Slide 1: 3Q FY2022 Presentation Material
mst er @A CyberAgent. ENGLISH 3Q FY2022 Presentation Material April to June 2022 (duly 27,2022)
Slide 2: Forward-looking statement
[Forward-looking statement] The future information, such as earnings forecast, written in this document is based on our expectations and assumptions as of the date the forecast was made. Our actual results could differ materially from those described in this forecast because of various risks and unc
Slide 3: Contents
0. Contents 1. Quarterly Results (April - June 2022) 2. Forecast 3. Internet Advertisement Business 4. Game Business 5. Media Business 6. Medium to long-term strategy 2
Slide 4: Quarterly Results (April - June 2022)
1. Quarterly Results (April – June) Quarterly Results (April - June 2022) 3
Slide 5: FY2022 Q3 results summary
1. Quarterly Results (April – June) Game sales declined from the peak made by the title released last FY2022 year. Advertising and Media business remained strong. 172.1 billion yen down 10.4% YoY Q3 Sales: OP: 10.3 billion yen down 76.7% YoY Sales growth driven by ABEMA PPV and related businesses. M
Slide 6: Consolidated Sales 172.1 billion yen
1. Quarterly Results (April – June) [Consolidated Sales] 172.1 billion yen (down 10.4% YoY) Game sales declined from the peak made by the title released last year. Advertising and Media business remained strong. 192.2 191.1 179.7 171.0 172.1 163.4 129.1 131.0 Billion Yen 120.8 117.3 113.6 111.7 115.
Slide 7: Consolidated OP 10.3 billion yen
1. Quarterly Results (April – June) [Consolidated OP] 10.3 billion yen (down 76.7% YoY) 44.5 26.8 25.8 25.7 19.8 Billion Yen 12.4 11.4 10.3 9.4 8.6 8.2 8.2 7.4 7.7 6.8 7.0 5.3 5.3 3.6 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q FY2018 FY2019 FY2020 FY2021 FY2022 6
Slide 8: SG&A Expenses Q3 37.8 billion yen
1. Quarterly Results (April – June) [SG&A Expenses] Q3 37.8 billion yen Special incentives Marketing expenses of "WINTICKET“ has increased. Other* 37.8 Research and development expenses 37.1 37.1 Office costs 1.4 34.6 Personnel 7.7 8.5 Advertisement cost 30.6 30.8 29.7 9.4 8.1 28.9 28.9 27.3 1.4 1.7
Slide 9: Number of Employees
1. Quarterly Results (April – June) [No. of Employees] Total headcount was 6,406 at the end of June. Investment Development (349 new graduates joined in April) Headquarters 6,406 6,267 14 Other 6,089 6,171 13 352 5,958 12 12 394 Game 12 395 393 5,467 5,493 5,549 5,535 384 Internet Ad 5,433 12 12 798
Slide 10: Quarterly Results: PL
1. Quarterly Results (April – June) [PL] million yen FY2022 Q3 FY2021 Q3 YoY FY2022 Q2 QoQ Net Sales 172,155 192,234 -10.4% 191,102 -9.9% Gross profit 48,227 75,433 -36.1% 62,885 -23.3% SG&A expenses 37,855 30,851 22.7% 37,162 1.9% Operating profit 10,371 44,581 -76.7% 25,723 -59.7% OPM 6.0% 23.2% -
Slide 11: Quarterly Results: BS
1. Quarterly Results [BS] End of End of End of million yen YoY QoQ June. 2022 June. 2021 Mar. 2022 Current assets 286,447 272,884 5.0% 303,905 -5.7% Cash deposits 167,264 146,607 14.1% 177,567 -5.8% Fixed assets 88,220 70,785 24.6% 81,792 7.9% Total assets 374,695 343,717 9.0% 385,731 -2.9% Current
Slide 12: FY2022 Forecast
2. Forecast FY2022 Forecast October 2021 - September 2022 11
Slide 13: FY2022 forecast: sales 700 billion yen, OP 70 billion yen
2. Forecast 700.0 700 billion yen (up 5.0% YoY) Sales 666.4 OP 70 billion yen (down 32.9% YoY) 104.3 Continue to increase revenues despite a pullback in 478.5 the game business. 453.6 70.0 Aim for stable growth while keep investing in ABEMA. 419.5 371.3 310.6 254.3 36.7 205.2 33.8 32.7 Sales 30.7 30
Slide 14: Forecast and dividend forecast
2. Forecast [Forecast] FY2022 Unit: billion yen FY2021 YoY Forecast Net Sales 700 666.4 5.0% Operating profit 70 104.3 -32.9% Ordinary profit 70 104.6 -33.1% Net profit*1 25 41.5 -39.8% [Dividend forecast*2] Dividend increased to meet the DOE guidance. Dividend 14 yen 11 yen 27.3% *1 Net profit: Pro
Slide 15: Progress to full-year forecast
2. Forecast [Progress to Full-year Forecast after revision] Sales 534.3B 76.3% 700B Operating profit 55.8B 79.9% 70B Ordinary profit 56.2B 80.4% 70B Net profit 20.7B 82.8% 25B 0% 25% 50% 75% 100% 14
