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Presentation Material:
Announc ement of FY 2011 Year -End Resul ts
May 16, 2012
“To create smiles from the kitchen”
Ⅰ . Resul ts Outl i ne
100,851
2,876
2,590
257
5.49 円
2011/3
(Actual Results)
Net Sales Operating
Income Ordinary
Income Net Income
Net Income Per Share
103,377
2,370
2,083
2,155
46.27 円
2012/3
(Actual Results)
100,000
1,600
1,500
300
6.44 円
2012/3
(Initial Forecast)
2.5 %
△ 17.6 %
△ 19.5 %
738.5 %
742.8 %
Change From Prev. Period
Compared To Revised Plan
0.9 %
12.9 %
9.7 %
19.8 %
19.8 %
10,500
2,100
1,900
1,800
38.63 円
2012/3
(Revised Forecast)
1. Outl i ne of Consol i dated Resul ts for Per i od Ended Mar c h 2012
(Units: millions of yen)
*Initial Forecast: Announced August 6, 2011
*Revised Forecast: Announced February 6, 2012
+1,670 million yen
+1,110 million yen
Net Sales
Cost of Sales
Gross Profit Cost of Sales Ratio
+ 2.52 billion yen
+ 2.78 billion yen
+ 1.1 %
△ 0.26 billion yen
●System Kitchens ・S.S.
・CLEANLADY ・RAKUERA
●Sectional System Kitchen
●System Bathrooms
●Increase Due to Increased Earnings
●Increase Due to Increased Cost of Sales Ratio
●Decrease in S.S Cost Ratio
●Increase in CLEANLADY Cost Ratio
●Increase in RAKUERA Cost Ratio
●Increase in System Bathrooms Cost Ratio
●Increase in Cost of Raw Mat
●Cost Decrease
●Increase Due to Increased in Net Sales
●Decrease in Gross Profit Ratio
+3,530 million yen
△3,160 million yen
+5,530 million yen
+1,010 million yen
△1,700 million yen
+1,230 million yen
△0.1 points
+0.6 points
+0.2 points
+0.5 points
+0.2 points
△0.3 points
+850 million yen
△1,110 million yen
100.85
66.73
34.11
( 33.8 )
( 66.2 )
103.37
69.51
33.85
( 32.7 )
( 67.3 )
2. Consol i dated Pr ofi ts
①
Net Sal es, Gr oss Pr ofi t(Units: billions of yen) 【Increased/Decreased Values (Rates)】 【Main Increase/Decrease Factors】
Gross Profit
SGA Expenses
Operating Income SGA Ratio
△ 0.26 billion yen
+ 0.25 billion yen
△ 0.5 %
△ 0.51 billion yen
34.11
31.23
2.87
( 2.8 )
( 31.0 )
33.85
31.48
2.37
( 2.3 )
( 30.5 )
2. Consol i dated Pr ofi ts
②
SGA Expenses, Oper ati ng Inc om e(Units: billions of yen) 【Increased/Decreased Values (Rates)】
【 Main Increase/Decrease Factors 】
●Sales Expenses
●Distribution Expenses
●Personnel Expenses
●Administrative Expenses
(Travel, Supplies, Fees, etc.)
