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.

January 13, 2022

Financial Results for FY2021 Q2Company name: Sansan, Inc.
Listing:
Tokyo Stock Exchange
Securities code:
4443
URL:
https://www.corp-sansan.com/
Representative:
Chikahiro Terada, Representative Director & CEO
Inquiries:
Muneyuki Hashimoto, Director, Executive Officer, CFO
TEL:+81-3-6758-0033
Scheduled date to file quarterly securities report:
January 13, 2022
Scheduled date to commence dividend payment:–
Preparation of supplementary materials on financial results:
Yes
Holding of financial results meeting:Yes (for institutional investors andanalysts)(Millions of yen with fractional amounts rounded down, unless otherwise noted)

1. Consolidated financial results for the first six months of the fiscal year ending May 31, 2022
(from June 1, 2021 to November 30, 2021)(1) Consolidated operating results (cumulative)
Net sales
Six months ended
November 30, 2021
November 30, 2020

Six months ended
November 30, 2021
November 30, 2020

Operating profit

Millions of yen% Millions of yen

9,577
7,636

Note: Comprehensive income(Percentages indicate year-on-year changes.)

25.4
21.3

% Millions of yen

–
525.4

(133)
686

Profit attributable toowners of parent

Ordinary profit

643
454

% Millions of yen

41.7
–

573
388

%

47.8
–

Six months ended November 30, 2021: ¥(725) million [–%]
Six months ended November 30, 2020: ¥392 million [–%]

Basic earnings per
share

Diluted earnings
per share

Yen

Yen

4.60
3.12

4.52
3.08

Note: The Company implemented a stock split of common shares at a ratio of 4-for-1 on December 1, 2021. Therefore,
basic earnings per share and diluted earnings per share are calculated on the assumption that said splitting of shares
had been made at the beginning of the previous fiscal year.

(2) Consolidated financial position
Total assets
As ofNovember 30, 2021
May 31, 2021
Reference:

Net assets

Equity-to-asset ratio

Millions of yen

Millions of yen%

22,28424,31012,037
12,58453.5
51.5

EquityAs of November 30, 2021:
As of May 31, 2021:¥11,918 million¥12,516 million

2. Cash dividends
Annual dividends
First quarter-end

Second quarter-end Third quarter-end

Yen

Fiscal year ended
May 31, 2021
Fiscal year ending
May 31, 2022

Yen

–

0.00

–

0.00

Fiscal year-end

Yen–

Fiscal year ending
May 31, 2022–
(Forecast)
Note: Revisions to the forecast of cash dividends most recently announced: None

Total

Yen

Yen

0.00

0.00

0.00

0.00

3. Consolidated earnings forecasts for the fiscal year ending May 31, 2022 (from June 1, 2021 to
May 31, 2022)
Net sales

Fiscal year ending
May 31, 2022

(Percentages indicate year-on-year changes.)
Basic
Profit attributable toOrdinary profit
earnings perowners of parent
share

Operating profit

Millions ofyen%Millions ofyen%Millions ofyen

20,230to
20,716

25.0
to
28.0

450
to
800

(38.9)
to
8.6

–

%

–

Millions of
yen

–

%

–

Yen

–

Notes: 1. Revisions to the earnings forecasts most recently announced: None
2. Although the Company is expecting to record a surplus in both ordinary profit and profit attributable to owners ofparent, it is difficult to make a precise forecast. Accordingly, the Company will refrain from disclosing a concrete
forecast at this point in time.

* Notes(1) Changes in significant subsidiaries during the period (changes in specified subsidiaries resulting in thechange in scope of consolidation): None
(2) Application of specific accounting for preparing the quarterly consolidated financial statements: None
(3) Changes in accounting policies, changes in accounting estimates, and restatementa. Changes in accounting policies due to revisions to accounting standards and other regulations: Yes
b. Changes in accounting policies due to other reasons: Nonec. Changes in accounting estimates: None
d. Restatement: None
(4) Number of issued shares (Common shares)
a. Total number of issued shares at the end of the period (including treasury shares)
As of November 30, 2021

124,861,316 shares

As of May 31, 2021

124,734,580 sharesb. Number of treasury shares at the end of the period
As of November 30, 2021

672 shares

As of May 31, 2021

160 sharesc. Average number of outstanding shares during the period
For the six months ended November 30, 2021

124,775,466 shares

For the six months ended November 30, 2020

124,555,367 shares

Note: The Company implemented a stock split of common shares at a ratio of 4-for-1 on December 1, 2021.
Therefore, total number of issued shares at the end of the period, number of treasury shares at the end of theperiod, and average number of outstanding shares during the period are calculated on the assumption thatsaid splitting of shares had been made at the beginning of the previous fiscal year.

