Hybrid Technologies Co.,ltd. · TSE:4260
Hybrid Technologies Co.,ltd — Q1 FY2023 Earnings Presentation
50 slides from Hybrid Technologies Co.,ltd's earnings presentation, Feb 14, 2023
Slide 1: Fiscal Year Ending September 30, 2023 First Quarter Financial Results Briefing Materials
Hybrid Technologies Co., Ltd. (TSE Growth Securities Code: 4260) Fiscal Year Ending September 30, 2023 (First Quarter) Financial Results Briefing Materials February 14, 2023
Slide 2: Highlights of the First Quarter
Hybrid Technologies Co., Ltd. (TSE Growth Securities Code: 4260) Highlights of the First Quarter of Fiscal Year Ending September 30, 2023 Casley Consulting, Inc. Became a Subsidiary Topics for the First Quarter Growth Strategy Overview of Company/Business 2 © 2023 Hybrid Technologies Co., Ltd.
Slide 3: Executive Summary
Hybrid Technologies Co., Ltd. Executive Summary (TSE Growth Securities Code: 4260) Highlights of the First Quarter of Fiscal Year Ending September 30, 2023 ・Revenue increased by 38% year-on-year, with revenue for stock services increasing by 23% year-on-year. ・Operating profit increased by 17 millio
Slide 4: Progress Rate vs. Financial Results Forecast
Progress Rate vs. Financial Results Forecast for the Fiscal Year Ending September 2023 Hybrid Technologies Co., Ltd. (TSE Growth Securities Code: 4260) ・Both revenue and operating profit progressed as expected as of the first quarter. ・Recorded finance expenses of 28 million yen (foreign exchange lo
Slide 5: Financial Highlights
Hybrid Technologies Co., Ltd. Financial Highlights (TSE Growth Securities Code: 4260) ・In the first quarter, revenue increased by 191 million yen (+38%) year-on-year to 694 million yen. This is attributable to the expanded scale of existing projects with the accelerating assignment of personnel in u
Slide 6: Changes by Quarter: Revenue
Hybrid Technologies Co., Ltd. Changes by Quarter: Revenue (TSE Growth Securities Code: 4260) ・Revenue increased by 38% year-on-year, with sales revenue for core stock services increasing by 23% year-on-year. ・With the appreciation of the yen into the first quarter, sales of the Company's stock servi
Slide 7: Changes by Quarter: Gross Profit, Operating Profit
Hybrid Technologies Co., Ltd. Changes by Quarter: Gross Profit, Operating Profit (TSE Growth Securities Code: 4260) ・Cost of sales were recorded in advance due to an increase in personnel expenses due to promoting the hiring of engineers through recruitment campaign in Vietnam, etc. in the previous
Slide 8: Major KPIs and Approach to Foreign Exchange Impact
Hybrid Technologies Co., Ltd. Major KPIs and Approach to Foreign Exchange Impact (TSE Growth Securities Code: 4260) ・The number of stock service projects and their average price per project mainly denominated in USD are inversely correlated with foreign exchange fluctuations. ・From the dual perspect
Slide 9: Major KPI: Number of Stock Service Projects
Hybrid Technologies Co., Ltd. Major KPI: Number of Stock Service Projects (TSE Growth Securities Code: 4260) ･ As of the end of the first quarter of the fiscal year ending September 30, 2023, there were 50 long-term stock service projects with contracts of six months or more. ・During the yen's depre
Slide 10: Major KPI: Average Price Per Stock Service
Hybrid Technologies Co., Ltd. Major KPI: Average Price Per Stock Service (TSE Growth Securities Code: 4260) ・Although the average price per stock service was trending over 4,100 thousand yen until November, it was 3,622 thousand yen as of December, the last month of the first quarter. ・Due to the co
Slide 11: Operating Profit (Cumulative) Analysis
Hybrid Technologies Co., Ltd. Operating Profit (Cumulative) Analysis (TSE Growth Securities Code: 4260) ・Revenue in the first quarter increased by 191 million yen year-on-year (+38%). ・Increase in sales-related personnel expenses (+121 million yen) due to personnel expenses of engineers hired from r
Slide 12: Balance Sheet and Cash Flows
Hybrid Technologies Co., Ltd. Balance Sheet and Cash Flows (TSE Growth Securities Code: 4260) ・Equity-to-asset ratio is 70%. ・Cash and cash equivalents amounted to 1.768 billion yen, providing sufficient investment funds for future business growth opportunities. ・As of the end of the first quarter,
Slide 13: Casley Consulting, Inc. Became a Subsidiary
Hybrid Technologies Co., Ltd. (TSE Growth Securities Code: 4260) Highlights of the First Quarter of Fiscal Year Ending September 30, 2023 Casley Consulting, Inc. Became a Subsidiary Topics for the First Quarter Growth Strategy Overview of Company/Business 13 © 2023 Hybrid Technologies Co., Ltd.