+60 million yen
+230 million yen
+90 million yen
△140 million yen
●Sales Expenses
●Distribution Expenses
●Personnel Expenses
●Administrative Expenses
+0.0 points
+0.1 points
△0.2 points
△0.4 points
●Decrease in Gross Profit
●Change in SGA Expenses
△260 million yen
△250 million yen
2011/3 2012/3 2013/3
78,501 17,885
4,464
85,357 20,689
4,954
79,558 19,050 4,768
0 20,000 40,000 60,000 80,000 100,000 120,000
Kitchen Equipment Bathtubs & Washstands Other
76.9% 18.6% 4.5%
【 2011/3 】
【 2012/3 】
77.0% 18.4%
4.6%
100,851
77.9% 17.7%
4.4%
103,377
111,000
3. Sal es Com posi ti on
①
By Segm ent (Consol i dated)(Units: millions of yen)
Ki tc hen Equi pment Bathtubs &
Washstands
Other
Ki tc hen Equi pment Bathtubs &
Washstands
Other
(Forecast)
2009/3 2010/3 2011/3
2012/3 2013/3
0
Direc t-S ales (Con domin iu m own ers)
Hou sin g Con stru c tors
G en eral R ou tes (Con stru c tion Con trac tors - Home R en ovation )
78.6% 15.7%
5.7%
73.6% 17.1% 9.3%
75.6% 16.7% 7.7%
79.1% 80.1% 14.9%
15.3% 6.0%
4.6%
3. Sal es Com posi ti on
②
By Sal es Route (Non-Consol i dated)(Forecast)
25.28 26.14 4.77 2.01 43.78
51.87
3.61 2.45
0
2011/3 2012/3
△ 0.44
billion yen●Tangible Fixed Assets
●Intangible Fixed Assets
●Securities Investments
●Current Assets
●Fixed Assets
●Cash and Deposits
●Notes and Accounts Receivable
●Decrease in Direct-Sales Inventory
●Increase in Marketable Securities (CP)
●Increase in Accounts Receivable-Other
Total Assets
Cash and Deposits
Notes and Accounts Receivable
Inventory
Fixed Assets
+ 9.66
billion yen+ 8.09
billion yen+ 0.86
billion yen+ 1.16
billion yen Other Current Assets+8,800 million yen
+860 million yen
△50 million yen
+8,140 million yen
+700 million yen
+360 million yen
+270 million yen
△300 million yen
+890 million yen (Units: billions of yen)
【Assets】
75.14
84.81
4. Consol i dated Bal anc e Sheet Sum m ar y – 1/ 2
【Increased/Decreased Values】 【 Main Increase/Decrease Factors 】
Current Assets
51.94 53.79
6.20 7.69
16.99
23.31
0
2011/3 2012/3
●Net Income
●Dividends
●Valuation difference on available-for-sale securities
●Trade Accounts Payable
●Other Accounts Payable
●Current Portion of Long-Term Loans Payable
●Allowance for Loss on Disaster
●Long-Term Loans
Current Liabilities
Total Net Assets
+ 6.32
billion yen+ 1.48
billion yen+ 1.85
billion yen Long-Term Liabilities+2.670 million yen
+2,280 million yen
+1,610 million yen
△440 million yen
+1,580 million yen
+2,150 million yen
△460 million yen
+160 million yen
【Liabilities / Net assets】
75.14
84.81
(Units: billions of yen) 【 Increased/Decreased Values 】 【Primary Reasons for Increase/Decrease】
4. Consol i dated Bal anc e Sheet Sum m ar y – 2/ 2
6.75
△ 0 . 1 8
△ 1 . 2 1
△ 1 . 9 6
△ 1 . 6 1
2.60
25.79 26.24
△ 5. 00 0. 00 5. 00 10. 00 15. 00 20. 00 25. 00 30. 00
Cash Flow from Operating Activities Cash Flow from Investing Activities
Cash Flow from Financing Activities Year-End Cash & Cash Equivalents Balance
5. Consol i dated Cash Fl ow Statem ent Sum m ar y
2011/3 2012/3
△7.5
+4.5
△69.3
+42.1
(Units: billions of yen)
6. Capi tal Investm ents (Consol i dated)
2011/3 2012/3 2013/3
1.02 2.16
2.89
3.35 5.70
0.95 1.10
2.89 3.46
0. 0 1. 0 2. 0 3. 0 4. 0 5. 0
R&D Costs Capital Investment Deprecation Costs
FY 2011 Results
FY 2012 Plan
(Units: billions of yen)
① Production-Related
② Operations-Related
③ Information-Related
④ Others
2,890 million yen 1,910 million yen 690 million yen 210 million yen
① Production-Related
② Showroom Renovation
③ Commercial Real Estate
③ Information Investment
