Full-year Financial Results for the Fiscal
Year Ended December 31, 2021
(Matters relating to business plans and growth potential)

ＲＯＢＯＴ ＰＡＹＭＥＮＴ INC.
Tokyo Stock Exchange Mothers

February 14,
2022

4374

Table of Contents
01

Product Outline
3

02

Full-year results for the fiscal year ended December 31, 2021
803Medium-Term Management Targets
28

04

Forecast for the fiscal year ending December 31, 2022
52

05

supplementary material
58
2

01

Product Outline

3

Our Products
2 SaaS products in the area of connecting corporate money with technology
Built-in settlement function featured in addition to general SaaS function
Billing Management Robot

Subscription Payment

Billing Management Root

Subscription Payment

Billing Marunage Robot

Billing Management SaaS
automating/streamlining functions to“publish/send invoices, collect bills, reconcile,
send reminders.”

Subscription Management SaaS executing
customer management and payment for
subscriptions for subscription business

Main Customer

Corporations conducting
BtoB business

Main Customer

Corporations conducting
BtoB business

Target Market

BtoB payment market

Target Market

Subscription market※Our service name for online payment service was changed to 「サブスクペイ」(“Subscription Payment”) in order to raise recognition among subscription
businesses in January, 2022.

4

Charging System

Subscription Payment

Billing Management Root

Pay-asyou-go

Flat rate

Fees according to theamount of accountreceivable of Marunage

2%~ of thereceivables

Settlement revenue
according to the billing
amountSpreadFee

Storage according to
number of payment

Charge by anincrease of 100
payments

Monthly system usage fees
Option fees
ID billings according to
number of users¥10,000/M～

Customer unit price will increase with this model as feesfrom amount of account receivables of Marunage, andbilling amount/number of payment increase

Pay-asyou-go

Flat rate

Fees according to thesettlement amount(Spread)2.65％～

Fees according to numberof payments(Fee)¥5/payment

Monthly system usage fees
Option fees
ID billings according to
number of users¥8,000/M～

Customer unit price will increase with this model as thefees from settlement amount/number of payment
increase
5

Overview of Billing Management Robot Service
Automatic
billing

Accounting DX service tostreamline/automate monthly-based
billing management

Publish/sendInvoices

Automaticcollection

Automaticreconcilia
tion

Automatic
reminder【Available payment methods】

・bank transfer・Account transfer
・Credit card ・Payment at convenience store

Before/after
Settlement dateFeatures of 2 Different Services❶Use on cloud❷Outsource billings
Billing Marunage Robot

Billing Management Root

• Publish an invoice integrating
billings of spot/flat rate/pay-asyou-go• Various functions to meet theneeds of subscription business• Corporate with other payment
methods to enable automatic
payment by many different
methods

credit checkinvoicingpayment
collection

Risk
request for
Payment
Management the payment Guarantee• Outsource billing
management including
functions to publish
invoice, collect money,reconcile, send reminder• Guarantee 100% paymentof account receivable
6

Overview of Subscription Payment Service
Subscription Management SaaS to enable customer management and payment for
subscription for subscription business
Customer management function
Customer management database
Detabase Image

Settlement Form

Payment system for subscription■ Fetch customer data

in a secured
environment■ Customer
Reflected in databasemanagement andanalysis linked tosettlement data

Customer management function

Other
Companies

Link
data

Link
data

1st month
Link
data

Link
data

2nd month
Link
data

3rd month
Link
data

Data linkage only necessary for the first time
Execute billing automatically every monthaccording to the rule

Payment function for subscription

MyPagePayment form
Customization

Customer analysis

CRM（Under development）

Payment function（Under development）

Pricing for individual product, billing cycle,
chargeable duration, number of charges
Setting/changing rules such as billing date
Free trial
Set duration

Cancellation form

7

02

Full-year Results for
the Fiscal Year
Ended December 31, 2021

8

02-1
Full-year Results for the Fiscal Year
Ended December 31, 2021
Company-wide Performance

Key Points of Full-year Results for the Fiscal Year 2021

Net sales• Positively affected by a rise in Customer unit price/number ofaccount of both Billing Management Robot and Subscription
Payment, which led to an increase of company-wide net sales
growth rate compared to last year
（Year 2019→Year 2020：18.4％、Year 2020→Year 2021：29.4％）

Operating
Profit• Especially focused on creating operating profit as listing application
pending• Prioritized operating profit by maintaining cost efficiency on
advertisement, personnel cost, development cost, and driving down
compared to proportion of sales• Starting with advertisement cost, operating profit will bemaintained continuously in order to build a flexible structure to
make it feasible to correspond to changes in macro environment toproduce profit(Note) Spread: Commission charged at a rate on merchant sales

10Overview of Full-year Results for the Fiscal Year 2021
Increased 29.4% in net sales compared to previous fiscal year
Produced over 200 millions JPY of OPM（unit：million）

2020
Fiscal Year

2021
Fiscal Year

Growth rate
From previous
fiscal year

1,078

1,395

+29.4%

GOP

998

1,264

+26.7%

OPM

86

201

+133.1%

Recurringprofit80

200+150.9%

CNI

110

135

+23.5%Net Sales11Progress of Full-year Results for the Fiscal Year 2021
Achieved exceeding 100% on all the revised figures（unit：million）

Forecast for
Fiscal Year 2021

Net Sales

1,370

1,395

101.8％

GOP

1,241

1,264

101.8％

OPM

158

201

127.3％

Recurringprofit157

200

127.2％

CNI

128

135

105.4％

2021
Fiscal Year

Achievement
Rate

12

Transition of sales
Company-wide sales growing rate records year-on-year positive growth（Net sales /Unit：million）

1,500

Company-wide
Billing Management Robot
Subscription Payment

911

1,078

+29.4％

1,395+18.4％

711
495

1,125

597
339
750

246
119
75

375

444

517

598

706

872

0
Fiscal Year 2017
Ended December 31

Fiscal Year 2018
Ended December 31

Fiscal Year 2019
Ended December 31

Fiscal Year 2020
Ended December 31

Fiscal Year 2021
Ended December 31(Note 1) Quarterly figures for the fiscal years ending December 31, 2019 and 2020 are unaudited and for reference only.
(Note 2) The Accounting Standard for Revenue Recognition (ASBJ Statement No. 29, March 30, 2018; hereinafter referred to as the "ASRR") and the Guidance on ASRR. (ASBJ Guidance No. 30, March 30, 2018)
became applicable from the beginning of fiscal years beginning on or after April 1, 2018, the Company adopted ASRR etc. from the beginning of the fiscal year ended December 31, 2019.
(Note 3) Subscription Payments only includes Internet settlement sales excluding settlement via CAT terminals in the Payments business.

