First-quarter for FYE March 31, 2021
Presentation Material
July 31, 2020
e-Seikatsu Co., Ltd.
Securities code: 3796
© e-Seikatsu Co.,Ltd.
Table of contents 1.Summary of First-
quarter Results for FYE March 31, 2021
2.Summary of Recent
Business Results
3.Earnings Forecast and Future Prospects
4.Reference: Business Overview
ITで、不動産市場に
もっと多くの「幸せ」や「いい生活」を。
1
© e-Seikatsu Co.,Ltd.
1. Summary of First-quarter Results for FYE March 31, 2021
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© e-Seikatsu Co.,Ltd.
Highlights
Consolidated sales/Operating income
Sales: 522million yen
(Up 7.1% YOY)
Operating income:13million yen
(-13 million yen in the same period of the previous term)
Number of Fee-paying Client Companies
1,434companies
(+18 companies compared to June of the previous year)
ARPU(Average Revenue Per User)
Approx.112thousand yen
(Approx. 107 thousand yen in June of the previous term)
Subscription gross profit marginSubscription sales ratio
58.4% | 93.8% |
(61.1% in the same period | (95.5% in the same period |
of the previous term) | of the previous term) |
MRR termination rate
1.09%
*Figures rounded down to the nearest million yen. Ratios rounded to the nearest decimal place.
*ARPU (average revenue per user) is calculated by dividing "subscription sales" in June 2020 by "the number of subscribed companies" in the same month and rounded down to the nearest thousand yen.
*Gross profit rate of subscription is a gross profit rate of "subscription sales" excluding "one-off sales". | |
*Subscription sales ratio is the ratio of "subscription sales", which is recurrent revenue such as monthly charges for cloud and SaaS, to total sales. | 3 |
* MRR termination rate is the number of MRRs (subscription sales minus initial costs) lost in June 2020 divided by the MMR of May 2020. | © e-Seikatsu Co.,Ltd. |
Subscription sales, which generate recurring revenues, were strong
Breakdown of Sales Fluctuation
Unit: Million yen
Subscription | Spot | ||||
489 | Total sales | ||||
FY2021 1Q | 32 | 522 | |||
Increased sales due to increases of users of | +24(↑) | +34(↑) | |||
Up 5.2% | |||||
ES e-Bukken One | |||||
Up 7.1% | |||||
FY2020 1Q | 465 | 21 | Total sales | ||
487 | |||||
0 | 500 |
*Subscription --- Recurring revenues that are continuously generated every month unless there is cancellation, such as monthly fee income for cloud services.
Spot ---Non-recurring revenues that are generated temporarily only during the relevant month, such as payment income for contract development and system installation support services.
*In order to provide information that can be easily understood by everyone, we reviewed the sales disclosure categories from FYE March 31, 2021, and displayed them as two categories: subscription/spot.
*Figures rounded down to the nearest million yen.
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Sales grew year on year
Variation in Sales (Cloud Solution Business)
Unit: Million yen | Subscription | Spot | ||||
600 | ||||||
500 | 495 | 484 | 471 | |||
461 | ||||||
23 | 458 | |||||
20 | ||||||
10 | ||||||
7 | 6 | |||||
400 | ||||||
300 | ||||||
472 | 450 | 463 | 461 | 454 | ||
200 | ||||||
100 | ||||||
YonY +7.1% | |||||||||||
570 | 552 | ||||||||||
538 | |||||||||||
512 | 73 | 522 | |||||||||
500 | 39 | 52 | |||||||||
482 | 487 | ||||||||||
30 | 32 | ||||||||||
23 | |||||||||||
21 | |||||||||||
20 | |||||||||||
462 | 476 | 499 | 465 | 482 | 497 | 499 | 489 |
0
1Q | 2Q | 3Q | 4Q | 1Q | 2Q | 3Q | 4Q | 1Q | 2Q | 3Q | 4Q | 1Q |
FY2018 | FY2019 | FY2020 | FY2021 |
*Figures rounded down to the nearest million yen.
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Sales and profit grew year-on-year
FY2020 1Q | Sales | FY2021 1Q | (Consolidated) | ||||
Sales | |||||||
522 | Unit: Million yen | ||||||
487 | |||||||
COGS | |||||||
COGS | 219 | ||||||
192 | |||||||
Gross Profit | Gross Profit | ||||||
295 | 302 | ||||||
SG&A | |||||||
SG&A | 289 | ||||||
308 | |||||||
Corporate | |||||||
tax, etc. | |||||||
Operating | Recurring | 5 | |||||
Corporate | |||||||
income | income | Net income | |||||
tax, etc. | |||||||
△1 | 13 | 12 | 7 | ||||
Operating | Recurring | ||||||
loss | loss | Net loss | |||||
△13 | △13 | △12 |
- Sales and profit grew. Subscription sales grew steadily.
