Slide 1: 2Q FY2023 Presentation Material
tii 22 eisusvaraa's @A CyberAgent. 2Q FY2023 Presentation Material January to March 2023 C April26,2023 +) ENGLISH
Slide 2: Forward-looking statement
[Forward-looking statement] The future information, such as earnings forecast, written in this document is based on our expectations and assumptions as of the date the forecast was made. Our actual results could differ materially from those described in this forecast because of various risks and unc
Slide 3: Contents
0. Contents 1. Financial Summary (January - March 2023) 2. Forecast 3. Internet Advertisement Business 4. Game Business 5. Media Business 6. Medium to long-term strategy 7. References - Purpose 2
Slide 4: FY23 Q2 Financial Summary
1. Financial Summary FY23 Q2 Financial Summary January - March 2023 3
Slide 5: Financial Summary: quarterly sales record high
1. Financial Summary FY2023 Quarterly sales hit a new record high. Q2 Sales: OP: 195.6 billion yen 18.7 billion yen up 2.4% YoY down 27.0% YoY ABEMA significantly reduced its loss. Media Sales: 33.4 billion yen up 22.4% YoY OP: -0.5 billion yen +1.3 billion yen YoY Ad sales remain stable, resulting
Slide 6: Consolidated Sales 195.6 billion yen
1. Financial Summary [Consolidated Sales] 195.6 billion yen (up 2.4% YoY) Quarterly sales hit a new record high. 192.2 195.6 191.1 179.7 176.2 171.0 172.1 167.5 163.4 Billion Yen 129.1 131.0 120.8 117.3 115.6 113.6 111.7 109.5 110.8 112.8 107.5 104.4 97.9 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q
Slide 7: Consolidated OP 18.7 billion yen
1. Financial Summary [Consolidated OP] 18.7 billion yen Profit increased significantly led by loss reduction in the media business and profit growth in the game business. 44.5 26.8 25.8 25.7 19.8 18.7 Billion Yen 13.2 12.4 11.4 10.3 9.4 8.6 8.2 8.2 7.4 7.7 6.8 7.0 5.3 5.3 3.6 -1.2 1Q 2Q 3Q 4Q 1Q 2Q
Slide 8: SG&A Expenses 43.2 billion yen
1. Financial Summary [SG&A Expenses] 43.2 billion yen (up 16.3% YoY) 43.2 Special incentives Other* 40.4 40.4 Research and development expenses 37.8 37.1 37.1 10.2 Office costs 1.4 34.6 Personnel 9.3 9.6 Advertisement cost 7.7 8.5 30.6 30.8 2.2 29.7 9.4 8.1 28.9 28.9 2.0 2.2 1.4 2.5 Billion Yen 27.3
Slide 9: No. of Employees
1. Financial Summary [No. of Employees] Total headcount was 6,682 at the end of March. (449 new graduates joined in April.) Investment Development 6,682 6,406 6,472 6,563 13 Headquarters 13 14 380 14 368 Other 352 365 5,911 Game 5,7335,815 13 730 5,595 12 12 748 394 798 817 Internet Ad * 12 395 393
Slide 10: Financial Summary: PL
1. Financial Summary [PL] million yen FY2023 Q2 FY2022 Q2 YoY FY2023 Q1 QoQ Net Sales 195,657 191,102 2.4% 167,577 16.8% Gross profit 62,004 62,885 -1.4% 39,187 58.2% SG&A expenses 43,218 37,162 16.3% 40,443 6.9% Operating income (loss) 18,786 25,723 -27.0% -1,255 - OPM 9.6% 13.5% -3.9pt -0.7% 10.4p
Slide 11: Financial Summary: BS
1. Financial Summary [BS] End of End of End of million yen YoY QoQ Mar. 2023 Mar. 2022 Dec. 2022 Current assets 329,795 303,905 8.5% 331,580 -0.5% Cash deposits 183,260 177,567 3.2% 198,697 -7.8% Fixed assets 98,943 81,792 21.0% 91,368 8.3% Total assets 428,812 385,731 11.2% 423,028 1.4% Current lia
Slide 12: FY2023 Forecast
2. Forecast FY2023 Forecast October 2022 - September 2023 11
Slide 13: Sales 720 billion yen, OP 40-50 billion yen
2. Forecast 720.0 720 billion yen (up 1.3% YoY) 710.5 Sales 666.4 OP 40 - 50 billion yen 104.3 Ads and Media business will drive revenue growth. 478.5 Profits are forecasted with a range considering 453.6 fluctuations in the Game business. 419.5 69.1 371.3 310.6 50.0 50 range 254.3 205.2 36.7 40 33.
