Nissin Foods Holdings Co., Ltd. · TSE:2897
Nissin Foods — Nissin Food Products — FY2006 Earnings Presentation
15 slides from Nissin Foods's earnings presentation, May 16, 2006
Slide 1: Investor’s Guide: Consolidated Results for Fiscal Year Ended March 31, 2006
Investor’s Guide Consolidated Results for the Fiscal Year Ended March 31, 2006 May 16, 2006 Code number 2897 URL http://www.nissinfoods.co.jp/
Slide 2: Contents
Contents Page 1. Fiscal Year Environment 1 2. Main Business Activities during the Fiscal Year 2 3. Overview of Results for FY 2006（Consolidated） 2 4. Pillow-type Instant Noodles (Consolidated) 3 5. Cup-type Instant Noodles (Consolidated) 3 6. Chilled and Frozen Foods (Consolidated) 4 7. Other Busine
Slide 3: Fiscal Year Environment
Consolidated Results for the Fiscal Year Ended March 31, 2006 (FY 2006) May 16, 2006 Code number 2897 NISSIN FOOD PRODUCTS KESSAN 1 Fiscal Year Environment External Environment Japan: Shift to society with shrinking population Total instant noodle production volume decreased 1.5% from previous year
Slide 4: Main Business Activities and Overview of Results for FY 2006
Main Business Activities during the Fiscal Year Domestic Entry of non-flour noodle product Nissin Asian Noodle Pho, Harusame Limited-time sales of Hiyoko-chan Lidded Mug Cup with Chicken Ramen Mini Entry of 3 products associated with Winter Olympic Games Development of Nissin GooTa in 2 directions:
Slide 5: Pillow-type and Cup-type Instant Noodles (Consolidated)
Pillow-type Instant Noodles (Consolidated) ¥ Billion Divisio n Net Sales Pillow-type Instant Noodles 50 Solid sales of Chicken Ramen lineup 45 Sales of Nissin-no-Ramenyasan 40 down from previous fiscal year 35 48.9 Brisk sales of Top Ramen in U.S., Demae Itcho in Hong Kong 44.0 30 ¥4.8 billion (11.1
Slide 6: Chilled and Frozen Foods; Other Business (Consolidated)
Chilled and Frozen Foods (Consolidated) Chilled Foods (¥ Billion) Div is io n Net Sales Solid sales of core Nissin Yakisoba 45 Sales of Hiyashi Chuka and other summer products decreased from previous year, when heat was intense 40 ¥1.0 billion (7.1%) decrease from previous fiscal year to ¥13.8 billi
Slide 7: Factors Increasing / Decreasing Operating Income; Retirement Benefits Effect
Factors Increasing / Decreasing Operating Income (Consolidated) Operating Income ¥31.9 Billion (¥3.0 billion, 10.4% increase from previous fiscal year) Factors Factors decreasing income increasing income Decrease in retirement benefit expenses 1.8 Increase in net sales 1.0 0.8 Decrease in advertisin
Slide 8: Breakdown of Expenses vs. Net Sales; Strategic Use of Promotional Expenses
Breakdown of Expenses vs. Net Sales (Nonconsolidated) 4.5% FY 2006 44.7% 27.0% 7.9% 4.8% 11.1% 4.7% FY 2005 44.9% 26.4% 8.6% 5.0% 10.4% 0% 20% 40% 60% 80% 100% Cost of sales Advertising expenses Distribution expenses Promotional expenses Other expenses Operating income Nonconsolidated ratio of promo
Slide 9: Ordinary Income / Net Income; Segment Information by Geographical Area
Ordinary Income / Net Income (Consolidated) Oper atin g In c ome 31.9 Non -o per atin g In c ome 7.8 Non -o per atin g Ex pen ses 0.3 Or dinar y In c ome 39.5 Ex trao rd in ary Gains 0.3 Ex tr ao rd inary Lo s ses 10.0 In c ome Taxes 14.4 Net In c ome 15.3 0 10 20 30 40 ¥ Billion Note: Totals may no
Slide 10: North America Segment and Business in China
North America Segment Steady growth in total servings of instant noodles sold Total year-on-year growth in demand in 2005 +2% (Nissin estimate) Nissin sales volume growth Jan. – Dec. 2005 (compared with previous year) U.S. +12% Mexico +5% U.S. Increased sales volume, reduced costs, maintained unit s
Slide 11: Total Global Demand; Codex Alimentarius Standard for Instant Noodles
Total Global Demand in FY 2005 (Billion Servings) 85.7 billion NEW (Source: IRMA (International servings Other 90 Ramen Manufacturers 79.7 billion Association) servings Brazil 80 69.6 billion servings Russia 70 58.7 billion Thailand servings 53.3 billion 60 servings 5.4 Vietnam 50 5.5 12.4 Philippin
Slide 12: Chicken Ramen; Launch of Nissin Yasai Soup Noodle
Chicken Ramen Brand total 5% year-on-year increase in FY 2005 Continued sales growth in FY 2006 Yukie Nakama/Taichi Kokubun Continued TV commercials develop brand asset Long-selling brand Safety and reliability build trust 50th anniversary in 2008 Hiyoko-chan Lidded Mug Cup with Chicken Ramen Mini N
Slide 13: Yasai Soup Noodle Contents; Strengthened Efforts for Safety and Reliability
Yasai Soup Noodle Contents Compressed/hot-air dried vegetables After adding hot water Approx. 100g of 3 kinds of crisp vegetables, cut long and thin NISSIN FOOD PRODUCTS KESSAN 21 Strengthened Efforts for Safety and Reliability Strengthened Inspection of Ingredients and Materials New Inspection Syst
Slide 14: FY 2007 Plan and Cash Dividend Forecast
FY 2007 Plan (Consolidated) (¥ Billion) FY 2007 Plan FY 2006 Change Full-year Interim Amount Ratio (%) Net Sales 331.0 157.0 321.7 9.2 2.9 Operating Income 37.5 14.5 31.9 5.5 17.3 Ordinary Income 40.5 16.5 39.5 0.9 2.5 Net Income 24.0 9.5 15.3 8.6 56.0 Note: Totals may not add up as amounts less tha
Slide 15: Cautionary note on forward-looking statements
Please be aware that plans, projections of results, strategies, etc., of the Company published in these materials are based on the judgment of the Company’s management using information available at the time of their release. Actual results may differ from these forecasts depending on a number of fa