Financial Results for the First
Quarter of Fiscal Year Ending
March 31, 2025

This document was prepared to provide information related to the business overview and management strategies of Raysum Co., Ltd. and related entities and does not constitute a solicitation to purchase any securities issued by Raysum. Choosing
shares and making final investment decisions should be done at the discretion of the individual. Any opinions, forecasts, etc . contained in this document are based on the views of Raysum at the time it was prepared, and Raysum does not promise or
guarantee the accuracy or completeness of such information. Furthermore, the information is subject to change without notice.

1Consolidated Financial Results
FY EndingMarch 2024
Q1 Actual

FY EndingMarch 2025
Q1 Actual

Difference vs.

% Change vs.

previous year

previous year

FY Ending March 2025
Initial plan

Progression rate

PL (Million yen)
Revenue

15,663

15,615-47-0.3%

115,000

13.6%

Gross profit

5,224

3,973

-1,250-23.9%

NA

NA

33.4%

25.4%

-

-7.9%

NA

NA

3,812

1,437

-2,374-62.3%

23,000

6.3%

24.3%

9.2%

-

-15.1%

20.0%

NA

3,806

1,335

-2,470-64.9%

21,500

6.2%

24.3%

8.6%

-

-15.7%

18.7%

NA

2,467

885

-1,582-64.1%

14,000

6.3%

15.8%

5.7%

-

-10.1%

12.2%

NA

Gross profit margin

Operating profit
Operating profit margin

Ordinary profit
Ordinary profit margin

Profit attributable toowners of parent
Net profit margin

Financial highlights
From the outset, no large property sales were planned for Q1.
There were multiple property sales in Q1, and the progress rate
toward realizing the full-year earnings projection is slow, but

We expect to steadily increase the progress rate
towards realizing the full-year earnings projection
from the second quarter

August 2024

Sales and profits tend to be skewed to the latter half of the year, and theprogress rate in Q1 has been slow in the past (see page 6). In addition, we
have made steady progress in purchasing properties (see page 7), and we arescheduled to sell large properties in Q2 onwards. As a result,

We created an environment that strengthens ourconfidence to achieve our full-year planThis document was prepared to provide information related to the business overview and management strategies of Raysum Co., Ltd. and related entities and does not constitute a solicitation to purchase any securities
issued by Raysum. Choosing shares and making final investment decisions should be done at the discretion of the individual. Any opinions, for ecasts, etc. contained in this document are based on the views of Raysum at thetime it was prepared, and Raysum does not promise or guarantee the accuracy or completeness of such information. Furthermore, the information is subject to ch ange without notice.

2

Segment Highlights
FY EndingMarch 2024

FY EndingMarch 2025

Difference vs.

% Change vs.

Q1 Actual

Q1 Actualprevious year

previous year

FY Ending March 2025
Initial plan

Progression rate

PL (Million yen)
Revenue

15,663

15,615-47-0.3%

115,000

13.6%

Value Creation Services

14,058

13,572

-485

-3.5%

106,000

12.7%

Value-Add Services

1,165

1,453

+288

+24.8%

5,400

26.9%

439

589

+149

+33.9%

3,000

19.6%

3,812

1,437

-2,374-62.3%

23,000

6.3%

4,125

1,934

-2,190-53.1%

23,500

8.2%

Value-Add Services

270

310

+39

+14.8%

1,500

20.7%

Future Value Creation Services

-331

-382

-50

NM

-900

NM

Adjustment of all companies

-251

-425

-174

NM

-1,100NM

Future Value Creation Services
Operating profit
Value Creation Services

Segment highlights (See P.9 for business details by segment)
In the core Value Creation Services segment, several properties
were sold. On the other hand, unlike in the same period last year, nolarge properties were sold, and exceeding last year’s profit margin
will be extremely difficult. As a result,

In the Value-Add Services segment, the period
saw a rental income increase, attributed to theadvancements made in procuring incomegenerating real estate within the Value
Creation Services segment. As a result,

While the Value Creation Services segment drove overall
performance, it was also responsible for most of thedecline in profit compared to the same period last year

