Trial Holdings.inc. · TSE:141A
Trial Holdings.inc — Q3 FY2024 Earnings Presentation
42 slides from Trial Holdings.inc's earnings presentation, May 14, 2024
Slide 1: Presentation: FY2024 Q3 Results
Presentation Revolutionize "real commerce" FY2024 Q3 (July 1, 2023-March 31, 2024) around the globe with technology and practical savvy. Trial Holdings Inc. May 14, 2024
Slide 2: Contents
Contents １ Company Overview ２ Outline of FY2024 Q3 Results 3 IR Activities
Slide 3: Company Overview
TIRIAL HLDGS Company Overview
Slide 4: Philosophy
Philosophy Q3 FY2024 3 Company Overview Company Overview Philosophy //About Philosophy AboutUsUs Enrich every aspect of people’s lives Q3 FY2024 Financial Results through all we do. Q3 FY2024 Summary Results by Business Segment Key Strategies Growth in Existing Stores Store Opening / Closure Revolut
Slide 5: Integrate real store operations and retail tech R&D
Integrate real store operations and retail tech R&D Q3 FY2024 4 Company Overview Company Overview Distribution and Philosophy //About Philosophy AboutUsUs Retail Business Retail AI Business The power to distribute goods with our highly The ability to fully leverage data and IoT Q3 FY2024 Financial R
Slide 6: Nation-wide network with multiple formats
Nation-wide network with multiple formats Q3 FY2024 5 Open mainly Super center format that generates the highest profitability. Company Overview Company Overview Total Store count : 315 (As of the end of March 2024) Philosophy //About Philosophy AboutUsUs Super Center (SuC) MEGA Center Q3 FY2024 Fin
Slide 7: EDLP Business Model
EDLP Business Model Q3 FY2024 6 TRIAL offers variety of assortment at competitive price. Company Overview Company Overview Food including just-made ready meals are key items as localized daily necessities stores. Philosophy //About Philosophy AboutUsUs Every Day Low Price for customers to live bette
Slide 8: History started with IT Retail
History started with IT Q3 FY2024 7 Company Overview Company Overview Retail Evolution of Real Stores and Expansion of Store Networks Philosophy //About Philosophy AboutUsUs Q3 FY2024 Financial Results Established Q3 FY2024 Summary Business 200 Acceleration of Store 1st 1st Acquired CowBoy Co., Ltd.
Slide 9: Retail Tech Supports Distribution and Retail Business
Retail Tech Supports Distribution and Retail Business Q3 FY2024 8 Create the next generation shopping experience by deeply understanding our customers through real Company Overview Company Overview stores and data utilization. Philosophy //About Philosophy AboutUsUs e3-SMART MD-Link Retail Map Q3 FY
Slide 10: Strong Track Record of Continuous Sales Growth
Strong Track Record of Continuous Sales Growth Q3 FY2024 9 Accomplished sales growth for 23 consecutive fiscal years *1 through flexible strategies adapting to Company Overview Company Overview market changes. 23 700 350 Philosophy //About Philosophy AboutUsUs (JPY Bn) (Stores) Q3 FY2024 Financial R
Slide 11: Growth Journey to achieve Vision
Growth Journey to achieve Vision Q3 FY2024 10 Eliminate inefficiency in the Distribution and Retail industry by “Store Expansion”, “Retail Tech” and “Partnership” Company Overview Company Overview aiming for sustainable development and growth not only for our group but also society as a whole. Philo
Slide 12: FY2024 Q3 Financial Results
TIRIAL HLDGS FY2024 Q3 Financial Results
Slide 13: Q3 FY2024 Summary
Q3 FY2024 Summary Q3 FY2024 12 The store count increased by 30. SSS rose 6.0%, and consolidated sales grew 10.1% YoY. Company Overview OP jumped 62.7%, OP margin improved 1.0pt to 2.9% with contributions from GP margin improvement Philosophy / About Us and control in cost. Q3 FY2024 Q3 FY2024Financi
Slide 14: Earnings Summary for FY2024 (Nine Months)
Earnings Summary for FY2024 (Nine Months) Q3 FY2024 13 Sales and gross profit made double digit growth which went up 10.1% and 14.9% respectively. GP margin improved 0.9pts and Company Overview SG&A went down by 0.1pts. As a result, OP surged 62.7% YoY. It is progressing strongly toward the full-yea
Slide 15: Earnings Summary for FY2024 (Three Months)
Earnings Summary for FY2024 (Three Months) Q3 FY2024 14 From January 1, 2024 Company Overview to March 31, 2024 (3 months) Philosophy / About Us Q3 FY2023 Q3 FY2024 Q3 FY2024 Q3 FY2024Financial FinancialResults Results (Millions of yen) Actual Share Actual Share YoY YoY(%) Q3 FY2024 FY2024Summary Su
Slide 16: Q3 Results by Business Segment (Nine Months)
