Copro-holdings Co., Ltd. · TSE:7059

Copro-holdings — Q1 FYE2024 Earnings Presentation

25 slides from Copro-holdings's earnings presentation, Aug 10, 2023

  1. Slide 1: Fiscal Year Ending March 31, 2024 Financial Results for 1st Quarter

    ・当社イメージキャラクター：お笑いコンビ 宮下草薙 ・当社マスコット：コプ郎 Fiscal Year Ending March 31, 2024 Financial Results for 1st Quarter Tokyo Stock Exchange-Prime, Nagoya Stock August 10, 2023 Exchange Premier (Ticker Symbol: 7059)

  2. Slide 2: Section agenda

    SECTION 01 Summary of the Consolidated Financial Results for FYE2023 02 Analysis of KPIs 03 Business Summary 04 FYE2024 Earnings Forecast 05 FYE2024 Dividend Forecast ©2023 COPRO-HOLDINGS. Co., Ltd. All rights reserved. 1

  3. Slide 3: Summary of the Consolidated Financial Results for 1st Quarter

    SECTION 01 Summary of the Consolidated Financial Results for 1st Quarter ©2023 COPRO-HOLDINGS. Co., Ltd. All rights reserved. 2

  4. Slide 4: Highlights of the Consolidated Financial Results for 1st Quarter

    Highlights of the Consolidated Financial Results for 1st Quarter Number of Consolidated Net sales Operating Profit Technicians and Engineers 3,314people 5,406million yen 236million yen (YoY+38.3％) (YoY+ 27.2％) (YoY+2.5％) Record Record High High Non-GAAP Operating Profit Profit attributable to owners

  5. Slide 5: Consolidated Financial Results for 1st Quarter

    Consolidated Financial Results for 1st Quarter （million of yen） FYE2023 FYE2024 YoY Change FYE2024 Amount of 1Q results Ratio 1Q results Ratio Pct Change 1H Forecast Progress Rate Change Net sales 4,249 100.0％ 5,406 100.0％ +27.2％ +1,157 11,203 48.3％ Cost of sales 2,972 70.0％ 3,964 73.3％ +33.4％ +991

  6. Slide 6: Quarterly Consolidated Financial Results

    Quarterly Consolidated Financial Results • First Quarter net sales and technician numbers both increased from the previous quarter. • Record high on a quarterly basis. *The number of consolidated technicians & engineers is the number of employees at the end of the fiscal year including IT freelancer

  7. Slide 7: 1st Quarter Financial Results by Subsidiaries

    1st Quarter Financial Results by Subsidiaries • Cost of sales ratio of COPRO-ENGINEERD deteriorated due to standby labor cost during internal training as the number of new graduate technicians increased. Operating profit fell by ¥76 million year-on-year, mainly due to higher SG&A expenses resulting

  8. Slide 8: Analysis of KPIs

    SECTION 02 Analysis of KPIs ©2023 COPRO-HOLDINGS. Co., Ltd. All rights reserved. 7

  9. Slide 9: KPIs by Subsidiaries

    KPIs by Subsidiaries • Due to an increase in recruitment numbers centered on the mainstay COPRO-ENGINEERD, the number of technicians employed rose 38.3% YoY to 3314, with an increase of 918. • Retention rate declined 1.0pts YoY to 89.6%. Due to some mismatches in assignment due to the increased hiri

  10. Slide 10: Reference) Construction Technician Dispatching Business KPIs

    Reference） Construction Technician Dispatching Business KPIs • The number of new hires rose 109.6% YoY to 614 due to growth in the number of new graduates and young Human Resources hires. • Some mismatches arise due to growth in hiring of inexperienced employees. In addition to an increase in the nu

  11. Slide 11: Reference) Mechanical Design and Development Engineer Dispatching and Contracting Business KPIs

    Reference） Mechanical Design and Development Engineer Dispatching and Contracting Business KPIs • Increasing the number of sales and recruitment staff. The number of projects acquired and the number of technicians hired increased, rising 53 YoY (+43.4% YoY) to 175. • Particular emphasis is being pla

  12. Slide 12: Reference) SES Business KPIs

    Reference） SES Business KPIs • We are focusing on operating the "VESCARI IT" website, which was opened in March 2023 as a guide for IT engineers. • The number of applicants and the number of hirings are trending upward, partly due to the investment in advertising in conjunction with the release of V

