Fuyo General Lease Co., Ltd. · TSE:8424
Fuyo General Lease — FY2024 Earnings Presentation
68 slides from Fuyo General Lease's earnings presentation, May 12, 2025
Slide 1: Financial Results Briefing for FY2024 IR Presentation
Financial Results Briefing for FY2024 IR Presentation Fuyo General Lease Co., Ltd. Securities code:8424 May 12, 2025
Slide 2: Agenda and definitions of terms
１．Overview of consolidated operating results and business activities P3 ２. Medium-term Management Plan 「Fuyo Shared Value 2026」 P11 ３．Earnings forecast and dividend policy P50 ４． Initiatives for Enhancing Corporate Value P53 ５．Appendix P57 Definitions of figures and terms used in this document Profi
Slide 3: FY2024 Overview of consolidated operating results
FY2024 Overview of consolidated operating results 3
Slide 4: FY2024 results
Overview of consolidated operating results and business activities 1 FY2024 results ⚫ Record-high ordinary profit for the eighth consecutive period. Achieved continuous profit growth as a result of growth in profit before interest expenses following expansion of business areas. This offsets the incr
Slide 5: Profit before interest expenses; ordinary profit, profit and ROE
Overview of consolidated operating results and business activities ２ Profit before interest expenses ３ Ordinary profit , profit and ROE ⚫ Growth in businesses positioned as growth drivers ⚫ Ordinary profit renewed a record high. Profit decreased resulted in continued growth in profit before interest
Slide 6: Factors causing the increase in ordinary profit
Overview of consolidated operating results and business activities ４ Factors causing the increase in ordinary profit （¥100million） -59 +213 -112 +12 -47 Ordinary 726 Ordinary Profit profit 684 691 690 Including special factors of 4 billion yen 1 2 3 4 ＊1 FY2023 Profit before Personal/equipment Inter
Slide 7: Changes in funding
Overview of consolidated operating results and business activities ５ Changes in funding ⚫ The outstanding balance grew due to the accumulation of operating assets ⚫ Funding yields increased mainly due to rising yen interest rates ⚫ Funding yields are also expected to increase in FY2025 due to rising
Slide 8: Changes in costs; net assets and equity ratio
決算概況 Overview of consolidated operating results and business activities ６ Changes in costs 7 Net assets and the shareholders’ equity ratio ⚫ Personnel/equipment expenses increased due to ⚫ Net assets increased against the backdrop of proactive investments in human capital and the one- stable profits
Slide 9: Newly executed contract volume
Overview of consolidated operating results and business activities ８ Newly executed contract volume ⚫ Newly executed contract volume increased steadily overall. Significant increases in Accretive’s factoring for medical and nursing care fees contributed to growth ⚫ Lease contract volume decreased ma
Slide 10: Operating assets, ROA
Overview of consolidated operating results and business activities 9 Operating assets, ROA ⚫ Steadily accumulated primarily in business domains positioned as growth drivers, mainly in aircraft and mobility & logistics (domestic and overseas) ⚫ Financing continued to accumulate due in part to the exp
Slide 11: Medium-term Management Plan Fuyo Shared Value 2026
Medium-term Management Plan Fuyo Shared Value 2026 11
Slide 12: Overview of Fuyo Shared Value 2026
Medium-term Management Plan Overview of Fuyo Shared Value 2026 Pursuing sustainable growth as a corporate group by practicing CSV (Creating Shared Value) to resolve social issues while at the same time delivering economic value Vision for New Fuyo Shared Value 2026 Medium-term Achieving sustainable
Slide 13: Management Goals: Financial/Non-financial Goals
Management Goals Financial/Non-financial Goals • Despite revising business strategy based on the recent management environment, no changes have been made to financial goals • In terms of non-financial goals, targets related to ECs/FCVs have been revised based on the environment for penetration of EV
Slide 14: Financial/Non-financial Goals
Management Goals Financial/Non-financial Goals Results for Target value Item Remarks FY2024 for FY2026 450,000 500,000 Contribution to CO2 reduction t-CO2/year t-CO2/year The amount invested in the promotion of Sum total over the medium-term 255.8 billion 300.0 billion decarbonization management pla
