Acom Co., Ltd. · TSE:8572
Acom — FY2009 Earnings Presentation
32 slides from Acom's earnings presentation, May 15, 2009
Slide 1: Earnings Release Conference, Fiscal Year Ended March 2009
Earnings Release Conference Fiscal Year Ended March 2009 ACOM CO., LTD. http://www.acom.co.jp/ir/english May 15, 2009
Slide 2: Conference Schedule
Conference Schedule Approx. Page Title Presenter Duration No. 1. Business Environment 4- Shigeyoshi Kinoshita 2. Financial Results Summary 25min. 6- President & CEO 3. Forecast and Policy for the FY March 2010 12- 1. Financial Results Summary (Non-consolidated) Takashi Kiribuchi 18- Chief IR Officer
Slide 3: Financial Results Highlights
Financial Results Highlights Fiscal Year Ended March 2009 (1) Business Environment (2) Reorganization of the ACOM Group (3) Financial Results Summary (4) Business Results Summary by Segment (5) Forecast for the Fiscal Year Ending March 2010 (6) Issues to Be Addressed Shigeyoshi Kinoshita President &
Slide 4: Business Environment
Business Environment ◆Understanding on Current Environment Macro and Industrial Environment 9 Global financial disorder triggered by the debt crisis in the United States 9 The abrupt economic slowdown 9 Requests for interest repayment staying at high level 9 Uncertainty of the impact on complete enf
Slide 5: Reorganization of the ACOM Group
Reorganization of the ACOM Group ◆Number of Consolidated Subsidiaries: 16 (including 5 Investment partnerships, as of the end of March 2009) ACOM Group (Extract) Loan ACOM CO., LTD. Financial Services Business Credit Card Integrated into ACOM on Guarantee DC Cash One Ltd. May 1, 2009 Loan Servicing
Slide 6: Financial Results Summary
Financial Results Summary (Millions of yen and %) Consolidated Non-consolidated Fiscal Year Ended March 2009 yoy yoy Results (*) % (*) Results (*) % (*) Operating Revenue 324,396 -55,309 -14.6 262,120 -54,995 -17.3 Loan Business 277,628 -53,848 -16.2 238,231 -54,629 -18.7 Credit Card Business 4,690
Slide 7: Loan Business: Receivables Outstanding
Loan Business (Millions of yen / baht and %) 2009/3 2010/3 (Forecast) Compared to yoy Results yoy Revised Forecast % (Nov. 6, 2008) % (%) ACOM 1,171,893 -146,887 -11.1 6,093 0.5 1,116,300 -4.7 Outstanding Receivables DC Cash One 78,138 -3,023 -3.7 -1,862 -2.3 - - Yen 58,688 -16,046 -21.5 -10,212 -14
Slide 8: Guarantee Business
Guarantee Business (Millions of yen and %) 2009/3 2010/3 (Forecast) Compared to yoy Results yoy Revised Forecast % (Nov. 6, 2008) % (%) Guaranteed Receivables 144,351 23,712 19.7 -3,049 -2.1 161,000 11.5 ACOM 115,723 15,090 15.0 1,223 1.1 161,000 39.1 DC Cash One 28,628 8,623 43.1 -4,272 -13.0 - - N
Slide 9: Loan Servicing Business
Loan Servicing Business (Millions of yen and %) 2009/3 2010/3 (Forecast) IR Loan Servicing Compared to yoy Results yoy Revised Forecast % (Nov. 6, 2008) % (%) Receivables Outstanding 20,923 -9,715 -31.7 -77 -0.4 18,000 -14.0 Number of Customer 255,934 28,347 12.5 - - - - Accounts Operating Revenue 1
Slide 10: Credit Card Business
Credit Card Business (Millions of yen and %) 2009/3 2010/3 (Forecast) Compared to yoy Results yoy Revised Forecast % (Nov. 6, 2008) % (%) Receivables Outstanding 32,446 -5,680 -14.9 1,446 4.7 26,700 -17.7 ACOM 32,228 -5,454 -14.5 1,428 4.6 26,700 -17.2 AFRESH CREDIT 218 -225 -50.9 18 9.0 - - Number
Slide 11: Installment Sales Finance Business
Installment Sales Finance Business (Millions of yen / baht and %) 2009/3 2010/3 (Forecast) Compared to yoy Results yoy Revised Forecast % (Nov. 6, 2008) % (%) Receivables Outstanding 35,580 -7,215 -16.9 -4,320 -10.8 35,000 -1.6 AFRESH CREDIT 32,681 24 0.1 -1,619 -4.7 32,900 0.7 Yen 2,899 -7,239 -71.
