Nitori Holdings Co. Ltd. · TSE:9843
Nitori — Q1 FY2016 Earnings Presentation
32 slides from Nitori's earnings presentation, Jun 30, 2016
Slide 1: Financial Results Presentation for the First Quarter of FY2016
Nitori Holdings Co., Ltd. Financial Results Presentation for the First Q Quarter of FY2016 June 30 30,2016 2016 TSE Ticker Code : 9843
Slide 2: Overview of Consolidated Financial Results
Overview of Consolidated Financial Results （Billions of Yen） Q1 FY2016 Q1 FY2015 Change 21 Feb-20 F b 20 May M 2016 21 Feb-20 F b 20 May M 2015 (to sales) (to sales) (YOY) Net sales 137.0 3 0 － 119.2 92 － 17.8 8 114.9％ Gross profit 74.6 74 6 54.4% 62.4 62 4 52.4% 12.2 12 2 119.5％ SG&A expenses 47.3
Slide 3: Consolidated Balance Sheets
Consolidated Balance Sheets （Billions of Yen） 20 May 20 Feb Major factors Change 2016 2016 on changes Current assets 138.8 130.0 8.8 (Cash and deposits) 47.3 42.3 5.0 (Inventory) 40.2 45.4 (5.2) Non-Current assets 294.2 284.6 9.6 (Property, plant and equipment) 231 9 231.9 224 9 224.9 70 7.0 Land ＋3
Slide 4: Consolidated Financial Ratios
Consolidated Financial Ratios 【Q1】 Equity Ratio ROE 90% 6% 78.5% 75.5% 5% 80% 75.6% 5.1% 4% 4 8% 4.8% 3% 70% 3.8% 2% 60% 1% May 2014 May 2015 May 2016 May 2014 May 2015 May 2016 BPS EPS ¥3,500 ¥160 ¥3 070 ¥3,070 ¥2,900 ¥3,000 ¥140 ¥152.88 ¥2,320 ¥2,500 , ¥120 ¥2,000 ¥100 ¥108.96 ¥107.34 ¥1,500 , ¥80
Slide 5: Comparable stores, YOY
Comparable stores , YOY【Q1】 Sales ※ １０７．５％ (all stores １１３．０％ ） No. of Customers １０７．１％ (all stores １１５ ０％ ） １１５．０％ A Average S Spend d per C Customer t １００ ３％ １００．３％ Average Exchange Rate ¥１０２ ６９/$ ¥１０２.６９/$ Depreciation ¥ ２.５ bil. bil Capital Investment ¥１２.６ bil. ※ Sales= Sales based on orders Co
Slide 6: Trend in YOY changes in comparable stores
Trend in YOY changes in comparable stores （％） 【Sales , YOY】 ※Sales = Sales based on orders 115 112.2 107 5 107.5 110 105 104.0 100.1 94.3 100 95 90 【No. of Customers・Average Spend per Customer , YOY】 （％） No. of Customers Average spend per customer 115 110 108.3 106.3 107.1 105 102 9 102.9 99.1 100.3
Slide 7: Quarterly trend in YOY changes in comparable stores
Quarterly trend in YOY changes in comparable stores （％） FY２０１３ FY２０１４ FY２０１５ FY２０１６ 120 119.9 115 112.2 110 108 8 108.8 106.5 106.7 107.5 106.0 105.2 105 100 1 100.1 105.5 100 97.0 98 7 98.7 95 97.8 94.3 90 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 June June Sales Q1 2013 Q2 2013 Q3 2013 Q4 2013 Q1 201
Slide 8: Major factors on YOY changes
Major factors on YOY changes Net sales 【Net sales】 Amount YOY Gross profit （Billions of Yen） Store sales ¥126.1 bil. 114.5% Gross profit margins E-commerce ¥6.0 bil. 119.5% SG&A ratio Corporate ¥2.5 bil. 119.8% 137.0 （＋14.9%） business sales Other ¥2.4 bil. 124.9% 119.2 Total ¥137.0 bil. 114.9% Ratio
Slide 9: Results of Opening & Closing Stores (Q1 FY2016)
Results of Opening & Closing Stores (Q1 FY2016) Q1 FY2017 AEON Mall Kawaguchi maekawa Hirakata i k AEON Mall Kawaguchi Maekawa ４stores Tsubame Sanjo Takamatsu Yashima Deco Home Sasazuka Sasazuka Ekimae Ekimae Omiya Stellar-town Shin Tokorozawa PARCO AEON Mall Ohta DECO HOME ５stores Izumiya Senrioka
Slide 10: Stores
No. of stores as of May 20,2016 No. of No. of No. of Prefecture stores Prefecture stores Prefecture stores ４２８ Hokkaido H kk id Hokkaido 19 19 Yamanashi I hik Ishikawa 3 5 Shimane Hi Hiroshima hi 2 12 Stores Aomori 6 Toyama 4 Yamaguchi 5 Akita 4 Fukui 2 Kagawa 4(+1) Iwate 3 Hokuriku & Koshinetsu 31(
