・Image character：Comedian “Miyashita Kusanagi”
・Group Mascot：Coprou

Fiscal Year Ending March 31, 2023

Financial Results for Nine Month
February 13, 2023

Tokyo Stock Exchange-Prime, Nagoya Stock
Exchange Premier (Ticker Symbol: 7059)

Table of Contents

01 Summary of the Consolidated Financial Results for Nine Months

02 Major Initiatives in Construction Technician Dispatching Business
03 Alliance Initiatives
04 Appendix©2023 COPRO-HOLDINGS. Co., Ltd. All rights reserved.

1

SECTION 01
Summary of theConsolidated
Financial Results forNine Months©2023 COPRO-HOLDINGS. Co., Ltd. All rights reserved.

2

Consolidated Financial Highlights for Nine Months of FYE2023• Net sales increased significantly, mainly in the core business of construction technician dispatching, as thenumber of retirements was suppressed, and the number of hires went generally in line with the forecast. On theother hand, operating profit and other earnings declined due to upfront investment in recruiting expenses.
• The progress rate for full-year forecast of sales and profit at each stage remained almost on the same level as
the previous fiscal year, and the company made steady progress in terms of the forecast.
（million of yen）

FYE20229 months
Results

FYE2023

Versus FullYear Results

9 months
Results

YoY Change
Percentage
ChangeRatio

FYE2023

AmountChangeFull Year
Forecast

Forecast
Progress
Rate

Net sales

11,44073.4％

13,584100.0％+18.7％+2,144

18,38073.9％

Cost of sales

7,909

73.6％

9,530

70.2％

+20.5％+1,62012,77974.6％

Gross profit

3,530

72.9％

4,054

29.8％

+14.8％

+524

5,601

72.4％

SG&A expenses

2,408

74.7％

3,191

23.5％

+32.5％

+782

4,397

72.6％

Operating profit1,121

69.2％

862

6.4％

-23.1％-258

1,20471.6％

Non-GAAP operating profit*

1,283

69.7％

1,076

7.9％

-16.2％

-207

1,521

70.7％

Ordinary profit

1,119

69.1％

866

6.4％

-22.6％

-252

1,206

71.8％

Profit attributable to owners ofparent

619

64.4％

521

3.8％

-15.9％

-98

727

71.7％

Number of consolidated technicalemployees (quarter end)*

2,203

－

2,824

－+28.2%

+621

3,024

93.4％

*To measure essential performance in profit, non-GAAP operating profit is calculated by adding depreciation costs, goodwill amortization and stock-based compensation expenses back to operating profit.
*The number of consolidated technicians & engineers is the number of employees at the end of the fiscal year including IT freelancers in the SES business.

©2023 COPRO-HOLDINGS. Co., Ltd. All rights reserved.

3

Quarterly Consolidated Financial Results• Both sales and the number of technicians in the third quarter increased from the previous quarter. Bothnumbers reached a record high on a quarterly basis.

5,000
4,421

4,500
4,038

4,148

4,249

2,824

3,000

2,394

3,555
3,500

3,500

2,574

3,846

4,000

4,914

2,203

2,086

2,500

2,201

1,957
2,000

3,000

2,500

1,500
1Q

2Q

3Q

4Q

1Q

FYE
2022
2022/3期
Consolidated net sales(million of yen)
QoQ change

No. of consolidated
technical employees(quarter end, people)
QoQ change

2Q

3Q

FYE 2023
2023/3期

3,555

3,846

4,038

4,148

4,249

4,421

4,914

-5.7％

+8.2％

+5.0％

+2.7％

+2.4％

+4.0％

+11.2％

1,957

2,086

2,203

2,201

2,394

2,574

2,824

-3.1％

+6.6％

+5.6％

-0.1％

+8.8％

+7.5％

+9.7％

連結売上高Consolidated

連結技術者数(期末)No. of consolidated

net sales

technical employees©2023 COPRO-HOLDINGS. Co., Ltd. All rights reserved.

4

SECTION 02
Major Initiatives inConstruction
Technician DispatchingBusiness©2023 COPRO-HOLDINGS. Co., Ltd. All rights reserved.

5

KPIs of Construction Technician Dispatching BusinessNo. of Technicians

Job Posting
Requests

No. of Hirings（incl. new grads）

Mid-Career Hiring
Costs per Technician

2,570people

24,049jobs

1,025people

406thousand yen(YoY +27.9％)(YoY+73.2％)(YoY +57.5％)(YoY +77.4％)◎◎〇△

Target Company
Assignment Rate

Contract Renewal
Rate

Permanent Employee
Ratio

Retention Rate

88.1％

82.9％

45.0％

79.0％

(YoY +2.3pts)◎(YoY +7.1pts)◎(YoY +24.3pts)〇(YoY +4.4pts)◎*◎ indicates better than expected or better than the previous FY’s performance, ○ indicates the performance is on par with the forecast or the previous FY’s performance,△indicates an improving trend, and × indicates the performance is below the forecast or the previous FY’s performance.
©2023 COPRO-HOLDINGS. Co., Ltd. All rights reserved.

