Create a Sustainable World.
FY2023 Financial Results
Second Quarter
August 9, 2023 (Wed.)
WORLD HOLDINGS CO., LTD.
TSE Prime Market (2429)

CONTENTS

01

02

03

04

Company Overview
and Strengths

Summary of FY2023
Second Quarter
Financial Results

Outlook for the TermEnding December
2023

Appendix
About Us

P.3

P.17

P.27

P.31

© WORLD HOLDINGS CO., LTD.

2

01

Company Overview
and Strengths

P.3© WORLD HOLDINGS CO., LTD.

P.4

The Purpose of the WORLD HOLDINGS Group

P.5

Purpose of the Segments

P.6

Sustainability Initiatives

P.7

Human Resources and Education Business:
Domain Expansion for Growth

P.8

Consortium Collaboration Centered on Outsourcing

P.9

Training Programs and Improving Productivity

P.10

Use of the Consortium Model

P.11

Collaboration with Prominent Companies

P.13

Human Resources and Education Business Performance

P.14

Real Estate Business:
Reasonable Goals for the Reduction of Risk

P.15

Real Estate Business:
Purchasing Skill, Synergies with the Human Resources
and Education Business

P.16

Agricultural Park Business: Use of Revitalization
Expertise at Four Directly Managed Facilities for the
Designated Management Business
3

The Purpose of the WORLD HOLDINGS Group
Contribute to happinessand a sustainable society
through the creation of avariety of ways we live
worldwide
Enabling people worldwide to enjoy evenmore energetic and fulfilling lives will
create happiness and contribute toprogress in many ways, thereby helping to
make the world better.
Our mission is to play a role in the creationof an energetic and stimulating society
where people can enjoy their lives.
© WORLD HOLDINGS CO., LTD.

4

Purpose of the Segments
The ways we work

The ways we create communities

We want to help people of all kinds find jobs that best
match their skills and goals in order to enable them toexperience the joy and satisfaction of work. By
providing training, we give people the skills to achieve
their full potential, which supports the growth andadvancement of businesses.

Pleasant communities are essential for people to lead enjoyableand fulfilling lives. By designing these communities, we provide
an environment for vibrant and satisfying lifestyles. Activities
place priority on preserving the environment and natural
resources in order to be a responsible member of society.

Human Resources
and Education

The ways we provide
convenience and safety

We are dedicated to creating the use of today’s
advanced information technology infrastructure forbeing a source of convenience and for establishing anenvironment where people can enjoy their lives withconvenience and confidence.
Information andTelecommunications© WORLD HOLDINGS CO., LTD.

The
Ways
We Live

Real Estate

The ways we look to the future
Agricultural parks help protect the environment and conserve
the earth’s resources while giving children a place where they
can grow. By operating these parks, we are playing a role insustainable social progress.

Agricultural Park

5

Sustainability Initiatives
Materiality (important issue)

Real Estate Provide products and home facilities where people can enjoy their lives andplay a role in creating communities where people can live with confidence.
 Create communities that are environmentally responsible, conserve resources
and prosper together with the areas where they are located.
 Use the sustainable development of land to contribute to protecting theenvironment of regions where projects are located.

Information andTelecommunications

 Build a base for technological progress and create safe and pleasantcommunities by increasing the use of IT infrastructures and other sources of
convenience in society.

AgriculturalPark Maintain an environment that protects nature, conserves resources andcontributes to enable children to grow up in a sound and healthy manner.
 Combat climate change and protect natural resources by utilizing land
responsibly and seeking more ways to create and utilize renewable energy.

Business
Revitalization

 Protect companies, employees and their families by maintaining financial
soundness in order to prevent bankruptcies.
 Increase added value by revitalizing businesses, create rewarding
employment opportunities, and contribute to economic growth. Responsible
production and consumption.
 Encourage people to have an entrepreneurial spirit and give people
opportunities to take on new challenges as entrepreneurs after a failure.

© WORLD HOLDINGS CO., LTD.

PurposeCreate the ways we work
We want to help people of all kinds find jobs that best match
their skills and goals in order to enable them to experience
the joy and satisfaction of work. By providing training, we give
people the skills to achieve their full potential, which supports
the growth and advancement of businesses.

Create the ways we create communities
Pleasant communities are essential for people to lead enjoyableand fulfilling lives. By designing these communities, we provide
an environment for vibrant and satisfying lifestyles. Activities
place priority on preserving the environment and natural
resources in order to be a responsible member of society.

Create the ways we provide convenience and safety
We are dedicated to creating the use of today’s advanced
information technology infrastructure for being a source of
convenience and for establishing an environment where
people can enjoy their lives with convenience and confidence.

Create the ways we look to the future
Agricultural parks help protect the environment and conserve
the earth’s resources while giving children a place where they
can grow. By operating these parks, we are playing a role insustainable social progress.

Create the ways we operate businesses
Revitalize businesses in order to maintain the soundness ofsociety and increase added value with the objective of being acompany that contributes to providing pleasant and rewarding
employment opportunities.

Contribute to happiness and a sustainable society throughthe creation of a variety of ways we live worldwide

Human Resources
and Education

 Support the sustainable advancement of society by providing many jobs.
 Use high-quality training programs to develop the skills of employees in orderto enable people to realize their full potential, increase motivation andcontribute to economic growth.
 Support the manufacturing and service sectors worldwide by providing humanresources and create a base for technological progress by maintaining aworkforce of highly skilled people.
 Provide workplaces where all employees, regardless of gender, can performtheir jobs to the best of their ability.

Value creation

6

Human Resources and Education Business: Domain Expansion for GrowthBusiness process outsourcing and staffing services that seamlessly
cover a broad range of business domains

Manufacturing domain
Products Human Resources Business

半導体
機械
電気電子

After-sales service

半導体
自動車
情報通信

Manufacturing

Design/Development

R&D
医薬
バイオ
CRO

Support for upstream to downstream
processes for manufacturing

About© WORLD HOLDINGS CO., LTD.

