FY2024
Results Briefing Material
September 12, 2024

Premier Anti-Aging Co., Ltd.
TSE Growth Market 4934

INDEX

01 ｜Executive Summary
02 ｜FY2024 Results
03 ｜Status by Segment
04 ｜Sustainability
05 ｜FY2025 Earnings Forecast
06 ｜Appendix

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01 ｜Executive Summary

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01. Executive Summary

Executive Summary【FY2024 Results】
 Anti-aging business challenges caused sales decline, but sales advanced in-line withprojections, and we achieved our targets
 Posted operating profit exceeded previous fiscal year results and full-year projections
due to efficient management of selling expenses, optimization of variable/fixed costs to fit
business scale, and profit growth in the recovery business【Withdrawal of Medium-Term Management Plan 2024-2027 +Beyond and Next Steps】
 Withdraw FY2027 quantitative targets in view of results from the first year of medium-term
management plan New medium-term financial KPIs to be announced after comprehensive analysis andconsideration of business environment once they are ready【FY2025 Full-Year Forecast】
 Expect decline in sales and increase in profit in FY2025
 Aim to achieve a lean and robust corporate structure that can create steady profits while
continuing to make the necessary investments for growth even in a tough businessenvironment
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02 ｜FY2024 Results

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02. FY2024 Results

Statement of Income (year-on-year) Although sales grew steadily in the recovery business, sales fell below the previous fiscal year due to continued struggles in
the anti-aging business. Still, achieved company-wide targets as sales advanced in line with full-year projections
 Posted operating profit exceeding previous fiscal year results and full-year projections despite lower gross profit due todecreased anti-aging business sales. Achieved through efficient selling expense operations, especially ad spending based on
acquisitions policy focused on efficiency and subsequent conversion rates, optimization of fixed costs like HR and systemcosts to fit business scale, and profit growth in the recovery business Loss attributable to owners of parent significantly worsened due to posting of extraordinary loss for impairment of software in
progress and contract loss and the complete reversal of deferred tax assets during 2Q. However, great improvement relative toprojections due to improvement in operating profit(Millions of yen)

FY2023Results

FY2024
Projection

FY2024
Results

YoY
increase/(decrease)

YoY
percentagechangeIncrease/(decrease)cf.
projection

Percentagechange cf.
projection

Net Sales

26,40020,00020,359(6,041)(22.9%)

359

1.8%└ Mail order/EC

18,316－

13,178(5,138)(28.1%)－－└ Wholesale

5,641

－

3,780

(1,861)(33.0%)－－└ Other

2,443

－

3,401

958

39.2%

－

－

Operating profit (loss)(611)(1,000)

139

750

－

1,139

－

Operating profit margin (％)(2.3%)(5.0%)

0.7%－

3.0pts

－5.7ptsOrdinary profit (loss)(631)(1,000)

161

792

－

1,161

－

Loss attributable to ownersof parent(733)(2,500)(1,483)

(749)

－

1,016

－

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02. FY2024 Results

Factors Affecting FY2024 Operating Profit Posted operating profit better than full-year projections through efficient ad spending and other selling
expense operations; reductions in cost prices, distribution, and other variable costs; and the promotion of
cost structure reforms, such as the optimization of fixed costs (HR, systems, outsourcing) – to fit business
scale

Factors Affecting FY2024 Full-Year
Operating Profit(Millions of yen)

Increase Decrease

139

OthersFull-year
projection

Reduced cost price,
distribution costs andother variable costs

Results

Advanced cost structure reforms, by
optimizing fixed costs (HR, systems,
outsourcing) to fit business scale
Efficient management ofad spending and otherselling expenses

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02. FY2024 Results

Statement of Income (quarterly comparison) Recovery business growth contributed to higher 4Q sales, growing more than 100 million yen from 3Q
 Posted quarterly operating profit following 3Q due to increased profit in the recovery business and efficient management ofselling expenses like ad spending in the mail order/EC channel of our anti-aging business(Millions of yen)

FY20234Q

FY20241Q

FY20242Q

FY20243Q

FY20244Q

QoQ
percentagechangeNet sales

5,790

5,264

5,385

4,789

4,920

2.7%

└ Mail order/EC

3,876

3,543

3,508

3,128

2,997

(4.2%)└ Wholesale

952

1,044

949

921

864

(6.2%)└ Others

961

677

927

738

1,057

43.1%

Gross profit

3,557

4,194

4,294

3,867

3,744

(3.2%)

SG&A Expenses

4,212

4,230

4,464

3,658

3,608

(1.4%)└ Advertising expenses

1,313

1,632

1,994

1,464

1,266

(13.5%)└ Outsourcing

1,169

1,032

947

853

873

2.4%

└ Payroll and allowances

393

428

364

390

378

(3.0%)

└ R&D

212

110

103

151

131

(13.6%)└ Others

1,078

1,026

1,055

798

956

19.8%

Operating profit (loss)

(654)

(35)

(169)

208

135

(35.0%)(11.3%)(0.7%)(3.2%)

4.4%

2.8%(1.6pts)

Ordinary profit (loss)

(674)

(26)

(172)

243

117

(51.8%)

Quarterly profit (loss) attributableto owners of parent

(580)

(35)

(1,649)

234

(32)

－

Operating profit margin (％)

