Lifull Co.ltd. · TSE:2120

Lifull Co.ltd — Q3 FY2021/9 Earnings Presentation

45 slides from Lifull Co.ltd's earnings presentation, August 2021

  1. Slide 1: LIFULL Co., Ltd. Third Quarter Results FY2021/9 Q3

    LIFULL Co., Ltd. Third Quarter Results irs FY2021/9 Q3 (October 2020 - June 2021) Disclaimer The opinions and projections, etc. contained herein represent the judgment of LIFULL Co, Ltd. at the time this document was prepared, Please be aware that various reasons. We provide no guarantees regarding

  2. Slide 2: Index

    Index 1. FY 2021/9 Third Quarter Financial Results 2. Segment Update HOME’S Services Overseas 4. Appendices 5. IR Team Contact Information rq LJ eIFULL Py PQ P 20 P27 PAA

  3. Slide 3: Third Quarter Financial Results

    r “I Third Quarter Financial Results L (October 1, 2020 - June 30, 2021) a | rq LJ LIFULL

  4. Slide 4: – 26,892 26,925 +33 +0.1% *1 3,143 2,892 -250 -8.0% *2 20,074 21,358 +1,284

    – 26,892 26,925 +33 +0.1% *1 3,143 2,892 -250 -8.0% *2 20,074 21,358 +1,284 +6.4% 6,175 6,662 +487 +7.9% *3 8,327 8,911 +584 +7.0% *4 358 284 -74 -20.7% *5 1,493 1,487 -6 -0.4% 3,720 4,012 +292 +7.9% *6 12 -198 -210 - 3,686 2,476 -1,210 -32.8% 13.7% 9.2% -4.5pt - 2,323 1,477 -846 -36.4%

  5. Slide 5: 26,892 26,925 +33 +0.1% 20,483 20,157 -325 -1.6% 4,999 5,181 +182 +3.6% 1,409 1,586

    26,892 26,925 +33 +0.1% 20,483 20,157 -325 -1.6% 4,999 5,181 +182 +3.6% 1,409 1,586 +176 +12.6% 3,674 2,674 -1,000 -27.2% 3,572 1,804 -1,767 -49.5% 386 1,261 +874 +226.3% -277 -423 -146 - -6 32 +39 -

  6. Slide 6: 23,083 21,210 -1,873 -8.1% -2,708 +229 +780 -386 +101 +300 -126 -134 32,477 32,767

    23,083 21,210 -1,873 -8.1% -2,708 +229 +780 -386 +101 +300 -126 -134 32,477 32,767 +290 +0.9% -137 -150 -852 +1,544 +208 -80 +185 -106 -156 55,560 53,977 -1,582 -2.8% 16,016 12,652 -3,363 -21.0% +592 -1,734 -1,012 -345 -604 5,905 5,168 -736 -12.5% -769 -50 21,921 17,821 -4,100 -18.7% +780 33,639 36,

  7. Slide 7: +3,445 +2,294 +1,507 +1,500 +1,180 -101 3,170 -2,637 -1,331 +319 -358 * -1,471 -1,289

    +3,445 +2,294 +1,507 +1,500 +1,180 -101 3,170 533 -2,637 -1,331 +319 -358 * -1,471 -1,289 -1,983 +505 - -68 -100 -480 -73 -234 -239 -538 -516 +21 - -402 -727 -718 +468 +736 -1 +276 +9,398 +234 -3,813 -1,902 -590 -697 3,332 -3,026 -6,359 -670 -635 -522 - -497 - 5,994 -2,708 - 15,233 13,254 -1,979

  8. Slide 8: 38,476 26,925 70.0% 38,476 26,925 70.0% 4,971 2,892 58.2% ,485 20,157 68.4% 30,032 21,358

    38,476 26,925 70.0% 38,476 26,925 70.0% 4,971 2,892 58.2% 29,485 20,157 68.4% 30,032 21,358 71.1% 6,320 5,181 82.0% 10,158 6,662 65.6% 2,670 1,586 59.4% 10,957 8,911 81.3% 870 284 32.6% 2,001 1,487 74.3% 6,045 4,012 66.4% -38 -198 - 3,434 2,476 72.1% 8.9% 9.2% - 2,033 1,477 72.7%

