1st Quarter FY2021

Financial Results

May 13, 2021
Vision Inc.
TSE 1st Section： 9416
1

1Q FY2021 Financial Results

Performance Highlights and
1Q FY2021 Results

P.3

FY2021 Financial Forecast
Revision

P.9

Efforts for Growth(Growth Strategy Focusing on Social
Environment with COVID-19 and PostCorona World)

Sustainable Growth andCorporate Value Improvement

P.14

P.34

- ESG Activities -Copyright(C) 2021 VISION INC. All Rights Reserved.

2

Performance Highlights
and 1Q FY2021 Results

Copyright(C) 2021 VISION INC. All Rights Reserved.

3

Consolidated Profit and Loss Statement(JPYmn, %)FY2021/1Q
ResultFY2020/1Q
ResultChange

YoY

3,938

5,989

-2,050-34.2

Cost of sales

1,762

2,736

-974

-35.6

Gross profit

2,176

3,252

-1,076-33.1

Gross profit margin

55.3

54.3

+1.0

－

SG&A expenses

1,890

2,764

-873

-31.6

SG&A-to-sales ratio

48.0

46.2

+1.8

－

Operating profit

285

488

-202

-41.4

Operating profit margin

7.3

8.1

-0.9

－

Recurring profit

313

496

-182

-36.8

Profit attributable to ownersof parent

232

116

+115

+99.4

Items

Sales

Copyright(C) 2021 VISION INC. All Rights Reserved.

4

Factors for Change in Operating Profit
Sales“GLOBAL WiFi” Business: Actively capture various consumer needs for using mobile Wi-Fi router. In January and February 2020,
there was inbound and outbound sales before the spread of COVID-19. However, in 2021, sales decreased because there were almost
no travelers both at home and abroad.
Information and Communications Service Business: Sales decrease due to changes in business structure (see p.24) andstrengthened sales of in-house services (monthly). Sales of mobile communication equipment (for teleworking, etc.) are strong.
Cost of sales“GLOBAL WiFi” Business: Due to the decrease in overseas travelers, overseas communication costs (pay-as-you-go contracts inwhich charges are incurred based on communication usage) are significantly reduced.
Information and Communications Service Business: Cost of sales-to-sales ratio increases due to increased sales of mobile
communication equipment (due to increase in the ratio of products that are purchased).
SG&A expenses
Personnel expenses: Temporary staff contracts terminate following the expiry of term of contract such as those for shipping center
staff and airport counter staff due to significant decrease in the number of rentals.
Advertising expenses: Advertising expenses are reduced for websites to respond to demand (for listing, etc.).
Other SG&A expenses: Various costs are reviewed and reduced. Sales-linked expenses are reduced (shipping expenses, travel
expenses, supplies expenses, payment fees, etc.).
Operating profit
The operating profit margin is gradually recovering as the “GLOBAL WiFi” Business becomes profitable (see p.12).

(JPYmn)488+200-2,050

+123

+549

285

+974
Operating profit
FY2020/1Q

Sales

Cost of sales

Personnel

Advertising

Other SG&A

Operating profit

expenses

expenses

expenses

FY2021/1Q

Copyright(C) 2021 VISION INC. All Rights Reserved.

5

Segment Result(JPYmn, %)Segment result

FY2021/1Q
ResultFY2020/1Q
ResultChange

YoY

3,938

5,989

-2,050-34.2“GLOBAL WiFi”

1,515

3,347

-1,832-54.7

Information andCommunications Service

2,357

2,515

-158

-6.3

Subtotal

3,873

5,863

-1,990-33.9

Others

66

126

-60

-47.4

Adjustments

-1

-1

-0

－

285

488

-202

-41.4

“GLOBAL WiFi”

117

326

-208

-63.9

Segment profit margin

7.8

9.8

-2.0

－

Information andCommunications Service

410

517

-107

-20.7

Segment profit margin

17.4

20.6

-3.2

－

Subtotal

527

843

-315

-37.4

Others

-17

-91

+73

－

-224

-264

+40

－

Sales

Segment profit

Adjustments

Copyright(C) 2021 VISION INC. All Rights Reserved.

6

“GLOBAL WiFi” Business
Performance Change
Steadily capture various domestic usage needs because the state of emergency
is newly declared.
Capture the demand for teleworking (the number of extension of the rental period is increasing), online training for new
employees, etc.
Sales of standby type “GLOBAL WiFi for Biz” for corporate customers are favorable (the number of contracts andcommunication usage increased).
Needs for teleworking, online classes, and local governments (the Board of Education, etc.) for the GIGA School Concept are
actively captured. Making the most of our performance and know-how of the domestic Wi-Fi router rental business since 2010,acquire various usage needs (moving, hospitalization, business trip, combined use with home internet, various events, etc.).

