business results for 4q and full fiscal year …...©septeni holdings co.,ltd. all rights reserved....
TRANSCRIPT
Business Results for 4Q and Full Fiscal Year September 2015 November 5, 2015
SEPTENI HOLDINGS CO., LTD. https://www.septeni-holdings.co.jp/en/ Securities Code: 4293
©SEPTENI HOLDINGS CO.,LTD. ALL RIGHTS RESERVED.
Index 2
5.Policies for FY9/16 and Earnings Estimates for 1Q FY9/16
4. Full Year FY9/15 Review
6.Appendix
1. Quarterly Consolidated Earnings Overview
2. Internet Marketing Business
3. Media Content Business
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3
1. Quarterly Consolidated Earnings Overview
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4
Net Sales: ¥18,437mn(Up 31.8% year on year)
¥952mn(Up 71.4% year on year) Consolidated
results
Internet
Marketing
Business
Media
Content
Business
Operating income:
Net Sales: ¥17,738mn(Up 41.5% year on year)
¥1,183mn(Up 66.8% year on year) Operating income:
Net Sales: ¥780mn(Down 8.1% year on year)
Operating income: ¥-121mn(Down ¥25mn year on year)
4Q(Jul-Sep)Consolidated Earnings Highlights
Both net sales and operating income reached new record highs that were significantly higher than the previous records on a quarterly basis.
Business expanded significantly, and the upward trend of operating margin continued.
Prior investment in Manga Content Business continued.
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4Q FY9/15 4Q FY9/14
Value Share YY
Change Value Share
Net Sales 18,437 100.0% +31.8% 13,985 100.0%
Gross Income 3,310 18.0% +27.8% 2,589 18.5%
SG&A 2,357 12.8% +15.9% 2,033 14.5%
Operating Income
952 5.2% +71.4% 555 4.0%
Ordinary Income
1,120 6.1% +92.2% 582 4.2%
Net Income 450 2.4% +24.6% 361 2.6%
4Q FY9/15
Estimate
18,000
―
―
900
900
570
5
EBITDA 1,055 5.7% +67.5% 630 4.5%
(units:¥mn)
Consolidated Income Statement(Jul-Sep)
※ EBITDA = Operating Income + Depreciation and amortization + Amortization of goodwill
Expansion of Internet Marketing Business resulted in a sharp increase in sales,
exceeding 30%.
Operating income also grew sharply thanks to increased productivity, resulting in a
5.2% increase in operating margin.
Impairment of goodwill resulted in an extraordinary loss of ¥258 million.
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8,636 9,0669,970 9,980 10,441
11,044
12,64112,048 12,538
13,29914,615
15,910
17,7381,088
940
894 889990
873
855879
849
794
953
750
780
775912
718 696595
671
811715
668
0
2,000
4,000
6,000
8,000
10,000
12,000
14,000
16,000
18,000
4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q
2012/9期 2013/9期 2014/9期 2015/9期
6
15,495
10,478 10,891 11,566 11,552
11,971 12,532
14,246 13,580
13,985 14,026
(¥mn) 18,437
16,588
Quarterly Consolidated Earnings Trend
Net Sales (by Business Segment)
FY9/13 FY9/14 FY9/15 FY9/12
*Because the net sales of each business include inter-segment sales, the total net sales of each business do not match the consolidated net sales (underlined figures).
Internet Marketing Media Content Others (Direct Marketing ,etc.)
New record high was reached for three consecutive quarters.
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3.4%
2.7%
4.2%
2.8%
4.2% 5.5%
4.3%3.0%
4.0%
3.1%
4.0%
4.6%5.2%
432 423
567
443
581
793 682
554
709 691
830
981
1183
-44 -107
-34 -60 -16 -42 -35 -104 -95
-155 -118 -133 -121
27 39
44
41
35
36
60
50
39
-63
-65 -98
-101 -100
-105 -96
-90 -97
-105 -95 -92 -109
-300
0
300
600
900
1200
4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q
2012/9期 2013/9期 2014/9期 2015/9期
5.2%
7
616
290 351
479
323
682
499
611
410
429 555
(¥mn) 952
755
Quarterly Consolidated Earnings Trend
Operating Income (by Business Segment)
Adjustment (corporate expenses, etc.) Others(Direct Marketing ,etc.) Media Content Internet Marketing
FY9/12 FY9/13 FY9/14 FY9/15
New record high was reached for two consecutive quarters.
