Itmedia Inc. · TSE:2148
Itmedia — H1 FY2024 Earnings Presentation
35 slides from Itmedia's earnings presentation, Nov 7, 2024
Slide 1: Introduction of Speakers
Introduction Introduction of Speakers Director, Vice President, and COO Takashi Kobayashi Career summary ‘Apr.1991 Joined Hakuhodo Doubles Inc. May1995 Joined ASCII Research Laboratories, Inc. Oct.2000 Joined atmarkiTinc. (currently, the Company) July2009 General Manager of Administration Division J
Slide 2: Earnings Briefing
Slide 3: ITmedia Inc. disclaimer
re’ ITmedia ine. 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 statements, such as earnings outlooks, are based on information a
Slide 4: Agenda
ITmedia ne 1. FY24 Semi-annual Earnings Overview 2. ITmedia: Business Description 3. Sustainability
Slide 5: 1. FY24 Semi-annual Earnings Overview
ir 1. FY24 Semi-annual Earnings Overview
Slide 6: Revenue growth
Revenue growth 6 SD -8.6% Operating income FY21 FY24 (Forecast) Revenue mllOperatingincome Revenue growth rate ©2024 ITmedia Inc. All Rights Reserved. 6
Slide 7: FY24 Q2 Consolidated Earnings Overview: YoY Change
FY24 Semi-annual Earnings Overview re’ FY24 Q2 Consolidated Earnings Overview: YoY Change ae (Unit: million yen) FY23 Q2 anghange in % change Consolidated revenue 0.2% increased revenue _—_—_—— Operating income1 5.8% decreased profit Revenue 3,841 3,847 +6 +0.2% BtoB Media Business 1.0% decrease in
Slide 8: FY24 Q2 Overview by Segment: KPIs/Comparison to Targets
FY24 Semi-annual Earnings Overview FY24 Q2 Overview by Segment: KPls/Comparison to Targets BtoB Media Business = revenue Media revenue nunberot RQ Spendinger customers cl mer Hacchu Navi revenue Full Fiscal Year Q2 Actual Q2YoY Earnings/Target Q2 Progress (Unit) FY23 FY24 Change Percentage FY23Actua
Slide 9: Operating Income - Variance Analysis
FY24 Semi-annual Earnings Overview Operating Income - Variance Analysis Costs increased due to investments made ahead of revenue. Expansion of promising domains and system investment Cumulative period Unit: million yen FY23Q2 ©2024 ITmedia Inc. All Rights Reserved Hacchu Navi SaaS domain BtoB Media
Slide 10: Revenue and Operating Income by Quarter
FY24 Semi-annual Earnings Overview ye’ Revenue and Operating Income by Quarter Decreased revenue in Q2 against the quarterly trend in the prior period Revenue Operating income Accounting period Unit: million yen 2,376 FY22 FY22 FY24 FY21 FY23 FY21 FY23 FY24 FY20 FY20 1,425 Qu Qa Q3 4 Qu Q2 Q3 Q4 ©20
Slide 11: Revenue by Revenue Model
‘Tmecdae. FY24 Semi-annual Earnings Overview [ees by Revenue Model mn Revenue turned to increase in Digital Events and Programmatic Ads. Ad revenue continued to decrease Accounting period 20% 15% 10% FY23 FY24 Tmedia Inc. All Rights Reserved ll
Slide 12: Recognition of Current Situation: Summary
FY24 Semi-annual Earnings Overview Recognition of Current Situation: Summary Revenue turned to increase in Digital Events and Programmatic Ads. The slowdown in BtoB foreign customers continued 2024 ITmedia Inc BtoB Media Business BtoC Media Business All Rights Reserved External environment Customers
Slide 13: Recognition of Current Situation: Expectations for Each Factor
FY24 Semi-annual Earnings Overview ye’ Recognition of Current Situation: Expectations for Each Factor Performance in Digital Events and Programmatic Ads improved as expected. Impacts of BtoB foreign customers were prolonged mainly in Ads Forecast for FY24 second half al FY23Q1 - Q3 FY23Q4 FY24 first
Slide 14: Customer Trends and Relationship with AI
FY24 Semi-annual Earnings Overview aS Customer Trends and Relationship with Al Expectations for Market Revitalization through Al Y hal day morrow (possibility) FA Lift off of generative Al technology Full-scale spread of Al @ Alasa support tool for raising productivity (Co-pilot) © Alspreadinga scop
Slide 15: BtoB Media Business: Important Measures in the Second Half
FY24 Semi-annual Earnings Overview BtoB Media Business: Important Measures in the Second Half Al domain rrinedia f\ | + domains deep@nsier Enhancement of acquisition of members Business/SaaS domain Priority ITmediak RA ONLINE ITCLOb Qaite Media Expansion of Lead Generation and Digital Event i) we 3
Slide 16: FY24 Consolidated Earnings Forecast and Dividend Forecast
| ie Semi-annual Earnings Overview FY24 Consolidated Earnings Forecast and Dividend Forecast Semi-annual was slightly lower than expected, but current forecasts are maintained Net income attributable to (Unit: million yen) Revenue Operating income Owners of the parent Full Fiscal Year Consolidated E
Slide 17: 2. ITmedia: Business Description
ITmedia ne 2. ITmedia: Business Description
Slide 18: About ITmedia
ITmedia: Business Description About ITmedia rr’ ITmedia inc. Our Mission Contribute to Information Revolution by Innovating Professional Media ©2024 ITmedia Inc. All Rights Reserved. QUA Company Profile Company name ITmedia Inc. Location Kioicho Bldg., 3-12 Kioicho Chiyoda-ku, Tokyo 102-0094 Japan E
Slide 19: Revenue Composition Ratio and Media Operated
