fiscal year-ending march 2015 briefing on the results for the second quarter
DESCRIPTION
Ricoh Leasing Company, Ltd.TRANSCRIPT
0
OctOct 2222, 2014, 2014
Ricoh Leasing Company, Ltd.Ricoh Leasing Company, Ltd.
Fiscal Year-ending March 2015Briefing on the Results for the Second
Quarter
1
1. Performance Overview
(Six months ended September 30, 2014)
2
YoY (Yen)
14/9
6.45148Net income
△0.26.46.6(Operating income margin)
22.50165.72
4.0
81
82
66
148
1,284Actual
1.009.91
-
2.6
2.5
6.0
4.1
6.3
YoY (%)
4.0(Net profit to sales)
79Income before special items
21.50Dividends per share
155.81EPS
80Operating income
62Selling, general andadministrative expenses
142Gross profit
1,208Revenue
Actual
13/9
Consolidated ResultsConsolidated ResultsConsolidated Results
(100 million yen, %)
Performance Overview
Record high
3
80
14/9 Actual
82
13/9 Actual
2
Items of Gross Profit
▲2+2
▲2
+2
+2
Factors Affecting Operating IncomeFactors Affecting Operating Income
Items of selling, general and administrative expenses
Performance Overview
(100 million yen)
Increase in financial income
Increase in expenses
Increase in allowance for bad
debtIncrease in gross margin for the
lease/installment business
Decrease in financing
cost
4
8.3
7.3
8.4
14.9
26.6
6.8
YoY (%)
14/9
1,689
117
1,572
218
70
1,283
Actual
4.8
7.4
4.7
6.9
32.2
3.1
YoY (%)
13/9
1,611Total transaction volume
109Financial services business
1,502Lease/installment business
204Installments
53Operating lease
1,244Financial lease
Actual
(100 million yen, %)
Performance OverviewTransaction Volume by BusinessTransaction Volume by Business
*The above transaction volume is based on acceptance inspections.
Record high
Record high
Record high
5
Japan Leasing Association
8.4
4.8
7.2
6.6
15.3
3.7
9.7
YoY (%)
14/9
1,572
127
70
128
104
197
944
Actual
4.7
53.0
6.3
△1.2
71.8
△2.0
△1.7
YoY (%)
Others
Vehicles and transport equipment
Commercial and service industry equipment
Industrial machinery
Medical equipment
Office and IT-related equipment
△4.7130
△39.460
△33.3201
△12.8960
△0.383
△3.266
YoY (%)Actual
△14.11,502Total transaction volume
Accumulated in 14/4 to 8 2014
13/9
Performance Overview
(100 million yen, %)
Transaction Volume of Lease/installment Business Transaction Volume of Lease/installment Business
6
5.9
31.8
△2.5
△7.6
87.1
6.0
0.4
YoY (%)
802
60
33
71
61
103
471
Actual
2Q
3.4
78.8
15.9
8.1
53.4
△9.6
△3.8
YoY (%)
Sum of the first half
1,572
127
70
128
104
197
944
Actual
4.7
53.0
6.3
△1.2
71.8
△2.0
△1.7
YoY (%)
Others
Vehicles and transport equipment
Commercial and service industry equipment
Industrial machinery
Medical equipment
Office and IT-related equipment
57
42
93
473
67
36
Actual
770Total transaction volume
1Q
Performance Overview
(100 million yen, %)
Transaction Volume of Lease/installment Business (Quarterly change)Transaction Volume of Lease/installment Business (Quarterly change)
7
Revenue
1,122 1,124 1,141 1,1731,246
7181 78
70 71
0
250
500
750
1,000
1,250
10/9 11/9 12/9 13/9 14/9 0
50
100
Performance Overview
(100 million yen)Segment income
Operating Results by Segment (Lease/installment Business)Operating Results by Segment (Operating Results by Segment (Lease/installment BusinessLease/installment Business))
Record high
8
22.4 22.524.9
27.4
29.8
9.3 9.511.9 13.0 13.9
0
5
10
15
20
25
30
10/9 11/9 12/9 13/9 14/9営業利益
構成比 12.0% 10.9% 13.8% 16.3% 16.9%
Revenue
Segment income
(100 million yen)
Operating Results by Segment (Financial Services Business)Operating Results by Segment (Financial Services Business)Operating Results by Segment (Financial Services Business) Performance Overview
