Acom Co., Ltd. · TSE:8572
Acom — Q2 FY2011 Earnings Presentation
26 slides from Acom's earnings presentation, Nov 10, 2010
Slide 1: Earnings Release Conference
Earnings Release Conference The 2nd Quarter for the Fiscal Year Ending March 2011 ACOM CO., LTD. http://www.acom.co.jp/ir/english November 10, 2010
Slide 2: Conference Schedule
Conference Schedule Approx. Title Presenter Page No. Duration 1. Drastically Changing Business Environment 4 2. Phased Enactment of Revised Money Lending Business Act and Measures Taken by ACOM Shigeyoshi Kinoshita 5 25 min. President & CEO 3. Financial Results Summary 6- 4. Forecast for the FY Endi
Slide 3: Financial Results Highlight
Financial Results Highlight The 2nd Quarter for the Fiscal Year Ending March 2011 (1) Drastically Changing Business Environment (2) Phased Enactment of Revised Money Lending Business Act and Measures Taken by ACOM (3) Financial Results Summary (4) Business Results by Segment (5) Forecast for the Fis
Slide 4: Drastically Changing Business Environment
Drastically Changing Business Environment Macro and Industrial Environment 9 9 Increasing Increasing demand demand in in developing developing nations nations and and stimulative stimulative schemes schemes for for consumption consumption lead lead to to improved improved corporate corporate income
Slide 5: Phased Enactment of Revised Money Lending Business Act and Measures Taken by ACOM
Phased Enactment of Revised Money Lending Business Act and Measures Taken by ACOM 1st Enactment 2nd (Main) Enactment 3rd Enactment 4th (Full) Enactment Lending Business Act (2006.12.20) (2007.1.20) (2007.12.19) (2009.06) (2010.06-) Revised Money 9Lower the maximum interest rate (Capital Subscription
Slide 6: Financial Results
Financial Results (Millions of yen) Consolidated Non-consolidated 2009/9 2010/9 2009/9 2010/9 yoy yoy Results Results Results Results (%) (%) Operating Revenue (*1) 141,722 128,753 -9.2 121,409 109,839 -9.5 Loan Business 124,337 107,556 -13.5 110,302 93,209 -15.5 Guarantee Business 5,251 9,834 87.3
Slide 7: Loan Business
Loan Business ACOM zReceivables Outstanding, No. of Customer Accounts, No. of New Customers, Operating Revenue (Loan Business) (Millions of yen) 2009/9 2010/9 2011/3 (Forecast) yoy Results Results yoy (%) (%) Receivables Outstanding 1,176,080 1,008,799 -167,281 -14.2 896,500 -18.8 No. of Customer A
Slide 8: Guarantee and Loan Servicing Business
Guarantee and Loan Servicing Business (Millions of yen) 2009/9 2010/9 2011/3 (forecast) yoy Results Results yoy (%) (%) Guaranteed Receivables 313,536 324,941 11,404 3.6 437,600 37.9 ACOM(* Guarantee Business No. of Accounts with 667,158 683,939 16,781 2.5 884,100 31.9 Outstanding Balance 1 ) Operat
Slide 9: Credit Card and Installment Sales Finance Business
Credit Card and Installment Sales Finance Business (Millions of yen) 2009/9 2010/9 2011/3 Forecast Results Results yoy yoy % (%) Receivables Outstanding 29,341 24,149 -5,191 -17.7 21,200 -20.0 ACOM Credit Card Business No. of Customer Accounts 465,956 277,832 -188,124 -40.4 187,700 -49.7 Operating R
Slide 10: Policy on Business Withdrawal by a Subsidiary
Policy on Business Withdrawal by a Subsidiary Future Management Policy AFRESH AFRESH CREDIT CREDIT CO., CO., LTD. LTD. will will terminate terminate accepting accepting new new application application and and entering entering new new installment installment sales sales contract contract by by the t
Slide 11: Forecast for the FY Ending March 2011
Forecast for the FY Ending March 2011 (Millions of yen) Consolidated Non-consolidated 2011/3 Forecast Forecast Initial Plan Yoy Difference Initial Plan Yoy Difference (%) (%) Operating Revenue 243,900 240,700 -13.7 -3,200 206,000 203,400 -14.6 -2,600 Operating Expenses 211,700 272,600 -0.0 60,900 17
Slide 12: ACOM Group's Visions
ACOM Group’s Visions Management Vision ACOM is an acronym created from the following three words We aim to become the “leading company” which provide prime satisfactions to as many customers as possible and trusted in the consumer finance industry. ACOM Group Code of Ethics Achieve the position of c
Slide 13: Financial Results Highlights
Financial Results Highlights The 2nd Quarter for the Fiscal Year Ending March 2011 (1) Financial Results (ACOM) (2) Influence of Full Enactment of Revised Money Lending Business Act (3) Major Figures (ACOM) Takashi Kiribuchi Chief General Manager of Public Relations Department
Slide 14: Financial Results (ACOM)
