Results of Operations
for the Second Quarter of the Fiscal Year Ending October 31, 2023

IKK Holdings Inc.
(Listed on TSE Prime Market,
Securities code 2198)

I.2Q FY2023 Consolidated Financial Highlights

Copyright IKK Inc. All Right Reserved.

1

2Q FY2023 Consolidated Overview

I. FY2023 2Q results

The number of weddings achieved a record high in 2Q FY2023, and average sales per wedding also
recovered steadily

Net sales: ¥9,937 million (+30.5% YoY , +0.5% vs.plan)
The number of weddings was 473 higher than one year earlier, surpassing the pre-pandemic level and setting a new
first half record.
Average sales per wedding recovered steadily, increasing to ¥3,742 thousand

Operating profit: ¥277 million (compared with a ¥44 million loss one year earlier, -33.2% vs. plan)Vs. 2Q Operating profit continued to recover, increasing ¥321 million from one year earlier mainly because of
FY2022growth in the number of weddings and sales per wedding.

Vs.
plan

Sales increased but earnings were below the plan primarily because of up-front expenditures for the new
Mito Branch and higher utility expenses.

Profit attributable to owners of parent: ¥112 million (-7.8% YoY, -51.0%vs.plan)

Order backlog (at the end of April 2023): 5,273 weddings (-7.5% YoY)
Despite a decrease due to an increase in the number of weddings, order backlog remained slightly above thepre-pandemic level.

Copyright IKK Inc. All Right Reserved.

2

2Q FY2023 Consolidated Financial Highlights

I. FY2023 2Q results(Millions of yen)

2Q FY2022
Amount2Q FY2023% to sales

Initial plan

Amount% to sales

YoY change
Amount%Net sales

7,614

100.0

9,890

9,937

100.0

2,322

30.5

Wedding operations

7,317

96.1

-

9,511

95.7

2,193

30.0

Nursing-care operations

271

3.6

-

276

2.8

4

1.5

Food Business

72

0.9

-

120

1.2

48

66.7

Photography Business

-

-

-

107

1.1

107

-

Matrimonial Matchmaking
Business

0

0.0

-

4

0.0

4

6,745.4

Gross profit

4,419

58.0

5,725

5,709

57.5

1,289

29.2

SG&A expenses

4,463

58.6

5,310

5,432

54.7

968

21.7

Operating income

(44)

-

415

277

2.8

321

-

Ordinary income

168

2.2

430

304

3.1

135

80.9

Profit attributable to owners ofparent

122

1.6

230

112

1.1

(9)

(7.8)

Net income per share (Yen)

4.15

-

7.79

3.87

-

-

-

* In November 2021, Ambihone Inc., which operates the photography business, and LALA COEUR Inc., which operates the matrimonial matchmaking business,were established.
Copyright IKK Inc. All Right Reserved.

3

Net Sales

I. FY2023 2Q results

Net sales, number of banquet halls

1Q
Net sales
Banquet halls (Japan)(Millions of yen)
24,00022,00020,00018,0002Q+0.9%+65.3%

20,189

5,771
35

35

34

+31.8%

10,0002Q sales/FY sales= 44.7%

8,746

2,000
0

4,875
4,156
2
FY20191,087
283

2Q sales/FY sales*= 84.3%

3,129
4,246
3

FY2020

35

60
55
50

40

36

35

11,5303,729
3,507

2Q sales/FY sales= 37.2%
*

2,392

30

5,670
2Q sales/FY sales= 40.0%2Q sales/FY target= 45.6%

5,024

3,897

25
20
15

3,716
4,912

4

4

5

FY2021

FY2022

FY2023(2Q)

1,900* First quarter sales percentages in FY2020 and FY2021 differ significantly from the percentages
in the other fiscal years because of the impact of the pandemic.

Copyright IKK Inc. All Right Reserved.

(Number ofbanquet halls)

45-56.7%

4,000

21,780(Plan)

6,030

5,126

6,000

+14.3%

19,056

12,0008,000

4Q

Banquet halls (Overseas)

16,00014,000

3Q

10
5
0

4

Quarterly Net Sales

I. FY2023 2Q results

Net sales
1Q

2Q

3Q

 Fewer weddings due to the growing number of
postponements because of COVID-19
 Recommended postponements of weddings and receptions
until the end of August 2020

(Millions of yen)
7,000
6,500

6,030

6,000
5,500
4,875

5,000
4,500
4,000

4Q

5,670 5,771

5,126

4,9125,024
4,246

4,156

3,729
3,507

3,500

3,716

3,129

3,000

2,392

2,500
1,900

2,000
1,500

1,087

1,000
283

500
0

3,897

FY2019FY2020

 A gradual recovery
started in September
2020

FY2021

FY2022

FY2023（2Q）

Copyright IKK Inc. All Right Reserved.

5

Wedding Operations
2Q FY2022 2Q FY2023
results
results

I. FY2023 2Q results

YoY change
AmountNumber of weddings, average sales per wedding%

Net sales(Millions of yen)

7,317

9,511

2,193

30.0

Number of
branches in Japan

19

20

1

5.3

Number of
branches overseas
Number of
weddings

4

5

1

25.0

Number of weddings
Average sales per wedding (Thousands of yen)
 Due to COVID-19, the average number wedding reception/party guests
declined. But this trend stopped in FY2021 and a recovery is expected.

(Number of
weddings)
7,000

4,200

3,847

3,608

6,500

2,066

2,539

473

22.9

5,500

2,039

2,490

451

22.1

Overseas

27

49

22

81.5

Orders for
weddings*¹

2,217

2,589

372

16.8

Order backlog*¹

5,701

5,273

(428)

(7.5)

3,000

6.2

2,000

3,524

3,742

218

5,000

(Plan)

5,088

4,806

4,000
3,800
3,600
3,400
3,200
3,000

4,500
4,000

3,381

3,500

2,539

2,500

2,136

1,500

*1 The number of overseas branches includes locations operating on an outsourcing basis.

1,000*2 Orders for weddings and order backlog do not include overseas wedding operations.

500*3 The average sales per wedding does not include ordinary banquets, cancellation fees andoverseas wedding operations.

3,742
5,615

3,215

6,000

Japan

Average sales per
wedding*²(Thousands of yen)

4,009

(Thousands ofyen)

0

FY2019FY2020

FY2021

FY2022

FY2023(2Q)* Number of weddings include results of overseas operations.
Copyright IKK Inc. All Right Reserved.

6

Quarterly Trends in Number of Weddings

Planned 3Q and 4Q weddings (as of April 30, 2023) are mostly as planned;
aiming for the FY2023 plan of 5,615 weddings

Number of weddings(Number of
weddings)

1Q

2Q

1,800
1,600

1,459

3Q

4Q

 Record high 1Q/2Q weddings
and expect 4Q record high

 Fewer weddings due to the growing number of
postponements because of COVID-19
 Recommended postponements of weddings andreceptions until the end of August 2020

1,490 1,532

1,400

1,000

1,146

1,063 1,081

1,002

966

751

800

1,456
(plan)

1,618(plan)

1,049
1,017
Number of weddings
planned as ofApril 30, 2023

712

600

525

400

319

200
0

Number of weddings
planned for FY2023

1,254 1,285

1,235
1,200

I. FY2023 2Q results A gradual recovery started in
September 2020

64

FY2019FY2020

FY2021

FY2022

FY2023（2Q）* Number of weddings include results of overseas operations.
Copyright IKK Inc. All Right Reserved.

7

Quarterly Trends in Orders for Weddings

I. FY2023 2Q results

Orders for weddings(Orders for
weddings)

1Q

2Q

1,600
1,400

3Q

Order decreased because of fewer
customers due to COVID-19

1,497
1,364

4Q

1,300 1,284 1,307

1,277 1,267

1,300 1,289

1,186

1,200

1,031
1,000

906

882

800

699

848

886

717

600

464
400
200
0

FY2019FY2020

FY2021

FY2022

FY2023（2Q）* Orders for weddings include results of overseas operations.
Copyright IKK Inc. All Right Reserved.

