Yonex Co., Ltd. · TSE:7906
Yonex — Q1 FY3/24 Earnings Presentation
22 slides from Yonex's earnings presentation, Aug 9, 2023
Slide 1: Fiscal Year Ending March 31, 2024 1Q Financial Results
Fiscal Year Ending March 31, 2024 1Q Financial Results Yonex Co., Ltd. Tokyo Stock Exchange Code：7906 August 9, 2023
Slide 2: Table of Contents
Table of Contents 1. Consolidated Financial Results for FY3/24 1Q ・・・・ 3 2. Segment Overview ・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・ 7 3. Forecasts for FY3/24 ・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・ 14 4. Topics ・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・ 15 5. Appendix ・・・・・・・・・・・・・・・・・・・・・・・・・・
Slide 3: Highlights
Highlights Net Sales Operating Profit Net Profit Attributable to owners of parent 27.9 billion yen 2.7 billion yen 2.4 billion yen YoY YoY YoY +18.1％ -18.9％ -19.9％ Reached record-high consolidated sales as sales in all regional segments increased due to the Net Sales continued strong demand to pla
Slide 4: Consolidated Income Statement
Consolidated Income Statement （Million yen） FY3/23 1Q FY3/24 1Q FY3/24 Forecasts* YoY Results Results Margins 1H Full Year Net Sales 23,694 27,992 ― +18.1% 57,000 116,000 (+4,298) Gross Profit 10,870 12,255 43.8％ +12.7% ― ― (+1,384) SGA 7,447 9,480 33.9％ +27.3% ― ― (+2,032) Operating Profit 3,422 2,
Slide 5: Factors behind Operating Profit Changes
Factors behind Operating Profit Changes Despite higher gross profit, operating profit decreased due to the inability of the rise in gross profits to offset the increases in SGA, including advertising expenses arising from expenses for tournament sponsorships, tournament-related promotions, athlete c
Slide 6: Consolidated Balance Sheets
Consolidated Balance Sheets Inventories decreased slightly due to a decrease in finished goods and merchandise and despite an increase in raw materials. Accounts receivables increased due to a seasonal increase in sales during the peak demand season. Assets Liabilities （Million yen） End FY3/24 E
Slide 7: Segment Information
Segment Information Our business consists of the sporting goods division, which is divided into the four regional segments of Japan, Asia, North America, and Europe, and the sports facilities division. （Million yen） FY3/24 1Q Results Related Entities Sales Segment Operating Composition Net Sales Sal
Slide 8: Net Sales Changes and Forex Impact (Reported Segments)
Net Sales Changes and Forex Impact (Reported Segments) The yen depreciated against all major currencies related to our business. The increase in sales in local currency terms and weakening of yen contributed to the increase in consolidated sales. Forex Rate 1RMB 1TWD 1USD 1EUR 1GBP FY3/23 1Q (Jan-
Slide 9: Japan Segment
Japan Segment YoY 12,974 12,974million yen （Million yen） Net Sales 11,294 +14.9 % 9,522 Badminton sales increased due to further revitalization of the market, Domestic especially for club activities, and strong sales of our new model of Sales racquets. Tennis sales decreased as the abating of the st
Slide 10: Asia Segment
Asia Segment YoY 11,908 11,908 million yen （Million yen） Net Sales +18.4 % 10,056 Despite the impact of the most recent bout of COVID-19 pandemic, which began in Dec 2022 and continued until the beginning of the current 1Q, 5,524 China sales increased as demand for badminton recovered on the back of
Slide 11: North America Segment
North America Segment YoY 1,731 1,731 million yen （Million yen） +34.0 % 1,292 Net Sales The badminton market continues to be strong. Although players are 642 continuing to return to the courts, tennis sales fell due to an increase in inventory in the market overall since the second half of FY3/23. T
Slide 12: Europe Segment
Europe Segment YoY 1,191 1,191 million yen （Million yen） Net Sales +38.9 % 857 Badminton sales increased as the holding of international tournaments revitalized the market. Tennis sales increased due to the strong market, in Germany addition to the attention garnered by tennis magazine awards given
Slide 13: Consolidated Net Sales by Sports Categories
Consolidated Net Sales by Sports Categories Badminton sales increased due in part to our successful marketing activities in China, and to the revitalized markets in the US and Europe. Tennis continued to see increases in overseas sales, but demand growth appears to be slowing subsequent to the stron
Slide 14: Earnings Forecasts for FY3/24
Earnings Forecasts for FY3/24 We have made no changes to our forecasts announced in May. We will endeavor to maintain growth based on the level of the previous year, while at the same time making investments to fortify our business foundation to realize mid- to long-term growth. Assumptions Fore
Slide 15: Topics: Corporate Governance
Topics： Corporate Governance We are strengthening our corporate governance as we recognize it to be an important factor in realizing our global strategy of further enhancing our corporate value. The number of external directors was increased from 2 to 3 to fortify the objectivity of our decision- ma
Slide 16: Topics: Opening of First Yonex Overseas Showroom in Shanghai
Topics: Opening of First Yonex Overseas Showroom in Shanghai In August 2023, we opened our first overseas showroom, “Yonex Shanghai Showroom, aiming to share Yonex’s commitment to ‘Craftsmanship and Innovation’. Exterior Entrance Immersive Experience Courts Located in Huaihai Road, one of the major
Slide 17: Topics: Remarkable Results of Team Yonex Athletes
Topics: Remarkable Results of Team Yonex Athletes Team Yonex athletes have performed remarkably well in badminton, tennis, and golf. Badminton Team Yonex athletes’ wins at the BWF Tour Tennis Wimbledon2023 January Malaysia Open Team Yonex won 5 all titles March All England Open Team Yonex won 5 al
Slide 18: Appendix
a Appendix
Slide 19: Reference: Fiscal Year End for Domestic and Overseas Businesses
Reference： Fiscal Year End for Domestic and Overseas Businesses Japan segment including domestic sales and sales to overseas distributors closes their fiscal year in March, while our overseas subsidiaries close their fiscal year in December. Period Covered in FY3/24 2023 2024 Jan Feb Mar Apr May J
Slide 20: Net Sales by Reported Segments
Net Sales by Reported Segments （Million yen） FY3/20 1Q FY3/21 1Q FY3/22 1Q FY3/23 1Q FY3/24 1Q Japan (Domestic sales and sales to 9,518 3,353 9,522 11,294 12,974 overseas distributors) Asia (Subsidiaries) 3,769 3,428 5,524 10,056 11,908 North America (Subsidiaries) 590 679 642 1,292 1,731 Europe (Su
Slide 21: Net Sales by Geographic Region
Net Sales by Geographic Region （Million yen） FY3/20 1Q FY3/21 1Q FY3/22 1Q FY3/23 1Q FY3/24 1Q Japan 7,363 2,352 7,360 8,388 8,532 Overseas 7,327 5,846 8,818 15,306 19,460 Asia 5,651 4,073 7,334 11,620 14,982 North America 590 679 642 1,292 1,731 Europe 993 1,024 514 1,988 2,318 Others 92 69 327 405
Slide 22: Disclaimer
Disclaimer Statements made in these materials with respect to plans, strategies and future performances are forward-looking statements based on information and assumptions available to Yonex when these materials were prepared. We would like to remind investors that various unforeseen factors could c