Slide 16: Internet Advertisement Business
3. Internet Advertisement Business Internet Advertisement 15
Slide 17: Internet Ad quarterly sales 99.5 billion yen
3. Internet Advertisement Business [Quarterly Sales] Q3 99.5 billion yen (up 21.6% YoY) Sales surpassed last quarter, which was in the 99.5 97.0 demand season, and achieved a new record high. 87.8 81.8 82.2 80.6 76.5 72.7 Billion yen 66.6 67.3 64.3 64.3 64.9 62.2 63.3 61.4 60.2 61.3 57.6 1Q 2Q 3Q 4Q
Slide 18: Internet Ad quarterly OP 6.19 billion yen
3. Internet Advertisement Business [Quarterly OP] OP was 6.19 billion yen (up 19.0% YoY) Headcounts are increased mainly by the new graduates. Investments in DX is still ongoing. OP 7.47 7.23 OP Margin 6.72 Billion yen 6.37 6.19 5.66 5.70 5.74 5.52 5.43 5.20 5.04 4.99 4.91 4.69 4.74 4.52 4.24 4.23 9
Slide 19: Focus area: data-driven advertising with partners
3. Internet Advertisement Business [Focus Area] Drive DX in collaboration with partner companies to create advertising businesses utilizing data. Partner Companies Market Size Estimate in Retail Advertising Business*1 ¥1.5T(E) Retail Finance 1％ Mobility Telcom Commercial Sales Value ¥150T Create adv
Slide 20: DX business cases with partner companies
3. Internet Advertisement Business [Focus Area] Expand the number of DX business cases in collaboration with partner companies. NTT DOCOMO, INC. New MUFG Bank, Ltd. Coming soon Established joint company Prism Partner Inc. Agreed to collaborate on advertising business that Provide digital promotion a
Slide 21: Game Business
4. Game Business Game @A CyberAgent. 20
Slide 22: Game quarterly sales 46.2 billion yen
4. Game Business [Quarterly Sales] Q3 46.2 billion yen. (down 50.0% YoY) Sales decreased due to the big events in the previous quarter. 92.3 76.4 69.0 63.9 58.3 Billion yen 44.8 46.2 40.4 39.9 38.2 39.0 36.8 37.7 36.7 35.5 36.3 35.2 33.7 29.9 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q １Q 2Q 3Q 4Q １Q 2Q 3Q
Slide 23: Game quarterly OP 9.8 billion yen
4. Game Business [Quarterly OP] Q3 9.8 billion yen (down 77.6% YoY) 44.2 28.1 23.2 21.3 17.1 Billion yen 10.4 9.8 8.5 8.3 7.4 7.5 7.4 6.7 7.0 5.6 5.1 4.3 3.1 1.1 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q FY2018 FY2019 FY2020 FY2021 FY2022 *Quarterly OP and OPM: Special incentives in F
Slide 24: Uma Musume Pretty Derby downloads exceed 15 million
4. Game Business [Uma Musume Pretty Derby*1] The number of downloads exceed 15 million Jun.10 in sixteen months. The game has been 15M actively launched new collaborative Apr.1 campaigns and tv commercials. 14M Number of downloads Sep.20 12M Sep.20 10M Jun.10 8M Apr.27 6M Mar.30 4M A collaborative c
Slide 25: Uma Musume Korean and Traditional Chinese versions
4. Game Business [Uma Musume Pretty Derby*1] Korean and traditional Chinese version have released. New animation to be rolled out. Korean Version*2 Traditional Chinese Version*3 Released on Released on (Taiwan, Hong Kong, Macau) June 20 June 27 New Animation New Short Anime Series ”Umayuru”*4 To be
Slide 26: Upcoming games
4. Game Business [Upcoming Games] “Little Noah: Scion of Paradise,” a console game has released on June 28. Three popular IP titles are to be launched. “Little Noah: Scion of Paradise” *1 Console Game “FINAL FANTASY VII EVER CRISIS”*3 RPG Cygames, Inc. Released on SQUARE ENIX CO., LTD. / Applibot, I
Slide 27: Media Business
5. Media Business Media @A CyberAgent. 26
Slide 28: Media quarterly sales and OP
5. Media Business [Quarterly Sales] [Quarterly OP] 29.5 billion yen (up 48.2% YoY) -3.9 billion yen operating loss in Q3. ABEMA PPV and the related Invested in ABEMA and WINTICKET. business grew. 29.5 27.3 24.9 FY2018 FY2019 FY2020 FY2021 FY2022 22.6 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1
Slide 29: ABEMA exceeded 81 million downloads
5. Media Business 81M DL Exceeded 81 million downloads in six years and three months after the launch. Downloads April 2016 Release 28 Apr. Jun. Sep. Dec. Mar. Jun. Sep. Dec. Mar. Jun. Sep. Dec. Mar. Jun. Sep. Dec. Mar. Jun. Sep. Dec. Mar. Jun. Sep. Dec. Mar. Jun. 2016 2017 2018 2019 2020 2021 2022