- Cost of goods sold (COGS): Shift to Amazon Web Service (AWS), where sales of the service infrastructure steadily grow, made a progress, and the AWS utilization fees increased. With the increase in non-recurring (contract development) sales, development costs included in the cost of sales increased.
- SG&A: The remote sales and support style has been established, and conventional operating expenses such as customer visits decreased.
*Figures rounded down to the nearest million yen. | 6 |
© e-Seikatsu Co.,Ltd. |
Service utilization by rental properties management companies, which is strategically important, was strong
One Rental Management | YonY +20 | |||||||||||||
Number of licenses | ||||||||||||||
500 | ||||||||||||||
One Rental Management | 452 | 456 | ||||||||||||
448 | ||||||||||||||
450 | 438 | |||||||||||||
424 | 428 | |||||||||||||
402 | ||||||||||||||
400 | ||||||||||||||
363 | 372 | 379 | ||||||||||||
359 | ||||||||||||||
350336
320
300
250
200
150
100
50
0
Jun. 2017 | Sep. 2017 Dec. 2017 | Mar. 2018 | Jun. 2018 | Sep. 2018 Dec. 2018 | Mar. 2019 | Jun. 2019 | Sep. 2019 Dec. 2019 | Mar. 2020 | Jun. 2020 |
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© e-Seikatsu Co.,Ltd.
Service utilization by leasing and brokerage companies was strong
One Rental Property (Leasing Management)/One Sales
Number of licenses
1200 | One Rental Property (Leasing Management) | YonY +9 | ||||||||||||||
1,007 | ||||||||||||||||
One Sales | 990 | 1,004 | ||||||||||||||
1000 | 978 | 980 | 988 | 989 | ||||||||||||
901 | 924 | 934 | 937 | |||||||||||||
828 | 842 | |||||||||||||||
800 | ||||||||||||||||
600 | YonY △20 | |||||||||||||||||
410 | 408 | 411 | ||||||||||||||||
407 | 403 | |||||||||||||||||
400 | 363 | 365 | 369 | 378 | 385 | 387 | ||||||||||||
346 | 343 | |||||||||||||||||
200
0
Jun. 2017 Sep. 2017 Dec. 2017 | Mar. 2018 Jun. 2018 Sep. 2018 Dec. 2018 | Mar. 2019 Jun. 2019 Sep. 2019 Dec. 2019 | Mar. 2020 Jun. 2020 |
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Customers are also steadily growing in the digital marketing domain
One Website/Flex
Number of licenses
1200 | |||||||||||||||||
YonY +32 | |||||||||||||||||
One Website/Flex | |||||||||||||||||
1000 | 946 | 965 | |||||||||||||||
910 | 918 | 938 | |||||||||||||||
893 | 906 | ||||||||||||||||
836 | 838 | 843 | 850 | ||||||||||||||
800 | 784 | 790 | |||||||||||||||
600
400
200
0
Jun. 2017 | Sep. 2017 Dec. 2017 | Mar. 2018 | Jun. 2018 | Sep. 2018 Dec. 2018 | Mar. 2019 | Jun. 2019 | Sep. 2019 Dec. 2019 | Mar. 2020 | Jun. 2020 |
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© e-Seikatsu Co.,Ltd.
Utilization of our services is increasing among large-scale businesses operators that have multiple stores
Variation in the Number of Companies Using Our Services
(Charged companies only)
YonY +18 companies
1,500 | 1,454 | 1,449 | ||||||||
1,434 | ||||||||||
Companies | 1,415 1,416 1,425 | |||||||||
Variation in the Number of Stores Using Our Services
YonY +260 stores
4,500 |
Stores |
1,261 1,248
1,250
1,000
750
500
250
0
1,356
1,294 1,297 1,290 1,307
4,049 | 4,091 | 4,113 | |||||||
4,000 | 3,953 | ||||||||
3,841 | 3,853 | ||||||||
3,567 | 3,663 | ||||||||
3,501 | 3,460 | 3,527 | |||||||
3,500 | 3,376 | 3,391 | |||||||
3,000
2,500
2,000
1,500
1,000
500
0
Jun. Sep. Dec. Mar. Jun. Sep. Dec. Mar. Jun. Sep. Dec. Mar. Jun. | |||
2017 | 2018 | 2019 | 2020 |
Jun. Sep. Dec. Mar. Jun. Sep. Dec. Mar. Jun. Sep. Dec. Mar. Jun. | |||
2017 | 2018 | 2019 | 2020 |
*As for ES e-Bukken One, contracts are established and fees are charged for individual corporations. As for the number of stores, the total number of stores | 10 |
registered by clients for use (real estate companies) was counted. |
© e-Seikatsu Co.,Ltd.
