インソース（6200） – Insource Co., Ltd. Q1 FY21 Consolidated Financial Results

マスター タイトルの書式設定Insource Co., Ltd.Q1 FY21 Consolidated Financial Results(October 1, 2021 to December 31, 2021)Monday, January 24, 2022Copyright © Insource Co., Ltd. All rights reserved. 「insource」「Leaf」「WEBinsource」「Douga-Hyakkaten」are registered trademarks of Insource Inc.Copyright © Insource Co., Ltd. All rights reserved. 「insource」「Leaf」「WEBinsource」「Douga-Hyakkaten」are registered trademarks of Insource Inc.0Disclaimer Regarding Forward-looking Statements マスター タイトルの書式設定•This report contains estimates and targets pertaining to the future plans and business results of the Insource Group (Insource Co., Ltd. and our affiliated companies). Such statements are based on information available at the time of the report’s production and based on potential risks and uncertainties. Actual results may differ materially from estimates and targets contained herein.••••Unless otherwise noted, financial statements contained herein are presented in accordance with generally accepted accounting principles in Japan.The Group assumes no obligation to update or revise any forward-looking statements to reflect events or circumstances after the date on which the statements are made or to reflect new information, changes in our expectations or the occurrence of anticipated or unanticipated events or circumstances.Information in this report regarding companies other than the Group is quoted from public and other sources. We do not guarantee the accuracy of this information.This report does not constitute an invitation or solicitation of an offer to subscribe for or purchase any securities (herein referred to as “solicitation activities”) and neither this report nor anything contained herein shall form the basis for any contract or commitment whatsoever.Copyright © Insource Co., Ltd. All rights reserved. 「insource」「Leaf」「WEBinsource」「Douga-Hyakkaten」are registered trademarks of Insource Inc.1Contentsマスター タイトルの書式設定Chap. 01Q1 FY21 Consolidated Financial ResultsChap. 02Q1 FY21 Details by Business Company Profile & Insource’s Advantages ESG Strategies and Topics Three-year Business Plan “Road to Next 2024”Copyright © Insource Co., Ltd. All rights reserved. 「insource」「Leaf」「WEBinsource」「Douga-Hyakkaten」are registered trademarks of Insource Inc.2Summaryマスター タイトルの書式設定Q1 FY21 (Oct.2021-Dec.2021) Financial results overview • Sales increased in all businesses, with quarterly sales and operating profit reaching record highs. On-Site trainings, mainly online for major private companies, increased.• Net sales was 2,192 million yen (+20.8% YoY), operating profit was 755 million yen (+20.0 YoY), and operating profit margin was 35.4% (FY21 target ratio +6.2pt, -0.2pt YoY).Q1 FY21 (Oct.2021-Dec.2021) Description by Business• On-Site Training (Net sales:1,248 million yen, +17.1 YoY, progression rate 28.4%)Online training for private companies increased.• Open Seminars (Net sales: 507 million yen, +13.5 YoY, progression rate 23.8%)•The impact of COVID-19 pandemic remained at the beginning of the period, but number of attendees recovered from November. IT Services (Net sales: 203 million yen, +35.6 YoY, progression rate 15.9%)Annual recurring revenue (ARR) increased by 53.9% YoY to 586 million yen. Sales of customization is carried over to next quarter.• Other Businesses (Net sales: 233 million yen, +54.5 YoY, progression rate 21.4%)Web marketing business that was launched in the previous fiscal year, contributed to sales.Increased sales of high-unit-price new e-learning based on outright purchase, contributed to profits.Copyright © Insource Co., Ltd. All rights reserved. 「insource」「Leaf」「WEBinsource」「Douga-Hyakkaten」are registered trademarks of Insource Inc.3マスター タイトルの書式設定Chap. 01Q1 FY21 Consolidated Financial ResultsCopyright © Insource Co., Ltd. All rights reserved. 「insource」「Leaf」「WEBinsource」「Douga-Hyakkaten」are registered trademarks of Insource Inc.4Consolidated Profit & Loss Statement ① Overviewマスター タイトルの書式設定Net sales(YoY)Gross profit(YoY)(Gross profit margin)Operating profit(YoY)(Operating profitmargin)Ordinary profit(YoY)(Ordinary profit margin)Net Profit(YoY)(Net profit margin)Q1FY19(Actual)Q1FY20(Actual)Q1FY21(Actual)YoYFY21 (Forecast)Progression rate1,625(+330)1,814(+189)1,161(+266)(71.5%)1,390(+228)(76.6%)2,192(+378)1,678(+288)(76.6%)+20.8%+20.7%Unit: million yen24.6%24.8%414(+99)(25.5%)415(+100)(25.5%)276(+68)(17.0%)646(+232)(35.6%)659(+244)(36.4%)452(+176)(24.9%)775(+128)(35.4%)765(+106)(34.9%)522(+70)(23.8%)+20.0%29.8%+16.1%29.5%+15.5%29.5%Copyright © Insource Co., Ltd. All rights reserved. 「insource」「Leaf」「WEBinsource」「Douga-Hyakkaten」are registered trademarks of Insource Inc.58,900（+1,398）6,780（+1,058）(76.2%)2,600（+195）(29.2%)2,600（+183）(29.2%)1,770（+198）(19.9%)Consolidated Profit & Loss Statement ② By Businessマスター タイトルの書式設定Unit: million yenYoYProgression rateQ1FY20(Actual)1,066(+59)Q1FY21(Actual)1,248(+182)+17.1％Gross profit822990+20.5％(Gross profit margin)(77.1％)(79.3％)On-Site TrainingComposition ratioQ1 FY21: 57.0%(FY20: 50.6%)Open SeminarsComposition ratio Q1 FY21: 23.1%(FY20: 24.4%)IT ServicesComposition ratio Q1 FY21: 9.3%(FY20: 13.6%)Other BusinessesComposition ratio Q1 FY21: 10.6%(FY20: 11.4%)Net Sales(YoY)Net Sales(YoY)Gross Profit(Gross profit margin)Net Sales(YoY)Gross ProfitNet Sales(YoY)Gross Profit(Gross profit margin)(76.1％)(77.3％)447(+27)339150(+43)110150(+58)118507(+60)+13.5％391+15.3％203(+53)147233(+82)+35.6％+33.8％+54.5％149+25.8％(78.6％)(64.0％)(Gross profit margin)(73.3％)(72.3％)FY21(Target)4,400（+602）3,410（+446）(77.5％)2,130（+302）1,580（+207）(74.2％)1,280（+257）1,020(79.7％)1,090（+236）770(70.6％)28.4％29.1％23.8％24.8％15.9％14.4％21.4％19.4％※ Our gross profits by business were not audited by Ernst & Young ShinNihon LLC.Copyright © Insource Co., Ltd. All rights reserved. 「insource」「Leaf」「WEBinsource」「Douga-Hyakkaten」are registered trademarks of Insource Inc.6Consolidated Profit & Loss Statement ③ Breakdown of SG&A expensesマスター タイトルの書式設定■Personal expenses increased by 133 million yen (+22.2% YoY) due to enhancing recruitment from FY20 and RS implementation.