Obayashi Corporation · TSE:1802
Obayashi — 2Q FY2014 Earnings Presentation
27 slides from Obayashi's earnings presentation, Nov 12, 2014
Slide 1: Financial Results for 2Q/FY2014 (cumulative) and Forecasts for Full FY2014
Investor Presentation Financial Results for 2Q/ FY2014 (cumulative) and Forecasts for Full FY2014 November 12, 2014
Slide 2: Disclaimer
Disclaimer This investor presentation, an English translation of the presentation made at the investor meeting at Obayashi Corporation (Tokyo, Japan) on November 12, 2014 as a digest of Obayashi Corporation's "Summary of the 2nd Quarter (cumulative) Financial Results for FY2014 ending March 2015" ("
Slide 3: Financial Results for 2Q/FY2014 (Cumulative) and Forecasts for FY2014
Financial Results for 2Q/ FY2014 (Cumulative) and Forecasts for FY2014
Slide 4: 【Consolidated】Overview of Financial Results
【Consolidated】Overview of Financial Results （100 million yen） Increase % Increase 2Q/ FY2013 2Q/ FY2014 (Decrease) (% Decrease) Net Sales 7,236 8,107 871 12.0％ Gross Profit 478 557 79 16.6％ Operating Income 84 168 84 100.1％ Ordinary Income 120 222 102 85.4％ Net Income 63 141 78 124.7％ 4
Slide 5: 【Consolidated】Net Sales by Business Segment
【Consolidated】Net Sales by Business Segment （100 million yen） YoY 9,000 7,236 8,107 ＋871（＋12.0％） 7,500 Domestic building const. ＋696（＋17.8％） 6,000 4,615 Overseas building const. 3,919 ＋344（＋32.0％） 4,500 Domestic civil engineering △10（△0.7％） 3,000 Overseas civil engineering 1,075 1,420 ＋29（＋10.8％） 1,
Slide 6: 【Consolidated】Operating Income by Business Segment
【Consolidated】Operating Income by Business Segment （100 million yen） 2Q/ FY2013 2Q/ FY2014 Increase Operating Operating (Decrease) margin margin Domestic building construction (0.8％) (30) 0.6％ 26 56 Overseas building construction 2.3％ 25 1.7％ 24 (0) Domestic civil engineering 0.9％ 13 4.6％ 67 53 Over
Slide 7: 【Consolidated】Breakdown of Increase/Decrease in Net Income
【Consolidated】Breakdown of Increase/ Decrease in Net Income Increase in （100 million yen） income taxes △56 200 Changes in other Increase in extraordinary minority interest Recognition balance 150 △4 of gain on +11 Changes in transition of non-operating retirement balance benefit plan ＋18 ＋24 100 +78
Slide 8: 【Consolidated】Transition of Interest-bearing Debt
【Consolidated】Transition of Interest-bearing Debt （100 million yen） 4,284 4,502 4,300 900 3,515 3,640 3,400 Forecast 8
Slide 9: 【Consolidated】Cash Flows
【Consolidated】Cash Flows （100 million yen） Increase 2Q/ FY2013 2Q/ FY2014 (Decrease) Operating activities (259) 167 426 Investing activities (333) (113) 219 Financing activities 537 152 (385) Net increase (decrease) in cash and cash equivalents (27) 203 231 Cash and cash equivalents at the end of pe
Slide 10: 【Non-consolidated】Forecasts for FY2014
【Non-consolidated】Forecasts for FY2014 （100 million yen） FY2014 2Q/ FY2014 2Q/ FY2014 Increase Forecast Previous Result (Decrease) Remarks Forecast Net Sales 12,100 6,000 5,990 (△9) Gross Profit on Completed Construction 690 315 340 25 Contracts (420) (200) (196) (△3) （Building Construction) （Civil
Slide 11: 【Consolidated】Forecasts for FY2014
【Consolidated】Forecasts for FY2014 （100 million yen） FY2013 FY2014 Increase % Increase Result Forecast (Decrease) (% Decrease) Net Sales 16,127 17,000 872 5.4％ Gross Profit 1,120 1,180 59 5.3％ Operating Income 319 350 30 9.4％ Ordinary Income 401 390 (11) (2.8％) Net Income 216 230 13 6.3％ 11
Slide 12: 【Non-consolidated】Forecast for Net Sales
【Non-consolidated】Forecast for Net Sales （100 million yen） 9,092 9,636 10,851 12,086 12,100 YoY 12,500 ＋13 （＋0.1％） Domestic building const. 10,000 ＋251 （＋2.9％） Overseas building const. 8,748 9,000 7,500 △108 （△26.6％） 7,943 7,352 Domestic civil engineering 6,128 △159 5,000 （△6.5％） Overseas civil engi
Slide 13: 【Consolidated】Forecast for Net Sales
【Consolidated】Forecast for Net Sales （100 million yen） 11,318 12,457 14,483 16,127 17,000 YoY 18,000 ＋872 （＋5.4％） Domestic building const. 15,000 ＋325 （＋3.6％） 9,350 12,000 Overseas building const. 9,024 ＋666 8,229 （＋27.4％） 9,000 Domestic civil engineering 7,618 6,437 △110 （△3.4％） 6,000 2,433 3,100 1
Slide 14: 【Consolidated】Forecast for Operating Income by Business Segment
【Consolidated】Forecast for Operating Income by Business Segment （100 million yen） FY2013 (Result) FY2014 (Forecast) Increase Operating Operating (Decrease) margin margin Domestic building construction 0.6％ 51 0.7％ 65 13 Overseas building construction 2.6％ 62 1.8％ 55 (7) Domestic civil engineering 3.
