Summary of Consolidated Financial Statement
for the Nine Months Ended June 30, 2021 [IFRS]July 29, 2021

SEPTENI HOLDINGS CO., LTD.

Listed Market: TSE

Stock Code: 4293 URL: https://www.septeni-holdings.co.jp/en
Representative: Representative Director, Group President and Chief Executive Officer Koki Sato
Contact Person: Corporate Planning Department Manager Tei Go, Telephone: +81-3-6857-7258
Anticipated Dividend Payment Date:－
Anticipated Financial Report Filing Date:
July 30, 2021
Supplemental Earnings Presentation Materials:
Available
Earnings Presentation Meeting:
Held for institutional investors, analysts, media(All figures of less than 1 million yen are rounded down to the nearest digit)

1. Consolidated Financial Results for the Nine Months Ended June 30, 2021 (From October 1, 2020 to June 30, 2021)(1) Consolidated Earnings(% figures represent year-over-year change)
Revenue

Operating Profit

Million Yen

3Q FY9/21
3Q FY9/20% Million Yen

15,911
12,928

Non-GAAP
Operating Profit

23.1
2.2

3,205
1,267

% Million Yen

153.1
-

Profit before tax% Million Yen

2,999
1,428

110.1
-12.1

% Million Yen

3,350
1,271

Profit for the period
attributable toowners of theparentProfitfor the period

163.6
-

2,253
790

% Million Yen

185.0
-

2,254
783

%

187.7
-

(Note) Non-GAAP operating profit refers to the profit indicator used to assess ordinary business conditions after adjustments are made to IFRS-based
operating profit pertaining to temporary factors such as the impairment losses and gains or losses on the sales of fixed assets.

Basic earnings per share
3Q FY9/21
3Q FY9/20

Diluted earnings per share

Yen

Yen

17.82
6.19

17.75
6.17

(2) Consolidated Financial Position
Total Assets
2Q FY9/21
FY9/20Equity attributable to ownersof the parent

Total Equity

Ratio of equity attributable toowners of the parent to total
assetsMillion Yen

Million Yen

Million Yen%

38,11534,42518,082
15,811

18,067
15,79347.4
45.9

2. Dividend Conditions
End of 1Q
FY9/20FY9/21
FY9/21(Estimate)

Dividends
End of 3Q

End of 2Q

Term-end

Total

Yen

Yen

Yen

Yen

Yen

―
―

―
―

―
―

2.00

2.00

3.40

3.40

(Note) Changes in dividends estimates during the most recent quarter: None

3. Consolidated Financial Results Forecast for the Fiscal Year Ending September 30, 2021 (From October 1, 2020 to
September 30, 2021)
Revenue
Full Year

Non-GAAP Operating profit(% figures represent year-over-year change)
Profit for the period
attributable to owners of the
Basic earnings per shareparentMillion Yen%

Million Yen%

Million Yen%

Yen

21,500

19.9

4,000

63.1

2,850

94.6

22.54

(Note) Changes in consolidated earnings estimates during the most recent quarter: None* Annotation(1) Important changes in subsidiaries, including changes in the scope of consolidation: None
(2) Changes in accounting methods, procedures, presentation methods
Changes in accounting policies required by IFRSs:
None
Other changes in accounting methods:
None
Changes in accounting estimates:
None(3) Shares issued (common stock)
Shares issued as of term-end (incl. Treasury stock): 3Q FY9/21
Treasury stock as of term-end:
3Q FY9/21
Average number of shares outstanding:
3Q FY9/21

138,916,500 FY9/20
12,463,440 FY9/20
126,453,060 3Q FY9/20

138,916,500
12,463,440
126,449,957*The summary of consolidated financial results is not subject to the auditing by the Certified Public Accountants or the audit corporation.

