Pci Hodings Inc. · TSE:3918

Pci Hodings — PCI Holdings — FY2022 Earnings Presentation

43 slides from Pci Hodings's earnings presentation, Nov 24, 2022

Slide 1: PCI Holdings, Inc. Financial Results for the Fiscal Year Ended September 2022
PCI Holdings, Inc. (TSE Prime Market, Stock Code: 3918) Financial Results for the Fiscal Year Ended September 2022 Copyright (C) 2022 PCI Holdings, INC. All Rights Reserved. 2022.11.24
Slide 2: To our stakeholders
To our stakeholders PCI Holdings which was established in 2005 is still a young pure holding company with consolidated subsidiaries engaged in IT-related businesses under our umbrella. Our distinctive Group with the aim of becoming “a company that contributes to a safe, secure, and prosperous societ
Slide 3: Table of Contents
Table of Contents 1. Executive Summary 2. FY9/22 Financial Results 3. FY9/22 Topics 4. FY9/23 Business forecasts 5. Progress of Medium-term Management Plan 6. PCI’s SDGs 7. Company Profile 8. Appendix 2 Copyright (C) 2022 PCI Holdings, INC. All Rights Reserved.
Slide 4: Executive Summary
Executive Summary Net income Net sales Operating income attributable to owners of parent ¥25.17bn （+18.5％YoY） ¥1.44bn （+23.0％YoY） ¥643mn （-4.0％YoY）【Business environment】 IT investment demand remained firm as a result of increased demand for information systems due to the acceleration of DX using ad
Slide 6: Consolidated balance sheet
Consolidated balance sheet • Inventory assets increased as a result of consolidation of SORD CORPORATION. Decrease in cash and deposits is due to repayment of borrowings. • Equity ratio increased to 45.9% (42.8% at the end of the previous fiscal year) (Million yen) End-FY9/21 End-FY9/22 (Million yen
Slide 7: Consolidated cash flows
Consolidated cash flows (Million yen) FY9/21 FY9/22 (Million yen) FY9/21 FY9/22 CF from operating activities 948 736 CF from financing activities 848 ▲1,227 ▲934 ▲868 Increase (decrease) in borrowings and Income before income taxes 1,211 1,175 corporate bonds Depreciation and amortization 155 197 Di
Slide 8: Summary of consolidated statements of income
Summary of consolidated statements of income • In addition to existing businesses, SORD CORPORATION, which became a subsidiary in the previous fiscal year, contributed to the full-year results. Net sales and each profit significantly increased YoY. • "Loss on valuation of securities" is recorded as
Slide 9: Results by business
Results by business • In the Embedded solutions domain, despite the impact of rising component prices in the hardware field and the rapid depreciation of the yen, sales increased YoY due to brisk sales of software development for automobile- related and construction machinery. • In the Business solu
Slide 10: Results by business: Embedded Solution
Results by business: Embedded Solution Net sales Gross profit Gross margin Net sales 12,401 million yen (+39.3% YoY) (Millions of yen) 12,401 Gross profit 2,207 million yen (+22.1% YoY) 8,899 *Excluding intersegment figures 21.6% • Steady growth in automobile-related projects, as well as growth in c
Slide 11: Results by business: Business Solution
Results by business: Business Solution Net sales Gross profit Gross margin Net sales 8,092 million yen (Millions of yen) （+2.8％ YoY） 8,092 7,441 7,858 Gross profit 2,240 million yen （+10.1％ YoY） *Excluding intersegment figures 25.2% 25.9% 27.7% • Increased number of projects to shift systems to the
Slide 12: Results by business: IoT/IoE Solution
Results by business: IoT/IoE Solution Net sales Gross profit Gross margin Net sales 2,350 million yen （▲3.2％ YoY） (Millions of yen) 2,452 2,428 2,350 Gross profit 1,185 million yen （▲3.0％ YoY） *Excluding intersegment figures 50.3% 50.4% 44.9% • Steady growth in IoT for heavy machinery and constructi
Slide 13: Results by business: Semiconductor Total Solution
Results by business: Semiconductor Total Solution Net sales Gross profit Gross margin Net sales 2,325 million yen （+13.4％ YoY） (Millions of yen) 2,325 2,049 Gross profit 706 million yen （+14.4％ YoY） 1,781 30.4% *Excluding intersegment figures 30.1% • Increased inquiries for substrates as production
Slide 15: Accelerate the development of human resources for DX
① Accelerate the development of human resources for DX representing the Metaverse/Web3 era Participated in "LEVEL BOOST", an educational platform operated by our business alliance partner, ORENDA WORLD Corporation <Overview of LEVEL BOOST> ORENDA Corporation PCI group Local governments and Supportin
Slide 16: Practical application of AI-based vehicle detection system
② Practical application of "AI-based vehicle detection system" Rear-end vehicle detection system provided by our consolidated subsidiary PCI Solutions INC. is featured in PATLITE Corporation's catalog (their hardware partially provided by SORD CORPORATION). While working on the expressway, it is dan
Slide 17: SMS delivery service started
③ SMS (short-messaging service) delivery service started "FourS Message", a SMS distribution service developed by our consolidated subsidiary leafnet Co., Ltd., began alliance with "BIZTEL", a linked cloud-based call center system developed by LINK, INC. *New response system via SMS for calls waitin
Slide 18: Strengthen the organizational structure and promote work style reforms
④ Strengthen the organizational structure and promote work style reforms • R&D investment since listing (IT solutions and semiconductor total solutions) FY9/15 FY9/16 FY9/17 FY9/18 FY9/19 FY9/20 FY9/21 FY9/22 IT Solutions Dependability * Smart Community * Renewable Energy O&M * ID Collaboration Fram
Slide 19: Establish the Sustainability Committee
⑤ Establish the Sustainability Committee We established the Sustainability Committee, chaired by the President and Representative Director, to further strengthen our sustainability initiatives and realize the sustainable growth of our group, with the aim of achieving both social and corporate sustai
Slide 21: Our company's four business domains