Q3 Results by Business Segment (Nine Months) Q3 FY2024 15 Distribution and Retail Business: Added 30 stores (18 organic openings, 18 newly joined from Satocho, 6 closures). SSS rose 6.0% and sales grew 9.9% YoY in the segment. This is largely due to evolved product mix and cost control including Com
Slide 17: Q3 Results by Business Segment (Three Months)
Q3 Results by Business Segment (Three Months) Q3 FY2024 16 Company Overview From January 1, 2024 to March 31, 2024 (3 months) Q3 FY2023 Q3 FY2024 Philosophy / About Us Q3FY2024 FY2024Financial Financial Results (Millions of yen) Actual Share Actual Share YoY YoY(%) Q3 Results Q3 FY2024 Summary Sales
Slide 18: The Four Key Strategies for 3Q
The Four Key Strategies for 3Q Q3 FY2024 17 Company Overview Strengthening ⚫ Providing wide selection of products with a particular strength in “food” at EDLP. Satisfying customers as local Philosophy / About Us 1 Existing Stores Focus on food products category and “Daily Necessity Store”. Q3 FY2024
Slide 19: Growth Strategy of Distribution and Retail Business
Growth Strategy of Distribution and Retail Business Q3 FY2024 18 Trying to be No.1 everyday store in the commercial area aiming at both topline and OP growth. Continuing topline growth while achieving OP growth that exceeds sales growth. Company Overview Distribution and Retail Business Philosophy /
Slide 20: Retail AI Business Contributing to the Core Business
Retail AI Business Contributing to the Core Business Q3 FY2024 19 Support sustainable growth of core business through various measures based on data analysis. Company Overview Distribution and Retail Business Philosophy / About Us Accumulating customer ID data and in-store traffic data Q3 FY2024 Q3
Slide 21: Robust Growth in Same Store Sales
Robust Growth in Same Store Sales Q3 FY2024 20 Trial is strengthening “food” centering on fresh food to become the region‘s No.1 daily necessities Company Overview store. 23 renovated stores drove customer traffic and average ticket. Philosophy / About Us 35 consecutive months. Same Store Sales Grow
Slide 22: Enhancement of 'Food'
Enhancement of ‘Food’ Q3 FY2024 21 We are expanding fresh food and ready meals that pursue “delicious and affordable” to enrich everyday life. Company Overview Three of our products were selected in the Bento and Prepared Meal Awards 2024. Philosophy / About Us Q3 FY2024 Q3 FY2024Financial Financial
Slide 23: Store Renovation
Store Renovation Q3 FY2024 22 Measures are taken place such as optimization of sales floor centering on food, retail tach driven renovation. Company Overview 2 MEGA Centers, 1 Super Center and 1smart were renovated. Renovation is progressing as planned. Philosophy / About Us Renovation Q3 FY2024 Q3
Slide 24: New Store Opening / Closure
New Store Opening / Closure Q3 FY2024 23 TRIAL took over 18 stores (3 smarts, 15 smalls) from Satocho in Q2 FY2024. Company Overview 2 Super Centers, 1 smart and 2 smalls were opened and closed 1 smart in Q3. The store count added by 4 stores from the end of Q2 to 315. New store opening is progressi
Slide 25: Store Opening Strategy by Region
Store Opening Strategy by Region Q3 FY2024 24 Total MEGA Center Super Center smart Small Format Q3 FY2024 Company Overview 315 stores 24 stores 185 stores 68 stores 38 stores Philosophy / About Us Jan smart Kotoni (Hokkaido) Q3 FY2024 Q3 FY2024Financial FinancialResults Results Super 123 Feb Center
Slide 26: Introduction of The New Store
Introduction of The New Store Q3 FY2024 25 Opened on April 3, 2024 Company Overview Super Center Marugame (Kagawa) Philosophy / About Us The first Smart Store* in Shikoku region Q3 FY2024 Q3 FY2024Financial FinancialResults Results *The Smart Store incorporates IoT and AI technologies developed by o
Slide 27: Sales by Product Category (Nine Months)
Sales by Product Category (Nine Months) Q3 FY2024 26 Fresh drove traffic and led profit growth in the Distribution and Retail Business. Its sales increased by 12.6% YoY. Company Overview Ready meal accounted for 5.6%, which went up by 0.5pts. Pricing and category management with manufacturers and wh
Slide 28: Sales by Product Category (Three Months)
Sales by Product Category (Three Months) Q3 FY2024 27 From January 1, 2024 Company Overview to March 31, 2024 (3 months) Philosophy / About Us Q3 FY2023 Q3 FY2024 Q3 FY2024 Q3 FY2024Financial FinancialResults Results (Millions of yen) Actual Share Actual Share YoY YoY(%) Q3 FY2024 Summary Sales Sale
Slide 29: PB Product development Initiatives