■Office-related expenses temporarily increased by 2million yen (+5.5% YOY) as depreciation increased by 5 million yen because of the accelerated depreciation associated with the consolidation of offices, although the land rent decreased due to the acquisition of the company-owned building.Breakdown of SG&AQ1 FY19(Actual)Q1FY20(Actual)Change YoYPersonal expenses※1563599+133 +22.2%Q1 FY21(Actual)73229443095+29-+2+5.5%+3 +14.7%+19 +26.2%Unit: million yenFY21(Forecast)3,330（+715）120（+60）150（▲47）210（+62）490（+135）4,180（+863）(47.0％)Of which, RS※2Office-related expenses ※3Office &communicationexpensesOthers04449890422675Total SG&A747744903+159 +21.4%(SG&A ratio)(46.0%)(41.0%)(41.2%)(+0.2pt)-※1 Personnel expenses include wages, recruitment, training, and benefit expenses, outsourcing expenses.※2 Restricted stock.※3 Office-related expenses include land rent, fixed asset tax of the company’s buildings (Dokanyama and Bunkyo), real estate acquisition tax, and depreciation of property, plant and equipment.Copyright © Insource Co., Ltd. All rights reserved. 「insource」「Leaf」「WEBinsource」「Douga-Hyakkaten」are registered trademarks of Insource Inc.7Number of Employeesマスター タイトルの書式設定■A total of 8 mid-career employees are to join during Q2 and 23 employees (22 new graduates and 1 mid-career employee) in April. We are actively recruiting to increase the number of employees by 70 for FY21.■We seed investment in promising employees who have been with the company for less than one year after graduation and those who have been with the company for less than six months.In particular, new graduates are being trained as new core personnel with both DX and sales skills.FY19(Actual)FY20(Actual)Q1 FY21(Actual)(vs end of FY20)Progression rate against FY21 targetEnd of FY21(Target)(YoY)Total number of employees470527525（-2）0%Promising employees※62856969.0%597（+70）100（+15）Change of number of employees■Full-timers■Promising employees470624085278544252569456597100497※Promising employees(Seed investment in human capital) refers to personnel who have joined the company within one year after graduation and within six months after mid-career hiring.FY20 (Actual)FY21 (Target)Copyright © Insource Co., Ltd. All rights reserved. 「insource」「Leaf」「WEBinsource」「Douga-Hyakkaten」are registered trademarks of Insource Inc.Q1 FY21 (Actual)FY19 (Actual)8Consolidated Balance Sheetsマスター タイトルの書式設定■Decrease in cash and deposits, current liabilities, and net assets due to payment of dividends and corporate taxes.End of FY19(Actual)End of FY20(Actual)End of Q1 FY21(Actual)End of FY20 vs.Q1 FY21 Change Change rateUnit: million yenCurrent assets3,0253,759Of which, cash and deposits 2,2191,319Fixed assetsTotal assetsCurrent liabilitiesOut of which,Advances received ※Fixed liabilities4,3441,379595812,6243,0076,7662,20259963Net assetsTotal liabilitiesAnd net assets2,8834,5004,3446,7663,4832,3082,9776,4602,034569574,3686,460▲276▲7.4％▲315 ▲12.0％▲29▲1.0％▲305▲168▲29▲6▲4.5％▲7.6％▲4.9％▲9.5％▲131▲2.9％▲305▲4.5％※Advances received are the unused amount of the “HRD Smart Pack”(our unique point service) that can be used for services such as Open Seminars and e-Learning/VideosCopyright © Insource Co., Ltd. All rights reserved. 「insource」「Leaf」「WEBinsource」「Douga-Hyakkaten」are registered trademarks of Insource Inc.9FY21 KPIs マスター タイトルの書式設定■The number of online booths is excluded from the KPIs for FY21, as the target was achieved in FY20.■Due to strong sales of new e-learning and video content, the KPI target for the current fiscal year has been revised to 210 new contents (+110 than the initial target).No. of new contracts of WEBinsource (organizations)(Cumulative no.)No. of new contentsfor On-Site training(Cumulative no.)No. of new contents for Open Seminar(Cumulative no.)No. of new contents for e-Learning/ video ※1(Cumulative no.)No. of core solution plans※2(Cumulative no.)No. of web-sessions(Unit: thou. times)FY19(Actual)FY20(Actual)Q1 FY21(Actual)FY21 cumulative total（Progression rate）FY21（Target）2,157（13,492）2,306（15,798）673（16,471）319（3,140）270（2,859）86（86）171321（3,461）437（3,296）248（334）60（231）81（3,542）116（3,412）48（382）8（239）1,8352,010447673（Progression rate：28.0%）81（Progression rate：27.0%）116（Progression rate：38.7%）48（Progression rate：22.9%）8（Progression rate：22.9%）447（Progression rate：20.7%）2,400（18,198）300（3,761）300（3,596）35（266）2,150Revised+110210（544）※1 The number of new contents for e-learning and video are those developed by the Company only (excluding partners).※2 Core solution plan: A packaged plan that combines multiple services to solve various issues of each organization (formerly known as a package plan)Copyright © Insource Co., Ltd. All rights reserved. 「insource」「Leaf」「WEBinsource」「Douga-Hyakkaten」are registered trademarks of Insource Inc.10マスター タイトルの書式設定Chap. 02Q1 FY21 Details by BusinessCopyright © Insource Co., Ltd. All rights reserved. 「insource」「Leaf」「WEBinsource」「Douga-Hyakkaten」are registered trademarks of Insource Inc.11Consolidated Profit & Loss Statement Overviewマスター タイトルの書式設定■Net sales increased in all businesses, with quarterly sales and operating profit hitting record highs.■Net sales was 2,192 million yen (+20.8% YoY), operating profit was 755 million yen (+20.0 % YoY), Unit: million yenand operating profit margin was 35.4% (FY21 target ratio +6.2pt, -0.2pt YoY).Q2(Actual)Q4Q1 FY20(Actual)(Actual)1,814 1,859 1,870 1,956 2,192 +378 +20.8%Q3(Actual) Q1 FY21(Actual)Change(YoY)(+443)(+45)(+10)(+86)(+235)1,390 1,435 1,414 1,481 1,678 +288 +20.7%(+364)(+44)(▲21)(+67)(+197)(Gross profit margin)(76.6%)(77.2%)(75.6%)(75.7%)(76.6%)646(+296)610(▲35)474(▲135)672775 +128 +20.0%(+197)(+103)(35.6%)(32.8%)(25.4%)(34.4%)(35.4%)659(+295)452(+268)614(▲45)370(▲81)477(▲136)325(▲44)(+187)(+100)422(+96)522(+100)665765 +106 +16.1%+70 +15.5%Copyright © Insource Co., Ltd. All rights reserved. 「insource」「Leaf」「WEBinsource」「Douga-Hyakkaten」are registered trademarks of Insource Inc.12Net Sales(QoQ)Gross Profit(QoQ)Operatingprofit(QoQ)(Operating profit margin)Ordinaryprofit(QoQ)Net profit(QoQ)On-Site Training Businessマスター タイトルの書式設定■The number of trainings conducted and online trainings reached a record high. Sales by client segment ※ : Large Enterprise+15.7% YoY (companies with 1,000 or more employees), Mid-Business +37.6% (companies with 500-999 employees), SMB +20.1% (companies with 499 or fewer employees).Unit: million yenQ1 FY20(Actual)Q2(Actual)Q3(Actual) Q4(Actual)Q1 FY21(Actual)Change YoYNet Sales(QoQ)1,066(+323)772 1,018(▲293)(+245)940 1,248 +182 +17.1%(▲77)(+308)Gross profit(QoQ)(Gross profit margin)822(+253)(77.1%)608(▲213)(78.7%)798(+190)(78.4%)734(▲63)(78.1%)990 +168 +20.5%(+255)(79.3%)(+2.2pt)Number of trainings conducted(times)4,275 2,613 3,811 3,525 4,807 +532 +12.4%(QoQ)(+1,348)(▲1,662)(+1,198)(▲286)(+1,282)Among above, number of online training (composition ratio)Average unit price(unit:thou.yen)(QoQ)1,605 1,590 1,757 2,036 2,321 +716 +44.6%(37.5%)(60.8%)(46.1%)(57.8%)(48.3%)249.2 295.6 267.1 266.8 259.8 +10.5+4.2%(▲4.6)(+46.4)(▲28.4)(▲0.3)(▲7.1)※ Sales activities tailored to characteristics of each customer segment have been promoted from FY21, (see Three-year business plan “Road to Next 2024”p43)Copyright © Insource Co., Ltd. All rights reserved. 