FY2021 Second Quarter Financial Result

Creating the Ways We Live
August17, 2021 (Tue.)
2021年8月17日（火）WORLD HOLDINGS CO., LTD.
First Section of Tokyo Stock Exchange (2429)

Contents
I. Summary of FY2021 Second Quarter Financial Results
Summary of Financial Results
Overview of Business Results
Overview of Business Results by Segment
Details of Each Segment
Financial Condition B/STopics

… P4
… P5
… P6
… P7
… P18
… P20

II. Outlook for the Term Ending Dec. 2021
FY2021 Business Forecast
FY2021 Full-year Business Forecast by Segment
Shareholder Returns

… P24
… P25
… P26

III. Appendix
Profile of World Holdings

Copyright © WORLD HOLDINGS CO., LTD. All Rights Reserved

… P27

2

I. Summary of FY2021 Second Quarter
Financial Results3Summary of Financial Results

Overall summary⚫ Our mainstay Human Resources and Education Business performed well and led theentire Group, and sales and profit exceeded the estimate.
⚫ Sales and profit declined year on year, as large-scale property was delivered in the Real
Estate Business in the first half of the previous term, but the Real Estate Business, too, washealthy and in line with the plan for this fiscal year.
⚫ Aim to create synergy between the Human Resources and Education Business and theReal Estate Business.

Summary of each business⚫ Performed well especially thanks to the Factory Business, which is the main business, exceeding the estimate
considerably.

Human
ResourcesandEducation
Business

Real EstateBusiness
Information
andTelecommunications
Business

Other[Factors for favorable performance]✓ Increase of transaction amount through linkage among “seamless” domains while taking advantage of a wide
rage of business areas.
✓ Determination of focused areas such as 5G and logistics and the subsequent success of strategic investment.
✓ Able to respond flexibly because we placed top priority on the “maintenance of employment” amid COVID-19
pandemic.
✓ Some businesses benefited from special demand from COVID-19 pandemic due to appropriate sales
strategies.

⚫ Continuing to conduct business operations carefully during the real estate bubble.
⚫ Prepare for the reversal of the market, save funds and conduct finance business.
⚫ A major transformation period came again as the cell-phone distributors
introduced their new plans in the wake of COVID-19 and the request from the
Ministry of Internal Affairs and Communications to reduce the cell-phone bills.
⚫ Other business was significantly affected by the stagnant number of visitors andthe temporary closure of the flagship facility “Harvest Hill” in Osaka in the wake ofthe repeated declaration of a state of emergency, etc.

Copyright © WORLD HOLDINGS CO., LTD. All Rights Reserved

4Overview of Business Results⚫ Sales and profit greatly exceeded the estimate thanks to the Human Resources andEducation Business, which performed strongly.
⚫ The negative numbers indicated in “YoY” include the effect of delivery of large-scale property by
the Real Estate Business in the first half of the previous term, while net income in the previous
term includes the tax effect following the sale of subsidiaries.
(Unit: Million yen)

2020/2Q
actual2021/2Q
estimate

2021/2Q
actualAgainst estimate
ChangePct. Change

YoY
ChangePct. Change

Net sales

70,84463,65765,047

1,390

2.2%

-5,796-8.2%

Operating income

2,773

1,302

2,452

1,149

88.2%

-321

-11.6%

Ordinary income

2,872

1,283

2,621

1,338

104.3%

-251

-8.7%

Net income attributable toowners of parent

2,497

886

1,891

1,004

113.3%-605-24.3%

Copyright © WORLD HOLDINGS CO., LTD. All Rights Reserved

5Overview of Business Results by Segment(Unit: Million yen)

2020/2Q
actual2021/2Q
estimate

2021/2Q
actualAgainst estimate
ChangeFactory Business

Human
ResourcesandEducation
Business

Technology
Business

R&D Business

Sales & Marketing
Business

Total (reference)
Real EstateBusiness

Real EstateBusiness

Information andTelecommunications
Business

Information andTelecommunications
Business

Other

OthersTotal

Net sales
Segment income(Profit margin)
Net sales
Segment income(Profit margin)
Net sales
Segment income(Profit margin)
Net sales
Segment income(Profit margin)
Net sales
Segment income(Profit margin)
Net sales
Segment income(Profit margin)
Net sales
Segment income(Profit margin)
Net sales
Segment income(Profit margin)
Net sales

33,102
1,662

25,111957

30,9141,229(3.8%)(4.0%)(5.0%)

8,353
886

8,481
624

8,538
954

(10.6%)(7.4%)(11.2%)

3,515
381

3,759
331

3,915
447

(10.8%)(8.8%)(11.4%)

1,941
3

2,010
-78

2,445
-27

(0.2%)--

38,922
2,228

45,1662,106

48,002
3,036(5.7%)(4.7%)(6.3%)

25,541
1,835

11,66998

10,481400(7.2%)(0.8%)(3.8%)

5,252
275

4,734
200

4,944
93

(5.2%)(4.2%)(1.9%)

1,126
-369

2,087
100

1,619
-83

-

(4.8%)-

Operating income

70,844-1,196
2,773

63,657-1,202
1,302

65,047-994
2,452(Profit margin)(3.9%)(2.0%)(3.8%)