Revenue and profits increased in
Value-Add Services

August 2024

In the Future Value Creation Services segment, while revenues
and profits were higher in the accommodation businesscompared to the same period last year due to factors such as thefull recovery of inbound demand, personnel and other expenses
increased in the emergency gas engine power generator
business, which is expected to have potential in the future. As aresult,Future Value Creation Services saw an increase
in revenue and a slight increase in the deficit

This document was prepared to provide information related to the business overview and management strategies of Raysum Co., Ltd. and related entities and does not constitute a solicitation to purchase any securities
issued by Raysum. Choosing shares and making final investment decisions should be done at the discretion of the individual. Any opinions, for ecasts, etc. contained in this document are based on the views of Raysum at thetime it was prepared, and Raysum does not promise or guarantee the accuracy or completeness of such information. Furthermore, the information is subject to ch ange without notice.

3

Consolidated Balance SheetFY EndingMarch 2024

FY EndingMarch 2025

Difference vs.

ActualQ1 Actualprevious year-end

Comments

Balance Sheet (Million yen)
Current assets

118,542130,232+11,690

Cash and deposits

35,72829,907-5,820Real estate for sale

52,214

66,852+14,638

Real estate for sale in process

29,23730,611+1,373

Non-current assets

11,97012,092+122

Total assets

130,513

142,325+11,812

9,932

18,942+9,009

Short-term borrowings
Current portion of long-term borrowings

2,465

10,573+8,107

Income taxes payable

4,222

4,761

+538

58,12764,988+6,86052,35359,552+7,199Total liabilities

68,06083,930+15,870

Net assets

62,45258,394-4,058

Total liabilities and net assets

130,513

142,325+11,812Current liabilities

Non-current liabilities
Long-term borrowings

August 2024

Decreased due to procurement of real estate, dividend payment, etc.
Steady trends of purchasing real estate

Borrowings also increased due to steady trend of purchasing

General borrowing terms: 10 year loan period with amortization
Period of 20-30 years
Payment of dividends of approximately 5 billion yen; net income of
approximately 0.9 billion yen

This document was prepared to provide information related to the business overview and management strategies of Raysum Co., Ltd. and related entities and does not constitute a solicitation to purchase any securities
issued by Raysum. Choosing shares and making final investment decisions should be done at the discretion of the individual. Any opinions, for ecasts, etc. contained in this document are based on the views of Raysum at thetime it was prepared, and Raysum does not promise or guarantee the accuracy or completeness of such information. Furthermore, the information is subject to ch ange without notice.

4Consolidated Statement of Cash FlowsFY EndingMarch 2024
Q1 Actual

FY EndingMarch 2025
Q1 Actual

Difference vs.
previous year

Comments

Cash flows (Million yen)

Cash flow from operating activities-16,557-15,949

Cash flows from investing activities

-662

-285

Cash flow from financing activities

4,791

10,326100

86-12,329-5,822

27,51135,71015,182

29,888Exchange rate impact on cash andcash equivalents
Net increase (decrease) in cash andcash equivalents
Cash and cash equivalents at the
beginning of period
Cash and cash equivalents at theend of period

August 2024

Approx. 13.6 billion yen of revenue in Value Creation Services;+608 approx. 27 billion yen in spend on real estate purchases; approx.
1 billion yen in spend on renovation work, etc.
Approx. 200 million yen for expenditures for acquisition of+376
Investment Securities; lending of approx. 100 million yen, etc.
Increase of approx. 15.3 billion yen from the difference between+5,535 new financing and repayment of borrowings; dividend payments
of approx. 5 billion yen, etc.

This document was prepared to provide information related to the business overview and management strategies of Raysum Co., Ltd. and related entities and does not constitute a solicitation to purchase any securities
issued by Raysum. Choosing shares and making final investment decisions should be done at the discretion of the individual. Any opinions, for ecasts, etc. contained in this document are based on the views of Raysum at thetime it was prepared, and Raysum does not promise or guarantee the accuracy or completeness of such information. Furthermore, the information is subject to ch ange without notice.