  9. Slide 9: Focal Points of the Mid-Term Management Plan (FY 2021/9 to FY2025/9)

    Focal Points of the Mid-Term Management Plan (FY 2021/9 to FY2025/9) FOCAL POINTS HOME’S OVERSEAS OTHER SERVICES BUSINESSES Ne RECIONA GR CHANNELS) E = REVITALIZATION ¢ Be \ 2px a SENIOR | = > GE T | Z E N Ss Growth through solutions to social issues through our existing businesses

  10. Slide 10: Segment Update: HOME'S Services

    r 1 Segment Update HOME ’S Services L = rq LJ LIFULL

  11. Slide 11: (Ref) Trends in the Japanese Real Estate Market

    (Ref) Trends in the Japanese Real Estate Market Starts for new-build residences have continued to increase, but have not yet returned to 2019 pre-COVID levels. Sales of resale units continue to grow resulting in less properties available. . Rental Resale New-Build Transactions have Transactions stil

  12. Slide 12: FY 2019/9 FY 2020/9 FY 2021/9

    FY 2019/9 FY 2020/9 FY 2021/9 FY 2019/9 FY 2020/9 FY 2021/9 – – – – – – ：

  13. Slide 13: Steady Recovery in LIFULL HOME'S

    i Steady Recovery in LIFULL HOME’S Sustained positive growth in traffic and inquiries has resulted in positive sales revenue growth in the third quarter for HOME’S. Quarterly Revenue Trend Breakdown of Sales Revenue (Before Segment Eliminations) Media 86.5% Support Services 13.5% FY2020/9 FY2020/9 Q

  14. Slide 14: Recovery in LIFULL HOME'S Revenue in LIFULL HOME'S Media

    i Recovery in LIFULL HOME’S Revenue in LIFULL HOME’S Media Sales revenue from LIFULL HOME’S Media improving despite downturns in new-build transactions and properties available for resale. -- Reference Media Sales Revenue for Organic Traffic Trend Yor HOME’S Services Segment +28.8% | oJ : u ll : Ql

  15. Slide 15: Providing the necessary resources

    Providing the necessary resources for smoother transactions Growth +, el Well-Known + Service (Branding) ORE Satisfied Clients Innovative a es Coc: Features # MORE Smooth Transactions Rich Information and MORE Effective Support Satisfied for Home-seekers Users _ LJ LIFULL 4

  16. Slide 16: Brand Recognition for LIFULL HOME'S

    i Brand Recognition for LIFULL HOME’S Promoting our services and corporate brand on TV and online to reach across multiple generations. These efforts have resulted in higher brand recognition as well as more long-term users for our services. LIFULL HOME’S LIFULL HOME’S CORPORATE 1 I Vy ge a ' Kanto,

  17. Slide 17: New Ways to Find a New Home: Promising Results from New Search Features

    i New Ways to Find a New Home Promising Results from New Search Features With our new search features, we are offering a unique experience for each individual user to find the right home for their lifestyle. LIFULL HOME’S Search Features Released Nov. Released Mar. Nice-To-Have Search by ” wa) SV oR

  18. Slide 18: Enhanced Information about Potential Hazards for Home-Seekers

    i Enhanced Information about Potential Hazards for Home-Seekers Now providing a hazard map with information about floods, landslides and earthquakes for new-build houses to give users added peace of mind when searching for a home and strengthen our media presence. (Currently only available on smartp

  19. Slide 19: Progress in Omnichannel Expansion: Sumai No Madoguchi

    i Progress in Omnichannel Expansion LIFULL HOME’S Sumai No Madoguchi Total consultations continue to increase with further demand for online support due to the pandemic. We are further expanding our face-to-face service area in order to support even more users. Consultations cota oct. - Jun) Total +

  20. Slide 20: Digital Transformation of the Moving Process: LIFULL HOME'S LIVE

    i Digital Transformation of the Moving Process LIFULL HOME’S LIVE Increase in clients for LIFULL HOME’S LIVE, a tool for online consultations, property viewings and disclosures. After a period of free service, client numbers have grown with more users communicating with realtors online. Clients Usin

  21. Slide 21: Segment Update: Overseas

    rq LJ LIFULL rr L Segment Update Overseas 4 al 20

  22. Slide 22: Recovery in LIFULL CONNECT

    i Recovery in LIFULL CONNECT Due to sustained positive trends in traffic, third quarter revenue has shown positive growth YoY. However, while the pandemic continues, more time is needed for a complete recovery to FY 2019/9 levels. Quarterly Revenue Trend (EUR) COVID-19 Pandemic | +63.1% 5 al @2 @3 Q

