Century 2025”Phase 2 FY · “Century 2025” Become the company ... Hakodate Water Expo 2019 14...
Transcript of Century 2025”Phase 2 FY · “Century 2025” Become the company ... Hakodate Water Expo 2019 14...
May 15, 2020
Status of Business Progress in the Medium-Term Management Plan
“Century 2025”Phase 2 FY2019
©2020 SANKI ENGINEERING CO., LTD. All Rights Reserved.
[Consolidated Orders Received]
2
0
20,000
40,000
60,000
80,000
100,000
120,000
140,000
160,000
180,000
200,000
220,000
240,000
FY2011 FY2012 FY2013 FY2014 FY2015 FY2016 FY2017 FY2018 FY2019
(Million yen)
175,291165,800
168,295173,398 183,270
185,880194,018
191,113
217,096
SANKI VITAL PLAN “Century 2025”
Phase1 Phase2
Until FY2025
Until FY2021
©2020 SANKI ENGINEERING CO., LTD. All Rights Reserved.
[Consolidated Net Sales]
3
0
25,000
50,000
75,000
100,000
125,000
150,000
175,000
200,000
225,000
FY2011 FY2012 FY2013 FY2014 FY2015 FY2016 FY2017 FY2018 FY2019
(Million yen)
154,658
171,496179,598 178,901
168,512 170,157
212,314207,684
SANKI VITAL PLAN “Century 2025”
Phase1 Phase2
147,994
Net sales Planned value
Until FY2025
Until FY2021
©2020 SANKI ENGINEERING CO., LTD. All Rights Reserved.
[Consolidated Gross Profit]
4
0
5,000
10,000
15,000
20,000
25,000
30,000
35,000
FY2011 FY2012 FY2013 FY2014 FY2015 FY2016 FY2017 FY2018 FY2019
Million yen
17,59018,423 17,966
22,929 22,538
25,060
31,684 32,110
18,237
SANKI VITAL PLAN “Century 2025”
Phase1 Phase2
Gross profit Planned value
Until FY2025
Until FY2021
©2020 SANKI ENGINEERING CO., LTD. All Rights Reserved.
5
8
9
10
11
12
13
14
15
16
17
18
FY2011 FY2012 Fy2013 FY2014 FY2015 FY2016 FY2017 FY2018 FY2019
(%)
12.3
11.4
10.710.0
12.8
13.4
14.914.7
15.5
Planned
value
SANKI VITAL PLAN
Phase2Phase1
“Century 2025”
[Consolidated Gross Profit Margin]
Gross profit margin Planned value
Until FY2025
Until FY2021
©2020 SANKI ENGINEERING CO., LTD. All Rights Reserved.
[Positioning of the Long-Term Vision and Medium-Term
Management Plan]
6
Phase 1Enhance Quality
◆ Strengthen Core BusinessesImprove component technologies and achieve stable growth
◆ Promote Growth StrategiesPursue future growth in the areasof technology and business
◆ Enhance the Sanki BrandDevelop human resources that possess the Sanki spirit
Further pursue quality
• Improve construction productivity
• Meet to energy saving and labor
reduction needs
• Promote technological R&D
• Continue to receive orders for stock
projects
• Create a better work conditions
• Improve internal communication
Phase 3Company of Choice
Long-Term Vision
“Century 2025”
Become the company
that is more likely to be
chosen by stakeholdersRe
fin
ing
Te
ch
nic
al S
kil
ls
an
d H
um
an
Re
so
urc
es
to
E
nh
an
ce
Qu
ali
ty
◆ Disclose financial &capital policies
and ESG policies
◆ Reinforce Information Transmission
Phase 2Enhance Reliability
FY2016 - FY2018
FY2019 - FY2021
FY2022 - FY2025(First year)
Incre
asin
g re
liabili
ty a
nd b
ecom
ing
a com
pan
y of
choic
e
©2020 SANKI ENGINEERING CO., LTD. All Rights Reserved.
