Wantedly, Inc. · TSE:3991
Wantedly — FY2023 Earnings Presentation
40 slides from Wantedly's earnings presentation, Oct 13, 2023
Slide 1: FY2023 Financial Results
Wantedly, Inc. FY2023 Financial Results (Business Plans and Matters Related to High Growth Potential) October 13, 2023 ©2023 Wantedly, Inc.
Slide 2: Table of Contents
Table of Contents 1. Highlights 2. FY2023 Results 3. FY2024 Guidance 4. Future Outlook ©2023 Wantedly, Inc.
Slide 3: Highlights
01 Highlights ©2023 Wantedly, Inc.
Slide 4: Highlights | FY2023 Results, FY2024 Guidance
Highlights | FY2023 Results, FY2024 Guidance • Operating revenue reached 1,165 million yen in Q4 (3 months) and totaled 4,746 million yen for Q1-Q4 (12 months), up 6% YoY • Operating profit reached 355 million yen in Q4 (3 months) and totaled 1,589 million yen for Q1-Q4 (12 months), up 27% YoY Resul
Slide 5: FY2023 Results
02 FY2023 Results ©2023 Wantedly, Inc.
Slide 6: FY2023 Results | Full-year Overview
FY2023 Results | Full-year Overview Operating revenue up (¥M) FY22.8 FY23.8 YoY FY23.8 (Forecast) 6% YoY OpeartingRe 4,497 4,746 6% 4,720 venue • Flow revenue started to decline in the Operating second half, and sales growth rate 1,251 1,589 27% 1,550 Pro t remained at 6% (Margin) 28% 33% - 33% Oper
Slide 7: FY2023 Results | Quarterly Overview
FY2023 Results | Quarterly Overview Operating revenue (¥M) FY22.8 FY23.8 FY23.8 YoY QoQ Q4 Q3 Q4 declined YoY Operating 1,169 1,184 1,165 -0% -2% • Visit's contract acquisition and contract unit Revenue price are trending steadily, however, new Operating acquisitions has slowed down. 306 440 355 16%
Slide 8: FY2023 Results | Revenue: Quarterly Trends
FY2023 Results | Revenue: Quarterly Trends Subscriptions remained (¥M) Add-ons & Others 1,400 steady in QoQ Subscriptions 1,186 1,209 1,184 1,150 1,169 1,165 1,200 1,118 1,059 • Subscriptions growth has slowed down 999 238 256 220 186 230 232 as new acquisitions remain at a 1,000 939 241 859 234 con
Slide 9: FY2023 Results | SG&A: Quarterly Trends
FY2023 Results | SG&A: Quarterly Trends Invested in new (¥M) Marketing 1,400 businesses in Q4 Others System & Comm. Personnel 1,167 1,107 897 • Other expenses increased due to 933 837 864 841 802 810 investment in new businesses 549 761 744 683 651 700 342 402 312 300 201 566 286 244 210 • We will c
Slide 10: Operating Profit / OP Margin: Quarterly Trends
FY2023 Results | Operating Profit / OP Margin: Quarterly Trends (¥M) Operating Pro t OPM OPM(ex. Marketing Expenses) 600 70% 500 60% 56% 57% 57% 55% 467 53% 54% 448 440 51% 50% 47% 48% 46% 400 44% 345 355 40% 306 40% 41% 300 257 37% 37% 210 208 220 30% 29% 30% 200 27% 26% 20% 24% 24% 102 20% 100 10%
Slide 11: Non-financial KPIs: Quarterly Trends
FY2023 Results | Non-financial KPIs: Quarterly Trends Registered Users Registered Companies (Thousand users) (Thousand companies) 4,000 3.83 M 45 39 K 3,500 36 3,000 2,500 27 2,000 18 1,500 1,000 9 500 0 0 FY21.8 FY22.8 FY23.8 FY21.8 FY22.8 FY23.8 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q
Slide 12: Consolidated Balance Sheets / Statements of Cash Flows
FY2023 Results | Consolidated Balance Sheets / Statements of Cash Flows Consolidated Balance Sheets Consolidated Statements of Cash Flows (¥M) FY22.8 FY23.8 (¥M) FY22.8 FY23.8 Current assets 3,282 4,217 Operating cash ows 1,218 864 Cash and deposits 2,753 3,701 Pro t before income taxes 1,232 1,562
Slide 13: Plan to implement dividend (first dividend)
FY2023 Results | Dividends Plan to implement FY22.8 FY23.8 dividend (first dividend) The record date 2023/8 31 • As part of shareholder returns, we paid a dividend of 20 yen per share Dividends per share ¥ 20 • We plan to continue paying Net income per share ¥ 105 stable dividends in the future Payo
