Tsi Holdings Co., Ltd. · TSE:3608
Tsi — Q1 FY2017 Earnings Presentation
20 slides from Tsi's earnings presentation, Jul 14, 2016
Slide 1: Results Briefing: Q1ST (March to May 2016) Results of 2017 Ending February
Results Briefing: Q1ST(March to May 2016) Results of 2017 Ending February 2016.7.14
Slide 2: I. Results Overview
I. Results Overview 2 TSI HOLDINGS CO., LTD. All Rights Reserved.
Slide 3: Consolidated Financial Highlights - Profit and Loss
Consolidated Financial Highlights -Profit and Loss- Operating income was x1.5 Y/Y through strict control of SG&A expenses by maintaining increase-decrease rate of SG&A expenses below that of net sales (Unit: Million Yen) Q1ST Q1ST 2016 Ending Feb. 2017 Ending Feb. Composition Composition Y/Y Results
Slide 4: Sales Overview
Sales Overview Net sales excluding withdrew brands was 101.2% Y/Y Q1ST 2016 Ending Feb. (Unit: Million Yen) 2016 Ending Feb. Closed Brands 43,977 -3,122 TOP10 Brands TOP10 Brands Others Increase Others Decrease Sales Increase Sales Decrease Q1ST +1,549 -1,212 +1,013 -849 2017 Ending Feb. 41,356 • NA
Slide 5: Brands Overview
Brands Overview 6 out of TOP10 brands increased revenue Y/Y (Unit: Million Yen) Q1ST Q1ST Y/Y 2016 Ending Feb. 2017 Ending Feb. Sales Gross Profit Sales Gross Profit Gross Profit Brands Sales Composition Ratio Composition Ratio Ratio 1 nano・universe 5,859 13.3% 59.5% 5,455 13.2% 57.2% 93.1% -2.3pt 2
Slide 6: II. Progress of Growth Strategy
II. Progress of Growth Strategy 6 TSI HOLDINGS CO., LTD. All Rights Reserved.
Slide 7: Overview of Medium-Term Management Plan
Overview of Medium-Term Management Plan TSI at present 2016 Ending Feb. 2017 Ending Feb. 2018 Ending Feb. 2019 Ending Feb. Short-term profitability structural reform • Withdrawal of unprofitable businesses and closure of brands Profitability Basis Enhancement of • Rationalization of procurement Mana
Slide 8: Progress of Medium-Term Management Plan - Enhancement of Profitability Basis
Progress of Medium-Term Management Plan 1 -Enhancement of Profitability Basis- Measures Implemented during Q1ST 2017 Ending Feb and Action Plans for Future • Restructure of 2 companies at the end of previous fiscal year → Operating profit for Portfolio Q1ST of Spic International was x2 Y/Y and that
Slide 9: Progress of Medium-Term Management Plan - Acceleration of Growth Strategy
Progress of Medium-Term Management Plan 2 -Acceleration of Growth Strategy- Measures Implemented during Q1ST 2017 Ending Feb and Action Plans for Future • Launching of omni-channeling websites for all the brands have completed by the end of May E-Commerce/ • Using olapic, the US venture’s service to
Slide 10: Progress of NPS Project
Progress of NPS Project SANEI bd recovered its revenue and also improved eNPS score by 7%pt through improvements of working condition/treatment of sales personnel Revenue Improvement Improvement of eNPS(Sales personnel loyalty) Q1ST Net Sales Y/Y Brand <Measures conducted in SANEI bd to improve work
Slide 11: Progress of BPR Project
Progress of BPR Project Specified and initiated 7 measures for sophisticated operation and expecting 0.3~0.5 bn yen improvement of gross profit Overview of central measures for BPR Medium-Term ①MD plan based on styling aiming to enhance proper selling of major products ②Most suitable QR (quick respo
Slide 12: Strengthening E-Commerce Business and Digital Marketing
Strengthening E-Commerce Business and Digital Marketing Individual measures to strengthen E-commerce business and digital marketing are proceeding smoothly Omni-channeling strategy through Smartphone Apps Connection of E-Commerce and Social Media with Olapic Opened omni-channeling site of JILL by JI
Slide 13: M&A/Overseas Strategy
M&A/Overseas Strategy Initiating PMI(Post Merger Integration) of 2 M&A companies, and discussing with potential partner candidates to accelerate development of overseas businesses M&A d’un à dix (Joined the group from 3/1) Laline JAPAN (Joined the group from 6/1) PMI is to be mostly PMI started from
Slide 14: III Reference Data
III Reference Data 14 TSI HOLDINGS CO., LTD. All Rights Reserved.
Slide 15: Domestic Comparable-Store Sales Rate
Domestic Comparable-Store Sales Rate Y/Y TOP10 TSI ALL 130.0% Q1ST 2016 Ending Feb. Q1ST 2017 Ending Feb. TOP10 : 96.2% TOP10 : 94.7% 120.0% TSI ALL: 95.3% TSI ALL: 94.7% 110.0% 101.7% 100.0% 98.7% 99.1% 99.9% 107.8% 100.0% 95.9% 95.9% 95.2% 96.1% 94.1% 93.9% 92.9% 91.8% 92.4% 90.5% 100.0% 99.6% 97.
Slide 16: Net Sales Per Channel
Net Sales Per Channel (Unit: Million Yen) Q1ST Q1ST 2016 Ending Feb. 2017 Ending Feb. Composition Composition Composition Rate Results Results Y/Y Rate Rate Y/Y Change Department Stores 10,834 24.6% 8,839 81.6% 21.4% -3.3pt Commercial Facilities(*1) 21,732 49.4% 20,714 95.3% 50.1% +0.7pt E-Commerce
Slide 17: Store Distribution
Store Distribution Q1ST 2016 Ending Feb. 2016 Ending Feb. Store Open Store Close Q1ST 2017 Ending Feb. # of Stores 1,623 1,331 66 16 1,381 Domestic Change +53 -70 +50 # of Stores 230 227 7 12 222 Overseas Change +7 -1 -5 # of Stores 1,853 1,558 73 28 1,603 Total Change +60 -71 +45 *Number indicated
Slide 18: Glossary
Glossary 1 Page# Word/Phrase Definition 7 PDCA Stands for "Plan, Do, Check and Action", meaning a method of improving operations continuously by repeating these four phases. Golden Rule The rule to maintain increase of SG&A expenses less than that of net sales. Landing the helicopter A method to ens
Slide 19: Glossary
Glossary 2 Page# Word/Phrase Definition 8 Although the consumer wants to buy and the seller wants to sell, the purchase does not take place due to difficulties for the seller (e.g. there is no stock), and Sales Opportunity Loss sales decrease. Lost Profits Profit that should have been earned, but wa
Slide 20: TSI HOLDINGS CO., LTD. All Rights Reserved.
The amounts given in this material are rounded down to the nearest million yen The forecast performance for TSI Holdings indicated in this material is based on the assessments/assumptions from the information available as of this material’s date. Actual performance may differ depending on variou