770 million yen 1,220 million yen 770 million yen 400 million yen
【Major Capital Investment Details】
(Forecast)
7. Outl i ne of Non-Consol i dated Resul ts for Per i od Ended Mar c h 2012
97,114
1,944
1,943
14
0.31 yen
2011/3
(Actual Results)
Net Sales Operating
Income Ordinary
Income Net Income Net Income
Per Share
99,464
1,406
1,362
2,033
43.65 yen
2.4 %
△ 27.6 %
△ 29.9 %
- %
- %
2012/3
(Actual Results)
Change From Prev. Period (Units: millions of yen)
8. Non-Consol i dated Sal es Com posi ti on By Segm ent
2011/3 2012/3 2013/3
71,230 13,222
4,664 1,4376,561
79,277 15,659
5,030630 6,204
73,061 14,391
4,6601,083 6,269
0 20,000 40,000 60,000 80,000 100,000 120,000
Kitchen Equipment Bathrooms Washstands Industrial Kitchen Equipment Other
【 2012/3 】
74.2% 14.7% 4.7%
0.6% 5.8%
73.5% 14.5%
4.7%
6.3% 1.1%
97,114
【 2011/3 】
73.3% 13.6%
4.8%
6.8% 1.5%
99,464
106,800
(Units: millions of yen)
(Forecast)
Bathr ooms
Other
Washstands Industr i al Ki tchen
Equi pment
Ki tchen Equi pment
Bathr ooms
Other
Washstands Industr i al Ki tchen
Equi pment
Ki tchen Equi pment
9. Sal es Resul ts For Maj or Pr oduc ts and Cl eanup Mar ket Shar e - 1/ 4
82.1
72.5 70.8
64.4 66.2
69.7
75.2
211.5
186.5
173 166 181
195 207
0.0 20.0 40.0 60.0 80.0 100.0
07/3 08/3 09/3 10/3 11/3 12/3 13/3 0 100 200 300 400 Monetary Value
Volume
1,247 1,228
1,138
975 1,019
1091
17.9 17.1 17.8
15.2 15.2 17.0
0 200 400 600 800 1,000 1,200 1,400
07/3 08/3 09/3 10/3 11/3 12/3 0.0 5.0 10.0 15.0 20.0 25.0 30.0 Demand Volume
Cleanup Share
Complete System Kitchen Sales Results Demand Trends and Market Share
(Units: billions of yen) (Thousands of Sets) (Thousands of Sets) (%)
(Forecast)
6.1
5.5
5.0 4.8 5.1
3.4
4.1
58 52
67 61 60
65 75
0.0 2.0 4.0 6.0
07/3 08/3 09/3 10/3 11/3 12/3 13/3 0 30 60 90 120 Monetary Value
Volume
515
438
402 400
378
419
12.5 17.8
15.1 14.9 14.5 14.7
0 200 400 600
07/3 08/3 09/3 10/3 11/3 12/3 0.0 5.0 10.0 15.0 20.0 25.0 30.0 Demand Volume
Cleanup Share
Sectional System Kitchen Sales Results Demand Trends and Market Share
(Units: billions of yen) (Thousands of Sets) (Thousands of Sets) (%)
(Forecast)
9. Sal es Resul ts For Maj or Pr oduc ts and Cl eanup Mar ket Shar e - 2/ 4
14.8 14.9 14.5
12.7 12.9
14.1
15.4
32 30.5 30
27
30
35
38
0.0 5.0 10.0 15.0
07/3 08/3 09/3 10/3 11/3 12/3 13/3 0 10 20 30 40 50 Monetary Value
Volume
767
718 695
656 688
731
4.2 4.2 4.3 4.0 4.3
4.8
0 200 400 600 800 1,000
07/3 08/3 09/3 10/3 11/3 12/3 0.0 2.0 4.0 6.0 8.0 10.0 Demand Volume
Cleanup Share
Modular System Bathroom Sales Results Demand Trends and Market Share
(Thousands of Sets) (Thousands of Sets) (%) (Units: billions of yen)
(Forecast)
9. Sal es Resul ts For Maj or Pr oduc ts and Cl eanup Mar ket Shar e - 3/ 4
1,834
1,750
1,637
1,494 1,521
1609
6.4 6.2 6.1
5.2 5.6 5.3
0 400 800 1,200 1,600 2,000
07/3 08/3 09/3 10/3 11/3 12/3 0.0 2.0 4.0 6.0 8.0 10.0 Demand Volume
Cleanup Share
5.1 5.0
4.7 4.5 4.7 4.7
5.0
109 98 99
91 91 96 91
0.0 1.0 2.0 3.0 4.0 5.0 6.0
07/3 08/3 09/3 10/3 11/3 12/3 13/3 0 30 60 90 120 150 Monetary Value
Volume
Washstands/Vanities Demand Trends and Market Share
(Thousands of Sets) (Thousands of Sets) (%) (Units: billions of yen)
(Forecast)
9. Sal es Resul ts For Maj or Pr oduc ts and Cl eanup Mar ket Shar e - 4/ 4
101 104 107 109 109 105 105 102 102 102 471 480
450 448
480 495
460 456 451 444
0 40 80 120 160 200 240
04/3 05/3 06/3 07/3 08/3 09/3 10/3 11/3 12/3 13/3 0 100 200 300 400 500 600 Number of Showrooms
Number of Visitors
10. Showr oom s And Vi si tor Num ber s
(Locations) (Thousands of groups)
