Komehyo Holdings Co., Ltd. · TSE:2780
Komehyo — H1 FY2020 Earnings Presentation
28 slides from Komehyo's earnings presentation, Nov 11, 2019
Slide 1: Earnings Results Briefing for the First Six Months of FY Ending March 2020
Earnings Results Briefing for the First Six Months of the Fiscal Year Ending March 31, 2020 November 11,2019 KOMEHYO Co., Ltd. Securities code: 2780 (Second Section, Tokyo and Nagoya Stock Exchanges) Corporate Planning Department IR strategy group Phone +81-52-249-5366
Slide 2: FY 2020 2Q Financial Summary
FY 2020 2Q Financial Summary 【Performance Highlights】 Net Sales(Consolidated) Net Sales(Non-consolidated) 118.9％ 120.0％ YoY YoY Amount of purchase from ※Full-year consolidated individual customers 125.2% sales plan 110.7% YoY YoY 【Business Topics】 Brand・Fashion business Tire and Wheel business Openi
Slide 3: Economic Trend
Economic Trend The economic environment remains on a moderate recovery path Net sales Stock Price YoY (%) Department store(fine arts/jewelry/precious metals) （yen） KOMEHYO net sales(non-consolidated) Nikkei Stock Average(monthly closing price) 180 24,000 130 19,000 100 FY2020 80 14,000 '18.4 5 6 7 8
Slide 4: Overview of Income Statement (Consolidated)
Overview of Income Statement （ Consolidated ） FY2020 FY2020 FY2020 Plan (Millions of yen) YoY YoY YoY 1Q 2Q 1H ratio Net sales 12,439 110.4% 15,288 126.9％ 27,728 118.9％ 102.7% Gross profit 3,421 106.1% 3,672 118.6％ 7,093 112.2％ － Gross profit margin 27.5％ △1.1pt 24.0％ △1.7pt 25.6％ △1.5pt － SG&A expe
Slide 5: Overview of Income Statement (Non-Consolidated)
Overview of Income Statement （ Non-Consolidated ） FY2020 FY2020 FY2020 Plan (Millions of yen) YoY YoY YoY 1Q 2Q 1H ratio Net sales 11,105 111.8% 13,755 127.5％ 24,861 120.0％ 104.5％ Gross profit 2,928 107.1% 3,103 115.4％ 6,032 111.2％ － Gross profit margin 26.4％ △1.1pt 22.6％ △2.3pt 24.3％ △1.9pt － SG&A
Slide 6: Sales by sales channel: Corporate sales made progress
Sales by sales channel (Non-Consolidated) Corporate sales made progress Retail/Corporate sales(Millions of yen) Retail Corporate sales Others Net sales 24,861 Net sales Corporate sales 20,724 YoY145％ Composition ratio Composition ratio 43.0％ 35.6％ Retail 64.1％ 56.8％ YoY106％ FY2019 1H FY2020 1H 5
Slide 7: Gross Merchandise Value (Consolidated)
Gross Merchandise Value （ Consolidated ） Increase in purchases from individuals. The expansion thereof is expected due to K-Brand OFF. Gross Merchandise Value(Millions of yen) 1H 2H K-BRAND OFF 32,962 31,926 36,420 FY2019 FY2020(forcast) FY2021(forcast) GMV is calculated simply by adding and subtrac
Slide 8: Operating income decrease factor (Consolidated)
Operating income decrease factor （ Consolidated ） Profit decrease due to increases in expenses, such as rents and personnel expenses Increase in administrative expenses, such as rents 1,800 associated with new openings. △398 Gross profit Margin Increase in personnel expenses due to business 1,600 ex
Slide 9: Overview of Balance Sheet
Overview of Balance Sheet (Consolidated) Increase in total assets primarily due to an increase in the number of group companies Liabilities and (Millions of yen) Consolidated Assets Net Assets Non-consolidated 32,542 Liabilities and 32,542 Assets Net Assets Assets Assets Liabilities and Liabilities
Slide 10: Statement of Cash Flows
Statement of Cash Flows Cash flows from operating activities were negative due mainly to an increase in Products Consolidated (Millions of yen) Cash flows from operating activities Cash flows from investing activities Cash flows from financing activities Cash and cash equivalents 6,216 4,769 4,964 4
Slide 11: By Segment
By Segment FY2020 FY2020 FY2020 (Millions of yen) YoY YoY YoY 1Q 2Q 1H Net sales 11,701 112.8％ 14,443 129.0％ 26,144 121.2％ Fashion Brand Operating income 184 53.8％ 266 131.0％ 451 82.6％ Operating margin 1.6％ － 1.8％ － 1.7％ － Net sales 716 81.5％ 824 98.5％ 1,541 89.8％ Tire and Wheel Operating income △95
Slide 12: Brand・Fashion purchase
Brand・Fashion purchase The amount of purchases from individual customers is on the rise due to various measures to promote purchases. Amount of purchase from FY2020 FY2020 FY2020 YoY YoY YoY individual customers 1Q 2Q 1H Purchasing Center 5,818 117.6% 6,213 135.9％ 12,032 126.4％ Home delivery Purchas
Slide 13: Brand・Fashion Events
Brand・Fashion Events Partial amendment of the Secondhand Articles Dealer Act, we went to "Customer's usual location" to make reuse more accessible. Main Event Partners period MARUHIRO department store 7.17～7.30 Kawagoe store TAKASHIMAYA Gate Tower Mall 7.17～8.19 8.19~8.23 MIYAZAKI-YAMAGATAYA 9.4~9.1
