Summary of Consolidated Financial Statement
for the Three Months Ended December 31, 2022 [IFRS]
February 9, 2023
Listed Market: TSE
SEPTENI HOLDINGS CO., LTD.
Stock Code: 4293 URL: https://www.septeni-holdings.co.jp/en
Representative: Representative Director, Group President and Chief Executive Officer Koki Sato
Contact Person: Group Executive Officer Tei Go, Telephone: +81-3-6857-7258
Anticipated Financial Report Filing Date:
February 10, 2023
Anticipated Dividend Payment Date:―
Supplemental Earnings Presentation Materials:
Available
Earnings Presentation Meeting:
Held for institutional investors, analysts, media(All figures of less than 1 million yen are rounded down to the nearest digit)

1. Consolidated Financial Results for the Three Months Ended December 31, 2022 (From October 1, 2022 to December 31,
2022)(1) Consolidated Financial Results(% figures represent year-over-year change)
Revenue
Million Yen

1Q FY9/23
1Q FY9/22% Million Yen

6,974
6,572

Non-GAAP
Operating Profit

Operating Profit
6.1
24.6

% Million Yen

843
1,940

-56.6
61.1

Profit before tax% Million Yen

896
2,020

-55.6
66.2

807
1,980

Profit attributableto owners of parent

Profit% Million Yen

-59.2
53.7

% Million Yen

568
1,275

-55.4
47.8

583
1,275

%

-54.3
47.4

(Note) Non-GAAP operating profit is a profit indicator of constant business performance determined by excluding gain and loss related to acquisition actions
such as amortization of acquisition-related intangible assets and M&A expenses, and temporary factors such as stock-based compensation expenses,
impairment loss, and gain or loss on the sales of fixed assets from the IFRS-based operating profit.

Basic earnings per share
1Q FY9/23
1Q FY9/22

Diluted earnings per share

Yen

Yen

2.78
10.08

2.78
10.04

(2) Consolidated Financial Position
Total Assets

1Q FY9/23
FY9/22Equity attributable to ownersof parent

Total Equity

Ratio of equity attributable toowners of parent to total
assetsMillion Yen

Million Yen

Million Yen%

88,33088,731

63,29362,754

63,20962,705

71.6
70.7

2. Dividends
End of 1Q
FY9/22
FY12/23
FY12/23
Estimate

End of 2Q

Dividends
End of 4Q

End of 3Q

Term-end

Total

Yen

Yen

Yen

Yen

Yen

Yen

―
―

―

―

―

4.60

4.60

―

―

―

―

―

(Note) Revisions to the most recently announced dividends estimates: None
Dividend forecasts for the fiscal year ending December 2023 are undecided.

3. Consolidated Forecasts for the Fiscal Year Ending December 31, 2023 (From October 1, 2022 to December 31, 2023)
Revenue
Million Yen

Full Year

42,500Non-GAAP Operating profit%

Million Yen

7,500

%

(% figures represent year-over-year change)
Profit for the period
attributable to owners of
Basic earnings per shareparentMillion Yen

5,950

%

Yen

28.27

(Note) Revisions to the most recently announced consolidated forecasts: None
For the fiscal year-end is changed from September 30 to December 31 and FY12/23 is a transitional period, the year-on-year change rate is not stated.

*Others(1) Material changes in subsidiaries during this period (Changes in scope of consolidations resulting from changes in subsidiaries) : None
(2) Changes in accounting policies and accounting estimates
Changes in accounting policies required by IFRS:
Changes in accounting policies other than IFRS requirement:
Changes in accounting estimates:

None
None
None

(3) Number of issued and outstanding shares (common shares)
Issued and outstanding shares as of term-end (incl. Treasury shares): 1Q FY12/23
Treasury shares as of term-end:
1Q FY12/23
Average number of shares:
1Q FY12/23

