Financial Results Briefing for Q3 FY2023
Strategy to expand market share has been successful,
resulting in growth in high profitable recurring revenue

13th IR Presentation

August 10, 2023
GMO Financial Gate, Inc.
(Ticker:4051, TSE-Growth)

https://gmo-fg.com/

Copyright 2023 GMO Financial Gate, Inc.

Cautionary Note Regarding Presentation Materials

The content of these presentation materials is based on generally
recognized economic and social conditions, as well as assumptions
judged to reasonable by GMO Financial Gate as of August 10, 2023
Note that presentation material content is subject to change without priornotice in response to changes in the business environment or other
unforeseen circumstances

Copyright 2023 GMO Financial Gate, Inc.

2

Meeting
agendaMain Agenda
1. Summary of financial Results for Q3 FY2023
2. Business Highlights
3. Revision of FY2023 Forecast
4. Growth Strategy and Progress
Supplemental Agenda
5. Financial Information, Investment and Shareholder Return Policies
6. ESG Initiatives (Details)
7. Appendix

Copyright 2023 GMO Financial Gate, Inc.

Summary of financial Results for Q3 FY2023

1
Copyright 2023 GMO Financial Gate, Inc.

1.1 Q3 FY2023 Summary
In addition to initial revenue exceeding the plan, recurring-model revenue also grew with the start ofoperation of large-lot projects. Revised revenue and gross profit upward based on strong sales trends.
⚫ Q3 FY2023 Cumulative

P 6,７

Quantitative information- Revenue：¥12.00billion (YoY+61.2%) Progress towards full-year forecast 88.1 %- Operating Profit： ¥0.97billion (YoY+73.2%) Progress towards full-year forecast 95.8 %P8⚫ Revenue categories- Initial revenue： ¥8.58billion (YoY+64.0%) , Recurring-Model* revenue ¥3.41billion (YoY+54.5%)*Renamed from “Stock-Model” Revenue
P 13 ,14⚫ KPIs- Number of active terminals*： 273K (YoY+89K、YoY+48.7%) *Changed definition of “active terminal”. See page 6 for details- Transaction Volume (Number of transaction)：0.13billion(YoY+58.1%) 、 GMV: ¥1.08trillion (YoY+62.8%)
P 23⚫ Upward Revision of FY2023 Forecast- Revenue： ¥13.62billion⇒ ¥15.00billion(Comparison with previous revision +10.1%)- Gross profit : ¥3.27billion⇒ ¥3.60billion(Comparison with previous revision +10.0%)

Qualitative
information

Business
TopicsOrganization
Topics• Terminals for the Japan Post, which we have been installing since the first half, started operation in Q3 P 12
• In addition to large account deal, the demand from SMB type merchants also expanded and contributed to initial
P 16
revenue• 【Investment】 Aggressive investment in streamlining and systematizing various back-office
operations. P 25
P●
• 【Enhancement of ESG response 】 Implemented CDP survey for the first time. Started action to improve ESG
scoring such as FTSE P 30
Copyright 2023 GMO Financial Gate, Inc.

5

1.2 Summary of Financial Results
Both revenue and profit are progressing smoothly against our forecast.
（Millions of yen）

Q3 FY2022

YoY

Q3 FY2023

Progress towards forecast
FY2023

Revenue

7,446

12,003＋61.2%

88.1%

Gross profit

1,934

2,900

＋49.9%

88.6%

Operating profit

563

976

＋73.2%

95.8%

Profit attributable to owners ofparent358

613＋71.3%

97.2%

KPIs
（YoY）

Number of active terminal*

Transaction Volume

Transaction Value (GMV)（Q3 FY2023 Only）（Q3 FY2023 Only）（Q3 FY2023 Only）

273,298

Approx. 130.2 million

Approx. ¥1,084 billion（+48.7%）（+58.1%）（+62.8%）* Changed definition of “active terminal”.
Before : The number of terminals with at least one payment in the last month of the quarter
After : Number of terminals with one or more payments in a quarter (during three months)

Copyright 2023 GMO Financial Gate, Inc.

6

1.3 Major Topics Regarding Financial Results
Both initial and recurring-model contributed to revenue growth.
Operating profit grew faster than revenue while continuing to invest aggressively in the future.

（Unit：Millions of yen）

14,000

Revenue（YoY+61.2％）◼ Revenue(＋) Initial revenue, centered on revenue of terminal sales, expanded due to contributions from small
and medium-sized merchants in addition to large merchants such as Japan Post.
(＋) Steady growth in recurring-model revenue backed by an increase of active terminal.
(＋) Recovery of inbound demand also contributed to the expansion of recurring-model revenue.

12,000◼ Gross Profit(＋)Revenue growth(＋)Steady expansion of high-margin recurring-model revenue.
(－) Revenue composition of low gross margin terminal "stera" increased.

10,0008,000

12,003
6,000

4,000

7,446

Gross Profit（YoY+49.9％）

2,000

2,900

◼ Operating Profit(＋)Steady growth in revenue and gross profit.
(－) Continue to invest for future earnings withoverachievement of original OP plan.
Operating Profit（YoY+73.2％）

1,934
563

0
Q3 FY2022 売上高Q3 FY2023
Cumulative
Cumulative

Q3 FY2022
Q3 FY2023
売上総利益
Cumulative
Cumulative

Copyright 2023 GMO Financial Gate, Inc.

976

Q3 FY2022
Q3 FY2023
営業利益
Cumulative
Cumulative7

1.4 Revenue by Business Model (YoY)
The composition of initial revenue increased due to the contribution of small and medium-sized
merchants in addition to large-lot deals. In the recurring-model business, fee is strong, and spreads,
which had been struggling, were recovering as planned.
(Unit：Millions of Yen)

Q3 FY2022
Cumulative

Q3 FY2023
Cumulative(Proportion %)(Proportion %)YoY

Initial

5,234(70.3%)

8,587(71.5%)+64.0％

Recurring-Model

2,211(29.7%)

3,416(28.5%)+54.5％

Stock

621(8.3%)

877(7.3%)+41.3％

Fee

882(11.8%)

1,702(14.2%)+93.0％

Spread707(9.5%)

835(7.0%)+18.1％

7,446(100.0%)12,003(100.0%)+61.2％

Total Revenue

Copyright 2023 GMO Financial Gate, Inc.

8

1.5 Gross profit composition ratio
Successfully establishing a stable profit base through growth in high-margin recurring-model revenue.
Composition by Product Category (Revenue and Gross Profit)（Unit：Millions of yen）

16,000InitialRecurring

15,00014,000Recurringapprox.30%

12,000

10,29410,000
3,132
8,000

7,089

6,000

1,923

Recurring 30%

Recurring 27%

Initialapprox.70%

3,600
4,000

Initial 73%

7,162

2,020

Initial 70%

2,768
1,759

Recurring 64%

Recurringapprox.70%

1,009

Initial 36%

Initialapprox.30％

5,166
2,000

0

Revenue

1,080

Recurring 53%

940

Initial 47%

Gross profit

FY2021

Revenue

Gross profit

FY2022
Copyright 2023 GMO Financial Gate, Inc.

Revenue

Gross profit

FY2023(forecast)9

1.6 Initiatives to accelerate Spread Revenue
Due to the implementation of the following measures, we expect to catch up to the YoY +20-25% line in this fiscal year.
Currently focusing on accumulating backlog in next fiscal year Q1 onwards.
Initiatives

Category

Business in Manned terminals

Progress
FY2022 Spread revenue●ARPU-Up
Existing

FY2023 Spread revenue
Initiatives

ｰ Additional payment methods and credit brands
ｰ Support BtoB cashless payment utilizing
merchant-base we have

FY2023 YoY
25%

High probability revenue forecast～¥1.1 billion

20～
25%

merchants
Business in Unmanned/IoT terminals●Expansion into hotel/travel and leisure-relatedindustries
ｰ Collaborate with profitable acquirer¥0.95
billion20%
18.1%¥1.07 billion
17.3%
15%

Business in Unmanned/IoT terminals

New●Penetrate in SME long-tail development inspecific areas
ｰ Improvement of web traffic to increase inflow
ｰ Reduction of lead time to improvedisengagement of prospective merchants

12.0%～¥100 million

－

10%
¥60
million• Steadily catch up byimplementing measuresmerchants

Business in Unmanned/IoT terminals●Strengthen alliances with vending machine/selfcheckout manufacturers

ｰ Acquire new agent contracts for e-money, QR
code payments, etc.

5%～¥50 million－¥30
million0%

High probability revenue
Copyright 2023 GMO Financial Gate, Inc. ¥1.16 billion¥0.95 billion

Q1
1Q
1Q累計
1Q累計
Cumulative

Q2
2Q累計
Cumulative

Q3
3Q累計
Cumulative

Q4
4Q累計
Cumulative10

1.7 Revenue by business model (Quarterly)
Initial: Significant growth due to the contribution of large-lot deals starting from Q1, combined with theaccumulation of small and medium-sized merchants.
Recurring-model: Steady expansion backed by an increase in the number of active terminals,
also recording high growth in QoQ.
Initial Revenue

Recurring-Model Revenue（Unit: Millions of yen）

（Unit: Millions of yen）

1,600

4,000
3,461

3,500

Stock

1,400

Fee

Spread

1,277

YoY+51.9%
2,905

3,000

1,200
1,047
1,000

2,500
1,927

2,000
1,682
1,525
1,500

921

2,220

2,136

800

686

1,643
1,454

600

Pre COVID
855
626

500

400

367

693
450

465

200

0

0
Q1
Q2
Q3
Q4
Q1
Q2
Q3
Q4
Q1
Q2
Q3
Q4
Q1
Q2
Q3
FY2020 FY2020 FY2020 FY2020 FY2021 FY2021 FY2021 FY2021 FY2022 FY2022 FY2022 FY2022 FY2023 FY2023 FY2023

391

179

124

74

70

80

117

430

427

193

181

128

179
79
132

217

101
135

99
145

519

203
361

185

333

177

110

242
250
643

239

495
363

683

268

569

Pre COVID

1,103
1,000

268

841

1,091 299

149
160

183
182

261

259

185

206

229

539

434

244

259

283

334

Q1
Q2
Q3
Q4
Q1
Q2
Q3
Q4
Q1
Q2
Q3
Q4
Q1
Q2
Q3
FY2020 FY2020 FY2020 FY2020 FY2021 FY2021 FY2021 FY2021 FY2022 FY2022 FY2022 FY2022 FY2023 FY2023 FY2023

Copyright 2023 GMO Financial Gate, Inc.

11

1.8 Initial Revenue and Number of Active Terminals (Quarterly)
Terminals for Japan Post started operation from Q3, and the number of active terminals increased
rapidly. In addition, the number of terminals for small and medium-sized merchants is increasing
steadily, and the increase is the highest ever even excluding Japan Post.
+39.3
+15.8

Initial revenue（Unit: Millions of yen）

4,000

+18.6

Number of active terminals （Unit: Thousand）

273.2

+15.7

3,500

+19.2

233.9

+14.5

218.1

3,000

+15.9

199.5

+19.2

2,500

183.7

+15.5
2,000

+9.3

164.5

+10.7

150.0
134.0

+4.9
+11.2
1,500

3,461

114.7

+11.3

2,905

99.1
88.4
74.1

1,000

79.1

2,136

62.9
51.6

1,525

500

626

693

Q1
FY2020Q2
FY2020

855
450

465

Q3
FY2020Q4
FY2020

1,682

1,454

1,643

1,927

2,220

1,103

0
Q1
FY2021Q2
FY2021Q3
FY2021Q4
FY2021Q1
FY2022

Copyright 2023 GMO Financial Gate, Inc.

Q2
FY2022Q3
FY2022Q4FY2022Q1
FY2023Q2
FY2023Q3
FY202312

1.9 Consolidated KPIs（Number of active terminals）
Achieved an unprecedented increase in the number of active terminals, mainly manned terminals.
Active terminals overall ：YoY＋89.5K、YoY+48.7%（Unit: Thousand）

300

Manned terminal

Unmanned terminal

YoY

QoQ ＋39.3K

Sold by others

273.2
19.5

250

233.9
218.1
199.5

200

183.7
164.5
150.0

150

134.0
114.7

100

51.6
50

62.9
11.7

74.1
17.0

79.1
17.3
28.8.0

88.4

99.1

18.8

47.6

44.2
199.5

40.1

30.0

26.9

27.6

30.2

32.9

39.5

48.4

25.6
Q1
FY2020Q2
FY2020Q3
FY2020Q4
FY2020Q1
FY2021Q2
FY2021

61.6+8.3K(+18.2%)

52.3

45.8

31.8

23.5

Unmanned terminal (IoT)

49.5

33.9

9.9
16.0

54.1

42.4

19.0

18.8

+0.3K
(+1.7%)

19.1

19.1

19.2

18.9

19.2

18.6

18.8

Sold by others

75.2

88.3

101.3

118.7

132.7

149.4

162.7

Manned terminal+80.8K(+68.1%)0Q3
FY2021Q4
FY2021Q1
FY2022Q2
FY2022

Copyright 2023 GMO Financial Gate, Inc.

