ITOCHU Techno : Corporate and Other Information (PDF/1,011KB)

SECTIONSECTION5 5CorporateCorporateand OtherandInformationOther Information

Financial Highlights

Note: CTC adopted International Financial Reporting Standards (IFRS) from the first quarter of fiscal 2014. Figures for fiscal 2013 have been reclassified to reflect the new standards.

			JGAAP
		2012
Operating Results
	Net Sales	322.5
	Cost of Sales	239.2
	Gross Profit	83.3
	(Gross Profit Margin)	25.8%
	SG&A Expenses	56.1
	Operating Income	27.2
	(Operating Income Margin)	8.4%
	EBITDA*1	33.2
	Net Income	16.0
	Orders Received	372.1
	Backlog	186.2
	(Backlog Turnover Ratio)*2	63.4%
Financial Position at End of Fiscal Year
	Total Assets	270.0
	Total Equity	164.6
Cash Flows
Cash Flows from Operating Activities	9.7
Cash Flows from Investing Activities	(10.3)
Cash Flows from Financing Activities	(11.1)
Cash and Cash Equivalents at End of Period	66.1
	Capital Investment	10.0
	Depreciation and Amortization	6.0
Financial Index / Indicators (%)
	ROE*3	9.9
	ROA*4	6.1
	Equity Ratio	61.0
	Dividend Payout Ratio	39.1
Per Share Data (yen)*5
	Net Income	67
	Net Assets	692
	Dividend	26.25
Per Capita Data (¥ million)*6
	Net Sales	42
	Operating Income	3.5

			IFRS
			2013	2014	2015
Operating Results
	Revenue	350.6	381.9	391.6
	Cost of Sales	(266.9)	(290.7)	(300.1)
	Gross Profit	83.7	91.3	91.5
	(Gross Profit Margin)	23.9%	23.9%	23.4%
Other Income and Expenses	(59.9)	(61.9)	(63.6)
	Operating Income	23.8	29.3	27.9
	(Operating Income Margin)	6.8%	7.7%	7.1%
	EBITDA*1	31.4	37.5	36.4
Net Profit Attributable to CTC's Shareholders	14.2	17.4	18.0
	Orders Received	369.1	388.1	398.3
	Backlog	195.5	201.6	208.3
	(Backlog Turnover Ratio)*7	63.1%	65.4%	65.3%
Financial Position at End of Fiscal Year
	Total Assets	282.7	302.7	307.9
	Total Shareholders' Equity	163.0	168.9	179.3
Cash Flows
Cash Flows from Operating Activities	6.4	25.8	21.9
Cash Flows from Investing Activities	(8.0)	(17.3)	(18.2)
Cash Flows from Financing Activities	(9.5)	(13.6)	(8.4)
Cash and Cash Equivalents at End of Period	55.1	50.1	44.9
	Capital Investment	7.0	8.0	11.1
	Depreciation and Amortization	7.6	8.2	8.4
Financial Index / Indicators (%)
	ROE*8	8.9	10.5	10.4
	ROA*9	5.1	5.9	5.9
Ratio of Shareholders' Equity to Total Assets	57.7	55.8	58.2
	Dividend Payout Ratio	45.8	40.3	44.9
Per Share Data (yen)*5
Net Profit Attributable to CTC's Shareholders	60	74	78
	Shareholders' Equity	692	730	775
	Dividend	27.50	30.00	35.00
Per Capita Data (¥ million)*6
	Revenue	45	49	49
	Operating Income	3.1	3.7	3.5

*1 EBITDA = Operating Income + Depreciation and Amortization

*2 Backlog Turnover Ratio = Net Sales / (Backlog of the previous fiscal year + Orders received for this fiscal year) x 100 *3 ROE = Net Income / Average Total Shareholders' Equity x 100

*4 ROA = Net Income / Average Total Assets x 100

*5 CTC conducted two-for-one stock splits of common shares on April 1, 2015 and April 1, 2018. For the past data, retroactive revisions were made accordingly.

*6 Figures are calculated on March 31.

*7 Backlog Turnover Ratio = Revenue / (Backlog of the previous fiscal year + Orders received for this fiscal year) x 100

*8 ROE = Net Profit Attributable to CTC's Shareholders / Average total shareholders' equity (which is based on total shareholders' equity at the beginning and end of the year) x 100

*9 ROA = Net Profit Attributable to CTC's Shareholders / Average total assets (which is based on total assets at the beginning and end of the year) x 100 *10 The CTC Group adopted IFRS 16 "Leases" (issued in January 2016) from fiscal 2019.