1Q
2Q
3Q
4Q

1Q SEGM EN T P R O F I T O R LO SS (- )

SALES

2Q

17,732

13,505+31.8%

7,882 2,636
2,073
2,329
1,697

2,226

+51.5%

5,084+39.7%

4,109
2,898

245

1,371
1,272
1,286

1,781

2,505 3,089

4,075 3,347

FY2016FY2017FY2019FY2018

1,140

7,278

3,929

430

2,413

-59.0%

3,022+36.8%

4Q

4,462+30.0%

10,392 3,589

3,301

3Q

+31.3%(JPYmn)FY2020494-54.7%

224

1,274

1,593
224
680

631
724
271

295

146
252

490

FY2016FY2017

466

871

1,515
FY2021

Copyright(C) 2021 VISION INC. All Rights Reserved.

FY2018FY2019

-90
326
-347
-27
-42

FY2020117

FY2021
7

Information and Communications Service Business
Performance Change
Utilizing the strength of having multiple businesses (products/services) and sales
channels, the business has been favorable by minimizing the impact of changes inexternal environment involving the newly declared state of emergency.
Sales and profit are on the decrease due to changes in business structure and strengthened sales of in-house services(monthly fee).
Stock earnings and in-house services (monthly fee), as the revenue base (recurring revenues), are on the increase.
Performance are recovered with the personnel shift to the Mobile communication business, etc. due to a decrease in
the unit price of business consignment fee (agency fee) because of the temporary rise in electricity retail prices.
(JPYmn)
1Q
1Q
SEGMENT PROFIT
SALES
2Q
2Q
1,520
-1.7%
3Q
3Q
+11.5%
8,955
8,806+15.2%
4Q
4Q+11.9% 1,363
335
+3.9%
+9.4% 7,775 2,115
1,218 188
+2.2%
2,139

6,948 7,104
1,730
1,749

1,725
1,786

1,172

+14.4%

1,970

1,024
2,330

1,764

1,782

2,009

1,703 1,810 1,818

212

219

2,146

1,977

244
2,207

285

287

342

367

350

299

371

2,004
-6.3%

2,302 2,515 2,357

FY2016 FY2017 FY2018 FY2019 FY2020 FY2021

296

316

-20.7%

337
482

264

282

296

517

410

FY2016 FY2017 FY2018 FY2019 FY2020 FY2021

Copyright(C) 2021 VISION INC. All Rights Reserved.

8

FY2021
Financial Forecast Revision

Copyright(C) 2021 VISION INC. All Rights Reserved.

9

2Q FY2021 Financial Forecast Revision(JPYmn, %)FY2021/2Q
Forecast
after revision

FY2021/2Q
Forecast
before revision

ChangeRatio ofchangeFY2020/2Q
Result

Sales

8,148

7,274

+874

+12.0

9,630

Cost of sales

3,702

3,185

+517

+16.2

4,807

Gross profit

4,445

4,088

+357

+8.7

4,822

54.6

56.2

-1.6

－

50.1

3,938

3,962

-23

-0.6

4,837

SG&A-to-sales ratio

48.3

54.5

-6.1

－

50.2

Operating profit or loss (-)

507

126

+380

+301.3-15

Operating profit margin

6.2

1.7

+4.5

－

-0.2

Recurring profit

532

121

+410

+336.2

66

Profit or loss (-) attributable toowners of parent

376

71

+305

+429.0-1,352Items

Gross profit margin
SG&A expenses

Copyright(C) 2021 VISION INC. All Rights Reserved.

10

2Q FY2021 Segment Forecast Revision(JPYmn, %)Forecast
after
revision

Forecast
beforerevision

8,148

7,274

+874

+12.0

9,630

“GLOBAL WiFi”

3,381

2,506

+874

+34.9

4,634

Information andCommunications Service

4,607

4,592

+14

+0.3

4,520

Subtotal

7,989

7,099

+889

+12.5

9,154

Others

160

174

-13

-7.9

478

-1

0

-1

－

-2

Segment profit or loss (-)

507

126

+380

+301.3-15“GLOBAL WiFi”

239

-108

+347

－

-20

Segment profit margin

7.1

-4.3

+11.4

－

-0.5

Information andCommunications Service

775

767

+7

+1.0

817

Segment profit margin

16.8

16.7

+0.1

－

18.1

1,014

659

+355

+53.9

796

-21

-11

-9

－

-306

-486

-521

+34

－

Segment Forecast

Sales

Adjustments

Subtotal
OthersAdjustments

ChangeCopyright(C) 2021 VISION INC. All Rights Reserved.