*Disclaimer regarding appropriate use of forecasts and related points of note
(1) Regarding Consolidated Financial Results Forecast
Any description regarding the future in this material, such as financial results forecast and future outlook, is basedon the available information and certain conditions which the Company believes to be reasonable at this time, and actual
financial results may be substantially different from the forecast due to various factors.
For the assumptions underlying the earnings forecasts, please refer to "1. Qualitative Information on Results for theNine Months Ended June 30, 2021, (2) Explanation of Consolidated Earnings Forecasts and Other ForwardLooking Information."(2) Method of Obtaining Supplementary Briefing Materials on Financial Results
The Company holds a financial results briefing as follows. Materials for the briefing are available on the website
after the timely disclosure of this quarterly financial statement. In addition, video recording of the result briefing will beavailable on the website at a later date.
July 29, 2021 (Thu.) - FY9/20 3rd Quarter Financial Results Briefing for Institutional Investors, Analysts and the Press

Septeni Holdings Co., Ltd. (4293) Consolidated Financial Statement for the Nine Months Ended June 30, 2021

○Accompanying Materials – Contents
1.Qualitative Information on Results for the Nine Months Ended June 30, 2021......................................................... 2(1) Explanation of Earnings Performance ................................................................................................................. 2(2) Explanation of Consolidated Earnings Forecasts and Other Forward-Looking Information ............................... 3
2.Quarterly Consolidated Financial Statements and Key Notes ................................................................................... 4(1) Quarterly Consolidated Statement of Financial Position ..................................................................................... 4(2) Quarterly Consolidated Statements of Profit or Loss .......................................................................................... 6(3) Quarterly Consolidated Statements of Comprehensive Income .......................................................................... 7(4) Quarterly Consolidated Statements of Changes in Equity ................................................................................... 8(5) Quarterly Consolidated Statements of Cash Flows .............................................................................................. 9(6) Notes to Quarterly Consolidated Financial Statements ..................................................................................... 10(i) Notes Relating to Assumptions for the Going Concern ........................................................................... 10(ii) Information on Reportable Segments ..................................................................................................... 10-1-

Septeni Holdings Co., Ltd. (4293) Consolidated Financial Statement for the Nine Months Ended June 30, 2021

1. Qualitative Information on Results for the Nine Months Ended June 30, 2021
(1) Explanation of Earnings Performance
In the 3Q of the current fiscal year, in the main Digital Marketing Business, both revenue and profits
increased due to the expansion of existing projects and the acquisition of new clients against the backdrop ofrising demand for digital marketing in line with the shift to online consumption in general, and the promotionof alliance with the Dentsu Group. In the Media Platform Business, although revenue increased, the loss
widened due to upfront investment in some areas aimed at expanding into new business segments.
As a consequence, revenue was ¥15,911 million (up 23.1% year on year), operating profit was ¥3,205
million (up 153.1% year on year), Non-GAAP operating profit was ¥2,999 million (up 110.1% year on year),and profit attributable to owners of the parent was ¥2,254 million (up 187.7% year on year).
The Group discloses consolidated business results in terms of both its internal measures which the
management relies upon in making decisions (hereinafter the “Non-GAAP financial measures”) and thoseunder IFRS. Non-GAAP operating profit is operating income under IFRS after deducting unusual items tomeasure constant business results. The management believes that the disclosure of Non-GAAP financial
measures facilitates comparison between the Group and peer companies in the same industry or comparison ofits business results with those of prior fiscal years by stakeholders and can provide useful information inunderstanding the underlying business results of the Group and its future outlook. Unusual items refer to oneoff items, such as impairment loss and gain or loss on sales of non-current assets, that the Group believes shallbe excluded for the purposes of preparing a future outlook based on certain rules. In addition, because it will
be useful for users of financial statement, the Group voluntarily disclose “Net Sales”, which is shown as thetotal amount for all transactions, although the disclosure is not in accordance with IFRS.
Reconciliation from operating profit to Non-GAAP operating profit and Net Sales are as follows:(Millions of yen)

3Q FY2020(Previous Consolidated
Cumulative 3Q)
Operating profit

3Q FY2021(Current Consolidated
Cumulative 3Q)

