Makuake, Inc. (4479)
Note: This document has been translated from the Japanese original for reference purposes only. In the event of any
discrepancy between this translated document and the Japanese original, the original shall prevail.

April 25, 2023

Non-consolidated Financial Results
for the Six Months Ended March 31, 2023
<under Japanese GAAP>
Company name:
Makuake, Inc.
Listing:
Tokyo Stock Exchange
Stock code:
4479
URL:
http://www.makuake.com/
Representative:
Ryotaro Nakayama, CEO
Inquiries:
Junghyun Kim, Head of Investor Relations
TEL:+81-3-6328-4038 (from overseas)
Scheduled date to file quarterly securities report:
April 26, 2023
Scheduled date to commence dividend payments:–
Preparation of supplementary materials for quarterly financial results: Yes
Holding of quarterly financial results presentation meeting:
Yes(Millions of yen with fractional amounts discarded, unless otherwise noted)

1. Performance for the six months ended March 31, 2023
(from October 1, 2022 to March 31, 2023)(1) Operating results (cumulative)(Percentages indicate year-on-year changes.)

Net sales
Six months ended
March 31, 2023
March 31, 2022

Operating profit

Millions of yen

1,789
2,243

% Millions of yen(20.2)
6.8

Basic earnings per
share
Six months ended
March 31, 2023
March 31, 2022

Ordinary profit

Yen(30.20)
4.95% Millions of yen

(378)
(17)

–
–

Diluted earnings per
share
Yen

–
4.84

(374)
4

Profit% Millions of yen–(93.5)

(379)
61

%

–
52.3

Makuake, Inc. (4479)(2) Financial position
Total assets
As ofMarch 31, 2023
September 30, 2022
Reference:

Net assets

Equity ratio

Millions of yen

Millions of yen

%

7,756
8,255

5,206
5,576

66.4
67.0

EquityAs of March 31, 2023
As of September 30, 2022

¥5,148 million¥5,528 million

2. Cash dividends
Annual dividendsFirstquarter-end

Secondquarter-end

Yen
Fiscal year ended
September 30, 2022
Fiscal year ending
September 30, 2023

Third
quarter-end

Yen

–

0.00

–

0.00

Fiscal year-end

Yen

Fiscal year ending
September 30, 2023 (Forecast)

Total

Yen

Yen

–

0.00

0.00

–

0.00

0.00

Note: Revisions to the cash dividend forecasts most recently announced: None

3. Earnings forecasts for the fiscal year ending September 30, 2023
(from October 1, 2022 to September 30, 2023)
Net sales

Fiscal year ending
September 30, 2023

(Percentages indicate year-on-year changes.)Basicearnings per
Ordinary profit
Profitshare

Operating profit

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

%

Yen

3,840

(8.7)

(880)

–

(880)

–

(890)

–

(70.81)

Note: Revisions to the earnings forecasts most recently announced: None

Makuake, Inc. (4479)* Notes(1) Application of special accounting treatments for the preparation of quarterly financial statements: None
(2) Changes in accounting policies, changes in accounting estimates, and restatement(i) Changes in accounting policies due to revisions to accounting standards and other regulations: None(ii) Changes in accounting policies due to other reasons: None(iii) Changes in accounting estimates: None(iv) Restatement: None
(3) Number of issued shares (common shares)(i) Total number of issued shares at the end of the period (including treasury shares)
As of March 31, 2023

12,568,700 shares

As of September 30, 2022

12,568,700 shares(ii) Number of treasury shares at the end of the period
As of March 31, 2023

130 shares

As of September 30, 2022

130 shares(iii) Average number of shares during the period (cumulative from the beginning of the fiscal year)
For the six months ended March 31, 2023

12,568,570 shares

For the six months ended March 31, 2022

12,487,294 shares* Quarterly financial results reports are exempt from quarterly review conducted by certified public
accountants or an audit corporation.
* Proper use of earnings forecasts, and other special matters
The forward-looking statements, including earnings forecasts, contained in these materials are based on
information currently available to the Company and on certain assumptions deemed to be reasonable.
These statements do not purport that the Company pledges to realize such statements. Actual business andother results may differ substantially due to various factors.

