Macromill : FY6/2022 Full Year Results & FY6/2023 Guidance Presentation Material

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Notes for this entire material

1. EBITDA = Operating Profit + Depreciation and Amortization + Loss on Retirement of Non-current Assets + Impairment Loss (For Segment EBITDA, applied Segment Profit instead of Operating Profit)
2. Revenue of each segment and region is shown using gross value including intersegment / interregional revenue, and the total amount of revenue of both segments or regions does not match the consolidated revenue (the difference is the amount of intersegment / interregional elimination)
3. Constant FX figures are calculated by applying the rate of the current fiscal year to the financial results of the same period of the previous fiscal year. We present financials results on a constant currency basis because we believe that this provides a framework for assessing how Macromill's business and, in particular, overseas businesses including MetrixLab and Macromill EMBRAIN, performed without taking into account the effect of the fluctuations between the euro and the yen since the same period in the prior year, but please note , it only excludes the effect of currency exchange between the Euro/Yen and the Won/Yen, but not exclude the effects of currency exchange on all local currencies (for example, between the Euro/USD).Please see the following table for the actual exchange rate applied.

	Full Year (12 Months)		Q4 Standalone (3 months)
	FY6/2021	FY6/2022	FY6/2021 Q4 Standalone	FY6/2022 Q4 Standalone
1 Euro =	127.06	132.23	131.65	137.02
1 KRW =	0.0940	0.0980	0.1002	0.1048

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FY6/2022 Key Takeaways

Consolidated

Full Year (12 Months）		Q4 Standalone (3 Months）

Business	Revenue：	49.81 bn JPY	YoY +15%	Revenue：	11.85 bn JPY	YoY +18%
Performance	OP：	5.81 bn JPY	YoY +8%	OP：	-0.30bn JPY	YoY -241%

• Q4 Standalone Revenue continued to perform well while OP resulted in a deficit due to investment for future growth and talent
• Full-yearRevenue achieved double-digit growth and OP delivered +8% growth YoY following strong demand for our services
• FY6/2022 Full-year business performance overachieved the upward revised guidance disclosed in May
• FY6/2023 Guidance anticipates double-digit growth in both Revenue and OP with increase in dividend by 4.0 JPY (17.0 JPY → 21.0 JPY)
• To achieve the Mid-term Business Plan (MTBP), we will focus on improvements in operational efficiency to solve the operational capacity shortage
• Through this initiative, we will pursue sustainable Revenue growth and improvement in OP Margin

FY6/2022: Consolidated Results - Summary	5

Driven by strong client demand, Q4 Standalone Revenue performed well, and Full-year Revenue also achieved double-digit growth

Due to seasonality and our investment in future growth/talent, Q4 posted a deficit. However, we achieved +8% YoY growth on a Full-year basis

As both Revenue and Profits overachieved the revised guidance announced in the Q3 Earnings Announcement, we will pay a year-end dividend as announced (9.0 JPY/share, 17.0 JPY/share for the year)

Revenue			Operating Profit (OP)
Consolidated (IFRS)	YoY Growth	Consolidated (IFRS)

(JPY in Millions)				+15%
					Company
						Revised
					49,810	Guidance
		44,279				49,000
			43,175	+18%	Q4
		(YoY+11%)
			41,270	(YoY+5%)	11,858
			(YoY-7%)
	40,024
		10,025		10,070
			7,718
Q4	9,542				+12%	Q3
					13,521
		12,072	11,784	12,068
Q3	11,578
					+13%	Q2
		11,792			13,539
		11,885	11,939
Q2	10,124
					+20%	Q1
Q1	8,779	10,388	9,882	9,097	10,890
	FY6/2018	FY6/2019	FY6/2020	FY6/2021	FY6/2022

(JPY in Millions)

7,607	7,751
			927
	1,232
Q4
				(w/o Impairment loss)
		2,809	5,676

2,692

Impairment

Q3loss of Goodwill

(5,280)

2,428

Q2 2,283

Q1	1,398	1,586	396
	FY6/2018	FY6/2019	FY6/2020

	YoY Growth
	+8%	Company
FY6/2020
		Revised
Q Breakdown	5,814
Guidance
	5,362		5,600
	+5%	Q3
	215
2,441	2,405
	2,300
		+19%	Q2
2,395	2,580
	2,164
		+66%	Q1
1,212	1,131
	682
	(303)
Q4	FY6/2021
	-241%	Q4
(5,653)	FY6/2022

Full Year				(w/o Impairment loss)
19.0%	17.5%	1.0%	(373)	12.4%	11.7%
OP Margin