FY2023.Q3 Financial Results Briefing Materials
February 13th, 2024

Message

Gross profit was 4.52 billion yen, up to 20.0% year on year.
Both gross profit and operating income reached record highs in Q3.
In the Ad platform business, gross profit increased 13.8% year on year due toexpansion in new areas such as video and dynamic advertising.
In the Marketing SaaS business, the enterprise segment of SFA/CRM has grown, thenumber of contracted development projects has increased and gross profit increased
by 36.4% compared to the same quarter of the previous year.
In the Overseas business, aim to further strengthen our business foundation, PMI of
Zelto was promoted at the Company's initiative and gross profit increased 31.7% year
on year.

1

Topics.
CPV billing function released
Issues and Background•
Began offering CPV* billing
function in GENIEE DSP, in which
advertising fees are charged••

The expansion of the market for video advertising (YouTube, etc.), leading to the demand forvideo advertising on web media is increasing.
Before, the charges were incurred based on the number of views, so charges will be incurred
when the displayed video is displayed
One of the key indicators in video advertising is "how often users watch the displayed video”

when a video is viewed for acertain number of seconds.

New billing structureThis enables us to reach out tousers efficiently, which

new
featu
re

CPV billing
CPV (Cost Per View) billing

contributes to the developmentof new clients.

Billing occurs when an advertising video isviewed for 6 seconds.
(If less than 6 seconds, no fee will be charged)

CPV (Cost Per View) Billing: A
billing format that charged for eachviewing of a video advertisement.

2© Geniee, Inc.

Efficient distribution with nowaste in distribution costs
and efficient reachBilling
structure

Billing terms

CPC
Billing

Charge per click (1Click) for Ads

CPM
Billing

Charge per 1,000
impressions

CPV
Billing

Charge per 6
seconds of video
playback time viewed(passed)Topics.
JAPAN AI New ProductAI solution that simultaneously
achieves the world's highest

Issue• There are issues with the accuracy of transcription and it has not been fully automated.
• A separate system is required to be able to tell who has spoken what (speakerseparation), which requires operational costs and data processing time.

accuracy (*1) and high speed (*2)

cancellationtranscription and speakerseparation.
"GENIEE Speech AI" wasdeveloped.

1: Conforms to OpenAI's officialtranscription system "whisper large-v3".
2 : 18 times higher than OpenAI's officialtranscription system "whisper large-v3(according to our own research)

Feature ❶Immediate confirmation of
conversation content with
reduced processing time
Infrastructure cost
reductions reduce the real
burden3© Geniee, Inc.

Feature ❷Feature ❸Automatic speakerseparation

Linkage allows automaticrecording of
conversations into
various systems such as
minutes and call logs

1. Business Overview
2. FY2023.Q3 Results
3. Advertising Platform
Business
4. Marketing SaaS Business
5. Overseas Business6. Medium-term and Long-term
policy© Geniee, Inc.

Purpose

Business Purpose
The worldview realized by Geniee products and services

Creating a world where everyone can succeed in marketing

Corporate Purpose
Long-term goals and purpose of Geniee

Becoming a global technology originating from Japanand contributing to Japan and Asia

5

⚫

GENIEE Group provides comprehensive support for solving increasingly complex andsophisticated marketing challenges.

⚫

Aiming for creating a world where marketing hurdles are lowered, and companies canspread high value-added products and services to society more smoothly.

• GENIEE Group aims to be...

Task
Advertising
effectiveness
optimization

Ad revenue
optimization
Effectivenessmeasurement

Ads

A world where everyone
can succeed in marketing

Data
Data
analysis
accumulate
Organizational and System Issues
Data visualization

Combination ofmultiple systems

Recruitment
and training

Cost control

Data centralizationData
cooperation
Customer success

6

Content andmarketingNurturing

Customermanagement
Sales
standardization andefficiency• One-stop
platform• Diverse Products
Domains•

High cost-performance•

Automation and streamliningof operations

Business Portfolio andConsolidated Gross Profit Trend

Gross profit

5.1billion yen)

In FY2016, the main business“GENIEE SSP” became one of theMarketing SaaS Business
2022/7*biggest business in Japan.
In 2016, Geniee began offering SaaS
2022/2

products and expanding its businesswith mergers and acquisitions.

2022/1

Overseas operations have been

2021/11

expanding since 2012, and theacquisition of ZELTO in 2023 is
expected to significantly increase the2021/7*Advertising Platform
Business

2020/112018/11*

ratio of overseas sales to total sales.
2018/6

Overseas Business2023/3

2016/7
2019/2

2015/1
2014/3
2011/4
Areas served

FY2011

Singapore Vietnam
2012/82013/9Indonesia

2023/2

2015/9FY2015FY2017FY2018FY2019FY2020

FY2021 FY2022※Those in red were acquired through M&A. Currently, GENIEE CHAT has integrated the brands of the old Chamo, the old Engagebot, and the old HyperSonic.

