Note: This document is a translation of a part of the original Japanese version and provided for reference purposes only. In the event of any discrepancy
between the Japanese original and this English translation, the Japanese original shall prevail.

Consolidated Financial Results
for the Year Ended March 31, 2024
[Japanese GAAP]
April 25, 2024
Company name: INFOCOM CORPORATION
Stock exchange listing: Tokyo
Code number: 4348
URL: https://www.infocom.co.jp/
Representative: Jun Kuroda
President and CEO
Contact: Hiroshi Imafuku
Head of Corporate Communications Office
Phone: +81-3-6866-3160
Scheduled date of Annual General Meeting of Shareholders: June 24, 2024
Scheduled date of commencing dividend payments: June 26, 2024
Scheduled date of filing annual securities report: June 25, 2024
Availability of supplementary briefing material on annual financial results: Yes
Schedule of annual financial results briefing session: Yes(Amounts of less than one million yen are rounded down.)
1. Consolidated Financial Results for the Fiscal Year Ended March 31, 2024 (April 1, 2023 to March 31, 2024)(1) Consolidated Operating Results(% indicates changes from the previous corresponding period.)
Profit attributable to
Net sales
Operating profit
Ordinary profit
owners of parent
Millions of yen%
Millions of yen%
Millions of yen%
Millions of yen%
Fiscal year ended
March 31, 2024
84,453
20.1
9,784
14.8
9,893
15.1
6,609
85.0
March 31, 2023
70,3428.9
8,526(15.6)
8,595(15.7)
3,572(48.3)(Note) Comprehensive income:Fiscal year ended March 31, 2024:¥
6,533 million [80.1%]
Fiscal year ended March 31, 2023:¥
3,627 million [(36.0) %]Basic earnings per Diluted earnings per Rate of return on
share
share
equityOrdinary profit tototal assets ratio

Yen
Yen
%
Fiscal year ended
March 31, 2024
120.50120.02
14.1
March 31, 2023
65.20
64.93
8.0
(Reference) Equity in earnings (losses) of affiliated companies: Fiscal year ended March 31, 2024:
Fiscal year ended March 31, 2023:

Operating profit to
net sales ratio

%

%

15.5
14.6
¥
¥

11.6
12.1
millionmillion(2) Consolidated Financial Position
Total assets
As ofMarch 31, 2024
March 31, 2023
(Reference) Equity:

Net assets

Millions of yen

67,32460,287
As of March 31, 2024:
As of March 31, 2023:

Capital adequacy ratio

Millions of yen¥¥

49,15845,194
48,761 million
44,816 million

Net assets per share

%

Yen

72.4
74.3

888.43817.96(3) Consolidated Cash Flows
Cash flows fromoperating activities
Fiscal year ended
March 31, 2024
March 31, 2023

Cash flows frominvesting activities

Cash flows fromfinancing activities

Cash and cash
equivalents at the endof period

Millions of yen

Millions of yen

Millions of yen

Millions of yen

9,184
8,137

(3,970)(1,231)(2,940)(3,076)37,88835,575―1―2. Dividends
Annual dividends
1st
2nd
3rd
quarter-end quarter-end quarter-end

Year-end

Total

Fiscal year ended

Yen

Yen

Yen

Yen

March 31, 2023

-

18.00

-

32.00

50.00

March 31, 2024

-

18.00

-

27.00

45.00

-

18.00

-

27.00

45.00

Payoutratio

Total
dividends(consolidated)

Yen Millions of yen

Dividends
to netassets(consolidated)

%

%

2,739

76.7

6.2

2,469

37.3

5.3

Fiscal year ending
March 31, 2025

33.8

(Forecast)(Note) Breakdown of the year-end dividend for the fiscal year ended March 31, 2023 :Commemorative dividend
5.00 yen
Special dividend- yen
3. Consolidated Financial Results Forecast for the Fiscal Year Ending March 31, 2025 (April 1, 2024 to March 31, 2025)(% indicates changes from the previous corresponding period.)
Profit attributable Basic earnings per
Net sales
Operating profit
Ordinary profit
to owners of parent
share
Six months ending
September 30, 2024
Full year