8

Quarterly Trends in Operating Profit

I. FY2023 2Q results

Operating profit
1Q

2Q

3Q

(Millions of yen)
2,500

1,500
1,019
352

494

66

362
82

7
(33)

(500)
(596)
(1,000)(909)(1,500)

120
(164)

(84)

FY2022

FY2023(738)(1,453)(2,000)(2,500)

1,078
774

500
0

 Posted quarterly
high operating
profit Fewer weddings due to the growing
number of postponements becauseof COVID-19
 Recommended postponements of
weddings and receptions until theend of August 2020

2,000

1,000

4Q

(1,938)FY2019FY2020

FY2021（2Q）

Copyright IKK Inc. All Right Reserved.

9

Trends in Gross Profit and SG&A
Gross Profit(Millions of yen)

SG&A
1Q

2Q

3Q

1Q
(Millions of yen)

4Q

10,00011,211

11,240

3,432

3,403

12,00010,000

4,000

2,844

2,705

2,228
0

8,000

6,473
4,237
435
1,654

2,000

(2,000)

46.0

3Q

94.0

2,299

2,161
2,022
1,317
971

1,888

2,152
2,267

Copyright IKK Inc. All Right Reserved.

FY2020

FY2021

6,000
4,000

2,838

2,350

2,353

1,786

2,251

（%）

8,072

60
49.5

50

9,431

40

2,629

2,079

2,055

2,056

30
2,338
20
2,316

2,955
10

2,000

(151)

FY20192,413

SG&A/sales ratio

70.0

9,280

3,416
2,870

4Q

 SG&A expenses in the thirdand forth quarter decreased
from one year earlier as aresult of revisions toinvestment plans and theimplementation of proactive
cost reductions

8,218

8,000
6,000

2Q

14,00014,00012,000I. FY2023 2Q results

FY2022

FY2023
（2Q）

0

2,162

2,291

1,881

2,146

2,476

FY2019FY2020

FY2021

FY2022

FY2023

0

（2Q）

10

Trends in Operating Profit and Ordinary Profit
Operating Profit
1Q

Ordinary Profit
2Q

3Q

4Q

(Millions of yen)operating profit margin(Millions of yen)

（%）

5,000

15

4,000

10

3,000

5,000
4,000

9.6

9.5

3,000
2,000
1,000
0

5
1,808

1,931
(3,981)7(596)(1,000)(1,938)(2,000)(3,000)(1,599)
82
(909)

1,078
120
(164)

2,000

0

774

1,019
494
352
66

1,000
362
(84)

(738)
(33)

0

(4,000)(5,000)(5,000)
FY2022

FY2023（2Q）

Copyright IKK Inc. All Right Reserved.

(610)

815

(3,524)92 225(3Q) (4Q)

1,112

14
(589)

(448)

1,027
498
357
71

3Q

4Q

2,096

1,955

(480)

220
(52)

369
(65)

(1,934)(3,000)

FY20212Q(1,000)(4,000)
FY2020

1Q(2,000)(1,453)

FY2019I. FY2023 2Q results(1,014)FY2019FY2020

FY2021

FY2022

FY2023（2Q）

11

Consolidated Balance Sheet

I. FY2023 2Q results(Millions of yen)Oct. 31, 2022
AmountApr. 30, 2023

Comp. (%)

AmountComp. (%)

YoY change

Current assets

7,203

35.6

4,896

25.7

(2,306)(Cash and deposits)

5,891

29.1

3,396

17.8

(2,494)

459

2.3

406

2.1

(53)

Non-current assets

13,04764.4

14,145

74.3

1,097

(Property, plant and equipment)

10,28350.8

11,545

60.6

1,262

Total assets

20,251

100.0

19,042100.0(1,209)Current liabilities

7,604

37.6

4,979

26.2

(2,624)(Accounts payable-trade)

853

4.2

775

4.1

(78)

(Income taxes payable)

785

3.9

76

0.4

(709)

Non-current liabilities

3,476

17.2

5,424

28.5

1,948

Total liabilities

11,081

54.7

10,404

54.6

(676)

(Interest-bearing debt)

4,802

23.7

5,096

26.8

294

Total net assets

9,170

45.3

8,637

45.4

(532)

Total liabilities and net assets

20,251

100.0

19,042100.0(1,209)(Accounts receivable-trade)

Copyright IKK Inc. All Right Reserved.

12

Financial Position

I. FY2023 2Q results

Total assets, net assets, equity ratio
Total
assetsNet
assetsInterest-bearing debt
Loans

Equity ratio

Dependence oninterest-bearing debt

(Millions of yen)(%)

(Millions of yen)(%)

25,00090

15,00050

21,53920,251

20,00059.8
15,00017,89880
19,042

17,60360

12,916

44.1

43.0

45.1

9,170

10,000

7,923

7,604

45.2

40

70

34.8
10,000

50

23.7

40
8,637

30.2

30

17.5
5,000

26.8

6,227
5,314

4,802

5,096

20

3,775

20

5,000

30

10

10
0

FY2019FY2020

FY2021

FY2022

FY2023（2Q）

00

FY2019FY2020

FY2021

FY2022

FY2023（2Q）

0*Dependence on interest-bearing debt = Interest-bearing debt / Total assets
Copyright IKK Inc. All Right Reserved.

13

Topics (1)IKK ranked 50th in a fulfilling and satisfying jobs company ranking 2023
 IKK ranked 50th in the 2023 ranking of companies that offer fulfilling and satisfying jobs by
OpenWork Inc., which operates the OpenWork job hunting and changing information website.
 IKK uses a human resources system with a sound philosophy in order to maintain workplaceenvironments where people have fulfilling and satisfying jobs and can take on new challenges.
■ Ranking of companies with fulfilling and satisfying jobs

Human resources management at IKKThis ranking was determined by using evaluations of workplace environments by■ 本社所在地域別就職企業人気ランキング
employees
and former employees who submitted feedback to OpenWork, acompany［九州・沖縄］：上位10位
review and job information website.
OpenWork Inc. uses company※対象人数4,559名
evaluations based on current or former employees to accurately identify companies
where people can have fulfilling and satisfying careers. The ranking is announced
every year in order to help create an even better environment for recruiting people.
Current and former employees anonymously submit evaluations of workplaceenvironments concerning eight points*. OpenWork collects data by using responses
to its company evaluation report and calculates rankings by using its own algorithm.

• Human resources management has three core components, allof which reflect the high value of the people of the IKK Group.
• There are many activities based on the belief that progress withall three components and synergies among them are vital to
IKK’s ability to grow.
Respect fordiversity*Satisfaction with salary and benefits; employee morale; transparency and openness;mutual respect of employees; environment for advancement of people in their 20s; longterm development of skills; commitment to compliance with laws and regulations;
proper evaluation of performance of employees

Companies with fulfilling andsatisfying jobs

* Rankings are based on data in 100,079 report responses about companies from current
employees or employees within the past year at the time the information was submitted
to OpenWork between July 1, 2021 and December 31, 2022.
Copyright IKK Inc. All Right Reserved.

Human
resources
Work-life
management

Developmentof skills

More information is in the IKK website social contribution section.
https://www.ikk-grp.jp/socialcontribution.html

14Topics (2)Firstplace in job-hunting popularity
helps IKK attract outstanding people
就職企業人気ランキングで第１位に選出。優秀な人財採用に貢献
 IKK ranked first in the 2024 Mynavi and Nikkei New Graduate Company Popularity Ranking for
Kyushu/Okinawa.
 IKK placed first for the sixth consecutive year in the Job-hunting Popularity for Individual Industries
and ranked 53rd overall for humanities college graduates.
 In April 2023, 148 new college graduates started working at the IKK Group.
■■本社所在地域別就職企業人気ランキング
Job-hunting Popularity Based on Head Office Location Top 10［九州・沖縄］：上位10位
for Kyushu and Okinawa※対象人数4,559名*Survey of 3,367 people
Rank

Company■■ 業種別就職企業人気ランキング
Job-hunting Popularity for Individual Industries Top 10［冠婚葬祭］：上位10位
for the Wedding, Funeral and Other Services Sector

Votes

Rank in 2022

Rank

CompanyVotes

1

IKK Holdings Inc.

244

3

1

IKK Holdings Inc.

244

2

Fukuoka Financial Group

144

2

2

DEARS BRAIN

51

3

THE NISHI-NIPPON CITY BANK, LTD.

134

1

3

Treat Co., Ltd.