「insource」「Leaf」「WEBinsource」「Douga-Hyakkaten」are registered trademarks of Insource Inc.13Open Seminars Businessマスター タイトルの書式設定■While the COVID-19 impact remained in October, the number of attendees began to recover from November as the number of new infections decreased. Sales by client segment※: Large Enterprise – 2.6% YoY, Mid-Business +16.6% YoY, SMB +19.6% YoYQ1 FY20(Actual)447(+145)339(+140)(76.1%)Q2(Actual)403(▲43)302(▲37)(75.0%)Q3(Actual) Q4(Actual)Q1 FY21(Actual)512(+109)385(+83)(75.2%)464(▲48)345(▲40)(74.3%)507(+42)391(+46)(77.3%)Unit: million yenChange YoY+60 +13.5%+51 +15.3%22,111 18,450 22,041 21,846 24,440 +2,329 +10.5%(+8,914)(▲3,661)(+3,591)(▲195)(+2,594)14,400 14,951 16,798 18,870 21,121 +6,721+46.7%(65.1%)(81.0%)(76.2%)(86.4%)(86.4%)13.3(+4.0)20.2(▲2.6)14.0(+0.7)21.8(+1.6)13.4(▲0.7)23.2(+1.4)12.2(▲1.1)21.2(▲1.9)12.8 ▲0.5 ▲4.8%(+0.5)20.7(▲0.5)+2.6%+0.5Net Sales(QoQ)Gross profit(QoQ)(Gross profit margin)Number of attendees(QoQ)Among above, number of online training(composition ratio)Number of attendees per seminar(QoQ)Average unit price per seminar(unit:thou.yen)(QoQ)※ Sales activities tailored to characteristics of each customer segment have been promoted from FY21, (see Three-year business plan “Road to Next 2024”p43)Copyright © Insource Co., Ltd. All rights reserved. 「insource」「Leaf」「WEBinsource」「Douga-Hyakkaten」are registered trademarks of Insource Inc.14IT Servicesマスター タイトルの書式設定■The number of paid organizations increased to 432 and the number of users to 1.84 million, and Leaf monthly subscription fees (MRR*1) was 48million yen (+5million yen compared to the end of FY20) as of December,2021.Annual recurring revenue (ARR*2) increased to 586 million yen(+53.9 YoY) and sales of Leaf customization are expected to be concentrated in Q2 due to a delay in the timing.Q3Q2Q1 FY20(Actual)(Actual)(Actual)150 399 172（▲226）（+249）（▲72）Q4(Actual)301（+128）Q1 FY21(Actual)203（▲97）Unit: million yenChange YoY+53 +35.6%Net Sales(QoQ)＜Breakdown＞Leaf Monthly Subscription(QoQ)Sales per month*3Average unit price/Organization(unit: thou. yen)Leaf CustomizationStress Check Support Service Gross Profit *4(QoQ)(Gross profit margin)93（+18）31102（+9）34111（+8）38128（+17）43140（+12）48+46+50.2%+17+53.9%111.3 104.7 102.0104.6113.1+1.8+1.6%3917193102591110 326 106（▲220）（+216）（▲73）(61.8%)(81.9%)(73.3%)15318246（+140）(81.9%)3131147（▲99）(72.3%)▲7 ▲19.0%+13+78.7%+37 +33.8%(▲0.9pt)※1 MRR： Monthly Recurring Revenue ※2 ARR：Annual Recurring Revenue. Calculated by multiplying the MRR of the last month of each term by 12.※3 Monthly usage fees (Recurring Revenue) for the last month of each quarter. ※4 Our gross profit margins by business were not audited by Ernst & Young ShinNihon LLC. Copyright © Insource Co., Ltd. All rights reserved. 「insource」「Leaf」「WEBinsource」「Douga-Hyakkaten」are registered trademarks of Insource Inc.15Q1 FY20(Actual)Q2(Actual)Q3(Actual)Q4(Actual)Q1 FY21(Actual)YoYIT Services KPIsマスター タイトルの書式設定Monthly subscriptionmodelTotal number of Leaf*paid subscribers (unit: organizations)(QoQ)(Cumulative no. of each FY)Total number of organizations using on-the-web appraisal form service (unit: organizations)(QoQ)(Cumulative no. of each FY)298（+50）（50）98（+5）（5）333（+35）（85）108（+10）（15）375（+42）（127）116（+8）（23）Total number of organizations which ordered customizations for Leaf(QoQ)(Cumulative no. of each FY)Total number of organizations implementing Stress Check Support Service (QoQ)(Cumulative no. of each FY)18（▲25）（18）56（+15）(56)50(+32)（68）231(+175)(287)19(▲31)（87）13(▲218)（300）412（+37）（164）128（+12）（35）58(+39)（145）43(+31)（343）432（+20）（20）134（+6）（6）17(▲41)（17）101(+58)（101）+134 +45.0%+36 +36.7%▲1 ▲5.6%+45 +80.4%Case-by-case basis modelQ1 FY20(Actual)Q2(Actual)Q3(Actual)Q4(Actual)Q1 FY21(Actual)YoY*Leaf: LMS(Learning Management System), a system required for e-learning activities.Copyright © Insource Co., Ltd. All rights reserved. 「insource」「Leaf」「WEBinsource」「Douga-Hyakkaten」are registered trademarks of Insource Inc.16IT Services’ new product “Leaf Lightning”マスター タイトルの書式設定■“Leaf Lightning”Comparison ItemTargetSmall-Medium size business Large EnterpriseLeaf LightningLeafConceptReady-to-use all-in-one LMSFirst year cost of implementation300employeesYearly amount： 1,188,000 yen（330 yen/month,person）1,000 employeesYearly amount： 3,960,000 yen（330 yen/month,person）Basic FunctionFeatures・E-learning streaming and management functions+multi-device support (smartphone compatibility)+combining contents、order setting function+viewing approval function+test creation function+multi-language supportInitially equipped with high performance functions for thorough e-learning education!・Can be installed in as quickly as 3 days・Pricing that is easy to implement for growing and mid-sized companies・Released in October,2021HR support system and LMS with more than 30 options that can be addedYearly amount： 2,410,000 yen（670yen/month,person）※With multi-device support (optional) installedYearly amount： 2,980,000 yen（248yen/month,person）※With multi-device support (optional) installed・E-learning streaming and management functions・evaluation function・stress check+flexible customization※More than 30 additional options・Additional functions can be added to meet all the needs of large companies.・Pricing that is easy to implement for large companies・No. of paid subscribers:432 organizations, mainly large companies as of December,2021.Copyright © Insource Co., Ltd. All rights reserved. 「insource」「Leaf」「WEBinsource」「Douga-Hyakkaten」are registered trademarks of Insource Inc.17Other Businessesマスター タイトルの書式設定■Web marketing business that was launched in the previous fiscal year, contributed to sales.Increased sales of high-unit-price new e-learning based on outright purchase, contributed to profits.Q1 FY20(Actual)Q2(Actual)Q3(Actual)Q4(Actual)Q1 FY21(Actual)150 284 167 250（+83）（+47）（▲117）（+133）Unit: million yenYoY+82 +54.5%98194109115+10+10.6%（+17）（+96）（▲85）（+6）233（▲17）108（▲6）3876467957+36 +174.5%（+17）（+38）（▲30）（+33）（▲21）——40（+40）118 198 123 154（+31）（+43）(78.6%)(61.9%)（+79）(69.5%)（▲74）(73.9%)54（+13）149（▲5）(64.0%)-+54(▲14.6pt)+30 +25.8%–18※1 Our gross profit margins by business were not audited by Ernst & Young ShinNihon LLC. ※2 The calculation method for sales of e-learning, video production, consulting, and seminar supporting business has been changed from the Q4 FY19.Copyright © Insource Co., Ltd. All rights reserved. 