Mitsubishi Research Institute · TSE:3636
Mitsubishi Research Institute — FY2022/9 Earnings Presentation
28 slides from Mitsubishi Research Institute's earnings presentation, Nov 7, 2022
Slide 1: FY2022/9 Financial Results, FY2023/9 Full Year Forecasts
FY2022/9 Financial Results FY2023/9 Full Year Forecasts November ７, 2022 These materials are prepared for the purpose of providing reference information for making investment decisions and not for the purpose of soliciting investment.
Slide 2: Agenda
1 FY2022/9 Financial Results 2 FY2023/9 Full Year Forecasts 3 Topics Copyright © Mitsubishi Research Institute 2 These materials are prepared for the purpose of providing reference information for making investment decisions and not for the purpose of soliciting investment.
Slide 3: Summary
Summary Both net sales and profit were at record highs. The target (10,000 mil. yen) for ordinary profit in the Medium-term Management Plan 2023 (MP2023) was achieved ahead of the plan. Net sales: Results 116,620 mil. yen YoY change +13,590 mil. yen Net sales reached a record high for a second
Slide 4: FY2022 Consolidated Results <YoY>
FY2022 Consolidated Results <YoY> [Including the effect of accounting standard change] (mil. yen) FY2021/9 FY2022/9 YoY change Forecast V.s. announced forecast Amount Rate Aug.1,2022 Net sales 103,030 116,620 +13,590 +13.2％ 117，000 -３79 Gross profit 23,447 26,580 ＋3,132 ＋13.4％ － － Gross profit margi
Slide 5: FY2022 Consolidated Results: Comparison with previous accounting standard
FY2022 Consolidated Results <YoY> [Comparison with those under the previous accounting standard] FY2022/9 (mil. yen) Effect of the Reference FY2021/9 Results value standard (new standard) (previous change standard) Net sales 103,030 116,620 +2,582 114,038 Gross profit 23,447 26,580 +1,030 25,550 Gro
Slide 6: Factors Behind Fluctuation of Ordinary Profit<YoY>
Factors Behind Fluctuation of Ordinary Profit<YoY> Compared with ordinary profit in FY2021/9, ordinary profit was +3,131 mil. yen due to the effect of a rise in sales (a) and profit margin improvement (b), exceeding 10,000 mil. yen for the first time to reach a record high. (b) ITS Profit margin i
Slide 7: Think Tank and Consulting Services (TTC)
Think Tank and Consulting Services (TTC) (mil. yen) YoY change <Reference> FY2022/9 Effect of the FY2021/9 (Actual result) standard Amount Rate change Net sales ４０,３７６ 48,548 +8,171 +20.2% -285 Operating profit ３,６５２ 4,115 +462 +12.7% -７ Operating profit margin ９.0％ 8.5% -0.5P － － Ordinary profit 4,
Slide 8: IT Services (ITS)
IT Services (ITS) (mil. yen) YoY change <Reference> FY2022/9 Effect of the FY2021/9 (Actual result) standard Amount Rate change Net sales 62,653 68,072 +5,418 +8.6% +2, 867 Operating profit 3,191 5,048 +１,856 +58.2% ＋1,037 Operating profit margin 5.1％ 7.4% +2.3P － － Ordinary profit 3,361 5,301 +１,93
Slide 9: Net Sales by Industry of Customer
Net Sales by Industry of Customer <YoY/new accounting standard> Net sales were driven by Government and public offices, in which sales increased 30.1％, or 8,308 mil. yen, and Finance/credit card, in which sales rose 11.4％, or 5,454 mil. yen. Company Total (mil. yen) (+13,590, +13.2%) 116,620 120,0
Slide 10: (Reference) Net Sales by Segment and Industry of Customer <YoY>
(Reference) Net Sales by Segment and Industry of Customer <YoY> (mil. yen) YoY change <Reference> FY2022/9 FY2021/9 (Actual result) Effect of the Amount Rate standard change Government and 27,065 35,185 +8,119 +30.0% -1,318 public offices Finance/credit T 4,110 3,862 -248 -6.0% +223 card T C General
Slide 11: (Reference) Order Backlog at Beginning of Year
（Reference） Order Backlog at Beginning of Year＜YoY＞ The YoY change in Order Backlog at the beginning of the year is based on the new accounting standard. Order Backlog increased steadily, +5.5％ or +4,263 mil. yen YoY. (mil. yen) Company Total 90,000 （+4,263, +5.5%） 82,014 77,750 Outsourcing serv
Slide 12: FY2023/9 Full Year Forecasts
1 FY2022/9 Financial Results 2 FY2023/9 Full Year Forecasts 3 Topics Copyright © Mitsubishi Research Institute 12 These materials are prepared for the purpose of providing reference information for making investment decisions and not for the purpose of soliciting investment.