Service domain
Services Human Resources Business

Tourism

Logistics

Tourismindustry

E-commerceSales
directly tocustomers
High-volume retailers
Department
stores

A strategically targeted approachfor rapid growth in the services
domain37,000 workers in service*As of June 30, 2023
7

Consortium Collaboration Centered on Outsourcing
 Our goal is sustainable growth by using collaboration with other human resources companies and partnerships with clients, all centered on outsourcing.

Co-sourcing

A higher level of outsourcing by working even more closely with customers as a good partner andreceiving the benefits of joint activities together

Outsourcing
V• Upgrade training programs andretention rates• Higher profitability by improving
productivity• Help customers increase productivity• Mutual stability during
economic/market downturns

Activities with other HR companies

Activities with client companies• WORLD HOLDINGS
outsources projects and works
with other HR and othercompanies• Contribute to industry
innovations and advances byusing partnerships withleading companies in various
industries and leveraging theknowhow of WORLDHOLDINGS and clientcompanies

Consortium
model

Collaboration
with prominentcompanies

Contribute to happiness and a sustainable society through the creation of a variety of ways we live
© WORLD HOLDINGS CO., LTD.

8

Training Programs and Improving Productivity
 Continue upgrading and expanding leadership, technology and other training programs and provide support for employees to advance their careers or change
career paths.
 Increase the number of outsourced/subcontracted projects by providing training that raises the number of project managers and team leaders.
 Increase earnings by using teams to improve output and use improvements to contribute to increasing productivity and quality at client companies.

Upgrade leader training and technology training• Leadership training, training for people
to become the next office managers• Training for people to become the next
leaders• Project manager training• Mechanical design/production
technology training• IT engineering technology training
etc.

Subcontracting production to teams
TeamleaderLeadercandidate• Use teams to seek ways to improve
production• Share improvement know-how withothers• Pass on improvement know-how sothat leader candidates can become
leaders of other lines

Leadercandidate

R&D

DesignManufacture

Logistics

Participants in Training Programs (Persons)After-sales
service

7,450
5,379
2,832

2,561

FY2019FY2020© WORLD HOLDINGS CO., LTD.

3,569

FY2021

Production improvement

FY2022

FY2023
Estimate

Quality improvement

Improves production and quality for customers and earningsof the outsourcing business9Use of the Consortium Model Customers outsource tasks to WORLD HOLDINGS, which then performs work jointly with local human resources companies and bycollaborating with partner companies of client companies.
 Horizontal utilization of knowhow in the logistics sector at JW SOLUTION, TOHO WORK and other companies
Collaboration with local human resources companies

WORLD STAFFING CO., LTD (logistics sector)

Received contract to operate several logistics
warehouses of a large foreign e-commerce company

Customers
WORLD HOLDINGS Performs outsourced tasks

Human resources
人材会社
company

Human resources
人材会社
company

Human resources
人材会社
company

a

a

a

A

© WORLD HOLDINGS CO., LTD.

b

c

d

B

b

c

d

C

b

c

d

Human resources
人材会社
company

D

a

b

c

d

10

Collaboration with Prominent Companies (1) Alliances with prominent companies in other industries are used to play a role in industry reforms and innovation and in making improvements
at alliance partners. Growth of WORLD HOLDINGS is another goal.

For tourism industry progress anddealing with the labor shortage

Assist with passing on technologies
and skills about basic materials

Toho Titanium• WORLD HOLDINGS is collaborating with JTB for the advancement of the
tourism industry and measures to cope with the labor shortage.
• A joint venture was established in April 2019, 60% owned by the WORLDHOLDINGS Group and 40% by the JTB Group.
• Training of people who serve customers and subcontracting for the operation of
hotels, theme parks and other tourism facilities and provision of temporary
staffing services.
• Establishment of consortiums with human resources companies in different
regions of Japan and use of know-how at the WORLD HOLDINGS Group and
JTB Group about training and retention support.
© WORLD HOLDINGS CO., LTD.

• WORLD HOLDINGS is collaborating with Toho Titanium for the purposes ofpassing on to younger people technologies and skills about basic materials andof taking actions to cope with the labor shortage.
• A joint venture was established in April 2020, 55% owned by WORLD INTEC
and 45% by Toho Titanium.
• This company is establishing a human resources business specifically for thebasic materials industry that will help pass on technologies and skills to younger
people.
• Established a consortium with companies used by Toho Titanium foroutsourcing in order to help these companies recruit and train skilled people forthe purpose of performing outsourced production and other tasks of Toho
Titanium.
11Collaboration with Prominent Companies (2) Agreement to establish a strategic business alliance with Yamato Holdings Co., Ltd.
 WORLD STAFFING plans to purchase 51% of the stock of Yamato Staff Supply on September 1, 2023, making this company a subsidiary.

Strategic Business Alliance

Yamato Staff Supply Joins the WORLD HOLDINGS GroupWORLD STAFFING CO., LTD
YAMATO HOLDINGS￭ Logistics anddistribution expertise￭ Capable of handling all logistics
warehouse tasks￭ Nationwide network of
distribution centers￭ Personnel utilization andmanagement expertise• As the business climate for the logistics industry changes, the resources of both companies
will be used effectively to continue to target opportunities for earning profits and for becoming
even more competitive.

YAMATO HOLDINGS￭ Ownership decreases
from 100% to 49%￭ Acquisition of 51%
of stock

YAMATO STAFF SUPPLYThe CEOs of WORLD HOLDINGS and Yamato Holdings were atpress conference for the alliance that took place on July 27, 2023.

• The use of the knowledge of Yamato Holdings, one of the largest logistics companies, andWORLD HOLDINGS, which can use the consortium business model to perform all logistics
warehouse tasks for customers.
• WORLD STAFFING has agreed to purchase 51% of the stock of Yamato Staffing, making
this company a subsidiary.
• Yamato Staff Supply handles the human resources business of Yamato Holdings. Adding thiscompany to the WORLD HOLDINGS Group is expected to create more opportunities forreskilling, which will help the group become a fully integrated human resources services
organization.
© WORLD HOLDINGS CO., LTD.