「insource」「Leaf」「WEBinsource」「Douga-Hyakkaten」are registered trademarks of Insource Inc.Net Sales(QoQ)＜Breakdown＞e-Learning/Video Production(QoQ)Consulting/Onlineseminar support service/Assessment service(QoQ)(QoQ)Web marketingGross Profit※1(QoQ)(Gross profit margin)Other Businesses KPIs マスター タイトルの書式設定■Sales of the latest contents such as SDGs and DX were strong. In particular, the service that can be used easily by one person has been highly evaluated and the number of rental users has expanded significantly.Q1 FY20(Actual)Q4(Actual)Q3(Actual)Q2(Actual)Sales unit: million yenQ1 FY21(Actual)YoY＜e-learning/Videos＞Outright purchaseRentalNet Sales4060495853+13+33.5%No. of videos285430419288271 ▲14 ▲4.9%Net Sales12236+5 +444.5%No. of viewers1,090 1,878 1,735 1,507 4,138 +3,048 +279.6%Monthly Subscription(STUDIO)Video Production SolutionConsulting/Assessment serviceOnline seminarsupport serviceNet SalesIDsNet SalesContentsNet SalesNo. organizationsNet SalesNo. of organization22423441362722738447737388338674851103521552436405412233471454843583631762668+21+95.2%+34+36.7%5 ▲29 ▲85.0%▲5 ▲12.2%▲5 ▲13.7%+49 +181.5%+24 +1222%+41 +151.9%Copyright © Insource Co., Ltd. All rights reserved. 「insource」「Leaf」「WEBinsource」「Douga-Hyakkaten」are registered trademarks of Insource Inc.19New contents and servicesマスター タイトルの書式設定■Trainings ‐Developed to meet the needs of each segmentFor Large Enterprise ・DX promotion and business improvement: 9 contents developedData Scientist Course for SEs Launched・Woman’s activities promotion, Career design, diversity :6 contents developedContinuing popularity as companies promote ESG and diversify work stylesFor Small, Growing CompaniesTurnover prevention and support solutions Released Jan. 4, 2022Developed a training plan for each level based on issues related to employee turnover and retention.■E-learning/videos ‐Developed based on the latest trends ・Introduction of SDGs, psychological safety, “ikubos”, business and human rights, basic understanding of DX, etc.■New Service ・“Value Pack” (Open Seminars) Released Jan. 5, 2022Developed a plan that allows growing and medium-sized companies to introduce a variety of services at low prices, mainly Open Seminars,from 48,000 yen per month.Copyright © Insource Co., Ltd. All rights reserved. 「insource」「Leaf」「WEBinsource」「Douga-Hyakkaten」are registered trademarks of Insource Inc.20マスター タイトルの書式設定 Company Profile & Insource’s AdvantagesCopyright © Insource Co., Ltd. All rights reserved. 「insource」「Leaf」「WEBinsource」「Douga-Hyakkaten」are registered trademarks of Insource Inc.21Company Profileマスター タイトルの書式設定・Company nameInsource Co., Ltd.・Capital800,623 thousand yen・Company Development・Representative DirectorNov. 2002 FoundedJul. 2016 Listed on TSE MothersJul. 2017 Listed on TSE First Section・Tokyo HeadquartersInsource Dokanyama Bldg. 4-19-12 Nishi Nippori, Arakawa-ku, TokyoRepresentative Director, President and CEO Takayuki FunahashiJoined Sanwa Bank (now Mitsubishi UFJ Bank) in 1988. Was in charge of the systems development department (management accounting, sales, marketing) and the personal finance department (new product development). After working in the distribution industry, established Insource Inc. and became its representative director.■Business Locations: 24※As of the end of Dec., 2021※Branches with Seminar Rooms.Hokkaido Branch ※Niigata OfficeUtsunomiya Office■Affiliated CompaniesMitemo Co., Ltd・e-Learning, Platform business・Production of Training Materials・Workshops/ Consulting・Regional Revitalization BusinessRashiku Corporation・Recruitment Support Business・Support Service for Career ChangeUrawa OfficeKyoto OfficeOsaka Branch※Kobe OfficeKyushu Branch※Chu-Shikoku Branch※Okayama OfficeMIRAISOUZOU & COMPANY, Inc.・On-Site Training BusinessInsource Digital Academy Corporation・Training Business of HR with Digital Skills(AI/ Support for Machine Learning Applications, Support for Utilizing RPA, Improving OA/IT Skills and Business Skills)Insource Marketing Design Corporation・Website Promotion, Homepage Creation, System DevelopmentNagoya Branch ※Shizuoka OfficeYokohamaBranch※Seminar Rooms: 29 Classrooms in 8 CitiesOnline Training Booths: 98 BoothsCopyright © Insource Co., Ltd. All rights reserved. 「insource」「Leaf」「WEBinsource」「Douga-Hyakkaten」are registered trademarks of Insource Inc.22Tohoku Branch※Tsuchiura OfficeMakuhari Office・Tokyo Headquarter・Surugadai Office・Shibuya Office・Hamamatsucho Office・Machida Office・IT Media Lab・Nihonbashi Office・Omori StudioBusiness of the Insource Groupマスター タイトルの書式設定■ High quality trainings make it possible to practice what you learned the next day.■ Digitalization of the training management allows us to provide more trainings with better contents.■ High level of customer satisfaction with:On-Site TrainingOffer On-Site Trainings tailored to organizations’ needs(Q1 Sales ratio: 57.0% ,FY20: 50.6%)Division of work of trainers and content-creators by ITClientsMeet clients` needs promptly.Develop over 300 contents a yearTrainersSalesrepsContent creators 333179166*As of the end of Dec., 2021Contents 95.8%／Trainers93.4%*As of the end of December, 2021Open Seminars(Q1 Sales ratio: 23.1%,FY20: 24.4%)Offer Open Seminars that from one person can attendSeminars are held online frequently and nationwide・Held both at venues (in 8 cities in the country) and online86,777 attendees annually year (No. of online attendees in Q1: 86%) ・More than 3,000 types of courses, including those offered by business partners, and new courses are introduced in a timely manner・Up to 50% discount with “HRD Smart Pack”(our unique point service)・Used by both startups and large companies nationwideAnnual total number of trainings conducted/attendees14,756times505 thou. attendeesOut of the total number of trainings conducted online:7,704times236 thou. attendeesAnnual total number of trainings conducted/ No. of attendees6,650times86 thou. peopleOf which, the total number of trainings conducted online:*Jan, 2021-Dec., 20214,392times71 thou. people*Jan., 2021 – Dec., 2021IT Services(Q1 Sales ratio: 9.3%,FY20: 13.6%)Other Businesses(Q1 Sales ratio: 10.6%,FY20: 11.4%)■ Leaf (HR support system, LMS) ■ Stress Check Support Service※LMS(Learning Management System): The system required for managing e-Learning* Figures in parentheses indicate percentage of Q1 FY21,FY20 sales ratio■e-Learning / Video production ■Marketing support/web promotion ■Consulting, Assessment Services Copyright © Insource Co., Ltd. All rights reserved. 