Monthly ARPU/company is stable
Unit: Thousand yen | |
140 | Monthly ARPU/company |
130 | YonY +4.4% | |||||||||||||||||||||||||
119 | 118 | 116 | 118 | 118 | ||||||||||||||||||||||
120 | 114 | |||||||||||||||||||||||||
112 | 110 | 112 | 110 | 112 | 112 | |||||||||||||||||||||
110 | 107 | |||||||||||||||||||||||||
100 | ||||||||||||||||||||||||||
90 | ||||||||||||||||||||||||||
80 | ||||||||||||||||||||||||||
70 | ||||||||||||||||||||||||||
60 | ||||||||||||||||||||||||||
50 | ||||||||||||||||||||||||||
40 | ||||||||||||||||||||||||||
0 | ||||||||||||||||||||||||||
Jun. | Sep. | Dec. | Mar. | Jun. | Sep. | Dec. | Mar. | Jun. | Sep. | Dec. | Mar. | Jun. | ||||||||||||||
2017 | 2018 | 2019 | 2020 |
*The unit price before FYE March 31, 2020 is the value obtained by dividing the "cloud service sales for the month" by the "number of cloud service customers (the number of corporations) for the month" and rounded down to the nearest thousand yen.
*The unit price from the first quarter of FY 2021 is the value obtained by dividing the "subscription sales for the month" by the "number of subscription customers (the number of
corporations) for the month" and rounded down to the nearest thousand yen. The average monthly unit price for the first quarter of FY 2021 is approximately 110 thousand yen | |
when calculated based on the definition before the end of FYE March 31, 2020. | 11 |
© e-Seikatsu Co.,Ltd. |
Both operating income and operating income margin grew year on year
Operating income comparison (Consolidated)
Unit: Million yen
Operating Income
YonY +approx. 26 million yen | Unit: % |
100 | Gross Profit Margin | 100.0 | ||||||||||||
Operating Income Margin | ||||||||||||||
80 | 70 | 80.0 | ||||||||||||
61.8 | ||||||||||||||
57.9 | 63.4 | 61.3 | 60.3 | 59.3 | 62.3 | 59.9 | 60.5 | 63.6 | 63.9 | 60.7 | 57.9 | |||
60 | 60.0 | |||||||||||||
46 | ||||||||||||||
40 | 31 | 40.0 | ||||||||||||
27 | ||||||||||||||
22 | ||||||||||||||
19 | 13 | |||||||||||||
20 | 11 | 12.3 | 20.0 | |||||||||||
6.3 | 8.4 | |||||||||||||
4.6 | 5.1 | 3.9 | 2.5 | |||||||||||
2.3 | ||||||||||||||
20.6 | ||||||||||||||
0 | 0.0 | |||||||||||||
-1.5 | -4 -0.9 | |||||||||||||
-4.7 | -2.8 | |||||||||||||
-6 | ||||||||||||||
-13 | ||||||||||||||
-20 | -21 | -20.0 | ||||||||||||
-40 | 1Q | 2Q | 3Q | 4Q | 1Q | 2Q | 3Q | 4Q | 1Q | 2Q | 3Q | 4Q | 1Q | -40.0 |
FY2018 | FY2019 | FY2020 | FY2021 |
*Figures rounded down to the nearest million yen.
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Total expenses slightly increased year on year
Total expenses comparison (Consolidated)
Unit: Million yen
YonY +approx. 1.6%
600 | |
SG&A | COGS |
511 | 506 | 509 | |||||||||||||||||||
500 | 465 | 468 | 483 | 487 | 488 | 501 | 492 | 500 | |||||||||||||
464 | 462 | ||||||||||||||||||||
400 | 290 | 300 | 295 | 308 | 305 | 294 | 289 | 289 | |||||||||||||
274 | 272 | 284 | 285 | 300 | |||||||||||||||||
300 | |||||||||||||||||||||
200 | |||||||||||||||||||||
196 | 216 | 205 | 217 | 219 | |||||||||||||||||
100 | 193 | 192 | |||||||||||||||||||
189 | 177 | 182 | 183 | 188 | 186 | ||||||||||||||||
0 | |||||||||||||||||||||
1Q | 2Q | 3Q | 4Q | 1Q | 2Q | 3Q | 4Q | 1Q | 2Q | 3Q | 4Q | 1Q | |||||||||
FY2018 | FY2019 | FY2020 | FY2021 | ||||||||||||||||||
*Figures rounded down to the nearest million yen. | 13 | ||||||||||||||||||||
© e-Seikatsu Co.,Ltd.
