February 9, 2021
Supplementary Information
Nine months ended December 31, 2020
(April 1, 2020 to December 31, 2020)
Table of Contents for Attachments
Front cover
Page 1
〈Consolidated Financial Results〉
1. Quarterly Consolidated Statements of Income
2. Quarterly Consolidated Statements of Comprehensive Income
3. Quarterly Consolidated Sales and Operating Profit by Product of Each Segment
2 2 3
4. Causes of Net Changes in Consolidated Operating Profit
5. Quarterly Consolidated Balance Sheets
6. Quarterly Consolidated Statements of Cash Flows
4 5 5
〈Consolidated Financial Forecast〉
1. Consolidated Earnings Forecast for the Fiscal Year Ending March 31, 2021
7
2. Consolidated Sales by Product of Each Segment and Operating Profit by Segment
3. Causes of Net Changes in Consolidated Operating Income Forecast
7 8
〈Other〉
1.
Non-consolidated Net Sales by Business Segment
9
Earnings forecasts contained in this supplementary material are forward-looking statements and include uncertain factors. Please note that actual results may differ from forecasts due to various unknown or unpredictable factors.
This material has not been prepared to solicit investment.
This document has been translated from a part of the Japanese original for reference purposes only. In the event of any discrepancy between this translated document and the Japanese original, the original shall prevail. The Company assumes no responsibility for this translation or for direct, indirect or any other forms of damages arising from the translation.
MEGMILK SNOW BRAND Co., Ltd.
〈Consolidated Financial Results〉
1. Quarterly Consolidated Statements of Income
(Unit: 100 million yen)(Amounts rounded down to the nearest 100 million yen)
Nine months ended December 31, 2019 | Nine months ended December 31, 2020 | Net change | ||||
Result | Vs. Sales (%) | Result | Vs. Sales (%) | Amount | Year-on-year change (%) | |
Net sales | 4,691 | 100.0 | 4,706 | 100.0 | 15 | 0.3 |
Cost of sales Selling, general and administrative expenses | 3,586 956 | 76.5 20.4 | 3,607 929 | 76.7 19.7 | 21 (27) | 0.6 (2.9) |
Operating profit | 147 | 3.2 | 169 | 3.6 | 21 | 14.7 |
Non-operating income Non-operating expenses | 23 7 | 0.5 0.2 | 22 7 | 0.5 0.2 | (0) 0 | (3.7) 4.5 |
Ordinary profit | 164 | 3.5 | 184 | 3.9 | 20 | 12.5 |
Extraordinary income Extraordinary loss | 0 19 | 0.0 0.4 | 0 18 | 0.0 0.4 | 0 (1) | 247.3 (5.3) |
Profit before income taxes | 144 | 3.1 | 166 | 3.5 | 21 | 15.0 |
Income taxes Profit attributable to non-controlling interests | 40 1 | 0.9 0.0 | 50 0 | 1.1 0.0 | 9 (0) | 23.7 (63.6) |
Profit attributable to owners of parent | 102 | 2.2 | 115 | 2.5 | 13 | 12.8 |
2. Quarterly Consolidated Statements of Comprehensive Income
(Unit: 100 million yen)(Amounts rounded down to the nearest 100 million yen)
Nine months ended December 31, 2019 | Nine months ended December 31, 2020 | Net change | ||
Result | Result | Amount | Year-on-year change (%) | |
Profit | 103 | 115 | 12 | 11.6 |
Total other comprehensive income | 22 | 36 | 14 | 67.6 |
Comprehensive income | 125 | 152 | 26 | 21.4 |
(of which, comprehensive income attributable to non-controlling interests ) | 1 | 0 | (1) | (78.8) |
3. Quarterly Consolidated Sales and Operating Profit by Product of Each Segment
69 174
Butter Margarine Cheese Other
53
51
31
27
31 91
191
177
209 578
75
78
71 224
Subsidiaries and other Dairy Products
258
274
281 814
610
609
663
1,884
Milk and milk-based beverages Other beverages
219
221
215 656
105
115
96 316
Yogurt
155
150
142 449
Desserts and fresh cream Other
60
60
62 184
9
8 10 28
Subsidiaries and other Beverage and Dessert
172
192 186 551
723
Feedstuffs
89
749 87
714
2,186
80 257
Seed products
34
28 17 79
Feedstuffs and Seed Other
123
89
Total [Operating profit]
1,546
115 95 1,569
98 98 1,574
337 282 4,691
Dairy Products Beverage and Dessert Feedstuffs and Seed Other
27
24
35 87
14
21
7 43
6
5
0 10
2
4
0 6
Total
50
55
41
147
(Notes) 1. Main types of goods traded by business segment
Dairy Products: Dairy products (cheese, butter, milk powder, etc.); margarine;
Nutrition business (functional food products, infant formula, etc.), etc. Beverage and Dessert: Beverages (milk drinks, fruit juice beverages, etc.);
yogurts; desserts; fresh cream, etc.
Feedstuffs and Seed: Cattle feed; pasture forage and crop seed; vegetable seeds; landscaping, etc. Other: Joint distribution center services; real estate leasing, etc.