Q3
FY2022Q4FY2022Q1
FY2023Q2
FY2023Q3
FY202313

1.10 Consolidated KPIs (Quarterly Transaction volume / GMV)
Both the number of payments processed and GMV exceeded our target YoY +50%.
Achieved high QoQ growth compared to Q2, which has weak seasonality.
Number of transaction volume

Transaction value (GMV)（Unit：million）

12,000150

YoY +58.1%

140

YoY +62.8%

11,000130

10,000

120

9,000

110
8,000

100
90

7,000

80

6,000

70
5,000

60
50

4,000

Quasi of SOE＋
Seasonality

40
30

Quasi of SOE＋
Seasonality

3,000
2,000

20

1,000

10
20/9
1Q

20/9
2Q

Transaction volume(10 K)
Transaction value(GMV)（¥100 M）

20/9
3Q

20/9
4Q

21/9
1Q

21/9
2Q

21/9
3Q

21/9
4Q

22/9
1Q

22/9
2Q

22/9
3Q

22/9
4Q

23/9
1Q

23/9
2Q

20/9 20/9 20/9 20/9 21/9 21/9 21/9 21/9 22/9 22/9 22/9 22/9 23/9 23/9 23/9
1Q
2Q
3Q
4Q
1Q
2Q
3Q
4Q
1Q
2Q
3Q
4Q
1Q
2Q
3Q

23/9
3Q

Q1
FY2020Q2
FY2020Q3
FY2020Q4
FY2020Q1
FY2021Q2
FY2021Q3
FY2021Q4
FY2021Q1
FY2022Q2
FY2022Q3
FY2022Q4FY2022Q1
FY2023

FY2023Q3
FY2023

1,383

1,494

1,809

2,231

2,683

2,774

3,848

4,914

6,497

6,293

8,237

9,224

10,553

10,804

13,027

1,442

1,534

1,307

1,833

2,329

2,361

3,141

3,810

5,251

5,162

6,658

7,530

9,242

9,460

10,842

Copyright 2023 GMO Financial Gate, Inc.

Q2

14

Business Highlights

2
Copyright 2023 GMO Financial Gate, Inc.

2.1 Merchant Industry
Terminal sales to Japan Post expanded in Q3.
Continuing the trend of increasing the number of units for small merchants with stera pack.
Store scale：Large

Expanded

Post office

Expanded

Drug store(medicine/cosmetics)

One dollar shop

Publictransportation(Train/bus etc.)

Supermarket

Chain restaurantHigh inboundtourism demand
NeutralElectronics
chain-retailers
Retailers/
Shopping Centerof Railway
company

clothing/
Sporting goods

IoT
Parking lot

ExpandedOne-stop service proposals withalliance partners

Department
store

Action Plan

IoT Mobility

Administrative
institutions(City office /Police station/
Drivers’ license agency)•

Stadiums/Sports
spectator
facilities

Low unit
price

•

•

IoT

IoT

Vending

checkout machine•

Introduction of selfcheckout registers
IoT POS / Center
linkage

Solutions for the mass
marketProvision of DX services
to business partners

•
•

•
•

POS point linkage
Provision of DX services
to business partners

Sales strategies byindustry/ individualcompany
Proposals in collaboration
with business partners

Hotel/Travel

GMO Card System(consolidated subsidiary)High unit
price
Medical / Clinic

Expanded
Educational
institutions(Stores/Cafeterias
in University/High
School)Expanded

Expanded

Small restaurant

stera pack
(For SMEs)
Store scale : Small
Copyright 2023 GMO Financial Gate, Inc.

Service/
LeisureFine dining/High-end retailstera pack
(For SMEs)
16

2.2 Transaction Trends by Industry (Q3)

： High inbound tourism demand

Although the recovery of restaurants, etc., seems to be slowing down, recovery continues in theindustries where attracts inbound tourism.
Merchant Ａ

Transaction Volume

Taking a break from recovery

Merchant C
Transaction Volume

Transaction Value (GMV)

Transaction Value (GMV)

Chainrestaurant

Supermarket

Shifted steadily

23/4

23/5

23/6

23/5

23/6

23/1

22/12

22/11

22/10

22/9

22/8

22/7

22/6

22/5

22/4

22/3

22/2

22/1

21/12

21/11

23/4

(Medicine/
Cosmetics)

23/3

400,000

Hotel/Travel

23/3

Drug store
Pharmacy

21/10

21/9

500,000

Continued recovery trend

Transaction Value (GMV)

21/8

Merchant D

23/2

Transaction Volume

600,000

23/2

COVID19 Headwinds/Inbound-related industries

Merchant B

21/7

23/6

23/5

23/4

23/3

23/2

23/1

22/12

22/11

22/10

22/9

22/8

22/7

22/6

22/5

22/4

22/3

22/2

22/1

21/12

21/11

21/10

21/9

21/8

COVID19 Headwinds/Inbound-related industries
Transaction Volume
Transaction Value (GMV)

300,000
200,000
100,000

Copyright 2023 GMO Financial Gate, Inc.

23/1

22/12

22/11

22/10

22/9

22/8

22/7

22/6

22/5

22/4

22/3

22/2

22/1

21/12

21/11

21/10

21/9

21/8

23/6

23/5

23/4

23/3

23/2

23/1

22/12

22/11

22/10

22/9

22/8

22/7

22/6

22/5

22/4

22/3

22/2

22/1

21/12

21/11

21/10

21/9

21/8

21/7

0

21/7

21/7

(Izakaya)17

2.3 Top 30 ranked merchants (GMV basis)
The transportation/logistics category is newly ranked in the top ranks.
There are many merchants in the apparel, hotel, and travel-related industries that have ranked high.
Q3 only FY2022
Super Market A
Drug Store A
Retailer A
Low ASP Retailer A
Drug Store B
Super Market B
High ASP Retailer A
Chain restaurant A
Medical/Clinic A
Retailer B
High ASP Retailer B
Hotel/Travel A
High ASP Retailer B
ApparelA
Drug Store C
Retailer C
ApparelBSuper Market C
High ASP Retailer C
High ASP Retailer D
Hotel/Travel B
Hotel/Travel C
High ASP Retailer E
High ASP Retailer F
Medical/Clinic B
ApparelCHigh ASP Retailer G
Retailer D
High ASP Retailer H
Hotel/Travel D

Q3 only FY2023

Subtotal of top 30 GMV¥120.5 billion（Unit: ¥100 million）

0

50

100

150

200

250

Apparel D
Super Market A
Retailer E
Hotel/Travel D
Drug Store A
Low ASP Retailer A
Retailer A
Chain restaurant A
Drug Store B
Transportation/Logistics A
Super Market B
High ASP Retailer A
Hotel/Travel A
Apparel E
High ASP Retailer B
Hotel/Travel E
Hotel/Travel F
Medical/Clinic A
Retailer B
Retailer C
Apparel A
High ASP Retailer B
Drug Store C
Retailer F
Retailer G
Retailer H
High ASP Retailer D
Hotel/Travel G
Super Market C
Apparel F

300

Copyright 2023 GMO Financial Gate, Inc.

Increase from Q3 FY2022
Decrease from Q3 FY2022

New

Subtotal of top 30 GMV
New¥175.0 billion

New(+¥62.5billion YoY, +55.6% YoY)New

New contract:6※ Merchants with no transaction in
the same period of the previous year

New
New
New

（Unit: ¥100 million）

0

50

100

150

200

18

2.4 Comparison with Market Growth (single month comparison, May 2023)
While the overall market is currently growing +13% YoY, our GMV is growing +62% YoY.
Growth of existing merchants and acquisition of new merchants is driving our growth.
Market GMV (Transaction value of credit card payment)
Hotels/Inn(Right axis)

23/06

23/05

23/04

23/03

23/02

23/01

22/12

22/11

22/10

22/09

22/08

22/07

22/06

22/05

22/04

22/03

22/02

22/01

19/10
19/11
19/12
20/01
20/02
20/03
20/04
20/05
20/06
20/07
20/08
20/09
20/10
20/11
20/12
21/01
21/02
21/03
21/04
21/05
21/06
21/07
21/08
21/09
21/10
21/11
21/12
22/01
22/02
22/03
22/04
22/05
22/06
22/07
22/08
22/09
22/10
22/11
22/12
23/01
23/02
23/03
23/04
23/05
23/06

21/12

0

21/11

0

21/10

0

21/09

500

21/08

500

21/07

1

21/06

1,000

+8%
YoY

21/05

1,000

2

21/04

1,500

21/03

1,500

3

21/02

2,000

+26%
YoY

21/01

2,000

4

20/12

2,500

20/11

2,500

5

20/10

3,000

+46%
YoY

20/09

3,000

6

20/08

3,500

20/07

3,500

20/06

7

20/05

4,000

20/04

4,000

20/03

8

+62%
YoY

20/02

+13%
YoY

May 2023

May 2022(100 million yen)
4,500
4,500

20/01

May 2023

May 2022

19/12

Restaurants(Right axis)

19/11(trillion yen)
9

Retailers(left axis)

19/10

All
(left axis)

GMO-FG GMV*Source: "Current Survey of Selected Service Industries" by the Ministry of Economy, Trade and Industry.

Copyright 2023 GMO Financial Gate, Inc.

19

2.5 Payment platform grows together with merchants
In the Q3 only, our GMV growth rate overall: +63% YoY, existing: +35% YoY
Merchants grow with our payment platform.
GMO-FG GMV growth rate(¥100 million)

Newly acquired merchants

Growth of GMV overall

Existing merchants

Growth of GMV from existing merchants

12,000Overall +¥418.4 billion(+62.8% YoY)

10,00010,842
1,831

8,000

6,000

Existing +¥235.3 billion（+35.3％ YoY）

4,000

9,011

6,658
2,000

0

Q3 FY2022 Only

Q3 FY2023 Only

*Existing merchants are calculated as the number of merchants in the same period of the previous year. Existing merchants increase in “the number ofpayment terminals” and “new store openings” are also considered as existing growth.

Copyright 2023 GMO Financial Gate, Inc.

20

2.6 Growth of Existing Merchants
In addition to new acquisitions, existing merchants have accumulated successful cashless payment
experiences, leading to continued growth in the number of GMV and the number of transaction. Build acashless platform that grows together with merchants.
Cashless Payment Trends

Improvement of profitability per terminal

Large Restaurant Merchants E
Cashless Payment Trends

GMV per terminal (number of active terminals to be divided by credit/debit GMV)

GMV（credit/debit)

Number of transactions (credit/debit)

Copyright 2023 GMO Financial Gate, Inc.

21

23/6

23/5

23/4

23/3

23/2

23/1

22/12

22/11

22/9

22/10

22/8

22/7

22/6

22/5

22/4

22/3

22/2

22/1

21/12

21/11

21/9

21/10

21/8

21/7

21/6

21/5

21/4

21/3

21/2

21/1

20/12

20/11

20/9

20/10

20/8

Accumulation of successful
experiences,Shift from cash
payments to cashless payments.
Improved profitability per terminal

20/7

23/6

23/5

23/4

23/3

23/2

23/1

22/12

22/11

22/10

22/9

22/8

22/7

22/6

22/5

22/3

22/2

22/1

21/12

21/11

21/9

21/10

21/8

21/7

21/6

21/5

21/4

21/3

21/2

21/1

20/12

20/11

20/9

20/10

20/8

20/7

22/4

Improvement throughaccumulation of successful
cashless experiences in storesInstallation
completed at
all stores

Revision of FY2023 Forecast

3
Copyright 2023 GMO Financial Gate, Inc.

3.1 Upward Revision of FY2023 Forecast
Revised revenue and gross profit forecasts upward in light of steady progress in excess of Q3 plan.
Operating profit and below remain unchanged. (aggressive future investment is planned to continue)（Unit : millions of yen）

FY2022
Full year actual

FY2023

FY2023Full year forecast

Full year forecast（Previously forecast）（Revision）% change

YoY（After revised
forecast）（to Previously
forecast）

Revenue

10,295

13,620

Upward 15,000+45.7%+10.1%

Gross profit

2,768

3,274

3,600

+30.1%+10.0%

Operating profit

740

1,020

1,020

+37.7%－

Profit attributable toowners of parent

472

631

631

+33.5%－

Earnings per share¥57.32*¥76.29¥76.29+33.1%

－

¥39

¥39

+¥10

－

*Reflected 1:2 stock split

Dividend per share¥29**Reflected 1:2 stock split

Copyright 2023 GMO Financial Gate, Inc.

