Annual Report 2015
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Corporate Prole WE SUPPORT AVIATION INDUSTRY Corporate Name: Airport Facilities Co., Ltd. (AFC) Main Banks: Development Bank of Japan Established: February 1970 Resona Bank Capital: 6,826.10 million yen Mizuho Bank Employees: 111 (Consolidated as of March 31, 2015) The Bank of Tokyo-Mitsubishi UFJ Sumitomo Mitsui Banking Corporation Sumitomo Mitsui Trust Bank Stock Information (as of March 31, 2015 ) Stock Listings: Major Shareholders Tokyo Stock Exchange (TSE) 1st Section Number of Shares Ratio of Shareholder (Ticker Code: 8864 ) Owned (thousands) Shareholding (%) Total Number of Shares Authorized: Japan Airlines Co., Ltd. 10,521 19.16 124,800,000 ANA HOLDINGS INC. 10,521 19.16 Total Number of Shares Issued: Development Bank of Japan Inc. 6,920 12.60 54,903,750 KOKUSAI KOGYO HOLDINGS CO., LTD. 1,939 3.53 Number of Shareholders: RBC ISB A / C DUB NON RESIDENT - TREATY RATE 1,730 3.15 6,905 ANNUAL REPORT 2015 Year Ended March 31, 2015 Composition of Shareholders Stock Price and Trading Volume (Monthly) (¥) Stock price 900 Securities The Company (Treasury Stock) Companies 5.91% 0.87% 600 Individuals Foreign Investors 15.79% 300 12.64% 0 ’14/4 ’14/5 ’14/6 ’14/7 ’14/8 ’14/9 ’14/10 ’14/11 ’14/12 ’15/1 ’15/2 ’15/3 (Thousand shares) Trading volume Financial Institutions 2,000 Other Japanese 20.13% 1,500 Corporations 1,000 44.66% 500 0 AIRPORT FACILITIES CO., LTD. Sogo Building No. 5, 1-6-5 Haneda Airport, Ota-ku, Tokyo 144-0041 TEL: 81-3-3747-0251 FAX: 81-3-3747-0225 WWW.afc.jp/english/ AIRPORT FACILITIES CO., LTD. Message from the President Our Mission The amount of air trac at Tokyo International Airport increased to 447,000 arrivals and departures annually by March Our mission is to play a vital role in the progress of 2014, and the number of passengers using the airport is increasing signicantly, mainly through international ights. aviation as a pivotal private company operating However, further reinforcement of airport functions is being required, as seen in the plan to add a further 39,000 arrivals mainly at airports, through creating and providing and departures, due to increasing demand for international ights with the government policy on increasing the necessary facilities and functions at airports. number of tourists from abroad visiting Japan and following the decision on hosting the Olympic and Paralympic Games in Tokyo. Corporate Philosophy In the airlines industry, airline companies are now placing eorts on cost reduction under the severe market 1 We will continually advance ahead of the environment expected in the future, such as reduction of demand due to a long-term decline in the population of the demands and changes of the times by domestic market or the entry of LCCs in both domestic and international lines. The long-term issues for the entire producing creative innovation and we will endeavor to raise corporate value. industry also include a lack of pilots and other crew expected in the future. Under such conditions, Airport Facilities Co., Ltd. has been oering facilities according to the expansion of airport 2 We make eort to be a reliable and trusted company that always provides value which capacity, such as providing factories for meals served on international ights at Tokyo International Airport, and satises customers and complies with public completed the third apartment building in Otorii for those who work at the airport at the end of last year. This year, the expectation. company is scheduling to start construction of the second hotel along the Keihin Kyuko Line, with the rise of demand 3 We will foster our sta, and encourage and for accommodations according to the increase in the number of passengers. As for the problem of pilots, it is expected reward the eorts they make and the challenges they tackle. that demand for training will increase in the future with the needs for bringing up personnel, and in response, the company is considering to oer facilities that meet the needs of airline companies, such as providing facilities for 4 As a member of civil society, we observe rules and respect fairness. training utilizing existing facilities. As for overseas operations, following the provision of a hangar at Singapore Seletar Airport in March 2014 and the provision of an engine maintenance plant newly started in December 2014, we will continuously be engaged in further excavation of projects based on the strong demand for aviation service in Asia. Our second locally-incorporated company was established in Canada in November 2014, which is now considering developing business in construction, acquisition and leasing of airport-related facilities. Under the condition of an increase in demand for the manufacturing and maintenance of aircrafts in line with the increase of worldwide demand for aviation service in the future, we will develop our business by also envisaging eorts including those of MRO business operators in charge of related facilities and equipment maintenance of aircraft manufacturers in Japan and abroad. We are determined to continuously put active