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1,281 1,327 1,2671,368 1,335 1,388 1,385
1,507 1,471 1,475 1,5361,644 1,659
3436
36
37 4032 32
3228 62
61
61 60560 523
419
448 440474 487
508 532566
586
590 637
0
500
1,000
1,500
2,000
4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q
2012/9期 2013/9期 2014/9期 2015/9期
8
2,048 2,033 2,103
1,887
1,722
1,854 1,817 1,895 1,905
2,357
1,877
(¥mn) 2,184
2,297
Quarterly Consolidated Earnings Trend
SG&A
FY9/12 FY9/13 FY9/14 FY9/15
Labor costs Amortization of goodwill others
Labor, amortization of goodwill, office rent, etc. resulted in a year-on-year increase of ¥323 million.
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9
2. Internet Marketing Business
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4Q FY9/15 4Q FY9/14
Value Share YY Change Value Share
Net Sales 17,738 100.0% +41.5% 12,538 100.0%
Gross Income
3,049 17.2% +37.0% 2,225 17.8%
SG&A 1,865 10.5% +23.1% 1,515 12.1%
Operating Income
1,183 6.7% +66.8% 709 5.7%
10
(units:¥mn)
Internet Marketing Business Earnings Overview
Advertising by online service providers in Japan and overseas continued to increase.
Growth rate in net sales exceeded 40%, which together with net sales reached new record highs.
Gross income exceeded ¥3 billion and reached a new record high. Operating income also grew sharply thanks to increased productivity, resulting
in a 6.7% increase in operating margin.
Overseas sales continued to grow, whose share rose to 18.3% . Smartphone Advertising and the Social Media Business also steadily grew.
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11
(¥mn) (¥mn)
12,538 13,299
14,615
15,910
17,738
2,225 2,338 2,527 2,793 3,049
17.8% 17.6% 17.3% 17.6% 17.2%
5.0%
10.0%
15.0%
20.0%
25.0%
0
2,000
4,000
6,000
8,000
10,000
12,000
14,000
16,000
18,000
14/4Q 15/1Q 15/2Q 15/3Q 15/4Q
売上高 売上総利益 売上総利益率
709 691
830
981
1,183
5.7%
5.2%
5.7%
6.2%
6.7%
0.0%
2.0%
4.0%
6.0%
0
200
400
600
800
1,000
1,200
14/4Q 15/1Q 15/2Q 15/3Q 15/4Q
営業利益 営業利益率
Internet Marketing Business Quarterly Earnings Trend
Net Sales Gross Income
Operating Income
Net Sales Gross Margin Gross Income Operating
Income Operating Margin
Both net sales and gross income
reached new record highs.
Operating income hit a new record high. Operating margin steadily increased.
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6,7207,455
8,542
10,513
12,149
53.6%56.1% 58.5%
66.1%68.5%
1,000
2,000
3,000
4,000
5,000
6,000
7,000
8,000
9,000
10,000
11,000
12,000
14/4Q 15/1Q 15/2Q 15/3Q 15/4Q
ネットM事業における構成比
(¥mn)
12
68.5%
Key Business Focus (1) — Mobile
Smartphone Advertising Sales Trend
Main business media
Share of Internet
Marketing Business
Net sales from Smartphone Advertising rose approximately 1.8 times year on year.
High growth of native advertising, particularly that of Yahoo! Japan, continued.
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1,658
2,296 2,335
3,047
3,553
0
200
400
600
800
1,000
1,200
1,400
1,600
1,800
2,000
2,200
2,400
2,600
2,800
3,000
3,200
3,400
3,600
14/4Q 15/1Q 15/2Q 15/3Q 15/4Q
Ad
vertis
ers
Septeni Media
13
etc
Rose 2.1-fold
year on year
(¥mn)
Key Business Focus (2) — Social
Social Media Business Sales Trend Business Model
(Aggregate of sales in Facebook, Twitter, and LINE)
Advertising Sales
Social media advertising operation
optimization tool
Page Creation
Consigned Operations
In addition to distribution in Japan, Facebook advertising rose in overseas distribution and for the acquired Korean subsidiary.