Ratio ofchangeFY2020/2Q
Result-504

11

Full Year Performance Change (Quarterly)(JPYmn, %)

1Q
Sales

5,686

21,503

22.9

22.9

27.7

26.4

－

736

499

900

348

2,484

29.6

20.1

36.2

14.0

－

Operating profit margin

15.0

10.1

15.1

6.1

11.6

Sales

6,470

6,467

7,610

6,770

27,318

23.7

23.7

27.9

24.8

－

980

710

1,280

354

3,325

29.5

21.4

38.5

10.7

－

Operating profit margin

15.1

11.0

16.8

5.2

12.2

Sales

5,989

3,641

3,477

3,546

16,654Composition ratio (vs. FY)

36.0

21.9

20.9

21.3

－

Operating profit or loss (-)

488

-503

73

45

103

Composition ratio (vs. FY)

－

－

－

－

－

8.1

-13.8

2.1

1.3

0.6

Operating profit

Operating profit
Composition ratio (vs. FY)

Operating profit margin
Sales

3,938

Composition ratio (vs. FY)

FY2021FY

5,961

Composition ratio (vs. FY)

FY2020

４Ｑ

4,933

Composition ratio (vs. FY)

FY2019３Ｑ

4,922

Composition ratio (vs. FY)

FY2018２Ｑ

Operating profit－
285

Composition ratio (vs. FY)
Operating profit margin－
7.3

Copyright(C) 2021 VISION INC. All Rights Reserved.

12Forecast for the Full Year (FY2021)
Revise the full-year financial forecast to undecided.
We will announce it as soon as rational calculation becomes possible
after closely examining the impact on the business environment andthe status of our various efforts, etc.
Factors affecting FY2021 results
COVID-19: Negative
Spread of COVID-19 (including variants).
Vaccination status and its effects.
Impact on corporate activities (the state of emergency is newly declared or extended).
The feasibility of FY2021 Forecast Assumption (announced on February 15); After
October 2021, number of travelers (inbound and outbound) is expected to recover by
about 25% compared to that in 2019.

Efforts for sustainable growth: Negative (impact on FY2021 results)
Efforts to change our revenue model to achieve sustainable growth.
Strengthen stock earnings and in-house services (monthly).

Current situation: Positive
Revise 2Q FY2021 financial forecast (upward revision).
The business has been favorable by minimizing the impact of changes in external
environment involving the newly declared state of emergency.
Copyright(C) 2021 VISION INC. All Rights Reserved.

13

Efforts for Growth(Growth Strategy Focusing on
Social Environment with COVID-19
and Post-Corona World)

Copyright(C) 2021 VISION INC. All Rights Reserved.

14

Policy on Growth Strategy

PolicyKey phrase

Sales channel
Business
structure

Customerbase

Existing businessNew business / Service building

Increase productivity.

Develop a new business as athird pillar.

Adapt to online environment, so-called the
New Normal.
Strengthen up-selling and cross-selling(including online negotiations).

 Provide products and services
meeting the needs of customers andthe times.
 Build and strengthen sales system(online).
 Strengthen up-selling and crossselling (including online negotiations).
 Brush up the revenue structure.
 Strengthen and expand in-houseservices.

 Adapt to environment with COVID-19,
so-called New Normal.
 Utilize sales channels and businessstructure.
 Utilize the customer base.
 Service that responds to customer
feedback.
 Regional revitalization.

CLT

WEB

marketingThree-pillar business structure that
responds to changes in the times.

Shops
Airport counters
etc.

Startups, growing
corporate customers

Customer Loyalty
Team

Sales
Online / Offline

Shipping
centerCorporate customers
working with overseas
companies

Individual users by corporate customers

Partner
including travel
agencies and OTA

Governments /local governments,
Schools, etc.

Copyright(C) 2021 VISION INC. All Rights Reserved.

Globalaffiliatedcompanies

Individual
customers who
like traveling*including inbound15

Active Sales Expansion of “GLOBAL WiFi for Biz”
- Competitive Advantage When Travel Market Recovered -Sales of standby type “GLOBAL WiFi for Biz” for corporate customers
are favorable.
The number of contracts and communication usage increases.
Demand for teleworking is on the increase because the state of emergency is newly declared.
Income from the basic monthly charge is on the increase (recurring revenue).
Domestic communication (for teleworking) increases, and overseas communication increases
moderately (long-term use by local expatriates, etc.). ⇒ Communication charge (revenue)
increases.
Connect Internet anywhere in the world with one
digital device“Global WiFi for Biz”
No need to

apply

receivereturnIf you have one “GLOBAL WiFi for Biz” in your company, you
can use it immediately for teleworking and sudden overseas
business trips, and no application required. You will no longer
use overseas roaming services because a rented Wi-Fi router is
not delivered in time!
Copyright(C) 2021 VISION INC. All Rights Reserved.

16

Strengthening of Domestic Wi-Fi Sales“GLOBAL WiFi” Business
Capture usage needs by leveraging our marketing power, brand strength(GLOBAL WiFi), the pricing plans, various communication plans that meetcustomer needs, remote support in the event of disasters, and customer base.
Usage needs for:Business (teleworking, online training and meetings), online classes, hospitalization, moving,combined use with home internet, etc.
Convenience that you can rent it in various places for the required period (on a daily basis) notbound by your contract period is popular with the users in various scenes.

