Results for FY2020
Supplementary Materials

May 11, 2021
Benesse Holdings, Inc.

Forward-Looking Statements

This presentation contains forward-looking statements concerning the future plans,strategies, beliefs and performance of Benesse Holdings, Inc. and its subsidiaries.
These forward-looking statements are not historical facts. They are expectations,estimates, forecasts and projections based on information currently available to theCompany and are subject to a number of risks, uncertainties and assumptions. As
such, actual results may differ materially from those projected.

1Results by Segment (YoY)(Millions of Yen)

Education Business in Japan
Global Kodomo Challenge
Nursing Care and Childcare
Berlitz
OthersTotal Net Sales
Education Business in Japan
Global Kodomo Challenge
Nursing Care and Childcare
Berlitz
Others/Reconciliations
Total Operating Income
Ordinary Income
Net Income

FY2019FY2020Change%200,393
56,555
122,868
45,02023,739448,577
14,042
2,654
11,374(3,152)(3,652)
21,266
16,7596,289

205,789
55,175
123,807
26,401
16,358427,531
12,035
1,613
10,393(6,715)(4,237)
13,089
9,260
3,122

5,395
(1,380)939(18,618)(7,381)(21,045)(2,006)(1,041)(980)(3,562)(585)(8,176)(7,499)(3,166)

2.7
(2.4)
0.8
(41.4)(31.1)(4.7)(14.3)(39.2)(8.6)－－(38.4)(44.7)(50.3)

2

Analysis of Net Sales/Operating Income (YoY)(Billions of Yen)

Education Business in JapanNet Sales

Global Kodomo Challenge

Shinkenzemi : increase in cumulative enrollment

8.5

School & Teacher Support business : impact of temporary school closures due to COVID-19, etc.

(1.9)

Cram schools / English education : impact of the voluntary halt of business over COVID-19, etc.

(1.2)

Japan :increase in cumulative enrollment / impact of concerts cancellation, etc.

0.2

Overseas : impact of concerts cancellation in China, etc.

(0.6)
(0.9)

Forex rate impact

Nursing Care and Childcare

Increase in nursing home residents / due to higher sales in the childcare business, etc.

Berlitz

BTS : temporary language center closures due to COVID-19 / impact of franchising conversion in Spain and Belgium, etc. /liquidation of business in France, etc.
ELS : impact of the halt marketing due to university campus closures in the USA

0.9(17.4)

Forex rate impact(1.2)

No sales contribution from Simul International, Inc, due to its sell-off, etc. *(6.2)

Impact of hotel closures in the Naoshima business due to COVID-19, etc.

(1.1)

Shinkenzemi : due to higher sales / increase products revison cost, etc.

4.8

Due to lower sales in the School & Teacher Support business; Cram schools and English education business, etc.

(6.8)

Japan : due to higher sales / due to lower sales in the concerts business, etc.

0.0

Overseas : due to lower sales / investment in strategic / Forex rate impact [-0.1], etc.

(1.0)

Nursing Care and Childcare

Due to higher sales / improve wages for staff / higher labor costs as increase in the No. of nursing homes, etc.

(0.9)

Berlitz

Due to lower sales / lower cost, etc.

(3.5)

Others/Reconciliations

Due to lower sales, etc.

(0.5)

Others

Education Business in Japan

Operating Income

Global Kodomo Challenge*The Company transferred all shares of Simul International, Inc, to TAKARA & COMPANY LTD. as of March 31, 2020

3FY2021 Forecast(Millions of Yen)FY2020Net Sales

FY2021(Forecast)

Change%427,531441,000

13,469

3.2

Operating Income

13,08917,500

4,411

33.7

Operating Income ratio（%）

3.1

4.0

0.9ー

Ordinary Income

9,260

12,000

2,740

29.6

Net Income

3,122

5,000

1,878

60.1

Exchange Rate(USD/JPY)

106.67108.001.33ー

4（Reference）Segment change
Main business

Main business
Education
Business inJapan

Education
Business inJapan

Correspondence courses (Shinkenzemi)
School & Teacher Support business
Cram schools / Classroom・English
education business, etc.

