Overview of Medium-Term Business Plan

Transcription

1 15 Overview of Medium-Term Business

2 16 Tireless challenge aimed at dramatic progress Achieve continued earnings growth Reinforce Operamaster Strategy and kit product sales Prepare and launch new products Strengthen promotion of joint development with hospitals Emphasize in-house manufacturing of parts/materials Design factories based on long-term perspectives Development theme for next-generation core products Develop products that ensure hospital safety, Minimally invasive, efficient hospital management, and at-home care and prevention based on concept of products that contribute to the medical front lines. Increase in medical External remuneration: % conditions Configuration of DCP hospitals Market conditions Market Environment Fiscal 2012 Fiscal 2013 Fiscal 2014 Fiscal 2015 Amendments to Medical Care Act and Pharmaceutical Affairs Act Revision in medical remuneration Increase in consumption tax rate 5 8% Increase in consumption tax rate 8 10% Concentration of surgical procedures (clarification of hospitals for acute patients) Increasing shift from outpatient procedures to Minimally invasive procedures Low-price competition from other companies Make competitive products Further increase added value of Operamaster Modify product designs to enhance added value Establish manufacturing facilities to ensure safe products and stable supplies Enhance efficiency through automation of new kit factory Reinforce in-house systems Further strengthen internal control system and compliance to earn the trust of stakeholders Continue fostering human resources Our Establish new products sales support team responses IC Tracer ME equipment management Kit materials Factory 1,000-kit strategy Reinforce follow-up for contracted hospitals (promote surgery management system) Develop products jointly with hospitals Drug management system Completion of buildings Kit materials Gradual commissioning of new factory

3 17 Hogy Medical s Responses and Future Strategies Hospital Master Can prevent mistake in medical accounting Surgery visualization; reduced tasks for nurses [Operamaster concept] From improvement of Surgery rooms to improvement of entire hospital management Data incorporating next round of medical treatment price revisions Highly accurate payment receipt Formulation and verification of earnings plans Picking list preparation Conversion to kit form DPS allows accurate preparation/procurement of materials and saves labor Increased contribution to improved hospital management Increased contribution to medical safety Can forecast cash flows at surgery planning stage From Operamaster to Hospital Master Pharmaceuticals ME equipment management Examination room Allocate staff according to experience-based data Critical path system Monitoring of materials (incoming, outgoing, balance) Operation procedure manual Tagging of medical treatment materials prevents them from being left inside the patients body Continue advancing Operamaster while incorporating feedback from hospitals! Launch of Operamaster Contracted hospitals account for 50,000 surgeries annually in total - Endeavor to verify effectiveness - Get up and running; build track record Fiscal 2004 Contracted hospitals account for 100,000 surgeries annually in total - Introduce system of coordinators - Announce academic society results - Step up sales to large hospitals Fiscal 2006 Contracted hospitals account for 200,000 surgeries annually in total - Surgery management system - Announce specific details of hospital performances - Rejuvenate activities of salespeople - Strengthen support for contracted hospitals Fiscal 2012 Expand Operamaster - ME management system - Drug management system Medium-term business plan Develop new products - Medical treatment devices - Minimally invasive products

4 18 Capital expenditure concepts Make competitive products Improve productivity to reduce costs New factory plan Make high-value-added products Use automation to enhance efficiency and reduce costs for future Address expansion of production volume through increase in production lines Maintain high operating efficiency through segmented expansion of facilities Deploy production management system to reduce need for indirect labor Emphasize in-house manufacturing of parts/materials New Kit t

5 19 Medium-Term Business : Income Statements Net Sales Growth Rate Operating Income Growth Rate (Unit: million yen, rounded down) Net sales Operating income Ordinary income Net income EPS (minus treasury shares) Total depreciation and amortization Fiscal 2012 s 32,870 8,000 8,060 5, yen 3,135 Fiscal 2013 s 34,330 8,540 8,620 5, yen 3,000 Fiscal 2014 s 36,380 9,300 9,380 5, yen 3,130 Fiscal 2015 s 38,550 9,540 9,620 6, yen 3, % 106.0% 105.0% 104.0% 103.0% 102.0% 101.1% 101.0% 100.0% 99.0% FY % FY % FY % 104.4% 106.0% 106.0% 110.0% 105.0% 100.0% 95.0% 106.3% 90.0% FY % FY % FY % 106.8% 108.9% 102.6%

6 20 Medium-Term Business

7 21 (Unit: million yen, rounded down) 40,000 35,000 30,000 25,000 20,000 15,000 10,000 5,000 0 FY2009 Sales by Major Products Kit sales figures increase and decrease SG&A Expenses New products Other products Non-woven fabric 10,841 10,767 13,808 14,380 15,232 FY2010 Sales of subsidiary Mekkin bag Kit 10,569 FY2011 2,570 10,370 16,530 18,000 19,550 2,500 10,100 9,930 2,450 1,650 9,800 21,050 2,380 (Unit) 200, , ,000 50,000 0 FY2009 FY2010 FY2011 ( 百 万 円 ) 12,000 10,000 8,000 6,000 4,000 2,000 0 Others Testing and research Depreciation Personnel Selling costs 2, ,650 3,675 3,775 3,882 1,259 1,360 1,390 1,430 2, ,000 1,000 1,000 1,000 1,000 2,515 2,588

8 22 (Unit: million yen, rounded down) 5,000 4,000 Depreciation expenses 3,870 Equipment Capital Expenditure Fiscal 2012 Fiscal 2013 Fiscal 2014 Fiscal 2015 Factory CPU: 1.5 billion Buildings: 6.9 billion Materials inventory Non-woven combination process Packaging 3,000 3,135 3,000 3,130 Incorporation of non-woven combinations: 5.6 billion Incorporation of kit products: 6.7 billion Kit product process 2,000 Capital expenditure 2,000 8,330 8,830 5,230 Depreciation 3,135 3,000 3,130 3,870 Additional equipment for kit products

9 23 New Product Concepts Can prevent mistake in medical accounting Surgery visualization; reduced tasks for nurses [Operamaster concept] From improvement of Surgery rooms to improvement of entire hospital management Data incorporating next round of medical treatment price revisions Highly accurate payment receipt Formulation and verification of earnings plans Picking list preparation Conversion to kit form DPS allows accurate preparation/procurement of materials and saves labor Increased contribution to improved hospital management Increased contribution to medical safety Can forecast cash flows at surgery planning stage From Operamaster to Hospital Master Pharmaceuticals ME equipment management Examination room Allocate staff according to experience-based data Critical path system Monitoring of materials (incoming, outgoing, balance) Operation procedure manual Tagging of medical treatment materials prevents them from being left inside the patients body New products for drug departments Improve business efficiency for medical practitioners The role of hospital pharmacists will become more and more important as medical treatment becomes more advanced, thus raising the need for greater efficiency and labor savings in conventional procedures. Develop a system that automates drug selection, return, and inventory management ME equipment management Is the purchased equipment being used effectively? I don t know where the ME equipment is kept in the spacious surgery room, and I can t tell whether or not it is in use. Maintenance is not being performed regularly Product that enables real-time monitoring of usage status of ME equipment in hospitals