Takeuchi Mfg.co., Ltd. · TSE:6432

Takeuchi Mfg.co — 1H FY2024 Earnings Presentation

38 slides from Takeuchi Mfg.co's earnings presentation, Oct 22, 2024

  1. Slide 1: Presentation Materials for the Second Quarter of FY Ending February 2025

    Presentation Materials for the Second Quarter of the Fiscal Year Ending February 2025 October 22, 2024 TAKEUCHI MFG. CO., LTD. (Securities code: 6432) © 2024 Takeuchi Manufacturing [JAPAN], Ltd. All Rights Reserved.

  2. Slide 2: Agenda

    ▶ FY2024 First Half Consolidated Results ▶ FY2024 Consolidated Forecast ▶ Topics ▶ Reference Materials 1 © 2024 Takeuchi Manufacturing [JAPAN], Ltd. All Rights Reserved.

  3. Slide 3: Summary of Earnings Results for the First Half of FY2024

    Summary of Earnings Results for the First Half of FY2024 (1) Sales volume decreased in both the US and Europe ⚫ North American sales volume decreased 2.5% (1Q: +2.1%, 2Q: -7.1%, YoY) The housing market remained in an adjustment phase, and sales of compact excavators were sluggish. Defects in purchas

  4. Slide 4: Consolidated Financial Highlights for the First Half of FY2024

    Consolidated Financial Highlights for the First Half of the FY2024 FY2023 FY2024 Millions of yen 1H Sales Sales 1st half 1st half Change (%) Initial Change ratio ratio Forecast ■ Net sales 105,176 - 109,606 - +4,430 +4.2% 112,000 (2,393) ■ Operating profit 16,969 16.1% 24,867 22.7% +7,898 +46.5% 21,

  5. Slide 5: Quarterly Net Sales and Operating Profit

    Quarterly Net Sales and Operating Profit (Millions of yen) 60,000 53,039 53,655 53,795 55,174 54,432 52,137 50,000 46,892 46,039 42,414 43,619 Net sales 40,000 30,000 20,000 10,000 0 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 15,000 13,746 11,121 Operating 12,000 8,542 8,426 8,652 9,674 profit 9,000 5,355 7,268

  6. Slide 6: Financial Results by Region for First Half FY2024

    Financial Results by Region for First Half FY2024 FY2023 FY2024 (Millions of yen) 1H Sales Sales 1st half ratio 1st half ratio Change (%) Prev. Change Forecast ■ Japan 1,094 1.0% 985 0.9% (108) (9.9)% 680 +305 ■ North America 56,610 53.8% 62,906 57.4% +6,296 +11.1% 64,580 (1,673) ■ Europe 44,318 42.

  7. Slide 7: Geographic Segment Information and Results for 1H FY2024

    Geographic Segment Information and Results for 1H FY2024 FY2023 FY2024 (Millions of yen) 1H Profit ratio 1H Profit ratio Change (%) Japan Net sales 36,166 - 33,163 - (3,002) (8.3)% Segment profit 12,458 34.4% 22,400 67.5% +9,942 +79.8% USA Net sales 56,618 - 62,921 - +6,303 +11.1% Segment profit 5,1

  8. Slide 8: Factors of Increase/Decrease in Operating Profit (FY2024 First Half)

    Factors of Increase/Decrease in Operating Profit (FY2024 First Half) Exchange rates considering unrealized profits* Cost of sales +618M USD 135.66 yen →159.00 yen SG&A expenses +121M (Millions of yen) GBP 164.80 yen →196.89 yen EUR 139.37 yen →161.36 yen 30,000 +2,135 +94 (878) (739) +1,957 25,000 +

  9. Slide 9: Consolidated Balance Sheets (As of August 31, 2024)

    Consolidated Balance Sheets (As of August 31, 2024) As of Feb. 29, 2024 As of Aug. 31, 2024 Composition Composition (Millions of yen) Balance ratio Balance ratio Change (%) Cash and deposits 55,175 27.8% 37,382 18.0% (17,792) (32.2)% Notes and accounts receivable - trade 44,572 22.5% 51,086 24.6% +6

  10. Slide 10: Consolidated Statements of Cash Flows (1H FY2024)

    Consolidated Statements of Cash Flows (1H FY2024, Results) Cash and cash equivalents at end of (Millions of yen) period (10,266 ) (1,079 ) Cash and cash equivalents at (7,558 ) end of period 54,682 +1,073 36,851 (17,830) million yen As of February 29, Operating CF Investment CF Financial CF Effect o

  11. Slide 11: Agenda: FY2024 Consolidated Forecast

    ▶ FY2024 First Half Consolidated Results ▶ FY2024 Consolidated Forecast ▶ Topics ▶ Reference Materials 10 © 2024 Takeuchi Manufacturing [JAPAN], Ltd. All Rights Reserved.