7© Geniee, Inc.

Business Areas
We provide companies with highly
convenient, cost-effective marketing
solutions and deliver accurate to

Ad

Data
accumulation

Customer management

Data linkage

Data analysis

users.

Ad Platform Business

Awareness

8© Geniee, Inc.

Visits site

Marketing SaaS BusinessCompares,considers

Reserves/
VisitsPurchase

Repeatpurchase

Prevent
cancellation

Conversion
to high-quality
customerMarket Size
Online Advertising Market Trend
The marketing technology industry(Online Advertising Market and SaaS

Newspapers

Magazines

Radio

TV

SaaS Market Trend

Internet

market) in which Geniee operates is（trillion yen）

growing rapidly due to theimprovement of the Internet and the（trillion
35 yen）

1.2

3.0
30

1

expansion of the digitaltransformation.

2.5

25

0.8

2.0

20

0.6
1.5

15

0.4
1.0
10

0.2

0.5
5

0

15 16年
16 17年
17 18年
18 19年
19 20年
20 21年
21 22年
22 （Year）
15年
Source: Dentsu Inc., "Advertising Expenditures in Japan"

9© Geniee, Inc.

2019
19年

2026
(Forecast)
24年（予想）Source: Fuji Chimera Research Institute, "Software Business New Market 2020 Edition”

Market Size
The target market that our services

TAM:

can provide is approximately 3 trillion

5.2 trillion yen

yen, and the potential market is(Total for Ad Platform Business, Marketing SaaS Business and Overseas Business)

estimated to be approximately 5

The size of the market where Geniee operate business ※1

trillion yen.
※1 Total of advertising platform business, marketing SaaS businessand overseas business (SSP). It means the maximum market size
assumed by Geniee and is not calculated for the purpose of
showing an objective market size for the businesses operated by
Geniee in FY2023. (Refer to the search advertising market, SNSadvertising market, display advertising market, affiliate advertisingmarket, DOOH ad serving platform market, and other peripheral
markets in the "2020 Japanese Advertising Expenditures: Detailed
Analysis of Internet Advertising Media Expenditures" survey
conducted by Dentsu Inc. (See the search advertising market,
SNS advertising market, display advertising market, affiliate
advertising market, DOOH ad serving platform market, and otherperipheral areas in "Detailed Analysis of Internet Advertising Media
Expenditures in Japan 2020" by D2C Research Institute, Inc.
(Cross-sectional tabulation).
※2 Total of advertising platform business, marketing SaaS business,and overseas business (SSP). The potential market size of theadvertising platform business is the sum of the market share that
could be obtained from the respective market sizes in searchadvertising, SNS advertising, display advertising, affiliate
advertising, DOOH advertising, and other peripheral domains,
taking into account the industries and characteristics of target
customers for each service domain provided. (Prepared by Geniee
based on "2020 Japanese Advertising Expenditures: Detailed
Analysis of Internet Advertising Media Expenditures" by Dentsu
Inc., Dentsu Digital Inc. and Cyber Communications, Inc. and D2C
Research, and "Martech Market Status and Outlook FY2019" by
MIC Economic Research Institute.
The potential market size of the marketing SaaS business is thetotal annual spending money by all potential customers if each
SaaS product is introduced at all potential customers of the Groupin Japan. All potential customers are classified into the largest,large, medium, small, and micro businesses according to the sizeof the number of employees. The number of potential customers
was calculated by assuming the percentage of companies using
the service and the number of employees using the service foreach business size. Prepared by Geniee based on the 2016
Economic Census - Activity Survey: Summary of Enterprises, etc.,
Cross-sectional Industry Data.

10© Geniee, Inc.

SAM:

2.9 trillion yen(Total for Ad Platform Business, Marketing SaaS Business, and Overseas Business)
The size of the market where Geniee can offer our services※2

SFA, CRM, MA, Chat, Site

SearchSSP, DSP, DMP, DOOH

Obtainable markets in near
futureMarkets that can be obtainedby strengthening andextending current products
and services

Potential markets

1. Business Overview
2. FY2023.Q3 Results
3. Advertising Platform
Business
4. Marketing SaaS Business
5. Overseas Business6. Medium-term and Long-term
policy© Geniee, Inc.

FY2023
Financial Summary
cumulative total(millions of yen)

Both revenue and gross profit

FY20223Q(a)grew in each business segment,

FY20233Q(b)Inc/Dec(b-a)
Amounts％

FY2023（Plan）

with revenue up 24.9% year on
year and gross profit up 20.0%

Revenue

4,718

5,892

+1,174+24.9%

8,400

Gross profit

3,766

4,520

+753

+20.0%

6,600

Operating Profit

802

1,236

+434

+54.1%

1,800

Income before Tax

841

1,079

+237

+28.2%

1,500

Net income

630

867

+236

+37.5%

1,300

Net Income
attributable toowners of parent

635

861

+225

+35.5%

1,300

year on year, continuing strong
performance.

