E-seikatsu Co., Ltd. · TSE:3796
E-seikatsu — FY2021 Earnings Presentation
43 slides from E-seikatsu's earnings presentation, May 13, 2021
Slide 1: FY2021 Full-term Results Presentation Material
FY2021 Full-term Results Presentation Material May 13, 2021 e-Seikatsu Co., Ltd. Securities code: 3796 © e-Seikatsu Co.,Ltd.
Slide 2: Table of contents
Table of contents 1. Summary of Full-term Results for FYE March 31, 2021 2．Summary of Recent Business Results 3．Earnings Forecast and Future Prospects 4．Business Overview 1 © e-Seikatsu Co.,Ltd.
Slide 3: 1. Summary of Full-term Results for FYE March 31, 2021
1. Summary of Full-term Results for FYE March 31, 2021 2 © e-Seikatsu Co.,Ltd.
Slide 4: Highlights
Highlights ARR / Sales Number of Fee-paying Client Companies ARPU（Average Revenue Per User） ARR ： 2,009 million yen (Up 3.4% YOY) Sales ： 2,214 million yen 1,427 （Down 22 companies from companies Approx. 121 （About 112 thousand yen in Mar. thousand yen (Up 4.3% YOY) March of the previous year） in th
Slide 5: Subscription sales were strong
Subscription sales were strong Unit: Million yen Breakdown of Sales Fluctuation Subscription Spot Total Sales FY2021 2,021 192 2,214 + 76（↑） Sales grew thanks to the increase in ARPU due to upselling, cross-selling, etc. Up 3.9％ + 90（↑） Up 4.3％ Total Sales FY2020 1,945 178 2,123 0 500 1,000 1,500 2,
Slide 6: Quarterly sales grew steadily
Quarterly sales grew steadily Variation in Sales (Cloud Solution Business) YonY +4.7％ Unit: Million yen Subscription Spot 600 570 580 579 538 552 522 532 63 57 500 512 73 52 495 484 482 39 487 39 500 471 30 32 23 458 461 23 21 20 10 20 7 6 400 300 499 497 499 489 493 517 521 472 463 461 454 462 476
Slide 7: Full renewal of the foundation of services was completed
Full renewal of the foundation of services was completed, and a system for further growth was established FY 2020 Sales FY 2021 (Consolidated) Sales Unit: Million yen 2,123 2,214 COGS COGS 802 978 Gross Profit Gross Profit 1,321 SG&A 1,236 1,198 SG&A 1,166 Corporate Loss on tax, etc. retirement of f
Slide 8: Cloud and SaaS utilization by rental property management companies was strong
Cloud and SaaS services utilization by rental properties management companies, which is strategically important, was strong One Rental Management YonY +36 Number of licenses 500 491 492 465 452 456 448 One Rental Management 450 438 424 428 402 400 372 379 363 350 300 250 200 150 100 50 0 Mar. 2018 J
Slide 9: Number of customers for brokerage of lease and sale is stable
The number of customers of cloud and SaaS services for brokerage of lease and sale is stable One Rental Property (Leasing Management)/One Sales Jan. 2020 Declaration of a state of emergency Number of licenses 1200 YonY -29 One Rental Property (Leasing Management) One Sales 1,007 1,004 978 990 980 98
Slide 10: We released new digital marketing SaaS services
We released new services of digital marketing SaaS and offered them healthily One Website/Flex YonY -7 Number of licenses 1200 Release of “Website Flex” in June 2020 One Website/Flex 1000 965 974 958 946 938 937 910 906 918 893 838 843 850 800 600 400 200 0 Mar. 2018 Jun. 2018 Sep. 2018 Dec. 2018 Ma
Slide 11: Efficient management of multiple stores in a unified manner
The merit of cloud and SaaS services is the efficient management of multiple stores in a unified manner Variation in the Number of Companies Using Our Services Variation in the Number of Stores Using Our Services (Charged companies only) YonY -22 companies YonY +139 stores 1,500 1,454 1,449 4,500 1,
Slide 12: ARPU has been stable
ARPU has been stable Unit: Thousand yen YonY +8.0% 140 Monthly ARPU/company 121 122 121 118 118 120 114 112 112 112 112 110 107 110 100 80 60 40 20 0 Mar. Jun. Sep. Dec. Mar. Jun. Sep. Dec. Mar. Jun. Sep. Dec. Mar. 2018 2019 2020 2021 ＊The unit price before the fourth quarter of FY 2021 is the value
Slide 13: Temporary rise in costs due to shift to IaaS ended
The temporary rise in costs due to the shift to IaaS ended in FY 2021 Operating Income Comparison (Consolidated) Operating Income YonY approx. -28 million yen Unit: Million yen Unit: % 100 Gross Profit Margin 100.0 Operating Income Margin 80 70 80.0 61.8 63.4 61.3 62.3 59.9 63.6 63.9 57.9 60.3 59.3
Slide 14: SG&A dropped while COGS augmented temporarily
SGA dropped from the previous term, while COGS augmented temporarily due to the shift to IaaS Total expenses comparison (Consolidated) Unit: Million yen YonY approx. +10.8％ 600 SG&A COGS 560 537 537 511 501 500 506 509 500 483 487 488 492 464 465 462 468 400 291 299 286 295 294 289 289 290 300 308 3
Slide 15: EBITDA is earned stably