Elimination or corporate

Copyright © WORLD HOLDINGS CO., LTD. All Rights Reserved

Pct. Change

YoY
ChangePct. Change

2,187
433

7.1%
35.2%

7,991
705

31.8%
73.7%

57
330

0.7%
52.9%

184
67

2.2%
7.6%

155
115

4.1%
34.9%

399
65

11.4%
17.3%

435
51

21.6%
-

503
-30

25.9%
-

2,835
930

6.3%
44.2%

9,079
807

23.3%
36.3%

-1,187302-10.2%
308.2%-15,060-1,435-59.0%-78.2%

210
-106

4.4%
-53.2%

-308
-181

-5.9%
-65.9%-468-183-22.4%
-

492
286

43.7%
-

1,390
207
1,149

2.2%
88.2%

-5,796
201
-321

-8.2%
-11.6%

6

Major initiatives the Human Resources Segment Has
Continuously Implemented

HR

To improve seamless linkage
In the manufacturing field, we cover a wide range of sectors ranging from upstream to downstream ones,
including “Factory,” “Technology,” “R&D,” and also “Sales & Marketing,” realizing seamless linkage. We
aim to enhance synergy and take a cross-sectoral approach to clients.

To undertake more tasks
In addition to the dispatch of individual workers, we promote the dispatch of teams and the undertaking of tasks.
Through this business, we aim to accumulate skills, train workers, improve stability that will not be swayed by thechanges in the economic environment, and enhance productivity to increase our earning capacity. Especially, in thelogistics field, we aim to complete the systems for undertaking tasks and establish a consortium.

To train personnel
By training workers, we will meet a variety of needs from clients, and by cultivating managers, we will develop a
more advanced system for undertaking tasks. On the other hand, our company will become attractive for
employees because they can improve their skills and advance careers in our company.

Contributed to the stable business expansion amid the unprecedented
hardship like COVID-19 pandemic
Copyright © WORLD HOLDINGS CO., LTD. All Rights Reserved

7

<Composition Ratio of Sales and Segment Income of
Human Resources Segment>HR⚫ Factory Business, which is the main business, performed well and led the entire Group. As a result,results were much better than those in the previous term and the estimate.
⚫ We aim to differentiate ourselves from other competitors through linkage among seamless domains
which can deal with multiple business areas.
⚫ Through appropriate marketing strategies, we met the special demand associated with the measuresagainst COVID-19, which improved business results.

◆Sales composition+9,079(Million yen)

30,000Up 23.3%
Up 6.3%50,00040,000◆Segment income

45,16638,922

4.5%
8.3%

5.0%
9.0%

18.8%

48,002
5.1%
8.2%
17.8%

YoY
(Based on
monetary
amount)+25.9％+11.4％+2.2％

Up 36.3%+807(Million yen)

3,500

3,036

Up 44.2％

3,000

14.7%

2,500

2,228

2,106

2,000

0.1%
17.1%

15.7%

31.4%

21.5%

1,500

20,000

29.6%

39.8%

1,000
66.2%

65.9%

54.7%

+31.8％
500

64.4%

58.4%

43.0%

10,000002020/2Q
actualFactory-500

2021/2Q
estimate

Technology

R&D

2020/2Q

actualSales & Marketing

-0.8%

-3.7%

actualFactory

Copyright © WORLD HOLDINGS CO., LTD. All Rights Reserved

2021/2Q
estimate

Technology

R&D

actualSales & Marketing8

<The Number of Staff Members of Overall Human
Resources Segment>

HR

Workers in the Factory Business, which is the main business, increased considerably.
⚫ The number of enrollments increased significantly due to the cultivation of new logisticsrelated bases.
⚫ 5G-related business was strong and semiconductor/machine-related business also
increased.
◆Variation in the number of staff (3-month average)*

4,496/Up 20.3％(Persons)

30,00027,54325,00022,124
19,88720,00015,000

1,514
1,091
2,880

1,543
1,028
2,655

1,541
1,120
2,778

23,099
1,437
1,095
2,925

26,62025,759
1,665
1,114
2,745

2,076
1,207
2,943

■ Factory
22,103

10,00014,661

16,6392020/2Q

2020/3Q

2020/4Q

Technology

R&D

5,000

20,235

20,3932021/1Q

2021/2Q

Increase due
to seasonalreasons
related tologistics

17,642+3,754
Up 22.6％02020/1Q

Factory

Sales & Marketing*The number of staff in the Factory Business includes external staff members accepted from other companies.

Copyright © WORLD HOLDINGS CO., LTD. All Rights Reserved

9Factory BusinessHR⚫ Sales and profit grew considerably, as the business performance in the field of semiconductors, which is themainstay, and the field of semiconductor manufacturing equipment, etc., was healthy thanks to the recovery of
5G-related demand and automotive demand.
⚫ Increased operational capacity in the logistics segment following the opening of new logistics-related bases lastyear.
⚫ On-site capability improved by placing top priority on the maintenance of employment and continually
implementing training even amid the COVID-19 pandemic. In addition, the production output at each increased.
◆Sales composition◆Segment income
YoY(Based on
monetary (Million yen)amount)Up 31.8%(Million yen)

35,00030,914
25,111Up 13.9%
7.1% 3.2%

25,000Up 73.7%

1,750

33,10230,000◆Variation in the number of staff (3-month average)*

+4.2％

1,662
Up 35.2%

1,500

15,00010,000

3.6%
5.0%
13.2%
3.0%

12.7%

+238.1％

11.5%+14.4％+82.0％

4.1%

1,250
1,000

+3,754
Up 22.6％

20,393[525]

16,639
[286]

5,217

4,546

1,137

1,229
15,000957
1,013

10,000750
38.4%

20,000+17.5％

17.6%

20,000*Parentheses signify the(Persons) number of new employees.

