(Translation for reference only)
In the event of any discrepancy between this translated document
and the original Japanese document the original document shall prevail.
Brief Statement of the First Quarter Financial Results for the Fiscal Year Ending March 2021
[Japanese GAAP (Consolidated)]
July 30, 2020
Forward-looking Statement
The statements and figures contained in this Brief Statement of the First Quarter Financial Results for the fiscal year ending March 2021 (the "Brief Statement") with respect to ACOM CO., LTD. ("ACOM")'s plans and strategies and other statements that are not historical facts are forward-looking statements about the future performance of ACOM which are based on management's assumptions and beliefs in light of the information currently available to it and involve risks and uncertainties. Actual results may differ from those in the forward-looking statements as a result of various factors. Potential risks and uncertainties include, but not limited to, general economic conditions in ACOM's market and changes in the size of the overall market for consumer loans, the rate of default by customers, the fluctuations in number of cases of claims from and the amount paid to customers who claim us to reimburse the portion of interest in excess of the interest ceiling as specified in the Interest Rate Restriction Act, the level of interest rates paid on ACOM's debt, and legal limits on interest rates charged by ACOM.
Name of the company:
Stock market:
Code Number:
Location of the head office:
URL:
Position of the representative:
Name:
Position of the person in charge:
Name:
Telephone Number:
Registration date of quarterly securities report:
Commencement date of dividend payment:
Quarterly material to supplement the financial results:
Quarterly financial results conference:
ACOM CO., LTD. ("ACOM" or "the Company")
First Section of Tokyo Stock Exchange
8572
Tokyo
https://www.acom.co.jp/corp/english/ir/
Chairman, President & Chief Executive Officer
Shigeyoshi Kinoshita
Chief PR & IR Officer
Takashi Okamoto
-
5533-0861August 14, 2020
-
Applicable
Applicable (For domestic institutional investors and financial analysts)
Note: 1. All amounts under minimum units appearing in each of the tables have been disregarded throughout this brief statement and the annexed materials.
Note: 2. The figures in percentages show the year-on-year change from previous first quarter.
1. Consolidated Business Results for the First Quarter Accounting Period (from April 1, 2020, to June 30, 2020)
(1) Consolidated Business Results (Accumulated)
Profit Attributable to | |||||||||||||||||||
Operating Revenue | Operating Profit | Ordinary Profit | Owners of Parent | ||||||||||||||||
(First Quarter) | |||||||||||||||||||
(Millions of yen) | yoy% | (Millions of yen) | yoy% | (Millions of yen) | yoy% | (Millions of yen) | yoy% | ||||||||||||
1Q for FY March 2021 | 67,474 | -3.2 | 25,796 | 3.4 | 25,926 | 7.0 | 21,611 | -19.0 | |||||||||||
1Q for FY March 2020 | 69,735 | 2.5 | 24,959 | 8.2 | 24,231 | 4.4 | 26,670 | 40.6 | |||||||||||
[Note] Comprehensive income | |||||||||||||||||||
1Q for FY March 2021: 15,436 million yen [-51.2%] | |||||||||||||||||||
1Q for FY March 2020: 31,646 million yen | [72.8%] | ||||||||||||||||||
Basic Earnings | Diluted Earnings | ||||||||||||||||||
per Share | per Share | ||||||||||||||||||
(First Quarter) | (First Quarter) | ||||||||||||||||||
(Yen) | (Yen) | ||||||||||||||||||
1Q for FY March 2021 | 13.80 | - | |||||||||||||||||
1Q for FY March 2020 | 17.02 | - | |||||||||||||||||
(2) Consolidated Financial Position | |||||||||||||||||||
Total Assets | Net Assets | Ratio of | |||||||||||||||||
Shareholders' Equity | |||||||||||||||||||
(Millions of yen) | (Millions of yen) | % | |||||||||||||||||
1Q for FY March 2021 | 1,231,768 | 453,283 | 34.8 | ||||||||||||||||
FY March 2020 (Annual) | 1,282,389 | 442,496 | 32.4 | ||||||||||||||||
Shareholders' Equity: | |||||||||||||||||||
1Q for FY March 2021: 428,562 million yen | FY March 2020: 415,332 million yen | ||||||||||||||||||
2. Dividend Status | |||||||||||||||||||
Dividend per Share (Yen) | |||||||||||||||||||
First Quarter | Second Quarter | Third Quarter | Fourth Quarter | Annual | |||||||||||||||
FY March 2020 | -- | 2.00 | -- | 2.00 | 4.00 | ||||||||||||||
FY March 2021 | -- | ||||||||||||||||||
FY March 2021 (Forecast) | -- | -- | -- | -- |
Dividend forecast for the fiscal year ending March 2021 is undetermined since earnings forecast is under examination.
