Slide 1: Presentation Material: Announcement of FY2008 Year-End Results
Presentation Material: Announcement of FY2008 Year-End Results May 14, 2008 Cleanup Corporation Tokyo Stock Exchange, 1st Section, Code 7955 0
Slide 2: I. Results Outline
Cleanisup I. Results Outline
Slide 3: Outline of Consolidated Results for Period Ended March 2008
I. Results Outline 1. Outline of Consolidated Results for Period Ended March 2008 (Units: millions of yen) 2008/3 2007/3 Change From 2008/3 2008/3 Compared (Actual Results) (Actual Results) Prev. Period (Initial Plan) (Revised Plan) To Plan Net Sales 112,811 122,781 △8.1％ 126,500 113,200 △0.3％ Opera
Slide 4: Consolidated Profits: Net Sales, Gross Profit
I. Results Outline 2. Consolidated Profits ① Net Sales, Gross Profit (Units: billions of yen) 【Increased/Decreased 【Primary Reasons for Increase/Decrease】 Values (Rates)】 122.78 ●System Kitchens △9,560 million yen 1128.1 Net Sales ・ＳＳ △4,150 million yen ・CLEANLADY △2,320 million yen ●System Bathroom
Slide 5: Consolidated Profits: SGA Expenses, Operating Income
I. Results Outline 2. Consolidated Profits ② SGA Expenses, Operating Income (Units: billions of yen) 【Increased/Decreased Values (Rates)】 42.05 【Primary Reasons for Increase/Decrease】 36.46 Gross Profit △5.58 billion yen ●Sales Expenses ＋150 million yen ●Distribution Expenses △660 million yen SGA Ex
Slide 6: Sales Composition by Segment (Consolidated)
I. Results Outline 3. Sales Composition ① By Segment (Consolidated) Other 【2008/3】 (Units: millions of yen) Bathrooms & Washstands Kitchen Equipment Other 4.2％ 140,000 122,781 122,000 Bathtubs & 4.0％ Washstands 17.9％ 4,394 112,811 4,905 120,000 20,288 4,704 Kitchen Equipment 77.9％ 23,015 18.9％ 100,0
Slide 7: Sales Composition by Sales Route (Non-Consolidated)
I. Results Outline 3. Sales Composition ② By Sales Route (Non-Consolidated) 9.5％ 9.0％ 10.2％ 8.8％ 10.9％ 15.0％ 16.2％ 16.9％ 17.3％ 17.1％ Direct-Sales (Condominium owners) Housing Constructors 74.8％ 72.9％ 72.0％ 73.9％ 75.5％ General Routes (Construction Contractors - Home Renovation) 0 2007/3 2008/3 2009/3
Slide 8: Consolidated Balance Sheet Summary 1/2
I. Results Outline 4. Consolidated Balance Sheet Summary – 1/2 (Units: billions of yen) 【Increased/Decreased Values】 【Primary Reasons for Increase/Decrease】 【Assets】 86.95 ●Current Assets △5,440 million yen 79.89 Total Assets ●Fixed Assets △1,610 million yen △7.05 billion yen ●Cash and Deposits △2,0
Slide 9: Consolidated Balance Sheet Summary 2/2
I. Results Outline 4. Consolidated Balance Sheet Summary – 2/2 (Units: billions of yen) 【Primary Reasons for Increase/Decrease】 【Liabilities･Minority Interests・ ●Accounts Payable △360 million yen Assets】 86.95 【 Increased/Decreased Values 】 ●Short-Term Debt △1,500 million yen ●Other Accounts Payable
Slide 10: Consolidated Cash Flow Statement Summary
I. Results Outline 5. Consolidated Cash Flow Statement Summary Cash Flow from Operating Activities Cash Flow from Investing Activities 営業活動ＣＦ 投資活動ＣＦ 財務活動ＣＦ 現金及び現金同等物の期末残高 Cash Flow from Financing Activities Term-End Cash & Cash Equivalents Balance 200 (Units: billions of yen) 16.63 △3.3 16.30 150 10
Slide 11: Capital Investments (Consolidated)
I. Results Outline 6．Capital Investments (Consolidated) (Billions of yen) R&D Costs 【Major Capital Investment Details】 Capital Investment 60.0 Deprecation Costs FY 2008 Results 5.20 ①Dies and Equipment for New Products 1,290 million yen 4.67 4.35 ②Showroom Renovation 4.25 2,270 million yen 40.0 3.59
Slide 12: Outline of Non-Consolidated Results For Period Ended March 2008
I. Results Outline 7. Outline of Non-Consolidated Results For Period Ended March 2008 (Units: millions of yen) 2008/3 2007/3 Change From 2008/3 2008/3 Compared (Actual Results) (Actual Results) Prev. Period (Initial Plan) (Revised Plan) To Plan Net Sales 109,358 119,582 △8.5％ 123,000 110,000 △0.6％ O
Slide 13: Non-Consolidated Sales Composition By Segment
I. Results Outline 8. Non-Consolidated Sales Composition By Segment Kitchen Equipment Bathrooms Washstands Industrial Kitchen Equipment 【2008/3】 Other Industrial Kitchen Other (millions of yen) 119,582 118,500 Equipment 1.7％ 8.5％ 120,000 109,358 8.0％ 9,292 9,455 Washstands 4. 5％ 1,834 1.6％ 5,093 1,9