Correspondence courses (Shinkenzemi)
School & Teacher Support business
Cram schools / Classroom・English
education business, etc.

Japan and overseas preschool cours（Kodomo Challenge）

Global KodomoChallenge

Japan and overseas preschool courses（Kodomo Challenge）

Kids & Family

Nursing Careand Childcare

Nursing Care
Nursing Care Peripheral
Childcare

Nursing Careand Childcare

Nursing Care
Nursing Care Peripheral
Childcare

Berlitz

Berlitz

Berlitz

Berlitz

Lifestyle（Tamago Club, Hiyoko Club, etc.）

OthersCorporate expenses, HQ cost, etc.

OthersCorporate expenses, HQ cost, etc.
※English Education for pre-school business
The company has revised its segment of from in Education Business in Japan to in Kids & Family.

5Lifestyle（Tamago Club, Hiyoko Club, etc.）

FY2021 Forecast by Segment(Millions of Yen)FY2021

FY2020
Education Business in Japan
Kids & Family
Nursing Care and Childcare
Berlitz
OthersTotal Net Sales
Education Business in Japan
Kids & Family
Nursing Care and Childcare
Berlitz
Others/Reconciliations
Total Operating Income(Forecast)

204,40271,856
123,807
26,401
1,062
427,531
11,917
2,169
10,393(6,715)(4,675)
13,089212,800
74,000125,800
27,2001,200
441,000
17,6002,500
7,000(3,200)(6,400)17,500Change%

8,398
2,144
1,993
799
138
13,4695,683
331(3,393)
3,515(1,725)
4,411

4.1
3.0
1.6
3.0
13.0
3.2
47.7
15.3
(32.6)ーー
33.7

Note: The Company has revised its classification of reportable segments from FY2021 (Forecast) ended March 31, 2022. For a numerical comparison between the forecast
for the fiscal year ended March 31, 2022, information for the fiscal year ended March 31,2021 has been presented based on the new classification after this change.
Moreover, figures by segments for the fiscal year ended March 31, 2021 has not been audited and may be subject to change.

6Analysis of Net Sales/Operating Income (Forecast)(Billions of Yen)

Education Business in JapanNet Sales

Kids & Family

KodomoChallenge

Shinkenzemi : decrease in cumulative enrollment(0.3)

School & Teacher Support business : recovery from the impact of COVID-19, etc.

1.4

Cram schools / English education : recovery from the impact of COVID-19, etc.

7.3

Japan : impact of the price revision / due to higher sales in the concert business, etc.

2.3

Overseas : due to change of the tax benefit in China, etc.

(0.9)
2.7

Forex rate impact
Impact of accounting standard change for revenue recognition, etc.

(2.0)

Increase in nursing home residents / impact of accounting standard change for revenue recognition, etc.

1.9

Recovery from the impact of COVID-19, etc.

0.4Forex rate impact

0.3

Shinkenzemi : due to lower cost, etc.

1.2

Due to higher sales in the School & Teacher Support business; Cram schools and English education business, etc.

4.4Japan : due to higher sales in the correspondence course / due to higher sales in the concerts business, etc.

0.9Overseas : due to change of the tax benefit in China / Forex rate impact [+0.2](0.7)

Due to higher sales, etc.

0.1

Nursing Care and Childcare

Due to higher sales / higher labor costs as increase in the No. of nursing homes / impact of accounting standard change forrevenue recognition, etc.

(3.3)

Berlitz

Due to higher sales / lower cost, etc.

3.5

Others/Reconciliations

Strategic investment, IT investment, etc.

(1.7)

LifestyleNursing Care and Childcare
Berlitz

Education Business in Japan

Operating Income

Kids & FamilyKodomo
Challenge
Lifestyle7

Education
Businessin Japan

Breakdown of Net Sales(Millions of Yen)FY2019FY2020Change%Ratio(%)

Senior High School

11,801

12,529

728

6.2

6.1

Junior High School

26,08527,405

1,320

5.1

13.3

Elementary School

55,86762,346

6,479

11.6

30.3

56,92355,008(1,915)

(3.4)

26.7

Other

49,71548,499(1,216)

(2.4)

