Cleanup Corporation · TSE:7955
Cleanup — H1 FY2005 Earnings Presentation
39 slides from Cleanup's earnings presentation, Nov 15, 2005
Slide 1: Presentation Material: Announcement of FY2005 Interim Results
Presentation Material: Announcement of FY2005 Interim Results November 15, 2005 Cleanup Corporation Tokyo Stock Exchange, 1st Section, Code 7955 1
Slide 2: I. Interim Results Outline
I. Interim Results Outline 2
Slide 3: Outline of Consolidated Results for Interim Period Ended September 2005
Ⅰ． Interim Results Outline 1. Outline of Consolidated Results for Interim Period Ended September 2005 (Unit: millions of yen) 2005/9 2004/9 Change From 2005/9 Compared (Actual Results) (Actual Results) Prev. Period (Planned) To Plan Net Sales 59,510 61,148 △2.7％ 62,200 △4.3％ Operating Income 2,700 3
Slide 4: Consolidated Profits: Net Sales, Gross Profit
Ⅰ． Interim Results Outline 2. Consolidated Profits ① Net Sales, Gross Profit (Billions of yen) 【Increased/Decreased Values (Rates)】 61.14 59.51 Net Sales △1.63 billion yen Cost of Sales 38.40 37.91 △0.48 billion yen （62.8） （63.7） Cost of Sales Ratio ＋0.9％ 22.74 21.59 （37.2） （36.3） Gross Profit 0 △1.
Slide 5: Consolidated Profits: SGA Expenses, Operating Income
Ⅰ． Interim Results Outline 2. Consolidated Profits ② SGA Expenses, Operating Income (Billions of yen) 【Increased/Decreased Values (Rates)】 22.74 21.59 Gross Profit △1.15 billion yen SGA Expenses △0.17 billion yen 19.06 18.89 （31.2） （31.7） SGA Ratio ＋0.5％ 3.68 2.70 Operating Income （6.0） （4.5） △0.98
Slide 6: Sales Composition By Segment (Consolidated)
Ⅰ． Interim Results Outline 3. Sales Composition ① By Segment (Consolidated) (Millions of yen) 140,000 【2005/9】 124,391 124,000 Other 3.2％ Other 3,121 2.5％ 3,782 3.1％ 120,000 Bathtubs & Bathrooms & Washstands Washstands 18.8％ 21,779 21,265 Kitchen Equipment 17.5％ 17.1％ 100,000 Kitchen Equipment 78.0％
Slide 7: Sales Composition By Sales Route (Non-Consolidated)
Ⅰ． Interim Results Outline 3. Sales Composition ② By Sales Route (Non-Consolidated) 【Full-Term Base】 Direct-Sales (Condominium owners) Housing constructors 9.5％ 8.9％ 10.0％ General Routes 15.0％ 15.7％ (Construction contractor・Home renovation) 13.5％ 【First-Half Base】 7.2％ 4.9％ 8.3％ 15.9％ 75.5％ 75.4％ 14
Slide 8: Consolidated Balance Sheet Summary – 1/2
Ⅰ． Interim Results Outline 4. Consolidated Balance Sheet Summary – 1/2 (Billions of yen) 【Increased/Decreased Values】 【Primary Factors for Increases/Decreases】 【Assets】 91.57 91.02 Total Assets ●Current Assets △1.67 billion yen 88.75 △0.54 billion yen ●Fixed Assets ＋1.13 billion yen ●Cash and Deposi
Slide 9: Consolidated Balance Sheet Summary – 2/2
Ⅰ． Interim Results Outline 4. Consolidated Balance Sheet Summary – 2/2 (Billions of yen) 【 Increased/Decreased Values 】 【Primary Factors for Increases/Decreases】 【Liabilities･Minority Interests・Assets】 ●Accounts Payable ＋0.47 billion yen 91.57 91.02 ●Short-Term Debt ＋1.90 billion yen 88.75 ●Current
Slide 10: Consolidated Cash Flow Statement Summary
Ⅰ． Interim Results Outline 5. Consolidated Cash Flow Statement Summary (Billions of yen) Cash Flow from Operating Activities Cash Flow from Investing Activities Cash Flow from Financing Activities Interim (Year-End) Cash & Cash Equivalents Balance 25. 00 21.29 （2005/3） Compared to Year-End Balance 2
Slide 11: Capital Investments (Consolidated)
Ⅰ． Interim Results Outline 6．Capital Investments (Consolidated) (Billions of yen) 【Major FY2005 Capital Investment Details】 8.00 First-Half Results R&D Costs 7.09 ①Dies and Equipment for New Product Capital Investment 0.44 billion yen 6.20 ②Production Facilities Rationalization Deprecation Costs 6.0
Slide 12: Outline of Non-Consolidated Results For Interim Period Ended September 2005
Ⅰ． Interim Results Outline 7. Outline of Non-Consolidated Results For Interim Period Ended September 2005 (Units: millions of yen) 2005/9 2004/9 Change From 2005/9 Compared (Actual Results) (Actual Results) Prev. Period (Planned) To Plan Net Sales 58,110 60,110 △3.3％ 61,000 △4.7％ Operating Income 2,
Slide 13: Non-Consolidated Sales Composition By Segment
Ⅰ． Interim Results Outline 8. Non-Consolidated Sales Composition By Segment 122,144 121,110 (Millions of yen) 【2005/9】 6.9％ 6.9％ Industrial 120,000 8,434 Other 1.7％ 8,315 1.4％ Kitchen Other 2,018 5,316 1,705 Equipment 1.4％ 4.9％ 4.4％ 5,335 4.4％ Industrial Kitchen Equipment Washstands 4.4％ 100,000 Was
Slide 14: Major Products and Market Share - Complete System Kitchen