41

4

Cosmos Pharmaceutical Corporation

128

5

4

Brass Corporation

39

5

Nishi-Nippon Railroad Co., Ltd.

121

6

5

BP Co., Ltd.

33

6KYUSHU ELECTRIC POWER CO.,INC.

108

9

6

Watabe Wedding Corporation

28

7

TOTO LTD.

103

11

7

TAKAMI BRIDAL

26

8

ANA FUKUOKA AIRPORT CO.,LTD.

101

19

7

Nihon Ceremony

26

8

JR Kyushu Railway Company

101

16

9

TAKE AND GIVE. NEEDS Co., Ltd.

24

10

Nishihara shokai Co., Ltd.

92

4

10

Memolead (Nagasaki, Saga, Fukuoka)

22■The survey covers third-year university students and first-year graduate school students in Japan planning to graduate in March 2024.
■The survey took place from December 1, 2022 to March 26, 2023.
■The survey was conducted by using the Mynavi 2024 job hunting site, the Mynavi job hunting magazine, and special events sponsored by Mynavi to ask individuals to participate in the survey bycompleting a questionnaire on the internet. *Individuals entered their five favorite companies. *Two reasons were selected as the reasons for choosing each company. ■There were 41,185 responses.

Copyright IKK Inc. All Right Reserved.

15

Topics (3)Five products of Meitokuan Inc. received the Monde Selection 2023 Grand Gold Quality Award and other awards

Kiseki no Shizuku “Tasty Ponzu sauce”

Kiseki no Shizuku “Tasty soy sauce”

Dressing Master’s “Onion”

First timeawardsUsing IKK’s own “morinoiro”
brand for cakes and othersweets, this cake is made ofhigh-quality ingredients and isbased on the concept of a cakeshop in a forest where people
can enjoy the taste of cultured
butter. Carefully selected
ingredients include flour madein Japan and Okinawa sugar,
which has a gentle anddistinctive sweetness.

Bonito shavings from afamous store with a historyof more than 130 years alongwith other carefully selected
ingredients from Japan resultin rich flavors and umami.

Ultimate Soup Stock

Morinoiro Baumkuchen gold

■ Monde Selection: Awards given by the International Quality Institute, which was founded in Brussels in 1961 as the world’s only quality assurance institute for consumer products. An international team ofover 80 famous specialists use an independent methodology that ensures a 360º quality evaluation. For the 2023 awards, more than 3,200 products were submitted from more than 100 countries.
Copyright IKK Inc. All Right Reserved.

16

II. FY2023 Consolidated Forecast

Copyright IKK Inc. All Right Reserved.

17

Summary of FY2023 Consolidated Forecast

II. FY2023 forecast

Forecast recovery from pandemic and record-high number of weddings, sales and earnings

Forecast double-digit earnings growth despite up-front expenses for opening the Mito
wedding hall and other expenses
Net sales ¥21,780 million (+14.3% YoY) The Mito wedding hall plans to open in April 2023.
 In Japan, planning on 5,520 weddings, up 489, and avg. sales per wedding of ¥3,685,000.

Operating profit ¥2,200 million (+21.6% YoY)
 Although there will be expenditures of about ¥200 million to prepare for opening the Mito wedding hall,
double-digit earnings growth is planned due to the outlook for the number of weddings to recover fromthe pandemic downturn.

Profit attributable to owners of parent ¥1,500 million (+7.2% YoY)
*The forecast does not take into account the impact of the declaration of a state of emergency due to the reemergence of the COVID-19
infection. These forecasts are based on currently available information and actual results may differ substantially due to various factors.
Copyright IKK Inc. All Right Reserved.

18

FY2023 Consolidated Forecast

II. FY2023 forecast(Millions of yen)

FY2022

FY2023
YoY change

Amount% to sales

Plan% to sales

Amount%Net sales

19,056100.0

21,780

100.0

2,723

14.3

Gross profit

11,24059.0

12,600

57.9

1,359

12.1

SG&A expenses

9,431

49.5

10,400

47.8

968

10.3

Operating profit

1,808

9.5

2,200

10.1

391

21.6

Ordinary profit

2,096

11.0

2,230

10.2

133

6.4

Profit attributable toowners of parent

1,398

7.3

1,500

6.9

101

7.2

Net income pershare(Yen)

47.48

－

51.09

－

－

－

Copyright IKK Inc. All Right Reserved.

19

Forecast of Net Sales, Operating Profit and Ordinary Profit
Net sales, number of banquet halls(Millions of yen）

Net sales

24,00022,00020,00018,000Banquet halls(Japan)
Banquet halls(Overseas)(Number ofbanquet halls)
50
21,78020,18919,056
35

34

35

35

16,00014,00011,53012,00010,000

8,746

8,000

2,000
0

3

2
FY2019FY2020

Copyright IKK Inc. All Right Reserved.

4

4

FY2021

FY2022

5

FY2023(Plan）(Millions of yen）

5,000
4,000

40

3,000

35

2,000

30

1,000

25

0

20

(1,000)15(2,000)10(3,000)5(4,000)0(5,000)

6,000
4,000

Operating Profit, Ordinary Profit andOperating Profit margin

45

36

II. FY2023 forecast

Ordinary Profit

Operating Profit（%）

Operating Profit margin

9.5

9.6
1,931 1,955

1,808

10.1

2,096 2,200

2,230

15
10
5
0

(610)
(1,599)(3,524)(3,981)FY2019FY2020

FY2021

FY2022

FY2023（Plan）

20

Outlook of New Branch Openings, Number of Weddings,
Capital Expenditures and Depreciation
FY2022
Results

FY2023Plan

AmountNumber of branches at endof period (Japan)

19

20

1

Wedding facility: 4 banquet halls

1

1

ー

Wedding facility: 3 banquet halls

5

5

ー

Wedding facility: 2 banquet halls

3

3

ー

Wedding facility: 1 banquet hall

6

6

ー

Restaurant: 1 banquet hall

4

5

1

Number of branches at endof period (Overseas)

4

5

1

Wedding facility: 2 banquet halls

1

1

ー

Wedding facility: 1 banquet hall

3

4

1

Number of banquet halls

39

41

2

Number of weddings

5,088

5,615

527

Japan

5,031

5,520

489

Overseas

57

95

38
(Millions of yen)

FY2022
Results
Capital expenditures
Depreciation
Copyright IKK Inc. All Right Reserved.

FY2023Plan

Amount

800

2,241

1,441

1,011

1,093

82

II. FY2023 forecast

Capital expenditures and depreciation
Capitalexpenditures

Depreciation(Millions of yen）

4,000
3,500
3,000
2,500
2,241
2,000
1,500

1,490
1,129

1,000

1,211
977

1,111

1,011
800

1,093

FY2022

FY2023（Plan）

500
150
0

FY2019FY2020

FY2021

21

Dividend Plan

II. FY2023 forecast

Plan to pay a dividend of ¥12 for FY2023 because of the recovery in sales and earnings

Our policy is to pay dividends that reflect operating results while retaining earnings needed for achieving the medium tolong-term business plan and strengthening our operations.
Established basic policy of steady and sustained ordinary dividend growth
Ordinary
dividend

Dividend payout ratio(%)

Dividends
60

Dividend
payout ratio

FY2019

¥12.0

26.4%

FY2020¥0.0-

FY2021¥0.0-

FY2022

¥10.0

21.1%

FY2023(Plan)

¥12.0

23.5%

14.00

¥12.0

¥12.0

12.00

¥10.0
26.4

21.1

40
30

10.00

8.00

50

23.5

20
10

6.00

0
4.00

-10

￥0.0

2.00

-20

￥0.0

0.00

FY2019FY2020

FY2021

FY2022

FY2023-30(Plan)

Copyright IKK Inc. All Right Reserved.

22III. Initiatives for FY2023

Copyright IKK Inc. All Right Reserved.

23

Initiatives for FY2023

１

III. FY2023 initiatives

Opened a new branch of wedding operations in Mito City,
Ibaraki Prefecture

2

Opened in Nagoya the second wedding photo studio

3

Opened a nursing home in Imari City, Saga Prefecture

Copyright IKK Inc. All Right Reserved.

