Company Profile

Find the best answer
to the future ofpeople and the earth
to realize a sustainable society

Inquiries: Corporate Planning Headquarters, OYO Corporation 7 Kanda-Mitoshirocho, Chiyoda-ku, Tokyo 101-8486 Japan
Tel: +81-3-5577-4501

E-Mail：prosight@oyonet.oyo.co.jp

URL：www.oyo.co.jp
2023/3-7.2K

Message from the President & CEO

Achieve further growth through DX
and human capital management
OYO Group contributes to the realization of a sustainable society by harmonizing human society and thenatural environment with technologies based on earth science.
Since its establishment in 1957, OYO Corporation has contributed to the construction of high-quality
infrastructure, natural disaster-resilient urban development, the conservation and development of thenatural environment, and the stable supply of natural resources and energy through our expertise in geology
and ground.
Human society is now facing unprecedented challenges such as climate change, the increase in natural
disasters, the biodiversity crisis, the dramatic changes in social awareness and lifestyles due to pandemics,

Creating the future
through geoscienceand the turmoil of the global economy due to intensifying regional conflicts.
In order to adapt to these challenges, human society is expanding its efforts to transform social andindustrial structures through digital transformation (DX) and green transformation(GX).
The OYO Group is also actively developing solutions that adapt to those changes, creating new markets by
utilizing open innovation with other industries and promoting DX and GX.
In addition, we position investment in “human capital” as our most important management issue. We arestrengthening our efforts for health and productivity management*, human resource development, andcorporate governance.
As all of the OYO Group’s businesses are directly linked to the resolution of social issues, the growth of ourbusinesses leads to the sustainable development of society. We will continue strengthening the Group’s earnings
base through DX, GX, and human capital management and increasing our employees’ vitality and creativity.
Based on these efforts, we aim to grow the Group’s businesses further and improve our corporate value.
* “Kenkokeiei” (Health and Productivity Management) is a registered trademark of the NPO Kenkokeiei Kenkyukai (“Society for theManagement of Company and Employee Health”).

Hirofumi Amano
Representative Director & President

02Medium-Term Business PlanOYO Advance 2023 （2021-2023）

The OYO Advance 2023 will take the following measures to grow into an earnings business while continuing the results of activities
under the previous long-term business vision, “OYO 2020,” and the previous medium-term business plan, “OYO Jump 18.”2021-2023
Long-Term Management Vision

OYO 2020

Growth Drivers
Step up investment for DX-centric innovation strategies
DX promotion for the creation of new business services

Current Medium-TermBusiness Plan

Innovation strategy 1

OYO Advance 2023

DX strategy

Medium-Term Business Plan OYO Step 14

Total:
Innovation strategy 2

R&D strategy

2014-2017

Next Long-Term
Management
Vision2010-2013

BIM and CIM: Continue promoting 3D geotechnical analysis technology

Medium-Term Business Plan OYO Jump 18

Search for the next business, which shifts fromthe business based on the successful experience

Expand the transformed businessTo accelerate decarbonization, we will lay the next foundation for growth by promoting DX-centric innovation and implementing structural reform.

Business portfolio
reformBusiness service reform

Basic Policy
We seek to maximize the three values (social value, environmental value, and customer value) through our four business segments,
with sustainable management (ESG management and achievement of SDGs) as the basic policy
Business segments

Improve business created and expanded in Jump 18
Continuing
technology
innovation
across businesses
Deepen 3D
geotechnicalinformation
technology

Underground visualization services⇒ Contribute to zero incidents of buried pipes, underground cableinstallation, and quick restoration of lifelines in the event of disasters

Maximize three values

Creating social value

Work-style& corporate governancereformReform of domestic and overseas
group companies

Environment

Natural Resources
and Energy

Expandmeasuringequipment
development

Creating environmental
value

Targeted Business Indices

Offshore wind power generation support services⇒ Support the development of renewable energy, which is expected to expand the market

03

OYO Advance 2023üMeet market expectations and continue initiatives to contribute to building social
sustainabilityüContinue initiatives to improve shareholder value by proactively announcing our services
and solutions to society

M&A by business segment● For overseas group companies, consider selection and concentration based mainly on thepotential for decarbonization and profitability● Reform business services through DX, innovation, and cross-industrial co-creation

Work-style reforms
Governance reforms

segments to create one-stop solution services● Promote DX to realize diverse work styles● Promote corporate governance reforms, making it an important theme of manage-

ment to achieve continuous growth and enhance corporate value over the medium
to long term

Targeted Results (Performance Targets)

Net Sales by Segment
Increasing expectations
for OYO Group,
which directly handles
social issues● Promote reorganization/integration of domestic and overseas group companies throughReform through co-creation

Results for FY2020

Target for FY2023

Growth rate

49.6 billion yen

62.0 billion yen

125%

Operating Income Margin

5.1%

8.0%

＋2.9point

ROE

2.6%

5.0%

＋2.4point

Infrastructure, Maintenance,
Management, and Renovation
Natural Disaster
Prevention and Mitigation

18.7 billion yen

24.0 billion yen

128%

13.2 billion yen

16.0 billion yen

121%

Environment

9.3 billion yen

11.5 billion yen

124%

Natural Resources and Energy

8.3 billion yen

10.5 billion yen

127%

82：18

75：25

⇒ Contribute to zero delayed evacuation in landslide disasters and other natural disasters⇒ Contribute to resource recycling system and decarbonized society by using waste

and “Environment”● Accelerate the shift to the decarbonization market in “Natural Resources and Energy”● Promote fusion of technologies across the OYO Group through collaboration between

