First Quarter Financial Resultsfor FY2018
July 30, 2018

Securities Code: 6455

http://www.morita119.com/en© 2018 MORITA HOLDINGS CORPORATION

Consolidated Performance (1Q)bil. JPY
15Net sales

1011.07.7

50'14

bil. JPY
40'15'16'17

Order Intake
26.0

10'14'18
+26%
35.0

27.8

21.4

'15

-0.8

'17'180.03-0.2'14-0.6'15'16'17

Order Backlog

400-0.3-0.5

bil. JPY60

20'16

Operating Income

0.0
-0.4

32.2

010.7

12.1

8.3

30
20

+14%

bil. JPY
0.4

43.6
30.8

'1440.0+21%
48.3

24.7'15'16'17•

Net Sales increased by 14% YoY•

Operating income decreased by 0.23 billion yen YoY•

Order intake increased by 26% YoY, and order backlog increased by 21%⁃'18'18

While net sales decreased in FFV due to the delay in issuing China import license, FPES has grown
dynamically.

⁃Due to the cost for trade show and the influence of product mix.

⁃Order intake has grown steadily in FFV, FPES, and RM.

* FFV: Fire Fighting Vehicles *FPES: Fire Protection Equipment & Systems *RM: Recycling Machines *ECV: Environmental Conservation Vehicles© 2018 MORITA HOLDINGS CORPORATION
2Performance Composition by Quarter
Net Salesbil. JPY

1Q

10090
80

71.9

28.5(40%)

5040
30
20
100

3Q

85.1

7060

2Q

20.1(28%)68.6

32.2(38%)

4Q

85.5

Operating Incomebil. JPY

1Q

1188.0352(41%)

26.2(39%)

3Q

4Q

9.6
98.5

8.2
7.5

35.2(41%)2Q

757.0(65%)

4.1(49%)4.4(46%)
4.8(56%)

3.0.
(40%)

523.2(27%)

20.5(30%)

22.7(27%)

18.6(22%)16.8(20%)318.8(21%)

15.7(22%)13.6(20%)7.7(11%)8.3(12%)11.0(13%)10.7(12%)12.1(14%)'14'15'16'17'18

1-1

9.2
47.6(56%)

8.0(87%)

3.4(35%)3.2(38%)3.0(40%)1.5(18%)1.5(19%)

-0.5

0.03

-0.2

-0.3

-0.6

(-6%)

(0%)

(-2%)

(-4%)

(-6%)

'14'15'16'17'18

2.8(33%)2.1(21%)1.3(15%)1.8(19%)© 2018 MORITA HOLDINGS CORPORATION

3

Outlook for Segment Performance (Full year)
Net Salesbil. JPY

2017

60
40+3%
49.8

51.5+1%20

21.3+9%21.5
4.10FFVFPES4.5+2%
10.3

10.5

RM

ECV

+4%+14%

Operating Incomebil. JPY

201782018E+9%642018E

5.5

6.0+9%

2

2.10FFV

2.3

FPES

0.19

0.20

RM

0.60.7

ECV© 2018 MORITA HOLDINGS CORPORATION

4

Fire Fighting Vehicles (1Q)bil. JPY
6bil. JPY
0.4

Net Sales
-14%

4

4.2

4.7

4.02
1.4

0'14

bil. JPY
40'16'17'18

+26%
27.2
20.8

10-0.422.8-1.2'14

28.8

'14

20

-0.3
-0.9

'16'17'15'18'16'17'18Order Backlog

+23%

35.9

37.3

24.030.216.01015.1'15-0.6-0.6

30

00-0.3bil. JPY
40

Order Intake

30
200.0-0.8

1.8'15

Operating Income'14'15'16'17•

Net sales decreased by 14% YoY•

Operating income decreased by 0.6 billion yen YoY•

Order intake increased by 26% YoY, and order backlog increased by 23%'18⁃

Delay in issuing import license occurred due to the system change in China.

⁃Due to the cost for Tokyo International Fire and Safety Exhibition 2018, which is held once a 5 years, andthe influence of product mix.

⁃Both domestic and overseas have grown steadily.