Slide 30: ABEMA popular programs and rankings
5. Media Business [ABEMA] Popular anime, dating reality shows, sports programs attracted many attentions. Top 10 Ranking 1H 2022 Numbers of comments Top 3 1H 2022 Dating Variety Reality Anime Show Yogibo presents THE MATCH 2022 Voice Actors show #12 Variety Show Variety Show Dating Reality Dating Re
Slide 31: ABEMA WAU reached 17.09 million
5. Media Business [ABEMA] ABEMA was the exclusive live broadcaster of the anticipated fight event “THE MATCH 2022.” WAU reached 17.09 million, the second highest in its history. 18.25 17.09 16.3 Growth of WAU* 15.46 15.14 14.90 14.89 14.56 14.49 14.69 14.23 14.03 13.9313.97 13.64 13.30 13.21 13.89 1
Slide 32: THE MATCH 2022 PPV sales
5. Media Business [ABEMA] The long-awaited matchup between Tenshin Nasukawa and Takeru at “THE MATCH 2022” driven PPV ticket sales over 500,000 and achieved the highest grossing ppv sales of all time in Japan*. *The highest grossing ppv sales of all time in Japan: Number of PPV tickets sold for comb
Slide 33: ABEMA to broadcast Premier League
5. Media Business [ABEMA] ABEMA will broadcast the 2022/23 season of the Premier League.* Free live streaming of high-profile matches and Japan's national team players will be available every week. *Premier League: ABEMA will broadcast the new season starting from August 6 (JST). ©AbemaTV, Inc. 32
Slide 34: New program THE VOICE ahead of FIFA World Cup
5. Media Business [ABEMA] To build excitement for the "FIFA World Cup," a new program "THE VOICE*" featuring Japan's national team players will begin. ©AbemaTV, Inc. 33 *THE VOICE: starting from July 13.
Slide 35: Sales of ABEMA and related businesses
5. Media Business [Sales of ABEMA & Related Businesses (Quarterly)] Q3 19.0 billion yen (up 1.8X YoY) Sales increase driven by ABEMA PPV ONLINE LIVE and the related businesses. 19 16.9 PPV 15.2 13.3 Related 10.3 10.4 10.5 Businesses 7.9 Monthly 4.7 Subscription 4.5 3.9 3.6 3.5 3.2 3.3 Billion Yen 2.
Slide 36: WINTICKET transaction amount
5. Media Business [WINTICKET] The transaction amount grew 1.9x and remained strong. Quarterly Transaction Amount*1 New Commercials*2 73.5 67.9 Billion yen 52.8 44.6 39.3 31.9 19.2 13.7 7.2 3.5 1.7 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q FY2020 FY2021 FY2022 *1 Quarterly Transaction Amount: Transaction amou
Slide 37: WINTICKET market share in Keirin market
5. Media Business [WINTICKET] Continuously expanding the market share in the growing market. Keirin Market*1 Keirin Online Betting Market*2 964.6 WINTICKET Launched in Others 34% April 2019 2022 Billion yen 750.0 Apr. to Jun. 654.1 660.5 Approx. ¥200.7B 640.0 1.4X Online 730.1 531.6 23% 362.6 2021 3
Slide 38: ABEMA medium and long-term sales pipeline
5. Media Business [ABEMA] Medium and Long-Term Sales Pipeline Accelerate monetization by related businesses etc. while increasing advertising and subscription revenues. Related Business etc. Subscription Advertising 37
Slide 39: Medium to Long-Term Strategy
6. Medium to Long-Term Strategy Medium to Long-Term Strategy 38
Slide 40: Directions of each business
6. Medium to Long-Term Strategy [Directions of each business] Media Grow ABEMA larger and increase monetization Aim to increase the market share by Ad maximizing advertising effectiveness. Game Make successful games and enhance the operational capability to run long term games 39
Slide 41: Operating profit in medium to long-term (image)
6. Medium to Long-Term Strategy [Operating Profit in Medium to long-term (Image)] Accumulate profit through Ad Business and Game Business, invest in Media Business to grow as a pillar for the medium to long-term. 40
Slide 42: Aiming to be a company with medium to long-term supporters
Aiming to be a company with medium to long-term supporters
Slide 43: Integrated Report CyberAgent Way 2021
Integrated Report CyberAgent Way 2021 The theme of the Integrated Report for fiscal 2021 is the Purpose set in October 2021, “To break through stagnation with new power and the internet.” It covers a variety of measures that support our sustainable growth, including competitive advantage and ESG inf