Ain Holdings Inc. · TSE:9627
Ain — FY2019 Earnings Presentation
31 slides from Ain's earnings presentation, June 2019
Slide 1: FY4/19 IR Presentation
FY4/19 IR PRESENTATION June 2019
Slide 2: Results Overview
Results Overview © 2019 AIN HOLDINGS INC. All Rights Reserved. 1
Slide 3: Consolidated P/L
Consolidated P/L Net sales increased 2.7% year on year and increased 1.0% against the plan reflecting 164 new store openings including M&A. Ordinary income declined 17.3% year on year and decreased 7.6% against the plan due to the dispensing fee revisions. FY4/18 FY4/19 FY4/19 YoY YoY Vs plan (¥ mil
Slide 4: Dispensing Pharmacy Business (Consolidated)
Dispensing Pharmacy Business (Consolidated) Net sales increased 2.7% year on year and 2.2% against the plan due to the 157 new store openings, including M&A. Segment income decreased 19.1% year on year and declined 8.3% against the plan due to the dispensing fee revisions. FY4/18 FY4/19 FY4/19 YoY Y
Slide 5: Cosmetic and Drug Store Business (Consolidated)
Cosmetic and Drug Store Business (Consolidated) Although the net sales of existing stores has showing steadily growth, net sales increased 4.5 % year on year and decreased 6.6% against the plan. Segment income increased 47.9% year on year and decreased 4.7% against the plan due to cost reduction and
Slide 6: Consolidated B/S
Consolidated B/S Net cash was ¥35,814 million and shareholdersʼ equity ratio became 54.9%. We are maintaining a sound financial structure. (¥ million) (¥ million) End-FY4/18 End-FY4/19 Assets Liabilities Assets Liabilities Current assets 94,557 Current liabilities 69,950 Current assets 85,446 Curren
Slide 7: Assets
Assets The balance of total assets increased ¥5,641 million from the end of the previous fiscal year due to new store openings and M&A. (¥ million) End-FY4/17 End-FY4/18 End-FY4/19 Change Cash on hand and in banks 29,775 63,779 48,091 (15,688) M&A Notes and accounts receivable 9,990 10,466 12,771 +2
Slide 8: Liabilities and Net Assets
Liabilities and Net Assets The balance of liabilities decreased ¥1,547 million from the end of the previous fiscal year due to the repayment of debts etc. (¥ million) End-FY4/17 End-FY4/18 End-FY4/19 Change Accounts payable 39,325 38,728 44,794 +6,066 Short-term debt 7,596 6,717 5,571 (1,146) Lease
Slide 9: Consolidated C/F
Consolidated C/F Inventories increased due to the store opening including M&A. In addition, Net cash used in investing activities was ¥19,985 million. (¥ million) FY4/18 FY4/19 Change Net cash provided by operating activities 21,656 14,788 (6,868) Profit before income taxes 17,852 15,624 (2,228) Dep
Slide 10: Business Value Analysis
Business Value Analysis FY4/17 FY4/18 FY4/19 Change Shareholdersʼ equity ratio (%) 38.4 52.7 54.9 +2.2 Market value equity ratio (%) 156.6 141.0 165.7 +24.7 PER (times) 30.79 23.54 34.68 +11.14 EPS (¥) 250.71 310.08 254.87 (55.21) PBR (times) 4.09 2.67 3.01 +0.34 BPS (¥) 1,895.63 2,729.44 2,931.48 +
Slide 11: FY4/20 Plan (Consolidated)
FY4/20 Plan (Consolidated) The group forecasts net sales for the fiscal year ending April 30, 2020 of 300,330 million, increase 9.0% year on year and ordinary income increase 15.4% year on year by open new stores (100 dispensing pharmacies and 15 cosmetic and drug stores). FY4/18 FY4/19 FY4/20 YoY Y
Slide 12: Review, Revision of 2018, Growth strategy
Review Revision of 2018 Growth strategy © 2019 AIN HOLDINGS INC. All Rights Reserved. 11
Slide 13: Review
Review © 2019 AIN HOLDINGS INC. All Rights Reserved. 12
Slide 14: Review (YoY)
Review（YoY） Although net sales increased due to the new store openings and full contribution of stores that opened in previous fiscal year, ordinary income decreased 17.3% year on year due to the impact of revision. Net sales Ordinary income New ¥275.5 billion stores +¥12.8billion ¥20.1 billion ¥268
Slide 15: Review (Vs plan)
Review（Vs plan） Although net sales increased due to the new store openings and contribution of existing stores, ordinary income decreased due to store opening delayed and a decrease in gross profit by high-price drugs. Net sales Ordinary income ¥272.8 billion ¥275.5 billion ¥18.0 billion Existing +¥
Slide 16: Revision of 2018
Revision of 2018 © 2019 AIN HOLDINGS INC. All Rights Reserved. 15
Slide 17: Responsive to revision of 2018 premiums
