Fibergate, Inc. · TSE:9450
Fibergate — FY2022 Earnings Presentation
29 slides from Fibergate's earnings presentation, 2022
Slide 1: Financial Results Briefing for FY2022
Fibergate Inc. Financial Results Briefing for FY2022 Listing exchange: First Section of the Tokyo Stock Exchange, Sapporo Securities Exchange Securities code: 9450 ©Fibergate Inc. All rights reserved.
Slide 2: Briefing Points
2 Briefing Points FY2022/6 results: 1 25% increase in sales and 4% increase in recurring profit ✓ Real estate business contributed to sales increase. Home-use business also maintained steady growth. Business use business is recovering, but sales will continue to decline for the full year. ✓ Both sal
Slide 3: Operating Results for the FY2022
Operating Results for the FY2022 ©Fibergate Inc. all rights reserved.
Slide 4: Overview of Consolidated Financial Results
4 Overview of Consolidated Financial Results ⚫ 25% YoY revenue growth and 4% recurring profit growth. The re-acceleration of revenue growth is largely due to the contribution of real estate company acquisitions. Home-use business also maintained steady growth due to an increase in residence contract
Slide 5: Summary of Consolidated Financial Results by Quarter
5 Summary of Consolidated Financial Results by Quarter ⚫ YoY in 4Q increased income and profit. Although the acquisition of a real estate company had a impact, the Home Use and Business Use businesses remained strong. However, the recurring profit margin declined. In addition to the real estate busi
Slide 6: Analysis of the key factors of recurring increases and decreases
6 Analysis of the key factors of recurring increases and decreases ⚫ The main reason for the increase in recurring profit was the effect of higher sales. The firmness of the Home Use business and the rise in real estate-related sales were the driving forces behind the increase. Despite the introduct
Slide 7: Real estate business
7 Real estate business ⚫ In April 2022, it newly acquired a real estate trading company and independently managed the real estate business as a new segment. Real estate sales accounted for more than 90% of sales in the current fiscal year ⚫ Strengthening the development of the real estate business l
Slide 8: Trends in Stock Income and Flow Income
8 Trends in Stock Income and Flow Income ⚫ Continuous expansion of stock revenue reached 16 quarters (=4 years) since listing. From 3Q of June 2018, it has grown at a pace of about 40% per year due to the accumulation of contracted units. However, the growth pace is gradually decelerating due to the
Slide 9: Trends in key figures
9 Trends in key figures ⚫ Residence Wi-Fi service-connected units totaled approximately 450,000 at the end of the fiscal year. Although the growth rate remains a driver of earnings, the pace of increase slowed somewhat, partly due to timing differences in opening due to the emergence of potential de
Slide 10: Consolidated Financial Results (Balance Sheet)
10 Consolidated Financial Results (Balance Sheet) ⚫ Equity ratio 25.1%. Key Points of Change in the Application of Revenue Recognition Standards and Consolidation of Real Estate Companies. ⚫ Real estate inventory for sale and associated liabilities increased due to consolidation of real estate compa
Slide 11: Cash Flow Trends
11 Cash Flow Trends ⚫ FCF in FY2022 was in the red at ¥330 million. Impact of business model in which acquisition of new customers leads to cash squeeze. ⚫ However, FCF achieved profitability in the second half of the fiscal year for the first time in seven half years, thanks to an increase in sales
Slide 12: Dividend Policy
12 Dividend Policy ⚫ The company plans to pay a dividend of ¥4.5 per share for FY2022. The company's basic dividend policy is to use the excess of the initial forecast for profits and as a source of funds until the fiscal year under review. There is no surplus in the initial forecast for the fiscal
Slide 13: Forecast for the Fiscal Year Ending June 2023
Forecast for the Fiscal Year Ending June 2023 ©Fibergate Inc. all rights reserved.