* 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
Forward-looking statements, including the consolidated forecasts stated in these materials, are based on
information currently available to the Company and certain assumptions deemed reasonable. Results
may differ materially from the consolidated forecasts due to various factors.

Sansan, Inc. (TSE 4443)
Financial Results for FY2021 Q2

Attached Material
Index
1. Qualitative information on quarterly consolidated financial results ......................................................... 2(1) Explanation of operating results ............................................................................................................ 2(2) Explanation of financial position ........................................................................................................... 6(3) Explanation of consolidated earnings forecasts and other forward-looking statements ........................ 7
2. Quarterly consolidated financial statements and significant notes thereto ............................................... 8(1) Quarterly consolidated balance sheet .................................................................................................... 8(2) Quarterly consolidated statements of income and comprehensive income ......................................... 10
Quarterly consolidated statement of income ....................................................................................... 10
Quarterly consolidated statement of comprehensive income .............................................................. 11(3) Quarterly consolidated statement of cash flows .................................................................................. 12(4) Notes to the quarterly consolidated financial statements..................................................................... 14(Notes on premise of going concern)................................................................................................... 14(Notes on significant changes in the amount of shareholders’ equity) ................................................ 14(Changes in accounting policies) ......................................................................................................... 14(Segment information, etc.) ................................................................................................................. 15(Significant events after reporting period) ........................................................................................... 17- 1 -Sansan, Inc. (TSE 4443)
Financial Results for FY2021 Q2

1. Qualitative information on quarterly consolidated financial results(1) Explanation of operating results
Under the mission of Turning encounters into innovation and the vision of Become business
infrastructure, the Group is developing services to solve various business issues by using new
approaches that combine systems that use technology and data input to digitize analog information withcloud software.
Specifically, the Group is developing services in areas such as business card management, invoices andcontracts, as well as business events and seminars, to promote digital transformation (DX) to change
the working styles of companies and business people. Moreover, as a result of recent changes toworking styles due to the spread of COVID-19, new ways of thinking toward DX, and greater attention
being attracted to the SaaS (Software as a Service) products, the DX market is forecast to reach¥3,042.5 billion (an increase of ¥2,251.3 billion since 2019) by 2030 (Note 1.), while the SaaS market
in Japan is forecast to reach ¥1,117.8 billion by 2024 (an increase of ¥516.2 billion since 2019) (Note2.). In addition, as the Group has grown, the B2B business card management service market has seen
13-fold expansion from 2013 to 2020, and the Sansan, operated by the Company, holds an 83.1%
market share in this market (Note 3.).
Consolidated financial results for the first six months of the fiscal year ending May 31, 2022
(hereinafter, the “period under review”) is as follows.
(Millions of yen)

Net sales
Gross profit
Operating profit
Ordinary profit
Profit attributable to owners ofparentSix months ended
November 30, 2020