EBITDA is earned stably EBITDA comparison (Consolidated) YonY approx. -16.2％ Unit: Million yen Unit: % 240 80.0 EBITDA 210 EBITDA Margin 70.0 180 176 60.0 153 150 151 50.0 139 131 127 128 128 121 121 120 111 108 40.0 100 108 93 30.9 88 27.7 90 26.5 26.4 25.9 25.2 26.1 30.0 23.7 24.3 23.3 21.9 22.6 2
Slide 16: Securing FCF while continuing SaaS development investment
While securing FCF, we continued investment for developing SaaS to maintain long-term competitiveness Free cash flow comparison (Consolidated) Unit: Million yen 200 Operating CF Investing CF ＦＣＦ 179 168 159 150 138 140 139 130 123 118 117 104 106 100 78 83 70 57 60 51 53 50 48 39 18 21 19 7 8 2 0 -2
Slide 17: 2. Summary of Recent Business Results
2. Summary of Recent Business Results 16 © e-Seikatsu Co.,Ltd.
Slide 18: Officially released the new BtoB platform, e-Bukken Square
Officially released the new BtoB platform, e-Bukken Square (Feb. 2021) E-Seikatsu site for trade among rental service No. of available apartment units: providers 130,000!* E-Bukken Account registration is free of charge Real-time linkage with ES e-Bukken One Total number of accounts: 13,377!* *As of
Slide 19: Sumai Entry: non-face-to-face and paperless operation
The real estate business will be non-face-to-face and paperless operation with Sumai Entry, a service of online application for moving in Rent guarantee companies with which We started sharing information by Sumai Entry with leading rent guarantee companies. we can share information It has evolved i
Slide 20: Cost structure: online-centered sales and support system
Cost structure: We have established an online-centered sales and support system COGS (Consolidated) SG&A (Consolidated) Personnel expenses Personnel expenses Outsourcing expenses Outsourcing expenses System management and depreciation expenses Other (sales and support expenses, etc.) Other expenses
Slide 21: Strengthened team with well-balanced personnel structure
We strengthened the team while maintaining a well-balanced personnel structure No. of Employees (Consolidated) 200 197 15 180 +27 170 15 160 152 11 YonY 14 27 8 140 12 +18 26 120 21 100 71 55 Installation/operation support services 80 52 Corporate Customer success and support 60 Sales and marketing
Slide 22: We fortified B/S through the shift to IaaS
We fortified B/S through the shift to IaaS, to prepare for investment for growth Consolidated Balance Sheet Comparison As of the end of March, 2020 Unit: Million yen As of the end of March, 2021 Current ratio Current ratio 185.0％ 188.9％ Current Liabilities 361 Current Assets Current Assets Current33
Slide 23: 3. Earnings Forecast and Future Prospects
3．Earnings Forecast and Future Prospects 22 © e-Seikatsu Co.,Ltd.
Slide 24: Regarding the earnings forecast for FYE March 31, 2022
Regarding the earnings forecast for FYE March 31, 2022 Impact of the novel coronavirus pandemic (COVID-19) ➢ Considering the trend in the previous term, we forecast that the pandemic will affect mainly relative small-sized real estate firms that rely on one-shot revenues from lease brokerage, etc. a
Slide 25: Earnings forecast for FYE March 31, 2022
Earnings forecast for FYE March 31, 2022 Consolidated FYE 2022 Previous year (FYE 2021) Results (million yen) Full-term Forecast Amount YOY Change YOY Change (%) Sales 2,398 2,214 184 8.3％ Operating income 101 69 31 45.9％ Recurring income 100 71 29 41.3％ Net Income 68 20 48 238.3％ Dividend per share
Slide 26: Full-year earnings forecast: Estimation of costs
Full-year earnings forecast: Estimation of costs COGS（Consolidated） SG&A（Consolidated） 1500 978 1,026 1500 1,271 YonY Up 4.9％ 1,166 509 576 YonY 1000 1000 Up 9.0％ Personnel expenses Outsourcing expenses 829 917 319 *In the previous 356 term, we System management and 500 incurred IaaS description exp
Slide 27: Full-year earnings forecast compared with previous year
Full-year earnings forecast compared with the results in the previous year Full-year earnings forecast compared with the results in the previous year Unit: Million yen 2,398 239.8 Sales 221 2,214 Operating 101 Income 69 Recurring 100 Income 71 Full-year Forecast FY2022 68 Net Income 20 Full-year Res
Slide 28: Stable dividend payment continued at 5 yen/share
Stable dividend payment is continued, and the dividend amount remains 5 yen/share Information per share Total dividend （Unit: yen） （Unit: Million yen） 45 180.0% 180 169.7% 40 162.6% 160.0% 160 Net Income Total dividend Dividend per share 35 140.0% 140 Net income per share 30 Payout ratio 120.0% 120
Slide 29: To become the Best Real Estate Tech company in Japan
To become the Best “Real Estate Tech” company in Japan Target Index ➢ Number of clients 5,000 companies ➢ Monthly ARPU more than ¥100,000 ➢ Subscription gross profit margin more than 70% Expand and grow our client base To keep increasing clients by evolving services and enriching the systems for the
