Cyberagent Incorporated · TSE:4751

Cyberagent — Q3 FY2006 Earnings Presentation

54 slides from Cyberagent's earnings presentation, October 2006

  1. Slide 1: Q3 results presentation

    2006 9 3 2006 4 6 http://www.cyberagent.co.jp/ 4751

  2. Slide 2: Ameba

    Ameba PL 1

  3. Slide 3: Results overview

    ᣵፀขአകᛵ 3 2006 4 6 2

  4. Slide 4: Ameba No.1 position

    ᣵፀขአകᛵ 3 2006 4 6 28% Ameba 23 135 229 NO.1 Ameba PV 3

  5. Slide 5: Quarterly sales trend

    ᣵፀขአകᛵ 28.3% 15,000 14,580 13,857 13,275 28.3% 13,213 12,000 11,360 10,118 8,582 9,000 7,873 7,103 6,334 6,000 5,416 3,000 0 2004 2005 2006 2004 2005 2006 2004 2005 2006 2004 2005 2006 1Q (10 - 12 ) 2Q (1 -3 ) 3Q (4 -6 ) 4Q (7 -9 ) 2004 2005 2006 4

  6. Slide 6: Quarterly operating profit

    ᣵፀขአകᛵ Ameba 1Q 2Q 3Q 1,500 1,500 1,500 1,500 1,108 1,077 1,170 0.4 1,000 249 1,000 1,000 262 1,107 828 908 1,270 500 604 500 612 500 615 1,200 0 0 0 -555 -473 -496 -500 -500 -500 900 Ameba Ameba Ameba 604 612 628 615 600 482 506 472 409 363 300 247 0 2004 2005 2006 2004 2005 2006 2004 2005 2006 200

  7. Slide 7: Quarterly sales and margin trend

    ᣵፀขአകᛵ % 15,000 14,580 13,857 327 13,213 13,275 28 314 60.0 1,053 12,000 11,360 547 50.0 10,118 43.4 44.1 43.4 42.7 42.7 41.2 41.5 41.5 42.2 41.2 41.7 9,000 39.2 39.6 39.4 35.9 37.8 40.0 7,873 8,582 36.7 7,103 6,334 30.0 6,000 5,416 4,735 3,984 4,173 20.0 3,041 3,067 3,309 3,000 10.0 1,270 482 472 5

  8. Slide 8: Gross profit and SG&A trend

    ᣵፀขአകᛵ % 60.0 4,889 5,000 4,622 4,309 4,479 4,090 4,000 3,695 50.0 3,292 2,875 3,000 2,558 2,266 2,026 1,662 1,834 2,000 40.0 38.4 39.8 38.7 36.5 36.0 37.4 1,000 35.8 36.0 36.5 34.8 32.3 33.5 32.6 30.0 0 03/ 03/ 03/ 04/ 04/ 04/ 04/ 05/ 05/ 05/ 05/ 06/ 06/ 04-06 07-09 10-12 01-03 04-06 07-09 10-12 01

  9. Slide 9: Quarterly cost trends

    ᣵፀขአകᛵ 23 135 229 154 62 7 1,464 1,500 1,228 1,212 1,235 1,200 1,171 4.8% 1,040 8.8% 900 23.7% 900 799 734 15.5% 609 600 548 484 495 24.9% 300 14.5% 7.8% 0 03/ 03/ 03/ 04/ 04/ 04/ 04/ 05/ 05/ 05/ 05/ 06/ 06/ 4-6 7-9 10-12 1-3 4-6 7-9 10-12 1-3 4-6 7-9 10-12 1-3 4-6 2003 9 2004 9 2005 9 2006 9 314 31

  10. Slide 10: Consolidated P&L

    ᣵፀขአകᛵ 2 006 9 3 :PL 2006 4-6 2005 4-6 14,580 11,360 28.3% 5,504 4,718 16.7% 37.8 % 41.5% -3.7points 4,889 4,090 19.5% 33.5 % 36.0% -2.5points 615 628 -2.1% 4.2 % 5.5% -1.3points 427 635 -32.8% 186 454 -59.0 - 239 132 -281.1% 179 190 9

