Wedge Holdings Co., Ltd. · TSE:2388

Wedge — Q3 2013 Earnings Presentation

32 slides from Wedge's earnings presentation, Aug 29, 2013

  1. Slide 1: Wedge Holdings Company Limited Business Presentation

    Wedge Holdings Company Limited Business Presentation August 2013 August 29, 2013 www.wedge-hd.com 1

  2. Slide 2: Contents

    Contents Part 1 3rd Quarter Cumulative Financial Part 3 Prospects & Future Efforts Results −Outlook of Finance Business −Consolidated Operating Results (P/L) • Further Growth in Thailand −Revenue comparison excluding quarterly • Area Expansion in Thailand irregular factors • History of GL’s regional

  3. Slide 3: 3rd Quarter Cumulative Financial Results

    3rd Quarter Cumulative Financial Results 3

  4. Slide 4: Consolidated Operating Results (P/L)

    Consolidated Operating Results (P/L) （unit：1000 yen） 3rd Quarter 3rd Quarter YOY September 2012 September 2013 Sales 2,419,212 3,533,668 146.1% Operating Profit 604,637 735,653 121.7% Recurrent Profit 661,284 821,059 124.2% Current Net Profit 172,598 614,367 356.0% 4

  5. Slide 5: Revenue comparison excluding irregular factors in each period

    Revenue comparison excluding irregular factors in each period （unit：1000 yen） Irregular Factors 3rd Quarter 3rd Quarter YOY Excluded September 2012 September 2013 Sales 2,419,212 3,533,668 146.1% Operating Profit 477,156 735,653 154.2% Recurrent Profit 495,711 790,259 159.4% Current Net Profit 130,7

  6. Slide 6: Consolidated Financial Position (B/S)

    Consolidated Financial Position (B/S) （unit：1000 yen） 3rd Quarter Consolidated B/S September 2012 YoY September 2013 Current Assets 7,537,356 15,158,316 201.1% Fixed Assets 2,919,440 3,803,846 130.3% (Breakdown) Investments and other 2,217,052 2,982,050 134.5% assets Total Assets 10,456,797 18,962,1

  7. Slide 7: Segment Results

    Segment Results （unit：1000 yen） 3rd Quarter 3rd Quarter Segments YoY September 2012 September 2013 Sales 1,562,791 2,907,625 186.05% Finance Business Segment Profit 584,846 870,018 148.76% Sales 541,487 447,510 82.64% Entertainment Business Segment Profit 206,886 77,083 37.26% Sales 2,419,212 3,533,

  8. Slide 8: Main Topics

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  9. Slide 9: Substantial increase in consolidated net assets

    Substantial increase in consolidated net assets 3rd Quarter Consolidated B/S September 2012 Margin YoY September 2013 Total Net Assets 6,503,246 10,159,766 3,656,520 156.2% Net assets over 10 billion yen. Substantially increased by approximately 3.65 billion yen. 9

  10. Slide 10: Finance Business: Continuous increase of new contracts

    【Finance Business】 Continuous increase of new contracts  Transition of New Monthly Contracts 9,000 8,000 7,000 6,000 5,000 4,000 3,000 2011 2,000 2012 1,000 2013 0 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 10

  11. Slide 11: Finance Business: Results of increased contracts reflected in profits

    【Finance Business】 Results of increased contracts greatly reflected in profits Segment Profit 3rd Quarter 3rd Quarter Segments YoY September 2012 September 2013 Sales 1,562,791 2,907,625 186.05% Finance Business Segment Profit 584,846 870,018 148.76% 11

  12. Slide 12: Rapid leasing growth from business expansion

    Rapid leasing growth from business expansion  Approximately 98% of port-folio growth within a year June 30, 2013 March 31, 2012 4,040 million baht （Approx. 12.5 billion yen） 2,041 million baht （Approx. 6.3 billion yen） ※Yen-denominated value as of August 20, 2013 For convenience of calculation, 1 b

  13. Slide 13: Finance Business Steady Increase of Revenue

    Finance Business Steady Increase of Revenue 13

  14. Slide 14: Entertainment Business: Weak Sales, Struggle Continues

    【Entertainment Business】 Weak Sales, Struggle Continues （単位：千円） 3rd Quarter 3rd Quarter Segments YoY September 2012 September 2013 Sales 541,487 447,510 82.64% Entertainment Business Segment Profit 206,886 77,083 37.26%  Sluggish royalty income of Card Game continues  Declined profits due to decre