+36.9％

14,039

500

37.0%

5,000
5,000

11,079

250
16.1%

20.6%

+3.2％

0
2020/2Q
actualElectric & Electronics
Semiconductors
Others02021/2Q
estimate
Logistics
Machinery

actual2020/2Q
actual02021/2Q
estimate
actualAutomobiles
Environment & Energy*We have not disclosed the estimate by segment.
Copyright © WORLD HOLDINGS CO., LTD. All Rights Reserved

2020/2Q
2021/2Q
Other companies/acceptance
Entrusted by overseas and government office
Number of staff*The number of staff is a three-month average. External staff
members accepted from other companies are included.
*Number of staff included only staff members who are
engaged in on-site operation work.

10Technology BusinessHR⚫ After the outbreak of COVID-19, all sectors are on a recovery trend. We will grow the semiconductorbusiness based on seamless linkage with the Factory Business.
⚫ We aim to provide technological capabilities with higher quality by reviewing the hiring methods andaccelerating the improvement of skills and advancement of careers of engineers through humanresource development.

◆Sales composition(Million yen)

◆Segment income
YoY(Based on
monetary
amount)Up 2.2%

10,000

8,353

8,481

8,000

6,000

4,000

886

24.7%

25.6%

+6.4％

9.1%

11.3%

+27.0％

9.1%
4.7%

8.0%
4.5%

-9.9％
-2.9％

21.0%

20.2%

-1.4％

*Parentheses signify the(Persons) number of new employees.

Up 7.6%(Million yen)

1,000

8,538
Up
0.7%

◆Variation in the number of staff (3-month average)*

Up
52.9%

954

3,000

800

624
600

2,880
[180]

2,943
[153]

470

524

1,608

1,555

803

864

2,000

400
1,000

2,000

200
30.6%

31.3%

0

+0.3％

0
2020/2Q
actual2021/2Q
estimate

OthersAutomobiles
Information and telecommunications service

actual2020/2Q
actual2021/2Q
estimate
actualConstruction technology
Machinery
Semiconductors*We have not disclosed the estimate by segment.
Copyright © WORLD HOLDINGS CO., LTD. All Rights Reserved

02020/2Q
2021/2Q
Construction, repair and other technology
Design development
Production technology*The number of staff is a three-month average.
*Number of staff included only staff members
who are engaged in on-site operation work.

11

R&D BusinessHR⚫ The researcher dispatch section saw the growth of sales and profit, as medicine-related bio, chemical,
and analysis sectors performed well.
⚫ This segment benefited from special demand from COVID-19 pandemic such as PCR testing andvaccines.
⚫ We provided clients with technologies for their core operations and strived to increase transactions in
new fields, making preparations for further growth in the next term.
◆Sales composition◆Segment income
YoY(Based on
monetary
amount)Up 11.4%(Million yen)

Up 4.1%
4,000

3,000

3,759

3,915

◆Variation in the number of staff (3-month average)*

500

3,515

8.7%

-2.3％

9.9%

8.7%

+6.5％

35.0%

+14.4％

400*Parentheses signify the(Persons) number of new employees.

Up 17.3%(Million yen)

Up 34.9%

447

1,000

381

9.9%

331

34.1%

1,200

1,091
[84]
93

800
600

+5.8％

25.7%

+20.0％

72

300

2,000
23.2%

1,207
[94]

1,136
931

200
400

24.4%

1,000
100
23.9%

0
2020/2Q
actualBiotechnology

ChemicalAnalysis002021/2Q
estimate

200

2020/2Q
actualactualPV clinical2021/2Q
estimate

actualCRO*We have not disclosed the estimate by segment.
Copyright © WORLD HOLDINGS CO., LTD. All Rights Reserved

2020/2Q
R&D staff

2021/2Q
DOT staff*The number of staff is a three-month average.
*Number of staff included only staff members
who are engaged in on-site operation work.

12

Sales & Marketing BusinessHR⚫ The effects of COVID-19 lingered in the tourism industry, but we steadily grew the existingdomain of offices and call centers and met the special demand related to COVID-19 andthe Olympics.
⚫ We established new call centers, promoted the undertaking of light-duty work, andundertook in-store sales agency operations, to expand our business.
◆Sales composition◆Segment income

Up 25.9%(Million yen)

◆Variation in the number of staff (3-month average)*(Million yen)

(Persons)

100
Up 21.6%

2,000

2,010
2,000

2,076

2,445

2,500

50

1,514

1,941
1,500

3
1,500

0
1,000

1,000

-27

-50

500

500

-78

-100

0
2020/2Q

actual2020/2Q

2021/2Q

estimate

actualactual02021/2Q

estimate

Office/Call centers

actual2020/2Q

2021/2Q

Tourism

Copyright © WORLD HOLDINGS CO., LTD. All Rights Reserved*The number of staff is a three-month average.
*Number of staff included only staff members
who are engaged in on-site operation work.