  23. Slide 23: LIFULL CONNECT Operations

    i LIFULL CONNECT Operations Recovery has been evident in revenue, but the effects of the pandemic are persisting longer than originally expected. During this time we are focusing on bottom line management while gradually increasing investments for future growth. Quarterly Operating Profit Efficient

  24. Slide 24: Preparation for the Post-Pandemic World: Refining UX in our Direct Markets

    i Preparation for the Post-Pandemic World Refining UX in our Direct Markets We are fine-tuning the user experience on websites across our enormous network to in preparation for accelerated growth after the COVID-19 subsides -— Enhancing the User Experience of our Portals (Example) By fine-tuning our

  25. Slide 25: LIFULL CONNECT: Leveraging Multimedia to Boost Traffic

    i LIFULL CONNECT Leveraging Multimedia to Boost Traffic Using Proppit, a management tool for realtors in our key regions of Latin America and Southeast Asia, realtors are able to list across LIFULL CONNECT’s exclusive and highly-qualified audience and manage inquiries in one place. Traditional Listi

  26. Slide 26: Preparation for the Post-Pandemic World: Expansion of Proppit

    i Preparation for the Post-Pandemic World Expansion of Proppit By expanding Proppit into our key regions, we are able to continue to offer the service to more real estate professionals and expand our client network. [P e (y) Proppit "Results as of March, 2021 now available in key regions of uth.-Ame

  27. Slide 27: 26

    26

  28. Slide 28: Appendices

    Appendices Copyright(c) LIFULL Co, Ltd. All Rights Reserved.

  29. Slide 29: Corporate Information (as of June 31, 2021)

    i Corporate Information (as of June 31, 2021) Company LIFULL Co., Ltd. Stock code 2120 (TSE Ist Section) Representative Takashi Inoue, President and CEO History Mar. 12,1997 Established Oct. 2006 Listed in TSE, Mother’s Section Mar. 2010 Listed on TSE Ist Section Capital JPY 9,716 mil. Stock issues

  30. Slide 30: LIFULL HOME'S

    LIFULL HOME’S LIFULL HOME’S Real Estate and Housing Information Site + One of the largest real estate listing sites in Japan + Apart from property listings, LIFULL HOME’S also features an in-house Quality Screening Team to ensure the reliability of listing information. * Constantly evolving, the sit

  31. Slide 31: Primary Group Companies

    Primary Group Companies (Listed according to date of founding / acquisition) LIFULL Marketing Partners Co., Ltd. + Internet marketing for real estate and related business operators + Operation of one of the largest search engines for nursing homes and senior housing in Japan, LIFULL Nursing LIFULL s

  32. Slide 32: Segments and Primary Services

    rq Lo Segments and Primary Services HOME’S Services Overseas Other Businesses LIFULL HOME’S AD Master (former Renter’s Net) NabiSTAR Advertising & Consulting Agency (LIFULL Marketing Partners Co, Ltd.) Kenbiya (Kenbiya Co, Ltd.) ECT) Mitula (LIFULL CONNECT) Nestoria (LIFULL CONNECT) RESEM (LIFULL CO

  33. Slide 33: New Initiatives for Rural Japan: Relocation Matching Service LOCAL MATCH

    i New Initiatives for Rural Japan Relocation Matching Service LOCAL MATCH Matching individuals interested in relocating to rural regions with jobs and information from local communities. Providing an opportunity for people to live their preferred lifestyle while helping to solve the issue of a limit

  34. Slide 34: New Service Online Interview Service: unii

    i New Service Online Interview Service: unii Offering a low-cost interview platform to help new start-up businesses take off Starting July 5, 2021 Hr Online Interview Service j §Research Connecting development professionals with individual users to share insights Issue Business Model Accelerating ig

  35. Slide 35: Annual Revenue and Timeline of Company Growth

    40 35 30 25 20 16 10 Annual Revenue and Timeline of Company Growth Acquisition of Earnings Forecast _ Mitula * (Revision due to (billion yen) 1 impact Changed fiscal year irregular 6-month period) Changed company name to LIFULL Co, Ltd ! Acquisition of LIFULL MP Acquisition of LITTEL Acauisition (Me