Our company’s four business domains • Four cross-sectional businesses spanning software and hardware, from software development to semiconductor business. Our strength lies in our knowledge and technological capabilities in both software and hardware. Emphasis on software Emphasis on hardware Busine
Slide 22: Market overview by business segment
Market overview by business segment • Social digitization accelerated due to the COVID-19 disaster, and DX market is trending upward. • The market for automotive semiconductors and other semiconductors is expected to remain strong over the long term due to rapid digitization, EV adoption, and full-s
Slide 23: FY9/23 Business forecasts
FY9/23 Business forecasts The business environment is expected to remain firm against the backdrop of demand for IT capital expenditures, such as IoT, AI and metaverse, due to the rapid progress of digitization and DX in society as a whole. FY9/22 FY9/23 YoY (Millions of yen) Results Forecasts Net s
Slide 24: Shareholder returns
Shareholder returns ・Targeting a consolidated dividend payout ratio of 30% to 50%, maintaining a payout ratio of over 30% since listing ・Aiming to improve comprehensive returns, aiming to improve overall returns. Dividend per share(yen) Pay out ratio(%) 89.0 54.1 48.4 42.1 41.7 40.7 48.5 31.0 25* 25
Slide 26: Mid-term Management Plan PCI-VISION 2023 – strategy theme
Mid-term Management Plan “PCI-VISION 2023” – strategy theme Regardless of software or hardware, respond to all IT needs of customers establishing one-stop solutions × Embedded Solutions Business solutions Product design and test IT services・ IoT/IoE plan, manufacture, sale, Cybersecurity maintenance
Slide 27: Medium-Term Management Plan Targets
Medium-Term Management Plan Targets -Changed from challenge targets to realizable targets ・ Significant growth by taking on the challenge for targets→ Aiming to exceed 30 billion in net sales! • With the consolidation of SORD CORPORATION into a wholly owned subsidiary in January 2021, we have shifte
Slide 28: PCI-VISION 2023 Quantitative Targets
Medium-term Management Plan "PCI- VISION 2023" Quantitative Targets (Millions of yen) FY9/21 Results FY9/22 Results FY9/23 Plan Net sales 21,248 25,170 30,000 Operating income 1,174 1,445 1,800 Net income attributable to owners of parent 669 643 1,070 Net income per share (yen) 76.12 63.97 106.34 RO
Slide 29: 5 main strategies in the Medium-term Management Plan and their progress
5 main strategies in the Medium-term Management Plan and their progress ① Expansion and qualitative improvement of system engineering services business → Demand is recovering from the COVID-19 disaster. To win cutting-edge projects in the digital society, including the start of entry into the Smart
Slide 31: Our SDGs policy
Our SDGs policy ・Our Group will contribute to a “safe, secure, and prosperous society" with IT, and will work on SDGs under four themes from both business and corporate activities. Secure, Safe, and Prosperous Society Contribution Contribution through business as a company "Safety and security" Cont
Slide 32: Aiming for safe, secure, and prosperous society
Aiming for “safe, secure, and prosperous society” ・We will continue our social activities focusing on contribution to “safe, secure, and prosperous society" ・We will continue to work toward “the realization of carbon neutral in 2050” CSR ESG SDGs 2015 2016 2017 2018 2019 2020 2021 2022 Listed on TSE
Slide 33: Our policy on addressing sustainability issues
Our policy on addressing sustainability issues We recognize that dealing with issues related to sustainability is an important management issue. Going forward, we aim to realize a sustainable society and increase corporate value over the medium to long term by actively and continuously implementing
Slide 35: Corporate profile
Corporate profile Corporate 2,091.89 million yen PCI Holdings, Inc. Capital name (as of the end of Sep. 2022) Net sales 25,170 million yen (FY9/22 result) Established April 2005 (Consolidated) 30,000 million yen (FY9/23 forecast) Operatine Tokyo Stock Exchange Prime market 1,445 million yen (FY9/22
Slide 36: Executive structure and list of bases
Executive structure and list of bases Executive structure (As of Sep. 30, 2022) PCI Group bases Title Name Career, etc. Toyomi Executive Managing Director, NCR Corporation Chairman Amano Director, The Shinkin Banks Information System Center Managing Executive Officer, Deputy Director of Corporate Di
Slide 38: Approach to M&A and Partner Strategy
Approach to M&A and Partner Strategy • Promote partner strategy as a prior investment for medium- to long-term growth • We are constantly working on multiple projects and actively considering capital participation Consideration Minority investment Capital and business alliance ○ Agreed Project Infor
Slide 39: Background of capital and business alliance with Restar Holdings
Background of capital and business alliance with Restar Holdings ・Signed a capital and business alliance agreement with Restar Holdings in 2018 and established “Co- creation committee” ・Aim to establish one-stop solutions for IT services through “co-creation” with our Group strong in software develo
Slide 40: Integrated production and sales concept with Restar Holdings
Integrated production and sales concept through collaboration with Restar Holdings Corporation We will develop high value-added products based on our knowledge of software and hardware, using parts and materials procured from Restar Holdings, which is strong in electronics products, and sell them to
Slide 41: YouTube channel PCI NETWORK
YouTube channel “PCI NETWORK” A YouTube channel produced and distributed by in-house personnel. This channel introduces the background of IR news, business content, Q&A and topics. Click here for channel registration and viewing ＞＞Channel Copyright (C) 2022 PCI Holdings, INC. All Rights Reserved. 40
Slide 42: Precautions
Precautions No information in this material is intended to solicit the purchase or sale of our shares. The statements regarding business forecasts and future forecasts contained in this material are forecasts determined by us based on the information obtained at the time of preparation of the materi

