FY2017

Financial Results

February 9, 2018
Vision Inc.
(1st Section of the Tokyo Stock Exchange, code： 9416)

FY2017 Financial Results• Performance Highlights and FY2017 Actual Results• FY2018 Outlook of Financial Results• Look back on FY2017 / Efforts to make in FY2018• Growth Strategy• APPENDIX
–
–
–
–
–
–

Group Structure
Performance Data
Consolidated Balance Sheet“GLOBAL WiFi” Business Market Size
“GLOBAL WiFi” Business Growth Story“GLOBAL WiFi” Business Customer Attributes(Corporate・Individual) / (New・Repeat) / (By Gender / Age・Past Cumulative Total)• VISION INC.

Business Summary
Copyright(C) 2018 VISION INC. All Rights Reserved.

2

Performance Highlights and FY2017 Actual Results

Copyright(C) 2018 VISION INC. All Rights Reserved.

3

Performance Highlights (FY2017)• Both sales and each profit are the highest ever.
– Sales JPY17,554mn（+18.3％ YoY）
– Operating profit JPY1,788mn（+38.6％ YoY）
– Net income JPY1,208mn（+48.5％ YoY）

• “GLOBAL WiFi” Business：– Sales JPY10,392mn（+31.8％ YoY）
– Segment profit JPY1,593mn（+39.7％ YoY）
• Increase in rental number for new and repeat use in each distribution channel.
• Increase in index (rental number) and decrease in ARPU due to increase inpersonal usage ratio.
• By improving cost efficiency and SG&A expenses ratio, improve profitability.

• Information and Communications Service Business：– Sales JPY7,104mn（+2.2％ YoY）
– Segment profit JPY1,172mn（+14.4％ YoY）
• Continue to perform well due to acquiring newly established companies andaccumulating continuous dealings by CRM.
Copyright(C) 2018 VISION INC. All Rights Reserved.

4

FY2017 Overview of Financial Results (Cons.)
Record high. Sales: +18.3％ YoY, and Operating profit: +38.6％ YoY.
(JPYmn, %)FY2017 Actual result

Account title

AmountComposition
ratio

Increase or decrease

AmountIncrease or
decrease ratio

17,554100.0+2,711+18.3

14,843100.0+2,358+18.9

10,16057.9+1,538

+17.8

8,622

58.1

+1,712

+24.8

1,788

10.2

+498

+38.6

1,290

8.7

+485

+60.3

1,795

10.2

+496

+38.3

FY2016 Actual result

1,298

8.7

+490

+60.8

Net income attributable toparent company shareholders

1,208

6.9

+394

+48.5

FY2016 Actual result

813

5.5

+228

+39.0

Sales
FY2016 Actual result

Gross profit
FY2016 Actual result

Operating profit
FY2016 Actual result

Recurring profit

Copyright(C) 2018 VISION INC. All Rights Reserved.

5

Operating Profit Increase Factor(JPYmn)+1,172+2,711– Sales are strong.
– “GLOBAL WiFi” Business：
Successful effort to reducepurchasing costs and improve
operation efficiency.
• Utilize CLOUD WiFi

Gross profit
increase due toincreased sales

Gross profit
JPY10,160mn(+17.8%)Operating profit margin +1.5% YoY.

– Improve data usage efficiency– Reduce shipping process+1,040

SG&A-to-sales
ratio
-1.7％

• Make efforts that can respond toincreasing orders while
restraining personnel expenses.
– AI utilization FAQ– Add automatic pick-up locker“Smart Pick-up”.
– Add self check-in KIOSK terminal“Smart Entry”, with multilingual
correspondence and settlement
functions etc.

1,788
1,290

Operating profit+JPY498mn(+38.6%)

Operatingprofitmargin8.7％
FY2016

Increase sales

Increase cost

Operatingprofitmargin10.2％

Increase SG&A

FY2017– Information and Communications
Service Business：
Improve profitability due to changes
in main sales services.

expenses

Copyright(C) 2018 VISION INC. All Rights Reserved.

6

Segment Actual Result••

Growth in the “GLOBAL WiFi” Business drives the business results.
Profit growth in the Information and Communications Service Business is alsostrong.

(JPNmn, %)Sales

Segment
profit

FY2017FY2016

Increase or decrease

AmountAmountAmountIncrease or
decrease ratio“GLOBAL WiFi”

10,3927,882+2,509+31.8

Information andCommunications Service

7,104

6,948

+156

+2.2

17,496

14,830+2,665+18.0

Others

58

13

+45

+345.8Adjustment amount

－

－

－

－

Total (Cons.)

17,554

14,843+2,711+18.3“GLOBAL WiFi”

1,593

1,140

+452

+39.7

Information andCommunications Service

1,172

1,024

+147

+14.4

Subtotal

2,765

2,165

+600

+27.7

Others

△102

△54

△48

△89.1

Adjustment amount

△874

△820

△53

△6.5

Total (Cons.)

