Fiscal Year Ended March 2020

Financial Results
May 8, 2020

United, Inc.
(TSE Mothers：code 2497)

Corporate Vision and Mission

Corporate
VisionTo become one of Japan’s preeminentinternet companies

MissionWe embrace challenges in order to create value
and contribute to society1AgendaPage

1

Financial Highlights of FY03/20

2

2

Performance by Segment in FY03/20

93

FY03/21 Outlook

16

4

Appendix25

This presentation contains statements describing future plans, strategies, and performance forecasts of United and its affiliated companies. These statements
reflect forecasts based on management’s assumptions and beliefs using information available as of the date of this presentation. The accuracy of this information
is not guaranteed. Actual performance may differ substantially due to unforeseen circumstances in the operating environment. Company names and productnames are trademarks or registered trademarks of their respective companies.

2

Financial Highlights of FY03/20

Consolidated
Operating
Performance

Sales :
¥20,911 million (-24％ YoY)
Operating Income : ¥5,101 million (-54％ YoY)※

Excluding the Investment Segment:

Sales:
Operating Loss:¥13,836 million (＋1％ YoY)*
¥1,448 million (＋¥955 million YoY)

Performance by Segment
Ad Technology
Segment

Sales:¥6,307 million (-2％ YoY)
Operating Income: ¥599 million (+1,146% YoY)

Game Segment

Sales:
Operating Loss:¥2,529 million (-5％ YoY)¥630 million (-¥1 million YoY)

Content Segment

Sales:
Operating Loss:¥5,051 million (＋8％ YoY)¥404 million (-¥75 million YoY)

Investment
Segment

Sales:¥7,075 million (-49％ YoY)
Operating Income: ¥6,549 million (-51% YoY)
* Of this amount, FY03/19 operating losses for COINAGE, Inc. (all shares sold in April 2019) totaled ¥285 million.
3

Selection of Priority Areas
In line with the “focusing period” outlined in our medium-term management plan, we have reorganized ourbusiness portfolio and narrowed down several priority areas with an eye toward future growth.

Selection of Priority Areas
Growth Drivers
DX Platform Segment(KiRAMEX Co., Brewus , Inc.)

Earnings Drivers
Ad Technology Segment

Investment Segment

Content Segment

Reorganization of Business Portfolio
Game Segment
・TriFort, Inc.: Split up the company, and returned the game business to the company founder.
・United, Inc.: Ceased development of new titles, and plan to withdraw from CocoPPa Dolls.*

Content Segment
・ALAN•PRODUCTS, Inc.: Terminated all businesses, and liquidated the company.
・RAPS Inc.: Sold all shares in the company to its founder.

・Smarprise Inc.: Sold all shares in the company to Game8, Inc. (subsidiary of Gunosy Inc.).

*: Game title released by United in January 2020.
4

Operating Income, by Segment
The Ad Technology Segment recorded a ¥551 million YoY increase in operating income thanks to an improved
gross profit margin. The Game Segment and Content Segment both moved into the black at the operating line in
Q4, supported by the business portfolio reorganization conducted through Q3.
YoY Trend *12,577(Millions of yen)
QoQ Trend *(Millions of yen)

6,113

Upfront spending

12,777

1,960

2,088
1,179

179

13,487

885
1,670

6,549
12,791

175(328)

FY03/19

69

2Q
(630)

(404)

FY03/20

2,491

1,386

1,001
81
153

599
48
1Q
(629)

586

(49)
(33)

113
35
9

17

(4)

(28)
(367)

Ad Technology
Game
Content
Investment

(154)

Q1

Q3

108
(340)

FY03/19

(437)

119

200

(185)

(161)

(141)

(155)

Q2

Q3

183

(175)
(188)

(555)

Q2

94

Q4

Q1

Q4

FY03/20*Operating income by segment excludes headquarters expenses.
5Consolidated P/L Statement*1
We recorded a -¥3,552 million extraordinary profit / loss
mainly as a result of the business portfolio reorganizationin Q3. As a result, net income came to ¥1,403 million.