2. The net sales for each segment list the figures for external customers.
Note that figures for external customers are also used in the year-on-year comparisons.
3. Subsidiaries and other includes the sales by subsidiaries and the total effects from accounting for consolidation (intercompany elimination, etc.).
Feedstuffs and Seed are on a consolidated basis
(after intercompany elimination, etc.).
Nutrition Business of Dairy Products
(Unit: 100 million yen)(Amounts rounded down to the nearest 100 million yen)
Result for the year ended March 31, 2020 | Result for the year ending March 31, 2021 | Net change | ||
1st 2nd 3rd Quarter Quarter QuarterTotal | 1st 2nd 3rd Quarter Quarter QuarterTotal | Amount | Year-on-year change (%) | |
Functional food products Powdered milk and other | 12 34 13 35
| 14 31 16 32
| 6 (2) | 16.7 (2.9) |
Total on a consolidated basis | 47 48 46 143 | 46 49 51 146 | 3 | 2.7 |
(Note) These figures are on a consolidated basis (after intercompany elimination, etc.)
4. Causes of Net Changes in Consolidated Operating Profit
Nine months ended December 31, 201914.7 billion yen
+2.3 billion yen - Decrease in fixed costs
+1.0 billion yen - Decrease in advertising and promotional costs
+700 million yen - Changes in sales unit price
+100 million yen - Decrease in raw materials costs
+300 million yen - Other
-1.2 billion yen - Decrease in profit on decrease in sales volume -1.0 billion yen - Increase in operating costs -100 million yen - Changes in product composition16.9 billion yen
Nine months ended December 31, 2020
Note:'1.2 billion yen of the 2.3 billion yen decrease in fixed costs is attributable to a revision of the method used to apportion labor costs to the third and the fourth quarters. As the costs will increase by roughly the same amount in the fourth quarter, the revision is not expected to have any impact on the full-year results.
Details of Consolidated Operating Profit by Segment
(Unit: 100 million yen)(Amounts rounded down to the nearest 100 million yen)
Factors behind changes
TotalDairy ProductsBeverage and DessertFeedstuffs and Seed
OtherChanges in sales unit priceMarginal profit
Decrease in profit on decrease in sales volume
Changes in product composition
Decrease in raw materials costs
Increase in operating costs
7
(12)
(1)
1
(10)
Other
(12)
3
3
13
(22)
(3)
5. Quarterly Consolidated Balance Sheets
Year ended March 31, 2020 | Nine months ended December 31, 2020 | Amount of Net change | Year ended March 31, 2020 | Nine months ended December 31, 2020 | Amount of Net change | ||
Result | Result | Result | Result | ||||
(Current assets) Cash and deposits Receivables Inventory assets Other | 1,511 155 718 589 47 | 1,619 146 830 585 57 | 107 (8) 111 (4) 9 | (Current liabilities) Payables Short-term loans payable Other | 1,203 607 181 413 | 1,332 636 321 374 | 129 28 140 (39) |
(Non-current liabilities) Bonds payable Long-term loans payable Net defined benefit liabilities Other | 720 100 351 100 168 | 710 100 321 103 184 | (9) － (29) 3 15 | ||||
(Non-current assets) Property, plant and equipment Intangible assets Investment securities Deferred tax assets Other | 2,192 1,710 37 348 30 66 | 2,326 1,785 34 402 29 73 | 133 75 (2) 54 (0) 7 | ||||
Total liabilities | 1,923 | 2,042 | 119 | ||||
Shareholders' equity Non-controlling interests | 1,751 29 | 1,872 30 | 121 0 | ||||
Total net assets | 1,780 | 1,902 | 121 | ||||
Total assets | 3,704 | 3,945 | 241 | Total liabilities/net assets | 3,704 | 3,945 | 241 |
6. Quarterly Consolidated Statements of Cash Flows
(Unit: 100 million yen)(Amounts rounded down to the nearest 100 million yen)
Nine months ended December 31, 2019 | Nine months ended December 31, 2020 | Amount of net change | |
Result | Result | ||
Ⅰ Cash flows from operating activities | 172 | 162 | (10) |
Ⅱ Cash flows from investing activities | (141) | (244) | (102) |
Ⅲ Cash flows from financing activities | (62) | 72 | 135 |
Ⅳ Effect of exchange rate on cash and cash equivalents | (0) | (0) | 0 |
Ⅴ Amount of net change in cash and cash equivalents | (31) | (8) | 23 |
Ⅵ Cash and cash equivalents at beginning of period | 143 | 155 | 12 |
Ⅶ Increase in cash and cash equivalents from newly consolidated subsidiaries | 1 | － | (1) |
Ⅷ Cash and cash equivalents at end of period | 112 | 146 | 33 |
(Ref.) Free cash flow (I + II) | 31 | (81) | (113) |
〈Consolidated Financial Forecast〉
