Take And Give. Needs Co., Ltd. · TSE:4331
Take And Give. Needs — H1 FY2007 Earnings Presentation
37 slides from Take And Give. Needs's earnings presentation, Nov 28, 2006
Slide 1: Take and Give. Needs Corporate Presentation
TAKE AND GIVE.NEEDS Corporate Presentation November 28, 2006 Results for Interim Period of Fiscal Year ending March 31, 2007 TSE 1st section:4331 http://www.tgn.co.jp/ir 4331
Slide 2: Contents
CONTENTS 1. RESULTS FOR INTERIM PERIOD OF FY ENDING MARCH 31, 2007 2. FISCAL YEAR ENDING MARCH 31, 2007 Income forecast for FY ending March 2007 15 Summary of Consolidated Financial Report Planned venues 16 Consolidated interim results FY ending March 2007 1 Status of orders (As of September 30, 200
Slide 3: Results for Interim Period: Summary of Consolidated Financial Report
1 Results for Interim Period FY Ending MARCH 31, 2007 Summary of Consolidated Financial Report
Slide 4: Consolidated interim results for FY ending March 2007
Consolidated interim results for FY ending March 2007 Financial Highlights (PL) (¥ million) Financial Highlights (BS) (¥ million) Interim period ended 9/06 As of September 30, 2006 Composition As of September 30, 2006 Composition Net sales 19,846 Total assets 32,321 100.0% Liabilities and net assets
Slide 5: Effects of changes to accounting standards
Consolidated interim results for FY ending March 2007: Effects of changes to accounting standards Expansion of the scope of consolidation Of the 22 venues and 33 halls using SPCs, these changes apply to: Effects on consolidation Venues using the development type SPC model (Hiroshima, Osaka, Kokura,
Slide 6: Reference: Land purchase and development type SPC model
Reference Land purchase and development type SPC model T&G or third party Contribution to fund Intermediary body Capital Capital At time of completion: Senior loans Land Beneficiary rights for Post- purchase and completion Mezzanine loans Bridging loans construction sale contract building fund Amort
Slide 7: Reference: Classification of venues
Reference: Classification of venues (As of September 30, 2006) On the balance sheet Off the balance sheet Total Term land lease Term building lease Development type SPC Real estate lease SPC Inner Tokyo 1 2 1 4 Outer Tokyo 2 2 Ibaraki 2 2 Tochigi 2 2 Kanto Gunma 2 2 Saitama 1 2 3 Kanagawa 3 1 4 Chib
Slide 8: Results for Interim Period: Summary of Non-Consolidated Financial Report
2 Results for Interim Period FY Ending MARCH 31, 2007 Summary of Non-Consolidated Financial Report
Slide 9: Non-Consolidated interim results for FY ending March 2007 (1)
Non-Consolidated interim results for FY ending March 2007: (1) Financial Highlights (¥ million) Interim Period Full year Interim period Interim period FY ending 3/07 Change % Change % FY ended 3/06 ended 9/05 ended 9/06 (Estimate) Net sales 15,307 19,653 +28.4% 33,962 45,367 +33.6% Gross profit 8,38
Slide 10: Non-Consolidated interim results for FY ending March 2007 (2)
Non-Consolidated interim results for FY ending March 2007: (2) Sales by division (¥ million) Interim period ended 9/05 Interim period ended 9/06 Change Total net sales 15,307 100.0% 19,653 100.0% +28.4% Directly managed halls 13,651 89.2% 17,445 88.8% +27.8% Restaurant alliances 1,150 7.5% 1,280 6.5
Slide 11: House wedding division (1) overview
Non-Consolidated Operating results (PL): House wedding division (1) overview Interim period ended 9/05 Interim period ended 9/06 Change Change % Net sales (¥ million) 13,651 17,445 +3,794 +27.8% Number of venues 50 72 +22 +44.0% Off balance sheet venues 17 32 +15 +88.2% Weddings handled (*1) 3,168 4
Slide 12: House wedding division (2) Existing venues -1
Non-Consolidated Operating results (PL): House wedding division (2) Existing venues -1 Interim period ended 9/05 Interim period ended 9/06 Change Change % Net sales million) 12,107 11,026 -1,080 -8.9% Weddings 2,797 2,513 -284 -10.2% Price 4,329 4,388 +59 +1.4% Gross profit (¥ million) 6,736 6,165 -
Slide 13: House wedding division (2) Existing venues -2
