Sharingtechnology. Inc · TSE:3989
Sharingtechnology — Q3 FY2022 Earnings Presentation
27 slides from Sharingtechnology's earnings presentation, Aug 15, 2022
Slide 1: FY2022 3Q Financial Results Briefing Document
FY2022 3Q Financial Results Briefing Document Aug. 15, 2022 1
Slide 2: Topics
Topics ● FY2022 3Q YTD Actual : Well above earnings forecast due to summer seasonal genres by earlier end of rainy season than usual Sales revenue : 3,119 mil.yen / Operating profit : 234 mil.yen ● Advertisement cost to sales ratio worsening since previous 3Q improved to optimized level, continuing
Slide 3: Table of contents
Table of contents FY2022 3Q Performance reporting ・・・ P. 4～11 Revision to Earnings Forecast for FY2022 ・・・ P.12～14 Supplementary materials ・・・ P.15～27 3
Slide 4: FY2022 3Q Performance reporting
FY2022 3Q Performance reporting 4
Slide 5: Consolidated FY2022 3Q results
Consolidated FY2022 3Q results 3Q sales revenue were 1,174 mil.yen (YoY +275 mil.yen), remarkably contributed by earlier end of the rainy season than usual, etc. Operating profit and Net income ended in 109 mil.yen (YoY +224 mil.yen) and 101 mil.yen, respectively, due to increase of Sales revenue an
Slide 6: Consolidated FY2022 3Q YTD results
Consolidated FY2022 3Q YTD results 3Q YTD sales revenue remarkably increased by YoY +621 mil.yen (YoY 125%), due to stable growing genres until 2Q, and strong summer seasonal genres by earlier end of the rainy season than usual. Operating profit increased by YoY +367 mil.yen, due to increasing Sales
Slide 7: Analysis of increase of Operating profit in 3Q YTD
Analysis of increase of Operating profit in 3Q YTD Starting from Operating loss (132) mil.yen of 3Q YTD of FY2021, Gross profit increased by 568 mil.yen. While Advertisement cost increased along with increase of Sales revenue, its cost ratio to sales has improved. Labor cost of call center maintains
Slide 8: Sales revenue trend of "Household problems" business
Sales revenue trend of “Household problems” business 3Q Sales revenue ended in YoY 131%, thanks to strong summer seasonal genres by earlier end of the rainy season than usual. 3Q Sales revenue also increased from 2Q recording remarkable well selling YoY, thus, QoQ ended in 127%. Sales revenue ［Unit：
Slide 9: KPI of "Household problems" business
KPI of “Household problems” business In 3Q, Advertisement cost ratio to sales (47%) was maintained at the optimized level, recovering from the most worsened FY2021 3Q. Labor cost of call center ratio (8%) was also contained at the usual level. In addition, continuous control of costs brought 109 mil
Slide 10: Analysis of Sales revenue
Analysis of Sales revenue The trend of “Number of inquiries” and “Unit price per inquiry” consisting of Sales revenue are as follows. Although seeming to maintain certain level, “Number of inquiries” stably increases in highly profitable genres in actual, as a result of favorable change of genre mix
Slide 11: For Satisfaction of Customers and Partner Stores
For Satisfaction of Customers and Partner Stores Claim ratio from customers and partner stores are continuously low, with decreasing trend at certain level. For further customer satisfaction, we will continue to draw up on-site needs to reflect them on our business. To this end, we will improve our
Slide 12: Revision to Earnings Forecast for FY2022
Revision to Earnings Forecast for FY2022 12
Slide 13: Upward Revision to Earnings Forecast for FY2022
Upward Revision to Earnings Forecast for FY2022 Since 3Q Sales revenue were well above the previous earnings forecast, and the same trend is expected to continue also in incoming 4Q, we have revised Sales revenue forecast announced on May 12, 2022, upward to 4,350 mil.yen. Accordingly, Operating pro
Slide 14: Analysis of increase of Sales revenue in 3Q, and future prospect
Analysis of increase of Sales revenue in 3Q, and future prospect In the previous earnings forecast announced on May 12, 2022, the estimate of 3Q and after was rather conservative. Meanwhile, actual 3Q sales revenue remarkably increased (YoY 131%), thanks to strong summer seasonal genres by earlier e