Slide 11: Sales by region
Sales by region E-commerce （％） Eastern 46.9 Western 42.9 Others May 2016 5 36 5.36.2 2 29 5 29.5 5 8 10.3 5.8 10 3 15 4 15.4 8 0 9.3 8.0 9 3 4.6 4 6 5.6 56 E-commerce Eastern 52.1 Western 42.5 Others May 2012 6.1 7.5 32.0 6.0 10.8 15.2 8.5 8.5 3.0 2.4 Eastern 55.9 Western 41.3 May 2008 7.8 6.0 36.1
Slide 12: Major indexes of management efficiency (1)
Major indexes of management efficiency（1） Sco Num un pe ber Index it Target 2016.５ 2015.５ 2014.５ 2013.５ 2012.５ 1 Return on assets ％ Over 3.75％ ○ 6.5 5.2 6.8 6.4 6.8 Ti 2 Total asset turnover me s Over 0.5 × 0.32 0.29 0.36 0.35 0.34 Ordinary O di income i Group 3 margin ％ Over 10％ ○ 20.2 17.9 19.1 18
Slide 13: Major indexes of management efficiency (2)
Major indexes of management efficiency (2) Sco Num un pe ber Index it Target 2016.５ 2015.５ 2014.５ 2013.５ 2012.５ 12 Sales per tsubo K Over ¥950K ○ 1,081 ,08 1,004 ,00 1,051 ,05 967 96 984 98 Ti 13 Stock turnover me Over 9 × 6.6 6.5 7.5 7.4 7.4 Sale of furniture and home furnishing s Operating assets
Slide 14: TOPICS Q1
rrr Sl eee a ee Sag rr (Sc: ees | Sr -.4 ___TOPICS Q1_
Slide 15: NITORI MALL HIRAKATA (OSAKA)
NITORI MALL HIRAKATA(OSAKA) Our largest-scale Opened on April 20, 2016 Site area：approx. 18,000 tsubo Commerce area：approx. 12,100 tsubo Parking capacity：approx. 1,800 cars The number of customers during opening bargain sales : 506 k. Copyright 2016 Nitori Holdings All Rights Reserved ■不許複製印刷配布 15
Slide 16: NITORI MALL HIRAKATA (OSAKA) Main tenants
NITORI MALL HIRAKATA(OSAKA) Main Everything you want for you house is available in tenants this mall. Tenants 56stores Copyright 2016 Nitori Holdings All Rights Reserved ■不許複製印刷配布 16
Slide 17: Products Development
Products Development z Flexibility in use by mixing and matching Shelving – Connect Series components. z Realizing a wide variety of uses including open shelving as well as AV board and adding drawers. z Storage boxes with a perfect fit for open shelving units. An innovation-driven innovation driven
Slide 18: Products Development
Products Development Nクールシリーズ N-Cool Series zImprove the quality of product – cooler than existing goods. zBuild a stable product supply system. g of products zBroaden a range p – T-shirt,, underwares and cushions. Copyright 2016 Nitori Holdings All Rights Reserved ■不許複製印刷配布 18
Slide 19: Products Development
Products Development Total Coordination – SEA Series zOffer combinations Californian tableware and other related goods. zCreate an attractive display of the goods bt developing it at gondola end. zImplement effective sales promotion linking the images of the goods on flyers and the goods in the real
Slide 20: Corporate Business Sales, Products Development – Examples of delivered goods
Corporate Business Sales, Products Development – Examples of delivered goods Example of delivered goods : zA new initiative to develop an in-house Theater Chairs designed furniture. ①６Screens approx. 950 seats z Develop a new theater chair to free you from fatigue after sitting for long periods. ②８S
Slide 21: Corporate Business Sales, Products Development – Examples of delivered goods
Corporate Business Sales, Products Development – Examples of delivered goods zFurniture for students who take Example of delivered goods: priority on usability and high-quality Furnished apartment for students d i design. Furniture for a room for students of a nationwide zDevelop a product with a ex