Slide 15: Changes in results for our four financial goals
Progress of the Medium-term Management plan Changes in results for our four financial goals ◼ Our four financial goals (ordinary profit, ROA (ratio of ordinary profit to operating assets), shareholders’ equity ratio, and ROE) are making steady progress towards final-year targets off the Medium-term
Slide 16: Results of CSV management
Progress of the Medium-term Management plan Results of CSV management ◼ Non-financial goals were set as indicators for practicing CSV. Overall, steady progress was made toward our targets for the final year of the medium-term management plan by steadily practicing CSV. ◼ Initiatives to finance decar
Slide 17: Improved External Ratings
Progress of the Medium-term Management plan Improved External Ratings ◼ Rating agencies upgraded issuer ratings in Issue Rating recognition of improved earning power, financial Japan Credit Rating Rating and Investment health and other factors. Agency, Ltd. Information, Inc. （JCR） （R&I） ◼ We aim to
Slide 18: Changes in the management environment
Progress of the Medium-term Management plan Changes in the management environment • The growth of global economy has remained resilient and business conditions in Japan have continued their moderate recovery • Society is increasingly demanding sustainability management that addresses climate change,
Slide 19: Earnings Portfolio
Progress of the Medium-term Management plan Earnings Portfolio Results in first half of plan（～FY2024） • In the Transformation Zone (Rising/Accelerating), profit levels did not reach targets due to changes in the business environment and delays in profit contributions • In the core Growing Performanc
Slide 20: Business Domain-Specific Results (FY2026 Plan)
Progress of the Medium-term Management plan Business Domain-Specific Results（FY2026 Plan） • Further growth expected in mobility / logistics No change in the overall ordinary profit target • Revisions to final-year targets for BPO/ICT and healthcare for the Transformation Zone • Upward revisions to o
Slide 21: Business Domain-Specific Results and Topics
Business Domain-Specific Results and Topics 21
Slide 22: Zone Management
Positioning of Business Domains Zone Management • In addition to helping our customers resolve their management issues, we contribute to creating value through projects such as jointly run businesses with our partners. • Invest our management resources in the Transformation Zone in our efforts to al
Slide 23: Business Domain-Specific Results
General Business Domain-Specific Results FY2023 FY2024 YoY change Ordinary Operating Ordinary Operating Ordinary Operating (¥100 million） ROA ROA ROA Profit assets Profit assets Profit assets Transformation （Rising + Accelerating） 141 - 5,145 146 - 5,990 +4 - +845 Rising Transformation （Mobility / L
Slide 24: Partnerships with alliance partners
Initiatives for enhancing expansion of the business domain General and improvements in profitability • Promote expansion of business domains and profitability improvements through partnerships with alliance partners to achieve sustainable growth and medium- to long-term improvements in corporate val
Slide 25: Mobility / Logistics (1)
Rising Transformation Mobility / Logistics (1) Aim for further growth through expansion of business domains ■ Mobility/Logistics Business （¥100 million） Ordinary Profit, ROA, and Operating Asset balance Fuyo Shared Value 2026 Results in first half of plan Profit targets set when medium-term manageme
Slide 26: Overall vision for the mobility business
Rising Transformation Mobility & Logistics (2) Overall vision for the mobility business Circulation and use of renewable energy EV buses Autonomous vehicles Logistics warehouses Electric vehicles (EVs) Storage batteries Next-generation material handling Streamlining and labor-saving to Increase in p
Slide 27: Mobility & Logistics (3): Enhance functions of one-stop EV services
Rising Transformation Mobility & Logistics (3) Enhance functions of one-stop EV services in Japan and overseas Marubeni/Commercial EV fleet management services in Thailand Outline of the New Company PrimeMobility Co., Ltd. Company ◼ Established a new company in Thailand alongside Marubeni and Banpu