Responsive to revision of 2018 Object: 968 stores, which including existing stores and stores opening in FY4/18 Basic dispensing fee Community support system premiums 1(41pts) 2(25pts) 3-Ⅱ(15pts) S(10pts) No premiums Community support system premiums(35pts) 1,000 1,000 353 353 370 370 264 278 29
Slide 18: Growth strategy
Growth strategy © 2019 AIN HOLDINGS INC. All Rights Reserved. 17
Slide 19: Transition in the dispensing pharmacy market
Transition in the dispensing pharmacy market SPD※ rate ʼ56 The system of SPD ʼ94 18% ʼ00 39% ʼ05 54% ʼ10 63% ʼ17 73% ʼ20 75% (Market size) launched (¥1 trillion) (¥2.7 trillion) (¥4.6trillion) (¥6 trillion) (¥7.7 trillion) (¥8 trillion) ※ ʼ72 Basic dispensing fee ʼ90 Standards for dispensing system
Slide 20: Transition of dispensing fee revision
Transition of dispensing fee revision 2017 72.8% (¥million) 80.0% Dispensing pharmacy Non-hospital Dispensing ¥7.7 trillion (¥million) 0.008 dispensing ratio(%) pharmacy sales Segment income market (¥trillion) 2010 70.0% ●1956: Law creating non-hospital ●1994: Promoting non-hospital ● 2003: AIN PHAR
Slide 21: Growth Strategy
Growth Strategy 2018 revisions was severe revision such as the drastic reduction in drug prices and point reduction for major dispensing pharmacy operators. The group continues to strengthen pharmacy functions with a view of strict system changes in the future. ■ Top-line Expanding of business by ac
Slide 22: Top-line: Store Openings
Top-line The group opened 164 stores including M&A in FY4/19 that substantially exceeded the plan. We plan to open 115 and close 35 stores, resulting in a total of 1,266 stores at the end of the FY4/20. ■ Total number of stores 1,186 (Dispensing pharmacy:1,132、Cosmetic and drug store:54) FY4/19 FY4/
Slide 23: Recruiting of Pharmacists
Recruiting of Pharmacists In April 2019, new 534 employees (pharmacists 257, general staff 277) has joined our group. We plan to recruit 800 employees in April 2020. ■ The transition of No. of national examination passers and new qualified pharmacists in AIN Group 2012 2013 2014 2015 2016 2017 2018
Slide 24: FY4/20 Plan (Dispensing Pharmacy Business)
FY4/20 Plan (Dispensing Pharmacy Business) The group forecasts net sales for the fiscal year ending April 30, 2020 of 266,850 million, up 8.9% year on year, Segment income of 22,320 million up 21.8% by open 100 new stores including M&A and close 30 stores. FY4/18 FY4/19 FY4/20 YoY YoY （¥ million） re
Slide 25: Expansion of ainz & tulpe①
Expansion of ainz & tulpe① Year FY4/00 FY4/02 FY4/04 FY4/06 FY4/08 FY4/10 FY4/12 FY4/14 FY4/16 FY4/18 FY4/20 FY4/22 Open department Complex facility First ainz & tulpe store Store opening Expanded Flagship store in Open store Strategy of Nationwide metropolitan area inside the station KEIO DEPARTMEN
Slide 26: Expansion of ainz & tulpe②
Expansion of ainz & tulpe② Due to improving of brand awareness in the metropolitan area, sales of existing stores are improving solidly and the group has became able to absorb the cost of new store opening. During this period, the group opened 7 new stores including 2 stores in Osaka. ■ Existing Sto
Slide 27: Expansion of ainz & tulpe③
Expansion of ainz & tulpe③ The group plan to open 15 new stores in FY4/20 by active opening in such as complex facilities where has great abilities at attracting customers. ■ New store opening plan in FY4/20 Open Name of store Location Floor dd/mm/yy 1 bono SAGAMIONO Kanagawa 30/5/19 258㎡ 2 ASAKUSA
Slide 28: FY4/20 Plan (Cosmetic and Drug Store Business)
FY4/20 Plan (Cosmetic and Drug Store Business) The group forecasts net sales for the fiscal year ending April 30, 2020 of 28,500 million, increase 13.1% year on year and Segment income of 1,300 million, increase 33.7% year on year by open 15 new stores and close 5 stores. FY4/18 FY4/19 FY4/20 YoY Yo
Slide 29: FY4/20 Plan (Consolidated)
FY4/20 Plan (Consolidated) The group forecasts net sales for the fiscal year ending April 30, 2020 of 300,330 million, increase 9.0% year on year and ordinary income increase 15.4% year on year by open new stores (100 dispensing pharmacies and 15 Cosmetic and drug stores). FY4/18 FY4/19 FY4/20 YoY Y
Slide 30: Inquiries: AIN Holdings Corporate Planning Division
Inquiries related to this presentation should be addressed to AIN HOLDINGS INC. Corporate Planning Division TEL(81)11-814-0010 FAX(81)11-814-5550 http://www.ainj.co.jp/ This document may not be reproduced or distributed to any third party without prior approval of AIN HOLDINGS INC. This document has
Slide 31: AIN GROUP
AIN GROUP