EBITDA increased about 29.7% year on year
EBITDA comparison (Consolidated)
Unit: Million yen | YonY +approx. 29.7% Unit: % |
240 | 80.0 | |||||||||||||
EBITDA | ||||||||||||||
210 | EBITDA Margin | 70.0 | ||||||||||||
180 | 176 | 60.0 | ||||||||||||
153 | ||||||||||||||
150 | 131 | 139 | 128 | 50.0 | ||||||||||
127 | 121 | 121 | ||||||||||||
120 | 111 | 40.0 | ||||||||||||
100 | 108 | |||||||||||||
93 | 30.9 | |||||||||||||
26.5 | 26.4 | 88 | 27.7 | |||||||||||
90 | 24.3 | 25.9 | 25.2 | 30.0 | ||||||||||
21.9 | 23.7 | 22.6 | 23.3 | |||||||||||
19.2 | 19.2 | |||||||||||||
60 | 20.0 | |||||||||||||
30 | 10.0 | |||||||||||||
0 | 1Q | 2Q | 3Q | 4Q | 1Q | 2Q | 3Q | 4Q | 1Q | 2Q | 3Q | 4Q | 1Q | 0.0 |
FY2018 | FY2019 | FY2020 | FY2021 |
*Figures rounded down to the nearest million yen.
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Continue to invest in service development by using operating CF
Unit: Million yen 200
Free cash flow comparison (Consolidated)
Operating CF | Investing CF | FCF | 159 | 168 | 179 | |||||||||||||||||||
150 | 138 | 117 | 123 | 118 | ||||||||||||||||||||
106 | Income tax | |||||||||||||||||||||||
104 | ||||||||||||||||||||||||
paid | ||||||||||||||||||||||||
100 | ||||||||||||||||||||||||
78 | 83 | |||||||||||||||||||||||
70 | 48 | |||||||||||||||||||||||
60 | ||||||||||||||||||||||||
57 | 51 | 53 | ||||||||||||||||||||||
50 | ||||||||||||||||||||||||
18 | 48 | |||||||||||||||||||||||
7 | 8 | |||||||||||||||||||||||
2 | ||||||||||||||||||||||||
0 | ||||||||||||||||||||||||
-2 | ||||||||||||||||||||||||
-24 | ||||||||||||||||||||||||
-50 | ||||||||||||||||||||||||
-42 | -47 | |||||||||||||||||||||||
-80 | - | 65 | ||||||||||||||||||||||
-100 | ||||||||||||||||||||||||
-99 | -98 | -104 | ||||||||||||||||||||||
-106 | -107 | -110 | ||||||||||||||||||||||
-120 | -115 | -118 | -116 | -114 | ||||||||||||||||||||
-126 | ||||||||||||||||||||||||
-150 | ||||||||||||||||||||||||
1Q | 2Q | 3Q | 4Q | 1Q | 2Q | 3Q | 4Q | 1Q | 2Q | 3Q | 4Q | 1Q | ||||||||||||
FY2018 | FY2019 | FY2020 | FY2021 | |||||||||||||||||||||
*Free cash flow (FCF) = Operating cash flow (CF) + Investing cash flow (CF) | ||||||||||||||||||||||||
*Figures rounded down to the nearest million yen. | 15 |
© e-Seikatsu Co.,Ltd.
2. Summary of Recent
Business Results
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Website functions were significantly upgraded, and digital marketing in the real estate industry was strengthened
Real estate home page development tool
Centered management of property advertisements
Completely responsive design
It can be designed and edited internally by each company.
- Significantly improved the "ES e-Bukken One website" to reflect users' requests.
- With a simple operation, users can add contents and change their designs without in-depth knowledge. Users can easily upgrade their website, while minimizing outsourcing costs for developing and updating them.