Financial Results (ACOM) (Millions of yen) 2010/3 2010/9 2011/3 Forecast Yoy Difference Results Results Yoy % (%) Operating Revenue (*1) 238,215 109,839 -11,569 -9.5 203,400 -14.6 -2,600 Loan Business 212,839 93,209 -17,093 -15.5 170,000 -20.1 -5,900 Guarantee Business 14,074 9,449 4,136 77.9 21,400
Slide 15: Loan and Guarantee Business (ACOM)
Loan and Guarantee Business (ACOM) (Billions of yen) (Thousands) 1,600 4,000 Merged Loan Business of DC Cash One (77.3 billion yen) 3,500 1,277.8 1,240.6 1,204.2 1,179.2 1,200 1,166.2 1,144.1 3,000 1,137.0 1,106.2 1,074.8 1,041.1 2,364 982.6 2,500 2,300 2,236 2,245 2,180 2,126 2,162 874.4 1,988 1,94
Slide 16: Provision for Loss on Interest Repayment and Allowance for Doubtful Accounts (ACOM)
Provision for Loss on Interest Repayment and Provision of Allowance for Doubtful Accounts (ACOM) ◆Provision for Loss on Interest Repayment (Millions of yen) 2010/3 2011/3 2011/3 1Q 2Q 3Q 4Q Total 1Q 2Q Total (Forecast) Provision for Loss on 738 7,967 12,484 37,173 58,362 2,239 66,163 68,402 - Intere
Slide 17: Trend of Requests for Interest Repayment (ACOM-1)
Trend of No. of Requests for Interest Repayment and Interest Repayment (Cash Out) (ACOM-1) ◆No. of Requests for Interest Repayment and Interest Repayment (Cash Out Basis) by Month (Millions of yen) 20,000 18,000 16,500 18,000 16,000 No. of Requests for Interest Repayment 14,300 16,000 14,100 13,600
Slide 18: Trend of Requests for Interest Repayment (ACOM-2)
Trend of No. of Requests for Interest Repayment and Interest Repayment (Cash Out) (ACOM-2) ◆No. of Requests for Interest Repayment and Interest Repayment (Cash Out Basis) by Month (Millions of yen) 2009/3 2010/3 2011/3 No. of No. of No. of Requests Interest Requests Interest Requests Interest for In
Slide 19: Influence of Full Enactment of Revised Money Lending Business Act
Influence of Full Enactment of Revised Money Lending Business Act Impact of Introducing Cap on Total Borrowing Amount ◆Trend of Customers against the Regulation of ◆Trend of Collection of Income Certificate(*2) (%) Total Borrowing Amount(*1) (%) 80.0 76.0 70.0 74.0 74.3 57.7 58.0 57.6 57.5 57.2 72.0
Slide 20: Trend of Lending Ratio, Applications, and New Loan Customers
Trend of Lending Ratio, No. of Applications, and New Loan Customers of Loan Business by Month (ACOM) ◆Unsecured Loans for Consumers 50,000 70.0% 45,000 60.0% 40,000 35,000 50.0% 42.7% No. of applications 40.5% 41.2% 41.1% 40.7% 30,000 43.8% 38.3% 39.6% 39.1% 42.0% 38.4% 37.3% 40.0% 41.4% 35.7% 36.5%
Slide 21: Non-performing Loans (ACOM)
Non-performing Loans (ACOM) ◆Non-performing Loans (Billions of yen) 150 15.0% 141.3 Loans to Borrowers in Bankruptcy or under 14.0% Reorganization 122.8 120 116.6 116.1 118.7 115.0 112.8 13.0% 112.1 109.8 109.1 107.1 12.0% 80.9 74.0 67.9 68.8 72.8 77.3 72.1 72.5 61.0 61.9 59.6 90 11.0% Loans in Arre
Slide 22: Composition of Loans Outstanding by Number of Other Lenders
Trend of Composition Ratio of Loans Receivable Outstanding by Number of Other Lenders (ACOM) ◆Unsecured Loans for Consumers ◆Unsecured Loans for Consumers (New Loan, No. of Accounts Basis) (Existing Loan, Outstanding Basis) 100% 100% 3.1 3.9 4.1 3.7 1.5 1.6 1.6 2.8 9.4 9.9 9.9 5.3 14.5 13.3 11.5 10.
Slide 23: Funds Procurements (ACOM)
Funds Procurements (ACOM) (Millions of yen) 2010/3 2010/9 2011/3 (Forecast) C.R. Yoy C.R. Yoy C.R. yoy Results Results (%) (%) (%) (%) (%) (%) Borrowings 705,387 100.0 3.6 677,527 100.0 -11.1 622,800 100.0 -11.7 Indirect 463,887 65.8 4.1 436,524 64.4 -14.0 404,700 65.0 -12.8 Direct 241,500 34.2 2.8
Slide 24: Assumptions on the Forecast for FY Ending March 2011
Assumptions on the Forecast for the Fiscal Year Ending March 2011 1. 1. Average Average Nominal Nominal Interest Interest Rate Rate 1.82% 1.82% 2. 2. Average Average Loan Loan Yield Yield 16.76% 16.76% (Unsecured (Unsecured Loans Loans for for Consumers Consumers 16.92%) 16.92%) 3. 3. Financial Fina
Slide 25: Moving toward an Entirely New ACOM
Moving toward an Entirely New ACOM Restructuring Internal Organization and Strengthening Business Foundation for Next Growth ACOM is concentrating its management resources in three areas – its mainstay unsecured loan Collection Credit business and its other core Screening Loan Business guarantee a
Slide 26: Reference: Contact Information
Reference ◆For further information and questions regarding this presentation material, please contact: Public Relations (IR) Tel:+81-3-5533-0631 email:ir@acom.co.jp ◆For updated company information, please refer to our website: http://www.acom.co.jp/ir/english 26