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								(¥ billion)
						IFRS
		2016	2017	2018	2019*10	2020	2021
Operating Results
	Revenue		407.8	429.6	452.0	487.0	479.9	522.4
	Cost of Sales		(311.1)	(328.0)	(344.2)	(369.0)	(358.4)	(387.7)
	Gross Profit		96.7	101.6	107.7	118.1	121.5	134.7
	(Gross Profit Margin)		23.7%	23.6%	23.8%	24.2%	25.3%	25.8%
Other Income and Expenses		(65.6)	(69.0)	(71.8)	(76.4)	(77.8)	(84.2)
	Operating Income		31.1	32.6	35.9	41.7	43.6	50.5
	(Operating Income Margin)		7.6%	7.6%	7.9%	8.6%	9.1%	9.7%
	EBITDA*1		39.6	41.4	44.7	57.9	63.3	68.9
Net Profit Attributable to CTC's Shareholders		21.9	23.6	24.6	28.5	30.5	35.4
	Orders Received		437.6	435.2	470.2	490.7	522.5	547.0
	Backlog		238.1	243.7	262.9	272.3	314.9	339.6
	(Backlog Turnover Ratio)*7		63.1%	63.8%	63.3%	64.6%	60.4%	60.6%
Financial Position at End of Fiscal Year
	Total Assets		333.1	353.9	378.9	438.8	462.7	507.7
	Total Shareholders' Equity		192.2	206.6	220.7	231.7	254.8	281.1
Cash Flows
Cash Flows from Operating Activities		25.2	11.0	20.6	50.1	37.3	36.1
Cash Flows from Investing Activities		(14.2)	(2.3)	(3.2)	(17.2)	(10.1)	3.5
Cash Flows from Financing Activities		(7.8)	(6.0)	(9.5)	(17.1)	(21.1)	(27.4)
Cash and Cash Equivalents at End of Period		48.2	51.0	58.8	74.6	80.9	94.1
	Capital Investment		10.7	5.2	7.2	16.2	14.6	44.1
	Depreciation and Amortization		8.4	8.8	8.8	16.2	19.7	18.4
Financial Index / Indicators (%)
	ROE*8		11.8	11.8	11.5	12.6	12.5	13.2
	ROA*9		6.8	6.9	6.7	6.8	6.8	7.3
Ratio of Shareholders' Equity to Total Assets		57.7	58.4	58.2	52.8	55.1	55.4
	Dividend Payout Ratio		42.3	44.1	46.9	47.1	48.5	55.5
Per Share Data (yen)*5
Net Profit Attributable to CTC's Shareholders		95	102	107	123	132	153
	Shareholders' Equity		831	894	955	1,003	1,103	1,217
	Dividend		40.00	45.00	50.00	58.00	64.00	85.00
Per Capita Data (¥ million)*6
	Revenue		50	53	54	55	53	56
	Operating Income		3.8	4.0	4.3	4.7	4.8	5.4

For Consolidated Financial Statements audited by independent auditors, please visit the website below. https://www.ctc-g.co.jp/en/company/ir/library/consolidated.html

ITOCHU Techno-Solutions Corporation Integrated Report 2022 90

SECTION 5 Corporate and Other Information

Non-Financial Highlights

Human Resources-Related Data

(Data calculation reference dates: Data are calculated on March 31 of each fiscal year. But disabled employee figures are calculated on June 1 of each fiscal year.)

Basic Data (Consolidated)

		Unit	FY2018	FY2019	FY2020	FY2021
Employees	Total	People	8,359	8,808	9,050	9,291
Gender	Men	People	7,032	7,317	7,436	7,530
	Women	People	1,327	1,491	1,614	1,761

Basic Data (Non-Consolidated)

				Unit	FY2018	FY2019	FY2020	FY2021
Employees		Total	People	4,272	4,276	4,451	4,597
	Gender		Men	People	3,611	3,569	3,684	3,773
			Women	People	661	707	767	824
	Age		Under 30	People	598	708	807	888
			30-39	People	1,260	1,117	1,107	1,095
			40-49	People	1,641	1,641	1,665	1,665
			50-59	People	732	760	829	897
		Over 60	People	41	50	43	52
Turnover*1		Men	People	104	140	70	106
			Women	People	29	12	12	28
			Total	People	133	152	82	134
Turnover rate*1		Men	%	2.8	3.8	1.9	2.7
			Women	%	4.0	1.6	1.5	3.2
			Total	%	3.0	3.4	1.8	2.8
Average years worked		Men	Year	13.7	13.6	13.7	13.8
			Women	Year	12.9	12.6	12.4	12.2
			Total	Year	13.5	13.5	13.4	13.5

Diversity (Non-Consolidated)