Smart disaster prevention service through hazard mapping sensor solutions

Disaster waste disposal plan-related services● Expand the portfolio of “Infrastructure Maintenance,” “Disaster Prevention and Mitigation,”

Reform through fusion oftechnologies

Net Sales
Deepenenvironmental
technology

4.5 billion yen

Structural Reforms

2018-2020

Medium-Term Business Plan OYO Hop 10

5.5 billion yen

Investment amount(Total in 3 years)

Measurement exploration equipment: development of new products
and improvement of existing products

Reform of four business segments

Natural Disaster
Prevention and
Mitigation

1 billion yen

DX promotion for work-style reforms and innovative enhancement of productivity

Replace the shrinking business based on successful
experience with the transformed business

Infrastructure,
Maintenance,
Management,
and Renovation

Investment amount(Total in 3 years)

DX promotion for deepening the existing business model

Creating customer value

Net Sales Ratio

Domestic vs. Overseas

OYO Advance 2023

04

Business Overview

Net Sales by Segment
Infrastructure, Maintenance,
Management, and Renovation

Natural Resources and Energy

15.7 billion yen

19.84 billion yen

Disaster prevention measures support services
for power plants and other energy facilities● Business support services for offshore wind
power generation and other renewable energies● Development and conservation support services
for sustainable water resources● Manufacturing and sale of natural resource
exploration equipment
and more●

Investigation of aging infrastructures, building
infrastructure maintenance and management
systems● Investigation, design, and measuring services
for establishing disaster-resilient infrastructure● Development and sale of non-destructive test
equipment
and more●

Consolidated
Net Sales in 2022

59.0
billion yen

Environment

13.54 billion yen●●

Investigation and consulting to conserve andcreate biodiversity● Soil/groundwater pollution investigation,
resource recycling support services● One-stop service for asbestos analysis andremovaland more

Management and Renovationand Mitigation

P07

P09

Support for national and local government
in preparing disaster prevention plans andpredicting damages from earthquake, tsunami,
fire, and other disasters● Investigations, loss estimations, and consultations
on countermeasures regarding natural disasterrisk● Development, installation, and renewal of monitoring
systems
and more

What we do
We are conducting business in four fields
related to geoscience.
Our distinctive feature is that we havesignificant strengths in geology and geotechnics. We are working to create newforms of sustainability in society by solving social challenges, such as community development, natural disaster prevention, conservation and restoration of theenvironment, and securing natural
resources and energy.

Operating Income (billion yen)
Operating Income Ratio (%)

Net Sales (billion yen)590
452

Natural Disaster Prevention

Natural Disaster Prevention
and Mitigation

9.92 billion yen

538

Infrastructure Maintenance,

36

516

496

25

25

25

14

2018

2019

2020

2021

2022

Number of countries where businessis conducted

2018

2019

Business Overview

4.3

2020

2021

Environment

and Energy

P11

P13

(including the Company and equity-method affiliates)

Geotechnical data owned by OYO

as of December 2021

Natural Resources

2022

30

Total depth of boring surveys

05

8

Number of group companies

130+countries

7,721km

7.1

5.1

4.8

3.3

Approx.

350,000 locations

Extending the life of aged infrastructures to contributeto the development of a resilient society

Infrastructure Maintenance,
Management and Renovation

4D geotechnical visualization services

Geological risk management

Geotechnical uncertainty poses a risk in underground excavation works, evenwith an understanding of the geotechnical structure. It can cause a risk ofrework, higher costs, or even accidents. However, safe, reliable, and efficient
work is possible with 4D geotechnical visualization ser vices. S-wave
structures are revealed three- dimensionally using 3D microtremor
tomography, and changes are monitored over time as work progresses.

We use our expertise in geology to provide appropriate risk managementfrom the planning stage of a project, to eliminate construction accidents
a n d i n e ffi c i e n c i e s c a u s e d b y g e o l o g i c a l u n c e r t a i n t i e s . T h i scomprehensive support extends from 3D geological risk visualization tocountermeasure proposals, monitoring, and BIM and CIM integration.

As excavation alters geotechnical structures, the changes are shownusing 3D microtremor array survey

Contribute to building resilient and smart cities
Infrastructures such as roads, tunnels, and levees are indispensable for our lives and economic activities. However, these infrastructures’aging has recently become a serious social problem. How can we maintain and renovate those aging infrastructures while addressing
various social issues, such as declining birthrate and aging population, increasing natural disasters, and financial difficulties? TheOYO Group intends to consider the ideal way of infrastructure appropriate for the future by using unique technologies and new ideas
related to geoscience.

Sophisticated digital tunnel inspection

Pavement management using big data in transportation

B e side s confor ming to te chnical s tan dar ds , OYO’s insp e c tion
combines high-density data acquired by 3D tunnel laser scanners
and AI image analysis for more sophisticated and efficient inspection
and better results. The 3D integrated information system, MAGIS-CIM,
p r o v i d e s co m p l e te s u p p o r t f r o m g e o l o g i c a l r i s k i n f o r m a t i o nmanagement to BIM and CIM-based construction.