13Factors of rise and fall of OPM
Maintained cost efficiency on advertisement cost, personnel cost, anddevelopment cost to prioritize OPM
Costs mainly forrecruitment andlisting

Operating Income
for the year ending
Dec. 31 2020

Increase
In salesIncreasein costof salesIncreasein personnel
expenses

Increase
In advertisingexpenses

Increasein other selling
expenses

Operating Income
for the year ending
Dec 31 2021

14

Main KPI
Ratio of expenses to
Recurring revenues（2*）

ARR（1*）
Company-wide
Company-wide

Company-wide¥1,549 million

Net sales growing rate（compared
to previous term）
Company-wide

96.3%

29.4%

Billing
Management Robot

562 million yen

Billing
Management Robot

95.1%

Billing
Management Robot

45.9％

Subscription
Payment

928 million yen

Subscription
Payment

97.0%

Subscription
Payment

23.5％

Number of Account（hereafter AC）
Company-wide

Billing
Management Robot
Subscription
Payment

Customer unit price（Fiscal Year
2021 Ended December 31）（3*）

Company-wide

Company-wide

6,491AC594AC
5,897AC

Cancellation rate（month/price）（4*）¥19,598

0.54%

Billing
Management Robot

78,803 yen

Billing
Management Robot

0.75％

Subscription
Payment

13,120 yen

Subscription
Payment

0.51％(Note 1) ARR: Abbreviation for "Annual Recurring Revenue," which is calculated by multiplying the December 2021 single month recurring revenue (the sum of revenues that are continuously generated over the period ofservice use) by 12 (annualized).
(Note 2) Recurring revenue as a percentage of net sales of each business for the single month of December 2021.
(Note 3) Per customer: Monthly recurring revenue per account (as of the end of the fiscal year, monthly sales minus initial costs).
(Note 4) Monthly churn rate calculated by amount, which is the average for each month from January 2021 to December 2021 of "recurring revenue generated from customers who churned during the month divided byrecurring revenue of all customers in the previous month.

15

02-2

Full-year Results for
the Fiscal Year
Ended December 31, 2021
Billing Management Robot

Net sales transition of Billing Management Robot
Customer unit price and number of accounts increased
Growthof net sales was accelerated in comparison to previous year
(Sales/Unit: Million
yen)
625

+45.9%
500+38.0%
375

495

250

339
246

125

75

119

0

2017/122018/122019/122020/122021/12(Note 1) Quarterly figures for the fiscal years ending December 31, 2019 and 2020 are unaudited and for reference only.
(Note 2) The Accounting Standard for Revenue Recognition (ASBJ Statement No. 29, March 30, 2018; hereinafter referred to as the "ASRR") and the Guidance on ASRR. (ASBJ Guidance No. 30, March 30, 2018)
became applicable from the beginning of fiscal years beginning on or after April 1, 2018, the Company adopted ASRR etc. from the beginning of the fiscal year ended December 31, 2019.

17

Transition of main KPI for Billing Management Robot ❶Transition of Customer unit price (1*)
100,000（Customer unit price/Unit：Yen）

ARPA

+8.5%

Transition of number of accounts
800（Number of accounts/Unit：account）

Number of accounts+26.9%+13.9%

78,80380,00072,662+23.8%

600

594

63,780468

60,000378

400
40,000200
20,00000
2017/122018/122019/122020/122021/122017/122018/122019/122020/122021/12(1*) Per customer: Monthly recurring revenue per account (as of the end of the fiscal year, monthly sales minus initial costs).

18

Transition of main KPI for Billing Management Robot ❷Transition of number of publishedinvoices

Transition of billing amount（Billing amount/Unit：million）

amount billed or claimed

420,000+40.3%（number of publishedinvoices/Unit：thousand）

2,400

Number of invoices issued+69.3%

342,4231,830+65.4%

315,000

1,800+53.3%

244,020
210,000

1,200

1,081

147,549705
105,000600

002017/122018/122019/122020/122021/122017/122018/122019/122020/122021/1219

02-3
Full-year Results for the Fiscal Year
Ended December 31, 2021
Subscription Payment

Net sales transition of Subscription Payment
Recorded a rise in net sales growth compared to previous year due to profit
increase by demand during stay-home campaign under COVID situation（Net Sales/Unit：million）+23.5%

1,125+18.0%

900

675

450

225

872
444

517

598

706

0
2017/122018/122019/122020/122021/12(Note 1) Quarterly figures for the fiscal years ending December 31, 2019 and 2020 are unaudited and for reference only.
(Note 2) "Accounting Standard for Revenue Recognition" (ASBJ Statement No. 29, March 30, 2018. (hereinafter referred to as ASRR) and "Guidance on Accounting Standard for Revenue Recognition". (ASBJ
Guidance No. 30, March 30, 2018) became applicable from the beginning of fiscal years beginning on or after April 1, 2018. Accordingly, the Company has applied ASRR, etc. from the beginning of the fiscal year
ending December 31, 2019.
(Note 3) Subscription Payments only includes Internet settlement sales excluding settlement via CAT terminals in the Payments business.

