Yamato Holdings Co., Ltd. · TSE:9064
Yamato — Q3 FY2024/3 Earnings Presentation
24 slides from Yamato's earnings presentation, Feb 5, 2024
Slide 1: Yamato Group IR Presentation Material
Yamato Group IR Presentation Material ＜3rd Quarter of the Fiscal year ending March 2024＞ February 5, 2024 Yamato Holdings Co., Ltd. Copyright© YAMATO HOLDINGS CO., LTD. All rights reserved.
Slide 2: Summary of consolidated earnings (Q3 Oct.-Dec.)
1．Summary of consolidated earnings (Q3 Oct.-Dec.) 【Operating Results (Q3 Oct.-Dec.)】 • Operating revenue 500.2bn yen / (11.9)bn yen YoY → Q3 cumulative: 1,366.8bn yen /(29.1)bn yen YoY • Operating profit 38bn yen / (10.3)bn yen YoY → Q3 cumulative: 50.3bn yen /(16)bn yen YoY • Profit attributable to
Slide 3: Structural reform of network operation
2．Structural reform of network operation With volume being sluggish, Yamato worked to lower operating costs, such as by raising the utilization rate of the existing network, and making flexible use of the EC logistics network. However, last-mile productivity declined, due to the weakness in peak sea
Slide 4: Pricing strategy
3．Pricing strategy • Revision of Reported fares etc. for FY2024 → Based on recent inflationary trends etc., minimize impact to individuals who use TA-Q-BIN based on Reported fares etc. • Strengthen pricing towards corporate clients → With corporate clients for which discounted fares are applied (app
Slide 5: Consolidated earnings forecast (key metrics)
4．Consolidated earnings forecast (key metrics) Revised down the forecast, due to revenue from parcel delivery and international transportation being lower than expected and, although Yamato will continue to focus on optimizing operating costs, operating expenses are expected to be higher than antici
Slide 6: Differentiation through Carbon Neutral Delivery
5．Differentiation through “Carbon Neutral Delivery” • Made Carbon Neutrality Claim in accordance with international standard ISO 14068-1:2023 for “TA-Q-BIN”, “TA-Q-BIN Compact” and “EAZY” → Differentiation through “Carbon Neutral Delivery” for a sustainable future to promote the use of the delivery
Slide 7: Overview of Consolidated Results for the 3rd Quarter of the Fiscal Year Ending March 2024
Overview of Consolidated Results for the 3rd Quarter of the Fiscal Year Ending March 2024 Copyright© YAMATO HOLDINGS CO., LTD. All rights reserved.
Slide 8: Operating Results (Q3 Cumulative of FY 2024/3)
6．Operating Results (Q3 Cumulative of FY 2024/3) • Operating revenues decreased due to a continued decline in international cargo, although parcel delivery revenues increased as a result of pricing optimization in the face of continued sluggish demand for parcel delivery • Operating profit decreased
Slide 9: Operating Results (Q3 Oct.-Dec.)
7．Operating Results (Q3 Oct.-Dec.) FY2023/3 FY2024/3 (Billions of Yen) YoY Change Q3 Actual Q3 Actual Amount [%] Operating revenue 512.2 500.2 (11.9) (2.3) Operating profit 48.3 38.0 (10.3) (21.4) Profit margin [%] 9.4 7.6 (1.8) - Ordinary profit 45.9 37.9 (7.9) (17.4) Profit margin [%] 9.0 7.6 (1.4
Slide 10: Summary of Operating Revenue (Q3 Cumulative)
8． Summary of Operating Revenue (Q3 Cumulative of FY 2024/3) • Retail BU: Revenues decreased due to lower volume, despite a rise in unit prices • Corporate BU: Revenues decreased mainly due to the continued downward trend in international transportation, despite an increase in parcel delivery revenu
Slide 11: YoY Analysis of Operating Revenue (Q3 Cumulative)
9． YoY Analysis of Operating Revenue (Q3 Cumulative of FY2024/3) Retail Business Unit Corporate Business Unit Other Transportation income Transportation income ＋10.6 Transportation income +5.3 Logistical support income (29.4) (1.0) Logistical support income Logistics (10.2) Eliminations/Others + 0.3
Slide 12: Quarterly Trends of Parcel Delivery
10．Quarterly Trends of Parcel Delivery • Volume: Expanded new transactions with large corporate clients amid continued weakness in parcel delivery demand • Unit price: These new transactions and other factors slowed the unit price increase (YoY) FY2022/3 FY2023/3 FY2024/3 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1
Slide 13: Summary of Operating Expenses (Q3 Cumulative)