5

Progression Rate of Operating Income in Each Quarter
Over the last six years, from FY2019/3 through FY2024/3, theaverage and median progress of the first quarter operating income
as a percentage of the full year were 2.0% and 5.3%, respectively.
Q1 progress against the full-year forecast for the current fiscal year

Historical trend leans towards sales and profits being skewed to the latter halfof the year. We have a series of large property sales lined up from the second
quarter, significantly strengthening our confidence inattaining our annual operating income target of 23 billion yen.

was 6.3%, which is in line with past trends.

Progression Rate of operating income in each quarter for the past six years compared to the current quarter
Q1
FY2019/3

8.9%

FY2020/3
FY2021/3

Q2

Q3

Q4

42.0%

32.9%

-2.5% 5.5% 14.5%※During FY2021/3, we
scaled back our sales
activities due to the
COVID-19 pandemic.

94.9%

FY2022/3-0.6%

FY2023/3-1.6% 5.1% 16.5%

25.0%

FY2024/3-60.0%

82.5%-5.1% -23.8%

16.7%

FY2025/3

16.1%

33.9%

48.1%

27.6%
79.9%

25.5%

8.6%

49.2%

6.3%
-40.0%-20.0%

0.0%

20.0%

40.0%

60.0%

80.0%

100.0%

120.0%

140.0%

Notes: For the period from FY2019/3 to FY2024/3, the denominator is the actual full-year operating income; for FY2025/3, the denominator is the target full-year operating income of 23 billion yen.

August 2024

This document was prepared to provide information related to the business overview and management strategies of Raysum Co., Ltd. and related entities and does not constitute a solicitation to purchase any securities
issued by Raysum. Choosing shares and making final investment decisions should be done at the discretion of the individual. Any opinions, for ecasts, etc. contained in this document are based on the views of Raysum at thetime it was prepared, and Raysum does not promise or guarantee the accuracy or completeness of such information. Furthermore, the information is subject to ch ange without notice.

6

Steady Build-up of Inventory
Significant Increase in Reserved Forecast Net Sales
In the Value Creation Services segment, despite sales reachingapproximately 13.6 billion yen in the first quarter of the FY ending March
2025, reserved forecast revenue, which was about 207.9 billion yen as of
May 2024, grew over three months to approximately 238.4 billion

yen (+ 30.5 billion yen or +15% in about three months).

Planned sales in the Value Creation Services segment for the FY ending March 2025 is 106.6
billion yen, meaning that sales of approximately 93 billion yen must be achieved in the remaining
nine months. At this point, reserved forecast revenue has reached approximately 238.4 billion
yen, and our gross margin forecast is conservative with respect to past results. Therefore, weare on track to fully achieve sales and profit targets.

Reserved forecast net sales in light of current inventory levels(Unit: million yen)

250,000*Average gross profit margin for all deals(on a weighted average basis) over the
past five years from FY2020/3 toFY2024/3 is 29.9%, and 31.5% for the
FY ending March 2024.

Refer to P16 ofdisclosure materials for May 2024

200,000

2,000

150,000

86,467238,372
207,908

100,000

50,000185,930
97,4630
Estimated reserved revenue
disclosed in May 2024

August 2024

Real estates for sale + Realestate for sale in process(as of June end)

Value of contracted properties
which has not settled yet andestimated costs for adding value
to new/existing properties

Planned purchase ofproperties to be contracted
within the year

Total expected book value

Estimated Reserved revenue
based on 22.0% gross profit
marginThis document was prepared to provide information related to the business overview and management strategies of Raysum Co., Ltd. and related entities and does not constitute a solicitation to purchase any securities
issued by Raysum. Choosing shares and making final investment decisions should be done at the discretion of the individual. Any opinions, for ecasts, etc. contained in this document are based on the views of Raysum at thetime it was prepared, and Raysum does not promise or guarantee the accuracy or completeness of such information. Furthermore, the information is subject to ch ange without notice.

7

Significant increase in SG&A expenses is temporary
In the first quarter, selling, general and administrative expenses increased
significantly from approximately 1.4 billion yen to approximately 2.5 billion yen.

Approximately 0.9 billion yen of the approximately 1.1 billion
yen increase is due to increases in taxes and public charges.
As described below, this is a temporary situation and is notexpected to continue.

