Welcome!

Cognitive Computing Authors: Carmen Gonzalez, Elizabeth White, Liz McMillan, Kevin Jackson, Jason Bloomberg

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
Providing secure, mobile access to sensitive data sets is a critical element in realizing the full potential of cloud computing. However, large data caches remain inaccessible to edge devices for reasons of security, size, format or limited viewing capabilities. Medical imaging, computer aided design and seismic interpretation are just a few examples of industries facing this challenge. Rather than fighting for incremental gains by pulling these datasets to edge devices, we need to embrace the i...
In 2014, Amazon announced a new form of compute called Lambda. We didn't know it at the time, but this represented a fundamental shift in what we expect from cloud computing. Now, all of the major cloud computing vendors want to take part in this disruptive technology. In his session at 20th Cloud Expo, John Jelinek IV, a web developer at Linux Academy, will discuss why major players like AWS, Microsoft Azure, IBM Bluemix, and Google Cloud Platform are all trying to sidestep VMs and containers...
Web Real-Time Communication APIs have quickly revolutionized what browsers are capable of. In addition to video and audio streams, we can now bi-directionally send arbitrary data over WebRTC's PeerConnection Data Channels. With the advent of Progressive Web Apps and new hardware APIs such as WebBluetooh and WebUSB, we can finally enable users to stitch together the Internet of Things directly from their browsers while communicating privately and securely in a decentralized way.
IoT is at the core or many Digital Transformation initiatives with the goal of re-inventing a company's business model. We all agree that collecting relevant IoT data will result in massive amounts of data needing to be stored. However, with the rapid development of IoT devices and ongoing business model transformation, we are not able to predict the volume and growth of IoT data. And with the lack of IoT history, traditional methods of IT and infrastructure planning based on the past do not app...
Fifty billion connected devices and still no winning protocols standards. HTTP, WebSockets, MQTT, and CoAP seem to be leading in the IoT protocol race at the moment but many more protocols are getting introduced on a regular basis. Each protocol has its pros and cons depending on the nature of the communications. Does there really need to be only one protocol to rule them all? Of course not. In his session at @ThingsExpo, Chris Matthieu, co-founder and CTO of Octoblu, walked through how Octob...
The Internet of Things can drive efficiency for airlines and airports. In their session at @ThingsExpo, Shyam Varan Nath, Principal Architect with GE, and Sudip Majumder, senior director of development at Oracle, discussed the technical details of the connected airline baggage and related social media solutions. These IoT applications will enhance travelers' journey experience and drive efficiency for the airlines and the airports.
SYS-CON Events announced today that Catchpoint, a leading digital experience intelligence company, has been named “Silver Sponsor” of SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. Catchpoint Systems is a leading Digital Performance Analytics company that provides unparalleled insight into your customer-critical services to help you consistently deliver an amazing customer experience. Designed for digital business, C...
With major technology companies and startups seriously embracing IoT strategies, now is the perfect time to attend @ThingsExpo 2016 in New York. Learn what is going on, contribute to the discussions, and ensure that your enterprise is as "IoT-Ready" as it can be! Internet of @ThingsExpo, taking place June 6-8, 2017, at the Javits Center in New York City, New York, is co-located with 20th Cloud Expo and will feature technical sessions from a rock star conference faculty and the leading industry p...
In his General Session at 17th Cloud Expo, Bruce Swann, Senior Product Marketing Manager for Adobe Campaign, explored the key ingredients of cross-channel marketing in a digital world. Learn how the Adobe Marketing Cloud can help marketers embrace opportunities for personalized, relevant and real-time customer engagement across offline (direct mail, point of sale, call center) and digital (email, website, SMS, mobile apps, social networks, connected objects).
Things are changing so quickly in IoT that it would take a wizard to predict which ecosystem will gain the most traction. In order for IoT to reach its potential, smart devices must be able to work together. Today, there are a slew of interoperability standards being promoted by big names to make this happen: HomeKit, Brillo and Alljoyn. In his session at @ThingsExpo, Adam Justice, vice president and general manager of Grid Connect, will review what happens when smart devices don’t work togethe...