Twitter advertising also remained firmly, and net sales in the Social Media
Business grew approximately 2.1 times year on year.
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14
Japan
Asia
(百万円)
London
Singapore
San Francisco
New York
Seoul
1,312
1,710
1,263
2,657
3,253
10.5%
12.9%
8.6%
16.7%
18.3%
0
300
600
900
1,200
1,500
1,800
2,100
2,400
2,700
3,000
3,300
14/4Q 15/1Q 15/2Q 15/3Q 15/4Q
ネットM事業における構成比
Overseas sales Trend Business model
Share of Internet
Marketing Business
(¥mn) Operating out of sales bases in five locations overseas with a cross-border trading system established for Internet advertising
United States and Europe
Key Business Focus (3) — Global
Sales rose 2.5 times year on year, with continuous growth in business for customers in
North America and Asia.
The New York branch was established (operation began in October 2015).
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15
3. Media Content Business
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4Q FY9/15 4Q FY9/14
Value Share YY Change Value Share
Net Sales 780 100.0% -8.1% 849 100.0%
Gross Income 327 42.0% +11.3% 294 34.7%
SG&A 448 57.5% +15.2% 389 45.9%
Operating Income
-121 -15.5% (-25) -95 -11.2%
16
(units:¥mn)
Media Content Business Earnings Overview
Net sales of the mobile game, KINGDOM –Eiyuno keifu–, remained strong.
Net sales and operating income in Axel Mark increased from the previous quarter.
The Manga Content Business promoted the commercialization of its own intellectual
property. Meanwhile, there was an operating loss associated with new businesses that
amounted to ¥144 million. This loss was the result of continued upfront investments in the
development of manga artists and the enhancement of the distribution service.
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1
-30
7 -1 28
-92
-120
-120 -125 -144
-4
-4
-5 -5
-5
-160
-120
-80
-40
0
40
14/4Q 15/1Q 15/2Q 15/3Q 15/4Q
既存事業 新規事業 連結調整
17
-118 -95 -155
(¥mn) (¥mn)
-133 849
794
953
750 780
294258
341327 327
34.7%
32.6%
35.8%
43.6%
42.0%
25%
30%
35%
40%
45%
0
200
400
600
800
1,000
14/4Q 15/1Q 15/2Q 15/3Q 15/4Q
売上高 売上総利益 売上総利益率
-121
Media Content Business Quarterly Earnings Trend
Net Sales, Gross Income Operating Income
Net Sales Gross Income Gross Margin Existing business
New business
Consolidation adjustment
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0
50
100
150
200
10月 1月 4月 7月 10月
2014年 2015年
18
198
© Min/ COMICSMART INC. 2015 © Kakio Tsurukawa/ COMICSMART INC. 2015
Manga Content Business Overview
(ten thousand DL)
Accumulated application
downloads of GANMA!
Apr Oct Jan July Oct
¥
The number of monthly page views for GANMA! topped 470 million
(October 2015).
Distribution of native advertising in the application, “GANMA! AD”
started.
Three new works, including LICHT, were published as books.
(October 2015)
広告
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19
4. Full Year FY9/15 Review
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Full Year FY9/15 Consolidated Earnings Highlights 20
Net Sales: ¥64,547mn(Up 18.8% year on year)
¥2,753mn(Up 21.9% year on year) Consolidated
results
Internet
Marketing
Business
Media
Content
Business
Operating income:
Net Sales: ¥61,563mn(Up 27.5% year on year)
¥3,686mn(Up 34.5% year on year) Operating income:
Net Sales: ¥3,278mn(Down 5.2% year on year)
Operating income: ¥-528mn(Down ¥251mn year on year)
Operating income set a new high for the fourth consecutive year.
Both business expansion and growth in profitability were maintained by focusing on growth segments.
