Briefing on Business Results for the Fiscal Year Ended March 2012

Transcription

1 1 <2784> Briefing on Business Results for the Fiscal Year Ended Announced on May 9, 2012 (Brief presented on May 10) Denroku Ishiguro, Representative Director & President Alfresa Holdings Corporation

2 2 Summary of Performance for the Year Ended

3 3 Summary of Consolidated Performance Billion Yen Net Sales Plan Actual 100.8% 2, ,333.2 Operating Income Plan Actual 114.4% Ordinary Profit Plan Actual 114.5% Net Income Plan Actual 82.6%

4 - Wholesaling Business Sales Growth Rate and Market Share 4 Ethical Pharmaceuticals Sales Growth Rate Alfresa Holdings 1 4.4% Market Average 2 4.4% Ethical Pharmaceuticals Market Share % 24.2% March Internal materials 2 Crecon Research & Consulting Inc. 3 Internal materials 4

5 5 Financial Results for the Year Ended

6 6 Consolidated Profit and Loss March 2011 Change (Million Yen) % of Sales % of Sales YoY% Net Sales 2,183,345-2,333, , Gross Profit 143, , SG&A Expenses 133, , Operating Income 9, , Ordinary Profit 17, , Net Income 6, ,

7 Breakdown of Consolidated SG&A Expenses Administrative Expenses Sales Expenses Personnel Expenses billion yen billion yen billion yen (Without TAMPEI NAKATA for 1st half) March ,952 Total number of personnel 13,170 Wholesaling Business Sales Productivity 111% YoY 7

8 8 Consolidated Balance Sheets (Billion Yen) March 31, 2011 March 31, 2012 Change Current assets (5.4) Cash, deposit and securities (6.7) Trade notes and accounts receivable Inventories (8.0) Fixed assets Tangible and intangible fixed assets Total assets 1, ,077.3 (1.4) Current liabilities (8.1) Trade notes and accounts payable Short-term interest bearing debts (2.6) Non-current liabilities (0.6) Long-term interest bearing debts (1.0) Net assets Minority interests

9 9 Consolidated Cash Flows (Million Yen) Beginning balance of cash and cash equivalents March , ,740 Cash flows from operating activities Cash flows from investing activities Cash flows from financing activities Translation difference of cash and cash equivalents Increase (decrease) in cash and cash equivalents 52,233 (4,806) (8,024) (20) 39,381 14,620 (15,578) (10,321) 0 (11,279) Ending balance of cash and cash equivalents 134, ,569 9

10 10 Financial Results by Business Segment

11 - Wholesaling Business Financial Results in Wholesaling Business 11 March 2011 Change (Million Yen) % of Sales % of Sales YoY% Net Sales 2,166,617-2,315, , Gross Profit 133, , , SG&A Expenses 125, , , Operating Income 7, , Ordinary Profit 15, , , Net Income 5, , The eliminations component is allocated to business segments based on internal standards. 11

12 - Wholesaling Business Net Sales 12 2,315.9 billion yen 106.9% YoY TAMPEI NAKATA (1H) due to consolidation from Oct billion yen 2,166.6 billion yen 2,250.6 billion yen 103.9% on an Organic Basis March

13 - Wholesaling Business Gross Profit and SG&A Expenses for the Year Ended 13 Gross Profit SG&A Expenses 6.15% 5.79% 5.82% 5.47% TAMPEI TAMPEI NAKATA NAKATA (1H) (1H) 5.73% 5.38% (organic basis) (organic basis) TAMPEI TAMPEI NAKATA NAKATA billion yen (1H) 5.6 (1H) billion yen 5.5 billion yen billion yen billion yen billion yen billion yen billion yen March 2011 March

14 - Manufacturing Business Financial Results in Manufacturing Business 14 March 2011 Change (Million Yen) % of Sales % of Sales YoY% Net Sales 25,260-26,752-1, Gross Profit 9, , (413) 95.7 SG&A Expenses 8, , (188) 97.9 Operating Income (224) 70.6 EBITDA 3, , (430) 86.3 Ordinary Profit 1, (496) 63.3 Net Income (481)