(Forecast)
11. For ec asted Consol i dated Resul ts For The Per i od Endi ng Mar c h 2013
Operating Income
Ordinary Income
Net Income
Net Sales
103,377
2,370
2,083
2,155
2012/3
(Actual Results)
111,000
2,400
2,100
900
2013/3
(Forecast)
7.4 %
1.2 %
0.8 %
△ 58.3 %
Change From Prev. Period
Operating Income Margin
Ordinary Income Margin
Net Income Margin
2.3 %
2.0 %
2.1 %
2.2 %
1.9 %
0.8 %
-
-
-
(Units: millions of yen)
Ⅱ. Resul ts fr om thi s ter m and
the outl ook fr om now on
1. Managem ent Pol i c i es and Resul ts for the Per i od Ended Mar c h 2012
To become “ the kitchen company ” through strengthening and
enhancement of management
① Expand sales and market share through differentiated products, focused on the new CLEANLADY
② Reform organizational structures to further enhance our strengths
③ Improve awareness, based on our corporate philosophy
Basic Management Policy
In the first half of the year, we completed recovery from the earthquake
In the latter half of the year, we focused on business based around
the new CLEANLADY
・ Due to the expansion in sales in the latter half of the year, we have recovered to
record an increase in revenue for the year
・ We have increased our market share in system kitchens and system bathrooms
2. Revi ew of the Pr oduc ti on System
Production was focused on the “7 factories” in the Iwaki Business Office
【 In the past 】
Based on our experience with the earthquake,
we have improved our centralized production system
We built a balanced system with production centers in
both eastern and western Japan by making it possible
to completely produce system kitchens in the Okayama
factory alone
Iwaki Business Office
(7 factories)
Okayama Factory
3. Managem ent Envi r onm ent
67,12068,198 69,298
64,951
56,527
65,00866,568
59,911
68,688 68,785
71,921 71,998 71,390 72,838 74,517
66,709
62,252 63,419 66,757
63,726 72,687
83,398 81,986
64,206 67,273
72,635 69,069
65,984
(27.1) (19.1)
(15.7) (8.1)
(9.3) (2.4)
0.6
17.7
6.4 6.8 7.5
2.7 10.1
2.4 0.3
6.4 5.8 21.2
14.0
(10.8) (5.8)
(0.3)
(7.3) (1.1) 4.3
20.4
0.6
(4.6)
0 20,000 40,000 60,000 80,000 100,000
Oct. Nov. Dec. Jan. Feb. Mar. Apr. May June July Aug. Sept. Oct. Nov. Dec. Jan. Feb. Mar. Apr. May June July Aug. Sept. Oct. Nov. Dec. Jan. (40.0) (20.0) 0.0 20.0 40.0 60.0
New housing starts (units) YOY comparison (%)
■ New housing starts
(%)
In the 15 months to August 2011, we achieved better results when compared to the same month of the previous year
⇒ From September onwards we transitioned to a level below that of the same month of the previous year
2009 2010 2011
Large scale industry reorganization proceeded against a backdrop of related regulatory reform and stagnation of the market
2012 (Units)
4. System Ki tc hen Mar ket Shar e by Cl ass
15.9 14.3 16.5 19.1
20.6
13.9
25.3
13.1 15.5
14.7
16.0
14.0
15.1 16.3
9.3 9.7
11.7
14.5
4.0 8.0 12.0 16.0 20.0 24.0 28.0
2 0 0 8 / 3 2 0 0 9 / 3 2 0 1 0 / 3 2 0 1 1 / 3 2 0 1 1 / 9 2 0 1 2 / 3
Luxury
Mid-Level
Entry-Level
(%)
We expanded our shar e i n mi d-l evel and entr y l evel ki tc hens
Changes in System Kitchen Market Share
Other shares (special orders) FY 2008 27.3%
FY 2009 27.7% FY 2010 33.6% FY 2011 31.5%
FY 2011Current Interim Period 24.6% FY 2012 28.4%
5. Soc i al Eval uati on of the New CLEANLADY
All About Kitchen of the Year 2011 Grand Prize
● Simple and elegant kitchen design creates a positive impression, and the functionality of the density of drawers, such as floor containers, has been improved
