Slide 1: Financial Results for the Second Quarter FY2025/04
Note: This document has been translated from the Japanese original for reference purposes only. In the event of any discrepancy between this translated document and the Japanese original, the original shall prevail. “A company that invents every day” FY2025/04 Financial Results for the Second Quarte
Slide 2: Agenda
Agenda 1. Consolidated Financial Results for the 2nd Quarter of FY2025/04 3 2. Results by Segment for the 2nd Quarter of FY2025/04 13 3. Progress of Consolidated Financial Results for the 2nd Quarter of 26 FY2025/04 4. Appendix 32 FreeBit Co., Ltd. All Rights Reserved. 2
Slide 3: Consolidated Financial Results for the 2nd Quarter of FY2025/04
1. Consolidated Financial Results for the 2nd Quarter of FY2025/04 FreeBit Co., Ltd. All Rights Reserved. 3
Slide 4: Consolidated period
Impact of change in fiscal year-end of consolidated subsidiaries (GIGAPRIZE and its subsidiaries) The GigaPrize Group (GPG) changed its fiscal year-end from March 31 to April 30 in the previous consolidated fiscal year, aligning it with our consolidated fiscal year-end. As a result, in the previou
Slide 5: Summary of Consolidated Financial Results for Q2 FY2025/04
Summary of Consolidated Financial Results for the Second Quarter of the Fiscal Year Ending April 30, 2025 FY2024/04 Q2 (Reference) FY2025/04 Q2 FY2024/04 Q2 (including the impact of (Millions of yen) (Excluding the impact of (Reference) the fiscal year-end (Reference) the fiscal year-end Percentage
Slide 6: Topics for the Second Quarter
Topics for the Second Quarter of the Fiscal Year Ending April 2024 Operating income to income Net sales attributable to owners of the parent Results Increase in net sales YoY comparison Expansion of offerings + (values excluding the impact of the change in in FreeBit's B2B2X (B/C) fiscal year-end)*1
Slide 7: YoY Variance Analysis: Net Sales
YoY Variance Analysis: Net Sales All segments, led by the 5G lifestyle support business, performed steadily (YoY comparison excluding the impact of the change in fiscal year-end: 5.1% increase) 5G Lifestyle Enterprise/Creator (Millions of yen) GPG results 5G DX Support Fluctuations in inter- (1 mont
Slide 8: YoY Variance Analysis: Operating Income
YoY Variance Analysis: Operating Income While the 5G Infrastructure Support Business saw a decrease, the 5G Lifestyle Support Business and the Enterprise/Creator 5G DX Support Business performed steadily (YoY comparison excluding the impact of the change in fiscal year-end: 13.1% increase) Enterpris
Slide 9: Investment in New Growth Drivers
Investment in “New Growth Drivers” Investments include data center relocation, multifaceted development of the “StandAlone” platform, and web3-related projects 5G Infrastructure Support Business (Millions of yen) Examples of anticipated new growth drivers 5G Lifestyle Support Business Enterprise/Cre
Slide 10: YoY Variance Analysis: Ordinary Income
YoY Variance Analysis: Ordinary Income Steady rise in ordinary income driven by strong operating income performance (YoY comparison excluding the impact of the change in fiscal year-end: 17.5% increase) Increase in Gain on sale of Decrease in operating investment commission (Millions of yen) income
Slide 11: YoY Variance Analysis: Income attributable to owners of the parent
YoY Variance Analysis: Income attributable to owners of the parent Due to extraordinary income in the previous period, income attributable to owners of the parent decreased (YoY comparison excluding the impact of the change in fiscal year-end: -3.0%) Gain on sale of (Millions of yen) investment Incr
Slide 12: Consolidated Results Summary: BS Comparison
Consolidated Results Summary: BS Comparison The equity ratio increased to 35.7% due to the increase in retained earnings, driven by steady progress in performance and the reduction in interest-bearing debt (Millions of yen) Current Current Assets Liabilities Assets Liabilities 31,817 22,986 29,937 1
Slide 13: Results by Segment for the 2nd Quarter of FY2025/04
2. Results by Segment for the 2nd Quarter of FY2025/04 FreeBit Co., Ltd. All Rights Reserved. 13
Slide 14: Composition by Segment
Composition by Segment Net sales increased with steady progress in all segments. Segment profit decreased in the 5G Infrastructure Support Business due to a partial increase in costs, while other segments recorded profit growth 5G Infrastructure Support Business Net sales Segment profit or loss*1 18
Slide 15: Performance Progress: 5G Infrastructure Support Business Performance zone
Performance Progress: 5G Infrastructure Support Business Examples of anticipated new growth drivers SiLK VISION 2020 SiLK VISION 2024 SiLK VISION 2027 SiLK VISION 2030 Collaborative areas with GigaPrize, new B2B platforms, Platform Maker services (web3, 5G, IoT, AI), DX, healthcare, IoT fields, etc.