Teleworking

New employee
training

Online meeting

For school and educators

Wi-Fi rental for online classes
・ Provides quotes the sameday, and delivers the next day
at the earliest
・Laptops and tablet devices
available
・Easy to set up

Essential
item duringhospitalization!

Let's have a pocket
Wi-Fi router.
“WiFi rental.com” isuseful for you at suchtimes!

Wi-Fi rental is recommended
when moving!
You can use the internet
immediately and comfortably.

“WiFi rental.com” isuseful for you atsuch times!
Copyright(C) 2021 VISION INC. All Rights Reserved.

17Efforts to Generalize Online Learning“GIGA School Concept”
GIGA School Concept
To realize an educational ICT environment, that fairly and individually optimized, you cancultivate qualities and abilities of children with different backgrounds more reliably, ensuringthat no one is left behind, including those who need special support, by preparing integrally one
terminal for each child and putting high-speed and large-capacity communication network in place.
Maximize the ability of teachers and students by trying to make the best mix of Japanese
educational practices and the most advanced ICT.
Contributes to promote online learning in the “GIGA School Concept” by increasing options of rented
Wi-Fi routers, a set of router sale and data communication contract. There is also a way in which
local governments purchase Wi-Fi routers and distributeOur 4 strengths
them to homes that require a communication environment.
utilizing unique cloud technology

School Concept
Dedicated-line
telephone service
is available for
local governments
and educationalorganizations
Copyright(C) 2021 VISION INC. All Rights Reserved.

Low
installation
cost

Low cost
during nonuse period

Remotely
resolvecommunication
problems

No need toreplace SIM

Many other benefits…

18

Vision WiMAX- New Service Making the Most of Our Customer Base New service that responds to customer feedback.
In our survey, many customers use the Wi-Fi router for“trial before purchasing”.
Wi-Fi router sales service for customers who are consideringpurchasing.

Reasons to choose Vision WiMAX

Customers can use it as a trial for rent (special limited discountprovided).
After checking the communication environment, customers canpurchase it that meets customers needs.
Customer will take it as a trade-in when terminating the contract(Vision WiMAX original service).

No initial cost

Arrive quickly.

365 days available

Rent for trial

Trade-in whenterminating

15mn rental
records

Vision WiMAX is a service that meets all of customers needs.
For corporate
customers

Vision Inc.
TSE 1stSection:9416
Price
Price

DeviceDeviceHowtotouseuse
HowCampaign
Campaign

Areas
Areas

Apply
Usage example

Q&A

Safe forbeginners

Internet environment can besolved with a Vision WiMAX!
At home or outside

For teleworking, online classes

Copyright(C) 2021 VISION INC. All Rights Reserved.

19

“Tsuyaku-fukikae.com”- New Service Making the Most of Our Customer Base The service for online/offline business negotiations and conference interpretation, video
translation/dubbing.
Simultaneous/consecutive interpretation at business negotiations, conferences, and IR meetings with overseas companies andinvestors at web meetings and conference calls (Japanese ⇄ foreign language).
Simultaneous/consecutive interpretation at online classes and seminars (Japanese ⇄ foreign language).
Create a dubbed video for overseas investors (Japanese ⇄ foreign language).
Create dubbed videos in foreign languages such as English and Chinese (foreign language ⇄ Japanese).
Create a Japanese dubbed version of videos in any foreign language on AI, 5G, autonomous driving, IoT, and finance, etc. (for in-house training videos,etc.).

Translate the text of proposal materials, contracts, manuals, WEB pages, IR materials, etc. (Japanese ⇄ foreign language).

“Overcoming the language barrier, make your business more global.”
Provide interpretation, translation, and dubbing services that can be available
in various business situations at reasonable prices.

For usePrice

Usage example

Apply

Overcoming the language barrier,make your business more global.

Copyright(C) 2021 VISION INC. All Rights Reserved.

20

Changes in Monthly Cost and Segment Profit“GLOBAL WiFi” BusinessProfits are gradually recovered by continuing low-cost operation and capturing various
usage needs.
Acquires actively various needs for using mobile Wi-Fi router (“GLOBAL WiFi for Biz”, etc.).
Overseas communication costs are significantly reduced by introducing a pay-as-you-go communication purchase
contract (a contract without a monthly basic charge) that charges based on the use of communication.
While securing our system that can respond immediately when overseas travel recovers, build a business structurethat will generate higher profits and profit margins after overseas travel recovery than those before the spread of
COVID-19 (FY2019) by reviewing various costs and expenses, and improving operational efficiency.

