November 5, 2018

Briefings on Financial Results for the Fiscal Year Ended September 30, 2018
(FY2018)
APAMAN head office entrance

Additional information about results of operations will be announced on November 9, 2018.

APAMAN Co., Ltd.
JASDAQ: 8889

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1. FY2018 Topics

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1

2
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Note: Announced on April 27, 2018
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3

2. FY2018 Topics
Sharing Economy –Benefits of Upfront Investments

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4

Directly managed
Co-working locations
As of September 30, 201715 locations

As of September 30, 201822 locations
fabbit Global Gateway “Otemachi” opened on September 8, 2018

Note: The number of locations includes sites that have been leased but not yet started operations
Copyright © APAMAN Co.,Ltd. All rights reserved.

5シェアリングエコノミー

Otemachi

ACROS Fukuoka

Osaka Honmachi

San Francisco

fabbit Global Gateway "Otemachi"

6
Copyright © APAMAN Co.,Ltd. All rights reserved.

JapanOverseas• Supported the Entrepreneur Koshien event held by NICT and theMinistry of Internal Affairs and Communications• Business alliance including jointly holding Slush (Tokyo), the world’s
largest start-up event• Presentation by the fabbit CEO at the Science & Innovation Forum heldby the Cabinet Office, City of Fukuoka and others• President of APAMAN named to Advisory Board of DocuSign (NASDAQ)• Operating Fukuoka Growth Next, a private/public-sector co-working
facility, with the City of Fukuoka• Fenox Venture Capital(Operator of Startup World Cup Kyushu Preliminary Tournament)• Operating COMPASS Kokura, a private/public-sector co-working facility,with the City of Kitakyushu• Fenox Venture Capital(Judge, Startup World Cup Japan Preliminary Tournament)• Opened fabbit Hachioji as part of facilities to support manufacturing
innovation in Tokyo’s Tama district• Acquired shares of Workbar (Boston)• Started an accelerator program with Mitsubishi UFJ Research andConsulting Co., Ltd.
• Established a start-up support fund with Nippon Venture Capital Co.,Ltd.
• Equity and business alliance with the Campfire crowdfunding site
• Business alliance concerning the sharing economy for human resources
with Workshift Solutions Co., Ltd., Japan’s largest crowdsourcing
service for outsourcing jobs worldwide• Business alliance concerning a young worker with professional skill
sharing service with Pasona Inc.

• Acquired shares of fabbit (the Philippines)• Speech by Wikipedia founder Jimmy Wales at fabbit National
Conference 2017
• Speech by Twitter co-founder Biz Stone at fabbit National Conference
2017• Selection of YouTube co-founder Chad Hurley to give a speech at fabbit
National Conference 2018
• Selection of Apple co-founder Stephen Wozniak to give a speech at
fabbit National Conference 2018

• Announcement of an open innovation program created with Creww
Inc.
• Conducted a joint creation problem solving class at Kyushu University

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7

Global Gateway “Otemachi”■Address:

2F Asahi Seimei Otemachi Building, 2-6-1,
Otemachi, Chiyoda-ku, Tokyo(Directly connected to Tokyo Station, oneminute walk from Nihombashi Exit)■Opened:

September 8, 2018

■Seats:135 designated seats, including seats in 59
individual rooms
167 non-reserved seats, conferencerooms■ Floor area: 1580.4m2

8
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Aoyama

Otemachi■Address:

8F Aoyama Tower Place, 8-4-14, Akasaka,
Minato-ku, Tokyo(Three-minute walk from Aoyamaitchome Station)■Address:

3F Asahi Seimei Otemachi Building, 2-6-1,
Otemachi, Chiyoda-ku, Tokyo(Directly connected to Tokyo Station, oneminute walk from Nihombashi exit)■Opened:April 1, 2018

■Opened:May 1, 2017

■Seats:78 designated seats, 74 non-reservedseats, conference rooms■Seats:100 designated seats, 83 non-reservedseats, conference rooms■ Floor area: 527.96m2■ Floor area: 523.19m2

Ginza■Address:

7F Ginza-itchome Building, 1-15-4, Ginza,
Chuo-ku, Tokyo(Within a five-minute walk from Kyobashi
Station, Ginza-itchome Station or
Takaracho Station)■Opened:

October 1, 2017 (Renovations completed
on April 11, 2018)■Seats:38 designated seats, 46 non-reservedseats, conference rooms■ Floor area: 291.52m2

9Copyright © APAMAN Co.,Ltd. All rights reserved.