On the right is Yutaka Nagao, president of Yamato Holdings.
12

Human Resources and Education Business Performance
Net sales and segment profit (Billion yen)
Human Resources and Education (Services Human Resources)

144.1

132.8

Human Resources and Education (Products Human Resources)
Human Resources and Education
Segment profit*

Services HR

CAGR

13.9%
75.0

77.7

49.3

Services HR

104.9

44.2
Services HR

83.1

Products HR

34.3

94.7

Products HR

88.5

Products HR

70.6

5.1

5.4

4.0
2.8

2.8

2.9

FY2018FY2019FY2020

FY2021* Segment profit for 2021 and prior years have been restated for consistency with the new business segments that began in 2022.
© WORLD HOLDINGS CO., LTD.

FY2022

FY2023予想
Forecast
13

Real Estate Business: Reasonable Goals for the Reduction of Risk
 To minimize risk, the Real Estate Business is using a prudent business plan rather than aiming for unreasonably high growth.
 A cautious stance about buying properties, but carefully selected high-quality properties will be purchased. The aim is to maintain the inventory
turnover ratio at about one.
Real estate for sale / real estate for sale in process /inventory turnover (Billion yen)

Net sales and segment profit (Billion yen)
Net sales

Real estate for sale / real estate for sale in process

Segment profit

Inventory turnover (times)

48.1
42.1

36.9

38.1

44.5

49.6

58.5

42.6
35.0
27.9

3.6

3.0

3.2

3.7

1.5
FY2019FY2020© WORLD HOLDINGS CO., LTD.

FY2021

FY2022

FY2023
Forecast

1.2

1.1

FY2019FY20201.3

FY20211.1

0.9

FY2022

FY2023
2Q

Inventory turnover = Real Estate Business sales in previous year / Real estate for sale and real estate for sale in process at the end of the previous year
For 2023, the Real Estate Business sales forecast is used.
14

Real Estate Business:
Purchasing Skill, Synergies with the Human Resources and Education Business During the next several years and longer, synergies with the Human Resources and Education Business are expected by using real estate M&A
activity and strengthening operations for the development of logistics facilities.

Real estate M&ALand development expertise

Real estate
M&A© WORLD HOLDINGS CO., LTD.

Purchasing
expertise andprospects forsynergies with the
Human Resources
and Education
BusinessWORLD
HOLDINGS

M&A

Companies that want to be acquired or shut down

Use of realestate bycollecting
receivables
Factories and other properties

Employees

Development of land,
etc. by the Real
Estate Business

Employees are
employed by the
Human Resources andEducation Business

15

Agricultural Park Business: Use of Revitalization Expertise at Four DirectlyManaged Facilities for the Designated Management Business WORLD HOLDINGS plans to increase earnings of managed facilities by utilizing revitalization and profitability know-how acquired at the four directly
managed facilities in the designated management business.
 Operating more facilities as the designated manager for the owners will create win-win relationships with local governments and other organizations that
own these facilities. This will also enable WORLD HOLDINGS to help invigorate regional economies and create jobs.

Operation of nature-rich agriculturalparks, etc. at 15 locations around Japan

Revitalization know-how acquired at
4 directly managed facilities
New mindset
for
employees• Make facilities
more attractive• Treat visitors withsincerity
Net sales
Segment profit(Million yen)

2,900

3,078

• New attractions and otheractivities• Larger selections of foodand souvenirs• Facilities become
profitable

4,334
3,639

Operation of a total of 15 facilities, including 4 directly
managed facilities and other entrusted facilities
Deepen regional roots and contribute to theregional economy and job creation

Investments
for earnings
growthIncrease invisitors

4,664

Minokamo Rest Area
Comorebi

Kanzaki Farm Park

Ibaraido Forest

Yodel Forest

3,378

Chiba Zoological Park

Niimi Chiya Onsen Ibukinosato

2,754

Fureai Dobutsu-no-Sato

Kitakyusyu Municipal

Nagai seaside Park

Sougou Nouji Center

Soleil Hill

Hibikinada

158

117
-226

-396
FY2017FY2018FY2020

Green Park

Blumen Hugel Directly
managedFarm
Sakai Greenery Museum

FY2021Harvest Hill
FY2022

FY2023
Forecast

1st and 2nd years

3rd year

4th and 5th years

6th year onwards

Improvements tofacilities

Investments

Pandemic

Consistent profitability© WORLD HOLDINGS CO., LTD.

Shiga Agricultural Park

-20

-221
FY2019208

Directly
managedDirectly
managedOkayama Forest Park

German Forest

Ohashi Kogen International
Exchange Village

Directly
managedAma Site Park
Osaka Prefectural

Garden of Floral Culture
Wakayama Castle
Zoological Park

April 2023
Start of designatedmanagement

16

02

Summary of FY2023
Second Quarter
Financial Results

P.18

Summary of Financial Results

P.19

Overview of Business Results

P.20

Overview of Business Results by Segment

P.22

Products Human Resources Business

P.23

Services Human Resources Business

P.24

Real Estate Business

P.25

Information and Telecommunications Business

P.26

Agricultural Park Business

P.17© WORLD HOLDINGS CO., LTD.

17

Summary of Financial Results
Overallsummary

Human
ResourcesandEducation
Business

Real EstateBusiness
Information andTelecommunications Business
Agricultural
Park Business© WORLD HOLDINGS CO., LTD.

