Makuake, Inc. · TSE:4479
Makuake — Q1 FY2023/9 Earnings Presentation
39 slides from Makuake's earnings presentation, Jan 24, 2023
Slide 1: Financial Results Briefing Materials for Q1 FY2023/9
Securities code: 4479 Makuake Financial Results Briefing Materials for Q1 FY2023/9 Makuake, Inc.
Slide 2: Financial Results
Financial Results
Slide 3: Overview of Q1 FY2023/9
Overview of Q1 FY2023/9 Sales, including the gross amount of "support" pre-orders, and operating profit came in line with the plan thanks to expanded and strengthened support to project owners Gross profit margin improved to 82% due to a significant decline in software depreciation charges in our co
Slide 4: Gross Amount of "Support" Pre-orders (GMV), Quarterly
Gross Amount of "Support" Pre-orders (GMV), Quarterly + Even as consumption of travel, hotels/lodging and catering/restaurants services and offline shopping grew in a trend continued from the previous quarter, GMV increased 2.8% QoQ as we started to see results from our initiatives to expand and str
Slide 5: Net Sales and Take Rate
Net Sales and Take Rate + Sales were up 3.2% QoQaas, in addition to the growth of GMV, MIS sales expanded. Makuake's take rate--at 20%--remained unchanged. When other sales are included, our take rate remained at the previous quarter's level (Unit: JPY million) 1,288 1,232 1,152 1,132 * 1,107 1,090
Slide 6: Gross Profit and Gross Profit Margin
Gross Profit and Gross Profit Margin * Gross profit increased, with gross profit margin reaching 82%, on significantly lower software depreciation charges in our costs after posting a fixed asset impairment loss on software and software in progress in the previous fiscal year (Unit: JPY million) 84.
Slide 7: Selling, General and Administrative Expenses
Selling, General and Administrative Expenses + Advertising and promotion expenses were down slightly on the absence of expenses related to events held in the previous quarter. On the other hand, in addition to the increase in payment fees which rose in lockstep with GMV, other fees, which include ex
Slide 8: Operating Profit (Loss) and Operating Margin Relative to GMV
Operating Profit (Loss) and Operating Margin Relative to GMV * Operating loss shrunk by some JPY 50 million from the previous quarter as sales increased and, further, overall cost controls worked (Unit: JPY million) 6.3% 4.1% oe Operating profit margin —* ‘relative to GMV TEBE operating Profit Loss)
Slide 9: Key Performance Indicators (1)
Key Performance Indicators (1) * The number of published projects rose 5.5% QoQ thanks to expanded and strengthened support to project owners. Further, the repeat "support" pre-order rate continued at a high level (Unit: project) No. of Published Projects Repeat “Support” Pre-Order Rate 1B Number of
Slide 10: Key Performance Indicators (2)
Key Performance Indicators (2) + Access UUs remained on a downtrend due to the impact of continuing growth in offline spending on catering/restaurants and shopping, as well as higher consumption of travel and hotels/lodging services. On the other han quality thanks to support provided to project own
Slide 11: Number of Published Projects and Employee Count
Number of Published Projects and Employee Count * Overall employee headcount remained unchanged even as the number of published projects rose No. of Published Projects Other Administration 2,360 New Businessreated 2,213 2,215 PR/Marketing. PR/Marketing/Administration and others*L 2,044 2,087 (Projec
Slide 12: Major Projects Launched in Q1 FY2023/9
Major Projects Launched in Q1 FY2023/9 + New large projects sprang up as we expanded and strengthened support to project managers. Further, we had many "support" pre-orders for products enriching people's lives at home even in the times of "with corona" INTIS SUPEOWT TEN DY REPL e bancutce oS DoRY «
Slide 13: Major Projects Launched in Q1 FY2023/9 (Large Companies)
Major Projects Launched in Q1 FY2023/9 (Large Companies) + Repeat use of Makuake by large companies stood out as the number of companies, whose professionals in charge of developing new products incorporate into their thinking the launch on Makuake of their ambitious new products utilizing in- compa
Slide 14: SDGs-Related Projects Launched in Q1 FY2023/9
SDGs-Related Projects Launched in Q1 FY2023/9 * We published projects addressing the waste problem in Japan such as "upcycled" products made with the use of materials that would have previously been discarded, and projects cognizant of diversity that provide economic opportunities such as facility d
Slide 15: TOPICS
TOPICS Copyright © Ma Makuake Received METI Minister Award in the 4th Nihon Service Award ccumulation of Brand Ass ave REa swon A aunns. oxemese oe ee (evaluation points) + For establishing the pre-primary distribution market that brings the "new" to the world, with no inventory risk + For systemati
Slide 16: TOPICS
TOPICS Launched "Makuake Magazine"— Makuake's Own In-House Media Makuake Magazine PRA REBT EOOMML ERE DECAF TF Launched content pages of "Makuake Magazine"--our own in-house media Going forward, we will be developing the magazine as a gateway to Makuake that relays the appeal of and ways to enjoy “s
Slide 17: Progress on Growth Strategies for FY2023/9
Progress on Growth Strategies for FY2023/9
Slide 18: FY2023/9 Full-Year Forecasts
FY2023/9 Full-Year Forecasts * Sales, including the gross amount of "support" pre-orders, and operating profit came in largely in line with the plan. At this time, there are no changes to our full-year earnings estimates Copyright © (Unit: JPY million) Gross Amount of “Support” pre-orders: GMV (Taxi
Slide 19: Potential for Expansion of Total Addressable Market for Makuake Service
Potential for Expansion of Total Addressable Market for Makuake Service Under Harsh External Environment * Our TAM is expanding--starting from the travel, lodging and catering industries rejuvenated by economic reopening--to future overseas demand for new products from Japan and the launch of new pr
