internet infinity INC. · TSE:6545
internet infinity — FY2019 Earnings Presentation
43 slides from internet infinity's earnings presentation, May 21, 2019
Slide 1: Fiscal Year Ended March 31, 2019 Results Briefing Materials
Fiscal Year Ended March 31, 2019 Results Briefing Materials internet infinity INC. <Securities identification code: 6545> May 21, 2019 Copyright© internet infinity Inc. All Rights Reserved.
Slide 2: Table of contents
Table of contents 1. Fiscal year ended March 31, 2019 - Summary of business results 2. Fiscal year ended March 31, 2019 - Financial summary 3. Fiscal year ending March 31, 2020 - Financial results projections Supplementary information Copyright© internet infinity Inc. All Rights Reserved. 1
Slide 3: Summary of business results
Fiscal year ended March 31, 2019 Summary of business results
Slide 4: Summary of business results
Fiscal year ended March 31, 2019 - Summary of business results Sales reached a new high Income declined mainly due to up -front investment expense Values in parentheses represent differences from those for the same period of the previous year. Net Sales: 3,363million yen (73 million yen ) Operating
Slide 5: Financial summary
Fiscal year ended March 31, 2019 Financial summary
Slide 6: Actual Sales by Business for FY Ended March 2019
Actual Sales by Business for FY Ended March 2019 Healthcare Solution Business Home-Centered Service Business 37.5% 1,260 million yen 48.3% 1,624 million yen Home-Centered Service Business Record Book Business In-home eldercare support Offering 3-hour rehabilitation elderly day services care services
Slide 7: Highlight of Business Results for FY Ended March 2019
Highlight of Business Results for FY Ended March 2019 Record Book Business drove the growth On the other hand, up-front investment, a focused policy for the current fiscal year, reduced profits. FY 2019/03 YoY rate of (Unit: million yen) FY 2018/03 Factors for change / Topics Actual results change ・
Slide 8: Transition of sales and operating income
Transition of sales and operating income (Quarterly Accounting Period) In the Record Book Business, the number of new franchised stores was flat to the previous fiscal year, but sales reached a new high on a full year basis partially due to an increase in royalty revenues from existing stores. O
Slide 9: Financial results breakdown by segment
Fiscal year ended March 31, 2019 - Financial results breakdown by segment Revenue growth and profit declines in Healthcare Solution Business ⇒Revenue declines in high-margin Web Solution Business Sales by segment (Unit: million Rate of yen) FY 2018/03 FY 2019/03 change (Unit: million yen) Healthcare
Slide 10: Financial results of the Healthcare Solution Business
Fiscal year ended March 31, 2019 - Financial results of the Healthcare Solution Business Record Book maintained two-digit growth due to an increase in franchised stores. ⇒Healthcare Solution Business absorbed the effect of a transfer of company-operated stores and revenue declines in Web Solution an
Slide 11: Transition of the number of Record Book care centers
Fiscal year ended March 31, 2019 - Transition of the number of "Record book" care centers The number of stores increased to more than 150 in the Record Book brand as a whole. ⇒ New 44 franchised stores and 10 stores in Meitetsu Record Book during the current fiscal year Transition of the number of T
Slide 12: Trend in the number of opening of franchised stores
Trend in the number of opening of franchised stores of Record Book The number of franchise stores increased partially due to the additional openings by existing franchise owners. At the end of the fiscal year, the number of franchisees, which had expanded their stores, reached 10 companies. Cumulati
Slide 13: Number of Users of Record Book
Number of Users of Record Book Monthly users* exceeded 10,000 persons for the first time in our history. *Number of active users using Record Book once or more per month The total number of users amounted to about 620,000 for the fiscal year! 12,000 Total users of Record Book Trend in the number of
Slide 14: Changing Factor of Business Results for Healthcare Solution Business
Changing Factor of Business Results for Healthcare Solution Business Record Book Business Up 44 franchise stores from the end of the previous fiscal year Down 2.5 company-operated stores on average during the period as a result of the conversion to franchise stores due to the transfer ⇒ Number of
Slide 15: Analysis on Changes in Operating Income