Millions ofyen%Millions ofyen%Millions ofyen%Millions of
yen

%

Yen

44,500

11.1

4,300

2.9

4,300

1.5

2,900

2.7

52.87

94,00011.3

11,00012.4

11,000

11.2

7,300

10.4

133.09* Notes:(1) Changes in significant subsidiaries during the period under review (changes in specified subsidiaries resulting in changes inscope of consolidation): No(Company name:New)
Exclusion:(Company name:)(2) Changes in accounting policies, changes in accounting estimates and retrospective restatement
1) Changes in accounting policies due to the revision of accounting standards: No
2) Changes in accounting policies other than 1) above: No
3) Changes in accounting estimates: No4) Retrospective restatement: No(3) Total number of issued shares (common shares)
1) Total number of issued shares at the end of the period (including treasury shares):
March 31, 2024:
57,600,000 shares
March 31, 2023:
57,600,000 shares
2) Number of treasury shares at the end of the period:
March 31, 2024:
2,714,682 shares
March 31, 2023:
2,809,562 shares
3) Average number of shares outstanding during the period:
Fiscal Year ended March 31, 2024:
Fiscal Year ended March 31, 2023:

54,849,956 shares
54,785,373 shares―2―

(Reference) Summary of Non-consolidated Financial Results
1. Non-consolidated Financial Results for the Fiscal Year Ended March 31, 2024 (April 1, 2023 to March 31, 2024)(1) Non-consolidated Operating Results(% indicates changes from the previous corresponding period.)
Net sales
Fiscal year ended
March 31, 2024
March 31, 2023

Operating profit

Ordinary profit

Net income

Millions of yen%

Millions of yen%

Millions of yen%

Millions of yen%

21,446
20,109

6.7
(3.3)

1,780
1,958

(9.0)
7.2

18,511
5,347

246.2
11.3

17,8002,306

671.9(43.5)

Basic earnings per share Diluted earnings per share
Fiscal year ended
March 31, 2024
March 31, 2023

Yen

Yen

324.52
42.09

323.2441.92(2) Non-consolidated Financial Position
Total assets
As ofMarch 31, 2024
March 31, 2023
(Reference) Equity:

Net assets

Millions of yen

49,393
46,416
As of March 31, 2024:
As of March 31, 2023:

Capital adequacy ratio

Millions of yen

¥
¥

―3―

40,34125,307
40,143 million
25,094 million

Net assets per share

%

Yen

81.3
54.1

731.41458.01

1. Analysis of Business Results1)Overview of Business Results during the Year under Review
Under the slogan, United Innovation Value Co-Creation and Beyond, the Infocom Group pursues a medium-term management
plan (FY03/23 - FY03/25) based on policies to pursue growth and continue strengthening our management foundation to support
growth.

Under pursue growth, we emphasize contributing solutions to social issues through co-creation, continuing growth and overseas
expansion in E-Comic and Health IT, Continuing evolution into a services-oriented business, and focusing resources in growthareas. Under continue to strengthen our management foundation to support growth, we engage in strengthening human capital,
aiming to achieve our financial targets.

The consolidated fiscal year under review was the first year of this medium-term plan. We recorded net sales of ¥84,453 million,
up 20.1% year on year, operating profit of ¥9,784 million (up 14.8%), ordinary income of ¥9,893 million (up 15.1%), and profit
attributable to owners of the parent of ¥6,609 million (up 85.0%).

The following paragraphs describe our results by segment.

(i)

Digital Entertainment GroupOur mainstay e-comic distribution service implemented a variety of measures under basic polices of profitable growth in ourdomestic distribution business, market growth (overseas expansion), and expansion of business domains. As a result, net sales
amounted to ¥57,127 million, a 23.5% year-on-year increase, while operating profit amounted to ¥7,549 million (up 24.9%).