3. Forecasts for the Fiscal Year Ending March 31, 2021 (from April 1, 2020, to March 31, 2021)
The environment surrounding the company Group is uncertain due to factors including the spread of new coronavirus
infections, which are likely to slow economic activity and prolong the deterioration of the global economy.
The company Group is engaged within and outside Japan, making it difficult to make a reasonable projection of its financial performance at this point. Therefore, the outlook of the Group's consolidated financial performance for the fiscal year ending March 2021 is undetermined at this point.
The Company will promptly announce the earnings forecast once determination of forecast becomes possible.
(Note)
- Change in Important Subsidiaries in the Three Months ended June 30, 2020: None (Change in scope of consolidation)
- Adoption of Accounting Methods Used Specifically for Quarterly Consolidated Financial Statements: None
- Changes in Accounting Policy, Accounting Estimates and Restatement
- Change in accounting policy due to revision of accounting standards, etc.: None
- Changes other than A): None
- Change in accounting estimates: None
- Restatement: None
- Outstanding shares (common shares)
- Number of shares outstanding (including treasury stock)
First Quarter of FY March 2021: | 1,596,282,800 shares | FY March 2020: | 1,596,282,800 shares |
B) Number of treasury stock at the end of period | |||
First Quarter of FY March 2021: | 29,668,672 shares | FY March 2020: | 29,668,632 shares |
C) Number of average shares outstanding (accumulated quarterly consolidated period) | |||
First Quarter of FY March 2021: | 1,566,614,160 shares | First Quarter of FY March 2020: | 1,566,614,208 shares |
(Note) Brief Statement of Quarterly financial results is not subject to quarterly review procedures.
(Note) Explanation regarding proper use of the business forecast and other notes (Notes to Forward-looking Statement)
The statements about the future performance of ACOM are based on management's assumptions and beliefs in light of the information currently available to it. These statements do not guarantee our future performance: actual results may differ from those in the forward-looking statements as a result of various factors. Please refer to "(3) Qualitative Information on the Forecasts for the Consolidated Business Results" of "1. Quarterly Qualitative Information on Business Results" on page 3 for conditions which are basis of forecasts and notes for using the forecast.
(Accessing financial results materials and archive of financial results conference)
ACOM plans to hold the first quarter financial results conference (conference call for domestic institutional investors and financial analysts) on July 30, 2020. The materials for the conference call will be available at ACOM's website promptly after disclosure of financial results.
Contents
- Quarterly Qualitative Information on Business Results:························································ P2
- Qualitative Information on Business Results: ······························································· P2
- Qualitative Information on Financial Position: ······························································· P2
- Qualitative Information on the Forecasts for the Consolidated Business Results: ················· P2
- Quarterly Consolidated Financial Statements and Major Notes:············································· P3
- Quarterly Consolidated Balance Sheet: ······································································ P3
-
Quarterly Consolidated Statement of Income and
Quarterly Consolidated Statement of Comprehensive Income:········································· P5 - Notes on Quarterly Consolidated Financial Statements: ················································· P8 (Notes on Going-concern Assumption): ······································································· P8 (Notes in Case of any Significant Changes in the Amount of Shareholders' Equity): ·············· P8
- [Reference] Quarterly Non-consolidated Financial Statements: ············································· P9
- [Reference] Quarterly Non-consolidated Balance Sheet: ················································ P9
- [Reference] Quarterly Non-consolidated Statement of Income: ······································ P10
- 1 -
1. Quarterly Qualitative Information on Business Results
(1) Qualitative Information on Business Results
During the three months ended June 30, 2020, the Japanese economy was harshly restrained. This was attributable to expanded voluntary restrictions in activities outside of the home and official requests for voluntary restraints in operating activities in some business sectors due to the impact from the spread of COVID-19. Meanwhile, overseas economy was harshly restrained in similar manner. Local governments imposed curfews under emergency declarations, limitations in activities, and city-wide lockdowns, though situations differ from country to country.