Non-consolidated operating results (PL): House wedding division (2) Existing venues -2 Recovery status of the six underperforming venues ’ Monthly comparison of total weddings handled by the underperforming 6 venues Weddings handled 180 160 140 120 100 80 60 40 20 FY 3/06 FY 3/07 (results and foreca
Slide 14: Affiliated restaurant division
Non-Consolidated Operating results (PL): Affiliated restaurant division Interim period ended 9/05 Interim period ended 9/06 Change Net sales (¥ million) 1,150 1,280 +130 Number of venues 13 13 ±0 Weddings 481 485 +4 Price per wedding (¥ thousand) 2,371 2,621 +249 Reason for increase in revenues Cont
Slide 15: Gross profit/SG&A
Non-Consolidated Operating results (PL): Gross profit/SG&A Gross profit Sales/Gross profit ratio (Interim period ended 9/05) 54.8% (Interim period ended 9/06) 55.8% Gross profit ratio improved 1.0 percentage points Effects of in-house production of accoutrements at certain T&G venues The gross profi
Slide 16: Non-Consolidated Operating results (BS): Assets
Non-Consolidated Operating results (BS): Assets (¥ million) Change Change As of As of As of from from September March 31, September previous previous 30, 2005 2006 30, 2006 interim full year Current assets 4,003 3,611 4,883 +880 +1,271 Cash and deposits 3,303 2,877 2,459 -843 -417 (1) Decrease from
Slide 17: Non-Consolidated Operating results (BS): Debt and liabilities
Non-Consolidated Operating results (BS): Debt and liabilities (¥ million) Change Change As of As of As of from from September March 31, September previous previous 30, 2005 2006 30, 2006 interim full year Total liabilities 7,807 7,347 13,630 +5,822 +6,283 Total current liabilities 6,887 7,010 13,626
Slide 18: Non-Consolidated Operating results: Cash Flows
Non-Consolidated Operating results (BS): Cash Flows (¥ million) Interim period Interim period FY ended 3/06 ended 9/05 ended 9/06 Cash flow from operating activities 1,794 4,277 1,001 Net income before income taxes 2,471 5,059 2,589 Depreciation and amortization 328 724 386 Income taxes paid -1,329
Slide 19: Fiscal Year Ending March 31, 2007
2 FISCAL YEAR ENDING MARCH 31, 2007
Slide 20: Income forecast for FY ending March 2007
Income forecast for FY ending March 2007 (Non-Consolidated) Net sales ¥45,367 million (FY ended 3/06: ¥33,962 million +33.6%) Ordinary Income ¥7,156 million (FY ended 3/06: ¥5,153 million +38.9%) Net Income ¥4,186 million (FY ended 3/06: ¥2,905 million +44.1%) EPS ¥5,793.08 (FY ended 3/06: ¥4,020.88
Slide 21: Planned venues
Planed venues 16 Venues/22 halls scheduled to open Contracts for all venues have been completed Opening Venue name Venue type Development type April 2006 Aqua Garden Terrace (Osaka) 1 Hall Building SPC May 2006 Bayside Geihinkan (Matsuyama) 2 Halls Land and Building SPC June 2006 Aqua Terrace Geihin
Slide 22: Status of orders (As of September 30, 2006)
Status of orders (As of September 30, 2006) 93.0% 92.2% 83.8% 2005 2004 Bookings as of September 30, 2006/no. of weddings planned for FY 3/07 Fewer orders have been secured this year than in the previous fiscal year Effects of internal restructuring Supervisors rediscovering the importance of manage
Slide 23: Efforts to achieve target number of weddings
Efforts to achieve target number of weddings 60% Trends in completion of orders 55% End of March to early May: Managers across the group implemented thorough measures in response to the food poisoning incident at Shirokane 50% Mid-May: Implementing measures and exploring ways to improve orders Level
Slide 24: Trends in wedding orders
Trends in wedding orders As of September 30, 2006 we had booked the same number of weddings as in the previous interim period, despite a slow start to the year Trends in the number of weddings handled 110.0% 100.0% FY 3/05 FY 3/06 FY 3/07 90.0% 80.0% 70.0% 60.0% Booking levels: March 31 to September
Slide 25: Progress of New Businesses
3 Progress of New Businesses
Slide 26: Portal site business
Portal site business Sougou Seikatsu Co., Ltd. Results to September 2006 Since being established in September 2005, page views and site Page views: 3,831,708 visits have been expanding favorably and awareness of the site has grown having enhanced site contents Site visitors: 220,173 Interim period e
