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Results Meeting for 1 st Quarter of FY2009 (April 1 – June 30, 2009) August 5, 2009 Nippon Television Network Corporation

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Page 1: Results Meeting for 1 Quarter of FY2009 (April 1 – June 30, 2009) › english › › ir › pdf › 20090910.pdf · 2012-04-20 · for 1st Quarter of FY2009 (April 1 – June 30,

Results Meetingfor 1st Quarter of FY2009(April 1 – June 30, 2009)

August 5, 2009Nippon Television Network Corporation

Page 2: Results Meeting for 1 Quarter of FY2009 (April 1 – June 30, 2009) › english › › ir › pdf › 20090910.pdf · 2012-04-20 · for 1st Quarter of FY2009 (April 1 – June 30,

Statements made in this presentation with respect to NTV' s current plans, strategies and beliefs as well as other statements that are not historical facts are forward-looking statements. Such forward-looking statements are based on management's assumptions and beliefs in light of the information currently available to it. These forward-looking statements involve risks and uncertainties that could cause actual results to differ materially from those discussed in the forward-looking statements, and therefore you should not place undue reliance on them. We do not intend to update these forward-looking statements, whether as a result of new information, future events or otherwise, except as may be required by applicable laws.

Page 3: Results Meeting for 1 Quarter of FY2009 (April 1 – June 30, 2009) › english › › ir › pdf › 20090910.pdf · 2012-04-20 · for 1st Quarter of FY2009 (April 1 – June 30,

Operating Results

3

Non-consolidated FY08 1Q FY09 1Q %

Net sales 69,373 61,747 △11.0

Operating income 1,886 5,425 187.5

Recurring profit 3,062 6,588 115.2

Net income 1,299 4,083 214.2

Consolidated FY08 1Q FY09 1Q %

Net sales 80,252 69,086 △13.9

Operating income 2,874 4,719 64.2

Recurring profit 4,004 6,076 51.7

Net income 1,505 3,875 157.4

(Unit: Millions of yen)

(Unit: Millions of yen)

Page 4: Results Meeting for 1 Quarter of FY2009 (April 1 – June 30, 2009) › english › › ir › pdf › 20090910.pdf · 2012-04-20 · for 1st Quarter of FY2009 (April 1 – June 30,

TV Broadcasting Sales(Non-consolidated)

4

FY08 1Q FY09 1Q Decrease %

Total 58,680 50,118 △8,561 △14.6

Time 32,455 27,007 △5,447 △16.8

Spot 26,225 23,111 △3,114 △11.9

(Unit: Millions of yen)

0

10000

20000

30000

40000

50000

60000

70000

FY08 1Q FY09 1Q

Spot

Time

Page 5: Results Meeting for 1 Quarter of FY2009 (April 1 – June 30, 2009) › english › › ir › pdf › 20090910.pdf · 2012-04-20 · for 1st Quarter of FY2009 (April 1 – June 30,

Events/Content Business Sales(Non-consolidated)

5

Business Type FY09 1Q %

Events Events 1,576 24.8

TVBS・CS・CATV・Others

1,386 6.7

Content

Rights 375 △22.0OverseasSales 191 △44.1

Media Commerce 2,176 55.5

Publications 139 △24.5

Movies 2,118 7.5

Others 64 △34.0

Total 8,025 14.1

(Unit: Millions of yen)

Page 6: Results Meeting for 1 Quarter of FY2009 (April 1 – June 30, 2009) › english › › ir › pdf › 20090910.pdf · 2012-04-20 · for 1st Quarter of FY2009 (April 1 – June 30,

FY08 1Q FY09 1Q Decrease %

Production Costs 30,641 23,259 △7,381 △24.1

Production Costs(Non-consolidated)

6FY08 1Q FY09 1Q

(Unit: Millions of yen)

Page 7: Results Meeting for 1 Quarter of FY2009 (April 1 – June 30, 2009) › english › › ir › pdf › 20090910.pdf · 2012-04-20 · for 1st Quarter of FY2009 (April 1 – June 30,