23.6

Total

200,393205,789

5,395

2.7

100.0

School & Teacher
Support8

GlobalKodomo Challenge

Breakdown of Net Sales(Millions of Yen)FY2019
Kodomo Challenge

FY2020Change%Ratio(%)

18,57319,801

1,228

6.6

35.9

27,13926,531(607)

(2.2)

48.1

Other

10,8418,841(2,000)(18.5)

16.0

Total

56,55555,175(1,380)

(2.4)

100.0

in Japan (Preschool)
Overseas Kodomo
Challenge (Preschool)9

Education
Business (Japan)
Global
Kodomo Challenge

Cumulative Enrollment for Shinkenzemi and Kodomo Challenge【Cumulative Enrollment for Shinkenzemi】(Thousands）

FY2019FY2020Change%Senior High School

1,369

1,374

5

0.4

Junior High School

4,124

4,310

185

4.5

Elementary School

13,64515,024

1,378

10.1

19,13920,7091,569

8.2Total【Cumulative Enrollment for Kodomo Challenge (Preschool)】

FY2019FY2020(Thousands）

Change%Kodomo Challenge in Japan (Preschool)

9,469

9,870

400

4.2

Overseas Kodomo Challenge (Preschool)

14,78914,334(455)

(3.1)

Total

24,25924,204(55)(0.2)•Note1: Cumulative enrollment represents the cumulative total No. of people who receive materials monthly (from April to March).
•Note2: Cumulative enrollment for Kodomo Challenge in China, Taiwan and Indonesia represents the cumulative total No. of people who receive materials monthly.
Cumulative enrollment for China and Indonesia represents the cumulative total No. of people who receive materials monthly (from January to December), due tothe differences of those closing dates ended December 31 st.

10

Education
Business (Japan)
Kids & Family

Enrollment for Shinkenzemi and Kodomo Challenge as of April (Japan)(Thousands)

As of April

2020

2021

Change%Senior High School150

140(10)(9.4)

Junior High School

420

410

(10)

(1.8)

Elementary School

1,330

1,360

30

2.9810810(0)

(1.1)

2,710

2,720

100.3

Kodomo Challenge (Preschool)
Total (Japan)

11Kids & Family

Enrollment for Kodomo Challenge as of April (Overseas)

As of April

China
TaiwanTotal (Overseas)(Thousands)

2019

2020

1,100

1,120

20

2.0

80

90

10

9.9

1,180

1,210

30

2.6

12Change%Nursing Careand Childcare

No. of Nursing Homes and Elderly Houses

March 2020

Sep. 2020

March 2021

Aria

242425

Clara

40

40

39

146

147

152

Madoka57

5757

Bon Sejour

47

49

49

Cocochi

1415

15

Li-Re

222Total

330

334

339

Occupancy Rate of

95%

93%

93%

Granny & Granda

Existing Facilities

13Berlitz

Berlitz No. of Lessons by Region (Berlitz operated)

Years ended December 31(Thousands of Lessons)

2019

2020

%

Americas1,123996(11.3)

Europe2,594

1,475(43.1)

Asia

1,599

1,086(32.1)

Total

5,317

3,558(33.1)

Three months ended March 31 (Preliminary figures)

2020(Thousands of Lessons)

2021

%

Americas

244

264

8.3

Europe484386(20.3)

Asia

339

241(29.0)

Total

1,068

891

(16.5)•Note:The No. of lessons in Europe has decreased by 1,119 thousands YoY. This decrease includes a reduction of the No. of lessons （644 thousands）
due to franchising conversion and liquidation of business.
The closing date for Berlitz is December,31. Three months ended March 31,2021 may be subject to change, due to Preliminary figures.

14

CAPEX／Depreciation and Amortization(Millions of Yen)

CAPEX
(Details) Lease Assets

FY2019FY2020Change22,66029,243

6,583

7,999

11,477

3,478

274

3,153

2,879

14,385

14,612

226

19,885

18,885(999)

Goodwill
OthersDepreciation and Amortization

15

Shareholder Return【Dividend per Share/Dividend Payout Ratio】
FY2018Dividend per share(yen)Dividend payout ration(%)

FY2019FY2020

FY2021(Forecast)

5050

5050

98.2

76.6

154.3

96.4

16