Selling, general andadministrative expense item

Compared to the same
period last year

August 2024

personnel and outsourcing costs. The company’s ability to change
real estate is only possible thanks to our human resources. The current situation with
inflation has resulted in a slight rise in labor costs from the perspective of securing
human resources. Outsourcing costs are also increasing due to the expanding natureof projects.

Details of taxes and public charges, and reason for increase✓

Taxes and publiccharges

Most of the remaining increase (approximately 0.2 billion yen) is due to increases in✓ Increase of approx.
0.9 billion yen✓(from approx. 0.1
billion yen to✓
approx. 1 billion
yen)Consumption tax on residential buildings must be recorded as taxes and public charges
since such purchases are not eligible for tax credits at the time of purchase (offices andcommercial real estate are eligible for purchase tax credits).
Due to purchasing several residential properties, including a large residential property in thefirst quarter, the amount not eligible for purchase tax credits has increased significantly
compared to the same period last year.
If residential properties are sold by the end of the second period after purchase, most of thepurchase tax can be deducted at the time of sale, so the increase in taxes and publiccharges is expected to be offset in the medium to long term (if sold, the purchase tax credit
can be deducted from tax and public charges).

This document was prepared to provide information related to the business overview and management strategies of Raysum Co., Ltd. and related entities and does not constitute a solicitation to purchase any securities
issued by Raysum. Choosing shares and making final investment decisions should be done at the discretion of the individual. Any opinions, for ecasts, etc. contained in this document are based on the views of Raysum at thetime it was prepared, and Raysum does not promise or guarantee the accuracy or completeness of such information. Furthermore, the information is subject to ch ange without notice.

8Raysum’s Business Segment(Repost from materials published in May 2024)
Details

FY Ending 2024/3
Net sales

FY Ending 2024/3
Operating profit(Percentage of total %)(Operating profit margin)

86,841

23,938

92.1%

27.6%

5,223

1,427

5.5%

27.3%

2,201

-1,485

2.3%(NM)Real estate sales business✓
The Company’s core business✓
The Company’s strengths are based on the following methods of value enhancement with a focus on improving NOI. The cases
below show the methods used in 106 property sales over the past 5 years (In some cases, methods overlap or do not belong to anyof the categories)

Value
Creation
Services✓✓

Increase NOI

Change of use/
increase floor area
ratio

Large-scale
Renovation

Create land fordevelopment

New construction
development

Coordinate/consolidate
land rights

59 cases

6 cases

26 cases

19 cases

20 cases

23 cases

We can choose the optimal method from a wide range of options, including highly complex methods such as those outlined above.
This a capability rare even among public companies.
Our transactions have covered nearly all asset classes over the past five years in terms of value as shown below
Commercial 45%✓✓

Value-Add
Services

Future Value
Creation
Services

Offices 28%

Residential 14%

By region, the majority of our projects are in major cities, with Tokyo accounting for about 60% of projects by value
We launched a scheme to commercialize multiple properties in small lots and sell units to individual investors at the end of 2021.

Real estate leasing and building management✓
Rental income and management fees generated from properties held by the Value Creation Services segment.
✓
Real estate management services for clients who purchased properties from the Value Creation Services segment.
✓
As of the end of March 2024 we managed 182 Properties/ 1,960 Rooms

Various business activities leveraging our accumulated real estate expertise✓
Businesses include the operation of lodging facilities, the manufacture and sale of bread and confectionery, the development,
manufacture, and sale of gas engine generators, and support services for advanced medical care✓
Currently operating at a loss, there are signs of improvement, with very limited risk of future impairments. We expect to reduce
losses by the FY ending March 2025.

August 2024

This document was prepared to provide information related to the business overview and management strategies of Raysum Co., Ltd. and related entities and does not constitute a solicitation to purchase any securities
issued by Raysum. Choosing shares and making final investment decisions should be done at the discretion of the individual. Any opinions, for ecasts, etc. contained in this document are based on the views of Raysum at thetime it was prepared, and Raysum does not promise or guarantee the accuracy or completeness of such information. Furthermore, the information is subject to ch ange without notice.