Slide 14: FY2024 Guidance
03 FY2024 Guidance ©2023 Wantedly, Inc.
Slide 15: FY2024 Guidance | Overview
FY2024 Guidance | Overview Expect increase in (¥M) FY23.8 (Results) FY24.8 (Forecast) YoY revenue and profit Operating 4,746 4,825 2% Revenue • Although the future of economic trends is uncertain, recruitment demand is expected Operating 1,589 1,600 1% to continue and new recruitment will remain Pro
Slide 16: Revenue / SG&A: Annual Trends
FY2024 Guidance | Revenue / SG&A: Annual Trends Revenue SG&A (¥M) (¥M) Add-ons & Others 4,746 4,825 Others 5,000 Subscriptions 5,000 Marketing 4,497 System & Comm. Personnel 901 4,000 3,574 938 4,000 3,160 3,246 3,156 3,225 747 3,000 3,000 699 689 855 4,825 2,000 3,844 2,000 1,178 1,185 3,559 956 3,
Slide 17: Operating Profit / OP Margin: Annual Trends
FY2024 Guidance | Operating Profit / OP Margin: Annual Trends Operating Profit Operating Profit Margin (¥M) OPM OPM (ex. Marketing Expenses) 2,000 60% 54% 54% 1,589 1,600 50% 48% 45% 1,500 1,251 40% 33% 33% 1,000 30% 28% 20% 500 414 12% 10% 0 FY21.8 FY22.8 FY23.8 FY24.8 FY21.8 FY22.8 FY23.8 FY24.8 *
Slide 18: Dividends forecast
FY2024 Guidance | Dividends forecast Dividends forecast FY23.8 FY24.8 The record date 2023/8 31 2024 8 31 Dividends per share ¥ 20 20 Net income per share ¥ 105 105 Payout ratio % 19% 19% Total dividend amount ¥M 189 190 ©2023 Wantedly, Inc. 18
Slide 19: Future Outlook
04 Future Outlook ©2023 Wantedly, Inc.
Slide 20: Mission
Future Outlook | Mission TO CONNECT PEOPLE WITH THE RIGHT OPPORTUNITIES, CREATING A WORLD WHERE WORK DRIVES PASSION We are a business SNS that connects people through Discovery, Connection, and Engagement, in order to create a world where work drives passion. ©2023 Wantedly, Inc. 20
Slide 21: Value Proposition
Future Outlook | Value Proposition Provide unique value to enable people to be passionate in their work Value Proposition Recruitment Employee Recruiting Marketing Engagement Awareness, Interest, Selection, O er, Retention and and Applications and Closing high performance Blogs, Social, Movies, PR,
Slide 22: Focus Points
Future Outlook | Focus Points • Sales growth decelerated during the latter half of FY23, attributed to slower growth in the number of paying companies and a Reinforce Visit decrease in option sales Business Structure • The deceleration in growth resulted from delays in fortifying the sales structure
Slide 23: Wantedly Visit: Easily arrange company visits
Future Outlook | Wantedly Visit iOS, Android and Web Easily arrange company visits Matching based on shared values and mission • Connect people with companies based on shared values, regardless of conditions such as salaries, benefits, and company size The new experience of, “I’m interested!” • Enab
Slide 24: Wantedly Visit - Business Model
Future Outlook | Wantedly Visit - Business Model Users Companies View Content Office workers Management HR Freelancers Employer Branding Applications Talent Scouting Non-HR Students Employees Free of charge No commissions Subscriptions + Add-ons ※Paid plans available ※Free company registration ©2023
Slide 25: Users on Wantedly
Future Outlook | Users on Wantedly Our strength is with millennials, Generation Z, and the growing web industry Occupation Age 9% 10% 9% 28% Developer Desinger 18% 38% 20-29 Sales 30-39 Marketing 40-49 17% 50 and over Director Corporate 19% 18% 34% ©2023 Wantedly, Inc. 25
Slide 26: Companies on Wantedly
Future Outlook | Companies on Wantedly Companies from various industries, primarily in SMEs with 100 or fewer employees Companies by industry Web & Mobile Consulting Marketing & Advertisement Retail & Distribution System Integration & Packaged So ware 39 Architecture & Real estate Sta ng & HR, Nursi
Slide 27: Focus Points Visit
Future Outlook | Focus Points Visit Recover our customer acquisition capabilities through a strengthened sales structure KPI Strengthened sales structure 1 Number of Paid Companies • Expect that new acquisitions and cancellations Enhance customer success will stabilize and remain flat over the next
Slide 28: Engagement: Perk, Pulse, Story