Percentage
of change

Change

1,267

3,205

1,939

153.1%

Adjusted amount (Gain onsale of subsidiary)

－

-371

-371

Adjusted amount (Other)

161

164

3

Non-GAAP operating profit

1,428

2,999

1,571

110.1%Net sales

54,68571,24816,563

30.3%

Results by reportable segment are as follows.
(i) Digital marketing businessThis business segment provides comprehensive support for corporate digital transformation (DX),centered on digital marketing.
In the quarter under review, against the backdrop of rising demand for digital marketing accompanying
the shift to online consumption in general, it made progress in expanding existing projects, acquiring new
projects, and collaborating with the Dentsu Group. Earnings also improved in the overseas business.
As a consequence, revenue was ¥14,036 million (up 23.9% year on year) and Non-GAAP operating profit
was ¥5,348 million (up 52.6% year on year).
(ii) Media Platform Business
The Media Platform Business consists of Manga Content Business “GANMA!”, Recruitment Platform
Business “ViViViT”, Social Contribution Business “gooddo”, Childcare Platform Business “Babyful” etc.
In the quarter under review, while revenue increased year on year, the loss widened due to upfront
investment in some businesses in order to expand into new business segments.
As a result, it recorded revenue of ¥2,146 million (up 14.9% year on year) and Non-GAAP operating loss of-2-

Septeni Holdings Co., Ltd. (4293) Consolidated Financial Statement for the Nine Months Ended June 30, 2021

¥834 million (compared to Non-GAAP operating loss of ¥704 million in the previous year).
(2) Explanation of Consolidated Earnings Forecasts and Other Forward-Looking Information
There is no change from the full-year consolidated earnings forecast for the fiscal year ending September 2021,
which was revealed in “Notifications on Revisions to the Full-Year Consolidated Earnings Estimates for the
FY2021 and on the Term-end Dividend Forecast” on April 27, 2021.

-3-

Septeni Holdings Co., Ltd. (4293) Consolidated Financial Statement for the Nine Months Ended June 30, 2021

2. Quarterly Consolidated Financial Statements and Key Notes(1) Quarterly Consolidated Statement of Financial Position(Thousand yen)
FY2020(Ended September 30, 2020)
AssetsCurrent assets
Cash and cash equivalents
Operating receivables
Inventories
Other financial assets
Other current assets
Total current assets
Non-current assets
Property, plant and equipment
Goodwill
Intangible assets
Investments accounted for using equity
methodOther financial assets
Other non-current assets
Deferred tax assets
Total non-current assets
Total assets-4-

3Q FY2021(Ended June 30, 2021)

14,080,864
12,747,068
45,372
14,520485,044

16,064,822
13,208,026
140,779
15,962
387,732

27,372,868

29,817,322

319,851
1,007,726
83,577364,857
1,857,246
73,551

963,570

978,5873,546,126
9,528
1,121,465
7,051,843
34,424,711

3,910,211
41,727
1,071,041
8,297,221
38,114,543

Septeni Holdings Co., Ltd. (4293) Consolidated Financial Statement for the Nine Months Ended June 30, 2021

(Thousand yen)
FY2020(Ended September 30, 2020)
Liabilities and Equity
Liabilities
Current liabilities
Operating payables
Other financial liabilities
Current income taxes payable
Other current liabilities
Total current liabilities
Non-current liabilities
Other financial liabilities
Provisions
Total non-current liabilities
Total liabilities
EquityEquity attributable to owners of parent
Share capital
Capital surplus
Treasury shares
Retained earnings
Other components of equity
Total equity attributable to ownersof parent
Non-controlling interests
Total equity
Total liabilities and equity-5-

3Q FY2021(Ended June 30, 2020)