Slide 14: Progress to Forecast
2. Forecast [Progress to Forecast] Progress remains on track. Progression rate Sales 363.2B 50% 720B Progression rate Operating profit 17.5B 35%~44% 40B ～50B Progression rate Ordinary profit 17.8B 36%~45% 40B ～50B Progression rate Net profit * 2.8B 14%~19% 15B ～20B 0% 25% 50% 75% 100% *Net profit: P
Slide 15: Internet Advertisement
3. Internet Advertisement Business Internet Advertisement 14
Slide 16: Internet Advertisement Quarterly Sales
3. Internet Advertisement Business [Quarterly Sales] Q2 100.2 billion yen (up 6.7% YoY) 97.0 99.5 100.2 Ad sales marked a new record high, 95.6 resulting from solid client acquisition. 87.8 92.3 81.8 82.2 80.6 76.5 72.7 Billion Yen 66.6 67.3 64.3 64.3 64.9 62.2 63.3 61.4 61.3 60.2 57.6 1Q 2Q 3Q 4Q 1
Slide 17: Internet Advertisement Quarterly OP
3. Internet Advertisement Business [Quarterly OP] Q2 4.93 billion yen (down 33.9% YoY) We continue to invest in AI and DX businesses. OP 7.47 7.23 OP Margin 6.72 6.37 6.19 Billion Yen 5.66 5.70 5.74 5.52 5.43 5.20 5.04 4.91 4.74 4.99 5.05 5.00 4.93 4.69 4.52 4.24 4.23 9.6% 10.4% 9.2% 9.0% 7.8% 8.2%
Slide 18: Upfront Investment in DX and AI
3. Internet Advertisement Business [Upfront Investment] We aim for sustainable growth by introducing the latest technologies and expanding the organization in response to changes in the industry. DX AI Support DX of clients Research and Products Development Feb Chatbot 2023 DX Direct Business Center
Slide 19: Game
4. Game Business Game @A CyberAgent. 18
Slide 20: Game Quarterly Sales
4. Game Business [Quarterly Sales] Q2 62.1 billion yen (down 10.0% YoY) (up 51.9% QoQ) The anniversary celebration events of major games went well. 92.3 76.4 69.0 63.9 62.1 58.3 54.8 Billion Yen 46.2 44.8 39.9 40.9 38.2 39.0 37.7 36.7 36.3 35.2 29.9 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q １Q 2Q 3Q 4Q １Q 2Q 3Q 4Q １Q
Slide 21: Game Quarterly OP
4. Game Business [Quarterly OP] 15.2 billion yen (down 29.0% YoY) (up 191.7% QoQ) 44.2 28.1 23.2 21.3 17.1 15.2 12.1 Billion Yen 10.4 9.8 8.3 7.4 7.5 7.4 7.0 5.1 5.2 3.1 1.1 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q FY2019 FY2020 FY2021 FY2022 FY2023 *Quarterly OP : Special incentives in
Slide 22: Major Games Anniversaries
4. Game Business [Major Games] Six major games celebrated their anniversaries in Anniversary Month the second quarter. FY2013 FY2014 FY2015 FY2016 FY2017 FY2018 FY2019 FY2020 FY2021 1 2 5 7 9 PRINCESS Sengoku Embu Granblue UMA MUSUME Shadowverse CONNECT! Pretty Derby -KIZNA- Fantasy Re:Dive Mar. Feb
Slide 23: Major Games Events
4. Game Business [Major Games] The events of “Uma Musume Pretty Derby” *1and “Granblue Fantasy”*2 presented were successful. Puzzle “Uma Musume Pretty Derby”*1 2nd Anniversary*3 Released “Granblue in Fantasy” *2 9th Anniversary *4 December 2022 “Jujutsu Kaisen Phantom Parade”*2 RPG RPG Surpassed 18
Slide 24: Upcoming Games
4. Game Business [Upcoming Games] Two popular IP games are under development. “FINAL FANTASY VII EVER CRISIS”*1 RPG “Jujutsu Kaisen Phantom Parade”*3 RPG SQUARE ENIX CO., LTD. / Applibot, Inc. CBT*2 planned Sumzap, Inc. / TOHO CO., LTD. To be released in summer 2023 in 2023 “Jujutsu Kaisen Phantom P
Slide 25: Media
5. Media Business Media @A CyberAgent. 24
Slide 26: Media Quarterly Sales and OP
5. Media Business [Quarterly Sales] [Quarterly OP] 33.4 billion yen (up 22.4% YoY) 0.5 billion yen operating loss in Q2. Sales increased driven by ABEMA and ABEMA significantly reduced its loss. the related businesses. 33.4 33.4 FY2019 FY2020 FY2021 FY2022 FY2023 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q