Prior investment in Manga Content Business was increased.
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Consolidated Income Statement (Full Year)
FY9/15 FY9/14
Value Share YY Change Value Share
Net Sales 64,547 100.0% +18.8% 54,345 100.0%
Gross Income
11,696 18.1% +15.3% 10,141 18.7%
SG&A 8,942 13.9% +13.5% 7,882 14.5%
Operating Income
2,753 4.3% +21.9% 2,259 4.2%
Ordinary Income
3,118 4.8% +32.0% 2,362 4.4%
Net Income 2,398 3.7% +55.8% 1,549 2.9%
FY9/15 Estimate
64,110
―
―
2,701
2,897
2,518
21
EBITDA 3,158 4.9% +23.1% 2,566 4.7%
(units:¥mn)
The Internet Marketing Business was the driving force behind consolidated earnings, resulting in new record highs in all indicators for the fourth consecutive year.
Extraordinary income of ¥1,238 million, comprising primarily of the gain on the sale of a subsidiary’s shares for the sale of the Direct Marketing business, was posted.
A dividend increase is scheduled for the third consecutive year, thanks to the growth in net income. (Dividend to be increase to ¥14 per share)
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29,98533,599
39,458
48,271
61,5631,288
4,335
3,714
3,458
3,278
3,411
3,486
2,922
2,867
0
10,000
20,000
30,000
40,000
50,000
60,000
2011/9期 2012/9期 2013/9期 2014/9期 2015/9期
22 Full Year Consolidated Earnings Trend
(¥mn) 64,547
54,345
45,982
34,632
41,358
Net Sales (by Business Segment)
FY9/11 FY9/12 FY9/13 FY9/14 FY9/15
Internet Marketing Media Content Others (Direct Marketing ,etc.)
*Because the net sales of each business include inter-segment sales, the total net sales of each business do not match the consolidated net sales (underlined figures).
Net sales offset the loss on the disposal of the Direct Marketing business, helping to maintain a net sales growth rate consistent with the level from the previous year.
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1,020 1,396
2,016
2,740
3,686
-29
227
-219 -277 -528
171
154
160
186
-234 -250
-364 -390
-403 -1,000
0
1,000
2,000
3,000
2011/9期 2012/9期 2013/9期 2014/9期 2015/9期
2.7%
3.7%
3.5%
4.2%4.3%4.3%
23
(¥mn)
2,753
2,259
1,593
1,527
928
Adjustment (corporate expenses, etc.) Others(Direct Marketing ,etc.) Media Content Internet Marketing
FY9/11 FY9/12 FY9/13 FY9/14 FY9/15
Full Year Consolidated Earnings Trend
Operating Income (by Business Segment)
Operating income grew, offsetting the increase in the upfront investment in the Manga Content Business.
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429 677
1,207
1,549
2,398
7.4%
10.9%
17.2%18.5%
23.7%
0
1,000
2,000
2011/9期 2012/9期 2013/9期 2014/9期 2015/9期
当期純利益 ROE
24
ROE and Net Income
(¥mn) 23.4%
Full Year Consolidated Earnings Trend
FY9/11 FY9/12 FY9/13 FY9/14 FY9/15
Net income ROE
Both ROE and Net income rose significantly, owing partly to the extraordinary gain on the disposal of the Direct Marketing business.
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Internet Marketing Business Full-Year Review 25
Net Sales Operating Income
Value YY Change Value YY Change Operating
margin YY Change
61,563 +27.5% 3,686 +34.5% 6.0% +0.3pt
Earnings
Mobile
Social
Global
-High growth in the key businesses of “Mobile,” “Social,” and “Global” continued to drive growth in net sales.
- Operating income rose sharply thanks to increased productivity, driving up the operating margin for the fourth consecutive year to 6.0%.
- Net sales from Smartphone Advertising grew approximately 1.7 times year on year to ¥38.6 billion, with the share reached approximately 63%.
- An increased market share was driven by the native advertising segment.
- Net sales rose approximately 2.1 times year on year to ¥11.2 billion.
- In addition to Facebook advertising as the core segment, accelerated expansion of Twitter advertising contributed to the growth.