  36. Slide 36: Quarterly financial results by segment

    FY2017/3 FY2017/9 FY2018 FY2019 FY2020 FY2021 Unit : JPY mil Q1 Q2 Q3 Q4 Q1 Q2 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Revenue 6,846 6,910 7,107 9,056 7,793 8,154 8,128 9,541 8,345 8,549 8,391 11,208 9,753 9,944 9,202 9,983 7,706 8,510 8,271 9,581 9,072 HOME'S Services 5,616 5,782 5,955 7,662 6

  37. Slide 37: FY2018 Q3 FY2019

    11.0% 11.4% 11.7% 10.7% 20.3% 21.6% 20.7% 22.2% 32.7% 31.0% 33.1% 34.1% 21.9% 23.0% 21.4% 24.7% 14.0% 11.5% 13.7% 9.2% FY2018 FY2019 FY2020 FY2021 Q3 Q3 Q3 Q3 (17.10-18.6) (18.10-19.6) (19.10-20.6) (20.10-21.6)

  38. Slide 38: Quarterly Results LIFULL CONNECT

    I Quarterly Results LIFULL CONNECT Currently seeing recovery from decrease in revenue due to the COVID-19 pandemic. Results from LIFULL CONNECT* in EUR Cll Pre-cons Unit: 1000 EUR | | | | | 15,274 4. al Q2 @ Q4 Ql Q2 Q3 Q4. Ql Q2 Al Q2 Q3 Os, Ql Q2 Q3 Q4 Ql Q2 QB Q4 Ql Q2 Q3 FY2015/3 : FY2016/3 FY20

  39. Slide 39: ■ ■ ■ ■ ■ -97 -77 -71 -70 -73 -58 -28 -29 -107

    ■ ■ ■ ■ ■ 594 591 556 556 494 405 278 292 230 64 -97 -77 -71 -70 -73 -58 -28 -29 -107 -607

  40. Slide 40: FY 2016/3 FY 2017/3 FY 2017/9

    ■ ■ FY 2016/3 FY 2017/3 FY 2017/9 FY 2018/9 FY 2019/9 FY 2020/9 FY 2021/9

  41. Slide 41: ■ ■ -97 -118 -138 -141 -142 -155 -155 -167 -161 -223 -261

    98 85 ■ ■ 71 60 59 44 41 38 42 33 26 -97 -118 -138 -141 -142 -155 -155 -167 -161 -223 -261

  42. Slide 42: Total Vacant Dwellings For Rent

    +1,77 900 849 16.0% 6,063 6,241 Total Vacant Dwellings 820 5,759 9 757 6,000 5,389 (+2.9 14.0% 5,025 %) 659 5,000 4,588 13.6% 12.0% 4,201 600 576 13.1% 13.5% 12.2% Other 4,000 448 11.5% 348.7 For +1,549 394 10.0% 3,000 (+3.0% 5,400 Rent 432.7 4,726 4,997 5,245 ) 300 9.4% 9.8% 8.0% 2,000 4,116 4,436

  43. Slide 43: Number of Apartments for sales

    Annual 2019 2020 2021 2018 2019 2020 Apr-19 May-19 Jun-19 Jul-19 Aug-19 Sep-19 Oct-19 Nov-19 Dec-19 Jan-20 Feb-20 Mar-20 Apr-20 May-20 Jun-20 Jul-20 Aug-20 Sep-20 Oct-20 Nov-20 Dec-20 Jan-21 Feb-21 Mar-21 Apr-21 May-21 Jun-21 (Jan-Dec) (Jan-Dec) (Jan-Dec) Capital Region 37,132 31,238 27,228 1,421 2,

  44. Slide 44: (Ref.) Overseas competitors

    i (Ref.) Overseas competitors Competitors have high market capitalization due to their user shares in each country. cember As of September, [Rightmove, UK] Revenue ¥314 bil. CYOY-28.9%) Operating Profit ¥20.6 bil Net Profit ¥16.7 bil (RecrutHO. PL J (Zillow, US] jousing & Real Estate Revenue Revenue

  45. Slide 45: IR Team Contact Information

    i IR Team Contact Information IR Site Japanese hittps://LIFULL.com/ir/ English https://LIFULL.com/en/ir/ E-mail ir@LIFULL.com TEL +81-3-6774-1603 DX] E-mail ir@tirULtLcom (Weekdays 10:00 - 18:00 JST) Annual Report 2019 Other Information about LIFULL [FF] Facebook Page Japanese Z Turow https://lifull

LIFULL — Q3 FY2021/9 Earnings Presentation on 6ix