21

Transition of main KPI for Subscription Payment ❶Transition of Customer unit price（1*）

18,000（Customer unit price/Unit：yen）

Transition of number of accounts（Number of account/Unit：Account）

average customer spend

Number of accounts

7,000
+6.1%

+9.0%

+21.8%

13,12013,50012,363+13.3%

5,897

5,205

5,250

4,777

10,153
9,000

3,500

4,500

1,750

0

0
2017/122018/122019/122020/122021/122017/122018/122019/122020/122021/12（1*） Customer unit price：Monthly recurring revenue per account（It excludes initial cost from monthly-based net sales at the end of Fiscal Year)22

Transition of main KPI for Subscription Payment ❷Transition of settlement amount

150,000（Settlement amount/Unit：million）

Settlement Transaction Volume

Transition of number of payments

12,000（Number of payments/Unit：thousand）

Number of payments processed+28.2%+49.6%

9,292
112,500

105,557+19.6%

9,000+46.1%

7,249
6,062

70,57075,0006,000

48,30637,5003,000

002017/122018/122019/122020/122021/122017/122018/122019/122020/122021/1223

02-4
Full-year Results for the Fiscal Year
Ended December 31, 2021
Business HighlightBusiness Highlights❶
Billing Management Robot••••

Product
Update••Linked with Scale base（2021/2/17）
Linked with “HUE” provided by Works Applications Inc.
（2021/4/22）
Partnered with EPSON Sales Japan Co.
Became available to link with the accounting software
provided by the corporation above, called “Zaimu Komon
R4/Zaimu Ouen R4”（2021/11/18）•

Patent acquired regarding “Billing system forsubscription”（2021/10/13）•

Inaugurated as auditor-secretary corporation of “E-invoice Promotion Association (EIPA)（2021/9/22）•

Settled the correspondence to invoice system (effective
since October, 2023)（2021/12/2）•

Met the system requirements of Amended version ofElectronic Books Maintenance Act (effective since
January , 2022)（2021/12/15）

Increased the number of inquiries from
customers using systems linked to our service•

Broadened access to a strong marketing
network with 9 brunches and 12 sales offices,which belong to EPSON Sales Co..

Reaped a competitive advantage for Subscription
business, due to the patent acquisition.

•

Promoting “Japanese version of Peppol” as•E-invoice standard specification as well as
raising recognition of our company•

Adopting to related laws and restrictions toincrease number of accounts that are boosted
up by the macro environment25

Business Highlights❷
Billing Management Robot for Salesforce••

Partnered comprehensively with OPRO Co.
（2021/1/19）
Linked with “Soask” provided by OPRO Co.（2021/8/4）•

Updated functions to review Records of received money••

Automation of all process from sales
management to credit management
became available
Customer unit price improved due toand reconciliation, and to judge reconciliation, sales

strengthened our advantage, credit

amount, and advanced receipt per bill (2021/10/8）

management function

Product
UpdateBilling Management Robot•

Integrated management function between billings•

Unique advantage of centralized billingoutsourced to our company and bills that the customer

information for both billing agency and in-company process（2021/6/14）

house billing

Subscription Payment••

Establishing recognition of “Subscription

Renewed brand, and changed the service name into

Payment” as the best service with billing“Subscription Payment,” undergoing trademark

function out of all the subscription

application process（2022/1/13）

management SaaS
26

Business Highlights❸
Promoted “Free the accounting in Japan” Project to raise recognition
Activity History
July 2nd, 2020 Presentation event for “Free the accounting in Japan” Project
September 11, 2020 Talk event to eliminate concerns and worries that 100 accountants have, with a guest Kotaro Kobayashi

September 30, 2020 Presented a petition to METI to improve accountants’ work style through extension of applicants for IT
Introductory subsidies and etc.
October 22nd, 2020 First online event “Free-the-accounting-in-Japan conference 2020”
2February 10, 2021 Second online event “Free-the-accounting-in-Japan conference 2021”

PR
UpdateJune 21st, 2021 Minister Hirai from Digital Agency mounted the podium at the event to promote “Peppol”
Held “Free-the-accounting-in-Japan Award” to honor companies contributed to improve work style for accountants

Media/Award
TV 6 programs Web 80 original medias

Reprinted 700 articles

PR Award ASIA 2021 Public Affairs Department

Gold

PR Award ASIA 2021 Internal Communications (COVID-19) Department
Gold

27

03

Medium-termManagement Goals

28

Outline of Medium-term Management Goals
Pay-as-you-go

Increase
Customer unit priceIn addition to the regular SaaS earning structure, unit price of pay-as-yougo will increase as customers’ business grow as well as the usage
Flat rate

Furthermore, unit price for flat rate will also increase by growing thenumber of major corporate customers

Increase
Number of accounts

Increase growthrate of net sales•

Strengthening promotion by make proportion of sales more efficient on
advertisement fees to increase the number of accounts more rapidly•

New promotion on acquiring major corporate customers will also
contribute to the increase in number of accounts•

Execute the plan to raise the pace to increase the both unit price andnumber of accounts in order to improve the growth rate of sales

29

03-1
Medium-term Management Goals

Plans for increasing customer unit price (Pay-as-yougo)Our Products
Two SaaS products in the area of connecting corporate money with technology
General SaaS plus additional payment functions
Billing Management Robot

Subscription Payment

Billing Management Root

Subscription Payment

Billing Marunage Robot

Billing/Collection/Erasement/
Dispatch/Reminder
Billing Management SaaS
to streamline/automate

Subscription Business Customer
Management/
Subscribe management SaaSwith recurring billing

Main Clients

Corporations engaged in
BtoB business

Main Clients

Corporations engaged in
BtoC business

Target Market

BtoB Payment Market

Target Market

Subscription market
31

Characteristics of our customer unit priceIn addition to the unit price for flat rate plan of general SaaS, our product has a built-in billing function, whichadds up pay-as-you-go unit price. Moreover, the customer unit price will raise gradually as customers’ businessgrow. Hence, sales amount of pay-as-you-go will naturally increase.

Customer unit price for general SaaSOur unique strategy for customer unit pricePay-asyou-go
Unit priceSales amount of payas-you-go naturally
increases ascustomers’ businessgrow
Marunage fees
Settlement fees for Billing Management
Robot/Storage fee
Spread/fee for Subscription Payment

Flat rate
Unit price

Monthly system fee
Option fee
ID fee depending on number of users

Flat rate
Unit price

Monthly system fee
Option fee
ID fee depending on number of users

32

03-2
Medium-term Management Goals

Plans for increasing customer unit price (flat rate)

Comparison of customer unit price (flat rate) between
major companies and general proj ects
The customer unit price for major companies is often higher since they operate multi functions/ business in other areas
with huge number of accounts Advanced product for those major companies will be developed to grow our business

Subscription Payment

Billing Management Robot（Customer unit price of flatrate/Unit：Yen）

600,000¥515K

Major companies（Customer unit price of flatrate/Unit：Yen）

62,500¥50K

Major companies

General projects

General projects

50,000450,000
37,500300,000
25,000¥82K

150,000¥7K
12,500

0

0
17/12

19/12

21/12

(Actual)(Actual)(Actual)(Actual)

23/12

25/12

(Preliminary) (Preliminary)(Forecast)

17/12

19/12

21/12

(Actual)(Actual)(Actual)(Actual)

23/12

25/12

(Preliminary) (Preliminary)(Forecast)(Note) Major companies: Companies that issue 1,000 or more invoices per month as of the end of each fiscal year for the Billing Management Robot and companies that handle more than 10 million yen in
payment transactions per month as of the end of each fiscal year for Subscription Payment.