24Initiatives for FY2023 (1)III. FY2023 initiatives

Opened a new branch of wedding operations in Mito City, Ibaraki Prefecture
Name

The GEIHINKAN KAIRAKUEN BETTEI (Mito Branch)

Location

Kairakuen Park, 2692-1, Senbacho, Mito City, Ibaraki Prefecture

OpenedApril 7, 2023

Facilities
Nearest station

Restaurant, café, etc. (planned)
Mito station

 As the result of applying to open a restaurant in the “Kairakuen Tsukiike District Development
Project” in Mito City, Ibaraki Prefecture, a group consisting of IKK was selected as the designatedmanager and business operator.
 IKK plans to open a restaurant, café, and other facilities designed to hold weddings in the extensionof "Kairakuen" which is one of the “Three Great Gardens of Japan”.

▲ Rendering of the completed facility
Copyright IKK Inc. All Right Reserved.

25

Initiatives for FY2023 (2)III. FY2023 initiatives

Opened in Nagoya the second wedding photo studio Following “studio clori.” in Osaka, Ambihone opened its second studio in the city of
Nagoya on March 23, 2023.
Name

studio clori．NAGOYA

Location

2-18-19, Nishiki, Naka-ku, Nagoya, Aichi

OpenedMarch,23 2023

Facilities

Three photo studios(ceremony, garden, natural)

NeareststationFushimi station▲Example of a wedding photo

Different studios to match preferences of couples

Plan to open more wedding photo studios mainly in large cities

 Ambihone is committed to growth andplans to open two or three studios
every year primarily in cities with apopulation of at least 500,000.
▲Ceremony studio
Copyright IKK Inc. All Right Reserved.

▲Indoor garden studio26

Initiatives for FY2023 (3)III. FY2023 initiatives

Opened a nursing home in Imari City, Saga Prefecture A new facility “I Care Life Imari" in Imari City, Saga Prefecture, opened in March,25 2023.
 The facility shall operate as a small multifunctional group homeServices

Name

I Care Life Imari

Location

3451 Kawakubo, Wakitacho, Imari, Saga

OpenedMarch,25 2023

Type

Small multifunctional facility

 Services available around the clock,
365 days a year

Total area

About 300㎡

 Services tailored to customer needs▲Exterior view of the facility
Copyright IKK Inc. All Right Reserved.

 Community-based facility with day care,home help, and lodging services▲Interior view of the facility

27

Reference:
Company Profile, Business Activities and Industry Overview

Copyright IKK Inc. All Right Reserved.

28

Company Profile
Company profile (as of Oct. 31, 2022)
Company nameIKK Holdings Inc.

Head office722-5 Shintencho, Imari, SagaBusiness activities

Management of the Group companies

Representative

Katsushi Kaneko, Chairman and chief Executive Officer

Established

November 1, 1995

Fiscal year end

October 31

Stock listing

Prime Market of the Tokyo Stock Exchange(Securities code: 2198)

Capital

351 million yen(Overseas wedding operations)

Reference

Sales ratio by business segments (FY2022)

Food Business1.0%

Photographybusiness/Matrimonial
matchmaking businessNursing-care
Operations

2.9%

0.1%

Consolidated net sales¥19,056 million

PT. INTERNATIONAL KANSHA KANDOU INDONESIA

Group Company(Nursing-care Oparations) I Care Inc.
(Food Business) Meitokuan Inc.
(Matrimonial matchmaking business) LALA COEUR Inc.
(Photography business) Ambihone Inc.

Number of employees

896 (consolidated)

Number of Shareholders

24,726

Copyright IKK Inc. All Right Reserved.

Wedding Operations
96.8%

29

The History of IKKNet sales(Millions of yen)

22,000

Wedding facilities
La La Chance Garden TOKYO BAY (Tokyo Koto Ward.)

Kyushu region

La La Chance Kobe (Kobe city, Hyogo Pref.)Hokuriku/Tohoku region

20,00018,00016,000Castle Garden OSAKA (Osaka City, Osaka Pref.）
La La Chance Okazaki Geihinkan(Okazaki City, Aichi Pref.)
La La Chance Hiroshima Geihinkan(Hiroshima City, Hiroshima Pref.)Harbor Terrace Sasebo Geihinkan(Sasebo City, Nagasaki Pref.)Chugoku/Shikoku region

Tokai region
Kansai region

Suite Villa Garden (Kasuya District, Fukuoka Pref

Kanto region

14,000

Reference

La La Chance Bel Ami (Morioka City, Iwate Pref.)Cuisine Française LA CHANCE(Toyama City, Toyama Pref.)※As of Oct. 31, 2021

La La Chance Bel Ami (Fukui City, Fukui Pref.)
La La Chance Geihinkan (Kochi City, Kochi Pref.)12,000La La Chance Iwaki (Iwaki City, Fukushima Pref.)Plaisir Geihinkan (Miyazaki City, Miyazaki Pref.)
La La Chance Taiyo no Oka(Kanazawa City, Ishikawa Pref.)
La La Chance Geihinkan (Oita City, Oita Pref.)8,000
La La Chance Geihinkan(Miyazaki City, Miyazaki Pref.)Canal Side La La Chance
6,000(Toyama City, Toyama Pref.)
La La Chance Geihinkan (Imari City, Saga Pref.)
La La Chance Hakata no Mori
4,000
(Fukuoka City, Fukuoka Pref.)
La La Chance Bel Ami (Tosu City,Saga Pref.)10,000

Guest house weddings using the La La Chance brand in regions other than Japan’s major metropolitan areas

2,000
0

IKK was first to offer
guest house weddings in Kyushu

1996 97 98 99 2000 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21 2022
Non-consolidated

Copyright IKK Inc. All Right Reserved.

Consolidated30

Our Wedding Facilities

Reference

Using an innovative wedding facility design concept for growth from the core Kyushu region to all areas of Japan

 Currently operating 20 wedding locations in 18 cities in Japan featuring a distinctive design conceptthat is in harmony with natural surroundings Overseas operations consist of five wedding facilities in Jakarta, Indonesia
Wedding facilities in Japan
Tohoku area 2 locations

・La La Chance Iwaki (Iwaki City, Fukushima Pref.)・La La Chance Bel Ami (Morioka City, Iwate Pref.)Kanto area

2 location

Tokai area

1 location

・La La Chance Garden Tokyo Bay (Tokyo, Koto, Ward.)
・The GEIHINKAN KAIRAKUEN BETTEI (Mito City, Ibaraki Pref.)・La La Chance Okazaki Geihinkan (Okazaki City, Aichi Pref.)Kansai area

2 locations

Hokuriku area

4 locations

Kyushu area

7 locations

・Castle Garden OSAKA (Osaka City, Osaka Pref.)・La La Chance Kobe (Kobe City, Hyogo Pref.)・Canal Side La La Chance (Toyama City, Toyama Pref.)・Cuisine Française LA CHANCE (Toyama City, Toyama Pref.)・La La Chance Taiyo no Oka (Kanazawa City, Ishikawa Pref.)・La La Chance Bel Ami (Fukui City, Fukui Pref.)・La La Chance Geihinkan/Imari Geihinkan (Imari City, Saga Pref.)Chugoku/Shikoku area 2 locations
・La La Chance Bel Ami (Tosu City, Saga Pref.)・La La Chance Hiroshima Geihinkan (Hiroshima City, Hiroshima Pref.) ・La La Chance Hakata no Mori (Fukuoka City, Fukuoka Pref.)・La La Chance Geihinkan (Kochi City, Kochi Pref.)・La La Chance Geihinkan (Oita City, Oita Pref.)・La La Chance Geihinkan (Miyazaki City, Miyazaki Pref.)Overseas locations
・Plaisir Geihinkan (Miyazaki City, Miyazaki Pref.)・Harbor Terrace Sasebo Geihinkan (Sasebo City, Nagasaki Pref.)Jakarta, Indonesia
・Menara Mandiri
・Skenoo Hall・Financial Hall
・Artotel Suites
・Le Meridien

5 locations

Copyright IKK Inc. All Right Reserved.