6

Net Sales and Number of Technicians• The number of job posting requests acquired from client companies increased significantly by +73.2% YoY as aresult of raising the level of sales activities.
• The number of hires also grew due to the active investment of recruitment expenses. Sales increased steadily inline with the growth of the number of technicians owing to the interplay between sales and recruiting.

Net Sales

Number of Technicians（million of yen）

（people）

YoYYoY+788million yen, +20.8％YoY+1,699million yen, +15.4％+560people, +27.9％＋226＋157＋430＋192＋198＋110＋4

3,794

3,798

3Q

4Q

FYE
2022
22/3期

3,996

1Q＋32＋156-15

12,732
4,583

4,152

2Q
23/3期
FYE
2023

11,032

3Q

3Q累計
3Q累計
9 months
FYE
2022
22/3期

FYE
2023
23/3期

2,010

1,995

3Q
3Q

4Q
4Q
22/3期
FYE
2022

2,570
2,187

1Q
1Q

2,344

2Q
2Q

3Q
3Q

23/3期
FYE
2023

©2023 COPRO-HOLDINGS. Co., Ltd. All rights reserved.

7Expanding Mid-Career Recruitment• We prioritized top-line growth by securing workforce in the current fiscal year and actively invested in mid-career
hiring costs as an up-front investment.
As a result, the number of mid-career hires increased significantly by +60.8% YoY. For the full year, we are aiming
for a record high of 1,417 hires.

No. of Mid-Career Hires

Active investment on≪Record≫
Full year forecast

1,417people

Mid-Career
Hiring Costs◼ Raising the volume of fundamental
activities by managing andstandardizing indicators of therecruitment process

388million yen◼ Increasing the number of recruiting
staff and assigning a dedicatedperson to set up interviews to secure
workforce in the Tokyo, Nagoya, andOsaka areas, where construction
demand is high.

185.3％)(YoY+
Full year

776人

4Q

Full year

Major Initiatives

778人

957人

9 3Q累計monthsYoY+60.8％

604人

595人

Full-year
progress
rate 78%

Full-year
progress
rate 76%

Full-year
progress
rate 68%

FYE
2021
21/3期

FYE
2022
22/3期

FYE 2023
FYE 23/3期
2023

Overall Results on Mid-Career Hiring
Progress was generally in line with forecast,although it was slightly below the previous year.

©2023 COPRO-HOLDINGS. Co., Ltd. All rights reserved.

8Reducing Mid-Career Hiring Costs per Technician• To reduce the unit cost of mid-career hires, which deteriorated in the first half of this FY, we reinforced the process
management and the system of recruiting activities.
As a result, the unit cost improved to near the appropriate level due to an improvement in the applicant-to-hireratio.

Mid-Career Hiring Costs
per Technician

Major Initiatives◼ Shorting lead time from application to interview

Gap-104 thousand yen

1H (Apr to Sep)

◼ Shifting to have "interviews with the premise of passing"from “interviews with the premise of dropping" by appointing
hiring managers with a background in sales and marketing
who have a good understanding of customer needs and by
involving decision makers in the interview process.

450 thousand yen
3Q (Oct to Dec)

346 thousand yen
Full year

277 thousand yen

Overall Results on Hiring Costs
Improved-applicant-to-hire ratio hasbrought the unit cost of recruitment backon track to a generally appropriate level.

FYE
2022
22/3期
22/3期

23/3期

FYE
2023
23/3期
©2023 COPRO-HOLDINGS. Co., Ltd. All rights reserved.

9Improving Retention Rate
Enhancement of Follow-up Support for Technicians
Sales to target
companies

Stable assignment
with contract renewals

Promotion of shift topermanent employment

Target Company
Assignment Rate

Contract Renewal Rate

Permanent
Employment Ratio

88.1％

82.9％

45.0％

2.3pts)7.1pts)(YoY+24.3pts)

(YoY+

(YoY+

Overall Results on Retention Rate
Improved by offering an environment wheretechnicians can work without undue worries
9 months

79.0

4.4％（YoY+pts）◼ No. of TurnoverFYE2022
22/3期
3Q累計

661

9 months

23/3期
3Q累計
FYE2023

9 months

572

YoY-89people* Target company assignment rate: Percentage of employees assigned to target companies, such as super general contractors and other major general contractors and subcontractors.