Slide 13: MP2023 Progress
MP2023 Progress （1）Progress as of end of FY2022/9 Achieved financial targets under MP2023 earlier than planned and also made steady progress on initiatives for business reforms and growth businesses. The quality of the business portfolio has improved and productivity has increased, with fewer proj
Slide 14: MP2023 Progress: Implementation of qualitative reforms in TTC services
MP2023 Progress: Implementation of qualitative reforms in TTC services While large projects (exceeding 100 mil.) increased significantly, small projects (less than 5 mil.) decreased considerably. ‐ S h i f t t o larg e projec ts i s u n de r way: Ov er a pe r i od of a p p r o xim a t e ly 1 0 ye
Slide 15: MP2023 Progress: Improvement of profit margin in ITS
MP2023 Progress: Improvement of profit margin in ITS In the IT Services segment (ITS), the profit margin has steadily improved through structural reforms. ‐ Structural reforms have been implemented, and initiatives including strengthening the core business, reviewing resource allocations and incre
Slide 16: MP2023 Progress: Growth Projection for DX Business
MP2023 Progress: Growth Projection for DX Business Medium to long term （Expansion in business scale including non- DX business organic growth） Share of TTC consolidated net ITS sales: More than 50% FY2022/9 Net Sales 116,620 mil. yen （Approx. 1.3 times FY2020/9 net sales） DX business Approx. 32,000
Slide 17: Growth Investment Policy
Growth Investment Policy Actively use cash on hand accumulated or generated through business for investment in human resources and investment in equipment necessary for future business expansion and for strategic investment such as M&A Investment in growth Specific measures Example initiatives • H
Slide 18: FY2023 Full Year Forecasts
FY2023 Full Year Forecasts Still aiming for gains in sales and profit, with the target for ordinary profit in the MP2023 expected to be achieved earlier than planned. Making upfront investment to deal with emerging issues and to achieve further growth （⇒P17). Net sales forecast : 118,000 mil. ye
Slide 19: Factors behind fluctuation in FY2023/9 ordinary profit forecast
Factors behind fluctuation in FY2023/9 ordinary profit forecast FY2022/9 FY2023/9 (2) Business Ordinary growth Ordinary profit profit -0.5 +0.9 (bil. yen) (3) Increased expenses mainly for upfront -0.7 investment in +0.4 human resources 10.6 10.5 and workstyle Profit reforms (1) FY2022/9 (4) Increas
Slide 20: FY2023/9 Full Year Forecasts
FY2023/9 Full Year Forecasts (mil. yen) YoY change FY2022/9 FY2023/9 (Results) (Forecast) Amount Rate Net sales 116,620 118,000 +1,379 +1.2% Think tank and consulting services 48,548 46,000 -2,548 -5.3% IT services 68,072 72,000 +3,927 +5.8% Operating profit 9,165 9,300 +134 +1.5% Operating profit m
Slide 21: Consolidated payout ratio, FY2023/9 dividend forecast
FY2023/9 dividend forecast The basic policy is to continue to pay stable dividends. We will strive to raise Dividend the dividend level, taking into comprehensive consideration results, future Policy demand for funds, and financial soundness. 43.2% 42.9% Consolidated payout ratio 37.3% 37.5% 45％ 39.
Slide 22: Topics
1 FY2022/9 Financial Results 2 FY2023/9 Full Year Forecasts 3 Topics Copyright © Mitsubishi Research Institute 22 These materials are prepared for the purpose of providing reference information for making investment decisions and not for the purpose of soliciting investment.
Slide 23: Topic 1: Spinoff of MPX
Topic 1: Spinoff of MPX Accelerated the provision D and commercialization of a price information service (MPX) in the full-fledged wholesale electricity market following liberalization of the electricity sector Accumulated knowledge by providing support for relevant policy measures and systems
Slide 24: TOPIC 2: Nippon Kaiji Kyokai: Provision of GHG Management Tool
TOPIC 2：Nippon Kaiji Kyokai: Provision of GHG Management Tool for Zero-Emission Shipping ～DX through MRI and DCS collaboration：Concrete case of support for data-driven management～ Support for data-driven management of shipping through DX D ev elopment o f to o l for man agi n g an d re d u cing
Slide 25: Topics: Recent News Releases (MRI)
Topics: Recent News Releases Note) All releases below are available only 【MRI】 in Japanese on our website. Date Title Osaka/Kansai Expo "TEAM EXPO 2025" Program / Registered "New Utilization of Unused Fish!" Oct 17, 2022 ESG for co-creation challenge Oct 7, 2022 ESG Proposal Long-term use of nuclear
Slide 26: Topics: Recent News Releases (DCS)
Topics: Recent News Releases Note) All releases below are available only 【DCS】 in Japanese on our website. Date Title Launch of "Managed Service Consulting" to support DX promotion by optimizing IT system Oct 4, 2022 DX operation Launch of “Link&Robo for Growing,” a communications robot service for
Slide 27: Notes concerning forward-looking statements
Notes concerning forward-looking statements This presentation contains forward-looking statements. These forward-looking statements, including forecasts, are based on the Company’s assumptions in light of information available at this moment. These statements do not guarantee future performance, and
Slide 28: Envisioning the future, leading change
Envisioning the future, leading change ae Mitsubishi Research Institute
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