Mitsubishi Hc Capital Inc. · TSE:8593

Mitsubishi Hc Capital — Hitachi Capital — Q2 FY2018 Earnings Presentation

16 slides from Mitsubishi Hc Capital's earnings presentation, Nov 5, 2018

  1. Slide 1: Consolidated Financial Results Summary for the Second Quarter ended September 30, 2018

    Consolidated Financial Results Summary for the Second Quarter ended September 30, 2018 November 5, 2018 © Hitachi Capital Corporation 2018. All rights reserved.

  2. Slide 2: Contents

    Contents 1. Summary of Consolidated Financial Results for the Second Quarter of FY2018 2. Summary of Performance by Business 3. Consolidated Financial Forecast for FY2018 © Hitachi Capital Corporation 2018. All rights reserved. 1

  3. Slide 3: 1-1. Summary of Business Performance for the Second Quarter of FY2018 (Y on Y)

    1-1. Summary of Business Performance for the Second Quarter of FY2018(Y on Y) (Millions of yen) Foreign Y on Y FY2017/2Q FY2018/2Q Y on Y exchange (excluding foreign Results Results Change effects exchange effects) Volume of business 1,176,861 1,365,660 116% 6,204 116% Revenues 195,688 225,956 115%

  4. Slide 4: 1-2. Changing Factors of Profit before Tax (Y on Y Comparison)

    1-2. Changing Factors of Profit before Tax (Y on Y Comparison) （Billions of Yen） Effect of IT Exchange investment Effect of Rate ▲0.3 Effect of Revised changes IFRS 9* Investment +0.2 ▲0.4 +1.0 Business Expansion +1.7 26.2 24.0 1H of FY2017 1H of FY2018 Result Result ：Increasing Factors ：Decreasing

  5. Slide 5: 1-3. Changing Factors of Profit before Tax (Initial plan Comparison)

    1-3. Changing Factors of Profit before Tax (Initial plan Comparison) （Billions of Yen） Effect of Exchange Business Rate Expansion & changes Effect of +0.7 Investment +1.0 26.2 24.5 1H of FY2018 1H of FY2018 Initial plan Result （ Announced on May 9, 2018 ） ：Increasing Factors © Hitachi Capital Corpor

  6. Slide 6: 2-1. Summary of Japan Business/Global Business

    2-1. Summary of Japan Business/Global Business (Millions of yen) Foreign Y on Y FY2017/2Q FY2018/2Q Y on Y Change exchange (excluding foreign Results Results effects exchange effects) Volume of Japan Business 481,392 466,865 97% ― ― business Global Business 695,468 898,794 129% 6,204 128% Japan Busi

  7. Slide 7: 2-2. Breakdown of Japan Business

    2-2. Breakdown of Japan Business (Millions of yen) Volume of business Operating assets FY2017/2Q FY2018/2Q Y on Y FY2017/2Q FY2018/2Q Y on Y Results Results Change Results Results Change Total of Japan Business 481,392 466,865 97% 1,578,445 1,582,420 100% Account Solution 378,135 370,254 98% 970,687

  8. Slide 8: 2-3. Breakdown of Global Business (1): Europe, The Americas

    2-3. Breakdown of Global Business(1): Europe, The Americas Europe (UK, Poland, the Netherlands) (Millions of yen) Foreign Y on Y FY2017/2Q FY2018/2Q Y on Y Results Results exchange (excluding foreign Change effects exchange effects) Volume of business 275,584 335,595 122% 7,811 119% Gross profit 18,

  9. Slide 9: 2-3. Breakdown of Global Business (2): China, ASEAN

    2-3. Breakdown of Global Business(2): China, ASEAN China (Hong Kong, Mainland China) (Millions of yen) Foreign Y on Y FY2017/2Q FY2018/2Q Y on Y Results Results exchange (excluding foreign Change effects exchange effects) Volume of business 109,857 139,364 127% 59 127% Gross profit 5,008 4,683 94% 1

  10. Slide 10: 3-1. Consolidated Financial Forecast for FY2018

    3-1. Consolidated Financial Forecast for FY2018 (Millions of yen) FY2017 Results FY2018 Forecasts Y on Y Change Volume of business 2,509,327 2,620,000 104% Revenues 404,124 460,500 114% Cost of sales 272,425 320,100 117% (of which, cost of capital) 30,.288 40,700 134% Gross profit 131,698 140,400 10

  11. Slide 11: 3-2. Changing Factors of FY2018 Profit before tax (revision)

    3-2. Changing Factors of FY2018 Profit before tax (revision) （Billions of Yen） （ ） ：Initial plan IT investment Effect of 52.0 Effect of ▲1.1 Revised Effect of IFRS 9 Exchange +2.0 Upwardly Rate Investment （▲1.1） （▲ ） revise ▲0.9 changes +4.3 （+4.3） ） （▲1.1） （▲ ） ▲0.2 Business （▲0.7） （▲ ） Expansion +

  12. Slide 12: http://www.hitachi-capital.co.jp/

    http://www.hitachi-capital.co.jp/ Note: This document contains forward‐looking statements with respect to future results, performance and achievements that are subject to risk and uncertainties and reflect management’s views and assumptions formed using information available at the time. Accordingly

  13. Slide 13: Appendix

    Appendix © Hitachi Capital Corporation 2018. All rights reserved.

  14. Slide 14: Breakdown of Cost of Sales/SG&A

    Breakdown of Cost of Sales/SG&A Breakdown of cost of sales (Millions of yen) FY2017/2Q FY2018/2Q Y on Y Change Results Results Cost of sales 130,605 157,231 120% (of which, cost of capital) 14,283 18,421 129% Breakdown of SG&A (Millions of yen) FY2017/2Q FY2018/2Q Y on Y Change Results Results Selli

  15. Slide 15: Quarterly Credit Trends by Region

    Quarterly Credit Trends by Region Credit loss ratio Credit loss(Millions of yen) FY2015 FY2016 FY2017 FY2018/2Q FY2015 FY2016 FY2017 FY2018/2Q Results Results Results Results Results Results Results Results Total 0.16% 0.15% 0.20% 0.17% 5,327 5,103 6,452 2,857 Japan 0.06% 0.04% 0.05% 0.06% 1,125 823

  16. Slide 16: About IFRS9

    About IFRS9 Item Contents Statement ・IFRS 9 "Financial Instruments" (*1) ・Introduction of expected credit loss model of financial assets Revision ・Revision of hedge accounting summary ・Revision of classification and measurement of financial instruments Application ・Applicable from FY2018 date ・Along

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