31

IKK Group’s Management Philosophy
MissionReference

Dedicated to the smiles and happiness of the special people
in your life
- Sincerity, Trust, RelianceManagement
Philosophy- We will do our best immediately in a sincere spirit of collaboration- We will be the talented personnel regardless of its nationality, religion,
gender, age or experience and will challenge to create the wonderful
futureCode of Conduct

This code establishes guidelines for all activities of the people of IKK

Vision 2042

VisionWith the love and passion of each and every one of us,
Connecting and challenging ourselves, and become Japan's leading inspirational
company that bring smiles and happiness to our customers

Vision 2032

With the love and passion of each and every one of us, Connecting andchallenging ourselves, and become Japan's leading inspirational company thatbring smiles and happiness to our customers

Core Strategy
Strategy
Copyright IKK Inc. All Right Reserved.

Use relationships and the desire to take on new challenges toattract and serve more customers
Specific measures for achieving these visions (Medium-term management plan)32

Wedding Facilities in Harmony with Natural Surroundings (1)Reference

Unlike operators of chains of wedding halls with identical designs, IKK uses a different design concept foreach location

Couples can hold wedding receptions at elegant mansions with abundant sunlight andgreenery and large sites with an average area of about 9,000m2

Copyright IKK Inc. All Right Reserved.

33

Wedding Facilities in Harmony with Natural Surroundings (2)Reference

Our goal is creating the best wedding facilities that can succeed for 20 years by featuring expansive
buildings in harmony with nature and their surroundings along with services that incorporate thedistinctive elements of the local culture
Exclusive use of an entire mansion-style
room for a highly unusual private
atmosphere

Copyright IKK Inc. All Right Reserved.

A garden filled with greenery is the perfectplace for weddings with a homey
atmosphere

The flexibility to include events that reflect
the desires and characteristics of eachcouple34

Mainly Carefully Chosen Regional Cities
Based on a Long-term Perspective (1)Reference

The facilities best suited for each market location from a long perspective that looks ahead two decades
One banquet hall

Two banquet halls

Three banquet halls or more

Miyazaki

Kochi

Sasebo

Iwaki

Tosu

ToyamaLa La Chance Geihinkan

La La Chance Geihinkan

Harbor Terrace Sasebo Geihinkan(Iwaki City:
314 thousand people)

La La Chance Bel Ami

Canalside La La Chance(Kochi City:
322 thousand people)(Sasebo City:
243 thousand people)

La La Chance Iwaki(Miyazaki City:
400 thousand people)(Tosu City:
74 thousand people)(Toyama City:
411 thousand people)

Plaisir Geihinkan

Cuisine Française LA CHANCE

Castle Garden OSAKA

La La Chance Bel Ami

La La Chance Geihinkan

La La Chance Taiyo no Oka

Okazaki

Hiroshima

Fukuoka (4 banquet halls)

La La Chance Hiroshima
Geihinkan

La La Chance Hakata no Mori

MiyazakiToyama

Osaka

Fukui

(Miyazaki City:
400 thousand people)(Toyama City:
411 thousand people)(Osaka City:
2,732 thousand people)(Fukui City:
259 thousand people)

La La Chance Geihinkan

La La Chance Bel Ami

La La Chance KOBE

La La Chance Okazaki Geihinkan

Oita(Oita City:
477 thousand people)Tokyo

La La Chance Garden TOKYO BAY(Koto-ku:
525 thousand people)
Copyright IKK Inc. All Right Reserved.

Morioka(Morioka City:
285 thousand people)

Mito

Mito Branch(Not yet decided )(Mito City:
271 thousand people

Kobe(Kobe City:
1,517 thousand people)(Okazaki City:
385 thousand people)

Imari(Imari City:
53 thousand people)(Hiroshima City:
1,189 thousand people)

Kanazawa(Kanazawa City:
448 thousand people)(Fukuoka City:
1,568 thousand people)

All locations except those in Fukuoka, Hiroshima, Osaka, Kobe andKoto-ku, Tokyo are in regional cities with populations under 500,000
The figures in parentheses show the populations of cities where IKK’s branches are locatedSource: Japan Geographic Data Center “Basic Resident Register 2022”

35

Mainly Carefully Chosen Regional Cities
Based on a Long-term Perspective (2)Reference

Targeting regional cities by using expertise (location, marketing, operations, etc.) and experience gained
from operations in small markets
Investment per location (large)

Large metro areas(Example: Tokyo)

Multiple facilities /guest house type

Mainly large
metro areas

Mainlysuburbs ofregional cities
Singlechapel/banquet
hall type

Regional cities(Example: Large cities
in Kyushu)

MarketLarge

Small/
MediumCompetition

High

Low

Operating cost
(rent, advertising, etc.)

High

Low

Greenery/nature

MinimalAbundant

Word-of-mouth

Small/medium

Big effecteffectInvestment per location (small)
Copyright IKK Inc. All Right Reserved.

36

Mainly Carefully Chosen Regional Cities
Based on a Long-term Perspective (3)Reference

Regional city markets are small but wedding receptions and parties are very large events
Average number of people attending a reception/party for all locations and individual locations*Comparison based on FY2020 results
All locations (IKK average)
La La Chance Geihinkan (Imari City)La La Chance Geihinkan (Kochi City)
Plaisir Geihinkan (Miyazaki City)La La Chance Bel Ami (Tosu City)
Harbor Terrace Sasebo Geihinkan (Sasebo City)La La Chance Geihinkan (Miyazaki City)La La Chance Geihinkan (Oita City)La La Chance Hakata no Mori (Fukuoka City)
Castle Garden OSAKA (Osaka City)La La Chance Kobe (Kobe City)La La Chance Iwaki (Iwaki City)

Average number of wedding
reception/party guests (IKK average)

75.5 people*As of Oct. 31, 2020

Average number of wedding
reception/party guests in the Tokyo area

62.8 people

La La Chance Hiroshima Geihinkan （Hiroshima City)La La Chance Bel Ami (Morioka City)

Source: Zexy Wedding Magazine Trend Survey 2020in the Tokyo area

La La Chance Okazaki Geihinkan （Okazaki City)La La Chance Bel Ami (Fukui City)La La Chance Taiyo no Oka (Kanazawa City)La La Chance Garden Tokyo Bay (Koto-ku)
Canalside La La Chance (Toyama City)
Cuisine Française LA CHANCE (Toyama City)

20people

Copyright IKK Inc. All Right Reserved.

The average is higher than in theTokyo area at almost all locations
40people60people80people
62.8people

100people

120people

140people

37

A Brand with Deep Local Roots and Strong Ties with
Local Residents (1)Reference

Creating strong emotions produces a virtuous cycle where satisfied customers attract more customers
A local reputation for serving
outstanding foodWeddings and receptions(Grooms, brides and guests)

Wedding
reception
contracts

Attract
potential
customers

Excitement

The
word-of-mouth

Simulated wedding ceremony/reception
Participatory facility tour
Try on dresses/sample food menu items

The kitchen staff includes several
people who have won medals atinternational cooking contests

Copyright IKK Inc. All Right Reserved.

Services with warmth andsincerity

cycle

Attendevent at
IKK facility

Friends
FamilyAn extraordinary wedding/reception location full of
natural beauty for this once-in-a-lifetime event

38

A Brand with Deep Local Roots and Strong Ties with
Local Residents (2)Reference

Two of our restaurants listed in Michelin Guides with one-starred restaurant designations
Cuisine Française LA CHANCE (Toyama City, Toyama Pref.) Listed as one of 20 starred restaurants in Toyama Attractive location alongside the canal in the
Fugan Canal Kansui Park, Toyama Prefecture, with
its rich natural beauty©MICHELIN▲The MICHELIN Guide Hokuriku 2021 Special Edition*

Harbor Terrace Sasebo Geihinkan (Sasebo City, Nagasaki Pref.) Listed as the only starred restaurant in Sasebo City
 Located in the “Sasebo Gobangai” commercial
facilities complex, just one minute’s walk from
Sasebo Station©MICHELIN▲The MICHELIN Guide Fukuoka-Saga-Nagasaki 2019 Special Edition** Nippon Michelin Co., Ltd. conducts a process of gastronomic assessment based on an evaluation method conducted anonymously by Michelin investigators who have been selected
to have expertise in the hotel and restaurant industries and compiles the results in a ranking system that “expresses the deliciousness of the cuisine by the number of stars awarded.”
There are five evaluation criteria: “quality of ingredients, high degree of culinary skill, originality, price commensurate with value, and uniform and consistency in the quality of all of
the food served.” Three stars, two stars, and one star are assigned in descending order on the basis of these criteria.
Copyright IKK Inc. All Right Reserved.