©2023 COPRO-HOLDINGS. Co., Ltd. All rights reserved.

10

SECTION 03

Alliance
Initiatives©2023 COPRO-HOLDINGS. Co., Ltd. All rights reserved.

11Forming Business Alliance with SpiderPlus & Co.

Overview

What We Do

Progress

We signed a business allianceagreement to promote and reinforce
digital transformation in theconstruction industry.

Adding value to technicians

Seminar participants

Formation on
November 14,
2022

Conducting seminars on
SPIDERPLUS, a construction
digital transformation service,for newly assigned employees
every month

Accelerating introduction of"SPIDERPLUS
Introducing our client companies
and construction sites toSpiderPlus & Co.

187people

Produce technicians who canutilize "SPIDERPLUS"

On-site usage rate

20 ％*From November to December 2022

Strive to generate added value onto our technicians through the digitaltransformation seminars by further introducing "SPIDERPLUS" on-sites.

©2023 COPRO-HOLDINGS. Co., Ltd. All rights reserved.

12Forming Business Alliance with Blue innovation Co, Ltd. ①◼ We signed a business alliance on February 13, 2023
◼ We will improve productivity at construction sites by accelerating digitaltransformation application

Supporting construction
sites through dispatching
technicians

On-site reforming andsolving problems,
using drones and robots◼ Overview of the Business Alliance Joint promotion activities for “Blue Earth Platform®︎” Hold training for technicians of the COPRO Group to(BEP), the base platform provided by Blue innovation, tobecome a specialist in the use of drones and robots,

the clients of the COPRO Group.

specializing in construction and plant engineering.

©2023 COPRO-HOLDINGS. Co., Ltd. All rights reserved.

13Forming Business Alliance with Blue innovation Co, Ltd. ②Company ProfileCompany

Blue innovation Co, Ltd.

Headquarters

4F, ​Ichigo Hongo Building, 5-33-10 Hongo, Bunkyoku, Tokyo

President andTakayuki Kumada
CEOBusinessブルーイノベーション
事業イメージ画像を挿入（ドローンなど）
業務提携で合意した場合、先方へ依頼して入手

We are developing and providing the following
solutions with Blue innovation’s proprietary device
integration platform Blue Earth Platform at theircenter. Our platform enables digital transformation
and automation of various tasks by remote (BVLOS)
automatic control and cooperation of multiple drones,robots and various devices.
・ Digital Transformation of Plants, Factories and Water
Infrastructure Solutions
・Communication or Field Infrastructure MaintenanceSolutions

・Digital Transformation of Distribution and Logistics
Solutions・ Smart Office Solutions
・ Human Resource Development and Training Solutions(From left) Mr. Takayuki Kumada, President of Blue innovation Co.,
Ltd., and Kosuke Kiyokawa, President and Representative Directorof the Company©2023 COPRO-HOLDINGS. Co., Ltd. All rights reserved.

14

Forming Agreement with Nagoya Future Technical College• On February 10, 2023, we signed an agreement with Nagoya Future Technical College, which operates four
departments: Mechanical and Automotive Engineering, Architectural Design, Biomolecular Engineering, and IT,regarding collaboration in fostering "human resources" for regional revitalization.
• We will contribute to the facilitation of local construction activities, and the development and revitalization of thelocal community, mainly by fostering next-generation-professional human resources in the construction industry
through cooperative and collaborative educational activities.

Outline of the Agreement
 Financial support for students, including the“COPRO Group Scholarship Program" On-site education program for students
 Training programs for students
 Exchange of information on professional
education and working environment(From left) Mr. Hirofumi Morizono, President of Nagoya Future Technical College, andKosuke Kiyokawa, President and Representative Director of the Company©2023 COPRO-HOLDINGS. Co., Ltd. All rights reserved.

15

SECTION 04

Appendix©2023 COPRO-HOLDINGS. Co., Ltd. All rights reserved.