1,788

1,290

+498

+38.6

Subtotal

Copyright(C) 2018 VISION INC. All Rights Reserved.

7

“GLOBAL WiFi” BusinessTransition of Performance
Accelerate customer acquisition speed. Significant increases in sales and profits.
– Priority measures (acquire more corporate customers, and accumulate repeat
users) are favorable.
– Capturing FIT demand is also fairly steady.
– Capture rapidly the expanding market of inbound travelers to Japan.
– Continue to improve cost efficiency and SG&A expenses ratio.
SALES

1Q
2Q
3Q
4Q

10,392
7,882+30.6%

6,035
1,602

2,073

+31.8%

1,297
FY2015

1,781
FY2016+92.2%

593

1,697

631

245

3,022

494

114
256

1,308

(JPYmn)+39.7%

1,140

2,226

1,593
224

2,636

2,329

1,826

SEGMENT PROFIT

1Q
2Q
3Q
4Q

146

2,505

60
162

252

FY2017FY2015FY2016271

466
FY2017(Attention) Regarding the quarterly results in FY2015, year-on-year ratio is for reference, because we do not prepare for the quarterly financial statements.
Copyright(C) 2018 VISION INC. All Rights Reserved.

8

Information and Communications Service BusinessTransition of Performance
Continue to increase sales and profit.
– Continue to perform well due to acquiring our main targets (newly establishedcompanies, venture companies).
– Accumulate continuous dealings by CRM.
•

Further sales increase by up/cross-sell strategy.
–

1Q
2Q
3Q
4Q

In addition to communication services, additional services are offered according to customer's
needs, such as electric power service “Haruene Denki” etc.

SALES

6,440 +7.9%
1,673
1,601

6,948 +2.2% 7,104
1,730

1,749

1Q
2Q
3Q
4Q

SEGMENT PROFIT

1,172
1,024 +14.4%

1,725

903 +13.4%
1,786(JPYmn)

285
219

214
244

287

221
1,782

1,629

1,764

1,536

1,703

1,810

FY2015FY2016FY2017269

198
FY2015

296

316

264

282

FY2016FY2017(Attention) Regarding the quarterly results in FY2015, year-on-year ratio is for reference, because we do not prepare for the quarterly financial statements.
Copyright(C) 2018 VISION INC. All Rights Reserved.

9

FY2018 Outlook of Financial Results

Copyright(C) 2018 VISION INC. All Rights Reserved.

10

FY2018 Forecast of Financial Results
Sales: +17.3％ YoY, and Operating profit: +25.9％ YoY.
(JPNmn, %)FY2018 Forecast

Account title

AmountIncrease or decrease

Composition
ratio

AmountIncrease or
decrease ratio

20,599100.0+3,044+17.3

17,554100.0+2,711+18.3

12,10358.8+1,942+19.1

10,16057.9+1,538

+17.8

2,252

10.9

+463

+25.9

1,788

10.2

+498

+38.6

2,254

10.9

+459

+25.6

FY2017 Actual result

1,795

10.2

+496

+38.3

Net income attributable toparent company shareholders

1,520

7.4

+311

+25.8

FY2017 Actual result

1,208

6.9

+394

+48.5

Sales
FY2017 Actual result

Gross profit
FY2017 Actual result

Operating profit
FY2017 Actual result

Recurring profit

Copyright(C) 2018 VISION INC. All Rights Reserved.

11

Segment Forecast•“GLOBAL WiFi” Business：–•

Expand channels (increase sales consignment agreement, corporate contract, etc.), continue inbound market
expansion, further improve operating efficiency

Information and Communications Service Business：–

Enhance distribution channel, accumulate Up/Cross Selling

Sales

FY2018
Forecast

FY2018Actual result

AmountAmountIncrease or decrease
Increase or
decrease ratio

Amount“GLOBAL WiFi”

12,951

10,392+2,559+24.6

Information andCommunications Service

7,504

7,104

+400

+5.6

20,456

17,496+2,959

+16.9

142

58

+84

+144.9－－－－Total (Cons.)

20,59917,554+3,044+17.3“GLOBAL WiFi”

1,946

1,593

+353

+22.2

Information andCommunications Service

1,319

1,172

+147

+12.5

Subtotal

3,266

2,765

+500

+32.7

Others

△11

△102

+91

+89.1

△1,002

△874

△127

△14.6

2,252

1,788

+463

+25.9

Subtotal
OthersAdjustment amount

Segment
profit(JPNmn, %)Adjustment amount
Total (Cons.)

Copyright(C) 2018 VISION INC. All Rights Reserved.