Operating income and otherincome increased as a result of

reducing the earn-out payment
amount due to the review of
Zelto's management structurethat occurred in Q2.

12© Geniee, Inc.

FY2023
Quarterly Results
Both revenue and gross profit

sales revenue

Gross profit

Operating income(100 millions of yen)
25.0

21.3
21.3

reached record highs.

19.6
20.0

15.7

14.6
15.0

11.7

17.3
16.5

16.7

12.5

13.4

17.9

16.4
15.0

13.7

13.7

10.0

7.7
normalbusinessbenifit

3.6

5.0

2.4

1.9

3.5

normalbusinessbenifit

3.2

1.0

2.2

0.0

1Q

2Q

3Q
FY2022

13© Geniee, Inc.

4Q

1Q

2Q
FY20233Q

By Segment
Highlights(100 millions of yen)

Advertising Platforms
businessmarketing
SaaS Business

Overseas Businesssales revenue

sales revenue

sales revenue

31.3

19.7

9.5

Segment income

Segment income

Segment income

16.0

Ref.

14

© Geniee, Inc.

Operatingincome

9.6

1.8

1.7

Ref.

Operating
loss

4.1

Ref.

Operating
1.1
income• Succeeded in developing thevideo domain, which had not
yet been explored on the
supply side.

• In SFA/CRM, the enterprise tier
was developed and contracted
development projects
increased.

• PMI is being promoted under
our leadership and further
strengthen our businessfoundation.

• On the demand-side, we arestrengthening collaboration
with advertising agencies in"KANADE DSP," and dynamic
advertising is growing.

• In CATS, sales revenue
increased due to a change inthe billing format and anincrease in contracted
development projects.

• Zelto reached high in sales
revenue in November.

By Segment
Percentage change in performance
Although the advertising platform

sales revenue

business is the main business,the proportion of marketing SaaS

Segment income(millions of yen)(millions of yen)business and overseas businesswith high market size and market

2,500

900

800

growth rate is gradually

15%

2,000

15%

increasing.
1,500

In the SFA/CRM area of theMarketing SaaS business, large

11%
26%

12%
30%

13%

11%

29%

32%

16%

600

32%
32%

33%

400
300

500

63%

58%

1Q

2Q

58%

56%

51%

51%

53%

0

0

profitable since 4Q FY2022.

3Q

FY2022Advertising Platform Business
Overseas Business

15© Geniee, Inc.

200
100

gross profit minus business
SG&A expenses, has been

500

1,000

enterprise orders are increasing,and segment profit, which is

700

4Q

1Q

2Q
FY2023Marketing SaaS Business

3Q

-100
1Q

2Q

3Q

4Q

1Q

FY2022Advertising Platform Business

2Q

3Q

FY2023Marketing SaaS Business

Overseas Business1. Business Overview
2. FY2023.Q3 Results
3. Advertising Platform
Business
4. Marketing SaaS Business
5. Overseas Business6. Medium-term and Long-term
policy© Geniee, Inc.

Advertising Platform Businessadvertisers
Use in promotion
Technology that displays

Technology that displays

personalized ads

personalized ads

Provides high profitability for• Ad platform for maximizing advertising revenue

Providesprofitability formedia
and highhigh costmedia and highcosteffectivenessfor advertisers
effectiveness for advertisers• Uses GenieeSSP’s ad inventory, one of the largest inJapan• Attracts quality audiences at low cost
• 80B impressions per month available
Monetizes ad space
publisher

17© Geniee, Inc.

80B impressions per month ・0.1B UU

YoYAdvertising Platform Business

Gross Profit Trends

Increase of

13.6％(100 millions of
yen)
12.0

9.7

Gross profit increased 13.6%
year on year.
10.0
Succeeded in developing thevideo domain, which had not yet
been explored on the supplyside.
On the demand-side, we arestrengthening collaboration withadvertising agencies in"KANADE DSP," and dynamic
advertising is growing.

8.6
7.1

8.0

6.0

4.0

2.0

0.0
1Q

2Q

3Q

FY202118© Geniee, Inc.

