BELLSYSTEM24 : Supplementary Materials for the Financial Results for Quarter Two of the Fiscal Year Ending Feb. 2024

Supplementary Materials for

the Financial Results for Quarter Two of the Fiscal Year Ending Feb. 2024

Creating Better Communities through Communication

BELLSYSTEM24 Holdings, Inc.

October 11, 2023

Securities code: 6183

Q2 of FY Ending Feb. 2024 Result Summary

Revenue stood at 76.7 billion yen, down 2.1% year on year.

Operating profit decreased 20.2% year on year, to 6.5 billion yen, and profit decreased 13.9% year on year, to 4.5 billion yen.

Consolidated

Results

Revenue

Operating profit

Profit attributable

to owners of

parent

76.7

6.5

4.5

billion yen	Same period
YoY

billion yen	Same period
YoY

billion yen	Same period
YoY

-2.1%

-20.2%

-13.9%

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Q2 of FY Ending Feb. 2024 Result Overview

Revenue

Although revenue from fundamental business increased 5.13 billion yen year on year, to 70.32 billion yen, revenue from businesses related to national policy matters including COVID-19 declined 6.61 billion to 6.01 billion yen from 12.62 billion yen in the same period of the previous year.

Operating profit

Declined 1.65 billion yen year on year, to 6.53 billion yen, reflecting the significant impact of a decline in revenue from highly profitable business related to national policy matters including COVID-19, despite the effect of growth in revenue from fundamental business.

Profit

Decreased 0.73 billion yen, to 4.50 billion yen year on year due to a decline in operating profit, despite an increase in the share of profit of investments accounted for using equity method, among other factors.

					(Unit: billions of yen)
					Consolidated
	Q2 of FY ending	Q2 of FY ending	Same period	Same period
	Earnings
	YoY	YoY	Progress rate
	Feb. 2023	Feb. 2024	Forecast
	YoY Change	YoY Percent
			(Planned)
				Change
Revenue	78.29	76.68	-1.61	-2.1%	157.00	48.8%
Fundamental business	65.19	70.32	+5.13	+7.9%	145.10	48.5%
Business related to COVID-19
12.62	6.01	-6.61	-52.4%	11.00	54.7%
Other
0.48	0.35	-0.13	-27.1%	0.90	38.6%
Operating profit	8.18	6.53	-1.65	-20.2%	13.80	47.3%
Operating profit ratio
10.5%	8.5%			8.8%
Profit attributable to owners of parent	5.23	4.50	-0.73	-13.9%	8.80	51.1%

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Analysis of Change in Revenue for Q2 of FY Ending Feb. 2024

Revenue stood at 76.68 billion yen, down 1.61 billion yen, or 2.1%, from 78.29 billion yen in the previous fiscal year.

Fundamental business showed a steady year-on-year increase of 5.13 billion yen, or 7.9%, reflecting the expansion of new and existing services coupled with revenue posted at a subsidiary in Vietnam.

Business related to national policy matters including COVID-19 decreased 6.61 billion yen, or 52.4%, year on year, primarily due to a decline in demand for vaccine-related services.

(Unit: billions of yen)

Fundamental business	Business related to	Other
COVID-19

+5.13

78.29

-6.61

-0.1376.68

	-1.61
	(-2.1%)
Q2 of FY ended	Q2 of FY ending
Feb. 2023	Feb. 2024
Revenue	Revenue

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Change in Revenue in Fundamental Business for Q2 of FY Ending Feb. 2024

Revenue (fundamental business) for the first six month under review stood at 70.32 billion yen, or up 7.9% from 65. 19 billion yen, the same period of the pervious year.

With the progress in the normalization of corporate business activity due to the settling down of COVID-19 pandemic outsourcing demand rose and revenue from fundamental business, which had been growing at an average rate of 4.6% per year, increased at a pace that exceeded previous growth rates during the first six month

under review.

Average annual

growth rate

(Unit: billions of yen)

Plan for the

current fiscal year

+4.6%

125.14	125.64	127.92	133.05

117.47

108.87

101.53

65.19

145.10

+7.9%

70.32

FY ended Feb.	FY ended Feb.	FY ended Feb.	FY ended Feb.	FY ended Feb.	FY ended Feb.	FY ended Feb.	Q2 of FY ending
2017 (FY2016)	2018 (FY2017)	2019 (FY2018)	2020 (FY2019)	2021 (FY2020)	2022 (FY2021)	2023 (FY2022)	Feb. 2024

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