Makuake, Inc. (4479)

Attached materials
Index
1. Qualitative information on quarterly financial results .............................................................................. 2(1) Information on operating results ........................................................................................................ 2(2) Information on financial position ....................................................................................................... 3(3) Explanation of cash flows .................................................................................................................. 4(4) Explanation of forward-looking information including earnings forecasts ........................................ 4
2. Quarterly financial statements and significant notes thereto .................................................................... 5(1) Quarterly balance sheet ...................................................................................................................... 5(2) Quarterly statement of income ........................................................................................................... 6(3) Quarterly statement of cash flows ...................................................................................................... 7(4) Notes to quarterly financial statements .............................................................................................. 8
Notes on premise of going concern .................................................................................................... 8
Notes on significant changes in the amount of shareholders’ equity .................................................. 8
Segment information .......................................................................................................................... 8-1-

Makuake, Inc. (4479)

1. Qualitative information on quarterly financial results(1) Information on operating results
The forward-looking statements in this report were prepared based on information available as of theend of the quarter under review.
Based on its vision of “Create a world where worthy things can come to be, grow and endure,” themission of Makuake, Inc. (the Company) is to “Connect the world through the creation of the ‘new.’ ”
We operate the Makuake service, a “support” pre-order platform to connect project owners(Businesses) who are providing something new to the world with project supporters (Consumers) who
purchase new items and experiences based on their knowledge of the background and the ideas of the
project owners.
As ancillary services, we also provide Makuake Incubation Studio, which supports the generation of
new businesses that leverage research and development technology owned by companies; agency
operations for the distribution of advertisements to facilitate the growth of “support” pre-order value at
Makuake; Makuake STORE, which enables continued sales on e-commerce sites even after projects
have ended; Makuake Global, which accepts “support” pre-orders from overseas; and Makuake SHOP,
which works with partner companies in a variety of formats nationwide to enable products launched on
Makuake to be displayed and sold in real-world stores.
During the first six months of the fiscal year ending September 30, 2023, while entering a new phase ofco-existence with COVID-19, the Japanese economy witnessed increasing normalization of economic
activities, thanks to the effects of various government policies, and expectations have been high for an
economic recovery. Personal consumption, in particular, has been on a moderate recovery trend, mainly
in terms of travel and dining out, backed by the government’s domestic travel subsidy program.
Meanwhile, uncertainty toward the future remained, reflecting the risk of a downturn in overseas
economies putting downward pressure on the Japanese economy amid ongoing global monetary
tightening as well as a continuing rise in prices of raw materials, a continuing rise in commodity prices
due to supply constraints, and fluctuations in the financial and capital markets.
Our business is affected by the e-commerce market for debuting new products and the e-commercemarket for pre-ordering new services. During the period from 2020 to 2021, demand in these markets
grew rapidly due to changes in lifestyles and working styles, which emerged as a result of the spread of
COVID-19, and subsequently, with the normalization of economic activities in Japan, demand has
calmed down but continues to grow in a more stable and consistent manner. Therefore, going forward,
we believe that the e-commerce market for debuting new products and services has extraordinarily highgrowth potential.
Against this backdrop, during the six months ended March 31, 2023, as measures to realize the basic
growth policy for the current fiscal year (from October 1, 2022 to September 30, 2023) of “expanding
the foundations for stable business growth generated by repeat customers through the reinforcement of
measures to raise customer satisfaction while at the same time building an organization specializing in
capturing repeat customers, further expanding the customer base, and actualizing the Total Addressable
Market (TAM),” the Company went ahead and established systems for repeatable customer experiencefor owners and supporters.
Specifically, we developed a framework of customer satisfaction survey for all owners to moreaccurately monitor the needs of owners; established a system that enables operational improvements
based on the opinions of owners by utilizing systems to visualize the results of the survey; andimproved operations and developed functions to lessen, as much as possible, the burden on owners
until the projects are published. We also developed new tools that provide information on how owners
can accumulate fan supporters through Makuake and how to build a system for the business to growbased on these fan supporters. Moreover, based on supporters’ opinions about owners collected througha survey, the Company informed owners of areas for improvement and improvement methods toincrease supporter satisfaction.
For supporters, the Company held regular supporter interviews and surveys, etc. after “support” preorders were placed in order to improve the quality of services provided with the cooperation of owners
based on the real voices of supporters and regularly offered “advance trial sessions” where participants
could trial project products in advance offline, thus providing special experiences for supporters to-2-