23

Growth Strategy and Progress

4
Copyright 2023 GMO Financial Gate, Inc.

4.1 Growth strategy on mid-term target
Progress in developing large-lot deals with next-generation multi-payment terminal. Steady progress in market share
expansion strategy. Upward revision of profit forecast increases the probability of achieving the profit target of ¥1.5
billion for FY2025.
2022 *actual
Consolidate OP

TargetGMV

revised2024

2023 *Forecast¥740 million¥1,020 million¥2.5 trillion¥3.7trillion

1. Acquire multi-industry/high-growth enterprises by launching next-generation multipayment terminals
Initial, Stock, Fee , Spread

2025+25% growth YoY¥1,500 million¥5 trillion
FY2020 Rev. level⚫ In 3Q, the introduction of the solution to large-lot merchants, centering on Japan Post, continued, while solutions forsmall- and medium-sized merchants, centering on stera pack, also accelerated, contributing to an increase in initialsales.
⚫ In line with the promotion of Vertical expansion, acquisition of member stores such as shopping centers anddepartment stores is progressing.
⚫ C→REX, a partnership with JTB, is progressing on-schedule to start providing solutions from 4Q of this fiscal year.

1

2. Expand IoT payments by supporting contactless (tap) and unattended payments

2

CAGR25%1¥8.0-8.3
billion¥18～20billionVertical⚫ The MaaS (Transit) domain is expanding, driven by a recovery in inbound demand.
⚫ In the face-to-face area, awareness of credit card touch payment is increasing and usage rates continue to rise.

¥2.5～3billionVertical

Stock, Spread3¥0.5～1billion4

Stock, Fee⚫ Development of payment platform for JTB (C to REX terminals) completed on schedule. Already released.
⚫ Automated systemization of billing and payment functions for merchants was completed in June, contributing tointernal operational efficiency and merchant DX

Labor force saving
support through selfcheck out register etc(Vertical expansion)

Horizontal¥0.1-0.2
billion⚫ Preparations underway to support new V-Point* (* Integration of T-Point and old V-Point, scheduled for spring 2024)⚫ Started to consider providing payment solutions for major shopping centers and department stores. Plans to develop
proprietary point-related solutions.
⚫ Accumulate solution assets and promote further Vertical development.

Horizontal
expansion2

3

4. Increase added value by strengthening processing center functions

Horizontal¥1.0-1.3
billionInitial, Stock, Fee

3. Acquire large accounts through expansion of alliances with QR, points, etc.

FY2026 Rev. level (assumption)

4¥0.2-0.3
billionVertical

Copyright 2023 GMO Financial Gate, Inc.

Horizontal¥0.5～1billionVertical
expansion
Strengthen
・Fintech services
・Money services
・Data businessat appropriate timing25

4.2 Manned Terminal Topics

Action plans 1

2

3

4

Terminal installations for Japan Post were concentrated in 2Q and 3Q, and started operation in April,contributing to the expansion of various KPIs. Currently focusing on projects for the next fiscal year
and building up a well-balanced forecast without any bias toward any industry or business category.
Number of active terminals (manned terminals)（Unit :
thousand）

有人端末

FY2020
FY2021（単位：千台）FY2021

FY2021

FY2021

FY2022

FY2022

FY2022

FY2022

FY2023

FY2023

FY2023End Q4End Q2End Q3End Q4End Q1End Q2End Q3End Q4End Q1End Q2End Q3End Q1

Launched stera

32.9

+6.5

39.5

+8.9

48.4

+13.1

61.6

+13.5

75.2

88.3

+13.1

101.3

+13.0

118.7

+17.3

+14.0

Renewal of terminals for JTB’s “credit one-stop business”
From the fourth quarter of the current fiscal year

132.7

149.4

+16.6

162.7

+13.2

JTB provides a card payment service for lodging and tourist facilities. In preparation
for the arrival of a full-fledged cashless society, the service provides strong support toaccommodations and tourist facilities in their efforts to go cashless in response to thechallenges such as diversifying payment methods, increasing fees, and improving
operational efficiency.

YoY

(%)

(%)

+36.8

+80.8

(+22.6％)(+68.1%)+36.8

From next fiscal year Major Forecast Projects
Scale image of numberof units installed

JTB’s “credit one-stop business”：

199.5

QoQ

The size of the bubble represents the size ofthe expected transaction

JTB(Travel/Hotel)
Kanto region
supermarket

Kanto region
supermarket

Chain Food
& Beverage(fast food)cleaning

cinemaSports/Spectator
Facilities

SC /Department
StoresSC /Department
StoresTime axis image

Copyright 2023 GMO Financial Gate, Inc.

26

4.3 Point - Economic Zone solution through vertical expansion Action plans 1 2 3

4

Establishing a sticky payment platform by responding to the development of “Point”
Image of point economic zone formation through cashless

Development example for point business
Available
Scheduled to be provided in the future
Merchant A Merchant B Merchant C Merchant D Merchant E Merchant F Merchant G Merchant H

VerticalExpansion

Metropolitan
area 2022～

Parking lot
EV meterHotel/Inn

Tohoku area
2022～

Kansai area
Autumn 2023～

Kansai area Metropolitan area Chugoku area Metropolitan area Western Japan
Winter 2023～
2025～
Proposed
Proposed
Area Proposed

Retailer

Real Estate

Amusement

Retailer

Restaurant

Stadium Facilities
Real Estate
TravelHotel/Inn
Parking lot
EV meter
Bus/Railway

SC /Department store

Stadium
Facilities

Restaurant

AmusementSC /Department store

Common points

Expansion of services
by industry

Point
economiczone

Unique points

Bus/Railway

TravelJTB project will start from 4Q

SC /Department store

Copyright
GMOservice
Financial Gate, Inc.
①Payment terminal, ②Processing
center,2023③PSP

Stadium
Facilities

Public Service
Institution

Vending
machine

Parking lot
EV meterLaundry

Amusement

TravelWholesale

Real Estate

Office/School

Medical/Welfare

Hotel/Inn

Bus/Railway

Restaurant

Retailer

Horizontal Expansion

New

Expansion in customer industry

27

4.4 Expansion of Payment Platforms - Mobility Domain

Action plans 1

2

3

4

With the recent increase in the number of foreign visitors to Japan, mobility payments in urban areas
are on the rise. Provided services to 52 businesses in June operation results. Demonstration
experiment scheduled to start at Tokyo Metro from 2024.
Trends in the Number of Foreign Visitors to Japan and Mobility Payment Trends

Status of introduction in domestic public transportation

Changes in the number of foreigners visiting Japan

Number of operators of mobility in GMO-FG platform

June 2023：52 enterprises

250(28 prefectures)

200

60

(Unit: ten thousand people)

150

YoY+29 enterprises

100

23/6

23/5

23/4

23/3

23/2

23/1

22/12

22/11

22/9

22/10

22/8

22/7

22/6

22/5

22/4

22/3

22/2

22/1

21/12

21/11

21/9

40

21/10

21/8

21/7

21/6

21/5

0
21/4

52

50
21/3

50

Source: Compiled by Japan National Tourism Organization (JNTO) from "Number of Foreign Visitors to Japan

Mobility Settlement Trends (Number of cases)
30

23

20

Kansai Transportation A

Kyushu Transportation B

Hokkaido Transportation D

OthersKyushu Transportation C

Copyright 2023 GMO Financial Gate, Inc.

23/06

23/05

23/04

23/03

23/02

23/01

22/12

22/11

22/10

22/09

22/08

22/07

22/06

22/05

22/04

22/03

22/02

22/01

21/12

21/11

21/10

21/09

21/08

21/07

21/06

21/05

21/04

23/06

23/05

23/04

23/03

23/02

23/01

22/12

22/11

22/10

22/09

22/08

22/07

22/06

22/05

22/04

22/03

22/02

22/01

21/12

21/11

21/10

21/09

21/08

21/07

21/06

21/05

21/04

21/03

21/02

21/01

20/12

20/11

20/10

20/09

20/08

0

20/07

10

28

4.5 Expanding use of contactless NFC payment
The percentage of credit touch payments(also know as NFC, near field communication) at our center ison an upward trend. Growing awareness of the convenience of NFC is driving the future spread of credit
touch in the mobility field.
Credit and debit payments at our centers / Proportion of payment methods

100.0%

2.3%

2.2%

2.1%

2.0%

2.0%

NFC IC

Insert IC

1.9%

1.8%

Swipe

1.6%

1.6%

1.6%

1.5%

1.5%

1.6%

1.6%

78.5%

77.5%

75.9%

74.5%

72.8%

81.7%

80.1%

19.9%

21.0%

22.6%

24.0%

25.6%

23/2

23/3

23/4

23/5

23/6

90.0%
80.0%
70.0%
60.0%

87.9%

87.1%

86.2%

85.4%

84.5%

83.6%

82.8%

50.0%
40.0%
30.0%

YoY+14.9pt
20.0%
10.0%

9.7%

10.7%

11.7%

12.6%

13.5%

14.5%

15.4%

16.7%

18.3%

22/5

22/6

22/7

22/8

22/9

22/10

22/11

22/12

23/1

0.0%

Copyright 2023 GMO Financial Gate, Inc.

29

4.6 Expanding ESG support
Strengthening ESG related disclosure for aiming future step up to the upper division of Tokyo stock
exchange. We also focus on improving governance structure and human capital disclosure over the time.
Major Milestones

ESG Roadmap
Corporate value

FTSE Score Acquisition/Improvement Project LaunchedCompilation ofIntegrated Report

Present

MSCI score acquisition/
improvement project launched

Identification of ESG materiality

Enhanced disclosureof human capital• Consideration of the meaning, purpose, and issues of our promotion of ESG.
• Going forward, the Board of Directors will pass a resolution and will be
disclosed on the website.

Identification of
ESG materiality

Enhanced disclosure of human capital

FTSE Score Acquisition/Improvement Project Launched

done• Visualize data related to human resources, which we consider to be the mostimportant management resource.
• 2023/9 Assuming enhanced disclosure from securities report.

Non-fossil certificate
acquisition starteddone

CDP first response

done
Skill matrix creation

done

MSCI score acquisition/improvement project launched

HP/Sustainability page

• Visualize issues assuming that they will be scored in the near future.
• Aiming to improve the level of disclosure with an awareness of othercompanies in the same industry, as the scoring is based on relative evaluation.

done
done
Voluntary disclosure of
ESG initiatives

GHG calculation/
certification/SCOPE 1-3

IPO

2020

Time axis
2021

2022

2023

• Visualize issues assuming that they will be scored in the near future.
• Started considering countermeasures

2024

2025

Compilation of Integrated Report• We plan to create an integrated report from the perspective of enhancing
information disclosure in order to promote management that involves more
stakeholders.

Copyright 2023 GMO Financial Gate, Inc.

30

Supplemental Agenda
Financial Information, Investment and Shareholder Return Policies

5
Copyright 2023 GMO Financial Gate, Inc.

5.1 Profit & Loss
Gross profit margin declined due to changes in revenue composition, but operating profit margin
improved slightly on the back of increased revenue.

(Unit：Thousands)

Q3 FY2022
Cumulative（actual）

Q3 FY2023
Cumulative（actual）

YoY

Revenue

7,446,363

12,003,785+61.2%

COGS

5,511,729

9,103,131+65.2%

Gross profit

1,934,633

2,900,654+49.9%

SG&A

1,370,897

1,923,987+40.3%

Operating profit

563,736

976,666+73.2%

Ordinary profit

562,966

973,092+72.9%

Profit attributable to ownersof parent

358,129

613,308+71.3%

Copyright 2023 GMO Financial Gate, Inc.

32

5.2 Revenue by business model（YoY)
Continuing well-balanced growth in each revenue item

Initial

Stock

Fee

Spread

835
1,702
877

707
882
621
560
350
442

8,587

5,234
3,484

FY2021 3Q

FY2022 3Q

Copyright 2023 GMO Financial Gate, Inc.

FY2023 2Q

33

5.3 Revenue by business model (Quarterly)
Initial posted a record high quarterly revenue by a large margin thanks to the development of large
franchised stores. Each recurring-model also grew, and spreads, which had lagged behind, continued
to recover.
まん延防止等重点措置（Unit :
millions of yen）

Q1
FY2021Q2
FY2021Q3
FY2021Q4
FY2021Q1
FY2022Q2
FY2022Q3
FY2022Q4FY2022Q1
FY2023Q2
FY2023Q3
FY2023

Initial

855

1,103

1,525

1,682

1,454

1,643

2,136

1,927

2,220

2,905

3,461

Record high for the quarter

Recurring-model

430

427

495

569

686

683

841

921

1,047

1,091

1,277

Stock

135

145

160

182

185

206

229

244

259

283

334

Fee

101

99

149

183

261

259

361

434

519

539

643

Spread

193

181

185

203

239

217

250

242

268

268

299

Total

1,286

1,531

2,020

2,252

2,141

2,327

2,978

2,849

3,267

3,997

4,738

Copyright 2023 GMO Financial Gate, Inc.