  15. Slide 15: Other Businesses: Zeavola Resort's Contribution

    【Other Businesses】 Zeavola Resort’s Contribution  Zeavola Resort’s equity method investment earnings year-on-year significantly increased to a record high. 3rd Quarter 2012 3rd Quarter 2013 YoY Sales 377,796 510,032 135.0% Equity Earnings 22,556 63,790 282.8% 15

  16. Slide 16: Zeavola Resort's Features

    Zeavola Resort’s Features  Phi Phi Islands, Thailand’s Luxury Resort  Possession of the largest private beach on the island Bangkok  Customer base extended from Phuket Europeans to wealthy Asians Phi Phi Islands 16

  17. Slide 17: High customer satisfaction and repeaters

    High customer satisfaction and repeaters  Constantly top rated in leading travel information sites 17

  18. Slide 18: High Reputation as a Natural Resort

    High Reputation as a Natural Resort  Evaluated for its coral reef, birds conservation and environmental education  Aims to be a sustainable resort with unique water reserve facilities. 18

  19. Slide 19: Prospects & Future Efforts

    Prospects & Future Efforts 19

  20. Slide 20: Further growth in Thailand

    Further growth in Thailand Pursuit of Further Business Expansion for 2013 Finance Business in Thailand Monthly Contract First half of Target 2013 Monthly 2012 4Q Contract Monthly Standard 2012 ３Q Contract Monthly Standard Contract Standard Approx. 2011 10,000 Approx. Units Monthly Approx. 8,000 Ave

  21. Slide 21: Area Expansion in Thailand

    Area Expansion in Thailand Operations of GL in the 1st half of 2013 Province with GL HQ and branches Province of operating regions with business partners Province without GL branches 21

  22. Slide 22: History of GL's regional expansion

    History of GL’s regional expansion Expansion Phase of GL Sales Offices  1. Head of office (BKK) May 1986  2. Ayutthaya Jul 2008  3. Amata (Chonburi) Sept 2008  4. Nakornrachasrima Jul 2009  5. Rayong Aug 2009  6 Borwin (Chonburi) Feb 2012  7.Chaiyaphum Aug 2013  8. Buri Rum Aug 2013 Province

  23. Slide 23: Economic Situation in Thailand

    Economic Situation in Thailand Downward revision of GDP growth forecast 23

  24. Slide 24: Further Enhance Profitability in Thailand

    Further Enhance Profitability in Thailand  GL’s Marketing Strategy： From area dominant to area expansion  2011～1st half of 2013 Actively expands portfolio through strengthening sales • Primary Objectives: Increase new dealers within the area. Increase total amount of new contracts through expansio

  25. Slide 25: Business Plans for Cambodia

    Business Plans for Cambodia  June 31, 2013 Initial Consolidation • Advanced with the perfection of product line-ups and related services. • Continuous expansion of business network.  4Q 2013（Oct～Dec) Contribution of Monthly Revenue • Proceed with regional expansion to establish sales offices in al

  26. Slide 26: Establishment of Business Structure in Phnom Penh

    Establishment of Business Structure in Phnom Penh Established sales offices in all retailers within the capital area. 26

  27. Slide 27: Development foreseen in 2013

    27 Development foreseen in 2013 Expansion throughout Cambodia in 2013 Ratanakiri Battambang Phnom Penh 27

  28. Slide 28: Outlook of Entertainment Business

    Outlook of Entertainment Business  Promoting the Development of Card Game Business  Development contract for the second production title “Shingeki no Kyojin” (Advance of the Giants) with GREE Entertainment Products Inc.  Proceeding with the expansion of Card Game related business © GREE, Inc. 28

  29. Slide 29: Financial Forecasts, Goals & Other Topics

    Financial Forecasts, Goals & Other Topics 29

  30. Slide 30: Financial Forecast for September 2013

    Financial Forecast for September 2013 Revised annual earning forecast 2013 2013 2012 Results Initial Earning Forecast Revised Earning Forecast Sales 3,319 4,500 4,900 Operating Profit 842 1,250 950 Recurrent Profit 894 1,250 1,050 Current Net Profit 172 1,400 650 • Significant tendency in increment

  31. Slide 31: Effects of Change Processing of Extraordinary Income

    Effects of Change Processing of Extraordinary Income  Effects from the rescheduling of extraordinary income record • Demerit – Estimated record of extraordinary income decreased 750 million yen from 1,005 million yen • Merit – Expected goodwill occurred from the recording of extraordinary income el

  32. Slide 32: Thank you!

    Thank you! Contact details for IR-related inquiries Wedge Holdings CO., LTD. Management Administration Department TEL: 03-6225-2161 / FAX: 03-3548-0566 wedge-ir@wedge-hd.com http://www.wedge-hd.com *Materials stated include statements concerning the future, but these statements are guaranteed future

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