"Tintri was started in 2008 with the express purpose of building a storage appliance that is ideal for virtualized environments. We support a lot of different hypervisor platforms from VMware to OpenStack to Hyper-V," explained Dan Florea, Director of Product Management at Tintri, in this SYS-CON.tv interview at 18th Cloud Expo, held June 7-9, 2016, at the Javits Center in New York City, NY.
"There's a growing demand from users for things to be faster. When you think about all the transactions or interactions users will have with your product and everything that is between those transactions and interactions - what drives us at Catchpoint Systems is the idea to measure that and to analyze it," explained Leo Vasiliou, Director of Web Performance Engineering at Catchpoint Systems, in this SYS-CON.tv interview at 18th Cloud Expo, held June 7-9, 2016, at the Javits Center in New York Ci...
The 20th International Cloud Expo has announced that its Call for Papers is open. Cloud Expo, to be held June 6-8, 2017, at the Javits Center in New York City, brings together Cloud Computing, Big Data, Internet of Things, DevOps, Containers, Microservices and WebRTC to one location. With cloud computing driving a higher percentage of enterprise IT budgets every year, it becomes increasingly important to plant your flag in this fast-expanding business opportunity. Submit your speaking proposal ...
20th Cloud Expo, taking place June 6-8, 2017, at the Javits Center in New York City, NY, will feature technical sessions from a rock star conference faculty and the leading industry players in the world. Cloud computing is now being embraced by a majority of enterprises of all sizes. Yesterday's debate about public vs. private has transformed into the reality of hybrid cloud: a recent survey shows that 74% of enterprises have a hybrid cloud strategy.
SYS-CON Events announced today that Super Micro Computer, Inc., a global leader in Embedded and IoT solutions, will exhibit at SYS-CON's 20th International Cloud Expo®, which will take place on June 7-9, 2017, at the Javits Center in New York City, NY. Supermicro (NASDAQ: SMCI), the leading innovator in high-performance, high-efficiency server technology, is a premier provider of advanced server Building Block Solutions® for Data Center, Cloud Computing, Enterprise IT, Hadoop/Big Data, HPC and E...
SYS-CON Events announced today that Linux Academy, the foremost online Linux and cloud training platform and community, will exhibit at SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. Linux Academy was founded on the belief that providing high-quality, in-depth training should be available at an affordable price. Industry leaders in quality training, provided services, and student certification passes, its goal is to c...
Fact is, enterprises have significant legacy voice infrastructure that’s costly to replace with pure IP solutions. How can we bring this analog infrastructure into our shiny new cloud applications? There are proven methods to bind both legacy voice applications and traditional PSTN audio into cloud-based applications and services at a carrier scale. Some of the most successful implementations leverage WebRTC, WebSockets, SIP and other open source technologies. In his session at @ThingsExpo, Da...
In the next five to ten years, millions, if not billions of things will become smarter. This smartness goes beyond connected things in our homes like the fridge, thermostat and fancy lighting, and into heavily regulated industries including aerospace, pharmaceutical/medical devices and energy. “Smartness” will embed itself within individual products that are part of our daily lives. We will engage with smart products - learning from them, informing them, and communicating with them. Smart produc...
Why do your mobile transformations need to happen today? Mobile is the strategy that enterprise transformation centers on to drive customer engagement. In his general session at @ThingsExpo, Roger Woods, Director, Mobile Product & Strategy – Adobe Marketing Cloud, covered key IoT and mobile trends that are forcing mobile transformation, key components of a solid mobile strategy and explored how brands are effectively driving mobile change throughout the enterprise.
Smart Cities are here to stay, but for their promise to be delivered, the data they produce must not be put in new siloes. In his session at @ThingsExpo, Mathias Herberts, Co-founder and CTO of Cityzen Data, discussed the best practices that will ensure a successful smart city journey.