Six months ended
November 30, 2021

YoY change

7,636
6,690
686
454

9,577
8,446
(133)
643

+25.4%+26.2%–+41.7%

388

573+47.8%In the period under review, the Group engaged in initiatives to strengthen the sales structure throughstrategic hiring, in order to realize continuous growth of net sales. In addition, apart from conducting
advertising focused on TV commercials for the Bill One, an online invoice receiving solution, theGroup engaged in initiatives such as expanding functions for the B2B business card-based contact
management service Sansan and Eight, a business card management app.
In addition, as announced on October 8, 2021, the Company implemented a 4-for-1 stock split ofcommon shares with an effective date of December 1, 2021.
As a result, net sales increased 25.4% year on year, gross profit increased 26.2% year on year, andgross profit margin was 88.2%, up 0.6 points year on year. However, operating profit decreased by¥820 million year on year. Progress was made in the strategy to achieve medium- to long-term growthof net sales, so in addition to the ¥605 million year-on-year increase in advertising expenses, this was
attributed to the ¥1,003 million year-on-year increase in personnel expenses due to the boosted hiringof employees and was in line with the consolidated earnings forecast announced at the beginning of the
fiscal year. In addition, although ordinary profit increased 41.7% year on year and profit attributable toowners of parent increased 47.8% year on year, both representing significant increases, this was mainly
the result of recording a gain on sale of investment securities in non-operating income in the firstquarter of the fiscal year ending May 31, 2022, as announced on July 19, 2021.
Notes: 1. Based on 2020 Outlook of the Digital Transformation Market by Fuji Chimera ResearchInstitute
2. Based on 2020 New Software Business Markets by Fuji Chimera Research Institute
3. Based on Latest Trends in Business Card Management Services in Sales Support DX 2022
(December 2021, survey by Seed Planning, in Japanese)- 2 -Sansan, Inc. (TSE 4443)
Financial Results for FY2021 Q2Results by segment are as follows.
(i) Sansan/Bill One BusinessThis business segment includes services such as B2B business card-based contact management
service Sansan, and online invoice receiving solution Bill One.
Results for Sansan/Bill One Business in the period under review are as follows.
(Millions of yen)Six months ended
November 30, 2020
(Note 4.)Six months ended
November 30, 2021

YoY change

6,903
6,892
6,561
330
10
0
2,835

8,548
8,295
7,926
369
238
14
2,366

+23.8%+20.4%+20.8%+11.8%+2,135.7%+3,167.2%(16.5%)

7,230
subscriptions

8,186
subscriptions+13.2%¥157 thousand¥164 thousand

+4.5%

0.65%

0.66%

+0.01 pt.

574
subscriptions

61
575
subscriptions+1,131.4%¥67 thousand¥107 thousand+59.7%Net sales
SansanSansan recurring sales
Sansan other sales
Bill One
OthersOperating profit
SansanNumber of subscriptions
Monthly recurring sales per
subscription
Last 12 months average ofmonthly churn rate (Note 5.)
Bill OneMRR (Note 6.)
Number of paid subscriptions
Monthly sales per paid
subscription+677.0%Notes: 4. Figures other than net sales and operating profit for the six months ended November 30,
2020 are exempt from review conducted by an audit corporation.
5. Ratio of decrease in monthly fees associated with subscription cancellations to totalmonthly fees for existing subscriptions for Sansan.
6. Monthly Recurring Revenue
a. Sansan
The Company engaged in efforts such as strengthening the sales structure and enhancing
service functions, aimed at further increasing the number of subscriptions and the monthly
sales per subscription for Sansan. Although the COVID-19 negatively affected the acquisitionof new subscriptions, we succeeded in enhancing our sales system, and steadily acquired new
subscriptions from medium and large enterprises and expanded use among existing customers.
As a result, the number of subscriptions and the monthly recurring sales per subscription for
Sansan were up 13.2% and 4.5% year on year, respectively. Furthermore, as a result of carryingout ongoing initiatives to expand use among existing customers to achieve a stronger customer
foundation, the last 12 months average of monthly churn rate was 0.66%, an increase of 0.01
points year on year, maintaining a low churn rate.
As a result, net sales in Sansan increased 20.4% year on year, of which recurring sales (fixedrevenue) was up 20.8% year on year and other sales was up 11.8% year on year.
- 3 -Sansan, Inc. (TSE 4443)
Financial Results for FY2021 Q2

b. Bill One
We engaged in efforts such as strengthening the sales structure through strategic hiring andconducting advertising activities with TV commercials, etc., to further expand the number ofpaid subscriptions and MRR for Bill One. As a result, the number of paid subscriptions for BillOne increased 677.0% year on year and, in November 2021, MRR was up 1,131.4% year on
year, continuing to grow at a high rate. In addition, steady progress in acquiring new
subscriptions from medium and large enterprises resulted in the increase of monthly sales per
paid subscription, up 59.7% year on year. By working on personnel hiring, advertising
activities, and making improvements to the service, the Group aims to amass more than ¥1.0
billion in ARR (Note 7.) by May 31, 2022.
As a result, net sales in Bill One increased 2,135.7% year on year.
Note:

