Unisol Holdings Corporation · TSE:7128
Unisol — Q2 FY2023 Earnings Presentation
35 slides from Unisol's earnings presentation, August 2023
Slide 1: Second Quarter of FY2023 Earnings Presentation
Second Quarter of FY2023 Earnings Presentation A u g u s t 2023 MARUKA FURUSATO Corporation © MARUKA FURUSATO CORPORATION
Slide 2: Consolidated Financial Results
01 Consolidated Financial Results © MARUKA FURUSATO CORPORATION
Slide 3: Second Quarter of FY2023 Consolidated Financial Results Summary
Second Quarter of FY2023 Consolidated Financial Results Summary Net sales Operating profit Profit attributable to owners of parent 85,159 million yen 3,186 million yen 2,598 million yen Year on year：10.7％ increase Year on year：15.4％ increase Year on year：19.0％ increase （JPY million） 200,000 （JPY mil
Slide 4: Second Quarter of FY2023 Consolidated net sales
Second Quarter of FY2023 Consolidated net sales Net sales Year on year Achievement 85,159 million yen 10.7％increase 49.8％ 8,248 million yen increase Q2 Forecasts ：84,000 million yen （JPY million） 200,000 171,000 162,416 160,000 118,259 120,000 85,159 76,911 80,000 38,819 43,781 40,000 0 Q1 Q2 Q3 Q4
Slide 5: Factors Affecting Segment Net Sales (Market Conditions)
Factors Affecting Segment Net Sales (Market Conditions) - Internal demand of the Machine Tool Builders’ Association decreased 25.4% year on year and external demand decreased 15.9% year on year. (April to June) - There were signs of a gradual pickup and the industrial production index increased 0.9%
Slide 6: Second Quarter of FY2023 Consolidated operating profit
Second Quarter of FY2023 Consolidated operating profit Operating profit Year on year Achievement 3,186million yen 15.4％increase 53.1％ 425 million yen increase Q2 Forecasts ：2,500 million yen （8,000 JPY million） 5,895 6,000 6,000 4,188 4,000 3,186 2,760 1,767 2,000 1,469 0 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 For
Slide 7: Factors Affecting Operating Profit (Year on year)
Factors Affecting Operating Profit (Year on year) - Net sales: Machinery & Tools and Construction Products segments are going strong. - Profit margin: Profit decreased due to rising costs such as materials and energy costs. - Labor costs: Effect of increases in overseas wages and bonuses, and in the
Slide 8: Second Quarter of FY2023 Consolidated profit attributable to owners of parent
Second Quarter of FY2023 Consolidated profit attributable to owners of parent Profit attributable to Year on year owners of parent Achievement 2,598million yen 19.0％increase 55.3％ 414 million yen increase Q2Forecast：1,900 million yen （6,000 JPY million） 4,531 240 million yen from sale of non- 4,700
Slide 9: Consolidated Balance Sheet
Consolidated Balance Sheet - Current assets: Decreased due to payment of dividends, and cash and deposits increased due to conversion of accounts receivable – trade into cash. - Non-current assets: Increase in non-current assets following relocation, construction of group company building. - Current
Slide 10: Cash flow
Cash flow ・Depreciation in CF from operating activities was 741 million yen. ・Proceeds from sale of property, plant and equipment was 1,440 million yen due to relocation of group companies ・2,623 million yen was recorded as CF from financing activities due to payment of dividends (JPY million) 9,000
Slide 11: Segments
02 Segments © MARUKA FURUSATO CORPORATION
Slide 12: Characteristics of Segments
Characteristics of Segments Machinery and Tools Construction Products A machinery technology trading company with the A construction products trading company with technical skills and proposal capabilities for manufacturing functions that provides providing, as well as designing, the optimum Proport
Slide 13: Segments by Business Company
Segments by Business Company MARUKA FURUSATO Corporation Over seas : KAN G-NET Gifu Shoji Maruka Maruka Corp. KAN 7 Company KAN MANUFACTORY ArPlus Mtass Ref TS Precision Machine tools, Machine tools Machine tools Forming FA devices Industrial CO2 refrigeration FA devices Industrial Washers Food mach
Slide 14: Machinery & Tools Segment
Machinery & Tools Segment - Japan (Machinery) : EV and other environment-related investments for large companies and the automotive industry going well Small- and medium-sized companies are refraining from capital investment due to future uncertainties - Japan (Tools) : Factory capacity utilization
Slide 15: Machinery & Tools Segment Consolidated Overseas Net Sales
Machinery & Tools Segment Consolidated Overseas Net Sales - Overseas net sales: 17,486 million yen (Year on year: Increased by 4,845 million yen (38.3％ increase)) - Proportion of overseas net sales: 20.5％ (16.4% in the last year) - Machine tools and injection molding machines firm for both North Ame
Slide 16: Construction Products Segment
Construction Products Segment - Demand was holding steady for large-scale redevelopment projects, logistics facilities, etc., but there was a decrease in projects for small- to medium-sized properties - Inquiries were concentrated on large-scale properties, and sales price competition has intensifie
Slide 17: Construction Machinery Segment
