FUNAI SOKEN HOLDINGS INCORPORATED November 2, 2021
Consolidated Financial Results
for the Third Quarter of the Fiscal Year Ending December 31, 2021
(January 1, 2021 - September 30, 2021)
Company name: | Funai Soken Holdings, Inc. | Stock Exchange listing: Tokyo Stock Exchange | |
Stock code: | 9757 | URL: https://hd.funaisoken.co.jp | |
Representative: | Takayuki Nakatani, President & CEO | ||
Contact: | Takahisa Okumura, Director and Senior Vice President, | ||
Head of Management Administration Divisional Headquarters | |||
Telephone: +81-(0)6-6232-0130 | |||
Scheduled date of payment of dividend: | |||
Scheduled date of filing quarterly report: | November 12, 2021 | ||
Supplementary materials compiled to explain 3rd-quarter financial statements: Yes | |||
Briefing to be held to explain 3rd-quarter financial results: | None |
(Figures are rounded to the nearest million yen; fractions of one million discarded rather than rounded up or down)
1. 2021 3rd Quarter Consolidated Financial Results (January 1, 2021 - September 30, 2021)
(1) Consolidated Results of Operations (Cumulative) | (Percentages represent change from the same period last year) | |||||||||||
Net income | ||||||||||||
Net sales | Operating income | Ordinary income | attributable to | |||||||||
owners of the parent | ||||||||||||
Nine months ended | Million yen | % | Million yen | % | Million yen | % | Million yen | % | ||||
Sep. 30, 2021 | 20,968 | 13.9 | 4,652 | 28.1 | 4,697 | 27.1 | 3,155 | 28.8 | ||||
Sep. 30, 2020 | 18,411 | (1.1) | 3,632 | (11.6) | 3,695 | (10.5) | 2,450 | (10.3) | ||||
Notes: Comprehensive income: | 3,185 million yen (up 30.9%) in the nine months ended Sep. 30, 2021 | |||||||||||
2,433 million yen (down 13.3%) in the nine months ended Sep. 30, 2020 | ||||||||||||
Earnings per share | Earnings per share | |||||||||||
(basic) | (diluted) | |||||||||||
Nine months ended | Yen | Yen | ||||||||||
Sep. 30, 2021 | 63.89 | 63.14 | ||||||||||
Sep. 30, 2020 | 49.22 | 48.67 |
- Consolidated Financial Position
Total assets | Net assets | Equity ratio | |
Million yen | Million yen | % | |
As of Sep. 30, 2021 | 29,073 | 24,399 | 81.5 |
As of Dec. 31, 2020 | 27,951 | 23,688 | 82.4 |
Reference: Shareholders' equity: 23,688 million yen as of Sep. 30, 2021 23,041 million yen as of Dec. 31, 2020
2. Dividends
Dividend per share | |||||||
1Q-end | 2Q-end | 3Q-end | Year end | Total | |||
Yen | Yen | Yen | Yen | Yen | |||
FY2020 | 20.00 | 25.00 | 45.00 | ||||
FY2021 | 21.00 | ||||||
FY2021 forecast | 27.00 | 48.00 |
Note: Amendments to dividend numbers compared to most recently announced figures: Yes
See the Notice Regarding Revision (Increase) of Dividend Forecast released today for details on our dividend forecast for FY2021.
3. Forecast Consolidated Financial Results for FY2021 (January 1, 2021 - December 31, 2021)
(Percentages represent year-on-year change) | |||||||||||
Net income | Earnings | ||||||||||
Net sales | Operating income | Ordinary income | attributable to owners | ||||||||
per share | |||||||||||
of the parent | |||||||||||
Million yen | % | Million yen | % | Million yen | % | Million yen | % | Yen | |||
Full year | 29,000 | 15.9 | 6,400 | 28.5 | 6,450 | 26.7 | 4,300 | 22.9 | 87.07 |
Note: Amendments to performance numbers compared to most recently announced forecasts: None
Remarks
(1) Changes in consolidated subsidiaries in 1Q, 2Q and 3Q: | None |
Changes in scope of consolidation: | |
No. of new companies added: | None |
Names of new companies added: | None |
No. of companies removed: | None |
Names of companies removed: | None |
- Application of specific accounting procedures when compiling 3Q consolidated financial statements: None
- Changes in accounting policies; changes in estimates; re-statement of amendments
1) | Changes in accounting policies caused by revision of accounting standards: | None |
2) | Other changes in accounting policies: | None |
3) | Changes in accounting estimates: | None |
4) | Re-statement of amendments: | None |
- Number of issued shares (common stock)
- Number of shares issued at end of nine-month period (including treasury stock)
- Number of treasury shares at end of nine-month period
- Average number of shares during nine-month period (cumulative total)
Sep. 30, 2021 | 52,500,000 | As of Dec. 31, 2020 | 52,500,000 |
Sep. 30, 2021 | 3,120,386 | As of Dec. 31, 2020 | 3,011,772 |
Sep. 30, 2021 | 49,385,433 | Sep. 30, 2020 | 49,779,240 |
Notes: This financial summary is excluded from quarterly review by a CPA or auditing company. Statement Regarding the Use of Forward-Looking Statements
Forecasts in these materials regarding future performance are based on reasonable judgments made in accordance with information currently available. Actual results may differ greatly from these forecasts for a number of factors. Please refer to "Results of Operations" on page 2 of the appendix for further information concerning the conditions on which these forecasts are based and further cautions with respect to the use of forward-looking statements.
