Ichigo Inc. · TSE:2337
Ichigo — Asset Managers Holdings — FY2010 Earnings Presentation
29 slides from Ichigo's earnings presentation, Apr 26, 2010
Slide 1: Asset Managers Holdings Corporate Presentation
Asset Managers Holdings February 2010 Fiscal Year (March 2009 – February 2010) Corporate Presentation April 26, 2010
Slide 2: Laying the Foundation for Stable, Long-term Growth
Laying the Foundation for Stable, Long-term Growth 9 Corporate Name Change to Ichigo Group Holdings 9 Strengthened, More Flexible Balance Sheet 9 M&A Strategy 9 Protecting Our Shared Global Environment February 2010 Fiscal Year Summary 9 Continued Asset Dispositions 9 Repayment of Corporate Debt
Slide 3: Laying the Foundation for Stable, Long-term Growth
Laying the Foundation for Stable, Long-term Growth 3
Slide 4: Corporate Name Change to Ichigo Group Holdings
Corporate Name Change to Ichigo Group Holdings Will Become a Core Company of the Ichigo Group 9 Shared brand as trusted advisor to and investor for our clients 9 Client and operating synergies Schedule 9 Board of Directors approval: April 19, 2010 9 Shareholder vote at AGM: May 29, 2010 9 Effect
Slide 5: Strengthened, More Flexible Balance Sheet
Strengthened, More Flexible Balance Sheet Capital reduction will permit the payment of dividends and share repurchase Schedule 9 Board of Directors approval: April 19, 2010 9 Announcement to allow for creditors’ objection: April 27, 2010 9 Deadline for creditors’ objection: May 27, 2010 9 Sharehol
Slide 6: M&A Strategy
M&A Strategy First Strategic M&A Transaction: Takara Building Maintenance (March 2010) Strong company with net cash balance and stable, recurrent profitability Forecast to increase Feb. 2011 revenues by ¥1,544 million, recurring profit by ¥200 million, and net profit by ¥170 million Effective
Slide 7: Protecting Our Shared Global Environment
Protecting Our Shared Global Environment Asset Managers is the First “Zero Carbon” Public Real Estate Company in Japan Reducing and offsetting our carbon dioxide emissions to zero over the next three years Fully committed to fulfilling our social responsibilities and protect our shared environme
Slide 8: February 2010 Fiscal Year Summary
February 2010 Fiscal Year Summary 8
Slide 9: Continued Asset Dispositions
Continued Asset Dispositions Shrank B/S through Asset Sales (Assets decreased ¥9 billion YoY) Net Assets Increased by ¥12 billion YoY 9 CB Conversion: ¥8.2 billion Equity Ratio: 17.3％ Equity Ratio: 32.6％ Equity Ratio: 49.3％ Liabilities -2.1 43.1 Liabilities Liabilities Assets 30.3 21.7 Assets As
Slide 10: Repayment of Corporate Debt
Repayment of Corporate Debt Halved Corporate Debt During the Year (¥-18 billion) Total Borrowings 36.6 Total Borrowings 32.6 Total Borrowings 28.2 Total Borrowings -6.6 Decreased by Short-term Debt 25.0 CB Conversion -5.3 ¥18.2 billion 15.5 Total Borrowings Short-term Debt 15.2 Short-term Debt 18.4
Slide 11: Secure Profitability
Secure Profitability Four Consecutive Quarters of Profitability Revised Full-Year Earnings Forecast Upward on April 15, 2010 (Million yen) Progress towards Full-Year Forecast before Revenues (Cumulative) Revision: Revenues: 100.1%, Net Profit: 139.0% Net Profit / Loss (Cumulative) 21,112 21,100
Slide 12: February 2011 Fiscal Year Earnings Forecast
February 2011 Fiscal Year Earnings Forecast Feb 2010 Full-Year Consolidated Forecast and Results (Million yen) Forecast (before Feb 10 Full-Year Progress Feb 09 Full-Year Revision) Revenues 21,100 21,112 100.1% 50,444 Operating Profit 1,100 1,108 100.7% -46,170 Recurring Profit 400 573 143.3% -54,
Slide 13: Forward Business Strategy
Forward Business Strategy Shifting from Recovery to Growth Rebrand as a core company of the Ichigo Group Improve Profitability 9 Secure stable fee revenues by launching new funds and refinancing existing funds 9 Seek synergies with Ichigo’s investors and other Ichigo-related real estate companie
Slide 14: Appendix: Pro Forma Financial Data
Appendix: Pro Forma Financial Data 14
Slide 15: Pro Forma Financials
Pro Forma Financials Under Japanese accounting rules, SPCs in which AMH is a greater than 50% investor or SPCs for which AMH is the asset manager and no single equity investor holds more than 50% of the total investment must be consolidated onto AMH’s balance sheet. Further Refining Our Pro Form
