Slide 1: FY2024 Full Year & Q4 Appendix
LY Corporation Earnings FY2024 Full Year & Q4 Appendix May 7, 2025 Security Code: 4689
Slide 2: Table of Contents
Table of Contents 1 Financial Results - Consolidated 2 Financial Results - by Segment 3 Non-Financial Information
Slide 3: Table of Contents (Details)
Table of Contents (Details) 1. Financial Results - Consolidated II. Commerce Business • Change in Operating Income…….…………….................…………4 • Performance (P/L)…………………………….……...….….........25 • Change in Adjusted Net Income…………....….………...................5 • Key Services and Products . . . ……………
Slide 4: Financial Results - Consolidated
Table of Contents 1 Financial Results - Consolidated 2 Financial Results - by Segment 3 Non-Financial Information
Slide 5: Consolidated Change in Operating Income
Consolidated Change in Operating Income (JPY B) (JPY B) FY2023 FY2024 YoY Increase in Increase in revenue SG&A +102.8 315.0 -4.9 Revenue 1,814.6 1,917.4 +102.8 (YoY +59.1%) -9.0 271.9 +18.0 Increase in Cost of sales 520.4 529.5 +9.0 Other income One-Time cost of sales 43.0 and factor1 One-Time expen
Slide 6: Consolidated Change in Adjusted Net Income
Consolidated Change in Adjusted Net Income1 (JPY B) Adjusted EBITDA2 Decrease in equity in losses of associates +58.9 and joint ventures Income tax expense +6.8 and other (YoY +8.8%) Decrease in D&A -27.9 (+3.0) -19.9 182.0 167.2 Other -23.0 non-operating Increase in Increase in operating income inc
Slide 7: Redefined Adjusted EPS to reflect core performance excluding past M&A impacts
Consolidated Redefined Adjusted EPS Redefined adjusted EPS to accurately reflect core performance by excluding past M&A impacts Current Definition New Definition Net income attributable to owners of the parent Net income attributable to owners of the parent ± ± EBITDA adjustment items EBITDA adjustm
Slide 8: Redefined Adjusted EPS (Cont'd)
Consolidated Redefined Adjusted EPS (Cont’d) Redefined adjusted EPS to accurately reflect core performance by excluding past M&A impacts Comparison of adjusted EPS between current and new definitions (JPY) FY2021 FY2022 FY2023 FY2024 Current definition 10.8 5.4 18.9 19.6 New definition 11.6 10.7 2
Slide 9: Consolidated Change in Adjusted EPS
Consolidated Change in Adjusted EPS1 (JPY) Other non-operating Adjusted EBITDA2 income and Increase in expenses non-controlling PPA amortization +8.9 -2.8 interests expense, -3.2 non-recurring Decrease in D&A gains/losses (YoY +11.7%) (-0.2) +0.9 +2.9 24.9 22.3 Decrease in equity in losses of associ
Slide 10: Equity in Losses of Associates and Joint Ventures
Consolidated Equity in Losses of Associates and Joint Ventures Aim for profitability of equity-method affiliates by FY2025 Key Equity Method Equity Based in Business Equity in Losses of Associates and Joint Ventures Affiliates Ratio1 Contents (JPY B) WEBTOON • Operation of e-manga Q4'23 Q1'24 Q2'24
Slide 11: Fair Market Value of Investment Assets
Consolidated Fair Market Value of Investment Assets1 (JPY B) Name of Company Fair Market Value Equity Ratio ZOZO 665.2 51.5% ASKUL 67.1 46.5% dely 22.6 56.3% ValueCommerce 7.9 28.2% Demae-can 9.4 37.1% WEBTOON Entertainment 35.7 24.2% LINE Pay Taiwan 112.1 58.1% Total 920.3 - 1. As of March 31, 2025
Slide 12: Consolidation Impact of Subsidiaries (PPA)
Consolidated Consolidation Impact of Subsidiaries (PPA) ZOZO PayPay Annual Amortization Annual Amortization Amount Amortization Period Amount Amortization Period Item Amount Item Amount (JPY B) (Straight Line) (JPY B) (Straight Line) (JPY B) (JPY B) PPA 502.1 13.2 - PPA 51.3 5.1 - Customer base 322.
