Wantedly, Inc. · TSE:3991
Wantedly — FY2024 Earnings Presentation
44 slides from Wantedly's earnings presentation, Oct 11, 2024
Slide 1: FY2024 Financial Results
Wantedly, Inc. FY2024 Financial Results (Business Plans and Matters Related to High Growth Potential) October 11, 2024 ©2024 Wantedly, Inc
Slide 2: Table of Contents
Table of Contents 1. Highlights 2. FY2024 Results 3. FY2025 Forecast 4. Future Outlook ©2024 Wantedly, Inc
Slide 3: Highlights
01 Highlights ©2024 Wantedly, Inc
Slide 4: Highlights | FY2024 Results, FY2025 Forecast
Highlights | FY2024 Results, FY2025 Forecast • Operating Revenue was 1,205 million yen in Q4 (3 months) ,up 1% QoQ and totaled 4,722 million yen for Q1-Q4 (12 months), down 1% YoY Results • Operating Profit was 457 million yen in Q4 (3 months), up 17% QoQ and totaled 1,594 million yen for Q1-Q4 (12
Slide 5: FY2024 Results
02 FY2024 Results ©2024 Wantedly, Inc
Slide 6: FY2024 Results | Full-year Overview
FY2024 Results | Full-year Overview Operating revenue (¥M) FY23.8 FY24.8 YoY FY24.8 (Forecast) down 1% YoY OpeartingRe 4,746 4,722 -1% 4,825 venue • Revenues have returned to an upward Operating trend, driven by an increase in stock 1,589 1,594 0% 1,600 Pro t revenues, while flow revenues have remai
Slide 7: FY2024 Results | Quarterly Overview
FY2024 Results | Quarterly Overview Operating revenues FY23.8 FY24.8 FY24.8 (¥M) YoY QoQ have returned to an Q4 Q3 Q4 Operating upward trend Revenue 1,165 1,188 1,205 3% 1% • Operating revenue increased YoY and Operating 355 391 457 29% 17% QoQ mainly due to the impact of Pro t increased stock reven
Slide 8: Operating Revenue: Quarterly Trends
FY2024 Results | Operating Revenue: Quarterly Trends Stock revenues are on Flow revenue (Add-ons & Others) Stock revenue (Subscriptions) 1,186 1,209 1,184 1,188 1,205 an upward trend 1,200 1,118 1,150 1,169 1,165 1,168 1,159 1,059 165 • Increase in average unit price due to a 238 256 220 186 193 175
Slide 9: SG&A: Quarterly Trends
FY2024 Results | SG&A: Quarterly Trends Decreased from the Marketing 1,200 Others previous quarter due to System & Comm. Personnel cost reductions 1,000 897 864 841 802 810 807 797 761 774 744 747 800 683 • Reduced SG&A expenses through efforts 187 402 312 201 170 300 164 to cut unnecessary costs 28
Slide 10: Operating Profit / OP Margin: Quarterly Trends
FY2024 Results | Operating Profit / OP Margin: Quarterly Trends Maintained high OP Margin (¥M) Operating Pro t OPM OPM(ex. Markting Expenses) 600 70% 500 60% 57% 57% 56% 55% 467 54% 457 53% 448 440 51% 50% 50% 48% 48% 47% 394 46% 400 391 345 355 351 40% 41% 306 300 37% 37% 38% 257 34% 33% 30% 220 29
Slide 11: Non-financial KPIs: Quarterly Trends
FY2024 Results | Non-financial KPIs: Quarterly Trends Registered Users Registered Companies (Thousand users) (Thousand companies) 4,500 50 4,000 3,500 40 3,000 30 2,500 2,000 20 1,500 1,000 10 500 0 0 FY21.8 FY22.8 FY23.8 FY24.8 FY21.8 FY22.8 FY23.8 FY24.8 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q
Slide 12: Consolidated Balance Sheets / Statements of Cash Flows
FY2024 Results | Consolidated Balance Sheets / Statements of Cash Flows Consolidated Balance Sheets Consolidated Statements of Cash Flows (¥M) FY23.8 FY24.8 (¥M) FY23.8 FY24.8 Current assets 4,217 4,960 Operating cash ows 864 1,023 Cash and deposits 3,701 4,521 Pro t before income taxes 1,562 1,579
Slide 13: Dividends
FY2024 Results | Dividends Plan to implement FY23.8 FY24.8 dividend The record date 2023/8 31 2024/8 31 • As part of shareholder returns, we paid a dividend of 20 yen per share Dividends per share ¥ 20 20 • We plan to continue paying Net income per share ¥ 105 109 stable dividends in the future Payo
Slide 14: FY2025 Forecast
03 FY2025 Forecast ©2024 Wantedly, Inc
Slide 15: FY2025 Guidance | Overview
FY2025 Guidance | Overview Expect revenue increase FY24.8 FY25.8 of approximately 5% (¥M) (Results) (Forecast) YoY Operating • Expect stable stock revenues due to 4,722 4,970 5% Revenue continued demand in hiring market and the effect of product prices increases Operating 1,594 1,600 0% Pro t • To s
Slide 16: Office Relocation Impact on Business Performance
2025 8 • In the lease agreement for the head office building, the building owner offered to terminate the lease agreement. After discussions between the Company and the building owner, the two parties Office Relocation agreed to terminate the lease agreement, and the Company has decided to relocate
