Financial Results Presentation
for the Second Quarter ofFiscal Year Ending March 31,2022
OBIC Co.,Ltd.
October 27, 2021

These materials were prepared for the sole purpose of providing information to use as reference inmaking investment decisions, and are not intended as a solicitation for investment.

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1

Overview of Group Companies
Established

OBIC Co., Ltd.

(As of September 30, 2021)

Paid-in capital

Number of employees

Apr. 1968¥19.17 billion

1,918

Nov. 1979¥320 million

204

Consolidated subsidiaries

OBIC Office Automation Co., Ltd.

Number of employees (consolidated) : 2,122
Equity-method affiliates

OBIC Business Consultant Co., Ltd.

Dec. 1980

These materials were prepared for the sole purpose of providing information to use as reference inmaking investment decisions, and are not intended as a solicitation for investment.

¥10.51 billion

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940

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Overview of the Group’s Business Operations【System Integration Services】

OBIC Co., Ltd.
【System Support Services 】【Office Automation Services】

OBIC Office Automation【Business-use Package
SoftwareServices 】

OBIC Business Consultant

These materials were prepared for the sole purpose of providing information to use as reference inmaking investment decisions, and are not intended as a solicitation for investment.

Co., Ltd.

Co., Ltd.

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3

OBIC Group
Consolidated Financial Resultsfor the Second Quarter ofFiscal Year Ending March 31,2022

These materials were prepared for the sole purpose of providing information to use as reference inmaking investment decisions, and are not intended as a solicitation for investment.

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4

Consolidated Balance Sheet(¥ million)

Assets2021/32021/9ChangeCurrent assets

163,046

163,855

809

Cash and deposits

150,745

150,621△124

Notes and accounts
receivable - trade, andcontract assets

11,035

11,816781

Others

1,265

1,417

△152

Fixed assets

135,211140,046

4,834

Tangible fixed assets

56,26556,35488

Intangible fixed assets

133

129

△3

Investments and other assets

78,811

83,561

4,749

Investment securities

74,81680,0305,214

Deferred tax assets

2,296

1,407

△888

Others

1,698

2,123

424

Total assets

298,257

303,901

5,643These materials were prepared for the sole purpose of providing information to use as reference inmaking investment decisions, and are not intended as a solicitation for investment.

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5Consolidated Balance Sheet
Liabilities(¥ million)

2021/32021/9ChangeCurrent liabilities

23,931

19,562△4,369Fixed liabilities

8,300

8,237

△63

Total liabilities

32,231

27,799△4,432

256,596

263,112

6,515

38,70838,708-Retained earnings

240,028

251,966

11,938Treasury shares△22,140 △27,562△5,422Net assets
Shareholders’ equity
Capital stock and capital surplus

9,428

12,9903,561

Valuation differences on other securities

10,162

13,4903,327

Revaluation reserve for land

△694

△481

213

Total net assets

266,025

276,102

10,076

Total liabilities and net assets

298,257

303,901

5,643

Accumulated other comprehensive income

These materials were prepared for the sole purpose of providing information to use as reference inmaking investment decisions, and are not intended as a solicitation for investment.

Equity ratio

90.9％

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6Financial Results (consolidated)(¥ million)

2020/92021/9YoYNet sales

41,01543,559-%Operating income

23,887

26,371110.4%

Ordinary income

26,14428,935110.7%Net income

19,107

21,277111.4%

Earnings per share (EPS) (yen)214.81

239.38111.4%

88,95088,887－

Average number of total shares
outstanding(thousands)

These materials were prepared for the sole purpose of providing information to use as reference inmaking investment decisions, and are not intended as a solicitation for investment.

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7Financial Results (consolidated) ：reference(¥ million)

2020/92021/9YoYNet sales

40,00843,559108.9%

Operating income

23,887

26,371110.4%

Ordinary income

26,14428,935110.7%Net income

19,107

21,277111.4%

Earnings per share (EPS) (yen)214.81

239.38111.4%

88,95088,887－Average number of total shares
outstanding(thousands)

OBIC Co., Ltd. has applied the “Accounting Standard for Revenue Recognition” (ASBJ Statement No. 29, March 31, 2020), etc. effective from thebeginning of the first quarter ended June 30 , 2021.
The numbers above are calculated under the assumption that the accounting standard, etc. had been applied in the fiscal year ended March 31, 2021,
These materials were prepared for the sole purpose of providing information to use as reference inmaking investment decisions, and are not intended as a solicitation for investment.