Slide 28: Mobility & Logistics (4)
Rising Transformation Mobility & Logistics (4) Collaboration with alliance partners to expand business base in the logistics domain Transport and Transport and delivery Warehouse delivery Order Procurement Transport Receipt Storage Picking Packing Sorting Shipping Delivery Customer Customers’ variou
Slide 29: Advancement of initiatives for a circular society
Rising Transformation Circular Economy（CE） Advancement of initiatives for a circular society Opened theＦｕｙｏReuse Center to centralize and Increase in assets handled by Fuyo reinforce reuse and resale functions (May 2024) Circular Economy LeaseⓇ ◼ Opened collection point with maintenance yard functio
Slide 30: Energy & Environment (1)
Accelerating Transformation Energy & Environment (1) Profit contribution remains a work in progress. Steady progress in asset accumulation and expansion of business domains ■ Energy & Environment Business Ordinary Profit, ROA, and Operating Asset balance （¥100 million） 2,176 No change to profit targ
Slide 31: Expansion of Business Domains in Japan
Accelerating Transformation Energy & Environment (2) Expansion of Business Domains in Japan Energy Storage Making Global Engineering an equity Renewable The 100-Year Solar Kyushu Project Energy Projects method affiliate —A business to address social challenges (December 2024) (March 2025) ◼ An initi
Slide 32: Energy & Environment (3)
Accelerating Transformation Energy & Environment (3) Renewable energy power generation capacity（in Operation） Global expansion of renewable energy power generation business, primarily in Europe and 22/3 25/3 the United States 318MW 876MW Copyright(C) Fuyo General Lease Co., Ltd. All Rights Reserved
Slide 33: Energy & Environment (4)
Accelerating Transformation Energy & Environment (4) Co-ownership of a large work ship used for the construction of offshore wind power plants with Penta-Ocean Construction Heavy lift vessel（image） Cable laying vessel (image） Helping to achieve a decarbonized society by supporting the expansion of o
Slide 34: BPO/ICT (1)
Accelerating Transformation BPO/ICT（1） Expansion of business domain and pursuit of efficiency for profit growth Profit targets set when （¥100 million） ■ BPO/ICT Business medium-term management plan was formulated Ordinary Profit, ROA, and Operating （85） Asset balance 75 The ROA figures shown here ar
Slide 35: BPO/ICT (2)
Accelerating Transformation BPO/ICT（2） Expand service lineup by utilizing group functions and partner collaboration INVOICE INC./ Supporting companies’ CO2 emissions Mitsubishi UFJ Factors/ Payment service BPO calculations using the OneVoice Energy Data service (January 2025) (April 2024) ◼ In Janua
Slide 36: BPO/ICT (3)
Accelerating Transformation BPO/ICT（3） New business development through collaboration with partners Data center (DC) business Recurring business ◼ Overseas and domestic investment in DC-related domains is expected to ◼ Companies continue to transition from one-time sales accelerate for further advan
Slide 37: Healthcare (1)
Accelerating Transformation Healthcare（1） Aim to increase revenue through the roll-out of services in the factoring and non-financing domains ■Healthcare Business （¥100 million） Ordinary Profit, ROA, and Operating Asset balance Profit targets set when medium-term management 945 plan was formulated F
Slide 38: Healthcare (2)
Accelerating Transformation Healthcare（2） Provide solutions that address the management challenges facing healthcare providers Collaboration with CB Holdings Reinforcement of factoring for medical and (reinforce non-financing domains) nursing care service fee receivables (FPS Medical) ◼ In addition
Slide 39: Healthcare (3)
Accelerating Transformation Healthcare（3） Reference CB Holdings Inc. Business overview By offering various services, centered on succession support specifically for the medical, nursing care, and welfare industries to address the aging of managers and lack of successors, and management support to ad
Slide 40: Real Estate