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Full migration of service infrastructure to AWS began
Monthly migration image of service infrastructure maintenance cost and load
Current (In-house data center) | Cost | |
8 | Load | |
Future (after transition to AWS) | Cost | ||
Load | |||
8
Inorder to maintain stability, an infrastructure tailored to peak hours is | |||
required. Fixed costs (depreciation of server equipment, rent of storage | |||
6 | location, etc.) incur monthly. | ||
4 | |||
2 | The real estate industry is busy during January to March. | ||
The load on our cloud/SaaS platform reaches a peak. | |||
0 | |||
Since AWS operates based on the pay-as-you-go system, it is possible to flexibly adjust the usage amount as the load on the
6 infrastructure goes up and down.
4
2
0
Optimize the overall cost while ensuring sufficient reserve capacity even during peak loads.
Aug. Sep. Oct. Nov. Dec. Jan. Feb. Mar. Apr. May Jun. Jul. |
Aug. Sep. Oct. Nov. Dec. Jan. Feb. Mar. Apr. May Jun. Jul.
- Regarding the infrastructure (server devices, etc.) for cloud services, we began full migration to Amazon Web Service (AWS) in an effort to achieve cost optimization.
- Although the cost of operation in parallel with the existing infrastructure will increase in the short term, it will be possible to control the infrastructure cost in the mid- to long-term by implementing flexible control.
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Cost structure: SG&A declined year on year as a result of streamlining sales activities
COGS(Consolidated) | SG&A(Consolidated) |
(COGS) Personnel expenses
(COGS) Outsourcing expenses | |||||||
(COGS) System management and depreciation expenses | |||||||
(COGS) Other expenses | |||||||
Temporary account of development investment | |||||||
Unit: Million yen | COGS rate (FY2021) | ||||||
COGS rate (FY2020) | |||||||
400 | 60% | ||||||
219 | 205 | 217 | |||||
192 | |||||||
42.1% | 186 | ||||||
300 | 45% | ||||||
39.5% | 126 | 36.4% | 120 | 120 | |||
110 | 39.3% | ||||||
109 | |||||||
200 | 36.1% | 30% | |||||
50 | 64 | 33 | 50 | 73 | |||
100 | 15% | ||||||
127 | 123 | 128 | 125 | 123 | |||
0 | 17 | 18 | 15 | 18 | 16 | 0% | |
-113-112 | -99 | -108 | -116 | ||||
-100 | -15% | ||||||
FY2020 FY2021 | FY2020 FY2021 | FY2020 | FY2021 | FY2020 FY2021 | |||
1Q | 2Q | 3Q | 4Q |
(SG&A) Personnel expenses
(SG&A) Outsourcing expenses
(SG&A) Other expenses
SG&A rate (FY2021)
SG&A rate (FY2020)
Unit: Million yen
400 | 80% | |||||||
308 | 305 | |||||||
289 | 294 | 289 | ||||||
300 | 63.3% | 60% | ||||||
59.7% | ||||||||
55.4% | 51.6% | 52.3% | ||||||
200 | 204 | 202 | 193 | 187 | 40% | |||
206 | ||||||||
100 | 16 | 13 | 10 | 16 | 20% | |||
15 | ||||||||
87 | 68 | 89 | 91 | 85 | ||||
0 | FY2020 | FY2021 | FY2020 | FY2021 | FY2020 | FY2021 | FY2020 FY2021 | 0% |
1Q | 2Q | 3Q | 4Q |
*(COGS) Outsourcing expenses: Outsourcing expenses, temporary recruitment expenses, procurement expenses, system usage expenses, etc.
(COGS) Temporary account of development investment: Posted cost for inventory (goods in progress and products) and temporary account of software.
*Total COGS is calculated by subtracting the temporary account of development investment from the sum of costs.
*(SG&A) Outsourcing expenses: Advertising expenses, recruitment related expenses, consultant fees, payment commission, etc.
*Figures rounded down to the nearest million yen.
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© e-Seikatsu Co.,Ltd.
We strengthened the team while maintaining a well-balanced personnel structure
No. of Employees (Consolidated)
180
160
140
120
100
80
60
40
20
0
172 | ||||
155 | YonY +17 | 8 | ||
13 | ||||
7 | ||||
13 | 23 | |||
23 | ||||
61 | ||||
53 | Installation/operation support service | |||
Corporate | ||||
Customer success and support | ||||
Sales and marketing | ||||
59 | 67 | Engineers | |
Jun. 2019 | Jun. 2020 |
*Excluding directors, advisors, and part-time workers.
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We are maintaining the sound financial ground and sufficiently prepared for growth opportunities
Consolidated Balance Sheet Comparison
As of the end of March 2020 | Unit: Million yen |
Current ratio
As of the end of June 2020
185.0%
Current Liabilities 361
Current Assets | |
669 | Non-Current Liabilities 26 |
Cash and deposits
595
Shareholders' | |
Equity | |
1,371 | 1,653 |
Non-Current Assets |
Tangible 75 | Capital-Asset |
ratio | |
Intangible 1,152 | |
81.0% | |
Assets Liabilities and Equity
2,041 2,041
*Figures rounded down to the nearest million yen.
