Settlement of Accounts in the Second Quarter of the Fiscal Year Ending March 31, 2011 and Medium-term Management Plan

Transcription

1 Settlement of Accounts in the Second Quarter of the Fiscal Year Ending March 31, 2011 and Medium-term Management Plan November 10, 2010 <Cautionary matter of description regarding future prospect> Please bear in mind that the forecast of our business performance and future forecast described in this material are forecasts judged by our company on the basis of the business environment at this point in time, and actual business performance can be different depending on the development of the business environment hereafter. 1/22

2 Subject of Today s Briefing Fiscal Year Ending March 31, 2011 Outline of the Second Quarter Consolidated Business Performance Fiscal Year Ending March 31, 2011 Forecasts of Consolidated Business Performance Medium-tem Management Plan 2/22

3 Fiscal Year Ending March 31, 2011 Outline of the Second Quarter Consolidated Business Performance 3/22

4 Fiscal Year Ending March 31, 2011 Outline of the Second Quarter Consolidated Business Performance Net Sales Network solutions field Security solutions field Operating Income Ordinary Income Net Income Net Income per Share (yen) 2QFY10/Mar. Actual Result QFY11/Mar. Actual Result (100 millions of yen) Year-over-Year Ratio of Change Change 25% % % /22

5 Fiscal Year Ending March 31, 2011 Second Quarter Consolidated Net Sales (By Field) Security solutions Network solutions (100 millions of yen) Parts, etc. 5.5 billion yen Year-over-year +2.2 billion yen Security systems 6.5 billion yen Year-over-year +1.5 billion yen Network equipment, etc. 91 2QFY10/Mar. 2QFY10/Mar. 97 2QFY11/Mar. 2QFY11/Mar. 3.2 billion yen Year-over-year +0.6 billion yen Key telephone systems 6.5 billion yen Year-over-year ±0 5/22

6 Breakdown of Major Changes in Operating Income (2QFY10/Mar.~2QFY11/Mar.) Reduced depreciation expense 100 million yen Operating income 580 million yen Increased Sales 200 million yen Increased expenses by increased sales -100 million yen Reduced personnel expenses 200 million yen Reduced Development cost 100 million yen Operating income -20 million yen 2Q FY10/Mar. Reduced material cost Improved production efficiency 100 million yen 2Q FY11/Mar. 6/22

7 Fiscal Year Ending March 31, 2011 Outline of the Second Quarter Balance Sheet Assets Current assets Fixed assets Deferred assets Total assets End of FY10/Mar. (A) End of 2Q FY11/Mar. (B) (100 millions of yen) Change (B-A) Liabilities/Net assets Current liabilities Long-term liabilities Total liabilities Net assets Total liabilities and net assets End of FY10/Mar. (A) End of 2Q FY11/Mar. (B) Change (B-A) /22

8 Fiscal Year Ending March 31, 2011 Forecasts of Consolidated Business Performance 8/22

9 Fiscal Year Ending March 31, 2011 Forecasts of Consolidated Business Performance FY10/Mar. FY11/Mar. (100 millions of yen) Year-over-Year Actual Result Forecasts Change Ratio of Change Net Sales % Network solutions field Securities solutions field % % Operating Income % Ordinary Income % Net Income % Net Income per Share (yen) % Dividend (yen) (Forecast) - 3 9/22

10 Fiscal Year Ending March 31, 2011 Forecasts of Consolidated Sales (100 millions of yen) Security solutions Network solutions Parts, etc. 9.2 billion yen Year-over-year +0.6 billion yen Security systems 13.4 billion yen Year-over-year +1.6 billion yen 182 FY10/Mar. 204 FY11/Mar. Forecast Network equipment, etc. 7.6 billion yen Year-over-year +2.1 billion yen Key telephone systems 12.8 billion yen Year-over-year +0.1 billion yen 10/22

11 Breakdown of Major Changes of Forecasted Operating Income (FY10/Mar.~FY11/Mar.) Operating income 1,300 million yen Operating income 600 million yen Increased sales 300 million yen Increased development cost -100 million yen Increased depreciation expense -100 million yen Reduced material cost Improved production efficiency 300 million yen Reduced personnel expenses 300 million yen FY10/Mar. FY11/Mar. Forecast 11/22