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02. FY2024 Results

Advertising Expenses

 Ad expenses/ net sales fell from 32.6% last year to 31.2%. The 4Q figure was just 25.7% - a significant
decrease from 3Q

 Policy shift to new acquisition ad spending focused on efficiency and conversion rates lowered customer
acquisition costs/net sales from 18.9% last year to 14.0％
 Although CPO continues to rise due to intensifying competition in the advertising market, high CPO likely
leveled off. Continue to carefully consider the balance between CPO and LTV while promoting disciplined
investment in new acquisitions
CPO for mail order/EC and number of new
Breakdown of advertising expenses
customer acquisitions
clayence
CANADELDUO
OthersCPO

cf. QoQ ad expenses to net sales
FY2024 3Q）30.6％

FY2024 4Q）25.7%

 Ad expenses/net sales

32.6％

31.2％

 Customer acquisition costs/net sales 18.9％

14.0％(Millions of yen)

8,598
Others
TVCM

CAC

6,358
OthersTVCM
CAC

FY2023

FY20248

9 10 11 12 1

1Q

2Q

2

3

3Q
FY2023

4

5

6

4Q

7

8

9 10 11 12 1

1Q

2

3

2Q
3Q
FY2024

4

5

6

7

4Q

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02. FY2024 Results

Balance Sheet (comparison with end of FY2023)

 Large inventory write-downs in second half of FY2023. Continued controls on inventory figures This year, addressed system impairment, etc. and completed overall financial review. Improved asset
transparency and soundness
 Posting of net loss decreased shareholder equity, but we continue to maintain a healthy equity ratio(Millions of yen)

FY20234Q

FY2024
4Q

Increase/(decrease)

Percentagechange12,135

11,002(1,132)(9.3%)└ Current assets

9,229

8,882

(347)

(3.8%)└ Inventories*

1,909

1,586

(323)

(16.9%)└ Non-current assets

2,905

2,120

(785)

(27.0%)└ Intangible assets

1,511

999

(512)

(33.9%)

4,525

4,877

352

7.8%

└ Current liabilities

3,016

3,759

742

24.6%

└ Non-current liabilities

1,509

1,118

(390)

(25.9%)

Total net assets

7,609

6,124

(1,484)(19.5%)

Total liabilities and net assets

12,135

11,002(1,132)(9.3%)

Equity ratio (%)

62.7%

55.7%

－

(7.0pts)

Total assets

Total liabilities*Inventories = finished products + raw materials and supplies
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03 ｜Status by Segment

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03. Status by Segment

Anti-aging business Despite clayence sales being in line with projections, DUO and CANADEL experienced declines due tointensified competition, causing mail order/EC and wholesale net sales figures to fall below last year’s Lower gross profit from lower net sales prompted more efficient management of ad spending and otherselling expenses and optimization of fixed costs related to HR and system costs, but still posted an
operating loss
(Millions of yen)

FY2023

FY2024

Increase/(decrease)

25,501

18,338(7,162)(28.1%)└ Mail order/EC

18,316

13,178(5,138)(28.1%)└ Wholesale

5,641

3,780

(1,861)(33.0%)└ Others

1,543

1,380

(163)

(10.6%)

Operating profit (loss)

(719)

(139)

580

－

Operating profit margin (%)(2.8%)(0.8%)－(2.0pts)

Net sales

PercentagechangeCopyright©2024 Premier Anti-Aging Co.,Ltd.

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03. Status by Segment

Anti-aging business (DUO)

 Demand for oil formulations continues to be strong in the overall cleansing market, and the shift away from balm
formulations continues. Outflow to low-price balms also continues
 Meticulous implementation of new acquisition policy emphasizing efficiency and conversion rates, continue toappeal on product value

Topics In mail order/EC, persistent focus on measures to improve retention rate andloyal customer retention
 Continue to promote value through beauty experts and influencers
 In retail, implement measures to improveawareness by linking digital media andshopfront promotions. In addition, strengthenrounder activities to expand the sales floor
space of each retailer

Quarterly net sales of DUO(Millions of yen)

Mail order/EC

Wholesale

Others

6,000

5,000

4,000

 Overseas, sales of “DUO The CleansingBalm” began in China’s general market fromearly July at the top 1,000 WATSONS storesin terms of sales in Mainland China.
Implementing measures focused on creating
customer experience opportunities in-store

3,000

2,000

1,000

0
1Q

Color Field Umeda Store

2Q

3Q

FY2023

4Q

1Q

2Q

3Q

4Q

FY2024
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03. Status by Segment

Anti-aging business (CANADEL)
 Controlling new acquisitions through meticulous implementation of policy in the mail order/EC channelemphasizing acquisition efficiency and subsequent conversion rates
 Persistent tight competition in the all-in-one market in the retail channel, net sales lower than last year

TopicsQuarterly net sales of CANADEL(Millions of yen)

 Thorough implementation of new acquisition policy emphasizing acquisition

1,800

efficiency and subsequent conversion rates in the mail order/EC channel, as

1,600

with DUO

1,400

 Continue to promote value to customers through posts and videos by famous
beauty experts and influencers

Mail order/EC

Wholesale

3Q

1Q

Others

1,200
1,000
800

 In retail, in addition to linking with the above beauty expert/ influencer measures,600

we have implemented point-based initiatives to bolster the appeal of our

400

products in shopfronts

200
0
1Q

2Q

FY2023

4Q

2Q

3Q

4Q

FY2024

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03. Status by Segment

Anti-aging business (clayence) clayence sales in line with projections despite stiffer competition in the color treatment market