Slide 14: Casley Consulting, Inc. Became a Subsidiary
Hybrid Technologies Co., Ltd. Casley Consulting, Inc. Became a Subsidiary (TSE Growth Securities Code: 4260) ・On January 31, 2023, the Company resolved to acquire all shares of Casley Consulting, Inc. and make it a subsidiary. Date of conclusion of share January 31, 2023 transfer agreement Date of s
Slide 15: Casley Consulting, Inc. Became a Subsidiary
Hybrid Technologies Co., Ltd. Casley Consulting, Inc. Became a Subsidiary (TSE Growth Securities Code: 4260) ・Casley Consulting, Inc. has strengths in upstream processes, including broad knowledge from applications to infrastructure, since all of its project management personnel are from engineering
Slide 16: Casley Consulting, Inc. Became a Subsidiary
Hybrid Technologies Co., Ltd. Casley Consulting, Inc. Became a Subsidiary (TSE Growth Securities Code: 4260) ・Casley Consulting has strong technical capabilities backed by an organization composed of former engineers, broad knowledge from applications to infrastructure, and strengths in the upstream
Slide 17: Casley Consulting, Inc. Became a Subsidiary
Hybrid Technologies Co., Ltd. Casley Consulting, Inc. Became a Subsidiary (TSE Growth Securities Code: 4260) ・Casley Holdings, Inc., which currently holds 100% of the target company's shares, will establish a new company and transfer all businesses, excluding the worker dispatch business, all past d
Slide 18: Topics for the First Quarter
Hybrid Technologies Co., Ltd. (TSE Growth Securities Code: 4260) Highlights of the First Quarter of Fiscal Year Ending September 30, 2023 Casley Consulting, Inc. Became a Subsidiary Topics for the First Quarter Growth Strategy Overview of Company/Business 18 © 2023 Hybrid Technologies Co., Ltd.
Slide 19: Progress in Cybersecurity Services
Hybrid Technologies Co., Ltd. Progress in Cybersecurity Services (TSE Growth Securities Code: 4260) ・Started providing cybersecurity services in September 2022. ・In the first quarter, we provided security tests for four projects, mainly existing customers. ・These services contributed to improving cu
Slide 20: Cybersecurity Services Market Size
Hybrid Technologies Co., Ltd. Cybersecurity Services Market Size (TSE Growth Securities Code: 4260) ･ Demand for cybersecurity services is increasing both in Japan and abroad, with the global market size expected to reach 266.2 billion USD in 2027. ･ Offering cybersecurity services using Vietnamese
Slide 21: Certified as a Salesforce Consulting Partner
Hybrid Technologies Co., Ltd. Certified as a Salesforce Consulting Partner (TSE Growth Securities Code: 4260) ・Certified as a consulting partner of Salesforce, a leading provider of customer relationship management (CRM) tools. ・Certified as a partner with expertise and experience in Salesforce, pro
Slide 22: Certified as a Salesforce Consulting Partner
Hybrid Technologies Co., Ltd. Certified as a Salesforce Consulting Partner (TSE Growth Securities Code: 4260) ・Salesforce is a powerful solution aiding our provision of hybrid services going forward, and we plan to develop Salesforce implementation consulting. ・Establishing a support system from req
Slide 23: Grant Application Consulting Services
Hybrid Technologies Co., Ltd. Grant Application Consulting Services (TSE Growth Securities Code: 4260) ・On January 30, 2023, in addition to our conventional system development support, we started a one-stop subsidy application consulting service that includes subsidy applications for the Manufacturi
Slide 24: Vietnam: Progress of Academic-Industrial Alliance
Hybrid Technologies Co., Ltd. Vietnam: Progress of Academic-Industrial Alliance (TSE Growth Securities Code: 4260) ・We signed a new memorandum of understanding with Vietnam National University (Ho Chi Minh City) for an academic-industrial alliance. ・We agreed on accepting interns, sharing job offers
Slide 25: Vietnam: Academic-Industrial Alliance
Hybrid Technologies Co., Ltd. Vietnam: Academic-Industrial Alliance (TSE Growth Securities Code: 4260) ・Currently, we have established alliances with nine universities in Vietnam regarding education and recruitment. Hanoi ･ VNU University of Engineering and Technology ･ Hanoi University of Technolog
Slide 26: Expansion of Japan Office Floors