39

A Brand with Deep Local Roots and Strong Ties with
Local Residents (3)Reference

Many winning entries from IKK locations in wedding photo contests in JapanFirst Prize, 18th Zexy Wedding Photo Contest
The bride and groom
greet their parents
immediately prior tothe ceremony. The
expressions on theparents’ faces show
their immense joy atseeing for the firsttime their children
dressed for theirwedding.

Title: When parents’ dreams come trueFirst Prize, 20th Zexy Wedding Photo Contest
A bride brushes red
makeup on the lips
of a curious child,
who will probably
remember thismoment when she
does her own lips at
her wedding many
years from now.
Title: Red lips, today and in the future
Copyright IKK Inc. All Right Reserved.

Prize-winning photos

2019

WPPI 2019 Annual, selected for award judging(4 works)
19th Zexy Wedding Photo Contest, selected for award judging (3 people)
Wedding Photo Awards, Gold Prize (6 people), Home Town WeddingSpecial Prize (1 people)
AsiaWPA2019 1st half First Place(1 people), other prizes (3 people)
Japan Wedding Photo Grand Prix, prizes (7 people)
2020
WPPI 2020 Annual, selected for award judging (3 works)
AsiaWPA2019 Annual Grand award(2people), other prizes (1people)
20th Zexy Wedding Photo Contestselected for award judging (3 works)First Prize, other prizes (2 people)
2021
Japan Wedding Photo Grand Prix, ,8th place, 10th place
AsiaWPA2020 Annual Silver award(4people), Bronze award(5people)
21st Zexy Wedding Photo Contest, award of excellence, other prizes (2people)WPPI2021 THE ANNUAL selected for award judging (3 people)
2022
22nd Zexy Wedding Photo Contest, First Prize, other prizes (2 people)
Japan Wedding Photo Grand Prix, 1th place, 3,4,8th place.
AsiaWPA2020 Annual, prizes (15 people)
WPE awards 2022, selected for award judging (2 works)
COSMOS AWARDS 2022 Annual First Place(1 people), other prizes(9 people)
NAPA 2022 First Place(1 people), other prizes (7 people)
2023
WPE Annual final Silver Award (1 people), selected for award judging(1 people)
AsiaWPA2020 Annual , prizes (4 people)

40

A Brand with Deep Local Roots and Strong Ties with
Local Residents (4)Reference

Wedding planning skills backed by training programs based on a sound concept
Soul Prize at Good Wedding Awards 2019

Wedding theme: Only to day“Only today” is the theme
that defines our approach toplanning every wedding, aprecious time that happens
only once. Weddings aredesigned to convey to allparticipants emotions andfeelings that are possible only
on this special day. Every
event has decorations andactivities for this purpose
along with an atmosphere forcommunicating words ofappreciation that create
unforgettable memories.

Second Prize at Good Wedding Awards 2021
Careful planning and asurprise for thehappiness of a couple
who decided to have onlya ceremony due to thepandemic. Every possible
effort was made tocreate a memorable andemotional day filled withlight as the starting pointof the couple’s life
together.
Wedding theme: One piece of a journey – A day of love filled with light
Copyright IKK Inc. All Right Reserved.

Wedding planner awards
2011
Good Wedding Awards 2011, Soul Prize
Good Wedding Awards 2011, selected as one of 8 finalists
2013
2nd Home Town Wedding Contest, honorable mention
2014
Good Wedding Awards 2014, Second Prize
Good Wedding Awards 2014, Creative Award
2015
Good Wedding Awards 2015, Creative Award2016
5th Home Town Wedding Contest, Bridal Industry Newspaper
Prize
2017
6th Home Town Wedding Contest, Bridal Industry Newspaper
Prize
2018
7th Home Town Wedding Contest, Bridal Industry Newspaper
Prize
2019
Good Wedding Awards 2019, Soul Prize
2021
Good Wedding Awards 2021, Second Prize

41

Measures to Firmly Establish the IKK Corporate Philosophy (1)Reference

Benefits of recruiting outstanding human resources and providing extensive training IKK ranks high in Kyushu/Okinawa every year in the regional job-hunting popularity survey of
Mynavi/Nikkei
 First place for the six consecutive year in the Job-hunting Popularity for Individual Industries.
 53th place in the New Graduate Company Popularity Ranking for humanities college graduates.
■ Job-hunting Popularity Based on Head Office Location Top 5
for Kyushu and Okinawa *Survey of 3,367 people
Rank

Company

Votes

Rank in 2023

1
2
3
4
5

IKK Holdings Inc.
Fukuoka Financial GroupTHE NISHI-NIPPON CITY BANK, LTD.
Cosmos Pharmaceutical Corporation
Nishi-Nippon Railroad Co., Ltd.

244
144
134
128
121

3
2
1
5
6

■ Job-hunting Popularity for Individual Industries Top 3 for the Wedding,
Funeral and Other Services Sector
Rank

1
2
3

Company

IKK Holdings Inc.
DEARS BRAIN
Treat Co., Ltd.

Votes

244
51
41

■The survey covers third-year university students and first-year graduate school students in Japanplanning to graduate in March 2024. ■The survey took place from December 1, 2022 to March 26,
2023.
■The survey was conducted by using the Mynavi 2023 job hunting site, the Mynavi job hunting
magazine, and special events sponsored by Mynavi to ask individuals to participate in the survey
by completing a questionnaire on the internet. *Individuals entered their five favorite companies.
*Two reasons were selected as the reasons for choosing each company. ■There were 41,185
responses.

Copyright IKK Inc. All Right Reserved.

 Five-year New Graduate Job-hunting Popularity Ranking of IKK
Based on Head Office Location■ 業種別就職企業人気ランキング(Rank)
0位 ［冠婚葬祭］：上位10位
1
1位
2
2位
3
3位
4位
4
5位
5
Graduate in Graduate in Graduate in Graduate in Graduate in Graduate inMar. 2019 Mar. 2020 Mar. 2021 Mar. 2022 Mar. 2023 Mar. 2024

 Five-year New Graduate Job-hunting Popularity Ranking by
Industry(Rank)
0位
1位
1
2位
2
3位
3
4位
4
5位
5

Graduate in Graduate in Graduate in Graduate in Graduate in Graduate inMar. 2019 Mar. 2020 Mar. 2021 Mar. 2022 Mar. 2023 Mar. 2024

*Based on survey for popularity of companies for job-hunting among new college graduates

42

Measures to Firmly Establish the IKK Corporate Philosophy (2)Reference

Benefits of recruiting outstanding human resources and providing extensive training IKK placed high in rankings based on the surveys of OpenWork, a company that operates
a job market platform for finding jobs and changing jobs.
Service Sector
Employee Satisfaction Ranking(Employee Satisfaction leads to Customer Satisfaction)
Rank

1

Company

Total scoresCompanies with an Environment for the Advancement of Women
Rank

Company

Scores1

The P&G Japan Limited

26.2952

Google LLC

26.1903

Recruit Management Solutions Co.,Ltd.

25.5944Goldman Sachs

25.436

5

Suntory Holdings Limited.

25.4035

9.90
Plan Do See Inc. 2012年1月20日 東証上場セレモニーの様子
Recruit Zexy Navi Co., Ltd.
9.57
Oriental Land Co.,Ltd.
9.50
IKK Inc.
9.43
Starbucks Coffee Japan, Ltd.
9.39

6

MITSUKOSHI U.S.A., INC.

9.10

6

Salesforce.com Co., Ltd.

25.222

7

ANNIVERSAIRE Inc.

9.06

7

IKK Inc.

25.215

8

DOCOMO CS, Inc.

8.93

COSMOS INITIA Co.,Ltd.

25.0269

MARUI CO., LTD.

8

8.89

10

Bell-Park Co.,Ltd.

8.86

9

J.P. Morgan

25.014

10

The Prudential Life Insurance Co., Ltd.

24.9402
3
4■To prepare the above ranking, employees who were at their respective companies for at least
one year were polled. Employees were asked to write a minimum 500-word essay on the subjectof their choice and answer questions on eight evaluation parameters.
■Only companies that produced more than 25 responses were included in evaluation reports ofservice sector companies. (Data was collected between July 2007 and May 2018.)

