July 29, 2021

To whom it may concern
TOKAI Holdings Corporation
Katsuhiko Tokita, President & CEO(Code No. 3167 Tokyo Stock Exchange First Section)

Financial Results for the First Three Months of theFiscal Year Ending March 31, 2022
Started to Implement a New Medium-Term Management Plan,Innovation Plan 2024 “Design the Future Life”
TOKAI Holdings Corporation (hereinafter, "the Company") today announced its financial results for the first threemonths of the fiscal year ending March 31, 2022.
1. The Company continued to expand its earnings base to achieve a net annual increase of 100,000 in customercount.
The Company announced the fourth Medium-Term Management Plan, Innovation Plan 2024 “Design the FutureLife” ("IP24*1) in May. The plan covers a period from this fiscal year to the fiscal year ending March 31, 2025.
A key strategy in IP24 is "LNG strategy." The Company will expand its business areas at the Local level (expansionof share in existing areas), at the National level (expansion of new business areas in Japan), and at the Global level(business development overseas) and will achieve growth in the number of customers through selection andconcentration, focusing on profitability.
To achieve 3.56 million customers at the end of the fiscal year ending March 31, 2025, the Company will pursue anaggressive strategy to expand its earnings base, aiming to achieve 3.20 million customers (a net annual increase of
100,000 in customer count) at the end of the fiscal year under review.
In operating activities in the first three months of the fiscal year under review, the Company conducted remote sales
activities that do not involve direct human contact and was thorough in taking other measures to prevent COVID19 infections. Meanwhile, the Company took proactive steps to gain customers and recorded 3,108,000 continuing
customers as of June 30, 2021. This continuing customer exceeded the count at the beginning of the fiscal year
(3,099,000) by 9,488 (versus an increase of 9,224 in the same period of the previous fiscal year).
With net increases of 7,514 (LP and city) gas customers (5,165 in the same period of the previous fiscal year),
8,270 CATV customers (6,900), and 2,060 Aqua (bottled drinking water delivery) customers (a decrease of
1,561 in the same period of the previous fiscal year), we further expanded our earnings base.
2. Sales increased for the first time in two periods and hit a record high.
In the three months ended June 30, 2021, the Company recorded sales of 48,396 million yen (up 7.3％ year onyear), the first increase in two periods and a record high. Sales increased chiefly due to increases in the numbersof energy customers and CATV customers, expansion of recurring-revenue businesses in the Information andCommunications business for corporate clients, and the effect of M&A in the Construction, Equipment, and Real
Estate business.
On the profit front, operating profit fell to 3,226 million yen, down 556 million yen, or 14.7% year on year. While
profit grew thanks to an increase in the number of monthly fee-paying customers that accompanied a higher
customer account and an increase in profit in the Information and Communications business, the growth was morethan offset by a decline in household LP gas sales volume due to higher temperatures than a year ago and an increasein expenses for gaining customers, reflecting more LP gas and Aqua customers gained than a year ago, among otherfactors.

(Millions of yen)

Net sales
Operating profit
Recurring profit
Net income
EPS (yen)

Q1 FY03/22 results
Q1 FY03/21 results(April 1, 2021 to June (April 1, 2020 to June30, 2021)
30, 2020)
48,396
45,113
3,226
3,783
3,353
3,830
1,870
2,445
14.28
18.68

YoY
Change% change+3,282-556-476-575
-4.40

+7.3%
-14.7%-12.5%-23.5%-23.6%

3. Started to implement a new Medium-Term Management Plan, Innovation Plan 2024 “Design the FutureLife”
With its Corporate Philosophy "For customers' livelihood along with the region, together with the earth, we willcontinue to grow and develop" as an unchanging value, the Group will adapt to changes in customers' lifestyles andchanges in society and the environment and, while supporting and staying close to customers, aims to evolve into a"Life Design Group" that designs and provides the new lifestyles of the future, ready to take on new challenges
described in the new Medium-Term Management Plan "IP24."
The fiscal year ending March 31, 2022 is a year where the Group will lay foundations for achieving the goals
described in the five key messages in IP24: (i) Implementation of LNG strategy, (ii) Evolution of TLC*2 concept,(iii) Stepping up of DX strategy, (iv) Optimal allocation of management resources, and (v) Strengthening of SDG
initiatives.
To expand the earnings base, the Company will actively make investments to gain customers, primarily in the LPgas business, and factors in expenses for developing an environment for workstyle reform. Meanwhile, the Company
will continue to increase annual sales and profit.
The earnings and dividend forecasts for the fiscal year ending March 31, 2022 remain unchanged.
(Millions of yen)

Net sales
Operating profit
Recurring profit
Net income
EPS (yen)
Customer count at
end of fiscal year

FY03/22 forecast(April 1, 2021 toMarch 31, 2022)
207,000
15,24015,3208,830
67.42

FY03/21 results(April 1, 2020 toMarch 31, 2021)
196,726
15,22615,312
8,815
67.32

3,195,000

3,099,000

Interim (end of Q2)
Year-end
Annual dividend per share
Total annual dividends
Consolidated payout ratio