- Overseas sales increased approximately 2.2 times year on year to ¥8.8 billion, with the share
of overseas sales rising to approximately 14%.
- The volume of businesses in North America increased, and a Korean subsidiary was newly
consolidated.
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Media Content Business Full-Year Review 26
Net Sales Operating Income
Value YY Change Value YY Change Operating
Margin YY Change
3,278 -5.2% -528 (-251) -16.1% -8.1pt
Mobile Game Business
Manga Content Business
- Two native application game titles were released.
- While the sales of KINGDOM –Eiyuno keifu– remained strong, other titles struggled, resulting in a decrease in both the net sales and operating income of Axel Mark.
- The distribution platform is steadily growing larger.
Latest total number of downloads is 1,980,000, a year-on-year growth of 2.6 times, and the number of monthly page views has reached 470 million.
- The company is promoting the commercialization of its own intellectual property.
One anime work (Million Doll) and three books are released during the fiscal year.
- Loss on prior investment in new businesses, primarily in the Manga Content Business, increased approximately 1.6 times year on year to ¥511 million.
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27
5.Policies for FY9/16 and Earnings Estimates for 1Q FY9/16
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FY9/16 Policies 28
Aim to achieve the goal, “Double profits,” in the Midterm Business Policies (announced in November 2013).
Change the Mobile Game Business (Axel Mark) to a non-core business and improve business selection and concentration.
- Part of the Axel Mark shares held by the Company will be sold on November 9 to reduce the ratio of voting rights to less than 50%.
- All of the Directors holding multiple positions will resign at Axel Mark’s 23rd ordinary general meeting of shareholders, which is scheduled to be held on December 16.
- While Axel Mark will no longer be the Company’s subsidiary, it will remain consolidated in the IFRS consolidated financial results.
Media Content Business
Manga Content
Other new businesses
Mobile Game
(Axel Mark)
Media Content Business
Aim to expand the platform and become profitability in the Manga Content Business.
Non-core Business
Increase Axel Mark’s independence and support flexible management.
Internet Marketing Business
Internet Marketing Business
Increase market shares and improve profitability with key business focused on “Mobile”, “Social” and “Global.”
Business Segments in FY ended Sept. 2015 Business Segments and Policy for FY ending Sept. 2016
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The major changes with Transition to IFRS 29
マージン マージン
The conventional recording of the total amount (gross) will be changed to recording of net amounts in the sale by advertising agents, which comprises a large part of the Internet Marketing Business.
Advertising purchases
Margin
Revenue (IFRS)
Treatment of goodwill
While straight-line amortization was applied to goodwill based on the Japanese standards, goodwill is not amortized on IFRS but requires an impairment test every year. This creates an impairment risk.
Margin
Voluntary disclosure of Non-GAAP operating income Non-GAAP operating income is a profit indicator of constant business performance determined by adjusting temporary factors, such as an impairment loss and gain or loss on the sales of fixed assets from the IFRS-based operating income.
How to record earnings (Top Line)
Net sales (Japanese standards)
Japanese standards
Net sales
Gross profit
SG&A
Operating income
Non-operating income/loss
Non-operating expenses
Ordinary income
Extraordinary gains
Extraordinary losses
Net income before taxes and other adjustments
Total income taxes
Income before minority interests
Gains and losses of minority shareholders
Net income
Revenue
Gross profit
SG&A
Other revenues
Other expenses
Operating income
Financial Revenue
Financial expenses
Investment profit from equity method
Net income before tax
Income tax expenses
Net income
(Breakdown)
Owners of the parent
Non-controlling interests
IFRS
Net sales
Non-GAAP operating income
Difference in income statement
[Voluntary disclosure items]
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1Q (Oct- Dec) FY9/16 Consolidated Earnings Estimates
Earnings in 1Q FY9/15
Earnings Estimates for 1Q
FY9/16
Expected Growth Rate
Revenue 3,188 3,900 +22.3%
Non-GAAP Operating Income
497 800 +60.7%
Net Income attributable to owners
of the parent 1,054 500 -52.6%
30
【Reference】 Net Sales
14,026 17,600 +25.5%
Transition to IFRS in FY ending Sep. 2016
The growth of the Internet Marketing Business remains firmly, and is expected to lead to a year-on-year increase in both net sales and operating income.