In the Human Resources and Education and Real Estate businesses, sales increased while adapting accurately to changes inseveral business portfolios; steady progress regarding preparations for the second half, which is expected to be the majority ofsales and earnings.
First half earnings were down because the largest contribution to earnings of both these businesses is in the second half of theyear. Planning on record-high earnings for 2023.
Lower semiconductor and electronic component production and the end of a one-time source of demand in 2022 negatively
affected first half performance. However, sales increased because of measures for the stability of business in several industries.
First half earnings decreased because of training and other expenses for the record-high number of new graduates hired. These
new employees will start contributing to earnings in the second half of 2023.
Although first-half results exceeded the plan, there is uncertainty about the recovery of the semiconductor and electronic
components industries, and we maintain our initial plan for the full year.
Plan to increase sales by taking advantage of our strength in serving multiple industries, and to increase profits by contributing
to earnings from prior investments in recruitment and training.
This business is selling commercial-use and other properties with the best possible timing while retaining a cautious stance as
prices remain high. Although sales and earnings were down in the first half, earnings were higher than planned.
Sales of condominiums that will be closed in the second half are progressing as planned and this business expected to achievesales and earnings growth in 2023.
Big changes are occurring in Japan’s mobile phone shop sector. Lower cost of mobile phone plans reduced fee income.
Activities are under way to increase the profile of mobile phone shops by adding expertise for solving problems of companies
and various issues of the areas where shops are located.
First half sales increased as measures to raise food and merchandise sales offset the negative effect of bad weather during theGolden Week holiday period. Earnings were down because of the high cost of electricity and other reasons. Sales include theoperation of the Osaka Prefectural Garden of Floral Culture, which this business started operating for the government in April.
Planning on higher sales and earnings in 2023 because of the opening of new facilities and continuing measures to raise foodand merchandise sales.
18

Overview of Business Results
 The 2023 plan assumes that the majority of earnings will be in the second half. In the first half, sales increased because of steady sales growth backed by a diversified
portfolio of business operations. First half earnings decreased in the Human Resources and Education Business mainly due to up-front expenditures for recruiting andtraining activities. Earnings from up-front expenditures are expected in the second half.
 Sales – Sales increased as the strength of the WORLD HOLDINGS diversified operations that serve many industries offset the negative effect on sales in the core Human
Resources and Education Business of lower semiconductor and electronic component production and other effects of the global economic slowdown.
 Earnings – Earnings decreased because earnings from up-front investments in the Human Resources and Education Business are expected in the second half andthe majority of closings of sales in the Real Estate Business will be in the second half.
FY2022 2Q

FY2023 2Q

FY2023 2Q

Against estimate

YoY(Million yen)

ActualEstimate

ActualChangePct. change

ChangePct. change

Net sales

86,20888,736

90,461

1,725

1.9%

4,253

4.9%

Operating profit

4,629

2,507

3,685

1,178

47.0%

-943

-20.4%

Ordinary profit

4,740

2,433

3,645

1,212

49.8%

-1,094-23.1%

Profit attributable toowners of parent

2,549

1,543

2,013

470

30.5%

-535

-21.0%© WORLD HOLDINGS CO., LTD.

19

Overview of Business Results by Segment (1)FY2022 2Q

ChangePct. change

ChangePct. change

Net sales

61,85566,894

2,476

3.7%

7,515

12.2%

Segment profit

2,597

1,398

409

29.2%

-789

-30.4%

Profit margin

4.2%

2.1%

69,3701,807
47,946
1,650

3,210

7.2%

6,742

16.4%

428

35.1%

-250

-13.2%

21,424
156

-734

-3.3%

772

3.7%

-19

-11.0%-538-77.4%

14,526
1,264

-919

-6.0%

-3,024-17.2%

646

104.5%-323-20.4%

4,165
15

69

1.7%

-428

-9.3%

-33

-68.4%-61-79.9%

2,398
122

98

4.3%

191

8.7%

15

14.7%

-61

-33.5%

90,461
475
3,685

1,725

1.9%

4,253

4.9%

140

42.0%

292

159.5%

1,178

47.0%

-943

-20.4%

41,20344,735

Segment profit

1,901

1,222

Profit margin

4.6%

2.7%

Services Human
Resources
Business

Net sales

20,651

22,158Segment profit

695

176

Profit margin

3.4%

0.8%

Net sales

17,551

15,445

Segment profit

1,587

618

Profit margin

9.0%

4.0%

Net sales

4,594

4,096

76

48

Profit margin

1.7%

1.2%

Net sales

2,207

2,300

Segment profit

184

107

Profit margin

8.4%

4.7%

86,20888,736

Elimination or
corporate

183

335

Operating profit

4,629

2,507

Profit margin

5.4%

2.8%

Agricultural
Park Business

Segment profit

Net sales

Total© WORLD HOLDINGS CO., LTD.

YoY

ActualNet sales

Information andTelecommunications
Business

Against estimate

Estimate

Products Human
Resources
Business

Real EstateBusiness

FY2023 2Q

Actual(Million yen)

Human Resources
and Education
Business

FY2023 2Q

2.6%

3.4%

0.7%

8.7%

0.4%

5.1%

4.1%
20

Overview of Business Results by Segment (2)Net sales (Million yen)Segment profit (Million yen)

Agricultural Park BusinessInformation and Telecommunications Business
Real Estate Business
Human Resources and Education Business

100,000
90,00086,2082,207

80,0004,594

70,00017,55188,736YoY+4.9%
Against estimate+1.9%

90,461

Information and Telecommunications Business
Real Estate Business
Human Resources and Education Business
7,000

2,300
4,096

2,398
4,165

6,000

15,445

14,526

5,000
4,000

60,00050,0003,000

40,00030,000Agricultural Park Business

61,85566,894

69,37020,000

YoY-20.4%
Against estimate

184
76
1,587

2,000
1,000

2,597

FY2022 2Q
Actual© WORLD HOLDINGS CO., LTD.

FY2023 2Q
Estimate

FY2023 2Q
Actual

0

3,685
2,507
107
48
618
1,398

10,0000+47.0%

4,629

FY2022 2Q
ActualFY2023 2Q
Against estimate

122
15
1,264

1,807
FY2023 2Q
Actual21

Products Human Resources Business Orders in the semiconductor/electronic components and machinery categories decreased but sales were higher, and above the plan, because of services
provided to companies in the automobile and many other industries. Earnings were down, but higher than planned, because of expenses involving therecord-high number of new graduates hired. Training and other expenditures are expected to enable these people to start contributing to earnings in thesecond half.
 The acquisition of Nippon Gijutsu Center Co., Ltd. was completed. This acquisition is expected to strengthen the ability to provide services in thetechnology sector and to handle subcontracting projects in the Kansai area.

Net sales (Million yen)
YoY

R&D

41,203-13.2%

Against estimate

Manufacturing

Against estimate+7.2%

44,735

10.5％

47,946+35.1%

1,901

1,650

10.3％
20.6％

69.1％

69.1％

FY2023 2Q
Estimate© WORLD HOLDINGS CO., LTD.