Nihombashi■Address:

Aspa Nihombashi Office, 2-1-1,
Nihombashi Hongoku-cho, Chuo-ku,
Tokyo(Five-minute walk from Tokyo Station or
Nihombashi Station)■Opened:August 2012

■Rooms:34 (all individual rooms)

Akihabara

Kyobashi■Address:

AIOS Akihabara, 3-2-2, Ueno, Taito-ku,
Tokyo(Two-minute walk from Suehirocho
Station)■Address:

1&2F Central Building, 1-1-5, Kyobashi,
Chuo-ku, Tokyo(Four-minute walk from Tokyo Station
Yaesu Exit)■Rooms:42 (all individual rooms)■Opened:

October 1, 2017

■Seats:66 designated seats, 56 non-reservedseats, conference rooms■ Floor area: 332.59m2

10
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SakaeHachioji

A facility to support manufacturing innovation in Tokyo’s
Tama district■Address:

9F Ichigo Sakae Building, 3-15-27, Sakae,
Naka-ku, Nagoya, Aichi(Three-minute walk from Sakae Station or
one-minute walk from Yabacho Station)■Address:

Eight Building, 3-20-5, Myojincho,
Hachioji, Tokyo(Five-minute walk from Hachioji Station)■Opened:December 1, 2017

■Opened:■Seats:27 designated seats, 31 non-reservedseats, conference rooms, workshop

October 1, 2017 (Renovations completed
on April 2, 2018)■Seats:50 designated seats, 46 non-reservedseats, conference rooms, seminar rooms■Floor area: 225.57m2■ Floor area: 421.66m2

Hiroshima Ekimae■Address:

1&2F Asty Hiroshima Kyobashi Building, 17, Kyobashicho, Minami-ku, Hiroshima(Five-minute walk from Hiroshima Stationor three-minute walk from Inarimachi
Station)■Opened:December 1, 2017

■Seats:34 designated seats, 48 non-reservedseats, conference rooms■ Floor area: 972.53m2

11
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Shin-Osaka

Osaka Honmachi

Osaka Fukushima■Address:

4F Orix Honmachi Building, 1-4-1,
Nishihonmachi, Nichi-ku, Osaka(Directly connected to Honmachi Subway
Station)■Address:

4&5&6F Shin-Osaka SONE Building, 7-129, Nishinakajima, Yodogawa-ku, Osaka(Five-minute walk from Shin-Osaka
Station)■Address:

6&7F Fukushima Building, 5-13-18,
Fukushima, Fukushima-ku, Osaka(One-minute walk from Fukushima
Station)■Opened:April 2011

■Opened:July 2005■Opened:July 2006■Rooms:21 (all individual rooms)■Rooms:26 (all individual rooms)■Rooms:28 (all individual rooms)■Floor area: Approx. 1,000m2

12
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■Address:

3F Tile Building, 9-101, Toiyacho, Kita-ku,
Okayama■Opened:March 1, 2018 (pre-open)■Seats:

8 individual rooms, 24 non-reserved seats

Kitakyusyu

HakataOkayama Toiyacho■Address:

AS OFFICE Hakata, 1-11-27, HakataekiMinami, Hakata-ku, Fukuoka(Five-minute walk from Hakata Station)■Opened:

September 2007

■Rooms:40 (all individual rooms)■Address:

3F Aruaru City Building No. 2, 2-14-3,
Asano, Kokurakita-ku, Kitakyushu,
Fukuoka(Three-minute walk from Kokura Station)■Opened:April 1, 2014

■Seats:4 individual rooms, 57 designated seats

13
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KokuraA private/public-sector start-up support facility in central Fukuoka

A private/public-sector co-working facility (designated manager project)■Address:

2-6-11, Daimyo, Chuo-ku, Fukuoka (Seven-minute walk from
Tenjin Station, Formerly Daimyo Elementary School)■Address:

6F AIM Building, 3-8-1, Asano, Kokurakita-ku, Kitakyushu,
Fukuoka (Five-minute walk from Kokura Station)■Opened:April 12, 2017

■Opened:■Seats:About 66 designated seats, about 100 non-reserved seats,
42 team rooms, shared office, conference rooms, DIY studio,bar, and other

April 1, 2018 (co-working space and other spaces to be
added in June 2018)■Seats:20 office rooms, 17 small office rooms, conference rooms