COST
1,156

1,093

(JPYmn)(JPYmn)SEGMENT PROFIT OR LOSS (-)

FY2020225

FY2021

178

777
548

439

67
29

415

12

10
-19

Jan. 2020 Jan. 2021 Feb. 2020 Feb. 2021Mar. 2020Mar. 2021
SG&A expenses

591

244

572

243

439

264

Cost of sales

292

176

313

158

209

263

210

19

271

13

129

20

Overseas
telecom cost

-90

-107

-0

-17 -3

-2

-88

-182
Jan. Feb. Mar. Apr. May Jun. Jul. Aug. Sep. Oct. Nov. Dec.

(Note) The figures are different from those of the segment results because they are monthly changes in profit and loss which do not include closing.
21
Copyright(C) 2021 VISION INC. All Rights Reserved.

Pick up at Convenience Store- Gaining Competitive Advantage When Travel Recovers Based on your convenience, another option is added: you can pick-up a Wi-Fi router atSeven-Eleven throughout Japan (excluding Okinawa) near your workplace or home.
Provide an option to avoid crowded places such as airport counters.
You can pick it up even at midnight if the store is open.

You can pick up
at Seven-Eleven nearyou.

At Seven-Elevennear you

You can pick it up at
Seven-Eleven near you.

At anytime

Ready-to-go
in advanceYou can pick it up even at
midnight if the store is open.

You don’t need to wait at the
airport counter.

Copyright(C) 2021 VISION INC. All Rights Reserved.

22

Expand Unmanned Stores- Gaining Competitive Advantage When Travel Recovers -Increase unmanned stores with vending machines.
Where are they set up? (As of end of Mar. 2021)
At Kita-kyushu airport, Miyako Shimojishima Airport* Plan to add more in the future.

What type of machines are set up?
Smart Pickup + Return BOX(Available for pick-up and return)

FeaturesNon-face-to-face receipt without waiting at the
airport counter even during busy seasons (forrepeaters who do not need explanation, and effective
against COVID-19).
Available 24 hours a day including early in the morningand late at night, when there are needs, but it isdifficult to secure personnel.
Also set up vending machines for pre-paid SIM fordomestic use mainly for foreign travelers visiting
Japan and those who are temporarily back to Japan.
Possible to add touch points in a small space and at
low cost (convenience improved and profits increased).
Copyright(C) 2021 VISION INC. All Rights Reserved.

23

Gross Profit Composition
Information and Communications Service Business
Gross profit remains firm by flexibly changing the business structure according tocustomers needs and the external environment.
In the Eco solution business, recovers by shifting personnel to the Mobile communication business, etc. due to adecrease in the unit price of business consignment fee (agency fee) because of the temporary rise in electricity
retail prices.
In the Internet media business, orders received for “Vision Crafts!”, a website production service (monthly fee),are steadily growing.

1Q FY2020 Cumulative
0.5%
3.5%
14.4%
10.1%

11.3%

1Q 2021 Cumulative
1.0%
3.6%
14.0%
7.5%
11.2%

JPY
1,297mn

31.5%

Fixed-line communication

Internet media

JPY
1,264mn

18.0%

10.8%

25.6%

27.2%
9.8%

Mobile communication

Eco solution

Broadband

Construction related

Office automation equipment

Other(Note) The figures are different from those of the segment results because they are monthly changes in profit and loss which do not include closing.
Copyright(C) 2021 VISION INC. All Rights Reserved.
24

Sales of In-house Services (Monthly Fee) are Strong- Provide Products/Services Meeting the Customers Needs and the Times -Sales of in-house services (monthly fee) “VWS series” are strong.
Services developed and used in-house are expanded to users (DX promotion).
Provide users who need our services with required features of ourservice in a cloud environment on a monthly payment basis.
CONCEPT
Providing a more comfortable working environment for allcompanies
For a successful “Cloud migration” with “VWS”
Streamline daily operations with cloud tools and support various working styles
such as teleworking.

Application

In-house
SNS

Transportation
expenses

Sales

WelfareApproval

GoodmorningCallsystemSchedule

Efficiency

WEB
meeting

Schedule

Efficiency

GPS

Engagement

Chat

AttendanceEntering
andleaving

Payroll
prepayment

SFA
Employeelist
Evaluation

Human
resources

Hi, ...
Security

Copyright(C) 2021 VISION INC. All Rights Reserved.

25

Sales of In-house Services (Monthly Fee) are Strong- Provide Products/Services Meeting the Customers Needs and the Times -Sales of website production service (monthly fee) “Vision Crafts!” are strong.
Website production service provided at a low price (from JPY4,048/month).
Respond to the growing appeal needs for online products and services (websites, etc.), looking at
the social environment with COVID-19 as well as a post-COVID-19.
Popular with customers in various industries, including restaurants and retail shops, thanks to the
low initial cost.
* Also popular with customers who have difficulty passing credit screening, because they have just established and opened.