  11. Slide 11: Consolidated balance sheet

    ᣵፀขአകᛵ 2 006 9 3 :B S 2006 6 2006 3 34,448 34,327 0.4 % 18,713 18,208 2.8 % 10,327 9,112 13.3 % 44,776 43,439 3.1 % 13,839 13,145 5.3 % 295 315 - 6.3 % 30,640 29,979 2.2 % 585 2006 3 2006 9 10 9

  12. Slide 12: Cash flow

    ᣵፀขአകᛵ 2 006 9 3 :C F 2006 4-6 2006 1-3 CF 883 571 CF - 1,347 - 647 CF 187 4,963 -153 4,887 18,013 18,167 529 757 11

  13. Slide 13: Share and shareholder information

    ᣵፀขአകᛵ 2 006 9 2 00 5 10 2006 9 2006 1 19 2006 1 19 60,000 4,000 4,000 4,500 2005 9 43,273 2,651 2,700 2,487 38.7% 50.9% 48.1% 80.9% 2005 11 10 0 900.00 658,988 2005 11 18 2006 6 30 12

  14. Slide 14: Investment business

    ੵ៾ᑎ਽̜ഈ 13 28 37

  15. Slide 15: Investment development business overview

    ੵ៾ᑎ਽̜ഈ ੵ៾ᑎ਽̜ഈ᥂ VC ǽǽǽǽǽǽǽǽǽǽǽǽǽǽǽǽǽǽ 4/3 14

  16. Slide 16: Investment business results

    ੵ៾ᑎ਽̜ഈ 1,200 1,127 800 543 400 333 336 47 31 11 0 04/10-12 05/1-3 05/4-6 05/7-9 05/10-12 06/1-3 06/4-6 2005 9 2006 9 532 1,088 308 0 316 47 11 11 39 25 31 20 47 11 431 1,071 289 31 306 1 2 15

  17. Slide 17: SNS and investment results

    ੵ៾ᑎ਽̜ഈ 20% 4,000 3,796 2,041 3,568 6 34 1,912 3,000 2006 7 1999 6 3 ‫ ޓޓ‬SNS 2001 11 13 2,000 2001 2 9 1,536 1,755 280 1,656 2001 8 1 1,256 1,000 821.7 2001 10 1 504.2 430.4 2001 5 24 133.8 0 2001 10 4 2004 2005 2005 2005 2005 2006 2006 12 3 6 9 12 3 6 + = 2002 2 1 16

  18. Slide 18: Advertising business

    ࢿ֖͍ျ̜ഈ 17 27

  19. Slide 19: Advertising business overview

    ࢿ֖͍ျ̜ഈ ࢿ֖͍ျ ȰɁͅ ࢿ֖͍ျ̜ഈ 4/17 5/16 ʫʑ᷅ɬ̜ഈ ੵ៾ᑎ਽̜ഈ 18

  20. Slide 20: Advertising sales by quarter

    ࢿ֖͍ျ̜ഈ 23.5% 05 3Q 29.8% 06/3Q 2004 500 8,000 7,756 55.1% Ⴧ 7,134 6,151 6,000 5,882 5,001 4,783 4,002 4,000 3,579 3,220 2,916 2,263 2,000 0 2004 2005 2006 2004 2005 2006 2004 2005 2006 2004 2005 2006 1Q (10 - 12 ) 2Q (1 -3 ) 3Q (4 -6 ) 4Q (7 -9 ) 2,209 3,806 5,531 2,815 4,556 6,512 3,083 4,730 6,894

  21. Slide 21: Yahoo! related advertising sales

    ࢿ֖͍ျ̜ഈ Yahoo! 8,000 6,894 6,512 45.8% Ⴧ 6,000 5,531 5,389 4,556 4,730 4,000 3,806 3,414 3,083 2,815 2,209 2,000 0 2004 2005 2006 2004 2005 2006 2004 2005 2006 2004 2005 2006 1Q (10 - 12 ) 2Q (1 -3 ) 3Q (4 -6 ) 4Q (7 -9 ) 688 1,283 1,679 939 1,664 1,874 1,017 1,537 2,141 1,142 1,652 309 1,081 1,756 5

