Matsukiyococokara & Co. · TSE:3088

Matsukiyococokara & — H1 FY2022 Earnings Presentation

41 slides from Matsukiyococokara &'s earnings presentation, Nov 18, 2022

Slide 1: Financial Results for the Six Months Ended September 30, 2022
Financial Results for the Six Months Ended September 30, 2022 Copyright 2022 November 18, 2022 MatsukiyoCocokara & Co. MatsukiyoCocokara & Co. All rights Reserved.
Slide 2: Table of Contents
Table of Contents Management summery for First Half / Management policies for Second Half P.3 ～ P.5 Financial Results and Financial Forecasts P.6 ～ P.17 Financial Results for 1H FY2022 ・ Financial Summary (YoY) ・Segment Results (YoY) ・Net Sales by Product ・Balance Sheet ・Statement of Cash Flows ・Sto
Slide 3: Management summary for First Half / Management policies for Second Half
Management summary for First Half Management policies for Second Half Copyright 2022 MatsukiyoCocokara & Co. All rights Reserved. 3
Slide 4: Management Summary for the First Half of FY2022
Management Summery for the First Half of FY2022 The Covid-19 infection situation continued, but there were no restrictions on activities, and the foot traffic was on a Increase recovery track. in sales The weather was relatively favorable, and summer seasonal products were sold well. Increase in Exp
Slide 5: Management policies for the Second Half of FY2022
Management policies for the Second Half of FY2022 Positioning for FY2022 Key Strategies （FY2022) Japan Strategies ❚Provide social value Provision of values that correspond to the life stages of customers We will provide social value by considering the Pursuit of convenience health of our customers,
Slide 7: Financial Summary (YoY)
Financial Results for 1H FY2022 Financial Summary (YoY)  The gross profit margin was 34.3%, up 3.1 percentage points from 31.2% in the previous fiscal year, due to the realization of integration synergies.  Even including goodwill amortization associated with the integration, the operating profit
Slide 8: Financial Summary (YoY) - Reference
Financial Results for 1H FY2022 Financial Summary (YoY) Combined and compared with Cocokara fine Inc.'s results for the six months Reference ended September 30, 2021. (Millions of yen) Six Months Ended Six Months Ended September 30, 2021 September 30, 2022 (Apr - Sep 2021) (Apr - Sep 2022) Change Ch
Slide 9: Segment Results (YoY)
Financial Results for 1H FY2022 Segment Results (YoY) (Millions of yen) Six Months Ended Six Months Ended Change Change September 30, 2021 September 30, 2022 (amount) (%) (Apr - Sep 2021) (Apr - Sep 2022) Matsumotokiyoshi Net sales 271,055 276,276 5,221 1.9% Group Segment profit (loss) 16,192 18,801
Slide 10: Segment Results (YoY) - Reference
Financial Results for 1H FY2022 Segment Results (YoY) Excluding amortization of goodwill of 3,144 million yen and amortization of trademark rights Reference of 473 million yen associated with the management integration with cocokara fine Inc. (Millions of yen) Six Months Ended Six Months Ended Chang
Slide 11: Net Sales by Product
Financial Results for 1H FY2022 Net Sales by Product (Millions of yen) Net sales Gross profit margin (Apr - Sep 2022) (%) YoY change YoY change Difference for (amount) (%) YOY（point） Medical and pharmaceutical products 159,245 77,344 94.4% 42.7% +0.6pt Dispensing 74,925 48,602 184.6% 39.8% -0.1pt Co
Slide 12: Balance Sheet
Financial Results for 1H FY2022 Balance Sheet (Millions of yen) End of March, 2022 End of September, 2022 Change Current assets 298,215 316,130 17,915 Cash and deposits 74,519 83,523 9,004 Merchandise 131,104 135,871 4,767 Non-current assets 354,308 355,852 1,543 Property, plant and equipment 107,12
Slide 13: Statement of Cash Flows
Financial Results for 1H FY2022 Statement of Cash Flows (Millions of yen) Six Months Ended Six Months Ended September 30, 2021 September 30, 2022 Change (Apr - Sep 2021) (Apr - Sep 2022) Net cash provided by (used in) operating activities 17,774 28,650 10,876 Cash flows from investing activities (5,
Slide 14: Store openings, closings, and renovations in Japan