Slide 14: Major Products and Market Share - Complete System Kitchen
I. Results Outline 9. Sales Results For Major Products and Cleanup Market Share - 1/4 Complete System Kitchen Sales Results Demand Trends and Market Share (Billions of yen) Monetary Value Demand Volume (Thousands of Sets) (Thousands of Sets) （％） 100 Volume 300 1,400 Cleanup Share 30.0 1,247 1,228 83
Slide 15: Major Products and Market Share - Sectional System Kitchen
I. Results Outline 9. Sales Results For Major Products and Cleanup Market Share - 2/4 Sectional System Kitchen Sales Results Demand Trends and Market Share (Billions of yen) Monetary Value (Thousands of Sets) (Thousands of Sets) Demand Volume （％） 10 Volume 150 800 Cleanup Share 30.0 25.0 8 7.7 120 7
Slide 16: Major Products and Market Share - Modular System Bathroom
I. Results Outline 9. Sales Results For Major Products and Cleanup Market Share - 3/4 Modular System Bathroom Sales Results Demand Trends and Market Share (Billions of yen) Monetary Value Demand Volume (Thousands of Sets) (Thousands of Sets) （％） 20 Volume 50 1,000 Cleanup Share 10.0 17.4 16.3 15.9 1
Slide 17: Major Products and Market Share - Washstands/Vanities
I. Results Outline 9. Sales Results For Major Products and Cleanup Market Share - 4/4 Washstands/Vanities Demand Trends and Market Share (Billions of yen) Monetary Value (Thousands of Sets) (Thousands of Sets) Demand Volume （％） 7 Volume 150 2,400 Cleanup Share 10.0 6 2,000 5.3 5.3 5.4 120 1,813 1,78
Slide 18: Showrooms And Visitor Numbers
I. Results Outline 10. Showrooms And Visitor Numbers (Locations) Number of Showrooms (Thousands of groups) 240 Number of Visitors 600 495 200 480 503 500 460 456 450 160 380 400 314 120 109 109 109 300 255 104 107 101 95 85 87 80 200 40 100 0 0 01/3 02/3 03/3 04/3 05/3 06/3 07/3 08/3 09/3 (Planned)
Slide 19: Forecasted Consolidated Results For The Period Ending March 2009
I. Results Outline 11. Forecasted Consolidated Results For The Period Ending March 2009 (Units: millions of yen) 2008/3 2009/3 Change From (Actual Results) (Plan) Prev. Period Net Sales 112,811 122,000 ＋8.1％ Operating Income △1,301 1,700 － ％ Operating Income Margin △1.2％ 1.4％ - Ordinary Income △1,38
Slide 20: Forecasted Non-Consolidated Results For The Period Ending March 2009
I. Results Outline 12. Forecasted Non-Consolidated Results For The Period Ending March 2009 (Units: millions of yen) 2008/3 2009/3 Change From (Actual Results) (Plan) Prev. Period Net Sales 109,358 118,500 ＋8.4％ Operating Income △1,831 1,250 － ％ Operating Income Margin △1.7％ 1.1％ - Ordinary Income △
Slide 21: II. Medium-Term Strategy Progress
Ⅱ．Medium-Term Strategy Progress 20
Slide 22: Business Environment
Ⅱ． Medium-Term Strategy Progress 1. Business Environment Increased Feelings of Uncertainty in the Future ●Sense of recession in international and domestic economies (effects of US subprime loan problems, rising cost of oil, etc.) ●Concern over “government-induced recession” (effects of pension probl
Slide 23: Overall Future Strategy
Ⅱ． Medium-Term Strategy Progress 2. Overall Future Strategy 1 Focus on Base Building (Establish Foothold) ● “The Kitchen Company” ～Creating a product lineup and system, in our role as the leading company in kitchen- related goods, suited to the needs of a new age and the business environment. ● Reco
Slide 24: The Kitchen Company: Product Lineup
Ⅱ． Medium-Term Strategy Progress 3. “The Kitchen Company” ① Product Lineup Product Lineup Establishing Cleanup’s position as “The Kitchen Company” by making high-quality proposals - in life, function and materials - to a broad spectrum of society through our creation process. Our standard brand as “
Slide 25: New Product Introductions: S.S. Servo
Ⅱ． Medium-Term Strategy Progress 【New Product Introductions】 1) “S.S. Servo” “S.S. Servo”, Japan’s first motor-assisted kitchen drawers, open with a single touch. (On sale February 1) Even if your hands are full, wet or dirty, drawers will easily open with just a slight touch from your knees or hip.