Topics Sales in line with projections despite growing competition in color
treatments and persistently high advertising costs
 Focus on acquisition efficiency suppressing new acquisitions; efforts toimprove conversion rates through strengthened CRM measures
 Engaging beauty experts and influencers for ongoing communications topromote better understanding and correct usage of our products. At thesame time, we continue to communicate using enclosed items
 A new color treatment color “Rose” will be released on October 11th forthe fall/winter season, expanding the brand lineup
Clay Spa Color Treatment new color "Rose Brown"

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03. Status by Segment

Anti-aging business (brands under cultivation)
 Ongoing test marketing in growth categories, such as skin care for men, inner care, high-concentration
vitamin C skin care, and skin care whose core ingredient is our proprietary stem cell extract

Topics Expanded new acquisitions for SINTO VC through strengthened
influencer measures
 Engaged power influencers to expand awareness of the products
among the beauty conscious
 Focus on improving conversion rate with strengthened CRM measures

 Bolstered shopfront presence of C+mania enzyme face
wash "C+mania Medicinal Power Clear C+“ in conjunction
with influencer measures Strengthening rounder activities to expand sales floor
space and conducting test marketing of products designed
for inbound tourists

SINTO Liposomal Vitamin C

C+mania Medicated Power Clear C+[Quasi-drug product]
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03. Status by Segment

Recovery business Accelerated brand awareness with digital marketing measures from 3Q onward and posted record sales andrecord profits in 4Q standalone and across the full year
 Sales driven by flagship product Standard Dry+ and new Recovery Move products developed under the newconcept of recuperation while on the move. Added benefit of major advances in business collaboration with
Premier Anti-Aging and strengthened supply chains(Millions of yen)

FY2023*

FY2024

Net sales

899

2,020

Operating profit

106

278

11.9%

13.8%

Operating profit margin (%)* FY2023 sales and operating profit are cumulative figures from the third quarter, as the recovery business began in thethird quarter of the previous fiscal year.

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03. Status by Segment

Recovery business (Venex)
 Focusing on digital marketing measures and conducting business activities linked to brand strengthening,
sales promotions, product development and SCM
 New products that define new recuperation scene, such as Recovery Move, and new products for spring andsummer, such as Comfort Cool, are making great progress【Soccer】 Matsumoto Yamaga FC

Topics In line with digital marketing initiatives, we have expanded our creative product lineup to
match the various purchasing needs and recuperation scenes of our customers. New
product groups launched in addition to year-round flagship products make great progress Continue to sign new contracts with top sports teams. Conduct recuperation seminars
when providing products to promote understanding of the need for recuperation to improve
performance. In addition, together with professionals, teams, and organizations in various
fields, we carried out activities to directly communicate the user benefits of Venex products
to consumers【Rugby】 Meiji University Rugby Club

 Ran POPUP at event attracting next-generation beauty experts active on SNS. Exposureand sales in new channel, such as entering retail EC
 Ongoing product development based on industry-leading evidence and recuperation
expertise, and promotion of an environment making recovery results more tangible forusers and for better understanding of recovery mechanisms and merits
明治大学ラグビー部

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04 ｜Sustainability

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04. Sustainability

Sustainability Initiatives
 Initiatives for resolving social issues based on materialities identified in our sustainability policy
Providing unique value

Procurement Policy Formulation andDisclosure To promote sustainable procurement within our firm
and among suppliers, we formulated a procurement
policy in July and posted it on our website

Procurement Policy
1.

We value coexistence and mutual prosperity with
our suppliers, working together to steadily expand
our business and grow together to create unique
value

2.

We establish “procurement” that takes into
consideration compliance with laws and regulations,information management, the global environment,
human rights, and labor safety3.

We continue to strive to guarantee quality, safety,
and a stable supply of products by providing
products that are produced through appropriate
process

Providing unique value

Anti-aging relay
 Employees share theirpersonal anti-aging routines ina relay format, to encourage
each individual to embody the
essence of anti-aging

Improving well-being

Recuperation seminars
 Conduct regular seminars incooperation with consolidated
subsidiary company Venex on
effective recuperation aimed at
improving productivity

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04. Sustainability

Initiatives for Each Materiality – Progress toward Goals
Theme

Materiality
Contributing to
globalenvironment
conservation

Pursueprosperity
through antiaging

Focus Area

Target YearFY2024 Results

Eco-friendly paper usage rate

100%

Every year

100%

Initiatives/contributions fora decarbonized society

Reduce CO2 emissions

Scope 1 and２reduction rates

50％ reduction(cf. FY2023)

End FY2027

Implementing reduction
initiatives*1

Improve employee
engagement

Engagement scores

10％ improvement(cf. FY2023)

End FY2027

4.7% improvement (compared toJuly 2023)

Create a more supportive
environment toward anorganization where people
grow together and nurtureeach other

Revise training system andprograms and expand content
accordingly

Implement
initiative on left

Every year

Promote review and expansion

Promote health support
for employees

Acquire health management
certification

Continuous
selection

Every year

Certified as a Healthy BusinessEnterprise in 2024

Number of anti-aging qualifications
held by employees

75 or more newly
acquiredqualifications

End FY2027

Number of newly acquired
qualifications: 31

End FY2027

Under consideration

Develop human resources
who strive to create value
and continue to grow

Improving wellbeing

Achieve physical and mental
healthStrengthening
governanceTargetUse eco-friendly paper