13

Vision Related to M&A and Tracks of our Self-Growth

HR

M&A

We basically pursue
self-growth without
relying on M&A for
growth.

Commissioned developmentof software

M&A only if it
is required forour growthstrategy

SAIHI INFORMATIONSERVICE CO., LTD.
CREATION VIEW CO., LTD.

Development and operation of apps formatching job seekers and employers
WAKRAK, INC.

Sales of existing businesses
Total sales of thehuman
resources
segment

M&A-related sales(Million yen)

27,074 34,032 40,099 45,184 51,633 66,041 75,038 77,774 83,142
2.7%

2.7%

2.3%

2.7%

Ratio ofM&A-related sales

0.3%

2012

1.6%

2013

1.3%

2014

1.8%

2015

2.1%

2016

2017

2018

Copyright © WORLD HOLDINGS CO., LTD. All Rights Reserved

2019

100,000
90,00080,00070,00060,00050,00040,00030,00020,00010,0000

2020

14Real Estate Business

RealEstate⚫ Sales and profit declined from the previous term, because large-scale property was delivered in the firsthalf of the previous term, but this fiscal year, the progress toward the forecast is healthy, as ourtransactions will be made mainly in the fourth quarter.
⚫ While the prices of real estate remain high, we conduct business carefully.
⚫ We bring out new synergetic effects through the cooperation between Tokyu Land Corporation and the
Human Resources and Education Business of our company.
◆Sales composition◆Segment income(Million yen)

(Million yen)

25,541

2,000

Down 59.0%

Down 78.2%
1,835

25,0001,500
20,00015,000100.0%

1,000

11,669Down
10.2%

10,000

10,481Up 308.2%
500

400

100.0%

5,000

98
02020/2Ｑ
actual02021/2Q
estimate

actual2020/2Ｑ
actualCopyright © WORLD HOLDINGS CO., LTD. All Rights Reserved

2021/2Ｑ
estimate

actual15

Information and Telecommunications Business

I&C⚫ A major transformation period came again in the industry as the cell-phone distributors introduced their
new plans which are available only online.
⚫ Profit considerably decreased temporarily due to scrap and build for constructing an excellent store
network, implementation of sales promotion measures and upfront investment for human resource
development.
⚫ We will continuously promote dominant strategies as well as measures to enjoy the profit of theremaining players.
◆Sales composition◆Segment income
Down 5.9%(Million yen)

6,000

5,252
5,000

9.8%

4,734

4,944
Up 4.4%

11.6%

YoY(Based on
monetary
amount)+11.2％(Million yen)

200

3,000

150
90.2%

88.4%

-7.8％

1,000

275

250

4,000

2,000

Down 65.9%

300

200

Down 53.2%

93

100
50

0

0
2020/2Q
actual2021/2Q
estimate

Mobile phone shop business

2021/2Q
actual2020/2Q
actual2021/2Q
estimate

2021/2Q
actualCorporate solutions business*We have not disclosed the estimate by destination.
Copyright © WORLD HOLDINGS CO., LTD. All Rights Reserved

16Others

Other⚫ Agricultural park management was significantly affected by the voluntary restraint of going out and thetemporary closure of “Sakai Greenery Museum Harvest Hill,” which is a flagship facility in Osaka in thewake of declaration of a state of emergency.
⚫ We aim to improve its presence as a relaxation facility required in the region by popularizing it as an
outdoor facility where we can avoid crowds and reeling in visitors appropriately by utilizing its feature.
◆Sales composition◆Segment income
YoY(Based on
monetary
amount)

UP 43.7%(Million yen)

2,087
2,000

◆Number of visiting customers(Million yen)

(Persons)

200

12

100

Down
22.4%

100
10

1,619
3.9%

1,500

+61.5％

1,126
1,000

0

8
-100

3.5%
81.8%

+51.0％

-83

-200

500

-300
14.3%

18.7%

2020/2Q
actualSchool/Web design
Others2021/2Q
estimate+10.5％
-400

2

-369
2020/2Q

actual

6
4

77.9%

0

Exceeded theprevious year

actual2021/2Q
estimate

actual0Jan. Feb. Mar. Apr. May Jun. Jul. Aug.Sep. Oct. Nov.Dec.

Agricultural park

(2Q total)*We have not disclosed the estimate by segment.
Copyright © WORLD HOLDINGS CO., LTD. All Rights Reserved

FY2020

FY2021

201,000

340,000

17

Financial Condition B/S⚫ Total assets increased as we procured real estate property with future profitability while
conducting business operations carefully.
(Million yen)

88,276

100,000
80,000Current
assetsTotal assets

79,157

76,239 (+8,107)

Cash and deposits
Real estate for sale
Real estate for sale in process+980 million yen+1,927 million yen+4,677 million yen

60,00040,00076,23968,13220,000011,024

12,036End of FY2020

End of FY2021 1Q

Fixed assets

100,000

88,276

79,15780,00033,99160,00034,63740,00014,45820,00023,99830,06130,286End of FY2020

End of FY2021 1Q

0
Net asset

12,036 (+1,012)