4Q

1Q

2Q

3Q

FY20224Q

1Q

2Q
FY20233Q

Advertising Platform Business

KPI

Number ofCompanies(*1)

Company unit sales increased(Number ofCompanies)

3,000

2,000

due to acquisition of new media
and increase in unit price of

1,000

existing media.
020/6 20/9 20/1221 /3 21/6 21/9 21/1221 /3 22/6 22/9 22/1222 /3 23/6 23/9 23/12
FY2020
Average revenue
per company(*1)

FY2021

FY2022

FY2023(Average revenue per company)
20.0
15.0

10.0
5.0
0.0
20/6 20/9 20/1221 /3 21/6 21/9 21/1221 /3 22/6 22/9 22/1222 /3 23/6 23/9 23/12

FY2020

FY2021

FY2022

FY2023(*1) Calculated based on net figures. In addition, from this fiscal year, the advertising management agency and DOOH figures are calculated byaddinginformation including information compared to previous years.

19© Geniee, Inc.

1. Business Overview
2. FY2023.Q3 Results
3. Advertising Platform
Business
4. Marketing SaaS Business
5. Overseas Business6. Medium-term and Long-term
policy© Geniee, Inc.

Marketing SaaS BusinessHighlights
Sales revenue, ARR, and other

Revenue/Year-on-Year Growth Rate

Recurring ratio (*1) / YoY growth rate

results were favorable.

1,973 / +43.3%

81.3 % / +4.1 points

The increase in the number of(100 millions of yen)accounts due to the expansion of
the enterprise segment and themaintenance of a low churn rate

Gross profit rate

ARR / YoY growth rate

due to highly satisfactory

73.7%

2,017 / +16.4%

customer success havecontributed to the expansion of(100 millions of yen)business performance.

Segment income

ARPA/YoY growth rate

177

17,011/ + 7.4%(100 millions ofyen)(*1) Calculated based on figures 12 months back from the end of the period.

21© Geniee, Inc.

(yen)

YoY

Marketing SaaS Business

Sales Revenue Trends

Increase of

36.4％(100 millions of
yen)

8.0

6.9

Revenue increased 36.4% year on
year.

7.0

Quarterly sales also reached a

6.0

5.1

record high.
5.0
In SFA/CRM, the enterprise tier
was developed and contracted
development projects increased.

In CATS, sales revenue increased
due to a change in the billingformat and an increase incontracted development projects.

4.0

2.8

3.0

2.0

1.0

0.0
1Q

2Q

3Q

FY202122© Geniee, Inc.

4Q

1Q

2Q

3Q

FY20224Q

1Q

2Q
FY2023

3Q

Marketing SaaS Business

KPI

YoY
Increase of

Number of paid accounts

28.6%(Pieces)

The number of accounts grewsteadily as the enterprise tier was

18,00012,000developed with SFA/CRM.
6,000

Even after receiving an order,
additional development credits

020/6

and cross-selling to other

20/9 20/12 21 /3

21/6

FY202021/9 21/12 22 /3

22/6

FY2021

22/9 22/12 23 /3
FY2022

23/6

23/9 23/12
FY2023services are realized.

Cancellation rate
The churn rate continues toremain at a low level of less than

2.0%

1%.

1.5%
1.0%
0.5%
0.0%
1Q

2Q

3Q

FY2021*3-month average churn rate for accounts

23© Geniee, Inc.

4Q

1Q

2Q

3Q

FY20224Q

1Q

2Q
FY2023

3Q

Marketing SaaS Business

Ratio of SG&A expenses to sales
R&D(*1)(*2)

S&M(*1)(*3)

G&A(*1)(*4)

R&D is trending downward due toan increase in MRR and an

43%43%42%
41%40%
41%
39%
39%
38%
37%

42%

increase in the proportion ofsoftware recorded due togeneral-purpose development forenterprises.

18%
16%17%
15%
14%
13%
12%
11%11%
11%
10%

15%
15%
14%
14%
14%
13%
12%
11%
10%10%10%

The S&M ratio for FY2022 istrending upward due to anincrease in the number ofbusiness-side members.

G&A is also on the rise due to theincrease in corporate staff.

1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q

FY2021

FY2022

FY20231Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q

FY2021

FY2022

FY2023

FY2021

FY2022

FY2023(*1) Calculated based on figures going back 12 months from the end of the quarter.
(*2) Abbreviation for Research and Development. The sum of personnel costs for engineers and related expenses for research and development.
(*3) Abbreviation for Sales and Marketing. The sum of advertising expenses for sales promotion, personnel expenses for sales personnel, and related expenses.
(*4) Abbreviation for General and Administrative. The total of personnel costs, related expenses, and common expenses of the corporate departments that should beborne by the Marketing SaaS business.

24© Geniee, Inc.

1. Business Overview
2. FY2023.Q3 Results
3. Advertising Platform
Business
4. Marketing SaaS Business
5. Overseas Business6. Medium-term and Long-term
policy© Geniee, Inc.

Overseas Business
Overseas locations
Started overseas expansion in 2012.
Overseas development of a platformthat maximizes advertising revenue
and effectiveness for Internet media
and advertisers, mainly in the fast-

growing Asian region.