34

Transition of number of projects from major companies
Project ratio of major companies is raising, contributing to the unit price increase of flat rate
（Number of accounts/Unit：Account）

Billing Management Robot

Ratio of total number of major companies

4,000

Subscription Payment（Number of accounts/Unit：Account）

30,000General projects
Major companies

Ratio of total number of major companies
General projects
Major companies

3,000

6.49%

2.52%

22,500

2.23%

5.80%
2,000

2.03%

15,000

5.26%

1.86%
4.83%
4.50%

1,000

7,500

4.21%

0.90%

4.06%

1.30%

1.40%

1.67%

1.68%

1.70%

2.91%
2.45%
0

2.62%

0

17/12

19/12

21/12

23/12

25/12

(Actual)(Actual)(Actual)(Preliminary)(Preliminary)(Actual)(Forecast)

17/12

19/12

21/12

(Actual)(Actual)(Actual)(Actual)

23/12

25/12

(Preliminary) (Preliminary)(Forecast)(Note) Large companies: Companies with at least 1000 invoices issued per month as of the end of each fiscal year for the Billing Management Robot, and companies with at least 10 million yen in monthly paymenttransactions as of the end of each fiscal year for Subscription Payment.

35

Sales strategy to obtain major companies as our customer
Separately construct sales strategy and optimized organization to acquire major companies
Strategy for customer acquisition

Main target

Sales strategy• Approach to target customers by apush
• Broaden business by promoting to thegroups of existing major customers
Organization
strategy• Construct sales organization to acquire
major companies as customer

SaaS

Consulting

Media/advertise
ment

SoftwareEducation

Rental service

Fitness

WebinarStreaming service
with subscription

Donation• Strengthen partnership with
development support companies topromote to major companies as ourcustomer36

Product strategy for major company acquisitionas our customer
Develop to improve performance, function enhancement, and customization
Performance improvement

Build an infrastructure that can maintain high performance to process massive
data and traffic even after customer business extends
Function enhancement• Extend our business areas that has enough ability to support customer’stasks• Develop function to solve individual task/problem in any business type
Customization

Develop “for Enterprise” that enables more customization to adopt to all kinds ofcustomer’s needs
37

03-3
Medium-term Management Goals

Plans for increasing customer unit price (Summary)Growth model of customer unit pricePay-as-you-go unit price will naturally increase as customer’s business grows. Flat rate unit price will
also increase as percentage of major companies as our customer raises.
Consequently, customer unit price will grow significantly
Customer unit price
Growth model of customer unit price

Both unit prices grow

Marunage fee
Pay-asyou-go
Unit priceSettlement
revenue

Strage（1*）

Flat rate
Unit price

Monthly system usage fee
Option fee
ID billing according to
number of users
0

Pay-as-you-go unit price will
increase since amount of usage fee
will naturally increase ascustomer’s business grows

Flat rate unit price will increaseby raising the percentage of major
companies as our customer

X years later（1*） A charging system that the price will go up by stages as number of customer’s billings increases

39Transition of customer unit price for each product and future goals
Based on the above, the future target is set as follows based on the past trends in the unit price per customer for eachproduct. With more than 5,800 accounts already in Subscription Payment, we have decided to increase the number ofaccounts in the subscriber pay system.Moderate increase in cost per customer compared to Billing Management Robot.

Billing Management Robot
200,000

Subscription Payment

18,000（Customer unit price/Unit：Yen）

174,488
145,563

12,363

13,500125,060

150,000

15,22915,038（Customer unit price/Unit：Yen）

9,624

107,808

13,12013,693
12,96014,32910,661
10,15393,42178,803100,000

9,000

72,662
63,78037,38048,5624,500

50,000

0

0
17/12

19/12

21/12

23/12

25/12

17/12

19/12

21/12

(Actual)(Actual)(Actual)(Preliminary)(Preliminary)(Actual)(Actual)(Actual)(Actual)(Forecast)(Actual)

23/12

25/12

(Preliminary) (Preliminary)(Forecast)(Note) Per customer: Monthly recurring revenue per account (as of the end of the fiscal year, monthly sales minus initial costs).

40

03-4
Medium-term Management Goals

Measures to increase the number of accounts

Number of Accounts by Product and Future Targets
Expect to increase the number of accounts by cultivating potential customers through strengthened
advertising and sales strategy to acquire major customers.
Subscription Payment

Billing Management Robot
1,800(Number of accounts/unit: accounts)

1,556
1,064

total amount

total amount

8,879

Increase due to acquisition of711

major customers

13,384

1,294

869

Increase due to acquisition of
1,350

15,000(Number of accounts/
unit: accounts)

11,250major customers

6,529

10,746

7,498

5,897
5,205

594
4,777
900

4,238

7,500

468

3,783

378
286

450

3,750
191

0
17/12

19/12

21/12

23/12

25/12

(Actual)(Actual)(Actual)(Preliminary)(Preliminary)(Actual)(Forecast)

0
17/12

19/12

21/12

(Actual)(Actual)(Actual)(Actual)

23/12

25/12

(Preliminary) (Preliminary)(Forecast)

42

03-5
Medium-Term Management Targets

Increase in sales growth rate

Sales growth target for Billing Management Robot (5 years)
Use the aforementioned per customer x number of accounts = target line for sales.
Expect sales increase potential above the target line if further advertising expenditures are madewhile monitoring market trends(Sales/Unit: Million yen)

Upside Potential Line
Projected sales growth potential above the target line due to the following•
Increase in the number of accounts due to higher-than-planned advertisingexpenditures•
Upswing in receivables amount due to customer growth in Billing Marunage
Robottarget line
Average annual
growth rate (Note)target line
Aiming at (Sales = Customer Unit Price x Number of
Accounts)
2026 sales 2.8 billion yen, average annual growth rate 42%