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14

Minpaku

As of September 30, 20170 rooms

As of September 30, 2018716 rooms
Note: Including locations operated by our affiliates
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15

Grandouce Sejour

Grandouce Shitennoji

Grandouce Dotonbori

Grandouce Casa-Comoda

Grandouce Nihombashi

Grandouce Namba-nishi

Grandouce Villa Tsuruhashi

Grandouce Villa Tengachaya

Grandouce Hakata

Grandouce Buena VistaGrandouce Namba-higashi

Grandouce Rokugodote

16
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Grandouce Nipponbashi-higashi

Grandouce Tenma-higashi

Grandouce Villa Shinimamiya

Grandouce Shinsaibashi-higashi

Grandouce Imamiya-ebisu

Grandouce Hanazonocho

Grandouce Tengachaya

Grandouce Kamata I

Grandouce Kamata II

Grandouce Shinsaibashi-nishi

Grandouce Tamatsukuri

Grandouce Dotonbori II

Others (including locations scheduled to be opened)
Grandouce Nishinakajima/ Nishinakajima II, Grandouce Tennoji-kita, Grandouce Koganecho, Grandouce Minamimorimachi, Grandouce Sakaisujihonmachi, Grandouce Namba-nishi II,
Grandouce Kyoto, Grandouce Kourijima, etc.
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17

Metered parking

As of September 30, 2017

2,355 parking spaces

As of September 30, 2018

3,028 parking spaces
Note: The number of locations includes sites that have been leased but not yet started operations
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As of September 30, 2017

3,983 parking spaces
As of September 30, 2018

7,939 parking spaces
Note: The investment for this alliance was made in Nokisaki Inc.
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19

Share cycle
As of September 30, 2017

0 bicycles
As of September 30, 2018490 bicycles
Taito-ku
Kyoto
Fukuoka City
Munakata City
Iizuka City
Tokunoshima
Note: The number of bicycles includes bicycles that have been leased but not yet started operations
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Lifetime Learning Center
Uji Post Office
Fukuoka Chuo Post Office
City Office
City Hall
Isencho Town Halland others203. FY2018 Topics
Platform –Benefits of Upfront Investments

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21

Apartment rental management
As of September 30, 2017

71,458 units+18,740
Steady growth in units under management(Units)90,19860,42663,492

2014

2015

70,041

71,45820162017

As of September 30, 2018

90,198 units

2018

22
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Property owner

database for about

200,000 people

Tenant database forabout 1 million
peopleEstimate of about 7 million people
for the intermediary database

Examples of additional included services

About 200,000
buildings undermanagement

Included and associatedservices
Gross profit

FY 2017

1,781 million yen
FY2018

1,981 million yen
Note: Includes the operations of franchised locations
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23

4. FY2018 Topics
Increase in Possible Dividend, Payment of Higher Dividend
and Special Dividend

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24

Aruaru City

Aruaru City Building No. 2(multi-story parking garage)

A property in the City of Kitakyushu in Fukuoka was sold to United Urban Investment
Corporation for 16.6 billion yen

RIHGA ROYAL HOTEL KOKURA

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• The sale raised the possible dividend• Decision was made to increase the ordinary dividend and pay a special dividend (interim)• Gain on the sale was 210 million yen (consolidated) and 4,110 million yen (nonconsolidated)• Negative effect of an increase in income tax and deferred taxes (consolidated)
Approx. 700 million yen• Decrease in annual operating income from rent
Approx. 400 million yen

25

26
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27

(1) Overview of Consolidated Results (YoY comparison)(Millions of yen)

FY2017
Net sales

Gross profit

40,262
11,806FY201841,682

Effects of an increase in the number ofproperties under management in the Platform
Business
Approx. +1.5 billion yen

11,309

-497

-4.2%

Effects of upfront investments in the Sharing
Economy Business and Platform BusinessApprox. +0.6 billion yen

+434

+4.7%

Effects of upfront investments in the Sharing
Economy Business and Platform BusinessApprox. -1.0 billion yen-930-36.4%

Effects of upfront investments in the Sharing
Economy Business and Platform BusinessApprox. -1.0 billion yen-1,136-56.3%(1,073)

Effects of upfront investments in the Sharing
Economy Business and Platform BusinessApprox. -1.0 billion yen
Increases in income tax and deferred taxes due
to sales of properties
Approx. -0.7 billion yen-2,373-2,661