211,079,654 FY9/22
1,050,945 FY9/22
209,382,163 1Q FY9/22

211,079,654
1,739,243
126,453,060*The summary of consolidated financial statements is not subject to the auditing by the Certified Public Accountants or theaudit corporation.
*Notes for using forecasted information and others(1) Consolidated Forecasts
Any description regarding the future in this material, such as financial results forecasts and an outlook, is based on
the available information and certain conditions which the Company believes to be reasonable at the moment, and actual
financial results may differ from the forecasts due to various factors.
For the conditions which the forecasts are based on, please refer to “1. Qualitative Information on the Quarterly
Financial Results (2) Explanation of Earnings Forecasts and Other Forward-Looking Information.”(2) Way of getting supplemental material of annual results
The Company will hold a financial results briefing as below. The briefing materials will be available on the website
after the summary of consolidated financial statements is disclosed. The audio archive of the briefing will be alsoavailable on the website.
February 9, 2023 (Thu.) – FY12/23 First Quarter Financial Results Briefing for Institutional Investors, Analysts and thePressIndex1. Qualitative Information on the Quarterly Financial Results ….…………………………………………………
(1) Explanation of Financial Results ……………………………………………………………..
(2) Explanation of Earnings Forecasts and Other Forward-Looking Information ……………….
2. Quarterly Consolidated Financial Statements and Key Notes …………………………………………………..
(1) Quarterly Consolidated Statement of Financial Position ……………………………………………………
(2) Quarterly Consolidated Statement of Profit or Loss ………………………………………………………..
(3) Quarterly Consolidated Statement of Comprehensive Income ……………………………………………..
(4) Quarterly Consolidated Statement of Changes in Equity …………………………………………………...
(5) Quarterly Consolidated Statement of Cash Flow …………………………………………………………...
(6) Notes on Quarterly Consolidated Financial Statements ....………………………………………………….
(i) Notes on Matters Related to Going Concern Assumption ……………………………………………...
(ii) Information on Reportable Segments …………………………………………………………………..
(iii) Information on Subsequent Events …………………………………………………………………....

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9
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1. Qualitative Information on the Quarterly Financial Results(1) Explanation of Financial Results
In the first quarter of the fiscal year under review (hereinafter “the current quarter”), in the main DigitalMarketing Business, revenue increased despite the impact of the economic downturn, and operating profit
decreased year on year due to an increase in expenses resulting from the strengthening of investment in humancapital centered on recruitment and the consolidation of new subsidiaries. In the Media Platform Business, theloss decreased due to the growth of the IP Platform Business (the name changed from the Manga Content
Business from the current quarter) centered on billing revenue.
As a result, revenue was ¥6,974 million (up 6.1% year on year), operating profit was ¥843 million (down
56.6% year on year), Non-GAAP operating profit was ¥896 million (down 55.6% year on year), and quarterly
profit attributable to owners of parent was ¥583 million (down 54.3% year on year).
The Group discloses consolidated financial results in terms of both its internal measures which
management relies upon in making decisions (hereinafter the “Non-GAAP financial measures”) and thoseunder IFRS. Non-GAAP operating profit is a profit indicator of constant business performance determined by
excluding gain and loss related to acquisition actions and temporary factors from the IFRS-based operating
profit. Management believes that the disclosure of Non-GAAP financial measures facilitates comparison
between the Group and industry peers and year-on-year comparison by stakeholders and can provide useful
information in understanding the underlying financial results and outlook of the Group. Gain and loss related toacquisition actions refer to amortization of acquisition-related intangible assets and M&A expenses, andunusual items refer to one-off items, such as stock-based compensation expenses, impairment loss, and gain orloss on sales of non-current assets, which the Group believes shall be excluded for the purposes of preparing an
outlook based on certain rules.
Adjustments from operating profit to Non-GAAP operating profit are as below:(unit: ¥mn)
1Q FY2022(Previous Consolidated
Cumulative 1Q)

Operating profit

1Q FY2023(Current Consolidated
Cumulative 1Q)

Change

1,940

843-1,097

－

10

10

14

44

30

Adjustment (Others)

66

-0

-66

Non-GAAP operating profit

2,020

896

-1,124

Adjustment (Amortizationof acquisition-related
intangible assets)
Adjustment (Stock-based
compensation expenses)

Percentage
of change-56.6%-55.6%

Operating results by reportable segment are as follows.
(i) Digital Marketing Business
The Digital Marketing Business consists of business segments that provide comprehensive DX support,such as proposals that integrate online and offline, centered on digital marketing.
In the current quarter, revenue increased despite the impact of economic conditions. On the other hand,
expenses increased due to the strengthening of investment in human capital centered on recruitment and theconsolidation of new subsidiaries.
As a result, revenue was ¥6,203 million (up 3.4% year on year), and Non-GAAP operating profit was¥1,736 million (down 38.5% year on year).
(ii) Media Platform Business
The Media Platform Business consists of IP Platform Business (the previously Manga Content Business)"GANMA!", Employment Platform Business "ViViViT", Platform Business of Social Contribution "gooddo",Childcare Platform Business "Babyful" etc.
In the current quarter, revenue increased due to the growth of the IP Platform Business centered on
billing revenue. Furthermore, the loss decreased due to the acceleration of monetization of own IP.

