Overseas IR November 2007 Table of Contents
Total Page:16
File Type:pdf, Size:1020Kb
Sapporo Namba Shinjuku Store Store West Store Securities Code: 3048 A B C Kashiwa Fujisawa Yurakucho Store Store Store D E F Tenjin Ikebukuro Nagoya Sta. Build. No.2 Main Store West Store G H I Overseas IR November 2007 Table of Contents 1. Corporate Summary 2. Our Strength 3. Growth Strategy 4. Reference 1 1. Corporate Summary 2 The only Listed “Urban-type” Major Volume Retailer “A complex of specialty stores that are committed to Visions bringing you amore affluent lifestyle” Position in the The 4th largest electric retailer with a market share of 6.4% industry Classifications of electronic The only one listed company of “Urban type” electronic retailer retailers Branch policy “Urban-type” x “Station front” x “Large scale” Both Net sales (JPY 542.2 billion) and Operating income (JPY Performance 16.0 billion) hit a record-high for the year ended Aug 2007 3 Position in the Electric Retailer Market The 4th place in the industry for FY2007 (5th in 2006) Yamada Denki 14,436 <Market Share> Edion 7,402 Yamada Denki 17.0% Yodobashi Camera (unlisted) 6,462 その他 Edion 8.7% Bic Camera 5,422 41.3% Yodobashi Camera 7.6% Kojima 5,013 (unlisted) Bic Camera 6.4% K’s HD 4,311 Kojima 5.9% Best Denki 3,689 K’s HD 5.1% Best Denki 4.3% Joshin Denki 3,157 Johshin Denki 3.7% (JPY in 100 million) 0 3,000 6,000 9,000 12,000 15,000 Source: Created by us based on the documents disclosed by each company (Nikkei MJ for Yodobashi Camera) Note: Feb/07 consolidated results for Best Denki, Mar/06 non-consolidated results for Yodobashi Camera, Aug/07 consolidated forecasts for us, Mar/07 consolidated results for others The shares were calculated based on the fiscal ’04 industry market scale of approximately 8.5 trillion yen (source: RIC). 4 Bic Camera = “Urban-type” Large / high Yodobashi Camera 1. Sales per store UrbanUrban 2. Sales per floor space 3. Number of typetype items in inventory Yamada Denki Edion 4. Inventory turnover K’sHD Kojima Joshin Best Denki Denki ビックカメラ SuburbanSuburbanビックカメラ typetype ビックカメラ YD社 YD社 YD社 Small Sales floor space per store Large 5 Products of “Urban-type” Urban-type Suburban- Bic type Camera YD Sales Sales Home composition composition Electronics 15.9% < 36.7% ■The sales composition of the products such as white goods is low - Demonstration sale - Promotion of energy saving products Information and Sales Sales communication composition > composition machinery 40.2% 27.6% ■The sales composition of a product needing the product explanation such as a PC or the digital camera is high Source: Bic Camera (based on disclosed information) Bic Camera (07/8 non-consolidated), YD (07/3 consolidated) 6 Expanding “Urban-type Market” Increasing urban population Metropolis total (2005 & 2006) Approx. +250,000 people Sapporo Fukuoka Osaka Tokyo 23 ward (2005 & 2006) Approx. +147,000 people Chiba Nagoya Yokohama Kawasaki 7 Large Scale Stores Located at the Populated Area “Urban type” x “Station front” x “Large scale” under alliance with JR 25 Bic Camera stores Ikebukuro Main Store H ■Sapporo Store A Ikebukuro East General Build. Ikebukuro East Camera Build. Ikebukuro West Store PC Build. Ikebukuro Main Store Niigata Station Store (tentative name) Feb 09 (Scheduled) ■Yurakucho Store F (Main Build./Annex) ■Shinjuku West Store C Shinjuku East Store Takasaki East Exit Store ■JR Kyoto Station Store Shibuya East Store Aug 07, sales floor area: approx. 8,000㎡ ■Tachikawa Store Shibuya Hachiko Store Okayama Station Store (tentative name) Nov 07 (Scheduled), sales floor area: approx. 8,200㎡ ■Lazona Kawasaki Store Yokohama West Store Kashiwa Store D ■Fujisawa Store E PC Build. Yokohama Station Store Omiya West Sogo Store ■Namba Store B Shin-Yokohama Store Tenjin Build. No.1 Hamamatsu Store (tentative name) Tenjin Build. No.2 G ■Nagoya Sta. West Store I Autumn 08 (Scheduled) New Shin Yokohama Station Store (tentative name) Mar 08 (Scheduled), ■ represents the stores whose floor space is 10,000㎡ or more sales floor area: approx. 7,000㎡ 8 Financial Highlights (Consolidated) Operating Income / Net Income / Sales Operating Income margin Net Income Margin JPY in billion JPY in billion JPY in billion (%) (%) 6,000600 20020 4.0 2.5 3.6 12012 3.0 2.1 5,000500 3.1 2 15 150 2.5 3.0 909 4,000400 2.4 1.5 1.5 1.3 5,890589 18518.5 3,000300 10010 2.0 5,422542 606 12.4124 1 15715.7 16016.0 2,000200 4,804480 0.7 0.7 12012.0 Forecast Forecast Forecast 8.081 4,331433 505 1.0 9.898 303 6.060 4,067407 0.5 1,000100 2.727 3.030 0 0 0.0 0 0 '04.8 '05.8 '06.8 '07.8 '08.8 '04.8 '05.8 '06.8 '07.8 '08.8 '04.8 '05.8 '06.8 '07.8 '08.8 9 2. Our Strength 10 “Urban type” x “Station front” x “Large scale” Flagship store – Yurakucho Store - 11 Our Strengths Corporate A - The most vigorous company for 6 consecutive