Autobacs Seven Co., Ltd. · TSE:9832
Autobacs Seven — FY2024 Earnings Presentation
45 slides from Autobacs Seven's earnings presentation, May 13, 2024
Slide 1: Results for the year ended March 31, 2024
Results for the year ended March 31, 2024 AUTOBACS SEVEN CO., LTD. May 13, 2024
Slide 2: Consolidated Results of FY March 2024 and Forecasts for FY March 2025
Consolidated Results of FY March 2024 and Forecasts for FY March 2025 １．Overview of Business Results P. 3 ２．Domestic AUTOBACS Business P. 6 ３．Overseas Business P. 8 ４．Car Dealership, BtoB and Online Alliance Business P. 10 5．Initiatives to Achieve Management Emphasizing Capital Cost P. 12 6．Financia
Slide 3: Consolidated Results of FY March 2024, Forecasts for FY March 2025
Consolidated Results of FY March 2024 Forecasts for FY March 2025 General Manager Corporate Management Noritaka Hiraga
Slide 4: Overview of Business Results
FY March 2023 Consolidated P/L Sales were strong during the first half of the year against the backdrop of demand for the Business Results maintenance of existing owned cars, but sales of winter products slumped in the second half of the Overview of year due to the warm winter. Measures were impleme
Slide 5: Key Points of Consolidated Financial Results
Key Points of Consolidated Financial Results Business Results Overview of Domestic ✓ Sales of winter products such as snow tires and tire chains fell sharply from the previous year due to the impact of the warm winter. ✓ Oil and batteries performed well due to maintenance demand for existing cars. ✓
Slide 6: Segment Information
Segment Information （Million Yen） FY March 2024 FY March 2023(*1) YoY Summary Business Results Overview of Sales 172,113 174,577 -1.4% Oil and batteries performed well due to maintenance demand for existing cars. Used car Domestic purchase and sales were strong due to an increase Gross profit 56,120
Slide 7: Retail Sales in Total AUTOBACS Group Stores
Retail Sales in Total AUTOBACS Group Stores Retail Sales in Total AUTOBACS Group Stores 281.5 billion yen YoY +0.0％ Result YoY Domestic AUTOBACS （Billion Yen） 300 281.3 281.5 Business Automotive 250 213.1BY -1.5% goods & services 200 216.3 213.1 40.5BY +5.4% Used car 150 purchasing & sales 37,925 ca
Slide 8: Sales Variance by Merchandise
Sales Variance by Merchandise (YoY change in amount; total store basis) （Million Yen） 2,000 Domestic AUTOBACS 1,341 Business Car Electronics Maintenance Motor Sports 1,000 902 Items Car Leisure Goods Car Repair Wheels Goods Parts Tires 206 53 14 0 Oil Batteries services) and maintenance safety inspe
Slide 9: Overseas Business Sales and Operating Income Changes
Overseas Business Sales and Operating Income Changes Sales rose, mainly due to stepped up sales and marketing to existing customers, resulting in positive profits. Overseas Business Main factors: Operating Income Sales increased due to stepped up sales and Sales (Million Yen) marketing to existing c
Slide 10: Performance by Overseas Subsidiaries
Performance by Overseas Subsidiaries （Million Yen） France Australia Singapore China Malaysia Number of 8 0 2 0 5 stores Overseas Business 24/3 23/3 24/3 23/3 24/3 23/3 24/3 23/3 24/3 23/3 Period Full Year Full Year Full Year Full Year Full Year Full Year Full Year Full Year Full Year Full Year Net s
Slide 11: Car Dealership, BtoB and Online Alliance Business: Sales and Operating Income
Car Dealership, BtoB and Online Alliance Business Sales and Operating Income Changes - In the Car Dealership Business, sales and profits fell due to the transfer of shares in two second-tier subsidiaries, despite the strong sales of a subsidiary that is an authorized Audi dealer. - In the BtoB Busin