Current ratio
194.8%
Current Assets Current Liabilities 289
563
Non-Current Liabilities 20
Cash and deposits
487
Shareholders'
Equity
1,372 | 1,626 |
Non-Current Assets |
Tangible 67
Intangible 1,165
Assets Liabilities and Equity
1,935 1,935
Capital-Asset
ratio
84.0%
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© e-Seikatsu Co.,Ltd.
3.Earnings Forecast and
Future Prospects
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Impact of the novel coronavirus pandemic (COVID-19)
Status of the first quarter of FYE March 31, 2021
- To prevent the spread of infection and to ensure safety of our employees, their families and people around them, we continue to recommend that all employees work from home. In addition, we carry out online sales and support activities to the extent possible and make efforts to continue our business. There is no impact on the service provision structure.
- In the real estate industry, there is a growing movement to reassess operations under this environment. As a result, new business opportunities such as up-selling and cross-selling with existing customers are occurring. In addition, the number of new customers acquired also remains strong.
- Our customer portfolio consists of residential real estate companies, especially rental management companies with recurring commission income. There is no exposure to COVID-19 in their accommodations and stores, that perceive an impact from the pandemic, so far. There are some small-scale cost reduction among the real estate companies that are dependent on non- recurring income, but the impact is minimum at this time.
- We shifted to a marketing/sales system based on "new normal". By strengthening marketing measures such as inside sales and online seminars, we are expecting to see the results from the second quarter.
Earnings forecast for FYE March 31, 2021 remains undecided. (Dividend is scheduled to be 5 yen/share.)
- The duration of COVID-19 pandemic cannot be predicted, and it is difficult to reasonably estimate the impact on the real estate market trend at this time. Therefore, the earnings forecast is still undecided.
- On the other hand, changes in lifestyle, such as the generalization of remote work and online meetings, are expected to be irreversible even after the end of the pandemic. We expect that it will work as a tailwind for the digital transformation (DX) in the real estate industry, and it is expected that business opportunities for our cloud and SaaS services will increase.
- With an emphasis on stable return of profits to shareholders, we will maintain an annual dividend per share (forecast) of 5 yen for the FYE March 31, 2021.
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© e-Seikatsu Co.,Ltd.
Growth strategy in a changing business environment
Real Estate Market Trends
The pace of DX in the real estate market will be accelerating.
- The use of online meetings is rapidly becoming common among general consumers, and the sense of crisis for business continuity that relies solely on analog sales activities is increasing. As a result, the pace of DX is accelerating.
- Rental management companies are strongly aware of BCP as an asset management business, and they are re-acknowledging the superiority of cloud and SaaS.
- As remote work becomes more widespread and restrictions on commuting time are alleviated, housing needs may change and new demand for changing dwellings may arise.
Environment surrounding the real estate industry
- Real estate brokerage companies that depend on non-recurring revenue and small-scale and aging business operators may prioritize cost control instead of DX for the time being. They may hesitate to invest in IT.
- Polarization between business operators supporting DX and those cannot support DX.
Positive | • We established a system that allows employees at all of our bases to | |||
Our positioning | ||||
Market leader of "Real Estate Tech" | ||||
work from home. We continue to provide stable service even under the | ||||
remote work system. | ||||
• We steadily acquired new businesses in the first quarter due to online- | ||||
focused sales activities. | ||||
• Eligible to receive subsidy in 2020 for IT installation services. | ||||
• Our cloud/SaaS is optimal for the real estate market with our abundant | ||||
installation history. | ||||
• Customer base centered on rental management companies with | ||||
recurring income and debt-free management | ||||
Environment surrounding our company | ||||
Negative | • There are many small and medium-sized business operators. If these | |||
customers place priority on cost control for the time being over efficiency | ||||
and productivity, they may hesitate to use our service, maintain the | ||||
status quo, or prolong business negotiations. | ||||
- There is a possibility that the acceleration of DX in the real estate market will stimulate new demand, and the expectations for IT investment may grow. We will expand our service reach with marketing measures and grow without missing business opportunities.
- In particular, increase in movements to control and reduce costs in business formats that depend on flow income may cause slowdown in business expansion.