While Media Content Business is expected to increase its sales due partly to the contribution of various new businesses, prior investment in Manga Content Business is expected to result in an increased year-on-year deficit.
An extraordinary gain on the sale of Direct Marketing Business was realized in the previous year, and net income attributable to owners of the parent will decrease. Meanwhile, “net income from continued operations” is expected to increase by more than 20%.
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1Q(Oct- Dec) FY9/16 Earnings Estimates by Business Segment 31
Non-GAAP Operating Income
Earnings in 1Q FY9/15
Earnings Estimates for 4Q FY9/16
YY Change
725 1,117 +54.1%
△124 △165 (-40)
600 952 +58.6%
△4 △51 (-46)
△97 △101 (-3)
497 800 +60.7%
Revenue
Earnings in 1Q FY9/15
Earnings Estimates for 4Q FY9/16
YY Change
Internet Marketing Business
2,422 3,107 +28.3%
Media Content Business
33 139 +318.5%
Total of Core Businesses
2,455 3,246 +32.2%
Non-core Business (AXEL MARK)
761 663 -12.8%
Elimination or corporate
△28 △10 (+17)
Total 3,188 3,900 +22.3%
(units:¥mn)
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Midterm Business Policies 32
ソーシャル グローバル Global
Concept
Social
Mobile
Business Focus
Increase the share of highly profitable businesses
Create a mainstay business second to advertising
“Double profits”
©SEPTENI HOLDINGS CO.,LTD. ALL RIGHTS RESERVED.
All estimates, opinions and plans provided in this document are based on the best information available at the time of the creation of this document on November 5, 2015 and we do not guarantee their accuracy. Therefore our actual results may differ due to various unforeseen risk factors and changes in global economies.
Contact Information
SEPTENI HOLDINGS CO., LTD. https://www.septeni-holdings.co.jp/en/ Corporate Planning, IR Division TEL: +813-6857-7258 E-mail: [email protected]
Thank you for your interest!
33
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34
6. Appendix
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Company Overview
35
Company Name SEPTENI HOLDINGS CO., LTD.
Representative President and Representative Director Koki Sato
Headquarters Sumitomo Fudosan Shinjuku Grand Tower, 8-17-1 Nishishinjuku, Shinjuku-ku, Tokyo
Securities Code 4293 (JASDAQ)
Business Realm The holding company for a group of companies conducting primarily Internet-related and other businesses
Established October 29, 1990
Capitalization ¥2,070 million
Shares Issued 27,700,700 shares (Including 1,784,600 treasury shares)
Consolidated Workforce
846 full time employees, 1002 full time and contracted employees
As of September 30, 2015
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36
Holding Company
SEPTENI HOLDINGS CO., LTD
SEPTENI VENTURES Co., Ltd.
SEPTENI CO., LTD Internet ad agency/Providing assistance for overall promotions on internet
Septeni America, Inc. Internet marketing business for North America region
MANGO Inc. SEM Operation Business Septeni Europe Co.,Ltd Internet marketing business for Europe region
Vasara Inc. Internet ad agency SEPTENI TECHNOLOGY CO., LTD. Web service development
HighScore, Inc. Social Media Marketing Support Business
JNJ INTERACTIVE INC. Internet ad agency in South Korea
EAGLE i Co., Ltd. Advertising Network Business SETPENI CROSSGATE CO., LTD. Ad Network and Platform Business
Septeni Original,Inc. Planning and developing its own services
ASP CO., LTD. e-marketing solutions
Septeni Asia Pacific Pte. Ltd. Internet ad agency in Asia and Pacific Ocean region
Tricorn Corporation CRM Service Business
New Business Development
Internet Marketing Business
Media Content Business
COMICSMART INC. Manga Content Business gooddo, Inc. Platform business of social contribution
ViViVit Inc. Matching-type recruitment platform
Pharmarket, Inc. Platform business of intermediate distribution of Ethical drug
November 5 , 2015
Main Group Companies by Business Segment
AXEL MARK INC. Mobile Game Business
Non-Core Business
©SEPTENI HOLDINGS CO.,LTD. ALL RIGHTS RESERVED.