Intangible assets
Investment securities
Deferred tax assets

609 million yen+133 million yen+145 million yen

Current assets

Total liabilities/net
assets(Million yen)FixedassetsFixed liabilities

Liabilities

57,990 (+8,894)

Short-term borrowings
Accrued expenses
Accrued consumption taxes
Long-term borrowingsNet
assets+530 million yen-491 million yen-1,232 million yen+9,208 million yen

30,286 (+224)

Retained earnings
Non-controlling interests+69 million yen+76 million yen

Current liabilities
Copyright © WORLD HOLDINGS CO., LTD. All Rights Reserved

18Cash Flows(Million yen)

25,000+225

20,00015,000+7,788-5,993
Term-startbalance of
cash andcash
equivalents

Operating CF

Term-endbalance of
cash andcash
equivalents-1,040Quarterly net profit before taxes and other adjustments
2,664 million yen
Increase in real estate for sale
-6,612 million yenDecrease in accrued consumption taxes-1,433 million yen
Income taxes paid
-1,134 million yen
Income taxes refund
910 million yen

Investment CF

23,796

22,817

Purchase of property, plant and equipment
Acquisition of a new consolidated subsidiaryPurchase of shares of non-consolidated subsidiaries

10,0005,000-285 million yen-353 million yen-104 million yen

Financial CF＋979 million yen
0Operating CF Investment CF Financial CF

End of FY2020

Translationdifferences,etc.

Net increase in short-term borrowings
Proceeds from long-term borrowings
Repayments of long-term borrowings
Dividends paid

1,457 million yen
10,102 million yen-1,962 million yen-1,775 million yen

End of FY2021 2Q

Copyright © WORLD HOLDINGS CO., LTD. All Rights Reserved

19Topic 1: Exertion of Synergy Between Group Companies
To bring out synergy between
the Real Estate Business and the Human Resources and Education Business,
which have been operated separately

Comprehensive business tie-up among Tokyu Land Corporation, World Residential,
and World Staffing

Tokyu Land Corporation
Development and operation oflogistics facilities

Lease offacilities

Provision ofcandidatelandEnterprises
rentinglogistics
facilities

HR andEducation

Real EstateWORLD RESIDENTIAL CO., LTD.

It excels at procuring anddeveloping land for real estate.

Provision ofstaffing services(planned)

WORLD STAFFING CO., LTD.

It excels at undertaking tasks in the logistics
field (third-party logistics: 3PL).

Copyright © WORLD HOLDINGS CO., LTD. All Rights Reserved20Topic 2: Formulation and Execution of Plans for
Diversifying the Workstyles of Elderly Workers
Established “HATARAKU Elder Co., Ltd.” based on the joint investment
with EPS Holdings, SBS Holdings, and Creek and River.
Pharmaceutical companies, medical apparatus
makers, and healthcare enterprises

Other industries

Elderly workers
Elderly workers

Elderly workers
Business process
outsourcing (BPO)

Capital and business tie-ups

Cooperation in marketingfor undertaking BPO[Capital contribution ratio]

Exchange and utilization of human resources and business development

Creek and RiverWORLD HOLDINGSCRO(Contract researchorganization)

Logistics
servicesEPS Holdings: 51.7％
WORLD HOLDINGS: 16.7％
SBS Holdings: 16.7％
Creek and River: 3.3％
Other: 11.7％

Professional agency

We find demand for elderly personnel, who are respectable ones in a leadership position, mainly inpharmaceutical companies and companies developing medical apparatus, give a proposal while
combining BPO and staffing services, and promote a business model of preparing and developing
workplaces and stages where elderly personnel can flourish.
Copyright © WORLD HOLDINGS CO., LTD. All Rights Reserved

21Topic 3 Participation in “Shinkin Consortium for
Business Succession”
WORLD INTEC participated in “Shinkin Consortium for Business Succession,”
which was formed for solving the business succession issue that emerged in
COVID-19.
[Support for M&A based on a platform]

Clients
Consultation
Proposal

Shinkin banks[To support healthcare corporations andnursing care firms in business succession][Reduction ofexcessive debts]

Provision of solutions to various issues[Introduction of public support]

Consultation/proposal[Application for subsidies][Consultation about tax affairs(including the introduction of experts)][Introduction of personnel who would
become successors and executives][Purchase of shares via funds]

By utilizing the know-how to dispatch workers mainly in the “manufacturing” field,
WORLD INTEC “introduces personnel who would become successors andexecutives,” “supports clients in producing and educating successors andtraining staff,” and so on in the industry.
Copyright © WORLD HOLDINGS CO., LTD. All Rights Reserved

22II. Outlook for the Term Ending Dec. 2021

23

FY2021 Business Forecast
The earnings forecast has not been revised, as the outlook remains uncertain because
COVID-19 is spreading again.
⚫ Amid fears about the re-expansion in COVID-19 infections and growing uncertainty
about the future, we expect an increase in revenue and operating income.
⚫ COVID-19-related subsidy recorded in non-operating income in the previous term is notincluded in the forecast for this term.
⚫ Net income attributable to owners of parent in the previous term includes the impact
from the review of deferred tax assets due to the sale and merger of subsidiaries.
Results for theterm ended Dec.
2020

