Kufu Company Holdings Inc. · TSE:4376
Kufu — Locoguide — Q1 FY2022.3 Earnings Presentation
20 slides from Kufu's earnings presentation, Aug 13, 2021
Slide 1: 1Q FY2022.3 Financial Results
1Q FY2022.3 Financial Results Locoguide Inc. August 13, 2021
Slide 2: Locoguide's Vision
Locoguide’s Vision To Deliver Smarter and More Enjoyable Way of Living the Local Community Life + To Deliver Safety Shopping Relaxation Drop-by Community Spots Events Learning/ Education Dining Creating Services that Change Japanese Consumers’ Behaviors by Maximizing Value of “Time” x “Place” © 2021
Slide 3: Agenda
Agenda 1. KPI Trend 2. 1Q FY2022.3 Financial Highlights 3. 1Q FY2022.3 Business Highlights © 2021 Locoguide Inc. All Rights Reserved. 2
Slide 4: Highlights
Highlights KPIs Number of Monthly Active Users Number of Subscribers Churn Rate (on a revenue basis) 17.3 MM 35,667 stores -0.38％* (YoY+65.2%) (YoY+46.5%) (* Details provided on P. 8) 1Q Financial Results Congestion Lamp Revenue Operating Profit Number of Adopting Local Governments JPY 450 MM 125 JP
Slide 5: 1. KPIs Trend
1. KPls Trend o3 Locoguide Inc.
Slide 6: Number of Monthly Active Users and Subscriber Stores
Number of Monthly Active Users and Subscriber Stores ✓ Achieved historically high # of Monthly Active Users and Subscriber Stores # of Monthly Active Users*1 # of Subscriber Stores*2 (Unit: Million Users) (Unit: Stores) 18.0 17.3 35,667 35,000 16.0 30,000 +47% 14.0 +65% 24,349 12.0 25,000 10.4 10.0
Slide 7: Number of Monthly Active Users
Number of Monthly Active Users ✓ Achieved 17 million users driven by favorable increase in # of Monthly Active Users # of Monthly Active Users Target in March 2022 (Million) 17.3MM users 18.0 24.0M Users 16.3 16.0 14.0 12.0 11.1 9.9 ✓ Improvement of coverage 10.0 of information 8.0 7.0 ✓ Enhancement
Slide 8: Number of Subscriber Stores
Number of Subscriber Stores ✓ Progress to approximately 96％ of the 37,000 stores targeted for March 2022 ✓ Fixed price contracts accounted for approximately 80％ (more than 1,500 stores) of the # of stores (more than 1,900 stores) that increased in 1Q. # of Subscriber Stores Target in March 2022 35,6
Slide 9: Churn Rate (on a revenue basis)
Churn Rate (on a revenue basis) ✓ Churn rate calculated on a revenue basis*1 was at a negative level*2 *1 : Churn rate calculated on a revenue basis: Churn rate generally used by listed companies with a SaaS model *2 : Negative level: When the increase in revenue from renewal of existing customers’
Slide 10: "Congestion Lamp" Introduction Status
“Congestion Lamp” Introduction Status ✓ Congestion Lamp has been used in a wide range of occasions by local governments and adopted by 494 local governments (# of local governments’ facilities and stores: 813) ✓ Congestion Lamp has been adopted increasingly at venues where congestion is expected, su
Slide 11: 2. 1Q FY2022.3 Financial Highlights
2. 1Q FY2022.3 Financial Highlights Locoguide Inc.
Slide 12: 1Q FY2022.3 Financial Results (Apr. - Jun. 2021): YoY
1Q FY2022.3 Financial Results (Apr. - Jun. 2021): YoY ✓ 22.3% increase in revenue and 34.9% increase in operating profit YoY ✓ Revenue increase in Tokubai business contributed to higher revenue ✓ Maintained revenue growth despite aggressive investment in human resources and temporary costs for busin
Slide 13: Revenue Breakdown by Business Segment
Revenue Breakdown by Business Segment ✓ 22.3% increase in revenue YoY ✓ Increase in # of fixed price contracts and unit price contributed to growth in revenue by Tokubai business (JPY MM) Breakdown of Revenue by Business 500 Tokubai Business Ad Business 450 450 Other Businesses Investment Business 1
Slide 14: Breakdown of SG&A
Breakdown of SG&A ✓ 19.6% increase in SG&A YoY ✓ Aggressive recruiting for business development, resulting in +10 employees YoY Breakdown of SG&A (JPY MM) Supplemental information for 350 Personnel Expenses Outsourcing Expenses Rent System Usage Fees Others SG＆A breakdown 300 295 Personnel 109 emplo
Slide 15: 3. 1Q FY2022.3 Business Highlights
3. 1Q FY2022.3 Business Highlights Locoguide Inc.
Slide 16: Growth of Fixed Price Subscriber Stores
Growth of Fixed Price Subscriber Stores ✓ Expanded potential key clients, such as restaurant chains and convenience stores Examples of restaurant chains Examples of convenience stores Zensho Group Seicomart Restaurant chain with various brands Community-based convenience stores with deep roots in Ho
Slide 17: Expansion of Advertising: U.S. Meat Export Federation Example
Expansion of Advertising: U.S. Meat Export Federation Example ✓ Provided sales promotion opportunities in lieu of demonstration sales made difficult by COVID-19 Needs for new promotional ✓ Overview of Campaign measures to address the • Purchase products with application stickers at participating sto
Slide 18: Support Digitalization of Local Governments: Shizuoka Prefecture Example
Support Digitalization of Local Governments: Partnership with Local Governments in Shizuoka Prefecture Example ✓ In March 2021, Congestion Lamp won “BEST KAIZEN AWARD” and “SPECIAL AWARD” for business improvement performance in Shizuoka City ✓ Supported digitalization at local governments in Shizuok
Slide 19: Accelerating Changes
Accelerating Changes From Paper to Digital Social changes are our business opportunities and From Far to Near we create new services “To Deliver Smarter, More Enjoyable, and Safer Way of Living the Local Community Life” From Contact to Contact- Less © 2021 Locoguide Inc. All Rights Reserved. 18
Slide 20: Disclaimer
Disclaimer Important notes This document contains forward-looking statements. These forward-looking statements are based only on the information made available to Locoguide as of the date this document were prepared. These statements are not guarantees of future results and involve risks and uncerta