42％
2,806

Decrease Potential Line
1,957

Possible decrease in sales below the target line dueto the following

1,389

695
339
2020/12

495

685~
729

2021/122022/12983•
2023/1222024/122025/12

Downward swing in receivables amount due toslowing customer growth in Billing Marunage Robot

2026/12(Note) Average growth rate of sales for the five-year period from FY12/2022 to FY12/2026

44

Subscription Payment Sales Growth Targets (5 years)
Use the aforementioned per customer x number of accounts = target line for sales.
Expect sales increase potential above the target line if further advertising expenditures are madewhile monitoring market trends(Sales/Unit: Million yen)

Upside Potential Line
Projected sales growth potential above the target line
due to the following• Increase in the number of accounts due to higherthan-planned advertising expenditures

target line
Average annual
growth rate (Note)23％

target line
Aiming at (Sales = Customer Unit Price x Number of
Accounts)
Sales 2.2 billion yen in 2026, average annual growth rate
23
2,205

933~
993
739

2020/12900

970

2021/122022/12

1,777
1,431
1,168

2023/122024/122025/122026/12(Note) Average growth rate of sales for the five-year period from FY12/2022 to FY12/2026

45

Company-wide sales growth target (5 years)
The amount of the total target line for Billing Management Robot and Subscription Payment is set as thecompany-wide sales target.
Expect sales increase potential above the target line if further advertising expenditures are made while
monitoring market trends
Upside Potential Line(Sales/Unit: Million yen)

Projected sales growth potential above the target line due to the following•
Increase in the number of accounts due to higher-than-planned
advertising expenditures•
Upswing in receivables amount due to customer growth in Billing
Marunage Robottarget line
Average annual
growth rate (Note)target line

32％
5,011
3,734

1,645~
1,749
1,078

2020/12

1,395

Aiming at (Sales = Customer Unit Price x Number of
Accounts)
Sales 5 billion yen in 2026, average annual growth rate of
32 %Decrease Potential Line

2,820

Possible decrease in sales below the target line dueto the following

2,150

1,665

Downward swing in receivables amount due to slowing
customer growth in Billing Marunage Robot
2021/122022/122023/122024/122025/122026/12(Note) Average growth rate of sales for the five-year period from FY12/2022 to FY12/2026

46

03-6
Medium-Term Management Targets

Cost Investment Policy and Operating Profit Targets (5years)

Ratio of Major Expenses to Net Sales and Five -Year
Cost Investment Policy
30.0%

30.0%

30.0%

27.9%

27.7%

26.1% 25.8%
25.0%

20.0%

15.0%

19.1%
17.7%

14.4%

22.7%

25.0%
22.2%

20.0%

20.0%

15.0%

15.0%

10.0%

10.0%

18.5%
17.8%17.7%17.7%17.7%
14.7%

14.1%

20/12

23/12

26/12

(Actual)(Preliminary)(Preliminary)

•

•

24.9%

16.0%

15.2%

10.0%

•

23.6%

25.0%
19.9%

development costsalary supplement

advertising expenses

Increase the ratio of adplacement by one level toexpand the number ofaccounts.
Mass advertising and otherlarge-scale promotions aimed
at expanding awareness

•

20/12

23/12

26/12

20/12

23/12

26/12

(Actual)(Preliminary)(Preliminary)(Actual)(Preliminary)(Preliminary)

Building an organization torealize a major clientacquisition strategy.
In 2022, increase the numberof employees, focusing on
high-class personnel, and from2023 onward, gradually lower
the ratio to sales by increasing
productivity.

••

Expansion of functions forlarge companies and thebusiness areas that can beofferedStarted research anddevelopment for the third andfourth business development.
48

Sales and operating profit targets (5 years)
Aiming for sales of 5 billion yen and operating income of 1.2 billion yen by 2026
When we determine thatbusiness opportunities exist
based on market conditions,
we will flexibly execute
investments to further
increase the sales growthrate.

(Millions of yen)

Net sales

Target Sales
Average annual
growth rate (Note)

32％

5,011

3,734

2,820
1,604
~1,764
1,665

1,381

2,150
1,210

1,078
86
2020/12(Actual)1552021/12(Actual)

603

-196~
-92

21

(176)
2022/12(Preliminary)

2023/12(Preliminary)(Note) Average growth rate of sales for the five-year period from FY12/2022 to FY12/2026

240
2024/12(Preliminary)

2025/12(Preliminary)

2026/12(Preliminary)

At the time when a certain amount of profit generation
has been achieved
we want to implement shareholder return measures
such as dividends

49

03-7
Medium-Term Management Targets

Growth Strategy to 2030

Growth Strategy to 2030
Develop business to gain market share in BtoB payment market/subscription market
Planning new business in the data mining area using customer data and in the Fintech area witha focus on BNPL.
Net sales

Fintech Domain•

Planning newservices

Factoring/BNPL/Lending, etc.
Planning newservices
Expand into areas such as marketing support/sales
support for customers using payment data
Data Mining Domain•

Billing Management Robot•••

Number of accounts

Aiming for 50% sales growth
expanded
Execution of major client acquisition strategies
Expansion of Billing Marunage Robot Sales andStrengthen promotion
Subscription Payment••

December 2021

Increase in unit
price per customer

Increase in unit
price per customer
Number of accounts
expanded

Maintain sales growth rate of 20% as a pillar of revenue
Expansion of the business area for products forsubscriber businesses

2030
51

04
Forecast for the fiscal year ending December 31, 2022

52

Business Policy for 2022
Execute each measure in the first year based on the achievement of medium-term
management targets.

Promotion

Sales
Organization

Product
Development•

Creation of video advertisements and preparation of commercials and other largescale promotions to promote the Billing Management Robot as well as Billing
Marunage Robot/Subscription Payment.

•

Increase contact opportunities by promoting the message "If you want to subscribe,
Robopay.” is the way to go" to potential customers who want to start a subscription
business but are not aware of the specific challenges and products available.