Pursue the essence ofPremier Anti-Aging

Collaborate with suppliers

Corporate
foundation to
support growth

KPI

Contribute to resource
recycling and circular
economyPursuing acollaborativeand nurturingcorporate
cultureProvidingunique value

Initiative

Improve and strengthen
corporate governancesystems
Thorough compliance andrisk management

Protect information
security and privacy

Spread anti-aging ideas
among employees

Expand systems for facilitating antiaging

Implement
initiative on left

Participate in social action
facilitating anti-aging

Ongoing
implementation

Formulate procurement
policy incorporating
sustainability elements

Procurement policy formulation

Disclose
procurement policy

Enhance disclosure andimprove transparency on
corporate governanceConsider and promote the items
listed on the left－

Attendance rate forcompliance andinformation security
training sessions*2

Attendance rate

100%

Every year

Continued implementation

End FY2024

Completed disclosure－－

Every year

Compliance training: 99%*3
Information security training:100%*¹The target is being reconsidered due to the relocation of offices and the increase in stores. *²Excluding contracted and temporary employees.
*³An extension period was set up for those who have not taken the course, and 100% of participants took the course.
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05 ｜ FY2025 Earnings Forecast

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05. FY2025 Earnings Forecast

Medium-Term Management Plan “2024-2027 +Beyond”

 Based on the first-year results, achieving the Medium-Term Management Plan quantitative targets set for the end of
FY2027 will be difficult, thus we withdrew the financial KPIs
 Continue to aim to achieve our mid- to long-term management policies other than numerical targets, such as“Progress to an anti-aging company”
 Revised medium-term management plan to be announced once they are ready, but for the time being, earnings
forecast will be announced for each fiscal year as information disclosure on management policy and financial status

Review of the first year of the medium-term plan (FY2024)
Progressing steadily
Achieving
Profitability
GrowthInvestment

In the first year, which was positioned as a
restructuring phase, we worked to eliminate financial
concerns, and by promoting business structuretransformation and financial discipline in both mailorder sales and retail, we achieved an operating profit
Venex Co., Ltd., a recovery wear company, hasachieved steady growth, achieving record highs insales and profits

Issues in progressMain
business
slowdown

Before the effects of our efforts to strengthen ourbrand value and review the balance of investments
between new and existing customers became
apparent, mail order sales fell far short of our initialplan, mainly due to changes in the businessenvironment and intensifying competition

Overseasbusiness

The impact of treated water issue and theslowdown in the Chinese market forced us to makemajor revisions to our plans

Medium-term management plan structure
Timeline

FY2024Not
achieved

Financial
KPIs

Mid-term
strategic
management policy

Sales
Achieved
Operatingprofitmargin…

Plan

Actual

Y26bilY20.3bil

0.4%

0.7%

FY2027
Withdrew
Sales

Y400bilOPM

over10%Equity Ratio

over 50%

ROE

12-15% level

Continue to aim toachieve these policies- Mid-term management policy: “Commit to unique value"- Mid- to long-term goal: “Progress to an anti-aging company"- Grow DUO and other major brands through a channel mix, and develop
and build new growth areas related to anti-aging (recovery business,etc.)
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05. FY2025 Earnings Forecast

FY2025 Earnings Forecast
 Expect a decrease in sales and an increase in profits for the fiscal year ending July 2025
(Millions of yen)

FY2024
ActualFY2025
Forecast

Increase/(decrease)

Percentagechange20,35917,500(2,859)(14.0%)

Operating profit

139

150

10

7.9%

Operating profit margin (%)

0.7%

0.9%

－

0.2ptsOrdinary profit

161

130

(31)

(19.4%)

Profit (loss) attributable to ownersof parent(1,483)

130

1,613

－

Net sales

10,6498,500(2,149)(20.2%)

Operating profit (loss)

(205)

(150)

55

－

Operating profit margin (%)(1.9%)(1.8%)－

0.1ptsOrdinary profit (loss)

(199)

(160)

39

－

(1,685)

(160)

1,525

－

Net sales

Full Year
Half Year

Profit (loss) attributable to ownersof parent

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05. FY2025 Earnings Forecast

FY2025 Earnings Forecast (Initiatives in each business)
 Aim to optimize brands, products, and channels through collaboration between brand management and eachchannel Even with declining sales amid a tough business environment, we aim to achieve a lean and robust
corporate structure that can create steady profits
Anti-Aging Business
Brand
Management

 Redefine the brand and introduce new products and brands
 Implement new communications and promotions to emphasize brand value×

Continuation of thorough acquisition
efficiency
Further expansion of CRM measures tostrengthen customer structure

RetailImplementing tie-up measures with new
Newpromotions
Expansion of new sales channels
channelDeepening collaboration with retailers
to secure growth potential

ChannelStrategies＋
Appropriate Cost
Management
Recovery BusinessStrengthening cross-border ecommerce and general trade in
mainland China
Developing the Asia-Pacific market

Mail
order

Over
seas

 Continue to control variable costs and optimize fixed costs (HR, outsourcing, systems) tofit business scale Expanding business in growing markets
 Strengthening cooperation as a group Strengthening branding, digital marketing, CRM, new product development, etc.
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06 ｜Appendix

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06. Appendix

Company Profile
Name

Premier Anti-Aging Co., Ltd.