Slide 17: Operating Revenue / SG&A: Annual Trends
FY2025 Forecast | Operating Revenue / SG&A: Annual Trends Operating Revenue SG&A Flow revenue (Add-ons & Others) Stock revenue (Subscriptions) 4,970 Marketing 5,000 4,497 4,764 4,722 5,000 Others System & Comm. Personnel 902 714 4,000 938 4,000 3,245 3,370 3,156 3,127 3,000 3,000 671 1,185 956 4,825
Slide 18: Operating Profit / OP Margin: Annual Trends
FY2025 Forecast | Operating Profit / OP Margin: Annual Trends Operating Profit Operating Profit Margin OPM OPM(ex.Marketing Expenses) 2,000 60% 54% 54% 1,589 1,594 1,600 50% 48% 46% 1,500 1,251 40% 33% 34% 32% 1,000 30%26% 20% 500 10% 0 FY22.8 FY23.8 FY24.8 FY25.8 FY22.8 FY23.8 FY24.8 FY25.8 Plan *”
Slide 19: Dividends forecast
FY2025 Forecast| Dividends forecast Dividends forecast FY24.8 FY25.8 The record date 2024/8 31 2025 8 31 Dividends per share ¥ 20 20 Net income per share ¥ 109 110 Payout ratio % 18% 18% Total dividend amount ¥M 189 189 ©2024 Wantedly, Inc 19
Slide 20: Future Outlook
04 Future Outlook ©2024 Wantedly, Inc
Slide 21: Mission
Future Outlook | Mission TO CONNECT PEOPLE WITH THE RIGHT OPPORTUNITIES, CREATING A WORLD WHERE WORK DRIVES PASSION ©2024 Wantedly, Inc 21
Slide 22: Value Proposition
Future Outlook | Value Proposition Provide unique value to enable people to be passionate in their work Recruitment Recruitment Employee Employee Marketing Recruiting Engagement Marketing Engagement Awareness, Interest, Selection, O er, Retention and and Applications and Closing high performance Blo
Slide 23: Focus Points
Future Outlook | Focus Points • Sales growth decelerated during the latter half of FY23, attributed to slower growth in the number of paying companies and a Strengthen the decrease in option sales value provided by • Aim for continued growth by increasing the number of paying companies over the medi
Slide 24: Wantedly Visit
Future Outlook | Wantedly Visit iOS, Android and Web Easily arrange company visits Matching based on shared values and mission • Connect people with companies based on shared values, regardless of conditions such as salaries, benefits, and company size The new experience of, “I’m interested!” • Enab
Slide 25: Wantedly Visit - Business Model
Future Outlook | Wantedly Visit - Business Model Users Companies View Content Office workers Management HR Freelancers Employer Branding Applications Talent Scouting Students Non-HR Employees Free of charge No commissions Subscriptions + Add-ons ©2024 Wantedly, Inc 25
Slide 26: Source of competitive strength
Future Outlook Source of competitive strength Leveraging technology to create the best matches between companies and individuals Users Companies User profiles Posts Recommend Job Posts Recommendation System Talent Scouting Recommend Candidates ©2024 Wantedly, Inc 26
Slide 27: Users on Wantedly
Future Outlook | Users on Wantedly Our strength is with millennials, Generation Z, and the growing web industry Occupation Age 10% 11% 9% 27% Developer 35% Designer 18% 20-29 Sales 30-39 16% Marketing 40-49 Director 50 and over Corporate 19% 18% 35% ©2024 Wantedly, Inc 27
Slide 28: Companies on Wantedly
Future Outlook | Companies on Wantedly Companies from various industries, primarily in SMEs with 100 or fewer employees Companies by industry Web & Mobile Consulting Marketing & Advertisement Retail & Distribution k Architecture & Real estate companies System Integration & Packaged So ware Sta ng &
Slide 29: Focus Points Visit
Future Outlook Focus Points Visit Improving various KPIs through strengthening the sales organization and enhancing the product 1 Sales Strategies • Increase the number of leads acquired Sales Strategies through improved digital marketing strategies Improve marketing strategy Appropriate pricing cha
Slide 30: Engagement: Perk, Pulse, Story
Future Outlook | Engagement Perk, Pulse, Story Supporting the creation of self-sustaining organizations Comprised of three products • Provide support for creating an environment where employees can be passionate in their work Solving telecommuting challenges • Prevent decreased employee motivation d
Slide 31: Engagement - Perk