「insource」「Leaf」「WEBinsource」「Douga-Hyakkaten」are registered trademarks of Insource Inc.23Stakeholders of Insourceマスター タイトルの書式設定■Comparison between when listed on Mothers market (2016) and todayNo. of Trainers 333200×1.6333End of Sep., 2016End of Dec., 2021In cooperationNo. of Clients 37,048 organizations*No. of clients who used our service from Jun., 2003to Dec, 2021No. of Employees 525Diverse in-house specialists279x1.8525End of Sep., 2016End of Dec., 2021Products/ServicesEnd of Sep. 2016End of Dec. 2021Sales RepresentativesContent CreatorsIT EngineersDesignersDigital MarketersAI/RPA Engineers83883419－－179166114203018FundsReturnsNo. of Shareholders4,8722,354×2.04,872End of Sep., 2016End of Sep., 202117,157x２37,048End of Sep., 2016End of Dec., 2021Sales composition of all business by size* On-Site Training, Open Seminars, IT Services, Other BusinessesLarge Enterprise(1,000 or more employees)Medium Business(300-999)SMB (Small Medium Business) (less than 300)FY15FY20Q1 FY2123.5%23.0%30.7%14.0%13.6%14.8%62.5%63.4%54.6%No. of Shares HeldEnd of Sep., 2016End of Sep., 2021Overseas InvestorsDomestic InvestorsDomestic CorporationsIndividual/Others4.7%9.4%43.0%42.9%22.6%22.6%35.5%19.3%Copyright © Insource Co., Ltd. All rights reserved. 「insource」「Leaf」「WEBinsource」「Douga-Hyakkaten」are registered trademarks of Insource Inc.24Composition ratioマスター タイトルの書式設定■ Customers composition ratio by industryThe total number of customers who used our services from Jan., 2021 to Dec., 202111,420organizationsThe total number of customers who used our services from Jun., 2003 to Dec., 202137,048organizations■Transportation/Warehouse 2.9%■Educational Services/Academic institutions■Health/ Medical5.7%6.0%■Logistics/ Trading6.8%■Finance 2.9%■Electricity, water and gas 1.4%■Others 5.3%■Manufacturing21.3%14.3%■Construction/Real estate■Telecommunications/IT Services8.3%12.2%12.8%■Services■Government/Public administrations■ Sales composition ratio by quarter■Q1 ■Q2■Q3■Q4FY21 Progression rateFY20 Compostion ratioFY19 Composition ratio24.6%2,19224.2%1,81431.7%1,625Unit: million yen% represents composition ratio & progression rate24.8%1,85925.0%1,28024.9%1,87016.5%84326.1%1,95626.8%1,3708,900（Forecast）7,5015,119Copyright © Insource Co., Ltd. All rights reserved. 「insource」「Leaf」「WEBinsource」「Douga-Hyakkaten」are registered trademarks of Insource Inc.25Advantages of Insourceマスター タイトルの書式設定Insource always keep evolving based on three strengths.Three strengthsBusiness prospectsValue providedMarket’s needsCustomer’s problems1. Career development trainingFull solutionBest Measures and lowest costQuality improvementStandardized know-how2. IT serviceCapability ofcontents development Self-develop contents (training, web service)Three StrengthsIT Abilityto enables us to develop original systemSales force to acquire new 2,000 organizations ※annually3. Web marketing4. Global expansionTo make a society that all people can enjoy working and feel fulfilled.※ No. of new contracts of WEBinsourceCopyright © Insource Co., Ltd. All rights reserved. 「insource」「Leaf」「WEBinsource」「Douga-Hyakkaten」are registered trademarks of Insource Inc.26① High Ability to develop various contents マスター タイトルの書式設定■Division of work by IT application■ A great selection of training contents■ Division of work in training business-Makes it possible to reduce cost and improve quality.166 Content creators MeetingCreating textbooksStandardization of work by IT114 IT engineers 179 Sales reps.333 TrainersHearingConducting trainingClientEnd of Dec, 2021An in-house agile team of 166 creators and 114 IT engineers develop various up-to-date contents in responsive to social changes and needs.■ No. of training classified by business typesOn-Site trainings3,842Open Seminars3,412Videos / e-Learning382End of Dec, 2021■ Classified by genreFor managers318For students and prospective employees72For medium employees81DX・AI・RPA・IT training173For young employees99New normal remote working training48For new employees177Trainings by theme, industry or sector2,572End of Sep, 2021■ Example of web service-HR evaluation sheet (from excel format to online)-Assessment service (On-line assessment test)- Web promotion, homepage creatingCopyright © Insource Co., Ltd. All rights reserved. 「insource」「Leaf」「WEBinsource」「Douga-Hyakkaten」are registered trademarks of Insource Inc.27② Strong sales force to expand business マスター タイトルの書式設定■Business flow of Insource -Expanding sales by using IT to utilize all data generated in the sales processSend e-newsletter/fax to organizations nationwideDigital marketers: 30Send 10 million emails a yearReceive inquiries viaour websiteVisit customers ( including Zoom meetings)Home pages: 19,801Offices: 24 Sales rep.: 179Our serviceAcquire members of WEBinsourceRapidly upload the webStandardize work by ITOpen seminarWeb designers: 20IT engineers: 114Develop new contents(trainings, videos etc.)Contents creators: 166Generate new needsOn-site trainingIT serviceOtherBusinessesEnd of Dec, 2021⇒Approximately 20,000 web pages created by 179 sales reps. and 30 digital marketers are cooperated for efficient sales activities.Copyright © Insource Co., Ltd. All rights reserved. 「insource」「Leaf」「WEBinsource」「Douga-Hyakkaten」are registered trademarks of Insource Inc.28③ IT Capability -Self-developed Systemマスター タイトルの書式設定■We have developed our system of efficient work since foundation and some service is sold to other companies.■We sell our services on EC sites.System/Web service is also available.■In-house system developmentCreate a database of all kinds of information to standardize operations.■Sold via EC sites including WEBinsource(membership site) and Video department Customer Info.(negotiation records)Training Info.(Date・fee)Attendee Info.(Concerns andattributes)Trainer Info.(Profiles)Content Info.(Textbook etc.)Questionnaire Info.