FY 2019 Q1 Briefing on the Operating Results 2018.7.13
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FY 2019 Q1 Briefing on the Operating Results 2018.7.13 DIP Corporation (First section of the Tokyo Stock Exchange code 2379) 1 Copyright © 2018 DIP Corporation, All Rights Reserved. CONTENTS 1 FY2019 Q1 Summary of Consolidated Results 2 2 FY2019 Q1 Business Performance 7 3 Q1 Summary and Strategies for FY2019 14 4 Appendix 21 Copyright © 2018 DIP Corporation, All Rights Reserved. 1 CONTENTS 1 FY2019 Q1 Summary of Consolidated Results We have shifted to consolidated accounts from the FY2017 Q3 consolidated cumulative period. Although we do not conduct a comparative analysis with the cumulative period of the previous quarter, as reference, the figures and change rates compared with individual accounts for the same quarter of the previous year are stated. Copyright © 2018 DIP Corporation, All Rights Reserved. 2 FY2019 Q1 Summary of Consolidated Results Both sales and operating profit remained strong. Market conditions ・The effective job offering ratio is the highest level in about 44 years and the job trends are strong. ・The unemployment rate is the lowest level for the first time in 25 years and 7 months. Business environment of Personnel Recruiting Services Division ・Contract number of companies · Number of job advertisement postings increased in Baitoru · Baitoru NEXT · Hatarako.net , and sales growth continues. Operating profit is also steady. ・In Nurse de Hatarako maintains a surplus, despite a decrease in revenue due to proper allocation of personnel in the previous term. Copyright © 2018 DIP Corporation, All Rights Reserved. 3 ■Effective job opening ratio(adjusted due to seasonal reasons)/Unemploymentratio seasonal due to ■Effective opening job ratio(adjusted ■Labor Market related according toaccordingemployment relatedMarket data/ adjustment)■Labor ratio(no Effective applicationopening-to (ratio) Market environment: Market environment: Job trend market Copyright © 2018 DIP Corporation, All Rights Reserved.All Rights 2018 © Corporation, DIP Copyright Compiled Compiled from Labor of released Ministry Health, data by and the Welfare (ratio) 0.00 0.50 1.00 1.50 2.00 0.00 0.50 1.00 1.50 2.00 2.50 Jan. Jan. 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 May. May. Tight situation of human resources supplyand demandis continuing Sep. Sep. Jan. Jan. isthe lowesttheunemployment firstlevel The for rate 7timemonths. 25andyears in May. May. Sep. Sep. Jan. Jan. effective after isThe thethat highestas level offeringjob ratio 44years. May. May. Sep. Sep. Jan. Jan. May. May. Sep. Sep. Jan. Jan. May. May. Sep. ratio opening job Effective Total Sep. Jan. Jan. May. May. Sep. Sep. Jan. Full Time Jan. May. May. (The effective job offering ratio · The unemployment rate) Sep. Sep. Jan. Jan. May. Part Time May. Sep. rate Unemployment Sep. Jan. May. Jan. Sep. May. Jan. Sep. May. Jan. Sep. May. Jan. Sep. May. Jan. Sep. May. Jan. Sep. (JAN.2005 May. Jan. 1.60(May) (JAN.2005 Sep. May. 2.2(May) Jan. Sep. May. Jan. ~May 2018) ~May Sep. May. Jan. 2018) ~May Sep. 1.62 1.03 May. 1.47 Jan. (%) May. 6.0 5.0 4.0 3.0 2.0 1.0 0.0 (May 11 4 ) FY2019 Q1 Summary of Consolidated Results 【 Sales 】 【 Operating Profit】 (Yen in Million) (Yen in Million) FY2018 FY2019 Increase Ratio FY2018 FY2019 Increase Ratio 1Q 9,815 10,812 997 +10.2% 1Q 2,585 3,169 584 +22.6% FY2017FY2018 FY2019 10,812 9,815 10,000 9,981 8,961 8,778 9,303 4,000 8,462 8,188 7,749 3,169 3,077 2,585 2,484 2,652 2,427 2,390 2,208 2,093 5,000 2,000 0 0 第1四半期Q1 第2四半期 Q2 第3四半期 Q3 第4四半期 Q4 第1四半期Q1 第2四半期 Q2 第3四半期 Q3 第4四半期 Q4 (Yen in Million) (Yen in Million) Copyright © 2018 DIP Corporation, All Rights Reserved. 5 FY2019 Q1 Summary of Consolidated Results 【PL Summary】 FY2018 FY2019 Comparison to the last year Yen in Million Q1 Q1 Result Ratio Result Ratio Ratio Increase Sales 9,815 100.0% 10,812 100.0% 997 10.2% Cost 567 5.8% 659 6.1% 91 16.2% Strengthened sales force Gross Profit 9,247 94.2% 10,153 93.9% 905 9.8% Personnel expenses increased following Selling, General & 6,662 67.9% 6,983 64.6% 320 4.8% the addition of 296 Administrative Expenses new employees. (Note1) Personnel 2,680 27.3% 2,836 26.2% 156 5.8% (Note2) Advertising Cost 2,968 30.2% 3,094 28.6% 125 4.2% Strengthen the Promotion 2.7% 2.5% 2.6% Land & Office Rental 265 272 6 Positive investment On TV Commercials, Others 748 7.7% 780 7.2% 32 4.3% Web ads. Operating Profit 2,585 26.3% 3,169 29.3% 584 22.6% Ordinary Profit 2,588 26.4% 3,148 29.1% 560 21.6% Net income attributable to(Note3) 18.4% 19.9% 18.9% parent company shareholders 1,810 2,152 341 (Note1) Personnel expenses include salaries, welfare benefits, etc., as well as recruitment related expenses and educational expenses. (Note2)Advertising expenses include sales promotion expenses (Note3)FY 2018Q1 is net income FY 2019 Q1 is net income attributable to the parent company Copyright © 2018 DIP Corporation, All Rights Reserved. 