Slide 30: 4. Business Overview
4. Business Overview 29 © e-Seikatsu Co.,Ltd.
Slide 31: Mission and Vision
Mission To make the real estate market, which is related to “housing” as the bedrock for daily lives of people, more satisfying for all participants. Vision To become an essential integral information infrastructure for the real estate market, where a variety of information on real estate is put tog
Slide 32: To build a platform that collects all kinds of data on real estate
To build a platform that collects all kinds of data on real estate Disaster info End users Average Nearby Real estate companies ・Procedures for finding rents Facilities ・To support the development housing will become of a management structure easier and convenient, with an effective BCP that can wit
Slide 33: Cloud/SaaS solutions meeting real estate market characteristics
To provide cloud/SaaS solutions that meet the characteristics of the real estate market Characteristics of the real estate market Overwhelming majority is small and Every company has similar business flow medium-sized business operators They exist across the country. as determined by the laws. Large
Slide 34: To support DX in real estate firms
To support DX in real estate firms and remove paint points in real estate transactions Client real estate companies [End users] Function/system Services Real estate owners Rental Property Planning and Owners Development Provision of of services Provision of real a system for estate services Those wh
Slide 35: Full lineup of vertical SaaS services covering real estate business
To offer a full lineup of vertical SaaS services covering real estate business operations To offer SaaS that will be used seamlessly in every real estate scene IT-based Check of real estate Explanation of traded among dealers Web-based VR-based Web-based Important Matters Electronic Contract Preview
Slide 36: Integrated business support cloud/SaaS portfolio
To provide integrated business support cloud/SaaS Portfolio for the real estate industry Property management/higher added BtoB platform value (PM) ES B2B call Centralized cloud-based property /customer information database that connects each business domain Finding occupants, sales support (CRM) Dig
Slide 37: Positioning of our cloud and SaaS services in each domain
Positioning of our cloud and SaaS services in each domain Property management/higher added value (PM) BtoB platform Corporate size: Corporate size: Large Large Company C Company D Other （Self- Company Ｂ e-Seikatsu Cloud and e-Seikatsu Cloud and On-premises developed On-premises SaaS Other Company Sa
Slide 38: Sustainable cycle for increasing customers
Sustainable cycle for increasing customers Real channel Online channel Product channel （Exchanges in industry groups, （Search advertising, media, （Charge-free B2B users: introduction from affiliates, etc.） our original contents, etc.) about 10,000 companies） Marketing （Inbound and outbound） Seminar
Slide 39: Competitive advantage of e-Seikatsu
Competitive advantage of e-Seikatsu Specialize in the field of real estate and aim for industry-focused vertical SaaS and offer a comprehensive service portfolio (pursuing LTV) Our engineering team which is versed in real estate businesses develop in-house products. Swift cycle of grasping needs → p
Slide 40: Efforts for attaining SDGs
Efforts for attaining SDGs e-Seikatsu will tackle various social issues through business, and contribute to solving them. Materiality of e-Seikatsu Related goals Creation of personnel who would trigger changes ・Creation of advanced IT personnel ・Promotion of new workstyles ・To provide a wide range o
Slide 41: Company Profile
Company Profile Established : January 21, 2000 Paid-in capital : 628,411,540 yen (As of the end of March 2021) Listing : Second Section of the Tokyo Stock Exchange (Code: 3796) MUFG Bank, Ltd., Mizuho Bank, Ltd., Resona Bank, Ltd., Relationship banks : Sumitomo Mitsui Banking Corporation, Sumitomo M
Slide 42: Technology × Real Estate Field
Technology × Real Estate Field e-Seikatsu is a “Real estate tech” company that aims to realize a better real estate market by technology. To subscribe to “IR News Mail,” which will inform you of a variety of IR info on our company, access the following URL. https://www.e-seikatsu.info/IR/irNewsMail/
Slide 43: Disclaimer
Disclaimer ➢ The material and information provided through this presentation are intended for helping you understand our group’s management policy and financial information, and not for encouraging you to purchase or sell the shares of our company for investment. ➢ We are careful when handling infor