12

Issue Stock Options with Charge(Resolved by the Board of Directors’ Meeting on November 13, 2017)※Excerpt from “Determination of Details of Issuance of Stock Acquisition Rights” on Nov. 30, 2017

Item

Details

Name

Vision Inc. Third Series Stock Acquisition Rights

Issued13,560 units

Issue price

JPY1,600 per stock acquisition right

Total issue price

JPY3,510,684,000

TargetDirectors (excl. outside directors), employees, employees of the subsidiaries
163 people 13,560 units

Conditions for the
exercise of the stockacquisition rights

If the operating profit for any fiscal year from FY2018 to FY2021 falls
below JPY1.6bn, the subsequent stock acquisition rights cannot be
exercised, except for the stock acquisition rights that are already
exercisable.

(100 shares per stock acquisition right, 1,356,000 shares of common stock)※ See the table below

Operating profit in any fiscal year from
FY2018 to FY2021 exceeds JPY3.6bn• Exercisable ratio：100％

Operating profit in FY2020 exceeds JPY3.1bn• Exercisable ratio：30％

Operating profit in FY2018 exceeds
JPY2.1bn and operating profit in
FY2019 exceeds JPY2.6bn• Exercisable ratio：30％

Copyright(C) 2018 VISION INC. All Rights Reserved.

13

Look back on FY2017 / Efforts to make in FY2018

Copyright(C) 2018 VISION INC. All Rights Reserved.

14

Look back on FY2017“GLOBAL WiFi” Business
1. Expansion–(Market development = Growth at each stage, global expansion)

Diversification of distribution channels•

Travel agencies and other partners etc.

2. Stability (Improve profitability)––

Steadily accumulate repeat users by CRM
Capture corporate demand•–

Increase in ARPU, less seasonal variability, high repeat frequency

Cost control, productivity improvement••

Reduce cost： Continuously reduce data usage purchase unit price, manage the number of line toconnect at the same time
Improve operation efficiency： Utilize CLOUD WiFi, Smart Pick-up, Smart Entry

3. Utilization (Business development = Travel related service platform)––

Inbound media advertising business
Useful services (Translation device “ili” “POCKETALK”)

Information and Communications Service Business•

Enhance distribution channel––•

By further strengthening internal collaboration, accumulate up/cross selling
Expand web channels for our major customers (newly established companies, venture companies)

Enhance products, services, and business models––

Improve ARPU by additional introduction of BtoB products (Electric power service)
Accumulate continuous dealings by CRM, and continuous stock model is successful

Copyright(C) 2018 VISION INC. All Rights Reserved.

15

FY2018 Priority Policy•

Challenge for evolution– Differentiate by expanding business and monetizing peripheral business.
– Realize to lead the industry overwhelmingly (productivity, market share,
profit).
Expansion

Utilization(Further develop the market)(New business to utilize customer foundation)〇“GLOBAL WiFi” Business・ Diverse and deepen customer acquisition /distribution channels
・ Further strengthen corporate sales
・ Accumulate corporate registered companies
・ Promote to introduce “GLOBAL WiFi for Biz”

〇Information and Communications
Service Business・ Expand inflow channels, “BIMAKE” website(Vision Business Market) etc.

〇“GLOBAL WiFi” Business・ Travel Related Service Platform・ Increase profit of advertising media
business・ Expand related services etc.

〇Information and Communications
Service Business・ Launch high-demand services
・ In-house developed workflow system,
SFA etc.

〇“GLOBAL WiFi” BusinessStability(Improve profitability)

・ Improve sales efficiency
・ Further reduce cost
・ Further improve operation efficiency〇Whole Company

・ Improve productivity by active utilization of AI, RPA, IoT

Copyright(C) 2018 VISION INC. All Rights Reserved.

16

Growth Strategy

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17

Medium-Term Profit Growth Image
Steadily promote the growth strategies of the two main business segments.
• “GLOBAL WiFi” Business
Customer Foundation– Expansion (Market development = Growth at each stage, global expansion)– Stability (Improve profitability)– Utilization (Business development = Travel related service platform)•

Information and Communications Service Business– Enhance channel.
– Enhance products, services, and business models.
“GLOBAL WiFi”
Travel related
service platform【3rd stage】 Overseas⇒Overseas【2nd stage】 Inbound【1st stage】 OutboundInformation and Communications
ServiceEnhance channel
Enhance product, service, business model
Copyright(C) 2018 VISION INC. All Rights Reserved.