years! Image - Over 750 “qualified” expert sales persons (leaders) B Expertise - About 700,000 items - Proposal-based store making with bodily sensation and experience Store Making C regarded as important Know-how - Setting various consultation counters - Per store sales, per 1m2 sales , inventory turnover D Efficiency - Stable customer attractions (even weekends or bad weather) 12 A. Corporate Image Superiority of Recruiting Popularity ranking where job-seekers want to work 1st Bic Camera 257th 2nd YC 354th 3rd YD 902th (Surveyed by Recruit Co., Ltd.) ■ Recruiting according to 19 types of job “Vigorous company” No.1 for 6 consecutive years Proactive in self- [Business people research] [General individual research] Strong sales ability transformation st st st st 1/1,178 companies1/ 1,178 companies1/1,178 companies1/1,178 companies 2nd: Kirin Brewery 2nd: Nissan Motor 2nd: Yodobashi Camera nd 2 : Coca-Cola Japan 3rd: Toyota Motor 3rd: Yodobashi Camera 3rd: Fuji TV Network 3rd: Fuji TV Network Nihon Keizai Shinbun (Nikkei) ■ High brand awareness “Corporate Image Research” Year 2006 Ranking 13 B. Expertise Training program focusing on an acquisition of expertise “Qualified” expert advisors Well-developed ■ More than 750 “qualified” expert advisors training program to (our unique system) develop expertise StudyStudy meetingmeeting byby 3rd party license recommended employeesemployees “qualified”“qualified” asas anan expertexpert advisoradvisor ■ More than 400 Home appliances advisors Association for Electric Home Appliances ■ Approx. 70 photo masters (3rd grade – EX) International Culture College Association Photo Master License Exam. Committee ■ Other qualifications (Dot Com Master, bicycle mechanic, etc. ) Study meeting 14 C. Store Making Know-how Clock Large projector corner PC consulting counter Camera Cooking electronics demonstration corner Digital broadcasting consulting corner Head Phone Demonstration and comparison corner Stocking up corner Store making with bodily sensation Enriching various consultation About 700,000 items and experience regarded as counters important 15 D. Efficiency Highly efficient “Urban type” stores Net sales per store under direct management Net sales per 1㎡ Bic Camera 17,856 Bic Camera 3,081 YD 4,780 YD 1,383 E 2,039 (JPY in million) E 802 (JPY in thousand) 0 5,000 10,000 15,000 20,000 0800 1,6002,400 3,200 Source: Calculated by us based on the documents disclosed by each company Note: Aug/06 non-consolidated results for us, Mar/07 non-consolidated results for YD, Mar/07 consolidated results for E High inventory turnover Annual inventory turnover Bic Camera 21.4 YD 11.0 21.4 Times * E 8.3 GMS IY 19.1 (times) 0 5 10 15 20 25 Source: Calculated from the documents disclosed by each company Note: Aug/06 non-consolidated results for us, Mar/07 non-consolidated results for YD, Mar/07 consolidated results for E, Feb/07 non-consolidated results for major * <Sales /( (Inventory at beginning of the period +Inventory at end of the period) *1/2)> supermarket operator IY 16 3. Growth Strategy 17 Continuous Growth Strategy We continue to grow capitalizing on our strengths of “Urban type” “Urban-type” x “Station front” x “Large scale” A Store Opening About 2 stores per year B Renewal Working out in a planned way C Internet Shopping Renewal of websites, common use of points with actual stores Starting TV shopping in December 2007 mainly through D TV Shopping subsidiary Nippon BS Broadcasting Corporation E House Cards “Bic Camera Suica Card”, tied-up with East Japan Railway F Business Alliance Business alliance with Edion and Best Denki 18 A. Store Opening Store Opening Plans ~ Oct 2007 ■Aug 2007 JR Kyoto Station Store (Sales floor area: 8,000㎡) In store ticket gate ■Sep 2007 Sofmap Akihabara directed to platforms New Main Building ㎡ (Sales floor area: 4,600 ) JR Kyoto Station Store Nov 2007 ~ ■Nov 2007 Okayama Station Store (Sales floor area: 8,200㎡) ■Aug 2008 New Shin Yokohama Station Store Okayama Station Store (Sales floor area: 2,000㎡⇒7,000㎡ ) ■Autumn in 2008 JR Hamamatsu Station Store * (Engaged floor area: 4,500㎡) ■Feb 2009 JR Niigata Station Store * New Shin Yokohama (Engaged floor area: 10,600㎡) * Tentative name Station Store 19 B. Renewal Renewal of Ikebukuro Main store (June 29th). A drastic increase in the capability to attract customers (approx. 20% increase for July through September) Details of the renewal - Expansion of the sales floor area for home electronics - Establishment of a “demonstration room equipped with high-end audio-visual equipment - Has started to deal in personal computer- related products - Renovation of interior and exterior of the building (Addition of escalators/change in exterior design, etc.) Other existing stores will carry out a renewal to enhance their competitiveness 20 C.