34

5.4 Changes in Revenue Composition and Changes in Gross Profit Margin
Although it was on a downward trend due to changes in the revenue composition, it is gradually
bottoming out. In 3Q, initial revenue increased, but there were many profitable consumables revenue,
and the gross profit margin improved QoQ.
Decrease in gross profit rate due to increase in initial revenue and stera composition ratio in initial

Initial

18.0%
7.6%
11.2%

46.6%

17.0%
6.6%

Stock

15.9%

Fee

20.9%
9.3%

16.4%

15.0%

7.9%

10.2%

11.1%

SpreadGross profit margin

11.9%
6.5%
9.5%

9.2%

9.0%

7.4%

8.2%

7.9%

8.1%

9.4%

8.4%

8.5%

8.2%

11.1%

12.1%

15.3%

15.9%

8.9%

7.7%

8.6%

7.9%

67.9%

70.6%

71.8%

67.7%

67.9%

28.2%

26.1%

11.2%
12.2%
8.7%

10.6%

6.3%

13.5%

13.6%

7.1%

7.1%

72.7%

73.0%

15.4%

37.4%

36.3%

33.5%
75.5%

65.3%

74.7%

66.5%
57.5%

72.1%

54.4%

26.1%

22.8%

24.3%

Decrease in composition
ratio of initials
FY2020
1Q

6.7%

43.6%
47.7%

63.3%

Gross profit margin fluctuates around 25% depending on revenue composition

FY20202Q

FY20203Q

FY20204Q

FY2021
1Q

FY2021
2Q

FY2021
3Q

FY20214Q

FY2022
1Q

Copyright 2023 GMO Financial Gate, Inc.

FY2022
2Q

29.3%

25.8%

Concentrated sales of highly
profitable consumables
FY2022
3Q

FY20224Q

FY2023
1Q

22.6%

24.4%

Sales of highly profitableconsumables increased
FY20232Q

FY20233Q

35

5.5 Balance sheet
Inventory levels declined as shipments progressed, but maintained a level capable of meeting strong
demand. Refinancing with an eye on interest rate trends and ensuring liquidity on hand.
◼ Points
End of Q3 FY2023（Thousands of yen）
Cash & Cash equivalents(32.3%)

Current liabilities

2,114,779

2,779,777
Non-current liabilities

1,540,780
Merchandise (Payment terminal)・Merchandise: ¥2.73 billion
Decrease of 398 million yen from the end of 2Q due toincreased shipments due to robust demand. There is no
problem with the purchase status.
・Current Liabilities: ¥2.11 billion
Short-term borrowing of 500 million yen refinanced to longterm borrowing.

2,733,492

Other current assets

1,412,175

Total net assets(57.6%)

4,962,013

・Non-current liabilities: ¥1.54 billion
Implemented new long-term borrowing of 1,000 million yen,including refinancing of short-term borrowings.

Non-current assets

1,692,127

Asset

Total liabilities
and net assets

・Cash and Cash Equivalents: ¥2.77 billion
Increased by 589 million yen from the end of 2Q due toinventory reduction and borrowing.
Copyright 2023 GMO Financial Gate, Inc.

36

5.6 Balance sheet (Quarterly)
Q4
FY2021Q1
FY2022Q2
FY2022Q3
FY2022Q4FY2022Q1
FY2023Q2
FY2023Q3
FY2023

QoQ

YoY

Cash and cash equivalents

3,434

1,425

1,618

2,231

2,519

1,720

2,190

2,779

+589

+548

Merchandise

1,615

2,177

2,523

1,545

1,507

2,511

3,131

2,733

-398

+1,188Others

741

868

1,007

884

990

1,527

1,520

1,412

-108

+528

Non-current assets

1,347

1,409

1,445

1,497

1,622

1,567

1,651

1,692

+41

+195

Total assets

7,136

5,879

6,593

6,157

6,638

7,326

8,493

8,617

+124

+2,460Current liabilities

2,720

1,538

2,135

1,575

1,929

2,801

3,221

2,114

-1,107+539

Non-current liabilities

40

37

33

30

39

39

540

1,540

+1,000+1,510Net Asset

4,376

4,304

4,425

4,552

4,671

4,485

4,732

4,962

+230

+410

Total liabilities and net assets

7,136

5,879

6,593

6,157

6,638

7,326

8,493

8,617

+124

+2,460（Unit : millions of yen）

Current
assetsAsset

Liabilities

Copyright 2023 GMO Financial Gate, Inc.

37

5.7 Consolidated KPIs（Number of Active Terminal）
Steady increase in the number of active terminals driven by manned terminals.
Steady expansion of unmanned terminals in response to the trend toward self-service and labor-saving.

（Unit:
thousand）

FY2021Q1

FY2021Q2

FY2021Q3

FY2021Q4

FY2022Q1

FY2022Q2

FY2022Q3

FY2022Q4FY2023Q1

FY2023Q2

FY2023Q3Manned

39.5

48.4

61.6

75.2

88.3

101.3

118.7

132.7

149.4

162.7

199.5

30.0

31.8

33.9

40.1

42.4

44.2

45.8

47.6

49.5

52.3

54.1

Sold by others

18.8

18.8

19.0

18.6

19.2

18.9

19.2

19.1

19.1

18.8

19.5

Total

88.4

99.1

114.7

134.0

150.0

164.5

183.7

199.5

218.1

233.9

273.2

Unmanned(IoT)

Copyright 2023 GMO Financial Gate, Inc.

QoQ
(%)

YoY
(%)

+36.8

+80.8

(+22.6％)(+68.1％)

+1.8

+8.3

(+3.5％)(+18.2％)

+0.6

+0.3

(+3.4％)(+1.7％)

+39.3

+89.5

(+16.8％)(+48.7％)38

5.8 Progress of GMV by quarter (vs. original plan)
Steady progress toward the mid-term target of ¥5 trillion in GMV
Continued expansion of scale and progress rate on par with past results in this fiscal year
FY2021 (Actual)

Percentage of GMV progress against initial plan
FY2021

FY2022

FY2023Plan
Result0.9trillion yen
1.1trillion yen

25.9%
1Q

29.2%
25.0%

FY2022 (Actual)
52.1%
2Q

Plan
Result

57.9%
50.5%

1.8trillion yen
2.5trillion yen

87.0%
3Q

94.8%
79.9%

FY2023 (In process)

Excess overinitial plan

Plan
Result129.4%
4Q

136.7%

0%

20%

40%

60%

80%

100%

120%

140%

160%

Copyright 2023 GMO Financial Gate, Inc.

3.7trillion yen
2.9trillion yen(3Q)

FY2024～FY2025：¥5 trillion
395.9 Capital Allocation Policy
Aim to achieve continuous business growth in accordance with the investment funding policy andcapital allocation policy
Investment Source Funding Policy⚫

Priority of investment resources
Interest-bearing debt, (3) Equity

Capital Allocation Policy(1) Operating cash flow, (2)⚫

Priority will be given to business investment and growthinvestment in accordance with our business strategy, while atthe same time, we will continue to provide a certain level ofshareholder returns.

Business Investment(1) Operating Cash Flow
Leverage operating CF from continuous profit growthBusiness investment to implement market share expansion strategy(2) Favorable sub liabilities, etc.
Flexibly consider the use of interest-bearing debt in accordance with ourinvestment policy based on our financial condition, market environment, andinterest rate levels

Growth Investments
Strategic investments in preparation for profit margin increase strategy(3) Equity
We will make a comprehensive evaluation of the stock price level, market
environment, financial condition, and other factors. and financial conditions,etc., and consider capital procurement to realize continuous business growththrough investment. Consider capital procurement to achieve sustainablebusiness growth through investment based on a comprehensive assessmentof stock price levels, market environment, financial conditions, etc.

Shareholder Returns
Stable and continuous dividend payments while securing internal reserves forbusiness and growth investments to support continuous business growth

Copyright 2023 GMO Financial Gate, Inc.

40

5.10 Investment Policy
Proactive business investment to execute "market share expansion strategy" necessary for medium tolong-term operating profit growth of +25% YoY
Growth investment

Business investment
・Investments in data centers, terminal development, and internal
systems
Main
Investment
TargetBasic
Investment
Policy・Investment in human resources (organizational enhancement, hiring,
performance-linked compensation, etc.)
・Development investment for IoT (mobility), touch settlement intransportation systems (trains, buses, etc.), and labor-saving/selfsupport

・In principle, business investments are made within the budgetedframework based on the assumption that the profit plan will beachieved, and additional investments are made according to theprogress of actual performance.

・Support for cashless transactions in the area of small and medium-sized
merchants
・New business related to money services/payment
・Data service/marketing support business・Building alliances (business alliances, capital tie-ups, etc.)

・Careful verification of business profitability and growth potential
・Start lean and small
・Expand investment limits in phases where return on investment is
expected

Copyright 2023 GMO Financial Gate, Inc.

41

5.11 Shareholder Return Policy
Aiming to increase corporate value through business growth while providing stable and continuous
dividends simultaneously
Basic Policy on Shareholder Returns
Increase in corporate value

Stable and continuous dividends

・Aim to increase market capitalization over the medium tolong term through continuous business growth
To increase net income attributable to shareholders throughbusiness growth in revenue (CAGR 25%) and operating
profit (+25% YoY or more) . Increase net income attributable
to shareholders through business growth・Stable and continuous dividend payments
Aim for shareholder returns of 50% or more while
ensuring capital needs and internal reserves to support
business growth (currently in place).

Copyright 2023 GMO Financial Gate, Inc.

42

Supplemental Agenda
ESG Initiatives (Details)

6
Copyright 2023 GMO Financial Gate, Inc.

6.1 (Reposted) Expanding ESG support
Anticipating continuous improvement in corporate value, advanced ESG measures ahead of others.
future step up. In anticipation, proactively implement enhancement of governance system andpersonnel disclosure.
Future major todo
(Preemptively respond from the growth market)

ESG Roadmap
Corporate value

FTSE Score Acquisition/Improvement Project LaunchedCompilation ofIntegrated Report

the current

MSCI score acquisition/
improvement project launched

Identification of ESG materiality

Enhanced disclosureof human capital• Consideration of the meaning, purpose, and issues of our promotion of ESG.
• Going forward, the Board of Directors will pass a resolution and will be
disclosed on the website.

Identification of
ESG materiality

Enhanced disclosure of human capital

FTSE Score Acquisition/Improvement Project Launched

done• Visualize data related to human resources, which we consider to be the mostimportant management resource.
• 2023/9 Assuming enhanced disclosure from securities report.

Non-fossil certificate
acquisition starteddone

CDP first response

done
Skill matrix creation

done

MSCI score acquisition/improvement project launched

HP/Sustainability page

• Visualize issues assuming that they will be scored in the near future.
• Aiming to improve the level of disclosure with an awareness of othercompanies in the same industry, as the scoring is based on relative evaluation.

done
done
Voluntary disclosure of
ESG initiatives

GHG calculation/
certification/SCOPE 1-3

IPO

2020

Time axis
2021

2022

2023

• Visualize issues assuming that they will be scored in the near future.
• Started considering countermeasures

2024

2025

Compilation of Integrated Report• We plan to create an integrated report from the perspective of enhancing
information disclosure in order to promote management that involves more
stakeholders.

Copyright 2023 GMO Financial Gate, Inc.

44

6.2 ESG Initiatives / Environment
In the provision of our payment platform, we promote business operations that consider environmental
impactSpecific Efforts

Environment Related Data
Our Supply Chain⚫
⚫

Provide electronic storage services for sales slips to reduce
the number of receipts (paper rolls)⚫

Use of environmentally friendly materials for payment
terminal components⚫

Reuse of payment terminals returned by merchants as
replacement terminals (refurbished terminals) in the event ofmalfunctions, etc.

GMO-FG

upstream

Recycled paper is used for receipts (paper rolls) used ateach payment terminal.

SCOPE 3SCOPE 1SCOPE 2

Procurement, Manufacturing and
FuelElectricity use
Distribution
Combustion
payment
terminal

Sales ofroll paper-

downstream

SCOPE 3Use and disposal

Office,Settleme
Payment
nt Centers
Terminal Use

Supply chain CO₂ emissions

FY 9/2022

SCOPE 1 (t-CO2)

0

SCOPE 2 (t-CO2)

105

Electricity consumption for SCOPE 1 and 2 (kwh)Payment
terminal
Disposal

231,210(Reference) Data on SCOPE 3 is being collected for future disclosure in cooperation withpayment terminal manufacturers, etc.
* The subject companies are GMO Financial Gate, GMO Card Systems, and GMO Data, a consolidated group ofcompanies.

* Data for SCOPE 1 and 2 will be verified by a third-party verification organization in the future.

Copyright 2023 GMO Financial Gate, Inc.