Effects of upfront investments in the Sharing
Economy Business and Platform BusinessApprox. -1.0 billion yen
Effects of sales of properties
Approx. -0.4 billion yen-1,482-35.7%

Operating income(operating margin)

2,556

1,626

Ordinary income

2,017

881

EBITDANote

4,143(3.9%)

Note: EBITDA = Ordinary income + interest expenses + depreciation + amortization of goodwill
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%

Effects of upfront investments in the Sharing
Economy Business and Platform BusinessApprox. -0.4 billion yen

9,683

1,300

Amount

+3.5%

9,249

Profit attributable toowners of parent

YoY change+1,420

SG&A expenses(6.4%)

Remarks28

(2) Overview of Consolidated Balance Sheet (vs. end-FY2017)(Millions of yen)

Liabilities andnet assets

EndFY2017

EndFY2018

YoYchangeCurrent liabilities

9,393

10,523+1,130Accounts payabletrade

1,464

1,005

-458

+93

Short-term loans
payableNote

2,915

1,979

-935

1,031

+480

Other

5,011

7,536

3,507

4,714

+1,207

Non-current liabilities

28,23020,474-7,755

Non-current assets

34,912

20,457-14,455

Long-term loans
payable23,596

17,797-5,799Property, plant andequipment

16,625

4,693-11,931

Long-term lease andguarantee deposited

4,159

1,750

-2,409 sales of properties

Intangible assets

11,6879,207-2,480

473

926

+452

Goodwill

9,769

7,215

-2,554

Total liabilities

37,62330,998-6,625

Other intangible
assets

1,917

1,991

+73

Capital

7,983

7,983

-

Investments and otherassets

6,600

6,556

-43

Net assets

6,023

4,546

-1,476

Total assets

43,64635,545-8,101

Total liabilities andnet assets

43,64635,545-8,101

AssetsEndFY2017

EndFY2018

YoYchangeCurrent assets

8,733

15,087+6,353

Cash and deposits

3,201

7,773

Notes and accounts
receivable-trade

1,473

1,567

Operational
investment securities

551

Other

Note: Includes current portion of long-term loans payable
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Remarks+4,572 Big increase

Accounts receivableother +800

Large decline due tosales of properties

Other
Large decline due tosales of properties

Remarks

Accounts payable-+2,525 other +700

Accrued taxes +874

Large decline due tosales of properties
Large decline due to29

6. FY2018 Results by Segment

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30

(1) Net Sales and Operating Income by Segment (YoY comparison)
Net sales →Increase in all three segments
Operating income → Upfront investments for rapid growth of the Sharing Economy and Platform businesses(Millions of yen)

Sharing Economy

Platform
31,364Cloud Technology

33,368Other business

Left: FY2017
Right: FY2018

6,981
1,109

7,334
2,154

1,317
2,200

984

1,973
1,084

1,147

28
(462)

(100)

(345)

31
Copyright © APAMAN Co.,Ltd. All rights reserved.

(Millions of yen)

FY2017

YoY change

FY2018AmountNet sales

1,109

1,317

+208

+18.7%

28

(462)

-490

-

Operating income(operating margin)

22 locations directly operated
20 locations operated by overseas affiliates

Invested in a U.S. company Workbar

Operations started in June

3,028 metered parking spaces

Service started throughout Japan

Invested in Grandouce Inc.

Invested in Nokisaki Inc.

Established a business alliance with OpenStreet
Co., Ltd., a group company of SoftBank＊Co-working locations include properties under design or construction.
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%

32

(Millions of yen)

FY2017

YoY change

FY2018Amount%Net sales

31,36433,368+2,004+6.4%

Operating income(operating margin)

2,200

1,973

-227

-10.3%

Number of directly managed stores

108 stores →storesNumber of units under management

71,458 units →units

Gross profit of included and associated services

1,781 million yen →million yen

33
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(Millions of yen)

FY2017

YoY change

FY2018Amount%Net sales

6,981

7,334

+352

+5.1%

Operating income(operating margin)

1,084

1,147

+63

+5.8%

■ Cloud technology services
Introduction CLOUD

Appraisal CLOUD

Note: The sharing key is a product of a company in which APAMAN has made an investment
Copyright © APAMAN Co.,Ltd. All rights reserved.