(Millions of yen)

FY03/19

FY03/20

YoY

Sales

27,58020,911-24%

Gross profit

16,074

9,780

-39%

4,989

4,679

-6%

647

820

+27%

4,342

3,859

-11%

11,084

5,101

-54%

Non-operating income

8

48

+485%

Non-operating expenses

33

38

+12%

11,058

5,111

-54%

Extraordinary profit

50

89

+77%

Extraordinary loss

760

3,641

+379%

10,348

1,558

-85%

Taxes etc.

3,339

154

-95%

Net Income *2

7,008

1,403

-80%

SG&A expenses
Goodwill amortization
Other
Operating Income

Ordinary Income

Profit before income taxes*1: Main breakdown: Business portfolio reorganization -¥3,245 million, software impairment loss and incurred payments

at TriFort -¥147 million, and office relocation costs -¥124 million.
*2: Refers to net income attributable to owners of parent.
6Impact of Business Portfolio Reorganization
In connection with the business portfolio reorganization, we recorded an extraordinary profit / loss of -¥3,245 million(goodwill impairment and sales losses) and ¥1,811 million in tax effects. This reduced net income by ¥1,433 million.
Earnings Impact

Business

TriFort , Inc.
(Game Segment)

ALAN•PRODUCTS, Inc.
/ RAPS Inc.

(Content segment)

Smarprise Inc.
(Content Segment)

Description

Extraordinary
Profit/Loss

・TriFort operated the contracted app development
business and the game business prior to the portfolio
reorganization.
・The company was split by spinning off the contracted
app development business into a newly establishedentity, Brewus, Inc. We obtained all shares in Brewus
from TriFort.
・After the company split, we sold our shares in thecompany to its founder.

Tax Effects

Extraordinary Loss
+ Tax Effects¥1,811
million-¥1,433
million-¥2,609
million・Mainly due to changes in the business environment,
we terminated all businesses at ALAN•PRODUCTS,
Inc. to liquidate the company.
・We sold our shares in subsidiary RAPS Inc. to its
founder.

-¥711
millionWe sold all our shares in the company to Game8, Inc.

+¥75
million※7

FY03/20: Year-end Dividend
We plan to pay a year-end dividend of ¥2 in accordance with our consolidated payout ratio target of 20%.
This will bring the full-year dividend up to ¥13.

Dividend Breakdown
FY03/20

FY03/19

Record date
Dividend pershare (half year)
Dividend pershare (full year)
Payout ratio(annual)InterimYear-end

InterimYear-end

September 30, 2018

March 31, 2019

September 30, 2019

March 31, 2020

¥24.0

¥37.0

¥11.0

¥2.0

¥61.0

¥13.0

20.0%

20.8%

※

8

AgendaPage

1

Financial Highlights of FY03/20

2

2

Performance by Segment in FY03/20

93

FY03/21 Outlook

16

4

Appendix25

This presentation contains statements describing future plans, strategies, and performance forecasts of United and its affiliated companies. These statements
reflect forecasts based on management’s assumptions and beliefs using information available as of the date of this presentation. The accuracy of this information
is not guaranteed. Actual performance may differ substantially due to unforeseen circumstances in the operating environment. Company names and productnames are trademarks or registered trademarks of their respective companies.

9Ad Technology Segment: Sales and Operating Income
Operating income rose ¥551 million YoY thanks to a focus on the profitability of operations. We continued to
improve the gross margin by improving efficiency in our operating structure and managing ad space purchases
thoroughly.

Sales Trend (Millions of yen)

Operating Income Trend (Millions of yen)

YoY Trend

YoY trend

Web adOperating income

App Install Ad

6,427

20

Gross margin-2% YoY
6,307599
QoQ Trend

QoQ Trend-13% QoQ

22
11
17

1,593 1,583 1,674

23

19
200
183

1,455

+¥551 million
119

YoY
94

-9% QoQ
48

FY03/19

FY03/20

Q1

Q2

Q3

FY03/20Q4

FY03/19

FY03/20

Q1

Q2

Q3

Q4

FY03/2010

Game Segment: Sales and Operating Income before Goodwill Amortization
Sales declined 5% YoY as a result of lackluster performance by new game titles. The operating loss before
goodwill amortization contracted thanks to changes in operating policies for TriFort, Inc. We plan to withdraw
from the CocoPPa Dolls, and continue effective operation of existing United titles.