 This ranking uses only data for the 1,281 companies where at least 30 female employees submitted
evaluation reports to OpenWork from the total of 185,201 reports submitted during the period covered(July 2007 to July 2021).
 Scores use five levels of scores for five key items for determining career advancement: (1) Proper
performance assessments; (2) Environment for advancement of people in their 20s; (3) Long-term
development of skills; (4) Satisfaction with benefits; (5) Employee morale. Scores also use mechanicallearning analysis of subjective answers to questions about the ease for women to do their jobs and*Ranking scores, the number of comments and other numbers are as of the time the information was collected.
motivation/growth.
As a result, these numbers may not match the numbers on the company pages of OpenWork

Copyright IKK Inc. All Right Reserved.

43

Measures to Firmly Establish the IKK Corporate Philosophy (3)Reference

Main reasons that IKK was chosen as a “great place to work”
 IKK has placed in the 2019 Best Workplaces Lists by the Great Place to Work® Institute Japan for the
past seven consecutive years
 Input from annual employee questionnaires is used to maintain workplaces that are pleasant andrewarding

Trust

Pride

Solidarity

 Employees are entrusted with responsible workat this company

90% (avg. for all companies*

 Executives and managers clearly define a vision andhow to accomplish that vision

85% (avg. for all companies*

 I am proud of the business operations of the company

87% (avg. for all companies*

 I believe the company is contributing to communities
and society

88% (avg. for all companies* The company holds celebrations whenever there is a
special occasion

88% (avg. for all companies* The company creates a mood of solidarity andteamwork

77% (avg. for all companies*

is 86%)
is 78%)

is 80%)
is 76%)

is 84%)
is 72%)*Average for companies in the 2018 Best Workplaces Lists

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44

Measures to Firmly Establish the IKK Corporate Philosophy (4)Reference

Dedicated to maintaining an environment for fully using the skills of women A commitment to a workplace environment where women can realize their full potential
 Demonstrating progress with measures for women, IKK was the first company in the wedding industry
to receive a Development Bank of Japan loan under this bank’s DBJ Employees’ Health Management
Rated Loan Program•Promotions are based on performance, in accordance withconsistent standards, to recognize the best people; 25.0% of
officers and 23.8% of supervisors are women•Employees are encouraged to use paid vacation time and can use
up to 16 days consecutively•Mental health support program; periodic distribution ofquestionnaires with unrestricted responses to hear the thoughts
and suggestions of employees• Regular health check-ups as well as blood tests and assistance forgynecology examinations; started providing group long-term
disability insurance in November 2022 as part of employee benefits
The DBJ Employees’ Health Management Rated Loan Program
The Development Bank of Japan uses its own evaluation system to identify companies with outstanding measures for keeping their employees healthy. Theseevaluations are used for the world’s first financing menu that incorporates employee health management ratings.

Copyright IKK Inc. All Right Reserved.

45

Measures to Firmly Establish the IKK Corporate Philosophy (5)Reference

Japan’s first hotel/wedding company to earn ISO22000:2005 certification for food safety management
Food safety is one of our highest priorities and we are always improving safety and hygiene measures We have established a Sanitation Standard Operating Procedure (SSOP) Manual that complies with Food Hygiene
Management Standards (Prerequisite Program) and follow these procedures to fulfill our corporate responsibility of
preventing food problems and rigorously supervising all activities involving foodEstablished the Food Safety Management System that covers food preparation and services
 Suppliers of food must submit product specifications to ensure the safety of all ingredients and finished products
 Food preparation processes are thoroughly supervised and constantly recorded to ensure the safety of all foodserved to guests
 All personnel must strictly comply with the Food Safety Management System standards
 The three La La Chance Hakata no Mori locations have ISO22000:2005 certification (August 2009)*When this certification was renewed in June 2021, certification was expanded to four La La Chance Hakata locations: Villa Foret, Chez laForet, Grand Vent-Vert and the Hakata no Mori Geihinkan

 All other food operations at IKK also comply with the standards of the Food Safety Management System

FSMS:548713 / ISO22000:2018

ISSO22000 is an international standard for food safety management systems. This standard combines HACCP food hygiene management methods with thequality management methods of the ISO9001 standard for quality management systems.
Copyright IKK Inc. All Right Reserved.

46

Measures to Firmly Establish the IKK Corporate Philosophy (6)Reference

Many of our customers give high ratings to the wedding organizer who served them
Zexy Wedding Magazine Trend Survey 2020–
Key points when selecting a wedding reception/party location
Food
Access to tranportation
Atmosphere of reception room
Located in desired place/area
Available on desired date
Atmosphere of wedding room (chapel,
shrine, etc.)

No.

7

Quality of all staff at the location

In the Zexy survey,
quality of all staff at thelocation was the sevenmost important factor
when selecting awedding
reception/party location.

Reasonable cost
Quality of the wedding organizer

Atmosphere of the lobby and exterior

0%

20%

40%

60%

Source: Zexy Wedding Magazine Trend Survey 2020 – Tokyo Area, listing in order of the key points for selecting a location
for a wedding reception/party.
Copyright IKK Inc. All Right Reserved.

Rank of customer service in reasonsfor selecting an IKK location2
Imari BranchTosu Branch
Fukuoka Branch
Toyama Branch
Miyazaki Branch
Oita Branch
Kanazawa Branch
Miyazaki Branch #2
Iwaki Branch
Kochi Branch
Fukui Branch
Morioka Branch
Toyama Restaurant Branch
Sasebo Branch
Hiroshima Branch
Okazaki Branch
Osaka Branch
Kobe Branch

Rank
1
1
1
1
1
2
1
1
2
1
1
1
2
1
1
1
2
2

Source: IKK study (Oct. 31, 2020)※Adopted the results of the questionnaire before affected by the spread of the
COVID-19 virus.

 Thanks to extensive training programs,
the dedication of our people to excellencein customer service is the most importantreason that people select an IKK wedding
facility Customer service is the main reason thatpeople select IKK at more than half of all
locations47

Long-term Strategy:
Sustained Growth of Wedding Operations in Japan (1)Reference

Extremely thorough site selection process to create branches that can succeed for 20 years– Building a base for stable, long-term operation of branches
StudiesPotential sites are cities with a population of atleast 300,000 (85 cities)

 Prime locations in regional cities

Build wedding facilities in locations with natural
beautyIKK’s small-market sales expertise is a key strength
Selection

Select key 48 cities based on competition andwedding reception activity

SurveyExamine prospective sites (transportation access,natural surroundings, etc.), market trends,
competition and other items

Examination

Determine the suitability of a prospective newlocation by looking at its concept, the investments
needed and other factors affecting the outlook for a
return on the investment

Oita Branch

Kanazawa Branch Use sales expertise acquired in small markets for
opening new locations in major metro areas, too
Also establish a scheme that leverages IKK’s strengths
for opening locations in major metropolitan areas
Also opening locations in Japan’s three big metro areas

Approval

Final decision
Copyright IKK Inc. All Right Reserved.

Osaka BranchTokyo Branch48

Long-term Strategy:
Sustained Growth of Wedding Operations in Japan (2)Reference

Much potential for new locations in places with little competition, both outside Japan’s three big metro
areas as well as within these areas
Outside Japan’s three big metro areas
Within Japan’s three big metro areas

Locations of Japan’s major wedding facility operators
79%

IKK
Company
A

21%

37%

Company
B

63%

30%

70%

CompanyC

4%96%

Company
D

4%96%

IKK wedding facility locations

Primary targets: 48 cities
Potential sites
are 85 cities
with apopulation of
300,000+

Currently operating in 6 of
the 48 primary target cities
No presence in 42 ofthese cities

Plan on opening one to two locations
every year, using the significant
potential for expanding the wedding
network for steady medium to longterm growth
Source: Prepared by IKK based on the data disclosed by each company

Copyright IKK Inc. All Right Reserved.