Record high
Record high
9
(億円)
(万件)
2390
198149
600
0
100
200
300
12/3 13/3 14/3 15/3 中計目標(17/3)
63
92106
113
170
0
50
100
150
12/3 13/3 14/3 14/9 中計目標(17/3)
Care website
Collection of money representation product website
Number of monthly transaction cases of Number of monthly transaction cases of collection agency services by yearcollection agency services by year
Factoring services for nursingFactoring services for nursing--care benefits care benefits -- transaction volume by yeartransaction volume by year
Financial Services Business - Priority MeasuresFinancial Services Business Financial Services Business -- Priority MeasuresPriority Measures Performance Overview
10
Financial leases
(of which, securitized portion)
Loans
Installments
Operating lease
6,142 6,333 6,5206,978 7,079
4,605 4,687 4,802 5,142 5,18596 97 107
123 149461 508 567
612 644979 1,039 1,0441,099 1,099
4,000
5,000
6,000
7,000
12/9 13/3 13/9 14/3 14/9
(245)(245)(244)(243)
(246)
0.19%0.240.270.28
0.46
Balance of Operating Assets and Default RateBalance of Operating Assets and Default RateBalance of Operating Assets and Default Rate
(100 million yen)
Default rate = Default loss amount / Average balance of operating assets
Default rate(%)
* Figures show balances with securitized portions not deducted.
Performance Overview
Record high
11
Long term
Short term
0
1,000
2,000
3,000
4,000
5,000
6,000
12/9 13/3 13/9 14/3 14/9
109
79
10
5,264 5,4255,648
5,988 6,170
55.558.6%56.957.157.9
Fixed-charge coverage ratio (%)
Total Procurement Amount and Financing CostTotal Procurement Amount and Financing CostTotal Procurement Amount and Financing Cost Performance Overview
[Company ratings]
S&P AR&I A+JCR AA-
* The total procurement amount shows the balance with debts payable due to securitization not deducted.Financing costs show expenses included in gross profit on sales.
Financing cost
Total procurement amount
12
31 31 31 31 32
1 23
32 30 29 28 30
0
20
40
60
80
12/9 13/3 13/9 14/3 14/9
57 58
62 62 66
△6 △3Allowance
for bad debt
Personnel expenses
Others
Total Selling, General & Administrative ExpensesTotal Selling, General & Administrative ExpensesTotal Selling, General & Administrative Expenses
(100 million yen)
Performance Overview
131
2. Financial Forecasts(Fiscal Year Ended March 31, 2015)
14320.34
3.8100
162
6.3
164
133
2972,600
Revised forecast
0.00
△0.10
0
△0.1
0
3
350
Difference
4.710095Net income
-6.46.5(Operating income margin)
-3.93.9(Net profit to sales)
YoY (Yen)
14.40
2.0
2.1
6.1
3.95.7
YoY (%)
320.34
162
164
130
2942,550
Initial forecast
15/3
305.94
158
160
125
2852,459
Actual
14/3
EPS
Income before special items
Operating income
Selling, general and administrative expenses
Gross profit
Revenue
Consolidated Income ForecastConsolidated Income Forecast(100 million yen, %)
Financial Forecasts
150.1
0.7
0.0
7.5
19.6
△1.9
14/3 ratio growth rate
2,986
216
2,770
351
86
2,332
Actual
13/3
3,460
250
3,210
440
125
2,645
Revised forecast
△90
△25
△65
26
16
△107
Difference
15.9
15.7
15.9
25.2
44.0
13.4
13/3 ratio growth rate
14/3
3,5503,457Total transaction
volume
275248Financial services
business
3,2753,209Lease/installment
business
414409Installments
109104Operating lease
2,7522,695Financial lease
I n i t i a l f o r e c a s tActual
15/3
(100 million yen, %)
Financial ForecastsTransaction Volume PlanTransaction Volume PlanTransaction Volume Plan
16
2,770
159
114
244
117
400
1,734
Actual
13/3
3,210
250
130
260
210
420
1,940
Revised forecast
△65
50
0
0
25
△40
△100
Difference
3,209
190
126
252
169
440
2,028
Actual
14/3
3,275
200
130
260
185
460
2,040
Initial forecast