Makuake, Inc. (4479)

voice their opinions regarding direct connections with owners and the development process, as well as
increasing opportunities for supporters to gain an in-depth understanding of Makuake’s “support” preorders as being more than mere “ordering.” Moreover, the Company launched a coupon function toprovide an opportunity for repeat “support” pre-orders by issuing various coupons aligned withsupporters’ needs.
Meanwhile, for the three months ended March 31, 2023, the number of new project publications fromrepeat owners was 955, down 161 from the three months ended December 31, 2022, while the amountof repeat “support” pre-orders was ¥3,130,742 thousand, down ¥94,000 thousand. The number of new
project publications from repeat owners and the repeat “support” pre-order value are indicators of theresults of the abovementioned measures. The declines are attributable to seasonal trends such as fewer
business days in January and February causing the number of new project publications to decline.
Furthermore, the effects of economic reopening, which began in the second half of the previous fiscal
year, continued to be felt during the six months ended March 31, 2023, with the “support” pre-ordervalue declining by 19.6% year on year to ¥8,360,004 thousand.
As a result, for the period under review, the Company recorded net sales of ¥1,789,246 thousand (down
20.2% year on year), an operating loss of ¥378,399 thousand (compared to an operating loss of ¥17,699
thousand in the same period of the previous fiscal year), an ordinary loss of ¥374,151 thousand(compared to an ordinary profit of ¥4,065 thousand in the same period of the previous fiscal year) and aloss of ¥379,577 thousand (compared to a profit of ¥61,813 thousand in the same period of the previous
fiscal year).
As the Company consists of a single business segment, the Makuake service, a platform for people toplace “support” pre-orders of new things and experiences, information by segment is omitted.
(2) Information on financial position
AssetsAt the end of the quarter under review, total assets decreased by ¥498,662 thousand from the previous
fiscal year-end to ¥7,756,471 thousand.
Current assets decreased by ¥777,405 thousand to ¥7,115,122 thousand. The main components
included a decrease of ¥684,308 thousand in cash and deposits.
Non-current assets increased by ¥282,764 thousand to ¥636,484 thousand. The main components
included an increase of ¥282,637 thousand in intangible assets.
Liabilities
At the end of the quarter under review, liabilities decreased by ¥128,720 thousand from the previous
fiscal year-end to ¥2,550,063 thousand.
Current liabilities decreased by ¥126,671 thousand to ¥2,489,768 thousand. The main components
included a decrease of ¥108,062 thousand in deposits received.
Non-current liabilities decreased by ¥2,049 thousand to ¥60,295 thousand. The main components
included a decrease of ¥2,893 thousand in provision for continuous services benefits.
Net assets
At the end of the quarter under review, net assets decreased by ¥369,941 thousand from the previous
fiscal year-end to ¥5,206,407 thousand. The main components included a decrease of ¥379,577
thousand in retained earnings due to the recording of loss.
(3) Explanation of cash flows
The balance of cash and cash equivalents (“cash”) at the end of the period under review amounted to¥6,530,613 thousand, down ¥791,185 thousand compared with the previous fiscal year-end. The
respective cash flow positions and the factors thereof in the period under review are as follows.

-3-Makuake, Inc. (4479)

Cash flows from operating activities
Net cash used in operating activities was ¥495,843 thousand (¥152,220 thousand was used in the same
period of the previous fiscal year.) This was primarily due to loss before income taxes of ¥374,151
thousand and a decrease in deposits received of ¥108,062 thousand.
Cash flows from investing activities
Net cash used in investing activities was ¥295,341 thousand (¥152,374 thousand was used in the same
period of the previous fiscal year.) This was primarily due to purchase of intangible assets of ¥291,177
thousand.
Cash flows from financing activities
There were no cash flows from financing activities (¥33,784 thousand was provided in the same periodof the previous fiscal year.)(4) Explanation of forward-looking information including earnings forecasts
There is no change to the earnings forecasts for the fiscal year ending September 30, 2023 from theforecasts announced on October 25, 2022.

