Daito Trust Construction Co., Ltd. · TSE:1878
Daito Trust Construction — 2Q FY2009 Earnings Presentation
28 slides from Daito Trust Construction's earnings presentation, November 2009
Slide 1: 2Q Financial Highlights, Year ending March, 2010
2Q Financial Highlights, Year ending March, 2010 Contents Ⅰ．2Q Financial Results・・・・・・・・・・・・・・・ 3 Ⅱ．Financial Forecasts ・・・・・・・・・・・・・・・ 13 Ⅲ．Orders received and problems for 2nd half ・・・・ 17 Ⅳ．Occupancy rate and its remedies ・・・・・・・・・ 25 Ⅴ．Appendix・・・・・・・・・・・・・・・・・・・・・ 33
Slide 2: Ⅰ-1 Income summary
Ⅰ. 2Q Financial Results Ⅰ-1 Income summary Net sales and each income exceeded original forecasts and achieved “increased sales and income” Net sales Operating income (¥ billions) (¥ billions) 600 ¥454.0 bln 40 （+5.4% y/y） ¥27.3 bln 430.7 30 （+19.4% y/y） 400 25.1 22.9 253.7 20 200 Plan Plan ¥446.8 bl
Slide 3: Income summary by segment (Construction, Real estate)
Ⅰ-2 Income summary by segment （Construction） （¥ billions） 2Q FY08 2Q FY09 year on year Net sales 192.4 204.1 （+6.1%） Gross profit 62.3 69.5 （+11.5%） Gross profit margin 32.4% 34.1% ［+1.7ｐ］ [ ]： Difference from previous same period Percentage of completion (¥ billions) （%） (¥ billions) ¥17.5 bln 250
Slide 4: SG&A expenses and Orders received
Ⅰ-4 Selling, general and administrative expenses （¥ billions） 2Q FY08 2Q FY09 year on year SG&A expenses 55.9 55.1 （- 1.5%） SG&A margin 13.0% 12.1% ［- 0.9ｐ］ [ ]： Difference from previous same period (¥ billions) Conversion to 80 Whole-building lease 80% 60 56.5 55.9 \55.1bln 60% 40 Plan 40% 22.3% ¥5
Slide 5: Orders received backlog and tenancy agreements
Ⅰ-6 Orders received backlog ◇ Orders received backlog ¥483.3bln （- 12.9% y / y） （\ billions） 600 555.0 491.0 \483.3 bln 400 200 0 07/9 08/9 09/9 9 Ⅰ-7 Number of tenancy agreement ◇ Number of tenancy agreements 78,672 （+ 2.2% y / y） （Number） 80,000 76,988 78,672 70,294 60,000 40,000 20,000 0 07/9 08/
Slide 6: Rent basis occupancy rate
Ⅰ-8 Rent basis occupancy rate (as of the end of September) ◇ Residential use (Sep.) 93.8% （- 1.8p y / y） ◇ Commercial use (Sep.) 91.8% （- 3.3p y / y） 100% 95.9% 95.5% 95.6% 95.1% 93.8% 91.8% 90% 80% 70% 60% 50% 07/9 08/9 09/9 Residential use Commercial use Rent basis occupancy rate ＝１－（ rent guarant
Slide 7: Ⅱ-1 Financial forecasts
Ⅱ. Financial forecasts Ⅱ-1 Financial forecasts No change in financial forecasts Net sales Operating income (¥ billions) (¥ billions) 1,200 ¥987.1 bln 100 954.8 (+3.4% y/y) ¥70.7 bln 1,000 80 70.3 66.2 (+0.4% y/y) 800 641.0 60 600 40 400 200 20 0 0 08/3 09/3 10/3（plan） 08/3 09/3 10/3（plan） Ordinary i
Slide 8: Financial forecasts (Construction, Whole-building lease)
Ⅱ-2 Financial forecasts (Construction business) ◇ Planed sales on completed contract forecasts over ¥461.0 bln ◇ Planed gross profit margin forecasts over 33.4% Sales on completed construction（in total） （\ biilions） 500 400 461.0 300 204.1 200 191.8 100 55.5 57.2 0 Apr. May Jun. Jul. Aug. Sep. Oct.