In February 2023, Zelto, Inc. will bemade a wholly owned subsidiary, andGeniee will not only develop GENIEE
SSP overseas, but also collaborate
and expand functionality of Zelto
product services.

Business•••

Developed business in Europe, the U.S., and the APAC region, and established a position as the market
leader in the advertising revenue optimization domain in the APAC region.
In addition to providing Google's reseller business and GENIEE SSP, Zelto offers Adpushup (adrevenue optimization solution) and Adrecover (ad inventory monetization solution) services.
Zelto has been certified as a GCPP Premier Partner* by Google.

※ Only a select number of partners who have met strict criteria and have expertise and skills in Google Ad Manager/AdSense are certified.

26© Geniee, Inc.

YoY

Overseas Business

Gross Profit Trends

Increase of

31.7％(100 millions of
yen)

1.9

Gross profit increased 31.7%
2.0

year on year.
Quarterly sales also reached a

1.8

1.5

record high.
1.6
1.4
1.2

0.8

1.0

0.8
0.6
0.4
0.2
0.0
1Q

2Q

3Q

FY202127© Geniee, Inc.

4Q

1Q

2Q

3Q

FY20224Q

1Q

2Q
FY2023

3Q

Overseas Business

Zelto’s PMI Progress

Record the highest
Sales Revenue
in this term

Sales Revenue Trends

Zelto’s PMI is being promoted
under our leadership and further
strengthen our businessfoundation.
Sales revenue and operating
income reached record highs in
November.
Although CPM/RPM (cost per
advertisement) may fluctuate
depending on market conditions,the number of advertisers and23/4
4月

total PV will continue to trend

23/5
5月

upward.

23/6
6月

7月
23/7

23/8
8月

23/9
9月

23/10
10月

11月
23/11

23/12
12月

FY2023

24/1
1月

24/2
2月

24/3
3月

(Forecast)

We will Implement cost reduction
measures such as cross-selling
products within the Geniee

Organization& Strategy

Understanding
Business Issues

CEO Team Driven
elimination of a deficit
strategic planning

100% repeat upsell for large Acceleration of new sales
existing customers
Cross-selling of products
Cross access of group
Cost reduction measures
products

Short-term PMI
execution

Understanding thegovernance structure

Business Integration ofOverseas Divisions

Group and replacing servers toincrease profitability from thenext fiscal year onwards.

28© Geniee, Inc.

Management

Improvement of
Personnel System/Corporate Integration

1. Business Overview
2. FY2023.Q3 Results
3. Advertising Platform
Business
4. Marketing SaaS Business
5. Overseas Business6. Medium-term and Long-term
policy© Geniee, Inc.

Planning Assumptions
In FY2023, Geniee will strengthen its
profit structure through cost

External Environment

Investment Philosophy• In FY2023, we assume the impact of
declining demand for advertising due
to recession in major developed
countries as a result of rising interest
rates.

• Continue to invest in new technology
areas that will become sources ofcompetitiveness and in development
necessary to secure competitive
advantage• In FY2024, the recession will return to
the level of FY2022, and in FY2025, therecession will end as a result of lower
interest rates in the U.S., and theeconomy will begin to recover.

• On the other hand, until the timing of
the prime market change, we will not
conduct large-scale M&A that will havea significant impact on our group's
management structure.

reductions against the backdrop of
declining advertising revenues due tothe recession in the U.S.
For FY2024 and beyond, which willbe the recovery period, Geniee will
resume investment in growth and,after the change of prime market, will
aggressively pursue M&A withsynergies with existing businesses.

30© Geniee, Inc.

New Medium-Term Management Plan
Overall Policy

Business Strategy
Marketing
SaaS Business

Ad Platform BusinessAlthough a short-term recession isStrengthening ofmanagementfoundation

expected, Geniee will provide
SSP
area

innovative business for the next
boom period by promoting

DSP
area

Further Growth

operational efficiency and productSustainability

New Product,
Expand market sharein existing areas

enterprise
Territory Expansion• Expand use of RMP
through businessalliances• Focus on marketing
initiatives with highROI

improvement by expanding its market
share in the enterprise domain andDomestic

establishing an AI subsidiary, along• Expand market sharein unexplored areas
and enterprise areas• Expand market sharein performance areawith re-growing its ad technology• Reinforcement oflarge distributors

business.
Newbusiness

Establishment of a subsidiary for AI businessand collaboration in the marketing domain• Chat GPT to support business efficiency• Further improvement of our products using
AI

Overseas• Sales of ZELTO products in Japan andabroad• Global coordination of resources andmanagement functions© Geniee, Inc.

