Welcome!

Agile Computing Authors: Yeshim Deniz, Elizabeth White, Stackify Blog, Pat Romanski, Shelly Palmer

News Feed Item

CyberAgent Reports First Quarter Results; Revenue Up 27%, Net Income Up 58.3%

Tokyo, Jan 31, 2013 - (JCN Newswire) - CyberAgent, Inc. (TSE: 4751), a Tokyo-based leader in Internet media markets, has announced results for the first quarter ended December 31, 2012. Net sales reached 40,825 million yen (up 27.0% from the same period of the previous year); operating income reached 1,543 million yen (down 68.6%); ordinary income reached 1,622 million yen (down 66.8%); and quarterly net income reached 3,251 million yen (up 58.3%).

The number of smartphones shipped in 2012 was 31.1 million (73.3% of overall shipments), and 35.1 million (80.3% of overall shipments) are forecast to be shipped in 2013 with the adoption of smartphones continuing at an increased pace(1). With the rapid adoption of smartphones, the marketplace for downloadable content is expanding as well, reaching 1.6 trillion yen in 2012 and forecast to be approximately 2.0 trillion yen by 2017. The social game market is growing especially rapidly, worth 538.5 billion yen in 2012 and forecast to grow to 615 billion yen in 2013(2).

Under such conditions, the Group focused operating resources on smartphone businesses, with the smartphone community and game SNS "Ameba" starting in earnest and large scale promotions carried out with television commercials and transportation advertising. Business restructuring was also carried out, making a decision to sell FX businesses (sale completed on January 31).

1) Consolidated Financial Results for the First Quarter Ended December 31, 2012

A. Business Results (millions of yen)
------------------------------------------------------------------------
First Quarter Results 12/31/2012 % 12/31/2011 %
------------------------------------------------------------------------
Net Sales 40,825 27.0 32,146 11.7
Operating Income 1,543 (68.6) 4,915 38.1
Ordinary Income 1,622 (66.8) 4,888 40.0
Net Income 3,251 58.3 2,054 39.7
Net Income/Share(y) 5,022.10 3,169.23
Diluted Net Income/Share(y) -- 3,168.14
------------------------------------------------------------------------
B. Financial Position
------------------------------------------------------------------------
Total Assets 141,522 136,366
Net Assets 45,770 43,594
Shlders' Eqty Ratio(%) 30.3 30.6
------------------------------------------------------------------------
C. Dividends
------------------------------------------------------------------------
Year ended 2013 (Forecast) 2012
------------------------------------------------------------------------
(y) 3,500 3,500
------------------------------------------------------------------------
D. Forecast for Fiscal Year 2013
------------------------------------------------------------------------
Year Ending September 30, 2013 Change
------------------------------------------------------------------------
Net Sales 170,000 20.5
Operating Income 10,000 (42.6)
Ordinary Income 10,000 (41.7)
Net Income 12,000 40.8
Net Income/Share(y) 18,535.99 --
------------------------------------------------------------------------

2) Results by Business Segment

As of the first quarter of this consolidated accounting period, the division of the reporting segments has been changed, so for comparisons to the same period the previous year the values from the previous year have been changed to follow the new segment divisions.

(a) Ameba business

The Ameba business includes Ameba, Ameba Pigg and AMoAd, etc. For this business, there were large scale promotion activities of approximately 3 billion yen for the smartphone community and game SNS Ameba, and new smartphone media businesses that were previously part of Internet advertisement agency business (formerly comprehensive Internet business) were consolidated.

As a result, net sales totaled 6,561 million yen (up 7.9% from the same period of the previous year), and we recorded an operating loss of 3,102 million yen (an operating income of 1,749 million yen in the same period of the previous year).

(b) SAP and other media businesses

The SAP and other media businesses includes CA Mobile, LTD. and SAP (social game) businesses in our Group companies such as Cygames Inc., Applibot, Inc., and Sumzap, Inc. For these businesses, with active expansion of SAP businesses both domestically and internationally, net sales totaled 15,750 million yen (up 65.6% from the same period of the previous year), and we recorded an operating income of 1,011 million yen (up 11.2% from the same period of the previous year).