-4-

Makuake, Inc. (4479)

Quarterly financial statements and significant notes thereto(1) Quarterly balance sheet(Thousands of yen)
As of September 30, 2022
AssetsCurrent assets
Cash and deposits
Cash segregated as deposits
Accounts receivable - trade
Other
Allowance for doubtful accounts
Total current assets
Non-current assets
Property, plant and equipment
Intangible assets
Investments and other assets
Other
Allowance for doubtful accounts
Total investments and other assets
Total non-current assets
Deferred assets
Total assets
Liabilities
Current liabilities
Income taxes payable
Deposits received
Other
Total current liabilities
Non-current liabilities
Provision for retirement benefits
Provision for continuous services benefits
Total non-current liabilities
Total liabilities
Net assets
Shareholders’ equity
Share capital
Capital surplus
Retained earnings
Treasury shares
Total shareholders’ equity
Share acquisition rights
Total net assets
Total liabilities and net assets-5-

As of March 31, 2023

5,193,507
2,128,290
339,328
238,683(7,282)
7,892,528

4,509,199
2,021,413
418,646
173,144(7,282)
7,115,122

–
–

4,710
282,637

361,257(7,537)353,719
353,7198,886
8,255,134

356,674(7,537)349,136
636,484
4,865
7,756,471

14,5652,138,393
463,4812,616,440

24,4362,030,331
435,001
2,489,768

1,658
60,68562,344
2,678,784

2,502
57,79260,2952,550,063

3,120,279
3,120,279(711,764)(625)
5,528,170
48,1795,576,349
8,255,134

3,120,279
3,120,279(1,091,341)(625)
5,148,592
57,814
5,206,407
7,756,471

Makuake, Inc. (4479)(2) Quarterly statement of income(Thousands of yen)Six months ended
March 31, 2022
Net sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Operating loss
Non-operating income
Interest income
Dividend income
Lecture's fee income
Subsidy income
Other
Total non-operating income
Non-operating expenses
Amortization of share issuance costs
Other
Total non-operating expenses
Ordinary profit (loss)
Extraordinary income
Gain on sale of investment securities
Total extraordinary income
Profit (loss) before income taxes
Income taxes - current
Income taxes - deferred
Total income taxes
Profit (loss)-6-

Six months ended
March 31, 2023

2,243,204
453,463
1,789,740
1,807,439(17,699)

1,789,246
326,193
1,463,052
1,841,452(378,399)

1
8
5,415
20,744
1,553
27,722

1
24
5,215
3,326
367
8,936

5,755
201
5,956
4,065

4,021
666
4,687
(374,151)

97,50097,500101,565
43,604(3,852)39,752
61,813––(374,151)
5,426
–
5,426
(379,577)

Makuake, Inc. (4479)(3) Quarterly statement of cash flows(Thousands of yen)Six months ended
March 31, 2022
Cash flows from operating activities
Profit (loss) before income taxes
Depreciation
Amortization of goodwill
Loss (gain) on sale of investment securities
Increase (decrease) in provision for retirement benefits
Increase (decrease) provision for continuous services
benefits
Interest and dividend income
Amortization of share issuance costs
Decrease (increase) in trade receivables
Increase (decrease) in advances received
Increase (decrease) in accounts payable - other
Increase (decrease) in accrued expenses
Increase (decrease) in deposits received
Increase (decrease) in accrued consumption taxes or
consumption taxes refund receivable
Other, net
SubtotalInterest and dividends received
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
Payments of leasehold and guarantee deposits
Proceeds from refund of leasehold and guarantee
deposits
Payments for investments in capital
Net cash provided by (used in) investing activities
Cash flows from financing activities
Proceeds from issuance of shares
Net cash provided by (used in) financing activities
Net increase (decrease) in cash and cash equivalents
Cash and cash equivalents at beginning of period
Cash and cash equivalents at end of period-7-

Six months ended
March 31, 2023

101,565
71,125
1,999(97,500)
546(374,151)
2,712
–
–
844

8,529

(2,893)(9)
5,755
52,692–(93,441)
14,524(125,599)

(26)
4,021
(79,318)
5,773(30,583)2,740(108,062)(28,207)

1,697(26,159)(114,177)
1(38,083)38(152,220)

32,237(545,008)
27(2,588)51,725(495,843)(17,840)(208,931)(40,020)
112,500(2,660)(5,294)(291,177)
–
–
–

4,907

1,130

(330)
(152,374)–(295,341)

33,78433,784(270,811)
8,591,254
8,320,443––(791,185)
7,321,798
6,530,613

Makuake, Inc. (4479)(4) Notes to quarterly financial statements
Notes on premise of going concern
No applicable items.
Notes on significant changes in the amount of shareholders’ equity
No applicable items.
Segment information
Segment information
As the Company consists of a single business segment, the Makuake service, a platform for people toplace “support” pre-orders of new things and experiences, this information is omitted.

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