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8

First half operating income increases for 21th consecutive period
Net sales(¥ million)

Operating income

Operating margin

60.5%

50,00048.9
45,00043,55940.7
40,00035,00029.4
24.0

30,00026,371

25,00020,00015,00010,0005,000
02001/92005/92010/9These materials were prepared for the sole purpose of providing information to use as reference inmaking investment decisions, and are not intended as a solicitation for investment.

2015/9All Rights Reserved,Copyright © OBIC Co.,Ltd. 2021

2021/99

Financial Results (consolidated)(¥ million)

2021/92021/9Change41,01543,5592,544

10,860

10,251△609

30,15433,308

3,154

SG&A expenses

6,266

6,937

670

Operating income

23,887

26,371

2,484

Non-operating profits

1,424

1,512

87

Equity-method gains

1,481

1,820

338

Ordinary income YoY

649768

119

26,14428,9352,790

110.7％

Extraordinary income

2882△286

Extraordinary losses

10△17,324

7,659

335

19,107

21,2772,170

Net sales
Cost of goods sold
Gross profit

Non-operating expenses
Ordinary income

Income taxes, etc.
Net income

These materials were prepared for the sole purpose of providing information to use as reference inmaking investment decisions, and are not intended as a solicitation for investment.

Operating income YoY

110.4％Net income

YoY

111.4％All Rights Reserved,Copyright © OBIC Co.,Ltd. 2021

10Business Results by Segment(¥ million)

2020/9SISSOA

Total

2021/9YoY

Sales

19,30819,937103.3%

Operating income

10,778

11,289104.7%

Operating margin

55.8%

56.6%

Sales

17,652

20,357115.3%

Operating income

12,482

14,318114.7%

Operating margin

70.7%

70.3%

Sales

4,053

3,264-%

Operating income

626763121.9%

Operating margin

15.5%

23.4%

Sales

41,01543,559-%Operating income

23,887

26,371110.4%

Operating margin

58.2%

60.5%

These materials were prepared for the sole purpose of providing information to use as reference inmaking investment decisions, and are not intended as a solicitation for investment.

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11Business Results by Segment ：reference(¥ million)

2020/9SISSOA

Total

2021/9YoY

Sales

19,30819,937103.3%

Operating income

10,778

11,289104.7%

Operating margin

55.8%

56.6%

Sales

17,652

20,357115.3%

Operating income

12,482

14,318114.7%

Operating margin

70.7%

70.3%

Sales

3,047

3,264

107.1%

Operating income

626763121.9%

Operating margin

20.5%

23.4%

Sales

40,00843,559108.9%

Operating income

23,887

26,371110.4%

Operating margin

59.7%

60.5%

OBIC Co., Ltd. has applied the “Accounting Standard for Revenue Recognition” (ASBJ Statement No. 29, March 31, 2020), etc. effective from thebeginning of the first quarter ended June 30 , 2021.
The numbers above are calculated under the assumption that the accounting standard, etc. had been applied in the fiscal year ended March 31, 2021,
These materials were prepared for the sole purpose of providing information to use as reference inmaking investment decisions, and are not intended as a solicitation for investment.

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12SalesSegments

YoY

SI103%

Software106%

Hardware

61%

SS

115%

Software system operation support

117%

Hardware maintenance

81%

OA-%

Total-%

The core software-related sales And Cloud-related systems were strong

These materials were prepared for the sole purpose of providing information to use as reference inmaking investment decisions, and are not intended as a solicitation for investment.

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13

Sales ：reference
Segments

YoY

SI

103%

Software106%

Hardware

61%

SS

115%

Software system operation support

117%

Hardware maintenance

81%

OA

107%

Total

109%

The core software-related sales And Cloud-related systems were strong
OBIC Co., Ltd. has applied the “Accounting Standard for Revenue Recognition” (ASBJ Statement No. 29, March 31, 2020), etc. effective from thebeginning of the first quarter ended June 30 , 2021.
The numbers above are calculated under the assumption that the accounting standard, etc. had been applied in the fiscal year ended March 31, 2021,
These materials were prepared for the sole purpose of providing information to use as reference inmaking investment decisions, and are not intended as a solicitation for investment.

