Itmedia Inc. · TSE:2148
Itmedia — Q1 FY2022 Earnings Presentation
38 slides from Itmedia's earnings presentation, Jul 29, 2022
Slide 1: Earnings Briefing
ITmedia Inc. T h e T h r e e - M o n t h P e r i o d E n d e d J u n e 3 0 , 2 0 2 2 Earnings Briefing July 29, 2022 Securities code: 2148 Tokyo Stock Exchange Prime Market
Slide 2: Disclaimer
This document has been translated from the Japanese original for reference purposes only. In the event of any discrepancy between this translation and the Japanese original, the original shall prevail. Forward-looking comments appearing in this material, such as earnings outlooks, are based on inf
Slide 3: Earnings Overview, Sustainability, Forecast
The Three-Month Period Ended June 30, 2022, Earnings Overview Sustainability Fiscal Year Ending March 31, 2023, Earnings Forecast and Dividend Forecast 3
Slide 4: Executive Summary
The Three-Month Period Ended June 30, 2022, Executive Summary Record earnings Continuing growth Revenue Operating income Steady growth ¥1,980 million ¥630 million (+9%) towards achieving (+13%) Lead Generation Business +8% the earnings forecast Media Ad Business +17% • Digital shift within marketing
Slide 5: Three-Month Period Earnings
The Three-Month Period Ended June 30, 2022, Earnings Revenue Operating income (Unit: million yen) +¥224 +¥52 million million (+13%) +¥227 (+9%) million +¥329 (+65%) million (+23%) Operating margin © 2 0 2 2 I T m e d i a I n c . A l l R i g h t s R e s e r v e d .
Slide 6: Revenue (by Quarter)
Revenue (by Quarter) Earnings (Unit: million yen) forecast 8,730 Historic Q1 8,092 revenue 6,891 5,278 Q1 ¥1,980 million 4,703 YoY Q4 +¥224million Q3 (+13%) YoY change +¥224 million Q2 (+13%) Q1 © 2 0 2 2 I T m e d i a I n c . A l l R i g h t s R e s e r v e d .
Slide 7: Operating Income (by Quarter)
Operating Income (by Quarter) (Unit: million yen) Earnings forecast 2,920 Historic Q1 2,687 operating income 2,022 Q1 0,¥630 million YoY +¥52million 881 1,172 (+9%) YoY change 0+¥52 million Q4 0(+9%) Q3 Q2 Q1 © 2 0 2 2 I T m e d i a I n c . A l l R i g h t s R e s e r v e d .
Slide 8: Quarterly Revenue and Operating Income
Quarterly Revenue and Operating Income Quarterly trend will continue in the current fiscal year . Good progress has been made Revenue Operating income (Unit: million yen) FY22 YoY FY22 YoY FY21 9% 13% FY21 FY20 FY20 FY19 FY19 FY18 FY18 © 2 0 2 2 I T m e d i a I n c . A l l R i g h t s R e s e r v e
Slide 9: Consolidated Statement of Income
Consolidated Statement of Income FY21Q1 FY22Q1 (Unit: million yen) Amount As % of revenue Amount As % of revenue Increase % change Revenue 1,755 100.0% 1,980 100.0% +224 +12.8% Total cost 1,177 67.1% 1,349 68.2% +171 +14.6% (of which are personnel expenses) 658 37.5% 730 36.9% +71 +10.9% EBITDA 645
Slide 10: Analysis of Changes in Operating Income
Analysis of Changes in Operating Income Income rose because of growth in revenue . We strengthened content investment in growth fields Revenue growth Cost increase (Unit: million yen) Lead Personnel Generation + 62 +71 expenses Outsourcing YoY +69 Media Ad +161 expenses +¥52million Other +30 (+9%) 5
Slide 11: Cost Breakdown by Quarter
Cost Breakdown by Quarter 1,675 (Unit: million yen) 1,503 1,349 1,270 1,281 1,158 1,177 1,132 1,075 Main factors behind year-on-year change Personnel expenses +71 • Increase in number of employees in growth fields Outsourcing expenses +69 • Increase in content investment • Linked to increase in digi
Slide 12: Employee Breakdown by Quarter
