Sti Foods Holdings, Inc. · TSE:2932
Sti Foods — Q1 2022 Earnings Presentation
23 slides from Sti Foods's earnings presentation, May 11, 2022
Slide 1: Results Briefing Materials for the First Quarter of the Fiscal Year Ending December 31, 2022
Results Briefing Materials for the First Quarter of the Fiscal Year Ending December 31, 2022 Standard Market of the Tokyo Stock Exchange (Securities Code: 2932) IR e-mail distribution registration (Japanese only) https://www.magicalir.net/2932/mail/index.php ◆ May 11, 2022
Slide 2: Summary of financial results for the first quarter of the fiscal year ending December 31, 2022
Summary of financial results for the first quarter of the fiscal year ending December 31, 2022
Slide 3: Summary of consolidated financial results
Summary of consolidated financial results ◼ Sales increased year-on-year due to the introduction of seasonal products and revisions to the prices of some products ◼ Opportunity loss due to fire is estimated to be approximately 300 million yen in sales, and 120 million yen in profit (*) *The effects
Slide 4: Full-year earnings forecast progress
Full-year earnings forecast progress ◼ Although performance was temporarily affected by the fire, the situation has now recovered to normal Net sales progress is as per a normal year, and ordinary income is also progressing in line with the earnings forecast (Unit: million yen) (Unit: million yen) F
Slide 5: Consolidated statement of income
Consolidated statement of income (Unit: million yen) Fiscal year ended Fiscal year ending December 31, 2021 1Q December 31, 2022 1Q Cumulative period Cumulative period (January to March 2021) (January to March 2022) Results Sales ratio Results Sales ratio YoY Change Net sales 5,905 - 6,325 - 107.1%
Slide 6: Consolidated balance sheet
Consolidated balance sheet (Unit: million yen) 2021/12 2022/12 YoY Change Year end １Q Current assets 8,206 7,838 95.5% (368) Of which, cash and 3,293 2,602 79.0% (690) deposits Non-current assets 4,571 4,600 100.6% 29 Of which, property, 3,833 3,879 101.2% 45 plant and equipment Total assets 12,777
Slide 7: Effects of the fire that occurred at a Group company
Effects of the fire that occurred at a Group company We would like to offer our apologies once again for any inconvenience and concern caused to our business partners and affected parties by the fire that occurred at the Funabashi Plant belonging to our consolidated subsidiary STI Foods, Inc., which
Slide 8: Current status update and steps to address the situation
Current status update and steps to address the situation
Slide 9: Current status update: business environment
Current status update Business environment Steeply rising Weakening yen Geopolitical risks resource prices *130 yen to the US dollar is the *Russian invasion of Ukraine, etc. highest level since April 2002 Accelerating rise in the price of raw materials, resources, and fuel →Ongoing rapid measures r
Slide 10: Priority measures: adapt to rapid changes in the market environment
Priority measures Adapt to rapid changes in the market environment and construct a foundation for growth Acceleration of Thorough integration of Fair price increases overseas expansion production Expanding business with Seven- Maximize ability to create Eleven ◼ Minimization of waste through thoroug
Slide 11: Status of priority measures (1)
Status of priority measures (1) Revisions to the prices of food products and Decision on site for the new Kinki area plant ingredients Kanazawa ◼ Build a new plant with state-of- ◼ February: Octopus and broccoli basil salad 200 km Approx. 2 hours 30 minutes the-art equipment ◼ April: Standard grille
Slide 12: Status of priority measures (2)
Status of priority measures (2) Investment in capital for pet tech startup ◼ Rapid growth in demand for food safety as pets become more integrated with families ◼ The pet industry market is expanding every year, to a level of 1.6 trillion yen in Japan and 11.0 trillion yen in the US, with Freshpet,
Slide 13: Earnings forecast and shareholder return policy
Earnings forecast and shareholder return policy
Slide 14: Full-year earnings forecast
Full-year earnings forecast ◼ Although we expect results to exceed forecasts due to the price revisions carried out in April as well as future trends in sale prices, etc., the business environment remains uncertain and, accordingly, we have left our earnings forecast unchanged (Unit: million yen) Fi
Slide 15: Shareholder return policy
Shareholder return policy ◼ While we expect profit to decline YoY in FY 2022/12 due to conservative earnings forecast, we plan to maintain dividend and shareholder benefit programs at the same level as FY 2021/12 [Dividends] FY 2020/12 results FY 2021/12 results FY 2022/12 forecast Dividend per shar
Slide 16: Appendix
Appendix
Slide 17: Company profile / business description
Company profile / business description Company profile Name of STI Foods Holdings, Inc. Establishment November 2017 (founded in December 1988) company 1-15-14, Minami Aoyama, Minato-ku, Number of Headquarters 285 (including 849 temporary employees) Tokyo employees *As of the end of December 2021, th
Slide 18: Group and production bases
Group and production bases ◼ The Group is formed of STI Foods Holdings, six consolidated subsidiaries and one non-consolidated subsidiary. Overseas ◼ Each plant has its own specialties and products, and by combining them, business the manufacturing system can handle any of the three temperature rang
Slide 19: Strengths of the business: Manufacturing technologies and patents
Strengths of the business: Manufacturing technologies and patents Research and development of new manufacturing methods and unique marine food products that do not exist in the world using technologies with high barriers to entry Nurture food professionals: Deepen product Taking on the challenge of
Slide 20: Strengths of the business: Improvement of taste quality through integrated production
Strengths of the business: Improvement of taste quality through integrated production ◼ Thorough temperature control and reduction in the number of thawing cycles in the integrated production (cooking) process to improve the quality of taste Manufacturing process for grilled fish prepared foods ◼ Pu
Slide 21: Strengths of the business: Balancing food loss and cost reduction
Strengths of the business: Balancing food loss and cost reduction ◼ Reduce raw material costs by thoroughly addressing food loss with a product portfolio that uses up all ingredients. Integrated production system that achieves both deliciousness and reduced raw material costs Procurement Integrated
Slide 22: SDGs initiatives
SDGs initiatives Reduce the burden on the environment and society in all parts of the value chain, from procurement, processing, distribution, consumption, and disposal, and work to solve social issues through business Responsibility to deliver Eco-friendly business activities Mission as a food manu
Slide 23: [Precaution]
[Precaution] The forward-looking statements contained in this document are based on management's assumptions and beliefs in light of the information currently available, and are subject to change due to macroeconomic conditions and industry trends. Accordingly, please be aware that there are risks a