Sharing key

34

(Millions of yen)

FY2017
Net sales

FY2018Gross profit

Gross profit
marginNet sales

YoY change

Gross profit

Gross profit
marginNet sales

Gross profit

Gross profit
marginSharing Economy

1,109

318

28.7

1,317

99

7.5

+208

-218

-21.1

Platform

31,364

9,410

30.0

33,368

9,706

29.1

+2,004+296-0.9

Cloud Technology

6,981

2,034

29.1

7,334

2,072

28.3

+352

+37

-0.9

Other business

2,154

809

37.5

984

305

31.1

-1,170-503-6.5

Adjustment (elimination or corporate)(1,348)(765)-(1,322)

(873)

-

+26

-108

-

40,262

11,806

29.3%

41,682

11,30927.1%+1,420

-497

-2.2

Total
SG&A expenses (SG&A expenses ratio)

9,249

23.0%

9,683

23.2%

+434

+4.7

Operating income (operating margin)

2,556

6.4%

1,626

3.9%

-936

-36.6

FY2017

2,556

Sharing Economy-218

Operating income

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Platform+296

Cloud Technology+37

Gross profit

Otherbusiness-503

Adjustment
-108

SG&A
Expenses-434
SG&A
Expenses

FY2018

1,626
Operating income

357. FY2019 Consolidated Forecast

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36

Sharing Economy
Business operations that use platforms andtechnologies

Platform

Cloud Technology

Data mining using big data that includes about 200,000 property
owners, about 1 million tenants and other information

A team of about 250 engineers andcreators

Notes: Platform figures include the franchised operations
Cloud Technology engineers and creators are totals for all group companies
Copyright © APAMAN Co.,Ltd. All rights reserved.

37

(Millions of yen)

YoY change

FY2019Forecast

FY2018Results

Amount%Net sales

41,68245,000+3,318108.0%

Operating income(operating margin)

1,626

2,000

(4.4%)+374(+0.5%)

123.5%

Ordinary income

881

1,400

+519

160.0%(1,073)600+1,673-

Profit attributable to ownersof parent(3.9%)

38
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8. Dividend Policy

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39

Distributing earnings to shareholders is one of our highest priorities. The basic policy is to distribute
earnings in a manner that takes into account results of operations and other applicable items.
Although business operations are in the stage of making upfront investments, we plan to pay
dividends consistently in order to express appreciation to shareholders for their support.
■ Year-end dividend per share

(Yen)

12

12

FY2016FY20171414FY2018FY2019 (forecast)

10

FY2015

Note: For FY2018, shareholders received a 10 yen interim special dividend in addition to the 14 yen year-end dividend

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40

9. Examples of Business Activities with CSR Benefits

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41

Disaster aid activities

42
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The goal is matchmaking services that result in 10,000 marriages every year

千代田出会いサポートセンター
開所:2018年11月30日

大手町出会いサポートセンター
開所:2018年12月25日(予定)43
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Company name

APAMAN Co., Ltd.

President and CEO

Koji Omura

Capital

7,980 million yen (as of September 30, 2018)

Employees(consolidated)

1,208 (as of September 30, 2018)

Head office

Asahi Seimei Otemachi Building, 2-6-1,
Otemachi, Chiyoda-ku, Tokyo

Main business

Sharing Economy
Platform
Cloud Technology

Securities Code8889 (JASDAQ Standard)★

44
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Cautionary Statements
These materials are prepared based on consolidated financial report for the fiscal year ended September 30, 2018. Amounts arerounded down to the nearest million yen and percentages are rounded off to the first decimal place. Accordingly, figures calculatedusing mathematical formulas and the resulting figures stated in this material may not agree.
The information presented in these materials, excluding past results but including management strategies, plans, and forecasts, isforward-looking information, based on certain assumptions deemed reasonable in light of the information available at the time thesematerials were prepared. Actual results may differ significantly from these forecasts as a result of a variety of factors going forward.
The information contained in these materials is subject to change without notice.
Every effort has been made to ensure the accuracy of the information contained herein, but APAMAN makes no guarantee regarding
the accuracy, usefulness, or timeliness of such information. APAMAN assumes no responsibility for losses incurred as a result oferrors in the information contained herein.
These materials were prepared for the purpose of presenting the business overview of APAMAN and its affiliates, and are notintended as a solicitation or offer for investment. Investment decisions are entirely those of the investors.

Copyright © APAMAN Co.,Ltd. All rights reserved.

Copyright © APAMAN Co.,Ltd. All rights reserved.