Mynet Inc. Company Overview

Transcript

1. Mynet Inc. 3928 Aug 14，２０２４ Company Overview
2. 01 Corporate Information 02 Q2 FY2024 Business Report 03 Q2 FY2024 Topics 2 Agenda
3. Corporate Information 3 1
4. 4 About Us Company Name Mynet Inc. CEO Minoru Iwaki Location 2-11-3 Kita-Aoyama, Minato-ku, Tokyo Establishment June 14, 2006 Business Secondary Business, etc Employee Count* ２7２ *As of the end of December 2023 (Group consolidated, excluding indirect employment)
5. Business Overview 5 Business Expansion into New Businesses Based on the Strengths of Secondary Businesses New Business 4 Areas Sports DX BtoB solutions (game) BtoB solutions (Non-game) Development Secondary Business Cumulative Number of titles in operation 80 More than
6. 6 The domestic game market has grown to over 2 trillion yen Our target online platform is a core area of the game market Secondary Business｜Market Environment Breakdown 70.5% 19.2% 10.3% Online Platform Home Software Home Hardware FY2022 Source：「ファミ通ゲーム白書2023」 Domestic Game Market (Unit: Trillion yen) 1.7 2.0 2019 2022 Source：「ファミ通ゲーム白書2023」
7. Secondary Business｜ Business Model 7 Acquired titles through flexible schemes Long-term management with a team that specializes in title management スキーム 強み Scheme Strengths Game Maker User Long-term management Use of Services Transfer Consideration Title Transfer
8. Secondary Business｜Competitiveness 8 Operates more than 80 titles on the strength of sales, operation and development capabilities Network with companies in the gaming industry Extensive title acquisition and M&A experience Sales Development Operation S trengths Skills and know-how based on quantitative analysis Experience in long-term management of more than 80 titles Knowledge backed by title management experience Game software development knowledge
9. New Business｜Policy 9 Aim to re-grow sales by developing new businesses that leverage the strengths of secondary businesses Sports DX Development B to B Solution (game) B to B Solution (Non-game) Secondary Business New Business １ 2 3 4 Sales Development Operation Strengths
10. New Business｜Sports DX 10 Accelerate the speed of growth by adding more major sports and expanding monetization methods Strengths Business Development Major Sports A Major Sports B Monetization α Monetization β SCHEME Japan‘s first B-League sanctioned fantasy sports PRODUCT Japan's largest fantasy sports 「B.LEAGUE#LIVE2023」 MEMBER Members with expertise in the sports content business MEDIA Japan's largest basketball web media 「ＢＡＳＫＥＴ ＣＯＵＮＴ」 Strengths
11. New Business｜Group Company Profile 11 Company name Digon Inc. Location 2-11-3 Kita-Aoyama, Minato-ku, Tokyo CEO Minoru Iwaki Established February 6, ２０１８ Business Consulting Employee count １０ (as of end of June 2024) Company Name GAMEDAY Interactive Inc. Location 2-11-3 Kita-Aoyama, Minato-ku, Tokyo CEO Minoru Iwaki Established April 1, 2024 Business Sports DX Employee count ７ (as of end of June 2024)
12. Q2 FY2024 Business Report 12 ２
13. FY2024 Financial Highlights 13 Net sales slightly declined YoY, but stage profit grew significantly Operating income up +316% YoY to 309 million yen Unit : million yen 2023 1st Half 2023 1st Half YoY YoY% Revenue 4，777 4，677 △99 △2.1% Operating Income 74 309 ＋235 +316.9% Ordinary Income 66 293 ＋226 +340.0% Net Income 129 276 ＋１47 +113.9%
14. Forecast for FY2024 14 Full-year forecasts were revised upward in consideration of 1st Half over-achievement Unit : million yen Initial Forecast Revised Forecast Variance Achievement Revenue 9，600 9,600 - - Operating Income 220 320 ＋100 +45.5% Ordinary Income 170 295 ＋125 +73.5% Net Income 165 280 ＋１15 +69.7%
15. Progress against initial forecasts 15 Profits revised upward significantly Net sales in line with initial plan Revenue Operating Income Net Income Ordinary Income 4,６7７Million 309Million 276Million 293Million ４８.７％ １４0．6％ Initial Forecast：9,600Millioｎ Q2 ５0％ Initial Forecast 100％ １72.7％ １67．4％ Initial Forecast ：２２0Million Initial Forecast：１７0Million Initial Forecast：１６５Million 295Million 280Million 320Million Upward Revision
16. 2,118 1,853 2,087 2,454 2,222 Revenue and Operating Income by Quarter 16 Q2 Q3 Q4 Q1 Q2 2023 202４ Operating income increased significantly due to revenue contributions from titles acquired at the end of last year and BtoB solutions, etc. (Unit：Million yen) (Unit：Million yen) Operating Income Revenue 3 7 87 149 159 23/Q2 23/Q3 23/Q4 24/Q1 24/Q2 Q2 Q3 Q4 Q1 Q2 2023 2024