Slide 16: Performance Progress: 5G Infrastructure Support Business
Performance Progress: 5G Infrastructure Support Business Despite increased service usage for B2B2X (B/C) mobile, profit decreased by 27.4% YoY due to communication quality enhancement expenses, one-off expenses, increased common costs, etc. Net sales / Segment profit (loss) YoY variance analysis for
Slide 17: Performance Progress: 5G Infrastructure Support Business
Performance Progress: 5G Infrastructure Support Business A comprehensive MVNO support service that packages lines, network A portable fixed IP address service that enables easy and highly secure access infrastructure, various management tools, user support, logistics systems, SIM to internal servers
Slide 18: Performance Progress: 5G Lifestyle Support Business Performance zone
Performance Progress: 5G Lifestyle Support Business Examples of anticipated new growth drivers SiLK VISION 2020 SiLK VISION 2024 SiLK VISION 2027 SiLK VISION 2030 Collaborative areas with GigaPrize, new B2B platforms, Platform Maker services (web3, 5G, IoT, AI), DX, healthcare, IoT fields, etc. Crea
Slide 19: Performance Progress: 5G Lifestyle Support Business
Performance Progress: 5G Lifestyle Support Business A 25.7% YoY profit increase (excluding the impact of the change in fiscal year-end) was achieved due to the steady progress of 5G Homestyle and cost control measures etc. Net sales / Segment Profit (Loss) YoY Variance Analysis for Segment Profit (L
Slide 20: Performance Progress: 5G Lifestyle Support Business
Performance Progress: 5G Lifestyle Support Business The number of units served by 5G Homestyle (GPG)'s key indicator, the ISP service for apartment buildings, increased by 64,000 from the end of the previous fiscal year (1.209 million units), reaching a cumulative total of 1.273 million units, showi
Slide 21: 5G Lifestyle Support Business Topics
5G Lifestyle Support Business Topics (Published on November 7, 2024) We are actively developing new markets to expand sales of the “Cloud-Based Security Camera Service.” Strategic Vision for the 5G Homestyle Domain Expanding sales of the “Cloud-Based Security Camera Service” As part of our efforts t
Slide 22: Performance Progress: Enterprise/Creator 5G DX Support Business Performance zone
Performance Progress: Enterprise/Creator 5G DX Support Business Examples of anticipated new growth drivers SiLK VISION 2020 SiLK VISION 2024 SiLK VISION 2027 SiLK VISION 2030 Collaborative areas with GigaPrize, new B2B platforms, Platform Maker services (web3, 5G, IoT, AI), DX, healthcare, IoT field
Slide 23: Enterprise/Creator 5G DX Support Business: Performance Progress
Enterprise/Creator 5G DX Support Business: Performance Progress Profit increased by 64.5% YoY, mainly due to the steady growth in net sales in the affiliate business and the success of cost-cutting measures Net Sales and Segment Profit (Loss) Segment Profit (Loss) YoY Variance Analysis (Millions of
Slide 24: Enterprise/Creator 5G DX Support Business: Topics
Enterprise/Creator 5G DX Support Business: Topics We have released a number of new apps for artists on StandAlone. We aim to expand the practice of building fan communities in the 5G/web3 era. ■StandAlone apps released in FY2025/04 Supporting global creators x web3 • Through a partnership that provi
Slide 25: Enterprise/Creator 5G DX Support Business: Topics
Enterprise/Creator 5G DX Support Business: Topics (Announced on October 2, 2024) We acquired YOYO Holdings Pte. Ltd. to accelerate our expansion into the ASEAN region with their PopStar, one of the largest influencer platforms in Indonesia and the Philippines. Map For it Inc. has been expanding its
Slide 26: Progress of Consolidated Financial Results for the 2nd Quarter of FY2025/04
3. Progress of Consolidated Financial Results for the 2nd Quarter of FY2025/04 FreeBit Co., Ltd. All Rights Reserved. 26
Slide 27: Net Sales and Operating Profit Targets Under SiLK VISION 2027
Net Sales and Operating Profit Targets Under SiLK VISION 2027 Millions of yen Transformation 80,000 Term SiLK VISION 2024 SiLK VISION 2027 12,000 70,000 Net sales Net sales 63,000–70,000 Operating profit Operating profit 10,000 60,000 54,000 52,009 51,306 8,000 50,000 46,771 43,075 8,000 5,700 40,00
Slide 28: Trend in Cumulative Quarterly Results
Trend in Cumulative Quarterly Results Net sales and operating profit for the second quarter of the fiscal year ending April 2025 were solid compared to the full-year earnings forecast (Millions of yen) Net sales Operating profit Earnings forecast Earnings forecast 54,000 5,700 52,009 51,306 5,489 46
Slide 29: Progress Towards the Consolidated Earnings Forecast for FY Ending April 2025