CONCEPT“Strong in visual appeal!”
We support website production.
Customers are confident in their products andservices, but they don’t know how tocommunicate the appeal of these products andservices ...
They want to convey their thoughts more on
their website!
Making use of our experience of producing
more than 100 websites a month, we havedeveloped a website production service that“communicate visually!” with simple
operations.
This is “Vision Crafts!”.
Copyright(C) 2021 VISION INC. All Rights Reserved.

26

Stock Earnings and In-house Services (Monthly Fee)
Gross Profit Change Information and Communications Service Business
Strengthen stock earnings and in-house services (monthly fee), which will
become a stable earnings base in the long run.
Strengthen sales of in-house services (monthly fee) since FY2019.
(JPYmn)Strengthen sales and expand services to reach the profit
830
of JPY1bn.

730

530

550

590

620

230

In-house services(monthly fee)
Stock earnings

1Q FY2021

FY2015FY2016FY2017FY2018FY2019FY2020

0.5
50

0.8
80

130
1.3

1.9
190

330
3.3

470
4.7

140
1.4

4.7
470

4.6
460

4.6
460

4.2
420

4.0
400

3.6
360

0.8
80

Cumulative

Stock earnings: Revenue from continuation fee associated with subscription agency contract in Information and Communications Service
Business and manufacturer maintenance fee in OA equipment sales business
Copyright(C) 2021 VISION INC. All Rights Reserved.

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Information and Communications Service BusinessBusiness Model“Vision Hybrid Synergy model”

Sales improvement

Existing users
needs
Up selling Cost reduction
Cross sellingneeds
Efficiency(Pull)The business model built for 25 years since its
foundation has been expanded into allbusinesses such as “GLOBAL WiFi” business.

Corporate sales strength (structure, know-how,
CLT
Cross
selling
Improve customer
various sales channels)
Up selling

Apparent needs that
customers are aware ofUser relationship

Develop newVideo.com websites,customers Landing
pages (LP)marketing(Pull)
SNS&emailGlobalmarketing

DX promotion

DX promotion
New users

Subscription
promotion

Potential needs that
customers areunaware of

Existing users

Management
Strategy Promote productivity

DX promotion

improvement

Analyze customer
Improve gross profit,
attributes
Strategy

Big data
Targetingmarketing

In-house SaaS
promotion

DX promotion

Membershipstrategyplanninggross profit margin
and absolute amount

Strategic investment Improve(M&A, alliance)
procurement

Sales

Sales improvement
needs

Cost reductionneeds
Efficiency
improvement
needs
Communication
activation needs

Multi-job
promotion

Assetsmarketingactivation needs

satisfaction

Enhanceescalation

Marketing

improvement
Communication needs

Improveaverage value(escalation, visits,
acquisitions)

DX promotion
Enhance sales,
Enhancetelemarketing
partner, FC
Sales contact
centerDevelop new customers(Push)

Copyright(C) 2021 VISION INC. All Rights Reserved.

Existing users
Up selling
Cross selling(Push)

Definite targeting, timing
sales, Life Time Value
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Customer Service
Create values with advanced operations
Customer Loyalty Team (CLT)
From delivery procedure to after-sales follow-up
Covers a wide range of operations

Customers

Sales rep

Customer Loyalty Team

ProposalContract

Subscription and Delivery
procedure
Decidein details
VariousInstallation
arrangements
Delivery

Arrange schedule

Copyright(C) 2021 VISION INC. All Rights Reserved.

After-sales
follow-up
SupportHearing

Provideinformation
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“High Efficiency” Marketing“High efficiency” marketing with combined three factors:
web marketing × sales rep × CLT

Newcustomers

Acquire highly
reliable actual
demandExisting
customers

Hearcustomers’issues andneeds

Proposalwith highprecision

Cooperation

Cooperation

Web marketing
team

Customer Loyalty
Team (CLT)

Sales rep
Copyright(C) 2021 VISION INC. All Rights Reserved.

30

Escalation(Cooperation among Divisions, Customer Referral)

Organization culture that creates continuous evolution○たゆまぬ進化を生みだす組織カルチャーHigh productivity generated by escalation system (cooperation among
事業部間連携（エスカレーション）が生みだす高い生産性
divisionsand customer referral)
Customers

Improve productivity through flat and open culture,and the “escalation system” promoting cooperation among divisions

Cooperation

Cooperation

Cooperation

Cooperation
Copyright(C) 2021 VISION INC. All Rights Reserved.

31

Subscription-based Business Model
Subscription-based Business Model
Provide optimum solutions according to the growth stage, continuing to stay close to
the growth of customer companies.
Structure that accumulates profits by our original know-how CRM (customer
relations/continuous dealings).
Offer products and services

Optimum
solutions

Offer OA equipment
and website support,
etc. suitable for thebusiness environment
Consulting services
suitable for thebusiness growth stage

Optimum
solutionssuitable for the businessenvironment
Offer in-house products
and services
Consulting services suitable
for the business growth
stage

Further growth
stage

Early growthstage
Startup
stage

Increase employees
coming from businessexpansion(Add communicationlines, and numbersof units, etc.)

