Cyberagent Incorporated · TSE:4751
Cyberagent — Q2 FY2004 Earnings Presentation
48 slides from Cyberagent's earnings presentation, May 13, 2004
Slide 1: Results Briefing on the Second Quarter of the Fiscal Year Ending Sept. 2004
Results Briefing on the Second Quarter of the Fiscal Year Ending Sept. 2004 May 13th, 2004 CYBER AGENT, LTD. http://www.cyberagent.co.jp/ The opinions and predictions described in this data are the judgments of our company made when the data was prepared and we do not guarantee the accuracy of the i
Slide 2: Contents
Contents z Outline of the Fiscal 2004 Second Quarter Consolidated Financial Results z Correction of Financial Outlook z Internet Media Business: CANetwork z Advertising Agency Business: Internet Advertising Headquarters z Developing Toward Mid- and Long-term Growth Appendix z Profile of Company z Ou
Slide 3: Highlights of the Second Quarter of the Fiscal Year Ending Sept. 2004
Highlights of the Second Quarter of the Fiscal Year Ending Sept. 2004 +32.8% over the first Though sales and general Operating administrative expenses income quarter increased, a profit increase (Operating profit was achieved due to a large 482 million yen margin 7.6%) sales increase. +16.9% over th
Slide 4: Summary of Consolidated Financial Results
Summary of Consolidated Financial Results (The Second Quarter of the Fiscal Year Ending Sept. 2004) P/L 2nd Q of FY2003 1st Q of FY2004 2nd Q of FY2004 Unit (million yen) Jan. – Mar. Oct. - Dec. Jan. – Mar. Sales Gross profit (Net profit margin) Sales and general administrative expenses (Sales and g
Slide 5: Quarterly Changes in Operating Profit
Quarterly Changes in Operating Profit Profit increase continues steadily after transition to the profit creating period. Unit: % Unit: million yen Sales Operating profit FY2004 ending FY2001ending FY2002 ending FY2003 ending September 2004 September 2001 September 2002 September 2003 Preceding inves
Slide 6: Changing in Sales and Gross Margin Ratio
Changing in Sales and Gross Margin Ratio Gross margin ratio is developing stably. Unit: million yen Sales Gross margin ratio Unit: % FY2000 ending FY2001 ending FY2002 ending FY2003 ending FY2004 September 2000 September 2001 September 2002 September 2003 Preceding investment period Profit creating
Slide 7: Changes in Business Performance (Sales) Classified by Business Type
Changes in Business Performance (Sales) Classified by Business Type Internet Media Business Advertising Agency Business Unit: million yen CANetwork Internet Advertising Headquarters Unit: million yen EC EC Advertising Advertising 2002 2003 2004 2002 2003 2004 Note 1: Sales are reference values befor
Slide 8: Consolidated Sales and General Administrative Expenses
Consolidated Sales and General Administrative Expenses Sales and general administrative expenses rate continuously decreased through five quarters. In comparison with the Unit: million yen Unit: % previous quarter Unit: million yen 2,266 2,026 Sales Sales related related cost cost 1,707 1,834 Consol
Slide 9: Number of Directors/Staff Members of All Consolidated Companies
Number of Directors/Staff Members of All Consolidated Companies Our staff increased by 61 compared with the previous term end, mainly due to an increase of employees in individual Internet Media Business projects and at affiliated companies. Unit: person By business type Internet Internet Media Medi
Slide 10: Summary of Consolidated Financial Results (B/S)
Summary of Consolidated Financial Results For the Second Quarter of Fiscal Year Ending Sept. 2004 B/S End of the 2nd Q End of the 1st Q End of the 2nd Q Unit (million yen) As of Mar. 31, 2003 As of Dec. 31, 2003 As of Mar. 31, 2004 Current assets (Cash on hand and in banks + securities, etc.) Fixed
Slide 11: Changes in Consolidated Cash Flow