		Unit	FY2018	FY2019	FY2020	FY2021
Number of new graduates hired	Men	People	117	96	101	97
	Women	People	39	58	61	59
	Total	People	156	154	162	156
Number of mid-career hires		People	113	160	156	150
Retiree reemployment rate		%	87.5	70.5	90.1	81.4
Female managers*1	Number	People	59	69	70	80
	Percentage	%	4.9	5.7	5.6	6.0
Percentage of disabled employees		%	2.5	2.5	2.6	2.4

Work Style (Non-Consolidated)

		Unit	FY2018	FY2019	FY2020	FY2021
Average annual leave uptake rate		%	75.3	72.6	61.0	64.2
Annual average number of holidays taken		Days	14.5	13.9	11.7	12.3
Average monthly overtime hours per		Hours	14	13	16	13
employee
Childcare leave system users	Men	People	59	59	52	56
	Women	People	69	65	55	44
	Total	People	128	124	107	100
Childcare leave uptake rate (male)		%	39.1	44.4	36.3	44.1
Rate of return from childcare leave		%	100.0	100.0	98.8	99.0
Reduced working hours system users		People	97	99	93	72
Nursing care holiday system users		People	212	200	144	147
Nursing care leave system users		People	0	1	0	0
Time off for caregiver system users		People	32	44	35	33

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				Unit	FY2018	FY2019	FY2020	FY2021
Volunteer leave*2 number of employees		People	18	74	3	10
Disaster support volunteer special leave*3 number of employees*4	People	41	23	0	0
Users of disaster support volunteer activity cost subsidies*4	People	104	77	0	0
Morning work*5	Annual total	People	2,907	2,941	3,080	3,135
			Monthly average	People	1,323	1,325	1,519	1,709
Staggered work*6	Annual total	People	1,017	1,515	1,916	1,638
			Monthly average	People	376	497	846	780
Hourly paid leave*7	Annual total	People	1,371	1,453	1,357	845
			Monthly average	People	372	425	327	228
*1	Figures for the number of retirees, turnover, and female managers refer to employees originally hired by CTC.
*2	Figures refer to leave that can be taken for activities approved by the Company, such as community contribution and welfare activities in Japan.
*3	Figures are for special leave that can be taken to undertake activities in disaster-stricken areas in Japan.
*4	Due to the COVID-19 pandemic, the disaster support volunteer special leave and disaster support volunteer activity cost subsidies programs have not been used
		since fiscal 2020.
*5	The Company places limits on overtime work at night and on holidays and encourages work in the early morning hours (5:00-9:00 a.m.).
*6	This system allows employees to work full-time while selecting their daily starting times from a period between 7:00 a.m. and 10:00 a.m. Since fiscal 2020, certain
		conditions for using the system were relaxed as part of measures to prevent the spread of COVID-19.
*7	This system allows employees to take three days (24 hours) of annual paid leave in hourly units. Since fiscal 2020, certain conditions for using the system were
		relaxed as part of measures to prevent the spread of COVID-19.
		Human Resource Development (Non-Consolidated)
				Unit	FY2018	FY2019	FY2020	FY2021
Number of training participants		People	101,673	129,026	132,388	94,016
Average hours of training per person		Hours	48	53	54	50

Security / Compliance

	Unit	FY2018	FY2019	FY2020	FY2021
Number of serious security incidents*	Cases	0	0	0	0
Number of serious compliance violations	Cases	0	0	0	0
Number of serious environmental law violations	Cases	0	0	0	0

• In September 2021, a leak of personal information collected through online surveys occurred, but this incident is not included in the number of serious security incidents because the number of people whose information was leaked is small and the impact on management was minimal.

Environmental Data from CTC Group Offices and Data Centers

			Unit	FY2018	FY2019	FY2020	FY2021
Offices	Energy used	kL	3,732	3,547	3,251	2,575
		Greenhouse gas	t-CO2	6,889	6,352	5,662	4,398
		Specific energy consumption*1		0.43	0.41	0.36	0.27
Data Centers	Energy used	kL	27,792	26,094	24,267	24,415
		Greenhouse gas	t-CO2	51,185	46,327	41,972	41,195
		Specific energy consumption*2		1.691	1.669	1.636	1.614
Major Overseas Offices	Greenhouse gas*3	t-CO2	566.5	782.8	879.9	740.3
*1	Energy consumption / Number of personnel (past amount corrected due to coefficient change in fiscal 2019)
*2	Energy used at entire data centers (kL) / Energy used at IT equipment (kL)
*3	Calculated based on the emission factors by country officially announced by IGES (Institute of Global Environmental Strategies)

Quality

	Unit	FY2018	FY2019	FY2020	FY2021
Customer evaluation of system quality*	%	-	89	91	92

• Percentage of respondents who answered "Similar to competitors" or higher in the system quality evaluation section of the customer satisfaction survey. Although we conducted customer satisfaction surveys up to and including fiscal 2018, we only show the fiscal 2019 and fiscal 2020 figure here because we changed the evaluation criteria in fiscal 2019.

ITOCHU Techno-Solutions Corporation Integrated Report 2022 92

SECTION 5 Corporate and Other Information

Management Team As of July 1, 2022

Directors

Ichiro Tsuge

President & CEO

Mamoru Seki

Director & Managing Executive Officer

CFO; CCO; COO, Corporate Administration Group

Executive Officers

Hisashi Eda

Senior Managing Executive Officer

Assistant to the President (Special appointment for Advanced IT Strategy / Chubu Region)

CTO

COO, Business Transformation

Seiji Nagamatsu

Executive Officer

General Manager, Corporate IT Systems Division,

Corporate IT Systems Group

Tatsuya Matsumaru

Naoko Iwasaki

Director*1

Aya Motomura

Director*1

Yasuhiro Ikeda

Director*1

Yumiko Nagai

Director*1

Hiroshi Kajiwara

Director

Audit & Supervisory Board Members

Hiroshi Takada

Audit & Supervisory Board Member

Yasuyuki Harada

Audit & Supervisory Board Member*2

Toshiaki Tada

Audit & Supervisory Board Member*2

Katsuhiko Hara

Audit & Supervisory Board Member*2

*1 Outside director as defined in Article 2, Item 15 of the Companies Act

*2 Outside Audit & Supervisory Board member as defined in Article 2, Item 16 of the Companies Act

Outside directors Naoko Iwasaki, Aya Motomura, Yasuhiro Ikeda, and Yumiko Nagai and outside Audit & Supervisory Board members Toshiaki Tada and Katsuhiko Hara are independent from CTC, our parent company, and major suppliers. As independent officers, they have no inherent conflicts of interest with regular shareholders.

CFO (Chief Financial Officer)

CCO (Chief Compliance Officer)

CTO (Chief Technology Officer)

CMSO (Chief Managed Service Offier)

CPMO (Chief Product Marketing Officer)

CIO (Chief Information Officer)

CAO (Chief Administrative Officer)

Yasuhiko Terada

Senior Managing Executive Officer

COO, Telecommunication Group

Eiji Haraguchi

Senior Managing Executive Officer

COO, IT Services Group

CMSO

Takanori Minatohara

Senior Managing Executive Officer

COO, Enterprise Group

CPMO

Toshiyuki Awai

Managing Executive Officer

COO, Financial Services Group

Noboru Omoto

Managing Executive Officer

COO, Corporate IT Systems Group

CIO

Junji Hirooka

Managing Executive Officer

COO, Distribution Group

COO, Global Business Group

Hirohito Ohashi

Managing Executive Officer

COO, Regional & Social Infrastructure Group

Nagaki Fujioka

Managing Executive Officer

COO, Business Innovation & Digital

Transformation Group

Hiroshi Torigoe

Managing Executive Officer

President & CEO, CTCSP CORPORATION (Direct report to COO, Enterprise Group)

Shinichi Hirayama

Managing Executive Officer

COO, Human Resources Management & General

Affairs Group

CAO

General Manager, Corporate Planning Division

Executive Officer

President & CEO, CTC TECHNOLOGY

CORPORATION

Tadaaki Otsuka

Executive Officer

General Manager, Audit Division

Yoshinori Yoshida

Executive Officer

Deputy COO, Financial Services Group

Hisashi Sawanobori

Executive Officer

General Manager, Enterprise Division No. 1

Katsuya Kami

Executive Officer

General Manager,

Telecommunication Division No. 3

Kinya Matsuda

Executive Officer

President & CEO, CTC FACILITIES CORPORATION (Direct report to COO, IT Services Group)

Toshihiro Nakaya

Executive Officer

General Manager,

Telecommunication Division No. 1

Kiyoshi Imagawa

Executive Officer

Assistant to COO, Global Business Group Chairman & Managing Director,

CTC GLOBAL PTE. LTD.

Kazuhiko Nagao

Executive Officer

General Manager, Nishi-Nihon Region

General Manager, Nishi-Nihon Regional Division

Noboru Ueda

Executive Officer

General Manager, Chubu Region

General Manager, Automobile Industry Sales

Division

Keiichi Ozawa

Executive Officer

General Manager, Financial Services Sales Division

Tamotsu Oda

Executive Officer

General Manager, Mobile & Services Division

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