Road surface conditions such as bumps and cracks are analyzed fromthe constant stream of data aggregated via the internet from connectedvehicles, including wheel behavior and rpm changes.It enables efficient,
inexpensive monitoring of extensive road networks where labor andbudgets are limited.

Underground visualization services
Beneath city streets lies various underground infrastructures – pipes and cables carrying water, sewage, gas, electricity,
a n d c o m m u n i c a t i o n . This has caused significant problems for those doing excavation work, with infrastructure information managed
separately by each utility company or lost or inaccurate records of the pipes and cables. OYO’s underground visualization services combine our
3D ground-penetrating-radar-equipped vehicles and AI analysis technology by Hitachi, Ltd. It provides a centrally managed platform forvisualizing and mapping exact 3D locations of underground infrastructure beneath the road. Users can access the underground infrastructure
information via the cloud anywhere, at any time.

3D modeling provides a digital twin of surface and subsurface conditions, including underground infrastructure

07

Infrastructure Maintenance, Management and Renovation

3D integrated information system, MAGIS-CIM

OYO GeoTools

Under-road cavity exploration services

Road disaster inspection services

OYO supports BIM and CIM modeling from adiverse product lineup, including the 3D
geological analysis system, GEO-CRE, and the3D geotechnical modeling and management
system, OCTAS Modeler.

This service visualizes potentially dangerous
cavities under roads in a fast, non-destructive
way using AI based on the data obtained byground-penetrating radar-equipped vehicles.
This contributes to early countermeasuresand reduces accident risks.

OYO’s road and slope inspection protects
motorists and other road users from damage
caused by heavy rain, earthquakes, and otherdisasters. The service is backed by the roaddisaster prevention expertise, and useful inroad maintenance.

3D geotechnical modeling and management system,OCTAS Modeler

Vehicle used for under-road cavity exploration services

Infrastructure Maintenance, Management and Renovation

08

Reducing damage caused by natural disasters
around the world and creating further safety and security in society

Seismic motion calculationand damage prediction services

Tsunami height
and flood forecast service

System for soundness
evaluation of the levee, Ells3D

Natural Disaster Prevention
and Mitigation

OYO provides services that are fundamental in
local and national government disaster prevention
strategies. We establish epicenters for large-scale
earthquakes, provide analysis of widespreadseismic motion and surveys of earthquake
damage projections, and support the formulationof regional disaster prevention/action plans.

OYO’s predictions of tsunami height and flood
areas over wide areas (applying advanced
supercomputer calculation and simulation)
also form the basis for local and national
government disaster prevention strategies
and damage assessment studies.

The continuous soil structure from shallow to
deep areas around the levee is visualizedwith advanced exploration technology, andthe results are integrated into 3D geologicalmodels. It enables efficient identification of
weak embankment areas and effective
countermeasure proposals.

Source: Study group on modeling large Nankai Troughearthquakes, Cabinet Office, Government of Japan

Protect communities from natural disasters
Flooding and landslides – brought by tropical cyclones or heavy rains and exacerbated by climate change and other factors – seemto grow more severe each year. Earthquakes are another threat, especially in Japan, where seismic activity has been increasing.
Yet challenges to local disaster prevention and mitigation have also emerged, including labor shortages from lower birthrates andaging populations, revenue shortfalls, and an increasing number of vulnerable people. OYO’s disaster prevention and mitigation
solutions protect people from worsening natural disasters by leveraging advanced AI, IoT, and 3D geotechnical analysis technology,

3D geological models of the leveeLandslide prevention: 3Dgroundwater assessment services

Risk management services for
slopes in urban areas

Flooding sensor bollards

Presence of groundwater that may cause
landslides is visualized with advanced 3D
geological analysis technology to propose
highly effective and less costly preventive
work or plans.

Slope failures in urban areas have become morecommon. This service includes preventive
measures for municipalities and businesses,
ranging from simple risk assessment reports toon-site studies and simulation-based determinationof failure risks.

The flooding sensor bollard is jointly developedwith Sunpole Co. Ltd. and Yuasa Trading Co. Ltd.
When flooding is detected, emergency warning
lights on the top are automatically illuminated,
and administrators are notified about risingwater levels via email.

Volcano monitoring systems andstrong-motion seismograph networks

Risk information platform, OPx

Fire spread prediction

OYO’s system solutions are used in national
disaster monitoring systems, including volcano
monitoring systems and strong-motion
seismograph networks (KiK-net), operated by
the Japan Meteorological Agency and National
Research Institute for Earth Science andDisaster Resilience.

O P x provides var ious data and s ystemservices for real estate, retail, distribution,and other mar ket s by aggre gating andintegrating risk information, urban spatial
information, market data, and other data
maintained by OYO and others.

OYO provides research services and systemsolutions for urban firefighting and prevention.
This solution includes the prediction of fire
spread damage after major earthquakes andthe development of supporting information
systems for more effective firefighting.

among other innovations.

Hazard mapping sensor solutions
OYO provides a comprehensive real-time multipoint monitoring solution for natural disaster prevention and mitigation that can reduce operating costs
and labor requirements. This solution consists of multipoint sensors applying edge computing, LPWA, and IoT/cloud technologies, combined with
AI-enhanced extraction of danger zones for sensor positioning, drawing on insight from OYO’s many years of surveying and operations. It is an all-in-one
service that includes sensor installation and maintenance, data aggregation, risk assessment, transmission of alerts, and information visualization, with
networks of sensors for slope failure and river flooding. Users are automatically notified by email if sensors detect abnormalities beyond a preset
threshold, supporting emergency measures such as prompt issuance of evacuation instructions. Hazard mapping sensor solution received the highest
award in the service & solution category at the 2020 MCPC Award held by the Mobile Computing Promotion Consortium.