More activity related to pay-as-you-go courses and hit titles contributed to this significant increase in sales and profit.

As a new initiative to expand the business domain of this segment, Amutus Corporation, operator of Mecha Comic, entered intoa capital and business alliance with BeRapt of South Korea to explore business opportunities in the fan community market,
which we expect to grow in the future.

(ii)

Business Solution GroupNet sales amounted to ¥27,325 million, an increase of 13.4% year on year, due to firm hospital-related business performance andthe contribution of M&A. Operating profit amounted to ¥2,315 million (down 6.8%) due to a difference in sales mix andcontinued up-front investments in services development.

In our mainstay Health IT business, we added J-MAC SYSTEM, Inc. as a consolidated subsidiary. J-MAC develops proprietarydiagnostic imaging systems using cloud and AI image analysis technologies, and this addition expands our product lineup while
accelerating our expansion into the market for small- and medium-sized medical institutions. Overseas, we concluded a strategic
capital and business alliance agreement with Klinik Pintar Technologies Pte. Ltd., a developer and provider of clinic operating
and management systems in Indonesia. With this agreement, we launched our services for drug information system in Southeast
Asia. Further, we conducted a full-scale entry into the foreign national nursing care staffing service to establish a foothold for
new business.

―4―

We also executed capital investments for growth within our corporate business, including a capital and business alliance with
Spectee, Inc., an AI crisis management service provider. This alliance will enhance the added value of our disaster and crisis
response services, as well as help us create new services.

We developed new versions of existing products, improved cloud service functions, and added new functions under the umbrellaof this segment as we aim to expand service areas.

2) Overview of Financial Position for the Current Fiscal Year
Assets increased ¥7,037 million compared with the end of the previous consolidated fiscal year, amount to ¥67,324 million. This
result was due to an increase in cash and deposits, an increase in notes and accounts receivable-trade, an increase in investments
and other assets stemming from the purchase, etc., of investment securities, and the acquisition of assets and goodwill resulting
from the acquisition of J-MAC SYSTEM, Inc., making J-MAC SYSTEM a subsidiary.
Liabilities rose ¥3,073 million to ¥18,166 million due to an increase in accounts payable-trade, income taxes payable, andcontract liabilities.

Net assets rose ¥3,963 million compared with the end of the previous consolidated fiscal year to ¥49,158 million. This result was
mainly due to the posting of profit attributable to owners of the parent, offset in part by a decrease in retained earnings due todividend payments.

3) Overview of Cash Flows for the Current Fiscal Year
Cash and cash equivalents as of March 31, 2024 amounted to ¥37,888 million, up ¥2,312 million from one year earlier. The
following paragraphs describe cash flows and reasons for major changes in cash flows.

[Cash flows from operating activities]
Net cash provided by operating activities amounted to ¥9,184 million (¥8,137 million in the previous fiscal year). This result was
mainly due to increases stemming from profit before income taxes of ¥9,812 million (¥6,342 million in the previous fiscal year)
and adjustments for depreciation (non-cash item) of ¥1,208 million (¥954 million), an increase of ¥1,245 million in notes andaccounts receivable-trade and contract assets (¥836 million), and a decrease of ¥3,257 million in income taxes paid (¥3,078
million).

[Cash flows from investing activities]
Net cash used in investing activities amounted to ¥3,970 million (¥1,231 million in the previous fiscal year). This result was
mainly due to cash outlays for the purchase of stock in J-MAC SYSTEM, Inc. of ¥1,331 million (no purchases in the previousyear), making J-MAC SYSTEM a consolidated subsidiary, outlays for the purchase of investment securities of ¥1,177 million(¥655 million in the previous year), and ¥1,125 million (¥1,047 million) for the purchase of software and other intangible fixed
assets.