Slide 13: Financial Indicators
Consolidated Financial Indicators CAPEX1 Net Cash Flow (Excluding Financial Business2/Financial Business)1 (JPY B) (JPY B) 63.9 Net Cash Flow Net Cash Flow (Excluding Financial Business) (Financial Business) 57.0 15.5 10.8 Consolidated dividend - 58.4 45.2 Changes in debts, etc. -212.3 41.0 7.7 Oper
Slide 14: Financial Indicators (Cont'd)
Consolidated Financial Indicators (Cont’d) Interest-Bearing Debt & Net Interest-Bearing Debt1 Net Leverage Ratio3 (Excluding financial business2) (Excluding financial business2) 1,000.0 (JPY B) (JPY B) 3.00 Net leverage ratio: maintain 3X or less 1,343.5 1,328.2 800.0 1,307.6 1,305.9 1,256.0 2.50 19
Slide 15: Key One-Time Gains/Losses (FY2024 Q1 – FY2024 Q4)
Consolidated Key One-Time Gains/Losses (FY2024 Q1 – FY2024 Q4) Impact on P/L Period One-time Gains/Losses Outline Amount (JPY B) Item Operating Adjusted Adjusted Income EBITDA EPS FY2024 - - - - - - - Q4 FY2024 - - - - - - - Q3 FY2024 - - - - - - - Q2 Gain on loss of control of Gain recognized due t
Slide 16: Key One-Time Gains/Losses (FY2023 Q1 – FY2023 Q4)
Consolidated Key One-Time Gains/Losses (FY2023 Q1 – FY2023 Q4) Impact on P/L Period One-time Gains/Losses Outline Amount (JPY B) Item Operating Adjusted Adjusted Income EBITDA EPS Compensation received for damage which was recognized as a Compensation received for result of the finalization of the j
Slide 17: Security Measures
Consolidated Security Measures FY2024 security measures expenses on target with planned budget Security Countermeasure Expenses (JPY B) FY2024 FY2025 Amount Recording Segment Item Amount Q1 Approx. 3.0 Strategic1 Q2 Approx. 4.0 Outsourcing costs/ - License fees, etc. Q3 Approx. 4.0 Adjustments Q4 Ap
Slide 18: Financial Results - by Segment
Table of Contents 1 Financial Results - Consolidated 2 Financial Results - by Segment 3 Non-Financial Information
Slide 19: I. Media Business
I. Media Business
Slide 20: Media Business Performance (P/L)
Media Business Performance (P/L) (JPY Million) FY2023 Q41 FY2024 Q41 YoY Revenue 179,488 187,951 +4.7% Advertising Revenue 146,572 148,328 +1.2% Search advertising 51,659 50,839 -1.6% Account advertising 28,133 32,899 +16.9% Display advertising2 66,778 64,588 -3.3% Other (Vertical/entertainment/digi
Slide 21: Media Business Search Advertising
Media Business Search Advertising Search Advertising Revenue/ %YoY Growth Change in Search Advertising Revenue (JPY B) (JPY B) +6.5% 51.1 +4.2% +1.4% 50.1 +2.0% -0.1% -0.0 % growth LY Corporation’s -0.9 LY Corporation’s Websites Partners’ Websites Websites 51.1 50.1 49.4 49.0 48.7 6.8 5.9 Partners’
Slide 22: Media Business Key Services and Products
Media Business Key Services and Products Item Breakdown Search advertising Yahoo! JAPAN Ads “Search Ads” Account advertising LINE Official Account, LINE Promotion Sticker, LINE de Obo (Participate with LINE), LINE Flyer, etc. Display advertising ー Yahoo! JAPAN Ads “Display Ads (Auction),” LINE VOOM,
Slide 23: Key Advertising Products (LINE Ads)
Media Business Key Advertising Products (LINE Ads) Item Fee Calculation Placement Pages/Product Outline Type of Advertiser Account ads ー Fixed monthly cost Messages delivered to users who have friended Large enterprises/SMBs/Local LINE Official Account Pay-as-you-go the account governments Fixed fee
Slide 24: Key Advertising Products (Yahoo! JAPAN Ads)
Media Business Key Advertising Products (Yahoo! JAPAN Ads) Item Fee Calculation Placement Pages Type of Advertiser Search advertising Pay per click/pay per action Search results pages Large enterprises/SMBs Display advertising ー Programmatic ー Top page Yahoo! JAPAN Ads Pay per click Interior pages o
Slide 25: II. Commerce Business
II. Commerce Business
Slide 26: Commerce Business Performance (P/L)
Commerce Business Performance (P/L) (JPY Million) FY2023 Q41 FY2024 Q41 YoY Revenue 211,276 212,061 +0.4% LY Corporation 38,595 40,893 +6.0% Shopping business 20,424 19,880 -2.7% Reuse business 9,995 10,747 +7.5% Services e-commerce 7,910 9,888 +25.0% Other 265 378 +42.7% ZOZO, ASKUL2 172,680 171,16
Slide 27: Commerce Business Key Services and Products