  22. Slide 22: Advertising share trend

    ࢿ֖͍ျ̜ഈ 32 60 180 166 145 145 50.9 50 150 136 42.2 128 40.5 41.5 40.7 40 37.1 37.9 108 37.2 120 31.5 98 94 32.6 30.2 90 29.5 30 27.4 90 75 76 69 66 20 60 10 30 0 0 03/ 03/ 03/ 04/ 04/ 04/ 04/ 05/ 05/ 05/ 05/ 06/ 06/ 4-6 7-9 10-12 1-3 4-6 7-9 10-12 1-3 4-6 7-9 10-12 1-3 4-6 2003 9 2004 9 2005 9 2006 9

  23. Slide 23: CyberAgent

    & CyberAgent

  24. Slide 24: Media business overview

    ʫʑɭɬ̜ഈ EC EC MicroAd CA ʫʑ᷅ɬ̜ഈ EC 4/3 cybozu.net 7/3 4/3 23

  25. Slide 25: Media business sales

    ʫʑɭɬ̜ഈ 10,000 16.7% 8,266 8,206 8,139 8,000 7,784 7,085 6,719 6,000 5,596 19.9% 5,238 4,713 4,300 4,000 3,896 11.9% 2,000 0 2004 2005 2006 2004 2005 2006 2004 2005 2006 2004 2005 2006 1Q (10 - 12 ) 2Q (1 -3 ) 3Q (4 -6 ) 4Q (7 -9 ) EC 1,995 3,142 5,173 2,289 3,556 5,004 2,637 4,242 5,085 3,009 4,752

  26. Slide 26: EC and mobile media sales

    ʫʑɭɬ̜ഈ ECᴥ᫖‫ ף ފ‬՘ ऀ ᴦۨ ˨ ᯚ 19.9% 5,085 48.3% 1,189 6,000 5,173 19.9% Ⴧ 5,085 5,004 4,752 4,500 4,242 3,556 3,142 3,009 3,000 2,638 2,289 1,994 1,500 0 2004 2005 2006 2004 2005 2006 2004 2005 2006 2004 2005 2006 1Q (10 - 12 ) 2Q (1 -3 ) 3Q (4 -6 ) 4Q (7 -9 ) 1,199 1,673 2,652 1,301 1,876 2,591 1,370

  27. Slide 27: Mobile and game media

    ʫʑɭɬ̜ഈ EC 350 334 10 1,800 5 8 1,530 1,500 1 6 1,350 274 8 280 1,160 550 1,200 510 970 900 460 790 400 610 600 350 218 440 300 980 210 700 840 @games 300 240 570 http://www.atgames.jp/ 440 200 310 0 2004 2005 2006 2007 2008 2009 2010 PC IT 2006 140 150 82 70 40 26 70 7,000 0 2005/ 2005/ 2005/ 2005/

  28. Slide 28: PC media sales

    ʫʑɭɬ̜ഈ - PC(WEB) - 4,000 11.9% 3,033 3,163 3,135 3,181 2,843 3,032 3,000 2,453 2,229 2,011 2,075 2,000 1,901 1,000 0 2004 2005 2006 2004 2005 2006 2004 2005 2006 2004 2005 2006 1Q (10 - 12 ) 2Q (1 -3 ) 3Q (4 -6 ) 4Q (7 -9 ) PC 476 736 220 587 689 202 578 513 151 680 378 PC 78 158 949 106 404 957 108

