FY2017 Summary

Cookpad Inc.

Contents

１．Business Overview

２．Web/APP Usage

３．Premium Service Business

４．Advertising Business

５. P/L Excluding Divested Business

６．Initiatives FY2017

2

１．Business Overview

FY2017 Highlights①

会員事業

広告事業

3

Sales

Revenue

Operating

Income

Sales revenue in FY2017 was JPY 13.4bn (JPY −3.4bn YoY)

-Premium Services business revenue was JPY 8.7bn (JPY −0.2bn YoY)The number of “Cookpad” premium members increased by 39,000 year-on-year, while sales from revenue sharing with telecommunications carriers decreased.

-Advertising business revenue was JPY 4.0bn (JPY −1.0bn YoY)Internal factors : limited advertisement space to prioritize service, changes in sales organizationExternal factors : competitive environment mainly on cooking video market,

negative impact by changes to the network advertising market

- Other Internet/Media business revenue was JPY 0.3bn (JPY −1.9bn YoY)Driven by removal of Minnano Wedding Co., Ltd. from the scope of consolidation, etc.

Operating income in FY2017 was JPY 5.3bn (JPY +0.3bn YoY)

- SG&A expenses were JPY 6.9bn (JPY −0.5bn YoY)Expenses associated with strengthening recruiting activities in Japan and overseas increased, but expenses decreased year-on-year due to a decrease in the number of consolidated subsidiaries resulting from changes in the scope of consolidation and the sale of shares.

- Other expense was JPY 0.8bn (JPY −2.7bn YoY)Other expenses decreased because the impairment loss on goodwill was JPY 0.8bn in FY2017, while JPY 3.5bn impairment loss was recognized in FY2016.

会員事業

広告事業

4

Domestic

Business

Environment

Overseas

Business

Environment

Access from PCs decreased due to changes in the algorithms applied by major search engines in February 2017, and users’ shift to mobile.The cooking video business started full-scale operation in 4Q. Aiming to increase the number of video recipes and acquire video recipe advertisement.

The changes in algorithms applied by major search engines that took place in February 2017 had an impact to overseas similar to that in Japan, and although monthly users decreased temporarily, the Indonesian-speaking communities became energized.The number of countries in which we operate increased by 10 with the release of services in Europe and Africa, and became 68.

Recruitment

We actively hired engineers and designers to accelerate service development. As a result of actively conducting recruitment activities with the objective of hiring 200 people per year, we hired approximately 70 people.Overseas, we continue to hire service development talent and increase personnel based in the UK GHQ established in 2016.

１．Business Overview

FY2017 Highlights②

Operation Results

* Due to disposition of EC segment in 3Q 2016, revenue from EC segment is excluded under IFRS 5. 5

１．Business Overview

FY2017 FY2016 vs PY

（in millions of JPY） （in millions of JPY） %,pt

Sales revenue

( Continuing operations )13,408 16,845 -20.4%

-Divesture of the business including

MINNANO WEDDING (-2.3bn yen)

-Decrease of advertising revenue(-1.0bn yen)

Operating income

( Continuing operations )5,391 5,012

＋7.5％

SG&A Expenses

-Sales of the business (-1.9bn yen)

-Increase in overseas personnel expenses (+1.4bn yen)

Other expense

-Decrease of impairment loss on goodwill (-2.7bn yen)

Operating

income margin

(Continuing operations )

40.2% 29.8% ＋10.4pt -Decrease of impairment loss on goodwill vs FY2016

Profit before tax

( Continuing operations )5,637 4,151 ＋35.8％

-Decrease of financial income (-0.5bn yen)

-Decrease of financial expense (-1.6bn yen)

Profit attributable to

shareholders of

Cookpad Inc.

( All business operations )

3,491 933 ＋274.1％-Decline of effective tax rate by decrease of impairment

loss on goodwill vs FY2016 (-2.7bn yen)

Causes

8,901 8,784

5,0894,058

296

111

130

2,227

296

220

138

16,845

13,408

0

2,000

4,000

6,000

8,000

10,000

12,000

14,000

16,000

18,000

FY2016 FY2017

Sales Revenue in comparison to the previous year

6

１．Business Overview

Others

Other IT/Media

IT/Media

Recipe Services

Others

Shop Deals Service

Advertising

Premium Service

Others

Other than as described below

Other IT/Media

Ad sales on "Cookpad" sites

"Cookpad" premium membership sales

"Cyta","Cookpad cooking school" sales

Editorial fees for “Cookpad” related publications, etc

”Tokubai Joho” chargeable service

（in millions of JPY）

3,8263,225

818

802

377

618

339431

383295

274

123

1,465

1,454

7,4856,950

0

1,000

2,000

3,000

4,000

5,000

6,000

7,000

8,000

FY2016 FY2017

(in millions of JPY)

7

１．Business Overview

SG&A Expenses in comparison to the previous year

Others

Rent

Cloud computing fee

Outsourcing expenses

Sales commisions

Personnel expenses

Salary for employees

To collect Premium membership fee through settlement platform

Outsourcing expenses and consulting expenses

System usage fees, recruiting expenses, etc.