Operating Income Trend (Millions of yen)

Sales Trend (Millions of yen)

(Excl. Goodwill Amortization)

YoY Trend

YoY Trend

TriFort/Brewus (excl. goodwill amortization) *United’s new titles
United’s existing titles

2,653+¥163 million
YoY-5% YoY
2,529
QoQ trend

QoQ trend

656
393

917

+41% QoQ
210

QoQ

579

(592)

(538)

493
202

312

3

170

72

6
111

97

(167)

(140)

(115)

(114)

282

1,525

100
15

1,094

FY03/19

FY03/20

27

276

288

270

260

Q1

Q2

Q3

Q4

FY03/20

(364)

(299)

FY03/19

(20)

(135)
(177)
TriFort Inc.

FY03/20

153

8
111

616
553

143

9

780

1,291

+¥150 million

CocoPPa Dolls

(272)
Q1

Q2

Q3

Q4

FY03/20* Total for TriFort, Inc. and newly established Brewus, Inc. (spun off from TriFort).

11

Content Segment: Sales and Operating Income before Goodwill Amortization
Sales rose 8% YoY driven by growth at KiRAMEX Co. Operating income declined YoY due to upfront spending
recorded through 1H. On a quarterly basis, the segment moved into the black at the operating line in Q4 after
the business portfolio reorganization was completed in Q3.

Operating Income Trend (Millions of yen)

Sales Trend (Millions of yen)

(Excl. Goodwill Amortization)

YoY Trend

YoY Trend

Discontinued operations *1
Continuing operations-¥68 million

*2

5,051

YoY

+8% YoY

4,693
QoQ Trend

QoQ Trend

390

1,784

+¥166 million
QoQ

305

1,849
1,301 1,466

1,377
109

-34% QoQ
621
578

142
584

906

(316)

3,266
844

793

110

(0)
(469)

2,844
722

69

68

(158)

(125)
(185)

906

(56)

(10)
(89)

(79)
FY03/1919年3月期

FY03/20
20年3月期

Q1

Q2

Q3

Q4

FY03/19

FY03/20(42)Q1

FY03/20

Q2

Q3

Q4

FY03/20*1: Smarprise, Inc., ALAN•PRODUCTS, Inc., RAPS Inc.
*2: KiRAMEX Co., Fogg, inc., TREiS, inc., International Sports Marketing Co., Ltd.,apps for mobile carriers.

12Investment Segment: Sales and Breakdown of Operational Investment Securities

We recorded sales of ¥7,075 million through the disposal of shares in Mercari, Inc. and CyberBuzz, Inc.
As of end-Q4, our operational investment securities totaled ¥20,992 million.*

Sales Trend

Breakdown of Operational Investment Securities(Millions of yen)

YoY Trend

InvesteeCompanies

As of March 31, 2020
(amount on BS)

Listed shares

Mercari, Inc.
SOCIALWIRE Co., Ltd.
CyberBuzz, Inc.

Approx. ¥17.0 Bn

Unlisted
sharesMore than
55 companies

Approx. ¥2.4 Bn

Investment infunds as LP

More than
25 funds

Approx. ¥1.6 Bn

13,886

QoQ Trend

2,637

7,075
1,788
1,566
1,083

FY03/19

FY03/20

Q1

Q2

Q3

Q4

FY03/20* Of this amount, operational investment securities related to Mercari totaled ¥16,233 million (5.0% of voting rights held, as of March 31, 2020).
Unlisted shares are valued at investment book value; listed shares are marked to market.
13

Investment Segment: Conditions at Investee Excite Japan Co., Ltd.