45

6.3 ESG Initiatives / Social
Aiming for sustainable growth by hiring excellent human resources and enhancing various systems
that contribute to improving the capabilities of all partners* in order to create corporate value and solve* We refer to our employees and other officers and employees as "partners.
social issues
Specific Efforts

Social Related Data
FY 9/2022⚫ Human Resource Development and Welfare System•

career design system ： System to provide advice and support on
career development•

360-degree multidimensional evaluation system ： A system thatallows partners to evaluate their supervisors without a name.

•countermeasures to the falling birthrate ： Financial benefits andspecial exceptions for work at various stages of marriage, childcare, etc.

Promote a telework work system that takes into consideration the safetyof executives and employees

124 persons(Breakdown) Number of employee partners

96 people(Breakdown) Number of temporary partners

28 people

Percentage of women among employee partners

22.8%

Percentage of women in management partners

14.3%

Average years of service⚫ work-style reform•

Number of Partners

3 years and 7 months

average age

40 years old

job turnover

9.5％

•

Promotion of maternity and paternity leave*Number of partners" covers the consolidated corporate group GMO Financial Gate, GMO Card Systems, and GMO Data.

•

Encouraging shorter working hours for childcare*Number of partners" is the total number of regular employees, rehired employees, contract employees, and seconded
employees (excluding employees seconded from our group to outside the group, but including employees seconded fromoutside the group to our group) as of the end of FY9/2022.

•

Providing post-retirement reemployment opportunities•

Providing an hourly annual leave system, etc.

*Number of temporary partners" is the average total number of part-timers and temporary employees during the past year.
* Figures for "Ratio of women among employee partners" and "Ratio of women among management partners" are for"employee partners.
* Average years of service, average age, and turnover rate are non-consolidated figures for GMO Financial Gate.

Copyright 2023 GMO Financial Gate, Inc.

46

6.4 ESG Initiatives / Governance
Focus on enhancing corporate governance by establishing a decision-making structure that responds
quickly and appropriately to changes in the business environment and a fair, transparent, and efficientbusiness execution structure
Governance Related Data

Specific Efforts•

Establishment of a new management committee for agile
management decision making

Percentage of Independent Outside Directors andPercentage of Female Directors

FY 9/2022
seven people

Number of directors
Number of independent outside directors (%)

two people (28.6%)

Number of female directors (%)

one people (14.3%)*Number and percentage of directors expected to be in office as of December 31, 2022

Attendance rate at Board of Directors meetings (FY9/2022)
Number of
times
implemented

17 times

AoyamaFukuda

Koide

Shimamura

AsayamaPresident andchairman of board
Representativeof directors
Directorboard member

board member

board member

Independent
Outside Director

Independent
Outside Director

Number of
Attendances

17 times

17 times

17 times

17 times

14 times

17 times

14 times

attendance
rate

100％

100％

100％

100％

100％

100％

100％

Number oftimes/percen
tage

TakanoSugiyama* Directors in office as of the date of submission of this document (12/9/2022)*For directors appointed during the term, indicate the number and rate of attendance since their appointment.

Board of Statutory Auditors (FY2022/9)
Number of times
implemented

14 times

Number oftimes/percentage
Number of Attendances
attendance rate

Nagasawa

Ozawa

Independent Outside
Corporate Auditor

Independent Outside
Corporate Auditor

auditor

14 times
100％

14 times
100％

14 times
100％

IR Activities

FY 9/2022

Financial Results Briefing

４ times

1-on-1 meeting

267 cases

Group meetings sponsored by brokerage firms

３ timesIinuma* 1-on-1 meetings include brokerage-sponsored conferences (1-on-1 format)

Copyright 2023 GMO Financial Gate, Inc.

47

6.5 ESG Initiatives / Board of Directors
Governance structure built around technology and financial background
Internal Director (Managing Director)
Kentaro Sugiyama ／President and Representative Director
Worked in the systems industry for 14 years with clients in thefinancial industry; joined GMO-FG in May 2017 after having worked
for GMO-PG since 2014; became President and Representative
Director in December

Akio Aoyama ／Director, General Manager of Sales Division
Worked in the systems industry for 21 years with clients in thefinancial industry; joined GMO-FG in April 2018; became Director in
December 2018, responsible for Sales Division; also President andRepresentative Director of GMO Data since August 2019

Tomonaga Fukuda ／Director, General Manager, System Division
18 years in the systems industry, working with clients in the financial
industry; joined GMO-FG in September 2019, appointed as Director
in December 2020, in charge of the Systems Division

Tomoki Tamai ／Director, General Manager, Administration Division
Engaged in sales and corporate affairs at major banks and operatingcompanies; joined GMO-FG in August 2021; appointed Director in
December 2022; in charge of Administration Division

Director concurrently serving as GMO-PG
Tatsuya Koide ／ Director
35 years in the systems industry, working with clients in the public
and manufacturing industries Joined GMO-PG in September 2021,
also serving as Director of GMO-FG Appointed Senior Executive
Officer of GMO-PG in December 2021

Independent External Director
Nao Shimamura ／ External Director
Engaged in legal practice in the legal industry for 15 years; appointed
as an outside director in September 2019 (appointed as an outside
director because he has the knowledge and experience to makedecisions on important management matters of the Company and tosupervise the execution of business operations in an accurate andfair manner).

Rie Asayama ／ External Director
Engaged in finance-related business for 36 years at a major banking
group; appointed outside director in December 2021 (appointed as
outside director because of his experience in promoting diversity andas executive vice president of a general business company).
Definition of notation
GMO-FG: GMO Financial Gate, GMO-PG: GMO Payment Gateway

Copyright 2023 GMO Financial Gate, Inc.

48

6.6 ESG Initiatives / Executive Skills Matrix
Appointment of human resources that contribute to the enhancement of corporate value as directors,
with a view to building a system that enables the Board of Directors to function effectively.

* GMO-ism is the collective name for the company motto and company precepts that express the "Spirit Venture Declaration" and "55-Year Plan," the unchanging goals of the GMO Internet Group, as well as "Executive
Principles" and "Laws of Victory.
* Describes directors in office as of March 31, 2023.

Copyright 2023 GMO Financial Gate, Inc.

49

Supplemental Agenda
Appendix

7
Copyright 2023 GMO Financial Gate, Inc.

GMO-FG Business Domain

Business Model

GMO-FG is focusing on offline payment（リアル店舗決済 ＋ IoT決済）

Company nameBusiness
Domain

GMO Financial Gate
(Payment at Brick & Mortar + IoT)

GMO Payment Gateway(EC)

Payment by passing card/QR codeover the reader

Payment by entering credit card
information in PC / mobile phone

Payment terminal

EC (terminal is unnecessary)

Payment
methodMedium• Physical hardware network• Proprietary programming code specifications• Regulation

Copyright 2023 GMO Financial Gate, Inc.

51

Rev Models: Financial Gate vs. Payment Gateway

Business Model

Initial revenue in offline payment is tend to be fluctuate because of its seasonality of terminal delivery

Revenue

Revenue

１Q

２Q

３Q

４Q

Time

１Q

１Q

２Q

３Q

４Q

Initial Revenue（Terminal Sales・Software Development）

Initial Revenue（Initial Set up Fee, etc…）

Stock, Fee, Spread Revenue

Stock, Fee, Spread Revenue

Copyright 2023 GMO Financial Gate, Inc.

１Q

Time

52

Three Biz Models Over a Single, One-Stop Platform

Business Model

One-stop platform covering all settlement processes between merchants and acquirers
Consumer

Merchants

FG

Various
Payment
Methods

Terminals

1
Payment
Terminal

Various Payment
Methods

Acquirers

Terminal Sales
Business

Credit Card Issuer

Flow Revenue

Bank
Payment
Terminals

Payment Scene

2

RetailRestaurants

Service

Mobility

Payment
Processing

Payment Processing
Business

Payment
Processing

E-Money Vendors

Recurring Revenue

etc

Points Vendors
Purchase

IoT

Vending Machines/
Coffee Machines
Checkout Machines(Country Club/
Hotel)

3
Acquiring
Business

Comprehensive
Clearing

Clearing

QR Code Payment
Vendors

Recurring Revenue

Metered Parking
etc
EV Meter

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53

Stock Revenue Expansion Originating From Terminal Sales

Business Model

Stock revenue grows with flow model revenue which is mainly coming form the sales of payment
terminals
Revenue Model

Flow Model Rev

3 Business

4 Types of Revenue%(FY2023 Q3
cumulative)

Initial

71.5％

Stock

7.3％

Fee

14.2％

Spread7.0％① Terminal
Sales
Business② Payment
Processing
Business

Recurring
Model Rev
③ Acquiring
Business

Copyright 2023 GMO Financial Gate, Inc.

54

Players in offline cashless payment setting

Business Model

Sales activity to merchants/Clearing of merchant transaction
offlinePayment Processing
CenterMerchants

Offline market
POS vendor

Terminal manufacturer
Domestic makerOverseas maker

Processing center (CCT)

Payment
Network

Domestic network

Acquirer

International network

Card company
Bank etc

Legacy POS
Mobile POS

Vending machine manufacturers /Self checkout register manufacturers

Financial
Institutions

Payment Brand

ASP center (POS)
E-money center

Code payment gateway

Int’l card brandE-money
Domestic code payment
Foreign code payment

Acquiring Partner
Mobile POS

Our monetization points
Initial Revenue
Stock Revenue※Activation of payment terminals～Connect to our processing center

Alliance partner

Fee Revenue※Booked in stock revenue occasionally depending on contract type※Excluding roll paper sales

Copyright 2023 GMO Financial Gate, Inc.

Spread Revenue

55

CCT (Credit Center Terminal, ⇒Card company-owned terminal)

Business Model

CCT(Credit Center Terminal)
It is a terminal name authorized by the information processing center (CCT Center) designated by the Japan Credit Card
Association (JCCA) and operated in accordance with the guidelines, etc., established by the JCCA. A single card company
owns the terminal on behalf of another card company and lends it to a merchant for installation. Multiple card companies
jointly use the terminals and pay usage fees to the card companies that installed themMerchants
From the installing cardcompany Loaned/provided
terminals

CCT rental and provision

Installed card company
Owns the terminals andbear the associated costs

Agreement
Terminal Application
DLL Information※
Information Processing

Merchant
Information
Terminal usage
Usage Fee Settlement
fee(Settlement)
Data Provision
Japan Credit Cards
Association(JCCA)

Agreement

Center(CCT Center)
GMO-FG, INFOX, etc.

DLL Information

Carpooling Card Company A

Merchant information sharing

Carpooling Card Company B

Terminal usage fee (payment)

Carpooling Card Company C※DLL (down line loading) information
Information used to link the terminal identification number to the merchant number.
In CCT, the terminal identification number is issued by the card company that installed the terminal identification number.

Copyright 2023 GMO Financial Gate, Inc.

Pay usage fees to installed credit cardcompanies according to terminal usage
according to the use of the terminal

56

Merchant POS (Merchant-owned terminals)

Business Model

Merchant POS
In general, POS (Point of Sales) is a generic term for a service that provides information on sales performance trends such as
the date, time, quantity, and price of products sold, but in the credit industry, the term merchant POS is customarily used torefer to all terminals capable of processing credit card transactions that are not CCT terminals. In a merchant POS, themerchant itself owns the terminal, prepares the card payment environment, and makes a separate contract with the credit
card company. While this requires more time and effort on the part of the merchant, it also allows for a more flexible designthat is not bound by the JCCA (Japan Credit Card Association) guidelines
Merchants
Own terminal

Agreement

Merchants pay roll paper cost andelectronic receipt storage cost

Japan Credit Cards
Association(JCCA)

Contracted
credit cardcompany A

DLL Information※

Agreement
Information Processing Center(merchant POS centers)
GMO-FG, INFOX, etc.

Agreement
Contracted
credit cardcompany C

Contracted
credit cardcompany B※ DLL (down line loading) information
Information used to link the terminal identification number to the merchant number.
In merchant POS, the terminal identification number is issued by the merchant.

Copyright 2023 GMO Financial Gate, Inc.

57

Image of rise in Rev & OP

Business Model

Phase1: Focus on sales/activation of payment terminals and revenue will be fluctuated.
Phase2: Expansion of Recurring-Model revenue

Increase of Market Share (approx. up to 2025)

Rise in Profit Margin

Revenue: Increase at a CAGR of 25% or more, although the extent of increase will vary from period to period

Operating profit: Continue to grow 25% or more every fiscal year
RevenueOP

Sales may fluctuate significantly from period to period

Copyright 2023 GMO Financial Gate, Inc.