Slide 27: Sales of ABEMA & Related Businesses
5. Media Business [Sales of ABEMA & Related Businesses] 21.7 Q2 21.3 billion yen (up 1.3X YoY) 21.3 PPV 19.0 The quarter-over-quarter performance was impacted by 19.0 the FIFA World Cup Qatar 2022. However, monetization 16.9 including related businesses is growing. Related 15.2 Businesses 13.3 10.3
Slide 28: ABEMA 96 million downloads
5. Media Business 96M DL ABEMA celebrated the 7th anniversary on April 11. The number of downloads reached 96 million. * Downloads April 11 2016 Release Apr. Jun. Sep. Dec. Mar Jun. Sep. Dec. Mar Jun. Sep. Dec. Mar Jun. Sep. Dec. Mar Jun. Sep. Dec. Mar Jun. Sep. Dec. Mar Jun. Sep. Dec. Mar 2016 2017
Slide 29: ABEMA Growth of WAU
5. Media Business [ABEMA] Growth of WAU*1 -34.09 WAU remains 1.5 times higher than the previous year after the FIFA World Cup Qatar 2022. *2 19.8 19.19 18.96 18.45 18.57 17.66 18.25 17.09 17.21 16.64 16.3 14.89 15.05 14.90 14.83 14.56 14.49 15.14 14.23 13.93 13.30 13.21 13.31 12.83 12.43 12.65 12.43
Slide 30: ABEMA received many awards in 2022
5. Media Business [ABEMA] ABEMA received many awards in 2022. The 28th AMD text Award *1 Sensor Tower APAC text Awards 2022※2 Grand Prize & Minister of Internal Affairs and Communications Award Best Entertainment App in Japan App Ape Award text 2022 *3 IAS AWARD text 2022※4 Special Award ABEMA was r
Slide 31: ABEMA
5. Media Business [ABEMA] FREE Available for everyone LIVE Shares real-time events by live streaming TREND Starts a trend in Japan NEWS Brings the latest news ACCESSIBILITY Not bound by time or place ©AbemaTV, Inc. 30
Slide 32: WINTICKET transaction amount
5. Media Business [WINTICKET] The transaction amount has been strong and grew 1.4 times year over year. Quarterly Transaction Amount*1 92.2 Keirin Online Betting Market*2 88.9 77.9 73.5 67.9 2023 40% Jan. to Mar. ¥221.9B 52.8 44.6 39.3 31.9 Billion yen 19.2 13.7 2022 31% 7.2 Jan. to Mar. 3.5 ¥205.6B
Slide 33: Medium to Long-Term Strategy
6. Medium to Long-Term Strategy Medium to Long-Term Strategy 32
Slide 34: Directions of each business
6. Medium to Long-Term Strategy [Directions of each business] Media Grow ABEMA larger and increase monetization Aim to increase the market share by Ad maximizing advertising effectiveness Game Make successful games and enhance the operational capability to run long term games 33
Slide 35: Operating Profit in Medium to long-term (Image)
6. Medium to Long-Term Strategy [Operating Profit in Medium to long-term (Image)] Accumulate profit through Ad Business and Game Business, invest in Media Business to grow as a pillar for the medium to long-term. 34
Slide 36: Aiming to be a company with medium to long-term supporters
Aiming to be a company with medium to long-term supporters
Slide 37: Reference
7. Reference @A CyberAgent. Reference
Slide 38: Reference - Purpose
7. Reference - Purpose CyberAgent had defined a new "Purpose" that clearly states the significance of its existence. 37
Slide 39: Integrated Report CyberAgent Way 2022
Integrated Report CyberAgent Way 2022 The 2022 Integrated Report features our talent management frameworks to realize sustainable growth with soaring attention by society. It introduces our four focus areas: hiring, developing human resources, energizing the organization, and placing the right perso
Slide 40: Copyrights of Game Business
Copyrights of Game Business 1 : ©Sumzap, Inc. All rights Reserved. 2 : ©Cygames, Inc. 3 : © 2014-2023 ARMOR PROJECT/BIRD STUDIO/SQUARE ENIX All Rights Reserved. Developed by Cygames, Inc. Publisher: SQUARE ENIX 4 : THE IDOLM@STER & ©BANDAI NAMCO Entertainment Inc. Jointly developed and is operating