FY2023 2Q
ActualR&D
Technology
Manufacturing

17,188
1,350
2,517

1,222

20.4％

FY2022 2Q
ActualTemporary placement workforce (Persons)YoY+16.4%

Technology*3-month average

Segment profit (Million yen)

13,322

FY2022 2Q
ActualFY2023 2Q
Estimate

FY2023 2Q
ActualFY2022 2Q
Actual

YoY+17.2%

20,151
1,577
3,493

15,081

FY2023 2Q
Actual22

Services Human Resources Business Although a one-time project in the first half of 2022 ended, sales increased because of new business sites in the logistics sector and higher
sales in the customer service/tourism category.
 Many investments for new business activities, such as an outsourced temporary staffing order management service that uses personnel
management and temporary staffing expertise acquired from subcontracting and consortium operations in the logistics sector.
 Earnings down because of up-front investments and the end of one-time projects that boosted earnings in the first half of 2022.

Tourism/business process outsourcing
Sales directly to customers

YoY

Consortium+3.7%

Tourism/business process outsourcing
Sales directly to customers-3.3%

22,15821,424

Logistics

YoY-77.4%

695

Against estimate

12.7％

11.4％

-11.0%

26.0％

25.0%

63.6％

FY2022 2Q
ActualTemporary placement workforce (Persons)

Against estimate

Logistics

20,651*3-month average

Segment profit (Million yen)

Net sales (Million yen)

176

61.3％

FY2023 2Q
Estimate© WORLD HOLDINGS CO., LTD.

FY2023 2Q
ActualFY2022 2Q
ActualFY2023 2Q
Estimate

156
FY2023 2Q
ActualYoY-2.7%

17,263

16,802

5,547

5,417

2,549

1,559

3,417

3,902

5,750

5,924

FY2022 2Q
ActualFY2023 2Q
Actual23

Real Estate Business Retaining a cautious stance as prices remain high. Segment profit was higher than planned due to well-timed sales and closings of commercialuse land and other properties.
 First half earnings decreased because the closings of sales of many condominiums and other properties will be in the second half. Sales ofproperties are generally as planned and earnings are expected to increase in 2023.
Neｔ sales (Million yen)Prefabricated house-related
Renovation-related
Developer-related

Segment profit (Million yen)

Real estate for sale in process

YoY

YoY

-17.2%-20.4%

Against estimate

5.6％

15,445

26.6％

14,526

Real estate for sale

YoY

+42.9%

Against estimate-6.0%

17,551

Real estate for sale (Million yen)+104.5％

1,587

1,264

8.6％

58,57040,99335.1％

49,405618

33,787

67.7％
56.2％

FY2022 2Q
ActualFY2023 2Q
Estimate© WORLD HOLDINGS CO., LTD.

FY2023 2Q
ActualFY2022 2Q
ActualFY2023 2Q
Estimate

FY2023 2Q
Actual

7,206

9,165

FY2022 2Q
ActualFY2023 2Q
Actual24

Information and Telecommunications Business Sales and earnings down as fee income decreased because the lower cost of mobile phone plans reduced utilization income per user andmobile carriers revised terms for determining fees.
 The goal for this business is to raise the profile of mobile phone shops, which currently serve mainly individuals, by adding a corporate solutions
service and the ability to help solve issues of the areas where shops are located.
Segment profit (Million yen)

Net sales (Million yen)
YoY

-9.3%
Against estimate

+1.7%

4,594

4,096

4,165

YoY

-79.9%
Against estimate-68.4%

76
48

15
FY2022 2Q
Actual© WORLD HOLDINGS CO., LTD.

FY2023 2Q
Estimate

FY2023 2Q
ActualFY2022 2Q
ActualFY2023 2Q
Estimate

FY2023 2Q
Actual25

Agricultural Park Business First half sales were higher than planned as measures to raise food and merchandise sales offset the negative effect of bad weather during theGolden Week holiday period. Earnings were down because the high cost of electricity and other factors raised SG&A expenses, but earnings
exceeded the plan.
 The large areas of agricultural parks are being used for environmental activities, such as the installation of a solar power and storage battery
system to reduce greenhouse gas emissions and electricity costs at Comorebi Ibaraido Forest. Operation of the Osaka Prefectural Garden of
Floral Culture as the designated manager started in April 2023 (15th location).
Net sales (Million yen)Segment profit (Million yen)

Number of visiting customers (Ten thousand)

YoY

+8.7%

FY2022

FY2023

Against estimate

+4.3%

2,207

2,300

YoY

-33.5%
Against estimate

2,398+14.7%

18
16
14
12

184
107

122

10
8
6
4
2

FY2022 2Q
ActualFY2023 2Q
Estimate© WORLD HOLDINGS CO., LTD.

FY2023 2Q
ActualFY2022 2Q
ActualFY2023 2Q
Estimate

FY2023 2Q
Actual0Jan. Feb. Mar. Apr. May Jun. Jul. Aug. Sep. Oct. Nov. Dec.

26

03

P.28

FY2023 Outlook

P.29

Outlook by Business Segment

P.30

Shareholder Distributions

Outlook for the Term Ending
December 2023

P.27

© WORLD HOLDINGS CO., LTD.

27

FY2023 Outlook
 No change in the initial plan for 2023 sales and earnings. Performance exceeded the first half plan but there is a risk of a slower than expected
recovery of the semiconductor/electronic component sector and other sectors.
 Planning on record-high sales and earnings because of activities to achieve stable growth of the core Human Resources and Education Business andsteady progress in sales in the Real Estate Business.
 The majority of earnings are expected in the second half due to the contributions to earnings of new graduates who joined WORLD HOLDINGS in April
and the large number of closings of real estate sales in the second half.

