Iseki : Financial Results for the Second Quarter Fiscal Year Ending December 31, 2022 Investor Relations Presentation Materials
September 06, 2022 at 08:30 am
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Financial Results for the Second Quarter Fiscal Year Ending December 31, 2022
Investor Relations Presentation Materials
ISEKI & CO., LTD.
August 22, 2022
INDEX
Outline of Financial Results for the Second Quarter Fiscal Year Ending December 31, 2022
Domestic and Overseas Markets
Performance Forecast for the Fiscal Year Ending December 31, 2022
Topics
Financial Results Briefing for the Second Quarter of the Fiscal Year Ending December 31, 2022
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1. Outline of Financial Results for the Second Quarter Fiscal Year Ending December 31, 2022
Financial Results Briefing for the Second Quarter of the Fiscal Year Ending December 31, 2022
3
Compact tractors market entered an adjustment phase, but orders to recover the local inventory levels were brisk. Delay in recording part of sales due to a system failure at an OEM partner
Strong sales as we catered to lifestyle changes
Key Points
Strong sales overseas, but domestic sales decreased due to the impact of a pullback effect with withdrawal of subsidies and falling rice prices.
Domestic: Pullback effect with withdrawal of government subsidies for business continuity, etc., which had stimulated demand in the same period of the previous year
Decrease in purchasing power due to falling rice prices
Overseas: Sales increase in all regions (North America)
(Europe)
Earnings: Soaring raw material prices and supply chain disruption put pressure on earnings
Increase in SG&A expenses, such as distribution cost
<> Forecast>
No revision to the initial forecast
2Q Net Sales
(JPY bn, %)
86.6
86.7
82.2
77.5
72.2
Domestic
22.3%
22.7%
20.8%
27.7%
33.6
% Overseas
18/12期… 19/12期… 20/12期… 21/12期… 22/12期…
FY2018
FY2019
FY2020
FY2021
FY2022
2Q
2Q
2Q
2Q
2Q
2Q Operating Income, Ratio
(JPY bn, %)
4.7
2.1
1.6
2.5
1.2
[Operating Margin]
2.7%
2.1%
1.8%
5.4%
3.0%
FY201818/12期
19/12FY2019期
FY202020/12期
21/12FY2021期 FY202222/12期
2Q2Q
2Q
2Q2Q
2Q
2Q
Financial Results Briefing for the Second Quarter of the Fiscal Year Ending December 31, 2022
4
Market & Business Environments in the Second Quarter
[Legend] = Market environment
= Business environment
Market & Business Environments
Impact of COVID-19
Supply chain disruption (shortage of containers for marine transportation, delayed procurement of parts for production)
Soaring raw material prices
Impact on sales activities, including exhibition cancellations
Pullback effect with withdrawal of government subsidies for business continuity, which had stimulated demand in the same period of the previous year.
North America: Compact tractors market entered an adjustment phase, but orders to recover the local inventory levels were brisk.
Sales: No direct impact as we do not conduct sales activities in this region.
Purchasing: Supply chain disruption, concern that raw material prices will soar further
Yen depreciation
Minor impact on operating income
*1 Relative trading price (average of all grades) Source: Monthly Report on Rice, Ministry of Agriculture, Forestry and Fisheries
Financial Results Briefing for the Second Quarter of the Fiscal Year Ending December 31, 2022
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Iseki & Co. Ltd. published this content on 06 September 2022 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 06 September 2022 07:29:06 UTC.
ISEKI & CO., LTD. is a Japan-based company mainly engaged in the agriculture-related business. The Company is mainly engaged in the development, manufacture, and sale of agricultural machinery related to rice cultivation and vegetable cultivation. The Agricultural-related segment is involved in development and manufacturing division, sales division and other division. The development and manufacturing division is engaged in the development and design of agricultural machinery. The sales division is engaged in the sale of products through domestic and overseas sales companies.
ISEKI & CO., LTD. 