11,053,053
2,375,975
477,315
1,407,583
15,313,926

11,447,079
2,367,136
346,368
2,211,965
16,372,549

3,121,500
177,928
3,299,428
18,613,354

3,445,190
214,479
3,659,669
20,032,217

2,125,384
3,664,788-1,691,842
11,971,086-276,037

2,125,384
3,801,880-1,691,842
13,972,072-140,147

15,793,379

18,067,347

17,97815,811,357
34,424,711

14,97818,082,325
38,114,543

Septeni Holdings Co., Ltd. (4293) Consolidated Financial Statement for the Nine Months Ended June 30, 2021

(2) Quarterly Consolidated Statements of Profit or Loss

Revenue
Cost of sales
Gross profit
Selling, general and administrative expenses
Other income
Other expenses
Operating profit
Finance income
Financing cost
Equity in earnings of affiliates
Quarterly profit before tax
Income tax expense
Quarterly profit

3Q FY2020(From October 1, 2019
to June 30, 2020)
12,928,443
2,472,457
10,455,986
9,034,579
7,102
161,875
1,266,634
8,221
90,501
86,623
1,270,977
480,501(Thousand yen)
3Q FY2021(From October 1, 2020
to June 30, 2021)
15,910,589
3,019,719
12,890,870
10,034,168
378,051
29,281
3,205,471
143,725
37,21737,905
3,349,884
1,097,097

790,476

2,252,787

783,302
7,174

2,253,893-1,105

790,476

2,252,787

6.19
6.17

17.82
17.75

Quarterly profit attributable to:
Owners of the parent
Non-controlling interests
Total
Quarterly earnings per share:
Basic quarterly earnings per share (yen)Quarterly diluted earnings per share (yen)-6-Septeni Holdings Co., Ltd. (4293) Consolidated Financial Statement for the Nine Months Ended June 30, 2021

(3) Quarterly Consolidated Statements of Comprehensive Income
3Q FY2020(From October 1, 2019 toJune 30, 2020)
790,476(Thousand yen)
3Q FY2021(From October 1, 2020 toJune 30, 2021)
2,252,787-160,454

92,608-1,14733,671

12,9769,610-148,625

135,890

Total quarterly comprehensive income

641,851

2,388,677

Quarterly comprehensive income attributableto:Owners of the parent

634,677

2,389,782

7,174-1,105641,851

2,388,677

Quarterly profit
Other comprehensive income
Items not reclassified to profit or profit orloss
Net change in fair value of financial
assets measured through othercomprehensive income
Items that may be reclassified
subsequently to profit or gain or loss
Exchange differences on translating
foreign operations
Cash flow hedge
Total other comprehensive income, net oftax

Non-controlling interests
Quarterly comprehensive income-7-Septeni Holdings Co., Ltd. (4293) Consolidated Financial Statement for the Nine Months Ended June 30, 2021

(4) Quarterly Consolidated Statements of Changes in Equity(Thousand yen)
Equity attributable to owners of parent

Balance at October 1, 2019

SharecapitalSharepremium

TreasurysharesRetainedearnings

Other
componentsof equity

Total

Noncontrollinginterests

Total equity

2,125,314

3,664,788-1,691,842

10,750,768-52,914

14,796,114

12,84014,808,954

Cumulative effects of changes
in accounting policies

－

－

－

-13,035－-13,035－-13,035

Restated balance as of October 1,
20192,125,314

3,664,788-1,691,842

10,737,733-52,914

14,783,079

12,84014,795,919

Quarterly profit

－

－

－

783,302－783,302

7,174

790,476

Other comprehensive income

－

－

－

－

-148,625-148,625－-148,625

Total comprehensive income
Issue of new shares
Dividends of surplus
Other
Total amount of transactions
with owners
Balance at June 30, 2020

－

－

－

783,302-148,625

634,677

7,174

641,851

70
－
－

－
－
－

－
－
－

－
-252,886
21,897－－－－-21,89670-252,8861-1,17970-252,886-1,17870－－-230,989-21,896-252,815-1,179-253,994

2,125,384

3,664,788-1,691,842

11,290,046-223,435

15,164,941

18,835

15,183,776(Thousand yen)
Equity attributable to owners of parent
SharecapitalSharepremium