Changes in Consolidated Cash Flow For the Second Quarter of Fiscal Year Ending Sept. 2004 Cash Flow 2nd Q of FY2003 1st Q of FY 2004 2nd Q of FY2004 Unit (million yen) Jan. - Mar. Oct. - Dec. Jan. - Mar CF from operating activities CF from investing activities CF from financing activities Increase/d
Slide 12: Correction of Financial Outlook of the Fiscal Year Ending Sept. 2004
Correction of Financial Outlook of the Fiscal Year Ending Sept. 2004 Consolidated Financial Outlook Outlook announced on May 10, 2004 Outlook released Previous outlook Unit: million yen this time Outlook announced on March 11 Sales Operating profit Ordinary profit Net Earnings
Slide 13: Sales Outlook for the Fiscal Year Ending Sept. 2004
Sales Outlook for the Fiscal Year Ending Sept. 2004 FY 2004 ending Sept. 2004 JPY 25 billion Sales FY 2004 ending Sept. 2004 JPY 23 billion Sales Outlook Internet Advertising announced on March 11 Retail 16 billion yen Retail Internet Advertising EC 14 billion yen Company’s Other EC Company’s Compan
Slide 14: Changes in Consolidated Business Performance
Changes in Consolidated Business Performance Unit: million yen Sal es Operati ng profi t and l oss FY1998 ending FY1999 ending FY2000 ending FY2001 ending FY2002 ending FY2003 ending Outlook for FY2004 Sept. 1998 Sept. 1999 Sept. 2000 Sept. 2001 Sept. 2002 Sept. 2003 ending Sept. 2004 (1st term) (2n
Slide 15: Internet Media Business
Internet Internet Media Media Business Business
Slide 16: Business Model
Business Model Customer Advertisers (corporations) Other companies media advertising sale Other advertising agencies, representatives Internet Advertising Agency Business Company’s media advertising sale Media representatives, etc. Internet Media Business Other companies’ media Paid accounting EC Co
Slide 17: Internet Media Business: Profit and Loss
Internet Media Business: Profit and Loss Internet Media Business CANetwork Sales Sales and general administrative expenses Operating profit Unit: million yen Jan. - Apr. - Jun. Jul. - Sep. Oct. - Dec. Jan. - Apr. - Jun. Jul. - Sep. Oct. - Dec. Jan. - Mar. Mar. Mar. 2002 2003 2004 Note: Reference val
Slide 18: CANetwork Profit and Loss by Business Division
Profit and Loss byNote: Sales/operating profit are reference values before deduction of internal transaction/consolidated Business Division adjustment account amortization/all company expenses Unit Projects and Apr. - Jun. 2003 Jul. - Sept. 2003 Oct. - Dec. 2003 Jan. - Mar. 2004 (million Operating O
Slide 19: Changes in Sales Composition Related to Advertising
Internet Media Business Changes in Sales Composition Related to Advertising Both mobile-related advertising and PC-related Unit: million yen advertising are developing smoothly. , , , , , , Apr. - Jun. Jul. - Sep. Oct. - Dec. Jan. - Mar. Apr. - Jun. Jul. - Sep. Oct. - Dec. Jan. - Mar. 2002 2002 2002
Slide 20: Company's Medium Advertising Sales: Composition Rate by Business Type
Company’s Medium Advertising Sales: Composition Rate by Business Type 2nd Q of 2004 (Jan. - Mar.) Finance/Insurance/Securities (including consumer finance) Internet service Service business, general/Information/Survey/Special services Human resources/Education Medical treatment/Drugs/Body care Broad
Slide 21: Internet Media Business: EC Sales
Internet Media Business: EC Sales Mobile commerce, PC commerce, and Paid accounting are all smoothly developing. Unit: million yen Apr. - Jun. Jul. - Sep. 2002 Oct. - Dec. Jan. - Mar. Apr. - Jun. Jul. - Sep. 2003 Oct. - Dec. Jan. - Mar. 2002 2002 2003 2003 2003 2004 Mobile commerce PC commerce Paid
Slide 22: EC Business: Male and Female Percentages of Commodity Sales by Age
