Earnings Presentation
Second Quarter, FYE December 2021
August 2021

AOI TYO Holdings Inc.

Contents
1. Summary of Consolidated Financial Results
2. Share Consolidation1

1.

Summary of Consolidated Financial Results

2

Financial Highlights
 Business operations normalized due to measures taken to prevent the spread of
COVID-19, and infections did not have a significant impact on business results.
 Net sales increased due to the gradual recovery in the domestic advertising market.
 We implemented cost reduction measures established under our medium-term planahead of schedule, resulting in increases of every profit measure.
(million yen)

Q2 FY2019

Q2 FY2020

Q2 FY2021

YoY Change

30,63624,36729,025+4,657

Operating Income

816-881

1,686+2,568

Ordinary Income

637-1,047

1,668+2,716

Profit Attributable toOwners of Parent

257-956

891+1,847

EBITDA

1,531-313

2,120+2,434

Net Sales3Segment Performance (1) - Content Production Business
Production of various video content for domestic and overseas advertising, post-production businessand xR content production

 Net sales increased due to a recovery in orders for CM production and otherprojects from advertising companies, as well as the postponement andcancellation of projects in year-ago quarter due to the impact of COVID-19.
 Segment profit increased significantly due to the increase in net sales and thedecrease in various expenses as a result of cost reduction measures.
Net Sales
30,00020,00018,586

Segment Profit
21,141

10,0000

1,000
Q2 FY2020

Q2 FY2021

2,607

3,000
2,0000(million yen)

836
Q2 FY2020

Q2 FY2021
4Segment Performance (2) - Communication Design BusinessProviding omnidirectional execution from video, to digital solutions, PR, events, spatial design, andmore in the advertising / marketing solutions domain

 In January of this year, we merged five companies to form xpd, Inc., while we saw an increasein orders received through direct transactions with advertisers, an area of focus for thecompany.
 Sales and profits rose in the event business, which was impacted in the year-ago quarter by
postponements and cancellations, as demand continues to return in connection with the use ofonline technologies.
Segment Profit(million yen)
Net Sales
10,0005,780

7,88305,000

0-500
Q2 FY2020

331

500

Q2 FY2021-338
Q2 FY2020

Q2 FY2021
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Trend of Net Sales by Quarter
20,00018,425
15,47015,00013,04914,193

15,166

14,832
11,31810,000

16,637

16,168(million yen)
10,083

FY2019FY2020
FY2021

5,000

0Q1Q2Q3

Q4
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Order Intake and Order Backlog by Quarter First-half results for order intake returned to pre-COVID-19 levels.
 End of Q2 order backlog amounted to ¥ 17,277 million (up 23.2% year on year).
20,000(million yen)
15,000Order intake FY2019
Order intake FY2020

10,00016,91015,912
15,754

15,11914,02917,277

Order intake FY2021
15,39914,469Order backlog FY2019

14,606
13,306

Order backlog FY2020

5,0000Order backlog FY2021
18,19115,35316,333

14,373 8,437 16,363

Q1

Q2

15,51711,452

Q3

0

18,56314,545

0Q47

Trends of Operating Income by Quarter
1,500

923

1,000

763

633
500

116965533

337

183

FY20190FY2020-500

FY2021-379-1,000-1,500(million yen)-997

Q1Q2Q3Q48

Net Sales by Customer
22.6%
Q2 FY2019

29.6%

6,920

20.0%

27.8%

9,066

8,517

(million yen)

6,132

* Net sales from Dentsu Inc. (non-consolidated) were 6,224 million yen, and net sales from Hakuhodo Inc. (non-consolidated) were 7,108 million yen.

25.7%

21.7%
Q2 FY2020

5,298

6,270

32.3%

7,868

20.2%

4,929

* Net sales from Dentsu Inc. (non-consolidated) were 4,890 million yen, and net sales from Hakuhodo Inc. (non-consolidated) were 4,931 million yen.

24.5%

20.8%
Q2 FY2021

6,035

7,112

31.1%

9,039

23.6%

6,837Dentsu GroupHakuhodo Group
Direct transactions
Other* Net sales from Dentsu Inc. (non-consolidated) were 5,046 million yen, and net sales from Hakuhodo Inc. (non-consolidated) were 5,556 million yen.

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Summary of Consolidated Balance Sheet(million yen)

FY2020Q2 FY2021

Major Components
Cash and deposits (+5,787); notes and accounts
receivable (-1,251); electronically recorded monetaryclaims (+484)

Current Assets

33,01437,799Non-current Assets

15,667

15,354

48,68253,154Current Liabilities

14,743

20,275

Accounts payable – trade(-1,330); Short-term loans
payable (+6,500)

Non-current Liabilities

13,707

11,892Long-term loans payable (-1,784)

Total Liabilities

28,451

32,168

Total Net Assets

20,231

20,986

Total Liabilities and Net Assets

48,68253,154

Total Assets(percentage of total assets)(41.6%)(39.5%)

Retained earnings(+604)

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2.

Share Consolidation

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Summary of Share Consolidation
 As part of the procedures to take the Company private, we plan to implement a reverse
stock split.
 A total of 3,900,000 shares of Company common stock will be consolidated into one share.
 The Company's sole shareholder will be Studio Cruise Co., Ltd., and the Company is
expected to be delisted.

Schedule
Tuesday September 7, 2021

Date of the Extraordinary Shareholders’ Meeting

Tuesday September 7, 2021

Designation date as delisted issue

Monday September 27, 2021

Last trading date of Company Stock

Tuesday September 28, 2021

Delisting date of Company Stock

Thursday September 30, 2021

Effective date of Share Consolidation
12Disclaimer
This document includes future forecasts that reflect the plans and outlook of AOITYO Holdings.
The future forecasts and related descriptions are based on information available tothe company at the time of the preparation of this document, and the forecasts areaffected by the economic environment of the company’s businesses, competition, theresults of new services provided, and other factors that involve uncertainties. Pleaseacknowledge, therefore, that the actual business results may deviate significantly
from the forecasts and related information provided in this document.
In addition, the company does not have any obligation to update and publish theinformation concerning future forecasts in this document after its publication.
Please contact the following for any questions:Contact (https://aoityo.com/en/contact.html)
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