Future Outlook | Engagement Perk, Pulse, Story Supporting the creation of self-sustaining organizations Comprised of three products • Provide support for creating an environment where employees can be passionate in their work Solving telecommuting challenges • Prevent decreased employee motivation d
Slide 29: Engagement - Perk: Employee Perks
Future Outlook | Engagement - Perk Employee Perks Employee Perks provide the latest services to enrich employee work environments • Discounted services that support users in their day to day challenges - employee benefits that are easy to implement • Over 1,000 services with special offers ©2023 Wan
Slide 30: Engagement - Perk - Business Model
Future Outlook | Engagement - Perk - Business Model Companies Contract Post Service Service provider Employees Give Get Coupon Service Coupon Entertainment Provide Restaurant/ Alignment Service info Movie.. Healthcare Childcare Use service Education etc… Free of charge ※Paid plans available ©2023 Wa
Slide 31: Focus Points Perk
Future Outlook | Focus Points Perk Continue to expand our high-quality listing services and expand our customer base KPI New Orders • As a result of our implemented measures, utilization Enhance customer success rates within client companies have increased • We aim to increase the number of new orde
Slide 32: Engagement - Story: Company Newsletter
Future Outlook | Engagement - Story Company Newsletter Company Newsletters that enable members to share common goals and feel a sense of team unity • Support companies in celebrating visions and values online, even when face-to-face communication is difficult ©2023 Wantedly, Inc. 32
Slide 33: Engagement - Pulse: Team Management
Future Outlook | Engagement - Pulse Team Management Surveys that allow managers to assess employee satisfaction and make improvements to employee experience • Celebrate team values through Slack and visualize daily challenges and unseen contributions of members ©2023 Wantedly, Inc. 33
Slide 34: Potential Users
Future Outlook | Potential Users Maximize utilization of our current user/customer base Working population Companies Users Companies 69.00 M (1) 3.60 M (3) SMEs / Large Enterprises SMEs / Large Enterprises 36.00 M (2) 540 K (4) Wantedly share Wantedly share 3.83 M 39 K 11% 7% Sources: (1) “Labor Sur
Slide 35: Potential Market Size
Future Outlook | Potential Market Size The Wantedly Group estimates a potential market size of approximately 1 trillion yen (¥) 1 Hiring Engagement + = Approx. 450 billion (1) Approx. 550 billion (2) Approx. trillion Sources: (1) Average estimated use fees for hiring services X Employee number of SM
Slide 36: Subscription revenue model
Future Outlook | Subscription revenue model Pricing model combines subscriptions and pay-as-you-go plans Hiring Engagement (¥M) Add-ons & Others 5,000 Subscriptions 4,746 4,825 4,497 Options Add-ons • From 100,000 yen per item • Each product is 600 yen/user 4,000 • Mainly “Talent Scouting” 3,574 • F
Slide 37: Appendix | ESG / SDGs
Appendix | ESG / SDGs We support the Sustainable Development Goals Supporting Student Achieve sustainable self- Career Development sufficiency through work We are dedicated to assisting recent graduates in As times change and the average life expectancy inches discovering their passion within their
Slide 38: Appendix | Company Overview and History
Appendix | Company Overview and History Wantedly, Inc. MG Shirokanedai building 4F, 5-12-7, Shirokanedai, Minato-ku, Tokyo Akiko Naka, CEO Securities code: 3991 (TSE Growth) Company History Akiko Naka founded Fuel, Inc. Sep. 2010 (Currently “Wantedly, Inc.”) Released Wantedly Feb. 2012 (Currently “W
Slide 39: Appendix | Risks and countermeasures
Appendix | Risks and countermeasures Risk Countermeasures The Wantedly Group primarily derives its revenue from system usage fees for management of recruitment information on “Wantedly Visit,” leading to a high level of revenue Revenue concentration in speci c concentration. As stated above, if reve
Slide 40: Appendix | Disclaimer
Appendix | Disclaimer This material contains forward-looking statements that reflect views and assumptions of management at Wantedly, Inc., in light of information currently available with respect to certain future events, including, but not limited to financial projections and business strategies.