Established

December 2009

Head office

Toranomon Hills Station Tower 34F, 2-6-1 Toranomon, Minato-ku, Tokyo

Board
members

Kiyoshi Matsuura, President
Yoichiro Ito, Director and Managing Executive Officer, CFO
Takuyuki Fukumoto, Independent Outside Director
Sakiko Sakai, Independent Outside Director
Motoyasu Ishihara, Independent Audit and Supervisory Board Member
Akira Ide, Independent Audit and Supervisory Board Member
Yosuke Kondo, Independent Audit and Supervisory Board Member
Keigo Uemura, Executive Officer
Yuka Uehara, Executive Officer
Masahiro Noda, Executive Officer
Mitoshi Habara, Executive Officer

Consolidated
number of
employees

229 (as of July 31, 2024)

Line ofbusiness

Planning, development, import/export, mail-order/EC, wholesale
and retail business of cosmetics, health food products and recovery wearGroupcompanies

Premier Anti-Aging (Shanghai) Co., Ltd.
Venex Co., Ltd.

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06. Appendix

Corporate Identity
 In 2023, we redefined our slogan, purpose and promise

SloganPurpose

Corporate Logo

PromiseCopyright©2024 Premier Anti-Aging Co.,Ltd.

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06. Appendix

Corporate History
2009
2010
2012
2019
2020

2021
2022
2023

2024

●

- December:

Established Premier Anti-Aging Co., Ltd. in Toranomon, Minato-ku, Tokyo●- February:

Started sales of cosmetic products with the launch of the DUO brand and began selling The Cleansing Balm through mail-order/EC
service●- July:Relocated the head office to Roppongi Hills Keyakizaka Terrace●- April:

Launched the CANADEL brand, an aging care brand for adults- October：

Cumulative sales of the DUO “The Cleansing Balm” series exceeded 10 million units- March：Relocated the head office to Toranomon Hills Mori Tower●- September ：Launched “sitrana,” a new brand for sensitive skin

- October：

Listed on the Tokyo Stock Exchange Mothers market- December：

Established Premier Wellness Science Co., Ltd.

●- February：

Established Premier Anti-Aging (Shanghai) Co., Ltd.

●

- March：Launched the “clayence” hair care brand- April：

Launched “DUO MEN,” a men’s skin care brand- January：

Launched the “SINTO” inner care brand- January：

Venex Co., Ltd. became a consolidated subsidiary- February：

Launched the “X” inner care brand- August：

Launched vitamin skin care brand “C+mania” brand- November：

Merger with Premier Wellness Science Co., Ltd.

- November：

Relocated the head office to Toranomon Hills Station Tower- February:

Cumulative sales of the DUO “The Cleansing Balm” series exceeded 50 million units●●

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06. Appendix

Key Brands and Sales Composition Ratio Skin care brands “DUO” and “CANADEL” and hair care brand “clayence” drove sales

Skin careMain brand since ourfounding. Has driven sales
for our company as apioneer in the cleansing
Salesbalm market.
composition
Launched February 2010.
ratio*2
Offering 19 SKUs*1

61％

Hair careBeing nurtured as thesecond key brand after
DUO.
Addresses needs ofcontemporary womenby saving time.
Launched April 2019.
Offering 8 SKUs*1



Sales
composition
ratio*2

18％






Applying brand nurturing know-how
gained through DUO and CANADEL.
Home hair care brand thatSales
focuses on young
composition
generation with graying
ratio*2
hair.
Launched March 2022.
％
Offering 11 SKUs*1

9*1: SKU refers to the number of regular products as of July 31, 2024, excluding limited editions and different sizes *2: Calculated based on FY2024 net sales.
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06. Appendix

Net sales by channel

 Our mainstay mail order/EC sales, which we have been engaged in since our founding, account for approximately
65% of sales in FY2024
 Wholesale sales, which are responsible for sales to retail stores such as variety shops, account for approximately
19% of sales in FY2024.

(Millions of yen)

Mail order/EC

12,000Wholesale
Others (including subsidiaries)
10,000

8,000

35%
25%
27%

6,000

18%

33%

16%
28%
26%

32%

17%

21%
18%

4,000

17%

16%

22%
71%

21%

2,000

13%

13%

85%

85%

1Q

2Q

25%

23%

82%

76%

4Q

1Q

81%

75%

76%

67%

70%

62%

78%

18%
19%

18%

65%

61%

3Q

4Q

78%
68%

64%

20%

68%

77%
65%

67%

67%

65%

1Q

2Q

76%

0
3Q

FY20192Q

3Q

FY2020

4Q

1Q

2Q

3Q

FY2021

4Q

1Q

2Q

3Q

FY2022

4Q

1Q

2Q

3Q

FY20234Q

FY2024
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06. Appendix

Total Number of Mail-order/EC Customers
 The number of members supporting the subscription sales model has steadily increased, with the total
number of members exceeding 3.9 million(People)4,500,000
4,000,000
3,500,000
3,000,000
2,500,000
2,000,000
1,500,000
1,000,000
500,000
0
1Q