FY03/22(forecast)
15.00 yen
15.00 yen
30.00 yen
44.5%

YoY
Change% change+10,274+14+8+14+0.10

+5.2%
+0.1%
+0.1%
+0.2%
+0.2%

+97,000+3.1%

FY03/21

FY03/20

14.00 yen
16.00 yen
30.00 yen
3,940 million yen
44.6%

14.00 yen
14.00 yen
28.00 yen
3,678 million yen
44.5%

For details, please see the attached materials, entitled "Financial Results for the First Three Months of the Fiscal Year Ending March31, 2022."
For the Company's earnings announcement for the first three months of the fiscal year ending March 31, 2022, please see the following
URL: https://www.tokaiholdings.co.jp/ir/library/earnings.html*1For the details of the fourth Medium-Term Management
https://www.tokaiholdings.co.jp/ir/management/manageplan.html

Plan"IP24,"

pleaseseethefollowing

URL:

*2 TLC (Total Life Concierge) concept: The Group will provide a comprehensive range of carefully tailored services to help customers
live more comfortable lives and aim to improve customer satisfaction.

Contact: Yoshihiro Taniguchi
Public Relations and Investor Relations Office
TEL: +81-(0)3-5404-2891
Email: overseas_IR@tokaigroup.co.jp

Financial Results for the First Quarter of theFiscal Year Ending March 31, 2022
TOKAI Holdings Corporation(Code: 3167)
July 29, 2020

Steady growth of customer base in core businesses◎ Continuing customer count reached 3,108,000 at the end of Q1, up 9,000 from 3,099,000 at thebeginning of the year.
◎ Earnings base further expanded for mainstay gas, CATV, and Hikari Aqua businesses.
(LP and City) Gas(Thousands of customers)

8Aqua

CATV+8800
9+87808

+7752

1,250

+71,2067607

1,3005+2+1△20168164

1,2006163

6740+5-51,150572044+32

1,161

1,050680
2718-151,000

1,06968766016400

0Q1 FY03/20

Q1 FY03/21

Q1 FY03/22158

1,100-10700
3157

159153950-20Q1 FY03/20

Q1 FY03/21

Q1 FY03/22

148
Q1 FY03/20

Q1 FY03/21

Q1 FY03/22

Customer count at end of period

Customer count at end of period

Customer count at end of period

Net increase

Net increase

Net increase

Note: Figures are rounded to the nearest thousand.

1

Record-high net sales◎ Net sales reached a record high due to the impact of M&A in the previous fiscal year, in addition to theincrease in the number of customers and the expansion of the information and communications
business for corporations◎ Profits fell ¥600 million year on year, mainly due to an increase in customer acquisition costs, despite
an increase in profits due to an increase in the number of monthly billings in line with an increase in
the number of customers and an increase in profits in the information and communications businessfor corporate customers.
(Millions of yen)YoY

Q1 FY03/22 results Q1 FY03/21 results
Sales
Operating profit
Recurring profit
Net income
EPS (yen)(April 1, 2021–June 30, 2021)(April 1, 2020–June 30, 2020)

48,396
3,226
3,353
1,870
14.28

45,113
3,783
3,830
2,445
18.68

Change% change+3,282
-556
-476
-575
-4.40

+7.3％
-14.7％-12.5％-23.5％-23.6％
2

Full-year consolidated earnings forecast◎ FY2021 is the year to build the foundation for realizing the five key messages ((1) Promotion of LNG
strategy, (2) Evolution of TLC, (3) Full-scale DX strategy, (4) Optimal allocation of management
resources, (5) Strengthening efforts toward SDGs) set forth in the medium-term management plan
"IP24" announced in May 2021.
◎ Profit continue to increase despite factoring in expenses such as enhancing the acquisition of LP gas
customers and improving the environment for work style reforms.
(Millions of yen)

YoY

FY03/22 forecast

FY03/21 results(April 1, 2021–March 31, 2022)(April 1, 2020–March 31, 2021)

207,000

196,726+10,274+5.2％

Operating profit

15,24015,226+14+0.1％

Recurring profit

15,32015,312+8+0.1％

Net income

8,830

8,815+14+0.2％

EPS (yen)

67.42

67.32+0.10+0.2％

3,195,000

3,099,000+97,000

+3.1％

Sales

Customer count at
end of fiscal year

Change% change

3Dividend forecast◎ Based on the annual dividend of 30 yen / share raised in 2020, we plan to pay a
dividend payout ratio of 40 to 50% in 2021.
◎ No change in dividend forecast (announced on May 11, 2021)
54.7%