TreasurysharesRetainedearnings

Other
componentsof equity

Total

Noncontrollinginterests

Total equity

2,125,314

3,664,788-1,691,842

11,971,086-276,037

15,793,379

17,97815,811,357

Quarterly Profit

－

－

－

2,253,893－

2,253,893-1,1052,252,787

Other comprehensive income

－

－

－

－

135,890

135,890－

135,890

Total comprehensive income
Issue of new shares
Dividends of surplus
Other
Total amount of transactions
with owners
Balance at June 30, 2021

－

－

－

2,253,893

135,8902,389,782-1,1052,388,677

－
－
－

－
－

－
-252,906
－

－
－
－

－
-252,906－－－-252,906

137,092－－－

137,092-1,895

135,198－

137,092－-252,906－-115,814-1,895-117,709

2,125,384

3,801,880-1,691,842

13,972,072-140,147

18,067,347

14,97818,082,325

Balance at October 1, 2020-8-

Septeni Holdings Co., Ltd. (4293) Consolidated Financial Statement for the Nine Months Ended June 30, 2021

(5) Quarterly Consolidated Statements of Cash Flows3Q FY 2020
(From October 1, 2019 to
September 30, 2019)(Thousand yen)
3Q FY2021(From October 1, 2020 to
September 30, 2020)

1,270,977

3,349,884

735,183-2,31927,861-86,623

747,743-9,56924,324-37,905

130,681-360,597

329,558-483,144-14,425-935,357-122,111
1,333,425
38,831-28,074
116,529-762,397
698,314-113,686
412,573
979,562
4,509,185
24,132-24,534―-1,217,236
3,291,548

51,649-803,095-53,686-7,906―-264,182-86,810-20,137―

280,439―
171,205-641,833

100,000
163,715
173,025-637,506-623,831-252,886-1,107-1,515,330-637,506-621,979-252,906-1,895-1,514,286-1,14633,671-1,459,995

1,983,958

14,488,431

14,080,864

13,028,436

16,064,822

Cash flows from (used in) operating activities
Profit before tax
Adjustments:
Depreciation and amortization expense
Interest income and dividend income
Interest expenses
Share of (profit) loss of entities accounted
for using equity method
Other
Increase or decrease in working capital
Decrease (increase) in operatingreceivables
Decrease (increase) in inventories
Increase (decrease) in operating payables
Other
SubtotalInterest and dividend income received
Interest expenses paid
Income taxes refund
Income taxes paid
Cash flows from (used in) operating
activities
Cash flows from (used in) investing activities
Proceeds from sales of securities
Purchase of securities
Purchase of property, plant and equipment
Purchase of intangible assets
Proceeds by selling shares of subsidiaries
resulting in change in scope of
consolidation
Collection of loans receivable
Other
Cash flows from (used in) investing
activities
Cash flows from (used in) financing activities
Proceeds from long-term borrowings
Repayments of lease obligations
Cash dividends paid
Other
Cash flows from (used in) financing
activities
Effect of exchange rate change on cash andcash equivalents
Increase (decrease) in cash and cash
equivalents
Cash and cash equivalents at beginning of
periodCash and cash equivalents at end of period-9-Septeni Holdings Co., Ltd. (4293) Consolidated Financial Statement for the Nine Months Ended June 30, 2021