(Million yen)

Actual for the term
ended Dec. 2022

Estimates for the term
ending Dec. 2023

YoY
ChangePct. change

183,640

201,354

17,714

9.6%

Operating profit

8,929

9,916

987

11.1%

Ordinary profit

8,933

9,453

520

5.8%

Profit attributable to owners of parent

5,341

6,045

703

13.2%

Net income per share (Yen)

305.50344.84

39.34

12.9%

Dividend per share (Yen)

91.50

103.50

12.00

13.1%

Net sales© WORLD HOLDINGS CO., LTD.

28

Outlook by Business Segment
Actual for the term
ended Dec. 2022

(Million yen)

Human Resources
and Education
Business
Products Human
Resources Business
Services Human
Resources BusinessNet sales
Segment profit
Profit margin
Net sales
Segment profit
Profit margin
Net sales
Segment profit
Profit margin
Net sales

Real Estate Business

Segment profit
Profit margin

Information andTelecommunications
Business
Agricultural
Park BusinessNet sales
Segment profit
Profit margin
Net sales
Segment profit
Profit margin
Net sales

Total

Elimination or corporate
Operating profit
Profit margin© WORLD HOLDINGS CO., LTD.

132,880
5,179
3.9%
88,5984,054
4.6%
44,282
1,125
2.5%
38,044
3,181
8.4%
8,399
125
1.5%
4,314
158
3.7%
183,640
284
8,929
4.9%

Estimates for the term
ending Dec. 2023

144,104
5,409
3.8%
94,732
4,265
4.5%
49,371
1,144
2.3%
44,511
3,728
8.4%
8,074
214
2.7%
4,664
208
4.5%
201,354
354
9,916
4.9%

YoY
ChangePct. change

11,223
230

8.4%
4.4%

6,133
211

6.9%
5.2%

5,089
19

11.5%
1.7％

6,466
547

17.0%
17.2%

-325
88

-3.9%
70.7%

349
49

8.1%
31.4%

17,714
70
987

9.6%
24.8％
11.1%
29

Shareholder Distributions
 The basic policy for profit distributions is to distribute profits in a manner that reflects results of operations while retaining sufficient earnings for
future business operations and for making business operations stronger. For dividends, the goal is to stably and consistently increase thedividend while using a consolidated payout ratio of 30% as the guideline for dividends.
 Forecast dividend increase to a record-high 103.5 yen per share for 2023.

103.5 Yen

101.7
75.3

82.7

83.0

91.5
79.5

52.7

45.7
23.7
10.0
FY2013

FY2014© WORLD HOLDINGS CO., LTD.

FY2015FY2016FY2017FY2018FY2019FY2020

FY2021

FY2022

FY2023(Forecast)30

04

Appendix

P.31© WORLD HOLDINGS CO., LTD.

P.32

Financial Condition B/S

P.33

Cash Flows

P.34

Business Portfolio

P.35

History

P.36

Main Group Companies

P.37

Real Estate Business

P.38

Information and Telecommunications Business

P.39

List of Agricultural Parks

P.40

Business Performance Trend

P.41

Medium-term Management Plan

P.42

Reference: 2021-2023 Quarterly Performance

P.43

Inquiries

31

Financial Condition B/S Current assets increased ¥8.8 billion to ¥117.1 billion mainly because of an increase in real estate for sale.
 Liabilities increased ¥13.2 billion to ¥99.6 billion, mainly due to an increase in interest-bearing debt resulting from the increase in real estate
for sale.

End of June 2023

End of December 2022
Total assets

Current assets

108,257¥

123,591 million

Total assets

Liabilities

Current assets¥

86,395¥

117,115¥

137,371 million¥(+¥13,780 million）

Liabilities

99,627¥

millionmillionmillionmillion

Real estate
for saleInterest-bearing
debt¥49,605 million¥55,948 million

Real estate
for saleInterest-bearing
debt¥58,570 million

Net assets
Non-current assets¥15,333 million¥37,195 million*Real estate for sale is the sum of real estate for sale and real estate for sale in process.
© WORLD HOLDINGS CO., LTD.

¥69,906 million

Net assets
Non-current assets¥20,256 million¥37,743 million

32

Cash Flows Negative operating cash flows because of an increase in real estate for sale.
 Negative investing cash flows resulting from purchase of investments in consolidated subsidiary.
 Positive financing cash flows because of long-term borrowings.
Summary of 1H FY2023 cash flows
Cash flows from operating activities(Million yen)

Profit before income taxes
Depreciation
Increase in real estate for sale
Increase in inventories
Decrease in accrued consumption taxes
Cash and cash equivalents
at end of period

Cash and cash equivalents
at beginning of period
Cash and cash equivalents at end of period

2,544 million

Down ¥© WORLD HOLDINGS CO., LTD.

Decrease in accrued expenses(Million yen)

3,644
453
-8,964-667-1,264-349

Cash flows from investing activities
Purchase of property, plant and equipment
Purchase of investments in consolidated subsidiary-349-4,822

Cash flows from financing activities
Net increase in short-term borrowings

2,880

Proceeds from long-term borrowings

13,424

Repayments of long-term borrowings-2,358Dividends paid

-1,60333

Business Portfolio
Create a Sustainable World.
Use a well-balanced business portfolio for rapid growth
and activities that help create a sustainable world
Real Estate Business

Human Resources and Education Business

Real Estate

私たちは持続可能な開発目標（SDGs）を支援していますThe “Ways We Live”

Information and Telecommunications BusinessInformation andTelecommunications

Products Human Resources Business

Agricultural Park Business

Services Human Resources Business
Establishment of a business model focused on
the ability to respond to changes
Diversificationof business© WORLD HOLDINGS CO., LTD.

Decentralization

One-timerevenuebusiness

Agricultural Park

Recurring
revenuebusiness

34

History

COVID-19 crisis

Entry into Agricultural Park BusinessMoved to TSE Prime Market

Agricultural Park

Bankruptcy ofLehman Brothers

FARM became a member of theWORLD HOLDINGS Group

Listed on TSE 1st Section(3 months after 2nd Section listing)
Shifted to a holding company structure(Company name changed to WORLD HOLDINGS)

Entry into Information andTelecommunications Business

Established WORLDRESIDENTIAL

Started the real estatedevelopment business

Real Estate

Information andStart of sales & marketing staffing
business
Start of R&D staffing business-4.3

End ofbubbleAsia currency
crisisStart of technology staffing businessStart of factory staffing business
Entry into Human Resources andEducation BusinessEnd of IT
bubbleTelecommunications
e-support became a memberof the WORLD HOLDINGS Group

Listed on JASDAQ

Human
Resources andEducation

Start of overseas real estate
operations-0.5

Bubble economy

Established WORLD INTEC

Established Kyushu Hokubu
RehouseStarted a residential brokerageand development business

Established Mikuni

4.2

35© WORLD HOLDINGS CO., LTD.

