Zenrin : Results for First 3 Quarters of Fiscal 2023

(Year Ending March 31, 2023)

Securities Code: 9474

Results for the First 3 Quarters of Fiscal 2023

February 1, 2023

Note: This document contains forward-looking statements based on assumptions, forecasts and plans in light of information available to ZENRIN Co., Ltd. as of the preparation date of this document. Actual performance may vary significantly from the forecast figures due to various risks and uncertainties owing to global economic trends, market demand, status of competition, exchange fluctuations and other factors.

The information that appears in this document rounds down fractions to the nearest specified unit and rounds off decimals in the percentage of change to the first decimal place.

In addition, cases where the percentage of change exceeds 1000% and cases where one or both of the items of comparison are negative are shown as "-."

This document has been translated from the Japanese original for reference purposes only. In the event of any discrepancy between this translated document and the Japanese original, the original shall prevail.

Result for the

First 3Qs of Table of Contents

FY2023

Ⅰ . Overview of Results for the First 3 Quarters of Fiscal 2023

1. Overview of Results
2. Changes in Net Sales, Income and Profit
3. Causes for Change in Operating Income
4. Changes in Net Sales by business
5. Amount of Capital Investment, Depreciation and R&D Costs
6. Shareholder Returns

©ZENRIN CO., LTD. All Rights Reserved.

1

Result for the

First 3Qs of

FY2023

Ⅰ . Overview of Results for the First 3 Quarters of Fiscal 2023 1. Overview of Results

Key Points of Results for the First 3 Quarters of Fiscal 2023

• Increase in sales / Decrease in income and profit】 (Compared to First 3Qs of FY2022 )

[Sales Result]

• In the automotive-related business, sales of data for in-car navigation systems continued the decline seen in the first two quarters, impacted by adjustments in automobile production.
• In the IoT-related business and marketing solutions-related business, orders received increased.

[Expenses / Profit and loss]

• Factors such as the normalization of socioeconomic activity and rising cost of energy and raw materials caused operating expenses to increased.
• Operating income, ordinary income, and profit attributable to owners of parent decreased for the first time in two periods.

(Amounts in million yen)

			First 3Qs of FY2022	First 3Qs of FY2023		Compared to First 3Qs of FY2022
			Actual	Actual
					% of Change
	Net Sales		39,990	40,210		220	0.6
	Operating Expenses		39,928	41,062		1,133	2.8
	Operating Income		61	-851		-913	－
	Operating Margin		0.2%	-2.1%		-2.3pt
	Ordinary Income		321	-643		-965	－
	Profit Attributable to		2,067	180		-1,887	-91.3
	Owners of Parent
	Including appropriation of extraordinary			Including appropriation of extraordinary income
			from gain on sale of non-current assets and gain
	income from sale of investment.
				on sale of investment in capital of subsidiaries.
			©ZENRIN CO., LTD. All Rights Reserved.

2

Result for the

First 3Qs of

FY2023

Ⅰ . Overview of Results for the First 3 Quarters of Fiscal 2023 2. Changes in Net Sales, Income and Profit

(Amounts in million yen)

60,000

40,000

20,000

0

42,996	40,316	38,429	39,990	40,210
18/12	19/12	20/12	21/12	22/12

4,000

2,000

0

-2,000

-4,000

1,563

61

-466

-1,719

-851

18/12 19/12 20/12 21/12 22/12

1,877 321

-160

-1,482

-643

18/12 19/12 20/12 21/12 22/12

Including appropriation of extraordinary income from sale of investment securities.

1,017		2,067
236		180

-758

Including appropriation of extraordinary income from gain on sale of non-current assets and gain on sale of investment in capital of subsidiaries.

18/12 19/12 20/12 21/12 22/12

Net Sales

Operating Income

Ordinary Income

Profit Attributable to

Owners of Parent

Increase in sales

for 2 consecutive fiscal years

Decrease in income and profit for the first time in 2 fiscal years

*the "Accounting Standard for Revenue Recognition" (ASBJ Statement No. 29, March 31, 2020), etc. have been applied from the beginning of the first quarter of fiscal 2022. *Regarding figures for Fiscal 2021 and earlier, the Accounting Standard for Revenue Recognition, etc. are not applied retrospectively (same as the next page and after).

©ZENRIN CO., LTD. All Rights Reserved.

3

Result for the

Ⅰ . Overview of Results for the First 3 Quarters of Fiscal 2023

First 3Qs of

3. Causes for Change in Operating Income

FY2023

(Amounts in billion yen)

1.5

Operating Income (compared to first 3Qs of FY2022)

-0.9 billion yen

1.0

(-) Printed residential maps decreased

+0.6

(-) Sales shifted to IoT solution services

(+) GIS Package products, entrusted services increased

✓ Sales promotion support

0.5

services increased

+0.3

0.0

-0.6

0.0

✓ IoT-related solution

-0.1

-0.0

services etc. increased

✓ Sales of data for in-car navigation systems in

-0.8

-0.5

the automotive-related business decreased

• Cost of sales due to changes in the composition of net sales
• Expenses for developing map databases to improve the precision of location data
• Normalization of socioeconomic activity and rising cost of energy and raw materials

-1.0				caused operating expenses to increase			+1.1
-1.5
21/12	プロダクト	公共ｿﾘｭｰｼｮﾝ	ﾏｰｹﾃｨﾝｸﾞ	IoT	ｵｰﾄﾓｰﾃｨﾌﾞ	営業費用	22/12
	Operating	Product	Public	Marketing	ＩoＴ	Automotive	Operating	Operating
	Income		ｿﾘｭｰｼｮﾝ	Income
	Actual				Solution				Actual
	First 3Qs of				Solution			Expenses	First 3Qs of
				Changes in Sales by Business
	FY2022						FY2023

(compared to first 3 quarters of FY2022)

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