In October 2018, we invested in XTech HP, Inc. (SPC), which owns all shares in Excite Japan Co., Ltd.
Within one year of the tender offer by XTech HP, Excite Japan managed to break away from four years oflosses, posting record high profit for the first half of the year.

Major
investors
主要出資者
Investment Overview

Shinichi Saijo,
Mr.
CEO of
Saijo
Excite Japan

Mizuho Capital

Investment amount:% of voting rights held after investment:
Investment date:

Approx. ¥799 million
Approx. 14.2%
October 25, 2018

Investment
Business Conditions in FY03/20

Owns
全株式保有
all shares・Under a new management structure, Excite Japan conducted
drastic reforms to turn around operations, and managed to breakaway from four years of losses.
・Operating and ordinary income rose to ¥450 million in 1H FY03/20,
marking record highs for the first half of the year.

14

Investment Segment: Investment Portfolio

Major Directly Invested Start-ups

Major Invested Funds as LP

Seed ~ Early

Post IPO*

Middle ~ Later* Held by DAC Venture United Fund I Investment Business Limited Partnership.
Listed on TSE Mothers market on March 10, 2020. Of the 855,000 shares we held, we sold 448,000 shares at the time of IPO.
15

AgendaPage

1

Financial Highlights of FY03/20

2

2

Performance by Segment in FY03/20

93

FY03/21 Outlook

16

4

Appendix25

This presentation contains statements describing future plans, strategies, and performance forecasts of United and its affiliated companies. These statements
reflect forecasts based on management’s assumptions and beliefs using information available as of the date of this presentation. The accuracy of this information
is not guaranteed. Actual performance may differ substantially due to unforeseen circumstances in the operating environment. Company names and productnames are trademarks or registered trademarks of their respective companies.

16

Reporting Segments from FY03/21
In conjunction with the business portfolio reorganization and selection of priority fields, we have changed our reporting segments.
We have set up a new DX Platform Segment mainly operated by KiRAMEX Co., which continues to enjoy growth. We have positioned
the DX Platform segment and the Investment Segment, which will continue to accelerate investment going forward, as growth drivers,and expect both segments to power further growth.
At the same time, we have positioned the Ad Technology Segment and the Content Segment as earnings drivers, and will operate bothsegments with a focus on profitability.
Reporting Segments in FY03/20

Ad Technology Segment

Reporting Segments in FY03/21

App Install Ad Business
Web Ad Business

DX Platform Segment

KiRAMEX Co.
Brewus, Inc. (established in
February 2020)

Investment Segment

Investment Business
Venture United, inc.

Ad Technology Segment

App Install Ad Business
Web Ad Business
Marketing Business(Crash Fever)Content Segment

Fogg, inc.
International Sports
Marketing Co., Ltd.
TREiS, inc.
CocoPPa Play

GrowthDrivers
Game Segment

TriFort, inc
Crash Fever
CocoPPa PlayCocoPPa Dolls

Content Segment

KiRAMEX Co.
Fogg, inc.
International Sports
Marketing Co., Ltd.
TREiS, inc

Earnings
Drivers
Investment Segment

Investment Business
Venture United, Inc.

17

Segment Objectives from FY03/21

Growth Drivers

DX Platform Segment

・Against the backdrop of a growing IT labor market, position the online
programming education business of KiRAMEX Co. as the core business, andoperate various other businesses..
・Promote digital transformation (DX) of society through collaboration between
education business (KiRAMEX Co.) and contracted development business(Brewus, Inc.).

Investment Segment

・Accelerate new investment by expanding investment budget andstrengthening operation.
・Target rapid and maximal returns on investment. In addition to investment inseed and early-stage companies, strengthen investment in middle-stage, andlate-stage companies.

Earnings Drivers
アドテクノロジー事業
アドテクノロジー事業
Ad Technology Segment ・Maintain gross margin at improved level achieved in FY03/20, and continue tofocus on profitability of operations.

コンテンツ事業
コンテンツ事業
Content Segment

・Generate steady earnings by improving operating efficiency.