[Cash flows from financing activities]
Net cash used in financing activities amounted to ¥2,940 million (¥3,076 million in the previous fiscal year). This result was
mainly due to cash dividends paid of ¥2,714 million (¥3,013 million in the previous fiscal year).

―5―4) Outlook for the Next Fiscal Year
Observers expect the Japanese economy to recover in light of developments including rising real wages for consumers, growing
inbound travel demand, and capital investment aimed at improving productivity through AI and DX. However, uncertainty in thebusiness environment will likely continue due to lingering concerns about the unstable international situation, soaring prices forenergy resources and raw materials, labor shortages, and the impact of the 2024 problem.

The e-book market is becoming increasingly polarized as vertical-scrolling e-comics, known as webtoons, gain popularity andcompetition becomes more intense with the entry of new competitors in the market. And while we expect growth trends to continue,
conditions have calmed subsequent to a period of temporary special demand.

The It-related market should see more investments by companies and medical institutions looking toward IT to compensate forlabor shortages and to migrate existing systems to the cloud.

In response to this environment, the Infocom Group will continue to focus on e-comics and healthcare as priority businesses
throughout our medium-term management plan (FY03/24 - FY03/26), emphasizing our basic policies to pursue growth andstrengthen our management foundation to support growth.

For the fiscal year ending March 31, 2025, we forecast net sales of ¥94,000 million (up 11.3% year on year), operating profit of¥11,000 million (up 12.4%), ordinary profit of ¥11,000 million (up 11.2%), and profit attributable to owners of parent of ¥7,300
million (up 10.5%).

The above-stated performance forecasts are based on information as of the date these materials were released. Accordingly,
actual results may differ materially from these forecasts, due to a variety of future factors.

―6―

Consolidated Financial Statements
Consolidated Balance Sheets(Millions of yen)
As of March 31, 2023

As of March 31, 2024

AssetsCurrent assets
Cash and deposits
Notes receivable - trade35,575
114

37,888135

Accounts receivable - trade
Contract assets

11,263379

12,586631

Inventories
Other

83
1,695

111
1,666

Allowance for doubtful accounts

(0)

(9)

49,11153,011

750
(155)

807
(239)

Buildings and structures, net

595

567

Machinery, equipment and vehicles
Accumulated depreciation

1
(0)

1
(0)

Total current assets
Non-current assets
Property, plant and equipment
Buildings and structures
Accumulated depreciation

Machinery, equipment and vehicles, net
Tools, furniture and fixtures
Accumulated depreciation
Tools, furniture and fixtures, net
Leased assets
Accumulated depreciation
Leased assets, net
Construction in progress

1

0

1,382
(849)

2,008
(1,158)

532

849

265

208

(254)

(182)

10

25

0

0

1,140

1,443

Intangible assets
Software

2,198

2,562

Goodwill
Other

419
33

798
803

2,650

4,164

Investment securities
Shares of subsidiaries and associates

4,800
53

5,630
53

Deferred tax assets
Other

1,661
871

1,851
1,172

Total property, plant and equipment

Total intangible assets
Investments and other assets

Allowance for doubtful accounts

(1)

(1)

Total investments and other assets

7,385

8,705

11,176

14,31360,28767,324

Total non-current assets
Total assets―7―

(Millions of yen)
As of March 31, 2023

As of March 31, 2024

Liabilities
Current liabilities
Accounts payable - trade
Lease liabilities

5,212
12

6,044
11

Accounts payable - other
Income taxes payable

1,992
1,437

2,384
1,871

Accrued consumption taxes
Contract liabilities

849
3,142

1,135
3,530

Provision for bonuses
Other

1,302
668

1,390
1,045

Total current liabilities

14,61917,413

Lease liabilities
Retirement benefit liability

6
67

19
85

Deferred tax liabilities
Other

399

236
411

Non-current liabilities

Total non-current liabilities

474

753

15,093

18,166

Shareholders' equity
Share capital

1,590

1,590

Capital surplus
Retained earnings

1,485
41,961

1,618
45,829Total liabilities
Net assets

Treasury shares
Total shareholders' equity
Accumulated other comprehensive income
Valuation difference on available-for-salesecurities
Foreign currency translation adjustment
Total accumulated other comprehensive income
Share acquisition rights
Non-controlling interests
Total net assets
Total liabilities and net assets

