Broadmedia Corporation · TSE:4347
Broadmedia — H1 FY2018 Earnings Presentation
37 slides from Broadmedia's earnings presentation, Nov 1, 2018
Slide 1: Summary of Financial Results for the First Half of the Fiscal Year Ending March 31, 2019
Summary of Financial Results for the First Half of the Fiscal Year Ending March 31, 2019 Broadmedia Corporation November 1, 2018 The statements contained here indicate the Company’s current plans, expectations, strategies, and beliefs. Any statements that are not historical facts are forward-looking
Slide 2: Handling of fictitious transactions suffered by Fishing Vision
Handling of fictitious transactions suffered by Fishing Vision Financial Summary for the First Half of FY2018 Topics 【Reference Documents】 ・ Results by Business Segment 2 © 2018 Broadmedia Corporation. All Rights Reserved.
Slide 3: Damages from Fictitious Transactions Suffered by Fishing Vision
Damages from Fictitious Transactions Suffered by Fishing Vision Discovered fictitious Damage amount 543 million yen January 2018 transactions Associated expenses appro. 200 million yen From January Investigation by the Internal Investigation to June, 2018 Committee and Third-Party Committee ⇒ The ma
Slide 4: Status of Response to Damages
Status of Response to Damages ⇒ Submitted documents necessary for criminal Criminal complaint. Police and prosecutors are procedure investigating. Civil ⇒ Ongoing court procedures are individual procedure （ Recovery by demand negotiations. for damages ） ⇒ ”Amendment of Tax Declaration” for FY2012 wa
Slide 5: Financial Summary for the First Half of FY2018
Handling of fictitious transactions suffered by Fishing Vision Financial Summary for the First Half of FY2018 Topics 【Reference Documents】 ・ Results by Business Segment 5 © 2018 Broadmedia Corporation. All Rights Reserved.
Slide 6: Consolidated Financial Results for the First Half (April – September)
Consolidated Financial Results for the First Half (April – September) (Unit：Million yen) FY2017 FY2018 Rate of Difference difference 1H 1H Revenue 5,159 5,509 350 7% Operating income (2) (97) (95) - Ordinary income (15) (83) (68) - Net income 0 (165) (166) - (Amounts are rounded down to the nearest
Slide 7: Consolidated Financial Results by Business Segment
Consolidated Financial Results by Business Segment (Unit：Million yen) (Amounts are rounded down to the nearest million yen) Revenue Operating income FY2017 FY2018 FY2017 FY2018 Difference Difference 1H 1H 1H 1H Content 1,020 1,112 91 (37) (40) (2) Broadcast 1,492 1,451 (40) 58 75 17 Studio 1,178 1,1
Slide 8: Consolidated Financial Results by Business Segment
Consolidated Financial Results by Business Segment (Unit：Million yen) (Amounts are rounded down to the nearest million yen) Revenue Operating income FY2017 FY2018 FY2017 FY2018 Difference Difference 1H 1H 1H 1H Content 1,020 1,112 91 (37) (40) (2) Broadcast 1,492 1,451 (40) 58 75 17 Studio 1,178 1,1
Slide 9: Consolidated Financial Results by Business Segment
Consolidated Financial Results by Business Segment (Unit：Million yen) (Amounts are rounded down to the nearest million yen) Revenue Operating income FY2017 FY2018 FY2017 FY2018 Difference Difference 1H 1H 1H 1H Content 1,020 1,112 91 (37) (40) (2) Broadcast 1,492 1,451 (40) 58 75 17 Studio 1,178 1,1
Slide 10: Consolidated Financial Results by Business Segment
Consolidated Financial Results by Business Segment (Unit：Million yen) (Amounts are rounded down to the nearest million yen) Revenue Operating income FY2017 FY2018 FY2017 FY2018 Difference Difference 1H 1H 1H 1H Content 1,020 1,112 91 (37) (40) (2) Broadcast 1,492 1,451 (40) 58 75 17 Studio 1,178 1,1
Slide 11: Consolidated Financial Results by Business Segment
Consolidated Financial Results by Business Segment (Unit：Million yen) (Amounts are rounded down to the nearest million yen) Revenue Operating income FY2017 FY2018 FY2017 FY2018 Difference Difference 1H 1H 1H 1H Content 1,020 1,112 91 (37) (40) (2) Broadcast 1,492 1,451 (40) 58 75 17 Studio 1,178 1,1
Slide 12: Consolidated Financial Results by Business Segment