Slide 15: Supplementary materials
Supplementary materials 15
Slide 16: Solving "Household problems"
Solving “Household problems” We have contracts with over 6,000 partner stores nationwide that can provide support for various “Household problems”. We accept customers who visit our website and introduce them to our partner stores. Over 150 genres From light work to renovations Accepted 24 hours a d
Slide 17: Type of our Websites
Type of our Websites We operate 2 types of websites relating to “Household problems” business. One is “Seikatsu 110”, a portal site that posts multiple genres onto a single site. Another is approx. 200 vertical media websites that specialize in specific genres. The portal site mainly receives inflow
Slide 18: Business Flow
Business Flow Customers with “Household problems” contact us through our website. Then, we match the most appropriate Partner store judging (1) Genre (2) Location (3) Preferred service date and time. We receive Commission either after service completion, or after introducing. ①Inquiry ②Matching ⑤Pay
Slide 19: Profit Model
Profit Model Our value source (Value) is defined as our ability to attract customers, our matching system to solve customers’ problems, and excellent partner stores network. Each “Number of inquiries” and “Unit price per inquiry” is represented as numeric value. “Number of inquiries” is broken down
Slide 20: Profit structure image of "Household problems" business
Profit structure image of “Household problems” business FY2022 3Q YTD Sales revenue were 3,119 mil.yen (YoY 125%), Variable cost ratio to sales was 55% (YoY 58%), Fixed cost were 1,188 mil.yen (YoY 91%). Throughout FY2022, in addition to Sales revenue increase, improvement of profit margin by optimi
Slide 21: Monthly Sales revenue of "Household problems" business
Monthly Sales revenue of “Household problems” business “Household problems” business has seasonality (e.g. Summer with pest control and mowing/ gardening, early autumn of our 2nd half with typhoon damages on residential houses). This seasonality continues, and Sales revenue are expected to grow in t
Slide 22: Market of "Household problems" business
Market of “Household problems” business Domestic market of “Household problems” business is approx. 14 tri.yen, and of that, the market of low-price light work is estimated 5 tri.yen. With increase of the aged and people living alone, this market is expected to grow further. In addition, with an ong
Slide 23: Follow wind of Market opportunity
Follow wind of Market opportunity The increase of single and aged families, and spread of EC service will enlarge the market of our “Household problem” business. Number of Family by increase Share of aged over BtoC Service : EC Market size¹ of increase of living alone² 65 years old³ (Tril. Yen） (Tho
Slide 24: FY2022 3Q Balance sheet
FY2022 3Q Balance sheet ［million.yen］ FY2022 3Q Previous year-end 2021 YoY change （As of Jun. 30,2022） （As of Sep. 30,2021） Current assets 1,578 2,271 (693) Fixed assets 573 808 (235) Total assets 2,151 3,080 (928) Current liabilities 1,629 2,073 (443) Fixed liabilities 109 815 (706) Total equity 41
Slide 25: FY2022 3Q P/L statement
FY2022 3Q P/L statement ［million.yen］ FY2022 3Q YTD FY2021 3Q YTD YoY change （As of Jun. 30,2022） （As of Jun. 30,2021） Sales revenue 3,119 2,497 +621 Cost of sales 110 57 +52 Gross profit 3,008 2,439 +568 SGA expense 2,785 2,687 +97 Operating profit 234 (132) +367 Pre-tax profit 225 (149) +374 Net i
Slide 26: Company profile
Company profile ● Company name SHARINGTECHNOLOGY INC. ● Head Office JP Tower Nagoya 19F, 1-1-1 Meieki, Nakamura-ku, Nagoya-shi, Aichi 450-6319 ● TEL TEL：+81-52-414-5919 ● Executive officers Representative Director, CEO Nobuhiro Moriyoshi Director Eisaku Ueda Director Yoshitaka Katayama Director Chia
Slide 27: Precautions relating to future forecasts
Precautions relating to future forecasts The disclosed documents include matters relating to the future outlook of forecasts, perspectives, goals and plans relating to SHARINGTECHNOLOGY Group, and have been generated on the basis of forecasts at the time of disclosure based on the information that c