2Q

3Q

FY2020

4Q

1Q

2Q

3Q

FY2021

4Q

1Q

2Q

3Q

FY2022

4Q

1Q

2Q

3Q

FY2023

4Q

1Q

2Q

3Q

4Q

FY2024
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06. Appendix

Number of cross-selling customers
 Cross-selling rate remained steady due to aggressive CX promotion

Number of customers who subscribe to two or more products and the relevant ratio
Number of customers who subscribe to two or more products
Ratio of customers who subscribe to two or more products
13.4%
9.7%

100,000
people

1Q

2Q

3Q

FY2020

4Q

1Q

2Q

3Q

FY2021

4Q

1Q

2Q

3Q

FY2022

4Q

1Q

2Q

3Q

FY2023

4Q

1Q

2Q

3Q

4Q

FY2024

Note: The number of customers who subscribe to two or more products refers to customers who are purchasing two or more product categories (e.g., balms and serums) on a regular basis.
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06. Appendix

Major Brands: DUO
 The core brand since inauguration, DUO continues to drive sales as the pioneer in the cleansing balm
market
DUO is an aging care brand with the concept of “nourishing the skinfrom its foundation,” created under the policy of developing highly
effective products by combining natural ingredients that are kind to
the skin, body and nature with advanced science based ondermatology.
We currently have 19 SKUs* centering on cleansing balm.

Major cosmetics awards granted by 2024

MAQUIAMay Issue

MAQUIA Brightening/UVGrand Prix 2024
Sensitive Skin Category
1st Place

LEE August/September
Combined Issue

LEE Best Cosmetics Awards 2024 First Half
Promising Happiness for Your Skin and Mind
Well-Aging Skin Care Category
Brightening Care
Grand Prize+10 more awards*The SKU figure refers to the number of regular products as of July 31, 2024, excluding limited items and different sizes.
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06. Appendix

Major Brands: CANADEL Being fostered as the second brand following DUO, CANADEL focuses on the busy modern women’s
needs for spending less time on skin care
Based on the concept of “continuously pursuing beauty, being true
to oneself, and enjoying life,” CANADEL is a highly advanced aging
care brand launched in April 2019 to address the changing skincare needs of mature consumers. Four types of all-in-one creams
and eye cream are currently available, taking in mind the lifestyles
of modern women proactively living busy daily lives.
We currently have 8 SKUs* centering on all-in-one cosmetics.

Major cosmetics awards granted by 2024

Biteki August issue

InRed July issue

Best cosmetics selected by beauty “Dorabara” cosmetics awards for the
first half of 2024
experts in the first half of 2024
all-in-one
category 1st place
Petit Plus SkincareHaircare category
Petit Plus Cleansing edition+11 more awards
1st place*The SKU figure refers to the number of regular products as of July 31, 2024, excluding limited items and different sizes.
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06. Appendix

Major Brands: sitrana
 A cosmetics brand for sensitive skin with cica substance* in all products

Featuring a unique anti-pollution capability, the sitrana
products protect the skin from dryness that causes skinirritation and such external stimuli as air pollution anddirt/grime. The cica substances* under our original blending
help fix the damaged skin and facilitate users to attain theirideal skin.
*Cica substances refers to the substance extracted from a plant called Centella asiatica.

Major cosmetics awards granted by 2024

MAQUIA September Issue
Everyone's Best Cosmetics
Maquia Influencers
BEST COSMETICSBAILA August issue

Best Cosmetics Grand Prize
for Working 30s
in the first half of 2022
Skin Care Category Award+4 more awards
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06. Appendix

Major Brands: clayence A home hair care brand that focuses on young generation with graying hair, clayence was developed byapplying the brand nurturing know-how gained through DUO and CANADEL
A hair care brand inspired by a clay spa, clayence wascreated by combining the power of clay and cutting-edge
science to provide hair and scalp treatment while coloringgray hair. With calming aroma on top of carefully selectedclay and beauty substances, the product transforms tedioushair care into luxurious time at the spa.
We currently have 11 SKUs*.

Major cosmetics awards granted by 2024

MAQUIA January issue
VOCE March issue
Best cosmetics
Bath beauty is the bestin the second half of 2023
in time performance!
Shampoo & Conditioner Category
VOCE Bath Best cosmetics
First place
Shampoo & Treatment Category
First place+21 more award*The SKU figure refers to the number of regular products as of July 31, 2024, excluding limited items and different sizes.
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06. Appendix

Major Brands: DUO MEN With DUO men, we newly entered the fast-growing men’s cosmetics market by taking advantage of the highawareness of DUO brandWhile staying true to DUO’s brand concept of “Beauty is reborn
from skin care,” we took a close look at skin problems anddamage specific for men from the viewpoint of ecological andbiological science. DUO MEN offers secure and effective skincare requiring only a few easy steps, allowing all men living
busy lives to continue skin care in an enjoyable way.
We currently have 5 SKUs*.

Major cosmetics awards granted by 2024

MEN’S NON-NO
December issue

MEN’S NON-NO
December issue

Men's Non-No Beauty Award 2023 Men’s Non-No Beauty Award 2023
All-in-one Category
Face Wash Category
2nd place
2nd place+5 more award*The SKU figure refers to the number of regular products as of July 31, 2024, excluding limited items and different sizes.