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To consolidate and strengthen marketing and inside sales functions
Planning and Sales | |||
East Japan | |||
Group | Sales Head Office | ||
(Organizational structure as of August 1, 2020)
West Japan
Sales Head Office
Business Development
Head office
CS Head Office
Sales Department I | |||||||||
Sales Department II | *New | ||||||||
Inside Sales Department | |||||||||
Nagoya Branch | Sales Department | ||||||||
Osaka Branch | Sales Department | ||||||||
Fukuoka Branch | Sales Department | ||||||||
Business Development Department | |||||||||
Product Design Department | |||||||||
Customer Support Department
Contract Management Department
*Reorganized the former | |
Marketing Department | "Business Promotion |
Department" and made it an | |
independent department. |
- We newly established the "Inside Sales Department" that conducts remote sales activities throughout Japan (we consolidated existing inside sales functions). Based on the accumulated market data, we strengthened the inside sales function more than ever as a specialized team that conducts highly accurate and efficient sales through telephone and online business negotiations.
- The former "Business Promotion Department" became independent as the "Marketing Department". Under the direct control of the Planning and Sales Group's leader, we are strengthening digital and real marketing activities such as strengthening online seminars.
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© e-Seikatsu Co.,Ltd.
To become the Best "Real Estate Tech" company in Japan
Target Index | |
➢ Number of clients | 5,000 companies |
➢ Monthly ARPU | more than ¥100,000 |
➢ Subscription gross profit margin | more than 70% |
Expand and grow our client base
To keep increasing clients by evolving services and enriching the systems for the support for installation and clients
Improve sales and operation efficiency
To increase in customer unit price by diversification of services. To prolong usage period of our services by improving operational support and service level. To expand LTV (customer's lifetime value)
Future growth
Evolution into real estate trade platforms
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© e-Seikatsu Co.,Ltd.
4.Reference: Business Overview
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© e-Seikatsu Co.,Ltd.
Mission
To make the real estate market, which is related to "housing" as
the bedrock for daily lives of people, more satisfying for all
participants.
Vision
To become an essential integral information infrastructure for the real estate market, where a variety of information on real estate is put together.
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© e-Seikatsu Co.,Ltd.
Outline of our businesses
Function/systemServices
Planning and
Development
of services
Provision of a system for enhancing productivity as
Client real estate companies
Rental
Property
Rental
Management
[End users]
Real estate owners
Owners
Provision of real
estate servicesThose who want to sell/buy real estate
Marketing/ | |
Sales/ | VR/Electronic Contract |
Consulting |
Installation/
Operation
support
cloud/SaaS
Service fees
(Monthly)
Sales
Use of real estate services and commission
Sellers
Buyers
In-house planning, development, and marketing of IT tools for accelerating clients' real estate businesses
For various real estate business
Would-be occupants
Occupants
Solutions for communication, IT-based explanation of important matters, electronic contracts, settlement, etc.
- Database tools that streamline the business operation of real estate companies (ES e-Bukken One Rental Property, Sales, Rental Management, etc.)
- Marketing tools that expand earning opportunities for real estate companies (ES e-Bukken One Website, Biz Support, etc.)
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To provide cloud/SaaS solutions that meet the characteristics of the real estate market
Characteristics of the real estate market
Overwhelming majority is small and medium-sized business operators
They exist across the country.
Every company has similar business flow as determined by the laws.
Large-sized | Finding |
business |
operators | occupants |
Explaining important
Small and medium-matters sized
business operators
Contract
Cloud/SaaS solution provided by us
Subscription service | Feedback of knowledge and | Spot service |
・Monthly fees for cloud/SaaS | know-how to function | ・Support for installing and operating our cloud/ |
development etc. | ||
・Small amount of initial investment | SaaS (BPO) | |
・Online support available everywhere in the country | ・Consigned development of systems and applications | |
・Equipped with standard functions, constantly | ・Agency sales of other companies' services. | |
evolving | Complementing customer needs | ➢ Deeply meet the individual needs of |
➢ Extensive coverage of market needs | that cannot be covered by | each customer |
standard models | ||
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To provide integrated business support cloud/SaaS for the real estate industry
Property management/higher added | BtoB platform |
value (PM) |
ES B2B call
Centralized cloud-based property /customer information database that connects each business domain
Finding occupants, sales support (CRM)Digital data marketing
*PM = Property Management. In order to increase the added value of real estate, an expert manages real estate for rent on behalf of the real estate owner. *CRM = Customer Relationship Management. A method for collecting and analyzing customer information to improve the efficiency of sales activities.