18

Supplementary Information on DX Platform Segment (1) Companies
KiRAMEX Co. mainly operates the online programming school TechAcademy, which continues to drive its growth.
It plans to collaborate with Brewus, Inc., which engages in contracted app development, to achieve mutual growth.

KiRAMEX Co.

Brewus, Inc.

Online school that teaches programming and app
development

Spun off from TriFort, Inc. on February 28, 2020,and subsequently turned into a consolidated
subsidiary of United. Engages in contracted
development of smartphone apps.

* *Number of Students

Sales

FY03/20 Development Achievements

Seven Bank, Ltd.
Simple Bank Passbook
Upapprox.

TV TOKYO Corporation
Business on Demand

CAGR of

6.5x

approx.

73%

25,242
17,742
11,584
3,880
FY03/17

FY03/18 FY03/19 FY03/20

FY03/17

FY03/18 FY03/19 FY03/20*Total for paying/free members of Online Bootcamp and corporate training.
19Supplementary Information on DX Platform Segment (2) Growing IT Labor Market

Demand for IT staff is outpacing supply in Japan, so IT labor shortages are bound to increase going forward.
As a result, the IT staffing services market and IT staff training market are expected to expand further.
*2

IT Labor Shortages *1

Domestic IT Staff Demand Data
(10,000 people)
No. of additional IT staff required in Japan

Growing Market for IT Staffing Services

Growing Market for IT Staff Training

Number of IT Staff Placed in Jobs by Paid
Staffing Service Providers

Market for IT Staff Training(No. of people)
No. of employees(Hundred millions of yen)
Geared toward individuals *3
Geared toward companies *4

No. of existing IT staff in Japan

1,440

79

990

58
41

600

230
35,96527,948111

113

20,768

106

2020

2025

2030

2015

23,534

2016

2017

2018

760

840

2019

2023

*1: IT staff defined as “system consultants and designers, software programmers, and other information processing and communication engineers” in the “Survey on IT Staff Demand” by the
Ministry of Economy, Trade and Industry*2: Number of information processing and communication engineers placed in jobs (permanent employment and employment with a term of at least four months) in the “Staffing Services
Business Report” by the Ministry of Health, Labour and Welfare*3: Market size for programming education geared toward individuals based on United estimates*4: 2019 market size extracted from “IT-related training segment” in “State and Outlook of Corporate Training Services Market” by the Yano Research Institute Ltd.; 2023 outlook
estimated by United based on same data20

Supplementary Information on DX Platform Segment (3) Segment Overview

Against the backdrop of a growing IT labor market, KiRAMEX Co. operates a programming education businessthat provides educational opportunities to prospective IT staff and offers solutions to companies struggling with
IT personnel shortage.

IT Labor Market
Provideeducation
opportunities

Resolve
IT staffshortages

・Online study removes barriers
such as geographical constraints
・Broad course content offered atreasonable prices

Contracted
development

Supply of
IT staff

Education
Prospective
IT staff

Staffing
Services

Corporate
Training

Companies

Cultivationof IT staff

21

FY03/21: Consolidated Forecasts, Outlook by Segment

We have not yet disclosed forecasts for FY03/21, mainly because the impact of the COVID-19 is
unclear at present. Once we can compile forecasts with a reasonable degree of accuracy, we will
disclose them promptly. Target operating income of ¥5.0 billion or higher.

・KiRAMEX Co. projects YoY sales and profit growth through further expansion of online education

DX Platform Segment

operations geared toward individuals.
・Brewus, Inc. looks for growth driven by collaboration with KiRAMEX Co. in terms of humanresources.

GrowthDrivers
Investment Segment

・Already secured roughly ¥5.0 billion in sales gains through a forward transaction for Mercari shares.
・Looks to generate a certain amount of capital gains from other investees.

・While maintaining the gross margin at the improved level achieved in FY03/20, plans to continue

Ad Technology Segment

focusing
on the profitability of operations, particularly in the web ad field.

Earning
Drivers
Content Segment

・Looks for a certain degree of earnings contributions from efficient operation.