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06. Appendix

Major Brands: SINTO
 Developing inner care brand based on the development philosophy of “response with results”

Based on the idea that bodily sensations are the essence of supplements, we
adopted the same DDS technology as in the medical field. Thoroughly sticking
to the "experience" of the ingredients, we aim to renew the relationshipbetween the body and the ingredients from the area of "penetration". It is ahealth care supplement for adults who enjoy aging that pursues a highexperience with a high amount of compounding (high compounding) and highabsorption and high penetration type (liposomes).
We currently have 2 SKUs*.

Major cosmetics awards granted by 2024

Biteki.com
November 22nd issue

Biteki HEN 2023 Best cosmetics of the year
Biteki HEN Annual Sage Inner care ranking
First place

LEE Jan/Feb issue

LEE Best Cosmetics Award 2nd half of 2023
Beauty Sage’s Beloved Cosmetics Award
Inner care category+15 more awards*The SKU figure refers to the number of regular products as of July 31, 2024, excluding limited items and different sizes.

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06. Appendix

Major Brands: C+mania
 A high-concentration vitamin skin care brand for “consumers with high beauty information literacy” whopursue reliable effects
An “aggressive” vitamin skin care brand that focuses on highpurity, high penetration, and high concentration, with carefully
selected vitamin C from over 70 types and add α that enhances C.
Based on the concept of "enjoying vitamin C for maniacs", we aim
to propose skin care products with high immediate effect in orderto maximize the power of vitamin C.
We currently have 3 SKUs*.

Major cosmetics awards granted by 2024

an・an No. 2365

LEE January/February issue2023 Autumn Anan Mote
Close to your skin and feelings
Cosmetics AwardLEE Best Cosmetics Award 2023 Second HalfSkin care category
Cleansing/Facial Wash Award
The power of VC that everyone loves+13 more award
An award you can feel*The SKU figure refers to the number of regular products as of July 31, 2024, excluding limited items and different sizes.

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06. Appendix

Major Brands : Reinca
 A skin care brand that uses a unique stem cell extract as a core ingredient created through joint researchwith the University of Tokyo

Based on the brand concept of “Facing the sourceof skin and sensibility with the power of SKIN &SENSE science,” we advocate skin cell care bornfrom advanced skin research and care for the fivesenses that pursues the comfort of physicalsensations.
We have developed a brand based on our original
dental pulp stem cell culture supernatant "ENGY
Stem S", which was successfully commercialized
through joint research with the University of Tokyo.
We currently have 5 SKUs*.

*The SKU figure refers to the number of regular products as of July 31, 2024, excluding limited items and different sizes.

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06. Appendix

Major Brands: VENEX As a pioneer in the recovery field, Venex has developed products using fabrics made with its uniquepatented technology

Based on the concept of "maximizing the self-healing
power that humans have," we propose clothing forrecovery. With our proprietary special fiber "PHT
(Platinum Harmonized Technology)" and a noncompression design that does not constrict the body, it
supports high-quality recovery just by wearing it.
We currently have 87 SKUs*.

*The SKU figure refers to the number of regular products as of July 31, 2024, excluding limited items and different sizes.

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06. Appendix

Market Size of the Domestic Cosmetics Market
 The domestic cleansing market, which includes balms, totaled 139.0 billion yen in 2023
Supplements

Cosmetics
MakeupH/B foods market(functional foods)
1,065.1 billion yen*²

Skin care
Face wash

Cleansing

PowderFoam

Makeup

Solid soap

*¹

Balm
Toner
Moisturizer

Cosmetics market
3,081.6 billion yen*¹(of which the
men’s market is162.7 billion yen*¹)
Skin care market
1,351.9 billion yen*¹

Cleansing market
139.0 billion yen*¹

Hair care
Shampoo
Conditioner
Scalp care
Hair care/hair makeup
market 676.2
billion yen*¹

Color treatment

Face wash market
127.8 billion yen*¹

All-in-one
Moisturizing
Whitening
UV whitenoning
Emulsion

BoosterWhitening
Moisturizing

All-in-one market
133.7 billion yen*¹

Essence

Note: Gray circles indicate the markets, and red boxes represents our products.
Source: "Cosmetics Marketing Handbook 2024 No. 1", "Cosmetics Marketing Handbook 2024 Overview", "H/B Foods Marketing Handbook 2023 <Overview>" by Fuji Keizai.
Copyright©2024 Premier Anti-Aging Co.,Ltd.
*¹ The figures for cosmetics market, men's market, skin care market, cleansing market, face wash market, all-in-one market and hair care/makeup market
are actual figures for 2023. *² *H/B foods markets figures are estimates for 2022.