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14Profitability
2020/92021/9Operating margin

58.2％ 60.5％ 2.3points

Ordinary income margin

63.7％ 66.4％ 2.7points

Net income margin

46.6％ 48.8％ 2.2points

Absorbed R&D expenses of about ¥0.8billion
These materials were prepared for the sole purpose of providing information to use as reference inmaking investment decisions, and are not intended as a solicitation for investment.

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Consolidated Cash Flow(¥ million)

2021/9Cash flows from operating activities

16,090Cash flows from investing activities△1,452

Cash flows from financing activities△14,762△124

Change in cash and cash equivalents
Balance at the beginning of the year

150,745

Balance at the end of the year

150,621

These materials were prepared for the sole purpose of providing information to use as reference inmaking investment decisions, and are not intended as a solicitation for investment.

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16

Orders Received(¥ million)

50,00043,736

46,766

YoY

ＳＩ103%

ＳＳ116%

ＯＡ-%

Total-%

40,00019,313

19,81430,00020,00020,17423,44410,000

0

4,248

3,507

2020/92021/9These materials were prepared for the sole purpose of providing information to use as reference inmaking investment decisions, and are not intended as a solicitation for investment.

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17

Orders Received ：reference(¥ million)

46,76650,00042,693

YoY

ＳＩ103%

ＳＳ116%ＯＡ

109%

Total

110%

40,00019,814
19,31330,00020,00020,17423,44410,000

0

3,206

3,507

2020/92021/9

OBIC Co., Ltd. has applied the “Accounting Standard for Revenue Recognition” (ASBJ Statement No. 29, March 31, 2020), etc. effective from thebeginning of the first quarter ended June 30 , 2021.
The numbers above are calculated under the assumption that the accounting standard, etc. had been applied in the fiscal year ended March 31, 2021,
These materials were prepared for the sole purpose of providing information to use as reference inmaking investment decisions, and are not intended as a solicitation for investment.

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18

Earnings Forecasts
Fiscal Year Ending March 31,2022

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19

Fiscal Year Ending March 31,2022(Full-year)(¥ million)

Earnings forecasts

YoY

Net sales

90,000

10.7%

Operating income

52,0008.2%

Ordinary income

56,0006.5%

Net income40,000

5.3%

Note: Because “Accounting Standard for Revenue Recognition” (ASBJ Statement No. 29), etc. will be applied from thebeginning of the fiscal year ending March 31, 2022, the above consolidated earnings forecasts represent the amounts
based on the said accounting standard, etc. and the percentages indicating year-on-year changes were calculated asif the said accounting standard, etc. had been applied for the fiscal year ended March 31, 2021.

These materials were prepared for the sole purpose of providing information to use as reference inmaking investment decisions, and are not intended as a solicitation for investment.

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20

Trends in Interim Dividends
FY2021 interim dividend

increased to ¥92.5
（yen）

70
47.5

2018/3

80

92.5

57.5

2019/32020/3

These materials were prepared for the sole purpose of providing information to use as reference inmaking investment decisions, and are not intended as a solicitation for investment.

2021/32022/3

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21

Profit-sharing With Shareholders
Annual dividend ：FY2021

185yen(Forecast)interim dividend：92.5yen Year-end dividend：92.5yen

38.9%

40.6%

160
Total（yen）
Year-enddividendInterimdividend

67.5

41.1%

37.3%

Consolidated dividend
payout ratio (%)

115

43.3%

135

185

185

105

92.5

80

92.5

2021/3

90
77.5

47.5

57.5

70

2018/3

2019/32020/3

These materials were prepared for the sole purpose of providing information to use as reference inmaking investment decisions, and are not intended as a solicitation for investment.

2022/3 (Forecast)

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22Basic Management Policies

Management focus on both quantity and quality
Emphasis on compliance

Efficient management
Promotion of innovation management
Selection and concentration
Persistence is the key to achieve corporate growth

These materials were prepared for the sole purpose of providing information to use as reference inmaking investment decisions, and are not intended as a solicitation for investment.

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www.obic.co.jp

These materials were prepared for the sole purpose of providing information to use as reference inmaking investment decisions, and are not intended as a solicitation for investment.

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24

This document contains forward-looking statements.
Such forward-looking statements are not guarantees of future performance and involve risks and uncertainties.
Actual results may differ from those in the forward-looking statements as a result of various factors.
These materials were prepared for the sole purpose of providing information to use as reference in making
investment decisions, and are not intended as a solicitation for investment.

These materials were prepared for the sole purpose of providing information to use as reference inmaking investment decisions, and are not intended as a solicitation for investment.

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25