Analysis on Changes in Operating Income Unit: million yen ‐ 15 Cost increase Resulting from franchised stores increase. ‐121 Revenue declines in Record Book resulting from the transfer of company-operated stores Up-front investment expense ＋283 toward business expansion ‐112 ＷebSolutionsales fall ‐
Slide 16: Balance sheet
Fiscal year ended March 31, 2019 - Balance sheet (Unit: million yen) FY 2018/03* FY 2019/03 Change in FY 2018/03 FY Change in amount 2019/03 amount Current assets 1,044 1,112 ＋ 68 Current liabilities 710 853 ＋ 142 Cash and deposits ＋ 24 Short-term loans 405 429 payable 40 130 ＋ 90 Notes and accounts
Slide 17: Cash flows
Fiscal year ended March 31, 2019 - Cash flows (Unit: million yen) YoY(change in FY 2018/03 FY 2019/03 amount) Cash flow from operating 321 153 ‐ 168 activities Cash flow from investment ‐ 248 ‐ 167 ＋ 81 activities Cash flow from financial ‐ 109 38 ＋ 147 activities Changes in cash and cash ‐ 36 24 ＋
Slide 18: Financial results projections
Fiscal year ending March 31, 2020 Financial results projections
Slide 19: Financial results projections FY ending March 2020
Fiscal year ending March 31, 2020 - Financial results projections To retry opening of more than 50 franchised stores per year in Record Book To fully operate medical area in Web Solution Business To make concentrated investments in strengthening of the system and construction of the structure
Slide 20: Prospect for Sales by Business for FY Ending March 2020
Prospect for Sales by Business for FY Ending March 2020 Healthcare Solution Business Home-Centered Service Business 1,955 million yen 30.7% (‐ 6.8 P YoY) 1,074 million yen Home-Centered Service 55.8% (＋ 7.5 P YoY) Business Record Book Business In-home eldercare support services Visit based eldercare
Slide 21: Projections and points of note by segment
Fiscal year ending March 31, 2020 - Financial results projections and points of note breakdown by segment Record Book ・Expected to reach a record high in the number of franchise contracts and the number of opening for a Healthcare year Solution Web Solution ・To focus on an increase in orders receive
Slide 22: Key policies for FY ending March 2020
Key policies for FY ending March 2020 To intensively devote our managerial resources to our core business, the Healthcare Solution business Up-front investment in the previous fiscal year to gradually yield results Record Book Business FY ended March 2019 FY ending March 2020 Opened an office in Osa
Slide 23: Key policies for FY ending March 2020 - Web Solution
Key policies for FY ending March 2020 Web Solution Business FY ended March 2019 FY ending March 2020 Support in “reconciling employment duties Support in “reconciling employment duties and eldercare requirements” and eldercare requirements” ⇒Started reviewing marketing methods and ⇒To construct sche
Slide 24: Changing Factors of Prospects for Operating Income
Changing Factors of Prospects for Operating Income for FY Ending March 2020 Unit: million yen ＋ 78 ‐94 ＷebSolution Business sales growth ＋3 Revenue declines in Cost increase in Record Book Business ‐45 Home-Centered Service Business Cost increase in Web Solution Business ＋ 330 Increase in advertisin
Slide 25: Acquisition of Treasury Shares
Acquisition of Treasury Shares Acquired treasury shares to execute a flexible capital policy and returns to shareholders according to changes in business environment Summary of the acquisition (details of the resolution of the board of directors dated on May 15, 2019) Class of stock to be acquired O
Slide 26: (Reference Materials)
(Reference Materials)
Slide 27: Business Activities
Business Activities
Slide 28: Corporate Profile
Corporate Profile Established May 7, 2001 Capital 250,992,286 yen (as of March 31, 2019) Location of Gate City Ohsaki, East Tower 4F, 11-2, Ohsaki 1-chome, Shinagawa-ku, headquarters Tokyo, 141-0032 Representative Representative director Keiichi Beck ISMS certification acquisition Officers Executive
Slide 29: Corporate philosophy and code of conduct
Corporate philosophy and code of conduct For a "longer life in health" through our services. Corporate slogan <Business philosophy> Healthful Future Resolving the problems of super-aged Mission communities through creative <Mission and business innovation and proactive endeavor fields of IIF> Seven
Slide 30: Company timeline
Company timeline Roll-out of new healthcare services through on- site and online operations Net sales Importance of care managers coming into focus Pioneering the first network created Rapid in the industry 2014 growth Start of "Record Initiation of operations book" franchise surrounding life span o
