Ubicom Holdings. Inc. · TSE:3937
Ubicom — Q2 FY2023 Earnings Presentation
39 slides from Ubicom's earnings presentation, Nov 9, 2023
Slide 1: FY2023 Q2 Presentation Materials
Ubicom Holdings, Inc. (Prime Market of TSE: 3937) FY2023 Q2 Presentation Materials Nov. 9, 2023
Slide 2: Table of Contents
Table of Contents 01 Business highlights p3 02 Performance of the Medical Business p6 03 Performance of the Global Business p22 04 Appendix p33 © Ubicom Holdings, Inc. 2
Slide 3: Ubicom Holdings Business
Ubicom Holdings Business We are a unique business innovation company that creates innovative IT solutions through the combination of “Human” and “Technology." Medical business ・Pioneer in offering IT solutions for supporting the management of hospitals and clinics (systems for inspecting health insu
Slide 4: Consolidated performance: Highlights of Q2 of FY2023
Consolidated performance: Highlights of Q2 of FY2023 Medical Business As COVID-19 was reclassified in May 2023, post-pandemic measures were started at medical institutions. As the Workstyle Reform law will apply to medical doctors, too, from April 2024, the DX at medical institutions has been accele
Slide 5: Consolidated performance: Overview of financial results for Q2 FY2023
Consolidated performance: Overview of the financial results for Q2 of FY2023 (P/L) Consolidated performance • Consolidated sales were 2,929 million yen, 112.6% year on year. Updated to a record high in the first half cumulative. • In order to meet the significant demand in the Global Business, we re
Slide 6: Medical Business
Medical Business 6
Slide 7: Medical business: Providing management support IT solutions for medical institutions
Medical Business: Providing management support IT solutions for medical institutions Medical medical business 【Business Model】 Providing management support IT solutions for hospitals and clinics. In particular, the medical information system provided by our group's subsidiary boasts the largest numb
Slide 8: Medical business performance
Medical Business: Overview by segment for the first quarter of FY ending March 2024 Medical business performance • Due to the reclassification of COVID-19 into Class 5 in May 2023 and the impact of workstyle reform laws that will also be applied to medical doctors from April 2024, investments in DX
Slide 9: Cross-selling of Mighty QUBE Hybrid & new business for high profitability
Medical Business: New Business Areas Cross-selling of Mighty QUBE® Hybrid & new business for high profitability • With the subscription model, we achieved a high profitability of 58% in FY2022. • COVID-19 has revealed the problem of overtime work for medical doctors and nurses, and combined with the
Slide 10: System for health insurance claims in medical institutions
Medical Business: Providing management support IT solutions for medical institutions System for health insurance claims (medical fees) in medical institutions Areas where the core solutions of the Medical Business are used If there is an error in the medical 2. Provision of medical institution's hea
Slide 11: Main solutions in the medical business
Medical Business: Providing management support IT solutions for medical institutions Main solutions in the medical business • Electronic medical record linkage system "Mighty QUBE® Hybrid" supports medical doctors in inputting electronic medical records by using AI, ensuring medical safety and impro
Slide 12: MightyChecker Series number of clients
Medical Business: Providing management support IT solutions for medical institutions (1) MightyChecker® Number of clients FY2023 Annual increase exceeded FY2022 as of 2Q (Highest ever increase in number in the first half) Core Solutions +1,400 aiming to achieve (+796)2Q MightyChecker® Series （Over 2
Slide 13: Regarding Revenue Recognition (Billing Methods)
Medical Business: Providing management support IT solutions for medical institutions (1-2) Regarding Revenue Recognition (Billing Methods) The MightyChecker® EX package is initially licensed for 15 months. Assuming an initial license cost of 544,000 yen (less than 20 beds), the amount that can be re
Slide 14: Cross-selling of Mighty QUBE Hybrid
Medical Business: Providing management support IT solutions for medical institutions (2-2) Cross-selling of Mighty QUBE® Hybrid Small and medium-sized hospitals that have conducted DX, which are the future targets of enhanced marketing, currently account for 91% of all hospitals. By forming alliance
Slide 15: Mighty QUBE Hybrid: electronic medical record market
Medical Business: Providing management support IT solutions for medical institutions (2-3) Mighty QUBE® Hybrid Focus on the electronic medical record market for small and Market size medium-sized hospitals Small and Report on the Results of a Survey on the Installation of medium-sized hospitals 7,44
Slide 16: Mighty QUBE Hybrid market size
Medical Business: Providing management support IT solutions for medical institutions (2-4) Mighty QUBE® Hybrid The market size of Mighty QUBE® Hybrid is 6.2 billion yen, considering the implementation of cross-selling measures to facilities that have already adopted electronic medical records for sm
Slide 17: Cloud Lineup
Medical Business: Providing management support IT solutions for medical institutions 3 Cloud Lineup “MightyChecker® Cloud” Pioneering cloud-based claim inspection “Mighty QUBE® Hybrid” One-of-a-kind cloud-compatible order checking “SonaM” Medical data backup solutions TOPIX MightyChecker® Cloud Anal
Slide 18: Cloud market expansion through medical DX
Medical Business: Providing management support IT solutions for medical institutions (3-2) According to Fuji Keizai's "Current Status and Future Outlook of Medical/Healthcare DX Market in 2023," the cloud market* will expand further due to the DX in the medical field. We are ahead of the curve with
Slide 19: Cloud market to data business
Medical Business: Providing management support IT solutions for medical institutions (3-3) Cloud market to data business Planning to fully enter the data analysis market by utilizing data obtained from cloud solutions. 01. Real-world data analysis services for private companies Targets secondary use
Slide 20: Data analysis market expected to expand to 68.8 billion yen