Slide 12: Car Dealership, BtoB and Online Alliance Business Overviews
Car Dealership, BtoB and Online Alliance Business Overviews Car Dealership Online Alliance BtoB Business Business Business ✓ ✓ Steady increase in the number ✓ Launched “MOBILA”, a general Car Dealership, BtoB and The number of new cars and used Online Alliance Business cars sold increased on the bac
Slide 13: Initiatives to Achieve Management Emphasizing Capital Cost
Initiatives to Achieve Management Emphasizing Capital Cost The PBR is around 1. The Company will boost its PBR by （倍） increasing capital efficiency and corporate value. PBR（Times） ROE（%） 2 10% Initiatives PBR ROE(%) Initiatives ✓ Emphasizing capital cost and 5.8% 5.8% 6.0% capital profitability 5.7%
Slide 14: Assumption of Business Environment for FY March 2025
Assumption of Business Environment for FY March 2025 ✓ Demand increase of statutory safety inspection and automotive maintenance by the improvement Positive of vehicle longevity. factors ✓ Demand increase of car accessories reflecting the recovery of new car production. ✓ Demand increase of used car
Slide 15: Forecast for Consolidated Result
Forecast for Consolidated Result FY March FY March 2025 (Forecast) 2024 Result 1st Half YoY 2nd Half YoY Full Year YoY （Billion Yen） Net sales 229.8 109.6 -2.0% 130.6 ＋10.8% 240.3 ＋4.5% 75.4 38.2 ＋2.1% 45.1 ＋18.9% 83.4 ＋10.6% Financial Gross profit Forecast Gross profit ratio 32.8% 34.9% 34.6% 34.7%
Slide 16: Forecast by Segment
Forecast by Segment FY March FY March 2025 (Forecast) 2024 Result 1st Half 2nd Half Full Year YoY (Million yen) Domestic Sales 172,113 84,164 98,641 182,805 +6.2% AUTOBACS Business Operating 16,721 7,480 12,520 20,000 +19.6% Financial Forecast income Sales 15,375 9,131 9,743 18,875 +22.8% Overseas B
Slide 17: Dividends and Share Buyback Forecast for FY March 2025
Dividends and Share Buyback Forecast for FY March 2025 Dividends per Share Dividends and Share Buyback （Yen） （Billion Yen） Interim dividend Amount of share buyback 80 80 Year-end dividend (commemorative dividend) Dividends paid Year-end dividend Financial Forecast 60 60 29.9 30 30 30 30 30 40 40 10
Slide 18: Capital Expenditures & Depreciation Forecast for FY March 25
Capital Expenditures ＆ Depreciation Forecast for FY March 2025 Capital Expenditures Depreciation （Billion Yen） （Billion Yen） 10 6 9.14 5.20 9 4.96 5 8 Financial Forecast 7.18 4.16 4.30 7 6.30 4 3.85 6.00 6 5 3 3.99 4 2 3 2 1 1 0 0 FY March FY March FY March FY March FY March FY March FY March FY Mar
Slide 19: Store Openings and Closings
Store Openings and Closings FY March 2024 No. of No. of stores at 1st Half No. of 2nd Half stores at Domestic end of stores at end of March New S&B R/L Close end of Sep New S&B R/L Close March 2023 2023 2024 AUTOBACS 496 +1 +1/-1 497 +２ +２/-２ ４９９ Super AUTOBACS 74 74 +１/-１ 74 AUTOBACS Secohan 4 4 -1
Slide 20: Initiatives in FY March 2024 and Future Initiatives
Initiatives in FY March 2024 and Future Initiatives Representative Director & Chief Executive Officer Yugo Horii
Slide 21: Key Messages for Today
Key Messages for Today - Towards sustainable and medium-to-long-term growth 2023年度チェン方針 - Review of priority initiatives in FY March 2023 「質を高めて客数を増やす」 - Medium- to long-term growth strategies - Targets for FY March 2025 - Initiatives for ESG/SDGs 2023/06/30 ニュースリリース 「カー用品に関する調査」においてカー用品販売店No.1を２年連続
Slide 22: AUTOBACS Franchise Chain Reform
Towards sustainable and medium-to-long-term growth AUTOBACS Franchise Chain Reform ～ Implement the change of franchise chain package and royalty fee ～ 21
Slide 23: Review of priority initiatives
Review of priority initiatives １． Improve execution and increase speed ２． Strengthen initiatives for sustainable growth Initiatives Priority ３． Continue human resource development initiatives 22