  29. Slide 29: Ameba PV and MicroAd trends

    ʫʑɭɬ̜ഈ PC ( Web ) Ameba Ameba PV 140,000 PV 40,000 06 3Q 322 36,942 54.2% 33,164 33,833 122,884 31,199 120,000 30,000 114,740 25,429 25,360 06 2Q 209 41.2% 20,939 20,000 100,000 12,798 9,319 84,887 10,000 80,000 77,408 70,393 0 2005/ 2005/ 2005/ 2006/ 2006/ 2006/ 2006/ 2006/ 2006/ 61,287 10 11 12 1

  30. Slide 30: MicroAd and BlogClick

    ʫʑɭɬ̜ഈ (1 ) 2006 5 BlogClick MicroAd MicroAd SNS RSS Web2.0 Ԙ Ԙ ԙ ԙ 29

  31. Slide 31: Ameba blog initiatives

    ʫʑɭɬ̜ഈ (2) No.1 80 5 1 http://ameblo.jp/ragent-samurai ANA Ameba 30

  32. Slide 32: Ameba strategy

    ˹ᩋఙȾտȤȹ Ameba 31 36

  33. Slide 33: Web2.0 and CGM

    ˹ᩋఙȾտȤȹ Web2.0 CGM Web2.0 Long Tail 32

  34. Slide 34: Web2.0 user trends

    ˹ᩋఙȾտȤȹ 1 2 Web2.0 ɮʽʉ˂ʗʍʒпͶȾԬɔɞWeb2.0 ʫʑɭɬɁҟႊ஽ᩖ 2,000 2:00 14.0% 2,013 13.33% 1,500 1:47 2ς 13.0% 1,000 1,157 1:30 12.0% 1:21 500 11.0% 189 SNS 10.35% 31 0 1:00 10.0% 2004 2005 2004 ᐕ 9 ᦬ 2005 ᐕ 9 ᦬ ×åâ²®° Web2.0 2006 4 2006 2005 11 ఌ Web 2006 4 2006 83.1% Web2.0 ×åâ²®° 4.40% 12.50% 50.30% 32.80% 8

  35. Slide 35: Blog and Web usage

    ˹ᩋఙȾտȤȹ Web 2006 98.6% ¨2006 4 2006© 868 2006 3 Ameba 123 2006 7 34

  36. Slide 36: Web2.0 site page views

    ˹ᩋఙȾտȤȹ 4 10 60 ʠʷɺҟႊᐐୣ % % 4,000 100 70 64.9 3,455 59.5 60 57.3 56.1 55.4 3,000 75 51.8 50 48.4 2,539 45.7 45.5 42.3 40.7 40 35.0 2,000 50 1,651 40.9% 30 30.9% 20.6% 25 20 1,000 10 0 0 0 2005 3 2006 3 2007 3 10 20 30 40 50 60 2005 5 2006 4 2006 ɬʫʴɵɁ Web2.0ʫʑɭɬ ఌᩖ PV ୣʳʽɷʽɺ 1 Yahoo! ʧ˂ʉʵ 320 И ȈMyS

  37. Slide 37: Ameba blog PV trend

    ˹ᩋఙȾտȤȹ No.1 2006 12 10 PV PV Amebaࡉࡠࠣ PVផ⒖ 10 PV 1,000 1 Yahoo! 1,000 2006 12 2 Rakuten 10 PV 3 mixi 500 4 Google 5 MSN 2006 7 440 4.4 PV 400 6 Ameba 400 381 348 351 313 301 300 291 287 286 260 224 200 172 12 Ameba 138 107 100 95 71 68 45 48 30 9 0 10 11 12 1 2 3 4 5 6 7 8 9 10 11 12 1 2 3 4 5 6 7

  38. Slide 38: Ameba No.1 initiatives timeline

    ˹ᩋఙȾտȤȹ No.1 06 4 13 AmebaVision 06 6 07 CyberBuzz 06 7 05 Ameba 06 7 05 BLOPPA! 06 7 10 Ameba 06 7 13 AmebaVision 06 8 01 Ameba 06 9 Amazon A8.net 6 06 9 Ameba Ameba 06 10 37