Slide 12: Assumption of Forecast for the Fiscal Year March 2010
Assumption of Forecast for the Fiscal Year March 2010 Major Assumptions 9Events not taken into consideration Impact on 4th enforcement of the Revised Money-lending Business Law Impact on the transfer of guarantee service operations for unsecured consumer loans by Mitsubishi UFJ NICOS Co., Ltd. a
Slide 13: Forecast for the Fiscal Year Ending March 2010
Forecast for the Fiscal Year Ending March 2010 (Millions of yen and %) Consolidated Non-consolidated Fiscal Year Ending March 2010 Forecast yoy % Forecast yoy % Operating Revenue 260,400 -63,996 -19.7 221,700 -40,420 -15.4 Loan Business 228,100 -49,528 -17.8 202,300 -35,931 -15.1 Credit Card Busines
Slide 14: Basic Policy on Distribution and Dividend
Basic Policy on Distribution and Dividend ◆Basic Policy and Goal Basic policy with regard to profit distribution 9 Attempt aggressive and continuous profit distribution with enhanced dividends, taking the economic and financial situation and our own performance into consideration. Goal for returns t
Slide 15: Issues to Be Addressed
Issues to Be Addressed Response to the Revised Money-lending Business Law 9 3rd enforcement Hold correspondence course and training sessions to pass the examination for the certified loan business operation manager 9 4th enforcement Corral preferential customers and improve credit screening by imple
Slide 16: ACOM will become brand new ACOM
ACOM will become brand new ACOM ACOM will become a corporate group which will pay further attention to sociality such as consumer protection. Through provision of financial service which is less expensive, yet provide relief and confidence, ACOM will attempt to make significant contribution to healt
Slide 17: Financial Results Highlights
Financial Results Highlights Fiscal Year Ended March 2009 (1) Financial Results Summary (ACOM) (2) Analysis on Major Figures (ACOM) Takashi Kiribuchi Chief IR Officer and Chief General Manager of Public Relations Department
Slide 18: Financial Results Summary (ACOM)
Financial Results Summary (ACOM) (Millions of yen and %) 2009/3 2010/3 (Forecast) Compared to yoy Revised yoy Results (*) % (*) Forecast % (%) (Nov. 6, 2008) Operating Revenue 262,120 -54,995 -17.3 1,020 0.4 221,700 -15.4 Operating Expenses 235,223 -1,732 -0.7 22,323 10.5 191,600 -18.5 Financial Exp
Slide 19: Factors in Operating Revenue Downward (ACOM)
Factors in Operating Revenue Downward (ACOM) (Millions of yen and %) 2009/3 2010/3 (Forecast) Compared to Revised yoy Results yoy % Forecast % (%) (Nov. 6, 2008) Receivables Outstanding 1,137,099 -140,779 -11.0 5,199 0.5 1,088,400 -4.3 (Unsecured Loans for Consumers) Average Loan Yield 19.32 -1.73 p
Slide 20: Factors in Operating Expenses Downward (ACOM)
Factors in Operating Expenses Downward (ACOM) (Millions of yen and %) 2009/3 2010/3 (Forecast) yoy Compared to yoy Results (*) % (*) Revised Forecast % (%) (Nov. 6, 2008) Operating Expenses 235,223 -1,732 -0.7 22,323 10.5 191,600 -18.5 Financial Expenses 14,675 -1,268 -8.0 -1,125 -7.1 18,000 22.7 Pr
Slide 21: Factors in Net Income Downward (ACOM)
Factors in Net Income Downward (ACOM) (Millions of yen and %) 2009/3 2010/3 (Forecast) Compared to Revised yoy Results yoy % Forecast % (%) (Nov. 6, 2008) Operating Income 26,896 -53,263 -66.4 -21,304 -44.2 30,100 11.9 Ordinary Income 29,165 -53,153 -64.6 -22,135 -43.1 31,200 7.0 Extraordinary Incom
Slide 22: Provision for Loss on Interest Repayment and Allowance for Doubtful Accounts
Provision for Loss on Interest Repayment and Provision of Allowance for Doubtful Accounts (ACOM) ◆Provision for Loss on Interest Repayment (Millions of yen) 2009/3 Revised Forecast (Nov. 6, 2008) 2010/3 Total 1Q 2Q 3Q 4Q (A) (B) (A-B) (Forecast) Provision for Loss on Interest Repayment - 19,590 17,3