● Cabinets built from the new stainless steel “NSSCR FW1”, with limited use of rare metals such as chrome and nickel, nearly eliminate the need for bonding agents and have halved the weight, with a weight reduction of 50%. Not only are they recyclable, but they also utilize ground-breaking technology which reduces the burden on the environment during transport
● The significance of providing an indication of the direction of future kitchen design is worthy of the grand prize
● Stainless steel cabinets, which have been limited to the luxury price range until now, have been introduced in the intermediate price range, expanding the volume zone of the market
● In addition to reducing the use of resources and lightening transport loads in order to protect the environment, we have also improved recyclability which is only possible with stainless steel
CLEANLADY
Merit Award in the 14
thJapan Stainless Steel Association Prize
6 . Basi c Managem ent Pol i cy (Fr om the New Mi d-Ter m Managem ent Pl an)
Sal es
c apabi l i ti es
Br and
power
Thoroughly promote the 12 mid-term plans to become
“ the kitchen company ”
Technological development of differentiated products
Strengthening the brand Improved overall showroom
competitiveness for comprehensive renovation plans
Pr oduct
appeal
Over seas
busi ness
c apabi l i ti es
Development in Asia
Real i zati on of “The Ki tc hen Com pany”
The Craftsmanship of a Specialist Manufacturer
High-Value-Added Products
Luxury System Kitchen
“S.S.”
“S.S. Light Package”
Mid/High-Quality System Kitchen
“CLEANLADY”
Popular System Kitchen
“RAKUERA ”
Company System Kitchen
“COLTY ”
* The system bath model has been changed to AQULIA-BATH
High Price
Widespread Products
Low Price
Highly functional, stylish, product designed for urban life with limited space.
A branded product allowing consumers to experience Cleanup’s high-quality.
Products aimed at customers who want both financial savings and added value.
Our standard brand as “The Kitchen Company” A model allowing consumers to
experience the beauty of stainless at a reasonable price.
【Renewal results for FY2011】
● “CLEANLADY”
(Fully upgraded model)
7. Measur es to Enhanc e Pr oduc t Appeal (1) Pr oduc t Li neup
7. Measur es to Enhanc e Pr oduc t Appeal (2)
▲Cleanliness has been improved with the “Clean Hair Catcher”
▲Design has been improved by using “Aqulistone Quartz”
Improved cleanliness and design
● The first model change in 5 years
● Highly demanded cleanliness and design have been improved in addition to the industry-best heat retention and safety
【Cleanliness】
Cleanliness has been improved by using the new joint filler
“Clean Gasket”, which prevents mold from taking root, and including the low maintenance, stainless steel “Clean Hair Catcher” in the plugholes as standard.
【Design】
Cleanup’s unique dense yet translucent artificial marble,
“Aqulistone Quartz”, has been introduced in bath tubs and countertops (8 colour variations to choose from).
AQULIA-BATH
Orders accepted from March 1, 2012
The model has been changed for the AQULIA-BATH
8. Measur es to Enhanc e Sal es Capabi l i ti es ~Com pr ehensi ve Renovati on Pl ans~
● Expand “Water Section Workshops” member
stores to 2,500 store system
(As of March 31, 2012)● Renovation fairs
Held last year : 2,183 Planned this year : 2,800
Strengthen renovation strategy
Strengthen logistics cooperation
Improve overall showroom competiveness
● Showroom construction that makes use of the strengths of a specialist
manufacturer (Osaka showroom’s large-scale move/opening etc.)