Estimate for theterm ending
Dec. 2021

Unit: Million yen, %1st half of 2021
Estimate

ActualForecast for theterm ending
Dec. 2021

YoY
ChangePct. Change

Net sales

143,571

150,194

63,65765,047150,194

6,623

4.6%

Operating income

6,251

6,465

1,302

2,452

6,465

214

3.4%

Ordinary income

6,786

6,388

1,283

2,621

6,388

-397

-5.9%

Net income attributable to

5,913

4,573

886

1,891

4,573

-1,340-22.7%EPS (yen)341.35---23.2%

101.7

-

-

262.02
78.7-79.33

Dividend per share (yen)262.0278.7-23.0-22.6%

owners of parent

Copyright © WORLD HOLDINGS CO., LTD. All Rights Reserved

24

FY2021 Full-year Business Forecast by Segment
The earnings forecast has not been revised, as the outlook remains uncertain because
COVID-19 is spreading again.
⚫
⚫

Steady growth with portfolio strengths in multiple industries and a focus on growth areas in our mainstay Human
Resources and Education Business (growth in the Factory Business in particular).
While market conditions remain difficult to predict in the Real Estate Business, we will continue to take a cautious attitude
and look for future investment opportunities.
Results for the(Profitterm ended Dec.
margin)2020

Unit: Million yen, %Factory Business

Human
ResourcesandEducation
Business

Technology Business

R&D Business
Sales & Marketing
Business
Total (reference)

Real EstateBusiness
Information andTelecommunications
Business

Other

Segment income
Net sales
Segment income
Net sales
Segment income
Net sales
Segment income
Net sales
Segment income
Net sales

Real EstateBusiness

Segment income

Information andTelecommunications
Business

Others

Net sales

Net sales
Segment income
Net sales
Segment income
Net sales

Total

Elimination or
corporate
Operating income

55,102
2,632
17,003
2,019
7,200
843
3,835
18
83,142
5,515
48,081
3,550
9,133
240
3,214
△200
143,571-2,8546,251(4.8%)(11.9%)(11.7%)(0.5%)(6.6%)(7.4%)(2.6%)(-)(4.4%)

Estimate for theterm ending
Dec. 2021

65,964
3,476
18,135
1,908
7,876
849
4,849
-23
96,825
6,210
40,363
2,167
8,769
190
4,236
170
150,194-2,274
6,465

Copyright © WORLD HOLDINGS CO., LTD. All Rights Reserved(Profitmargin)(5.3%)(10.5%)(10.8%)(-)(6.4%)(5.4%)(2.2%)(4.0%)(4.3%)

YoY
Change10,861
843
1,132
-110
675
5
1,013
-42
13,683695-7,717-1,382
-364
-50
1,022
370
6,623
(-)
214

Pct. Change

19.7%
32.0%
6.7%
-5.5%
9.4%
0.6%
26.4%
(-)
16.5%
12.6%
-16.1%-38.9%-4.0%-20.8%
31.8%
(-)
4.6%
(-)
3.4%

25

Shareholder Returns
We aim to increase dividends stably and continuously, and achieve
a payout ratio of 30%.
Dividend per share(Yen)

Initial estimate
Results

100.0

101.7
88.7

82.7 82.8 83.0

78.7

75.3

80.0

68.5
63.2

60.0

65.5

52.7
45.7

40.0

23.7 25.3
20.0
4.5

8.5

8.510.0

14.3

0.0
2012/12 2013/12 2014/12 2015/12 2016/12 2017/12 2018/12 2019/12 2020/12 2021/12(forecast)*The forecast and dividend estimated are based on the information that the Company has and a certain assumption that is
considered reasonable. There is a possibility that the actual results may largely differ based on various factors.
Copyright © WORLD HOLDINGS CO., LTD. All Rights Reserved

26

III. Appendix
Profile of World Holdings27

Overall Picture of the Growth Strategies
Develop in multiple business/industries and build a wellbalanced stable management base
Human Resources andEducation Business

Real Estate BusinessInformation andTelecommunications Business

OthersEstablishment of a business model focused on
the ability to respond to changes
Recurring
revenuebusiness

Diversificationof business
Decentralization

One-timerevenuebusiness

Amid fears about the re-expansion in COVID-19 infections and growing
uncertainty about the future,

Ascertain changes in the times and accurately grasp market needs to achieve growth
Copyright © WORLD HOLDINGS CO., LTD. All Rights Reserved28

TaiwanEstablished WORLD INTEC TAIWAN CO., LTD.

Established ENGMAINTEC CO., LTD.

Copyright © WORLD HOLDINGS CO., LTD. All Rights Reserved2020

Acquired 100% ownership of CREATION VIEW CO., LTD. (software)

Acquired 100% ownership of WAKRAK, INC.
(application development and operation)

2019

through JV with Toho Titanium Co., Ltd.

2016

Established TOHOWORLD CORPORATION (material)

1st Sectionof TSE

Established WORLD CAPITAL SOLUTION CO., LTD. (finance)

Acquired 100% ownership of Mirai Servicing Co., Ltd. (finance)

2018

through JV with JTB GroupAcquired 100% ownership of WORLD ASSETMANAGEMENT CO., LTD. (finance)

Established JW SOLUTION CO., LTD. (tourism)

Established WORLDINTEC AMERICA, INC.

