Yamato Holdings Co., Ltd. · TSE:9064
Yamato — FY2023 Earnings Presentation
36 slides from Yamato's earnings presentation, May 10, 2023
Slide 1: Yamato Group IR Presentation Material
Yamato Group IR Presentation Material ＜Fiscal year ended March 2023＞ May 10, 2023 Yamato Holdings Co., Ltd. Copyright© YAMATO HOLDINGS CO., LTD. All rights reserved.
Slide 2: Summary of consolidated earnings (full-year)
1．Summary of consolidated earnings (full-year) 【Results for the fiscal year ended March 2023】 Operating revenue 1.8006 tn yen (+38bn yen YoY*) 404.7 bn yen for the 4th quarter (Jan.-March) ((8.4)bn yen YoY*) Operating profit 60 bn yen ((16.6)bn yen YoY*) (6.3)bn yen for the 4th quarter (Jan.-March)
Slide 3: Progress of Medium-term Management Plan One YAMATO 2023
2．Progress of Medium-term Management Plan “One YAMATO 2023” (Achievements and challenges) Achievements Challenges Progress made Business structure reform with sales and operations Established “One YAMATO structure” by bringing in structural working together as one together the Group’s management
Slide 4: Direction of mid-to-long term strategy
3．Direction of mid-to-long term strategy 【Our aspiration】 Expand value provision to the “End to End” of supply chains 〜Realize sustainable business growth〜 Management resources brought together under “One YAMATO Expand corporate business domain ☜ Enhance profitability structure” and growth potential
Slide 5: Mid-to-long term roadmap
4．Mid-to-long term roadmap FY March 2020 FY March 2021 FY March 2022 FY March 2023 FY March 2024 FY March 2025 〜 FY March 2027 Expansion of e-commerce (changes in consumption behavior and distribution structure) External environment Pre-COVID COVID-19 With COVID 〜 Post-COVID Progression of inflation
Slide 6: Structural reform of network operations (overview)
5．Structural reform of network operations (overview) • Establish and expand dedicated network (growth domain) and reinforce existing network (base domain) →Strengthen response to diverse range of needs for logistics, while improving quality and efficiency (profitability) of the overall network Initi
Slide 7: Establishment and expansion of designated networks (Growth domain)
6．Establishment and expansion of designated networks (Growth domain) • Establish and expand designated networks, each optimized to address a certain need among a diverse range of logistics needs → Achieve higher growth potential and profitability by expanding value provision that addresses clients’
Slide 8: Reinforcement of existing network ① (Base domain)
7. Reinforcement of existing network ① (Base domain) Consolidation and enlargement of facilities • Consolidate and enlarge TA-Q-BIN Sales Offices, mainly in the urban areas, shifting away from strategy of having many small facilities → Optimize transportation, parcel handling, administration and m
Slide 9: Reinforcement of existing network ② (Base domain)
8. Reinforcement of existing network ② (Base domain) Innovate workstyle and operational structure in each Terminal By reviewing the functions, operations and employees’ roles in each Terminal, renew workstyle and operational structure → Aim to maintain and enhance safety, quality, work environment
Slide 10: Reinforcement of existing network ③ (Base domain)
9． Reinforcement of existing network ③ (Base domain) Innovate workstyle and operational structure of Sales Drivers (SD) Innovate workstyle and operational structure of Sales Drivers (currently multi-tasking, and the same everywhere in Japan) → Maintain and improve quality, work environment and job
Slide 11: Expansion of corporate business domain
10．Expansion of corporate business domain • Based on Yamato’s extensive client base built up so far through TA-Q-BIN, sales and operations will work together to seek to enhance value provision while optimizing pricing • Address clients’ supply chains which are linked globally from Japan, by bringing
Slide 12: Digital strategy
11．Digital strategy • Enhance the Group’s organizational capabilities, as well as its technology, quality and governance regarding digital technologies → Support the expansion of value provided to customers, as well as better operational efficiency, thereby maximizing profit FY March 2022~ Establish