• Increase in the ratioof foreign nationals

Productivity• Gross
Profit/Employees• Improving Corporate
Operational
Efficiency with CHATGPT

Monitoring Systemand strengthen
governance• Each KPI indicator
Weekly management

Collaboration between domestic and overseas suppliers

31• Increase ratio of
female employees• Goal management by
OKR• Strengthen
management systemfor prime market
changesMid-term Management Plan
target value
Although we revised our full-year
forecast in FY2023, we are

FY2023(Plan)
at first

FY2023(Plan)
Revised 11/9

9.6 billion yen

8.4 billion yen

16.2 ~ 20.2

7.8 billion yen

6.6 billion yen

13.2 ~ 16.4

2 billion yen

1.8 billion yen

4.5 ~ 5.5

1.5 billion yen

1.3 billion yen

3 ~ 3.7

FY2025(Plan)

assuming our original plan for

FY2025 based on the assumptionthat the recession will recover.

sales revenue

Gross profit

OperatingincomeNet income
attributable tothe parent
company

billion yen( ) Exchange rate assumptions are 131.18 yen to the U.S. dollar for FY2023 and 124.50 yen to the U.S. dollar for FY2025.

32© Geniee, Inc.

billion yen

billion yen

billion yen

FY2023
Full Year Earnings Forecast(Millions of yen)
FY2023 (Plan)at first

FY2023 (Plan)
Revised 11/9

6,455

9,661

8,400

Advertising PF Business

3,918

4,819

4,300

Marketing SaaS Business

1,976

3,173

2,900

783

1,686

1,400

△223

△20

△200

Gross profit

5,142

7,804

6,600

Segment income

2,457

2,006

1,800

Advertising PF Business

2,163

2,683

2,200

Marketing SaaS Business

85

608

400

338

700

300

△131

△1,985△1,100

2,457

2,006

1,800

Advertising PF Business

1,417

1,697

1,300

Marketing SaaS Business

△545

△260

△ 400

273

588

200

(Adjustment)

1,312

△18

700

Income before income taxes

2,279

1,912

1,500

Net income attributable toowners of the parent

2,114

1,506

1,300

FY2022 (Actual)sales revenue

Overseas Business(Adjustment)

Overseas Business(Corporate and elimination,etc.)

Operating income

Overseas Business

FY2023 (Forecast) Earnings per share 73.50 yen

33© Geniee, Inc.

FY2023
Quarterly Forecasts

sales revenue

Gross profit

Operating income(100 millions of yen)

Sales revenue grew every quarter.
30.0
The advertising platformbusiness has seasonality inrevenues, and plans to increase

25.0

21.3
19.6

revenues in the second half ofthe year, which is the peak

20.0

season.

15.7

14.6
15.0

11.7

17.9
17.3
16.5

16.7

12.5

13.4

13.7

13.7

15.0

16.4

7.7

10.0

5.0

3.6

2.4

1.9

normalbusinessbenifit

3.5

normalbusinessbenifit

3.2

1.0

2.2

0.0
1Q

2Q

3Q
FY202234© Geniee, Inc.

4Q

1Q

2Q

3Q
FY2023

4Q(Forecast)Trends in stock prices
We will ensure the growth ofGeniee in the short, medium andStock

Gross profit(Yen)(100 millions of yen)

2,500

1,800

long term, strengthen IR, and
1,600

lead to a rise in the stock price.
2,000

1,400
1,200

1,500

1,000
800
1,000
600
400

500

200
0

0
1Q

2Q

3Q
FY202235© Geniee, Inc.

4Q

1Q

2Q
FY2023

3Q

APPENDIX

Geniee's
Competitive Advantage

Competitive products, synergies among businesses, and global
expansion

With our organization, culture, andmanagement foundation, we havebuilt a system that enables us to

SSP

DSP

Businessdevelop additional functions at each

SEARCH and
Recommendation

CHAT andEffectivenessMeasurementbusiness layer through competitive

analysis of products, cross-sell

SFA/CRM/MA

products to homogeneous customer
segments, and expand globally
through group cooperation.

Managementfoundation

Organization& Culture37© Geniee, Inc.

Monitoring

Capability• Count management basedon MTB, OBR, OKR, KGI,and KPI• High sales and development
capabilities• Product manager andbusiness developmenttraining environment

Business/ technology
workforce is
Nurturing Culture

Highest salary andIncentive of Internet
Advertising Industry in Japan

High productivity• Customer Sharing• Company-wide data
integration• AI Infrastructure

Globalknowledge

Positioning

Software & Professional Services
Total coverage from solution selection to productimplementation and operation

We have created a unique positioningthat sets us apart from major foreigncompanies, major online advertising
companies, and single productcompanies.

Focus oncost-effectivenessfor customers
Provide customers withmaximum businessresults at low cost38

© Geniee, Inc.