Slide 26: New Product Introductions: S.S. Light Package
Ⅱ． Medium-Term Strategy Progress 【New Product Introductions】 2) “S.S. Light Package” A new product line infused with a condensed S.S. essence Stainless, the best material for kitchens ●18-8 Stainless (SUS304) S.S. Servo ●Drawers open/close with a push/pull Worktop Width Only ●Ｉ-Model Ｗ：2700, 2550 A
Slide 27: New Product Introductions: RAKUERA
Ⅱ． Medium-Term Strategy Progress 【New Product Introductions】 3) “RAKUERA” “RAKUERA”, a new brand of the widespread system kitchen. (On sale from March 31) 【Design】 Sleek design 【Function】 Standard equipment includes lockable knife storage to protect children and storage for dish towels, etc. 【Divers
Slide 28: The Kitchen Company: Systems
Ⅱ． Medium-Term Strategy Progress 3. “ The Kitchen Company” ② Systems Sales System ●Strengthen development of the “Water Section Workshop” Using currently-existing channels and promoting new business models ●Strengthen “showroom” functions Creating Cleanup fans via showrooms and sparking real demand
Slide 29: Water Section Workshop
Ⅱ． Medium-Term Strategy Progress 【Water Section Workshop】 ■Trends in the No. of Registered Companies (Companies) The number of registered “Water Section Workshop Member Stores” total approximately 1,100 (as of April 2008) No. of stores holding renovation seminars 995 stores Registrations Began Nov.
Slide 30: Cleanup Smile Membership
Ⅱ． Medium-Term Strategy Progress 【Cleanup Smile Membership】 “Cleanup Smile Member” 【No. of Member Contracts】 program kicked off in Sept. 2007 Approx. 2,000 members Applicable S.S., CLEANLADY, Aqulia Bath products (As of April 2008) Products delivered after Sept. 2007 ●Public relations using the “Pik
Slide 31: Business Process Reconstruction 1/2
Ⅱ． Medium-Term Strategy Progress 4. Business Process Reconstruction –1/2 ① A revolution in the CAD design environment through information/IT system investments ●Establish a system capable of outsourcing to work-at-home contractors ●Effective use of talented staff, beginning with Cleanup’s senior mem
Slide 32: Business Process Reconstruction 2/2
Ⅱ． Medium-Term Strategy Progress 4. Business Process Reconstruction –2/2 ③ Near completion of the Cleanup Group’s logistics reorganization ●Cleanup Logistics Co. merged with Cleanup Transportation Co. on April 1, 2008. 【History of the Reorganization of Distribution Subsidiaries】 Aug 1969 Cleanup Tra
Slide 33: Constant Strengthening of Food/Housing Communication
Ⅱ． Medium-Term Strategy Progress 5. Constant Strengthening of Food/Housing Communication Aiming, as “The Kitchen Company”, to redefine the kitchen as an important place for the family over the medium term by evoking the “dietary education” of Japan, and to create future demand and increase Cleanup b
Slide 34: Other Efforts: Expansion of the Sanitary Business
Ⅱ． Medium-Term Strategy Progress 6. Other Efforts 1) Expansion of the Sanitary Business System Bathroom “Aqulia Bath” ●Positively rated on safety, technology and Increasing market environmental issues, in addition to design, and share through the received a Good Design Award ordinary route, and ●Add
Slide 35: Other Efforts: CSR-Related
Ⅱ． Medium-Term Strategy Progress 6. Other Efforts 2) CSR-Related “Cleanup Heartful Co. Ltd.” February 8, 2008 Established as part of Cleanup’s CSR mission and for the purpose of creating employment opportunities for the disabled. March 14, 2008 Received approval from the Minister of Health, Labour a
Slide 36: Creation of Home Living Space Services
Ⅱ． Medium-Term Strategy Progress 7. Creation of Home Living Space Services Issues Promoted Thus Far Establishment of business structure focusing on “Customer Relations” and developing internal systems. ● Developing production, distribution, construction & service bases ● Reforming internal systems/c
Slide 37: Cleanup Corporation Investor Relations Contact
For any questions concerning investor relations, please contact: Cleanup Corporation Public Relations Section Tel 03-3810-8241 Fax 03-3893-9577 URL http://www.cleanup.jp/english/index.html 36
Slide 38: Disclaimer
Disclaimer This material is intended to provide information regarding FY2007 financial results (April 2007 - March 2008) and does not constitute a solicitation to invest in Cleanup Corporation-issued securities. Furthermore, this material was created based upon data current as of May 14, 2008. Opini