Consolidated Financial Results by Business Segment (Unit：Million yen) (Amounts are rounded down to the nearest million yen) Revenue Operating income FY2017 FY2018 FY2017 FY2018 Difference Difference 1H 1H 1H 1H Content 1,020 1,112 91 (37) (40) (2) Broadcast 1,492 1,451 (40) 58 75 17 Studio 1,178 1,1
Slide 13: Consolidated Financial Results by Business Segment
Consolidated Financial Results by Business Segment (Unit：Million yen) (Amounts are rounded down to the nearest million yen) Revenue Operating income FY2017 FY2018 FY2017 FY2018 Difference Difference 1H 1H 1H 1H Content 1,020 1,112 91 (37) (40) (2) Broadcast 1,492 1,451 (40) 58 75 17 Studio 1,178 1,1
Slide 14: Consolidated Financial Position
Consolidated Financial Position Condition of assets, liabilities, （Unit : Million yen) and net assets FY2018 Rate of FY2017 Difference 1H difference Total assets 6,535 6,595 60 1% Liabilities 3,859 4,065 206 5% Net assets 2,675 2,529 (146) (5%) Shareholders’ equity 2,187 2,014 (172) (8%) Stock acqui
Slide 15: Consolidated Financial Position: Cash Flow
Consolidated Financial Position Condition of Cash flow FY2017 FY2018 1H 1H Operating cash flow (421) (278) Investing cash flow (125) (43) Financing cash flow (58) 42 Changes in cash and cash equivalents (601) (278) Year-end balance of cash and cash equivalents 1,702 1,337 (Unit：Million yen) (Amounts
Slide 16: Consolidated Financial Forecasts and Shareholder Returns
Consolidated Financial Forecasts and Shareholder Returns Financial Forecasts for FY2018 (Unit：Million yen) (Amounts are rounded down to the nearest million yen) Forecasts for FY2018 Achievement full-year 1H ratio financial results (*) Revenue 5,509 11,700 47% Operating income (97) 50 ー Ordinary inco
Slide 17: Topics
Handling of fictitious transactions suffered by Fishing Vision Financial Summary for the First Half of FY2018 Topics 【Reference Documents】 ・ Results by Business Segment 17 © 2018 Broadmedia Corporation. All Rights Reserved.
Slide 18: Technology Service
Technology Service October 2018 Start of provision of “Broadmedia® CDN Stork,” a high-speed delivery system of large files for production companies, post- production and broadcast stations Adopted by Nippon Television Network Corporation. Compatible with “IMF Format” that is expected to be the n
Slide 19: Network Sales (Expansion of business area)
Network Sales (Expansion of business area) Structural reforms of Network Sales The current presiding business of affiliated agents grows at a sluggish pace. Seek a new business model with the aim for future growth. Commence a telemarketing business of communications products. ⇒Establish a join
Slide 20: Educational Services
Educational Services September 2018 Acquisition of the license of “Street Fighter V Arcade Edition,” a match-type fighting game of CAPCOM Co., Ltd., as a training aid of “e-Sports Course” at Renaissance Osaka High School 20 © 2018 Broadmedia Corporation. All Rights Reserved.
Slide 21: Theatrical Distribution
Theatrical Distribution Film “Koi no Shizuku (For Love’s Sake),” a moving story about the brewing of rare sake and love in which Rina Kawaei appeared in her first staring role, is to be released progressively at theaters nationwide including Marunouchi TOEI from October 20 (Sat), 2018. 21 © 2018 Bro
Slide 22: Content: The Pocket Company upcoming releases for Nintendo Switch
Content Broadmedia’s investee The Pocket Company announces upcoming releases of packaged software for Nintendo SwitchTM ! “Overcooked(R) 2 Packaged “Kato Hifumi Kudan Kanshu Edition” to be released on Hifumin No Shogi Dojo” to November 29, 2018. be released on December *Released by Team17 and sold b
Slide 23: Enhancing governance and compliance, taking on new challenges
We enhance governance throughout the company and our compliance system, working to achieve our group’s sustainable growth and improve its corporate value. We aim to increase profit by taking on new challenges and creating opportunities to earn further profit in each segment. 23 © 2018 Broadmedia
Slide 24: Thank you for your attention.