7. Annual Recurring Revenuec. Others
The Group focused on the launch of Contract One, a cloud-based contract business service,utilizing the strengths, knowledge, know-how, etc. cultivated through existing services.
As a result, net sales of others was up 3,167.2% year on year.
As a result, net sales increased 23.8% year on year and segment profit decreased 16.5% year on
year in Sansan/Bill One Business.
(ii) Eight Business
Apart from Eight, a business card management app, this business segment includes the transcribed
media service provided by logmi, Inc. (hereinafter, “logmi”).
Results for Eight Business in the period under review are as follows.
(Millions of yen)Six months ended
November 30, 2020
(Note 4.)Six months ended
November 30, 2021

YoY change

734
148
585
(363)

976
142
833
(291)

+33.0%(4.0%)+42.3%–

2.81 million
people1,949
subscriptions

3.01 million
people2,481
subscriptions+0.20 million
peopleNet sales
B2C services
B2B services
Operating profit
Eight
Number of Eight users (Note8.)
Number of subscriptions for
Eight Team (Note 9.)+27.3%

Notes: 8. Number of confirmed users who registered their business card to their profile after
downloading the application
9. Changed name from Eight Company Premium to Eight Team.

- 4 -Sansan, Inc. (TSE 4443)
Financial Results for FY2021 Q2

a. B2C services
Due to the efforts to enhance service functions, etc., the number of Eight users totaled 3.01
million, an increase of 0.20 million year on year, but net sales from B2C services decreased
4.0% year on year.
b. B2B services
In addition to holding the Climbers 2021 Autumn business event, etc., the Company worked onstrengthening monetization of the various B2B services. As a result, net sales from B2B
services increased 42.3% year on year, and the number of Eight Team subscriptions increased
27.3% year on year.
As a result, net sales in Eight Business increased 33.0% year on year, and segment loss wascurtailed by ¥71 million year on year.

- 5 -Sansan, Inc. (TSE 4443)
Financial Results for FY2021 Q2(2) Explanation of financial position(i) Status of assets, liabilities and equity

Total assets
Total liabilities
Total net assets
Total liabilities and net assets

As of May 31, 2021

As ofNovember 30, 2021

24,31011,725
12,58424,31022,284
10,247
12,03722,284(Millions of yen)
Change fromprevious fiscal
year-end(2,025)(1,477)(547)(2,025)

AssetsTotal assets at the end of the second quarter of the fiscal year ending May 31, 2022 were ¥22,284
million, down ¥2,025 million from the end of the previous fiscal year. This was primarily due to adecrease of ¥2,230 million in investment securities due to the sale of shares of WingArc1st Inc., adecrease of ¥321 million in cash and deposits, and an increase of ¥346 million in property, plant andequipment.
Liabilities
Total liabilities at the end of the quarter under review were ¥10,247 million, down ¥1,477 million fromthe end of the previous fiscal year. This was primarily due to a decrease of ¥200 million in short-termborrowings, a decrease of ¥633 million in current portion of long-term borrowings, a decrease of ¥290
million in accounts payable - other, a decrease of ¥571 million in deferred tax liabilities, a decrease of¥481 million in advances received from receiving a lump-sum payment of contract term fees from
customers, and an increase of ¥576 million in long-term borrowings.
Net assets
Net assets at the end of the quarter under review were ¥12,037 million, down ¥547 million from theend of the previous fiscal year. This was due to a decrease of ¥1,297 million in valuation difference on
available-for-sale securities and an increase of ¥573 million in retained earnings due to recording of
profit attributable to owners of parent.
(ii) Status of cash flows(Millions of yen)

Cash flows from operating
activities
Cash flows from investing
activities
Cash flows from financing
activities
Cash and cash equivalents at
end of period

Six months ended
November 30, 2020

Six months ended
November 30, 2021

YoY change

201

(576)

