Kirin Holdings Co. Ltd. · TSE:2503
Kirin — H1 2010 Earnings Presentation
33 slides from Kirin's earnings presentation, Aug 16, 2010
Slide 1: Presentation on FY2010 Interim Results
Presentation on FY2010 Interim Results For the period ending December 31, 2010 August 16, 2010 KIRIN HOLDINGS COMPANY, LIMITED 1
Slide 2: Presentation on FY2010 interim results
Presentation on FY2010 interim results For the period ending December 31, 2010 I : Management summary p. 3 II: Q2 interim results for FY2010 p. 5 III: Full-year forecasts for FY2010 p. 11 •List of abbreviations (1) Companies KH Kirin Holdings KB Kirin Brewery ME Mercian KBD Kirin Merchandising KBC K
Slide 3: Management summary
Management summary -Good H1 results for all businesses -As this is the first year of the 2010-2012 medium-term business plan, we are actively promoting qualitative expansion by creating group synergies and implementing lean management. We are also endeavoring to offer new value to our customers. Goo
Slide 4: Kirin Group's Business Platform in Asia / Oceania Region
Kirin Group’s Business Platform in Asia / Oceania Region Alcohol Pharma San Miguel Soft drinks Lion Nathan Dalian Daxue Brewery Co., Ltd. Beijing Flying Kirin Kirin Holdings Beverage Corporation Shanghai Jin Jiang Kirin Beverage & Food Co. Kirin (China) Investment Co., Ltd. Taiwan Kirin Co., Ltd. Ha
Slide 5: 2010 2Q Interim Review
2010 2Q Interim Review Sales decreased due to reporting period change for NFL but Operating income increased through efforts to improve profitability Operating income increased to 59.8 billion yen (+48.9%YOY) due to strengthened brands and improved profitability; Outperformed initial forecast of 50.
Slide 6: 2010 2Q Interim Result Highlights
2010 2Q Interim Result Highlights Sales Substantial increase in revenue, not including the effect of reporting period change for NFL. Minimized revenue reductions across the entire group amidst late consumption recovery in the domestic alcohol beverage and soft drink markets. Factors such as the Aus
Slide 7: 2010 2Q Interim Results by Business Segment
2010 2Q Interim Results by Business Segment Sales: Increased revenue in alcohol, pharmaceutical, and other businesses, as well as reduced revenue in soft drinks and foods due mainly to reporting period change for NFL Operating income: Achieved increased year-on-year profits in all business segments
Slide 8: 2010 2Q Interim Highlights by Business Segment
2010 2Q Interim Highlights by Business Segment Alcohol beverages Renewed in June, Kirin Nodogoshi Nama further solidified its overwhelming position in the new genre category. In addition to Kirin FREE, which continued to perform well, the sales target for the new product Yasumuhi-no Alc. KB 0.00%
Slide 9: Progress of Cross Company Teams
Progress of Cross Company Teams CCTs are generally progressing as planned; efforts mainly focusing on fixing issues and streamlining the organizational system were intensified in H1. H2 will be spent dealing with specific issues and achieving the original plan. Contribution Year to Date (Billion Y
Slide 10: Progress on Medium-Term Business Plan Issues
Progress on Medium-Term Business Plan Issues Asset Reduction (CCT) ●Have achieved approx.20 billion yen through Q2 out of our annual plan of 40 billion yen. ●Proceeding forward as planned, working mostly with fields such as real estate, investment securities, and held assets of group businesses. Bus
Slide 11: Full-Year Forecast
Full-Year Forecast The full-year forecast is almost identical to the initial plan, not including sales and net earnings. H1 operating income was well above the planned figures, however we anticipate them to be in line with initial forecasts in light of harsh market conditions and progress of company
Slide 12: Highlights in the Full-Year Forecast and H2 Companywide Initiatives
Highlights in the Full-Year Forecast and H2 Companywide Initiatives Forecast for consolidated financial results Revised upward As initially planned Revised downward In the domestic alcohol beverage and soft drink businesses, even though strong sales are expected during the peak Sales season due to t
Slide 13: Important H2 Initiatives
Important H2 Initiatives Further increase in competitiveness by generating group synergy and promoting lean management CCTs aim to generate 7.5 billion yen in operating income. Kirin will accelerate its efforts to ensure the liquidity of 40 billion yen worth of assets annually. Further promotion o
Slide 14: This material is intended for informational purposes only
この資料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あり、投資勧誘を目的としたものではありません。 銘柄の選択、投資の最終決定は、ご自身の判断でなさるようにお願いいたします。 This material is intended for informational purposes only and is not a solicitation or offer to buy or sell securities or related financial instruments.