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As a result, revenue was ¥883 million (up 37.1% year on year) and Non-GAAP operating loss was ¥192
million (compared with an Non-GAAP operating loss of ¥262 million in the same quarter of the previousyear).
(2) Explanation of Earnings Forecasts and Other Forward-Looking Information
There is no change from the consolidated earnings forecasts for the fiscal year ending December 2023
announced on November 10, 2022.

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2. Consolidated Financial Statements and Key Notes(1) Quarterly Consolidated Statement of Financial Position(Thousand yen)
FY2022(Ended September 30, 2022)

1Q FY2023(Ended December 31, 2022)

21,340,076
18,285,273
103,154
98,953757,815
40,585,272

20,165,692
18,337,880
108,82247,495439,218
39,099,107

235,0221,090,965
4,693,055
525,138

230,905
950,629
4,693,055
503,995

33,342,226

34,919,131

6,904,527
24,2441,330,663
48,145,841
88,731,112

6,666,365
23,1191,243,631
49,230,831
88,329,937

16,891,357
4,910,042
557,879
2,847,110
25,206,388

16,712,485
5,781,452－
1,915,070
24,409,007

531,226
159,063
80,366－
770,655
25,977,043

383,187
158,041
86,065
1,136
628,428
25,037,435

18,428,004
25,309,728-575,707
19,671,818-128,588

18,428,004
25,999,727-347,880
19,291,478-162,599

62,705,254

63,208,730

48,81562,754,069
88,731,112

83,77363,292,503
88,329,937

AssetsCurrent assets
Cash and cash equivalents
Operating receivables
Inventories
Other financial assets
Other current assets
Total current assets
Non-current assets
Property, plant, and equipment
Right-of-use assets
Goodwill
Intangible assets
Investments accounted for using equity
methodOther financial assets
Other non-current assets
Deferred tax assets
Total non-current assets
Total assets
Liabilities and Equity
Liabilities
Current liabilities
Operating payables
Other financial liabilities
Current income taxes payable
Other current liabilities
Total current liabilities
Non-current liabilities
Other financial liabilities
Provisions
Deferred tax liabilities
Other non-current liabilities
Total non-current liabilities
Total liabilities
EquityEquity attributable to owners of parent
Share capital
Capital surplus
Treasury shares
Retained earnings
Other components of equity
Total equity attributable to owners ofparentNon-controlling interests
Total equity
Total liabilities and equity-4-(2) Quarterly Consolidated Statement of Profit or Loss

Revenue
Cost of sales
Gross profit
Selling, general and administrative
expenses
Other income
Other expenses
Operating profit
Financial income
Financial expenses
Share of profit from investments
accounted for using equity method
Profit before tax
Income tax expenses
Profit1Q FY2022(From October 1, 2021 to
December 31, 2021)
6,572,468
1,120,078
5,452,390(Thousand yen)
1Q FY2023(From October 1, 2022 to
December 31, 2022)
6,973,648
1,568,231
5,405,417

3,446,791

4,557,192

915
66,317
1,940,197
32,607
9,753

3,408
8,735
842,898470
680,193

17,445644,075

1,980,495
705,137
1,275,358

807,249
239,041
568,208

1,274,674
684
1,275,358

582,626-14,418
586,208

10.08
10.04

2.78
2.78

Profit (loss) attributable to:
Owners of parent
Non-controlling interests
Total
Earnings per share
Basic earnings per share (Yen)
Diluted earnings per share (Yen)-5-(3) Quarterly Consolidated Statement of Comprehensive Income(Thousand yen)

1Q FY2022(From October 1, 2021 to
December 31, 2021)
1,275,358

1Q FY2023(From October 1, 2022 to
December 30, 2022)
568,208

24,503

2,028

15,567-37,894

2,531

1,856

42,601-34,010

Total comprehensive income

1,317,960

534,198

Comprehensive income attributable to:
Owners of parent
Non-controlling interests
Comprehensive income

1,317,275
684
1,317,960

548,616-14,418
534,198

Profit (loss)
Other comprehensive income
Items that will not be reclassified to profit
or loss
Net changes in financial assets measured
at fair value through othercomprehensive income
Items that may be reclassified to profit orloss
Exchange differences on translating
foreign operations
Cash flow hedges
Total other comprehensive income, net of
tax

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(4) Quarterly Consolidated Statement of Changes in Equity(Thousand yen)
Equity attributable to owners of parent