ITmedia: Business Description Revenue Composition Ratio and Media Operated ¢v202zactual) 83% IT/Business Field CO Kt-eyze- TechTarget @/1/T ITmedia otmerkit NEWS _ itmecia LV1-T FAR ITinedia A\ | 4+ Mineo OP is pe iav'> ITmedi ITmediak HA Ls ae Subsidiaries / Affiliated Company QFE a ITreview ©2024
Slide 20: Business Segment and Revenue Model
ITmedia: Business Description Business Segment and Revenue Model Revenue model Revenue format Revenue sources KPIs Value provided Sales format 2024 ITmedia Inc. All Rights Rese BtoB Media Business BtoC Media Business Y Lead Generation revenue + Provide sales leads + Provide intent data etc. =@ 7X Di
Slide 21: Expansion and Growth of Current Model
ITmedia: Business Description 4 Expansion and Growth of Current Model lh ‘Tmecdae. Strength is revenue model unique to digital, including “Lead Gen” rr n Lead Programmatic . si BPAaanc ee ee Japan Expand industrial technology field Le id id +e EDN ESseses Digital Event Redesigned platform revenue md
Slide 22: Our Fundamental Platform
ITmedia: Business Description Our Fundamental Platform ’ pil ‘rma ie. The data holders that brings technology “buyers” and “sellers” together “ITmedia Universe” Customers. 2,300 companies Member readers. 1.3 million people Websites run by ITmedia / Readers 25 million people Potential customers 7,000
Slide 23: Overview of Growth Mechanisms in the BtoB Media Business
ITmedia: Business Description (4 Overview of Growth Mechanisms and Initiatives in the BtoB Media Business | Ad ‘Tmo. The data holders that brings technology “buyers” and “sellers” together “ITmedia Universe” ustomer satisfacti a oe mprovement Engagement nce improvemen ‘Campaign Database of Members p
Slide 24: Medium-Term Targets
| ae Business Description Medium-Term Targets FY24: Turnaround and preparation (Unit: million yen) Revenue ME Operating income 87 86 80 80 68 52 29 20 26 22 - a a L - FY19 FY20 FY21 FY22 FY23 FY2. ©2024 ITmedia Inc. All Rights Reserved. 23 4 129 CO FY29 24
Slide 25: Medium-Term Main Policy and Focal Points
[erg Business Description re’ Medium-Term Main Policy and Focal Points Tao Development of media and products that respond to the major changes brought about by technology + Progress of DX in all industries changes Soelaclt reforms brought about by Al + Establishment of data-driven marketing market S
Slide 26: Progress topics for Medium-term Initiatives
ITmedia: Business Description Progress topics for Medium-term Initiatives ansion of Hacchu Navi member companies Oct. 2024 System development project matching service 6,000 Accelerating expansion of member companies companies Feb. 2024 A as 5,000 pd companies ‘ June: 2023 4,000 May, 2022 companies 3
Slide 27: Investment-related Topics
ITmedia: Business Description al Investment-related Topics Mrmediaie Investment in Hacchu Navi and the SaaS domain Equity method investment profit generated FY Accelerated growth of Hacchu Navi EY An equity-method affiliate (such as attracting customers, and advertising ITcrowd Corp. was revaluated
Slide 28: Capital allocation policy
Growth investment as a top priority 15 Medium to longterm dividend increase and 68 stock price formation 85 Capital Financial efficiency soundness 31
Slide 29: 3. Sustainability
ir 3. Sustainability
Slide 30: Sustainability Initiatives until FY2024 Semi-annual
Sustainability Initiatives until the FY2024 Semi-annual Til Mrmediaie Publish sustainability-related reports, etc. Promotion of women empowerment 30% t=] ESG Data Book FY2023 m7 Target roy 30% . 19.8% | f) Ad Review Report Hy I Ratio of women in 10.3% 13.5% 1 I management f) Media Transparency Repor
Slide 31: Our Mission
SCP LIT HY AVR rk” ITmedia inc. Our Mission Contribute to Information Revolution by Innovating Professional Media Ty ddob,
Slide 32: FY2024 Plans to Disclose Earnings, Etc.
Introduction all | ae Plans to Disclose Earnings, Etc. "eda Disclosure of earnings for each quarter of FY2024 is planned as follows. Early Feb. Early May. Disclosure Schedule Aug. 5, 2024 Oct. 31, 2024 2025 2025 Consolidated Financial Report Financial and Operational Data Sheets(EXCEL) Oo Oo (@) (@)
Slide 33: FY2024 Plans to Disclose Earnings, Etc.
Introduction FY2024 Plans to Disclose Earnings, Etc. From FY2024, we have begun providing Financial and Operational Data Sheets (EXCEL), so that can be used for earnings-related information mW? \Tmedia inc. 202543 AHA PH ART -A2Y—b FY2024 Q2 Financial and Operational Data Sheets 20247 10A318 October
Slide 34: Reference Information/List of Links
Introduction Reference Information/List of Links Shareholder/Investor Information 2024/10/31 2024/10/31 2024/10/31 2024/11/28 2024/05/01 2024/06/27 2024/05/01 2024/05/01 2024/05/30 ©2024 ITmedia Inc. All Rights R Consolidated Financial Results for the Six Months Ended September 30, 2024 (Under IFRS)
Slide 35: ITmedia Inc. Inquiries
ITmedia Inc. Inquiries ITmedia Inc. Kioicho Building 3-12, Kioicho, Chiyoda-ku, Tokyo 102-0094 Inquiries: ir@sml.itmedia.co.jp