  39. Slide 39: AmebaVision video service

    ˹ᩋఙȾտȤȹ (1) 123 2005 7 13 2006 8 Web AmebaVision http://vision.ameba.jp/ YouTube YouTube http://youtube.com 2006 1 2006 6 490 1,960 297% 1 1,760 7 2,400 515% 17 28 64% Nielsen//NetRatings 38

  40. Slide 40: BLOPPA!

    ˹ᩋఙȾտȤȹ (2) 2006 3 1 7 5 http://bloppa.ameba.jp/ BLOPPA! 12 DOROBO 39

  41. Slide 41: Store Factory

    ˹ᩋఙȾտȤȹ (3) 2006 7 3 http://www.storefactory.co.jp/ HP SHOP SHOP SHOP SHOP SHOP & 9,980 5,000 4,980 9,980 9,980 1 40

  42. Slide 42: CyberBuzz

    ˹ᩋఙȾտȤȹ (4) 2006 4 3 http://www.cyberbuzz.co.jp/ 2007 9 5,000 PV PV 1 ‫ڎ‬ 500 2 ‫ڎڎ‬ 501 1,000 PV 3 ‫ڎڎڎ‬ 1,001 3,000 4 ‫ڎڎڎڎ‬ 3,001 5,000 5 ‫ڎڎڎڎڎ‬ 5,001 6 premium BuzzTrack 41

  43. Slide 43: AmebaVision progress

    ˹ᩋఙȾտȤȹ 7,948 AmebaVision 1 2,539 2006 7 13 2006 10 Ameba A8 6 2006 7 11 1 120 2006 7 5 BLOPPA! Ameba 2006 8 1 2006 7 5 16 42

  44. Slide 44: AmebaVision No.1

    ˹ᩋఙȾտȤȹ 7,948 AmebaVision 1 2,539 2006 7 13 2006 10 Ameba A8 6 2006 7 11 1 2006 7 5 BLOPPA! Ameba 2006 8 1 2006 7 5 16 NO.1 43

  45. Slide 45: Vision

    RAC lt TH | VISION & CyberAgent 21 CyberAgent

  46. Slide 46: Mission Statement

    ˹ᩋఙȾտȤȹ 21 MissionStatement. 45

  47. Slide 47: Appendix: P&L

    SEZANO PL & CyberAgent

  48. Slide 48: Quarterly P&L comparison

    Վᐎ៾୳ḧ 2 006 9 3 :PL 2006 4-6 2006 1-3 14,580 13,857 5.2% 5,504 5,092 8.1% 37.8 % 36.7 % 1.1points 4,889 4,479 9.2% 33.5 % 32.3 % 1.2points 615 612 0.5% 4.2 % 4.4 % -0.2points 427 626 -31.8% 186 2,763 -93.3% - 239 2,292 -110.4% 179 190 47

  49. Slide 49: CAJJ

    Վᐎ៾୳Ḩ CAJJ 48

  50. Slide 50: CAJJ structure

    Վᐎ៾୳Ḩ C A JJ & C AJJ J1 2006 6 3 6 1,500 J2 3 6 6,000 6 J1 500 3000 6 J2 J1 J3 3 3 J2 3 3 49

  51. Slide 51: CAJJ group reorganization

    Վᐎ៾୳Ḩ C A JJ J1 1 2 MicroAd 3 4 5 CA 6 7 EC 8 9 10 11 12 13 14 7/1 J1 J2 1 ( ) CGM 7/16 J2 2 cybozu.net J3 1 2 3 4 5 6 7 8 9 2006 7 50

  52. Slide 52: Share information

    Վᐎ៾୳Ḩ 4751 12 1 21 3 20 14 4 3 12 13 2 9 199 8 3 18 67 830 6,584 2006 6 1,4 6 4 2006 6 27. 8 2006 6 432 2005 9 51

  53. Slide 53: Internet media business model

    Վᐎ៾୳Ḩ Client Internet Media Internet Advertising Agency User Ameba Web2.0 EC IPO 52

  54. Slide 54: Peer companies

    Վᐎ៾୳Ḩ 4689 4788 4324 4281 2433 2389 4755 4293 53

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