(Trainingassessment)The system to manage customer info., training operations, and contents etc. was developed■Leaf , HR supporting system-New version, new featureEmployee training management andpersonnel evaluationVideo contentsUnlimited streamingPersonnel evaluationStress checkNEW！Multilingual subtitles for videosNEW！Leaf EnglishLeaf Lightning for Small and Medium Enterprises・Ideal for first-time users of organization.・Can be installed in as little as 3 days.Copyright © Insource Co., Ltd. All rights reserved. 「insource」「Leaf」「WEBinsource」「Douga-Hyakkaten」are registered trademarks of Insource Inc.29③ IT Ability -Develop IT Human Resourcesマスター タイトルの書式設定■Implemented IT HR development project for all employees from FY18.-Develop in-house digital HR according to job position, department, and work content.LevelObjectsNo. of employees/totalCommonLevel 0Understand the meaning and content of DX, andbe able to think about IT and data utilization.All employees (selected ones)Level 0-2Able to digitalize their own work (at least improve efficiency)Managerial position/leaders of all departmentsLevel 1Digitalize their own department work ( define system requirements and create prototypes (screen transition diagrams and forms))Contents creators/Digital marketers/DesignersLevel 2Able to develop simple system of their own department referred to the databaseNew employees joined in 2021Employees of Insource Digital Academy CorporationLevel 3Develop various system or upgrade system as aIT talentEmployees of system-related departments203946947114■New graduates joined in FY20 received 2 weeks of training in Python, selected employees are for 1 month.-Voluntarily developed a system and improved work efficiency.・Conducted DX study sessions for senior employees・Automated sales list -Developed a program to collect information from websites・Automated proposal -Developed a program to create proposals Copyright © Insource Co., Ltd. All rights reserved. 「insource」「Leaf」「WEBinsource」「Douga-Hyakkaten」are registered trademarks of Insource Inc.30Workforce Diversity -Encourage the growthマスター タイトルの書式設定■Ratio of female employees in managerial positions: 35.2%Employment rate of people with disabilities: 3.32%No. of employees*2No. of managerial positionsForeign nationals※4Content CreatorsDigital MarketersTotal５２５１５９Female employees３００57.1%５６35.2%３Seniors(aged over 60)２２ＬＧＢＴs６People with disabilitiesRatio of female employees in managerial positions:13.3% *1(Source: The Gender Equality Bureau of the Cabinet Office (2021))11Disability employment rate:3.32%*3・Legal employment rate: 2.3%・Actual employment rate: 2.20%(Source: “2021 Disability Persons’ Employment Status” released by the Ministry of Health, Labour and Welfare)Workforce by job function: Diverse specialists work at Insource１６６SalesRepresentatives １７９IT Engineers１１４３０AI /RPA Engineers１８Designers２０(As of the end of Dec, 2021)*1 Administrative and managerial workers include board members, managers or above, administrative civil servants.*2 Directors, auditors and corporate officers are excluded. *3 Non-consolidated (Insource only)*4 “Foreign nationals” refers to employees with foreign nationalities. This includes foreign nationals who have acquired Japanese citizenship. Copyright © Insource Co., Ltd. All rights reserved. 「insource」「Leaf」「WEBinsource」「Douga-Hyakkaten」are registered trademarks of Insource Inc.31マスター タイトルの書式設定 ESG Strategies and TopicsCopyright © Insource Co., Ltd. All rights reserved. 「insource」「Leaf」「WEBinsource」「Douga-Hyakkaten」are registered trademarks of Insource Inc.32ESG + P (performance) –Solving social issues through our businessマスター タイトルの書式設定■Our mission is to help working people solve social issues.■Insource’s Group policy-We will continue to improve its performance (P) while being conscious of ESGOur BusinessNew ActivitiesEnvironmentSocialInternal activitiesEstablishment of CO2 Reduction CommitteeProvide training and infrastructure for diverse people to be active (low cost, high quality)External activitiesSales promotion support for products of welfare organizationsSupport for Arakawa wardPerformanceGovernanceProviding trainings to create a fair societyInternal activitiesIncreased number of outside directors and corporate auditorsEstablished voluntary Nomination and Compensation Committee■Received the second highest rating of AA in MSCI Rating・As of June, 2021, only 14 Japanese companies have received the highest AAA of MSCI ESG Ratings, and Insource has received the second highest rating of AA. ・The recognition represents that our training business, strong security measures and internal education to improve productivity were especially highly evaluated.*THE USE BY INSOURCE CO., LTD. OF ANY MSCI ESG RESEARCH LLC OR ITS AFFILIATES (“MSCI”) DATA, AND THE USE OF MSCI LOGOS, TRADEMARKS, SERVICE MARKS OR INDEX NAMES HEREIN, DO NOT CONSTITUTE A SPONSORSHIP, ENDORSEMENT,RECOMMENDATION, OR PROMOTION OF INSOURCE BY MSCI. MSCI SERVICES AND DATA ARE THE PROPERTY OF MSCI OR ITS INFORMATION PROVIDERS, AND ARE PROVIDED ‘AS-IS’ AND WITHOUT WARRANTY. MSCI NAMES AND LOGOS ARE TRADEMARKS OR SERVICE MARKS OF MSCI.Copyright © Insource Co., Ltd. All rights reserved. 「insource」「Leaf」「WEBinsource」「Douga-Hyakkaten」are registered trademarks of Insource Inc.33ESG Topics -In-house environmental activities マスター タイトルの書式設定EnvironmentCO2 reduction committeeRepresentative Director,President andChief Executive Officer■Established CO2 reduction committee, set targets and take effective measures (electricity saving, paper reduction)Director, Managing Executive OfficerCEO OfficeCO2 reduction committeeGroup HR/General AffairsCO2 reduction plan1. CO2 reduction methods2.3. Create new contentsIn-house thorough implementation Sales OfficesContents DevelopmentDepartmentProvide information and training to customers, and create a comfortable working environmentCreate content related to CO2 reduction or efficiency improvementSales Promotion DepartmentPlan web contents,Spread information about the in-house activities and trainingsLong-term TargetCO2 emissions from electricity use 50%reduceReference year: FY19CO2 emissions From paper use50%reduceReference year: FY19If no action is takenIf no action is takenActual No.Actual No.■Planning to digitalize some training textbooks to realize paperlessCopyright © Insource Co., Ltd. All rights reserved. 