• Implementation promotion/consulting organization building for major clientacquisition strategy.
(Hiring high-level personnel such as sales engineers / sales to major customers / sales
strategy planning, etc.)• Beginning development of highly customized products for major customers
and functions to expand business areas• Building a product development organization for new businessdevelopment(Business Development/Product Manager Recruitment)

53Forecast for 2022
A year that includes preparation for higher sales growth rates in the future, rather thanchasing short-term profits.

(Millions of yen)

Net sales
Billing
Management
Robot
Subscription
Payment

OperatingincomeYear ending December 31, 2021
Full year results (Note 1)

Year ending December 31, 2022
Full Year Earnings Forecast

compared to previous period

1,395

1,645~1,749＋18％~＋25％

495

685~729+38％~＋47％872

933~993+7％~＋14％201△196~△92△397~△293

Billing Management Robot••

In 2021, the company began full-scale sales activities to major customers. Due to customer characteristics, it often takes a long time to close adeal. Therefore, the upper sales limit was set with the aim of completing the contract by the end of 2022 (the lower limit does not factor in thecompletion of the contract by the end of 2022 for the project in question).
As for the Billing Marunage Robot, fee revenue depends on the amount of receivables in accordance with the client's business growth, but it isdifficult to reasonably forecast the amount of receivables since the business has just started. Therefore, the upper/lower limits are set by taking
into account the difference between the company's plan and actual results for the previous year.
Subscription Payment•

The upper and lower limits are set by taking into account fluctuations in the spread, which is commission sales based on settlementtransaction volume (see next page for details).
54

(Reference) Changes in Subscription Payment Spread Revenue
In 2021, spread earnings exceeded the company's plan (Note) by approximately 50 million yen due to special demand for Covid.
The 2022 forecast is +16.5% over the previous year's company plan, taking into account the past growth trend of existing customers.
Set +60 million yen upside considering that the trend generated by Covid will continue in 2022

211
(Sales/Unit: Million yen)

233

309

363

198

171

+10.8%+6.3%+15.8%

2022-year
forecast
lower limit toupper limit

excessrelativechange fromplan
+11.6%＋16.5％

corporateplan(business)

2017/12…

2018/12…

2019/12…

2020/12…

(Note) Company plan: Forecast for the fiscal year ending December 31, 2021 announced on September 28, 2021

2021/12…

2022/12…

55

Costs in 2022
The following is the first year's investment policy toward the medium-term management goals.
advertising expenses
500,000

advertising expenses

375,000

330,624

250,000
1000

210,283
164,412 154,871

salary supplement

375,000

development cost
464,511

325,877
298,591

500,000

164,313
163,164

development cost

375,000

308,374

254,015250,000

250,000
1000

500,000

salary supplement

199,755

239,518
203,252

200,614
197,663

125,000

125,000

125,000
48,716

64,135000

17/12…18/12…19/12…20/12…21/12…22/12…

17/12… 18/12… 19/12… 20/12… 21/12… 22/12…

•••

Increased advertisingexpenses by one step to
expand the number ofaccounts
Conducting test marketing forlarge-scale promotions•

Strengthen recruitment,
especially in sales, to realize
strategy to acquire major
customers.
Completion of recruitment ofhigh-level personnel necessary
to achieve medium-term
management goals

•

•

17/12

19/12

21/12

(Actual)(Actual)(Actual)Beginning development offunctions for major companies
and expansion of businessareas that can be offered.
Established a department for
research and developmentwith a view to developing athird and fourth business

56

(Reference) Number of Employees by Job Category
In 2022, recruitment will be strengthened with a focus on high-level personnel and sales.
68
sales

78

Marketing/Customer Success

88
engineer

control

total amount

117
21
23

24
16

22
14

12

16

15

14

25

26

2019/12 (Actual)

2020/12 (Actual)

26

17
33
2021/12 (Actual)(Note) The number of employees is that of in-house hired ones (including part-timers, excluding temporary employees and outsourced workers).

47

2022/12 (forecast)

57

05

supplementary material

58

Quarterly Sales Trends
Accelerated growth due to higher per-customer spend and increased number of accounts(Sales/Unit: Million yen)420

whole company
Financial Cloud Business
Payments Business

315

210
210

52

225

235

279
241

244

65

69

74

340

388

146

250
102

109

192

204

208

20/12 3Q

20/12 4Q

21/12 1Q

86
60

305

317

349

116

123

224

226

21/12 2Q

21/12 3Q

77

105

158

165

170

171

170

173

19/12 1Q

19/12 2Q

19/12 3Q

19/12 4Q

20/12 1Q

20/12 2Q242

0
21/12 4Q

(Note 1) Quarterly figures for the fiscal years ending December 31, 2019 and 2020 are unaudited and for reference only.
(Note 2) "Accounting Standard for Revenue Recognition" (ASBJ Statement No. 29, March 30, 2018. (hereinafter referred to as ASRR) and "Guidance on Accounting Standard for Revenue Recognition". (ASBJ
Guidance No. 30, March 30, 2018) became applicable from the beginning of fiscal years beginning on or after April 1, 2018. Accordingly, the Company has applied ASRR, etc. from the beginning of the fiscal year
ending December 31, 2019.

59

Balance Sheet(Millions of yen)

Year ending December
31, 2020
End of accounting
periodYear ending
December 31, 2021
End of accounting
periodcompared toprevious period

Current assets

3,311

4,502

+1,191

fixed assets

433

414

△19

total assets

3,743

4,916

+1,172current
liabilities

3,405

4,276

+871

71

49

△22

3,475

4,325

+850

capital stock

186

566

+380

Other

82

24

△58

268

590

+323

fixed liabilities

total liabilities

Total net
assets60

Statements of Cash Flows(Millions of yen)

Year ending December
31, 2020
accounting period

Year ending
December 31, 2021
accounting period

compared toprevious period

Cash flows from operating activities

△876

1,020

+1,896

Cash flows from investing activities

△147

△114

+33

Cash flows from financing activities

10

185

+175

Cash and cash equivalents at
beginning of year

3,490

2,476

△1,014

Cash and cash equivalents at endof year

2,476

3,567

+1,091

61

Low churn rate levels
Billing Management Robot

Subscription Payment

2.18%

0.88%

0.86%
0.59%

2017

2018

0.89%

0.70%

2019

2020

2021

2022…

0.48%

0.48%

0.51%

2017

2018

2019

0.60%

2020

0.46%

0.49%

2021

2022…

The following two factors have significantly reduced the likelihood of switching toanother company and kept the churn rate low due to the high cost burden of switchingfor client companies and the high risk of system problems during the switchover(1) Because we settle payments for client companies and handle data related to money(2) Because our systems are tightly integrated with the systems before and after them inthe client company's business flow.