Medical Business: Providing management support IT solutions for medical institutions (3-4) Market of 31.4 billion yen in 2022 is expected to expand to 68.8 billion yen in 2030. Plans to fully enter data analysis market by leveraging customer base, medical database, and intellectual property 2030 man
Slide 21: New Business Areas
Medical Business: New Business Areas Using 19,000+ medical institutions x DB, MightyChecker® EX, Mighty QUBE® Hybrid, and MightyChecker® Cloud generate stable main profits. For the second growth phase, we will utilize solid solution data and the customer base to enter new business areas. • 37 years
Slide 22: Global Business
Global Business 22
Slide 23: Global Business: development support services using cutting-edge technologies
Global Business: Provision of development support services utilizing cutting-edge technologies Global global business 【Business model】 To offer IT development support services by utilizing cutting-edge technologies, including AI, for leading enterprises inside and outside Japan 【KPI】 Number of major
Slide 24: Results of the Global Business
Global Business: Provision of development support services utilizing cutting-edge technologies Results of the Global Business • Sales grew considerably to 2,131 million yen, 115.4% year on year, due to the growth of demand in response to the Economic Security Promotion Law. • Due to a temporary decl
Slide 25: Variation in quarterly sales in the past 3 years
Global Business: Provision of development support services utilizing cutting-edge technologies In our Global Business division, we strengthened relationships with existing clients as foundational pillars while expanding our client base, which resulted in a consistent increase in sales. global busine
Slide 26: Survey on response to the Economic Security Promotion Law
Global Business: Provision of development support services utilizing cutting-edge technologies Survey on the actual situation of response to the Economic Security Promotion Law 01 Topic 01: About 60% of listed companies implement concrete measures for the Economic Security Promotion Law. 02 Topic 02
Slide 27: Concrete measures for the Economic Security Promotion Law
Global Business: Provision of development support services utilizing cutting-edge technologies • Many companies answered that concrete measures for responding to the Economic Security Promotion Law include the review and improvement of offshore development. What kinds of concrete measures do your co
Slide 28: Global Business model: training engineers before assignment
Global Business: Provision of development support services utilizing cutting-edge technologies • Our business model is not simple dispatch of workers, but to train engineers about the tasks, system languages, tools, etc, unique to the field of each client, and then the Japanese language, and assign
Slide 29: Targeted 20 candidates for pillar clients
Global Business: Provision of development support services utilizing cutting-edge technologies As demand grew, we targeted 20 candidates for pillar clients. [unit: companies] • In response to the growth of demand for our services, we selected 20 Banks 3 Distribution 2 candidates for pillar clients.
Slide 30: Recruited many global IT engineers for new pillars
Global Business: Provision of development support services utilizing cutting-edge technologies We recruited a lot of global IT engineers to deal with new pillars. • We recruited many global IT engineers, to deal with 20 candidates for new pillars. • During the education period (5-6 months), utilizat
Slide 31: Training professional IT engineers through 5-6-month intensive course
Global Business: Provision of development support services utilizing cutting-edge technologies To train professional IT engineers through a 5-6-month intensive course • Differing from the simple dispatch of IT engineers, our business model is to first trained engineers thoroughly for 5-6 months, and
Slide 32: Loss on valuation of assets due to exchange rate changes
Global Business: Provision of development support services utilizing cutting-edge technologies We posted a loss on the valuation of assets we own due to the changes in exchange rates, but we control the risk of exchange rate fluctuations related to the core business. (Almost unchanged from Q1) 2 mil
Slide 33: Appendix
Appendix 33
Slide 34: ESG: For sustainable growth of business, society, and client companies
ESG: For sustainable growth of business, society, and client companies Goals Concrete activities Related SDGs ・To make the electric power consumed at the head office 100% derived from E ・To reduce CO2 emissions renewable energy ・Investment in equipment of ・Global partnership subsidiaries in the Phil
Slide 35: Promotion of our group's socially meaningful business
Promotion of our group’s business that is socially meaningful Considering business and capital alliances with leading global companies for the second growth phase Training of young Asian IT Provision of solutions that are personnel and support for DX to beneficial to buyers, sellers, and solve the p
Slide 36: Promotion of the leverage strategy (second growth phase)
Promotion of the leverage strategy (the second growth phase) We will maximize the synergy between the existing business and M&A, with the aim of increasing new recurring/SaaS models. In response to the rapid change in the external environment, we will develop a new business model for global business
Slide 37: Corporate Profile
Corporate Profile ■Corporate name: Ubicom Holdings, Inc. (Prime Market of TSE: 3937) ■Strategic markets: healthcare, finance, public services, automobiles, manufacturing, robotics, etc. ■Business description: Global Business In order to solve the problem of shortage of IT personnel and promote digit
Slide 38: Cautionary Note Regarding Forward-Looking Statements
Cautionary Note Regarding Forward-Looking Statements The materials and information provided in this announcement include forward-looking statements based on our current estimates and expectations at this point in time. Such forward-looking statements are subject to various risks and uncertaintie
Slide 39: Ubicom Holdings Business
Ubicom Holdings Business © Ubicom Holdings, Inc. 39