EC Business: Male and Female Percentages of Commodity Sales by Age Male and female percentages of whole Male Female 32% 64% Mobile In teens In twenties In thirties In forties In fifties In sixties Male and female Web percentages of whole Male 16% Female 84% Figures in the graph are provided by: NETP
Slide 23: EC Business: Appendix (Online Shopping)
EC Business: Appendix 2 (Online Shopping) Commodity composition (March 2004) Monthly purchase unit price: about 10,000 yen Others Fashion 3.3% (Accessory/ Apparel) Beauty/ Cosmetics 12.8% Brand 29.1% 13.7% Household Watch/ appliances/Living Menswear miscellaneous 14.7% goods Figures in the graph are
Slide 24: Advertising Agency Business
Advertising Advertising Agency Agency Business Business
Slide 25: Business Model
Business Model Customer Advertisers (corporations) Other companies media advertising sale Other advertising agencies, representatives Internet Advertising Agency Business Company’s media advertising sale Media representatives, etc. Internet Media Business Other companies’ media Paid Commission accou
Slide 26: Advertising Agency Business: Profit and Loss
Advertising Agency Business: Profit and Loss Advertising Agency Business: Internet Advertising Headquarters Unit: Sales Total of Sales and general administrative expenses million yen Operating profit Jan. - Apr. - Jul. - Oct. - Jan. - Apr. - Jul. - Oct. - Jan. - Mar. Jun. Sep. Dec. Mar. Jun. Sep. De
Slide 27: Changes in Sales Composition
Advertising Agency Business Changes in Sales Composition Unit: million yen Company’s media/tie-up media Other companies’ media Creating costs, etc. (including tie-up media from Jan-Mar, 2004) Oct. - Dec. Jan. - Mar. Apr. - Jun. Jul. - Sep. Oct. - Dec. Jan. - Mar. Apr. - Jun. Jul. - Sep. Oct. - Dec.
Slide 28: Paid Listing (Search result advertisement)
Paid Listing (Search result advertisement) Paid Listing Search results advertisement carried on search sites such as Google and Yahoo! In case of search of Internet Up 88% over the last quarter, advertisement through Google Unit: million yen No. 1 in volume handled Advertising frame Sponsor CYBER AG
Slide 29: Transition in the number of the companies we deal with
Transition in the number of the companies we deal with Succeeding to the last quarter, the number of companies handling increased as the Paid Listing advertising grew. Unit: million yen The number of the companies we deal with during the quarter Oct. - Dec. Jan. - Mar. Apr. - Jun. Jul. - Sep. Oct. -
Slide 30: Share of Sales by Industry
Advertising Agency Business Share of Sales by Industry Increase / Oct.- Dec. 2003 Jan. – Mar. 2004 decrease Finance/Insurance/Securities (including consumer finance) Internet service Human resources/Education Service business, general/ Information/Survey/Special services Broadcasting/Publishing/News
Slide 31: Quarterly Productivity per Salesperson
Quarterly Productivity per Salesperson Productivity (month) per person of about 12 million yen Unit: million yen Quarterly productivity Number of salespersons Unit: person Oct. - Jan. - Apr. - Jul. - Oct. - Jan. - Apr. - Jul. - Oct. - Jan. - Apr. - Jul. - Oct. - Jan. - Dec. Mar. Jun. Sep. Dec. Mar.
Slide 32: Developing Toward Mid- and Long-term Growth
Developing Toward Mid- and Long-term Growth
Slide 33: Mid- and Long-term Sales Composition Image
Med- and Long-term Sales Composition Image Composition image of JPY 100 billion Sales FY2004 ending Sept. 2004 Internet FY2000 ending Accounting, Sept. 2000 JPY 25 billion Sales commission, Advertising and EC JPY 3.2 billion Retail 40 billion yen Sales Retail Internet Advertising Internet EC 16 bill
Slide 34: Future Policy
Future Policy Emphasis is placed on business development and business expansion within the company. Purchasing considered necessary for growth will be positively done on condition that it will not deteriorate the profitability so much. Investment will be made in fields related to Internet business.