Balance as of October 1, 2021

SharecapitalCapitalsurplusTreasurysharesRetainedearnings

Other
componentsof equity

Total

Noncontrollinginterests

Total equity

2,125,384

3,901,272-1,691,842

14,322,283-230,678

18,426,419

18,86918,445,288

Profit (loss)

－

－

－

1,274,674－

1,274,674

684

1,275,358

Other comprehensive income

－

－

－

－

42,60142,601－42,601

Total comprehensive income
Dividends of surplus
Other
Total amount of transactions
with owners
Balance as of December 31, 2021

－

－

－

1,274,674

42,601

1,317,275

684

1,317,960－－－
14,042－－-429,940－－－-429,940
14,042－－-429,940
14,042－

14,042－-429,940－-415,898－-415,898

2,125,384

3,915,314-1,691,842

15,167,016-188,077

19,327,796

19,553

19,347,350(Thousand yen)
Equity attributable to owners of parent

Balance as of October 1, 2022

SharecapitalCapitalsurplusTreasurysharesRetainedearnings

Other
componentsof equity

Total

Noncontrollinginterests

Total equity

18,428,004

25,309,728-575,707

19,671,818-128,588

62,705,254

48,81562,754,069

Profit (loss)

－

－

－

582,626－

582,626-14,418

568,208

Other comprehensive income

－

－

－

－

-34,010-34,010－-34,010

Total comprehensive income
Dividends of surplus
Purchase of treasury shares
Changes without loss of controlof subsidiaries
Other
Total amount of transactions
with owners
Balance as of December 31, 2022

－

－

－

582,626-34,010548,616-14,418

534,198－－－-962,966－-962,966－-962,966－－

227,827－－

227,827－

227,827－

646,457－－－

646,457

51,060697,516－45,543－－－43,543-1,68441,858－689,999

227,827-962,966－-45,140

49,375

4,235

18,428,004

25,999,727-347,880

19,291,478-162,599

63,208,730

83,77363,292,503-7-

(5) Quarterly Consolidated Statement of Cash Flow

1Q FY 2022
(From October 1, 2021 to
December 31, 2021)(Thousand yen)
1Q FY 2023
(From October 1, 2022 to
December 31, 2022)

1,980,495

807,249

182,661-123
6,863

192,091-470
6,287-17,445-644,075-27,005
42,920645,192
47,655-759,402-2,4291,696,582-1,078,492
2,024,625
123-6,944-1,015,648
1,002,155-52,606-5,668-178,872-25,677
791,106
470-9,707-845,777-63,908-41,414-20,717-3,047-211,332-19,020-3,525－-932,830