Ⅰ． Interim Results Outline 9. Sales Results For Major Products and Cleanup Market Share - 1/4 Complete System Kitchen Sales Results Demand Trends and Market Share (Billions of (Thousands (Thousands yen) Monetary Value Volume of sets) of sets) Demand Volume Cleanup Share （％） 100.0 300 1,400 30.0 83.4
Slide 15: Major Products and Market Share - Sectional System Kitchen
Ⅰ． Interim Results Outline 9. Sales Results For Major Products and Cleanup Market Share - 2/4 Sectional System Kitchen Sales Results Demand Trends and Market Share (Billions of (Thousands (Thousands yen) Monetary Value Volume of sets) of sets) Demand Volume Cleanup Share （％） 12.0 150 800 30.0 696 10
Slide 16: Major Products and Market Share - Modular System Bathroom
Ⅰ． Interim Results Outline 9. Sales Results For Major Products and Cleanup Market Share - 3/4 Modular System Bathroom Sales Results Demand Trends and Market Share (Billions of (Thousands (Thousands yen) Monetary Value Volume of sets) of sets) Demand Volume Cleanup Share （％） 20.0 50 800 10.0 16.3 667
Slide 17: Major Products and Market Share - Washstands/Vanities
Ⅰ． Interim Results Outline 9. Sales Results For Major Products and Cleanup Market Share - 4/4 Washstands/Vanities Demand Trends and Market Share (Billions of (Thousands (Thousands yen) Monetary Value Volume of sets) of sets) Demand Volume Cleanup Share （％） 7.0 150 2,400 10.0 5.9 6.0 5.6 2,000 5.3 5.
Slide 18: Showrooms And Visitor Numbers
Ⅰ． Interim Results Outline 10. Showrooms And Visitor Numbers (Locations) Number of Showrooms Number of Visitors (Thousands of groups) 240 600 480 490 200 500 450 Current Interim Period 249,000 groups 160 380 400 314 120 108 300 255 101 104 95 Current Interim 85 87 Period 80 104 locations 200 40 100
Slide 19: Forecast Consolidated Results For The Period Ending March 2006
Ⅰ． Interim Results Outline 11. Forecast Consolidated Results For The Period Ending March 2006 (Unit: millions of yen) 2005/3 2006/3 2006/3 Change From Compared (Actual Results) (Initial Plan) (Term-End Forecast) Prev. Period To Plan Net Sales 124,391 130,000 124,000 △0.3％ △4.6％ Operating Income 6,84
Slide 20: Forecast Non-Consolidated Results For The Period Ending March 2006
Ⅰ． Interim Results Outline 12. Forecast Non-Consolidated Results For The Period Ending March 2006 (Unit: millions of yen) 2005/3 2006/3 2006/3 Change From Change From (Actual Results) (Initial Plan) (Term-End Forecast) Prev. Period Prev. Period Net Sales 122,144 127,500 121,110 △0.8％ △5.0％ Operating
Slide 21: Summary and Progress of Medium-Term Business Plan
Ⅱ．Summary and Progress of Medium- Term Business Plan 21
Slide 22: Basics of Medium-Term Business Plan (FY2005-FY2007)
Ⅱ．Summary and Progress of Mid-Term Plan 1. Basics of Medium-Term Business Plan 2005 Medium-Term Business Plan (FY2005 ～FY2007) Operating Aiming to be a business trusted by customers, by providing Vision attractive products and customer support Operating Growing from a simple home equipment manufactu
Slide 23: Basic Strategy: Life-Cycle Support System
Ⅱ．Summary and Progress of Mid-Term Plan 2. Basic Strategy Basic Strategy Construction of a life-cycle support system Attacking the home renovation market by focusing our business structure on “customer relationships” Sales Proposals Production Distribution Home renovation Relationship 【Cleanup】 【Cus
Slide 24: Market Trends (Home Renovation Market Expansion)
Ⅱ．Summary and Progress of Mid-Term Plan 3. Market Trends (Home Renovation Market Expansion) Trend in total number of homes and households (Unit: 10,000) (Nationwide, 1958 - 2003) Rise in Housing Stock Total number of homes Total number of households 5,387 4,722 ●No. of stock: 7.2% increase over 10 y
Slide 25: Business Strategy
Ⅱ．Summary and Progress of Mid-Term Plan 4. Business Strategy ①Focus on main business ②Establish and expand a service and support system ③Improve overall strength by strengthening the group’s operational base ④Commercialize services ⑤Establish a strategic information system to support the business st
Slide 26: Business Strategy: Focus on Main Business – 1/3
Ⅱ．Summary and Progress of Mid-Term Plan 5. Business Strategy ① Focus on Main Business – 1/3 Adding further value to core products in the main business, such as System kitchens, System bathrooms, etc. Super Silent e-Sink 【System Kitchen-Related】 ●Began sales of diffused price-range system kitchens, w
Slide 27: Business Strategy: Focus on Main Business – 2/3