16

Financial Forecast for FYE2023• In the current fiscal year, priorities were placed on sales growth so that upfront investments were made namely onrecruiting costs.
• Net sales are expected to increase significantly due to the rise in the number of technicians. Operating profit andother profit are expected to decrease due to upfront investments in recruiting costs, etc.
（million of yen）

FYE2022
Full Year

FYE2023
Full Year
Forecast

YoY
Ratio

Percentage
Change(Revised on Nov. 14)

Amount Change

Net sales

15,58918,380100.0％+17.9％+2,791

Cost of sales

10,744

12,77969.5％+18.9％+2,034Gross profit

4,844

5,601

30.5％

+15.6％+756

SG&A expenses

3,223

4,397

23.9％

+36.4％+1,173Operating profit

1,621

1,204

6.6％

-25.7％-417

Non-GAAP operating profit*

1,841

1,521

8.3％

-17.4％-320

Ordinary profit

1,619

1,206

6.6％

-25.5％

-412

962

727

4.0％

-24.5％-235

Profit attributable to owners of parent(yen)
Earrings per share

102.1278.29－－-23.83

Dividends per share

40.0

40.0

－－－(people)

Number of consolidated technicalemployees (quarter end)*

2,201

3,024－+37.4％+823*To measure essential performance in profit, non-GAAP operating profit is calculated by adding depreciation costs, goodwill amortization and stock-based compensation expenses back to operating profit.
*The number of consolidated technicians & engineers is the number of employees at the end of the fiscal year including IT freelancers in the SES business.

©2023 COPRO-HOLDINGS. Co., Ltd. All rights reserved.

17Construction Technician Dispatching:Number of Technicians and Utilization Rate• The number of technicians at the end of the 3Q was 2,570 (+28.8% vs. end of previous FY, +27.9% YoY).

• In addition to the increasing number of hires and the decreasing number of retirements, we took over Hucoss Co.,
Ltd., and absorbed 122 technicians on April 1, 2022.
• The utilization rate for 9 months average was 96.6% (-0.3pts YoY). It remained at a high level although slightly
below the previous FY’s result due to the impact of paid leave due to the infection of COVID-19.

2,800

95.8%

97.4%

97.0%

97.3%

96.7%

96.6%

97.1%

96.3%

100%

2,700
90%

2,570（people）
2,600
2,500

80%Vs. end of
previous FY

2,400+
2,300

28.8％

70%
2,344

2,20060%
2,187

2,10050%
2,000

2,020
1,957

1,978

21/6月

21/9月

2,010

1,995

1,900

40%
21/3月

21/12月

22/3月

No. of
技術者数

technicians

22/4月

22/6月

22/9月

22/12月Utilization
稼働率Rate©2023 COPRO-HOLDINGS. Co., Ltd. All rights reserved.

18Construction Technician Dispatching:
Recruitment, Turnover and Retention Rate
• The number of hires for the 9 months was 1,025 (+374, +57.5% YoY).
• In addition to a significant increase in the number of applicants due to an active recruitment investment, we put ourefforts to shorten the lead time from application to interview so that the number of interviews increases. The
number of new hires in 3Q reached a record high on a quarterly basis.
• The 3Q retention rate (FY accumulative total) was 79.0%, an improvement of 4.4pts YoY. LTM retention rate for thelatest 1-year period was 72.7%, an improvement of 0.4pts QoQ.
Recruitment and Turnover（people）
FYE2022
1Q

2Q

3QFYE2023

9months

4Q

Full Year

1Q

2Q

3Q

Full Year
Forecast
1,025
1,501

9months

Hires total
New graduates and second
new graduates
Mid-career

230

208

213

651

183

834

293

315

417

56

0

0

56

0

56

54

2

12

174

208

213

595

183

778

239

313

Turnover total

293

187

181

661

198

859

223

158

68

84

405

957

1,417

191

572

885

Permanent employees

24

25

21

70

24

94

40

49

58

147

-

Fixed-term employees

269

162

160

591

174

765

183

109

133

425--63+21+32-10-15-25+226+453＋616

0000

0+70+122+157

000+122+122

1,957

1,978

2,010

2,010

1,995

1,995

2,187

2,344

2,570

2,570

2,733

Net change

Increase due to M&A, etc.
Number of technicians(quarter end)

Retention Rate
FYE2022
1Q

2Q

FYE2023
3Q

4Q

1Q

2Q

3Q

Retention rate (FYaccumulative total)

84.8％

79.3％

74.6％

69.4%

89.7％

84.2％

79.0％

Retention rate (LTM)

68.0％

69.5％

69.2％

69.4%

71.8％

72.3％

72.7％

*Retention rate (FY accumulative total): Among the technicians who were registered at the end of the previous fourth quarter, the percentage who were still registered at the end of the relevant quarter.
*Retention rate (LTM): Among the technicians who were registered at the end of the quarter one year ago, the percentage who were still registered at the end of the same quarter one year later.

©2023 COPRO-HOLDINGS. Co., Ltd. All rights reserved.

