Open
FY2021
Financial Results
(Securities code 6560)
2/2022
LTS, Inc.
Open Copyright ©2022 LTS Inc. All rights reserved. | 1 |
Table of Contents
- Highlights
- Business Overview
- Overview of FY2021 Financial Results
- Progress on and Review of Medium-Term Business Plan
- Forecast for FY2022
- Reference Material
Open Copyright ©2022 LTS Inc. All rights reserved. | 2 |
Highlight 1: FY2021 Summary
LTS Group overall
Net sales: | ¥7,375 million | (up +32.7% YoY) |
Operating profit: | ¥600 million | (up +25.4% YoY) |
Ordinary profit: | ¥579 million | (up +29.6% YoY) |
⇒Record high net sales, operating profit, and ordinary profit
Professional services business
Net sales: | ¥7,125 million | (up +32.8% YoY) |
Operating profit: | ¥550 million | (up +27.1% YoY) |
⇒Strengthened consulting and engineering teams as planned
Platform business
Net sales: | ¥323 million (up +36.1% YoY) | ||
Operating profit: | ¥49 million (up +9.0% YoY) | ||
⇒ Continue aggressive investments, including in structural | |||
enhancement | * Net sales includes internal sales | ||
Open Copyright ©2022 LTS Inc. All rights reserved. | 3 |
Highlight 2: Reflection on 4 Years Since Listing
• Achieved greater growth than planned, including surpassing |
initial forecasts for four consecutive years following listing in |
Estimated and Actual Net Sales and Operating Profit
December 2017 |
• Made decision to transition to Prime Market in April 2022 |
8,000
(Hundred million yen) Net sales:
6,000 Higher growth than planned
4,000
2,000
800
(Hundred million yen) Operating profit:
600 Higher growth than planned
400
200
- Through hiring and M&A, we increased the number of engineers and built a system for providing comprehensive support for DX projects. There is room for improvement in terms of unit price of engineers (profitability)
0 | 0 | |||||||||||
2018 | 2019 | 2020 | 2021 | 2018 | 2019 | 2020 | 2021 | |||||
Net sales (forecast) | Net sales (results) | Operating profit (forecast) | ||||||||||
Operating profit (results) | ||||||||||||
Trend in number of consultants/engineers
- Expansion of the customer base, improvement of hiring and
training capabilities, and improvement of operational productivity | 250 | Number of consultants | 250 | Number of engineers | |||||
proceeded according to plan, but we recognize that the pace of | |||||||||
(People) | +74 | (People) | +150 | ||||||
expanding the consultant structure was conservative | 200 | 200 | |||||||
150 | (2017→2021) | 150 | (2017→2021) | ||||||
• | As a result, there were cases where we had to turn down | 100 | 195 | 100 | 185 | ||||
requests from new and existing customers | |||||||||
50 | 121 | 50 | |||||||
0 | 0 | 35 | |||||||
2017 | 2021 | 2017 | 2021 | ||||||
Open Copyright ©2022 LTS Inc. All rights reserved. | 4 |
Highlight 3: Upward Revisions to Medium-Term Business Plan
- Through our activities over the 4 years after listing, we are confident that further business growth is achievable. Reviewing the steady growth scenarios to date, we
revised the Medium-Term Business Plan upward for rapid growth
►Net sales compound average growth rate: Staying above 20% ⇒ Staying
above 25% | |||
▻2023: Net sales of 10.0 billion yen/Operating profit of 1.2 billion yen | ⇒ | ||
Net sales of 11.0 billion yen/Operating profit of 1.2 billion yen | |||
▻2024: Net sales of 12.0 billion yen/Operating profit of 1.8 billion yen | ⇒ | ||
Net sales of 14.0 billion yen/Operating profit of 2.0 billion yen |
Net sales compound average growth rate
revised upward
150 | 140 | ||
(Hundred million) | 110 | 120 | |
100 | 100 | ||
Net sales | |||
growth rate | |||
50 | More than | ||
25% | |||
0 | (2023 and later) | ||
2023 | 2024 | ||
Sales (before revision) | Sales (after revision) | |
- Promoting efforts below for rapid growth
-
Active hiring of consultants and engineers
⇒Growth of professional services - Enhancement of advertising activities and holding of 20th anniversary
events
⇒Growth of platform business and enhancement of branding and hiring
-
Active hiring of consultants and engineers
capabilities
- Relocation of office and IT-related investment
⇒Expansion of business and organizational foundation for continued
growth | Open Copyright ©2022 LTS Inc. All rights reserved. |
Active Hiring
800 | Number of consultants/ | 720 | ||||||
(People) | engineers | |||||||
700 | ||||||||
+340 | ||||||||
600 | 565 | 350 | ||||||
500 | (2021-2024)450 | |||||||
400 | 380 | 275 | ||||||
220 | ||||||||
300 | 185 | |||||||
200 | 230 | 290 | 370 | |||||
100 | 195 | |||||||
0 | ||||||||
2021 | 2022 | 2023 | 2024 | |||||
Consultants | Engineers | 5 | ||||||
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