Ⅱ．Summary and Progress of Mid-Term Plan 5. Business Strategy ① Focus on Main Business – 2/3 DVD: “Building A Kitchen You Won’t Regret: The Super Silent Kitchen” ●Easy-to-understand and attractive ideas, from home renovation examples to concrete comparison studies (5.1ch home theater) ・Before/after k
Slide 28: Business Strategy: Focus on Main Business – 3/3
Ⅱ．Summary and Progress of Mid-Term Plan 5. Business Strategy ① Focus on Main Business – 3/3 “L-Bath” 1-tsubo type (1616 model) 【System Bathroom-Related】 ●Begin sales of the “L-Bath” (from July 1, 2005). New system bathroom series, with a focus on “warming the entire bathroom” (heat retention) and “c
Slide 29: Business Strategy: Service And Support System - 1/3
Ⅱ．Summary and Progress of Mid-Term Plan 6. Business Strategy ② Service And Support System - 1/3 Promoting increased functionality, the showroom will be positioned as the center for customer support, from advice and planning to construction and maintenance. ●Relocation and opening of the Fukuoka ■Nat
Slide 30: Business Strategy: Service And Support System - 2/3
Ⅱ．Summary and Progress of Mid-Term Plan 6. Business Strategy ② Service And Support System - 2/3 Toward a more functional showroom ●Improved proposal abilities by combining with a “Training Center” ●Creation of “Multi-Purpose Areas” ●Establishment of “corners” using local features ・Condominium renova
Slide 31: Business Strategy: Service And Support System - 3/3
Ⅱ．Summary and Progress of Mid-Term Plan 6. Business Strategy ② Service And Support System - 3/3 Advancing a new sales system while keeping an eye on the expansion of the home renovation market ●Investigation of channel expansion Previous Home Housing General Channels ＋ Builders Constructors Contract
Slide 32: Business Strategy: Improve Overall Strength - 1/3
Ⅱ．Summary and Progress of Mid-Term Plan 7. Business Strategy ③ Improve Overall Strength - 1/3 Promoting “Improved Production Efficiency” and “Aggressive Production System” by Tuning-Up and Concentrating Manufacturing Subsidiaries’ Production Systems ＜Past West-Japan Production Locations＞ Kitchen Pro
Slide 33: Business Strategy: Tsuyama Factory Outline
Ⅱ．Summary and Progress of Mid-Term Plan 7. Business Strategy ③ Improve Overall Strength - 2/3 Tsuyama Factory Outline ●A new factory controlled by consolidated subsidiary Cleanup Okayama Industrial Co., Ltd. ●Exclusive System Bathroom factory →Preparing a production location for expanded sales of Sy
Slide 34: Business Strategy: Improve Overall Strength - 3/3
Ⅱ．Summary and Progress of Mid-Term Plan 7. Business Strategy ③ Improve Overall Strength - 3/3 Reconsidering the construction service system by consolidating subsidiaries responsible for construction and after-service ＜Previous construction /after-service subsidiaries’ organization＞ Cleanup Techno Se
Slide 35: Business Strategy: Commercializing Services
Ⅱ．Summary and Progress of Mid-Term Plan 8. Business Strategy ④ Commercializing Services Began initial visitation services for the System Kitchen “S.S.” from April ●Direct responses to customer maintenance and repair requests ●Program for concluding fee-based maintenance contracts ●Parts sales in sho
Slide 36: Business Strategy: Strategic Information System
Ⅱ．Summary and Progress of Mid-Term Plan 9. Business Strategy ⑤ Strategic Information System Constructing a strategic system, from making need evident to closing the deal After further discussion, the final plan is decided and the order is placed Sales Support System A unique plan for each residence
Slide 37: Important Second-Half Topics and Major Plans
Ⅱ．Summary and Progress of Mid-Term Plan 10. Important Second-Half Topics and Major Plans 【Product Strategy】 ●Increase awareness of “e-Sink” products ●Strengthening “CLEANLADY” products 【Showroom Strategy】 ●4 new planned locations (Yokote, Takaoka, Toyota, Mizusawa) ●Strengthening the appeal of curre
Slide 38: Cleanup Corporation
For any questions concerning investor relations, please contact: Cleanup Corporation Public Relations Department Tel 03-3810-8241 Fax 03-3893-9577 URL http://cleanup.jp/english/index.html 38
Slide 39: Disclaimer
Disclaimer This material is intended to provide information regarding FY2006 Interim Results (April 2005 ～September 2005) and does not constitute a solicitation to invest in Cleanup Co., Ltd.-issued securities. Furthermore, this material was created based upon data current as of November 15, 2005. O