62

Strengths of the Billing Management Robot
１

The only one owned by thecompany
Payment system integration

２

Contracts with settlement providers, andActing as an agent for system integration•

Support is provided by a single company, sousers only need to contact us to resolve theissue.
Billing services on behalf of the client
Marunage Option" can be added.
•

Multiple payment methods such as credit
card, account transfer, bank transfer, andconvenience store payment can be used,
and all can be managed at once on the
management screen.
Centralized management ofmultiple payment methods•

Billing management robot as a means of
payment.
Marunage option can be added.

•

All billing management operations fromcredit, invoicing, collection/debit
collection, and credit reminders
on behalf of３

Subscription billing engine
Supports a variety ofstructures• billing
Accruesmonthly on a pre-determined
date
Automatic
invoicing and sending of
Combinespot/metered/flat-rate
invoices

We handle contracts for each payment
method and system integration with billing
management robots on your behalf.

•

Various functions to be
Various functions to bechosen by subscribers
chosen by subscribers

Can be customized to meetthe complex needs of large
companies

automatic journalizing
analytics

billing into one invoice

Support for a variety of billing
structures•

Spot/metered/flat-rate billing specific tothe subscriber business on a single
invoiceAnnuallump-sum
Combinedand invoiced
payment
Ability Payment
to manage annual lump-sum
Advanceadvance payments
Management•
In addition
to the annual lump-sum
Functions
Annual lump-sum advances can beadvance receipt management typical of
SaaS andother
services,monthly are
managed,andmonthly
reversals
reversals are made and journal entries
are tocreated.
madecreatejournal data.
Automatic
carry-overof accounts
Automaticreceivablecarry-over of accounts
to thenext
month
receivable to the next month•

Automatically carries over any differencein accounts receivable and transfer feesto the next month and generates
invoices

auto-extraction

invoicing••case management

quote issuance

Provides "Billing Management
Robot for Salesforce" forSalesforce® users.
Leverages the high customizabilityof Salesforce® to meet the complex
system requirements of large
companies

63

Companies that have introduced billing management
robots (some of them)
Many companies use a subscription-based business model with monthly billing
SaaS and Cloud Services

Media & Advertising

B to C Services

Consulting and Advisory

Other

System Infrastructure64Changes in the macro environment regarding billing
management robots
Legal and social issues drive the promotion of DX tools in accounting.
Facilitate the expansion of the number of accounts by appropriately complying with therelevant legal systems
The revision of the law abolished the prior approval system at the time of introduction and relaxed
January 2022

Revision of the Electronic
Bookkeeping Law

system requirements for "preservation by electromagnetic records" and "scanner preservation. With
this revision, it is expected that invoices will become more electronic, regardless of the size of thecompany.
The qualified invoice system (invoice system) is initiated, and preservation with a qualified invoice

October 2023

invoice system

is mandatory as an essential requirement for tax credits on purchases. Therefore, when invoices are

kept in paper form, a huge amount of reconciliation work is required for the declaration of credit forpurchase taxes. Therefore, the spread of electronic invoices (data storage in electronic form) is
accelerating to reduce the workload and complicated reconciliation work.
According to a report by the Ministry of Economy, Trade and Industry, about 80% of companies

Cliffs in 2025

METI DX Report

have legacy systems, which are a stumbling block to DX. The Ministry of Economy, Trade andIndustry (METI) estimates that opportunity losses resulting from delays in DX adoption will result in
losses of up to 12 trillion yen/year in Japan between 2025 and 2030. The country urgently needs toaddress this issue.
65

Target market for billing management robots
Large potential in both payment transaction volume and number of invoices in BtoB
Billing Management
Robot
Billing Marunage
Robo

Billing Management
Robot

BtoB Payment Market
Approx. 334trillion yen(2020)
share
Our
amount billed or
claimed

0.09％

Total domestic claims(estimated)
Approximately
7.131billion(2020)
share
Our
Number of claims

Approx.
300billion yen

Approximately
1.9million*Actual results for 2021

*Actual results for 2021

0.03％

(Note) From the Ministry of Economy, Trade and Industry's "International Economic Research Project for Building an Integrated Domestic and Foreign Economic Growth Strategy in Fiscal Year 2019 (Market
Research on Electronic Commerce)" published in July 2020.

66

Target markets for billing management robots ❷There is still room for development among domestic companies, especially focusing
on large companies.
Billing Management
Robot
Billing Marunage
Robot

Number of domestic companies(10 or more employees )Approximately 1.2million

companies(2018 )
share
Our
Number ofcontracted
ACs

0.05％

Approx.
560 AC*Actual results for 2021
(Note: From the "2016 Economic Census Activity Survey" by the Statistics Bureau of the Ministry of Internal Affairs and Communications, issued in June 2016.

67

Subscription Payment’s Strengths
１

SaaS to get started
subscription
management.right away

２

Contracts with settlement providers, andActing as an agent for system integration

Customer Management Database•

Capture and store customer information
in a secure environment tailored to thecompany using it•

Linked to payment, enabling one-stop
customer management linked to
payment data•

We act as your agent for contracts for each payment
method and linkage with payment systems.

•

Member inquiries on our behalf•

One company for all support, so members only needto contact us to resolve the issue.

My Page for immediate use/.Web Form•

Freely customizable My Page and payment
forms are immediately available•

Members can register and change customer
information necessary for subscriber
business at any time

Providing a wide variety of payment
options needed for subs business.
•

Provides a variety of payment functions such as
credit card and account transfer in cooperation withvarious financial institutions•

Manage customer information/payment information
on one screen•

Rules can be set for the amount of each product,billing cycle, number of billing cycles, billing dates,
etc., and flexibly support combinations of multiple
billing systems unique to the subscriber business.

High customizability•

Providing APIs for complex
requirements and customization for
major customers

Settlement Functions linked tocustomer management

68Companies with Subscription Payment (partial)
Used by subscription-based services of various companies
Internet Services and Content

education

rentalMedia & Advertising

donation

Other

69

Target Markets for Subscription Payment
The subscription market is expected to grow to more than 1 trillion yen and is
expected to grow at a high rate.