Financial Results for Store openings, closings, and renovations in Japan 1H FY2022 (Unit: No. of stores) Number of stores Openings Closings Renovations Number of stores as of March 31, 2022 in 1 H in 1 H in 1 H as of Sep 30, 2022 Matsumotokiyoshi Group 1,808 44 17 21 1,835 Dispensing pharmacies 372
Slide 15: FY2022 Financial Forecasts
Financial Forecasts for FY2022 FY2022 Financial Forecasts  The consolidated financial forecasts announced on May 13, 2022 was revised on November 14, 2022. (Millions of yen) FY2022 FY2022 Full Year Previous forecasts Revised forecasts Change Change （May 13, 2022）（November 14, 2022） (amount) (%) %
Slide 16: Store openings, closings, and renovations plan in Japan
Financial Forecasts for FY2022 Store openings, closings, and renovations plan in Japan (Unit: No. of stores) Full-year Full-year Full-year Number of stores Number of stores as of Number of stores as of store store store as of March 31, March 31, 2022 Sep 30, 2022 openings closings renovations (f) (f
Slide 17: Dividends plan
Financial Forecasts for FY2022 Dividends plan  Annual cash dividends per share: 80 yen  Ordinary dividends: 70 yen  Commemorative dividends: 10 yen Annual total (f) Dividends per share trend (yen) 80 65 70 70 70 Fiscal year- 35円 end 30円 35円 40 30円 35 35 35 35 Second quarter-end 30 35 35 35 40 201
Slide 19: Progress of Management Integration Synergies
Progress of Management Integration Synergies FY2020 FY2021 FY2022 FY2023 FY2024 Gross profit improvement Unification of Unification of Merchandising Integration NB(National shelf allocation wholesalers Brand) Increase synergies by increasing sales force Unify product Shift to joint PB(Private lineup
Slide 21: Operating profit margin for the First Half of FY2022
Operating profit margin for the First Half of FY2022 Matsumotokiyoshi Group Cocokara fine Group Retail business Retail business Operating profit margin 6.9 ％ Operating profit margin 6.7 ％＋0.6pt YoY change ＋3.6pt YoY change Copyright 2022 MatsukiyoCocokara & Co. All rights Reserved. 21
Slide 22: Overall picture of strategic steps
Overall picture of strategic steps Japan Strategy “Provision of values that correspond to the life stages of customers” Pursuit of convenience – deeper ties with customers Platform Development Pursuit of uniqueness – renewal of experience and service provisions Pursuit of specialization – evolution
Slide 23: Number of Customer Contact Points
Number of Customer Contacts Points Overseas SNS LINE Digital contacts Real contacts Total number of contacts Point card members 47.7 million 123.6 million APP Apps +122% YoY +107％ YoY MKG 94.5 million +118%YoY MKG 34 million +108%YoY CFG 29.1 million +136%YoY CFG 13.7million +103%YoY Digital members
Slide 24: Sales via Web and Smartphone
Sales via Web and Smartphone Sales trends using web and smartphone apps MC&C 118％ YoY MC&C 248 billion yen CFG127％ YoY CFG 76 billion yen MKG115％ YoY MKG 172 billion yen MKG 135 billion yen MKG MKG 40 billion yen 100 billion yen FY2016 FY2019 FY2020 FY2021 1H FY2022 Copyright 2022 MatsukiyoCocokara
Slide 25: Private Brands
Private Brands Private Brand First half of FY2022 PB product sales 108 ％ YoY PB product sales composition ratio 12.2 ％ +0.9pt YoY MKG12.8% +0.7pt YoY CFG 11.1% +1.2pt YoY Copyright 2022 MatsukiyoCocokara & Co. All rights Reserved. 25
Slide 26: Media Business: NB Advertising Services Business
Media Business NB Advertising Services Business First half of FY2022 Number of transactions 136% YoY Operating profit margin 75% YoY Copyright 2022 MatsukiyoCocokara & Co. All rights Reserved. 26
Slide 27: Future Development Direction: Real x Digital platform
Future Development Direction “Real x Digital" platform Customer Delivery Customer Contacts 120million Matsumotokiyoshi Group Cocokara fine Group Web・Apps Stores No. of stores 3,300 DX/OMO Wide range of data Marketing Infrastructure Customer Integrated Database /Products Merchandise procurement 1tril
Slide 28: Overseas Store Openings
Overseas Store Openings Number of overseas operations Hong Kong No. 4th store 4 countries Thailand, Taiwan, Vietnam, Hong Kong Number of overseas stores 53 stores as of Sep 30 2022 Overseas store sales growth rate 200％ Jan-Sep 2021 vs. Jan-Sep 2022 Total in Japanese Yen 2016年 2022年 Copyright 2022