Slide 27: Portal site business: Strategic development
Portal site business: Strategic development Sougou Seikatsu Co., Ltd. A tool for recruiting customers The expanding database plays a major role in strengthening the group and expanding the customer database Management process Step 1 Step 2 Step 3 Position the site clearly Increase the number of user
Slide 28: Associated opportunities: Bridal financing business
Associated opportunities Bridal financing business Life Angel Co., Ltd. Broke through the 6% level for acquisition of T&G customers Aiming for profitability in the second half, and through the following year Interim period ended September 30, 2006 (prior to adjustments for consolidation) Net sales:
Slide 29: Bridal financing business: Strategic development
Loans Bridal financing business: Strategic development Life Angel Co., Ltd. Long-term goals: acquire a 10% share of the overall wedding market Mission Create the wedding loan market = increase prevalence of installment payments for weddings Lower the cost of weddings targeting those forgoing the cer
Slide 30: Associated opportunities: Travel business
Associated opportunities Travel business Anniversary Travel Co. Ltd. Acquired level 1 travel business license in August Targeting T&G customers with a unique site and original products Interim period ended September 30, 2006 (prior to adjustments for consolidation) Business handled: ¥207 million Ope
Slide 31: Travel business: Strategic development
Travel business: Strategic development Anniversary Travel Co. Ltd. Travel A tie-up with T&G planners is the key Mission To realize a highly profitable structure using a unique site and a non-store sales network Differentiate ourselves from the ordinary through sales of value-added original products
Slide 32: Associated opportunities: Beauty business
Associated opportunities Beauty business T&G Beauty Co., Ltd. May 2006: Opened two more facilities following our first facility in Daikanyama March 2007: Planning to have a total of 6 new facilities during fiscal 2007 Interim period ended September 30, 2006 (prior to adjustments for consolidation) N
Slide 33: Beauty business: Strategic development
Beauty Beauty business: Strategic development T&G Beauty Co., Ltd. Aiming for repeat business from the synergies of the Bridal and Beauty businesses Mission Build the skills for capturing repeat business for future Group development Establish a venue development model based on our venue development
Slide 34: Wedding information services business: Basic strategy
Associated opportunities Partner Agent Inc. Arranging Wedding information services business: Basic strategy Marriages Large potential for market expansion by focusing on services that are easily accepted The size of the latent demand and the market’s growth potential Latent The majority of those who
Slide 35: Medium-term growth strategy
Medium-term growth strategy In addition to venue development we have established our portal site business from this we have accumulated a large and growing database of our customers Venue development business House weddings PORTAL SITE Overseas, Domestic resorts weddings Business GOOD LUCK Corporati
Slide 36: House wedding business growth and new business preparation
2006 2009 Until FY ending March 31, 2008, growth will come from the house wedding business From FY ending March 31, 2009 onward, new businesses will be the driver of growth House wedding business New business preparation period FY ending 3/07 FY ending 3/08 FY ending 3/09 30
Slide 37: Take and Give. Needs disclaimer
T A K E A N D G I V E. N E E D S This material is intended to provide information about the business performance and strategy of Take and Give. Needs Co., Ltd. (T&G). It is not intended to be and should not be construed as an inducement to purchase or sell stock in T&G. Statements in this presentati
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