Visualizing groundwater conditions and countermeasures
where landslides may occur

Hazard mapping sensors (flood and slope sensors) and a screen for managing sensor information

09

Natural Disaster Prevention and Mitigation

Natural Disaster Prevention and Mitigation

10Harmonizing economic activities with biodiversity
and contributing to a sustainable society

Environment

Supporting municipalities in decarbonization strategies

OECM registration support services: biodiversity surveys

Japan has a high risk of natural disasters. Moreover, rural areas face otherchallenges, including lower birth rates, aging populations, and generaldepopulation. To develop decarbonization strategies in municipalities, it isnecessary to raise awareness about the multifaced nature of the particularregion. OYO integrates and leverages wide-ranging expertise in disasterprevention, transportation planning, recycling, and renewable energy tohelp cities develop optimal decarbonization measures.

Because companies benefit from the natural environment when procuring
or transpor ting resources or using land in other ways for theiractivities, corporate value can be sustainably enhanced by protecting
biodiversity. For companies actively engaged in environmental
management, OYO provides biodiversity surveys throughout supply
chains and OECM registration support services.

Example of a regional circular and ecological sphere (Ishigaki City)

Toward comfortable, biodiverse communities
Global efforts to protect and restore the natural environment are rapidly expanding around the world, as shown by the Paris
Agreement adopted at COP21, Japan’s Carbon Neutrality Declaration for 2050, and various green transformation (GX) measuresthat promote decarbonization as a catalyst for growth. Since the establishment of the Environmental Business Division in 1976, theOYO Group has provided solutions for environmental issues such as soil and groundwater contamination, waste disposal andtreatment, and biodiversity destruction. As geoscience experts, we will continue to contribute to environmental conservation and

Dealing with brownfields with exit strategies

Tree diagnosis services

For companies remediating contaminated soil, complex legal
procedures and frequent revisions to technical guidelines often lead toconfusion, planning delays, and higher costs. OYO provides complete
support – from planning and research with exit strategies in mind tocountermeasures and land utilization – to ensure that dealing withbrownfields proceeds smoothly.

Old or diseased roadside trees that are decaying may collapse understrong winds or in typhoons may fall, which poses a risk of damaging
communications infrastructure or harming people or vehicles on theroad. To diagnose tree health, a specialized radar scanning system canbe used to quickly examine trunks and rhizomes without damaging
trees.

Example of dealing with soil contamination

Compact radar for tree diagnosis

restoration and a sustainable future through unrivaled solutions that reduce environmental impact and risks while striking an
optimal balance between development and conservation.

Disaster waste disposal planning
Since planning, designing, and supervising construction for waste treatment in
six Iwate municipalities after the Tohoku disaster, OYO has gained incomparable
expertise and technologies for analysis, calculation, transport, disposal, andrecycling of vast amounts of disaster waste. Our services are distinguished bywaste volume estimates, transport, and management plans based on high-level
reproduction of probable damage, which combine our unmatched experience inJapan with damage forecasting techniques and other expertise in earthquake
disaster prevention. Practical experience from the Tohoku disaster also
underpins our work for actual disaster sites–an advantage that sets us apart.
OYO assists municipalities reporting to the national government by promptly
calculating amounts of disaster waste generated, formulating disposal actionplans, and providing appropriate technical supervision of waste disposal for local
enterprises. These distinctions and advantages have given OYO the leading
market share in Japan for disaster waste services.

Drone photography of temporary storage sites

11

Environment

Aerial thermal infrared analysis

Table-top exercise

Systems to control invasive fish

Support services for environmental
restoration in Fukushima

Services for naturally occurring
heavy metals

These services employ environmental DNA andother techniques for efficient assessment of
non-native fish populations that affect bodies ofwater or the fishing industry, which are thencontrolled to reduce or eliminate them.

To promote environmental restoration andrecovery in Fukushima disaster sites, OYO
provides an array of technical assistance,
facility design, monitoring, and otherservices to promote disaster waste disposal.

OYO provides complete services for soil that
contains naturally occurring heavy metals fromconstruction and other work. This service ranges
from analysis by official methods and rapid on-site
analysis to various other surveys, analyses, anddesign of countermeasures with the overall project.

Ecological survey on a boat equipped with an electric
shock system

Environment

12

Securing stable resources and energy,
exploring new possibilities in energy development

Decarbonized city development support services
Mikasa, Hokkaido was a coal mining town; unused coal can still be found there. OYO joins Mikasa city’s project of decarbonized city development. In the project, the coaland local woody biomass are being used to create CO2-free hydrogen. The coal is gasified in underground coal seams, with the resulting gas and hydrogen used for
local industries and other consumers. The CO2 generated from this process remains stored underground in closed coal mines. Applying OYO’s carbon capture andstorage technology and expertise, we conduct geological evaluations to ensure safe underground storage of CO2. 3D geotechnical modeling is used to organize local
geological information and select suitable sites. We provide services such as designing 3D geotechnical models that will form the basis for overall project planning.