–

214

391

176

(1,853)(137)–

11,227

11,901

674

Cash and cash equivalents (hereinafter “capital”) at the end of the quarter under review totaled ¥11,901
million, a decrease of ¥321 million compared to the end of the previous fiscal year.
Cash flows from operating activities
The amount of capital used by operating activities totaled ¥576 million (compared to ¥201 million
provided in the same period of the previous fiscal year). The main reasons for the increase in capital- 6 -Sansan, Inc. (TSE 4443)
Financial Results for FY2021 Q2

were recognition of profit before income taxes of ¥631 million, recognition of depreciation, non-cash
expense, of ¥349 million and recognition of share of loss of entities accounted for using equity methodof ¥205 million, and the main factors for the decrease in capital were recognition of gain on sale ofinvestment securities of ¥979 million, a decrease in advances received of ¥481 million and a decreasein accounts payable - other of ¥282 million.
Cash flows from investing activities
The amount of capital provided by investing activities totaled ¥391 million (compared to ¥214 million
provided in the same period of the previous fiscal year). The main reason for the increase in capital wasproceeds from sale of investment securities of ¥3,224 million, and the main factors for the decrease incapital were purchase of property, plant and equipment of ¥395 million, purchase of intangible assets of¥250 million and purchase of investment securities of ¥2,083 million.
Cash flows from financing activities
The amount of capital used in financing activities totaled ¥137 million (¥1,853 million used in theprevious fiscal year). The main reasons for the increase in capital were ¥1,900 million in proceeds fromlong-term borrowings and ¥116 million in proceeds from issuance of new shares, and the main factor
for the decrease in capital was ¥1,956 million in repayments of long-term borrowings.
(3) Explanation of consolidated earnings forecasts and other forward-looking statements
The forecasts of consolidated financial results for the fiscal year ending May 31, 2022 have notchanged from the forecast announced on July 14, 2021. Although the Company recorded an operating
loss in the period under review due to making various investments to realize medium- to long-term
growth of net sales, the results were as expected and in line with the consolidated forecasts announced
at the beginning of the fiscal year.

- 7 -Sansan, Inc. (TSE 4443)
Financial Results for FY2021 Q2

2. Quarterly consolidated financial statements and significant notes thereto(1) Quarterly consolidated balance sheet(Millions of yen)
As of May 31, 2021
AssetsCurrent assets
Cash and deposits
Accounts receivable - trade
Prepaid expenses
Other
Allowance for doubtful accounts
Total current assets
Non-current assets
Property, plant and equipment
Intangible assets
Software
Goodwill
Other
Total intangible assets
Investments and other assets
Investment securities
Leasehold deposits
Deferred tax assets
Other
Total investments and other assets
Total non-current assets
Total assets- 8 -As of November 30, 2021

12,389
571
469
117
(4)
13,542

12,068
517
517
176
(6)
13,273

504

851

1,023
185
0
1,209

1,003
243
0
1,246

8,344
702
–
6
9,053
10,76824,310

6,114
699
86
13
6,913
9,011
22,284

Sansan, Inc. (TSE 4443)
Financial Results for FY2021 Q2(Millions of yen)
As of May 31, 2021
Liabilities
Current liabilities
Accounts payable - trade
Short-term borrowings
Current portion of long-term borrowings
Accounts payable - other
Income taxes payable
Accrued consumption taxes
Advances received
Provision for bonuses
Other
Total current liabilities
Non-current liabilities
Long-term borrowings
Deferred tax liabilities
Other
Total non-current liabilities
Total liabilities
Net assets
Shareholders’ equity
Share capital
Capital surplus
Retained earnings
Treasury shares
Total shareholders’ equity
Accumulated other comprehensive income
Valuation difference on available-for-sale securities
Foreign currency translation adjustment
Total accumulated other comprehensive income
Share acquisition rights
Non-controlling interests
Total net assets
Total liabilities and net assets- 9 -As of November 30, 2021

195
200
1,085
1,175
154
271
6,719
359
82
10,243

185
–
452
885
264
161
6,237
436
89
8,712

879
571
31
1,482
11,725

1,456
–
79
1,535
10,247

6,312
4,053
526
(0)
10,892

6,376
4,116
1,100
(1)
11,591

1,622
1
1,623
65
2
12,58424,310

324
1
326
108
9
12,03722,284

Sansan, Inc. (TSE 4443)
Financial Results for FY2021 Q2(2) Quarterly consolidated statements of income and comprehensive income
Quarterly consolidated statement of income(Millions of yen)Six months ended
November 30, 2020
Net sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Operating profit (loss)
Non-operating income
Interest and dividend income
Foreign exchange gains
Cancellation penalty income
Subsidy income
Gain on sale of investment securities
Gain on investments in investment partnerships
Other
Total non-operating income
Non-operating expenses
Interest expenses
Commission expenses
Foreign exchange losses
Loss on investments in investment partnerships
Share of loss of entities accounted for using equity
methodPenalty loss on cancellation of rental contracts
Other
Total non-operating expenses
Ordinary profit
Extraordinary income
Gain on reversal of share acquisition rights
Total extraordinary income
Extraordinary losses
Loss on retirement of non-current assets
Impairment losses
Total extraordinary losses
Profit before income taxes
Income taxes - current
Income taxes - deferred
Total income taxes
ProfitProfit (loss) attributable to non-controlling interests
Profit attributable to owners of parent- 10 -