To use cloud computing for “Cookpad” services

Office rent and Cooking studio rent

Promotion fee/ Advertising

Promotion fee, Advertising for each service

2,594

2,891

3,567

4,284 4,099 4,112 4,101

4,532

3,660 3,455

3,063 3,228

1,182 1,383

1,572

2,260 2,073 2,028 2,033

-1,122

1,972 1,730

437

1,250

45.6%47.8%

44.1%

52.8% 50.6% 49.3% 49.6%

-24.8%

53.9%

50.1%

14.3%

38.7%

-30.0%

-20.0%

-10.0%

0.0%

10.0%

20.0%

30.0%

40.0%

50.0%

60.0%

-2,000

-1,000

0

1,000

2,000

3,000

4,000

5,000

1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q＊2 1Q 2Q 3Q＊3 4Q

FY2015 FY2016 FY2017

Sales revenue Operating income Operating income margin（in millions of JPY）

*1 Due to disposition of EC segment in 3Q 2016, Revenue and Operating income and loss from EC segment is excluded under IFRS 5.*2 Recognized Impairment losses on goodwill by 3.5 billion JPY.*3 Recognized Impairment losses on goodwill by 0.8 billion JPY. 8

１．Business Overview

Financial Summary by quarter *1

0

500

1,000

1,500

2,000

2,500

1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q

FY2015 FY2016 FY2017

Others 256 254 353 387 377 341 353 393 330 342 343 437

Promotion fee/ Advertising 89 76 83 99 77 57 62 77 45 25 21 30

rent 57 58 99 100 94 93 100 95 60 67 70 96

Cloud computing fee 74 81 81 63 82 83 81 92 101 106 111 112

Outsourcing expenses 55 66 54 260 63 78 116 117 134 125 152 205

Sales commisions 164 182 188 195 202 214 214 186 204 199 202 196

Personnel expenses 630 698 914 999 942 978 963 941 701 765 785 973

　　　　Total 1,327 1,418 1,774 2,107 1,840 1,848 1,891 1,905 1,578 1,632 1,687 2,053

Consolidated employees as end of quarter 291 365 487 519 499 523 516 321 333 354 367 389

SG&A Expenses by quarter

＊ 200M JPY incurred for management change in English recipe site “ALLTHECOOKS” 9

FY2016 4Q on FY2017 4Q ＋7.8％

FY2017 3Q on FY2017 4Q ＋21.7%

１．Business Overview

（in millions of JPY）

*

*

Cash Flows（in millions of JPY）

10

１．Business Overview

FY2017 FY2016

Cash flows

from operating activities2,474 5,248

Cash flows

from investing activities1,719 -693

Cash flows

from financing activities-1,072 -1,167

Cash and cash equivalents

at end of period19,622 16,543

Profit before tax 5,637

Impairment loss ＋877

Income taxes paid -3,662

Proceeds from sales of stocks of affiliates ＋2,047

Purchase of investments in subsidiaries and

acquisition of business -757

Dividends paid -1,071

Increase from end of FY2016 +3,068

Increase or Decrease of Amount

0.00

10.00

20.00

30.00

40.00

50.00

60.00

70.00

1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q

FY2015 FY2016 FY2017

“Cookpad” Monthly Average Users by quarter in Japan*

* The number of domestic users is calculated by monthly average for each quarter visitor counted by every access from one of the devices or browsers above.

56.65

11

2. Web/APP Usage

（in millions）

Features Phone 0.75 0.70 0.62 0.63 0.75 0.66 0.47 0.49 0.31 0.23 0.20 0.19

Apps 9.14 9.21 9.18 9.31 9.69 9.49 9.19 9.86 9.40 9.01 8.56 8.70

Smartphone Browsers 28.39 29.91 29.65 32.68 35.77 36.40 36.59 39.71 39.67 37.91 35.76 36.87

PC 15.88 15.97 15.46 15.13 14.13 14.14 13.53 14.08 11.94 11.46 10.75 10.87

Total 54.17 55.81 54.93 57.75 60.36 60.70 59.81 64.16 61.34 58.62 55.28 56.65

0.00

10.00

20.00

30.00

40.00

1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q

FY2015 FY2016 FY2017

“Cookpad” Monthly Average Users in Global by quarter*1

*1 Measured by Google Analytics'.*2 Users in Taiwan, Hungary, Greece etc. 12

34.20

2. Web/APP Usage

（in millions）

Others　*2 - - - - - - - 1.08 1.36 3.75 4.89 5.80

Spansh 5.63 2.91 5.99 10.55 13.40 15.00 14.38 16.67 13.15 11.24 9.75 11.65

Bahasa Indonesian 1.42 1.91 3.35 4.40 5.94 7.70 7.87 8.07 8.45 9.93 10.18 11.37

Arabic 3.30 4.64 4.58 4.54 4.53 4.37 4.12 5.48 5.39 5.32 3.73 4.60

English 0.97 0.70 0.68 1.00 0.72 0.86 1.00 1.27 1.01 0.60 0.66 0.75

Total 11.33 10.18 14.61 20.50 24.59 27.95 27.39 32.60 29.38 30.86 29.24 34.20

“Cookpad” Daily User Trend in Japan

13

FY2015 FY2016 FY2017

2. Web/APP Usage

（in millions）

0.00

1.00

2.00

3.00

4.00

5.00

6.00

7.00

8.00

9.00

10.00

2.012.1

2.192.27

2.362.44

2.512.58

2.662.73

2.78

1.03

0.50

1.00

1.50

2.00

2.50

3.00

1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q

FY2015 FY2016 FY2017

2. Web/APP Usage

“Cookpad” Cooking Recipes（in millions） 2.83

million recipes

14

* For recipes in global, disclosure started from 3Q of FY2017.