Slide 30: Corporate profile
Corporate profile Trade name MatsukiyoCocokara ＆ Co． Address 1-8-2 Yushima, Bunkyo-ku, Tokyo Main business Group-wide strategy formulation, strategy implementation support and management and administration Chairman, Representative Director Namio Matsumoto President, Representative Director Kiyoo Mat
Slide 31: History of the Management Integration
History of the Management Integration Oct. 1, 2021 1932 1954 MatsukiyoCocokara ＆ Co． Founded Matsumoto Pharmacy From private enterprise to as a privately-run enterprise incorporated body 2007 1937 Established Matsumotokiyoshi Holdings Co., Ltd. Established Segami Pharmacy 2008 Established Cocokara f
Slide 32: Group Management Targets for FY ending March 2026
Philosophy, Vision, and Management Targets Group Management Targets for the Fiscal Year Ending March 31, 2026 The Group aims to achieve the following sales and profits in order to become Asia's No.1 drugstore and establish a leading position in the health and beauty fields. Group net sales 1.5 trill
Slide 33: Organizational Structure of the Group
Organizational Structure of the Group Organizational structure of the group Main business activities of MatsukiyoCocokara & Co.  Holding company  Group-wide strategy formulation, strategy implementation support and management and MatsukiyoCocokara & Co. administration Main business activities of M
Slide 34: Toward the Realization of a Sustainable Society
Toward the Realization of a Sustainable Society The Group will contribute to the achievement of the SDGs and create corporate value by addressing human, environmental, social, and governance challenges and practicing sustainable management. ＜Goals＞ Exists as a corporate group that is rewarding to wo
Slide 35: Toward the Realization of a Sustainable Society
Toward the Realization of a Sustainable Society Integrated Report 2022" issued on August 12, 2022, for the first time since the management integration We have determined KPIs and KGIs tied to the five materialities announced on October 1, 2021, and positioned them as the foundation for strategically
Slide 36: Net Sales by Product
Net Sales by Product Medical and pharmaceutical products Cosmetics (Billions of yen) Matsumotokiyoshi Group Matsumotokiyoshi Group (Billions of yen) Cocokara fine Group Cocokara fine Group 159.2 146.3 170.8 177.3 145.1 153.5 149.6 138.7 137.3 135.2 55 57.3 59.3 62.7 58.3 67.7 76.3 45.5 45 54 115.7 1
Slide 37: Dispensing
Dispensing Dispensing sales Dispensing pharmacy stores (Billions of yen) (Stores) Matsumotokiyoshi Group Matsumotokiyoshi Group Cocokara fine Group 74.9 Cocokara fine Group 899 67.9 827 55.4 56.5 601 654 49.8 47.4 561 507 41.6 469 28 31.1 32.1 299 327 283 21.7 24.2 24.4 26.3 27.4 278 302 327 358 392
Slide 38: Stores by Area
Stores by Area MatsukiyoCocokara & Co. Group total 3,374 stores in Japan （As of Sep 30, 2022） Hokkaido Tohoku 130 ❚ Matsumotokiyoshi Group ： 1,835 MKG 93 CFG 37 ❚ Cocokara fine Group ：1,539 Koshinetsu Hokuriku 241 Chugoku MKG 177 Shikoku 214 CFG 64 MKG 66 CFG 148 Kyushu Kanto 1,444 Okinawa 304 MKG 1
Slide 39: Customer Contact Points, and PB Product Sales
Customer Contact Points, and PB Product Sales PB product sales Customer contact points MatsukiyoCocokara & Co. MatsukiyoCocokara & Co. Sales composition ratio of PB products 12.2 ％ 1,769 SKU Total 123.57 million （As of Sep 30, 2022）（As of Sep 30, 2022） Total Matsumotokiyoshi Cocokara fine (Million)
Slide 40: 5 years full-years results
5 years full-years results Operating profit and operating profit Net sales and No. of stores Gross profit and gross profit margin (%) margin (%) 10,00 0 (Stores) 3,325 3,500 (Billions of yen) 40.0 800 (Billions of yen) 32.9％ 7.5 32.7 6.3 6.4 32.1 6.0 700 9,000 3,000 3,000 30.3 31.2 35.0 600 5.7 5.6％
Slide 41: Cautionary Statement
Cautionary Statement This document contains future outlooks such as plans, forecasts, strategies, and others which are not historical fact and these are made by the management’s judgement based on the obtainable information at the time of the disclosure. Actual results may significantly differ from