Subscription market

Subscription market

0.9 trillion yen
subscription
Settlement
Transaction
VolumeExpected to expand

to1.15 trillion yen

share

4.4％

Approx.
40 billion Fiscal Year
yen

2021

(Note: From Yano Research Institute's "Research on Subscription Service Market (2021)," released in April 2021.
(Based on end-user (consumer) payments, total of 7 markets including clothing rental, food delivery services, etc.)

subscription
Settlement
Transaction
Volume

share

5.0％

Approx.
57.5 billion Fiscal Yearyen
(Estimated)

2023

70

barriers to entry
High barriers to entry: very difficult to enter into blanket merchant agreementswith credit card companies
In order to enter into a blanket merchant agreement, a company must accumulate the following five achievements andreach the standards recognized by the credit card company before it can enter into a contract (it usually takes 3~5 years
to enter into a blanket merchant agreement).
••

System connection with each payment processor (e.g., for credit card payment, connection with card payment centers such as"CAFIS" and "JCN")
Construction of payment management screens, payment forms, sales tally screens, settlement systems, etc. to be used bymerchants (especially the settlement system is a complex system design because each payment provider has a different
closing date and payment date, and there are various closing dates and payment cycles between us and merchants).

24 hours a day, 7 days •a week•system maintenance •Since stable operation of services is the value provided, a high level of system maintenance support is required, operating 24
hours a day, 365 days a year.
Build redundant systems that do not shut down in the event of program, network, or location failures
Alert function for instant detection of failures in the event that they occur, as well as a failure response system flow

gateway
Building Systems

Security Support

operation

Response to Legaland industry rules••

Establishment of the highest level system compliant with PCI DSS, a credit card handling standard
Establishment of response flow when handling personal information•

Payment service providers: Investigation of payment usage details, handling of fraudulent usage and refunds, development ofmerchant management system, handling of changes in industry rules
Merchants: Merchant screening, connection to merchant systems, payment operations (operational methods, etc.),
investigation of payment details, fraudulent use and refunds, settlement processing
To consumers: Responding to inquiries such as payment usage checks, etc.
Respond to requests from METI, FSA, and other competent authorities (e.g., revised Installment Sales Law, support for
cashless businesses, etc.)
Rule changes at payment service providers (e.g., 3DS2.0 compliance for fraud countermeasures, developing management
systems, and handling through integration of convenience store operators, banks, etc.)

•
•
•
•

71

Risk Information
Major risks and associated impacts on business execution

occurrence degree of
possibility influence

mediu
m

Implement initiatives to ensure the safety of employees
and their families without reducing the value provided tocustomers, including• Establish telework environment, encourage teleworkand staggered work hours• Introduction of special leave system for Covid
vaccination

mediu
m

• Aggressive recruiting activities to attract talented
people who share our mission and vision• Education plan/evaluation system/environment for abetter working environment to improve individual
skills and retention rate

About New Covid virus Infections
Currently, no situation has arisen that would have a significant impact on ourbusiness performance. However, prolonged stagnation of economic activities due tothe spread of the infection may cause a significant downturn in the Japanese
economy. As a result, our business performance and financial position may beaffected.

small

Recruitment
The Company believes that the acquisition, retention, and development of excellent
human resources is important for improving competitiveness and future businessdevelopment. However, if the acquisition, retention, and training of excellent humanresources do not proceed as planned, or if excellent human resources leave thecompany, our competitiveness may decline and our business scale expansion may
be constrained, which may affect our business performance.

mediu
m

Strengthen development and auditing systems andtake appropriate action at all times, as follows

About System Troubles
This service may be suspended due to natural disasters or accidents, computer
intrusion by illegal means from outside, computer viruses, cyber attacks, unexpected
system downtime of payment service providers, or defects in our system. In theevent of such an event, our business performance may be affected by claims fordamages and lost opportunities due to post-disaster response, as well as a loss oftrust in our service.

Measures to address major risks

small

large

small

large

• Security measures against external and internal
intrusions• 24-hour system monitoring• Redundancy in system configuration• Maintenance and operation of internal regulations,etc.

Comprehensive franchise agreement
The Company has entered into necessary tie-up agreements with credit cardcompanies in order to act as an administrative agent for sales approval billing andsales invoicing related to credit card settlements that occur in the merchantagreements between credit card companies and merchants in the Payments
business. In the unlikely event that a major credit card company offers to terminate
the contract or changes the terms and conditions or otherwise restricts theconnection, our business performance could be affected.

Emphasis on working with major credit cardcompanies to build strong relationships.

72

corporate governance

About the Nominating andCompensation Advisory
Committee

The Company has established the Nomination and Compensation Advisory Committee
to enhance objectivity and transparency in the selection and dismissal of directors andtheir compensation. The Committee is positioned as an advisory body to the Board of
Directors. The Committee currently consists of three members, two of whom are
independent outside directors.

About Outside Directors andOutside Corporate Auditors

The Company currently has six outside directors, including one full-time auditor. This
includes three outside directors who are notified as independent outside directors andthree outside corporate auditors, including one full-time corporate auditor. The threeoutside directors registered as independent outside directors are a qualified attorney, aperson who was involved in management as president in the IT industry, and a person
who was engaged in investment banking at a securities company and served as outside
directors of various companies.

Promotion of Women's
Activities

We will actively promote the advancement of women. We will continue to promote a
corporate culture in which women can play active roles with vigor, with the goal ofachieving a 30% ratio of female executives by 2025.

73

Disclaimer
Handling of this document
This material contains forward-looking statements. These statements are based only on
information available at the time such statements were made. Furthermore, suchstatements are not guarantees of future results and involve risks and uncertainties .
Please note that actual results may differ materially from these forward -looking
statements due to changes in the environment and other factors.
Factors that may affect the actual results described above include, but are not limited to,domestic and international economic conditions and trends in our related industries.

The information contained in this material regarding other companies is quoted frompublicly available information and the Company has not verified and does not guarantee
the accuracy or appropriateness of such information.
The "Business Plan and Growth Potential Document" will be updated around February
after the closing of this fiscal year.
74