―8―

(790)

(763)

44,24648,274

390

195

178

291

569

487

213
164

197
198

45,194

49,15860,28767,324

Consolidated Statements of Income and Comprehensive Income
Consolidated Statements of Income(Millions of yen)
For the fiscal year
ended March 31, 2023

For the fiscal year
ended March 31, 2024

Net sales
Cost of sales

70,342
37,10084,45344,282Gross profit

33,24140,170

Selling, general and administrative expenses

24,71530,386

Operating profit

8,526

9,784

119

82

8
7

33
5

135

121

1

3

3
59

3
4

Non-operating income
Interest and dividend income
Surrender value of insurance policies
Other
Total non-operating income
Non-operating expenses
Interest expenses
Foreign exchange losses
Partnership loss
Other

1

0

Total non-operating expenses

66

13

8,595

9,893

Ordinary profit
Extraordinary income
Gain on sale of non-current assets-

11

Gain on sale of investment securities
Gain on sale of shares of subsidiaries

-

29
267

Total extraordinary income-

307

Impairment losses
Loss on retirement of non-current assets

728
3

199
25

Loss on valuation of investment securities
Other

1,519
1

163
-

Total extraordinary losses

Extraordinary losses

2,252

388

Profit before income taxes

6,342

9,812

Income taxes - current

2,969

3,381

Income taxes - deferred

(187)

(184)

Total income taxes

2,781

3,196

Profit

3,560

6,615

(11)

6

3,572

6,609

Profit (loss) attributable to non-controlling interests
Profit attributable to owners of parent―9―Consolidated Statements of Comprehensive Income(Millions of yen)
For the fiscal year
ended March 31, 2023
ProfitOther comprehensive income
Valuation difference on available-for-sale securities
Foreign currency translation adjustment
Total other comprehensive income

For the fiscal year
ended March 31, 2024

3,560

6,615

(121)
187

(195)
113

66

(82)

Comprehensive income

3,627

6,533

Comprehensive income attributable toComprehensive income attributable to owners ofparentComprehensive income attributable to non-controllinginterests

3,636

6,526

(8)

6

―10―

Consolidated Statements of Changes in Equity
For the fiscal year ended March 31, 2023
(Millions of yen)
Shareholders' equity
Share capital
Balance at beginningof period
Changes during
periodDividends ofsurplusProfit attributable toowners of parent
Purchase oftreasury shares
Disposal of treasury
sharesRestricted stockcompensation
Net changes in
items other thanshareholders' equity
Total changes
during period
Balance at end of
periodBalance at beginningof period
Changes during
periodDividends ofsurplusProfit attributable toowners of parent
Purchase oftreasury shares
Disposal of treasury
sharesRestricted stockcompensation
Net changes in
items other thanshareholders' equity
Total changes
during period
Balance at end of
period1,590

CapitalsurplusRetainedearnings

1,480

41,402

Total
shareholders'equityTreasuryshares(792)

43,680(3,013)(3,013)

3,572

3,572
(0)

(0)

4

2

7

0

0

0

-

5

559

2

566

1,590

1,485

41,961(790)

44,246

Accumulated other comprehensive income
Total
Share
Valuation
Foreignaccumulated acquisitiondifference on
currency
otherrightsavailable-for- translation
comprehensiv
sale securities adjustmente income

Noncontrollinginterests

512

(6)

505

220

173

Total net
assets44,579(3,013)
3,572
(0)
7
0
(121)

185

63

(7)

(8)

47

(121)