[Phase 2] Performance Targets and Results
7
Phase 2 (FY2019 to FY2021) targets
FY2019 targets FY2019 results FY2020 targets FY2021 targets
Sales 200.0 billion yen 207.6 billion yen 200.0 billion yen
Gross profit
(margin)30.0 billion yen
(15%)
32.1 billion yen(15.5%)
31.0 billion yen(15.5%)
32.0 billion yen(16.0%)
Ordinary income
(%)9.00 billion yen
(4.5%)
11.2 billion yen(5.4%)
9.5 billion yen(4.8%)
10.0 billion yen(5.0%)
Phase 2 (FY2019 to FY2021)
operating targetsFY2019 results
Operating
profit ratio5.0% or more (final fiscal year) 5.4%
DividendAnnual dividend per share:
60 yen or more
Annual dividend:
95 yen
Acquisition of
treasury
stockApprox. 5 million shares
Approx. 1.95 million
shares
Total return
ratio70% or more 111.4%
ROE 8.0% or more (final fiscal year) 8.6%
(Yen)
0
50
100
FY2016 FY2017 FY2018 FY2019
Regular dividend Extra dividend
Phase 1
Dividend per share
20
10
20
40
7015
20
25
©2020 SANKI ENGINEERING CO., LTD. All Rights Reserved.
(1) Facilities Construction Business
Maintained solid results by ensuring appropriate work processes before orders are received and construction commences, by implementing next-generation site management systems such as work-sharing that leverages the rollout of on-site documents creation support systems, and by increasing the efficiency of allocation of personnel
・Reduced problems during construction
・Used the Sanki Techno Center to expand technology, skills, and safety management training
・Promoted work-style reforms for construction sites (through specialist site-support departments)
・Conducted cutting-edge job management using BIM
・Expanded application of energy-efficient construction technology in order to improve productivity
8
◆Strengthen Core Businesses (1)
[Status of Measures (1)]
©2020 SANKI ENGINEERING CO., LTD. All Rights Reserved.
(2) Facility Systems Business
・Rolled out new services by organizations that promote specialist consulting
・Developed construction departments in relation to BCPs, security, and central
monitoring, etc.
(3) Machinery Systems Business
・Commenced full-scale operation of the new Yamato Product Center (YPC) plant
・Promoted development of next-generation technologies such as hybrid systems
that combine robotics and transport equipment, with a focus on the YPC
(4) Environmental Systems Business
・Supported environmental social infrastructure that is essential to ensure stable
lifestyles, and contributed to SDGs
・Conducted activities to receive orders for DBO projects for public facilities, and
continuously expanded energy-saving and energy-producing projects
9
[Status of Measures (2)]
◆Strengthen Core Businesses (2)
©2020 SANKI ENGINEERING CO., LTD. All Rights Reserved.
[Status of Measures (3)]
10
◆Growth StrategyFull-scale operation of the Yamato Product Center
・Factory in Yamato City, Kanagawa Prefecture, operated by the Machinery Systems Business since September
⇒ Completion of the STeP project*The series of improvements conducted from fiscal 2016 is complete.
<Yamato Product Center>Full-scale operation in September 2019
<Interior of the Yamato Product Center >
* The STeP (Sanki Techno Park) Project
A project to redevelop the land and buildings on the Sanki Yamato Site (the
Sanki Yamato Building and the former Yamato Engineering Center), a real
estate holding of Sanki Engineering.
©2020 SANKI ENGINEERING CO., LTD. All Rights Reserved.
[Status of Measures (4)]
11
◆Enhance the Sanki Brand (1)
Improve Technology
78th National Industrial Safety and Health Convention
18th Electrical Construction Quality Competition
Social Contribution
Area beautification activities (conducted at each location)
Company and residents’ conference
Special joint safety patrol
©2020 SANKI ENGINEERING CO., LTD. All Rights Reserved.
[Status of Measures (5)]
12
◆Enhance the Sanki Brand (2)
Developed in order to facilitate more flexible work-styles as part of the
Smile Project, which began in 2015.
Smile Work Guidelines
<Basic Guidelines>
These guidelines outline basic principles to improve the environment in which all of
the employees of the Sanki Group work together. We hope to create a comfortable
and efficient workplace based on mutual respect.
1. Give due consideration to volume and difficulty of work assigned to employees
with limited knowledge or experience, and promptly provide support without
taking excessive time
2. Be aware of physical and mental differences, and give consideration to physical
load, late-night work, and returning home, etc., for colleagues of a different
gender
3. Be aware of the severity and situation of colleagues with physical or mental
handicap, and give consideration to the content of work assigned to them
4. Be aware and interested in the different lifestyles, customs, and values, etc., of
colleagues from overseas
5. Be aware of the life circumstances of each individual, irrespective of gender,
and support each other
<Human resources Development Guidelines>
These guidelines outline basic principles for professional development in a
range of situations and circumstances, not limited to relationships between
managers and subordinates. Professional development allows the
provision of safe and reliable equipment, goods, and services to customers,
and as a result, to increase customer satisfaction and gain the trust of
customers.