Slide 20: Growth of Service-Related Projects in Q1 FY2023/9
Growth of Service-Related Projects in Q1 FY2023/9 + We are seeing higher sales of new products related to offline experiences such as memberships and meal tickets for restaurants/eating establishments, and vouches for accommodation facilities and saunas Ss aN as a Ls FEOHOITAC. MOMMIES AIRITANE [AIM
Slide 21: Basic Policy for Growth in FY2023/9
Basic Policy for Growth in FY2023/9 + We will actualize our potential market (TAM) by expanding the foundation for stable business growth created by our repeat customers through further strengthening of our initiatives to raise customer satisfaction, while at the same time building an organization d
Slide 22: Focus of Attention for FY2023/9: Framework for Repeatable User Experience
Focus of Attention for FY2023/9: Framework for Repeatable User Experience + We will work to create a cycle of rising GMV as we increase satisfaction of project owners and project supporters by raising the quality of support provided to project managers, and at the same time offering a program to pro
Slide 23: New Framework in Makuake Service
New Framework in Makuake Service + We set up cross-functional teams involving every department, and are focusing on creating a framework for repeat use of the platform through strengthening and expanding support to project managers and raising their satisfaction Curators itr Screen Monitoring PR Mar
Slide 24: Most Important Indicators for FY2023/9 Growth
Most Important Indicators for FY2023/9 Growth * The number of published projects by repeat project managers increased thanks to the strengthening of support to repeat project managers based on their track record with Makuake. We expect the results of our current initiatives to show in the amount of
Slide 25: On Revision of Medium-Term Business Plan
On Revision of Medium- Term Business Plan
Slide 26: Reasons for Revision of Medium-Term Business Plan
Reasons for Revision of Medium-Term Business Plan + After recalculating our own potential in the absence of growth drivers in light of the most recent financial results and the continuing uncertainty in the current external environment, we have determined it is necessary to revise our medium-term bu
Slide 27: On Disclosure of Medium-Term Targets
On Disclosure of Medium-Term Targets + We deem it difficult to disclose at this point our medium-term targets due to many uncertain factors in the current external environment. On the other hand, we believe that what is most important from the standpoint of measuring our progress towards continued g
Slide 28: Appendix
Appendix
Slide 29: The World Makuake Aspires For
The World Makuake Aspires For * Guided by our vision and mission, we are strivin seek and the "new" that companies wish to intro Vision Mission Standard Copyright © Makuake, Inc. All Rights Reserved d for society enriched through the connection of the "new" that consumers uce to the world Create a w
Slide 30: Makuake -- a Venue for Launch of New Products and Services
Makuake -- a Venue for Launch of New Products and Services + We are a marketplace where consumers can buy premiering new products and services faster through “support* pre-orders ®Makuake BROT AEXREA CEC OD). TRB. Hee aH | — aa ZS 0 49H) sxocusent 19,056,950F) =z Ee) =! [a eS PIBLA BOPUHBEMEBAL AS.
Slide 31: Makuake's Business Model
Makuake's Business Model + Businesses can pre-sell their new products and services still in the planning phase on Makuake, while consumers, in the spirit of cheering on, can pre-purchase their products of interest through “support” pre-ordering “Support” Pre-Orders commission Businesses Consumers =P
Slide 32: Business Results Summary: YoY, standalone quarter
Business Results Summary: YoY, standalone quarter (Unit: JPY million) mae Gross Amount of “support” pre-orders: GMV 5,369 (Taxincluded) Net Sales 1,152 Gross Profit 923 Operating Profit (Loss) 38 Ordinary Profit (Loss) 38 Net Income (Loss) 90 Copyright © Makuake, Inc. All Rights Reserved Change YoY
Slide 33: Business Results Summary: QoQ, standalone quarter
Business Results Summary: QoQ, standalone quarter . i FY2022/9 entero @ (Gtemeleltone) Ree Gross Amount of “support” pre-orders: GMV 4,136 (Taxincluded) Operating Profit (Loss) (234) 86) Ordinary Profit (Loss) (235) 83) Net Income (Loss) (1,354) 85) Copyright © Makuake, Inc. All Rights Reserved Chan
Slide 34: KPIs: YoY, standalone quarter
KPls: YoY, standalone quarter No. of New Projects No. of New Projects by Repeat Project Owners Project Owners Repeat Rate (%)" Amount of Repeat "Support" Pre-Orders (JPY million) Repeat “Support” Pre-Order Rate (%)"2 No. of Access Unique Users No. of Members No. of “Support” Pre-Orders ntof"support”
Slide 35: KPIs: QoQ, standalone quarter
KPls: QoQ, standalone quarter FY2022/9 Q4 (standalone) No. of New Projects 1,979 No. of New Projects by Repeat Project Owners 1,084 Project Owners Repeat Rate (%)" 54.8 Amount of Repeat "Support" PIPY mille 3,294 Pre-Orders (JPY million) Repeat “Support” Pre-Order Rate (%)? 19.6 No. of Access Unique
Slide 36: Dividend Policy
Dividend Policy As the company is currently in a state of growth, we believe that by retaining profits and prioritizing investment in expanding business size and improving earning power will lead to maximization of our corporate value and a continuous stream of profit return to shareholders. As to f
Slide 37: Disclaimer and Cautions Regarding Future Outlook
Disclaimer and Cautions Regarding Future Outlook @ While the content of this document has been prepared based on generally recognized economic and social conditions as of January 24, 2023 and certain assumptions deemed reasonable by Makuake, Inc., it may change due to shifts in business environment
Slide 38: IR Inquiries
ts Reserved IR Inquiries |IR@makuake.co.jp 38
Slide 39: Makuake
@® Makuake