185

63

(7)

(8)

614

390

178

569

213

164

45,194―11―

For the fiscal year ended March 31, 2024
(Millions of yen)
Shareholders' equity
Share capital
Balance at beginningof period
Changes during
periodDividends ofsurplusProfit attributable toowners of parent
Purchase oftreasury shares
Disposal of treasury
sharesRestricted stockcompensation
Capital increase of
consolidated
subsidiaries
Net changes in
items other thanshareholders' equity
Total changes
during period
Balance at end of
periodBalance at beginningof period
Changes during
periodDividends ofsurplusProfit attributable toowners of parent
Purchase oftreasury shares
Disposal of treasury
sharesRestricted stockcompensation
Capital increase of
consolidated
subsidiaries
Net changes in
items other thanshareholders' equity
Total changes
during period
Balance at end of
period1,590

CapitalsurplusRetainedearnings

1,485

41,961

Total
shareholders'equityTreasuryshares(790)

44,246(2,741)(2,741)

6,609

6,609
(0)

(0)

10

5

15

152

21

173

(29)

(29)

-

132

3,868

26

4,027

1,590

1,618

45,829(763)

48,274

Accumulated other comprehensive income
Total
Share
Valuation
Foreignaccumulated acquisitiondifference on
currency
otherrightsavailable-for- translation
comprehensiv
sale securities adjustmente income

Noncontrollinginterests

390

178

569

213

164

Total net
assets45,194(2,741)
6,609
(0)
15
173
(29)
(195)

112

(82)

(15)

33

(64)

(195)

112

(82)

(15)

33

3,963

195

291

487

197

198

49,158―12―

Consolidated Statements of Cash Flows(Millions of yen)
For the fiscal year
ended March 31, 2023
Cash flows from operating activities
Profit before income taxes

For the fiscal year
ended March 31, 2024

6,342

9,812

Depreciation
Impairment losses

954
728

1,208
199

Share-based payment expenses
Amortization of goodwill

36
111

52
97

Increase (decrease) in allowance for doubtful accounts
Increase (decrease) in provision for bonuses

(6)
(34)

5
101

(119)
1,519

(82)
163

-

(296)

(836)

(1,245)

3
101

21
53

835
639

790
406

Interest and dividend income
Loss (gain) on valuation of investment securities
Loss (gain) on sale of investment securities
Decrease (increase) in accounts receivable - trade, andcontract assets
Decrease (increase) in inventories
Decrease (increase) in other assets
Increase (decrease) in trade payables
Increase (decrease) in accounts payable - other
Increase (decrease) in other liabilities
SubtotalInterest and dividends received
Interest paid
Income taxes paid
Income taxes refund
Net cash provided by (used in) operating activities
Cash flows from investing activities
Purchase of property, plant and equipment
Purchase of intangible assets
Purchase of investment securities
Proceeds from sale of investment securities
Purchase of shares of subsidiaries resulting in change
in scope of consolidation
Proceeds from sale of shares of subsidiaries resulting
in change in scope of consolidation
Payments of guarantee deposits
Proceeds from refund of guarantee deposits
Other, net
Net cash provided by (used in) investing activities

606

814

10,87912,103

113

76

(1)
(3,078)(3)(3,257)

225

265

8,137

9,184

(168)

(457)

(1,047)(655)(1,125)(1,177)-37-(1,331)

-

174

(129)
771

(218)
10

(2)

117

(1,231)(3,970)(23)(3,013)(16)(2,741)

Cash flows from financing activities
Repayments of lease liabilities
Dividends paid
Other, net

(39)

(182)

Net cash provided by (used in) financing activities
Effect of exchange rate change on cash and cash
equivalents
Net increase (decrease) in cash and cash equivalents(3,076)(2,940)

44

39

3,874

2,312

Cash and cash equivalents at beginning of period

31,70035,575

Cash and cash equivalents at end of period

35,57537,888―13―