Commerce Business Key Services and Products Item Breakdown LY Corporation ー Yahoo! JAPAN Shopping, LINE Brand Catalog1, LINE FRIENDS, LINE GIFT, Yahoo! JAPAN Quick Mart2, Shopping business overseas e-commerce (LINE SHOPPING (Taiwan, Thailand), GIFTSHOP, MyShop, etc.) Reuse business Yahoo! JAPAN Auct
Slide 28: KPI - Definition of E-Commerce Transaction Value
Commerce Business KPI - Definition of E-Commerce Transaction Value Item Key Services/Products E-commerce transaction value ー Domestic merchandise ー Yahoo! JAPAN Shopping, ZOZOTOWN, LOHACO, Charm, LINE Brand Catalog1, LINE GIFT, LINE FRIENDS, Shopping business Yahoo! JAPAN Quick Mart2 Reuse business
Slide 29: III. Strategic Business
III. Strategic Business
Slide 30: Strategic Business Performance (P/L)
Strategic Business Performance (P/L) (JPY Million) FY2023 Q4 FY2024 Q4 YoY Revenue 78,342 89,677 +14.5% Fintech 78,016 89,652 +14.9% PayPay (Consolidated)1 55,582 64,536 +16.1% PayPay Bank2 11,628 13,828 +18.9% Other fintech (LINE Fintech, etc.) 10,805 11,287 +4.5% Other Strategic Business 325 24 -9
Slide 31: PayPay Consolidated – Performance
Strategic Business PayPay Consolidated1 – Performance Consolidated Revenue2/EBITDA3 (IFRSs) Consolidated Statement of Financial Position (IFRSs) (JPY B) (JPY B) 67.2 65.1 FY2024 Q3 FY2024 Q4 Difference 59.2 56.3 57.2 Assets 1,985.6 1,791.3 -194.3 Cash and deposits 355.7 209.1 -146.5 Other assets 1,6
Slide 32: PayPay Bank Corporation – Performance
Strategic Business PayPay Bank Corporation – Performance Revenue/Operating Income (Non-Consolidated IFRS)1 Statement of Financial Position (JGAAP)1 (JPY B) (JPY B) 14.3 FY2024 Q3 FY2024 Q4 Difference 13.0 13.2 12.8 Assets 2,345.5 2,178.7 -166.7 11.6 Cash and cash equivalents 492.9 223.9 -269.0 Trade
Slide 33: Capital Structure of Domestic Financial Businesses
Strategic Business Capital Structure of Domestic Financial Businesses1 Consolidated Subsidiary Equity-Method Affiliate Intermediate Holding Company LY Corporation 100% 100% 100% Z Intermediate Holdings Z Financial Corporation2 LINE Pay Corporation3 Corporation 50.0% B Holdings Corporation 46.6% 50.1
Slide 34: Strategic Business Key Services and Products
Strategic Business Key Services and Products Item Breakdown Fintech ― PayPay PayPay, PayPay Card, Credit Engine1 (Consolidated) PayPay Bank ― PayPay Asset Management2, PayPay Insurance, LINE Pay3, LINE Score, LINE Pocket Money, Other fintech LINE BITMAX, LINE FX, DOSI, etc. Other Other 1. Credit Eng
Slide 35: IV. International Business
IV. International Business
Slide 36: International Business Development
International Business International Business Development Dominant reach and market share in Asian countries and regions, mainly Taiwan and Thailand Generating revenue mainly from advertising, stickers, and game businesses on messenger platform International Business Revenue7 Taiwan 22 mil MAU1,3 (J
Slide 37: Non-Financial Information
Table of Contents 1 Financial Results - Consolidated 2 Financial Results - by Segment 3 Non-Financial Information
Slide 38: Board of Directors and Capital Structure
Non-Financial Information Board of Directors and Capital Structure Approved at the 29th AGM, with an independent outside director ratio of 66.6% Parent company is A Holdings Corporation, a joint venture between SoftBank Corp. and NAVER Corporation Board of Directors Capital Structure Outside Directo
Slide 39: Remuneration Policy and Executive Remuneration Plan
Non-Financial Information Remuneration Policy and Executive Remuneration Plan Executive remuneration plan designed for medium/long-term rewards by setting high stock-based incentives Foster a sense of shared interest with shareholders, intended to enhance corporate value through sustainable growth R
Slide 40: Disclaimer
Disclaimer Statements made at the meeting or included in the documents that are not historical facts are forward-looking statements about the future performance of LY Corporation (Company) and its consolidated subsidiaries and affiliates. The Company cautions you that a number of important factors c
Slide 41: LY Corporation
LY Corporation Create an amazing life platform that brings WOW! to our users.