Japan Elevator Service Holdings Co., Ltd. · TSE:6544

Japan Elevator Service — FY2020 Earnings Presentation

25 slides from Japan Elevator Service's earnings presentation, May 15, 2020

  1. Slide 1: FY2020/3 Financial Results

    FY2020/3 Financial Results Japan Elevator Service Holdings (TSE 1st Section: 6544) May 15, 2020 Copyright © japan elevator service holdings all rights reserved

  2. Slide 2: Contents

    Contents 2 １ FY2020/3 Financial Results ２ FY2021/3 Financial Forecasts ３ Priority Issues for the Current Fiscal Year 4 Future Business Development Copyright © japan elevator service holdings all rights reserved

  3. Slide 3: FY2020/3 Financial Results

    3 FY2020/3 Financial Results Copyright © japan elevator service holdings all rights reserved

  4. Slide 4: FY2020/3 Financial Results (Performance)

    FY2020/3 Financial Results (Performance) 4 (million yen) FY2019/3 FY2020/3 Change Earnings Ratio to Ratio to YoY (%) （YoY） Outlook Actual sales Actual sales （%） （Revised） (%) (%) Net sales 17,900 100.0 21,339 100.0 119.2 101.1 21,100 Cost of sales 11,419 63.8 13,523 63.4 118.4 Gross profit 6,480 36.

  5. Slide 5: FY2020/3 Financial Results (Sales by Business)

    FY2020/3 Financial Results (Sales by Business) 5 (million yen) FY2019/3 FY2020/3 YoY (%) Amount Ratio (%) Actual Ratio (%) Maintenance and Preservation 13,536 75.6 15,030 70.4 111.0 Services Modernization Services 4,309 24.1 5,599 26.2 129.9 Other 54 0.3 709 3.4 1,309.3 Total 17,900 100.0 21,339 100

  6. Slide 6: FY2020/3 Financial Results (B/S)

    FY2020/3 Financial Results (B/S) 6 (million yen) FY2019/3 FY2020/3 YoY (%) Actual Ratio (%) Actual Ratio (%) Current assets 5,568 48.5 6,356 44.5 114.1 Cash and deposits 1,045 9.1 1,145 8.0 109.6 Notes and accounts 2,544 22.2 2,781 19.5 109.3 receivable Property, plant and equipment 4,179 36.4 5,672

  7. Slide 7: FY2020/3 Financial Results (Cash Flows)

    FY2020/3 Financial Results (Cash Flows) 7 (million yen) FY2019/3 FY2020/3 Change from Actual Actual previous period Cash and cash equivalents 1,258 1,045 △212 at beginning of period Cash flows from operating activities 1,617 1,963 345 Cash flows from investing activities △736 △2,454 △1,718 Free cash

  8. Slide 8: FY2020/3 Dividends

    FY2020/3 Dividends 8 (yen) FY2019/3 FY2020/3 Change from Actual Actual previous period Annual dividends per share ¥13 ￥18 ＋¥5 2nd quarter-end dividend ― ― ― Fiscal year-end dividend ¥11 ￥18 +￥7 Commemorative dividend ¥2 ― △￥2 Total cash dividends (Total) ¥523M ¥729M ＋¥206M Dividend payout ratio (con

  9. Slide 9: FY2021/3 Financial Forecasts

    9 FY2021/3 Financial Forecasts Copyright © japan elevator service holdings all rights reserved

  10. Slide 10: FY2021/3 Financial Forecasts

    FY2021/3 Financial Forecasts 10 1H 2H Full year FY FY2021/3 FY FY2021/3 FY FY2021/3 Unit: million yen; % 2020/3 Forecast 2020/3 Forecast 2020/3 Forecast Amount Amount YoY Amount Amount YoY Amount Amount YoY Net sales 10,370 11,000 106.1 10,968 12,000 109.4 21,339 23,000 107.8 Operating profit 1,210

  11. Slide 11: FY2021/3 Consolidated Financial Forecasts (Sales by Business)

    FY2021/3 Consolidated Financial Forecasts (Sales by Business) 11 1H 2H Full year Unit: million yen; % FY2020/3 FY2021/3 Forecast FY2020/3 FY2021/3 Forecast FY2020/3 FY2021/3 Forecast Amount Amount YoY Amount Amount YoY Amount Amount YoY Maintenance and 7,320 7,850 107.2 7,710 8,550 110.9 15,030 16,4