Slide 13: HR strategy
12．HR strategy • Plan and deploy HR initiatives based on the “Human Resources Management Policy” which connects the growth of employees to the growth of the Group → Hire, train, appoint, set targets, evaluate and feedback based on the clarified “Definition of Roles” → Strengthen engagement and enhan
Slide 14: Environmental strategy
13．Environmental strategy • Promote initiatives to reduce GHG emissions, based on risks and opportunities posed by ACTIVITY OUTPUT／OUTCOME climate change → Moreover, expand the corporate business domain by helping clients build environment-friendly supply chains Full-fledged promotion 【Environmental
Slide 15: Consolidated earnings forecast (key metrics)
14．Consolidated earnings forecast (key metrics) • Adjust pricing based on changes in the external environment, and reform business structure to achieve sustainable growth • While addressing the issues faced by the logistics industry, maintain and enhance the logistics network, and create an environm
Slide 16: Capital expenditure
15．Capital expenditure • Accelerate investments to complete the structural reform of our network operations, including the deployment of large-scale integrated facilities, in order to achieve mid-to-long term growth, while also investing in our environmental strategy (solar power generation equipmen
Slide 17: Capital policy & shareholder return
16．Capital policy & shareholder return 1 Basic policy 3 Buybacks of own shares （announced on May 10, 2023） Enhance shareholder value with a focus on stable dividends (in consideration of DOE※1), through a timely and Will buy back shares as follows, based on this year‘s appropriate capital policy, ba
Slide 18: Overview of Consolidated Results for the Fiscal Year Ended March 2023
Overview of Consolidated Results for the Fiscal Year Ended March 2023 Copyright© YAMATO HOLDINGS CO., LTD. All rights reserved.
Slide 19: Operating Results for the Fiscal Year Ended March 31, 2023
17．Operating Results for the Fiscal Year Ended March 31, 2023 Fiscal Year ended Fiscal Year ended YoY Change YoY Change(*) (Billions of Yen) March 31, 2022 March 31, 2023 Actual Actual Amount [%] Amount [%] Operating revenue 1,793.6 1,800.6 +7.0 +0.4 +38.0 +2.2 Operating profit 77.1 60.0 (17.1) (22.
Slide 20: Summary of Operating Revenue
18． Summary of Operating Revenue (Fiscal Year Ended March 31, 2023) Fiscal Year ended Fiscal Year ended (Millions of Yen) March 31, 2022 March 31, 2023 YoY Change YoY Change (*) Actual Actual Amount [%] Amount [%] Retail Business Unit 893,396 894,574 ＋1,177 ＋0.1 ＋1,177 ＋0.1 Transportation income 1,1
Slide 21: YoY Analysis of Operating Revenue
19．YoY Analysis of Operating Revenue (Fiscal Year Ended March 31, 2023) * Excluding the impact of removing Yamato Home Convenience Co., Ltd. Retail Business Unit Corporate Business Unit from scope of consolidation Transportation income Transportation income ＋18.9 +46.9 Logistical support income ＋9.8
Slide 22: Quarterly Trends of Parcel Delivery
20．Quarterly Trends of Parcel Delivery (TA-Q-BIN, TA-Q-BIN Compact, EAZY) FY2021/3 FY2022/3 FY2023/3 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q Delivery Volume (Thousands) 428,032 444,213 521,607 409,822 444,328 470,100 540,567 435,687 449,504 490,766 552,115 433,950 YoY(%) +13.4 +6.2 +11.7 +12.3 +3.8 +5.8
Slide 23: Summary of Operating Expenses
21．Summary of Operating Expenses (Fiscal Year Ended March 31, 2023) Fiscal Year ended Fiscal Year ended YoY Change YoY Change (*2) (Millions of Yen) March 31, 2022 March 31, 2023 Actual (*1) Actual Amount [%] Amount [%] Operating revenue 1,793,618 1,800,668 ＋7,050 ＋0.4 ＋38,099 +2.2 Subcontracting ex
Slide 24: YoY Analysis of Operating Expenses
22．YoY Analysis of Operating Expenses (Fiscal Year Ended March 31, 2023) (Billions of yen) Operating * Excluding the impact of removing Yamato Home Convenience Co., Ltd. Revenue from scope of consolidation ＋38.0 Subcontracting Expenses Personnel Vehicle 76.7 ＋26.1 Expenses Expenses Other operating E
Slide 25: Operating Expenses (Quarterly / YoY change)