15/3
0.0
31.2
2.4
2.9
23.6
△4.6
△4.4
YoY (%)
Industrial machinery
Total
Others
Vehicles and transport equipment
Commercial and service industry equipment
Medical equipment
Office and IT-related
equipment
(100 million yen, %)
Financial ForecastsLease/installment Business: Forecasts of Transaction Volume by CategoryLease/installment Business: Lease/installment Business: Forecasts of Transaction Volume by CategoryForecasts of Transaction Volume by Category
1715
Priority MeasuresPriority MeasuresPriority Measures
Earn profits and create an “ocean” of enhanced corporate value by expanding “products handled & areas covered,” “customers” and “new fields and businesses”
and reinforcing the management foundation
BusinessBusiness
ManageManage--mentment
FoundFound--ationation
CSR
ES (Employee Satisfaction) > CS (Customer Satisfaction)
O C e a N Strategy
On Business Customer New Business
(Efficiency enhancement)
Efficiency(Asset/liability management,
fund procurement)
ALM (Less accidents)
Accident-less
> >
Financial Forecasts
18
FY2014H2 priority areasFY2014H2 priority areasFY2014H2 priority areas
Business expansion Effectiveness
Business productivity
On BusinessCustomer (Expansion of the customer)
New Business
Efficiency (Personnel efficiency)ALM (Asset Liabilty Management)Accidentless
Expertise in vendor leasingNumber of vendors:6,000社Customers :About 400,000 companies⇒mainly small to mid-sized companies
Industry’s top funding capabilities Small amount/high volume contracts Diversification of risks No. of operational processing:About 1.2 million / year
OCeaNStrategy
Strengths
Collaboration with Ricoh Group
1 Business expansion
2 Effectiveness
3 Human resources
“To be the industry’s No. 1 in the administrative and information segment and the medical and health care segment”
Cross-organizational process reform
Personnel system, human resources development
【 Three reform 】
Financial Forecasts
19
Forward-looking statements including earnings forecasts contained in this document are based on certain assumptions deemed
to be rational in light of the information available to the Company at the time of preparation of the document, and are not intended
to be guarantees of future performance. Actual results may differ considerably from plans and forecasts due to a variety of factors.
CCommunicationommunicationSSpeedpeed
CChallengehallenge
&&
&&
Ricoh Leasing Company, Ltd.
20
3.1
15.1
15.8
3.0
11.4
0.7
YoY (%)
14/9
1,284
104
20
12
147
1,000
Actual
1,208
104
18
11
129
944
Actual
13/9
6.0Leasing revenue
6.3Revenue
△0.1Other revenue
7.3Received commission
9.2Revenue from loans
13.8Installment revenue
YoY (%)
(100 million yen, %)
Breakdown of RevenueBreakdown of RevenueBreakdown of Revenue
21
2,600
211
39
25
306
2,019
Revised forecast
50
3
2
1
26
19
Difference
2,550
208
37
24
280
2,000
Initial forecast
15/3
5.7
△8.2
8.5
7.4
14.1
6.2
YoY (%)
1,901Leasing revenue
2,459Revenue
229Other revenue
35Received commission
23Revenue from loans
268Installment revenue
Actual
14/3
(100 million yen, %)
Financial ForecastsRevenue ForecastRevenue ForecastRevenue Forecast
22
164
15/3 Forecast
160
4
14/3 Actual
▲4
+3▲4
+7
+2
(100 million yen, %)Items of Gross Profit Items of selling, general and
administrative expenses
Increase in gross margin for the
lease/installment business
Increase in financial income
Decrease in financing
cost Increase in expenses
Increase in allowance for bad
debt
Forecasts of Factors Affecting Operating Income of FY2014Forecasts of Factors Affecting Operating Income of FY201Forecasts of Factors Affecting Operating Income of FY20144