18

“GLOBAL WiFi” BusinessBusiness Model, Competitive Advantage

Maximum cost benefits ▲８９．９％

Less Expensive•
Fixed-rate

Available in over 200 countries and regions worldwide, leading the industry in thenumberHigh-speed communications in partnership with telecom carriers around the world•

Comfortable •Secure, and 51 support bases available 24 hours a day, 365 days a year, aroundthe world
Number of airport counter is the industry’s largest class•

Corporate Sales•

Number of users is the industry’s largest classData
communication
service

Payment

Direct website
Apps
Affiliates
Corporate sales
Partners
Airport counters

Shipping
ReturnEnd Users

Worldwide
telecommunications
companies

Customer •Uptake ability of corporate needs

Rental fees

Copyright(C) 2018 VISION INC. All Rights Reserved.

Travelers' Choice 2014/2016
1st place in the mobile
Wi-Fi router category

Payment

Settlement service
providers

Safe / Secure•
Counter

300 yen/day～ * Japanese cellphone companies' fixed-rate discount ratio

Vision Group

Areas

–

19

“GLOBAL WiFi” Business Rental Process•••

Offer anytime, anywhere, safe, secure and comfortable mobile Internet
environment all over the world.
Rental service, costs only when traveling.
Can connect with multiple users and multiple devices (smartphone, PC, etc.).

＜Haneda Airport Counter＞

Order and payment
Order through the web.
Payment is made by credit
card at the time of order.

Receive routerUse overseas

Return router

Collect the router at an airport
in Japan or receive it bydelivery, or in your destination
country.

Enjoy the Internet while you
are overseas. The Wi-Fi
settings are easy to configure.

Return the router at an airport
in Japan or by delivery, or inyour destination country.

Beforetraveling
Beforetraveling

While traveling

Copyright(C) 2018 VISION INC. All Rights Reserved.

After traveling20

Utilizing CLOUD WiFi (Improve Profitability)••

A Wi-Fi router equipped with next-generation communication technology thatmanages SIM on the cloud.
Labor saving of shipping operation = Shipment related cost down–•

Increase to approx. 50% of shipping Wi-Fi routers. (As of December 2017)

Develop “GLOBAL WiFi for Biz” for corporate customers.
––

Keep it at the customer's place = No need to order and receive a router for each use
Plan to offer for individuals as well.

Store SIMs all over
the world on the cloudConnect to a
network in Korea

Connect to a
network in France

Connect to a
network in USA

Internet anywhere in the world with one device
CLOUD WiFi technology
With next-generation communication technology tomanage SIM on the cloud, telecommunication
carriers all over the world can be allocated without
physically inserting SIM.
Copyright(C) 2018 VISION INC. All Rights Reserved.

21

Compare How to Connect the Internet Abroad•••“Global WiFi” “NINJA WiFi” is the best way due to safe, secure, comfortable, andless expensive.
Benefits not only for travelers but also for business use.
The convenience of renting Wi-Fi router for trip has been recognized even in areas
other than Japan, mainly in Asia.
* Created by our research and standard

How to Connect

Price

Area

Speed

Management

Security

○

○

○

○

○

Based on the best quality network in each local area. Low price, secure, safe,
available to connect anywhere. Easy to set-up, easy to manage.

Roaming

×

△

△

○

○

Problem with price. (From JPY1,980 to JPY2,980/day. Maybe charged even more.)

Prepaid SIM

△

△

○

×

○

Need to know how to manage. (Set-up, activation, recharge, etc.)

Wi-Fi Spot

(Hotel, Café, etc.)

○

×

△

○

×

Problem with security (hacking), coverage (not available when moving).
Copyright(C) 2018 VISION INC. All Rights Reserved.

22

Travel Related Service Platform
Use existing customer foundation and offer useful information/service to solve
problems during overseas travel.
FY2017 Japan total approx. 2.69mn people/18.83mn nights

Overseas
travelers

Outbound (approx. 2.08mn people/14.56mn nights) + Inbound (approx.
0.61mn people/4.27mn nights)＊FY2017 actual results, our research

Advertising
revenue
improvement
GuidebookUseful services

Useful information (Media)
Promotional
materials

Video

Facility・Counter

SNS

ARPU
improvement

Email
Rental service of wearable
translation device etc.

Insurance Coupons

Shop &
Duty-freeshop

Hotel &
Minpaku

Tours

RentalTouristcars
Gourmetattractions
limousine

Payment platform

Guide customers to allied partners
Copyright(C) 2018 VISION INC. All Rights Reserved.

Golf
courses《Reference》
FY2016 actual results:
approx. 1.92mn people/13.44mn nights
・Outbound... approx. 1.42mn people/9.94mn nights
・Inbound… approx. 0.5mn people/3.5mn nights
23

Travel Related Service Platform•

Travel advertising media
Advertising media using contact points for users of “Global WiFi”, “NINJA WiFi”,
and other affiliated services of our overseas partners.
– Reachable “directly” to significant overseas travelers••“Surely” contact your target overseas travelers. ※1
Total 7.4mn people a year. ※2
Our overseas bases andoverseas partners

From Japanto overseas＋

1.5mn people
a yearFrom Overseas
to Japan＋

From Korea, China,
Thailand to overseas

3.9mn people

2mn people

a year ※3

a year ※4＝ Total 7.4mn people– Possible to approach according to travelers’ behavior scene•

Provide various media for each contact point.