23．Operating Expenses (Quarterly / YoY change) 2022/3 2023/3 4th 1st 2nd 4th 3rd Quarter (Billions of Yen) Quarter Quarter Quarter Quarter YoY Change YoY Change YoY Change Actual YoY Change YoY Change Actual Actual Actual Actual (Oct.-Dec.) (Jan.-Mar.) Amount [%] (Apr.-June) * Amount [%] * (July-Sep
Slide 26: Financial Position and Cash Flows
24．Financial Position and Cash Flows 【Consolidated Statement of Financial Position】 (Billions of Yen) As of March 31, 2022 As of March 31, 2023 YoY Change Total assets 1,086.8 1,107.5 +20.7 Current assets 480.8 484.6 +3.8 Cash and deposits 182.6 185.3 +2.7 Notes and accounts receivable – 218.9 216.2
Slide 27: Operating Results Forecast for the Fiscal Year Ending March 2024
25． Operating Results Forecast for the Fiscal Year Ending March 2024 Fiscal Year ended Fiscal Year ending (Millions of Yen) March 31, 2023 March 31, 2024 YoY Change Actual Forecast Amount [%] Operating revenue 1,800,668 1,860,000 ＋59,331 ＋3.3 Opreating profit 60,085 80,000 ＋19,914 ＋33.1 [Profit marg
Slide 28: Operating Results Forecast (Breakdown of Operating Expenses and others)
26．Operating Results Forecast for the Fiscal Year Ending March 2024 (Breakdown of Operating Expenses and others) Fiscal Year ended Fiscal Year ending March 31, (Millions of Yen) March 31, 2023 2024 YoY Change Actual Forecast Amount [%] Operating revenue 1,800,668 1,860,000 ＋59,331 ＋3.3 Subcontractin
Slide 29: Structural reform of network operations (Status of cost per parcel)
Reference Structural reform of network operations (Status of cost per parcel) • EC logistics network: Capture growing EC parcel demand using EC logistics network (cost flexibility depending on workload） • Existing (TA-Q-BIN) network: Thoroughly optimize internal resource allocation based on forecast
Slide 30: Value Provision to Corporate Clients (Status by account category)
Reference Value Provision to Corporate Clients (Status by account category) • Accounts: Made steady progress in providing value to clients’ entire supply chain • Area Customers: Promoted value provision through collaboration between Sales Drivers and regional offices/ headquarters → Although demand
Slide 31: Signed LLP Agreement to Optimize Entire Supply Chain of Colowide Group
Reference Signed LLP* Agreement to Optimize Entire Supply Chain of Colowide Group • Colowide MD and Yamato Transport promote the visualization and optimization of the entire supply chain of Colowide Group; Leveraging Yamato's network to build a sustainable, efficient supply chain that contributes to
Slide 32: Yamato Group Human Resources Management Policy
Reference Yamato Group Human Resources Management Policy (Established in April 2023) 【Management philosophy】 Help enrich our society 【Aspiration】 Expand value provision to the “End to End” of supply chains 〜Realize sustainable business growth〜 Human Resources Management Policy Yamato endeavors to cr
Slide 33: Operating Results (4th Quarter January - March)
Reference Operating Results (4th Quarter January - March) Fiscal Year ended Fiscal Year ended March 31, 2022 March 31, 2023 YoY Change YoY Change(*) (Billions of Yen) 4th Quarter 4th Quarter Actual Actual Amount [%] Amount [%] Operating revenue 421.2 404.7 (16.5) (3.9) (8.4) (2.1) Operating profit (
Slide 34: Summary of Operating Expenses (4th Quarter January - March)
Reference Summary of Operating Expenses (4th Quarter January - March) Fiscal Year ended Fiscal Year ended March 31, 2022 March 31, 2023 YoY Change YoY Change (*2) (Millions of Yen) 4th Quarter 4th Quarter Actual (*1) Actual Amount [%] Amount [%] Operating revenue 421,231 404,700 (16,530) (3.9) (8,48
Slide 35: YoY Analysis of Operating Expenses (4th Quarter January - March)
Reference YoY Analysis of Operating Expenses (4th Quarter January - March) (Billions of yen) * Excluding the impact of removing Yamato Home Operating Operating Convenience Co., Ltd. from scope of consolidation expenses profit 4th Quarter (January - March) (5.4) (3.0) Other 4th Quarter (January - Mar
Slide 36: Disclaimer
Disclaimer 免責事項 This material is intended for informational purposes only and is not a solicitation or offer to buy or sell securities or related financial この内容は、投資判断の参考となる情報の提供を目的としたもので、投資勧誘を目的としたものではありません。提供情報の内容については instruments. Ultimately it is the responsibility of investors to select and buy