58

Leveraged Growth Model

Business Model

Fee and spread revenue are expanding with the market /growth in membership merchants

Leveraged Growth
N＋1
Recurring revenue

N
Recurring revenue

Recurring-Model Revenue
SpreadLinking with the growth of
TAM / membership merchants

Fee

Stoc-model
revenue before N-1

Stock
Q1
1Q

Q2
2Q

Q3
3Q

NN期

Q4
4Q

Q1
1Q

Q2
2Q

Q3
3Q

N+1
N+1期

Q4
4Q

Q1
1Q

Q2
2Q

Q3
3Q

Linking with the number ofaffiliated merchants

Q4
4Q

N+2
N+2期

Stock
N-1期（ストック）Fee
N-1期（フィー）SpreadN-1期（スプレッド）

N期（ストック）
Stock

N期（フィー）Fee

N期（スプレッド）SpreadStock
N+1期（ストック）

Fee
N+1期（フィー）SpreadN+1期（スプレッド）

Copyright 2023 GMO Financial Gate, Inc.

59

Difference between the number of terminals sold and the number of active terminals

Business Model

Initial revenue = Number of terminals sold × Average selling price per terminal + Accessory sales + Development sales
Number of active terminals = Number of terminals that have processed payment at least once in the quarter
Image of quarterly balance in“Terminals sold" and "new active terminals”

Time lag between terminal sales and activation
Terminal sales(Initial Revenue)

Start of activation(Recognition of recurring-model revenue begins)Start ofactivation

Terminal A

There is a time lag between the time of terminal sales and the time of activation.
The time lag varies depending on the contract, terminal model, and other factors.

N+2months

New active terminals : disclosed⇒Unrelated to average terminal selling price

Recurring-model revenue

Start ofactivation

Terminal C
N+1month

Number of units sold : notdisclosed⇒Needed for average terminal
unit price calculation

Recurring-model revenue

Start ofactivation

Terminal B
N

Depending on the timing of projects,
there are quarters in which thenumber of active terminals exceeds
the number of terminals sold.

Number of terminals soldNumber of new active terminals

Recurring-model
revenueN+over six months

・Even if a company sells terminals, it will not generate recurring revenue unless the terminals are in
operation. We place importance on the number of active terminals, which is the source of recurring
revenue, and disclose it as a KPI.
・Initial sales ÷ increase in the number of active terminals" ≠ average unit price per terminal

Randomquarter

Randomquarter

Randomquarter

Randomquarter

Randomquarter

Randomquarter

Randomquarter

Randomquarter・Sales and capacity utilization both rise and fall each quarter, depending on the project, and are
not completely linked.
・However, there are also quarters in which "utilization > sales" due to simultaneous utilization oflarge projects, etc.
・However, there are also quarters when "utilization exceeds sales" due to large projects going
into operation simultaneously, etc.

Copyright 2023 GMO Financial Gate, Inc.

60

Details on each revenue ①
InitialBusiness Model

Content

Payment terminal
sales

This is a sales revenue of payment terminals from merchants or credit card companies.
All of first, we purchase hardware from manufactures. And confirm certain measures of
payment methods that each merchant needs to accept. Then make these methods toconnect to our processing center（Occasionally, we put some customization to theseterminals)

Softwaredevelopment

It is a type of development that meets customers needs such as widening acceptablepayment measures and adding point-payment functionality

Stock

Rev Model• Terminal Selling Price × Units Sold
✓ There’re around 10 types of terminals✓ Price range is from about ¥20K up to ¥100K• No. of Deals × Ordered value✓ Since software development is tailor madetype revenue, deal size and margin vary fromtime to time

Content

Data sharing

It is a service that provides merchants with their daily sales data that go through ourprocessing center. We charge it as monthly fixed fee

Points＆QR

It is a service to add point/QR payment app to the terminals merchants have. We charge it
as monthly fixed fee

Rev Model• No. of contracts × Service Price

Rental(Mobile terminal)
Mobile SIM

It is a SIM card fee to use mobile type terminals. We charge it as monthly fixed fee

Processing

It is a processing fee based on monthly fixed rate

(Monthly fixed fee model)✓ Service price is around ¥500 to ¥1K per
terminal per month

It is a service to rent mobile type terminals that enable merchants to use them in wirelesssetting. We charge it as monthly fixed fee*Basically, it is defined as “Fee” revenue when it comes to the case we charge as Pay As You Go billing, not fixed rate

• No. of contracts × Monthly Fixed Fee✓ Monthly fixed fee will vary depending on thesize of contract etc..

Generally, the economics of services above vary depend on merchants. And there are services that some merchants do not apply
Copyright 2023 GMO Financial Gate, Inc.

61

Details on each revenue ②

Business Model

Fee

Content

Processing

It is a fee we charge toward monthly transaction volume based on the rate per transaction

Sales ofroll paper

This is a sales of roll paper that is used with payment terminals at stores

Rev Model• TRX Volume× Processing Fee

Electronic storageof sales receipts✓ Processing fee is about ¥2 to ¥3 pertransaction• No. of Order × Price of Roll Paper

Optional service to store vouchers electronically, sales to be billed based on the number ofpayment transactions subject to the contract✓ The price range of roll paper is about ¥130 to¥200.

• Number of settlement
processes subject to contract x
unit processing fee✓ Unit processing fee is about ¥1 per transaction

SpreadAcquiring（Settlement agent）

content
We charge spread fee (α) towards clearing amount to merchants
We received indicator rate (N) from acquirers, then we acquire merchants instead ofacquirers with the new rate (N+α＝merchant fee)

Copyright 2023 GMO Financial Gate, Inc.

Rev Model

GMV of Agent Contract
×
Spread fee we charge (about 0.3～0.4%)62Fee ARPU (Fee revenue divided by Transaction volume)

Business Model

Strengthening electronic slip storage services in anticipation of a paperless society in the future.
Although there is a possibility of offsetting paper roll sales in the future, currently it is a factor that
increases the unit price of fee◼ Fee ARPU（Fee revenue divided by Transaction volume）

6.00

Low
5.50

4.92
5.00

High

4.94

4.71

③
②
①

4.39

4.50

4.03
4.00

5.00

Image of linkage ratio to the number oftransaction volume

3.87

3.78

4.12

3.74

3.59

Electronic voucher storage fee

Growing trend of subscriptions

Roll paper sales
Processing fee
Number of transaction volume

3.50*Length is an image and does not reflect actual numbers or scale

3.00
FY2021
1Q

FY2021
2Q

FY2021
3Q

FY20214Q

FY2022
1Q

FY20222Q

FY2022
3Q

FY20224Q

FY2023
1Q

FY20232Q

FY20233Q

Copyright 2023 GMO Financial Gate, Inc.

63

Number of Employees(Consolidated basis)

Business Model

Plans a net increase of 15 to 20 employees per fiscal year to achieve the management benchmarks.
Assumed composition of work force is approximately 40% sales, 40% systems, and 20% administration

Plan to hire 15-20 people (consolidated basis) each fiscal year
Plans
130
Sales

115
SystemAdministration

96

100

104

Sales：
Talents who can build alliances andpromote solutions to merchants'
issues.

108

81

System：Talents who can promote strategies
to leverage digital technologies.

58

Administration：
Talents who can promote theestablishment of an advanced
management system in line withbusiness expansion.
End of Q4
FY2020End of Q4
FY2021

End of Q4
FY2022End of Q1
FY2023End of Q2
FY2023End of Q3
FY2023End of Q4
FY2023Copyright 2023 GMO Financial Gate, Inc.

End of Q4
FY202464

Concept of Spread revenue ratio to GMVBusiness Model

Our total GMV is the sum of ①and ②below. Spread revenue is generated only in the case of ②Agent
contract. Since ① also contributes significantly to GMV, the linkage between total GMV and Spreadrevenue tends to decline
1①Direct contract

InitialMainly large merchants

The merchant discount rate (aka MDR) is deducted fromthe sales clearing. Remittance of sales amount without
MDR from acquirers to merchants is taken place.

Merchants

Stock

Acquirers

Use ofterminals

2②Agent contract

Enjoyable revenue

Directly acquiring

Fee

Payment processing

Acquiring

Offer a reimbursement rate

Mainly small medium merchants

Our
Spread revenue (B)Settlement of the amount(A-B) after deduction of
our agent fee

InitialStock

Remittance of sales
amount(A) after
deduction of the“reimbursement rate”

Fee

SpreadMerchants

Acquirers
Use ofterminals

Payment processing
Copyright 2023 GMO Financial Gate, Inc.

65

Relationship between number of active terminals & stock rev

Business Model

In addition to the increase in the number of active terminals, revenue opportunities for Stock revenue
will increase, but the status of subscriptions to paid services will differ depending on the needs/demandof merchants
Terminals we are offering

Merchants（Acquisition opportunity image of Stock revenue）
Stock Revenue
Non-Stock Revenue

Floor-Standing Model

Mobile Modelmerchant B
merchant A

Embedded Model

POS Model

merchant C

The status of subscriptions to paid services that
contribute to recurring revenue varies depending on
the type of merchants and terminals

merchant D
merchant F
merchant E
Copyright 2023 GMO Financial Gate, Inc.

66

Monetization by Payment Method

Business Model

We operate different business models according to payment method as a cashless platformer. Growthin each payment method contributes to our growth as well
Flow model revenue① Initial

Recurring model revenue➁ Stock③ Fee④ Spread

Credit・China Union Pay・J-debit＊
E-money＊

QR code

＊
Point

＊

House point・House E-money＊
Duty exemptionーーー*There is no "processing fee" that constitutes Fee revenue because the transaction is
not processed at our processing center, but the paper rolls consumed inconjunction with the transaction contribute to the increase of Fee revenue.

Copyright 2023 GMO Financial Gate, Inc.

67

Revenue Model by Merchant SizeBusiness Model

We mainly acquire medium- to large-sized merchants through alliances with major financial institutions.
We mainly acquire small merchants (=long tail segment) through our subsidiaries◼ Revenue model related to the size of merchant◼ Four types of revenue model① Initial

Terminal sales, Softwaredevelopment, Initial registration
fee, etc…

➁ Stock

Monthly recurring revenue,
communication fee of terminals, etc…

③ Fee

Processing revenue related to TRX
volume, Receipt paper sales, etc…

④ Spread

Commission fee based on TRX value

①

①

①

Large

➁

③

Medium

➁

③

Small

➁

③

④

④

④
：Main revenue stream

Copyright 2023 GMO Financial Gate, Inc.

：Realization of therevenue varies fromcontract to contract

68Medium-Term Strategy Acquiring major merchants by focusing on alliances

Business Model

Meeting customer needs through enhanced credit payment functions and alliances with QR / points
vendors

CreditJ-debitE-moneyHouse points

QR codeDuty exemption

Common Points

Terminals we offer

Floor-Standing Model

Mobile Model

Embedded Model

POS Model

Cashless Platform

Copyright 2023 GMO Financial Gate, Inc.

69

TRX-increase through cashless penetration

Business Model

TRX volume & value tend to go up in a few months to six months after the merchants introduced
cashless payment for the first time
◼ Merchant A（Tokyo） Monthly TRX trend
TRX Volume

TRX Value

Merchant

Cash only ⇒ Introduce cashless
payments
N
N月

N+1
N+1月

N+2
N+2月

N+3
N+3月

N+4
N+4月

N+5
N+5月

◼ Merchant B（Miyagi）Monthly TRX trend
TRX Volume

Consumer（Successful experience⇒change in payment method）

TRX Value

Merchant
N
N月

N+1
N+1月

N+2
N+2月

Recognize convenience

N+3
N+3月

N+4
N+4月

TRX volume/value
per terminal will increase◼ Merchant C（Wakayama）Monthly TRX trend
TRX Volume

TRX Value

Recurring-Model revenue
will increase
N

N月

N+1

N+1月

N+2

N+2月

N+3

N+3月

N+4

N+4月

Copyright 2023 GMO Financial Gate, Inc.

70

TAM(Total Addressable Market)

Market Environment

Transaction Value of cashless (face-to-face) payment is expanding rapidly, as the value of IoT /Unattended◼ Offline Transaction value in Japan
Private sector final
consumption expenditure in
Japan (includes cash
payments)◼ Potential market value of IoT/Unattended
Potential market size for
IoT/Unattended (our prediction)¥296 trillion*2(2021)* Due to the spread of coronavirus infection
Dropped to the same level as during the Lehman shock¥30 trillion*3(2020)¥128 trillion*1(2025)¥0.2
trillion¥89 trillion*1(2022)GMO Financial Gate Transaction value
in IoT/Unattended business¥2.5
trillion

Market foroffline cashless (face-to- face)payments

GMO Financial Gate TRX value(FY2022 Actual)◼ One of the measures to achieve a leap in operating income:Expand IoT/Unattended business driven by contactless payment(touch payment) and unattended registers(*1) Based on "Trends in the Breakdown of Cashless Payment Amounts and Ratios (2010-2022)" by the Ministry of Economy, Trade and Industry and "Actual Conditions and Future Forecasts of the Domestic Cashless Payment Market in 2022" by Yano Research Institute Ltd.
(*2) Excerpted from "Composition of Final Consumption Expenditures by Household Type" in "FY2020 National Accounts" by the Cabinet Office.
(*3) Based on the "Breakdown of Domestic Household Final Consumption Expenditure" by the Cabinet Office, Japan Vending Machine Manufacturers Association, and Japan Parking Business Association's "Survey on the Coin-operated (pay-by-the-hour) Automobile Parking
Market," etc. The potential market size of unattended parking facilities is calculated based on the market size of buses/rail ways, hotels/inns, amusement, vending machines, and parking lots/EVs, which are the areas where IoT/Unattended is expected to grow in the future.

