Japan Specialist

Mark Chadwick

Over 20 years experience in equities and asset management in Asia and Japan. Qualified CFA with experience analyzing companies as a buy-side analyst. In-depth knowledge of company fundamental analysis, corporate governance and valuations.

Smartkarma Webinar | Japan Small-Cap Growth: 3 Stocks with Unrecognised Potential

Small Cap Japan Growth: Money Forward (3994)

Japan Small Cap Growth: FREEE (4478) - Opportunities Opening Up

Small Cap Growth: Money Forward (3994) - Transforming Japan's Accounts

2021 High Conviction – Money Forward's Great Leap

Money Forward: Recent Price Rally Is Not Backed by Improving Profitability – Unlike Freee

Equity Bottom-Up

<div>
<ul>
<li>
<a href="https://www.smartkarma.com/entities/money-forward-inc" target="_blank" data-smartkarma-citation="entities:25919:1" rel="noopener">Money Forward (3994 JP)</a> (MF) reported a strong finish to FY11/20, with Q4 revenues up 51% YoY.  
</li>
<li>
The core MF Business segment (65% of sales) grew 78% YoY in the quarter to ¥2.2b. 
</li>
<li>
Annual Recurring Revenue (ARR) reached ¥8.25b (72% of total sales) 
</li>
<li>
Gross margin in Q4 was 68.2%, up 7.8ppts from the previous year.  
</li>
<li>
The number of paying customers for the entire group (individuals, sole proprietors and corporations) exceeded 420,000.  
</li>
<li>
Guidance: FY11/21 revenue guided to a range of ¥14.75-15.75b (30-39% YoY) 
</li>
</ul>
</div>
<div>
<div>
Company Description  Money Forward is a financial platform for both individuals and businesses. The rapid adoption of cloud-based Software as a Service (SaaS) is driving rapid sales growth for business accounting software and, with penetration still at low levels, this trend is expected to continue. Money Forward operates under four main domains:  MF Business (cloud accounting), MF Finance (payment services/fund), MF X (technology solutions) and MF Home (personal financial management).   
</div>
</div>




Money Forward (3994 JP) (MF) reported a strong finish to FY11/20, with Q4 revenues up 51% YoY.  


The core MF Business segment (65% of sales) grew 78% YoY in the quarter to ¥2.2b. 


Annual Recurring Revenue (ARR) reached ¥8.25b (72% of total sales) 


Gross margin in Q4 was 68.2%, up 7.8ppts from the previous year.  


The number of paying customers for the entire group (individuals, sole proprietors and corporations) exceeded 420,000.  


Guidance: FY11/21 revenue guided to a range of ¥14.75-15.75b (30-39% YoY) 





Company Description  Money Forward is a financial platform for both individuals and businesses. The rapid adoption of cloud-based Software as a Service (SaaS) is driving rapid sales growth for business accounting software and, with penetration still at low levels, this trend is expected to continue. Money Forward operates under four main domains:  MF Business (cloud accounting), MF Finance (payment services/fund), MF X (technology solutions) and MF Home (personal financial management).   



Japan Small Cap Growth: Money Forward - Strong Finish to the Year