Optimum
solutions

Increase employees
coming from businessexpansion(Add communicationlines, and numbersof units, etc.)

Current main targets

Future targets“Reserves for Growth”“Companies in growth stages”

Copyright(C) 2021 VISION INC. All Rights Reserved.

32

Maximize Productivity per Capita
Maximize productivity per capita by creating a success spiral of corporate
culture (escalation culture, cross-function organizational structure), businessmodel, and sales structure.

Success spiral components
Improveproductivity
per capita

Competitive
advantage

Incentives, purchasing conditions

Improveeconomic
conditions

Successful
experience(contract signed)

Accumulate experience and know-how
Maximize
number ofnegotiations

Inflow to our website
Telemarketing
Escalation

Low price (low gross profit), product lineup
Increasesales
Accumulate experience and know-how
Manynegotiation
experiences

Corporate
cultureCopyright(C) 2021 VISION INC. All Rights Reserved.

33

Sustainable Growthand Corporate Value
Improvement- ESG Activities -Copyright(C) 2021 VISION INC. All Rights Reserved.

34

Sustainable Growth and Corporate Value
Improvement - ESG Activities
Environment

Corporate Governance

Measures against global warming
Promote ECO and recycling
Activities to support disaster areas

Strengthen corporate governance
Promote risk management
Strengthen compliance

Environment

Governance

Related main SDG items

SocialRecruitment/Employment

Work-style Reform

Various recruitment channels
Recruitment advantages

Personnel system suitable for thetimes
Unique benefits
Copyright(C) 2021 VISION INC. All Rights Reserved.

35

Activities for Environment
Acquire a “Green Site License” to offset the carbon footprint of our
website.
Provide an environmental support with “Green Electricity” forour activity on the website for CO2 reduction.
Support and cooperate with the organizations which provide
information, support activities in disaster areas, and provide
assistance to various activities to “realize a society where people
can support each other at the times of earthquake.”

Activities to protect the natural environment through the Ecology
Cafe.

Operate the business with our minimum required tangible fixed
assets. Tangible fixed assets account for 3% of total assets, atthe end of FY2020.
Adapt to various environmental changes.
Provide rental service of the LED lighting that generates less heatand do not contain harmful substances at a low initial cost.
Reduce carbon dioxide emissions by saving power and reduce
environmental burden.

Paperless efforts
Provide laptop, iPad, etc. to employees.
Utilize video (web) conference (to eliminate unnecessary traveling).
Utilize electronic forms and an enterprise SNS actively.
Select recyclers.
Provision of laptop, iPad, etc.

Video (web) conferenceElectronic forms (workflow)
Utilizing of an enterprise SNS

Select recycle
companies

Copyright(C) 2021 VISION INC. All Rights Reserved.

36

Social Activities
Various recruitment channels
Fair recruiting, referral recruiting, and active recruiting of women(Female employee ratio: 33%).
Hire multinational people (Foreign nationals: 16.5％ (permanent
employees)).
Hire disabled people (“Meiro-juku,” local group to support disabled people;
continuously awarded since 2015).

How to develop human resources(training system/evaluation system)
Training for new graduates

Business etiquette, PC, knowledge, external, sales, follow-up, etc.

OJT after assignment

Product knowledge training, sales appointment calls, business accompaniment, role-playing.

Sales experience
WEB marketing, telemarketing, escalation.

A lot of business deals generated from sales appointment calls (Experience ⇒ Growth).

Four opportunities a year for salary increase and promotion based on
performance appraisal every three months.
33% of the annual salary is variable salary (incentives such as commission,achievement, and profit dividend).
* Average of all sales reps in 2019

Introduced personnel system suitable to the times and unique benefit plan
Shorter working hours, shift and flextime systems.
Half-day leave/hour leave (paid leave) applied, spouse birthday leave (special leave).
Drink allowance (for summer season), influenza vaccination subsidy, teleworking allowance.
Occupational accident insurance (compensation for the excess of workers’ accident insurance),
insurance to cover the cost of illness/injury other than working hours (taking out acorresponding insurance is required).
Copyright(C) 2021 VISION INC. All Rights Reserved.

37

Social Activities

Internal Communication

Real-time internal communication
Share information and communicate each other in real time, using
the social media (JANDI).
Realize quick communication and decision-making by utilizing online
communities with limited participants (communities for holding board
meetings, and for reaching a decision by using a circular letter, etc.).
* JANDI are utilized internally at first and the revised version will then be provided to our customers.

Share management and business policies, using
videos, etc.
Create videos on business policies and post on the intranet.
Communicate throughout the group.
* Create dubbed version of these videos for employees of overseas
subsidiaries.