  12. Slide 12: FY2024 Earnings Forecasts (full year)

    FY2024 Earnings Forecasts (full year) Previous forecast (announced on April 12, Revised forecast (announced on October 10, 2024) 2024) (Millions of yen) 1st half 1st half 2nd half Full year 2nd half Full year Change (%) (results) Japan 680 620 1,300 985 874 1,860 +560 +43.1％ North America 64,580 66,

  13. Slide 13: Expected Consolidated Financial Highlights for FY2024

    Expected Consolidated Financial Highlights for FY2024 FY2023 FY2024 (Millions of yen) 1st half 2nd half Full year Full year Sales ratio Sales ratio Change (%) (results) (forecast) (forecast) ■ Net sales 212,627 - 109,606 105,893 215,500 - +2,872 +1.4% ■ Operating profit 35,296 16.6% 24,867 19,632 44

  14. Slide 14: Earnings Forecast by Region for FY2024

    Earnings Forecast by Region for FY2024 FY2023 FY2024 (forecast) (Millions of yen) 1st half 2nd half Full year Full year Sales ratio Sales ratio Change (%) (results) (forecast) (forecast) ■ Japan 2,109 1.0% 985 874 1,860 0.9% (249) (11.8)% ■ North America 115,164 54.2% 62,906 59,353 122,260 56.7% +7,

  15. Slide 15: Factors of Increase/Decrease in Operating Profit (FY2024 Full Year Forecast)

    Factors of Increase/Decrease in Operating Profit (FY2024 Full Year Forecast) Exchange rates considering unrealized profits* Cost of sales +753M Transportation costs: (354)M (Millions of yen) USD 138.98 yen →151.41 yen SG&A expenses +291M Product warranty costs: +831M GBP 167.65 yen →192.57 yen EUR 1

  16. Slide 16: Capital Investment Plan

    Capital Investment Plan (Millions of yen) ◇ FY2024 Capital Investment Plan Breakdown Capital investment Home office 3.5 bn Jigs, molds, maintenance and renewal of equipment: 1.3 bn Depreciation Aoki Factory Home office parts center equipment renewal, building 10,000 expansion: 1.0 bn 8,629 Factory e

  17. Slide 17: Agenda: Topics

    ▶ FY2024 First Half Consolidated Results ▶ FY2024 Consolidated Forecast ▶ Topics ▶ Reference Materials 16 © 2024 Takeuchi Manufacturing [JAPAN], Ltd. All Rights Reserved.

  18. Slide 18: Net Sales, Orders Received and Order Backlog

    Net Sales, Orders Received and Order Backlog ■ Net sales (Billions of yen) ■ Orders received (Billions of yen) ■ Order backlog (Billions of yen) 105.092.9 87.3 105.1 86.0 130.8 63.4 107.4 97.3 66.6 109.6 116.7 74.2 113.1 190.7 178.6 172.8 59.0 83.7 133.8 128.8 116.6 83.7 44.8 20.1 FY2021 FY2022 FY20

  19. Slide 19: Sales by Model (Excavators and Track Loaders)

    Sales by Model (Excavators (Compact/Hydraulic) and Track Loaders) ➢ Sales Volume Growth Rates (Group Totals) ➢ Compact Excavators ⚫ Primary products in Europe Compact Excavators Hydraulic Excavators Track Loaders Sales in Europe are slowing, especially for models under 3 tonnes, due to lackluster pe

  20. Slide 20: Track Loader Features: Faster, Popular in the US

    Track Loader Features Compact and hydraulic excavators are good for excavation. Track loaders excel at transporting earth and leveling land ✓ Takeuchi developed and began producing the world’s first track loader in September 1986 1. Faster than compact and hydraulic excavators Track loader （TL8R-2）

  21. Slide 21: Track Loader Features: Attachments

    Track Loader Features 3. Various operations are possible by changing the attachment → Capable of multiple uses ranging from construction and agriculture to forestry and landscaping Agriculture Transporting building materials (solar panels) Ground leveling Landscaping Forestry 20 © 2024 Takeuchi Manu

  22. Slide 22: Track Loader Features: Post-Disaster Reconstruction

    Track Loader Features 4. Also useful for post-disaster reconstruction such as debris removal Noto Peninsula Earthquake reconstruction volunteers 21 © 2024 Takeuchi Manufacturing [JAPAN], Ltd. All Rights Reserved.

  23. Slide 23: European Market Status (Exhibition in Nuremberg)

    European Market Status (Exhibition in Nuremberg, Germany, September 11-14, 2024) Track loader on display. • Equipped with a brush cutter (mulcher). Mainly used for forestry. https://www.youtube.com/wa tch?v=HTnRStp9ELk ✓ Many customers visited our booth as soon as it opened at 9:00 AM. (The booth se

  24. Slide 24: European Market Status: Outdoor Demonstration Area

    European Market Status (Exhibition in Nuremberg, Germany, September 11-14, 2024) Outdoor demonstration area ✓ Demonstration with different attachments ✓ Demonstrated the appeal of product features and the expandability and versatility of our products Hydraulic system TB225 (Product weight: 2.3 tonne