Slide 16: Balance Sheet (Pro Forma)
Balance Sheet (Pro Forma) (Million yen) Feb 09 Feb 10 Change Total Assets 52,067 42,804 -9,263 Cash and Cash Equivalents 6,459 5,268 -1,191 Investment (Real Estate) 7,419 5,707 -1,712 Investment (Domestic companies) 5,029 2,046 -2,983 Investment (Overseas companies) 11,214 10,434 -780 Real Estate He
Slide 17: P&L (Pro Forma)
P&L (Pro Forma) Breakdown (Million yen) Feb 10 Feb 10 Revenues 14,127 Revenues 14,127 Real Estate Management Fees 1,638 Cost of Revenues 9,785 Advisory Fees 403 Gross Profit 4,342 Rental Income 2,206 Real Estate Sales / Dividends 2,084 SG&A** 3,012 Securities Sales / Dividends 6,113 Operating Profit
Slide 18: Appendix: Consolidated Financial Data
Appendix： Consolidated Financial Data 18
Slide 19: Balance Sheet (Consolidated)
Balance Sheet (Consolidated) (Million yen) Feb 09 Feb 10 Q1 Feb 10 Q2 Feb 10 Q3 Feb 10 Q4 QoQ change YoY change Total Assets 140,875 122,038 118,229 117,850 100,268 -17,582 -40,607 Cash and Cash Equivalents 18,449 15,169 16,267 14,102 10,728 -3,374 -7,721 Operating Investments in Securities 11,779 1
Slide 20: Breakdown of Assets (Consolidated)
Breakdown of Assets (Consolidated) (Million yen) Feb 09 Feb 10 Q3 Feb 10 Q4 QoQ Change YoY Change Outside The Outside The Outside The in the in the Amount Investors' Company's Amount Investors' Company's Amount Investors' Company's Company's Company's Interests Interests Interests Interests (B) Inte
Slide 21: P&L (Consolidated)
P&L (Consolidated) (Million yen) Feb 09 Feb 10 Full-Year Feb 10 Q1 Feb 10 Q2 Feb 10 Q3 Feb 10 Q4 Progress Full-Year Full-Year Forecast Revenues 50,444 8,722 6,704 3,699 1,986 21,112 21,100 100.1% Cost of Revenues 80,408 7,547 5,794 2,351 1,297 16,991 － － Gross Profit -29,963 1,174 909 1,348 688 4,12
Slide 22: P&L Breakdown (Consolidated)
P&L Breakdown (Consolidated) (Million yen) Feb 09 Feb 10 Change Revenues 50,444 21,112 -29,332 Fees 1,623 963 -660 Equity Dividends 143 403 260 Rents 9,178 7,279 -1,899 Sales of Real Estate 30,500 5,416 -25,084 Sales of Equity 3,794 6,113 2,319 Others 5,201 938 -4,263 Gross Profit -29,963 4,120 34,0
Slide 23: Appendix: Real Estate Data
Appendix： Real Estate Data 23
Slide 24: Cumulative Assets Under Management
Cumulative Assets Under Management Historic Cumulative AUM Exceeds ¥1 trillion Strong Long-Term Track Record of Managing Real Estate for Clients (billion yen, # of funds in parenthesis) 1,164.5 1,175.1 1,200.0 1,128.4 （141） （141） REIT （137） 64.0 64.0 Operating 64.0 Development (As of February 20
Slide 25: Assets Under Management
Assets Under Management Expertise across Full Spectrum from Development to Operating Assets (As of February 2010) 90% of Current Portfolio is Comprised of Operating Assets Development (billion yen) 7% 600.0 REIT Operating 530.1 Development 496.0 500.0 62.0 426.5 Operating 93% 400.0 335.9 330.6 2
Slide 26: Real Estate Portfolio
Real Estate Portfolio Mainly Office, although Significant Track Record across a Wide Variety of Asset Types Particular Experience in Managing Small & Mid-Size Assets from ¥1 – 5 billion in Tokyo AUM by Type # of Properties by Type (As of February 2010) (Unit: # of buildings) Nursing Other AUM by
Slide 27: AMH Real Estate Cap Rates
AMH Real Estate Cap Rates Cap Rates Increased Due to Early Adoption of Lower of Cost or Market Rule Continually Mark Assets In-line with Current Market Pricing and Eliminate Any Unrealized Losses from B/S 9 Cap rates changed QoQ due to asset dispositions (As of February 2010) Real Estate Investm
Slide 28: Investor Relations Going Forward
Investor Relations Going Forward Institutional Investors & Analysts: Starting this fiscal year, Asset Managers will be conducting meetings for institutional investors and analysts per the following schedule: 1. Large meeting for institutional investors and analysts: first half and full-year (curre
Slide 29: These materials were prepared to explain the Company’s businesses and are not for the
These materials were prepared to explain the Company’s businesses and are not for the purpose of soliciting investment in marketable securities issued by the Company. The Company does not guarantee the accuracy of the figures, information, estimates or other statements included herein, and accepts n
Asset Managers Holdings — FY2010 Earnings Presentation on 6ix