Growing Performance Real Estate Aim to maintain and improve ROA through expansion of business domains ■Real Estate Business Ordinary Profit, ROA, and Operating Asset （¥100 million） balance Fuyo Shared Value 2026 Results in first half of plan 10,939 11,077 • Ordinary profit targets set when medium-te
Slide 41: Aircraft
Growing Performance Aircraft Strengthen Asset trading business by putting asset turnover-type businesses on growth trajectories ■Aircraft Business Ordinary Profit, ROA, and Operating （¥100 million） Asset balance 3,954 Profit targets set when medium-term management Fuyo Shared Value 2026 Results in f
Slide 42: Taking part in carbon credit creation projects
Incubation ライジングトランスフォーメーション Carbon credit Taking part in carbon credit creation projects Rice Paddy Credit Pilot Project/ Philippines (September 2024) ◼ Joint project with Green Carbon and Nippon Koei, focused on the growth potential of the agricultural carbon credit market ◼ Reduces methane gas (w
Slide 43: Urban development
Incubation ライジングトランスフォーメーション Urban development CSV urban development, a collective solution to various social issues Case 1 Kobe Arena Project Case 2 Kobe Suma Sea World (Suma Seaside Aquarium and Seaside Park ◼ Fuyo Lease is also participating in this privately-run arena Redevelopment Project) crea
Slide 44: Towards Sustainable Value Creation
Towards Sustainable Value Creation 44
Slide 45: Realizing a prosperous society and contributing to sustainable growth
Non-financial Goals and Business Domains Non-financial Goals and Business Domains Realizing a prosperous society and contributing to sustainable growth Expanding business domains and promoting further evolution in our relentless attempt to create new value Anticipating social changes and taking on t
Slide 46: Fuyo Lease Group's Decarbonization Strategy
Realization of a decarbonized society Fuyo Lease Group’s Decarbonization Strategy Pursuing a decarbonization strategy that focuses on a dual approach of “decarbonizing our own group” as a means of reducing risk and “decarbonizing our customers and society” as a business opportunity Copyright(C) Fuyo
Slide 47: Investment in Human Resources (1)
Investment in human capital Investment in Human Resources (1) Establish the “Fuyo Shared Value Creation Center,” an ecosystem for growth and learning, while at the same time promoting an unprecedented and aggressive investment in human resources in an attempt to develop high-value-added human resour
Slide 48: Investment in Human Resources (2)
Investment 人的資本への投資in human capital Investment in Human Resources (2) Achieved non-financial target of a 300% increase in human resource development- related expenses two years ahead of schedule Supported the growth of high-value-added human resources by accelerating investment in human resources wh
Slide 49: DX Strategy: DX Human Resource Development Program
Digital Transformation DX Strategy : DX Human Resource Development Program At Fuyo Lease, DX talent are organized into three categories, defining each role and required skills. Stepping up in the program according to their roles, and circulation of personnel between the business and systems departme
Slide 50: Earnings forecast and dividend policy
Earnings forecast and dividend policy 50
Slide 51: FY2025 consolidated earnings forecast
Earnings forecast and dividend policy 1 FY2025 consolidated earnings forecast FY2024 FY2025 （¥100 million） Results Forecast Operating profit 648 660 Ordinary profit 690 700 Profit attributable to owners of parent 453 460 ＊1 Basic earnings per share（￥） 501.66 509.94 ＊1 Figures have been revised retro
Slide 52: Change in dividend and dividend payout ratio
Earnings forecast and dividend policy ２ Dividend policy Total dividend was ¥455, which is ¥5 higher than the initial forecast of ¥450. Dividend payout FY2024 results ratio was 30.2%. Achieved target (for final year of medium-term management plan) of a dividend payout ratio of 30% or more two years a
Slide 53: Initiatives for Enhancing Corporate Value
Initiatives for Enhancing Corporate Value 53
Slide 54: Changes in results and share price-based indicators
Initiatives for enhancing Corporate Value Changes in results and share price-based indicators • Through continuous expansion of the business domain, we have achieved both growth in EPS and improvements in ROE over the medium term • Although market capitalization has increased, further improvement in
