Ain Holdings Inc. · TSE:9627
Ain — Q2 FY4/20 Earnings Presentation
27 slides from Ain's earnings presentation, December 2019
Slide 1: FY4/20 2Q IR Presentation
FY4/20 2Q IR PRESENTATION December 2019
Slide 2: Results Overview
Results Overview © 2019 AIN HOLDINGS INC. All Rights Reserved. 1
Slide 3: Consolidated P/L
Consolidated P/L Net sales increased 10.7% YoY and 1.3% against the plan due to 20 stores opened during first six months, including those acquired through M&A. Ordinary income up 24.9% YoY and 0.1% against the plan due to an increase in net sales as planned. FY4/19 2Q FY4/20 2Q FY4/20 2Q YoY YoY Vs
Slide 4: Dispensing Pharmacy Business (Consolidated)
Dispensing Pharmacy Business (Consolidated) Net sales increased 12.1% YoY and 2.2% against the plan due to the full contribution of stores opened in previous fiscal year and increasing of average prescription price. Segment income up 29.3% YoY and declined 0.7% against the plan due to the up-front e
Slide 5: Cosmetic and Drug Store Business (Consolidated)
Cosmetic and Drug Store Business (Consolidated) Net sales increased 4.4% YoY and decreased 5.8% against the plan due to slow down in the inbound demand. Segment income decreased 19.9% YoY and 27.3% against the plan due to the cost in advance for new opening stores. FY4/19 2Q FY4/20 2Q FY4/20 2Q YoY
Slide 6: Consolidated B/S
Consolidated B/S Net cash became ¥35,282million due to repayment of debts and shareholders’ equity ratio became 56.7%. We are maintaining a sound financial structure. (¥ million) (¥ million) End-FY4/19 End-FY4/20 2Q Assets Liabilities Assets Liabilities Current assets 85,446 Current liabilities 73,7
Slide 7: Assets
Assets The balance of total assets decreased ¥1,254 million from the end of the previous fiscal year. Mainly reflected an decrease in cash on hand and in banks and goodwill. (¥ million) End-FY4/19 2Q End-FY4/19 End-FY4/20 2Q Change Cash on hand and in banks 57,337 48,091 44,441 (3,650) Notes and acc
Slide 8: Liabilities and Net Assets
Liabilities and Net Assets The balance of liabilities decreased ¥3,913 million from the end of the previous fiscal year due to the repayment of debts etc. (¥ million) End-FY4/19 2Q End-FY4/19 End-FY4/20 2Q Change Accounts payable 42,131 44,794 45,639 +845 Short-term debt 8,143 5,571 4,555 (1,016) Le
Slide 9: Consolidated C/F
Consolidated C/F The change of Net cash used in investing activities became ¥4,361 million due to the store opening including M&A, etc. (¥ million) FY4/19 2Q FY4/20 2Q Change Net cash provided by operating activities 4,402 6,024 +1,622 Profit before income taxes 6,668 8,439 +1,771 Depreciation and a
Slide 10: Business Value Analysis
Business Value Analysis FY4/19 2Q FY4/19 FY4/20 2Q Change Shareholders’ equity ratio (%) 53.4 54.9 56.7 +3.3 Market value equity ratio (%) 169.7 165.7 115.4 (54.3) PER (times) 43.02 34.68 23.44 (19.58) EPS (¥) 102.73 254.87 130.47 +27.74 PBR (times) 3.18 3.01 2.03 (1.15) BPS (¥) 2,780.64 2,931.48 3,
Slide 11: FY4/20 Plan (Consolidated)
FY4/20 Plan (Consolidated) The group forecasts net sales for the fiscal year ending April 30, 2020 of 300,330 million, increase 9.0% YoY and ordinary income increase 15.4% YoY. FY4/18 FY4/19 FY4/20 YoY YoY （¥ million） results results plan change change (%) Net sales 268,385 275,596 300,330 +24,734 +
Slide 12: 2Q Review / Growth Strategy
2Q Review Growth Strategy © 2019 AIN HOLDINGS INC. All Rights Reserved. 11
Slide 13: 2Q Review
2Q Review © 2019 AIN HOLDINGS INC. All Rights Reserved. 12
Slide 14: Review (YoY)
Review（YoY） Net sales increased in both business due to the full contribution of stores opened in previous fiscal year and increasing of average prescription price. Ordinary income increased 1.7 billion YoY, reflecting the increasing of net sales. Net sales Ordinary income Existing ¥145.8 billion st