49

Long-term Strategy:
Expand Overseas Operations to Many Locations

Reference

The Indonesia wedding business is the first step of the overseas growth strategy
 Use wedding business expertise in Japan for growth in other countries
 Weddings and other services that reflect the needs and customs ofcustomers in other countries
 Constantly conducting market surveys to identify attractive opportunities
Company namePT INTERNATIONAL KANSHA KANDOU INDONESIA

Location
CapitalJakarta, Indonesia
50 billion rupiah▲ Colorful floral decorations
Copyright IKK Inc. All Right Reserved.

Establishment
Start of operations▲ A traditional dance by the bride

January 2017
February 2017

▲ A party with a buffet50

Long-term Strategy: Add the wedding photo business

ReferenceStarting a wedding photo business featuring award-winning photographers Photographers who have won numerous awards in Japan and othercountries will create photographs preserving moments and images
for families to cherish for many years to come.
 This business may also target the demand for commemorativeand other types of photographs.

74.5%

No planPhotos taken

25.5%

2021 marriages

Name

Photo wedding/preliminary photo
use

74.5%

Location

Kasuyagun Fukuoka

Couples using
this service

Established

November 2021

373,348

Capital25 million yen

Avg. cost of photowedding¥211,234*2

Planning to(scheduled)

19.2%

9.5%
*Source: Photo wedding survey 2022 (Photorait)
Did you use a photo wedding/preliminary photo service?
Single reply survey with 4,335 responses. Participants were
couples between the ages of 18 and 49 who were married
between April 2021 and March 2022.

Copyright IKK Inc. All Right Reserved.

×

45.8%

Planning to (noapplication yet)

501,138*1
×

Pct. of couples using photoweddings/preliminary photos

Company profile＝

The Wedding Photo Market

Market size is ¥78.8 billion*1 Source: 2021 Vital Statistics, Ministry of Health, Labour and Welfare*2 Source: Photo wedding survey 2022 (Photorait)
How much did your photo wedding/preliminary photo cost (or is planned
to cost)?
Single reply survey with 1,522 responses. Participants were couples in thephoto wedding/preliminary photo survey on the left who said they used
this service.

Ambihone Inc.

 Operates a studio in Osaka at the endof October 2022 and opened a studioin Nagoya in March 2023.
 Plans to open two or three studios
every year primarily in cities with apopulation of at least 500,000.

51

Wedding Market Trends (1)Reference

Weddings and receptions in Japan continue to decline along with the numbers of children and people in
the prime age segments for marriage(Thousands)
1,200

Number of marriages in Japan(Millions of people)
25

Approx. 1,100 thousand (1972)

Population of prime age segments
for marriage and forecast
Age 35-39
Age 30-34

Baby boomers

1,000

Age 25-29
Approx. 500 thousand (2021)

Age 20-24

20
18.2

2.2 2.4 2.5Children of
baby boomers

800

15

600
10
400

Declining birthrates
Unmarrying/late-marrying

2.6 2.7 3.0
3.7 3.6 3.6

5.4 5.3 5.1 5.0

5.0 5.0

3.0 2.9
3.4 3.3

1960

1970

1980

1990

2000

Source: Ministry of Health, Labour and Welfare, "Vital Statistics 21”(Vital Statistics, Final Figures)
Copyright IKK Inc. All Right Reserved.

2010

2.8 2.7 2.6

2.3

3.2 3.1 3.1 2.8

4.9 4.8 4.6 4.5 4.5 4.2

6.7 6.7 6.6 6.4 6.3 6.0 5.8 5.7

1950

16.0
14.4

2.0
2.6

1.9

2020

0

2005

2010

2.0

2.7 2.5

4.3 4.05200

0

3.9 3.9 3.8

17.6

2025

1.8
2.4

3.8 3.6

5.6 5.6 5.6 5.7 5.3 5.0 4.8
2015

12.5

4.5

2040

Source: National Institute of Population and Social Security Research, "Household Projections
for Japan" (2018) Population by sex, five-year age group, and marital status

52

Wedding Market Trends (2)Reference

Annual wedding market sales are forecast to exceed ¥1 trillion in 2022 and afterward despite
Japan’s declining population
Annual sales in Japan’s wedding reception/party
market and forecast(Billions of yen)
25,0002,500

 Sales fell in 2020 because of the pandemic but
are expected to return to approx. ¥1 trillion in
2022 and the following years.

20,0002,000

1,500
15,00010,000
1,000

5,000
500
Wedding market (LHS)

0

2015

2016

2017

2018

2019

2020

2021

2022

(Forecast)

2023(Forecast)(Year)

Sources: Wedding Industry 2022, Yano Research Institute Note: Figures for forecasts are as of March 2022
Copyright IKK Inc. All Right Reserved.

53

Wedding Market Trends (3)Reference

The guest house market share is rising as more couples in Japan want original weddings/receptions not
restricted by traditions and formalities
Wedding reception market
composition for different styles(%)

Others (restaurants, etc.)
Hotels
Wedding halls, guesthouse-style weddings

100%
90%

16.3 16.4 15.8 15.8 14.5 16.9 15.1 14.9 15.2 13.8 13.1
21.7 22.0 20.8 21.5 19.3 19.8 18.8 18.7

80%
70%
60%

38.0 34.6
41.3 38.8

32.9 32.7 32.1 31.2

21.1 22.0 22.4 22.6
26.1 23.1 23.5
26.4
27.0 28.0 27.9

50%
40%
30%
20%

49.1 50.1
43.9 47.8 47.5
41.2
37.0 39.2

61.4 63.9 62.8 63.8 64.3
56.7 55.6 56.3 57.8 59.4 59.8

10%0%2003 2004 2005 2006 2007 2008 2009 2010 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 （Year）
Source: Zexy Wedding Magazine Trend Survey 2022 Nationwide(Estimates), facilities that host wedding receptions/parties

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54

Wedding Market Trends (4)Reference

Japan’s wedding market is still highly fragmented, leaving significant potential for IKK to capture market share

Market share of the six listed wedding companies (based on number of weddings/receptions)

1.2% 1) IKK
5.4% 3) Company A
3.6% 4) Company B
2.2% 5) Company C
Number of weddings/receptions:
About 380,000

0.7% 6) Company D

Combinedmarket share of
the fivecompanies is
13.1%

IKK’s market shareis about 1.2%

Source: Prepared by IKK based on the data disclosed by each company*Market shares are estimates using the number of weddings before the pandemic started.

Copyright IKK Inc. All Right Reserved.

55

Wedding Market Trends (5)Average age of first marriage and money
spent per wedding reception guest(Age)

平均初婚年齢（男性）
平均初婚年齢（女性）

28.8

29.1

(Thousands of yen)

120
110

27.0

27.4

29.6

27.8

30.0 30.2

28.2

28.5

30.5

28.8

30.8

31.2 31.0

31.1 31.1

29.6 29.5

29.2 29.4 29.4

108

30

28
27
26

90
80
68

70
60

40

31

29

100

50

32

48
39

50

54

58

57

74

76

Couples continue to spend more on weddings
despite deflation in Japan
Primary causes
1. Couples want a once-in-a-lifetime event that people willremember for a long time
2. As the age of first marriages rises, more couples want
better food and entertainment for guests and activities
that incorporate each couple’s personal preferences
3. More young people who do not care about luxury in theireveryday lives want to spend money to make a wedding amemorable experience

61

41

30
20

Reference

Consistent growth in the amount spent per
wedding guest(Increased about 90% between 2000 and 2020)

0001 020304 050607080910 111213 14 151617 18192021 22（Year）

Source: Zexy Wedding Magazine Trend Survey 2022 – Tokyo Area, total per-guest cost for wedding ceremony and reception/party, Ministry of Health, Labour and Welfare, "Vital Statistics 2021"
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56

Precautions about this presentation
This presentation includes forecasts and other forward-looking statements about the performance, strategies, businessplans and other subjects concerning IKK HD.

These forward-looking statements, which are not historical facts, reflect the outlook of IKK HD based on informationthat was available when this announcement was made.



Forward-looking statements incorporate uncertainties about the economy, competition from other companies andmany other potential sources of risk.
Consequently, actual performance, business activities and/or the financial position may differ significantly from theforward-looking statements in this presentation due to upcoming changes in the economy, competition in theindustry, market demand, other economic, social and political events, and many other factors.

IR Contact:
Management Dpt. ( info-ir@ikk-grp.jp )URL https://www.ikk-grp.jp/

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57