Appendix Contents | |||
1. | Qualitative Information Regarding the Nine Months Ended September 30, 2021 | ........................................................ 2 | |
(1) | Results of Operations............................................................................................................................................ | 2 | |
(2) | Financial Position ................................................................................................................................................. | 4 | |
(3) | Consolidated Forecast and Other Forward-Looking Information......................................................................... | 5 | |
2. | Consolidated Financial Statements and Notes .............................................................................................................. | 6 | |
(1) | Consolidated Balance Sheet ................................................................................................................................. | 6 | |
(2) | Consolidated Statements of Income and Comprehensive Income........................................................................ | 8 | |
(3) | Notes on Consolidated Financial Statements...................................................................................................... | 10 | |
Notes on Going Concern Assumptions............................................................................................................... | 10 | ||
Notes on Significant Changes to Shareholders' Equity....................................................................................... | 10 | ||
Segment Information .......................................................................................................................................... | 10 | ||
3. | Other Information ....................................................................................................................................................... | 11 | |
(1) | Orders and Sales ................................................................................................................................................. | 11 |
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1. Qualitative Information Regarding the Nine Months Ended September 30, 2021
- Results of Operations
During the nine months under review (January 1, 2021 to September 30, 2021), the Japanese economy continued to face severe conditions, including a decline in personal consumption, due to the COVID-19 pandemic. Amid such conditions, the number of new infection cases decreased thanks to stringent infection prevention measures and efforts to promote vaccinations. At the same time, society has adopted new normal workstyles through digitalization and the use of non-face-to-face channels. Certain markets have also seen signs of a recovery, including increased capital expenditures by corporations. Furthermore, the holding of the Tokyo Olympic and Paralympic Games served as an opportunity to reaffirm the importance of efforts related to achieving a sustainable society that proactively promotes diversity and addresses climate change.
In this situation, the Funai Soken Consulting Group (the "Group") proactively offered online seminars. In our consulting activities, we flexibly combined in-person and web-based consulting based on client needs to grow earnings despite the COVID-19 environment.
Looking at our DX consulting service, which our Group is actively expanding, we are seeing a trend towards increased consulting needs related to digital transformation in marketing for SMEs, online sales solutions to manufacturing businesses, and robot automation at manufacturing sites. We are projecting an increase in orders received in these areas. Looking at consulting for the digital transformation solutions of customer business activities, while government subsidies through the 2nd SME Digitization Support Team Program helped drive orders received, program application procedures were temporarily suspended while the government outlines stricter program requirements. This resulted in certain projects we planned to record during the nine months to September 30, 2021 being postponed until the consolidated cumulative fourth quarter or later.
As a result, the Group posted 20,968 million yen in net sales (up 13.9% year on year), 4,652 million yen in operating income (up 28.1% year on year), 4,697 million yen in ordinary income (up 27.1% year on year), and 3,155 million yen in net income attributable to owners of the parent (up 28.8% year on year) for the nine months to September 30, 2021, achieving record high earnings.
- Net sales: 20,968 million yen (up 13.9% over the same period of the preceding year)
Net sales increased in the monthly consulting support service of the business consulting business segment. In addition, net sales in online advertisement agency services continued their steady growth. Net sales also steadily grew in physical distribution operations in the logistics business.
Consequently, net sales rose 13.9% over the same period of the previous year to 20,968 million yen.
- Operating income: 4,652 million yen (up 28.1% over the same period of the preceding year)
Looking at operating income, cost of sales was 14,122 million yen (previous fiscal year was 12,441 million yen), SG&A expenses were 2,193 million yen (previous fiscal year was 2,338 million yen), and cost of sales in online advertisement agency services increased. At the same time, expenses such as consulting activity travel expenses and venue hiring expenses decreased significantly.
Consequently, operating income rose 28.1% over the same period of the previous year to 4,652 million yen.
- Ordinary income: 4,697 million yen (up 27.1% over the same period of the preceding year)
Non-operating income was 81 million yen, compared with 96 million yen in the same period of the previous year, reflecting factors such as gains on sales of investment securities, while non-operating expenses were 36 million yen, compared with 32 million yen in the same period of the previous year due to the recording of donations, among other income.
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Funai Soken Holdings Co. Ltd. published this content on 05 November 2021 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 05 November 2021 06:42:09 UTC.