Hybrid Technologies Co., Ltd. Expansion of Japan Office Floors (TSE Growth Securities Code: 4260) ・The expansion of the Tokyo head office was completed on December 5, 2022. ・Based on the theme of "Fusion," we renovated the space into a single floor aim of fusing the concepts of "natural" and "tech d
Slide 27: Website Renewal
Hybrid Technologies Co., Ltd. Website Renewal (TSE Growth Securities Code: 4260) ・The main visual incorporates our message to customers, pages are redesigned and enhanced to more clearly convey service case examples and strengths, and the new site communicates our vision and the value we provide. ・W
Slide 28: Growth Strategy
Hybrid Technologies Co., Ltd. (TSE Growth Securities Code: 4260) Highlights of the First Quarter of Fiscal Year Ending September 30, 2023 Casley Consulting, Inc. Became a Subsidiary Topics for the First Quarter Growth Strategy Overview of Company/Business 28 © 2023 Hybrid Technologies Co., Ltd.
Slide 29: Growth Strategy: Growth of Existing Business
Hybrid Technologies Co., Ltd. Growth Strategy: Growth of Existing Business (TSE Growth Securities Code: 4260) Growth by increasing the number of stock service projects, our main service, and improving average price. Stock service Increase in number of projects Implement flexible pricing measures Imp
Slide 30: Growth Strategy: Hybrid Technologies Capital
Hybrid Technologies Co., Ltd. Growth Strategy: Hybrid Technologies Capital (TSE Growth Securities Code: 4260) ・Hybrid Technologies is developing Hybrid Technologies Capital, a new project supporting start-up businesses which was launched this fiscal year. ・In the fourth quarter, Hybrid Technologies
Slide 31: Capital Investment Track Record: DATAFLUCT Inc.
Hybrid Technologies Co., Ltd. Hybrid Technologies Capital Investment Track Record: DATAFLUCT Inc. (TSE Growth Securities Code: 4260) ・Deciding support for DATAFLUCT Inc., which mainly sells unstructured data analysis platform products. ・Providing a data utilization platform using AI for large domest
Slide 32: Capital Investment Examples: Precal Inc.
Hybrid Technologies Co., Ltd. Hybrid Technologies Capital Investment Examples: Precal Inc. (TSE Growth Securities Code: 4260) ・Decided support for Precal Inc., which provides the prescription input agency service “precal“ ・Conducts prescription input and administrative work, eliminating the burden o
Slide 33: Growth Strategy
Hybrid Technologies Co., Ltd. Growth Strategy (TSE Growth Securities Code: 4260) ・The Company aims to achieve disruptive business growth, such as new projects and business alliances, while expanding the scale of the existing business by increasing the number of stock service projects and improving t
Slide 34: Growth Strategy: Our M&A Strategy
Hybrid Technologies Co., Ltd. Growth Strategy: Our M&A Strategy (TSE Growth Securities Code: 4260) We consider M&A strategies in two directions: growth of existing businesses (project number/average price increase) and business diversification. M&A to increase the number and average prices of existi
Slide 35: M&A to Increase the Number and Average Prices of Existing Businesses
Hybrid Technologies Co., Ltd. Growth strategy: M&A to Increase the Number and Average Prices of Existing Businesses (TSE Growth Securities Code: 4260) ・Consider M&A that helps expand our current priority sectors such as recruitment in UX/UI design, development, maintenance and operation, DX strategy
Slide 36: Growth Strategy: M&A to Diversify Businesses
Hybrid Technologies Co., Ltd. Growth Strategy: M&A to Diversity Businesses (TSE Growth Securities Code: 4260) Utilizing Hybrid Technologies Capital's corporate network, we have established a certain level of positioning in growth industries; now we aim to achieve non-continuous growth by diversifyin
Slide 37: Our Approach to ESG
Hybrid Technologies Co., Ltd. Our Approach to ESG (TSE Growth Securities Code: 4260) We contribute to realizing a sustainable society through DX promotion projects that enable more efficient social activities and flexible working systems for a diverse workforce. comfortable working environment Devel
Slide 38: Overview of Company/Business
Hybrid Technologies Co., Ltd. (TSE Growth Securities Code: 4260) Highlights of the First Quarter of Fiscal Year Ending September 30, 2023 Casley Consulting, Inc. Became a Subsidiary Topics for the First Quarter Growth Strategy Overview of Company/Business 38 © 2023 Hybrid Technologies Co., Ltd.