Forecast for FY2009

7

1st Half Net Sales Operating Income

Recurring Profit Net Income

Consolidated 143,700 1,700 3,800 1,900

Non-consolidated 122,600 500 2,500 1,300

Preconditions 1H 2H Fiscal year

Time △16.9% △10.0% △13.5%

Spot △13.0% △8.0% △10.5%

Production Costs △18.5% △5.7% △12.7%

Dividends InterimPeriod

End of Period Yearly

FY 09 90 90 180

FY 08 90 90 180

Fiscal year Net Sales Operating Income

Recurring Profit Net Income

Consolidated 291,900 10,500 14,200 7,800

Non-consolidated 249,400 7,700 10,700 5,900

(Unit: Millions of yen)

(Unit: Millions of yen)

(Unit: Yen)

Forecast figures are the same as those reported in May 2009

Page 8: Results Meeting for 1 Quarter of FY2009 (April 1 – June 30, 2009) › english › › ir › pdf › 20090910.pdf · 2012-04-20 · for 1st Quarter of FY2009 (April 1 – June 30,

CAPEX and Depreciation

8

FY09 1Q CAPEX Depreciation

Consolidated 0.2 2.3

Non-consolidated 0.1 2.0

Forecast figures are the same as those reported in May 2009

Forecast for 2009 CAPEX Depreciation

Consolidated 5.1 10.2Non-consolidated 4.5 9.2

(Unit: Billions of yen)

(Unit: Billions of yen)

Page 9: Results Meeting for 1 Quarter of FY2009 (April 1 – June 30, 2009) › english › › ir › pdf › 20090910.pdf · 2012-04-20 · for 1st Quarter of FY2009 (April 1 – June 30,

Ratings Topics

9

Fiscal yearly 2009 (3/30/2009-7/26/2009)

NTV TBS CX EX TX HUT

All Day 8.1↑ 6.3 8.4 7.7 3.2 41.8

Last year 7.9 7.2 8.5 7.6 3.5 42.5

Prime time 12.3↑ 9.8 13.2 11.8 6.7 62.5

Last year 12.1 11.0 13.6 11.6 7.4 64.1

Golden time 12.0 9.7 13.1 11.0 7.1 63.7

Last year 12.0 11.2 13.6 10.8 7.8 65.5

Non-prime time 6.9↑ 5.3 7.0 6.5 2.2 35.9

Last year 6.8 6.2 7.0 6.4 2.4 36.3

Page 10: Results Meeting for 1 Quarter of FY2009 (April 1 – June 30, 2009) › english › › ir › pdf › 20090910.pdf · 2012-04-20 · for 1st Quarter of FY2009 (April 1 – June 30,

Result of Programming Reformsfor April ①

10

Page 11: Results Meeting for 1 Quarter of FY2009 (April 1 – June 30, 2009) › english › › ir › pdf › 20090910.pdf · 2012-04-20 · for 1st Quarter of FY2009 (April 1 – June 30,

Result of Programming Reformsfor April ②

11

Page 12: Results Meeting for 1 Quarter of FY2009 (April 1 – June 30, 2009) › english › › ir › pdf › 20090910.pdf · 2012-04-20 · for 1st Quarter of FY2009 (April 1 – June 30,

Result of Programming Reformsfor April ③

12

Page 13: Results Meeting for 1 Quarter of FY2009 (April 1 – June 30, 2009) › english › › ir › pdf › 20090910.pdf · 2012-04-20 · for 1st Quarter of FY2009 (April 1 – June 30,

Improvement of Corporate Capability Programming Reforms for October

13

Based on positive corporate capability reform results, continue strengthening weak points while conducting minimal reforms

“Ladies’ night” every Tuesday

Wed 22:00-F1 and F2-geared drama with a woman as the main character

Sat 21:00-Family-oriented school drama

20:00 “DANCING SANMA PALACE”21:0022:00 “Majotachi no 22ji”

End program 2 minutes earlier at 19:56!Strengthen content

Page 14: Results Meeting for 1 Quarter of FY2009 (April 1 – June 30, 2009) › english › › ir › pdf › 20090910.pdf · 2012-04-20 · for 1st Quarter of FY2009 (April 1 – June 30,