22Medium-Term Management Plan

・ In light of changes in the internal and external environments since we formulated our mediumterm management plan UNITED 2.0, and after considering our financial results for FY03/20, we
have decided to withdraw the plan, which included the following quantitative targets.

FY03/22 operating income before goodwill amortization (excluding gains on sale of Mercari shares)
Committed target: ¥5.0 billion Challenging target: ¥10.0 billion

・We are not formulating new quantitative targets and achievement periods for the time being, butwill aim for the same operating income levels in the future by leveraging our business portfolio
centered on the DX Platform Segment and the Investment Segment (growth drivers).

23

Changes in Management Structure
We plan to change our management structure as follows with approval from the general shareholders
meeting for FY03/20. The purpose of the changes is to clarify management responsibility for thewithdrawal of our medium-term management plan UNITED 2.0, and clarify the role division that willallow us to further speed up decision-making and focus on businesses that drive growth.

Name

Current Position

New Position

Tomonori Hayakawa

Representative Director,
Chairman, and CEO

Representative Director,
President, and Executive
Officer

Yozo Kaneko

Representative Director,
President, and COO

Director andExecutive Officer

Hidetoshi Izuoka

Director and Managing
Executive Officer

Executive Officer

Yuji Yamashita

Director andExecutive Officer

Executive Officer

・Mr. Kaneko will lead the DX Platform Segment and Investment Segment (growth drivers).
・Mr. Izuoka will lead new businesses.
・Mr. Yamashita will lead the Business Management Department.

24AgendaPage

1

Financial Highlights of FY03/20

2

2

Performance by Segment in FY03/20

93

FY03/21 Outlook

16

4

Appendix25

This presentation contains statements describing future plans, strategies, and performance forecasts of United and its affiliated companies. These statements
reflect forecasts based on management’s assumptions and beliefs using information available as of the date of this presentation. The accuracy of this information
is not guaranteed. Actual performance may differ substantially due to unforeseen circumstances in the operating environment. Company names and productnames are trademarks or registered trademarks of their respective companies.

25

Consolidated P/L Statement Q4 FY03/20
Difference
Q4 FY03/19

Q3 FY03/20

Q4 FY03/20（Millions of yen）

Sales
Ad Technology Segment
Game Segment
Content Segment

Investment Segment
Other Segment
Gross Profit
Ad Technology Segment
Game Segment
Content Segment
Investment Segment
Other Segment
SG&A expenses
Operating Income
Ad Technology Segment
Game Segment
Content Segment
Investment Segment
Other Segment
Ordinary Income
Net Income *

YoY

4,659
1,671
858
1,317
831
△ 19
1,299
266
21
308
712
△9
1,480
△ 180
108
△ 340
△ 175
586
△ 359
△ 180
△ 308

4,679
1,674
553
1,377
1,083
△8
1,843
365
148
304
1,024
1,204
639
200
△ 161
△ 155
1,001
△ 245
644
△ 870

4,926
1,455
780
906
1,788
△4
2,702
341
273
374
1,713
869
1,833
183
153
81
1,670
△ 254
1,887
1,001

+6%
△ 13%
△ 9%
△ 31%
+115%
+15
+108%
+28%
+1,155%
+22%
+141%
+9
△ 41%
+2,014
+69%
+494
+256
+185%
+105
+2,068+1,309

QoQ

+5%
△ 13%
+41%
△ 34%
+65%
+3
+47%
△ 7%
+84%
+23%
+67%
△ 28%
+187%
△ 9%
+314
+236
+67%
△8
+193%
+1,871*: Refers to net income attributable to owners of parent.
26

Consolidated Balance Sheet for End of FY03/20

End of FY03/19(Mar. 31, 2019)（Millions of yen）

End of FY03/20(Mar. 31, 2020)

