Ichigo Inc. · TSE:2337

Ichigo — Asset Managers Holdings — Q1 FY2/2010 Earnings Presentation

25 slides from Ichigo's earnings presentation, Jul 17, 2009

  1. Slide 1: Asset Managers Holdings Corporate Presentation

    Asset Managers Holdings Feb. 2010 Fiscal Year Q1 (March-May 2009) Corporate Presentation July 17, 2009

  2. Slide 2: Feb. 2010 Fiscal Year Q1 Summary and Forward Strategy

    ‡ Feb. 2010 Fiscal Year Q1 Summary 9 Focus on Cashflow 9 Successful Asset Dispositions 9 Repayment of Corporate Debt 9 Strengthened Balance Sheet 9 Return to Profitability ‡ Forward Strategy 9 Expansion of Asset Management Business 9 New Fee Businesses 9 Further Actions to Drive Corporate Value ‡ Ap

  3. Slide 3: Feb. 2010 Fiscal Year Q1 Summary

    Feb. 2010 Fiscal Year Q1 Summary 3

  4. Slide 4: Focus on Cashflow

    Focus on Cashflow ‡ C/F and B/S = Fundamental ‡ Operating Cashflow Strongly Positive 9 Positive for the last four quarters, cumulative +¥26.5 billion ‡ Dramatically Decrease Risk Profile through Slimmed B/S Quarterly Consolidated Operating Cashflow (Billion yen) +3.3 +5.2 +4.4 +13.6 FY2/09 Q1 -0.2 F

  5. Slide 5: Successful Asset Dispositions

    Successful Asset Dispositions ¥2.8 billion in Asset Sales in Q1 ¥2.8 billion Breakdown Private Equity Domestic: 4 ¥1.9 billion Overseas: 4 Breakdown Real Estate Office: 1 ¥0.9 billion FY2/10 Q1 *Pro Forma Consolidated Basis: Asset Managers Holdings, Asset Managers, Asset Managers International, Asse

  6. Slide 6: Repayment of Corporate Debt

    Repayment of Corporate Debt -4.0 billion Repayment: -4.0 (Billion yen) Refinance: +0.7 Total FX Effect: +0.3 borrowings ¥36.6 billion Convertible Bond : -1.0 Total borrowings ¥32.6 billion Short-term Debt 有利子負債・CB 有利子負債・CB ¥15.5 ●億円 Short-term Debt ¥15.2 Long-term Debt ¥8.0 Long-term Debt ¥5.3 CB CB

  7. Slide 7: Strengthened Balance Sheet

    Strengthened Balance Sheet ‡ Shrank B/S through Asset Sales ‡ Increased Shareholder Equity by ¥900 million via CB Conversions ‡ Net Profit & Higher B/S Asset Values Further Grew Shareholder Equity by 3,400 million With CB exercises through June-end, reflecting May-end B/S Equity Ratio: 17.3% 17.3% *

  8. Slide 8: Return to Profitability

    Return to Profitability ‡ On-track towards Full-Year Profit Forecast Sales (Cumulative) Net Income / Loss (Cumulative) （Million yen） 50,444 44,168 37,030 Sales 18,200 Sales Net 14,700 12,300 Income Net Sales Net Income 8,722 Income 1,000 876 FY2/09 Q2 FY2/09 Q3 FY2/09 Q4 209 300 FY2/09 Q1 FY2/10 Q1

  9. Slide 9: Forward Strategy

    Asset » \ Managers Solutions For The Future. Forward Strategy

  10. Slide 10: Expansion of Asset Management Business

    Expansion of Asset Management Business Q1 Developments Current Developments Outlook ・In disc uss ion with equity investors and lenders about launching ・Continue sourcing deals by expanding network of New Fund Launches a new residential fund of c. JPY 50 bn financial institutions and possible Real Es

  11. Slide 11: New Fee Businesses

    New Fee Businesses Q1 Developments Current Developments Outlook ・ Concluded 3rd real estate advisory contract with Netz ・Can expand our client base leveraging the CRE Business Toyota Higashi Saitama network of Toyota D&C Co., Ltd. ・Established new CRE Solution Group on July 1s t, 2009 ・Proposing sol

  12. Slide 12: Further Actions to Drive Corporate Value

    Further Actions to Drive Corporate Value Q1 Developments Current Developments Outlook ・In the process of due dilligence in several situations ・Ongoing deal flow Execute Accretive M&A ・Newly established a strategic investment group to focus on M&A on July 1st, 2009 Increase Value of Client Fund ・Main

  13. Slide 13: Appendix: Pro Forma Financial Data

    Ａｐｐｅｎｄｉｘ： Pro Forma Financial Data 13

  14. Slide 14: Improved Disclosure

    Improved Disclosure Introduction of Pro Forma Financials Under Japanese accounting rules, SPCs in which we are a greater than 50% investor or SPCs for which we are the asset manager and no single equity investor holds more than 50% of the total investment must be consolidated onto our balance sheet.