2017

U.S.

2015

Acquired 100% ownership of
SAIHI INFORMATION SERVICE CO., LTD. (software)(JASDAQ)

Acquired 100% ownership of FARM CO., LTD. (agricultural park)

Became a pure holding
company

Indonesia

2014

Established PT. WORLD DEVELOPMENT INDONESIA

China

2013

Acquired 100% ownership of MIKUNI CO., LTD. (renovation)

2012

Name changed to WORLD HOLDINGS CO., LTD.

Stock listing

Established WORLD WISTERIA HOMES CO., LTD. (Kansai area)

Acquired 100% ownership of DOT WORLD CO., LTD. (CRO)2005 2010
2003

Established WORLD ICITY CO., LTD. (Tohoku area)

Established WORLD RESIDENTIAL CO., LTD.
(Kanto area)

Establish-ment

Acquired 100% ownership of E-SUPPORT, INC

Sales & Marketing
Business

1993

R&D BusinessTechnology
Business

Established WORLD INTEC CO., LTD

1981

Factory Business

Established Mikuni Industry Co., Ltd. (current, MIKUNI CO., LTD.)

History
We have not engaged in M&As to expand size before. We havemainly engaged in M&As and revitalized companies to cultivate
new business.

Blue: Human Resources andEducation BusinessGreen: Information andTelecommunications Business
Orange: Real Estate Business

2021

Human Resources andEducation BusinessInformation andTelecommunications Business
Real EstateBusiness

29

Business Performance Trend
New Medium-termManagement Plan 2021
Used internal resources forenhancing governance(New Medium-term Management
Plan 2012 to 2016)(100 millions of yen)

1,600

90
1,435

1,428
74 1,271
70

Entry into Real Estate Business

1,200(100 millions of yen)

Listed on 1st section of TSECreated business foundation (early days)
New Medium-term Management Plan 2007 to 2009
Medium-term Management Plan 2010 to 2013

1,400

COVID-19

1,363
73

1,501
Information andTelecommunications
Business

Real EstateBusiness

800

Bankruptcy of Lehman Brothers

400

530

487
378

348
290

200

0
Net sales

139
2006/12

2007/12

50

47

600
464

60

879 943
51

Entry into Information
andTelecommunications
Business
Listed on JASDAQ

688
37

40
Human
ResourcesandEducation
Business

21

321

3

3

2009/122010/12

30

20

12

10

2008/12

564

70

64

62
1,000

80

10

5
2011/122012/122013/12

2014/122015/122016/122017/122018/122019/122020/122021/12Plan

Copyright © WORLD HOLDINGS CO., LTD. All Rights Reserved

0Operatingincome30

Main Subsidiaries and Associates
Human Resources andEducation Business

The“Ways We
Live”

Connecting people to jobs a
new ways of working

Real Estate BusinessConnecting people with homes shaping
the way we live through home creation
WORLD RESIDENTIAL CO., LTD.

WORLD INTEC CO., LTD.
WORLD STAFFING CO., LTD.

WORLD ICITY CO., LTD.

Information andTelecommunications BusinessWORLD CONSTRUCTION CO., LTD.

Bring people together through new styles ofcommunications with information
technologies

WORLD NEXT CO., LTD.

DOT WORLD CO., LTD.

WORLD WISTERIA HOMES CO., LTD.

NICHIMO REAL ESTATE CO., LTD.
COMPAX CO., LTD.

JW SOLUTION CO., LTD.
BEST IT BUSINESS CO., LTD.

WORLD INTEC TAIWAN CO., LTD.

OthersWORLD MIKUNI CO., LTD.

CROWDWEIGHT CO., LTD.

M'S WORLD CO., LTD.

ADVAN CO., LTD.

OMACHI WORLD CO., LTD.

GEOGRAPHIC INFORMATION OF KYUSHU, INC.

Finance

Main Subsidiaries and associates: 39<Consolidated: 34/Non-consolidated: 5>WORLD ASSET MANAGEMENT CO., LTD.

WORLD CAPITAL SOLUTION CO., LTD.

Copyright © WORLD HOLDINGS CO., LTD. All Rights Reserved

MIRAI SERVICING CO., LTD.

31

Business Bases

138 bases
・128 bases in Japan・10 bases overseas (China, Taiwan, Indonesia, France, the U.S.)

Copyright
CO.,LTD.
AllRights
RightsReserved
Reserved
Copyright©
©WORLDWORLD HOLDINGSHOLDINGS CO.,LTD. All32

Domains of the Human Resources and Education Segment

HR

Centered on contract and dispatch, we cover a broad range of domains
centered around manufacturing with our seamless services.

Pharmaceutical/biotechnology

Semiconductor/
manufacturing
equipment

Machinery/systems

R&D

Design/Development

Manufacturing

R&D BusinessTechnology Business

Factory Business

Logistics

RepairSales/light work, etc.

Logistics

After-sales
Service

Service

Factory BusinessTechnology Business

Sales & Marketing Business

For workers

For clients
Our capability of meetingneeds in any field all by
ourselves

R&D Business

Value

Technology
Business

Pharmaceutical/
biotechnology/chemical
researcher at CRO

Machinery design/systemdevelopment engineer

About 1,200

About 2,900

About

A wide range of job vacancies andplenty of opportunities to improve skills
and develop careers

Growth potential
Factory Business
Manufacturing/logistics
operator

About 20,400

26,600 workers in service

Copyright © WORLD HOLDINGS CO., LTD. All Rights Reserved

Sales & Marketing
Business
Sales/light work/callcenters, etc.