© 2018 MORITA HOLDINGS CORPORATION

5Fire Protection Equipment & Systems (1Q)bil. JPY
6Net Sales+56%

bil. JPY
0.3

5.2

0.2

4
3.6

2

3.8

3.8

Operating Income
0.3
0.2

0.1

3.3

0.1

0.2

0.0

0'14

bil. JPY
3'15'16'17

Order Intake

2'18

+57%
2.4

1

1.1

0'14

1.4'15

1.3'16'14

bil. JPY
4'15'17'18

Order Backlog

+40%
3.7

2.7
2.0

1'18'1632

1.5'17

-0.01

-0.1

00.9'141.2'15'16'17•

Net sales increased 56% YoY•

Operating income increased 0.3 billion yen YoY•

Order intake increased by 57% YoY, and order backlog increased by 40%⁃'18

Sales of SPRINEX has increased dynamically partly because of the abundant order backlog at thebeginning of the fiscal year.

⁃Due to the positive impact by the increase in sales of SPRINEX.

⁃

Order intake of SPRINEX remained robust.

© 2018 MORITA HOLDINGS CORPORATION

6

Recycling Machines (1Q)bil. JPY
0.9Net Sales
0.8

0.6

0.6

0.6

0.3
0.0'14bil. JPY
3+13%0.8'15'16'17

0.6

bil. JPY
0.05
0.00
-0.05

'18-0.10

32.1

1

1.3
0.8

0'14'15'16

1.2'17-0.1'14bil. JPY
4

Order Intake

2

Operating Income-29%
0.8'182-0.1'15-0.03-0.01'16'17'18

Order backlog
3.9

+2%

3.0

2.6

2.6

'17'181.6

10-0.03'14'15'16•

Net sales increased by 13% YoY•

Operating income increased by 0.02 billion YoY•

Order intake decreased by 29% YoY, and order backlog increased by 2%⁃Due to the steady growth in sales of maintenance and service.

⁃Deficit shrank in accordance with the increase in sales.

⁃Due to the delay of timing of product order intake.

© 2018 MORITA HOLDINGS CORPORATION

7

Environmental Conservation Vehicles (1Q)bil. JPY
3

Net Sales
+8%

2
1.9

2.0

2.2

2.1

2.2

bil. JPY
0.3
0.2

1

0.1

0

0.0'14bil. JPY
4'15'17'18Oder Intake
+28%

3
2.8

2'16

2.7

3.0

2.9
2.3

0'14'15'16'17'18

0.2'14

+164%
0.1
0.04

'15'16'17'18

Order Backlog+3%400.20.1bil. JPY
621

Operating Income

2.9'14

3.6'15

4.1'164.5

4.6'17'18•

Net sales increased by 8% YoY•

Operating income increased by 0.07 billion yen•

Order intake increased by 28% YoY, and order backlog increased by 3 %⁃Due to the normalization of delay in production line caused by the relocation of factory in May 2017.

⁃

Due to the normalization of delay in production line and positive impact by the increase in sales.

⁃Due to the rebound in demand for garbage collectors which has declined in the previous year inaccordance with a new emission regulation.
© 2018 MORITA HOLDINGS CORPORATION

8This document contains forward-looking statements. Where any such forward-looking statement
includes a statement of the assumptions, bases underlying such a forward-looking statement, oreconomic environment in the primary markets and fluctuations of demand and supply, MoritaHoldings cautions that assumed facts for bases almost always vary from the actual results, anddifferences between assumed facts or bases and actual results can be material, depending upon thecircumstances. Where, in any forward-looking statement, Morita Holdings or its management
expresses an expectation or belief as to future results, there can be no guaranty or assurance thatthe statement of expectation or belief will result or be achieved or accomplished. The words“forecast”, “project”, “believe”, “expect”, “anticipate”, and similar expressions may identify forwardlooking statements.
Taking into account the foregoing, the following are identified as important factors, risks or
uncertainties that cause the actual results to differ materially from those expressed in any forwardlooking statement made by, or on behalf of, Morita Holdings: competitive factors, including and not
limited to, pricing, the implementation of Morita Holdings’ product strategies, and economic trends inimportant markets worldwide.
Morita Holdings assumes no obligation to update its forward-looking statements or to advise of
any changes in the assumptions and factors on which they are based.
© 2018 MORITA HOLDINGS CORPORATION