ASKUL : Summary of Financial Results for 2Q FY5/2022

Summary of Financial Results

for 2Q FY5/2022

December 16, 2021 ASKUL Corporation

Note:

This material contains the ASKUL Group's current plans and performance outlook. These plans, forecasts, and other forward-looking statements represent ASKUL's plans and forecasts based on information that is currently available. Actual performance may differ from these

plans and forecasts due to a variety of conditions and factors that could occur in the future. This material does not represent promises or guarantees regarding the achievement of these plans.

This material has not been audited by certified public accountants or auditing firms.

For the purpose of this material, LOHACO refers to the online mail-order business for general consumers launched in October 2012 in alliance with Yahoo Japan Corporation.

A "new ASKUL website" refers to constructing a new website that integrates the site for small and medium-sized businesses (SMEs) and the

one for medium- and large enterprises.

B-to-B refers to business-to-business transactions. B-to-C refers to business-to-consumer transactions.

MRO refers to Maintenance, Repair and Operation, and in this material primarily refers to indirect materials consumed at work sites by companies.

DX refers to digital transformation.

Since the presentation of the overview of consolidated financial statements for the fiscal year ended May 20, 2016, ASKUL has been reporting its operating performances by dividing its organization into the segments of the E-commerce business, Logistics business, and Other. The E-commerce business deals with sales of OA and PC supplies, stationery/office supplies, living supplies, furniture, beverages/foods, alcoholic beverages, pharmaceuticals, cosmetics, etc. The logistics business refers to logistics and package transport services that target corporations.

This material occasionally uses abbreviations to express ASKUL's distribution centers;

ASKUL Logi PARK as ALP, ASKUL Value Center as AVC, Demand Management Center as DMC, and ASKUL Tokyo Distribution Center as ASKUL Tokyo DC.

Reproduction or reprinting in any form of all or part of this material (including trademarks and images) without the permission of ASKUL is prohibited.

2

Executive Summary

Consolidated Performance for 2Q Finished Almost in Line with Plan

Both Net Sales and Profits Marked Record Highs

• B-to-Bsecured positive growth despite the impact of stagnant demand for office supplies in addition to a reactionary decline in sales of infection-prevention products. Profit grew as planned due to cost control.
• LOHACO regained growth due to the addition of functions to its New Main Store in coordination with Z Holdings.
  LOHACO will make efforts to further improve earnings in the second half in order to turn profitable in the next fiscal year.

Ongoing Implementation of Growth Scenario in Medium-term Management Plan

• Expansion of long-tail products will start on a full-scale basis in 3Q to make the number of items reach 11 million within the current fiscal year.
• ASKUL Tokyo DC expects its operation to be delayed due to a supply shortage of semiconductors, but target numbers in the Medium-term Management Plan will not be affected.
• We push forward with reforming the platform to improve the variable distribution cost ratio.

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3

I. Consolidated Performance for 2Q FY5/2022

1. B-to-BIII. B-to-C IV. ESG / DX

V. Appendix

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4

2Q FY5/2022 Consolidated Performance

Consolidated

	Cumulative results for 2Q	Cumulative results for 2Q
	FY5/2021			FY5/2022
		% of net	Reference		% of net	YoY	Reference
	Actual	sales	Actual	sales	change
(¥million)	value*	value*
	％		％	％
Net Sales	206,452	100.0	203,887	209,038	100.0	+1.3	+2.5
Gross Profit	51,283	24.8	50,776	50,924	24.4	-0.7	+0.3
Selling, General and	45,357	22.0	44,850	44,228	21.2	-2.5	-1.4
Administrative
Expenses
Operating Profit	5,926	2.9		6,696	3.2	+13.0
Ordinary Profit	5,908	2.9		6,716	3.2	+13.7
Profit Attributable to	3,453	1.7		4,546	2.2	+31.6
Owners of Parent

• Net sales

101.3% YoY

(102.5% in real terms*)

Renewed the previous record

• SG&A expenses ratio Down 0.8 points YoY
• Operating profit, ordinary profit and profit
  Broke the previous record

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* Reference value assuming that the Accounting Standard for Revenue Recognition, etc. have been applied since the previous fiscal year. 5