Slide 22: Nitori-net-store pick service
Nitori-net-store pick service Store pick service z 24 hours on-line order through Nitori-net. Nitori net z Store p pick available for free shipping charge. Start the test at 18 stores in Tokyo area from May 25. ↓ Expand the service to all Nitori stores from July July. Copyright 2016 Nitori Holdings
Slide 23: Improve the convenience of Nitori-net
Improve the convenience of Nitori-net Start goods return service at Nitori Stores (Plan to implement from July) Enable to return the on-line purchased goods at Nitori stores. ・Free Free of charge for the on on-line line purchased goods at Nitori stores. stores ・Enhance customersʼ convenience. ・Encou
Slide 24: The influence of Kumamoto earthquake
The influence of Kumamoto earthquake
Slide 25: State of operations of stores in Kumamoto city
State of operations of 3 stores in Kumamoto city Store Kumamoto-chikami Kumamoto-Interchange Kumamoto-Kita equipments HFA ○F ll operation ○Full ti ○F ll operation ○Full ti ○F ll operation ○Full ti △50% operation ○(Minor damages Furniture ○Full operation from July 1 on the walls) Other equipments ×Es
Slide 26: Our assistance activities in Kumamoto
Our assistance activities in Kumamoto Aid to Goods donated Kumamoto K t １ Pref. 2,200 blankets and 300 cushions for evacuation shelters. Kurokawa Offer commodity yggoods in cooperation p with Yomiuri Shimbun ２ area, Aso city company. 3,500 sets of Shiki-futon and pillows, 23 AV boards used in 18 Kum
Slide 27: Open new stores in department stores and in central area
| = Open new stores in department stores +% and in central area.: |
Slide 28: Open new stores in department stores
Open new stores in department stores Open two stores in Takashimaya Konandai department stores Open a new store in Takashimaya Konandai department store. First store in Takashimaya department store Open in September 2016. Shinjyuku Takashimaya times Square A new total coordination proposal-style pro
Slide 29: Store roll-out plan of the center of a city
Store roll-out plan of the center of a city Scale Name Region Open (Unit: tsubo) Higashikouzitani, Higashikouzitani Ota-otorii 7 July, 2016 2,000 Ota Ward(Tokyo) Sanno, Don Quixote-oomori 7 July, 2016 1,000 Ota Ward(Tokyo) Kinshicho, Olinas-kinshicho Olinas kinshicho 29 July, 2016 800 Sumida Ward(To
Slide 30: Store roll-out plan in FY 2016
Store roll-out plan in FY 2016 Store Total Taiwan USA China End of Q1 ３４８ ４３ ２４ ５ ８ ４２８ Q2〜Ｑ4 ＋２４ ＋１２ ＋５ ＋２ ＋４ ＋４７ net increase End of FY ３７２ ５５ ２９ ７ １２ ４７５ 2016 China USA ＋４ ＋２ Japan Taiwan ＋３６ ＋5 Copyright 2016 Nitori Holdings All Rights Reserved ■不許複製印刷配布 30
Slide 31: Projection in FY 2016
Projection in FY 2016 （Billions of Yen） FY 2016 , Projection FY 2015 Change （ sales） （to ） （ sales） （to ） （ （YOY） ） Net sales 500.0 － 458.1 － 41.9 109.1% Gross profit p 263.0 52.6% 243.5 53.2% 19.5 108.0% SG&A expenses 184.0 36.8% 170.5 37.2% 13.5 107.9% Operating income 79.0 15.8% 73.0 15.9% 6.0 10
Slide 32: Disclaimer
【DISCLAIMER】 The forecasts and projected operating results contained in this report are based on information available at the time of preparation, and thus involve inherent risks and uncertainties. Accordingly readers are cautioned that actual results may differ materially from those Accordingly, pr