Slide 15: Appendix
Appendix
Slide 16: Appendix contents
Results for the Past Five Years ……… 17 Sales and Operating Income by Business Segment ……… 18 Goodwill Amortization List ……… 19 Forex Sensitivity (AUD) ……… 20 Consolidated Results Period List ……… 21 Impact of Loss from Mercian Improper Business Dealings ……… 22 Reorganization of the KB Sales Departmen
Slide 17: Results for the Past Five Years
Results for the Past Five Years 2010 Q2 Year to Date 2010 Annual （Sales） （Profit） （Sales） （Profit） 1200 90 2500 160 80 1000 140 70 2000 120 800 60 1500 100 50 600 40 80 1000 60 400 30 20 40 200 500 10 20 0 0 0 0 2006 2007 2008 2009 2010 2006 2007 2008 2009 2010E Operating Income Ordinary Income Oper
Slide 18: Sales and Operating Income by Business Segment
Sales and Operating Income by Business Segment Q2 Comparison (Billion yen) Sales Operating income 103.3 2010 514.2 275.0 2010 454.0 25.0 197.0 27.0 117.5 100.9 -64.0 2009 498.6 351.4 2009 383.0 180.0 109.3 -4.0 69.6 2008 545.3 344.0 2008 -56.0 425.0 109.0 73.0 88.7 0 200 400 600 800 1000 1200 -200 -
Slide 19: Goodwill Amortization List for FY2010
Goodwill Amortization List for FY2010 19
Slide 20: Forex Sensitivity (Australian dollar)
Forex Sensitivity (Australian dollar) Impact Impact of of changes changes in in foreign foreign exchange exchange (AU$) (AU$) on on operating operating results results (compared (compared to to previous previous fiscal fiscal year) year) （Billion Yen） 2010 1H 2010 Actual Forecast Sales 38.7 44.0 Ope
Slide 21: Consolidated Results Period List
Consolidated Results Period List ●FY2008 FY2007 FY2008 Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Kirin HD Kirin Pharma Kyowa Hakko * Kyowa Hakko Kirin Lion Nathan National Foods San Miguel *Apr-Sep: consolidated result including Kirin Pharma ●FY2009 FY2008 FY2009 Sep Oct Nov De
Slide 22: Impact of Loss from Mercian Improper Business Dealings
Impact of Loss from Mercian Improper Business Dealings Mercian Consolidated Results (Billion yen) Past Year Totals 2010 2005 - 2009 Direct Loss from Improper Business 5.1 1.4 Loss Dealings Derivative Loss on Impairment and 0.4 - Loss Loss on Retirement of Fixed Assets Income Taxies - Deferred 1.1 0.
Slide 23: Reorganization of the KB Sales Department
Reorganization of the KB Sales Department The Kirin Brewery Sales Department will integrate with Kirin Merchandising to form a new company. Aim of the integration and New Company Achieving further improvement of KIRIN Brand to every customer by higher Restructuring of domestic alcohol beverage busi
Slide 24: Organizational Changes to KBE
Organizational Changes to KBE KBE will be restructured to separate the indirect services shared by the group. This will provide the group with more efficient operations at cost levels offering greater market competitiveness. Reorganization Overview The new KBE and KGO are scheduled to begin business
Slide 25: Kirin Plus-I: Health and Functional Foods Project
Kirin Plus-I : Health and Functional Foods Project The first wave of products from four group companies under the crossover Kirin Plus-i brand went on sale in April. Sales have already exceeded the yearly objective of 5 billion yen in only four months. Ornithine, commonly utilized in all products, r
Slide 26: H2 Sales Schedule for New Products from KB, ME, and KBC
H2 Sales Schedule for New Products from KB, ME, and KBC * As of the end of July Aug.25 Sep.15 Oct. 6 Nov. 2 Oct.13 Aug.25 Sep. 15 Nov. 18 Aug.3 Aug. 24 Aug. 31 26
Slide 27: Antibody pharmaceutical pipeline (as of July 2010)
Antibody pharmaceutical pipeline (as of July 2010) : POTELLIGENT® Technology : KM-Mouse Technology 27
Slide 28: Lion Nathan National Foods
Lion Nathan National Foods Lion Nathan National Foods (¥Billions) Sales Operating Revenue Income Soft Drinks & Foods Alcohol Beverages 2009 H1※ １９９.１ １１.２ 2010 H1 ＋３.８ 2010 H1 ＋ ０.８ 2010 H1 １６５.９ １３.８ FY2010 (E) ＋２.６ FY2010 (E) (３.０) FY2010 (E) ３８５.０ ２４. ３ （※）combination of FY2009 results of LN and
Slide 29: San Miguel Brewery
San Miguel Brewery Local Sales KH Consolidated Net Income Sales Income Billion yen SMB SMC 60,000 18,000 （Mi l l i onpes os ） 2009 Q2 -0.6 16,000 50,000 2010 Q2 4.3 14,000 FY2010 4.4* 40,000 12,000 *FY2010 forecast based on actual result in pesos from Oct..08 – Sep.09 10,000 30,000 8,000 Major Produ
Slide 30: Overview of F&N
Overview of F&N Company Name Fraser and Neave Limited. Headquarters Singapore Incorporation 1898 Chairman Lee Hsien Yang Shareholder's Equity: SGD 5.6 billion (JPY 353.7 billion)1 Assets2 Total assets: SGD 13.9 billion (JPY 878.2 billion)1 Revenue: SGD 5.3 billion (JPY 337.7 billion)1 Financials3 PB
Slide 31: F&N Financials Overview by Segment
F&N Financials Overview by Segment Financial information regarding business segments Composition of total revenue by (Fiscal year ending September 2009, SGD in millions) business segments3 (Fiscal year ending September 2009) Total Business Segment PBIT Revenue2 Soft Drinks Others Group 5,333 811
Slide 32: Strong Beverages Brand Portfolio of F&N
Strong Beverages Brand Portfolio of F&N F&N have a compelling brand portfolio in each isotonic, carbonated and dairies categories Strong position as a No.1 brand of isotonic and carbonates especially in Malaysia and Singapore Isotonic 100PLUS Carbonated F&N Major Soft Drinks, Dairies Brands Asian SE
Slide 33: F&N Food & Beverage Business Overview
F&N Food & Beverage Business1 Overview F&N operates its Food & Beverage business1 primarily through Fraser & Neave Holdings Bhd (Malaysia listed company; “FNH”) based in Malaysia Consolidated Revenue of FNH: MYR 3,737 million (Fiscal year ending September 2009) 2009 Revenue by Business Segment of
Kirin Holdings Company — H1 2010 Earnings Presentation on 6ix