  13. Slide 13: Business Summary

    SECTION 03 Business Summary ©2023 COPRO-HOLDINGS. Co., Ltd. All rights reserved. 12

  14. Slide 14: Construction Technician Dispatching Business: Major KPIs

    Construction Technician Dispatching Business：Major KPIs Mid-career hiring Mid-career hiring costs costs per technician 125 million yen 282 thousand yen (YoY＋ 40.9％) (YoY- 24.2％) (Vs. forecast -7.1％) (Vs. forecast -5.8％) Total recruited （incl. new graduates） 614 people ◎ ◎ (YoY+ 109.6％) (Vs. forecast

  15. Slide 15: Increase in Mid-career Hiring by Strengthening Interviews

    Construction Technician Dispatching Business：Increase in Mid-career Hiring by Strengthening Interviews Number of hiring Mid-career interview recruited Doubled from Doubled from the previous 1Q the previous 1Q 460 Main Initiatives ◼ Introduced an application management system. 239 Shorten lead times

  16. Slide 16: Decrease in unit price for mid-career hires

    Construction Technician Dispatching Business： Decrease in unit price for mid-career hires due to strengthening of interview response YoY Recruiting Unit price for About 40% expenses more mid-career hires The unit price of mid-career hires declined YoY due to an improvement in the hiring rate. Number

  17. Slide 17: Change of Name of Core Subsidiary and Merger of Subsidiary

    Change of Name of Core Subsidiary and Merger of Subsidiary • The name "Construction" will be used to make the content of business easier to imagine, and further raise corporate awareness among customers and job seekers. • Merged 2 companies acquired through M&A in 2021, ATMOS Co., Ltd., an electrica

  18. Slide 18: FYE2024 Earnings Forecast

    SECTION 04 FYE2024 Earnings Forecast ©2023 COPRO-HOLDINGS. Co., Ltd. All rights reserved. 17

  19. Slide 19: FYE2024 Consolidated Earnings Forecast Summary

    FYE2024 Consolidated Earnings Forecast Summary Number of Consolidated Net sales Operating Profit Technicians and Engineers 4,271 people 24,298 million yen 1,800 million yen (YoY+40.7％) (YoY+ 29.3％) (YoY+36.2％) Record Record Record High High High Non-GAAP Operating Profit Profit attributable to owner

  20. Slide 20: Financial Forecast for FYE2024

    Financial Forecast for FYE2024 （million of yen） FYE2023 FYE2024（forecast） 1st Half Full-year Ratio 1st Half YoY Full-year Ratio YoY Net sales 8,670 18,791 100.0％ 11,203 +29.2％ 24,298 100.0％ +29.3％ Cost of sales 6,086 13,216 70.3％ 8,040 +32.1％ 17,233 70.9％ +30.4％ Gross profit 2,583 5,575 29.7％ 3,162

  21. Slide 21: Progress of the Medium-Term Management Plan

    Progress of the Medium-Term Management Plan • In the main business of construction engineer dispatching, the Company expects to realize the results of the sales and recruitment reforms it has promoted up to the previous fiscal year, and to shift to the "Profit Generation Phase" that will enter the h

  22. Slide 22: FYE2024 Dividend Forecast

    SECTION 05 FYE2024 Dividend Forecast ©2023 COPRO-HOLDINGS. Co., Ltd. All rights reserved. 21

  23. Slide 23: Stock Split

    Stock Split Purpose of the stock split By reducing the amount of our shares per unit of investment, we will create an environment that makes it easier for investors to invest, expand our investor base, and improve the liquidity of our shares. Method of stock split Percentage of stock splits Split at

  24. Slide 24: Dividends Forecast

    Dividends Forecast Dividend Policy After the Change Dividends are the basis for shareholder returns, which we consider to be one of the important management issues, and our basic policy is to pay stable dividends. We will not reduce dividends, but rather maintain a consolidated dividend payout ratio

  25. Slide 25: Disclaimer and Forward-Looking Statements

    Disclaimer and Forward-Looking Statements ◼ This document has been prepared by COPRO-HOLDINGS. Co., Ltd. (the “Company”) to assist investors in understanding the current status of Company. ◼ The information contained in this document is based on economic, social, and other conditions generally recog

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