Slide 9: Ⅲ-1 The state of orders received
Ⅲ. Orders received and problems for 2nd half Ⅲ-1 The state of orders received Better Aggravation factors Orders received tendency for 2nd half of FY08 for 1st half of FY09 Decrease in the number Increase in the number of ① of orders received ① orders received z Increasing orders repeated by cooperat
Slide 10: Number and amount of orders; channels of orders
Ⅲ-2 【Factor-1】 The number and amount of orders received （\ billions） Amount Number （number） 150 2,000 Lehman Shock 1,805 1,698 1,723 1,670 1,621 126.5 119.8 117.7 100 1,448 1,500 98.8 101.0 92.1 50 1,000 1Q 2Q 3Q 4Q 1Q 2Q FY 08 FY 09 19 Ⅲ-3 【Factor-2】 Channels of orders received Orders received Orde
Slide 11: Cancellation rate, unit price, orders comparison
Ⅲ-4 【Factor-3】 Cancellation rate and Unit price of orders received Cancellation rate Unit price （¥ millions） 30% 100 81.59 79.70 78.21 25.1% 25.8% 80 73.48 72.93 76.10 25% 21.9% 60 20% 18.7% 19.0% 40 14.8% 15% 20 10% 0 1Q 2Q 3Q 4Q 1Q 2Q 1Q 2Q 3Q 4Q 1Q 2Q FY 08 FY 09 FY 08 FY 09 21 Ⅲ-5 Orders receive
Slide 12: Countermeasures for orders received
Ⅲ-6 【Countermeasures-1】 Orders received “¥ 485.0 billion” MORE! ◇ Continuous devotion to Repeat and Introduction 1. Activity of OWNERS’ CLUB 2. Support of business by our customers ◇ Seeking for new customers ※Sep. 09 : 2,882 staff＜+ 218＞ ※ 1. Increasing sales staff ＜3,100 sales staff for Mar. 10＞ 2
Slide 13: Ⅳ-1 Residential occupancy rate
Ⅳ. Occupancy rate and its remedies Ⅳ-1 Residential occupancy rate Residential occupancy rate（y / y） 98% 97% 96.4% 2008 96% 95.6% 95.6% Comparison of Mar.09 & Sep.09 1.8 points (Decrease) 95% 2009 94% Equivalent to the increase of 93.8% the number of 10,400 vacant rooms 93% （＝Daito’s unit 568,000※ x
Slide 14: Factors of the increase in vacant rooms
Ⅳ-2 Factors of the increase in vacant rooms (Residential) Factors of the increase in vacant rooms １ Temporary increase in the number of moving out by the drastic change of social environment ２ Stagnation of the number of tenancy agreements １ ２ The number of The number of The number of moving out ten
Slide 15: Factors of moving out and unfulfilled tenancy agreements
Ⅳ-4 Factors of the increase in the number of moving out Rate of moving out by each level of rent※ ( ※= Number of moving out / total managing units ) 30% 28.3% 26.9% 25% 24.7% 24.2% 25.2% 24.3% 20% 15% 10% Rent : less than \50,000 Rent : \50,000-60,000 Rent : over \60,000 Oct.07-Sep.08 Oct.08-Sep.09
Slide 16: Countermeasures: Tenancy agreement
Ⅳ-6 【Countermeasures】 Tenancy agreement ◇ For the increase in personal contracts 1. Increase in the number of tenant recruiters to 1,200 2. Opening 20 satellite shops for tenant recruiting 3. A discount- rent service (within a set period) 4. A supplementary budget for every advertising media 5. Dait
Slide 17: Ⅴ-1 Non-consolidated statement of income
Ⅴ. Appendix Ⅴ-1 Non-consolidated statement of income （¥ millions） 2Q FY09 2Q FY08 year on year Net sales 219,258 214,547 + 2.2% Construction 199,575 192,432 + 3.7% Real estate & others 19,682 22,115 - 11.0% Gross profit 71,897 64,399 + 11.6% Construction 68,756 61,637 + 11.6% Real estate & others 3,
Slide 18: Financial summaries of major subsidiaries (Construction, Real estate)
Ⅴ-2 Financial summaries of major subsidiaries ①（Construction） （¥ millions） Construction business Daito Construction Daito Steel 2Q FY09 2Q FY08 year on year 2Q FY09 2Q FY08 year on year Net sales 6 2,156 - 99.7% 1,535 1,452 + 5.7% Gross profit 2 - 37 － 87 81 + 7.4% SG&A expenses 157 35 + 348.6% 41 4
Slide 19: Subsidiaries (Others) and Sales structure of real estate