Slide 15: 【Consolidated】Forecast for Net Income
【Consolidated】Forecast for Net Income （100 million yen） 250 200 150 216 230 100 154 131 50 51 0 FY2010 FY2011 FY2012 FY2013 FY2014 Result Result Result Result Forecast 15
Slide 16: 【Non-consolidated】Forecast for Orders Received
【Non-consolidated】Forecast for Orders Received （100 million yen） 9,197 10,497 11,376 12,273 11,300 YoY 12,500 △973 （△7.9％） Domestic building const. 10,000 △99 （△1.2％） Overseas building const. 8,400 △801 7,500 8,499 8,243 （△94.1％） 7,518 Domestic civil engineering 6,978 △30 5,000 （△1.2％） Overseas civi
Slide 17: 【Consolidated】Forecast for Orders Received
【Consolidated】Forecast for Orders Received （100 million yen） 11,806 13,627 14,495 16,530 16,200 YoY 18,000 △330 （△2.0％） Domestic building const. 15,000 △30 （△0.3％） 12,000 8,830 8,800 Overseas building const. △510 8,621 （△15.4％） 7,908 9,000 Domestic civil engineering 7,338 △75 （△2.2％） 6,000 3,310 2,8
Slide 18: 【Non-consolidated】Transition of Gross Profit on Completed Construction Contracts
【Non-consolidated】Transition of Gross Profit on Completed Construction Contracts （100 million yen） 【Gross profit on completed construction contracts】 800 600 518 418 400 796 466 420 699 661 393 560 640 200 280 277 195 167 220 0 【Gross margin】 （％） ■: Building construction 14.9 15.0 ■: Civil engineeri
Slide 19: Business Environment and Forecasts for FY2014
Business Environment and Forecasts for FY2014
Slide 20: Business Environment: Domestic Construction Investment Forecast for FY2014
Medium-Term Business Plan 2012 ｜Business Environment ｜ ■ Domestic Construction Investment （nominal） Forecast for FY2014 □Construction Investment (nominal) ¥47.5 Trillion Private Construction Investment ¥27.9 Trillion Private non-residential building ¥8.6 Trillion Private non- residential building Pr
Slide 21: Business Environment: Construction Investment and Skilled Construction Workers
Medium-Term Business Plan 2012 ｜Business Environment ｜ ■ Transition of Construction Investment(real)& Skilled Construction Workers ■ Construction investment (real) for Y2013 forecasted to be ¥45 trillion, decreased by 46% from the peak (Y1992) ■ The number of skilled construction workers 3.38 millio
Slide 22: Business Environment: Skilled Construction Workers Deficiency Ratio
Medium-Term Business Plan 2012 ｜Business Environment ｜ ■ Transition of Construction Investment(real)& Skilled Construction Workers Deficiency Ratio ■ Skilled construction workers deficiency ratio turned to a positive(deficient) after the Great East Japan Earthquake(Y2011) ■ Construction investment(r
Slide 23: Forecasts for FY2014 (Non-consolidated)
Medium-Term Business Plan 2012 ｜Forecasts for FY2014 (Non-consolidated)｜ （100 million yen） FY2014 FY2012 FY2013 Increase 2Q Full year forecast (Decrease) Result Result Forecast from previous announced on FY announced on Result August 5 November 11 Net sales of Building 8,254 9,157 4,820 4,694 9,300
Slide 24: Forecasts for FY2014 (Consolidated)
Medium-Term Business Plan 2012 ｜Forecasts for FY2014 (Consolidated)｜ 24
Slide 25: Improve Profitability of Core Business Unit
Medium-Term Business Plan 2012 ｜Improve Profitability of Core Business Unit ｜ ■ Construction Business ー Cope with Rising Construction Demand ◇ Proceed deliberately planned marketing activity considering production capacity and profitability ◇ Gross profit indicates signs of recovery since the propor
Slide 26: Diversification of Earnings Base
Medium-Term Business Plan 2012 ｜Diversification of Earnings Base｜ ■ Further Strategic Global Expansion （100 million yen） ◇ Overseas construction business expanding steadily, FY2013 result FY2014 result FY2015 Forecast focusing on 3 regions(Asia, North America, Middle East) Consolidated overseas orde
Slide 27: OBAYASHI
yN vy OBAYASHI