12 Capital Investment, Depreciation Expense, R&D Expense FY10/Mar. Actual Result FY11/Mar. Forecasts (100 millions of yen) Year-over-Year Change Capital Investment (Tangible) Capital Investment (Intangible) Total Depreciation Expense R&D Expense /22

13 Medium-term Management Plan 13/22

14 Changes in the Market Environment and Our Engagements <Changes in information communication network related market> In line with the progressed adoption of broadband, the main axis of communication are shifting from voice communication to data and image communication. In line with the diversification and sophistication of communication service, major changes are underway while various businesses have emerged. <Engagements of Our Company Group> Development and sale of new products coping with changes in the market, and securing of new customers Earlier return to a growth path, aiming at being a company which attains stable progress SAXA Medium-term Management Plan 14/22

15 Directionality of Our Business Open innovation Strengthening of marketing power and planning capacity Efficient development based on the concept of open innovation Advancing AXA Group Timely provision of solutions from the perspective of customers Thorough implementation of market-in and open innovation Not- Invented- Here (NIH) Former position of our company group Product-out Market-in 15/22

16 Future Business Domain and Product Business Fields Network solution field Visual communication Network appliance Secure solutions Security solution field Equipment/Solutions which we newly aim at Market-in We provide various equipment and solutions which realize assurance/safety/comfort/convenience in the targeted markets. Open innovation Targeted markets Office market Small and medium offices Automatic security Amusement market Theme park Resort facilities Game center Hall Transport/ settlement market Railway Bus Distribution Roads Social infrastructure market Education Nursing care, welfare Telemetering Overseas market Europe USA Asia, etc. 16/22

17 Our Aims in the Office Market [23.4 billion yen (FY11/Mar. Forecast of sales) 140%] We facilitate various office solutions by utilizing common platforms, camera systems, security systems and others. Key telephone Network equipment Small and medium offices Camera systems (camera pack) IP TV interphone Security Common platform (UTM, etc.) Office Market Automatic security Receiving system Transmitting system Sensor Camera systems (Camera pack) Image sensor Threat equipment Maintenance service We provide total security by upgrading/expanding related equipment and enhancing maintenance service. 17/22

18 Our Aims in the Amusement Market [8.8 billion yen (FY11/Mar. Forecast of sales) 120%] We sell environment equipment and security systems, in addition to card equipment. Card equipment + Environmental equipment Hall Security systems Amusement Market Expansion of Domain Resort facility Game center Theme park Advancement into areas other than hall is being considered. 18/22

19 Our Aims in the Transport/Settlement Market [2.4 billion yen (FY11/Mar. Forecast of sales) 180%] Facilitate transport solutions with IP interphone and image processing technology as the core Phone call communication Railway Safety monitoring Bus Counting number of ridership Facilitate solution with image processing technology as the core Transport/Settle ment Market IC card terminal Mobile settlement terminal Road Road Detection of stopped traffic Facilitate solutions with image processing technology as the core Distribution Facilitate settlement solutions with card R/W as the base 19/22

20 Our Aims in the Social Infrastructure Market [3.3 billion yen (FY11/Mar. Forecast of sales) 180%] Remote meter reading LP gas meter reading Attendance control systems + Education Camera systems Social Infrastructure Market IC card terminal Electricity related Remote monitoring Extending to other uses Security Nurse call Key telephone linkage systems Elderly support systems + Nursing care/welfare/medical 20/22

21 Our Aims in the Overseas Market [0.4 billion yen (FY11/Mar. Forecast of sales) 280%] Expansion of business opportunities in fire alarm, security, image products, etc. Entry into the image market and promotion of offshore development supported by existing partners in China Promotion of open innovation with Taiwanese companies Expansion of business opportunities in fire alarm, security, image products, etc. Expansion of business opportunities in fire alarm, security, image products, etc. in Asian region 21/22

22 Major Targets for Achievement Security solutions Network solutions 600 (100 millions of yen) 430 FY 11/Mar. Forecast Target FY11/Mar. Forecast Target Net sales 43 billion yen 60 billion yen Ordinary income 1.1 billion yen 3 billion yen Ordinary income margin 2.6% 5% or more Total assets turnover 1.0 time 1.5 times or more 22/22