Employee Breakdown by Quarter (Unit: employees) 392 370 373 Q1 YoY change As percent of 354 361 total 337 340 319 325 Total +38 100% Administrative and other (5) 7.7% Technical 0 4.6% Sales and planning +11 38.3% Editing +32 49.5% * Includes contract, temporary, and part-time employees Ratio of pers
Slide 13: Consolidated Statement of Cash Flows
Consolidated Statement of Cash Flows (Unit: million yen) FY21Q1 FY22Q1 Main items of operating CF Change Income before income tax +629 Cash flows from operating activities 188 77 (111) Income taxes paid (586) Depreciation and amortization +69 Cash flows from investing activities 35 (5) (41) Cashflow
Slide 14: Consolidated Statement of Financial Position
Consolidated Statement of Financial Position At the end of At the end of March 2022 June 2022 Change Current assets 8,728 8,336 (391) Total assets Assets Non-current assets 1,320 1,254 (65) Cash and cash equivalents (201) Total assets 10,048 9,591 (457) Trade and other receivables (192) Current liab
Slide 15: Revenue by Segment
Revenue by Segment (Unit: million yen) Lead Generation Business YoY +¥62million - Digital shift within marketing (+8%) continued Media Ad Business YoY – Stronger demand among manufacturing and cloud/SaaS customers because of +¥161million accelerated DX (+17%) – Firm sponsored digital events – Progra
Slide 16: Operating Income by Segment
Operating Income by Segment YoY (Unit: million yen) +¥18million (+9%) Operating margin Lead Generation Business YoY +¥33million (+9%) Operating Media Ad Business margin © 2 0 2 2 I T m e d i a I n c . A l l R i g h t s R e s e r v e d .
Slide 17: State of KPI: Members and PV
State of KPI: Members and PV for Past 5 Quarters Number of Lead 1 Number of PV Generation members * (monthly average) YoY (Unit: 10,000 people) (Unit: million PV) +90thousand YoY people(+8.8%) 113 -64 million PVs (-15.1%) 419 104 355 Other (+7.9%) Netolabo (-21.1%) 1. Members eligible for Lead Gener
Slide 18: Strengthening Content in Fields with Strong Demand
Strengthening Content in Fields with Strong Demand Strengthen content investment to achieve Medium-Term Target X40 ITmedia’s dedicated editing department Cloud and SaaS Overseas Translation media partners partners Industry DX Focus on higher Strengthen content Increase in number growth markets Globa
Slide 19: Number of Customers in Q1
Number of Customers in Q1 (Unit: companies) Strengthen contents in cloud/SaaS and industry DX fields Increase in number of customers in each field * Number of companies to which sales were recorded during the period © 2 0 2 2 I T m e d i a I n c . A l l R i g h t s R e s e r v e d .
Slide 20: State of KPI: Customers
State of KPI: Customers Lead Generation Media Ad (Unit: companies) (Unit: companies) * Number of companies to which sales were recorded during the period © 2 0 2 2 I T m e d i a I n c . A l l R i g h t s R e s e r v e d .
Slide 21: Revenue by Revenue Model
Revenue by Revenue Model YoY (Unit: million yen) +¥224million (+13%) 1,980 1,755 Lead Generation Business Lead Generation revenue +¥53 million (+8% YoY) 1,425 Digital Event revenue +¥66 million (+21% YoY) Media Ad Business Ad revenue +¥103 million (+13% YoY) of which is Programmatic Ad revenue +¥50
Slide 22: Lead Generation Revenue
Lead Generation Revenue (Unit: million yen) Demand continues YoY to grow +¥53million (+8%) Firm growth Effect of content investment is expected to continue beyond Q1 © 2 0 2 2 I T m e d i a I n c . A l l R i g h t s R e s e r v e d .
Slide 23: Digital Event Revenue
Digital Event Revenue YoY +¥66 381 (Unit: million yen) million (+21%) Sponsored Digital shift continued Growth mainly driven by YoY sponsored events +¥58 million (+33%) Commissioned YoY +¥8 million (+6%) © 2 0 2 2 I T m e d i a I n c . A l l R i g h t s R e s e r v e d .
