Financial Results for the First
Quarter of Fiscal Year Ending
March 31, 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, 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 2023
Q1 Actual

FY EndingMarch 2024
Q1 Actual

Difference vs.

% Change vs.

previous year

previous year

FY Ending March 2024
Initial plan

Progression rate

PL (Million yen)
Revenue

6,959

15,663+8,703+125.0%90,00017.4%

Gross profit

1,945

5,224

+3,279+168.5%

NA

NA

28.0%

33.4%

-

+5.4%

NA

NA

736

3,812

+3,076+417.9%18,000

21.2%

10.6%

24.3%

-

+13.8%

20.0%

NA

841

3,806

+2,964+352.1%

16,800

22.7%

12.1%

24.3%

-

+12.2%

18.7%

NA

506

2,467

+1,960+386.8%11,000

22.4%

7.3%

15.8%

-

+8.5%

12.2%

NA

Gross profit margin

Operating profit
Operating profit margin

Ordinary profit
Ordinary profit margin

Profit attributable toowners of parent
Net income margin

Financial highlights
With the successful sale of multiple large-scale properties, wehave embarked on a promising trajectory towards realizing thefull-year earnings projection.

While our sales and profits exhibit a bias towards the latter halfof the year (see P.6), it is worth highlighting our robust
performance in Q1. As a result,

We have achieved record-high first quarter results
since listing

We created an environment that strengthens ourconfidence to achieve our full-year plan

August 2023

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.

2

Segment Highlights
FY EndingMarch 2023

FY EndingMarch 2024

Difference vs.

% Change vs.

Q1 Actual

Q1 Actualprevious year

previous year

FY Ending March 2024
Initial plan

Progression rate

PL (Million yen)
Revenue

6,959

15,663+8,703+125.0%90,000

17.4%

Value Creation Services

5,338

14,058+8,719+163.3%82,500

17.0%

Value-Add Services

1,100

1,165

+64

+5.8%

4,500

25.9%

520

439

-80

-15.5%

3,000

14.7%

736

3,812

+3,076+417.9%18,000

21.2%

1,116

4,125

+3,008+269.4%19,000

21.7%

Value-Add Services

206

270

+63

+31.0%

900

30.0%

Future Value Creation Services

-374

-331

+43

NM

-1,000NM

Adjustment of all companies

-211

-251

-39

NM

-900

NM

Future Value Creation Services
Operating profit
Value Creation Services

Segment highlights (See P.7 for business details by segment)
In the core Value Creation Services segment, both sales andoperating income received substantial boosts from the execution ofmultiple large-scale property transactions, notably including the
Kyoto City property, as detailed in the "Notice Regarding the Sale ofReal Estate for Sale" released on June 22, 2023.

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,

In the Future Value Creation Services segment, there
was also an impact stemming from thedeconsolidation of the golf course business, atransaction that occurred in the preceding fiscal year.
As a result,

Value Creation Services drove
overall performance

Revenue and profits increasedin Value-Add Services

Future Value Creation Services saw adecline in revenue, but a narrowing of deficit

August 2023

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 2023

FY EndingMarch 2024

Difference vs.

ActualQ1 Actualprevious year-end

Comments

Balance Sheet (Million yen)
Current assets

96,216

101,072+4,856

Cash and deposits

27,524

15,196-12,327

Real estate for sale

45,16747,936+2,769Real estate for sale in process

17,07931,628+14,549

Non-current assets

10,535

10,681+145

Total assets

106,752

111,754+5,002

8,230

5,342

-2,888Current portion of long-term borrowings

1,359

1,559

+199

Income taxes payable

4,052

1,098

-2,95345,80352,717+6,914Long-term borrowings

41,39747,569+6,171

Deposits received from tenants

4,067

4,839

+771

Total liabilities

54,03358,059+4,026

Net assets

52,71853,694+975

Total liabilities and net assets

106,752

111,754+5,002Current liabilities

Non-current liabilities

August 2023

Decreased due to procurement of real estate purchases, payment of
unpaid income taxes, dividend payment, etc.
Steady trends of purchasing real estate

General borrowing terms: 10 year loan period with amortization
period of 20-30 years.

