Welcome!

Artificial Intelligence Authors: Liz McMillan, Yeshim Deniz, Elizabeth White, Pat Romanski, William Schmarzo

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
While some developers care passionately about how data centers and clouds are architected, for most, it is only the end result that matters. To the majority of companies, technology exists to solve a business problem, and only delivers value when it is solving that problem. 2017 brings the mainstream adoption of containers for production workloads. In his session at 21st Cloud Expo, Ben McCormack, VP of Operations at Evernote, will discuss how data centers of the future will be managed, how th...
SYS-CON Events announced today that Massive Networks, that helps your business operate seamlessly with fast, reliable, and secure internet and network solutions, has been named "Exhibitor" of SYS-CON's 21st International Cloud Expo ®, which will take place on Oct 31 - Nov 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. As a premier telecommunications provider, Massive Networks is headquartered out of Louisville, Colorado. With years of experience under their belt, their team of...
SYS-CON Events announced today that Mobile Create USA will exhibit at the Japan External Trade Organization (JETRO) Pavilion at SYS-CON's 21st International Cloud Expo®, which will take place on Oct 31 – Nov 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. Mobile Create USA Inc. is an MVNO-based business model that uses portable communication devices and cellular-based infrastructure in the development, sales, operation and mobile communications systems incorporating GPS capabi...
SYS-CON Events announced today that MIRAI Inc. will exhibit at the Japan External Trade Organization (JETRO) Pavilion at SYS-CON's 21st International Cloud Expo®, which will take place on Oct 31 – Nov 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. MIRAI Inc. are IT consultants from the public sector whose mission is to solve social issues by technology and innovation and to create a meaningful future for people.
SYS-CON Events announced today that Keisoku Research Consultant Co. will exhibit at the Japan External Trade Organization (JETRO) Pavilion at SYS-CON's 21st International Cloud Expo®, which will take place on Oct 31 – Nov 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. Keisoku Research Consultant, Co. offers research and consulting in a wide range of civil engineering-related fields from information construction to preservation of cultural properties. For more information, vi...
SYS-CON Events announced today that Interface Corporation will exhibit at the Japan External Trade Organization (JETRO) Pavilion at SYS-CON's 21st International Cloud Expo®, which will take place on Oct 31 – Nov 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. Interface Corporation is a company developing, manufacturing and marketing high quality and wide variety of industrial computers and interface modules such as PCIs and PCI express. For more information, visit http://www.i...
SYS-CON Events announced today that Fusic will exhibit at the Japan External Trade Organization (JETRO) Pavilion at SYS-CON's 21st International Cloud Expo®, which will take place on Oct 31 – Nov 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. Fusic Co. provides mocks as virtual IoT devices. You can customize mocks, and get any amount of data at any time in your test. For more information, visit https://fusic.co.jp/english/.
SYS-CON Events announced today that TMC has been named “Media Sponsor” of SYS-CON's 21st International Cloud Expo and Big Data at Cloud Expo, which will take place on Oct 31 – Nov 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. Global buyers rely on TMC’s content-driven marketplaces to make purchase decisions and navigate markets. Learn how we can help you reach your marketing goals.
SYS-CON Events announced today that Enroute Lab will exhibit at the Japan External Trade Organization (JETRO) Pavilion at SYS-CON's 21st International Cloud Expo®, which will take place on Oct 31 – Nov 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. Enroute Lab is an industrial design, research and development company of unmanned robotic vehicle system. For more information, please visit http://elab.co.jp/.
There is huge complexity in implementing a successful digital business that requires efficient on-premise and cloud back-end infrastructure, IT and Internet of Things (IoT) data, analytics, Machine Learning, Artificial Intelligence (AI) and Digital Applications. In the data center alone, there are physical and virtual infrastructures, multiple operating systems, multiple applications and new and emerging business and technological paradigms such as cloud computing and XaaS. And then there are pe...
SYS-CON Events announced today that Daiya Industry will exhibit at the Japan External Trade Organization (JETRO) Pavilion at SYS-CON's 21st International Cloud Expo®, which will take place on Oct 31 – Nov 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. Daiya Industry specializes in orthotic support systems and assistive devices with pneumatic artificial muscles in order to contribute to an extended healthy life expectancy. For more information, please visit https://www.daiyak...
Real IoT production deployments running at scale are collecting sensor data from hundreds / thousands / millions of devices. The goal is to take business-critical actions on the real-time data and find insights from stored datasets. In his session at @ThingsExpo, John Walicki, Watson IoT Developer Advocate at IBM Cloud, will provide a fast-paced developer journey that follows the IoT sensor data from generation, to edge gateway, to edge analytics, to encryption, to the IBM Bluemix cloud, to Wa...
In his session at @ThingsExpo, Greg Gorman is the Director, IoT Developer Ecosystem, Watson IoT, will provide a short tutorial on Node-RED, a Node.js-based programming tool for wiring together hardware devices, APIs and online services in new and interesting ways. It provides a browser-based editor that makes it easy to wire together flows using a wide range of nodes in the palette that can be deployed to its runtime in a single-click. There is a large library of contributed nodes that help so...
With major technology companies and startups seriously embracing Cloud strategies, now is the perfect time to attend 21st Cloud Expo October 31 - November 2, 2017, at the Santa Clara Convention Center, CA, and June 12-14, 2018, at the Javits Center in New York City, NY, and learn what is going on, contribute to the discussions, and ensure that your enterprise is on the right path to Digital Transformation.
Agile has finally jumped the technology shark, expanding outside the software world. Enterprises are now increasingly adopting Agile practices across their organizations in order to successfully navigate the disruptive waters that threaten to drown them. In our quest for establishing change as a core competency in our organizations, this business-centric notion of Agile is an essential component of Agile Digital Transformation. In the years since the publication of the Agile Manifesto, the conn...
SYS-CON Events announced today that App2Cloud will exhibit at SYS-CON's 21st International Cloud Expo®, which will take place on Oct. 31 – Nov 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. App2Cloud is an online Platform, specializing in migrating legacy applications to any Cloud Providers (AWS, Azure, Google Cloud).
WebRTC is great technology to build your own communication tools. It will be even more exciting experience it with advanced devices, such as a 360 Camera, 360 microphone, and a depth sensor camera. In his session at @ThingsExpo, Masashi Ganeko, a manager at INFOCOM Corporation, will introduce two experimental projects from his team and what they learned from them. "Shotoku Tamago" uses the robot audition software HARK to track speakers in 360 video of a remote party. "Virtual Teleport" uses a mu...
Internet of @ThingsExpo, taking place October 31 - November 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA, is co-located with 21st Cloud Expo and will feature technical sessions from a rock star conference faculty and the leading industry players in the world. The Internet of Things (IoT) is the most profound change in personal and enterprise IT since the creation of the Worldwide Web more than 20 years ago. All major researchers estimate there will be tens of billions devic...
Mobile device usage has increased exponentially during the past several years, as consumers rely on handhelds for everything from news and weather to banking and purchases. What can we expect in the next few years? The way in which we interact with our devices will fundamentally change, as businesses leverage Artificial Intelligence. We already see this taking shape as businesses leverage AI for cost savings and customer responsiveness. This trend will continue, as AI is used for more sophistica...
SYS-CON Events announced today that SourceForge has been named “Media Sponsor” of SYS-CON's 21st International Cloud Expo, which will take place on Oct 31 – Nov 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. SourceForge is the largest, most trusted destination for Open Source Software development, collaboration, discovery and download on the web serving over 32 million viewers, 150 million downloads and over 460,000 active development projects each and every month.