(c) Internet advertisement business

Internet advertisement business includes advertising agency businesses and SEM (search engine marketing), centered on the Company's internet advertising business department. For this business, with healthy sales of smartphone advertising, net sales totaled 18,876 million yen (up 13.4% from the same period of the previous year), and we recorded an operating income of 1,931 million yen (up 57.3% from the same period of the previous year).

(d) Investment development business

Our investment development business includes the Company's corporate venture capital business, and fund operation in CyberAgent Ventures, Inc. It discovers, develops and generates value for promising venture companies both within Japan and in Asian countries.

In the current business year, due mainly to sales of shares, net sales totaled 889 million yen (up 1,566.3% from the same period of the previous year), and we recorded an operating income of 628 million yen (an operating loss of 69 million yen for the same period of the previous year).

(e) FX business

The FX business includes foreign exchange margin trading in CyberAgent FX, Inc. In the current business year, although the number of account openings and deposit accounts increased steadily, net sales totaled 1,896 million yen (down 6.5% from the same period of the previous year), and we recorded an operating income of 1,074 million yen (down 2.1% from the same period of the previous year).

3) Forecast for Fiscal Year 2013

In this period new smartphone media businesses that were previously part of Internet Advertisement Agency Business (formerly Comprehensive Internet Business) were consolidated into Ameba moving towards the success of the smartphone community and game SNS Ameba, and business restructuring was engaged in by selling the FX business (selling all CyberAgent FX, Inc. shares).

For sales, with expanded smartphone fees mainly from Ameba and SAP businesses as well as the growth of smartphone advertising in Internet advertising 170 billion yen are forecast.

For operating income, the strategic investment of approximately 3 billion yen into promoting the Ameba business in the first quarter resulted in a temporary decrease in income, but in the second quarter onwards the sale of the FX business and contributions from advertising income and digital item sales from smartphone lead to a forecast of 10 billion yen operating income for the full year.

For net income, extraordinary income from profits selling the FX business and sales of a portion of Cygames, Inc. shares lead to a forecast 12 billion yen net income.

Medium term forecasts of performance results are not given, as the environment surrounding the Internet is highly variable and the Group's results may fluctuate significantly in the short term.

The forecast values indicated above are based upon information available at this time, and actual results may vary significantly due to a number of uncertain factors.

Today, CyberAgent also announced that notice regarding decisions on the acquisition of treasury stocks, details are here.
http://www.cyberagent.info/wp-content/uploads/ca/pdf/news/2013/0131_2.pdf

Notes:
(1) MM Research Institute, Ltd.
(2) Nomura Research Institute, Ltd.

4) Segment Information

Current consolidated first quarter (Oct 1, 2012 to Dec 31, 2012)
(millions of yen)
------------------------------------------------------------------------
A B C D E F G H
------------------------------------------------------------------------
Net Sales
(1)Sales to external customers
4,927 15,547 17,565 889 1,896 40,825 -- 40,825
------------------------------------------------------------------------
(2)Intersegment internal sales or transferred amount
1,634 202 1,311 0 -- 3,148 (3,148) --
------------------------------------------------------------------------
Total 6,561 15,750 18,876 889 1,896 43,974 (3,148) 40,825
------------------------------------------------------------------------
Segment income (loss)
(3,102) 1,011 1,931 628 1,074 1,543 -- 1,543
------------------------------------------------------------------------
A. Ameba business
B. SAP and other media businesses
C. Internet advertisement business
D. Investment development business
E. FX
F. Subtotal
G. Adjustment amount
H. Consolidated quarterly balance sheet amount


About CyberAgent, Inc.

Founded in 1998, CyberAgent, Inc. is a leading Internet company focused on its smartphone social community and game SNS platform Ameba and has provided many kinds of businesses in Japan including being the largest social game provider, the internet Ad, and the corporate venture capital. CyberAgent maintains operations in the U.S., China, Vietnam, Japan with corporate headquarters located in Tokyo, Japan. The company generated annual sales of more than $1.6 billion in FY2012 ended September 2012. CyberAgent is listed on the Tokyo Stock Exchange, Mothers (4751). For additional information on the company and its offerings, please visit www.cyberagent.info or contact [email protected].