「insource」「Leaf」「WEBinsource」「Douga-Hyakkaten」are registered trademarks of Insource Inc.34ESG Topics -Support for local communities (welfare organizations)マスター タイトルの書式設定Social■Opened a new site, “mon champ”, to sell products from welfare organizations (October,2021)・Supporting the employment of people with disabilities through our web sales capabilities■Started selling products of two new organizations and accepting credit card payments(December,2021)Copyright © Insource Co., Ltd. All rights reserved. 「insource」「Leaf」「WEBinsource」「Douga-Hyakkaten」are registered trademarks of Insource Inc.35ESG Topics -Support for local communities (Arakawa Ward)マスター タイトルの書式設定■Concluded a comprehensive agreement with Arakawaward to support the independence of single-parent families and the social advancement of women.Cooperation matters(1) Support the employment for single-parent families(2) Support the livelihood of single-parent families(3) Support women’s advancement in societyFuture Activities(1) Support for self-reliance of single-parent families through our training business(2) Support through donations, provision of food, etc.(3) Support for women in poverty through provision of goods and sustainable solutions. ■Activities as of January,20221. Employment support for single-parent families – Providing of our educational servicesTarget: People who are considering changing their career to an office jobThemes: How to use a PC, business manners, etc.Period: Held from December,20212. Support for Period povertyWe offer sanitary products for those who cannot use them dueto economic circumstances or lack of social understanding of periodPhoto caption (left to right): Takayuki Funabashi, President and Representative Director, Insource Co., Ltd.,Yoshiaki Kitagawa, Deputy Mayor of Arakawa WardNo. of local governmental organizations implementing initiatives to address period poverty※255581From “Overview of Efforts by Local Governments to Address Menstrual Poverty (2nd Survey, as of July 20, 2021),“Cabinet Office, Gender Equality, August 3, 2021.May 19,2021July 20, 2021Copyright © Insource Co., Ltd. All rights reserved. 「insource」「Leaf」「WEBinsource」「Douga-Hyakkaten」are registered trademarks of Insource Inc.36ESG Topics –Strengthening corporate governance systemマスター タイトルの書式設定Governance■Actively disclose non-financial information on a monthly basis■Newly developed training programs■No. of On-Site training conducted■No. of Open Seminars attendees■No. of WEBinsource subscribers■No. of Leaf monthly paying subscribers (organizations)■No. of organizations implementing Stress Check Support Service■Increased one outside director and one outside corporate auditor, with the approval at the general meeting of shareholdersEstablished voluntary Nomination and Compensation Committee (December 17, 2021)Nomination and Compensation Committee4 Directors（including 3 Outside Directors）DeliberateReportBoard of Directors8 Directors（including 3 Outside Directors）AuditBoard of Corporate Auditors4 Auditors（including 3 Outside Auditors）■Transit to the new market segment, the Prime Market (April 4,2022)Copyright © Insource Co., Ltd. All rights reserved. 「insource」「Leaf」「WEBinsource」「Douga-Hyakkaten」are registered trademarks of Insource Inc.37マスター タイトルの書式設定 Three-year Business Plan “Road to Next 2024”Copyright © Insource Co., Ltd. All rights reserved. 「insource」「Leaf」「WEBinsource」「Douga-Hyakkaten」are registered trademarks of Insource Inc.38Three-year Business Plan “Road to Next 2024” –Financial Targetsマスター タイトルの書式設定■Consolidated Financial TargetsUnit: million yenFY21(Forecast)FY22(Target)FY23(Target)CAGRNet sales8,90010,80012,800+19.5%Operating profit2,6003,1303,710+15.6%Ordinary profit2,6003,1303,710+15.6%Net profit1,7702,1402,530+17.2%■How to achieve targets1. Our share of the career training market is about 2% now. We will expand our market share by increasing our sales force and continuously developing new attractive training contents.2. We will divide our customers into three segments (Large enterprise, Mid, and SMB) and build a sales structure that specializes in each customer segment. In addition, we will provide education services and IT services optimized for each segment to increase sales per customer and increase customers at the same time.3. The need for digitalization of HR routine work and web marketing is expected to continuously grow. We will develop services focused on customer convenience and expand non-educational services.Copyright © Insource Co., Ltd. All rights reserved. 「insource」「Leaf」「WEBinsource」「Douga-Hyakkaten」are registered trademarks of Insource Inc.39Three-year Business Plan “Road to Next 2024” -Changes in financial resultsマスター タイトルの書式設定32.1%Unit(million yen)29.2%29.0%29.0%12,800 10,800 15.3%7,501 8,900 16,00014,00010,0008,0006,0004,0002,0000Operating profit margin12,00023.2%Net sales5,608 5,119 Operating Profit1,303 784 2,404 2,600 3,130 3,710 32.0%28.0%24.0%20.0%16.0%12.0%8.0%4.0%0.0%FY18FY19FY20FY21(Forecast)FY22(Target)FY23(Target)Copyright © Insource Co., Ltd. All rights reserved. 「insource」「Leaf」「WEBinsource」「Douga-Hyakkaten」are registered trademarks of Insource Inc.40Shareholder Return Policyマスター タイトルの書式設定■DPR(dividend payout ratio) target of about 40% according to business performance.■Dividend for FY21 is expected to be 7.7 times that of FY15 first listed.Unit(yen)41.5337.43EPS(Earnings per share)15.3610.187DPR7.782.2FY153.6FY164.8FY1719.8610.618.0 9.2 15.5 17.0 FY18FY19FY20FY21(Forecast)(Note) The Company conducted stock splits on May 1, 2018, September 1, 2019, and January 1, 2021. The amount of the fiscal year-end dividend reflected stock split.Copyright © Insource Co., Ltd. All rights reserved. 「insource」「Leaf」「WEBinsource」「Douga-Hyakkaten」are registered trademarks of Insource Inc.41423732272217122-3Three-year Business Plan “Road to Next 2024” –Market sizeマスター タイトルの書式設定■Career training market –Still great potential for growth・Market size is 340 billion yen in 2021 and 450 billion yen in 2024※1,2・The market share of Insource is about 2%, and there is a lot of room for growth in the future.※1 Calculated based on the MHLW’s Basic Survey on HR Development (2020) and MIC’ Labor Force Survey.※2 Calculated based on the MHLW’s Basic Survey on HR Development(2009-2020), and the ratio of outsourcing companies in 2020 was 49.7%.‐Expansion is expected■HR digitalization market・Market size is 200 billion yen in 2019 and 400 billion yen in 2024. ※3Leaf’s net sales for FY20 is 1 billion yen and there is a lot of roomfor growth.