In such an environment, operation bases of the Company Group were forced to suspend businesses and reduce operating hours. However, the Company Group will continue endeavoring to collect information regarding spread of COVID-19 and provide flexible and courteous support for repayment, etc., while paying due attention to the safety of employees.
Although requests for interest repayment have steadily decreased, future trends need to be closely monitored on an ongoing basis, as requests for interest repayment are susceptible to the impacts of changes in the external environment.
Consolidated operating revenue for the three months ended June 30, 2020, decreased to 67,474 million yen (down 3.2% year-on-year), primarily due to the effect of the exclusion of PT. Bank Nusantara Parahyangan, Tbk. from the scope of consolidation upon sales of all its shares held by the Company in April 2019. On the other hand, operating expenses decreased to 41,677 million yen (down 6.9% year-on-year), mainly due to a decrease in advertising expenses resulting from curtailed advertisement for gathering and acquiring new customers associated with the partial reduction in operating activities in response to commuting controls requested by the government. As a result, operating profit increased to 25,796 million yen (up 3.4% year-on-year) and ordinary profit increased to 25,926 million yen (up 7.0% year-on-year). Profit attributable to owners of parent recorded a significant year-on-year decrease to 21,611 million yen (down 19.0% year-on-year) as the three months ended June 30, 2019 included posting of the gain on sales of stocks, etc. of PT. Bank Nusantara Parahyangan, Tbk.
(2) Qualitative Information on Financial Position
Compared with the end of the prior fiscal year, total assets decreased by 50,620 million yen and net assets increased by 10,786 million yen as of June 30, 2020. Details of changes in assets, liabilities and net assets are as follows:
(Assets)
Current assets decreased by 49,645 million yen and noncurrent assets decreased by 975 million yen. Consequently, total assets decreased by 50,620 million yen. The breakdown of major changes in current assets is as follows: accounts receivable - operating loans (down 42,953 million yen), cash and deposits (down 5,416 million yen). The breakdown of major decreases in noncurrent assets is as follows: goodwill (down 203 million yen) and net defined benefit asset (down 156 million yen).
(Liabilities)
With regard to the liabilities account, changes in current and noncurrent liabilities were a decrease of 4,453 million yen and a decrease of 16,877 million yen, respectively, resulting in a decrease of 6,147 million yen in total liabilities. The breakdown of major decreases in liabilities includes: the outstanding balance of funds procured mainly in the form of loans and bonds payable (down 46,497 million yen), and provision for loss on interest repayment (down 6,854 million yen).
(Net assets)
In terms of net assets, shareholders' equity increased by 18,478 million yen mainly due to an increase in retained earnings, accumulated other comprehensive income decreased by 5,239 million yen due to a decrease in foreign currency translation adjustment, and non-controlling interests decreased by 2,452 million yen. As a result, total net assets increased by 10,786 million yen, and the shareholders' equity ratio increased by 2.4 percentage points to 34.8%.
(3) Qualitative Information on the Forecasts for the Consolidated Business Results
As the Company has announced on May 14, 2020, it has not yet set the forecast, given the difficulty of making a reasonable business performance forecast under the impacts of the spread of COVID-19. The Company will promptly announce the earnings forecast once determination of forecast becomes possible.