Natural Resources and Energy

Schematic diagram of carbon capture and storage

Supporting sustainable energy access
The Japanese government has declared the country’s goal of becoming carbon neutral – a decarbonized society – by 2050 and formulated
the Green Growth Strategy to lead efforts toward creating a positive cycle of economic growth and environmental protection. The
initiative seeks new economic growth through energy decarbonization and industrial transformation, with one facet being full-scale
introduction of offshore wind power and other renewable energy sources. Yet as natural disasters grow more threatening eachyear, it is also important to address the issue of resilience, to ensure energy security and a stable supply. The OYO Group will fulfill

3D model of a CO2 reservoir

Renewable thermal energy support services

Water security management

OYO provides one-stop services to support companies’ concrete climatechange efforts. This service ranges from identifying and evaluating thepotential and feasibility of using used renewable thermal energy (geothermal
or groundwater heat) or wastewater heat to conducting economic evaluations,designing deployment surveys, managing construction, and evaluating energy
conservation after deployment through monitoring.

OYO has extensive data on water resources (including groundwater andsurface water) and the latest research and analysis technology. By applying
these technologies, we provide solutions ranging from corporate water risk
security responses to sustainable local water resource development andformulation of basic water cycle conservation plans for maintaining water
resources.

Geothermal suitability map

Surface water flow simulation software, SuRfIN

Geothermal power support services

Disaster prevention support services for electric
power facilities

As Japan works toward carbon neutrality by 2050, the expansion ofgeothermal energy as a next-gen renewable energy source is expected.
The OYO Group provides support throughout these projects, fromfeasibility studies at the initial geothermal resource development stage
to selection of candidate sites to monitoring after plants are operational.

When power plants or energy-related facilities are damaged due to natural
disasters, the impact might not be limited to these facilities and theirsurroundings and spread to the entire Japanese economy. OYO contributes toa stable energy supply in Japan by assessing earthquake and tsunami risks at
power plants and providing survey services for more resilient facilities.

a key role in supporting sustainable energy access by encouraging widespread adoption and expansion of new energy sources
through group strengths in development (such as for new survey equipment and 3D geological analysis technology) and by providing
solutions for more resilient existing and new lifeline services.

Offshore wind power support services
To fulfill international commitments to reducing GHG emissions by 46% by fiscal 2030 and attaining carbon neutrality by 2050, the government adopted
a basic green transformation policy through a Cabinet decision in February 2023, stating Japan’s goal to make renewable energy a main source ofpower, with one aspect being a further introduction of offshore wind power. These projects require a seabed survey at construction sites in order tostudy the foundation design for wind turbines to be installed there and the layout design of the power plant. The surging growth of the offshore wind
power market has driven demand for these seabed geological surveys. In response, OYO has been engaged in developing techniques for efficient andeconomical seabed surveys, introducing new soil testing methods as European companies enter the market, investing in additional survey scaffolding,and forming alliances with a variety of other companies, including those in other industries. As a result, we are currently the market leader in this field.

Offshore boring surveys

3D geological models of the seabed

CPT surveys

Seabed microtremor array equipment
Earthquake simulation vehicle for seismic reflection surveys

13

Natural Resources and Energy

Natural Resources and Energy

14Research and Development

Sustainability

Supporting new technical development and new markets
for a changing world

Promoting integration of sustainability and business activities,
addressing social and environmental issues

To provide solutions in response to social issues and changing needs, the OYO Group is constantly researching new technologies. In

Concept for Sustainability

addition to further exploiting our core technologies based on market strategies, a key mission of the R&D section is cultivating new
businesses and markets by integrating advanced digital technologies and external resources.

human society and the natural environment, sustain safety and security of society from an engineering approach and achieve social
contributions through development of the company’s business.” All of the OYO Group’s four business segments (“Infrastructure

Framework for research and development
Exploiting core technologies
based on market strategies

Engineering
Headquarters
Core
Laboratory
ExperimentCenterResearchandDevelopment
CenterPromoting DX,
creating new business

DX Promotion
Headquarters

Maintenance, Management, and Renovation,” “Natural Disaster Prevention and Mitigation,” “Environment,” and “Natural Resources andIndependent research on
Think tank section,
development activities
collaboration with academia and ecosystem conservation

Co-creation Lab

OYO Bionomical
Engineering
Institute(neutral research organization)(business division organization)

IT Innovation
Planning
Headquarters

The OYO Group conducts business and organizational activities setting the management philosophy “Engineer a harmony between

The Research and Development Center was established as

Energy”) are closely related to sustainability. Therefore, providing solutions to customers through business activities contributes to thea research organization for next-generation technology.

creation of a sustainable society and the enhancement of corporate value. Moreover, the OYO Group Corporate Code of Conduct “Pride”

The Center promotes the development of next-generation

states, “We prepare for the unknown challenges of the future by embracing science, advancing safe, sustainable, and environmentally

technologies by integrating the R&D activities of Group

conscious technologies while maintaining the utmost integrity,” encouraging all the Group employees to practice this. Aiming tocompanies in Japan and overseas for greater efficiency andmaximize the three values (social value, environmental value, and customer value), the OYO Group further promotes the

maximum synergy. Working with DX Promotion

integration of sustainability and business activities to resolve social and environmental issues.

Headquarters, which promotes innovation based on DX

Other overseas
branch offices

strategies, the Center combines the Group’s accumulated
knowledge to date with digital technology. The Center aims

Three-Dimensional
Exploration
and Testing Center

Sustainability Management System

to create new business models, add value, and improve
service quality.

