Jvckenwood Corporation · TSE:6632
Jvckenwood — Q2 FY2015 Earnings Presentation
27 slides from Jvckenwood's earnings presentation, Nov 5, 2014
Slide 1: Results and Forecasts Briefing, Second Quarter FYE March 2015
Translation for Reference Only JVCKENWOOD Results and Forecasts Briefing Second Quarter of Fiscal Year Ending March 2015 JVC KENWOOD Corporation November 5, 2014 Copyright © 2014 JVCKENWOOD Corporation. All rights reserved.
Slide 2: Abbreviations
[Abbreviations] CE: Car Electronics (Segment) Consumer (Business) OEM (Business) PS: Professional Systems (Segment) COM: Communications (Business) Pro: Prosystem (Business) Healthcare (Business) EFJT： EF Johnson Technologies, Inc. O&A: Optical & Audio (Segment) Audio (Business) Imaging (Business) Im
Slide 3: Agenda
1. Overview of financial results for the second quarter of the fiscal year ending March 2015 2. Summary of financial results for the second quarter and restructuring of organization and sales companies 3. Full-year earnings forecast FYE3/’15 3
Slide 4: 1. Overview of financial results for the second quarter
1. Overview of financial results for the second quarter of the fiscal year ending March 2015 2. Summary of financial results for the second quarter and restructuring of organization and sales companies 3. Full-year earnings forecast FYE3/’15 4
Slide 5: Financial Results for 2Q - Summary
Financial Results for 2Q (1-2Q) of FYE3/’15 - Summary * Net sales declined last year of 91% of the level, due to negative impacts worth approximately JPY8.0 billion from selling the business. * The structural and business reforms produced significant impacts on financial results, turning to the blac
Slide 6: Consolidated Net Sales (By Segment)
Financial Results for 2Q (1-2Q) of FYE3/’15 - Consolidated Net Sales (By Segment) * Results for 1-2Q:JPY135.4B. (YoY Change: - 8.8%) [Sales declined.] CE: Domestic sales were negatively affected by the tax hike, while overseas sales achieved the same level as the previous year, backed by solid per
Slide 7: Consolidated Net Sales (By Region)
Financial Results for 2Q (1-2Q) of FYE3/’15 - Consolidated Net Sales (By Region) * Results for 1-2Q:JPY135.4B. (YoY Change: - 8.8%) (Sales declined.) Asia and China: Positive impacts mainly by Shinwa’s consolidation resulted in a boost in sales. Japan: Sales declined mainly due to the loss on th
Slide 8: Consolidated Operating Income (By Segment)
Financial Results for 2Q (1-2Q) of FYE3/’15 - Consolidated Operating Income (By Segment) * Results for 1-2Q:JPY1.1B (YoY Change: +JPY3.3B) (Turning to the black) All segments achieved increases in earnings, being attributed to structural and business reforms CE: Achieved surplus thanks to busine
Slide 9: Consolidated Operating Income (By Factor)
Financial Results for 2Q (1-2Q) of FYE3/’15 - Consolidated Operating Income (By Factor) * The effectiveness of structural reforms (i.e. personnel cost reduction both in Japan and overseas) showed the positive impacts with the worth of JPY3.1B on the first half actual results, being nearly close to t
Slide 10: Consolidated Ordinary Income
Financial Results for 2Q (1-2Q) of FYE3/’15 - Consolidated Ordinary Income * Results for 1-2Q: - JPY0.4B (YoY Change: +JPY3.8B) Profitability was improved along with growth in operating profit. In addition, non-operating income and expenses showed improvement by JPY 0.5B, being attributed to a r
Slide 11: Consolidated Net Income
Financial Results for 2Q (1-2Q) of FYE3/’15 - Consolidated Net Income * Results for 1-2Q: - JPY 3.0B (YoY Change: +JPY2.1 B) Profitability was improved along with recovery in ordinary profit/losses. Booking of extraordinary losses of approximately JPY1.1B from the sale of the U.S. subsidiary. Co
Slide 12: Balance Sheet Summary
Financial Results for 2Q of FYE3/’15 - Balance Sheet Summary * Total assets: Decline by JPY14.9B mainly due to a reduction in cash and deposits associated with expenses for the structural reform as well as repayments of borrowings. * Interest-bearing debts (i.e. total of borrowings and corporate bon
Slide 13: Interest-bearing Debts
Financial Results for 2Q of FYE3/’15 - Interest-bearing Debts *Reductions in interest-bearing debts and net debts are underway in phases. Change in interest-bearing debts (consolidated) (Billion yen) Net debts Cash & deposits 160 1,600 Redemption of bonds Redemption of bonds payable worth 134.1 paya