17. Balance Sheet 17 19 60 1 28 33.1 32.2 30.7 34.1 30.7 7.0 12.0 17.0 22.0 27.0 32.0 -80 -60 -40 -20 0 20 40 60 80 100 120 Net Cash Equity Ratio Q2 Q3 Q4 Q1 Q2 Balance Sheet (Unit：Million yen) Net Cash / Equity ratio Net assets recovered to 1,547 million yen, up 35.8% YoY Equity ratio remained in the 30% range despite borrowings 2023 ２０23/Q2 ２０24/Q2 202４ (Unit：Million yen、%) Assets 3,424 Liabilities 2,285 Net assets 1,139 Assets 4,677 Liabilities 3,130 Net assets 1,547 △23
18. Q2 FY2024 Topics 18 3
19. Business Policy 19 Aiming to increase revenues and profits in FY2024 Strong performance of secondary business enabled aggressive investment (Unit：Million yen) Business earnings and Operating income Business Strategy Q2 Q3 Q4 Q1 Q2 2023 202４ 356 432 604 300 603 △ 281 △ 351 △ 435 △ 151 △ 293 74 81 168 149 309 △ 900 △ 700 △ 500 △ 300 △ 100 100 300 -600 -400 -200 0 200 400 600 800 1,000 Secondary Business New Business Operating Income Sports DX Development BtoB Solutions （Non-game） BtoB Solutions （Game） New Business Secondary Business
20. Revenue｜Operating Income 20 (Unit：Million yen) (Unit：Million yen) Operating Income Revenue Secondary Business Favorable performance of operations of existing titles Continued to focus on quality acquisitions in light of market conditions Q2 Q3 Q4 Q1 Q2 2023 202４ 104 76 171 300 302 Q2 Q3 Q4 Q1 Q2 2023 202４ 2,101 1,826 1,792 2,192 1,935 YoY +1８9%
21. Existing titles and New titles 21 Existing operations performed well, exceeding internal targets Continued careful scrutiny to acquire quality titles Operations of existing titles Acquisitions of new titles 96 103 9 14 -8 -3 2 7 12 60 70 80 90 100 110 120 Line graph : Number of pipelines Bar graph : Number of sourcing  Revenue +2.9% compared to internal target  Existing titles also performing well  Continue sourcing to acquire profitable titles Outsourced Purchased  Revenue +2.5% compared to internal target  Continue sourcing new contracts 2023/Q2 2024/Q2 Secondary Business
22. Revenue｜Operating Income 22 BtoB solutions (non-game) raised the level of sales Continued investment to create new businesses (Unit：Million yen) (Unit：Million yen) Operating Income Revenue Q2 Q3 Q4 Q1 Q2 2023 202４ 16 27 294 262 287 New Business Q2 Q3 Q4 Q1 Q2 2023 202４ △ 100 △ 69 △ 84 △ 151 △ 142
23. Sports DX 23 Fantasy sports "B.LEAGUE#LIVE" sales achieved significant growth Product with new monetization methods to be released next year Business expansion 23-24シーズン 24-25シーズン B.LEAGUE#LIVE 2022 B.LEAGUE#LIVE 2023 Record high YoY 3.0X Revenue 202４ 202５ ２０２２ New enhanced features to be released Scheduled to be released in 2025 2023 B.LEAGUE#LIVE 2023 B.LEAGUE#LIVE 2024 ２０２５ To be released New monetization under development B.LEAGUE Major Sports New Business
24. BtoB Solution （Non-Game） 24 Revenue increased due to strengthened recruitment and organization Steady operating income due to customer development Business Progress Revenue｜Operating Income (Unit：Million yen) 117 120 27 31 Revenue Operating Income Digon to join the group in Q4 2023 Contribution to full-year results Strengthen human capital investment Strengthen organization of sales and consulting organization Sourcing deals with Mynet Increase pipeline of new projects RECRUIT Q1 Q2 202４ New Business
25. Other 25 Steadily strengthen alliances and develop new titles  Capital and business alliance with Game Creators Guild, Inc.  Creating opportunities for our members to work on other companies' projects Development BtoB Solution （game） 2024 2025 Outsource In House Reinforcement  To be able to support other companies' game development Alliance 2026 Release 2024 Release 2025 Release 2025 Title development is on track Acceleration of efforts with alliance partners New Business
26. Disclaimer 26 The information provided in this material includes so-called “forward-looking statements”. They are based on current estimates, forecasts, and assumptions that involve risks and involve uncertainties that could cause results to differ materially from those in the statements. These risks and uncertainties include general industry and market conditions, and general national and international economic conditions such as interest rate and currency exchange fluctuations. We are under no obligation to update or revise the "forward-looking information" contained in this document, even if new information or future events occur.
27. © Mynet Inc. All rights reserved. 27