Difference

51,20432,000△ 19,203

Cash & Deposits

8,822

8,381

△ 440

Operating Investment Securities

39,19020,992△ 18,198 ※1

6,026

1,591

△ 4,434

4,125

114

△ 4,010 ※2

Total Assets

57,23033,592△ 23,637

Current Liabilities

6,595

2,124

△ 4,471

Non Current Liabilities

10,533

4,935△ 5,597

10,198

4,582△ 5,616 ※1

Total Liabilities

17,1297,060△ 10,069

Net Assets

40,10026,532△ 13,568

24,501

11,662△ 12,839 ※1

Current Assets

Non Current Assets
Amortization of Goodwill

Deferred Tax Liabilities

Unrealized Gain on Securities*1: The impact of revaluation (mark-to-market) and disposal of operational investment securities (listed shares) was as follows: operational
investment securities -¥18,479 million, deferred tax liabilities -¥5,661 million, valuation difference on available-for-sale securities -¥12,835 million*2: -¥3,190 million from goodwill impairment accompanying business portfolio reorganization, -¥820 million from goodwill amortization
27

Consolidated Cash Flow Statement(Millions of yen)

FY03/19

FY03/20*1

YoY Change*2

Cash flows from operating activities

9,103

2,007

-7,095

Cash flows from investing activities(4,942)(367)+4,575

Cash flows from financing activities(927)(2,069)-1,141

Cash and cash equivalents
at end of year

8,822

8,381

-440

*3

*1: Of this amount, ¥12,892 million from disposal of operational investment securities accompanying listings of investees.
*2: Of this amount, ¥7,622 million from disposal of operational investment securities accompanying listings of investees.
*3: Of this amount, -¥992 million from share repurchase, and -¥1,095 million from cash dividends paid.
28

Consolidated Sales and Operating Income in Previous Fiscal Years(Millions of yen)

Sales
Operating Income

27,58020,911
14,595

14,444

11,131

11,084

8,330
6,156

5,101
138

FY03/14370
FY03/15

1,509
FY03/16

1,395
FY03/17

1,648
FY03/18

FY03/19

FY03/2029

Consolidated Sales(Millions of yen)

Ad Technology, Game, Content

15,662

Investment

12,901*
6,083
5,221
4,659
3,969
3,575
51

3,195

614

142

3,402

3,523

3,355

2Q

3Q

4Q

3,644
241

3,210

1Q

3,254
44

FY03/18

2,760

3,052

1Q

2Q

4,062
10

831

4,051

3,828

3Q
FY03/19

4Q

4,679

2,637

1,566

1,083

3,445

3,655

3,596

1Q

2Q

3Q

4,926

1,788

3,138

4Q

FY03/20* Due mainly to capital gain from the IPO of Mercari, an investee
30Number of Consolidated Employees and Directors(Unit: Numbers employed)

Temporary employees

653

645

Other full-time employees

619

Content Segment full-time employeesGame Segment full-time employees

146

Ad Technology Segment full-time employees

612
135

127

126

540

Directors (United directors, corporate auditors and outside directors)

453
380
96
26

401
117

404

108
38

28

425

385
80

78
46

112

117

56

88
160
54

106

48
162

155

50
150
138

184

185

191

400
74

149

121

49

124

180
156

58

57

85

96

94

89

85

103

97

79

70

12

12

11

11

11

11

11

11

11

11

3Q

4Q

1Q

2Q

3Q

4Q

1Q

2Q

3Q

4Q

43

42

43

45

93

90

86

12

12

1Q

2Q

FY03/18

51

42
136

110

55

72

FY03/19

FY03/2031

Ad Technology Segment: Product Overview

Products

Overview

Comprehensive management platform for
optimizing ROI of app install ads
App Install Ad

Mobile video ad distribution platform
supporting various video ad formats

DSP specializing smartphones

Web AdSSP specializing smartphones

Ad network optimizing ad effectiveness32

Content Segment: Group Companies

Fogg, inc.
Operates CHEERZ, a service to help invigorate artists’activities

International Sports Marketing Co., Ltd.
Produces sports-related websites and plans anddevelops media

TREiS, inc.
Plans and operates Dream Mail, a sweepstakes
and gift site33