- 2 -
2. Quarterly Consolidated Financial Statements and Major Notes (1) Quarterly Consolidated Balance Sheet
(Millions of yen) | ||
Prior fiscal year | Current first quarter | |
(As of March 31, 2020) | (As of June 30, 2020) | |
Assets | ||
Current assets | ||
Cash and deposits | 82,545 | 77,129 |
Accounts receivable - operating loans | 1,041,711 | 998,757 |
Accounts receivable - installment | 75,726 | 75,854 |
Purchased receivables | 9,188 | 8,679 |
Raw materials and supplies | 42 | 52 |
Other | 87,162 | 86,193 |
Allowance for doubtful accounts | -82,974 | -82,910 |
Total current assets | 1,213,402 | 1,163,757 |
Noncurrent assets | ||
Property, plant and equipment | ||
Buildings and structures, net | 3,516 | 3,422 |
Equipment, net | 7,606 | 7,651 |
Land | 3,123 | 3,123 |
Other, net | 910 | 796 |
Total property, plant and equipment | 15,156 | 14,993 |
Intangible assets | ||
Goodwill | 2,436 | 2,232 |
Software | 5,056 | 5,046 |
Other | 49 | 49 |
Total intangible assets | 7,542 | 7,328 |
Investments and other assets | ||
Investment securities | 1,165 | 1,181 |
Net defined benefit asset | 2,379 | 2,223 |
Deferred tax assets | 33,835 | 33,705 |
Guarantee deposits | 5,041 | 4,898 |
Other | 4,839 | 4,590 |
Allowance for doubtful accounts | -973 | -911 |
Total investments and other assets | 46,287 | 45,689 |
Total noncurrent assets | 68,986 | 68,011 |
Total assets | 1,282,389 | 1,231,768 |
- 3 -
(Millions of yen) | ||
Prior fiscal year | Current first quarter | |
(As of March 31, 2020) | (As of June 30, 2020) | |
Liabilities | ||
Current liabilities | ||
Notes and accounts payable-trade | 682 | 610 |
Short-term loans payable | 15,330 | 13,181 |
Commercial papers | 29,998 | 11,999 |
Current portion of long-term loans payable | 91,048 | 81,158 |
Current portion of bonds | 48,026 | 41,360 |
Income taxes payable | 7,888 | 5,527 |
Provision for loss on guarantees | 9,475 | 8,276 |
Asset retirement obligations | 32 | 45 |
Deferred installment income | 36 | 29 |
Other | 14,173 | 9,974 |
Total current liabilities | 216,694 | 172,164 |
Noncurrent liabilities | ||
Bonds payable | 196,300 | 181,730 |
Long-term loans payable | 333,388 | 338,166 |
Provision for directors' retirement benefits | 28 | - |
Provision for loss on interest repayment | 87,600 | 80,745 |
Net defined benefit liability | 676 | 639 |
Asset retirement obligations | 4,375 | 4,306 |
Other | 828 | 733 |
Total noncurrent liabilities | 623,198 | 606,321 |
Total liabilities | 839,892 | 778,485 |
Net assets | ||
Shareholders' equity | ||
Capital stock | 63,832 | 63,832 |
Capital surplus | 73,549 | 73,549 |
Retained earnings | 291,959 | 310,438 |
Treasury stock | -19,794 | -19,794 |
Total shareholders' equity | 409,547 | 428,025 |
Accumulated other comprehensive income | ||
Valuation difference on available-for-sale | 0 | 0 |
securities | ||
Foreign currency translation adjustment | 7,956 | 2,519 |
Remeasurements of defined benefit plans | -2,180 | -1,983 |
Total accumulated other comprehensive | 5,775 | 536 |
Non-controlling interests | 27,173 | 24,721 |
Total net assets | 442,496 | 453,283 |
Total liabilities and net assets | 1,282,389 | 1,231,768 |
- 4 -
(2) Quarterly Consolidated Statement of Income and Quarterly Consolidated Statement of Comprehensive Income Quarterly Consolidated Statement of Income
Three months ended June 30
(Millions of yen) | ||