Follow us! https://twitter.com/#!/CyberAgentInc



Source: CyberAgent, Inc.

Contact:
CyberAgent 
PR/IR Division
Akiko Kashiwa
Tel: +81-3-5459-0227
E-mail: [email protected]


Copyright 2013 JCN Newswire. All rights reserved. www.japancorp.net

More Stories By JCN Newswire

Copyright 2008 JCN Newswire. All rights reserved. Republication or redistribution of JCN Newswire content is expressly prohibited without the prior written consent of JCN Newswire. JCN Newswire shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.

@ThingsExpo Stories
A strange thing is happening along the way to the Internet of Things, namely far too many devices to work with and manage. It has become clear that we'll need much higher efficiency user experiences that can allow us to more easily and scalably work with the thousands of devices that will soon be in each of our lives. Enter the conversational interface revolution, combining bots we can literally talk with, gesture to, and even direct with our thoughts, with embedded artificial intelligence, whic...
BnkToTheFuture.com is the largest online investment platform for investing in FinTech, Bitcoin and Blockchain companies. We believe the future of finance looks very different from the past and we aim to invest and provide trading opportunities for qualifying investors that want to build a portfolio in the sector in compliance with international financial regulations.
Imagine if you will, a retail floor so densely packed with sensors that they can pick up the movements of insects scurrying across a store aisle. Or a component of a piece of factory equipment so well-instrumented that its digital twin provides resolution down to the micrometer.
In his keynote at 18th Cloud Expo, Andrew Keys, Co-Founder of ConsenSys Enterprise, provided an overview of the evolution of the Internet and the Database and the future of their combination – the Blockchain. Andrew Keys is Co-Founder of ConsenSys Enterprise. He comes to ConsenSys Enterprise with capital markets, technology and entrepreneurial experience. Previously, he worked for UBS investment bank in equities analysis. Later, he was responsible for the creation and distribution of life settle...
Product connectivity goes hand and hand these days with increased use of personal data. New IoT devices are becoming more personalized than ever before. In his session at 22nd Cloud Expo | DXWorld Expo, Nicolas Fierro, CEO of MIMIR Blockchain Solutions, will discuss how in order to protect your data and privacy, IoT applications need to embrace Blockchain technology for a new level of product security never before seen - or needed.
Leading companies, from the Global Fortune 500 to the smallest companies, are adopting hybrid cloud as the path to business advantage. Hybrid cloud depends on cloud services and on-premises infrastructure working in unison. Successful implementations require new levels of data mobility, enabled by an automated and seamless flow across on-premises and cloud resources. In his general session at 21st Cloud Expo, Greg Tevis, an IBM Storage Software Technical Strategist and Customer Solution Architec...
Nordstrom is transforming the way that they do business and the cloud is the key to enabling speed and hyper personalized customer experiences. In his session at 21st Cloud Expo, Ken Schow, VP of Engineering at Nordstrom, discussed some of the key learnings and common pitfalls of large enterprises moving to the cloud. This includes strategies around choosing a cloud provider(s), architecture, and lessons learned. In addition, he covered some of the best practices for structured team migration an...
No hype cycles or predictions of a gazillion things here. IoT is here. You get it. You know your business and have great ideas for a business transformation strategy. What comes next? Time to make it happen. In his session at @ThingsExpo, Jay Mason, an Associate Partner of Analytics, IoT & Cybersecurity at M&S Consulting, presented a step-by-step plan to develop your technology implementation strategy. He also discussed the evaluation of communication standards and IoT messaging protocols, data...
Coca-Cola’s Google powered digital signage system lays the groundwork for a more valuable connection between Coke and its customers. Digital signs pair software with high-resolution displays so that a message can be changed instantly based on what the operator wants to communicate or sell. In their Day 3 Keynote at 21st Cloud Expo, Greg Chambers, Global Group Director, Digital Innovation, Coca-Cola, and Vidya Nagarajan, a Senior Product Manager at Google, discussed how from store operations and ...
In his session at 21st Cloud Expo, Raju Shreewastava, founder of Big Data Trunk, provided a fun and simple way to introduce Machine Leaning to anyone and everyone. He solved a machine learning problem and demonstrated an easy way to be able to do machine learning without even coding. Raju Shreewastava is the founder of Big Data Trunk (www.BigDataTrunk.com), a Big Data Training and consulting firm with offices in the United States. He previously led the data warehouse/business intelligence and B...