Slide 24: Review of priority initiatives
Review of priority initiatives １． Improve execution and increase speed - Development of ROIC by business △ - Review of business portfolio - Strengthening initiatives for strategic businesses 〇 ２． Strengthen initiatives for sustainable growth Initiatives Priority - “Evolution as a Retailer" by integr
Slide 25: Improve execution and increase speed: Development of ROIC by business
１． Improve execution and increase speed Development of ROIC by business ◼ Business portfolio optimization - Pursue optimal allocation of capital ● Set ROIC targets for - Maximize returns and reduce wasted capital each business ● Using ROIC to evaluate ◼ Improve profitability General Managers - Ident
Slide 26: Review of business portfolio
１． Improve execution and increase speed Review of business portfolio ◼ Major Initiatives - Domestic AUTOBACS Business Reformed the cost structure of the franchise chain headquarters and reallocated personnel to AUTOBACS stores. Made changes to AUTOBACS franchise chain packages, etc. - Overseas Busin
Slide 27: Strengthening initiatives for strategic businesses
１． Improve execution and increase speed Strengthening initiatives for strategic businesses ◼ Responding to the proliferation of ZEVs, including EVs - BYD new store opened (BYD Utsunomiya, BYD Nerima, etc.) - Invested in ASF Co., Ltd., which plans, manufactures, and sells EVs - Installed a super-rapi
Slide 28: Evolution as a Retailer by integrating online and physical stores
２． Strengthen initiatives for sustainable growth “Evolution as a Retailer” by integrating online and physical stores ◼ Offering Seamless Customer Buying Experience - Advance payment for merchandise purchased through online stores and installation work costs. Speedy delivery of merchandise and servic
Slide 29: Evolution from a Retailer through DX by utilizing unique data
２． Strengthen initiatives for sustainable growth “Evolution from a Retailer" through DX by utilizing unique data ◼ Proposal of optimal mobility life for customers - Changing the membership program An app comprehensively manages information and supports customers' car lifestyles. Changed booking scre
Slide 30: Responding to automobile safety and security
２． Strengthen initiatives for sustainable growth Responding to automobile safety and security ◼ Promoting efforts to achieve zero traffic accidents - Holding community-based traffic safety awareness events Events held at AUTOBACS Group stores nationwide in cooperation with local police and other gov
Slide 31: Continue human resource development initiatives
３． Continue human resource development initiatives Construct a personnel structure to steadily implement the strategy ◼ Recruitment, development, Number of End of March End of March Increase/ Employees 2023 2024 decrease and retention of vehicle mechanics Class 3 1,127 1,166 ＋39 - Developing career
Slide 32: Medium- to long-term growth strategies
Medium- to long-term growth strategies ◼ Announced Long-term vision “Beyond AUTOBACS Vision 2032” （May 2023) ◼ Announced 2024 Medium-term Management Plan “Accelerating Towards Excellence” （May 2024） Medium- to long-term growth strategies 31
Slide 33: Targets for FY March 2025
Targets for FY March 2025 Numerical Targets (Consolidated) Sales 240.3 BY Operating income 12.0 BY Ordinary income 12.5 BY Targets for FY March 2025 Profit attributable to owners of parent 7.7 BY ROE 6.0% ROIC 6.0％ 32
Slide 34: Initiatives for ESG・SDGs: APPENDIX
Initiatives for ESG・SDGs : APPENDIX ESG・SDGｓ 33 *The FY2030 goal has been revised upward, since the original FY2030 goal was exceeded. *Preliminary figures.