Board of Directors

R&D for 3D geotechnical analysis
technology

R&D based on market strategies

R&D based on DX strategies

3D geotechnical analysis technology issignificant for visualizing ground risks toprevent accidents and public disasters
stemming from geotechnical uncertainty.
Developing modeling tools and geophysicalequipment for 3D applications make OYO amarket leader in this field.

Leveraging dedicated departments forequipment development and soil/rock testing
and research, OYO maintains a competitiveedge by taking the initiative to develop andrelease new survey technology and testing
equipment that meets market needs.

Acting on the OYO DX strategy, we are further
exploiting existing businesses based on the DX
strategy by integrating AI, IoT, and cloudtechnology with conventional technologies. We
actively promote open innovation with companies
in other industries while cultivating newmarkets by actively promoting open innovation
with companies in other industries.

［Secretariat］

Sustainability Management Committee

Corporate Planning Headquarters

Sustainability Management Dept.
(collaborates with relevant divisions)●The Sustainability Management Committee considers policies and measures related to the Group’s sustainability initiatives (including
response to TCFD), deliberates risk management on ESG management, and reports to the Board of Directors at least twice a year.
●The Board of Directors regularly receives repor ts of impor tant matters deliberated in the Sustainability Management
Committee and supervises sustainability-related matters.

Seabed microtremor array equipment (used in seabedgeological surveys for offshore wind power)

3D geotechnical model

Co-creation Lab

Underground visualization services

OYO Group’s materiality

OYO Bionomical Engineering InstituteMateriality in business activities

Co-creation Lab

1 Development of smart social infrastructure

5 Endeavors on decarbonization

2 Mitigation of natural disaster damage

6 Diversity and inclusion

3 Creation of a decarbonized society

7 Respect for human rights, human resource

4 Realization of a society in harmony with nature

8 Complianceand development of resilient community

In times of volatility, uncertainty, complexity, and ambiguity,business as usual and approaches that are too narrow or localized
are becoming less effective. In anticipation of future climate change
and social transformation, OYO has established the Co-Creation Lab
to develop predictive and multifaceted evaluation and analysis
methods and integrative solutions for social issues.

15

Research and development

Established in Miharu, Fukushima, to work toward a society wheredevelopment activities coexist in balance with nature.
Research is focused on changes in ecology, water quality, andriverbed materials caused by dam and river development, withresults presented at academic conferences in Japan, published inacademic books, and applied in environmental impact assessmentsfor various projects.

Materiality in organizational activities that become
the management foundation

and a sustainable recycling-oriented society

development, safety and health management

Sustainability

16

Sustainability

Environment

Health management and human capital management"The OYO Group positions the Environment as one of its business domains and believes that working on initiatives on both sides of

The OYO Group focuses particularly on human resources, one of our management resources. We also recognize that diverse talent isbusiness activities and organizational activities leads to the creation of a sustainable decarbonized society, recycling-oriented society

an essential element as a source of the Group’s growth and innovation. From the perspective of focusing on talent and respecting

and nature harmonized society." For business activities, we are promoting business related to renewable energy and proactively

human rights at our foundation, we promote a safe and rewarding workplace.

making proposals to contribute to the establishment of a regional circular and ecological sphere and harmonization between humansociety and the natural environment. In addition, for organizational activity, we are making efforts to respond to climate change, cut
GHG emissions, and reduce environmental burden through the Environment Management System (EMS).

Diversity and inclusion (D&I)

Certified as a Health & Productivity Management Outstanding
Organization 2023

The OYO Group believes that diversity is a source of innovationthat enhances corporate value and competitiveness. Based on
this idea, we promote the advancement of women andemphasize diversity in recruitment activities and theworkplace.

OYO has been certified in the Certified Health & Productivity Management
Outstanding Organizations Recognition, which is held jointly by Japan’s Ministry of
Economy, Trade, and Industry and the Nippon Kenko Kaigi. This program honors
large corporations, SMEs, and others that practice outstanding health andproductivity management, based on their efforts to address local health issues andpromote health as advocated by Nippon Kenko Kaigi.

Promotion of work-style reforms

Offshore wind power generation support services

Projects for local energy production and consumption

Offshore wind power is a key focus for Japan’s carbon neutrality by
2050. OYO leads the market in seabed geological surveys at construction
areas, which are required to design wind turbine foundations. Throughthis work, including developing original technology for efficient surveys
and providing highly accurate 3D geotechnical models, we contribute to a
decarbonized future accompanying the spread of offshore wind power

To enable local energy production and consumption in Toyotomi,
Hokkaido, OYO has joined the Engineering Advancement Association ofJapan and Air Water Inc. in a project that will supply energy to the area
and attract businesses. Here, hydrogen produced from local natural gas
will be used in fuel cells as a power source. While producing hydrogenfrom natural gas does create CO2, by contributing technical expertise on
geological storage, OYO helps curb on-site GHG emissions.

A committee, which consists of members from each division, has implemented work-stylereform measures of many kinds to transform the ways our employees work. In 2022, casual
meetings were introduced to encourage communication beyond departmental borders.
Telecommuting was more strictly enforced as a facet of business continuity planning, andwork-life integration initiatives were promoted that invited members to consider work andprivate life in an integrated way to get the most from both.