Establishment

Real Estate

1986

6.8
1985

-5.4
*The graph is Japan’s GDP.

1.0
0.4

1.1

2022
2017
2014

2016
2010
2005
1993
1981

Main Group Companies
49 affiliated companies
Human Resources and Education Business
Products Human
Resources Business

Services Human
Resources BusinessWORLD INTEC CO., LTD.

WORLD STAFFING CO., LTD

Human resources services(Manufacturing/ Technology/ R&D)

Human resources services(Logistics/ Light-duty jobs/ Call centers)WORLD CONSTRUCTION CO., LTD.
Human resources services(Construction technology)

Information andTelecommunications Business

Real Estate BusinessWORLD RESIDENTIAL CO., LTD.

E-SUPPORT, INC.

Development (Kanto)

Comprehensive real estate business

JW SOLUTION CO., LTD.

World iCity Co., Ltd.

RENOVE MIKUNI CO., LTD.

Human resources services (Tourism)

Development (Tohoku)

Renovation

Operation of call centers and stores

NETWORK SOLUTION CO., LTD.
Operation of mobile phone stores(Softbank)

TOHO WORLD CO., LTD.

Dimples’ Co., Ltd.

WORLD RESIDENTIAL KANSAI CO., LTD.

M'S WORLD CO., LTD.

WORLD STYLE CO., LTD.

Human resources services (Materials)

Human resources services(Sales directly to customers)

Development (Kansai)

Renovation (Hokkaido)

Operation of mobile phone stores (au)WORLD INTEC TAIWAN CO., LTD.

Dimples’ Realty Staff Co., Ltd.
Human resources services(Sales directly to customers)(Non-consolidated)

Human resources services (Taiwan)WORLD INTEC SHANGHAI CO., LTD.
Business consulting and comprehensive
human resources services (China)(Non-consolidated)

Nichimo Real Estate Co, Ltd.

Best IT Business Co., Ltd.

Real estate consulting

Corporate solutions

Agricultural Park BusinessWORLD INTEC CO., LTD.
Management and operation of agricultural parks

CROWDWEIGHT CO.,LTD.
Management and operation ofagricultural parks

WORLD LIFE PARTNER CO., LTD.
Development and operation of the
Wakrak daywork application(Non-consolidated)

Condominium and building management
WORLD DEVELOPMENT INDONESIA

Human resources services (China)WORLD INTEC AMERICA, INC.
Human resources services (U.S.)

Development (Indonesia) (Non-consolidated)
OMACHI WORLD Co., Ltd.
Outsourced software development

WORLD GLOBAL SUPPORT CO., LTD.

World Share Selling Co., Ltd.

Support services for foreign intern training programs

PC schools/ Produces websites

DOT WORLD Co., Ltd.

Creative Inc.
Human resources services(Manufacturing/ Plant)
Nippon Gijutsu Center Co., Ltd.

Clinical research (CRO)

Repair of cameras and digital equipment

WORLD SYSTEM SERVICE CO., LTD.
Outsourced software development

Finance BusinessWORLD ASSET MANAGEMENT CO., LTD.
Real estate fund management (Financial Instruments and Exchange Act) (Non-consolidated)

Design and development ofindustrial machinery

Real estate fund management (Act on Specified Joint Real Estate Ventures)

Human resources services(Materials) (Non-consolidated)

Collection of receivables (Non-consolidated)

World Capital Solutions

Sankin Kaihatsu■ Human Resources and Education Business
Products HR: 19 companies; Services HR: 5 companies© WORLD HOLDINGS CO., LTD.

Sales of prefabricated house/ Geotechnical survey (Non-consolidated)

Human resources services(Technology/ Design/ Manufacture)

GEOGRAPHIC INFORMATION OF KYUSHU, INC.

Geographic information system development

Manufacturing of prefabricated house

Mirai Servicing Co, Ltd.

■ Real Estate Business: １４ companies■ Information andTelecommunications Business:
４ companies■ Agricultural Park Business:
7 companies

36Real Estate Business
Building an infrastructure able to adapt to any change in thebusiness climate

Real estate trust
beneficiary rights

Real estate for investment
Development

Real estate revitalization

Real estate financeCondominiums/Detached houses
Commercial land development

Renovation
Conversion

Asset management

Conduct business mainly in major cities of the
Tohoku, Tokyo Metropolitan, Kinki and Kyushu areas

Conduct real estate revitalization business, such as
renovation, around Japan

Real estate fund management

Residential Aoba Hirosegawa(Sendai, Miyagi)

Examples of renovation

BIZIA Koujimachi Building© WORLD HOLDINGS CO., LTD.

37

Information and Telecommunications Business
Mobile phone shop

Corporate solutions

The largest network of stores in Kyushu
Mobile phone shops in Fukuoka, Saga, Oita and Nagasaki Prefectures

We propose the reduction of costs for electric
power, communications, etc. by selling our
products to corporations￭ Comprehensive cost reduction solutions

Fukuoka

Softbank Shops
au Shops

31

storesMonitoring
camerasSaga

Air conditioners forbusiness use

LEDlighting

Smartphones

Oita
Nagasaki

Kumamoto

PCs

Security

Miyazaki

As of June 2023
Kagoshima

Water
dispensers

Supplies

Multifunction
machines

Telephonesystem forbusiness use

Internetlines￭ Call centers

Okinawa© WORLD HOLDINGS CO., LTD.

