Densan System Holdings Co. Ltd. · TSE:4072
Densan System — Q2 FY2021 Earnings Presentation
20 slides from Densan System's earnings presentation, August 2021
Slide 1: Presentation Materials for the 2Q FY2021 Results Briefing
Densan System Holdings Presentation Materials for the 2Q FY2021 Results Briefing Tokyo Stock Exchange, First Section Nagoya Stock Exchange, First Section Securities Code: 4072 Forward-looking statements contained in this document are based on current estimates and projections and include potential r
Slide 2: Table of Contents
Table of Contents • 2Q FY2021 Business Results Highlights P3 • 2Q FY2021 Transition in Quarterly Business Results P5 • 2Q FY2021 By Segment P6 • 2Q FY2021 Information Services Summary P7 • 2Q FY2021 Information Services in Detail P8 • 2Q FY2021 Payment Agency Services Summary P10 • 2Q FY2021 Payment
Slide 3: 2Q FY2021 Business Results Highlights
2Q FY2021 Business Results Highlights Y-o-y change in parentheses Net Sales Operating Income Net income attributable to shareholders of the parent company ¥24,389 million ¥1,461 million ¥928 million (up 11.5%) (down 13.1%) (down 12.8%) Business results Net sales exceeded the previous year, but inc
Slide 4: 2Q FY2021 Business Results Highlights
2Q FY2021 Business Results Highlights (Unit: Million yen) Net sales grew by ¥2,500 million, with a growth rate of 11.5% Progress in net sales has been poor, but a large volume of net sales is expected in the second half due to factors such as M&A Although the profit margin decreased, it remain
Slide 5: Transition in Quarterly Business Results
2Q FY2021 Transition in Quarterly Business Results (Unit: Million yen) Operating income fell below the previous year's level in 1Q and 2Q, but exceeded the plan The expenses required for implementation of the holding company were generally absorbed by 2Q Net Sales Operating Income 12,752 1,113 1
Slide 6: 2Q FY2021 By Segment
2Q FY2021 By Segment (Unit: Million yen) Net sales grew year on year in each segment, but growth was particularly strong in Information Services Operating income grew year on year in Payment Agency Services with strong stock business, but decreased in Information Services with much flow business
Slide 7: Information Services Summary
2Q FY2021 Information Services Summary (Unit: Million yen) Although auto auctions decreased sales in SI and software development, Chromebook sales increased due to the impact of the GIGA School concept. Furthermore, sales for PSI, which became a Group company through M&A, were recorded in 1Q and 2
Slide 8: Information Services in Detail: Google business
2Q FY2021 Information Services in Detail (Unit: Million yen) Google business Sluggish growth of new business is Number of Google (Google Workspace) implementations Cloud-related sales concentrated on the acquisition of three- year contracts (the limit of three-year 1,943 1,971 1,725 1,931 contract
Slide 9: Information Services in Detail: BPO business
2Q FY2021 Information Services in Detail (Unit: Million yen) BPO business The impact of the coronavirus outbreak Number of items processed Net Sales has been prolonged, and due to the large [Thousands] proportion of gift processing sales from 81,493 79,974 customers reliant on stores for contact 7
Slide 10: Payment Agency Services Summary
2Q FY2021 Payment Agency Services Summary (Unit: Million yen) The impact of stay-at-home consumption continues, and payment slip settlement service is growing The strong performance of 1Q last year when the impact of the coronavirus outbreak was still small had an impact on paperless payment C
Slide 11: Payment Agency Services in Detail: Payment service business
2Q FY2021 Payment Agency Services in Detail (Unit: Million yen) Payment service business Number of items processed The number of items processed, which is the Net Sales basis for sales, increased steadily by over 10 [Thousands] million year on year to 125,044 thousand 210,165 230,504 Stay-at-hom
Slide 12: Payment Agency Services in Detail: Payment innovation business
2Q FY2021 Payment Agency Services in Detail (Unit: Million yen) Payment innovation business Number of items processed Counter payment service - 3,913 adopter stores 500 [Thousands] International remittances Domestic remittances 458 International remittances - 132 WillCall 450 adopter stores 400
Slide 13: Long-Term Plan Challenge 1000
Long-Term Plan Challenge 1000 1,000 Taking on the challenge to become a company with ¥100 billion in sales by 950 900 2027! 850 The coming of an era of great change that will radically transform Net Sales800 (unit: ¥100 750million) business! Let's take on a bold challenge! 700 ● Business processing
Slide 14: Medium-Term Management Plan
Medium-Term Management Plan (3-year Plan from Dec. 2021 to Dec. 2023) (Unit: Million yen) Will not be an immediate increase in profit due to the large amount of planned investment in software in 2021 DSK deferred payment is planned to be unprofitable until 2021 2020 2021 2022 2023 Grow th rate y
Slide 15: FY2021 Business Results Projections
FY2021 Business Results Projections (Unit: Million yen) In sales, the consolidation of PSI from July is expected to contribute to the half-year increase Profit is expected to increase slightly due to the coronavirus outbreak and investment in software The net sales of ¥52 billion planned for t
Slide 16: FY2021 Information Services Results Projection
FY2021 Information Services Results Projection (Unit: Million yen) In SI and software development, factors including the GIGA School concept are expected to contribute to sales growth Information processing is expected to increase due to the strong performance of invoice preparation services, an
Slide 17: FY2021 Payment Agency Services Results Projection
FY2021 Payment Agency Services Results Projection (Unit: Million yen) In addition to the steady acquisition of new customers and the expectation of sequential operation, the impact of stay-at-home consumption and the shift to cashless transactions is expected to result in strong growth in payment
Slide 18: FY2021 Topics: Establishment of Densan System Holdings
FY2021 Topics Establishment of Densan System Holdings Transition to a holding company structure through a sole stock transfer on July 1, 2021 Challenge1000: Taking on the challenge to become a company with ¥100 billion in sales by 2027! (Established a new 7-year plan to replace PLAN 2020, and ai
Slide 19: FY2021 Topics: Network security and IoT business (M&A)
FY2021 Topics Strengthening expansion of network security and IoT business (M&A) July 30, 2021: Acquired 100% of the shares of Information services business Micro Research Ltd., a network security <SI and software development, information processing, cloud> business company, and added it to the Pa
Slide 20: Dividends
Dividends Commemorative Commemorative dividend for the transition to a holding company structure: ¥5 dividend for the transition to a holding Annual ordinary dividend per share: ¥29 (interim dividend of ¥14 and year-end dividend company structure of ¥15) and Commemorative dividend of ¥5 for a to
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