19

Mechanical Design and Development Engineer Dispatching and Contracting:Number of Engineers and Utilization Rate
• The number of hires expanded in accordance with the enhancement of the company's internal structure since theprevious fiscal year. As a result, the number of engineers increased steadily.
• The utilization rate for 9 months period remained at 97.5%. The utilization rate declined slightly from the previous
fiscal year due to the impact of the in-house training period associated with the reinforcement of the hiring of
inexperienced workers.
160

99.1%

150（people）

98.1%

99.1%

98.3%

96.7%

97.0%

98.6%

100%

148

90%

Vs. end of
previous FY

140+80%

27.6％

134

130

120

70%

60%

122
116

110

50%

111
108

106

100

40%
21/6月

21/8月

21/11月

22/3月

No.
of
技術者数engineers

22/4月

22/6月22/9月

22/12月

稼働率Utilization
Rate©2023 COPRO-HOLDINGS. Co., Ltd. All rights reserved.

20

Mechanical Design and Development Engineer Dispatching and Contracting:
Recruitment, Turnover and Retention Rate
• In addition to inexperienced personnel, recruitment of experienced ones especially, professionals withmanufacturing background continued working well.
• The retention rate has remained stable and high.
Recruitment and Turnover（people）
FYE2022

FYE2023

2Q(June-Aug)

3Q(Sep-Nov)

4Q(Dec-Mar)

2315

New graduated0000

1０011Mid-career

2315201323256184

Turnover total

55515811113023※

431277519-

Fixed-term employees

012314611-Net change
Number of engineers(quarter end)

-3

-2+10+5+6+12+14+32+62

108

106

116

116

122

134

148

148

178

Hires total

Permanent employees

5Full Year

1Q(Apr-June)

2Q(July-Sep)

3Q(Oct-Dec)

1423

25

20

Full-year
Forecast

9months
6285*For the 4Q of FYE2022, due to the change in the month that the FY ends, the results for the four months from December 2021 to March 2022 are included.

Retention Rate
FYE2022
2Q(June-Aug)

3Q(Sep-Nov)

FYE2023
4Q(Dec-Mar)

1Q(Apr-June)

2Q(July-Sep)

3Q(Oct-Dec)

Retention rate (FYaccumulative total)

95.4%

91.7%

88.9%

93.1%

89.7%

85.3％

Retention rate (LTM)

92.7%

90.8%

88.9%

84.7%

85.2%

84.9%

*Retention rate (FY accumulative total): Among the technicians who were registered at the end of the previous fourth quarter, the percentage who were still registered at the end of the relevant quarter.
*Retention rate (LTM): Among the technicians who were registered at the end of the quarter one year ago, the percentage who were still registered at the end of the same quarter one year later.

*For the 4Q of FYE2022, due to the change in the month that the FY ends, the results for the four months from December 2021 to March 2022 are included.
©2023 COPRO-HOLDINGS. Co., Ltd. All rights reserved.

21

SES: Number of Engineers Working and Number of Applicants• The number of applications rose. Steady increased in the number of engineers working due to the sequential
reinforcement of the sales structure.

Number of Engineers Working

Number of Applicants（people）（people）

106408Vs. end ofprevious FY+354

17.8％

96
250

91

90

213

87
85

70

21/10月21/12月

22/3月

22/6月

22/9月

22/12月

22/3期
3Q 3Q

22/3期
4Q 4Q

FYE 2022

23/3期
1Q 1Q

23/3期
2Q 2Q

23/3期
3Q 3Q

FYE 2023©2023 COPRO-HOLDINGS. Co., Ltd. All rights reserved.

22

Disclaimer and Forward-Looking Statements◼ This document has been prepared by COPRO-HOLDINGS. Co., Ltd. (the “Company”) to assist investors inunderstanding the current status of Company.
◼ The information contained in this document is based on economic, social, and other conditions generally recognized
as of the date of publication and on certain assumptions deemed reasonable by Company. However, the information

may be modified without notice due to changes in the business environment or other factors.
◼ Materials and information provided in this document include so-called "forward-looking statements”. These forwardlooking statements are based on current expectations, forecasts and assumptions that involve risks anduncertainties that could cause actual results to differ materially from these statements.
◼ These risks and uncertainties include general industry, market conditions, general domestic and international
economic conditions such as interest rate and currency exchange rate fluctuations.

◼ Company undertakes no obligation to update or revise any forward-looking statements contained in this document,
whether as a result of new information or future events.

Contact
COPRO Holdings Co, Ltd.
Corporate Planning Office,
IR Strategy Promotion Section

Message us via IR website

Telephonehttps://copro-h.co.jp/en/contact/+81-120-253-066©2023 COPRO-HOLDINGS. Co., Ltd. All rights reserved.

23