For the three months ended | For the three months ended | |
June 30, 2019 | June 30, 2020 | |
(From April 1, 2019 | (From April 1, 2020 | |
to June 30, 2019) | to June 30, 2020) | |
Operating revenue | ||
Interest on operating loans | 43,300 | 43,819 |
Interest on loans of banking business | 1,567 | - |
Credit card revenue | 2,146 | 2,444 |
Per-item revenue | 16 | 17 |
Revenue from credit guarantee | 14,879 | 14,450 |
Collection from purchased receivable | 999 | 784 |
Other financial revenue | 193 | 0 |
Other operating revenue | 6,632 | 5,957 |
Total operating revenue | 69,735 | 67,474 |
Operating expenses | ||
Financial expenses | 2,640 | 1,590 |
Cost of purchased receivable | 406 | 282 |
Other operating expenses | 41,729 | 39,805 |
Total operating expenses | 44,776 | 41,677 |
Operating profit | 24,959 | 25,796 |
Non-operating income | ||
Interest income | 51 | 0 |
Dividend income | 24 | 24 |
Equity in earnings of affiliates | 2 | 17 |
House rent income | 67 | 46 |
Other | 50 | 59 |
Total non-operating income | 196 | 149 |
Non-operating expenses | ||
Interest expenses | 6 | 4 |
Foreign exchange losses | 916 | 13 |
Other | 0 | 1 |
Total non-operating expenses | 923 | 19 |
Ordinary profit | 24,231 | 25,926 |
- 5 -
(Millions of yen) | ||
For the three months ended | For the three months ended | |
June 30, 2019 | June 30, 2020 | |
(From April 1, 2019 | (From April 1, 2020 | |
to June 30, 2019) | to June 30, 2020) | |
Extraordinary income | ||
Gain on sales of noncurrent assets | 0 | 0 |
Gain on sales of shares of subsidiaries and | 9,875 | - |
associates | ||
Total extraordinary income | 9,875 | 0 |
Extraordinary loss | ||
Loss on sales of noncurrent assets | 0 | - |
Loss on retirement of noncurrent assets | 10 | 7 |
Merger expenses | 2,363 | - |
Other | 0 | - |
Total extraordinary loss | 2,374 | 7 |
Profit before income taxes | 31,732 | 25,918 |
Income taxes-current | 3,247 | 3,256 |
Income taxes-deferred | 1,283 | -228 |
Total income taxes | 4,531 | 3,027 |
Profit | 27,200 | 22,890 |
Profit attributable to non-controlling interests | 530 | 1,279 |
Profit attributable to owners of parent | 26,670 | 21,611 |
- 6 -
Quarterly Consolidted Statement of Comprehensive Income
Three months ended June 30
(Millions of yen) | ||
For the three months ended | For the three months ended | |
June 30, 2019 | June 30, 2020 | |
(From April 1, 2019 | (From April 1, 2020 | |
to June 30, 2019) | to June 30, 2020) | |
Profit | 27,200 | 22,890 |
Other comprehensive income | ||
Valuation difference on available-for-sale | -0 | -0 |
securities | ||
Foreign currency translation adjustment | 4,290 | -7,656 |
Remeasurements of defined benefit plans, | 155 | 202 |
net of tax | ||
Total other comprehensive income | 4,446 | -7,454 |
Comprehensive income | 31,646 | 15,436 |
Comprehensive income attributable to: | ||
Owners of parent | 29,445 | 16,372 |
Non-controlling interests | 2,201 | -936 |
- 7 -
(3) Notes on Quarterly Consolidated Financial Statements
(Notes on Going-concern Assumption) Not applicable
(Notes in Case of any Significant Changes in the Amount of Shareholders' Equity) Not applicable
- 8 -
3. [Reference] Quarterly Non-consolidated Financial Statements
Quarterly financial statements are prepared in accordance with the "Regulations of Quarterly Financial Statements on Terms, Forms and Preparation Method" (Cabinet Office Ordinance No. 63, 2007).