Sale of various products
for individuals and corporations
38

List of Agricultural Parks
Operation of nature-rich agriculturalparks, etc. at 15 locations around Japan
Operation of a total of 15 facilities, including 4 directly
managed facilities and other entrusted facilities
Deepen regional roots and contribute to the regional
economy and job creation
Minokamo Rest Area
Kanzaki Farm Park

Yodel Forest

Comorebi

Ibaraido Forest

Niimi Chiya Onsen Ibukinosato

Directly
managedChiba Zoological Park

Fureai Dobutsu-no-Sato

Kitakyusyu Municipal

Sougou Nouji Center

Nagai seaside Park

Soleil Hill

Hibikinada

Green Park

Shiga Agricultural Park

Directly
managed

Sakai Greenery Museum

Directly
managedBlumen Hugel Farm
Harvest Hill

Ama Site ParkWe also produce and sell
homemade sausages,
confectionery, beers, etc.
© WORLD HOLDINGS CO., LTD.

Okayama Forest Park

German Forest

Directly
managedOhashi Kogen International
Exchange Village

Osaka Prefectural

Garden of Floral Culture
Wakayama Castle
Zoological Park
39

Business Performance Trend(Billion yen)(Billion yen)
250.0

12.0

Agricultural Park BusinessInformation and Telecommunications Business
Real Estate Business

200.0

201.3

FY2016

Human Resources and Education Business

FY2020Listed on 1st sectionof TSE

Operating profit (right axis)

183.6
8.9

COVID-19 crisis

154.7
150.0

Entry into Real EstateBusiness

FY2008100.0
FY2006
Entry into Information andTelecommunications
Business
Listed on JASDAQ

50.0

46.4

5.1

Bankruptcy ofLehman Brothers

87.9

1.3
FY2007

94.3

136.3

7.4

143.5
6.2

6.0

4.7
4.0

56.4

53.0

48.7

1.0
FY2008

37.8

32.1

29.0

FY2006

7.0
127.1

7.3
142.8

8.0

3.7
68.8

34.8
0.9

0.0

7.4

FY2010

2.1

2.0

1.2
0.3

FY20090.5

0.3
FY2010FY2011FY2012FY2013

FY2014FY2015FY2016FY2017FY2018FY2019FY2020Created business foundation (early days)
Used internal resources for enhancing governance
New Medium-termManagement Plan
2007 to 2009

10.0

9.9

Medium-term Management
Plan 2010 to 2013

FY2021

FY2022

FY2023Plan

0.0

Expansion based on balanced management
New Medium-termManagement Plan 2021

Medium-termManagement Plan 2026

New Medium-term Management
Plan 2012 to 2016

Note: The former segments had been used until FY2021, and the new segments are used for FY2022 and the plan for FY2023.
© WORLD HOLDINGS CO., LTD.

40

Medium-term Management Plan
A good start in the plan’s first year

2026 Targets
Net sales Benefits of a diversified portfolio spanning many industries
 Human Resources and Education Business was theprimary source of growth

The first year results

Agricultural Park Business(Million yen)
270,000

Information and Telecommunications Business
Real Estate Business

Against initialplan

275.0 billion¥

OperatingprofitPayout ratio

15.0 billion

30%¥

17,000Medium-term Management Plan 2026

Net sales

Human Resources and Education Business
Operating profit

15,000+8.8%
Operating profit+43.0%

220,000

13,00011,000170,000
9,000
120,000
7,000

70,000

FY2021(Results)© WORLD HOLDINGS CO., LTD.

FY2022（Initial plan）

FY2022（Results）

FY2023（Plan）FY2024（Plan）FY2025（Plan）FY2026（Plan）

5,000

41

Reference: 2021-2023 Quarterly Performance▍Net Sales and Operating Profit (Million yen)

Information and Telecommunications
Real Estate
Human Resources and Education

60,000Net sales

Agricultural ParkFY2022

FY2021

Net sales:

Net sales:¥

154,704 million¥

183,640 million(+18.7% YoY)

Operating profit

4,000
3,500

50,0003,000

40,000

2,500
2,000

30,0001,500

20,0001,000

10,0000500

Net sales
Segment profit

FY2021 1Q

FY2021 2Q

FY2021 3Q

FY2021 4Q

FY2022 1Q

FY2022 2Q

FY2022 3Q

FY2022 4Q

FY2023 1Q

FY2023 2Q

FY2021 1Q

FY2021 2Q

FY2021 3Q

FY2021 4Q

FY2022 1Q

FY2022 2Q

FY2022 3Q

FY2022 4Q

FY2023 1Q

FY2023 2Q

Human
Resourcesand Education

23,19925,042

26,68430,066

29,11332,74133,861

37,16433,93435,435

Real Estate

6,783

3,697

6,587

19,908

8,735

8,815

9,337

11,155

Information andTelecommunications

7,027

7,498

2,443

2,501

2,351

2,070

2,157

2,436

1,882

1,923

1,948

2,217

Agricultural Park

605

773

863

1,124

704

1,502

1,056

1,050

Human
Resourcesand Education

813

1,585

888

982

1,009

1,119

1,280

1,317

1,490

1,091

932

874

Real Estate

740

-340

513

2,063

-57

1,644

491

1,102

Information andTelecommunications

906

357

4

89

39

-14

-37

113

-23

72

-69

85

Agricultural Park

-68

-26

-28

102

-89

273

-39

13

-117

241

Operating profit

1,682

769

1,663

3,366

1,214

3,415

1,992

2,307

1,934

1,750

© WORLD HOLDINGS CO., LTD.

042Inquiries
No information in this presentation is provided for the
purpose of soliciting purchases or sales of our stock.
Furthermore, opinions, forecasts and other information notbased on historical facts represent our judgments at thetime this presentation was prepared.
We do not guarantee the accuracy of this information andmay revise this information at any time without prior notice.
We and other providers of this information assume no
responsibility whatsoever for any losses incurred inassociation with the information in this presentation.

Norio Nishihara
Public and Investors Relations OfficeWORLD HOLDINGS CO., LTD.

© WORLD HOLDINGS CO., LTD.

TEL

+81(0)3-3433-6005

E-MAILirinfo＠world-hd.co.jp

URL

https://www.world-hd.co.jp/43