50

45

47.2%

46.7%

52.9%

44.2%

50.0%

44.5%

43.4%

44.6%

44.5%

¥30

¥30

per shareper share

40.2%

4035

35.1%

30

¥28

¥28

¥28

¥28

per shareper shareper shareper share

40.0%30.0%625201510¥14¥12¥12¥12¥12per shareper shareper shareper share

6666866666per share

5141414161520.0%

1110.0%11141414141500.0%

FY2011FY2012FY2013

Interim dividend

FY2014FY2015

Year ended dividend

FY2016FY2017FY2018Commemorative dividend

FY2019FY2020

FY2021(Forecast)

Dividend payout ratio

4Appendix(1) Consolidated results(2) Sales by segment(3) Operating profit by segment(4) Consolidated financial indicators(5) Consolidated cash flows(6) Group customer count(1) Consolidated results(Millions of yen)

Q1 FY2017
Results

Q1 FY2018
Results

Q1 FY2019
Results

Q1 FY2020
Results

Q1 FY2021
Results

42,531

44,55345,804

45,113

48,396

Operating profit

2,152

2,390

3,231

3,783

3,226

Recurring profit

2,204

2,487

3,351

3,830

3,353

Quarterly net
income

1,182

1,432

2,239

2,445

1,870

9.33

10.94

17.10

18.68

14.28

Sales

EPS (Yen)7(2) Sales by segment(Millions of yen)

Q1 FY2017
Results

Q1 FY2018
Results

Q1 FY2019
Results

Q1 FY2020
Results

Q1 FY2021
Results

Energy17,39217,608

18,577

17,63418,998

Information andCommunications

12,447

12,513

12,795

12,65012,619

CATV

6,406

7,511

7,738

8,226

7,996

Construction, Equipment,
and Real Estate

3,617

4,166

3,777

3,819

5,542

Aqua

1,456

1,653

1,798

1,896

1,921

Others

1,211

1,100

1,116

885

1,319

42,531

44,55345,804

45,113

48,396Total

8(3) Operating profit by segment(Millions of yen)

Q1 FY2017
Results

Q1 FY2018
Results

Q1 FY2019
Results

Q1 FY2020
Results

Q1 FY2021
Results

1,324

1,182

1,489

1,972

1,578

Information andCommunications

774

724

1,217

1,110

1,224

CATV875

1,194

1,286

1,367

1,459

Construction, Equipment,
and Real Estate

90213

213

233

263

Aqua

56

96

169

271

37-969-1,022-1,145-1,171-1,337

2,152

2,390

3,231

3,783

3,226

EnergyOthers, adjustments
Total*Prior to elimination of indirect expenses

9(4) Consolidated financial indicators(Millions of yen)

Q1 FY2017
Results

Q1 FY2018
Results

Q1 FY2019
Results

Q1 FY2020
Results

Q1 FY2021
Results

Total assets

157,498

162,694

163,992

168,253

176,837

Total liabilities101,987

101,736

99,884

100,025

101,165

Total net assets

55,511

60,957

64,107

68,22875,672

Balance of interestbearing debt

54,96652,60450,207

48,12743,428

EBITDA

5,948

6,032

7,024

7,724

7,220

Equity ratio

34.7 %

36.8 %

38.3 %

39.7 %

41.9 %
10(5) Consolidated cash flows(Millions of yen)

Q1 FY2017
Results

Q1 FY2018
Results

Q1 FY2019
Results

Q1 FY2020
Results

Q1 FY2021
Results

Operating cash flow

4,851

4,348

6,245

10,837

8,339

Investment cashflow-2,870-3,484-3,227-7,579-5,716Free cash flow

1,981

864

3,017

3,257

2,623

Financing cash flow

-2,262-1,159-3,210-3,022-2,28211

(6) Group customer count(Millions of yen)

Q1 FY2017
Results

Q1 FY2018
Results

Q1 FY2019
Results

Q1 FY2020
Results

Q1 FY2021
Results

645

664

687

718

752

Previous ISP
model, etc.

507

451

411

383

391

HikariCollaboration

310

327

326

328

337

8

32

42

50

53

825

810

778

760

781

CATV

738

1,039

1,069

1,161

1,206

Aqua

138

151

157

159

164

Mobile

232

225

214

211

201

Security

1717

1716

16

2,570

2,883

2,907

3,012

3,108
12Gas (LP and City Gas)
Information andCommunications

LIBMO
Subtotal

Total*The number of customers under a thousand are rounded to the nearest thousand. Information and Communications andCATV both offer communications services, and so their numbers are excluded from total figures.

The performance forecasts and forward-looking statements in these materials arebased on information currently available to the company, and include potential risks anduncertainties. Please be aware that due to changes in a variety of factors, actual results
may differ materially from the projections and other forward-looking statements in thesematerials.

Please contact us with any questions regarding these materials.
Investor Relations Office
TOKAI Holdings Corporation
Hamarikyu InterCity 11th floor, Kaigan 1-9-2, Minato-Ku, Tokyo, 105-0022, Japan
Phone: +81- (0)3-5404-2891
Fax: +81- (0)3-5404-2786
http://tokaiholdings.co.jp/english/
e-mail： overseas_IR@tokaigroup.co.jp