eorts into businesses in airports, as facilities to complement airport functions, by also keeping our eyes on the trend of demand. President and CEO Hiroshi Maruyama August 2015 CONTENTS Message from the President Future Business Direction …………………………………… 10 Changes in Annual Dividend per Share and Payout Ratio Changes in Annual Dividend per Share and Payout Ratio … 02 We recognize the prompt return to the shareholders as top corporate priority, intending to repay the due return Our Website Timely Updated………………………………… 11 to shareholders while considering various factors such as the internal reserves prepared for new business and Business Review investment opportunities, along with the mid- to long-term business outlook. Corporate Information This policy has led to ¥6.0 year-end dividend to pay for the year ended March 31, 2015, the same as the Airport Facilities at a Glance ………………………………… 03 Subsidiary Company ………………………………………… 12 previous scal year-end, resulting in an annual ¥12.0 dividend, the same as the previous scal year. Highlights of the Previous Year’s Business Result and Dividends per share (¥) Payout ratio (consolidated) (%) Consolidated Financial Data & Industry Related Data Dividends per share Payout ratio Outlook for the Current Fiscal Year ………………………… 05 56.7 (Ten-year Summary) ………………………………………… 13 16 60 Focus: Global presence of Tokyo International Airport increases, 12.0 12.0 12.0 12.0 List of Facilities ……………………………………………… 15 12 45 toward the further reinforcement of functions……… 06 10.0 41.2 Corporate Governance ……………………………………… 17 Our Business in Tokyo International Airport ………… 07 8 35.9 34.8 30 25.3 Recent Business Activities 4 15 (Overseas and Regional Airports) …………………………… 09 0 0 ’11/3 ’12/3 ’13/3 ’14/3 ’15/3 The statements about future described on this report such as earnings forecasts have been made based on information currently available and some conditions that we judge rational. Actual earnings may dier greatly from the above forecasts for various reasons. AFC Annual Report 2015 02 Airport Facilities at a Glance Outside Airport Water Supply & Drainage Service and 9.4% We create and provide airport functions, Other Business Other Regional Airports 2.2% 11.1% Kobe Airport 1.0% thereby contributing to the progress of the aviation industry. Osaka Area Heating & Net Sales by Real Estate International Airport Net Sales by Tokyo We create and manage the facilities and functions indispensable to ensure the appropriate management of airports Cooling Business Business Segment Business Region International 1.4% Airport 15.1% (’15/3) 73.8% (’15/3) leading up to the safety operation of airline companies. % Kansai 83.7 International Airport 2.3% Component Maintenance Building Domestic Air Cargo Terminal (Tokyo International Airport) 12 Airports where we deploy our business Overseas location Real Estate Business New Chitose Airport Based on Tokyo International Airport (Haneda Airport), our company Central Japan Int’l constructed multipurpose general buildings, hangars, maintenance shops, (Centrair) aircraft cleaning facilities, sanitary disposal plants, air cargo terminal facilities, Osaka Int’l (Itami) Sendai Kobe etc. in 12 airports in Japan and 1 airport abroad, and we lease them to airline Singapore: Tokyo Int’l Airport, companies and aviation-related companies. Kitakyushu Seletar Airport Tokyo Metropolitan area Also outside the airports, our company leases oce buildings, airport-related Kansai Int’l Fukuoka Hiroshima Heliport facilities, housing complexes, etc. in areas such as the Tokyo Metropolitan Business Review area, adjacent areas to Tokyo International Airport and the opposite shore of Kagoshima Kansai International Airport. Naha Corporate Information Corporate Energy Center (Tokyo Airport Heating & Cooling Co., Ltd.) High-efficiency Electric Turbo Chiller Areas covered by our heating and cooling system in Tokyo International Airport Area Heating & Cooling Business Tokyo Airport Heating & Cooling Co., Ltd., a subsidiary of our company, is Runway D engaged in area heating and cooling business in zones for domestic Runway C passengers, domestic cargoes and the new aircraft maintenance area in Domestic cargo area Domestic passenger area New aircraft maintenance area Tokyo International Airport. Runway A The heating and cooling source is generated in the Energy Center, and is Runway B International passenger and cargo area supplied to facilities within the airport site, including the facilities of our Former aircraft maintenance area (1-chome district) company, Passenger Terminals No. 1 and No. 2 and government oce buildings. Water supply & drainage facilities in the reclaimed land area Shared Communication Service (Tokyo International Airport) Areas covered by our local area communication network Water Supply & Drainage Service and offshore Tokyo International Airport Other Business Runway D Runway C The company implements the operation and management of water supply and drainage service (water and sewerage) in facilities such as Domestic cargo area Domestic passenger area New aircraft maintenance area Tokyo International Airport.