•

According to attributes, make optimal communication at each scene before travel/during travel/after travel.
Order Wi-Fi routeron the Web

Wi-Fi
Customer DB

Return the
Wi-Fi router

Pick up a Wi-Fi router at our airport counter※1

Not correspond to visitors to some countries and regions.
(We select the countries and regions where we expect advertisement effect.)※2 As of FY2017※3 Incl. our overseas bases and overseas partners ※4 Destination：Excl. Japan
Copyright(C) 2018 VISION INC. All Rights Reserved.
24

Travel Related Service Platform (Media)•

Airport counter
Overseas partners

＋

Korea

TaiwanDomestic airport
counters

15

Copyright(C) 2018 VISION INC. All Rights Reserved.

Overseas airport
counters

45

25

Travel Related Service Platform (Media)•

Inbound advertising media
Web
media

Video

Guidebook

Deliver
directly
at airport

Facility

・Deliver directly toeveryone
・Deliver at our partners‘
base・Available for 4 languages
・Issue 3 guidebook a year
・Issue 300,000 copies ayear

・SNS video posting/uploadingAfter immigration
Airport counter

Before travel

Move Tourism Stay

Tourist information
center・Shinjuku Kabuki-cho
area
・ Exchange counter・Activity, event

Tourism

Move

Departure

Arrival
Email

Email
・Customers before
travel・Customers during
travel・Customers who
used in the past

Before immigration
Airport counter

Deliver
directly
at airport

Promotional
materials
・Correspond toeach airport
・Also correspond tonationality
・Able to choose thetimingCopyright(C) 2018 VISION INC. All Rights Reserved.

Deliver
directly
at airport

Sampling
・Correspond toeach airport
・Also correspondto nationality
・Able to choose
the timing

26

Travel Related Service Platform (Media)•

Outbound advertising media
Deliver
directly
at airport

Sampling

Web
media

Questionnaire foroverseas travelers

・Correspond to each
airport・Also correspond toeach attribute・Able to choose thetimingBefore travel

Before immigration
Airport counter

・For “GLOBAL WiFi”
users/members

After arrival
Airport counter
Move Tourism Stay

TourismMove

ArrivalDeparture

Email

Targeting Email・Reservation customers(before travel)
・Customers in use (during
travel)・Customers who used in thepast

Deliver
directly
at airport

Promotional
materials
・Correspond to each airport
・Also correspond tonationality
・Able to choose the timing

Copyright(C) 2018 VISION INC. All Rights Reserved.

27

Travel Related Service Platform (Media)• Example of collaboration with MINISTOP
Renewal・Appeal text

Deliver (directly)

・Service contents

Deliver a Video

Discuss

Our staff discusses with their
PR dept. based on theaggregated data
・Propose an appealing method
corresponding to cultural (language)
difference
・Propose change of service
contents due to usage frequency
etc.

Use coupon

Aggregate data
・Analysis
Copyright(C) 2018 VISION INC. All Rights Reserved.

Convert into data with barcode
・When (period)
・Which store in Japan・Which language (available in 4
languages)
・ How many coupons are used28

Travel Related Service Platform (Useful Service)•

Rental service of wearable translation device– Suggest usage scenes for overseas travelers andforeign travelers visiting Japan• Have multilingual support, eliminate opportunity
losses, and provide satisfaction.
– “Communication with staffs of facilities etc. during thestay” Trouble… 32.9% ＊– Offer for online and offline. (Available in 63 languages)• Resolve language anxiety by choosing the device
according to needs and scene.

OfflineInstantly

OnlineBidirectionally「渡航先での現地の人々とのコミュニケーション」不満足... 50.0%〔*2〕＊Japan Tourism Agency “Questionnaire on Improvement of Accepting Environment in Japan by Foreign Travelers Visiting Japan”(February 2017)
Copyright(C) 2018 VISION INC. All Rights Reserved.

29

Information and Communications Service Business
Competitive Advantage•
StartupCompanies

Have new dealings with annual total 17,000 or more newly
established companies–

National corporate registration number ... 114,343 （2016)
Source： Ministry of Justice

ＷＥＢ Strategy•

Customer
Loyalty•

Ability to attract customers due to our own WEB marketing(media strategy)
CRM strategy, our own know-how––

Maximization of continued revenue ＝ Stock business
Up/Cross Selling which is high productivity

U.com
Telephone Line Cellphone
Arrangements Support

OfficeAutomation

Website Support

Security

Electric Power*Total number of companies established within 6 months (including sole proprietors), starting
business with us (our research)
Copyright(C) 2018 VISION INC. All Rights Reserved.