Corporate citizenshipWorking toward a sustainable society is a commitment the OYO Group undertakes through business in our four segments, which all
address social issues: infrastructure and maintenance, natural disaster prevention and mitigation, environment, and natural

17

Calculation of greenhouse gas (GHG)
emissions

Environmental management system andenvironmental load reduction activities

Climate Change (Disclosure basedon the TCFD Recommendations)

Corporate GHG emissions are calculated anddisclosed by the OYO Group, as are CO2 emissions
per employee and the breakdown (scope) of
emissions, which are monitored. To reduce
emissions, we have switched to LED lighting
and updated air conditioning equipment, among
other measures. We will continue promoting
decarbonization initiatives.

OYO has established the Environment
Management System in accordance with ISO
14001. Based on the “environmental aspectassessment table,” we identify significant
environmental aspects in daily operations andindividual business activities and consider
and implement measures to reduce theirenvironmental load. We are also working toconserve energy and adopt paperless operations,among other efforts.

As a supporter of TCFD recommendations, theOYO Group follows the Sustainability Management
Committee guidance in conducting scenario
analysis of climate change. This knowledge isapplied in management strategies and risk
management, and the financial impact isconsidered. We also participate in the Carbon
Disclosure Project and strive to disclose information
on specific environmental impact reduction efforts.

Sustainability

resources and energy. We also believe that sharing the knowledge gained from these business activities with our communities canenhance corporate value over the medium to long term. This forms the basis for our active stance in enriching society in many ways.

Flood monitoring near schoolcommuting routes

Participation in the 30by30
Alliance for Biodiversity

Jointly with Ehime University, we haveinstalled flood monitoring systems bysmall and midsize rivers nearelementary school routes. Thisinitiative helps keep children safe andsecure on their way to and from school
in case of heavy rain. Elementary
students also learned about thissystem in disaster prevention lessons,with OYO representatives participating
as instructors.

OYO is a member of the 30by30
Alliance for Biodiversity, which pursues
a target of protecting or conserving atleast 30% of land and oceans by 2030.
As we participate in the Alliance, we
work to attain the 30by30 target in
Japan and achieve a sustainable
society by applying our advanced
technologies and expertise.

Sustainability

18

Digital Transformation

Creating a chain of innovation through DX strategies that are a few steps
ahead of the times

Creation of new business models with DX
DX initiatives – including open innovation with companies in other industries – have also enabled us to pursue new business.

In an era of great social change, the OYO Group has been promoting digital transformation initiatives designed to enable sustainablegrowth. Through them, we will fully embrace artificial intelligence, information and communication technology, and cloud technology inUnderground visualization services

Real-time hazard maps

Objects buried under roads are pinpointed by ground-penetrating radar
and analyzed by AI. This service helps to prevent accidents involving
buried pipes during excavation, by providing 3D location information on
demand.

Under joint development in a group of four companies in the disasterprevention consortium (CORE). Intended to map impending disasters inreal-time with IoT sensors and AI to ensure residents can evacuate
immediately.

Flooding sensor bollard

Pavement management using big data in transportation

An emergency IoT sensor system, with ﬂood sensors embedded inbollards as part of road infrastructure. If ﬂooding is detected, thesystem automatically notiﬁes personnel and warns people nearby
with emergency lights. Helps reduce ﬂood damage from heavy rain.

This service is an infrastructure DX solution using big data as
applied to traﬃc. Provides eﬃcient, inexpensive monitoring of roadpavement using probe data transmitted by connected vehicles.

business activities, work styles, and more. They will transform overall management, from how we conduct regular business to how wecreate new business. OYO was even selected as a “DX Stocks 2022”, a company boldly taking on the challenge of transforming businessmodels and management.

Conceptual diagram of DX-centric innovation strategies in the medium-term business plan
Creation of new business models
Entering new business areas● Updating business models●

Medium-termbusiness plan
growth drivers

DX strategy

DX-centric innovation
strategies

Chain of innovations
R&D strategy

Deepening of existing business●●

Enhancing customer relationships
Improving service quality

Increasein socialvalue

Increasein customer
value

Increase inenvironmental
value

Geotechnical information ICT platform
As the first OYO DX initiative, we developed a geotechnical information ICT

Disaster investigationdata
On-site investigationand inspection information

Geotechnicalinvestigation data

IoT monitoring equipment

Meteorological data

platform. The platform brings together the data and knowledge we have built
up internally. It is central to streamlining and reforming our work, enabling
us to work in more sophisticated ways, besides serving as the basis forcreating new business. The platform comprises the three domains ofincreasing work efficiency, integrating internal knowledge andgeneral-purpose data, and expanding service business, all of which are

Artificial intelligence

3D modeling technology

comprehensively managed and operated through coordinated information.

Innovative productivity improvements and workstyle reform with DX
Deepening of existing business through DX

Enabling higher productivity and quality as well as diverse work styles through digital technology and promotion of DX.

Digital transformation has enabled us to create new added value and yielded innovative productivity improvements.

Initiatives for passing down technology
with AR

Remote monitoring via
wearable cameras

Test equipment user manuals enhanced withaugmented reality were introduced for special
test equipment and the like, which previously
required printed manuals and one-on-one
instruction. Supports the goal of workstyle reformand efficiently passing down technology from one
generation to the next.

Wearable cameras are used to link client
offices to job sites online, for remotely
monitoring progress and results. Also useful
in workstyle reform and simplifying
customers’ work.