Improved showroom advisors
● Implement renovation seminars for sub-customers in cooperation with
strong local firms
● Implement renovation fairs with strong firms/sub-customers as sponsors
Community courses held
every year from 2009
The Cooking Academy
“Web Campus” has been
opened
(Anyone can attend just by clicking)
◎ Cooking Academy to Create Smiles from the Kitchen
● 26 participants were selected by lottery out of over 200 people who expressed interest
● With the help of Seitoku University, classes began at Seitoku University Open Academy starting on October 7
(and will continue once a month until March 16, 2012 for 6 total classes)
● Classes include food-related lectures and hands-on practice from a variety of different angles such as local cuisine, aesthetics, science, health, safety, and dietary education.
● The content from past courses has been uploaded to the home page as the “Web Campus”
● The first two entries “ The Role of Food” and “The Science of Food” have already been uploaded The third entry onwards will be uploaded in due course
9. Measur es to Enhanc e Br and Power (1) Cooki ng Ac adem y
9. Measur es to Enhanc e Br and Power (2) Ec o-Pr oduc ts Di spl ay
◎ Display in the biggest environmental exhibition in Japan,
“Eco-Products 2011”.
Appealed to 180,000 visitors with the Cleanup brand
message, “create smiles from the kitchen”, and the high
environmental performance of the new CLEANLADY.
10. Over seas Busi ness Capabi l i ti es
● China
In cooperation with a house
manufacturer, we produced and
supplied kitchens locally in
Shenyang, Liaoning
● Vietnam
Opened a new local showroom
in conjunction with our agent
● Taiwan
Opened a local office to
support our existing agent
Okayama Tokyo Iwaki
Hanoi
Hong Kong
Taipei Shenyang
Beijing
Shanghai
11. Medi um -ter m Str ategy (1) Pr oduc t Devel opm ent fr om the Custom er ’s Poi nt of Vi ew
Reflected in the CLEANLADY etc. which features a “stainless steel eco-cabinet” as standard.
Aiming to create “products you can trust”…
Cleanup will continue to provide high-quality products, regardless of the
times, and always with an emphasis on the consumer’s point of view.
Cl eanup’s Pr oduc t Cr eati on
“Pr oduc ts You Can Tr ust”
CSR
Envi r onm ental Com pl i anc e
【The Foundati on of Pr oduct Cr eati on】
CPS (Cleanup Production System), based on Cleanup’s unique quality management beliefs
Compl i ance wi th Laws/ Systems
●Housing Function Display System (Quality Assurance Law)
●Effective Resource Use Promotion Law
●Long-Term Quality Housing Promulgation and Promotion Law, etc.
3R Effor ts
●Reduce
(Reduce creation of waste products)
●Reuse (Reuse waste products)
●Recycle (Reuse as raw materials)
Founder ’s Phi l osophy
(Fi ve Conc epts)
Cor por ate Phi l osophy
(c r eati ng c heer ful sm i l es i n the fam i l y)
Acti ve Phi l osophy
1. We wi l l cr eate a ‘soul ful ’ cul tur e of l i fest yl e and cui si ne.
2. We wi l l al ways conduct fai r and honest cor por ate acti vi ti es.
3. We wi l l cr eate a company our fami l i es can take pr i de i n.
New Br and Statem ent
To cr eate smi l es fr om the ki tchen
For our busi ness to be the ‘Top l eader i n ki tchens.’
To establ i sh a r eputati on among our customer s ‘synonymous wi th ki tchens.’
Acti on Pol i cy
11. Medi um -ter m Str ategy (2) Pur sui t of “New Managem ent Phi l osophy”
◎ On 65
thanniversary of our inauguration, creating a foundation
suitable for a “second inauguration”
Aiming for a business that
develops globally, while
valuing individuals, families,
and communities, based on
our experience with the
earthquake
Cleanup Corporation
Corporate Planning Department,
Public Relations Section
Tel 03-3810-8241
Fax 03-3800-2261
URL http://cleanup.jp/
For any questions concerning investor relations,
please contact:
This material is intended to provide information regarding FY2011 financial results (April 2011 - March 2012) and does not constitute a solicitation to invest in Cleanup Corporation-issued securities.
Furthermore, this material was created based upon data current as of May 16, 2012. Opinions and forecasts contained within this material were the subjective judgments of Cleanup Corporation at the time of creation. No guarantee or promise is made as to the accuracy or
completeness of this information. Additionally, this information is subject to change without prior notice.