(1) [Reference] Quarterly Non-consolidated Balance Sheet
(Millions of yen) | ||
Prior fiscal year | Current first quarter | |
(As of March 31, 2020) | (As of June 30, 2020) | |
Assets | ||
Current assets | ||
Cash and deposits | 78,870 | 77,735 |
Accounts receivable - operating loans | 840,847 | 813,337 |
Accounts receivable - installment | 75,035 | 75,253 |
Raw materials and supplies | 27 | 39 |
Right to reimbursement | 54,351 | 55,158 |
Other | 20,660 | 18,011 |
Allowance for doubtful accounts | -63,470 | -63,930 |
Total current assets | 1,006,323 | 975,606 |
Noncurrent assets | ||
Property, plant and equipment | 14,453 | 14,370 |
Intangible assets | 6,994 | 6,860 |
Investments and other assets | ||
Deferred tax assets | 33,921 | 33,698 |
Prepaid pension cost | 5,264 | 4,854 |
Other | 24,324 | 25,712 |
Allowance for doubtful accounts | -930 | -870 |
Total investments and other assets | 62,579 | 63,396 |
Total noncurrent assets | 84,028 | 84,627 |
Total assets | 1,090,351 | 1,060,233 |
Liabilities | ||
Current liabilities | ||
Accounts payable-trade | 673 | 608 |
Commercial papers | 29,998 | 11,999 |
Current portion of long-term loans payable | 79,006 | 65,615 |
Current portion of bonds | 33,000 | 28,000 |
Income taxes payable | 5,127 | 2,158 |
Provision for loss on guarantees | 8,640 | 7,450 |
Asset retirement obligations | 31 | 44 |
Other | 11,273 | 8,149 |
Total current liabilities | 167,751 | 124,026 |
Noncurrent liabilities | ||
Bonds payable | 160,000 | 150,000 |
Long-term loans payable | 310,339 | 322,188 |
Provision for loss on interest repayment | 87,600 | 80,745 |
Asset retirement obligations | 4,103 | 4,058 |
Other | 791 | 698 |
Total noncurrent liabilities | 562,834 | 557,689 |
Total liabilities | 730,585 | 681,716 |
Net assets | ||
Shareholders' equity | ||
Capital stock | 63,832 | 63,832 |
Capital surplus | 76,010 | 76,010 |
Retained earnings | 239,716 | 258,468 |
Treasury stock | -19,794 | -19,794 |
Total shareholders' equity | 359,765 | 378,517 |
Valuation and translation adjustments | 0 | 0 |
Valuation difference on available-for-sale securities | ||
Total valuation and translation adjustments | 0 | 0 |
Total net assets | 359,765 | 378,517 |
Total liabilities and net assets | 1,090,351 | 1,060,233 |
- 9 -
- [Reference] Quarterly Non-consolidated Statement of Income Three months ended June 30
(Millions of yen) | ||
For the three months ended | For the three months ended | |
June 30, 2019 | June 30, 2020 | |
(From April 1, 2019 | (From April 1, 2020 | |
to June 30, 2019) | to June 30, 2020) | |
Operating revenue | ||
Interest on operating loans | 31,388 | 31,155 |
Credit card revenue | 2,146 | 2,444 |
Revenue from credit guarantee | 12,280 | 11,800 |
Other financial revenue | 0 | 0 |
Other operating revenue | 5,118 | 4,646 |
Total operating revenue | 50,933 | 50,046 |
Operating expenses | ||
Financial expenses | 1,194 | 1,010 |
Other operating expenses | 31,549 | 29,473 |
Total operating expenses | 32,744 | 30,483 |
Operating profit | 18,188 | 19,562 |
Non-operating income | ||
Interest income | 3 | 2 |
Dividend income | 6,068 | 4,538 |
Other | 115 | 105 |
Total non-operating income | 6,187 | 4,647 |
Non-operating expenses | ||
Interest expenses | 6 | 4 |
Foreign exchange losses | 916 | 12 |
Other | 0 | 0 |
Total non-operating expenses | 923 | 17 |
Ordinary profit | 23,452 | 24,192 |
Extraordinary income | ||
Gain on sales of shares of subsidiaries and associates | 10,824 | - |
Total extraordinary income | 10,824 | - |
Extraordinary loss | ||
Loss on retirement of noncurrent assets | 10 | 7 |
Other | 0 | - |
Total extraordinary loss | 10 | 7 |
Profit before income taxes | 34,266 | 24,185 |
Income taxes-current | 1,848 | 2,077 |
Income taxes-deferred | 2,963 | 222 |
Total income taxes | 4,811 | 2,300 |
Profit | 29,454 | 21,884 |
- 10 -
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Acom Co. Ltd. published this content on 30 July 2020 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 30 July 2020 06:35:11 UTC