Slide 14: Brand・Fashion New stores
Brand・Fashion New stores Opening of large-scale watch specialty store* and four purchase stores in the Kanto area 【KOMEHYO Shinjyuku WATCH store ‘19.4】【Purchase center 【 Purchase center Shinkoiwa-minamiguchi ‘19.5】 Kokubunji-minamiguchi ‘19.9】 【Purchase center 【 Purchase center Gakugeidaigaku-nishig
Slide 15: Store Type (Non-Consolidated)
Store Type （ Non-Consolidated ） 31 stores Large-scale Nagoya Store，Meieki Store, 5 stores Ginza Store，Umeda Store, Shinjuku store (including Shinjuku Sale and purchase * ANNEX and Shinjuku WATCH store) Ladies casual clothing, Bags, small items, etc. Sales/Purchase Jewelry, precious metals, watches,b
Slide 16: E-commerce (Non-Consolidated)
E-commerce （ Non-Consolidated ） Increase in the number of products sold by strengthening the handling of clothing and others Net sales No. of products (Millions of yen) FY2018 1H FY2019 1H FY2020 1H YoY sold YoY E-commerce-induced sales 3,367 3,957 4,103 103.7％ 110.1％ E-commerce-induced sales rate(※
Slide 17: Upcoming measures: Nagoya main store renewal
Upcoming measures： Nagoya main store renewal Conversion of camera/musical instrument stores to fashion stores 【 Relocation of the camera/musical instrument 【KOMEHYO FASHION NAGOYA ‘19.11】 Section to the main store ‘19.10】 16
Slide 18: Upcoming measures: Overseas business
Upcoming measures： Overseas business First overseas opening under the name of “KOMEHYO” in Bangkok, Thailand,in November 2019 【KOMEHYO ZEN＠CENTRAL WORLD (Bangkok) 】 【 Purchase event】 17
Slide 19: Upcoming measures: Shinjuku store relocation completed
Upcoming measures： Shinjuku store relocation completed Shift to a three-store system in the Shinjuku area in April 2020 【KOMEHYO Shinjyuku store FASHION Building ’20.4Scheduled】 【Image of FASHION building】 (’20.3退店予定) 18
Slide 20: KOMEHYO Auction
KOMEHYO Auction Auction Trade volume for domestic corporations is expanding trend Trade volume YoY No. of member companies (Millions of yen) FY2020 1H 13,138 110.6％ 992 (91 companies increased YoY) 【 Transition of auction Trade volume for domestic corporations 】 (Millions of yen) 13,138 11,876 8,981
Slide 21: K-BRAND OFF
K - BRAND OFF Adoption of the know-how regarding overseas expansion and human resources 【BRAND OFF GROUP】 【KOMEHYO GROUP】 ・17 directly managed stores BEIJING JV 1Store ・39 directly managed stores ・FC 5 stores (KOMEHYO, etc.) ・Auction 2 venues ・1 joint venture (Kanazawa / Ginza) ・Auction 1 venue ・151
Slide 22: Tire and Wheel New Stores
Tire and Wheel New Stores Opened reuse specialty store “U-ICHIBAN” 【Omiya Baipasu store ‘19.4 【Toyohashi store ‘19.5 Convert from craft】 Convert from craft 】 【Yokkaichi store ‘19.5 【Okazaki store 【Kagamigahara store Convert from craft 】 ‘19.6 New store】 ‘19.8 New store】 21
Slide 23: Tire and Wheel Store Type
Tire and Wheel Store Type 【New Tire and Wheel】 【Reuse Tire and Wheel】 ７ Stores 10 Stores ４Stores※ １Store※ ※Located in a craft store 22
Slide 24: Group structure
Group structure KOMEHYO Brand Reuse Business KOMEHYO AUTO Four by four KOMEHYO HONG Eve K-BRAND Shellman Craft Parts Engineering Auction B2Bオークション事業 KONG Corporation OFF Japan Services LIMITED BtoB BtoB Apparel business, Antique watch, Brand Reuse Business Tire･ wheel business Tire･ wheel business T
Slide 25: Planned progress for the FY 2020 (consolidated)
Planned progress for the FY 2020 (consolidated) Net sales have remained steady (Millions of yen) １H plan FY2020 1H Plan ratio FY2020 plan YoY Net sales 27,000 27,728 102.7% 56,400 110.7% Operating 458 317 69.4% 1,329 71.4% income Ordinary 427 291 68.3% 1,261 69.0% income Net income attributable to o
Slide 26: Shareholder return
Shareholder return Dividend changes Dividends (Yen) Dividend payout ratio (％) 40 Fiscal year-end dividend 100 Interim dividend (Schedule) 90 35 Payout ratio 80 30 16 16 70 25 60 20 50 48.2 40 15 30 10 34.7 20 5 10 16 16 0 0 FY2008 FY2009 FY2010 FY2011 FY2012 FY2013 FY2014 FY2015 FY2016 FY2017 FY2018
Slide 27: Corporate Profile
Corporate Profile Company name KOMEHYO Co., Ltd. Established May 1979 Head Office 3-25-31 Osu, Naka-ku, Nagoya Representative President, Representative Director: Takuji Ishihara Capital 1,803 million yen No. of Non-Consolidated: 530 (As of September 2019) employees Buying and selling used and new pr
Slide 28: Corporate History
Corporate History ●Opened Umeda Store, Shinjyuku Store ANNEX,Meieki Store ●Acquired Eve Corporation Co.,Ltd. ●Established Auto Parts KOMEHYO KK (currently AUTO PARTS JAPAN) ●Established KOMEHYO HONG KONG LIMITED ●Acquired CRAFT Co., Ltd. ●Established Product Center ●Established KOMEHYO Auction ●Open