Ⅴ-4 Financial summaries of major subsidiaries ③（Others） （¥ millions） Other business Daito Asia Development Care Partner Gaspal (Malaysia) 2Q FY09 2Q FY08 year on year 2Q FY09 2Q FY08 year on year 2Q FY09 2Q FY08 year on year Net sales 2,674 2,149 + 24.4% 6,685 6,255 + 6.9% 893 1,300 - 31.3% Gross pr
Slide 20: Income summary (Others) and Financial condition
Ⅴ-6 Income summary by segment （Others） （¥ billions） 2Q FY08 2Q FY09 year on year Net sales 9.8 11.1 （+ 13.6%） Gross profit 2.6 3.6 （+ 36.2%） Gross profit margin 27.5% 33.0% ［+ 5.5ｐ］ [ ]： Difference from previous same period (¥ billions) （%） (¥ billions) 20 10 9.6 15.4 8 15 62.4% ¥11.1 bln 6 9.8 10 2
Slide 21: Cash flows and Gaspal
Ⅴ-8 Cash flows Cash flows provided by Income before income taxes Operating activities 8.0 Payment for income taxes Cash flows used in -16.4 Purchase of securities Investing activities Cash flows used in Payment for dividend Financing activities -6.2 Cash and cash equivalents at the end of 2Q FY09 16
Slide 22: Subsidiaries: Care Partner and Malaysia
Ⅴ-10 Conditions and forecasts of major subsidiary 【 Care partner 】 Day care centers 1st half : 3 centers opened 61 centers in operation 2nd half : 1 center open 62 centers in total !! Financial forecasts （¥ millions） FY 2008 FY(plan) 2009 y/y Net sales 4,519 5,732 +26.8% Operating income - 899 - 116
Slide 23: Number of employees; construction started units
Ⅴ-12 Number of employees by each occupations （non-consolidated） Sales staff Engineers Tenant recruiters Total employees（right axis） 5,000 4,000 9,000 3,000 2,000 8,000 1,000 0 7,000 08/9 09/9 10/3 (plan) 08/9 09/9 year on year 10/3 (plan) Total employees 9,022 8,861 (-161) 9,390 Sales staff 3,013 2,
Slide 24: Construction starts and orders received by area
Ⅴ-14 Number of construction started units by area & Daito’s share Number of units Daito’s share 5,000 40% 4,932 31.6% 25.9% 30% 4,000 25.0% Daito’s Ave. 16.9% 13.7% 16.3% 15.5% 20% 3,000 9.2% 13.2% (7.8%) 7.2% 2,768 10% 2,000 2,320 2,433 (3,633) 0% 1,824 1,000 1,265 -10% 982 746 398 0 -20% ） on gi i
Slide 25: Sales staff and sales efficiency; repeat orders
Ⅴ-16 Sales staff and sales efficiency ◇ Sales staff 2,882 （-131 y/y） ◇ Orders received per staff ¥12.57 mil / month （-¥1.19 mil y/y） Sales staff staff Orders received per staff (￥millions) 3,013 2,882 3,000 2,659 30 2,000 15.36 20 13.76 \12.57mil 1,000 10 0 0 07/9 08/9 09/9 07/9 08/9 09/9 Sales mana
Slide 26: Rent basis occupancy rate by area
Ⅴ-18 Rent basis occupancy rate Rent basis occupancy rate 100% 98% 96% 94% Residential use 92% Commercial use 90% 05/3 05/9 06/3 06/9 07/3 07/9 08/3 08/9 09/3 09/9 Rent basis occupancy rate 05/9 06/9 07/9 08/9 09/9 y/y Residential use (%) 96.5% 96.3% 95.9% 95.6% 93.8% - 1.8p Commercial use (%) 95.1%
Slide 27: Units under management; customer financing channel
Ⅴ-20 Number of units under management & aggregate amount of rent Residential use Commercial use Managing units Rent Managing units Rent (thousands) (￥billions) (thousands) (￥billions) 600 552 573 50 500 10 502 500 40 400 7.2 7.1 6.8 8 31.2 33.1 400 28.4 30 300 6 300 20 200 4 200 10 100 2 100 39 39 3
Slide 28: Daito Trust Construction Co. Ltd contact and disclaimer
１．Disclaimer of warranties for the contents Daito pays careful attention about the information carried on this homepage. However, Daito can not offer the guarantee about the accuracy, reliability, safety, etc. Please recognize the information about future forecast that Daito may offer is prediction
Daito Trust Construction — 2Q FY2009 Earnings Presentation on 6ix