Six months ended
November 30, 2021

7,636
946
6,690
6,003
686

9,577
1,130
8,446
8,579
(133)

0
0
2
2
32
5
0
44

16
–
0
1
979
–
22
1,021

15
3
–
–

5
5
1
15

157

205

92
8
277
454

–
10
243
643

–
–

0
0

3
–
3
450
164
(103)
61
388
0
388

3
9
12
631
165
(105)
59
571
(2)
573

Sansan, Inc. (TSE 4443)
Financial Results for FY2021 Q2

Quarterly consolidated statement of comprehensive income(Millions of yen)Six months ended
November 30, 2020
ProfitOther comprehensive income
Valuation difference on available-for-sale securities
Foreign currency translation adjustment
Total other comprehensive income
Comprehensive income
Comprehensive income attributable toComprehensive income attributable to owners of parent
Comprehensive income attributable to non-controllinginterests- 11 -

Six months ended
November 30, 2021
388

571

–
4
4
392

(1,297)0(1,296)
(725)

392

(723)

0

(2)

Sansan, Inc. (TSE 4443)
Financial Results for FY2021 Q2(3) Quarterly consolidated statement of cash flows(Millions of yen)Six months ended
November 30, 2020
Cash flows from operating activities
Profit before income taxes
Depreciation
Amortization of goodwill
Impairment losses
Loss on retirement of non-current assets
Share-based payment expenses
Gain on reversal of share acquisition rights
Penalty loss on cancellation of rental contracts
Increase (decrease) in allowance for doubtful accounts
Increase (decrease) in provision for bonuses
Interest and dividend income
Interest expenses
Commission expenses
Loss (gain) on sale of investment securities
Loss (gain) on investments in investment partnerships
Share of loss (profit) of entities accounted for using equity
methodDecrease (increase) in trade receivables
Decrease (increase) in prepaid expenses
Decrease (increase) in other assets
Increase (decrease) in trade payables
Increase (decrease) in accounts payable - other
Increase (decrease) in advances received
Increase (decrease) in accrued consumption taxes
Increase (decrease) in other liabilities
Other, net
SubtotalInterest and dividends received
Interest paid
Income taxes paid
Net cash provided by (used in) operating activities
Cash flows from investing activities
Purchase of property, plant and equipment
Purchase of intangible assets
Purchase of investment securities
Proceeds from sale of investment securities
Purchase of shares of subsidiaries resulting in change inscope of consolidation
Purchase of shares of subsidiaries and associates
Payments of leasehold deposits
Proceeds from refund of leasehold deposits
Other, net
Net cash provided by (used in) investing activities- 12 -

Six months ended
November 30, 2021

450
338
5
–
3
11
–
92
0
29
(0)
15
0
(32)
(5)

631
349
12
9
3
31
(0)
–
1
77
(16)
5
0
(979)
15

157

205

(0)
(54)
(87)
2
100
(360)
(244)
(59)
15
377
0
(16)
(160)
201

53
(39)
(42)
(10)
(282)
(481)
(106)
28
34
(500)
0
(8)
(67)
(576)

(207)
(324)
(131)
1,680

(395)
(250)
(2,083)
3,224

(132)

(61)

(660)
(10)
1
–
214

–
(33)
1
(11)
391

Sansan, Inc. (TSE 4443)
Financial Results for FY2021 Q2(Millions of yen)Six months ended
November 30, 2020
Cash flows from financing activities
Net increase (decrease) in short-term borrowings
Proceeds from long-term borrowings
Repayments of long-term borrowings
Proceeds from issuance of shares
Proceeds from issuance of share acquisition rights
Other, net
Net cash provided by (used in) financing activities
Effect of exchange rate change on cash and cash equivalents
Net increase (decrease) in cash and cash equivalents
Cash and cash equivalents at beginning of period
Cash and cash equivalents at end of period- 13 -