Future Outlook | Engagement - Perk Employee Perks Employee Perks provide the latest services to enrich employee work environments • Discounted services that support users in their day to day challenges - employee benefits that are easy to implement • Over 1,000 services with special offers ©2024 Wan
Slide 32: Engagement - Perk - Business Model
Future Outlook | Engagement - Perk - Business Model Service Companies Contract Post Service provider Employees Give Get Coupon Service Coupon Entertainment Provide Alignment Restaurant/ Service info Movie.. Healthcare Childcare Use service Education etc… Subscription Free of charge Additional user c
Slide 33: Focus Points Perk
Future Outlook | Focus Points Perk Continue to expand function and increase value provided KPI Expand listing services / Development product 1 Churn rate • Reduce churn rate by strengthening customer Improve conversion rate Enhance customer success success efforts New acquisitions × Churn rate 2 Pri
Slide 34: Perk App Released
Future Outlook Focus Points Perk Perk App Released Providing an app version will enhance convenience and boost satisfaction among current users, as well as attract new service providers. Address diverse customer needs and expand the mid-size customer base ©2024 Wantedly, Inc 34
Slide 35: Engagement - Story
Future Outlook | Engagement - Story Company Newsletter Company Newsletters that enable members to share common goals and feel a sense of team unity • Support companies in celebrating visions and values online, even when face-to-face communication is difficult ©2024 Wantedly, Inc 35
Slide 36: Engagement - Pulse
Future Outlook | Engagement - Pulse Team Management Surveys that allow managers to assess employee satisfaction and make improvements to employee experience • Celebrate team values through Slack and visualize daily challenges and unseen contributions of members ©2024 Wantedly, Inc 36
Slide 37: Wantedly Hire
Future Outlook Wantedly Hire New product release: A Modern Hiring Platform A modern application tracking system with customizable templates, hiring processes, reporting, as well as automated interview scheduling and app integrations ©2024 Wantedly, Inc 37
Slide 38: Potential Users
Future Outlook | Potential Users Maximize utilization of our current user/customer base Working population Companies Users Companies 69.00 M (1) 3.60 M (3) SMEs / Large Enterprises SMEs / Large Enterprises 37.00 M (2) 520 K(4) Wantedly share Wantedly share 4.09 M 4.2 K 11% 8% Sources: (1) “Labor Sur
Slide 39: Potential Market Size
Future Outlook | Potential Market Size The Wantedly Group estimates a potential market size of approximately 1 trillion yen 1 Hiring Engagement + = Approx. 480 billion (1) Approx. 550 billion (2) Approx. trillion Sources: (1) Average estimated use fees for hiring services X Employee number of SMEs a
Slide 40: Subscription revenue model
Future Outlook | Subscription revenue model Pricing model combines subscriptions and pay-as-you-go plans Separate Hiring and Engagement fee plans effective April 2024 Hiring Engagement (¥M) Add-ons & Others 6,000 Subscriptions Add-ons 4,497 4,746 4,722 4,970 • From 100,000 yen per item 5,000 • Mainl
Slide 41: Appendix | ESG / SDGs
Appendix | ESG / SDGs Supporting Student Achieve sustainable self- Career Development sufficiency through work In the context of new graduate recruitment, we have Work is increasingly evolving into a means of self- launched a project aimed at supporting students who are actualization, rather than so
Slide 42: Appendix | Company Overview and History
Appendix | Company Overview and History Wantedly, Inc. MG Shirokanedai building 4F, 5-12-7, Shirokanedai, Minato-ku, Tokyo Akiko Naka, CEO Securities code: 3991 (TSE Growth) Company History ©2024 Wantedly, Inc 42
Slide 43: Appendix | Risks and countermeasures
Appendix | Risks and countermeasures Risk Countermeasures The Wantedly Group primarily derives its revenue from system usage fees for management of recruitment information on “Wantedly Visit,” leading to a high level of revenue Revenue concentration in speci c concentration. As stated above, if reve
Slide 44: Appendix | Disclaimer
Appendix | Disclaimer This material contains forward-looking statements that reflect views and assumptions of management at Wantedly, Inc., in light of information currently available with respect to certain future events, including, but not limited to financial projections and business strategies.