15 - Manufacturing Business Breakdown of Net Sales billion yen Imports and Exports, etc. Medical Devices Diagnostic Reagents Pharmaceuticals 25.2 billion yen Contract manufacturing (included in pharmaceuticals) NESPLON cable system, surgical sutures, etc. Contract manufacturing (included in pharmaceuticals) Influenza detection kits, etc. Tofranil, Modiodal, etc. 0.7 billion yen 1.2 billion yen March

16 16 <2784> Medium-term Management Plan Advancement and Expansion - Next Stage

17 17 The Alfresa Group s Principles Our Philosophy We create and deliver a fresh life for all. Our Vision We aim to become a Healthcare Consortium that provides products and services in every health-related field. Our Promises Reliability Safety Sincerity We always maintain the stable supply of reliable products and services that satisfy our customers. We strive to maintain and improve a safe and comfortable working environment, respect individual characteristics and personalities and create a healthy corporate culture. We raise corporate value as a corporate Group operating in the healthcare sector to meet shareholders expectations. We conduct proper trade under fair, transparent and free competition. We strive to protect personal information entrusted by our customers and business partners and important company information, work to widely and proactively communicate with society, and implement appropriate and timely information disclosure. We contribute to society through our business operations, proactively carry out social contribution activities in local communities, and actively and voluntarily address global environmental issues. 17

18 - Wholesaling Business Expand the Wholesaling Business Network and Pursue Value Added 18 February 3, 2012 Conclusion of a basic agreement on a business alliance with Tokiwa Yakuhin Co., Ltd. 18

19 - Ethical Pharmaceuticals Wholesaling Business Progress of the Group Distribution Vision 19 The Alfresa Group s vision (from 24 centers to 17 centers) Odashima Distribution Center (Hanamaki, Iwate Prefecture) Kinki Area Distribution Center Okinawa Distribution Center Saitama Distribution Center (Niiza, Saitama Prefecture) Aichi Distribution Center (Ichinomiya, Aichi Prefecture) Scheduled to begin operation on May 21, 2012 Promote area-focused distribution structure and cost reduction 19

20 - Ethical Pharmaceuticals Wholesaling Business Progress of the Group System Vision Medium-term Management Plan Fiscal Year Joint Use Companies Alfresa Corporation Alfresa Pharma Corporation Shikoku Alfresa Corporation Alfresa Nikken Sangyo Corporation SEIWA SANGYO CO., LTD. Odashima Limited Meisho Co., Ltd. Establish disaster recovery mechanisms Started operation from January 2012 Promote joint use of the system Kowa Pharmaceuticals Co., Ltd. RYUYAKU CO., LTD. CS YAKUHIN CO., LTD. Begin to to upgrade the system from 2012 Examine further cost reductions *Disaster recovery refers to the prompt restoration of computer systems damaged by disasters. 20

21 21 - Self-medication Products Wholesaling Business Aim to Create New Value by Promoting Ties among Businesses and Companies AAA (Triple A) initiatives with NIPPON ACCESS and ARATA Expansion of Mutual Trade Mutual distribution of medicine, food and lifestyle products among business categories through wholesaler alliance Create and Propose Sales Spaces Propose next-generation sales spaces based on lifestyle scenes Mutual Use of Distribution Networks Boost efficiency through joint use of distribution centers Alfresa Healthcare Corporation On March 12, 2012 Started joint distribution at ARATA CORPORATION s Ishikari Center (Ishikari, Hokkaido) Boost efficiency Realize reduction of warehouse operating costs and management costs of both companies by joint use of the distribution center Pursue a distribution structure that can respond to the diversification of consumer needs and to the environment where our customers are increasing scale and expanding geographically 21

