Consolidated Financial Results for FY2020 slide image

Consolidated Financial Results for FY2020

Previous Mid-term Plan (FY16~FY20) Results Operating profit margin 4.4% Number of employees Rev. 140.6 as of FY15-end: 2,980 Operating Profit 6.1 Unit: JPY¥billion (bn) FY15 U.S. GAAP, FY20 IFRS "times" are written in approx. terms 1.5 times Revenues 213.0 FY15 Operating profit margin 6.7% 2.3 pts Operating profit 14.3 2.4 times up from FY15 FY15 Number of employees as of FY20-end: 3,805 1.3 times FY15 FY15 FY16 Exc. Mobile & security Enterprise NW services FY15: 50.8 FY20: 58.2 Retained & cross-selled to current clients, IP service revenue growth accelerated Met diversifying and more complex enterprise NW by developing IIJ Omnibus services, service line-up largely expanded Continuously expanded NW, stable CAPEX Cloud services FY15: 14.1 FY20: 26.2 FY17 FY18 Previous mid-term plan period FY19 FY20 Mobile-loT services FY15: 15.6 FY20: 47.5 ➤ Full-MVNO as competitive advantage for loT etc. Accumulate various NW camera & factory loT Established strong market position as one of largest MVNOs in Japan Exc. Cloud-related SI SI ➤ Competitive advantages in Private Cloud services, Multi-Cloud solution, Revenue continued to increase Opened Shiroi DC, gradually expanding, better visibility about future sever racks space Developed highly migratable and accommodative new cloud facility New business HR Security services FY15: 8.6 FY20: 18.4 Exc. Security related SI Became one of the largest corporate security service providers (monthly recurring revenue) Very high market penetration for Mail & Web gateway securities Pioneer in consumer MVNO, top market share with Expanded service offerings: DDoS, SOC.EDR IlJmio and MVNE Exc. Cloud services, Inc. equipment sales FY15: 45.4 FY20: 59.8 Differentiated by having NW services and SI expertise Profitability continued to increase with stricter management of system engineers etc. Overseas FY15: 5.3 FY20: 8.3 Inc. some from Enterprise NW services, Cloud, and SI ➤ Asian region started up, expanded global solution for Japanese clients, turned positive & managing profit, JVs with local prominent companies ➤ Bought a Singaporean Sler – expect to strengthen ASEAN business ➤ Expanded business domain by leveraging accumulated assets such as technology, system infrastructure, client relationship ⚫ DeCurret: Fintech JV with major banks etc., working to realize digital currency exchange platform which is envisioned in the future ⚫ JOCDN: CDN JV with broadcasting companies, consortium by envisioning the future of Internet broadcast & convergence of communications and broadcasting Continuous hiring and training of newly graduates as a core policy, enhanced human capital to support mid-to-long term business growth internet native Japan inc. 29
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