Slide 35: CAJJ program
Toward Mid- and Long-term Projects CAJJ program (Cyber Agent business = Jigyo human resources = Jinzai program ) Raising Raising In case the gross margin exceeds In case a surplus is achieved in a single month, or a 5 million yen/month gross margin of 15 million/month is exceeded. New business (grou
Slide 36: Classification of CA Group Businesses
Classification of CA Group Businesses Classification J3 J2 J1 Reconstruction investigation (New business department) (New Por new subsidiary) (Core business) business Name within Group Project Company company Responsible Group leader Project general manager Company president person Target Find
Slide 37: Vision
Vision To grow to be an enterprise to vitalize Japan with young power and the Internet, and to represent the 21st century
Slide 38: Appendix
Appendix Appendix
Slide 39: Profile of Company
Profile of Company Company name: Cyber Agent, Ltd. (securities code: 4751) Head office: Shibuya Mark City West 21F, 1-12-1, Dogenzaka, Shibuya- ku, Tokyo CANetwork: 1-14-6, Dogenzaka, Shibuya-ku, Tokyo Osaka office: Shin-Fujita Bldg., 2-4-27, Dojima, Kita-ku, Osaka Nagoya office: Tokai IS Bldg., 3F,
Slide 40: CANetwork Outline by Business Division
Outline by Business Division CA MOBILE, LTD. Mobile advertising/mobile commerce NETPRICE, LTD. Internet shopping service operation Axiv.com. Inc. Online promotion site operation melma! Mail magazine portal site, the largest class in Japan LifeMile Online point program business Kensho-no-tubo (prize
Slide 41: Summary of Consolidated Financial Results (this Intermediate Term)
[Appendix] Summary of Consolidated Financial Results (this Intermediate Term) P/L First half of previous year Last half of previous year This intermediate term Unit (million yen) Oct. 2002 – Mar. 2003 Apr. – Sep. 2003 Oct. 2003 – Mar. 2004 Sales Gross profit (Net profit margin) Operating profit (Ope
Slide 42: Changes of Sales and Operating Profit per Half Term
Changes of Sales and Operating Profit per Half Term Unit: million yen Sales Operating profit Gross margin ratio Unit: % Fi r La Fi r La Fi r La Fi r s th s th s th s th s th s th s th al f al f al f al f al f al f al f of of of of of of of 20 20 20 20 20 20 20 01 01 02 02 03 03 04
Slide 43: Summary of Consolidated Financial Results (this Intermediate Term) B/S
[Appendix] Summary of Consolidated Financial Results (this Intermediate Term) B/S End of intermediate End of through term End of this term of previous year of previous year intermediate term Unit (million yen) As of Mar. 31, 2003 As of Sep. 30, 2003 As of Mar. 31, 2004 Current assets (Cash on hand a
Slide 44: Changes in Consolidated Cash Flow (this Intermediate Term)
[Appendix] Changes in Consolidated Cash Flow (this Intermediate Term) Cash Flow Corresponding term of previous year Last half of previous year This intermediate term Unit (million yen) Oct. 2002 – Mar. 2003 Apr. – Sep. 2003 Oct. 2003 – Mar. 2004 CF from operating activities CF from investing activit
Slide 45: Internet Media Business Representative sites
Internet Media Business Representative sites http://www.melma.com/ http://www.lifemile.jp/ http://www.woman.co.jp/
Slide 46: Internet Media Business Representative sites
Internet Media Business Representative sites http://www.netprice.co.jp/ http://www.tubox.com/ http://www.chance-master.com/
Slide 47: Internet Media Business Representative sites
Internet Media Business Representative sites http://www.weddingpark.net/ http://www.livein-tokyo.com/ http://www.stampbox.jp/
Slide 48: Internet Media Business Mobile
Internet Media Business Mobile