Copyright 2023 GMO Financial Gate, Inc.

71

Growth trend of domestic offline cashless market

Market Environment

The market for offline cashless payments is currently ¥89 trillion, six times larger than the
online market. Cashless penetration is expected to rise to as much as 80%, driven by
government-led cashless policies（Unit : trillion yen）
Offline cashless market size (Left axsis)

Cashless penetration rate (Right axsis)

Online cashless market size (Left axsis)

80%

80％

140
127.7

70%

Long-term

116.3

120

60%

105.7
100

89.2

80

74.3

50%

40％

36.0%

66.5

40%

32.5%

60

30%
29.7%

40

20

20%
19.3

20.7

21.8

23.0

24.3

25.7
10%

0

0%
2020(actual)2021(actual)2022(Estimate)2023(Estimate)2024(Estimate)2025(Estimate)

Source: Cashless Roadmap 2022, PAYMENTS JAPAN; Yano Research Institute Ltd.

Copyright 2023 GMO Financial Gate, Inc.

72

Composition Ratio of Domestic Cashless Payment Methods

Market Environment

Even in an environment of significant growth in the proportion of QR codes, transaction value andvolume of credit continue to growTransaction Value
Composition

Transaction Volume
2019

2020

2021

2022

Credit

89.7%

86.8%

85.3%

84.5％

Debit

2.1%

2.5%

2.8%

E-money

7.0%

7.0%

QR code

1.2%

3.7%

2019

2020

2021

2022

Credit

60.7%

58.2%

55.3%

53.7%

2.9%

Debit

1.8%

2.3%

2.5%

2.6%

6.3%

5.5%

E-money

33.1%

27.1%

22.8%

19.9%

5.6%

7.1%

QR code

4.3%

12.4%

19.4%

23.8%

(Unit : trillion yen)

(Unit : 100 million)

Transaction value(absolute value)

120

CreditDebit

E-money

QR code100

80Composition

1.0
5.8
1.7

3.2
6.0
2.2

5.3
6.0
2.7

350
7.9
6.1
3.2

Transaction volume(absolute value)
Credit

Debit

70.4
49.0

200

73.4

74.5

QR code

250
8.2

27.2

60

40

E-money

300

81.0

93.8

150
100

20

50

62.3
3.8

59.2
5.3

58.8
57.4

7.7

6.5

114.2

127.0

139.4

2019

2020

2021

158.5

0

0
2019

2020

2021

2022

2022

Source: Cashless Roadmap 2022, Cabinet Office of Japan

Copyright 2023 GMO Financial Gate, Inc.

73

IoT/Unattended Market GrowthMarket Environment

The number of terminals is expected to be equal to or greater than the market for payment terminals inreal stores. Unattended market (= general term for vending/service machine market) is expected to
expand further due to changes in the external environment such as a decrease in the working
population◼ No of active IoT terminals
QoQ pace of net additions in 3Q (+1,800 units) andstrong sales. It piles up every quarter. Aiming for further
acceleration.

4.5 million◼ Push factors associated with changes in theexternal environment• Declining workforce• Labor-saving support

Unattended

Goods/
commodities

Tickets

Beverages/
sweet treats

MarketSelf-checkoutmachine(Golf/Hotel)（Unit : 1,000）• Obtaining inbound demand

40.1• Retailers moving into offices• Revision of the Pro-Sales Act

26.9• COVID-19
CoffeeMetered parking/
EV chargers

Self-checkout
registerCoin-operated
washing
machines

52.3

28.8 30.0

31.8

42.4

44.2

45.8

47.6

54.1

49.5

33.9

23.5

16.0

Q1
Q2
Q3
Q4
Q1
Q2
Q3
Q4
Q1
Q2
Q3
Q4
Q1
Q2
Q3
FY2020 FY2020 FY2020 FY2020 FY2021 FY2021 FY2021 FY2021 FY2022 FY2022 FY2022 FY2022 FY2023 FY2023 FY2023

OfflineMarket

4 million
Source: The Japan Vending System Manufacturers Association, Japan Ministry of Health Labor and Welfare, Yano Research Institute Ltd.

Copyright 2023 GMO Financial Gate, Inc.

74

Trends in the number of foreign visitors to Japan

Market Environment

The number of foreign visitors to Japan decreased sharply due to the COVID, but we are also focusing
on preparations for a recovery in demand
Number of visiting foreigners (annually)

Our inbound-related industry merchants（Unit : 10K）

6,000
Government’s target
by 2030

6,000

5,000
4,000

Aggressively cultivate merchants in related industries in
preparation for recovery of inbound demand
Drug store

3,000

3,000

(medicine/cosmetics)

High-end retail/
Department
store

IoT
Vending machines/Selfcheckout machines

Service/
LeisureOne dollar
shopElectronics
chain-retailers

Medical /ClinicAchieved back in 2018

June 2023 Cumulative
total up to thepreliminary report

2,000

Hotel/Travel

1,000

CY2030CY2023

CY2022

CY2021

CY2020CY2019CY2018CY2017

CY2015

CY20160

Publictransportation(Train/bus etc.)

Number of visiting foreigners (Monthly)

600,000（Unit : 10K）
350

Transaction volume

Hotel/Travel
Merchant B

June 2023: 2.07 million

300

500,000

Transaction value(GMV)

400,000

250

300,000

200

Seasonality＆
Quasi of SOE

150
100

200,000

100,000

50

23/6

23/5

23/4

23/3

23/2

23/1

22/12

22/11

22/10

22/9

22/8

22/7

22/6

22/5

22/4

22/3

22/2

22/1

21/12

21/11

21/10

21/9

21/8

23/4

23/1

22/10

22/7

22/4

22/1

21/10

21/7

21/4

21/1

20/10

20/7

20/4

20/1

19/10

19/7

19/4

19/1

21/7

0
0

*Source "Number of Foreign Visitors to Japan," Japan National Tourism Organization (JNTO)

Copyright 2023 GMO Financial Gate, Inc.

75

Our philosophy on growth strategies

Growth Strategy

Our growth strategy is based on the perspective of "a payment platform that provides value to society
as an infrastructure company supporting a cashless society”. We develop growth strategies focusing on“value creation”
growth strategy⚫ Market Share Expansion Strategy⇒Provision of multiple payment terminals, accumulation ofsolution assets through Vertical deployment⚫ Operating profit growth of +25% every fiscal year (Operating
profit 1.5 billion in FY2025, GMV ¥5 trillion)

Value⚫ GMO Financial Gate pursues the value of existence⚫ Progressive, growth, profitability, immediacy, rationality, social,diversity

Mission⚫ We support value creation for our customers by demonstrating a highlevel of professionalism and encouraging them to take the initiative.
⚫ We will contribute to the progress and development of society throughour strong will to develop and create new markets and by conducting
our business with integrity, fairness and honesty.

VisionRevolutionizing Payments: Becoming the No. 1 Cashless Platformer that Transforms Society

Copyright 2023 GMO Financial Gate, Inc.

76

Strategy to Maximize Transaction Value

Growth Strategy

We created a new payment processing route with alliance partners. This route increases GMV, as theroute reduces costs to participating merchants and acquirers

Merchants

Restaurants

Conventional
Route

RetailAcquirersCompetitor/Peer Terminals
Processing
Center

Payment
Network

1

2
Credit Card
IssuerServices

MeteredParking/
EV Meters
etc・・・

Reduced costs toparticipating
merchants

New GMO FG
Route

Vending
Machines

Cost Reduction

Bank

compared to conventional routeg a t e w a y
Global payment network

Reduced costs toacquirers

Cost savings via new route leads toimproved competitive capability of alliance partners
Copyright 2023 GMO Financial Gate, Inc.

77

Strategy to Maximize Transaction Value

Growth Strategy

Maximize GMV through a new processing network and by pursuing B-to-B alliances(*1)

Offline Cashless (face-to-face)Market (2025 E)
Offline Cashless (face-to-face)Market (2022 E)

GMV： ¥128 trillion/year
GMV： ¥95 trillion/year

Expansionof TAM

Continuous
GrowthAim to achieve
morethan 10x+α
GMV in toward 2030
with achieving
higher growth rate
than market.

Alliance partner
VJA (Visa Japan) Group,
including Sumitomo Mitsui Card
Company, Limited

GMO-FG(*2)

GMV：¥26.5 trillion/year

GMV：¥2.5 trillion/year

approx.

10x2022

2030～2035(*1) Source: Cashless Roadmap 2019, PAYMENTS JAPAN; Current Status and Future Forecasts for Online Payment Service Providers, 2018, Yano Research Institute Ltd.
(*2) Source: VJA

Copyright 2023 GMO Financial Gate, Inc.

78

Expansion of stadium installation cases

Growth Strategy

Catching the wave of resumed economic activity, mobile vending at stadiums, which used to be cashonly, is steadily increasing
GMO SONIC 2023 (2023/1)

Sports spectator facilities, etc.

⚫ Establish a completely cashless payment environment⚫ Promoting cashless facilities at professional sports spectator
facilities, etc.
⚫ More and more facilities are going completely cashless
to reduce cash management costs, etc.
⚫ For spectators, the convenience of cashless payment, suchas "contactless" and "reduced waiting time," is high andcontributes to a successful experience.

Installation area

Sequential expansion

Copyright 2023 GMO Financial Gate, Inc.

79

Progress in Unmanned Terminal (IoT) Business

Growth Strategy

Strengthening alliances in the unmanned terminal (IoT) field in response to the trend toward manpowersaving. Promoting various projects with an eye on future IoT-related data monetization.
Launched
To be released

Hotel/golf course self
checkout machine

Flow model biz

Recurring model biz

2023

2022
Oct

Dec

Mar

Jun

Delivery of approximately
40,000 payment terminals completed

2024
Sep

Dec

Mar

Flow model biz

・Orders for successor units of installed payment
terminals (delivery of terminals in 3Q, installation tostart in 4Q)・Fees and spreads on existing terminals remained
steadyReplacement of existing installed terminals

Fees and spread revenue from terminal operation
No change
since last time

Expansion into comprehensive business

Parking lot
checkout machine

Progress

Commenced full-scale operations for a major parking facility operator
Stock, fee, and spread revenues from terminal operations

Recurring model biz

Ticket machine

Flow model biz

Recurring model biz

Self checkout register

DX Deployment
DX: Digitalization of parking tickets, planning to unify online reservationand payment settlement
Growing demand associated with new lifestyles

Electronic money and QR codes
Development and certification completedExpansion of stock-type earnings
Adopted as a successor terminalof a major ticket vending machine vendor

Flow model biz

No change
since last time

No change
since last time

Plans for further expansion
No change
since last time

Flow model biz

Recurring model biz

・Received order for successor machine from a major
ticket vending machine vendor, an existing alliancepartner. Installation begins in 3Q.
・At several other ticket vending machine vendors
Completed development of electronic money and
QR code payments

Deployment in multiple smart stores

Recurring model biz

Beverage and vending
machines/Coffee Machines

・Commenced full-scale operations for a major parking
facility operator
・Development of e-money and QR code paymentscompleted at several settlement machine vendors
・Plans to expand to outdoor checkout machines
outside of parking lots
・Started linking member apps of major malls

Started installing new beverage vending machine vendors

・Started to introduce terminal-less payment system(code payment on LCD (code payment on LCD
panel) at cold food vending machines.

Switchover installation of terminals for beveragevending machines at highway SAs
Began installing payment terminal-less QR payment for cold food vending machines
No change
since last time

Copyright 2023 GMO Financial Gate, Inc.

・Installed terminals against self-checkout machines in
100-yen uniform stores and large shopping malls.
・ Plans to introduce the product to major restaurants
and other customers in the next fiscal year and beyond

・Installation of vending machines made overseas is
growing, with installation scheduled to start in Q3

80

Growth Strategies for 2025 and Beyond

Growth Strategy

For 2025 and beyond, we aim to grow recurring-model revenue in the payment-related field.
Aim at a continuous 25% growth in OP through business diversification：High inbound tourism demand

Image of service expansion

Area of focus
Money services / Payment related New Biz

OP (100 million yen)

• Fintech (Lending / Factoring / BNPL etc.)

Profitability increase phase100

Data service• DX/marketing support using payment data

OP of 25% or more
Continuation of growth curve
Money services/Payment related New Biz• Contactless payment processing fortransportation systems (trains, buses, etc.)