Slide 23: Trend of Interest Repayment
Trend of Interest Repayment ◆Monthly Trend of Interest Repayment (Cash Out Basis) 10,000 8,340 7,863 8,031 8,000 7,773 7,730 7,615 7,548 7,211 7,249 (Millions of yen) 7,016 7,108 6,919 6,821 6,756 6,164 6,256 6,249 6,101 6,000 5,890 5,838 5,915 5,680 5,587 5,224 4,000 2,000 0 4 5 6 7 8 9 1 3 4 5 2 6
Slide 24: Receivables Outstanding and Number of Customers Account (ACOM)
Receivables Outstanding and Number of Customers Account (ACOM) ◆Unsecured Loan for Consumers (Millions of yen) 1,600,000 4,000,000 1,446,117 1,398,806 1,362,440 3,500,000 1,313,956 1,277,879 1,240,604 1,204,214 1,200,000 1,166,252 1,137,099 3,000,000 2,670,606 1,088,400 2,512,946 2,364,664 2,500,000
Slide 25: Trend of Loans Receivable Outstanding by Number of Other Lenders
Trend of Loans Receivable Outstanding by Number of Other Lenders ◆Unsecured Loan for Consumers ◆Unsecured Loan for Consumers (New Loan, No. of Account Basis) (Existing Loan, Outstanding Basis) 100% 100% 3.1 3.9 4.1 3.7 5.3 5.4 5.1 4.7 13.3 11.5 17.4 16.1 14.5 9.9 10.9 11.7 11.9 11.9 22.4 12.4 12.5 1
Slide 26: Trend of Applications and New Loan Customers, and Lending Ratio
Trend of No. of Application and New Loan Customers, and Lending Ratio (ACOM) ◆ Unsecured Loan for Consumers 600,000 70.0% 67.8% Lending ratio No. of Application 66.2% (Right axis) 65.0% 500,000 (Left axis) 60.0% 400,000 55.3% 55.0% 339,567 329,814 300,000 268,710 50.0% 45.0% 200,000 175,859 185,453
Slide 27: Unsecured Loans Receivable by Interest Rate and Average Loan Yield
Unsecured Loans Receivable Outstanding by Interest Rate and Average Loan Yield (ACOM) ◆Unsecured Loan for Consumers (Outstanding Basis) (Millions of yen and %) 2009/3 Revised Forecast 2010/3 (Forecast) (Nov. 6, 2008) Results C.R. C.R. C.R. Loans Receivable Outstanding 1,137,099 100.0 1,131,900 100.0
Slide 28: Non-performing Loans (ACOM)
Non-performing Loans (ACOM) ◆ Changes in Nonperforming Loans and Composition Ratio to Loans Receivable Outstanding 150,000 12.0% 141,307 138,128 -8,635, -6.9% (yoy) 132,080 126,421 124,767 122,824 11.0% 120,000 Loans to borrowers in 116,628 115,012 116,132 bankruptcy or under (Millions of yen) reorg
Slide 29: No. of Loan Business Outlets and Permanent Employees
No. of Loan Business Outlets and Permanent Employees (ACOM) ◆Changes in the No. of Loan Business Outlets and Permanent Employees 2,000 4,500 1,726 4,096 1,670 1,600 3,911 1,552 4,000 1,461 1,489 1,389 No. of permanent employees 1,200 (Right axis) 3,500 800 3,000 Unstaffed (Left axis) 2,956 2,636 2,6
Slide 30: Funds Procurement (ACOM)
Funds Procurement (ACOM) (Millions of yen and %) 2009/3 2010/3 (Forecast) Compared to Revised yoy Results yoy % Forecast % (%) (Nov. 6, 2008) Borrowings 680,734 -93,673 -12.1 -61,666 -8.3 720,600 5.9 Indirect 445,734 -68,673 -13.3 -61,666 -12.2 485,600 8.9 Direct 235,000 -25,000 -9.6 - - 235,000 0.0
Slide 31: Assumptions on the Forecast for the Fiscal Year Ending March 2010 (ACOM)
Assumptions on the Forecast for the Fiscal Year Ending March 2010 (ACOM) 1. Average Nominal Interest Rate 2.08% 2. Average Loan Yield 17.21% (Unsecured Loan for Consumers 17.41%) 3. Financial Expenses 18,000 million yen 4. Provision of Allowance for Doubtful Accounts 85,800 million yen 5. Provision
Slide 32: Reference
Reference ◆ For further information and questions regarding this presentation material, please contact: Investor Relations Office Tel: +81-3-5533-0631 email: [email protected] ◆ For updated company information, please refer to our website: http://www.acom.co.jp/ir/english/ 32