Payment of dividends of approximately 1.6 billion yen; net income of
approximately 2.5 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 2023
Q1 Actual

FY EndingMarch 2024
Q1 Actual

Difference vs.
previous year

Comments

Cash flows (Million yen)

Cash flow from operating activities-1,286-16,557

Cash flows from investing activities

-838

-662

Cash flow from financing activities-2,410

4,791

76

100

-4,459-12,329

28,222

27,511

23,763

15,182

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

August 2023

Approx. 14.1 billion yen of revenue in Value Creation Services;-15,271 approx. 23.8 billion yen in spend on real estate purchases;
approx. 2.7 billion yen in spend on renovation work, etc.
Approx. 500 million yen for expenditures for acquisition of+175
tangible fixed assets; lending of approx. 100 million yen, etc.
Increase of approx. 6.4 billion yen from the difference between+7,201 new financing and repayment of borrowings; dividend payments
of approx. 1.6 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 five years, from FY2019/3 through FY2023/3, the averageand median progress of the first quarter operating income as a percentageof the full year were -1.0% and 5.1%, respectively. Q1 progress against

While our historical trend leans towards sales and profits being skewed to
the latter half of the year, the robust performance in the first quarter has

the full-year forecast for the current fiscal year was 21.2%.

our annual operating income target of 18 billion yen.

significantly bolstered our assurance in attaining

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

8.9%

FY2020/3-2.5% 5.5% 14.5%※During FY2021/3, we
scaled back our sales
activities due to the
COVID-19 pandemic.

FY2021/3

-5.1%

Q2

Q3

Q4

42.0%

-23.8%

32.9%

16.1%

82.5%
94.9%

FY2022/3

-0.6%

25.0%

FY2023/3-1.6% 5.1%

16.5%

FY2024/3

33.9%

48.1%

27.6%
79.9%

21.2%

-60.0%-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 FY2023/3, the denominator is the actual full-year operating income; for FY2024/3, the denominator is the target full-year operating income of 18 billion yen.

August 2023

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Raysum’s Business Segment(Repost from materials published in May 2023)
Details

Revenue
FY Ending March 2023
(Percentage of total)

Operating Profit
FY Ending March 2023
(Operating profit margin）

61,41916,653

90.4%

27.1%

4,416

765

6.5%

17.3%

2,071

-2,302

3.0%(NM)

Purchase and sale of real estate
Our core businessWe utilize the following methods to enhance value with a focus on increasing NOI. The methods used in 101 property sales over the
past 5 years until FY23/3 were as follows. (For some cases, methods overlap or do not belong to any of the below categories)

Increase
NOI

Value
Creation
Services

62 cases

Change ofuse/increase floorarea ratio
8 casesCreate land fordevelopment

New construction
development

33 cases

16 cases

14 cases

Coordinate/consolidate land
rights
23 cases

We pride ourselves as being one of the few listed players with the expertise to offer the optimal solution from a wide range ofoptions, including complex methods such as those outlined above
Our transactions have covered almost all asset classes over the past five years until FY23/3 as shown below (measured by value).

Offices 40%

Large-scalerenovation

Commercial 32%

Residential 13%

By region, the majority of our projects are in major cities, with Tokyo accounting for approx. 70% of projects by value
At the end of 2021, we launched a scheme to commercialize multiple properties in small lots and sell units to individual

Value-Add
Services

Real estate leasing and building management
Rental income from Value Creation Services segment, management fees and other income from properties that the Company
managesReal estate management services for clients who have purchased real estate from Value Creation Services segment and who retain
the Company to continue to manage their assets

As of the end of March 2023 we managed approx. 180 properties/1,800 rooms

Future Value
Creation
Services

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The segment is loss-making at present, but we are increasingly confident in our ability to reduce the deficit and return to profit in
futureAugust 2023

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.

7

Raysum's Business Model (Value Creation Services/Value-Add Services)(Repost from materials published in May 2023)

Raysum has unique strengths at each stage of the purchase and sale process

Purchase

Value Enhancement•

The decision making speed outpaces
our competitors•

We increase rental income by pushingup low rents•

Ability to deal with a wide range ofasset classes••

Most of our new project referrals
come from repeat customers (whotrust Raysum’s capabilities to take oncomplex projects)•

Trusted relationships with financial
institutions enable us to obtainfinancing for projects that are normallydifficult to finance (e.g older buildings)•

August 2023

•

Sale
•

We adopt a flexible approach that is
not bound by factors such as existing
usage purpose or market rents

Strong relationships withinstitutional investors, high net
worth domestic individuals,
and foreign investors•

We utilize our extensive knowledge ofrenovation and reconstruction of oldproperties

We have the establishedcapabilities to find the optimal
investor for each property•

Recently, we have also
developed a new investor
base through the sale ofsmall-lot 50 million yen
products•

Creative leasing approach to fulfill
new needs and requirements•

Careful reviews of interim costs

A corporate culture and employees who relish challenges

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

Policy of Shareholder Return(Repost from materials published in May 2023)

FY2023/3

Dividend per share• Dividend per share
increased by 18 yen

FY2024/3 ~ FY2025/3

Shareholder returns
policyYoY to 55 yen• Annual dividend per share is set at a minimum of 175 yen• The dividend payout ratio target for FY2024/3 & FY2025/3 is 40%

Dividend per share(yen)

Actual/Initial plan

Forecast

250

Minimum dividend per share of200
175

175 yen

196

150

100
75
60

55
50

37

0
FY2022/3

August 2023

FY2023/3

FY2024/3

FY2025/3

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

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 2023

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