*Digital data marketing = Activities that acquire new profit opportunities and lead to business growth by taking advantage of digital technologies and data such as the Internet and IT 31
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Promotion of digital transformation (DX) of the real estate market
To offer SaaS that will be used in every real estate scenes
ES-B2B Chintai | IT-based | ||||||||||||||||||
Web-based | VR-based | Web-based | Explanation of | ||||||||||||||||
ES-B2B call | Important Matters | Electronic Contract | |||||||||||||||||
Preview | Preview | Application | |||||||||||||||||
Flowchart of common search for housing | |||||||||||||||||||
Searching | Introduction | Preview of Housing | ■■ | Application for | ●■ | ●■ | Contract/ ●■ | ||||||||||||
Upper: Rental | ●● | ●● | ●■ | Moving-in | Explanation | ||||||||||||||
Real Estate | Inquiry | of | |||||||||||||||||
●● | ●● | of Important | ● | Handover ●■ | |||||||||||||||
Lower: Sale | Websiteon | ● | |||||||||||||||||
real estate | Preview of Real Estate | Application for | Matters | ||||||||||||||||
■■ | Purchase | ||||||||||||||||||
Electronic Payment | App for Occupants | Electronic Contract | App for Occupants | Electronic Payment | |||||||||||||||
Upper: Rental | Payment ■ | Regular Contact■ | Update | ●■ | Regular Contact■ | Cancellation | ● | Moving-out●■ | |||||||||||
Moving-in | |||||||||||||||||||
Lower: Sale | ● | ● | ●■ | ● | |||||||||||||||
Assessment for Sale | Request for Sale | Contract for Sale | Handover | ||||||||||||||||
Electronic contract
Our services
- ● ● ●
● | ■ | ■ VR-based preview | ■ Electronic Contract |
■ | ■ | ■ ES-B2B call | ■ |
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Competitive advantage of e-Seikatsu
Specialize in the field of real estate and aim for industry-focused vertical SaaS (pursuing LTV)
Our development staff who are versed in real estate businesses develop systems (accumulating know-how).
Swift cycle of "grasping needs → planning → development → release"
Direct sales team = tight relationship with clients, in-depth industry knowledge
Obtained the certificates of international standards for IT service management and cloud service information security management, and maintained high service level and customer satisfaction
No bank borrowing and financially sound base.
Sufficiently prepared for growth opportunities.
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Company Profile
Established :
Paid-in capital :
Listing :
Relationship banks :
-
of employees :
Governance System :
Officers :
January 21, 2000
628,411,540 yen (As of the end of June 2020)
Second Section of the Tokyo Stock Exchange (Code: 3796)
MUFG Bank, Ltd., Mizuho Bank, Ltd., Resona Bank, Ltd.,
Sumitomo Mitsui Banking Corporation, Sumitomo Mitsui Trust Bank, Limited,
Mitsubishi UFJ Trust and Banking Corporation
172 (As of the end of June 2020)
Company with Audit Committee
Chairman | Kiyotaka Nakamura | Outside Director (Independent Director), Full-time Audit and Supervisory Akira Hirano | |
Committee Member | |||
President, Representative Director | Zenichi Maeno | Outside Director (Independent Director), Audit and Supervisory | Masahito Omachi |
& CEO | Committee Member | ||
Representative Director & CFO | Hiroyuki Shiokawa | Outside Director (Independent Director), Audit and Supervisory | Shinichi Shamoto |
Committee Member | |||
Representative Director & COO | Hiroyoshi Kitazawa | Outside Director (Independent Director), Audit and Supervisory | Masayasu Takahara |
Committee Member | |||
Managing Director, CTO | Akira Matsuzaki |
Audit Corporation : | Kisaragi Audit Corporation | |||
Offices : | Headquarters | 〒106-0047 | 2-32, Minamiazabu 5-chome,Minato-ku, Tokyo | |
Osaka office | 〒530-0011 | 4-20, Ofukacho, Kita-ku,Osaka-shi, Osaka | ||
Fukuoka office | 〒812-0011 | 25-21, Hakataeki Mae 3-chome,Hakata-ku,Fukuoka-shi, Fukuoka | ||
Nagoya office | 〒450-6419 | 28-12, Meieki 3-chome,Nakamura-ku,Nagoya-shi, Aichi | 34 | |
© e-Seikatsu Co.,Ltd.
Technology × Real Estate Field
e-Seikatsu is a "Real estate tech" company
that aims to realize a better real estate market by technology.
© e-Seikatsu Co.,Ltd.
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e-Seikatsu Co. Ltd. published this content on 18 August 2020 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 18 August 2020 06:02:09 UTC