PB Product development Initiatives Q3 FY2024 28 Based on customer understanding through data utilization, we are driving the development of private brand (PB) Company Overview products that provide value to our customers. The sales share of PB steadily grew to 14.5% in Q3. Philosophy / About Us Tren
Slide 30: Breakdown of SG&A expenses (Nine Months)
Breakdown of SG&A expenses (Nine Months) Q3 FY2024 29 Sales jumped 10.1%. SG&A was up 9.4%. It was well-controlled while investing in human capital and productivity improvement. Company Overview SG&A ratio went down 0.1pts because automation and Skip Cart contributed to improve productivity. Labor w
Slide 31: Breakdown of SG&A expenses (Three Months)
Breakdown of SG&A expenses (Three Months) Q3 FY2024 30 Company Overview From January 1, 2024 Philosophy / About Us to March 31, 2024 (3 months) Q3 FY2023 Q3 FY2024 Q3 FY2024 Q3 FY2024Financial FinancialResults Results Q3 FY2024 Summary (Millions of yen) Actual Share Actual Share YoY YoY(%) Results b
Slide 32: Customer Loyalty Program SU-PAY
Customer Loyalty Program Q3 FY2024 31 No. of 10.22 Company Overview Since its launch in October 2022, we have been enhancing the functionality of the mobile Millions payment app "SU-PAY" to acquire new members and expand loyal customer base. Members *1 Philosophy / About Us (As of March 2024) Up 1M
Slide 33: Skip Cart
Skip Cart Q3 FY2024 32 Complete payment through self-scan and payment gate passage. Providing a new shopping experience such as reducing cashier Company Overview workload and implementing one-to-one marketing in physical stores utilizing coupons and recommendations. Philosophy / About Us Scan Loss P
Slide 34: Better Customer Experience by Skip Cart
Better Customer Experience by Skip Cart Q3 FY2024 33 2,585 Skip Carts were newly installed into 38 stores. Company Overview Hourly sales increased based on higher visit frequency and better customer experience. Philosophy / About Us Installation of Skip Cart *1 Impact of Skip Cart Number of Q3 FY202
Slide 35: Consolidated Balance Sheet
Consolidated Balance Sheet Q3 FY2024 34 Shareholders' equity increased due to financing through IPO. Cash and deposits and accounts payable increased significantly Company Overview because the last day of Q3 was a holiday for financial institutions, and settlement of accounts payable was conducted t
Slide 36: Consolidated Cash Flow Statement
Consolidated Cash Flow Statement Q3 FY2024 35 Company Overview From July 1, 2023 Philosophy / About Us to March 31, 2024 (9 months) Q3 FY2023 Q3 FY2024 Q3 FY2024 Q3 FY2024Financial FinancialResults Results (Millions of yen) Actual Actual YoY YoY(%) Q3 FY2024 Summary Results by Business Segment Cash
Slide 37: FY2024 Consolidated Forecast
FY2024 Consolidated Forecast Q3 FY2024 36 There are no changes to the full-year earnings from the forecast disclosed on March 21, 2024. Company Overview Philosophy / About Us FY 2024 FY 2023 Full year Forecast Q3 FY2024 Q3 FY2024Financial FinancialResults Results (Millions of yen) Actual Share Actua
Slide 38: Capital Policy / Shareholder Returns
Capital Policy / Shareholder Returns Q3 FY2024 37 Company Overview 1 Prioritizing investment in growth while distributing minimum dividends stably and Philosophy / About Us continuously as a growing company. Q3 FY2024 Q3 FY2024Financial FinancialResults Results FY 2023 FY 2024 Q3 FY2024 Summary (Act
Slide 39: IR Activities
TIRIAL HLDGS IR Activities
Slide 40: Disclosure / IR Policy
Disclosure / IR Policy Q3 FY2024 39 We aim to do prompt, accurate, and fair disclosure and constructive dialogue with shareholders Company Overview and investors. Philosophy / About Us ⚫ IR Calendar Q3 FY2024 Financial Results Q3 FY2024 Summary Our fiscal year ends on June 30. We plan to hold quarte
Slide 41: Investor Relations Website for Shareholders and Investors
Investor Relations Website for Shareholders and Investors Q3 FY2024 40 Company Overview ⚫ Financial Briefing documents Philosophy / About Us Presentation materials for the financial results briefing for analysts and institutional investors as well as speech scripts and the Q&A summary will be availa
Slide 42: Contact
⚫ Contact Trial Holdings Inc. IR Division TEL：+81-3-6435-6308 / e-mail：ir@trial-holdings.inc ⚫ Next Financial Results (Scheduled)：Full year results for FY2024 ・August 13, 2024 Financial Results Announcement for FY2024 (Results Summary Disclosure) ・August 14, 2024 Financial Results Briefing for FY202