
Review of FYE March 2017 and FYE March 2018 Targets China(Glico Shanghai):Response for China's EC market ■On the China cookie market, EC net sales are (1) EC sales and YoY growth rate for overall China cookie market (Comparison of 2014/6-2015/5 and 2015/6–2016/5) growing significantly. The ratio of
Slide 27: Thailand (Glico Thailand): Status of Net Sales and Income
Review of FYE March 2017 and FYE March 2018 Targets Thailand(Glico Thailand):Status of Net Sales and Income Net sales /Operating income (Unit: one million THB) Net sales Operating income 5,000 4,651 600 4,150 4,228 4,000 3,723 500 460 400 400 3,000 352 Net sales 売上高 339 300 Operating 営業利益 2,000 inco
Slide 28: Thailand: Domestic sales and exports saw double-digit growth
Review of FYE March 2017 and FYE March 2018 Targets Thailand (Glico Thailand):Both Thailand domestic sales and exports saw double- digit growth ■Amid a growth rate of 5% for the Thailand (1) Cookie market in Thailand (Y2013=100) domestic cookie market in FY2016, Glico (Source)Glico research Thailand
Slide 29: Overseas Business: Enhance ASEAN market initiatives
Review of FYE March 2017 and FYE March 2018 Targets Overseas Business:Enhance ASEAN market initiatives ■We view the ASEAN market as a core region and are implementing the following initiatives to advance business expansion in the region. (1) To establish a position as a brand that is supported by co
Slide 30: Overseas Business: Confectionery business in America
Review of FYE March 2017 and FYE March 2018 Targets Overseas Business:Confectionery business in America ■The local US subsidiary charged with confectionery business development has succeeded in growing sales by more than 300% between FY2014 and FY2016. ■FY2017 projected to see 400% growth compared t
Slide 31: Overseas Business: Ice cream business in Indonesia
Review of FYE March 2017 and FYE March 2018 Targets Overseas Business (application of equity method):Ice cream business in Indonesia ■In Indonesia, we conducted a 50-50 joint venture with WINGS to establish an ice cream merger company in October 2013.Began production in September 2016 and launched s
Slide 32: Glico Group Overview
Supplemental Materials Glico Group Overview Segment Category Main products Main group company Chocolate (including Pocky) Cookies (including Pretz) Confectioneries Gum,caramel,candy THAI GLICO CO.,LTD. Overseas SHANGHAI EZAKI GLICO FOODS CO.,LTD. Other Personal,multi,vending Wholesale subsidiaries -
Slide 33: Net Sales by Category
Supplemental Materials Net Sales by Category (Unit:100 million yen) FYE FYE FYE March'16 March'17 March'18 Segment Category Change from Results Results Forecast Previous period Amount Change Chocolate (including Pocky) 395 449 464 15 3.4 Cookies (including Pretz) 273 272 325 54 19.8 Gum,caramel,cand
Slide 34: TTM Currency Rate
Supplemental Materials TTM Currency Rate USD EUR THB CNY 100KRW 100IDR 3/31 102.92 141.65 3.17 16.59 9.67 0.91 6/30 101.36 138.31 3.12 16.32 10.02 0.85 2014 9/30 109.45 138.87 3.38 17.73 10.38 0.90 12/31 120.55 146.54 3.67 19.35 10.98 0.97 3/31 120.17 130.32 3.70 19.36 10.87 0.92 6/30 122.45 137.23
Slide 35: Strategy by Category
Supplemental Materials Category management (1) Category operating income amount is the highest priority business management target. (2) Manage sales and promotion expenses, advertising expenses, etc. based on percentage of net sales. (3) Expand income-based sales activities and business management t
Slide 36: Notes of caution
[Notes of caution] *Current Glico and Glico Group plans, forecasts, and initiatives indicated in these materials reflect determinations made based on information available at the time. As such, this information may include major risks and uncertainties. Please note that actual performance may differ