"IBM is really all in on blockchain. We take a look at sort of the history of blockchain ledger technologies. It started out with bitcoin, Ethereum, and IBM evaluated these particular blockchain technologies and found they were anonymous and permissionless and that many companies were looking for permissioned blockchain," stated René Bostic, Technical VP of the IBM Cloud Unit in North America, in this SYS-CON.tv interview at 21st Cloud Expo, held Oct 31 – Nov 2, 2017, at the Santa Clara Conventi...
When shopping for a new data processing platform for IoT solutions, many development teams want to be able to test-drive options before making a choice. Yet when evaluating an IoT solution, it’s simply not feasible to do so at scale with physical devices. Building a sensor simulator is the next best choice; however, generating a realistic simulation at very high TPS with ease of configurability is a formidable challenge. When dealing with multiple application or transport protocols, you would be...
Smart cities have the potential to change our lives at so many levels for citizens: less pollution, reduced parking obstacles, better health, education and more energy savings. Real-time data streaming and the Internet of Things (IoT) possess the power to turn this vision into a reality. However, most organizations today are building their data infrastructure to focus solely on addressing immediate business needs vs. a platform capable of quickly adapting emerging technologies to address future ...
We are given a desktop platform with Java 8 or Java 9 installed and seek to find a way to deploy high-performance Java applications that use Java 3D and/or Jogl without having to run an installer. We are subject to the constraint that the applications be signed and deployed so that they can be run in a trusted environment (i.e., outside of the sandbox). Further, we seek to do this in a way that does not depend on bundling a JRE with our applications, as this makes downloads and installations rat...
Widespread fragmentation is stalling the growth of the IIoT and making it difficult for partners to work together. The number of software platforms, apps, hardware and connectivity standards is creating paralysis among businesses that are afraid of being locked into a solution. EdgeX Foundry is unifying the community around a common IoT edge framework and an ecosystem of interoperable components.
DX World EXPO, LLC, a Lighthouse Point, Florida-based startup trade show producer and the creator of "DXWorldEXPO® - Digital Transformation Conference & Expo" has announced its executive management team. The team is headed by Levent Selamoglu, who has been named CEO. "Now is the time for a truly global DX event, to bring together the leading minds from the technology world in a conversation about Digital Transformation," he said in making the announcement.
In this strange new world where more and more power is drawn from business technology, companies are effectively straddling two paths on the road to innovation and transformation into digital enterprises. The first path is the heritage trail – with “legacy” technology forming the background. Here, extant technologies are transformed by core IT teams to provide more API-driven approaches. Legacy systems can restrict companies that are transitioning into digital enterprises. To truly become a lead...
Digital Transformation (DX) is not a "one-size-fits all" strategy. Each organization needs to develop its own unique, long-term DX plan. It must do so by realizing that we now live in a data-driven age, and that technologies such as Cloud Computing, Big Data, the IoT, Cognitive Computing, and Blockchain are only tools. In her general session at 21st Cloud Expo, Rebecca Wanta explained how the strategy must focus on DX and include a commitment from top management to create great IT jobs, monitor ...
"Cloud Academy is an enterprise training platform for the cloud, specifically public clouds. We offer guided learning experiences on AWS, Azure, Google Cloud and all the surrounding methodologies and technologies that you need to know and your teams need to know in order to leverage the full benefits of the cloud," explained Alex Brower, VP of Marketing at Cloud Academy, in this SYS-CON.tv interview at 21st Cloud Expo, held Oct 31 – Nov 2, 2017, at the Santa Clara Convention Center in Santa Clar...
The IoT Will Grow: In what might be the most obvious prediction of the decade, the IoT will continue to expand next year, with more and more devices coming online every single day. What isn’t so obvious about this prediction: where that growth will occur. The retail, healthcare, and industrial/supply chain industries will likely see the greatest growth. Forrester Research has predicted the IoT will become “the backbone” of customer value as it continues to grow. It is no surprise that retail is ...