1. Consolidated Earnings Forecast for the Fiscal Year Ending March 31, 2021
(Unit: 100 million yen)(Amounts rounded down to the nearest 100 million yen)
Year ending March 31, 2021
Year-on-Forecast
year change
(%)
Net sales | 6,200 | 1.1 |
Operating profit | 190 | 5.6 |
Ordinary profit | 205 | 4.2 |
Profit attributable to owners of parent | 130 | 6.9 |
2. Consolidated Sales by Product of Each Segment and Operating Profit by Segment
(Unit: 100 million yen)(Amounts rounded down to the nearest 100 million yen)
Year ending March 31, 2021
Year-on-
year | ||
change | ||
(%) | ||
[Net sales] | ||
Butter | 230 | 0.8 |
Margarine | 120 | 0.7 |
Cheese | 759 | 1.7 |
Other | 298 | (2.4) |
Subsidiaries and other | 1,230 | 12.9 |
Dairy Products | 2,640 | 6.0 |
Milk and milk-based beverages | 839 | (1.9) |
Other beverages | 376 | (7.1) |
Yogurt | 585 | (1.9) |
Desserts and fresh cream | 246 | 0.9 |
Other | 32 | (14.3) |
Subsidiaries and other | 700 | 0.0 |
Beverage and Dessert | 2,780 | (2.1) |
Feedstuffs | 335 | (1.6) |
Seed products | 94 | (1.6) |
Feedstuffs and Seed | 430 | (1.6) |
Other | 350 | (4.6) |
Total | 6,200 | 1.1 |
[Operating profit] | ||
Dairy Products | 133 | 15.1 |
Beverage and Dessert | 38 | (27.3) |
Feedstuffs and Seed | 11 | 6.1 |
Other | 8 | 369.4 |
Total | 190 | 5.6 |
Forecast
1. The net sales for each segment list the figures for external customers.
Note that figures for external customers are also used in the year-on-year comparisons.
2. Subsidiaries and other includes the sales by subsidiaries and the total effects from accounting for consolidation (intercompany elimination, etc.).
Feedstuffs and Seed are on a consolidated basis (after intercompany elimination, etc.).
Nutrition Business of Dairy Products
(Unit: 100 million yen)(Amounts rounded down to the nearest 100 million yen)
Year ending March 31, 2021 | ||
Forecast | Year-on-year change (%) | |
Functional food products Powdered milk and other | 63 127 | 14.9 (2.0) |
Total on a consolidated basis | 190 | 3.0 |
(Note) These figures are on a consolidated basis (after intercompany elimination, etc.).
3. Causes of Net Changes in Consolidated Operating Income Forecast
Year ended March 31, 202017.9 billion yen
+600 million yen - Changes in sales unit price
+600 million yen - Decrease in advertising and promotional costs
+600 million yen - Decrease in fixed costs
+200 million yen - Decrease in raw materials costs
+1.1 billion yen - Other
-1.2 billion yen - Increase in operating costs -700 million yen - Decrease in profit on decrease in sales volume -200 million yen - Changes in product composition19.0 billion yen
Year ending March 31, 2021 (forecast)
Details of Consolidated Operating Profit by Segment
Factors behind changes
(Unit: 100 million yen)(Amounts rounded down to the nearest 100 million yen)TotalDairy ProductsBeverage and DessertFeedstuffs and Seed
OtherChanges in sales unit price
Marginal profit
Decrease in profit on decreased sales volume
Changes in product composition
Decrease in raw materials costs
Increase in operating costs
Other
6
(2)
(23)
(3)
〈Other〉
1. Non-consolidated Net Sales by Business Segment
(Unit: 100 million yen)(Amounts rounded down to the nearest 100 million yen)
Nine months ended December 31, 2019 | Nine months ended December 31, 2020 | Amount of net change | |||
Result | Year-on-year change (%) | Result | Year-on-year change (%) | ||
Dairy Products Butter Margarine Cheese | 1,069 174 91 578 | (1.8) 2.6 (2.4) (1.1) | 1,071 173 91 582 | 0.2 (0.5) 0.2 0.7 | 1 (0) 0 3 |
Beverage and Dessert Milk and milk-based beverages Other beverages Yogurt Desserts and fresh cream | 1,635 656 316 449 184 | (0.0) 2.5 (5.9) 0.1 (0.0) | 1,568 631 289 435 187 | (4.1) (3.7) (8.6) (3.0) 1.9 | (66) (24) (27) (13) 3 |
Other | 15 | 3.3 | 15 | 2.1 | 0 |
Total | 2,720 | (0.7) | 2,655 | (2.4) | (64) |
(For reference) Market share (of household consumption) for the first Nine months of fiscal year ending March 31, 2021
Intage SCI (up to 79 years old) Consumer purchase data | Intage SRI (Total for supermarkets, convenience stores, and drugstores) Retail store POS data | |
Butter: | 27.7% | 43.5% |
Margarine: | 34.8% | 52.9% |
Cheese: | 15.5% | 26.3% |
Milk (Milk & composition modified milk) | 5.8% | 4.5% |
Milk beverage: | 17.1% | 14.9% |
Yogurt: | 10.9% | 11.4% |
Dessert (Chilled finished products) | 12.3% | 15.3% |
Average purchase volume per 100 people (in value Estimated retail sales volume (in value
terms)
terms)