Gunosy, Inc. · TSE:6047
Gunosy — Q3 FY2022/5 Earnings Presentation
31 slides from Gunosy's earnings presentation, Apr 14, 2022
Slide 1: FY2022/5 Financial Results for Q3
FY2022/5 Financial Results for Q3 Gunosy Inc. TSE Prime (6047) April 14, 2022
Slide 2: INDEX
1. Executive Summary P3 2. Financial Results for FY2022/5 Q3 P 10 3. FY2022/5 Outlook INDEX P 16 4. Business Overview by Division P 19 5. Reference Materials: Overview of Gunosy Inc. P 27 （C） Gunosy Inc. All Rights Reserved. 2
Slide 3: Executive Summary
Executive Summary （C） Gunosy Inc. All Rights Reserved. 3
Slide 4: FY2022/5 Q3 Summary
FY2022/5 Q3 Summary Overview In the consolidated results for Q3 (June 2021 - Feb. 2022), both net sales and profits remained strong. Full-year forecasts were revised upwards. • Profitability of Gunosy and au Service Today showed continued improvement. Media • Initial sales forecasts are expected to
Slide 5: Upward Revision of Consolidated Full-year Forecasts
Upward Revision of Consolidated Full-year Forecasts Revised consolidated full-year forecasts KPIs for Gunosy showed improvement as a result of improved media quality. Full- year sales made steady growth despite curbs on advertising investment. In response, we revised our operating profit upwards fro
Slide 6: Background to Upward Revision: Improved Profitability per User
(1/2) Background to Upward Revision: Improved Profitability per User While DAUs remained stable, per-user profitability improved. Financial data Net sales of Gunosy Profitability per user Improving Number of users (Index: Sales/DAU) (Index: DAU) Profitability shows continued growth DAUs remain stabl
Slide 7: Background to Upward Revision: Significant Improvement in Retention Rate in Gunosy
(2/2) Background to Upward Revision: Significant Improvement in Retention Rate in Gunosy The percentage of new users reached approx. 30% of the total users as of February 2022. The retention rate of new users has shown a significant improvement since the resumption of advertising investment. New use
Slide 8: Gunosy's Advertising Investment Policy
Gunosy's Advertising Investment Policy External factors • Continue to take a cautious stance in Advertising investment with a view order to achieve consolidated operating profit in view of increasing uncertainty to achieving a consolidated in the financial markets and other areas. operating surplus
Slide 9: slice: Progress on KPIs
"slice": Progress on KPIs Overwhelming growth has continued. Low default rates have been maintained, while AUM, number of users and number of cards issued has grown significantly. Approx. +100% AUM growth Number of registered users AUM (outstanding loan balance) 7 million + users AUM growth (5 milli
Slide 10: FY2022/5 Financial Results for Q3
FY2022/5 Financial Results for Q3 （C） Gunosy Inc. All Rights Reserved. 10
Slide 11: FY2022/5 Consolidated Results for Q3
FY2022/5 Consolidated Results for Q3 (vs. results) QonQ sales and profits growth and YonY sales growth (June 2021 - Feb. 2022) were achieved. This was due to improved profitability as a result of the acquisition of new users of Gunosy and a recovery in sales of Game8, which had recorded a temporary
Slide 12: Total Number of Active Users (MAU)
Total Number of Active Users *(MAU) Gunosy's MAUs increased slightly QonQ due to an increase in the retention rate of newly acquired users. LUCRA NewsPass + au Service Today Gunosy Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 FY2019/5 FY2020/5 FY2021/5 FY2022/5 * Average for each quarter of MAU (mon
Slide 13: Breakdown of Net Sales
*1 Breakdown of Net Sales All businesses recorded sales increases QonQ, including Gunosy Ads, G8 and ADNW. Others Game8 (Million yen) ADNW Gunosy Ads*2 4,500 19 254 178 136 334 223 240 128 206 232 280 234 317 256 3,000 1,357 1,480 1,422 1,459 1,236 1,298 251 1,143 320 221 203 168 194 246 275 441 153
Slide 14: Cost Structure
Cost Structure Advertising investment in Gunosy remained at the same level as in Q2. Personnel costs increased due to the resumption of investment in recruitment, which was carried out as part of an organizational build-up for medium- and long-term growth. Other costs remained tightly controlled. 3,
Slide 15: Game8
Game8 In Q3, the growth of overseas business and the stability of domestic business resulted in sales growth QonQ. Investment in new businesses will continue to be made in the future in order to acquire medium- and long-term growth drivers. (Million yen) 500 451 435 441 Net sales 420 390 Operating p
Slide 16: FY2022/5 Outlook
