Atrae : Notice Regarding the Revision of Full-Year Consolidated Financial Forecast for the Fiscal Year Ending September 30, 2021

	October 6, 2021
To whom it may concern,
Company name:	Atrae,Inc.
Representative:	Yoshihide Arai, President and CEO
	Stock Code: 6194 TSE First Section
Contact:	Hidekazu Suzuki, Director CFO

Notice Regarding the Revision of Full-Year Consolidated Financial Forecast

for the Fiscal Year Ending September 30, 2021

Atrae,Inc.(the "Company") hereby announce that the Board of Directors has resolved at a meeting held on October 6, 2021 to revise the full-year consolidated financial forecast for the fiscal year ending September 30, 2021 (October 1, 2020 to September 30, 2021), which was announced on November 12, 2020, as follows.

1．Revision of full-year consolidated financial forecast for FY2021 (October 1, 2020 to September 30, 2021)

		Operating	Ordinary	Profit attributable	Earnings
	Sales	to owners of
	Profit	Profit	per Share
		the parent
Previous forecast (A)	Million yen	Million yen	Million yen	Million yen	Yen
3,700	500	490	330	12.35
Revised forecast (B)	4,450	940	930	640	23.96
Variance in amount (B-A)	750	440	440	310	―
Variance in percentage (%)	20.3	88.0	89.8	93.9	―
(For reference)	3,430	732	733	433	32.64
Results for FY2020

• The Company established a wholly owned subsidiary Altiri,Inc. in July 2020, and shifted to consolidated accounting in the fiscal year ending September 30 2021. Therefore the previous year's results for the fiscal year ending September 30, 2020 are non-consolidated figures and are for reference purpose only.

- 1 -

2．Reason for the revision

On November 12, 2020, the Company announced the full-year consolidated financial forecast for the fiscal year ending September 30, 2021: sales of 3,700 million yen, operating profit of 500 million yen, ordinary profit of 490 million yen, and profit attributable to owners of the parent of 330 million yen. The Company has assumed that Green's sales will be at the same level as in the fiscal year ending September 30, 2020. The decrease in hiring needs of companies due to the impact of the COVID-19 will continue through the first half of the fiscal year ending September 30, 2021, and the Company expect a gradual recovery from the second half. In terms of investment, the Company will continue to invest in advertising with an emphasis on ROI, and seek the timing of investment with an eye to expanding the market share of after the COVID-19. In addition, the Company expect Wevox sales to increase in line with the increase in the number of companies using the service, and the Company has decided to invest in strengthening customer success in order to accelerate adoption by large companies.

The progress rate for the nine months ended June 30, 2021 against the full-year consolidated financial forecast for the fiscal year ending September 30, 2021 was 83.9% for sales and 192.6% for operating profit. Although sales progressed more smoothly than expected, the Company has left the forecast of operating profit unchanged in order to make strategic investments that will accelerate the future growth.

As a result of the continued acceleration of growth of Green by leveraging its unique competitive advantage in the job market, and of Wevox by accelerating the adoption of the service by large companies, sales have been exceeding the previous forecast since the fourth quarter of the fiscal year ending September 30, 2021. In terms of investment, the Company has been investing mainly in advertising for Green to accelerate the future growth. However, as a result of thorough and disciplined investment while assessing ROI, the Company will not invest the full amount initially envisioned in the fourth quarter of the fiscal year ending September 30, 2021, but will continue to pursue sales growth by continuing to make strategic advertising investments from the first quarter of the fiscal year ending September 30, 2022.

Given the above circumstances, the Company has determined that an upward revision of the consolidated financial forecast for the fiscal year ending September 30, 2021 is necessary and forecasts sales of 4,450 million yen, operating profit of 940 million yen, ordinary profit of 930 million yen, and profit attributable to owners of the parent of 640 million yen.

Notes: 1. Forward-looking statements, including the financial forecasts stated in this material, are based on information currently available to the Company and certain assumptions deemed reasonable. Results may differ materially from the financial forecasts due to various factors.

2. This is an English translation of the captioned release. This translation is prepared and provided for the purpose of the reader's convenience. All readers are recommended to refer to the original version in Japanese of the release for complete information.

- 2 -