Autobacs Seven : Presentation Materials （Results of FY March 2017 Q1）(PDF)
July 29, 2016 at 09:48 pm EDT
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【Reference】
Results for the Three Months
ended June 30, 2016
July 29, 2016
AUTOBACS SEVEN CO., LTD.
Decrease in net sales and income: Gross profit fell due to a decline in sales. Selling, general,
and administrative expenses were within the plan
Sales of vehicle interior accessories and other merchandise and car navigation systems decreased, partly affected by the sluggish sales of light motor vehicles. Gross profit margin declined, due mainly to a drop in gross margin associated with a decrease in the number of tires sold and investment adjustment of car goods. SG&A expenses were within the plan, attributable to the efficient use of advertising expenses, while operating income finished below the plan and below the actual results of the same period of the previous year.
Q1 FY March 2017 Consolidated P/L
(Billion Yen)
Three months ended June 30, 2016
Three months ended June 30, 2015
Actual result
% of Sales
YoY change ratio
Actual result
YoY change ratio
Net sales
47.5
－
-3.1%
49.0
+1.3%
Gross margin
14.8
31.2%
-5.4%
15.7
+5.9%
SG&A
14.6
30.9%
-0.4%
14.7
-1.8%
Operating income
0.1
0.3%
-81.4%
0.9
－
Non-operating Income/expenses
0.3
0.8%
+1.3%
0.3
-39.6%
Ordinary income
0.5
1.1%
-59.2%
1.3
+229.1%
Extraordinary gains/ losses
－
－
－
－
－
Profit attributable to owners of parent
0.2
0.4%
-63.9%
0.5
+272.1%
1
Amounts are rounded down to the nearest hundred million yen.
% of Net Sales and YoY comparisons are calculated in million yen.
Financial Forecast after Q2
2nd Quarter
Business environment for Q2 remains the same as the environment that continued up until Q1.
Strengthen marketing initiatives and improve profitability
3rd Quarter and 4th quarter
Expect recovery trend in automobile demands such as tires and statutory inspection services from Q3
The forecast for the sales increase before the consumption tax hike which was under the plan for the fourth quarter has been revised downward
In Q3, the plan for the second half of the fiscal year announced at the beginning of the fiscal year shall be achieved by strengthening marketing initiatives, improving the gross margin, and reducing costs.
Revenue forecasts for each quarter of the fiscal year ending March 2017
(Comparison with the plan announced at the beginning of the fiscal year)
Q2
Q3
Q4
Forecast for sales and income
Continuation of business environment from before Q1
Marketing initiatives and exchange of store inventory improve sales
‐Strengthening of tire and statutory inspection services sales,
and marketing initiatives
‐Improvement of gross margin, efficient use of costs
Decrease of portion equivalent to last-minute surge in demand in association with the tax hike
Strengthening of statutory inspection/car sales
Respond by improving the gross margin and reducing costs
2
Analysis of Operating Income by Segment
Domestic Retail sales
Total store basis: -3.6% Same store basis: -5.2%
Operating income (Billion yen)
Amount
Major drivers of variance (yoy)
Segment
Non-consolidated
0.59
-1.1BY
Net sales -2.2BY (-5.8%)
・Decrease in wholesale sales resulting from a decline in sales at stores
Gross profit -0.88BY(GM18.6% (last year 19.8%))
・Decline in gross margin due to a decrease in the sales of tires and wheels.
SG&A +0.22BY
・Increase in costs due to the renovation of the Logistics Center
Domestic store subsidiaries
-0.65
+0.05BY
Net sales：-0.48BY (-3.0%) GPM improved +0.2pt YoY
・Improvement in the gross margin, attributable to initiatives such as the improvement of inventory efficiency
・Selling, general, and administrative expenses were reduced, particularly personnel expenses and selling expenses
Overseas subsidiaries
-0.04
-0.06BY
Subsidiaries for car goods supply and other & Subsidiaries for supporting function
0.11
+0.05BY
Segment total
0.01
-1.07BY
Consolidation Adjustments
+0.16
Consolidated
0.18
-0.78BY
Note: Figures in parentheses are negative.
Amounts are rounded down. 3
Autobacs Seven Co. Ltd. published this content on 30 July 2016 and is solely responsible for the information contained herein. Distributed by Public, unedited and unaltered, on 30 July 2016 01:48:07 UTC.
Autobacs Seven Co Ltd is a Japan-based company primarily engaged in the retail and wholesale of automobile products, the purchase and sale of vehicles, the provision of vehicle inspection and maintenance services, as well as the loan credit business. The Company operates in four segments. The Domestic Autobacs segment is engaged in the wholesale of car products and the leasing of store facilities. The Overseas segment is engaged in the sales of car accessories, the provision of installation service and the maintenance of cars to general consumers. The Car, Dealers and B-to-B segment is engaged in the sales of imported cars, the purchase of used cars and the sales of the cars to second hand car dealers and others. The Others segment is engaged in the leasing business to domestic franchise chain affiliates.
AUTOBACS SEVEN CO., LTD. 