123–(1,984)–21(14)(1,853)0(1,436)
12,663
11,227Six months ended
November 30, 2021

(200)
1,900
(1,956)
116
21
(17)
(137)
0
(321)
12,223
11,901

Sansan, Inc. (TSE 4443)
Financial Results for FY2021 Q2(4) Notes to the quarterly consolidated financial statements(Notes on premise of going concern)
Not applicable.
(Notes on significant changes in the amount of shareholders’ equity)
Not applicable.
(Changes in accounting policies)(Application of Accounting Standard for Revenue Recognition, etc.)
The Company has applied the “Accounting Standard for Revenue Recognition” (ASBJ Statement No.
29, March 31, 2020) and relevant ASBJ regulations effective from the beginning of the first quarter ofthe current fiscal year, and it has recognized revenue at the time the control of promised goods orservices is transferred to the customer at the amount expected to be received upon exchange of said
goods or services.
The application of the Accounting Standard for Revenue Recognition and relevant ASBJ regulations issubject to the transitional treatment provided for in the proviso to paragraph 84 of the AccountingStandard for Revenue Recognition. The cumulative effect of the retrospective application, assuming the
new accounting policy had been applied to periods prior to the start of the first quarter of the current
fiscal year, was added to or subtracted from the opening balance of retained earnings of the first quarterof the current fiscal year, and thus the new accounting policy was applied from such opening balance.
The impact of this change on profit and loss, the opening balance for retained earnings for the first six
months of the current fiscal year was immaterial.
Furthermore, the information on disaggregation of revenue from contracts with customers during thefirst six months of the previous fiscal year has not been disclosed as allowed by the transitional
treatment provided for in paragraph 28-15 of the Accounting Standard for Quarterly Financial
Reporting (ASBJ Statement No. 12, March 31, 2020).
(Application of Accounting Standard for Fair Value Measurement, etc.)
The Company has applied the “Accounting Standard for Fair Value Measurement” (ASBJ Statement
No. 30, July 4, 2019) and relevant ASBJ regulations from the beginning of the first quarter of thecurrent fiscal year, and it has applied the new accounting policy provided for by the AccountingStandard for Fair Value Measurement, etc. prospectively in accordance with the transitional measuresprovided for in paragraph 19 of the Accounting Standard for Fair Value Measurement, and paragraph44-2 of the “Accounting Standard for Financial Instruments” (ASBJ Statement No. 10, July 4, 2019).
The application of the “Accounting Standard for Fair Value Measurement” and relevant ASBJ
regulations has no effect on the quarterly consolidated financial statements for the six months ended
November 30, 2021.

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Sansan, Inc. (TSE 4443)
Financial Results for FY2021 Q2(Segment information, etc.)[Segment information]
Ⅰ

First six months of the fiscal year ended May 31, 2021 (from June 1, 2020 to November 30,
2020)
1. Information on the amount of sales and profit (loss) for each reportable segment(Millions of yen)Amount in
the quarterly
Adjustments consolidated(Note) 2
financialstatement(Note) 3

Reportable segments

Net sales
Sales to externalcustomers
Intersegment sales ortransfers
Total
Segment profit (loss)

Others(Note) 1

Sansan/Bill One
Business

Eight
Business

6,903

733

7,636

–

7,636

–

7,636

–

0

0

–

0

(0)

–

6,903

734

7,637

–

7,637

(0)

7,636

2,835

(363)

2,471

–

2,471

(1,785)

686

Total

Total

Notes: 1. The “Others” category is a business segment that is not included in the reportable segments, and includes
subsidiaries’ businesses.
2. The adjustments stated for segment profit (loss) of negative ¥1,785 million comprises the amounts of corporate
expenses not attributable to any reportable segment and mostly consists of general and administrative expenses.
3. Segment profit (loss) is adjusted with operating profit in the quarterly consolidated statement of income.

2. Information on impairment loss of non-current assets or goodwill, etc. for each reportablesegment(Significant change in goodwill amount)
Goodwill was recorded in the “Eight Business” segment due to the inclusion of logmi in thescope of consolidation as a consolidated subsidiary through the purchase of that company’s
shares in the first quarter of the fiscal year ended May 31, 2021. In the six months ended
November 30, 2020, the resulting increase in goodwill amounted to ¥195 million.