  15. Slide 15: Balance Sheet (Pro Forma)

    Balance Sheet (Pro Forma) （Million yen） FY2/09 FY2/10 Q1 Change Total Assets 46,780 43,533 -3,247 Total assets ・Decreased on-balance investments Cash and Cash Equivalents 5,395 4,543 -852 ・Further progress on asset sales Investment (Real Estate) 10,144 10,056 -88 Investment (Domestic companies) 7,21

  16. Slide 16: P&L (Pro Forma)

    P&L (Pro Forma) （Million yen） FY2/10 FY2/09 FY2/10 Q1 Progress Forecast Sales 10,593 2,984 12,700 23.5% Cost of Sales 28,047 2,312 － － Gross Profit -17,454 672 3,900 17.2% SG&A 11,513 627 2,500 25.1% Operating Income (Loss) -28,967 45 1,500 3.0% Non-Operating Loss, net -108 -42 － － Ordinary Income (

  17. Slide 17: Appendix: Consolidated Financial Data

    Ａｐｐｅｎｄｉｘ： Consolidated Financial Data 17

  18. Slide 18: Balance Sheet (Consolidated)

    Balance Sheet (Consolidated) （Millions yen） FY2/09 FY2/10 Q1 Change Total Assets 140,875 122,038 -18,837 Real estate held for sale Cash and Cash Equivalents 18,449 15,169 -3,280 ・Deconsolidated SPCs due to accounting rule changes ¥15,234 Operating Investments in Securities 11,779 11,219 -560 million

  19. Slide 19: Breakdown of Assets (Consolidated)

    Breakdown of Assets (Consolidated) （Million yen） FY2/09 FY2/10 Q1 Change in Outside The Outside The the Company's Amount Investors' Company's Amount Investors' Company's Interests (B-A) Interests Interests (A) Interests Interests (B) Cash and Cash Equivalents 18,449 - - 15,169 - - - Operating Invest

  20. Slide 20: P&L (Consolidated)

    P&L (Consolidated) （Million yen） FY2/10 H1 FY2/10 FY2/09 FY2/10 Q1 Progress Progress Forecast Forecast Sales 50,444 8,722 12,300 70.9% 18,200 47.9% Cost of Sales 80,408 7,547 － － － － Gross Profit (Loss) -29,963 1,174 － － 5,600 21.0% SG&A 16,207 872 － － 3,400 25.6% Operating Income (Loss) -46,170 301

  21. Slide 21: Appendix: Real Estate

    Asset » \ Managers Solutions For The Future. Appendix: Real Estate 21

  22. Slide 22: Assets Under Management (Domestic Real Estate)

    Assets Under Management (Domestic Real Estate) Assets Under Management (billion yen) 2/2004 2/2005 2/2006 2/2007 2/2008 2/2009 5/2009 Development 64.6 111.7 151.3 211.1 161.0 105.8 40.7 Completed 32.6 66.3 123.3 257.0 335.0 320.7 317.3 T otal 97.2 178.0 274.6 468.1 496.0 426.5 358.0 (billion yen) 50

  23. Slide 23: Domestic Real Estate Funds by Property Type

    Domestic Real Estate Funds by Property Type （As of May 2009） 2009） By Value By Number of Properties Other, 3.0% Nursing homes, 1.8% Residential, 11.7% Office Nursing homes, 8 Other, 6 Development Office, 37.8% Office, 41 Mixed, 14.9% Commercial Residential, 32 Commercial Mixed 16.5％ Development, 14.

  24. Slide 24: Domestic Real Estate Funds by Location

    Domestic Real Estate Funds by Location （As of May 2009） 2009） By AUM By Number of Properties (# of buildings) Sendai, 2.5% Kanto, 1.9% Other, 6.6% Tokyo Nagoya, 1.9% Osaka Fukuoka, 6.6% Fukuoka Tokyo, 70.7% Nagoya Osaka, 9.8% Kanto Sendai Other Sendai 3 Tokyo 63 Kanto 8 Nagoya 4 Osaka 9 Fukuoka 15 O

  25. Slide 25: Disclaimer

    These materials were prepared to explain the Company’s businesses and are not for the purpose of soliciting investment in marketable securities issued by the Company. The Company does not guarantee the accuracy of the figures, information, estimates or other statements included herein, and accepts n

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