11．Summary of Operating Expenses (Q3 Cumulative of FY2024/3) • Progress in reducing labor costs by optimizing personnel to strengthen TA-Q-BIN network amid continued increases in wages, outsourcing unit prices, etc. FY2023/3 FY2024/3 YoY Change (Billions of Yen) Q3 (Cumulative) Q3 (Cumulative) Actua
Slide 14: YoY Analysis of Operating Expenses (Q3 Cumulative)
12．YoY Analysis of Operating Expenses (Q3 Cumulative of FY 2024/3) (Billions of yen) Personnel Expenses 66.4 (19.7) Subcontracting Expenses Vehicle 50.3 Other (6.1) Expenses operating Eliminations ＋0.9 expenses +6.6 Operating +5.2 Revenue (29.1) FY2023/3 Operating Operating FY2024/3 Q3 (cumulative)
Slide 15: Summary of Operating Expenses (Q3 October - December)
13．Summary of Operating Expenses (Q3 October - December) • Eliminations decreased due to the impact of exclusion of Yamato Staff Supply Co., Ltd. from the scope of consolidation FY2023/3 FY2024/3 (Billions of Yen) Q3 (Cumulative) Q3 (Cumulative) YoY Change Actual Actual Amount [%] Operating revenue
Slide 16: YoY Analysis of Operating Expenses (Q3 October - December)
14．YoY Analysis of Operating Expenses (Q3 October - December) (Billions of yen) Personnel Expenses 48.3 Subcontracting Expenses (11.4) (1.1) Vehicle Expenses Other 38.0 Operating operating ＋0.1 expenses Eliminations Revenue +6.4 (11.9) +4.3 FY 2023/3 FY 2024/3 Q3 (Oct. – Dec.) Operating Operating Q3
Slide 17: Operating Expenses (Quarterly / YoY change)
15．Operating Expenses (Quarterly / YoY change) FY2023/3 FY2024/3 Q1 Q2 Q3 Q4 Q1 Q2 Q3 (Billions of Yen) Apr.- YoY Change July- YoY Change Oct.- YoY Change Jan.- YoY Change Apr.- YoY Change July- YoY Change Oct.- YoY Change June Amount* [%]* Sep. Amount* [%]* Dec. Amount* [%]* Mar. Amount* [%]* June
Slide 18: Operating Results Forecast for FY 2024/3
16． Operating Results Forecast for FY 2024/3 • Parcel volume is revised upward due to the acquisition of new customers, but operating revenue is revised downward based on the assumption that parcel delivery revenues will be less than expected • Operating profit is revised downward due to a lower ope
Slide 19: Operating Results Forecast for FY2024/3 (Breakdown of Operating Expenses)
17．Operating Results Forecast for FY2024/3 (Breakdown of Operating Expenses and others) Despite progress in reducing personnel expenses by optimizing the headcount, overall operating expenses is revised upward from the previous forecast due to higher unit prices for subcontracting expenses, mainly c
Slide 20: Capital expenditure
18．Capital expenditure •• Promoting Made progress investments to establish in investments large-scale to establish consolidated large consolidated facilities facilities •• In In terms digital of digitalization, domain, continue to wefocus will on continue system to focus on system development develo
Slide 21: Operating Results Forecast for FY2024/3 Q4 (Jan.-Mar.)
Ref.－1 Operating Results Forecast for FY2024/3 Q4 (Jan.-Mar.) FY2023/3 FY2023/3 (Billions of Yen) YoY Change Q4 Actual Q4 Forecast Amount [%] Operating revenue 404.7 398.1 (6.5) (1.6) Subcontracting expenses 151.0 152.1 ＋1.1 ＋0.7 Commission expenses 81.6 86.0 ＋4.4 ＋5.4 Delivery commission 21.3 18.2
Slide 22: Structural reform of network operations (Status of cost per parcel)
Ref.－2 Structural reform of network operations (Status of cost per parcel) Transportation domain (Trunk-route and intra-regional transportation, Terminal operations) (1.7) yen: (0.1) yen: ■ FY2023/3 ＋3.4 yen: ■ FY2024/3 (Forecast) Cost*1 per parcel in transportation domain (Q3) from forecast from
Slide 23: Consolidation and enlargement of last-mile pickup & delivery facilities
Ref.－3 Structural reform of network operation (Consolidation and enlargement of last-mile pickup & delivery facilities) Trend of no. of last-mile facilities 3,291 3,248 Consolidation of existing pickup and delivery 3,138 3,086 facilities is progressing almost in line with plan 2,995 Approx. 2,800
Slide 24: Disclaimer
Disclaimer 免責事項 This material is intended for informational purposes only and is not a solicitation or offer to buy or sell securities or related financial この内容は、投資判断の参考となる情報の提供を目的としたもので、投資勧誘を目的としたものではありません。提供情報の内容については instruments. Ultimately it is the responsibility of investors to select and buy