1. Educate each person as a member of society, rather than as a member
of the Sanki Group
2. Be aware of improving long-term abilities without paying undue
attention to the short-term concern of making an immediate impact,
and conduct strategic education accordingly
3. Give appropriate instructions, remaining aware of individual
characteristics such as beliefs, physical strength, knowledge, and
experience
4. Regularly follow up to ensure that professional development is
proceeding according to expectations. If professional development is
not going well, eliminate the cause of such, and correct course without
delay
5. Regularly conduct interviews, and ensure individuals track their own
development. Work to ensure interactive communication with others
while listening to their opinions and feelings
©2020 SANKI ENGINEERING CO., LTD. All Rights Reserved.
[Status of Measures (6)]
13
Status of Measures
EEnvironment
・Chubu branch: Received Automotive Eco-Factory certification
・Dispatched employees to the National Institute of Polar Research
Japanese Antarctic Research Expedition
・Continued contributions through SANKI YOU eco contribution points
SSociety
・Developed the Company’s original Smile Work Guidelines aimed at
work-style reforms (see p12)
・Held the 4th Ladies’ Conference
・Provided blood donation opportunities at the Sanki Techno Center
(There is a shortage of blood for transfusions due to the impact of the novel coronavirus
disease (COVID-19))
・Scored 3.5 stars in the Nikkei Smart Work Survey
・Continued to support culture and sport
GGovernance
・Conducted ongoing activities based on the Sanki Engineering
Corporate Governance Guidelines
◆ESG
©2020 SANKI ENGINEERING CO., LTD. All Rights Reserved.
[Status of Measures (7)]
14Hakodate Water Expo 2019
ENEX20204th Smart Building Expo
New advertisement
3rd Kochi Future of Sewerage Symposium
Tokyo Bay Thanksgiving Festival 2019
◆ Strengthen dissemination of information Increased dissemination of information through exhibitions, etc.
©2020 SANKI ENGINEERING CO., LTD. All Rights Reserved.
[Measures Against Novel Coronavirus Disease (COVID-19)]
15
〇Impact on resultsAlthough results have been incorporated that take into account the impact of the novel
coronavirus pandemic on business, business results may be further impacted due to
future spread of the impact of the novel coronavirus pandemic.
〇Basic policy towards the government’s declaration of a state of emergency1. Basic code of conduct to prevent spread of infection
・Do not go outside unless urgent and essential. Avoid the 3Cs
2. Emergency work systems
・Identify important work and reduce work volume
・Dispersed workplaces
・Promote working from home
・Implement staggered work times
3. Measures at construction sites
・Also implement emergency work systems at construction sites
・Consult with clients and contractors with regard to the continuation of work depending on the
circumstances of individual jobs・Share information with partners and affiliates based on the results of consultations
〇Establishment of a response headquartersThe Company established a response headquarters led by the President, in order to review the
Group’s measures relating to preventing the spread of novel coronavirus disease (COVID-19) and
responses and business continuation in the case of infection
©2020 SANKI ENGINEERING CO., LTD. All Rights Reserved.
16
Remarks on Business Forecast
The descriptions contained in these materials, except for those as to past or present facts, are based on
anticipations, assumptions, evaluations and estimations in light of the information available as of May 15, 2020.
Therefore, the actual results may differ from those presented herein as a consequence of various factors,
including uncertainties and prospective changes in the economic environment.
<Major factors>
● Credit exposures of client companies.
● Sudden changes in material and equipment cost and labor cost.
● Stock Market fluctuations.
● Increase in retirement benefits or debts.
● Country risk.
● Accident or disaster in facilities construction and other.
● Outbreak of the unprofitable project.
● Risk in the Real Estate Business.
● Risk of legal action.
● Risk of legal regulation.
● Outbreak to the natural disasters.
● Fluctuations in private capital investment
For inquiries, please contact:
Corporate Communications
Department
TEL: +81-3-6367-7041