3D geotechnical information technology

AI-based systems for tunnel inspection

Hazard mapping sensor solutions

Geological structures are displayed
three-dimensionally, and highly accurate
geotechnical information is provided. Helps
curb geological accidents or disasters andsupports the development of smart undergroundspaces.

AI analyzes high-density 3D data acquiredby a 3D tunnel laser scanner, improving thequality of inspection results and enabling
more sophisticated diagnosis.

This disaster prevention system is responsive
to climate change. It consists of emergency
multipoint sensors applying edge computing,
LPWA, and IoT/cloud technologies, which are
positioned using AI-enhanced extraction ofdanger zones.

Widely acclaimed outside the company, this system was distinguished with DX Stocks 2022.

19

Digital Transformation

OYO was selected as “DX Stocks 2022” by Japan’s Ministry of Economy, Trade and Industry, the Tokyo Stock
Exchange, and the Information-Technology Promotion Agency.
The DX Stocks is a program which selects companies on the Tokyo Stock Exchange that have establishedinternal mechanisms to promote DX leading to increased corporate value. These companies have also
distinguished themselves by their record of using digital technology.

Digital Transformation

20

Company Overview

Overview

As of December 31, 2022

Certifications

As of January 1, 2023

Name

OYO Corporation

Quality Management System (ISO 9001:2015)

Address

7 Kanda-Mitoshirocho, Chiyoda-ku, Tokyo 101-8486

・Registered: November 13, 1998

Japan
Phone

+81-3-5577-4501

Websitehttps://www.oyo.co.jp/

EstablishedMay 2, 1957

Listing
Net sales
Employees（MLIT registration: Ken 01 No. 175)

Measurement certification business• River, erosion control, and coastal/ocean engineering• Urban/regional planning• Concentration（Saitama registration: No. 555）

• Geological engineering

Certified survey firm

（MLIT registration: No. (14)-1334）

Information Security Management System (ISO/IEC 27001:2013)• Harbor and airport engineering• Soil/foundation engineering

Special construction contractor（MLIT registration: Toku-4 No. 2181）

・Registered: March 14, 2014

• Road/highway engineering• Steel structure/concrete engineering• Water/industrial water supply
engineering• Tunnel engineering• Sewerage engineering• Construction telecommunications

Environmental Management System (ISO 14001:2015)

Personal Information Protection Management System (JIS Q 15001:2017)
・Registered: November 27, 2020

Tokyo Stock Exchange Prime Market

Second-level Eruboshi certiﬁcation(women's participation and advancement)

59,011 million yen

・Certiﬁed: September 30, 2016(consolidated, year ended December 2022)
2,438 (consolidated)
1,209 (non-consolidated)

As of January 1, 2023

Consulting engineer

・Registered: July 6, 2012 (initially registered January 1, 2003)

Paid-in capital 16,174.6 million yen

Business registration• Construction environment engineering• Agricultural civil engineering

Platinum Kurumin certiﬁcation(balancing work and parenting)engineering• Waste engineering

Resilience certiﬁcation(business continuity and social contribution)

Geological surveyor• Designated investigation firm for soil （Kan 2003-8-1025）
contamination

Specified worker dispatching undertaking （Toku 13-305162）• Forestry civil engineering

・Obtained: January 19, 2018

First-class registered architect office （Saitama registration: No. (3) 10113）（Soil Contamination Countermeasures Act）
Investigation firm designatedby the Ministry of the Environment（MLIT registration: Shitsu 04 No. 12）

・Obtained: November 20, 2020

Business bases

As of January 1, 2023

Group Companies

As of January 1, 2023

Hokkaido Office

ROBERTSONGEOLOGGING LTD.

GEOPHYSICALSURVEY SYSTEMS, INC.

IRIS INSTRUMENTS SAS

GEOMETRICS, INC.
OYO CORPORATION U.S.A.
KINEMETRICS, INC.

Hokushinetsu Office
Tohoku Office
Infrastructure Maintenance Business Division
Water and Disaster Engineering Business Division
Infrastructure Development Business DivisionTokyo Office
Geo Design Center

OYO CORPORATION, PACIFICFONG CONSULT PTE. LTD.
FC INSPECTION PTE. LTD.
Geosmart International Pte. Ltd.

OYO Bionomical Engineering Institute
Instruments & Solutions Division
Global Environment Business Division

Chubu Office
Research and Development CenterCore Laboratory Experiment Center

Kansai Office

Energy Business Division

Head Office
Kyushu Office21

Company Overview

Shikoku Office

IT Business Division

Disaster Risk Reduction Business Division

Head office
Headquarters,
research labs,
divisions
Offices
Sales offices

Domestic companies

Overseas companies

NS Environment Corporation

OYO Corporation U.S.A.

KCS Co., Ltd.

Kinemetrics, Inc.

Tohoku Boring Co. Ltd.

Geometrics, Inc.

Ocean Engineering Corporation

Geophysical Survey Systems, Inc.

KOEI Consultant Co., Ltd.

Robertson Geologging LTD.

OYO Seismic Instrumentation Corporation

OYO Corporation, Pacific

OYO RMS Corporation

Fong Consult Pte. Ltd.

Nankyu Geo Technics Corporation

FC Inspection Pte. Ltd.

OYO Resources Management Co., Ltd.

Geosmart International Pte. Ltd.

OYO Geo-Monitoring Service Corporation

IRIS Instruments SAS

Ox, Inc.
Engineering & Risk Services Corporation

Company Overview

22