9

Raysum's Business Model (Value Creation Services/Value-Add Services)(Repost from materials published in May 2024)

Hypothesis

Price aftervalue
creation

Value Enhancement

Sale

Pursuit of essential
customer value

Further valueenhancement
after sale to thecustomer

Added value creation
unconstrained byconventional wisdom

Value enhancement methods ×
Diverse asset experience

Creative
Value

Increase
NOI
Purchasing
capability
that
discoverslatent value

Generalmarketprice

Inherent
value
that ispresent
but not
realized

Large-scale
Renovations

New
construction
development

PM
ProposalCapability tomeet
Customer
Needs
Stabilityproducing
PMcapabilities

Creation, planning, andleasing capabilities
Change ofuse/
Increase of
Floor area
ratio

Coordinate/c
onsolidate
land rights

Additional
value after
sale to thecustomer

Added value fromvalue
enhancement

Customer

Customer Needs & Customer Value

We possess the uniquecapability to “transform
real estate”, skillfully
utilizing various valueenhancement methods
derived from the needs ofcustomers and tenants,
freely adapting to any
situation.

Purchase

Create landfordevelopment

The power to transform
real estate

Exit schemes
anticipating
future value
Additional costs

Purchaseprice

Our purchase
price

Potential
Properties

The power to transform real estate

August 2024

This document was prepared to provide information related to the business overview and management strategies of Raysum Co., Ltd. and related entities and does not constitute a solicitation to purchase any securities
issued by Raysum. Choosing shares and making final investment decisions should be done at the discretion of the individual. Any opinions, for ecasts, etc. contained in this document are based on the views of Raysum at thetime it was prepared, and Raysum does not promise or guarantee the accuracy or completeness of such information. Furthermore, the information is subject to ch ange without notice.

10

Policy of Shareholder Return(Repost from materials published in May 2024)
Based on the company's projected net income of 14 billion yen for the current fiscal year and a dividend payout ratio of 40%, the anticipated dividend

per share for this period is 196 yen.
2024/3
Shareholder
returnstrategy•

The annual dividend per share has been set with a minimum of 175•

yen, increased by 120 yen from the previous fiscal year to 175 yen
Targeted a dividend payout ratio of 40%, with the actual payout ratio
settling at 43.1%.

2025/3
Direction of
Shareholder
Returns•

The annual dividend per share will have a minimum of 175•

yen, with this fiscal year's dividend forecast increasing
by 21 yen from the previous period to 196 yen.
The dividend payout ratio is targeted at 40%.

Dividend per share(Unit: Yen)

250

196

200

175

Annual Minimum: 175 yen

150

100

55
50

37

0

2022/3

August 2024

2023/32024/32025/3 (Forecast)This document was prepared to provide information related to the business overview and management strategies of Raysum Co., Ltd. and related entities and does not constitute a solicitation to purchase any securities
issued by Raysum. Choosing shares and making final investment decisions should be done at the discretion of the individual. Any opinions, for ecasts, etc. contained in this document are based on the views of Raysum at thetime it was prepared, and Raysum does not promise or guarantee the accuracy or completeness of such information. Furthermore, the information is subject to ch ange without notice.

11

This document was prepared to provide information related to the business overview and management strategies ofRaysum Co., Ltd. and related entities and does not constitute a solicitation to purchase any securities issued by
Raysum. Choosing shares and making final investment decisions should be done at the discretion of the individual.
Any opinions, forecasts, etc. contained in this document are based on the views of Raysum at the time it was
prepared, and Raysum does not promise or guarantee the accuracy or completeness of such information.
Furthermore, the information is subject to change without notice.

Inquiries
Administration Division,
Public Relations Division
Raysum Co., Ltd.
TEL 03-5157-8881
http://www.raysum.co.jp

August 2024

This document was prepared to provide information related to the business overview and management strategies of Raysum Co., Ltd. and related entities and does not constitute a solicitation to purchase any securities
issued by Raysum. Choosing shares and making final investment decisions should be done at the discretion of the individual. Any opinions, for ecasts, etc. contained in this document are based on the views of Raysum at thetime it was prepared, and Raysum does not promise or guarantee the accuracy or completeness of such information. Furthermore, the information is subject to ch ange without notice.

12