30

Information and Communications Service Business
Growth Strategy○Continuous stock model••

Keeping closer to the growth of client companies, offer optimum solutions
according to the growth stage.
Structure that profits are accumulated by our original know-how CRM (customer
relations/continuous dealings).
Optimum
solutions
Optimum
solutions
Optimum
solutions

Further growth
stage

Early growthstage
Startupstage

Current main targets:

Future targets:

Growth candidates

Enterprises in growth stages

Copyright(C) 2018 VISION INC. All Rights Reserved.

31

Information and Communications Service Business
Growth Strategy○ High productivity model
Web marketing × Sales rep × CLT (Customer Loyalty Team)•••Web marketing： Attract customers’ outstanding demands by our original know-how.
Sales rep： Professional group to acquire efficiently + escalation of additional needs.
CLT： Continue dealings and collect additional needs by customer follow-up.
New customers

Acquire outstanding
demands with highlikelihood

Proposalwith highprecision

Existing customers

Hear customers'
problems and
needs

￥

Cooperation

Cooperation

CLT (Customer
Loyalty Team)Web marketing
team

Sales rep
Copyright(C) 2018 VISION INC. All Rights Reserved.

32

Information and Communications Service Business
Growth Strategy○ Enhance distribution channel / Enhance products, services, andbusiness models•「BIMAKE （Vision Business Market）」
https://vision-bizmarket.com/– “Comprehensive support website for companies” that fully supports all companies’
business.
– For our main targets, startup, small and medium-sized, and venture companies.
– Also attract customers who are preparing to establish company.
– Offer our services and tie-up partner’s products with useful information.

Copyright(C) 2018 VISION INC. All Rights Reserved.

33

APPENDIX

Copyright(C) 2018 VISION INC. All Rights Reserved.

34

Group Structure
Number of affiliated companies
Overseas

Number of operation bases
Airport counter (directly operated)
Overseas
Domestic

Domestic

14

7
10

2

12
10

12

14

14

12

2011

2014

2017

2
7

2011

4

3

2014

2017

Employee count (Full-time)
Female
Male

497
347
252
30
222

2011

2014

Personnel classification

146

76

271

Profession
Clerical
Sales

252
61

497
41
347
28
129

351

2017

191

190

2011

2014

Copyright(C) 2018 VISION INC. All Rights Reserved.

191

265

2017
35

Performance Data
Sales
20,599Gross profit
Gross profit ratio

12,103

17,554

10,16014,843

8,622

12,4859,203

FY2013

6,909

10,185FY2014FY2015FY2016FY2017FY2018(Forecast)

5,198

5,651

56.5

55.5

55.3

FY2013

FY2014FY2015

SG&A expenses

58.1

57.9

FY2016FY2017

9,850

Operating profit
Operating profit ratio

8,372

56.4

1,788

FY2013

6,105

1,290
804

52.7

FY20148.7

48.9
FY2015FY2018(Forecast)

2,252

7,332
5,635

58.8

Operating profit

SG&A expenses
SG&A expenses ratio

5,188(JPYmn, %)Gross profit

49.4
FY201647.7
FY201747.8
FY2018(Forecast)

286

10.2

10.9

6.4

10

0.1 2.8
FY2013 FY2014

Copyright(C) 2018 VISION INC. All Rights Reserved.

FY2015FY2016FY2017FY2018(Forecast)36

Consolidated Balance Sheet(JPYmn, %)FY2017FY2016Compared to the previous
consolidated fiscal year end

AmountAmountIncrease or
decrease

Increase or
decrease ratio

AssetsCurrent assets

8,995

8,129

+865

+10.6

6,256

6,241

+14

+0.2

2,488

1,805

+683

+37.8

Tangible fixed assets

859

480

+378

+78.7

Intangible fixed assets

590

423

+167

+39.6

1,038

901

+137

+15.2

11,483

9,935+1,548

+15.6

2,895

2,600

+294

+11.3

Fixed liabilities

2

22

△20

△89.4

【Total liabilities】

2,897

2,623

+274

+10.5

8,586

7,312

+1,274

+17.4

74.6

73.6

+1.0

－

Cash and deposit
Fixed assets

Investments and other assets【Total assets】
Liabilities
Current liabilities

Net assets【Total net assets】
Equity ratio

Copyright(C) 2018 VISION INC. All Rights Reserved.