Recipes in Japan

1.19million recipes

Recipes in global*

３. Premium Service Business

“Cookpad” Premium Service Users in Japan*

（in millions）1.959million users

15

*Only “Cookpad” premium service users at end of each quarter

1.637 1.6521.715

1.7621.821

1.8511.887

1.921.958 1.938 1.94

0.500

1.000

1.500

2.000

1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q

FY2015 FY2016 FY2017

0

500

1,000

1,500

2,000

2,500

1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q

FY2015 FY2016 FY2017

３. Premium Service Business

Premium Service Revenue by quarter

16

FY2017 3Q on FY2017 4Q - 3.5%

FY2016 4Q on FY2017 4Q - 13.8%

2,080

Premium membership sales 1,360 1,435 1,487 1,540 1,585 1,627 1,693 1,694 1,746 1,720 1,727 1,713

Revenue sharing sales 99 112 230 342 454 529 598 719 592 488 427 367

Total 1,459 1,547 1,717 1,882 2,038 2,156 2,292 2,413 2,339 2,209 2,154 2,080

（in millions of JPY）

Others 13 30 22 22 7 0.7 4 5 5 6 1 2

Network ads 429 385 355 465 545 477 378 425 484 382 355 372

Display ads 264 318 323 468 330 282 301 470 297 263 164 274

Tie-up ads 243 366 347 609 423 445 401 588 334 419 287 407

Total 950 1,100 1,048 1,565 1,306 1,206 1,085 1,490 1,121 1,071 809 1,055

0

500

1,000

1,500

2,000

1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q

FY2015 FY2016 FY2017

4. Advertising Business

Advertising Revenue by quarter

（in millions of JPY）

17

FY2017 3Q on FY2017 4Q ＋30.5%

FY2016 4Q on FY2017 4Q - 29.2%

1,055

*

* Ads for the overseas “Cookpad” sites

５. P/L Excluding Divested Business

18

Sales Revenue

8,901 8,784

5,0894,058

160

146

2,695

419

16,845

13,408

0

2,000

4,000

6,000

8,000

10,000

12,000

14,000

16,000

18,000

20,000

FY2016 FY2017

(単位：百万円)（in millions of JPY）

…Premium Service Revenue …Advertising Revenue …Others …Sales Revenue

of divested business

2,4763,054

2,873

3,627

174139

2,799454

0

1,000

2,000

3,000

4,000

5,000

6,000

7,000

8,000

FY2016 FY2017

(単位：百万円)

19

8,323

7,275

Cost of Sales and SG&A Expenses

（in millions of JPY）

５. P/L Excluding Divested Business

…Personnel …Other SG&A …Cost of Sales …Cost of Sales and

Expenses Expenses SG&A Expenses of divested business

20

First 10years

Service developmentand expansion of

user base to createbusiness foundation

Second 10years

Focus on"commercialization"

based onbusiness foundation

For the coming10years

“Re-investmentphase to build "

businessfoundation forgreater growth

The domestic recipe service, we will further strengthen No. 1 position.

For overseas recipe services, we will achieve the dominating No. 1 position in each of the country where we develop.

For new services related to solving problems on cooking, we will create markets andachieve the No. 1 position in each market.

To make the above success, we will proactively invest in service developments, user base expansion, brand building in the coming 10years.

1997

2007

2017

6. Initiatives FY2017

21

● Increasing Core users by Strengthening of Domestic Recipe Service

✓ “Search for How to Eat” -Providing the opportunity to find new cooking method of foods

✓ ”Food Record” –Picking up only food pictures from camera folder by machine learning

✓ The cooking video business started full-scale operation

6. Initiatives FY2017

22

● Pursuing Overseas Developments Aiming to No.1 in 100 countries

No.1 in 100 countries

End of Dec 2016Country ：58Language ：15

End of Dec 2017CountryLanguage ：22

：68

6. Initiatives FY2017

23

● Providing Plat Form to solve the new issues of cooking

✓ For “cookpad studio” , where Cookpad users can shoot and post cooking video,the first studio was open in Daikanyama, Tokyo.The second studio will be open in Osaka in May of 2018.

6. Initiatives FY2017

Make everyday cooking fun!

A number of factors such as changes in business environment may cause actual results to differ materially from any future results or performance expressed or implied by this presentation.

Cookpad Inc. Investor RelationsEmail ： ir@cookpad.com