  25. Slide 25: Shareholder Return and Dividend Payout Ratio

    Shareholder Return and Dividend Payout Ratio Basic policy: Strive to maintain a stable dividend payout with a target consolidated dividend payout ratio of 30% in mind, while securing the internal reserves necessary to strengthen the management structure and develop future businesses Share buybacks:

  26. Slide 26: Share Buybacks

    Share Buybacks Basic policy: Strive to maintain a stable dividend payout with a target consolidated dividend payout ratio of 30% in mind, while securing the internal reserves necessary to strengthen the management structure and develop future businesses Share buybacks: Implement share buybacks as ap

  27. Slide 27: Agenda: Reference Materials

    ▶ FY2024 First Half Consolidated Results ▶ FY2024 Consolidated Forecast ▶ Topics ▶ Reference Materials 26 © 2024 Takeuchi Manufacturing [JAPAN], Ltd. All Rights Reserved.

  28. Slide 28: Corporate Policies and Business Philosophy

    Corporate Policies and Business Philosophy With deep sensitivity, we will develop products Creation that meet or exceed needs. Corporate With dreams and youthful drive, we will take bold Challenge Policies action toward higher goals. With a commitment to harmony and compassion, we Cooperation will s

  29. Slide 29: Corporate Profile

    Corporate Profile Name TAKEUCHI MFG. CO., LTD. Main Products Toshiya Takeuchi Compact excavators and hydraulic Representative President and Representative Director excavators ̶ We developed and began production of the 205, Uwadaira, Sakaki-machi, world’s first compact excavator (September Home Offic

  30. Slide 30: Business Performances

    Business Performances Forecast (Millions of yen) FY2019 FY2020 FY2021 FY2022 FY2023 FY2024 Change Japan 813 2,508 2,832 2,036 2,109 1,860 (249) North America 53,222 52,248 68,706 98,506 115,164 122,260 +7,095 Europe 60,313 54,988 65,749 73,906 89,448 87,350 (2,098) Asia 384 181 153 495 188 150 (38)

  31. Slide 31: Product Lineup

    Product Lineup 1 2 3 4 5 6 7 8 9 15 (tonnes) Compact excavators and ～ ～ hydraulic excavators Compact excavators Hydraulic excavators Battery operated TB20e Standard models TB219 TB2150 TB216 TB225 TB290 TB2150R [From now on] Priority will be Launched given to electrification of TB320 TB235-2 TB250-2

  32. Slide 32: Market Outlook: Case-Shiller Home Price Index

    Market Outlook 350 S&P/Case-Shiller Home Price Index <20-city composite Jan. 2000=100> 300 250 200 *seasonally adjusted 150 Jan Jan Jul Jan Jan Jan Sep Jan Sep Sep Sep Sep Jul Jul Jul Jul Jul Nov Nov Nov Nov Nov Mar May Mar May Mar May Mar May Mar May Mar May 2019 2020 2021 2022 2023 2024 (source) S

  33. Slide 33: Market Outlook: US Building Permits and Housing Starts

    Market Outlook ̶ In the first half of 2020, housing demand declined due to the COVID-19 pandemic, but along with the resumption of economic activity, there was a V-shaped recovery ̶ In 2021, it remained at a high level, but from March 2022 onwards, it slowed down due to interest rate hikes in the US

  34. Slide 34: Production Volume Trends

    Production Volume Trends By Month Decrease in By Fiscal Year operating days due Decrease in Decrease in operating to summer vacation, operating days due 125% and production to year-end and days due to Golden Week holidays adjustment. New Year holidays 111% 104% 102% 100% 99% 100% 100% 100% 95% 55% 7

  35. Slide 35: List of Material Issues

    List of Material Issues # E S G SDGs Social Issues Theme Goal 1 ○ 13 Develop, manufacture, and sell battery-powered compact excavators 1 2 ○ 13 Mitigate climate change Reducing GHG emissions at factories 2 Improving factory energy efficiency 3 ○ 7 13 2 Expanding the use of renewable energy 4 ○ 12 Re

  36. Slide 36: Climate Change Initiatives (Response Measures)

    Climate Change Initiatives (Response Measures) :Direction of Change Large influence Medium influence Small influence Risk Items Assumptions and background Influencing Factor Impact 2030年の想定・背景 Business Impact/Financial Impact Measures classification (Large, for 2030 (2℃ scenario) （２℃シナリオ） (Parameter

  37. Slide 37: TAKEUCHI MFG. CO., LTD.

    TAKEUCHI MFG. CO., LTD. Corporate Planning Section and ESG Promotion Section, Business Management Dept. TEL: +81-(0)268-81-1200 FAX: +81-(0)268-81-1127 E-mail: ir@takeuchi-mfg.com Forecasts are based on information that was available when this document was prepared. The forecast is vulnerable to man

  38. Slide 38: © 2024 Takeuchi Manufacturing [JAPAN], Ltd. All Rights Reserved.

    © 2024 Takeuchi Manufacturing [JAPAN], Ltd. All Rights Reserved.

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