Business Model for the Internet Marketing Business
37
Comprehensive Marketing Support Services for corporations leveraging the Internet.
Internet advertising sales and provision of various web solutions, We will provide In-House Services
such as marketing platforms including an ad network and cloud-based CRM services.
Clients
Internet Marketing Business
Advertising Agency Sales
Web Solutions
In-House Services
• Website creation, operations
• Creative • SEO • Social media creation, operations
• Cloud based CRM Systems
• Advertising platforms • Effectiveness measurement
• Internet media
etc
etc
Users
Internet Media Advertising
Sales
Solution Provision
Service Provision
Advertising Purchases
Advertising Distribution,
Display
Campaign Implementation, Operation, Effectiveness Measurement
Information Dispatch
©SEPTENI HOLDINGS CO.,LTD. ALL RIGHTS RESERVED.
The Media Content Business plans and develops digital content, including social games,
primarily for smartphones, and provides it to users through SNS, the application market, and
other platforms.
Copyright Owner
Sourcing
Provision Distribution Users
SNS Application
Market Communications
Carriers
Media Content Business
etc
• Music • E-Books • Streaming Video • Fortune Telling
Business Model for the Media Content Business 38
Manga Artists Cultivation
Providing Works
Distribution
Mobile Game Business Content Business
• Social Games
• Native Applications
Manga Content Business
Management of Manga Artists
Manga Distribution Service
The business also develops and produces Manga artists and distributes Manga works, aiming
to plan and develop our own intellectual property.
※Mobile Game Business and Content Business were changed into Non-Core Business from FY9/16
©SEPTENI HOLDINGS CO.,LTD. ALL RIGHTS RESERVED.
Consolidated Balance sheet 39
End FY9/15 End FY9/14 Change Main Changes
Current Assets 22,486 18,115 +4,371 Cash and deposits:+2,902
Notes and accounts
Receivable-trade:+1,623
Non-current Assets 2,901 3,510 -609 Goodwill:-507
Deferred tax asset:-232
Total Assets 25,387 21,625 +3,762
Current Liabilities 12,941 11,069 +1,871 Accounts Payable:+1,633
Short-term loans payable:+226
Non-current
Liabilities 160 352 -192 Long-term loans payable:-166
Total Liabilities 13,101 11,422 +1,679
Total Net Assets 12,286 10,203 +2,082 Retained earnings:+2,169
Total Liabilities,
Net Assets 25,387 21,625 +3,762
(units:¥mn)
©SEPTENI HOLDINGS CO.,LTD. ALL RIGHTS RESERVED.
Consolidated Cash Flow 40
End FY9/15 Main Changes FY9/14
Cash Flows from
Operating Activities 1,874
Net income before taxes:+4,061
Gain on sales of subsidiaries’ stocks: -1,098
Corporate and other taxes:-1,703 2,830
Cash Flows from
Investing Activities 1,257 Proceeds from sales of investments
in subsidiaries:+1,249 △913
Cash Flows from
Financing Activities △123 Increase in loans payable:+51
Cash dividends paid:-228 178
Effect of Exchange Rate Changes on Cash and Cash Equivalents
△1 21
Net Increase (Decrease) in Cash and Equivalents
3,006 2,117
Cash and Equivalents at Term End 11,694 8,687
(units:¥mn)
©SEPTENI HOLDINGS CO.,LTD. ALL RIGHTS RESERVED.
567 571 574
663 666 664 668 755 755
177 161 163
183 190 184 179
180 168
27 27 27
29 28
67 67 67
73 71 73 75
82 79
0
200
400
600
800
1000
13/4Q 14/1Q 14/2Q 14/3Q 14/4Q 15/1Q 15/2Q 15/3Q 15/4Q
41
838
826
831
948 955 921 922
SEPTENI Group Workforce Number Trend
1,017 1,002
Internet Marketing Business Media Content Business Others
Holding Company