Thank you for your attention. The statements contained here indicate the Company’s current plans, expectations, strategies, and beliefs. Any statements that are not historical facts are forward-looking statements regarding future business performance. This document contains forecasts determined by t
Slide 25: Reference Documents: Results by Business Segment
Handling of fictitious transactions suffered by Fishing Vision Financial Summary for the First Half of FY2018 Topics 【Reference Documents】 ・ Results by Business Segment 25 © 2018 Broadmedia Corporation. All Rights Reserved.
Slide 26: Consolidated Financial Results by Business Segment – Content –
Consolidated Financial Results by Business Segment – Content – Revenue Operating income FY2017 FY2018 FY2017 FY2018 Difference Difference 1H 1H 1H 1H Content 1,020 1,112 91 (37) (40) (2) (Unit：Million yen) (Amounts are rounded down to the nearest million yen) In the segment as a whole, revenue incre
Slide 27: Consolidated Financial Results by Business Segment – Broadcast –
Consolidated Financial Results by Business Segment – Broadcast – Revenue Operating income FY2017 FY2018 FY2017 FY2018 1H 1H Difference 1H 1H Difference Broadcast 1,492 1,451 (40) 58 75 17 (Unit：Million yen) (Amounts are rounded down to the nearest million yen) Revenue declined but operating income i
Slide 28: Consolidated Financial Results by Business Segment – Studio –
Consolidated Financial Results by Business Segment – Studio – Revenue Operating income FY2017 FY2018 FY2017 FY2018 1H 1H Difference 1H 1H Difference Studio 1,178 1,127 (50) 12 (15) (28) (Unit：Million yen) (Amounts are rounded down to the nearest million yen) Sales of programs to TV stations steadily
Slide 29: Consolidated Financial Results by Business Segment – Technology –
Consolidated Financial Results by Business Segment – Technology – Revenue Operating income FY2017 FY2018 FY2017 FY2018 1H 1H Difference 1H 1H Difference Technology 1,108 1,265 156 188 212 24 (Unit：Million yen) (Amounts are rounded down to the nearest million yen) Both revenue and operating income in
Slide 30: Consolidated Financial Results by Business Segment – Network Sales –
Consolidated Financial Results by Business Segment – Network Sales – Revenue Operating income FY2017 FY2018 FY2017 FY2018 Difference Difference 1H 1H 1H 1H Network Sales 359 552 192 (11) 22 34 (Unit：Million yen) (Amounts are rounded down to the nearest million yen) Both revenue and income increased
Slide 31: Consolidated Financial Results by Business Segment – Corporate expenses –
Consolidated Financial Results by Business Segment – Corporate expenses – Operating income FY2017 FY2018 1H 1H Difference Corporate (211) (352) (140) expenses (Unit：Million yen) (Amounts are rounded down to the nearest million yen) The results reflect the temporary expenses (around 150 million yen)
Slide 32: Financing
Financing Issuance of unsecured bonds (bank-guaranteed private placement bonds) First series of Broadmedia Corporation unsecured bonds Name (guaranteed by Resona Bank, Ltd. and limited for qualified institutional investors) Underwriter Resona Bank, Ltd. Total amount of ２５０ million yen issuance Date
Slide 33: Educational Services: Alliance with Slim Beauty House Academy
Educational Services October 26, 2018 Alliance of Renaissance High School Group with Slim Beauty House Academy Students who long to be aestheticians can aim for success at various stages as beauty professionals after 33 they graduate form the high school. © 2018 Broadmedia Corporation. All Rights Re
Slide 34: Preventive Measures Stated in the Improvement Report
Preventive Measures Stated in the Improvement Report (1) Thorough establishment of relationships with business partners (2) Strict credit management / risk management (3) Review of the organization and delinking between the administrative division and the sales division at Fishing Vision (4) Streaml
Slide 35: Preventive Measures Stated in the Improvement Report
Preventive Measures Stated in the Improvement Report (6) Implement thorough compliance training (7) Parent company’s involvement in a ringi (approval) process, etc. (8) Enhance cooperation between Fishing Vision and the administrative division of the Company (9) Strengthen the internal audit of the
Slide 36: Corporate Philosophy
Corporate Philosophy We aim to contribute to the development of a more affluent community through the dissemination of high quality products and services that are derived from creativity. 36 © 2018 Broadmedia Corporation. All Rights Reserved.
Slide 37: http://www.broadmedia.co.jp/
http://www.broadmedia.co.jp/ The statements contained here indicate the Company’s current plans, expectations, strategies, and beliefs. Any statements that are not historical facts are forward-looking statements regarding future business performance. This document contains forecasts determined by th