  12. Slide 12: Priority Issues for the Current Fiscal Year

    12 Priority Issues for the Current Fiscal Year Copyright © japan elevator service holdings all rights reserved

  13. Slide 13: Effects of the new coronavirus

    Effects of the new coronavirus 13 Under the impact of the novel coronavirus pandemic, expected to cause global economic slowdown at least for the next few years, corporate needs for cost reduction will grow even more significantly Emphasize our “competitive cost advantage over other manufacturers” m

  14. Slide 14: Major Challenges for the Fiscal Year

    Major Challenges for the Fiscal Year 14 １ Increase in Maintenance Contracts Further Enhancement of ２ the Modernization Business Further Enhancement of ３ the LiftSPOT Business 4 Boost in Operating Margin Copyright © japan elevator service holdings all rights reserved

  15. Slide 15: Increase in Maintenance Contracts

    Increase in Maintenance Contracts 15 Net increase in maintenance contracts ○ Focus on the Kansai, Tokai, and Kyushu regions End of March 2020 same as the previous fiscal year (FY2020/3) Elevators under ○ Seek to further boost productivity by increasing maintenance contracts market share in the Tokyo

  16. Slide 16: Further Enhancement of the Modernization Business

    Further Enhancement of the Modernization Business 16 One-time Modernization Quick Renewal ○Achieved record-high RN sales in FY2020/3, partly ○The development of Quick Renewal compatible due to a surge in demand in the first half, ahead of models is on schedule, and the completion of JIC II the consu

  17. Slide 17: Further Enhancement of the LiftSPOT Business

    Further Enhancement of the LiftSPOT Business 17 Increase in equipped units ○Launch a Media business for the purpose of providing added value to maintenance business and cultivating a new source of revenue ○ Aim to increase the number of equipped units as an effective approach to advertisers ⇒ Aim fo

  18. Slide 18: Boost in Operating Margin

    Boost in Operating Margin 18 Operating Margin ○ Achieved 12.7% in FY2020/3 ⇒Target for FY2021/3 is 13.5% ⇒ Aim to achieve 20% in the medium term JES operating margin (%) 30 Operating Mid-and Long-Term Margin Initiatives to Boost Margin 25 Targets FY2020/3 12.7% 1. Enhancement of overseas procurement

  19. Slide 19: Future Business Development

    19 Future Business Development Copyright © japan elevator service holdings all rights reserved

  20. Slide 20: Future Business Development (Aiming to Build Up Global Standard Business)

    Future Business Development 20 (Aiming to Build Up Global Standard Business) Domestic Overseas (mainly Southeast Asia) Bu sine ss Now Onwards Now and Onwards Steady increase in Aiming to reach a Maintenance number of Conduct research for local needs and market business scale on par maintenance asses

  21. Slide 21: Financial Supplement

    21 Financial Supplement Copyright © japan elevator service holdings all rights reserved

  22. Slide 22: Reference: Coverage

    Reference: Coverage 22 As of May 1, 2020 JES Hokkaido 9 offices 82 offices JES HD 2 offices JES Jyonan 16 offices (+2) JES Jyosai 14 offices Japan Elevator Parts 8 offices (+1) JES Kanagawa 16 offices JES Tokai 7 offices (+2) JES Kansai 7 offices (+3) 【M&A】 JES Kyusyu SEIKO ELEVATOR co.,ltd 1 office

  23. Slide 23: Reference: Financial Highlights (1)

    Reference: Financial Highlights (1) 23 Net sales Operating profit (Million yen) (Million yen) 21,339 2,717 17,900 2,034 15,326 13,544 11,891 1,351 729 611 FY16/3 FY17/3 FY18/3 FY19/3 FY20/3 FY16/3 FY17/3 FY18/3 FY19/3 FY20/3 Note 1: Results are on a consolidated basis for FY2015 and onward Note 1: R

  24. Slide 24: Reference: Financial Highlights (2)

    Reference: Financial Highlights (2) 24 Net assets / total assets (Million yen) Net assets Total assets 14,297 11,484 10,624 7,848 6,552 5,177 3,937 2,870 2,072 793 FY16/3 FY17/3 FY18/3 FY19/3 FY20/3 Note 1: Results are on a consolidated basis for FY2015 and onward Net assets per share Net income per

  25. Slide 25: Disclaimer and Caution Concerning Forward-looking statements

    Disclaimer and Caution Concerning Forward-looking statements 25 Disclaimer  Japan Elevator Service Holdings (the “Company”) has prepared these materials for your reference, so that you may understand the current status of the Company  While these materials have been prepared based on generally-kno

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