37

“GLOBAL WiFi” Business•

Inbound (Overseas travelers to Japan)：
–
–
–

•

Market Size•

Over 28.69mn people for a year.
* FY2017 actual result
Potential market size: approx. JPY200.8bn ※Government’s target: 40mn people in 2020

Overseas travelers in the world (Number ofinternational tourist arrivals)：––Global travelers from overseas to overseas
are the huge market of 1.3bn people scale.
Potential market size： approx. JPY9tn andmore ※Outbound (Japan → Overseas)：––(‘000 people)
Remained at around 17mn people.
Potential market size: approx. JPY125.1bn ※(mn people)

1,800

60,000予想
40,000Government’s
targetInbound
Outbound

1,322

28,69024,039

1,235
1,184

19,737
13,4138,358 10,363

8,611

1,087

6,218

Approx. 17mn people (slightly increasing trend)

949

993

1,133

1,039

16,637 16,994 18,490 17,472 16,903 16,212 17,116 17,889

2010 2011 2012 2013 2014 2015 2016 2017

～

2020

～

2030

2010 2011 2012 2013 2014 2015 2016 2017

～

2030

Create from JNTO materials, March 2016 “Advisory Council on Tourism Nation Promotion”, Heisei29 edition tourism white paper, and the materials released by UNWTO※Estimate from Average Revenue Per User of our customer

Copyright(C) 2018 VISION INC. All Rights Reserved.

38

“GLOBAL WiFi” Business

Growth Story“GLOBAL WiFi” penetration ratio (Japan) ※Overseas use share (Outbound)
Domestic use share (Inbound + Japanese)
Share in the Japanese market (Out + in)➂“Utilization” customer foundation/
Develop new business

11.7%

Travel related service platform

8.3%
6.4%
4.4%
4.7%

2.0%
0.4%
0.3%
0.0%

3.5%

2.7%
0.7%

1.4%
0.2%

Useful information (Media)

5.8%

1.2%

2.1%

●
●

1,650,969
62,615

Rental number ※Guidebook

Video

2.2%

Useful services

Facility

Overseas business (Except for use in Japan,
Overseas ⇒ Overseas)
Domestic use (Inbound + Japanese)

285,708①“Expansion”
customerfoundation/
Market1,144,045

Overseas use (Outbound)

66,556development

190,665

516,199
17,73435,512

241,737
10,52055,507 7,511
462,953
6,236
223,706244
49,027FY2012FY2013

FY2014

783,050
43,66990,906etc.

Translation
deviceOther services
will be offered
soon.

➁“Stability” business foundation/
Improve profitability
Accumulate repeat users

1,302,646

High loyalty customer accumulation CRM ⇒ Suppress promotion expenses,
stable revenue＊Repeater ratio ... Over 50% of orders

Capture corporate demandHigh ARPU, less seasonality, frequent repeat* FY2017 cumulative corporate utilization ratio ... Rental number 43.6%,
amount 50.9%

886,824
648,475

Increase in sales, cost control, productivity improvement
Increase ARPU (up/cross selling), improve cost efficiency/SG&A expenses ratio<Reference> Segment profit margin* FY2016 14.5% → FY2017 15.3% (+0.9%)

FY2015FY2016FY2017※ Created from Japan Tourism Agency material by us

Copyright(C) 2018 VISION INC. All Rights Reserved.

39

“GLOBAL WiFi” Business

Customer Attributes(Corporate・Individual)
FY2017 Cumulative Total(Jan.-Dec.) Actual result
Rental number

AmountCorporate
Individual

Corporate
Individual

43.6%

50.9%

56.4%

FY2016 Cumulative Total(Jan.-Dec.) Actual result

49.1%

Rental number

AmountCorporate
Individual

Corporate
Individual

54.4%

49.2%
45.6%

50.8%

※It is the ratio of overseas use (outbound: Japan ⇒ overseas).
Copyright(C) 2018 VISION INC. All Rights Reserved.

40

“GLOBAL WiFi” Business

Customer Attributes(New・Repeat)
FY2017 Cumulative Total(Jan.-Dec.) Actual result
Rental number

AmountRepeatNew

Repeat
New

53.1%
46.9%
FY2016 Cumulative Total(Jan.-Dec.) Actual result

53.1%
46.9%

Rental number

AmountRepeat
New

53.9%
46.1%

Repeat
New

53.0%
47.0%

※It is the ratio of overseas use (outbound: Japan ⇒ overseas).
Copyright(C) 2018 VISION INC. All Rights Reserved.

41

“GLOBAL WiFi” Business

Customer Attributes(By Gender / Age・Past Cumulative Total)

5.8%

1.6%

By age6.2%

By gender, corporate / individual

0.5%

11.0%

20.5%

9.1%

39.4%

14.0%
9.1%

11.9%

14.9%
11.9%

31.0%

13.1%

Under 18

19-24

25-29

30-34

35-39

45-49

50-54

55-59

Over 60

Unknown

1.3%

By age (Male)

4.0%

3.2%
3.7%

40-44

Individual / Female

Individual / Male

Corporate / Female

Corporate / MaleBy age (Female)

0.3%

0.2%

0.3%

1.8%
5.3%

5.3%

3.8%
4.8%

7.1%

2.6%

7.8%
8.7%

4.8%

7.0%

7.3%

Under 18

19-24

25-29

30-34

35-39

45-49

50-54

55-59

Over 60

Unknown

Copyright(C) 2018 VISION INC. All Rights Reserved.