22 - Manufacturing Business Build up the Foundations for Growth for the Manufacturing Business 22 Expand contract manufacturing Expand contract manufacturing using the Okayama Pharmaceutical Plant second formulation building Year ended March 2011: 0.7 bil. yen Year ended : 1.2 bil. yen (plan: 1.1 bil. yen) Year ending March 2013 (plan): 1.6 bil. yen Enhance the product lineup and expand indications Modiodal <Received approval of additional indication> November 2011 Excessive diurnal sleepiness accompanied with obstructive sleep apnea syndrome (OSAS) under treatment for airway obstruction by continuous positive airway pressure (CPAP) therapy and the like Tetrabenazine <Applied for approval of manufacturing and marketing> Choreiform movement associated with Huntington s disease Vigabatrin <Concluded co-development agreement> Development of Sanofi-Aventis s antiepilepsy drug Vigabatrin (gamma-aminobutyric acid (GABA) transaminase inhibitor) in Japan 22

23 23 Financial Forecast for the Year Ending March 2013

24 - Ethical Pharmaceuticals Wholesaling Business Primary Initiatives for the Year Ending March Promote Distribution Reforms Economically rational transactions Encourage separate pricing for each product Reform the practice of deliveries prior to price agreements 2. Reduce SG&A expenses ratio by promoting further efficiency 24

25 25 Consolidated Financial Forecast % of Sales March 2013 Forecast % of Sales (Million Yen) Change YoY% Net Sales 2,333,256-2,379,000-45, Gross Profit 144, , , SG&A Expenses 134, , (153) 99.9 Operating Income 9, , , Ordinary Profit 18, , , Net Income 6, , ,

26 - Wholesaling Business Financial Forecast in Ethical Pharmaceuticals Wholesaling Business for the Year Ending March (Million Yen) Ethical pharmaceuticals wholesaling business Forecast % of Sales Net Sales Gross Profit SG&A Expenses Operating Income Ordinary Profit Net Income 2,154, , ,100 17,700 25,840 13,

27 - Wholesaling Business Financial Forecast in Self-medication Products Wholesaling Business for the Year Ending March (Million Yen) Self-medication products wholesaling business Forecast % of Sales Net Sales Gross Profit SG&A Expenses Operating Income Ordinary Profit Net Income 207,400 17,700 17,900 (200) 150 (560) (0.10) 0.07 (0.27) 27

28 - Wholesaling Business Reference: Year-on-year Comparison in Wholesaling Business 28 (Million Yen) March 2013 Forecast Change % of Sales % of Sales YoY% Net Sales 2,315,962-2,361,000-45, Gross Profit 134, , , SG&A Expenses 126, , (588) 99.5 Operating Income 8, , , Ordinary Profit 16, , , Net Income 5, , , The eliminations component is allocated to business segments based on internal standards. 28

29 - Manufacturing Business Financial Forecast in Manufacturing Business 29 % of Sales March 2013 Forecast % of Sales (Million Yen) Change YoY% Net Sales 26,752-28,000-1, Gross Profit 9, , SG&A Expenses 8, , Operating Income , EBITDA 2, , Ordinary Profit , Net Income

30 30 Policy on Return to Shareholders Dividend Policy The Company s policy is to determine dividends based on consolidated financial results, with a target of an annual DOE (dividend on equity) of 2% or more, comprehensively considering the stability of its management base and future business development. Dividend performance 93 yen 87 yen 88 yen 89 yen 90 yen March 2009 March 2010 March 2011 March 2013 (Plan) : Dividend per share 30

31 31 Disclaimer concerning forward-looking statements Please note that the information and materials published here in this document are forward-looking statements based on forecasts available at the time the document was prepared. Certain premises are used for these descriptions. The descriptions or premises contain inherent known or unknown risks and uncertainties and may be proven inaccurate or fail to materialize in the future. In the event that revisions or amendments to the information are desirable due to new information, future events and other factors, it is neither a policy nor an obligation of the Company to update such information.

32 Contact Alfresa Holdings Corporation Financial Planning Department, Public and Investor Relations Office TEL: FAX: