May 16, 2022
Summary of Consolidated Financial Results for the
Fiscal Year Ended March 31, 2022 (FY3/22)
[Japanese GAAP] | ||
Company name: | OHSHO FOOD SERVICE CORP. | Listing: Tokyo Stock Exchange |
Stock code: | 9936 | URL: https://www.ohsho.co.jp |
Representative: | Naoto Watanabe, President | |
Contact: | Masahiro Inagaki, Director, Executive Officer, General Manager of Administration Division | |
Headquarters | ||
Tel: +81-7-5592-1411 | ||
Scheduled date of Annual General Meeting of Shareholders: | June 28, 2022 | |
Scheduled date of payment of dividend: | June 29, 2022 | |
Scheduled date of filing of Annual Securities Report: | June 28, 2022 | |
Preparation of supplementary materials for financial results: | Yes | |
Holding of financial results meeting: | Yes (for institutional investors and analysts) |
(All amounts are rounded down to the nearest million yen)
1. Consolidated Financial Results for the Fiscal Year Ended March 31, 2022 (April 1, 2021 - March 31, 2022)
(1) Consolidated results of operations | (Percentages represent year-on-year changes) | |||||||
Net sales | Operating profit | Ordinary profit | Profit attributable to | |||||
owners of parent | ||||||||
Millions of yen | % | Millions of yen | % | Millions of yen | % | Millions of yen | % | |
Fiscal year ended Mar. 31, 2022 | 84,775 | 5.2 | 6,959 | 14.6 | 13,024 | 89.6 | 8,807 | 105.4 |
Fiscal year ended Mar. 31, 2021 | 80,616 | (5.8) | 6,073 | (21.1) | 6,867 | (15.1) | 4,287 | (19.3) |
Note: Comprehensive income (millions of yen) | Fiscal year ended Mar. 31, 2022: | 8,048 | (up 72.5%) | |||||
Fiscal year ended Mar. 31, 2021: | 4,665 | (down 17.3%) | ||||||
Net income per | Diluted net | Return on equity | Ordinary profit | Operating profit | ||||
share | income per share | on total assets | to net sales | |||||
Yen | Yen | % | % | % | ||||
Fiscal year ended Mar. 31, 2022 | 469.01 | - | 15.7 | 14.4 | 8.2 | |||
Fiscal year ended Mar. 31, 2021 | 228.42 | - | 8.3 | 8.7 | 7.5 | |||
Reference: Equity in earnings of | affiliates (millions of yen) Fiscal year ended Mar. 31, 2022: - | Fiscal year ended Mar. 31, 2021: - |
Note: Beginning with the current fiscal year, the Company has applied the Accounting Standard for Revenue Recognition (Accounting Standards Board of Japan (ASBJ) Statement No. 29, March 31, 2020) and other standards. All figures for the fiscal year ended March 31, 2022 incorporate this accounting standard.
(2) Consolidated financial position
Total assets | Net assets | Equity ratio | Net assets per share | |
Millions of yen | Millions of yen | % | Yen | |
As of Mar. 31, 2022 | 89,405 | 59,098 | 66.1 | 3,145.58 |
As of Mar. 31, 2021 | 91,154 | 52,952 | 58.1 | 2,820.84 |
Reference: Shareholders' equity (millions of yen) As of Mar. 31, 2022: 59,098 As of Mar. 31, 2021: 52,952
Note: Beginning with the current fiscal year, the Company has applied the Accounting Standard for Revenue Recognition (ASBJ Statement No. 29, March 31, 2020) and other standards. All figures as of March 31, 2022 incorporate this accounting standard.
(3) Consolidated cash flows
Cash flows from | Cash flows from | Cash flows from | Cash and cash equivalents | |
operating activities | investing activities | financing activities | at end of period | |
Millions of yen | Millions of yen | Millions of yen | Millions of yen | |
Fiscal year ended Mar. 31, 2022 | 13,596 | (2,941) | (12,808) | 37,440 |
Fiscal year ended Mar. 31, 2021 | 5,824 | (3,444) | 20,092 | 39,590 |
2. Dividends
Dividend per share | Total | Payout ratio | Dividend on | |||||||
equity | ||||||||||
1Q-end | 2Q-end | 3Q-end | Year-end | Total | dividends | (consolidated) | ||||
(consolidated) | ||||||||||
Yen | Yen | Yen | Yen | Yen | Millions of yen | % | % | |||
Fiscal year ended Mar. 31, 2021 | - | 50.00 | - | 50.00 | 100.00 | 1,877 | 43.8 | 3.6 | ||
Fiscal year ended Mar. 31, 2022 | - | 50.00 | - | 70.00 | 120.00 | 2,254 | 25.6 | 4.0 | ||
Fiscal year ending Mar. 31, 2023 | - | 60.00 | - | 60.00 | 120.00 | 41.2 | ||||
(forecasts) | ||||||||||
3. Consolidated Forecasts for the Fiscal Year Ending March 31, 2023 (April 1, 2022 - March 31, 2023)
(Percentages represent year-on-year changes)
Net sales | Operating profit | Ordinary profit | Profit attributable to | Net income per | |||||||
owners of parent | share | ||||||||||
Millions of yen | % | Millions of yen | % | Millions of yen | % | Millions of yen | % | Yen | |||
First half | 43,969 | 8.7 | 3,441 | 7.8 | 4,456 | (25.5) | 2,911 | (31.9) | 154.96 | ||
Full year | 90,029 | 6.2 | 7,516 | 8.0 | 8,627 | (33.8) | 5,478 | (37.8) | 291.60 |
* Notes
- Changes in consolidated subsidiaries during the period (changes in specified subsidiaries resulting in changes in the scope of consolidation): None
Newly added: -Excluded: -
(2) Changes in accounting policies and accounting estimates, and restatements
1) | Changes in accounting policies due to revisions in accounting standards, others: | Yes |
2) | Changes in accounting policies other than 1) above: | None |
3) | Changes in accounting estimates: | None |
4) | Restatements: | None |
Note: Please refer to "Notes to Consolidated Financial Statements" on page 16 of the attachments for further information.
(3) Number of outstanding shares (common shares)
1) | Number of shares outstanding at the end of the period (including treasury shares) | |||
As of Mar. 31, 2022: | 23,286,230 shares | As of Mar. 31, 2021: | 23,286,230 shares | |
2) | Number of treasury shares at the end of the period | |||
As of Mar. 31, 2022: | 4,498,356 shares | As of Mar. 31, 2021: | 4,514,166 shares | |
3) Average number of shares outstanding during the period | ||||
Fiscal year ended Mar. 31, 2022: | 18,778,208 shares | Fiscal year ended Mar. 31, 2021: | 18,769,721 shares |
(Reference) Summary of Non-consolidated Financial Results
1. Non-consolidated Financial Results for the Fiscal Year Ended March 31, 2022 (April 1, 2021 - March 31, 2022)
(1) Non-consolidated operating results | (Percentages represent year-on-year changes) | |||||||||||||
Net sales | Operating profit | Ordinary profit | Profit | |||||||||||
Millions of yen | % | Millions of yen | % | Millions of yen | % | Millions of yen | % | |||||||
Fiscal year ended Mar. 31, 2022 | 84,516 | 5.2 | 7,001 | 14.4 | 13,059 | 89.2 | 8,813 | 111.9 | ||||||
Fiscal year ended Mar. 31, 2021 | 80,310 | (5.8) | 6,118 | (21.3) | 6,901 | (15.4) | 4,159 | (22.8) | ||||||
Net income per share | Diluted net income per share | |||||||||||||
Yen | Yen | |||||||||||||
Fiscal year ended Mar. 31, 2022 | 469.33 | - | ||||||||||||
Fiscal year ended Mar. 31, 2021 | 221.59 | - | ||||||||||||
(2) Non-consolidated financial position | ||||||||||||||
Total assets | Net assets | Equity ratio | Net assets per share | |||||||||||
Millions of yen | Millions of yen | % | Yen | |||||||||||
As of Mar. 31, 2022 | 88,975 | 58,703 | 66.0 | 3,124.57 | ||||||||||
As of Mar. 31, 2021 | 90,788 | 52,621 | 58.0 | 2,803.16 | ||||||||||
Reference: Shareholders' equity | (millions of yen) | As | of Mar. 31, 2022: 58,703 | As of Mar. 31, 2021: 52,621 |
2. Non-consolidated Forecasts for the Fiscal Year Ending March 31, 2023 (April 1, 2022 - March 31, 2023)
(Percentages represent year-on-year changes)
Net sales | Ordinary profit | Profit | Net income per share | ||||
Millions of yen | % | Millions of yen | % | Millions of yen | % | Yen | |
First half | 43,834 | 8.7 | 4,462 | (25.6) | 2,917 | (32.1) | 155.30 |
Full year | 89,726 | 6.2 | 8,622 | (34.0) | 5,474 | (37.9) | 291.39 |
- The current financial report is not subject to audit by certified public accountants or auditing firms.
-
Explanation of appropriate use of earnings forecasts, and other special items Cautionary statement with respect to forward-lookingstatements
Forecasts of future performance in this document are based on assumption judged to be valid and information currently available to the Company's management, but are not promises by the Company regarding future performance. Actual results may differ materially from the forecasts for a number of reasons. Please refer to "1. Overview of Results of Operations, (5) Outlook" on page 6 for forecast assumptions and notes of caution for usage.
How to view supplementary materials for financial results
Supplementary materials for financial results will be available on the Company's website on Friday, May 27, 2022.
OHSHO FOOD SERVICE CORP. (9936) Consolidated Financial Results for FY3/22 | ||
Contents of Attachments | ||
1. Overview of Results of Operations | 2 | |
(1) | Results of Operations | 2 |
(2) | Financial Position | 5 |
(3) | Cash Flows | 5 |
(4) | Basic Policy for Profit Distribution and Dividends for the Current and Next Fiscal Years | 6 |
(5) | Outlook | 6 |
2. Basic Approach to the Selection of Accounting Standards | 7 | |
3. Consolidated Financial Statements and Notes | 8 | |
(1) | Consolidated Balance Sheet | 8 |
(2) | Consolidated Statements of Income and Comprehensive Income | 10 |
Consolidated Statement of Income | 10 | |
Consolidated Statement of Comprehensive Income | 12 | |
(3) | Consolidated Statement of Changes in Equity | 13 |
(4) | Consolidated Statement of Cash Flows | 15 |
(5) | Notes to Consolidated Financial Statements | 16 |
Going Concern Assumption | 16 | |
Changes in Accounting Policies | 16 | |
Segment Information | 16 | |
Per-share Information | 17 | |
Subsequent Events | 17 |
1
OHSHO FOOD SERVICE CORP. (9936) Consolidated Financial Results for FY3/22
1. Overview of Results of Operations
(1) Results of Operations
Summary of consolidated results of operations for the fiscal year (April 1, 2021 to March 31, 2022)
Amount | % to sales | 12-month change | 24-month change | |||
(millions of yen) | ||||||
Net sales | 84,775 | 100.0% | Up | 5.2% | Down | 0.9% |
Operating profit | 6,959 | 8.2% | Up | 14.6% | Down | 9.6% |
Ordinary profit | 13,024 | 15.4% | Up | 89.6% | Up | 61.1% |
Profit attributable to owners of parent | 8,807 | 10.4% | Up | 105.4% | Up | 65.8% |
Looking back at the Japanese economy during the current fiscal year, we saw slow personal consumption due to the COVID-19 pandemic, and risen corporate goods prices, which resulted in concerns about a downturn in the economy.
In addition, as the Russia's invasion of Ukraine caused disruptions to the global supply chains, food and energy prices are expected to rise further, heightening the sense of uncertainty about the future economy.
In the restaurant industry, the operating environment continued to be challenging as a whole. The nationwide state of emergency declared and quasi-emergency measures taken forced restaurants to shorten their operating hours and limit serving alcohol, which severely affected mainly dine-in restaurants and formats serving alcohol. Rising raw material prices, in addition to weak sales, put pressure on profit, though part of which was compensated by subsidy income for reduced operating hours.
Under such environment, the Group has focused on improving the level of quality, service, and cleanliness (QSC) more than ever before without compromising it amid the COVID-19 pandemic while having given its highest priority to the protection of the safety and health of our customers and employees. The Group has been engaged in offering safer environment in order to cater our customers delicious meals that are essential part of everyday life.
As a result of such efforts, in-store sales steadily recovered, and sales of takeout and delivery services remained strong, bringing the Group to achieve year-on-year increases in both revenue and profit.
Even amid the pandemic, the Group has steadily implemented its medium-term management plan and striven to realize its corporate philosophy with all employees united. This made the Group grow to become a more solid organization and brought such strong performance.
The following is an overview of our initiatives and achievements during the current fiscal year, described in line with four items, three primary strategies of sales strategy, restaurant opening strategy, and franchise chain promotion strategy in our medium-term management plan which has newly started with the current fiscal year, and sustainability initiatives.
-
Sales strategy
Under the challenging operating environment amid the pandemic, we have made our best effort to further improve the level of QSC while having continued to take thorough measures to prevent our customers and employees from getting infected with coronavirus.
Specifically, we improved our training system in a way that allows not only employees but also part-timers to participate online training sessions of Ohsho Cooking Dojo (an in-house training program). We also provided training sessions in stores both by live-streaming and distributing recordings so that all participants can master standard cooking methods.
From January 2022 onward, we provided training sessions that focus on 14 regular menu items and pursued the better taste of our core items.
We have constantly carried out sales promotion activities and attracted many customers. For example, we launched the annual campaign "Gyoza Club customer appreciation campaign for 2022" in June, a year-end and new-year customer campaign in December, during which customers collected six stamps and exchanged them for one gyoza plate free of charge, and a campaign to celebrate the anniversary of our founding for two days on December 24 and 25, during which we distributed a 250-yen discount coupon per 500 yen paid at the cashier. The coupon was the reprinted version of the coupon at the time of our founding.
2
OHSHO FOOD SERVICE CORP. (9936) Consolidated Financial Results for FY3/22
We have put more effort into delivery services for which demand increased amid the pandemic. For example, we have increased the number of stores that can provide delivery services from 366 at the end of March 2021 to 449 for directly operated stores. Including franchised stores, the number of such stores rose from 413 to 560. We have also increased stores providing the delivery services with the three food delivery operators: Demae-Can, Uber Eats, and menu. These initiatives helped keep strong sales of delivery services even after the number of COVID-19 new cases was on a downward trend.
New TV commercials featuring actor Taiga Nakano with an original song by Ketsumeishi (Japanese pop and hip hop group) started airing at the end of the sixth coronavirus wave in Japan. With our messages "we have gone through a lot, but let's have tasty meals and move forward to a bright future" and "the power of delicious meals will change the future," the commercials captured the moments people feel happy when they have tasty meals.
As a result of such efforts, we were able to achieve the record high monthly sales on a year-on-year basis six times in total during the current fiscal year, including those for three consecutive months from October to December in 2021. On February 20, 2022, the day after TBS television network's program "Jobtune" introduced our dishes, we achieved the record high daily sales of 349 million yen on a day-on-day basis, showing a remarkable recovery trend even amid the COVID-19 crisis.
-
Restaurant opening strategy
During the current fiscal year, we opened ten directly operated stores almost as scheduled.
The new stores have been designed with thorough measures to prevent infections in accordance with the guidelines of the Japan Food Service Association.
In June 2021, we opened a store in a new restaurant format, "Joy-Naho," which specializes in takeout and delivery services. As the first store in the new format, Joy-Naho-Ikejiri-ohashi opened on the first floor of an office building in Setagaya-ku, Tokyo. The new store is characterized by being a place for takeout services. For example, the compact store without dine-in space offers a wide variety of its unique takeout dishes served in microwavable containers. Customers can pre-order takeout dishes and receive them without waiting. For delivery services, customers can place orders through the platform run by any of the three food delivery operators. Since its opening, the store has been highly supported by customers. We will therefore consider opening more stores in residential areas of the urban area.
We opened five roadside stores named 463go-bypass-Tokorozawa-Hayashi store in Saitama Prefecture in May 2021, Kokudo-293go-Ashikaga-Minami store in Tochigi Prefecture in September 2021, Kendo-377go-Yoshikawa-Sakae store in Saitama Prefecture in October 2021, Kendo-243go-Ryugasaki store in Ibaraki Prefecture in November 2021, and Numazu-Matsunaga store in Shizuoka Prefecture in March 2022. All of which were set up in East Japan and have been designed in consideration of offering takeout services, for example, a take-out counter has been installed. These new stores are attracting many customers.
In an effort with local retailers, we also opened new stores named SunLiveCity-Kokura store in Kitakyushu-shi in September 2021, sanwa Fujigaoka store in Kanagawa Prefecture in October 2021, SunLive Create Munakata store in Fukuoka Prefecture in October 2021, and Kokudo-202go-Itoshima store in Fukuoka Prefecture in December 2021. All of which are expected to attract many customers not only on weekends but also on weekdays through tie-ups with local retailers that offer groceries and daily necessities and have the ability to attract many customers. Sales at these stores remain strong. - Franchise chain promotion strategy
On October 1, we placed the FC Promotion Department responsible for FC business under the Sales Division Headquarters responsible for directly operated stores. We also strengthened partnership with our franchised stores. In this way, we have established a system that allows directly operated stores and franchised stores to work together to enhance the brand value of Gyoza no Ohsho.
Specifically, we made training sessions, which are held by Ohsho University (our in-house educational institution) and Ohsho Cooking Dojo, available to franchise owners, restaurant managers, and future candidates for such posts. This helped them improve their know-how about franchise store operations and their cooking skills.
In addition, as franchised stores used different gas ranges to cook gyoza before, we had the stores use our original griddle so that they can cook and offer gyoza with better taste.
3
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OHSHO Food Service Corp. published this content on 15 June 2022 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 15 June 2022 07:02:08 UTC.