Data service

IoT (Vending / checkout machines)

Revenue

Diversification of alliancestrategies

IoT (Mobility)

Recurring-Model

Market share increasephase• With & post COVID-19 / labor-saving / selfservice support

IoT (Mobility)

Payment terminals (excluding IoT) / Payment processing / Acquiring

15
Payment Center• Continue to acquire a balanced
member merchant base, regardless of
size or industry, as our businessfoundation

Payment terminals(excluding IoT)

Payment terminals (excluding IoT) / Payment
processing / Acquiring

Initial & recurring-modelIoT (Vending /checkout machines)

Time
2021

2025

2035

Copyright 2023 GMO Financial Gate, Inc.

81

Data Services in the IoT Domain

Growth Strategy

Started providing payment data service for merchandise vending machines, contributing to recurringmodel revenue. Supporting merchants' operational efficiency improvement and sophistication (DX)using data
IoT
Payment
terminals

Appropriate stock replenishment and cash
collection

Vending machine operator

payment processing

Start providing data sharing service to merchandise
vending machines for food service (ramen, gyoza, etc.)⇒Contribution to recurring-model
revenueAchieve efficient staffing andfood loss reduction

Vending
machinemanufacturer

DX Support

Provide payment data (sales
information)

Present

phase ２DX in member merchants

New

Provide payment data (sales information) to alliance partners⇒Strengthen marketing and increase revenue by using sales
information (product, season, region, etc.)

Provision of payment data (sales information) to vending machine
manufacturers⇒Improve operational efficiency by remotely managing inventory at an
appropriate level

phase 1
IoT payment/acquiring

Provision of IoT platform

Payment terminals (IoT)

Initial &recurringmodel

Payment Center

Recurring-Model
Revenue

Image of introduction

phase ３
DX in member merchants(sales improvement)

Time
Copyright 2023 GMO Financial Gate, Inc.

82

Alliance Overview

Growth Strategy

Working with alliance partners allows us to secure participating merchants consistently and steadily

Alliance Partners

Payment/
Financial
Institutions

Unattended
Terminal
Manufacturers

POS
Manufacturers

GMO Group
Synergies

Copyright 2023 GMO Financial Gate, Inc.

Stadium Facilities

Public Service Agency

Vending Machines

Metered Parking
EV Meters

Laundries

Entertainment

TravelWholesalers

Real Estate

Occupation/
Vocational Schools

Healthcare/Welfare

Hotels/Inns

Bus/Train

Restaurants

Retail Stores

Merchants83Unique Positioning

Competitive Advantage

End-to-end solutions via one-stop platform allows us to create alliances with many players in themarket◼ Solutions in Offline Payment Market
Customization(Customize Payment
Methods)

Adaptation of
Top-End POS
Register Models

Terminal
Settlement

ーー

Payment
Processing

Clearing/
Adjustment

Maintenance/
Support

FG

N
N社

Leading payment
大手決済ネット
network playerーー

ワーク事業者

R
R社

Major operating
大手事業会社
companyーー
Using their own registers only

P
P社

Leading payment
大手決済事業者
vendorーーーー

Copyright 2023 GMO Financial Gate, Inc.

84

Barriers to Entry （Regulations to be Followed）

Competitive Advantage

Many kinds of regulations exist in the face-to-face payment market depending on the payment method,
and the number of regulations are increasing. As payment methods become more diversified, thebarriers to entry become more challenging

Law

E-money
Regulation

Modified Partial
Revision of the
Installment Sales
Act

Brand Test
Credit Card
Regulation

Security Standard

PCI DSS
Global security standard in credit card industry
created by international big 5 credit card
brand, Visa, Mastercard, JCB, American
Express and Discover

Payment Center
Regulation

JCCA Certified
Center

EMV Test
International standard of IC Card created by
Europay, Mastercard and Visa

JCCA：Japan Credit Card Association

Copyright 2023 GMO Financial Gate, Inc.

85

Government Promotion of Cashless Payments

Industry Topic

METI announced its Cashless Vision policy to encourage cashless payments. We expect the Japanese
cashless market to expand rapidly in response
Impact on our business

Present

Casino (Integrated Resort) will start in Osaka

Osaka Expo

Issuance of new bank notes

expansion

Lifting the ban on digital salaries

My number point

My number point

Tokyo Olympic/Paralympic

My Number Point

Cashless Consumer Returns Policy

Implementation plan announced for the security ofcredit transactions (by the Council for credit
Transaction Security)

by METI）

Enforcement of Revised Installment Sales Act

Announcement of Cashless Vision（2

2

Apr 2029

Apr 2025

Jul 2024

Apr 2023

Jun 2022

Jan 2022

Jul-Sep 2021

Sep 2020

Jul 2020

Oct 2019

Jun 2018

Apr 2018

Copyright 2023 GMO Financial Gate, Inc.

Increasing demand for cashless terminals as merchants are
obligated to use credit card IC Expanding demand forcashless terminals as merchants become obligated to use
credit card ICConsumer redemption projects have resulted in Increase in
the amount of payments processed
With/after COVID, the Expanding Contactless and IoT
Payment Needs
Inbound Demand Leads to Expanding need for cashless
payment terminals Expansion of mobility payment needs
In line with the cost of adapting to the new banknotes
Stimulus to introduce cashless payment terminals
Expanding needs for small payments due to the spread of
terminal-less payment taps to pay/phones
Government Announces Policy of Going Completely
Cashless for Osaka Expo; Demand for Cashless
Terminals Growing

Osaka IR to be Approved by Government, Targeting
Opening in Latter Half of 2029Expanding demand forcashless terminals

86

Expansion of credit card payment eligibility

Industry Topic

The "Cashless Law" will go into effect in November 2022. Expansion of areas where payment can bemade by credit card

Feb 2008～ national pension contribution

Application ofindividual law
provisions

Jan 2017～ national tax
Apr 2019～ Patent and other fees

Dec 2021～ Unmanned Aircraft Registration Fee

2022 Vehicle inspection and registration fee
2022～ Passport issuance fee
2024～ Registration-related fees

Application ofCashless Laws

Expandingconvenience in the
public sector

Jul 2021～ tariff (import tax)

2024～ Traffic Anti-Counterfeit

Copyright 2023 GMO Financial Gate, Inc.

87

New topic of credit card industry

Industry TopicIn response to a request from the Japan Fair Trade Commission, Visa, Mastercard, and UnionPay
announced their intention to disclose their interchange fee rates by the end of November
Breakdown of MDR（model case：AOV ¥5K SME merchant）

METI requires fee among credit card companies
Fee among credit card companies is
actually paid by merchants

Brand fee

3.5

Internation Brand fee
al Brands①Brand fee
0.05

3Fee among cardcompanies(Interchange fee)

2.5

2.3%

Card
company(Acquiring)

②IRF

Card
company(Issuing)

Billing
Reimbursing

Merchant fee

Billing

Reimbursing

Rate in longtail could
be higher than thisMerchants

1.5

Payment

Goods/Service
s

2.30

2

3.25

Billing➂Remittance fee④Network fee

1➄Acquiring fee

0.16

Consumers

0.14
0.5

0

Copyright 2023 GMO Financial Gate, Inc.

0.3

⑥Others

Our monetization points 0.3

88Initiatives for terminal-less payments

Industry Topic

Implemented various measures to prepare for future handset-less payments. Strengthening Initiatives in
the Mobility Domain and Beverage Vending Machines
Status of Our Efforts
Tap to Phone

NFC tagging touch payment

Dec 2021～
Started handling touch settlement of JCB at Nagaden-bus

Launched in FY2023
Aiming to provide services with major food manufacturers

NFC tag on vending machines

Dec 2020～
Launched handset-less NFC-touch payment service with Soft Space

Terminal-less

Automatic connection
to the internet byholding a smartphone

Select productNo app is needed

Pay with biometrics
Merchandise receipts

Settlement completed(Apple Pay, Google Pay)

High Security
Tap to Phone: Mobile payment service where merchants do not need to prepare cash registers and terminals for payments, and NFC-enabled devices can be used as payment reception terminals.
NFC: An abbreviation for Near Field Communication, a communication standard that can be communicated using contactless IC chips and simply by holding them over.
NFC tag: Tags that allow NFC-enabled devices and devices to perform various operations simply by holding up an NFC-enabled smartphone.

Copyright 2023 GMO Financial Gate, Inc.

89

Share holder structure

Company Profile

The ratio of foreign institutional investors increased again as a result of aggressive IR activities fordomestic and foreign institutional investors through 1-on-1 meetings and conference appearances
GMO-PG
PG

Japanese

国内機関
institutional investors

Foreign

Other enterprises
その他法人

外国機関
institutional investors

Individuals
個人

100%
90%
80%
70%
60%

13.2

15.1

12.8

21.9

18.5

23.5

8.1

1.5
6.3

1.7
7.7

1.4
5.6

59.7

57.1

57.1

56.7

20/9期末 2020
End of September

End ofMarch 2022
22/3期末22/9期末 2022
End of September

End of23/3期末March 2023

16.3

7.8
8.1

50%
40%
30%
20%
10%
0%

Copyright 2023 GMO Financial Gate, Inc.

90

Promotion of DX introduction to improve business efficiency
Department
in charge

Company Profile

Content

Whole

VDI (virtual desktop) implementation for enhanced security

Whole

Integrated operation of scheduling, internal portal, workflow, attendance system, andexpense reimbursement

Whole

Paperless by promoting the introduction of electronic signatures

Legal

Automated credit management operations by introducing RPA. Reduction of workload
by up to 4 days per month

Accounting

Systematization of payment operations, electronic storage of receipts and otherevidence

HR

Centralized management of human resource systems through the introduction of a
new system

GMO-FG
Cashless Platform

Full compliance with PCI DSS for services providing
Continued to obtain Privacy Mark certification
Copyright 2023 GMO Financial Gate, Inc.

91

Affiliated Companies

Company Profile

GMO-FG serves in offline face to face payment market as a consolidated subsidiary of GMO-PG

GMO INTERNET GROUP（Internet infrastructure business）

GMO PAYMENT GATEWAY（Online payment/Payment section of GMO internet group）

Consolidated

GMO EPSILON100%

GMO PAYMENT SERVICE

100%
Equitymethod40%

57.3%（Online payment/Longtail）（Online payment/Deferred payment）

SMBC GMO PAYMENT（Online/Offline payment/）

GMO FINANCIAL GATE

（Offline payment）

Consolidated

100%

51%

GMO CARDSYSTEMGMO DATA

Consolidated subsidiary

Sumitomo Mitsui Credit Card

（Offline payment/Longtail）（Payment processing center）

Copyright 2023 GMO Financial Gate, Inc.

49%

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Company Profile

Company Profile■Company

GMO Financial Gate, Inc.（TSE Growth Ticker:4051）■Foundation■Address■Stock Capital■Major Shareholder■Board Member

September 1999
Humax Shibuya Building 7F, Shibuya Dogenzaka 1-14-6, Tokyo¥1,618 Million(end of June 2023)
GMO Payment Gateway, Inc.
Representative Director, President
Kentaro Sugiyama
Director
Akio Aoyama（Sales Division Executive Manager）
Director
Tomonaga Fukuda（System Division Executive Manager）
Director
Tomoki Tamai（Administrative Division Executive Manager）
Director
Tatsuya Koide（GMO Payment Gateway, Inc. Chief Managing Executive Officer）
External Director
Nao Shimamura
External Director
Rie Asayama
External Auditor
Takayoshi Nagasawa
External Auditor
Satoru Ozawa
AuditorTakashi Iinuma（CPA)■Auditing Firm
■Subsidiary

Ernst & Young ShinNihon LLC
GMO CARD SYSTEM, Inc. shareholding ratio:100％
GMO DATA, Inc.

■Businessshareholding ratio: 51.0% (Mitsui Card Company, Limited:49.0％）

Cashless payment infrastructure service (credit card, debit card, e-money etc.)

Floor-Standing Model

Mobile Model

Embedded Model

Copyright 2023 GMO Financial Gate, Inc.

POS Model（ As of May 12, 2023 ）93

Link Collection
Site nameURL

GMO Financial Gate

https://gmo-fg.com/index.html

IRhttps://gmo-fg.com/ir/index.html

Sustainability

https://gmo-fg.com/sustainability/index.html

Recruitment information

https://gmo-fg.com/recruit/index.html

GMO Payment Gateway

https://www.gmo-pg.com/

Cashless Roadmap 2022

https://paymentsjapan.or.jp/publications/20220803-roadmap2022/

Selected Service Industry Current https://www.meti.go.jp/statistics/tyo/tokusabido/index.html
Statistics Survey
Cashless payment ratio in 2022

https://www.meti.go.jp/press/2023/04/20230406002/20230406002.html

Statistics of foreign visitors to Japan

https://www.jnto.go.jp/statistics/data/visitors-statistics/
Copyright 2023 GMO Financial Gate, Inc.

94

Thank you

GMO Financial Gate, Inc.
(TSE Growth 4051)
IR web site URL

https://www.gmo-fg.com/ir/

Copyright 2023 GMO Financial Gate, Inc.