Slide 35: Initiatives for ESG・SDGs: APPENDIX
Initiatives for ESG・SDGs : APPENDIX Non-financial targets ： Promoting social contribution related KPI： Installation of rapid chargers to automobiles Installing rapid EV chargers particularly Donated four vehicles to support victims of at stores in Tokyo and other urban areas the 2024 Noto Peninsula
Slide 36: In Closing
In Closing AUTOBACS will celebrate the 50th anniversary of the launch of its first store in November 2024. 35
Slide 37: Five-year Rolling Plan: Initiatives of each business
Five-year Rolling Plan: APPENDIX Initiatives of each business Domestic AUTOBACS Business Renewed AUTOBACS membership system Strengthening product power through （September 2023） PB and 50th anniversary merchandise - Renewed its membership system for the first time in 18 years. - We will seek to stren
Slide 38: Five-year Rolling Plan: Efforts to create networks
Five-year Rolling Plan: APPENDIX Efforts to create networks Overseas Alliance Car Trading Business Overseas Business Network Leading to the development of career human Started recruiting AUTOBACS CARS resources for automobile mechanics together franchise members for used car purchasing with a promin
Slide 39: Five-year Rolling Plan: Initiatives of each business
Five-year Rolling Plan: APPENDIX Initiatives of each business Car Dealership Business BtoB Business Expansion of Corporate Solutions Responding to the spread of ZEV and Business opening EV shops (March 2024） - FLEETGUIDE, a cloud-based company vehicle - Opened BYD AUTO Nerima management system equip
Slide 40: Five-year Rolling Plan: Initiatives of each business
Five-year Rolling Plan: APPENDIX Initiatives of each business Brand Business Expansion Business Launched the new camper GMLVAN G-01 under AUTOBACS Group stores began handling the label of GORDON MILLER MOTORS micromobilities (March 2024） (February 20２４） - Largest vehicle in the GMLVAN series - Start
Slide 41: FY March 2024 Used Car Purchasing and Sales
FY March 2024 Used Car Purchasing and Sales Total ３７,９２５cars YoY +８.５％ BtoB Sales Retail Details No. of cars sold Details No. of cars sold Sales to Headquarters １，１９８ Used cars ７，１４３ Sales to AA(Auto Auction) via ６，０３０ New cars ３，６５２ Headquarters Direct sales from stores １9，９0２ BtoB total ２７，１３０ Ret
Slide 42: Domestic Store Sales/Number of Purchasing Customers Changes
Domestic Store Sales/Number of Purchasing Customers Changes [Same store basis (YoY)] Sales: -0.2% Number of purchasing customers: -2.6% Sales 20% 10% 0% -10% -20% 20% Number of Purchasing Customers 10% 0% -10% 2023 2024 -20% Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Environment Relaxing behavi
Slide 43: Balance Sheet: Assets
Balance Sheet: Assets 194.3BY 191.0BY 197.2BY 217.9BY 194.9BY （Billion Yen） Cash and 33.4 deposit 24.5 25.3 35.0 31.2 Notes and accounts 32.3 receivable - 26.1 26.1 26.9 22.3 trade Merchandise 24.6 Accounts 23.8 22.6 25.8 24.3 receivable - other 32.9 27.1 18.9 26.0 19.3 Other current assets 9.6 10.2
Slide 44: Balance Sheets: Liabilities and Equity
Balance Sheets: Liabilities and Equity 194.3BY 191.0BY 197.2BY 217.9BY 194.9BY （Billion Yen） Notes and 34.9 accounts payable - trade 17.6 19.1 25.0 0.6 22.0 1.8 1.2 19.0 0.0 15.7 1.9 Short-term 12.9 12.4 15.2 borrowings 13.6 11.0 14.9 11.7 12.7 6.0 6.6 6.5 6.5 6.0 Accounts 11.7 11.7 11.1 10.9 10.7 p
Slide 45: Forward-Looking Statements
Forward-Looking Statements These materials include forecasts regarding the Company’s future plans, strategies, and performance. This information is based on judgments and forecasts made in accordance with information currently available. Actual results may differ materially from forecasts due to suc