Slide 14: FY2023 Consolidated Financial Forecast ① Summary Table
14 FY2023 Consolidated Financial Forecast ① Summary Table ⚫ In FY6/2023, we forecast a 21% increase in sales and a 22% increase in ordinary profit. Although the growth rate slowed somewhat in the previous fiscal year, the Company's policy is to strengthen its aggressive stance toward re- acceleratio
Slide 15: FY2023 Consolidated Financial Forecast ② Analysis of Changes in Operating Income
15 FY2023 Consolidated Financial Forecast ② Analysis of Changes in Operating Income ⚫ Ordinary profit is forecast to increase by ¥360 million y-o-y. Prospects are for tractors to be the business use business, which will be a focus ⚫ In the Business Use Business, the company is focusing on tapping in
Slide 16: FY2023 Consolidated Financial Forecast ③ Major precondition values
16 FY2023 Consolidated Financial Forecast ③ Major precondition values ⚫ The assumption for the cumulative Wi-Fi of residential units contracted is set at 545,000 units, which is an increase of more than 90,000 units YoY. Despite concerns that demand for existing buildings will run its course, the co
Slide 17: FY2023 Consolidated Financial Forecast ④ Image by Quarter
17 FY2023 Consolidated Financial Forecast ④ Image by Quarter ⚫ For each quarter, almost the same pattern as in the previous year is assumed. Ordinary income is expected to be weighted toward the second half in FY2023. ⚫ In particular, 1Q, 4Q tends to be slightly adjusted due in part to seasonal fact
Slide 18: Medium-term Forecast
Medium-term Forecast ©Fibergate Inc. all rights reserved.
Slide 19: Awareness of the current situation
19 Awareness of the current situation ⚫ The business environment changed dramatically following the Corona crisis. 7 Weakness is occurring, but business opportunities are also expanding. ⚫ Rapidly updating sales approaches and rebuilding "winning patterns" to become an important management issue for
Slide 20: Mid-term Business Policy
20 Mid-term Business Policy In the future ➢ “Wi-Fi to all facilities” ➢ Realizing Alternative Career Plan Strengthening and Expanding Terminal Areas ➢ Focus on IoT and renewable energy Establish a new business pillar in the lifestyle infrastructure field, which is highly compatible with telecommunic
Slide 21: Medium-Term Performance Targets
21 Medium-Term Performance Targets ⚫ Targeting sales of ¥25 billion and ordinary income of ¥4.3 billion in FY2027. ⚫ As more important KPIs, ordinary income margin and sales growth rate are set. Our policy is to pursue high-value-added services that only we can offer and then expand our scale. Aim f
Slide 22: Medium-term Business Strategy①
22 Medium-term Business Strategy① Step1：Thoroughly strengthen the business use area Current status：Free Wi-Fi services were suspended at convenience stores, subways, and other facilities. We continue to struggle in terms of business performance. Observation that 5G penetration eliminates the need fo
Slide 23: Medium-term Business Strategy②
23 Medium-term Business Strategy② Step1：Thoroughly strengthen the business use area Breakdown of Our Business Use Customers ◼ Nearly all demand for spaces requiring "stay time" above a certain Education level Others Public /Traffic 3％ 2％ 1％ ◼ In facilities, cases of using information Medical and nur
Slide 24: Medium-term Business Strategy③
24 Medium-term Business Strategy③ "Winning pattern" comparison Home use business Business use business （2000-present） （2021-） Facilities used Existing small and medium-sized rental Tourism, Hospitals, Long-term Care Facilities, apartment buildings. and Public Institutions. Target Apartment owners. E
Slide 25: Medium-term Business Strategy④
25 Medium-term Business Strategy④ Step1：Thoroughly strengthen the business use area ◼ Demand development for hotels, hospitals, and nursing care facilities ・Hospital* Inclusion rate of wireless LAN for patients and visitors About 30% （33.5% in hospitals and 29.2% in bedridden clinics） ・Long-Term Car
Slide 26: Medium-term Business Strategy⑤
26 Medium-term Business Strategy⑤ Step2：Evolution of the home use field Present：Demand related to existing condominiums, which had been our main target in the past, is gradually saturated Communications environments alone are no longer appealing, and conventional approaches are at a turning point. O
Slide 27: Medium-term Business Strategy⑥
27 Medium-term Business Strategy⑥ Step2：Evolution of the home use field Provision of IoT system/satellite Providing integrated infrastructure communication Wi-Fi Acquisition of new renovation for communications, energy and projects to tap into demand lifestyles Real estate development, Provision of
Slide 28: TCFD
28 TCFD Support for TCFD proposals We endorsed the recommendations of the Climate-Related Financial Disclosure Task Force (TCFD), Joined TCFD Consortium*, which was established to discuss effective corporate disclosures and appropriate initiatives In addition to focusing on SDGs responses, we will a
Slide 29: Thank you for your attention.
29 Thank you for your attention. ＜ Forward-Looking Statements＞ The information contained in this document is based on several assumptions and does not constitute a commitment or guarantee to the realization of future planned figures or policies. Contact Information In charge of IR, Corporate Plannin