MatsukiyoCocokara & — H1 FY2022 Earnings Presentation on 6ix

Matsukiyococokara & — H1 FY2022 Earnings Presentation

Slide 1: Financial Results for the Six Months Ended September 30, 2022

Slide 2: Table of Contents

Slide 3: Management summary for First Half / Management policies for Second Half

Slide 4: Management Summary for the First Half of FY2022

Slide 5: Management policies for the Second Half of FY2022

Slide 6: Financial Results and Financial Forecasts

Slide 7: Financial Summary (YoY)

Slide 8: Financial Summary (YoY) - Reference

Slide 9: Segment Results (YoY)

Slide 10: Segment Results (YoY) - Reference

Slide 11: Net Sales by Product

Slide 12: Balance Sheet

Slide 13: Statement of Cash Flows

Slide 14: Store openings, closings, and renovations in Japan

Slide 15: FY2022 Financial Forecasts

Slide 16: Store openings, closings, and renovations plan in Japan

Slide 17: Dividends plan

Slide 18: Progress of Management Integration Synergies

Slide 19: Progress of Management Integration Synergies

Slide 20: Key Strategic Themes

Slide 21: Operating profit margin for the First Half of FY2022

Slide 22: Overall picture of strategic steps

Slide 23: Number of Customer Contact Points

Slide 24: Sales via Web and Smartphone

Slide 25: Private Brands

Slide 26: Media Business: NB Advertising Services Business

Slide 27: Future Development Direction: Real x Digital platform

Slide 28: Overseas Store Openings

Slide 29: Appendix

Slide 30: Corporate profile

Slide 31: History of the Management Integration

Slide 32: Group Management Targets for FY ending March 2026

Slide 33: Organizational Structure of the Group

Slide 34: Toward the Realization of a Sustainable Society

Slide 35: Toward the Realization of a Sustainable Society

Slide 36: Net Sales by Product

Slide 37: Dispensing

Slide 38: Stores by Area

Slide 39: Customer Contact Points, and PB Product Sales

Slide 40: 5 years full-years results

Slide 41: Cautionary Statement