(6) Notes on Consolidated Financial Statements(i) Notes Relating to Assumptions for the Going Concern
No applicable items.
(ii) Information on Reportable Segments
1. Overview of reportable segments
The Group has a holding company structure where the Company is a holding company and its subsidiaries (ortheir groups) are business units. Activities directly related to revenue generation are conducted solely by business
units, which consist of the Company’s subsidiaries (or their groups).
The Group’s reportable segments are based on business segments for which separate financial information isavailable and that the highest decision-maker examines on a regular basis to determine the distribution ofmanagement resources and evaluate the results. In consideration of similarities among the economic characteristics
of each business segment and their quantitative importance and for the purpose of enabling the users of thefinancial statements to appropriately evaluate the Group’s businesses and the economic circumstances for thebusinesses and their effects on the businesses, the Group discloses information on two reportable segments: theDigital Marketing Business and the Media Platform Businessi. Digital Marketing Business
The Digital Marketing Business consists of business segments that provide comprehensive digitaltransformation support to clients, mainly in the digital marketing domain such as the sales and operation ofadvertisement, as well as providing solutions utilizing data and AI and marketing support in integration of online
and offline through the alliance with Dentsu group.
ii. Media Platform Business
The Media Platform Business consists of Manga Content Business “GANMA!”, Recruitment Platform
Business “ViViViT”, Social Contribution Business “gooddo”, Childcare Platform Business “Babyful” etc.
This segment includes business units that have commenced operation in recent years and have not made aprofit due to prior investment for revenue generation. The highest decision-maker makes decisions on the
distribution of management resources to those business units and evaluates their results, assuming risks andeconomic value that allow the Group to recover the investment costs through future revenue generation.

2. Measurement of reportable segments’ profits and losses
Segment profit is Non-GAAP operating income, which is the sum of operating income in compliance withIFRS and temporary factors, including impairment losses and gains (losses) on sales of property, plant andequipment.
The Group voluntarily discloses the total amount of all transactions as net sales. The disclosure of net sales is
not disclosure in accordance with IFRS. The management believes, however, that net sales are useful information
for users of the financial statements, and voluntarily discloses net sales in its consolidated net profit-and-loss
statement and segment information as reference information.
The prices of inter-segment transactions are determined based on the prices of transactions with externalcustomers.

- 10 -

Septeni Holdings Co., Ltd. (4293) Consolidated Financial Statement for the Nine Months Ended June 30, 2021

3. Information on reportable segments’ profits and losses
Previous consolidated cumulative 3Q (from October 1, 2019 to June 30, 2020)(Thousand yen)Segment revenue

DigitalMedia Platform
Marketing
11,326,527
1,867,729

Total

Adjustment*2

Consolidated-265,813

12,928,443

13,194,256

Segment profit (loss)*1-1,371,506
3,503,381-704,360
2,799,021
1,427,515-517,987
Segment sales
53,335,054
1,867,729
55,202,783
54,684,796(Notes) 1. The segment profit is non-GAAP operating profit.
2. Adjustment includes the elimination of profit and loss transactions between reportable segments andexpenses for the operation of the holding company not attributable to reportable segments.
3. Segment revenue and segment loss of the Media Platform Business include segment revenue andsegment loss related to the medical platform business "Pharmarket", which were transferred on
April 1, 2021.

Current consolidated cumulative 3Q (from October 1, 2020 to June 30, 2021)(Thousand yen)
DigitalMarketingSegment revenue

14,036,313

Media Platform
2,146,121

Total

Adjustment *2

Consolidated-271,846

15,910,589

16,182,434

Segment profit (loss) *1-834,325-1,514,376
5,347,714
4,513,390
2,999,014-664,070
Segment sales
69,765,906
2,146,121
71,912,027
71,247,957(Notes) 1. The segment profit is non-GAAP operating profit.
2. Adjustment includes the elimination of profit and loss transactions between reportable segments andexpenses for the operation of the holding company not attributable to reportable segments.
3. Segment revenue and segment loss of the Media Platform Business include segment revenue andsegment loss related to the medical platform business "Pharmarket", which were transferred on
April 1, 2021.

Reconciliation of segment profit (loss) and profit before tax

Segment profit (non-GAAP operating income)Impairment loss
Other profit (loss) (net)
Financial profit (loss) (net)Share of profit of entities accounted for using equity
methodProfit before tax

3Q FY2020(From October 1, 2019 toJune 30, 2020)
1,427,515－-160,881-82,280(Thousand yen)
3Q FY2021(From October 1, 2020 toJune 30, 2021))
2,999,014-137,092
343,549
106,508

86,62337,905

1,270,977

3,349,884- 11 -