289,591

5

21,414
245,826

19,645-1,147,056－-191,668-152,394-429,940－－-774,003

1,000,000-350-151,021-962,966
221,993-33,181
74,475

15,567-37,894

489,546-1,174,384

16,899,990

21,340,076

17,389,536

20,165,692

Cash flows from operating activities
Profit before tax
Adjustments:
Depreciation and amortization expenses
Interest income
Interest expenses
Share of loss (profit) of entities accounted
for using equity method
Loss (profit) on valuation of securities
Other
Increase or decrease in working capital
Decrease (increase) in operating receivables
Decrease (increase) in inventories
Increase (decrease) in operating payables
Other
SubtotalInterest income received
Interest expenses paid
Income taxes paid
Cash flows from operating activities
Cash flows from investing activities
Purchase of securities
Purchase of property, plant, and equipment
Purchase of intangible assets
Purchases of investments accounted for using
the equity method
Proceeds from collection of security deposits
and guarantee deposits
Other
Cash flows from investing activities
Cash flows from financing activities
Proceeds from short-term borrowings
Repayments of long-term borrowings
Repayments of lease obligations
Cash dividends paid
Proceeds from sales of treasury shares
Other
Cash flows from financing activities
Effect of exchange rate change on cash and cash
equivalents
Increase (decrease) in cash and cash equivalents
Cash and cash equivalents at beginning of
periodCash and cash equivalents at end of period-8-(6) Notes on Quarterly Consolidated Financial Statements(i) Notes on Matters Related to Going Concern Assumption
No applicable items.
(ii) Information on Reportable Segments
1. Overview of reportable segments
The Group has a holding company structure where the Company is a holding company, and its
subsidiaries (or their groups) are business units. Activities directly related to revenue generation are conducted
solely by the business units.
The Group’s reportable segments are based on business segments for which separate financial
information is available and that the highest decision-maker examines on a regular basis to determine the
distribution of management resources and evaluate the results. In consideration of similarities among the
economic characteristics of each business segment and their quantitative importance and for the purpose of
enabling the users of the financial statements to appropriately evaluate the Group’s businesses and theeconomic circumstances, and their effects on the businesses, the Group discloses information on tworeportable segments: the Digital Marketing Business and the Media Platform Business.
i. Digital Marketing Business
The Digital Marketing Business consists of businesses that provide comprehensive DX support, mainlyin the marketing domain, such as marketing support through online-offline integration centered on the sales
and operation of digital advertising, and the development and provision of solutions utilizing data and AI.
ii. Media Platform Business
The Media Platform Business consists of IP Platform Business (the previously Manga Content
Business) "GANMA!", Employment Platform Business "ViViViT", Platform Business of Social Contribution"gooddo", Childcare Platform Business "Babyful" etc. This segment includes business units that havecommenced operation in recent years and have not made a profit due to prior investment for revenue
generation. The highest decision-maker makes decisions on the distribution of management resources to thosebusiness units and evaluates their results, assuming risks and economic values that allow the Group to recover
the investment costs through future revenue generation.
2. Measurement of reportable segments’ profit and loss
Segment profit uses Non-GAAP operating profit based on IFRS adjusted for gain and loss related toacquisition actions such as amortization of acquisition-related intangible assets and M&A expenses andtemporary factors such as stock-based compensation expenses, impairment loss, and gain and loss on sales ofproperty, plant and equipment. Non-GAAP operating profit is a profit indicator of constant businessperformance determined by excluding gain and loss related to acquisition actions and temporary factors fromthe IFRS-based operating profit. Management believes that disclosing Non-GAAP measures facilitatescomparison between the Group and industry peers and year-on-year comparison by stakeholders and canprovide useful information in understanding the underlying operating results and outlook of the Group. Gain
and loss related to acquisition actions refer to amortization of acquisition-related intangible assets and M&A
expenses, and unusual items refer to one-off items, such as stock-based compensation expenses, impairment
loss, and gain and loss on sales of non-current assets, which the Group believes shall be excluded for the
purposes of preparing an outlook based on certain rules.
The prices of inter-segment transactions are determined based on the prices of transactions withexternal customers.

-9-3. Information on reportable segments’ profit and loss
Previous consolidated cumulative 1Q (from October 1, 2021 to December 31, 2021)(Thousand yen)
DigitalMedia Platform
Marketing
5,998,922
643,967

Total

Adjustment

Consolidated

Segment revenue *1
6,642,888-70,420
6,572,468
Segment profit
2,822,436-261,831
2,560,605-540,210
2,020,396(loss)*2*3(Notes) 1. Adjustments include the elimination of profit and loss transactions between reportable segments.
2. The segment profit is Non-GAAP operating profit.
3. Adjustments include the elimination of profit and loss transactions between reportable segments andexpenses for the operation of the holding company. Expenses for the operation of the holding company
are personnel expenses etc.
Current consolidated cumulative 1Q (from October 1, 2022 to December 31, 2022)(Thousand yen)
DigitalMarketingMedia Platform

Total

Adjustment

Consolidated

Segment revenue *1
6,203,082
882,656
7,085,739-112,091
6,973,648
Segment profit (loss)-646,779
1,735,530-192,267
1,543,263
896,484*2*3(Notes) 1. Adjustments include the elimination of profit and loss transactions between reportable segments.
2. The segment profit is Non-GAAP operating profit.
3. Adjustments include the elimination of profit and loss transactions between reportable segments andexpenses for the operation of the holding company. Expenses for the operation of the holding company
are personnel expenses etc.
Adjustments of segment profit (loss) and profit before tax

Segment profit (Non-GAAP operating profit)
Selling, general and administrative expenses
Amortization of acquisition-related intangible assets
Stock-based compensation expenses
Other profit (loss) (net)
Financial profit (loss) (net)Share of profit from investments accounted for using
equity method
Profit before tax

1Q FY2022(From October 1, 2021 to
December 31, 2021)
2,020,396(Thousand yen)
1Q FY2023(From October 1, 2022 to
December 31, 2022)
896,484－-14,042-66,157
22,853-10,205-43,543
161-679,724

17,445644,075

1,980,495

807,249(iii) Information on Subsequent Events

In order to enhance the interests of shareholders by improving capital efficiency and to implement a
flexible capital policy in response to changes in the business environment, the Company has resolved thematters concerning the acquisition of own shares at the Board of Directors meeting held in February 9, 2023.
For details, please refer to “Notice Concerning Determination of Matters Related to Acquisition of Own
Shares” announced on February 9, 2023.

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