Progress Towards the Consolidated Earnings Forecast for the Fiscal Year Ending April 2025 We saw steady growth in net sales and each line profit through the second quarter. We expect to see more of the same from the third quarter onwards. Q1-Q2 Full-year 0.0% actual forecast Net sales 49.3% 26.62 54
Slide 30: The FreeBit Group's First Integrated Report
The FreeBit Group's First Integrated Report (Announced on November 28, 2024) The FreeBit Group has published its first integrated report, FreeBit, Here and The Road Ahead— Integrated Report 2024, which marks a turning point as a company driving the mainstream adoption of web3. The report introduces:
Slide 31: The FreeBit Group's First Integrated Report
The FreeBit Group's First Integrated Report The vision of SiLK VISION 2027 is to seek where trust belongs Our mission is to use technology to ensure "trust" in the web3 (decentralized) world. We shift category to become a web3 implementation company leveraging expertise in telecommunications By hybr
Slide 32: Appendix
4. Appendix FreeBit Co., Ltd. All Rights Reserved. 32
Slide 33: Corporate Profile and History
Corporate Profile and History (As of April 30, 2024) Corporate Profile History Company Name FreeBit Co., Ltd. May 2000 Established Head Office E-Space Tower, 3-6 Maruyama-cho, Shibuya-ku, Tokyo Mar. 2007 Listed on the TSE Mothers Market Made DREAM TRAIN INTERNET INC. (DTI) a consolidated Representat
Slide 34: Major Group Companies
Major Group Companies (As of April 30, 2024) 5G Infrastructure Support Business 5G Lifestyle Support Business Enterprise/Creator 5G DX Support Business FreeBit Co., Ltd. ISP support services, MVNE, cloud services, web3 related platforms https://freebit.com/en/ GIGA PRIZE Co., Ltd. Full Speed Inc. In
Slide 35: Segment Overview: 5G Infrastructure Support Business
Segment Overview 5G Infrastructure 5G eSIM Providing infrastructure platforms that reliably and cost-effectively connect large Support Business AI Block chain number of people and things Technology Highlight Free you a bit that began with "Free ISP's ISP" Our proprietary technology: Emotion Link • E
Slide 36: Segment Overview: 5G Lifestyle Support Business 1
Segment Overview 5G Lifestyle Provides business platforms that support the creation of "things" markets, such as "safe and secure lifestyles," "healthy lifestyles," "work styles," and "housing." Support Business 1 Providing mobile communication services using smartphones and other devices as well as
Slide 37: Initiatives to Achieve Smart City
Segment Overview 5G Lifestyle Provides business platforms that support the creation of "things" markets, such as "safe and secure lifestyles," "healthy lifestyles," "work styles," and "housing." Support Business 2 5G Homestyle(GIGA PRIZE) Providing Internet services for apartment buildings, as well
Slide 38: Segment Overview: Enterprise/Creator 5G DX Support Business
Segment Overview Enterprise/Creator Business that supports the construction of a platform that enables market creation, market launch, and maintenance of customer 5G DX Support relationships, by working closely with not only companies but also creators and influencers, who will be at the center of f
Slide 39: Website information on SiLK VISION 2027 and the Integrated Report
Website information on SiLK VISION 2027 and the Integrated Report For more information, please visit our website home page and click on the appropriate images. SiLK VISION 2027 explanatory video https://freebit.com/ir/movie/movie_20240724.html (available in Japanese only) FreeBit, Here and The Road
Slide 40: Quarterly Segment Changes
Quarterly Segment Changes Stable sales growth through recurring charges and steady improvement of profit margin (Net sales) 5G Infrastructure Support Business 5G Lifestyle Support Business Enterprise/Creator 5G DX Support Business (Segment profit margin) 5G Infrastructure Support Business ５Ｇインフラ支援事業
Slide 41: Quantitative Information (Financial Indicators)
Quantitative Information (Financial Indicators) FY2015 FY2016 FY2017 FY2018 FY2019 FY2020 FY2021 FY2022 FY2023 FY2024 /04 /04 /04 /04 /04 /04 /04 /04 /04 /04* Number of consolidated subsidiaries 11 11 14 20 24 27 19 20 21 21 Results (Millions of yen) Net Sales 21,469 28,389 35,222 38,653 50,365 55,2
Slide 42: Quantitative Information (Financial Indicators)
Quantitative Information (Financial Indicators) FY2015 FY2016 FY2017 FY2018 FY2019 FY2020 FY2021 FY2022 FY2023 FY2024 /04 /04 /04 /04 /04 /04 /04 /04 /04 /04* Profitability Operating margin (%) 5.8 6.7 3.8 4.8 5.9 4.7 6.5 7.3 8.6 11.1 ROA (Return on assets) (%) 5.4 6.4 3.4 5.1 7.3 6.1 9.5 8.2 10.4 1
Slide 43: Disclaimer
Disclaimer Forward-looking statements in this document, including our forecasts, outlooks, targets, plans and strategies, are based on information that we believe to be reasonable at the time of preparation of this document and on certain assumptions (hypotheses). Actual results may differ materiall