Comprehensive
Products company
Extensive productlineup that solves
marketing issues
single-handedly

Organic Growth x M&A

Glocal Business Activities

Aggressive execution of M&A toaccelerate organic growth of existing
businesses

Global development with
regional considerations

Strong commitment to customer successThree reasons customers choose us

All products are developed in-house.
We have a large team of customer
success personnel who partner withcustomers to enable their success.
We tailor our support to the1

2Japan-made marketing toolsthat anyone can master

Easy management,
Aggregation andanalysis of customers
and sales

3

challenges and applications of eachcompany, from deployment toestablishment and utilization.

39© Geniee, Inc.

Robust support

Big Data/Technology
Big Data Processing Technology

Use of AI

High-speed data processing technology
capable of handling hundreds ofthousands of requests per second

DSP equipped with AI-based automatic
bidding function• Approx. 15 terabytes of data processed daily—among the top in Japan• Custom-built distribution system infrastructurewith on-premise servers• Data center in Singapore also used to support overseas distribution
40© Geniee, Inc.

• Automatic control of bids (unit price) and delivery volume
maximizes conversions while fulfilling target CPA• AI-powered machine learning algorithm trains with vast amounts ofdata to accurately predict conversion rates with a contextual
understanding of users and auctions

Knowledge of cutting-edge digital transformation and marketing
By using the vast data of ourCustomer assets/datacustomer companies, we add value
to our products and improve thequality of our services. Promoting the

Number of ad views per month

Active customers

80B Impression

3,000companies

cross-selling of products in turnleads to an increase in averagerevenue per customer.

Blog / column

Useful tips on digital marketing

41© Geniee, Inc.

Investing in Continuous Growth
Cash OutCash InIn FY2023, we expect an operating
profit of 1.8 billion yen, and we
expect operating cash flow to be ourprimary priority for the acquisition ofPriority

Operating Cash Flow
Securing operating cash flow
thorough business management

Zelto.

through1

Business Investments
Investments in organic growth in existing
business recruitment, research, marketing,and product function development.

While controlling funding costs, we
mainly secure operating cash flow
and secure a stable cash position.
On the other hand, in terms ofinvestment, we will promote business

Interest-bearing debt
In accordance with Geniee's financial
management discipline, working andinvestment capital is procured.

2

M&A
Acquisitions of businesses with highsynergies, such as sharing technology,know-how, and customer baseinvestment and M&A whileemphasizing organic growth.

Equity Financing
Examinationfromacomprehensive
perspective such as stock price level,
market environment, financial position, andprobability of transition to the prime market

42© Geniee, Inc.

3

Share buyback
Implemented flexibly in consideration of
future investment capacity, stock pricelevels, market environment, financial
outlook, etc.

Risks and Response Policy
In order to realize the Medium-Term
Management Plan, we identified andassessed risks through global risk

Key Risks

relationsegment

Example Risk Scenarios

Main Response Policies

Internet AdvertisingMarket Trends andCompetitive
Environment

Ad Platform
Business,
Overseas
Business

Potential decline in revenue due to economic
downturns, reduced advertising budgets, and lackof competitiveness• Approaching industries and industries thatare less susceptible to influence• Benchmark competitors and makecontinuous technology investments

Cookie Regulation

Ad Platform
Business,
Overseas
Business

Potential loss of revenue due to targeting
restrictions• Development of new technologies• Technical Collaboration with Other
Companies

Information Security andManagement of Personal
Information

Marketing SaaS
Business

Outflow of information assets such as customer
information of companies that have introduced
SaaS products• Acquisition of Privacy Mark certification,
continuous maintenance and improvementof standards regarding the management of
personal information

All Businesses

Possibility of declining competitiveness,
additional system development, and increasedlabor costs due to the development of newtechnologies and new services by competitors• Development of new technologies• Analysis of Overseas Advanced Case
Studies• Technical Collaboration with Other
Companies

management activities andformulated a response policy. We will

respond promptly and appropriately
to the materialization of risks.

innovation

Risks of Overseas
Business

Overseas
Business

Entry into new service
areas

All Businesses

Acquisitions andinvestments

43© Geniee, Inc.

All Businesses

Due to business practices and government
regulations specific to each country, the Groupmay not be able to recover its investment, which
may affect the Group's financial position andoperating results.
Due to the timing of the upfront investment
associated with entering a new market and the
speed of market expansion and the scale of growth,
we may not be able to achieve the results weoriginally envisioned, and we may incur losses due
to service suspension or withdrawal.
Occurrence of contingent or unrecognizedliabilities, fraudulent activities or complianceissues due to inadequacies in internal controls
after the acquisition, and the possibility ofsignificant losses• Confirmation of regulatory changes by alocal legal advisory firm
• Information Coordination between
Overseas Subsidiaries and Headquarters• Interviews with multiple experts• Overseas Advanced Case Study Survey• Deferred upfront investment until potential
customers are monetized• Implementation of due diligence by various
internal and external experts• Thorough utilization of M&A know-how andpoints to keep in mind accumulated in thepastSustainability
Examples of Initiatives and Results
Among ESG, we place particularemphasis on society and governance,and have adopted a wide range of•In order to make effective use of resources, reduce environmental impact,
and improve operational efficiency, we request the conclusion of
quotations and basic contracts with electronic signatures in principle.