・HR digitalization is less advanced compared to accounting fields. It is expected that there will be growing demand for the improvement of work efficiency from mid-sized and small companies.4002000※3 Calculated based on METI’s [2020 Basic Survey on Information and Communication Industry], May 28, 2021.■Web marketing market -Potential for new entrants・Market size is 2.4 trillion yen in 2019※4 and is to expand to 3 trillion yen in 2024・It is expected that there will be increasing needs for website or web marketing especially for mid-sized and small companies.・We will enter the market with our know-how based on the successful experience of web-marketing in our businesses.※4 Calculated based on METI’s [2020 Basic Survey on Information and Communication Industry], May 28, 2021.5004003002001000Training market size forecastUnit(billion yen)4504503913402002018201920202021(Forecast)2024（Forecast）HR digitalization market forecastDX market size 10 bill.yen400180200201820192024(Forecast)Web marketing market forecastUnit(trillion yen)32.41.9420201820192024(Forecast)Copyright © Insource Co., Ltd. All rights reserved. 「insource」「Leaf」「WEBinsource」「Douga-Hyakkaten」are registered trademarks of Insource Inc.42Three-year Business Plan “Road to Next 2024” -Strategyマスター タイトルの書式設定■Provide best service for different customer with optimal sales approachCustomer SegmentationSales strategyTrainingIT serviceLarge (5,000 or more people) HR Dept.Sales destination+Other Dept.Second-tier large(1,000-4,999 people)Medium (500-999 people)Large Enterprise52.6% ※Mid-Business13.6% ※Expand overall Sales including but not limited to HR Dept.-New trainings(DX、SDGs etc.)-Support for solving departmental issues-Compliance trainingLeaf(Multi-function, customization)Manager/Staff of HR DeptExpand each sales volume by strengthening proposals.-Comprehensive solution for company-Support for evaluation systemLeafLightning(LMS functional specialization)On-line evaluation sheet (Optional)SMB (Small Medium Business)Second-tier medium (100-499 people)33.7% ※Small (50-99 people)CEO/Manageme-nt teamExpand sales by not only training service but also business solution.-Solution for business issues, management, communication, compliance trainingLeaf Management(HR routine work of SMBs)※Sales composition ratio for FY20■Sales strategy・Build up professional sales team specialized for each customer segment and promote sales activities tailored to each segment’s characteristics.・Increase each sales volume by strengthening proposals to meet demands of each customer segment. ■Service development strategy・Strengthen services tailored to each customer segment to meet diversified training needs.・Provide large or second-tier large companies with solutions for departmental issues in addition to DX,SDGs training.managerial issues.・Promote sales to CEO/ management teams of SMBs to lessen the burden of routine HR work and solve Copyright © Insource Co., Ltd. All rights reserved. 「insource」「Leaf」「WEBinsource」「Douga-Hyakkaten」are registered trademarks of Insource Inc.43OtherbusinessSupport for video trainingSupport for marketing, recruitme-nt, DX etc.Three-year Business Plan “Road to Next 2024” -Business expansion policyマスター タイトルの書式設定■Enter Web marketing market ‐Solving customers’ problems by utilizing our own knowledgeWe have grown through our education businessNet salesUnit(million yen)7,501Our strengths1.Web marketing skills-Have our own know-how2,915FY15FY20On-Site trainingOpen SeminarsIT serviceOther businesses2.Strong sales system-Have realized sustainable growth through people and IT3.Strong customer base-Have relationships with 37,000 organizationsNeeds of customer (Especially small/medium sized companies)i Performance/Sales Improvementii Turnover prevention/RecruitmentOur next businessiii HR work reduction/efficiency improvementExpanding with Leafⅳ Solving issues of organizationsOur main businessby trainingEntering Web marketing market-Growing fields compatible with customers’ needsWeb marketing businessWe own know-how on web marketing.Market is growing.Price of service is stable.Proactive investmentSecuring employeesService developmentM&AOther BusinessesIT ServiceTraining business・On-Site training・Open SeminarsExpandingcontinuouslyCopyright © Insource Co., Ltd. All rights reserved. 「insource」「Leaf」「WEBinsource」「Douga-Hyakkaten」are registered trademarks of Insource Inc.44Expanding Web marketing business マスター タイトルの書式設定■Total support for building a company-wide sales system, mainly using WebWe will provide our know-how, as we have grown by 20% per year using web marketing, and help our customers expand their business performance by providing organizational reform and building a sales system.■Service – Web Marketing PDCA Support■Sales training and consulting – Building company-wide sales system・Sales training The key to success in web marketing is to build a company-wide sales system that includes people other than sales representatives and we will provide sales education to people such as inside-sales. ・Consulting servicesSupport for reform of company-wide sales organizational structure, sales meetings, daily management, etc.Enhance product and service pages Purchasing through web and acquire inquiriesRaising recognition with✉・fax・advertisement■Web Marketing PDCA cycle Run the PDCA cycleCreate web pages and implement SEO measures■Providing sales ASP (Remote Plants) – Automating sales activities・Automating Sales activitiesOffer Remote Plants which can automate e-mail, fax, and direct mail to customers in addition to managing customer activities such as phone calls and visits・Database ReconstructionThe key to Web marketing is the maintenance of a customer database. We will support for integrate scattered customer dataInformation that users want(1) Product/service overview, (2) Price/price list,(3) Results/case studies■Sales automation system(follow-up and purchase model)②Follow-up after recognition③Customer needs■Web Improvement Support – Sales Optimization + SEO + Internet AdvertisingRecognition rate from customer①Automatic approach・Web ImprovementSupport for improving the web from a company brochure to a web optimized for sales.・Support for attracting customers through the web (SEO/Internet advertising)Support for attracting customers by implementing low-cost SEO and optimal online advertising.※Continued follow-up leads to sales.Time45Copyright © Insource Co., Ltd. All rights reserved. 「insource」「Leaf」「WEBinsource」「Douga-Hyakkaten」are registered trademarks of Insource Inc.