Slide 55: Initiatives for enhancing PBR
Initiatives for enhancing Corporate Value Initiatives for enhancing PBR • We aim to enhance corporate value over the medium to long term by achieving ROE that consistently exceeds the cost of equity *, and by controlling the cost of equity Consistent growth in profit through expansion of the Improve
Slide 56: Partnerships with alliance partners
Initiatives for enhancing Corporate Value Initiatives for enhancing ROE Main initiatives aimed at expanding the business domain and improving profitability Consistent growth in profit through Creation of new domains/businesses that will be the next growth expansion of the business domain and Incubat
Slide 57: Appendix
Appendix 57
Slide 58: Key topics (1)
Appendix 1 Key topics（１） Electric bus subscription service “Kyuden Electric Bus Service” launched on Okinoerabu Island Mobility /Logistics - Contributing to carbon neutrality of remote islands through a service that utilizes electric buses for multiple purposes Grand opening ceremony held for Kobe S
Slide 59: Key topics (2)
Appendix 1 Key topics（２） Signed a business agreement with Azusa Institute of Research for a project involving the AIR- BPO/ICT Plate integrated facility management system Hamamatsu City and eight participating companies signed a partnership agreement to develop a project for reforestation carbon cre
Slide 60: Key topics (3)
Appendix 1 Key topics（3） Concluded capital and business agreement with Green Carbon, a company supporting the creation and sale of carbon credits mainly in Japan and Southeast Asia Healthcare Concluded capital and business agreement with Pleiades Seven, a company providing DX platforms for hospital
Slide 61: Key topics (4)
Appendix 1 Key topics（4） Energy & Environment Joint ownership of two large work ships with Penta-Ocean Construction Fuyo General Lease concluded an operating lease agreement with the Mitsui O.S.K. Lines Group for the first time using the Transition Finance Framework BPO/ICT Concluded a business part
Slide 62: Summary of consolidated operating results
Appendix ２ Summary of consolidated operating results YoY Change （¥100 million） FY2020 FY2021 FY2022 FY2023 FY2024 （amount） Net sales 7,403 6,578 6,887 7,085 6,784 -301 Cost of sales 6,478 5,596 5,804 5,800 5,285 -514 Profit before interest expenses 925 982 1,083 1,286 1,498 +213 Interest expenses 98
Slide 63: Segment results (Consolidated)
Appendix ３ Segment results（Consolidated） Leases Installment sales Leases and installment sales total （¥100million） YoY YoY YoY YoY YoY YoY FY2023 FY2024 Change Change FY2023 FY2024 Change Change FY2023 FY2024 Change Change （amount） （％） （amount） （％） （amount） （％） Net sales 5,913 5,567 -346 -5.9% 285 2
Slide 64: Operating assets
Appendix ４ Operating assets YoY YoY （¥100million） FY2020 FY2021 FY2022 FY2023 FY2024 Change Change （amount） （％） Leases 17,133 16,916 16,882 17,949 18,761 +812 +4.5% Finance leases (10,808) (10,198) (8,908) (8,587) (8,515) (-73) (-0.8%) Operating leases (6,325) (6,718) (7,974) (9,361) (10,246) (+885)
Slide 65: Newly executed Contract Volume
Appendix ５ Newly executed Contract Volume YoY YoY （¥100million） FY2020 FY2021 FY2022 FY2023 FY2024 Change Change （amount） （％） Leases 4,536 4,741 4,611 6,077 4,982 -1,095 -18.0% Finance leases (3,080) (2,594) (2,291) (2,490) (2,877) (+387) (+15.5%) Operating leases (1,455) (2,147) (2,320) (3,587) (2,
Slide 66: Newly executed lease contract volume (by type of equipment)
Appendix ６ Newly executed lease contract volume (by type of equipment) YoY Change セグメント名（¥100million） FY2022 FY2023 FY2024 (amount) IT & office equipment 1,217 1,266 1,260 -7 Industrial machinery 105 115 145 +30 Civil engineering and construction machinery 36 25 9 -16 Transportation equipment 537 1,
Slide 67: Summary of the operating results of the major subsidiaries
Appendix ７ Summary of the operating results of the major subsidiaries Sharp Finance Corporation Fuyo Auto Lease Co., Ltd. YAMATO LEASE CO., LTD. Accretive Co., Ltd. (ownership ratio: 65%) (ownership ratio: 100%) (ownership ratio: 60%) (ownership ratio: 74%) （¥100 million） FY2023 FY2024 YoY change FY
Slide 68: Going Where No One Has Gone Before
“Going Where No One Has Gone Before” FUYO GENERAL LEASE CO., LTD. 68