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

Japan Elevator Service — Q1 FY2019/3 Earnings Presentation

19 slides from Japan Elevator Service's earnings presentation, Aug 7, 2018

1. Slide 1: FY2019/3 First Quarter Results

   FY2019/3 First Quarter Results Japan Elevator Service Holdings TSE Mothers: 6544 Aug 7,2018 Copyright © japan elevator service holdings all rights reserved

2. Slide 2: Contents

   Contents 2 １ FY2019/3 First Quarter Results ２ FY2019/3 Financial Forecasts Copyright © japan elevator service holdings all rights reserved

3. Slide 3: FY2019/3 First Quarter Results

   3 FY2019/3 First Quarter Results Copyright © japan elevator service holdings all rights reserved

4. Slide 4: FY2019/3 First Quarter Results (Performance)

   FY2019/3 First Quarter Results (Performance) 4 (million yen) FY2018/3 1Ｑ FY2019/3 1Q Ratio to Ratio to y/y (%) Actual sales Actual sales (%) (%) Net sales 3,445 100.0 4,029 100.0 117.0 Cost of sales 2,294 66.6 2,614 64.9 113.9 Gross profit 1,150 33.4 1,414 35.1 123.0 SG&A 943 27.4 1,069 26.5 113.4 O

5. Slide 5: FY2019/3 First Quarter Results (Sales by Business)

   FY2019/3 First Quarter Results (Sales by Business) 5 (million yen) FY2018/3 1Ｑ FY2019/3 1Ｑ y/y (%) Amount Ratio (%) Actual Ratio (%) Maintenance Services 2,879 83.6 3,221 79.9 111.9 (including Preservation) Modernization Services 561 16.3 799 19.8 142.4 Other 4 0.1 8 0.2 197.1 Total 3,445 100.0 4,02

6. Slide 6: FY2019/3 Financial Forecasts

   6 FY2019/3 Financial Forecasts Copyright © japan elevator service holdings all rights reserved

7. Slide 7: FY2019/3 Consolidated Financial Forecasts

   FY2019/3 Consolidated Financial Forecasts 7 We expect record high sales, operating income, ordinary income, and net income again in the current fiscal year This year, we do not expect to book corporate tax reductions, etc. resulting from tax credits for salary growth, a special factor in the previou

8. Slide 8: FY2019/3 Consolidated Financial Forecasts (Sales by Business)

   FY2019/3 Consolidated Financial Forecasts (Sales by Business) 8 We expect to see continued growth from the previous period for both Maintenance and Modernization businesses 1H 2H Full year Unit: million yen; % FY2018/3 FY2019/3 Forecast FY2018/3 FY2019/3 Forecast FY2018/3 FY2019/3 Forecast Amount Am

9. Slide 9: Financial Supplement

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

10. Slide 10: Reference: Our Growth

    Reference: Our Growth 10 Net sales ¥15.3bn Elevators under maintenance contracts Approx. 43,400 Net sales ¥13.5bn Elevators under maintenance contracts Approx. 38,800 Net sales ¥10.4bn Elevators under maintenance contracts Approx. 32,000 Net sales ¥7.7bn Elevators under maintenance contracts Approx.

11. Slide 11: Reference: Priority Issues for the Current Fiscal year

    Reference: Priority Issues for the Current Fiscal year 11 1. Reinforcement of Modernization Business (1) Split Modernization (2)One-Time Modernization (Service name: “Quick Renewal”) ○Strengthen approach to maintenance clients. ○Develop Quick Renewal control panels for (around 43,400 as of March 31,

12. Slide 12: Reference: Priority Issues for the Current Fiscal year

    Reference: Priority Issues for the Current Fiscal year 12 2. Media Business ○Launch Media Business to provide additional value to our maintenance business and create another revenue source. ・We will install signage screens with security cameras inside elevators for free to deliver ads and gain ad re

13. Slide 13: Reference: Priority Issues for the Current Fiscal year

    Reference: Priority Issues for the Current Fiscal year 13 ○Value of Lift SPOT To JES Differentiating our maintenance services from competitors by installing Lift SPOT, as well as: ① Accelerating acquisition of new maintenance contracts. ② Improving customer satisfaction. ③ Receiving ad revenue. To E

14. Slide 14: Reference: Priority Issues for the Current Fiscal year

    Reference: Priority Issues for the Current Fiscal year 14 ３. Reinforce ability to acquire new 4. Reinforce Repair-Parts maintenance contracts ・Concentrating our efforts on Kansai and the Tokai ○Factors contributing to reinforcement of repair- Region considering market size and our share in parts bus

15. Slide 15: Reference: Future Business Development

    Reference: 15 Future Business Development(Aiming to Build Up Global Standard Business) Domestic Overseas Business 3 years and 3 years and Now to 3 years Now to 3 years onwards onwards Steady increase in Aiming to reach a Maintenance number of business scale on ・ maintenance Developing business Devel

16. Slide 16: Reference: Coverage

    Reference: Coverage 16 As of June 30, 2018 69 offices JES Hokkaido 9 offices JES HD 2 offices JES Jonan 14 offices JES Josai 14 offices Japan Elevator Parts 7 offices JES Kanagawa 16 offices JES Tokai 4 offices JES Kansai 3 offices Copyright © japan elevator service holdings all rights reserved

17. Slide 17: Reference: Financial Highlights (1)

    Reference: Financial Highlights (1) 17 Net sales Operating income (Million yen) (Million yen) 1,351 15,326 13,544 11,891 729 588 611 10,499 4,434 △536 FY14/3 FY15/3 FY16/3 FY17/3 FY18/3 FY14/3 FY15/3 FY16/3 FY17/3 FY18/3 Note 1: FY2014 is a 6-month period due to the fiscal year-end being adjusted No

18. Slide 18: Reference: Financial Highlights (2)

    Reference: Financial Highlights (2) 18 Net assets / total assets (Million yen) Net assets Total assets 10,624 7,848 6,552 5,413 5,530 2,870 2,072 579 886 793 FY14/3 FY15/3 FY16/3 FY17/3 FY18/3 Note 1: FY2014 is a 6-month period due to the fiscal year-end being adjusted Note 2: Results are on a conso

19. Slide 19: Disclaimer and Caution Concerning Forward-looking statements

    Disclaimer and Caution Concerning Forward-looking statements 19 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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