PCI Holdings — FY2022 Earnings Presentation on 6ix

Pci Hodings — PCI Holdings — FY2022 Earnings Presentation

Slide 1: PCI Holdings, Inc. Financial Results for the Fiscal Year Ended September 2022

Slide 2: To our stakeholders

Slide 3: Table of Contents

Slide 4: Executive Summary

Slide 5: FY9/22 Financial Results

Slide 6: Consolidated balance sheet

Slide 7: Consolidated cash flows

Slide 8: Summary of consolidated statements of income

Slide 9: Results by business

Slide 10: Results by business: Embedded Solution

Slide 11: Results by business: Business Solution

Slide 12: Results by business: IoT/IoE Solution

Slide 13: Results by business: Semiconductor Total Solution

Slide 14: FY9/22 Topics

Slide 15: Accelerate the development of human resources for DX

Slide 16: Practical application of AI-based vehicle detection system

Slide 17: SMS delivery service started

Slide 18: Strengthen the organizational structure and promote work style reforms

Slide 19: Establish the Sustainability Committee

Slide 20: FY9/23 Business forecasts

Slide 21: Our company's four business domains

Slide 22: Market overview by business segment

Slide 23: FY9/23 Business forecasts

Slide 24: Shareholder returns

Slide 25: Status of Medium-term Management Plan

Slide 26: Mid-term Management Plan PCI-VISION 2023 – strategy theme

Slide 27: Medium-Term Management Plan Targets

Slide 28: PCI-VISION 2023 Quantitative Targets

Slide 29: 5 main strategies in the Medium-term Management Plan and their progress

Slide 30: PCI's SDGs

Slide 31: Our SDGs policy

Slide 32: Aiming for safe, secure, and prosperous society

Slide 33: Our policy on addressing sustainability issues

Slide 34: Company Profile

Slide 35: Corporate profile

Slide 36: Executive structure and list of bases

Slide 37: Appendix

Slide 38: Approach to M&A and Partner Strategy

Slide 39: Background of capital and business alliance with Restar Holdings

Slide 40: Integrated production and sales concept with Restar Holdings

Slide 41: YouTube channel PCI NETWORK

Slide 42: Precautions

Slide 43: Positively, Change, Innovate