7.8%

5.8%

7.1%
40-44

Under 18

19-24

25-29

30-34

35-39

45-49

50-54

55-59

Over 60

Unknown※It is the ratio of overseas use (outbound: Japan ⇒ overseas).

40-44
42

Business Summary

Copyright(C) 2018 VISION INC. All Rights Reserved.

43

VISION INC.
Code

9416

Operation Bases and Affiliates•
Domestic Affiliated Companies： 2•
Domestic Operation Bases： 10•
Domestic Airport / Port Counter： 16•
Global Affiliated Companies： 12(1st Section of the Tokyo Stock Exchange)

Incorporated

December 4, 2001
(Founded June 1, 1995)

Management
Philosophy

Contributing to the Information andCommunications Revolution

Head Office

5F Shinjuku i-Land Tower, 6-5-1 NishiShinjuku, Shinjuku-ku, Tokyo 163-1305

Employees

Domestic: 555

2011
2012
2014
2016

Korea, USA (Hawaii), Hong Kong
Singapore, Taiwan, UK
Vietnam, China (Shanghai), France,
Italy
USA (California), New Caledonia

Global: 78(As of December 31, 2017)

AffiliatedCompanies
Business

Domestic: 2

Global: 12(As of December 31, 2017)

GLOBAL WiFi
Information andCommunications Service

GLOBAL WIFI.UK LTD
Global WiFi France SAS
Vision Mobile Italia S.r.I.
上海高效通信科技有限公司

Vision Inc.
Best Link Inc.
Members Net Inc.
Vision Mobile Korea Inc.
Vision Mobile Hawaii Inc.

Vision Mobile Hong Kong Limited
VISION VIETNAM ONE MEMBER
LIMITED LIABILITY COMPANYVISION MOBILE USA CORP.

無限全球通移動通信股份有限公司（台湾）

GLOBAL WIFI.COM PTE. LTD.
VISION MOBILE NEW CALEDONIA

Affiliates, Purchasing / Operation Bases
Purchasing / Operation Bases
System Development Center (Offshore)

Copyright(C) 2018 VISION INC. All Rights Reserved.

44

History
Changed the market to 1st Section of
the Tokyo Stock Exchange in DEC. 2016
Listed with “Mothers” of the Tokyo
Stock Exchange in DEC. 2015

Started Global Wi-Fi
router rental service

2016
2015

Started e-ca Wi-Fi
router rental service

2012
Established Best Link Inc.
and Members Net Inc.

Started broadband
subscription

2010
2008

Started company
cellphone business

2007
2006
2005
2004
Started Internet
advertising business

Founded
1995

2003
Started international telephone service sales businessfor South American people who live in Japan

2006

2007

Opened Fukuoka Office, Kansai Office andYokohama OfficeOpened Shinjuku Office and Nagoya Office2009 Opened Naha Office2011 Opened Sapporo OfficeOpened Saga Vision Future Business Center (VFBC)
Established Overseas subsidiaries（Korea, Hawaii, Hong Kong）
2012

Opened Narita Office
Established Overseas subsidiaries (Singapore, Taiwan, UK）

2014

Opened Rinku Office
Established Overseas subsidiaries (Vietnam, China, France, Italy）

2016

Established Overseas subsidiaries (USA California, New
Caledonia）

Copyright(C) 2018 VISION INC. All Rights Reserved.

45

Core Strategies••

Niche & Focus
strategy

Price & Quality
leadership strategy

Discover the challenges
born in the niches of theevolution in informationand communications, anddevelop new markets.
Focus management
resources on carefully
selected targets, andrefine our services.

• Overseas travelers
 Startup companies••

Production efficiency isthoroughly pursued.
Realized by improving
organizational structure
and business speed.
While maintaining highquality of service,
demonstrate pricecompetitivenesssurpassing competitors.

 Productivity, priceadvantage
 Service quality evaluation
Copyright(C) 2018 VISION INC. All Rights Reserved.

Up/Cross selling
strategy••

Pick up new needs for
information andcommunications services
and continuously offer
services at reasonable
prices at the right time.
Build a long-term
relationship withcustomers.
 Original CRM
 Stock business46

Contributing to the Information and Communications Revolution

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47

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 does not undertake
any obligation to update and modification of the “forward-looking statements” included in thisannouncement.
Vision Inc.
•
Contact： ir@vision-net.co.jp

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48