Slide 24: Ad Revenue
Ad Revenue YoY +¥103million (+13%) (Unit: million yen) Smart and social Programmatic ads YoY +¥50 million (+17%) drive growth of which is Programmatic Ad revenue © 2 0 2 2 I T m e d i a I n c . A l l R i g h t s R e s e r v e d .
Slide 25: Ad Revenue: Netolabo—Revenue and PV
Ad Revenue: Netolabo—Revenue and PV Projections for FY22 Revenue per 1,000 PV (yen) Fruits of changing policy since Q3 of FY20 To t a l P V s g r o w t h w i l l s l o w d o w n Changes in High profit margin PVs will Focused on establishing a brand and expanding PV operating policy continue to grow
Slide 26: Sustainability
The Three-Month Period Ended June 30, 2022, Earnings Overview Sustainability Fiscal Year Ending March 31, 2023, Earnings Forecast and Dividend Forecast 26
Slide 27: Sustainability: Progress in Q1
Sustainability: Progress in Q1 Here is a description of our quarterly progress Sustainability: Priority topics for this fiscal year (announced on April 28, 2022) Q2 Q1 Q1 and beyond plan Respond to climate change (1) Identify materiality Broaden English Expand (material issues) disclosure decarboniz
Slide 28: Corporate Mission
Corporate mission Contribute to Information Revolution by Innovating Professional Media We believe profession makes media reliability Technology leads conventional media to innovation Providing media community as a social knowledge platform
Slide 29: Identifying Materiality
Identifying Materiality ¥¥ Social innovation through technology Innovate professional media ¥¥¥ Contribute through Development of a sustainable information society © 2 0 2 2 I T m e d i a I n c . A l l R i g h t s R e s e r v e d .
Slide 30: Identifying Materiality
Identifying Materiality Deliver a bright future for Disclosed humanity through the information information revolution https://corp.itmedia.co.jp/sustainability/ Producing a large number of excellent IT professionals, advancing the IT industry and 1 Materiality spreading technology to improve product
Slide 31: Identifying Materiality
Identifying Materiality Materiality Description Social issues SDGs Producing a large number of excellent IT professionals, ・Increase in productivity Deliver a bright future for advancing the IT industry and spreading technology to improve ・Training and fostering the next generation 1 humanity throug
Slide 32: Sustainability: Progress in Q1
Sustainability: Progress in Q1 Strengthened governance Smart work structure Strengthened leadership in the data driven field Q1 telework implementation rate: 88% Minimized risks despite concerns of Outside Director Keiko Watanabe resurgence of COVID-19 Executive Officer Takeshi Muto Diversity Disclo
Slide 33: Earnings Forecast and Dividend Forecast
The Three-Month Period Ended June 30, 2022, Earnings Overview Sustainability Fiscal Year Ending March 31, 2023, Earnings Forecast and Dividend Forecast 33
Slide 34: FY22 Consolidated Earnings Forecasts
FY22 Consolidated Earnings Forecasts • Continue to post record earnings • Bring forward investment Progressing as expected for medium-term growth (Unit: million yen) Forward-looking comments noted above, such as earnings outlooks, are based on information available when the material was created and
Slide 35: FY22 Dividend Forecast
FY22 Dividend Forecast (Unit: yen) 28.0 Payout ratio 23.0 For full fiscal year 16.0 28 yen Achieve W20 Commemorative dividend 12.0 11.0 20-year anniversary 10.0 10.0 Change-in-market commemorative commemorative dividend * Payout ratio 28.1% dividend 6.67 4.67 15-year anniversary 2.66 commemorative d
Slide 36: W20 Medium-Term Target
40 W20 20 8 FY10 FY11 FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19 FY20 FY21 FY22 FY25 © 2 0 2 2 I T m e d i a I n c . A l l R i g h t s R e s e r v e d .
Slide 37: Our Mission
O u r M i s s i o n Contribute to Information Revolution by Innovating Professional Media
Slide 38: Inquiries
Inquiries ITmedia Inc. Kioicho Building 3-12,Kioicho, Chiyoda-ku, Tokyo 102-0094 Inquiries: ir@sml.itmedia.co.jp