About 2,100*As of the end of December 202033

Future Strategies of the Human Resources and Education Segment
Outsourcing market
expansion against the
backdrop of COVID-19

Market scale: 3.5 trillion yen + αHRCreation of
unprecedented
markets

Market scale: 6.5 trillion yen + α

Cultivation
No. 1 brand

Manufacturing
field

Service field

To become No.1 in the manufacturing field+
To cultivate business in the service field
Copyright © WORLD HOLDINGS CO., LTD. All Rights Reserved

34

Domains of the Real Estate Segment

Real
EstateReal estate for investment

Development

Real estate

Condominiums/DetachedhousesCommercial land development

revitalization

Conduct business mainly in major cities of
the Tohoku, Tokyo Metropolitan, Kinki andKyushu areas

Redevelopment

Renovation

Distribution
Brokerage
property
management

Conduct real estate
revitalization business, suchas renovation, around Japan.
BeforeRealestatefinanceCollection ofreceivables
Asset
management

After

Residential Kamiitabashi Park Gate
(Tokyo)One-time revenue business

Recurring revenue businessStabilization by combining one-time revenue business and recurring revenue businessand by combining areas with different business cycles

Appropriately expand scale in the real estate for investment field
and achieve growth in real estate finance
Copyright © WORLD HOLDINGS CO., LTD. All Rights Reserved

35

Future Strategies of the Real Estate Segment

Real
EstateWith the functions for real estate for investment
and real-estate finance, we will make profitable properties offbalance-sheet (for recurring revenues), to establish a more stable
management structure.
Procurement function

Value improvement function

Long-term holding function

Real estate
portal<Financial business underthe Act on Specified Joint Real Estate Ventures><Financial business under
the Financial Instruments and Exchange Act>

Financial institutions, etc.
(Portal of real estate derived from
corporate revitalization)

Private placement
funds

Private placement
REIT

WORLD CAPITALSOLUTIONMIRAI SERVICING(Real estate derived from bad debts)

WORLD ASSET MANAGEMENT
WHD real estatebusiness(Development and procurement projects)(Liquidation, securitization, and management ofreal estate)

Leading local banks in strategic areas injectfunds.

Copyright © WORLD HOLDINGS CO., LTD. All Rights Reserved

36

Domains of the Information and Telecommunications Segment
Mobile phone shop

I&C

Corporate solutions

The largest network of stores in
KyushuCell phone shops in Fukuoka, Saga, Oita,
Kumamoto, Nagasaki, and Okinawa
Prefectures
Softbank Shop
au ShopY! Mobile Shop

We propose the reduction of costs for electric power,
communications, etc. by selling our products to corporations.
Air conditioners forbusiness use

Monitoring cameras

LED lighting

Comprehensive cost
reduction solutions

Smartphones

Supplies

Computers

36 stores
As of June 2021

Telephone system forbusiness use

Water dispensers

Multifunction
machines

Security

Internet lines

Call center
Sale of various products
for individuals and corporations

Copyright © WORLD HOLDINGS CO., LTD. All Rights Reserved

37

Operation and Management of Agricultural Parks, Etc.

Other

Operation of nature-rich agricultural parks,etc. at 13 locations around Japan
Operation of a total of 13 facilities, including 4 directly
managed facilities and other entrusted facilities
Rakuten Seimei Park
Smile Glico Park

Minokamo Rest Area
Kanzaki Farm Park

Yodel Forest

Comorebi

Niimi Chiya Onsen
Ibukinosato

Directly managed

Ibaraido Forest

Kitakyusyu Municipal

Sougou Nouji Center
Chiba Zoological Park

Fureai Dobutsu-no-Sato
Hibikinada

Green Park

Shiga Agricultural Park

Blumen Hugel Farm

Directly managed

Sakai Greenery Museum

Harvest Hill

Directly managed

Directly managed

Ama Site Park

Okayama Forest Park

German Forest

Wakayama Castle
Zoological Park

Group synergy
Job creation and regional
development

We also produce
and sell homemadesausages,
confectionery, beers,etc.

To create a broad range of jobs for local communities and vitalize and develop each region

Copyright © WORLD HOLDINGS CO., LTD. All Rights Reserved38Inquiries

The “Ways We Live”

No information in this presentation is provided for the purpose of soliciting purchases
or sales of our stock. Furthermore, opinions, forecasts and other information notbased on historical facts represent our judgments at the time this presentation was
prepared.
We do not guarantee the accuracy of this information and may revise thisinformation at any time without prior notice.
We and other providers of this information assume no responsibility whatsoever for
any losses incurred in association with the information in this presentation.

Copyright © WORLD HOLDINGS CO., LTD. All Rights Reserved

Norio Nishihara
Public and Investors Relations OfficeWORLD HOLDINGS CO., LTD.
TEL: 03-3433-6005
E-MAIL: irinfo＠world-hd.co.jp
URL: https://www.world-hd.co.jp/

39