- 15 -

Sansan, Inc. (TSE 4443)
Financial Results for FY2021 Q2

Ⅱ First six months of the fiscal year ending May 31, 2022 (from June 1, 2021 to November 30,
2021)
1. Information on the amount of sales and profit (loss) for each reportable segment(Millions of yen)Amount in
the quarterly
Adjustments consolidated(Note) 2
financialstatement(Note) 3

Reportable segments

Net sales
Sales to externalcustomers
Intersegment sales ortransfers
Total
Segment profit (loss)

Others(Note) 1

Sansan/Bill One
Business

Eight
Business

8,548

974

9,523

53

9,577

–

9,577

0

1

1

0

2

(2)

–

8,548

976

9,524

54

9,579

(2)

9,577

2,366

(291)

2,075

0

2,075

(2,209)

(133)

Total

Total

Notes: 1. The “Others” category is a business segment that is not included in the reportable segments, and includes
subsidiaries’ businesses.
2. The adjustments stated for segment profit (loss) of negative ¥2,209 million comprises the amounts of corporate
expenses not attributable to any reportable segment and mostly consists of general and administrative expenses.
3. Segment profit (loss) is adjusted with operating loss in the quarterly consolidated statement of income.

2. Matters regarding changes in reportable segments
Effective from the first quarter of the current fiscal year, the Company has reorganized its
business management system with the aim of optimizing the allocation of resources to eachproduct, in order to promote the growth of each product. As a result, the former “Sansan
Business” has been changed to “Sansan/Bill One Business” as a business that includes multiple
products including “Sansan” and “Bill One.”The segment information of the six months ended November 30, 2020 is based on the divisionof the reportable segment of the six months ended November 30, 2021.
(Application of accounting standard for revenue recognition, etc.)
As stated in the above changes in accounting policies, effective from the beginning of the firstquarter of the current fiscal year, the Company has applied the Accounting Standard for
Revenue Recognition and relevant ASBJ regulations and changed the accounting processing
methods related to revenue recognition, resulting in similar changes to the measurement
method for profit or losses in the business segments.
As a result, the effect of this change on the quarterly consolidated financial statements for the
first six months of the current fiscal year is immaterial.
3. Information on impairment loss of non-current assets or goodwill, etc. for each reportablesegment(Significant change in goodwill amount)Not applicable.

- 16 -

Sansan, Inc. (TSE 4443)
Financial Results for FY2021 Q2(Significant events after reporting period)(Stock split)
Based on the resolution at the meeting of the Board of Directors held on October 8, 2021, the Company
implemented a stock split on December 1, 2021.
(1) Objective of the stock split
The purpose of the stock split is to lower the unit investment amount, thereby increasing stock
liquidity and broadening the shareholder base.
(2) Outline of the stock split(i) Method of stock split
The Company implemented a 4-for-1 stock split of common shares owned by shareholders
listed or recorded in the closing register of shareholders with a record date of November 30,
2021.
(ii) Number of shares increased by stock split
Total number of issued shares before the stock split

31,215,329 shares

Number of shares increased by this stock split

93,645,987 shares

Total number of issued shares after the stock split

124,861,316 shares

Total number of shares authorized to be issued after the stock split

470,800,000 shares(iii) Schedule of the stock split
Date of public notice of the record dateNovember 16, 2021

Record dateNovember 30, 2021

Effective date

December 1, 2021(iv) Impact on per share information
The impact on per-share information is stated in the applicable section of this document.
(3) Other(i) Change in the amount of share capital
The amount of share capital has not changed as a result of this stock split.
(ii) Adjustment of exercise price of share acquisition rights
Following the above stock split, the exercise price per share of the share acquisition rights
have been adjusted as follows effective December 1, 2021.
Date of resolution of theBoard of Directors meeting

Exercise pricebefore adjustment

Exercise priceafter adjustment

2nd Share
Acquisition Rights

June 14, 2018

¥1,760¥440

3rd Share
Acquisition Rights

January 9, 2019

¥3,400¥850

4th Share
Acquisition Rights

January 9, 2019

¥3,400¥850

5th Share
Acquisition Rights

July 14, 2020

¥5,350¥1,338

6th Share
Acquisition Rights

July 14, 2021

¥8,370¥2,093- 17 -