Slide 14: Capital Adequacy Ratio
Financial Results for 2Q of FYE3/’15 - Capital Adequacy Ratio * Net assets rose due to an increase in foreign currency translation adjustments driven by the weak yen against major currencies. The capital adequacy ratio rebounded to the 20% level. Change in capital adequacy ratio (consolidated) (Bill
Slide 15: Cash Flow Summary
Financial Results for 2Q (1-2Q) of FYE3/’15 - Cash Flow Summary * Free cash flow turned out negative value mainly caused by expense outflow worth approximately JPY6.4B associated with the structural reform which was executed in the previous period. (Billion yen) FYE FYE FYE 1-2Q Reference 3/’12 3/’1
Slide 16: (Reference) Information by Segment
(Reference) Information by Segment 16
Slide 17: Car Electronics
Financial Results for 2Q (1-2Q) of FYE3/’15 - Car Electronics * Net sales: Consumer Sales achieved the same level as the previous period, thanks to strong performance in Asia, despite negative impacts on domestic demand due to the reaction to the last-minute demand before the consumption tax hike. S
Slide 18: Professional Systems
Financial Results for 2Q (1-2Q) of FYE3/’15 - Professional Systems * Net sales： Net sales in COM increased, backed by the rebound in the North America, the largest market, as well as the positive impacts from the acquisition of a U.S. firm, EF Johnson Technologies, Inc. (EFJT). Pro achieved sales at
Slide 19: Optical & Audio
Financial Results for 2Q (1-2Q) of FYE3/’15 - Optical & Audio * Net sales： Audio sales declined due to sluggish performance in home audio products. Imaging sales were adversely affected by the narrow-down of camcorder product lines. Sales in Image/Optical fell due to a downturn in projectors. * Oper
Slide 20: Entertainment Software
Financial Results for 2Q (1-2Q) of FYE3/’15 - Entertainment Software * Net sales: Content recovered in the 2nd quarter from the slowdown caused by the change in article composition, attaining sales at the same level as the previous year. Sales in OEM declined due to the postponed release of outsourc
Slide 21: 3. Full-year earnings forecast FYE3/'15
1. Overview of financial results for the second quarter of the fiscal year ending March 2015 2. Summary of financial results for the second quarter and restructuring of organization and sales companies 3. Full-year earnings forecast FYE3/’15 21
Slide 22: Summary of Financial Results for 2Q: Business results on a sound recovery track
Summary of Financial Results for 2Q (1-2Q) “Business results are on a sound recovery track” * The structural and business reforms solidly produced positive impacts on business results. Recovery in operating profit/loss of the 2nd quarter compared with the previous period was 1.5 times of that in the
Slide 23: Organizational restructuring
Organizational restructuring * Completion of the Home business reform (Shift to BtoB) Accelerated the transfer of resources from BtoC to BtoB in the first half period. - Imaging achieved a surplus in the 2nd quarter. Resources were transferred to in-car cameras/professional-use cameras. Integrat
Slide 24: Reorganization of sales companies
Reorganization of sales companies * Americas Integration of the North American sales companies (2 companies 1 company): as of October 1 Integration of Canadian sales companies (3 companies 1 company): by the end of the second half. * Europe Integration of British sales companies (3 compani
Slide 25: 3. Full-year earnings forecast FYE3/'15
1. Overview of financial results for the second quarter of the fiscal year ending March 2015 2. Summary of financial results for the second quarter and restructuring of organization and sales companies 3. Full-year earnings forecast FYE3/’15 25
Slide 26: Full-year Earnings Forecast FYE3/'15
Full-year Earnings Forecast FYE3/’15 * With review of foreign exchange rates, JVCKENWOOD decided to keep the full-year earnings forecast unchanged. Strong recovery in CE and COM drives overall performance. The home business reform has also been completed. Net sales, excluding negative impacts wo
Slide 27: Forward-looking statements
Expressions contained in this presentation referring to the Company‘s future plans, intentions and expectations are categorized as future forecast statements. Such statements reflect management expectations of future events, and accordingly, are inherently susceptible to risk, uncertainty and このプレゼン