Program Production

14

Page 15: Results Meeting for 1 Quarter of FY2009 (April 1 – June 30, 2009) › english › › ir › pdf › 20090910.pdf · 2012-04-20 · for 1st Quarter of FY2009 (April 1 – June 30,

April May June July (forecast)

Spot sales yoy △13.4% △11.3% △10.8% about △5%

Share 23.5% 23.3% 23.2% about 24%

Sales Strategies ①

15

Share NTVJuly 2008 22.6%

July 2009 (forecast) about 24%In/decrease 1.4↑

Page 16: Results Meeting for 1 Quarter of FY2009 (April 1 – June 30, 2009) › english › › ir › pdf › 20090910.pdf · 2012-04-20 · for 1st Quarter of FY2009 (April 1 – June 30,

Sales Strategies ②Time Ad Sales Countermeasures

16

Page 17: Results Meeting for 1 Quarter of FY2009 (April 1 – June 30, 2009) › english › › ir › pdf › 20090910.pdf · 2012-04-20 · for 1st Quarter of FY2009 (April 1 – June 30,

Restructuring Strategy for VAP Inc.

17

We aim to reinforce our alliances among the NTV Group. To present, we have been collaborating with our subsidiary company VAP Inc. in films, drama series and variety shows, etc. Under these current severe market conditions, we will strengthen our support.

Page 18: Results Meeting for 1 Quarter of FY2009 (April 1 – June 30, 2009) › english › › ir › pdf › 20090910.pdf · 2012-04-20 · for 1st Quarter of FY2009 (April 1 – June 30,

VAP’s Approach ①

18

Comparison chart of DVD software sales

Compared to May 2008Sell-through 58.2%Rental 100%

Source: Japan Video Software Association (JVA)

Page 19: Results Meeting for 1 Quarter of FY2009 (April 1 – June 30, 2009) › english › › ir › pdf › 20090910.pdf · 2012-04-20 · for 1st Quarter of FY2009 (April 1 – June 30,

VAP’s Approach ②

19

20th Century Boys –Chapter 2 –DVD release date: August 28

Page 20: Results Meeting for 1 Quarter of FY2009 (April 1 – June 30, 2009) › english › › ir › pdf › 20090910.pdf · 2012-04-20 · for 1st Quarter of FY2009 (April 1 – June 30,

Content Strategy: Advancing Overseas

20

a

Page 21: Results Meeting for 1 Quarter of FY2009 (April 1 – June 30, 2009) › english › › ir › pdf › 20090910.pdf · 2012-04-20 · for 1st Quarter of FY2009 (April 1 – June 30,

“Reversed Black Ships” Sail from NTV to the World

21

First broadcast of ”Reversed Black Ships”

Scene from studio

Page 22: Results Meeting for 1 Quarter of FY2009 (April 1 – June 30, 2009) › english › › ir › pdf › 20090910.pdf · 2012-04-20 · for 1st Quarter of FY2009 (April 1 – June 30,

“Reversed Black Ships” Sail from NTV to the World

22

“Revenge of the Pie”

Page 23: Results Meeting for 1 Quarter of FY2009 (April 1 – June 30, 2009) › english › › ir › pdf › 20090910.pdf · 2012-04-20 · for 1st Quarter of FY2009 (April 1 – June 30,

Reference Materials for Financial Results

Page 24: Results Meeting for 1 Quarter of FY2009 (April 1 – June 30, 2009) › english › › ir › pdf › 20090910.pdf · 2012-04-20 · for 1st Quarter of FY2009 (April 1 – June 30,

Spot SalesFY09 1Q Share % FY08 1Q Share %

1 Cosmetics/Toiletries 10.7 △ 6.2 Cosmetics/Toiletries 10.0 △ 3.12 Pharmaceutical 8.9 3.4 Non-alcohol 8.6 △ 11.03 Non-alcohol 7.9 △ 19.0 Alcohol 8.4 △ 6.04 Alcohol 7.8 △ 18.0 Electronic equipment 8.2 △ 5.05 Electronic equipment 7.6 △ 18.5 Pharmaceutical 7.6 4.56 Automobile 5.9 △ 26.7 Automobile 7.1 △ 1.27 Service 5.7 0.8 Transportation/