•

Introduced a cloud-based HR, attendance, accounting, and expense
reimbursement system to achieve thorough paperless operation•

There is a comfortable working environment such as refreshment leave, rent
subsidy, book subsidy, and a working mom and dad support system, as well as
support for career advancement such as an internship system, a job changesystem, and a global challenge system.

•

In order to promote the active participation of female employees, we are
actively hiring female employees and promoting them to managerial positions,and we will continue to promote the development of an environment where itis easy to work together regardless of gender.

•

Assign appropriate human resources globally, such as assigning excellent
overseas human resources to the head office and appointing head officepersonnel at overseas bases•

Hold regular meetings of the Compliance Committee and ensure that employees
are fully aware of the sexual harassment and power harassment policies•

The ratio of outside directors is high, and checks and balances from outside
directors function appropriately.

•

As a company with an Audit and Supervisory Committee, we supervise andsupport internal audits and external audits to ensure the reliability andtransparency of information related to financial reports.

Environment

systems to provide fair opportunities
to employees, promote career

motivation, and promote internal
communication. In addition, we place
importance on governance as a listedcompany, and have established a

Socialsystem to ensure that employees
thoroughly implement a code of
conduct to ensure that their duties
are conducted lawfully andappropriately, and to enhance thereliability and transparency offinancial reporting.

Governance44© Geniee, Inc.

SDGs Goals

Geniee platform, partnership with SoftBank Group
Overseas expansion since our third

Asia

Collaboration with the SoftBank Group

year. We have also implemented
numerous business alliances and80 billion+410,000+50,000+investment M&As. We will fully

Impressions
Managed per monthInternational
Offices (JP HQ)

ActivePublishers globally

Campaigns
managed per monthglobally

leverage these advantages throughcollaboration with the SoftBank• Ad distribution service using jointly
developed advertising platform• Cross-border ad distribution service toattract customers for inbound and cross-Group.

border EC• Formulation and assessment of plans forjoint projects in Southeast Asia

Indonesia
No.1 Mobile Carrier

45© Geniee, Inc.

Company Profile
Company name

Geniee, Inc.

Employees

566 (Consolidated, as of March 31, 2023)

Business

Ad platform business
Marketing SaaS business
Overseas business

Establishment

April 14, 2010

Headquarters

Sumitomo Realty & Development Shinjuku Oak

CapitalJPY 1,551 million

Tower 6th Floor, 6-8-1 Nishi Shinjuku,
Shinjuku-ku, Tokyo 163-6006
Representative

Tomoaki Kudo, President and CEO

End of fiscal year

March 31

Executive officers

Directors: Koichi Machida (Outside)Group companies

Business Search Technologies Corporation
CATS Inc.
JAPAN AI Inc.
Zelto, Inc.
Geniee International Pte., Ltd.
Geniee Vietnam Co., Ltd.
PT. Geniee Technology Indonesia
PT. Adstars Media Pariwara

Director and Audit & Supervisory Committee Members:
Katsuyuki Toritani (Full-time, Outside)
Yukio Todoroki (Outside)
Yoshitaka Sasaki (Outside)46© Geniee, Inc.

Status of Shareholders (as of the end of September 2023)
Status of Major Shareholders

Shareholders

Number ofshares held

Name of Shareholder（share）

Shareholding
ratio
（％）

Tomoaki Kudo (President & CEO)6,544,400

36.44

SoftBank Corp.

5,625,000

31.32

Foreign corporations, etc.
4.9%
Officers of
Other legal entities

Geniee32.9%
NICE SATISFY LIMITED

402,000

2.24

Custody Bank of Japan, Ltd.（Trust
Account）

401,100

2.23

Takuya Yoshimura

358,300

1.99

Daisuke Gomi

250,000

1.39

Hiroshi Hirose

226,500

1.26

BNY GCM CLIENT ACCOUNT JPRD AC
ISG（FE-AC）

193,700

1.08

Ueda Yagi Tanshi Corporation

140,000

0.78

SBI Neotrade Securities Co., Ltd.

137,900

0.77

36.5%

Financial Instruments Business
Operators
2.8%

47© Geniee, Inc.

financial institution
2.8%

Individuals & Others
20.2%

The consolidated management targets and other figures stated in this document are based on
currently available information and contain many uncertain elements.
Actual results may differ due to changes in business conditions.