Slide 39: © 2023 Hybrid Technologies Co., Ltd.
39 © 2023 Hybrid Technologies Co., Ltd.
Slide 40: Company Profile
Hybrid Technologies Co., Ltd. Company Profile (TSE Growth Securities Code: 4260) Company name Date of establishment Officers (as of December 31, 2022) Hybrid Technologies Co., Ltd April 28, 2016 CEO Tran Van Minh 〈Consolidated subsidiary〉 Director/CFO Kazuma Hirakawa Hybrid Technologies Vietnam Co.,
Slide 41: Officers
Hybrid Technologies Co., Ltd. Officers (TSE Growth Securities Code: 4260) CEO Director/CFO Director Tran Van Minh Kazuma Hirakawa Yosuke Kubota After representing the Vietnamese After passing the second stage Certified After joining Recruit Co., Ltd. as a new affiliate of a Japanese company and the
Slide 42: Business Overview
Hybrid Technologies Co., Ltd. Business Overview (TSE Growth Securities Code: 4260) With our Hybrid services, the Japanese side of the business plays a central role in handling upstream processes (service and system design for customers) while collaborating with engineer resources on the Vietnamese s
Slide 43: Service Details
Hybrid Technologies Co., Ltd. Service Details (TSE Growth Securities Code: 4260) We offer quasi-mandate-based stock services and service contract-based flow services according to customers’ needs. *The proportions represent the percentage of revenue from stock services and flow services, respectivel
Slide 44: Strengths of Our Business
Hybrid Technologies Co., Ltd. Strengths of Our Business (TSE Growth Securities Code: 4260) We believe that the strengths of our business are the three points below. For details, see the following pages. 1. Japan-Vietnam 3. Resource supplying 2. Business model synergy capacity By using Vietnamese eng
Slide 45: Strengths 1: Japan-Vietnam Synergy (Demographics)
Hybrid Technologies Co., Ltd. Strengths of Our Business 1: Japan-Vietnam Synergy (Demographics) (TSE Growth Securities Code: 4260) ・ Unlike Japan, which is facing the issue of a declining birthrate and aging society, Vietnam's total population is projected to continue growing in the future as of 202
Slide 46: Strengths 1: Japan-Vietnam Synergy (Market Environment)
Hybrid Technologies Co., Ltd. Strengths of Our Business 1: Japan-Vietnam Synergy (Market Environment) (TSE Growth Securities Code: 4260) ・ While the DX market among Japanese companies is projected to grow to 3 trillion yen by 2030, the forecast is that there will be a shortage in the IT human resour
Slide 47: Strengths of Our Business (2): Business Model
Hybrid Technologies Co., Ltd. Strengths of Our Business (2): Business Model (TSE Growth Securities Code: 4260) By using Vietnamese engineers who understand Japanese business practices as a bridge between the Japanese side, which handles upstream processes, and Vietnamese side, which handles developm
Slide 48: Strengths of Our Business (3): Resource Supplying Capacity
Hybrid Technologies Co., Ltd. Strengths of Our Business (3): Resource Supplying Capacity (TSE Growth Securities Code: 4260) ･ Our recruiting network, which leverages our high profile within Vietnam, enables agile recruitment of personnel suited to the needs of each project, which is difficult in Jap
Slide 49: Strengths of Our Business (3): Resource Supplying Capacity
Hybrid Technologies Co., Ltd. Strengths of Our Business (3): Resource Supplying Capacity (TSE Growth Securities Code: 4260) ・Our President and CEO Minh, has been featured in various media such as Forbes as the only Vietnamese representative of a company listed on the Tokyo Stock Exchange, and has a
Slide 50: Forward-looking statements
・ This document contains forward-looking statements related to industry trends and Hybrid Technologies' business based on the Company's current plans, estimates, forecasts, and expectations. ・ A variety of risks and uncertainties are inherent in the assertions made in these forward-looking statement
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