Slide 31: Importance of care managers for the long-term care insurance system
Importance of care managers for the long-term care insurance system Care managers, who prepare the care plans, have significant power to influence decisions on eldercare services Recommend and introduce Care plan eldercare service preparation companies in accordance with care plans Monthly visits Ca
Slide 32: Strength of the company: Care Management Online
Strength of the company Care Management Online Registration free Japan's Running of charge largest care manager operations support portal site Number of registered care managers Around 60% of total number of care managers in Japan (approx. 92,000 managers) Number of registered site users Around 150
Slide 33: Care Management Online as an irreplaceable tool
Strength of the company Care Management Online has established itself as an irreplaceable tool for care managers' duties Main duties of care managers Care Management Online Preparation of care plans and Resources available for download comprise documents required for long-term care various forms, sa
Slide 34: Japan's largest care manager network
Strength of the company Japan's largest care manager network capable of reaching senior households Care Management Online connects the Company with senior households Senior households Around 2.4 million Care manager Web On site Care managers make Running Japan's monthly visits to largest care manage
Slide 35: Record Book
Record Book The Record Book Business offers 3-hour rehabilitation day care services specializing on instruction in physical exercises (Scope of application: Certified eldercare patients up to eldercare level 2) Feature High subscriber retention ratio 1 (1) Creation of environments for eldercare pati
Slide 36: Customer attraction power of Web-based and on-site operations
Record Book Feature Customer attraction power of Web-based and on-site operations ３ through the efficient use of Japan's largest care manager network Web-based customer attraction Care Management Online Record identifies care managers Local care Eldercare resident in regions with Book "Record book"
Slide 37: Web Solution - Marketing support for the senior consumer market
Web Solution - Marketing support for the senior consumer market Marketing support through Japan's largest care manager network capable of reaching around 2.4 million senior households Japan's largest care manager network • Marketing research request Care Management • Provision of Research Online imp
Slide 38: Marketing support for eldercare food products
(Example case) Marketing support for the senior consumer market Marketing support for development and manufacturing of eldercare food products by major food manufacturers ① Request for eldercare food product sampling research Development and ② Request for advertisement postings on Care manufacture o
Slide 39: Support in reconciling employment duties and eldercare requirements
Web Solution - Support in reconciling employment duties and eldercare requirements More than 160 adopting companies* and more than 1.4 million members Mainly introduced as one of benefit program of companies *Total of adopting companies Support in reconciling employment duties and eldercare requirem
Slide 40: Growth Strategy
Growth Strategy
Slide 41: Growth Strategy: Expand targets by strengthening healthcare platform
Growth Strategy Expand targets by strengthening healthcare platform to increase enterprise value Enterprise value Expansion of target strata Roll-out of fitness business (non-insurance) for active seniors, forecast to reach around 30 million persons by 2020. Provision of fitness +α high added-value
Slide 42: Medium-term strategies: new services combining healthcare platforms and big data
Growth strategies: Medium-term strategies Initiatives surrounding new services and businesses by combining healthcare platforms and big data Healthcare platforms Increase in the number Increase in the number Strengthening of the Aggregation (1.2 million of registered care of care centers and marketi
Slide 43: Cautionary note and contact for inquiries
The numerical business results projections stated in these materials are based on judgments and expectations derived from the information available at the time. The materials have been prepared based on numerous assumptions and perceptions obtained from information that includes risks and uncertaint