FY2022/5 Outlook （C） Gunosy Inc. All Rights Reserved. 16
Slide 17: FY2022/5 Results Forecast (Consolidated)
FY2022/5 Results Forecast (Consolidated) Up until Q3, both sales and operating profit made steady progress compared to the full-year forecast. Operating profit is expected to be 200 million yen higher than the forecast disclosed in Q2 as a result of curbing advertising investment to the extent that
Slide 18: Impact of "slice" on the Statement of Income (Under J-GAAP)
* Impact of "slice" on the Statement of Income (Under J-GAAP) Points 1. Our voting interest in “slice” is in the range of 15%-20% as defined in "Accounting Standard for Equity Method of Accounting for Investments". We intend to start applying the equity method at the timing of certain events (such a
Slide 19: Business Overview by Division
Business Overview by Division （C） Gunosy Inc. All Rights Reserved. 19
Slide 20: Gunosy Became an Official Partner of the Urawa Reds
Media Business Gunosy Became an Official Partner of the Urawa Reds We signed an official partnership agreement with the Urawa Reds for the 2022 season. The new Urawa Reds channel was launched on the Gunosy and NewsPass apps. The Gunosy app logo is now displayed on the ad-board at “Saitama Stadium 2○
Slide 21: Progress in au Service Today
Media Business Progress in au Service Today We worked continuously to improve the UX, including the release of the search functions, as well increasing profitability through header videos. Profitability per user is continuing to improve. Updated features Release of search function and header video S
Slide 22: Ad Network (ADNW)
Media Business Ad Network (ADNW) Both CPMs and imps were on a recovery path, supported by media development achieved by the strengthening of the organization, which resulted in a QonQ sales growth. We intend to drive business growth by continuing to pursue customer development. Number of Impressions
Slide 23: Progress in Overseas Business
Game8 Group Progress in Overseas Business The number of PVs of game walkthrough content for the North American region is steadily increasing contributing to sales growth even more than before. We will continue to focus on our overseas operations. Overseas Business The number of PVs of the overseas b
Slide 24: slice Principal Partners
Investment slice A three-year, top-ranked partnership agreement was signed with the Mumbai Indians, one of the most popular teams in India's national sport, cricket, with the purpose of increasing brand awareness of the services offered by “slice”. One of the most popular teams in the Indian Premier
Slide 25: Investment business
Investment Investment Our equity in “slice”, which was over 17% as of the end of Q2, increased to about 3 billion dollars in Q3 with a follow-on investment *1of about 10 million dollars. The total investment in our investment business is approximately 5 billion dollars. Investments made since Octobe
Slide 26: New Business YOU IN
New Business YOU IN We are focusing on personalized gifting. e-commerce platforms such as giftee and Anny started handling 'YOU IN'. We also continue with our project for an offline base, such as Hankyu Department Store Osaka Umeda Main Store, where the first offline store was set up in the Kansai r
Slide 27: Reference Materials: Overview of Gunosy Inc.
Reference Materials: Overview of Gunosy Inc. （C） Gunosy Inc. All Rights Reserved. 27
Slide 28: Overview of Gunosy Inc.
Overview of Gunosy Inc. Basic Information Representative Director and Chairman, Group Officers: Chief Executive Officer (CEO), Shinji Kimura Company name: Gunosy Inc. Representative Director and President, Yuya Representative: Shinji Kimura Taketani Yuya Taketani Director and CFO, Hiroki Maniwa Esta
Slide 29: From "Gunosy Way" to "Gunosy Pride"
From “Gunosy Way” to “Gunosy Pride” The concept of "Gunosy Way", which had been defined as a milestone for Gunosy to follow, was redesigned as "Gunosy Pride“, which inherits the original thoughts and concepts. 1 “Triple win” philosophy Benefit the customer, the user, and the world. Benefit yourself,
Slide 30: Disclaimer
Disclaimer Forward-looking statements contained in these materials are prepared from judgments and assumptions based on information available at the time of preparing the materials, and do not guarantee their accuracy. These materials contain financial data that have not been audited by an independe
Slide 31: Optimally deliver information to people around the world
Optimally deliver information to people around the world