Kyushu Railway Company · TSE:9142
Kyushu Railway — Q1 FY2021.3 Earnings Presentation
22 slides from Kyushu Railway's earnings presentation, Aug 4, 2020
Slide 1: Financial Results Overview, First Quarter
FY21.3 Financial Results Overview, First Quarter August 4, 2020 Kyushu Railway Company
Slide 2: Contents
Contents Ⅰ Financial Results for the Three-month Period 3 Ended June 30, 2020 Ⅱ Recent Circumstances, Current Initiatives, 11 and Results Forecasts 2
Slide 3: Financial Results for the Three-month Period Ended June 30, 2020
Ⅰ. Financial Results for the Three-month Period Ended June 30, 2020 3
Slide 4: Consolidated Financial Highlights for the Three-Month Period
Consolidated Financial Highlights for the Three-Month Period Ended June 30, 2020 (Year on Year) （\bil） Operating revenue 3 months ended 3 months ended YoY Operating revenue declined substantially due to the June, 30 2019 June, 30 2020 decrease in railway transportation revenues [¥(24.6) Operating re
Slide 5: Transportation Segment
Transportation Segment There was a significant decline in revenues from railway transportation due to the trend toward people staying inside accompanying the COVID 19 infection and to measures such as the suspension of train operation, etc., which were implemented with the objective of preventing
Slide 6: Railway business
Railway business Railway Transportation Revenues (\bil) 3 months ended 3 months ended YoY Major Factors June, 30 2019 June, 30 2020 Total 37.8 13.2 (24.6) 34.9% Commuter pass 8.3 6.1 (2.1) 73.8% Non-commuter pass 29.5 7.0 (22.4) 24.0% Shinkansen 13.3 3.2 (10.0) 24.5% Decline due to influence of COVI
Slide 7: Real Estate and Hotels Segment
Real Estate and Hotels Segment In the real estate lease business, revenues were significantly lower due to the closure of station buildings, rent reductions offered to support tenants, etc. In the hotel business, there was a significant decrease in occupancy rates due to the influence of hotel c
Slide 8: Retail and Restaurant Segment
Retail and Restaurant Segment Conditions were difficult, mainly at stores in areas surrounding stations, due to a decline in railway passengers and a significant decline in the number of visitors to facilities around stations as a result of the closure of station buildings, etc. Challenging cond
Slide 9: Segment Information【Summary】
Segment Information 【Summary】 （\bil） 3 months ended 3 months ended YoY Major factors June, 30 2019 June, 30 2020 Operating revenue 100.4 61.8 (38.6) 61.6% Transportation 44.1 17.3 (26.8) 39.2% Influence of the COVID 19 infection, etc. Railway Business (non-consolidated) 41.9 16.2 (25.7) 38.7% Constr
Slide 10: Non-consolidated Income Statements
Non-consolidated Income Statements (\bil) 3 months ended 3 months ended YoY Major Factors June, 30 2019 June, 30 2020 Operating revenue 51.3 24.1 (27.1) 47.1% Railway transportation Influence of the COVID 19 infection, etc. revenues 37.8 13.2 (24.6) 34.9% Other revenue 13.4 10.9 (2.5) 81.3% Decline
Slide 11: Recent Circumstances, Current Initiatives, and Results Forecasts
Ⅱ Recent Circumstances, Current Initiatives, and Results Forecasts 11
Slide 12: Duties that the JR Kyushu Group Must Fulfill Now
Duties that the JR Kyushu Group Must Fulfill Now We will work together with stakeholders to overcome COVID 19 and fulfill our social duty as a mobility services company in Kyushu as we continue striving to be a trusted corporate group. ・Maintaining transportation network as social infrastructure Soc
Slide 13: Recent Circumstances and Current Initiatives (Transportation Segment)
Recent Circumstances and Current Initiatives （Transportation Segment） Circumstances remain challenging in regard to handling revenues, mainly medium to long distance revenues. To enable customers to use train services with peace of mind, even during the COVID 19 crisis, we are strengthening Inte
Slide 14: Recent Circumstances and Current Initiatives (Real Estate and Hotels Segment)
Recent Circumstances and Current Initiatives （Real Estate and Hotels Segment） We are implementing measures so that customers can use our service with peace of mind, even during the COVID 19 crisis. In the real estate lease business, results did not recover to the previous year’s level. On the ot
Slide 15: Recent Circumstances and Current Initiatives (Retail and Restaurant Segment)
Recent Circumstances and Current Initiatives （Retail and Restaurant Segment） In the retail business, there is a gradual recovery trend, centered on stores in suburbs. We are advancing sales area improvement, etc., with consideration for demand from people staying at home. In the restaurant busin
Slide 16: Recent Circumstances and Current Initiatives (Cash flow management)
Recent Circumstances and Current Initiatives （Cash flow management） We are raising funds on a large scale so that we can ride out the continued influence of the COVID 19 infection. We are postponing/limiting investment other than railway safety investment and investment in the Miyazaki and Kumam
Slide 17: Forecasts for FY21.3
Forecasts for FY21.3 Due to the influence of COVID 19 infection, future revenue trends are very unclear, and it is difficult to rationally calculate performance forecasts. Accordingly, at this point we have not yet determined our consolidated forecasts. At this point, our annual dividends have n
Slide 18: Status of major damage caused by heavy rains in July 2020
Status of major damage caused by heavy rains in July 2020 Over the period from July 3 to 10, 17 train lines were damaged and operation was suspended on 20 routes. On certain segments of the Kyudai Main Line and the Hisatsu Line, restoration is expected to require a considerable amount of time du
Slide 19: Initiatives to Establish Sustainable Mobility Services
Initiatives to Establish Sustainable Mobility Services MaaS initiatives Hitahikosan Line restoration through BRT Together with Nishi-Nippon Railroad, from March we have In regard to the Soeda-Yoake segment, which has been been implementing initiatives to increase the convenience of suspended sin
Slide 20: Initiatives to Establish Sustainable Mobility Services
Initiatives to Establish Sustainable Mobility Services Disclosure of profitability by train line We will disclose profitability for train lines that had an average of less than 2,000 passengers per day in May 2020. We will share the difficult situation with regard to profitability with local gov
Slide 21: Outline of Future Plans: 2030 Long-Term Vision
Outline of Future Plans 2030 Long-Term Vision We will contribute to the sustainable development of Kyushu through city-building/ community development initiatives that leverage the distinctive characteristics of local communities, centered on safe and secure mobility services. Currently Settling iss
Slide 22: Forward-Looking Statements
Forward-Looking Statements These materials contain forward-looking statements concerning business forecasts, targets, etc. of the JR Kyushu Group. The Company decided on these forward-looking statements based on the available information, as well as Company estimates and assumptions, at the time the
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