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06. Appendix

Domestic Market Size for Cosmetics and Skin Care The domestic cosmetics market, which declined significantly due to the COVID-19 pandemic, has been recoveringmoderately since 2020
Trends in the domestic market sizefor cosmetics and skin care(100 million yen)

COVID-19
Outbreak

35,000Skin care

スキンケア以外化粧品

30,00025,000Cosmetics market excluding skin care
CAGR 1.82%(2016-2024)

20,00015,00010,000Skin care market
CAGR 1.01%(2016-2024)

5,000

0
2016

2017

2018

2019

2020

2021

2022

2023

2024

2025

2026

(Estimate)(Forecast)(Forecast)

Source: “Cosmetics Marketing Handbook 2024 Overview” by Fuji Keizai
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06. Appendix

Domestic Market Size for Cleansing Domestic cleansing market plummeted due to disappearance of inbound demand caused by COVID-19 in 2020 The position of cleansing has changed from makeup remover to skin care product, and the market has been
gradually expanding since 2021
Trends in the domestic market size for cleansing

COVID-19
Outbreak

100 million yen 1,600

1,400
1,200
1,000
800

120.7 billion yen →147.5 billion yen
22％UP（2014-2019）

600

128.2 billion yen →139.0 billion yen
8%UP（2020-2023）

400
200
0
2014

2015

2016

2017

2018

2019

2020

2021

2022

2023

2024

2025

2026

(Estimate)(Forecast)(Forecast)

Source: “Cosmetics Marketing Handbook 2024 No. 1” by Fuji Keizai
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06. Appendix

Domestic Market Size for All-in-one Cosmetics
 A product that promotes the ability to complete skin care after washing face with just one item
 Market size remains stable
Trends in the domestic market size for all-in-one cosmetics(100 million yen)

1,400

1,380

1,360

1,340

135.0 billion yen →134.9 billion yen（2021-2024）

1,320

1,300

1,280

1,260
2021

2022

Source: “Cosmetics Marketing Handbook 2024 No. 1” by Fuji Keizai

2023

2024
(Estimate)
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06. Appendix

Domestic Market Size for Hair Color and Female Scalp Care The hair color market remains strong from 2022 onwards, with the entry of highly convenient color
treatments for gray hair The female scalp care market has expanded rapidly since the COVID-19 outbreak due to increased time athome and heightened awareness of scalp care
Trends in the domestic market size for hair color

Trend in the domestic market size for female scalp care(100 million yen)
700

1,800
1,600

600

1,400
500
1,200
1,000

400

800

300

600
200

159.3 billion yen →167.3billion yen
5％UP（2021-2024）

400
200

57.2 billion yen → 54.2 billion yen
5％DOWN（2021-2024）

100
0

0
2015

2016

2017

2018

2019

2020

2021

2022

2023

2024

2025

2026

(Estimate)(Forecast)(Forecast)

2015

2016

2017

2018

2019

2020

2021

2022

2023

2024

2025

2026

(Estimate)(Forecast)(Forecast)
Source: “Cosmetics Marketing Handbook 2024 No. 2” by Fuji Keizai

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06. Appendix

Domestic Market Size for Recovery Wear

 The recovery market is expected to grow approximately 3.6 times from 2019, and the rest solution (clothing) is
expected to grow approximately 6.5 times

Domestic market size for recovery wear

Total recovery market

3.9 ⇒ 14.1trillion yen（2019）（2030）

Recovery market (clothing)
86.7 ⇒ 564.2 billion yen＊Rest Week Promotion Secretariat: "In collaboration with the Kanagawa Prefecture Meibyou
Industry Research Group, we estimate the market size of the three elements of health,``recovery,'' for the first time in Japan.
The recovery market in 2030 will be worth 14.1 trillion yen."

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06. Appendix

Brand Share for Cleansing (Balm type) and All-in-one Cosmetics
 Established a competitive position with cleansing (balm type) by DUO and all-in-one by CANADEL
Cleansing (Balm type)
Premier AntiAging

All-in-one
55.5%

11.3%

A

16.5%

A
B

5.4%

B

4.1%

C

5.3%

C

3.9%

D

5.0%

D

2.7%

E

E

2.5%

Premier AntiAging

3.8%

F

2.1%

F

3.5%

G

1.8%

H

2.8%

H

1.4%

G

2.6%

I

1.3%

I

Source: “Cosmetics Marketing Handbook 2024 No. 1” Cleansing <Balm: Brand Share> 2023 by Fuji Keizai

4.3%

2.1%

Source: “Cosmetics Marketing Handbook 2024 No. 1” Moisture <All-in-one: Brand Share> 2023 by Fuji Keizai

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06. Appendix

Basic Sustainability Policy In April 2023, we established the "Basic Sustainability Policy," which describes our group's basic approach tosustainability～Enabling unique pathways through life～
Forever vivid. Untether time.
As humanity approaches the era of 100-year live spans,
we aim to create a world where every individual canpursue new challenges with confidence and curiosity,
free from preconceived notions of age and gender.
Working together with our stakeholders, we will thinkoutside the square to provide unique value that canchange the world, addressing social issues for a brighter,sustainable future.
Copyright©2024 Premier Anti-Aging Co.,Ltd.

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Disclaimers and Notes on Forecasts and Projections

 The document and information provided in our results briefing include forward-looking statements,
which are based on our current expectations, forecasts and assumptions involving risks. As such, there
are uncertainties that may cause actual results to practically differ from what are described in suchstatements.
 These risks and uncertainties include general industry and market conditions as well as generaldomestic and international economic conditions such as interest rate and currency exchange rate
fluctuations.
 The Company considers cosmetics market trends to be a major risk that may materially impact its
growth and execution of business plans. However, the Company endeavors to mitigate such risks andmaintain the competitive edge of its products by actively conducting promotions and understanding
customers’ potential needs to reflect on product planning. For other types of risks, please refer to the“Business Risks, etc.” as highlighted in our Securities Report.

Contact: Corporate Communication Division
E-mail ：ir@p-antiaging.co.jp

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