Construction Machinery Segment - Net sales declined due to pull-back in demand following the demand rush before price increases. - There was an impact from delivery problems caused by engine and steel product issues, machinery problems, etc. - Outsourcing costs and repair costs increased for the ren
Slide 18: IoT Solution Segment (Former Security Segment)
IoT Solution Segment（Former Security Segment） - Selling prices for IP camera (NW camera) units were on a downward trend - Use of AI cameras for customer analysis, monitoring, and marketing was on an upward trend - Due to intensifying competition, however, it continues to be difficult to secure profi
Slide 19: Medium-Term Management Plan
03 Medium-Term Management Plan © MARUKA FURUSATO CORPORATION
Slide 20: Medium-term Management Plan "UNISOL"
Medium-term Management Plan “UNISOL” - FY2022 results exceeded the forecast at the time of formulation (157,000 million yen net sales, 4,100 million yen operating profit, and 4.3% ROE). - In the second year of the 1st Stage, we will establish a base (getting back to growth track) and lead into the 2
Slide 21: Roadmap to Achieving Earnings Targets: Progress on Synergy
Roadmap to Achieving Earnings Targets: Progress on Synergy - First-half earnings increased from 48 million yen to 169 million yen, and EV-related in the 5 strategic fields grew significantly - AF365 launched its services in July, and results are expected for automation and labor saving in the 5 stra
Slide 22: Platform Strategy (Making TS Precision a Subsidiary)
Platform Strategy (Making TS Precision a Subsidiary) - Build an engineering chain that integrates trading company functions and manufacturer functions - Cooperation and advancement in EV-related fields - Develop operations overseas using Group’s network Existing customer base TS Precision Co., Ltd.
Slide 23: Platform Strategy (Establishment of Mtass Ref Corporation)
Platform Strategy (Establishment of Mtass Ref Corporation) - Concluded a sole agency agreement for sales in Japan with SCM Frigo in February 2020. - Import and sales of CO2 refrigeration systems capable of meeting European greenhouse gas emission regulations in Japan - Collaborate with Matsuhashi Re
Slide 24: Synergy Success Story (1)
Synergy Success Story (1) Providing Traceability Solutions in Factories Responsible Companies × ➢ Many assembly and part packaging errors occurred in the manual assembly and packaging processes for several hundred different parts Needs ➢ As traceability was not established, the causes were not ident
Slide 25: Synergy Success Story (2)
Synergy Success Story (2) Early Reservations of ARUM Factory365 (Sales Starting in July) Responsible Companies × ➢ Limited number of machine operators and work (mainly NC programming) is allocated to specific people Needs ➢ ARUM Factory365 meets the need for a solution that can cover a portion of th
Slide 26: Exhibitions
Exhibitions - Became possible to exhibit at exhibitions in a wider range of fields following the integration - Using exhibitions as an opportunity to directly grasp end-users' needs MARUKA/G-NET ARUMCODE Valuable opportunity to talk directly with end-users, Exhibiting at numerous exhibitions as Poin
Slide 27: Group Strategy for Human Resources
Group Strategy for Human Resources - Started recruitment for FY2024 new graduates at MARUKA FURUSATO, and created new Group recruitment page - Certified as Health & Productivity Management Outstanding Organization 2023 (large enterprise category) - Held skills training together with Group companies
Slide 28: Sustainability (Integrated Report)
Sustainability (Integrated Report) - Sustainability Promotion Preparatory Office established in July 2023 as chief office - Promote system that interlinks everything, encompassing vision, sustainability policy, management plan, and individual initiatives - Currently focused on total grasp of GHG emi
Slide 29: Result Forecasts and Dividend Policy
04 Result Forecasts and Dividend Policy © MARUKA FURUSATO CORPORATION
Slide 30: Result Forecasts
Result Forecasts - In light of the recent trend in financial results, we adjusted the full-year result forecast on August 8, 2023 - Gain on sale of non-current assets associated with the relocation of group companies, which had been planned for the second half of the fiscal year, was recorded in the
Slide 31: Dividend Policy
Dividend Policy - Disclosure took place on August 8, 2023 to update the year-end dividend forecast from 51 yen to 55 yen - Shareholders return policy during the medium-term management plan: Profit distribution is based on the consolidated results. The consolidated dividend payout ratio is approximat
Slide 32: Appendix
05 Appendix © MARUKA FURUSATO CORPORATION
Slide 33: Consolidated Segment Quarterly Data
Consolidated Segment Quarterly Data Net sales Segment profits (JPY million) (JPY million) 50,000 2,000 40,000 1,500 1,000 30,000 500 20,000 0 10,000 ▲ 500 Q1 Q2 Q3 Q4 Q1 Q2 0 Q1 Q2 Q3 Q4 Q1 Q2 FY2022 FY2023 FY2022 FY2023 ＴＯＴＡＬ 1,469 1,291 1,427 1,707 1,767 1,418 ＴＯＴＡＬ 38,819 38,092 41,347 44,157 43,
Slide 34: Disclaimer
Disclaimer ・Notes on this material This material is prepared for the sole purpose of providing information to use as reference, and is not intended as a solicitation for investment. This material contains forward looking statements that reflects Maruka Furusato Corporation's plans and expectations.
Slide 35: UNISOL
UNISOL