6 CONTENTS 2 FY2019 Q1 Business Performance From the FY2019 Q1 consolidated accounting period, we changed the classification of reportable segments Copyright © 2018 DIP Corporation, All Rights Reserved. 7 Baitoru Operating Results (Yen in Million) 【 Sales 】 FY2018 FY2019 Increase Ratio Q1 7,683 8,565 881 +11.5% ※Include sales of Bitoru NEXT FY2017 FY2018 FY2019 10,000 8,565 8,194 7,683 7,453 7,227 7,142 6,781 6,496 6,194 5,000 0 (Yen in Million) 第1四半期Q1 第2四半期 Q2 第3四半期 Q3 第4四半期Q4 Average contract/month Average number of employment ads FY2018 Q1 FY2019 Q1 FY2018 Q1 FY2019 Q1 12,494 +5.8% 13,222 455,564ads +37.4% 625,979ads companies companies ※ As for the number of ads, we have changed from the FT2019 to the same notation as the number posted on the Baitoru website. Copyright © 2018 DIP Corporation, All Rights Reserved. 8 Baitoru NEXT Operating Results (Yen in Million) 【 Sales 】 FY2018 FY2019 Increase Ratio Q1 733 1,017 284 +38.7% FY2017 FY2018 FY2019 1,017 991 1,000 922 813 733 663 676 535 500 387 0 第1四半期Q1 第2四半期 Q2 第3四半期 Q3 第4四半期 Q4 Copyright © 2018 DIP Corporation, All Rights Reserved. 9 Hatarako.net Operating Results (Yen in Million) 【 Sales 】 FY2018 FY2019 Increase Ratio Q1 1,240 1,682 442 +35.6% FY2017 FY2018 FY2019 2,000 1,682 1,572 1,434 1,240 1,278 1,063 961 940 979 1,000 0 (Yen in Million) 第1四半期Q1 第2四半期 Q2 第3四半期 Q3 第4四半期 Q4 Average contract/month Average number of employment ads FY2018 Q1 FY2019 Q1 FY2018 Q1 FY2019 Q1 +87.3% 1,694 +57.0% 2,660 61,921ads 115,963ads companies companies Non-dispatch +109.5% ads ads 6,490ads 13,594 Copyright © 2018 DIP Corporation, All Rights Reserved. 10 Operating Results for Nurse de Hatarako (Yen in Million) 【 Sales 】 FY2018 FY2019 Increase Ratio Q1 887 558 -329 -37.1% FY2017 FY2018 FY2019 1,000 887 723 650 608 611 558 500 452 348 270 0 Q1 Q2 Q3 Q4 (Yen in Million) 第1四半期 第2四半期 第3四半期 第4四半期 With proper placement of personnel (already implemented in FY2018) Maintaining a surplus despite lower sales Copyright © 2018 DIP Corporation, All Rights Reserved. 11 Earnings and Dividend Forecast for FY2019 Both in the middle and the end of the term No change in earnings and dividend forecast ■ Earnings Forecast 【Sales】 【Operating Profit】 【 Net income attributable to the parent company 】 1H 2H YoY+11.3% 38,062 42,360 40,000 YoY+7.7% 10,000 11,630 YoY+5.7% 21,900 10,799 7,960 19,285 7,531 10,000 20,000 6,470 5,729 4,029 4,440 5,000 5,000 18,777 20,460 5,070 5,160 3,502 3,520 YoY 1.7% 0 YoY 9.0% 0 0 YoY 0.5% 第21期(2018年2月期) 第22期(2019年2月期) (Yen in Million)第21期(2018年2月期) 第22期(2019年2月期) (Yen in Million)第21期(2018FY 2018年2月期) 第22期(2019年2月期)FY 2019 (Yen in Million) FY 2018 FY 2019 FY 2018 FY 2019 ■ 1Q Performance YoY 10.2% YoY 22.6% YoY 18.9% Copyright © 2018 DIP Corporation, All Rights Reserved. 12 On acquisition of treasury stock For the purpose of improving capital efficiency and enriching the return of profits to shareholders Acquisition of treasury stock Content of share repurchase resolution( April 25, 2018) Total number of shares that can be acquired :Upper limit 900,000 shares ( Percentage of outstanding shares excluding treasury shares :1.56% ) Total acquisition price of shares :Maximum 2 billion yen Acquisition period :April 26, 2018- July 31, 2018 Acquisition status as of the end of June, 2018 Total number of shares acquired 305,000 shares ( Progress rate 33.89%) Total acquisition price 811,703,100Yen( Progress rate 40.59%) 13 Copyright © 2018 DIP Corporation, All Rights Reserved. CONTENTS 3 Q1 Summary and Strategies for FY2019 Copyright © 2018 DIP Corporation, All Rights Reserved. 14 Media Power: Effects of the Job Experience/Workplace Visit Features The application efficiency was improved significantly with the job experience/workplace visit application features Screen image of a job list Screen image of job detail Transition ratio from the Completion ratio of job list pages to job applications in the job detail pages detail pages When compared to the jobs When compared to the with no experience/visit jobs with no features… experience/visit features… 100.1% 137.9% Effects as initially predicted Copyright © 2018 DIP Corporation, All Rights Reserved.