Publish in-house booklet “Vision Tsushin”
Publish the in-house booklet “Vision Tsushin” quarterly (booklet, posted on the intranet).
The booklet contains:
Messages from executives;
Our new efforts;
Comments from the top sales representative;
Introduction of our Divisions; andVarious information on labor, and compliance, etc.
It has been published since 2012.
Copyright(C) 2021 VISION INC. All Rights Reserved.

38

Social Activities“Vision Kids Nursery” as a company-led nursery schoolChildbirth and childcare are both big events for employees’ lives. Therefore, we implement themore flexible working rules, expand the vacation system, and encourage employees to take aleave, etc.
⇒ Provide more comfortable work environment (a sense of security that their children are
nearby) than ever before.
* Establish a childcare facility within a site of CLT, where female employees account for morethan 90%.
Create an environment where it is easy for employees to return to work, and hire employees
who are motivated to work in a parenting generation.
⇒ One of sources of sustainable growth

Copyright(C) 2021 VISION INC. All Rights Reserved.

39

Social Activities
Support Japan Heart’s activities -“to deliver healthcare to medically-isolated areas.”
Japan Heart is an International medical NGO originated in Japan, which was established by thefounder Hideto Yoshioka (pediatrician) in order to improve the quality of medical support activities,
based on his many years of medical experience in foreign countries.
The organization has been supported by many medical workers and volunteers. More than 4,500 volunteers
have participated in the activities and conducted more than 200,000 treatments
in developing countries.

Japan Heart’s activities
There are four areas where medical care is difficult to deliver.
One is developing countries suffering from poverty and shortage of doctors.
One is remote areas and isolated islands in Japan.
One is inside children’s heart who fight diseases.
One is the large-scale disaster-stricken areas.
Japan Heart is working to deliver medical care to thesefour areas.

Our support for Japan Heart
Provide free rental GLOBAL WiFi routers to Japan Heart
volunteers who are active around the world and the secretariat.
Donate a portion of company sales to the secretariat.
Through this support, we hope to be able to support indelivering medical care to as many children as possible.

Copyright(C) 2021 VISION INC. All Rights Reserved.

40

Social Activities
Prevention of the spread of COVID-19 (quarantine measures)/
Ministry of Health, Labour and Welfare“New measures related to quarantine”
The following applies to all persons entering Japan from overseas(regardless of nationality):
All persons must present a negative COVID-19 PCR test certificate, submit a
Written Pledge, carry a smartphone, register and use necessary apps, andsubmit a questionnaire.

Our activities
Entrusted with app confirmation work, which is part of the above-mentioned quarantine measures
work carried out by the airport quarantine station.
In addition to the above contract work, provide a smartphone rental service for those who do nothave a smartphone or who have a smartphone that cannot install the specified app (implement
based on the contract between each airport terminal building company and our company).
Required apps (as of April 12, 2021)
OEL (Overseas Entrants Locator)
Skype (Video call app)
Location information storage
settings (Set such as Google
Maps)
COCOA (COVID-19 ContactConfirming App)

Copyright(C) 2021 VISION INC. All Rights Reserved.

41

Governance System

Independent officer system
Total number of Directors: 6(including independent outside directors: 3 / Male: 5, Female: 1)⇒ They have rich experience in business management including web marketing,business for foreign visitors in Japan, financial industry and other global businesses,
and business owners.
Total number of Audit & Supervisory Board Members: 4(Independent outside auditors: 4)⇒ CPAs, prosecutors/lawyers, and business owners.

Strengthen information security
Acquired ISMS (Information Security Management System) certification
Acquired the certification for “ISO/IES 27001.”

Established and has run the Information
Security Committee.

Compliance, risk management, and internal control activities
Conduct education and training sessions regularly.
Copyright(C) 2021 VISION INC. All Rights Reserved.

42

25years 400,000companies*1 15mn individual customers *2*1 Number of corporate customers since 2004 (as of May 31, 2020)*2 Number of individual customers who make use of Wi-Fi router rental service (as of August 2020)

Toward the problem solving for customers who arechallenging the issue of “Now” with all our gratitude so far

To Contribute to the Global Information andCommunications Revolution
Copyright(C) 2021 VISION INC. All Rights Reserved.

43

Notes on the Future Outlook
Materials and information provided in this announcement include so-called “forward-looking
statements.”
They are estimated at the present and are based on the assumption that involves forecasts
and risks, and substantially they include uncertainties which could cause different results fromthese statements.
These risks and uncertainties include general industry and market conditions, and generaldomestic and international economic conditions, such as interest rates and currency exchange
fluctuations.
In the future, even if there is new information or future events etc., we shall not be obligatedto update and revise the “forward-looking statements” included in this announcement.
Vision Inc.
Contact： Investor Relations Dept.
ir@vision-net.co.jp

Copyright(C) 2021 VISION INC. All Rights Reserved.

44