Telecommunications 7.0 △ 6.1

8 Transportation/Telecommunications 5.7 △ 28.5 Service 5.0 3.6

9 Foods (Dairy product/Seasoning) 5.6 6.9 Foods (Other) 4.8 0.4

10 Box-office/Entertainment 5.1 7.6 Foods(Dairy product/

Seasoning) 4.6 △ 12.2Other 29.1 △ 10.6 Other 28.7 △ 19.3Total 100.0 Total 100.0

Page 25: Results Meeting for 1 Quarter of FY2009 (April 1 – June 30, 2009) › english › › ir › pdf › 20090910.pdf · 2012-04-20 · for 1st Quarter of FY2009 (April 1 – June 30,

Forecast for Business Segments

25

Fiscal year Television Broadcasting

Cultural Activities Other Elimination/

Corporate Consolidated

Net sales 219,100 66,200 15,000 △8,400 291,900

Operating income 18,100 2,800 2,600 △13,000 10,500

1st Half TelevisionBroadcasting

Cultural Activities Other Elimination/

Corporate Consolidated

Net sales 106,400 34,300 7,000 △4,000 143,700

Operating income 5,900 1,100 1,200 △6,500 1,700

Forecast figures are the same as those reported in May 2009

(Unit: Millions of yen)

(Unit: Millions of yen)

Page 26: Results Meeting for 1 Quarter of FY2009 (April 1 – June 30, 2009) › english › › ir › pdf › 20090910.pdf · 2012-04-20 · for 1st Quarter of FY2009 (April 1 – June 30,

Viewer Ratings

26

NTV TBS CX EX TX HUT

All Day 8.4↑ 7.0 8.6 7.9 3.3 43.0

Last year 8.3 7.4 8.7 7.7 3.7 43.3

Prime time 12.6↑ 10.3 13.4 12.3 6.9 63.8

Last year 12.4 11.3 13.6 11.8 7.7 64.6

Golden time 12.4↑ 10.3 13.4 11.6 7.3 65.0

Last year 12.3 11.4 13.7 11.0 8.1 66.0

Non-prime time 7.2↑ 6.1 7.2 6.7 2.3 37.1

Last year 7.1 6.3 7.2 6.5 2.5 37.2

Yearly 2009 (12/29/2008-7/26/2009)

Page 27: Results Meeting for 1 Quarter of FY2009 (April 1 – June 30, 2009) › english › › ir › pdf › 20090910.pdf · 2012-04-20 · for 1st Quarter of FY2009 (April 1 – June 30,

NTV Content Floods Overseas Airwaves

27

U.K. version of “Money no Tora” titled “Dragons’ Den” Season 6

Photographer: Rolf Marriott

Page 28: Results Meeting for 1 Quarter of FY2009 (April 1 – June 30, 2009) › english › › ir › pdf › 20090910.pdf · 2012-04-20 · for 1st Quarter of FY2009 (April 1 – June 30,

NTV Content Floods Overseas Airwaves

28

U.S. version “Silent Library”logo

Page 29: Results Meeting for 1 Quarter of FY2009 (April 1 – June 30, 2009) › english › › ir › pdf › 20090910.pdf · 2012-04-20 · for 1st Quarter of FY2009 (April 1 – June 30,

Main Movie Lineup for FY09

29

Title Release date Distributor

Head Organizer

GOKUSENTHE MOVIE July 11th TOHO

Head Organizer SUMMER WARS August 1st WARNER BROS.

Head Organizer

20th Century Boys -Chapter 3- August 29th TOHO

Head Organizer Kaiji October 10th TOHO

Head Organizer

Boku no Hatsukoi wo Kimi ni Sasagu October 24th TOHO

Head Organizer Nakumonka November 14th TOHO

Head Organizer BANDAGE January 2010 TOHO

Page 30: Results Meeting for 1 Quarter of FY2009 (April 1 – June 30, 2009) › english › › ir › pdf › 20090910.pdf · 2012-04-20 · for 1st Quarter of FY2009 (April 1 – June 30,