Slide 15: Review (Vs plan)
Review（Vs plan） Net sales and ordinary income achieved the plan due to the contribution of existing stores net absorbed the influence of delay in new store opening, inclement weather and effect of inbound demand. Net sales Ordinary income Existing ¥144.0 billion ¥145.8 billion stores +¥2.7billion St
Slide 16: Growth Strategy
Growth Strategy © 2019 AIN HOLDINGS INC. All Rights Reserved. 15
Slide 17: Growth Strategy
Growth Strategy In anticipation of system reforms and deregulation in future, the group continues to open high potential stores and reinforcing the Group’s business base. ■ Top-line Expanding of business by active new store openings in prime location and by secure M&As ■ Reinforcing the Group’s busi
Slide 18: Top-line ① Store Openings
Top-line① The group opened 20 stores and closed 40 stores at the end of the FY4/20 2Q. ■ Total number of stores 1,166(Dispensing pharmacy:1,106、Cosmetic and drug store:60) FY4/20 2Q FY4/20 ■ Plan Plan Results Plan Hokkaido Dispensing 121 25 10 100 Pharmacy Opening Organic 7 5 25 M&A 18 5 75 Koshinet
Slide 19: Top-line ② M&A Criteria
Top-line② During the period, we only acquired 5 stores through M&A and EV/EBITDA ratio was 3.72 due to the reason such as not meeting our criteria. Considering our M&A criteria, we will concentrate on more reliable and large-scale projects. ■ M&A criteria M&A criteria Private pharmacy: Annual net sa
Slide 20: Reinforcing the Group's business base
Reinforcing the Group’s business base The group established Information Technology division in July 2018 and Logistics department in May 2019. We aim to reinforcing the Group’s business base by actively investing in ICT, logistics, and Group brand building that will support our future growth. Invest
Slide 21: Recruiting of Pharmacists
Recruiting of Pharmacists In April 2019, new 534 employees (pharmacists 257, general staff 277) has joined our group. To prepare for store openings in future, 550 pharmacists and 400 general staff are appointed to join the group in April 2020 . ■ The transition of No. of national examination passers
Slide 22: Expansion of ainz & tulpe ①
Expansion of ainz & tulpe① Despite the influence of the consumption tax raising, inclement weather and effect of inbound demand, gross profit margin has continued increasing due to the strengthen merchandise lineup and overhaul of procurement activities. Although the prior investment for the store o
Slide 23: Expansion of ainz & tulpe ②
Expansion of ainz & tulpe② Pole Town２（5/9/19） ainz & tulpe new store opening in FY4/20 17 （forecast） Miyagi stores ASAKUSA ROX（21/6/19） （ Planning to open in March 2020 ） OMIYA ARCHE（25/10/19） KASHIWA Modi（13/9/19） bono SAGAMIONO（30/5/19） PERIE Chiba (25/7/19) Kyoto (Planning to open in April 2020)
Slide 24: Expansion of ainz & tulpe ③
Expansion of ainz & tulpe③ The official ainz & tulpe app, released in October, has made good progress and reached about 250,000 downloads (end of Nov. 2019). On November 1, 2019, the group acquired the cosmetic brand “DAZZSHOP”, which develops high-trend make-up products including color contact lens
Slide 25: FY4/20 Plan (Consolidated)
FY4/20 Plan (Consolidated) The group forecasts net sales for the fiscal year ending April 30, 2020 of 300,330 million, increase 9.0% YoY and ordinary income increase 15.4% YoY. FY4/18 FY4/19 FY4/20 YoY YoY （¥ million） results results plan change change (%) Net sales 268,385 275,596 300,330 +24,734 +
Slide 26: Inquiries: AIN Holdings Corporate Planning Division
Inquiries related to this presentation should be addressed to AIN HOLDINGS INC. Corporate Planning Division TEL(81)11-814-0010 FAX(81)11-814-5550 https://www.ainj.co.jp/ This document may not be reproduced or distributed to any third party without prior approval of AIN HOLDINGS INC. This document ha
Slide 27: AIN GROUP
AIN GROUP