Financial Results for the Three Months Ended
May 31, 2021

AEON DELIGHT CO., LTD.
July 7, 2021

Contents

1

Financial Report for 1Q of FY2/22

2

Medium-term Management Plan (FY2/22-FY2/24)
Progress against KPI©2021 AEON Delight All Rights Reserved2Consolidated Statement of Income
Net sales, operating income and ordinary income increased owing to the reactionary rise from thedecline in the same period of last year due to the State of Emergency.
Net sales increased compared with the 1Q of FY02/19. (before the pandemic)(100 million yen)

Net sales

DifferencePercentagechangeComparison
with 1Q of
FY2/19796 （100.0%）

61

108.4%

100.8%

FY2/21 1Q(Ratio to sales)

FY2/22 1Q(Ratio to sales)

735 （100.0%）

Gross profit

89 （12.2%）

97（12.3%）

8109.0%

101.4%

SG&A expenses

55（7.5%）60（7.6%）

5

109.6%

103.5%

Operating income

34（4.7%）37（4.7%）2

107.9%

98.1%

Ordinary income

34（4.7%）37（4.7%）2

108.4%

98.1%

Net income attributableto owners of parent

29（4.1%）25（3.1%）▲483.8%121.1%©2021 AEON Delight All Rights Reserved3Impact of the spread of COVID-19

Impact of COVID-19 on operating income for the firstquarter was within the initial projection

Due to the impact of shortened operating hours of facilities andself-restraint from going outside amid the continued spread of infections,
we estimate the -500 million yen impact on full-year operating income

The impact of COVID-19 on operating income for 1Q was
About -170 million yen©2021 AEON Delight All Rights Reserved

4Sales by Segment
Sales increased in six businesses, excluding construction workwhere some construction were delayed
Percentage
FY2/21 1Q
FY2/22 1Q
changeComparison
with 1Q of
FY2/19

Facilities management

145

155

106.9%

103.9%

Security services

108

116

107.3%

104.4%

Cleaning services

150

165

110.4%

107.6%

Construction work

115

112

97.2%

93.3%

Materials/supplies
sourcing services

129

141

109.0%

108.8%

Vending machineservices4765138.2%

84.8%

39

41

103.8%

84.4%

735

796

108.4%

100.8%

Support services
Total(100 million yen)©2021 AEON Delight All Rights Reserved 5

Profit by Segment
Profits increased in six businesses. Our COVID-19 response contributed to the performanceof the cleaning services.
Comparison
Percentage
with 1Q of(100 million yen)
FY2/21 1Q
FY2/22 1Q
FY2/19change12.5

12.7

101.5%

89.0%

Security services

7.6

7.9

104.3%

109.1%

Cleaning services

16.4

19.7

119.9%

114.5%

Construction work

11.3

10.6

93.7%

97.6%

Materials/supplies
sourcing services

6.1

6.5

107.2%

92.2%

Vending machineservices

▲0.1

1.1

-

45.2%

0.0

1.1

1480.1%

-54.1

60.0

110.9%

103.1%

Facilities management

Support services
Total※Operating loss of the support services in 1Q FY02/19 was 120 million yen.
©2021 AEON Delight All Rights Reserved 6

Consolidated Balance Sheet(100 million yen)

AssetsFY2/21

FY2/22
1Q

Current assets

1,1001,098▲1Tangible fixedassets

9493▲1Intangible
fixed assets

55

54

Difference▲0

FY2/21

FY2/22
1Q

Current
liabilities

441430▲10Fixed
liabilities

4138▲3482469▲13866868

1Liabilities andnet assets

Total
liabilities

Difference

Investments,
etc.

115

111

▲4Shareholder’sequity

Fixed assets

265258▲6Total net assets

882888

5Total assets

1,365

1,357

▲7Total liabilities
and net assets

1,365

1,357

▲7©2021 AEON Delight All Rights Reserved

7Major Initiatives in FY2/22 1Q ① Response to COVID-19 Infections
Aiming to create a society in which epidemic prevention is a part of daily habit, wewill continue to take various epidemic prevention measures, such as preventing
contact and droplet infections.

Installed carbon dioxide meter at more than
400 Aeon stores to date to improve ventilation
systemJointly develop a network-type carbon dioxide
monitoring system with a manufacturer tofurther promote ventilationIntroduced to a total of 42 Aeon stores andstadiums©2021 AEON Delight All Rights Reserved8

Major Initiatives in FY2/22 1Q ② Market-oriented Service<Customer-oriented Management>

Provide market-oriented services to solve customers' problems
under the supervision of Marketing DX● Targeting- Analyze existing customers outside the Aeon Group- Select target companies to expand market share within
existing customers and cultivate new customers● Strengthen account sales- Establish account manager position to promote understanding ofcustomers and industries- Increase market share for current key customers by improving customer satisfaction.

©2021 AEON Delight All Rights Reserved

9Major Initiatives in FY2/22 1Q ③ Development of Area Management<Promotion of DX>

Customer Support Center (CSC) started operation nationwide from March
Accelerate development of new facility management model "Area Management"

Achieved labor saving and unmanned
operation at a total of 95 facilities throughremote support by CSC and labor-saving
on-site operations utilizing various
systems and sensors
Approximately 70 specialists were reassigned
to new consignment properties and sales
centers in conjunction with the reduction ofon-site staffs

Branch CSC, which began operations in March・Collecting customer information and voices
・Remote control/centralized monitoring of movement ofpeople within the facility

Accelerate the development of area management,
which involves managing multiple facilities in areas,
mainly patrols, switching from on-site type facility
management©2021 AEON Delight All Rights Reserved10

Major Initiatives in FY2/22 1Q ④-1 Business Expansion in Asia
<Group Management>

Accelerate business expansion through group management
focusing on business development throughout China
Regional
headquarter

Wuhan
XiaozhuAD China
Core operatingcompanies

AD Jiangsu

With the establishment of AD China(April 2021)● Strengthen group governance● Maximize synergies among operatingcompanies● Establish the Aeon Delight brand in
China through integrated managementof service quality

Eastern China

Accelerate business expansion in Eastern
China and Central China
With a view to expanding business inNorthern and Southern China
Central China■Chang Jiang Delta©2021 AEON Delight All Rights Reserved11

Major Initiatives in FY2/22 1Q ④-2 Business Expansion in Asia
Steady business expansion in China. In the continuing harsh business environment in ASEAN countries
due to the measures against COVID-19, we continued to provide services to support facilities which is oneof infrastructure for local communities

Net sales were 117.0% YoY and operating income was 116.4% YoY* in overseas
Overseas Business: Net Sales / Operating Income (100 million yen)
(Operating income)(Net sales)

60

ChinaMalaysia

VietnamIndonesia

Operating income

64.2

456
48
40
3.6
20

200
FY2/21 1Q* Figures are simple totals of results of operating companies.

FY2/22 1Q©2021 AEON Delight All Rights Reserved12Contents1

Financial Report for 1Q of FY2/22

2

Medium-term Management Plan (FY2/22-FY2/24)
Progress against KPI©2021 AEON Delight All Rights Reserved

13Mid-term Management Plan Progress against KPI (Key Performance Indicator)

Steadily promote key measures by monitoring KPIs
Basic Policy

KPI (at the end of FY2/24)

Progress rate

At the end of FY2/21

Customeroriented
management

Ratio of sales inside/outside the AEON Group 60%:40%

64.6%：35.4%

64.3%：35.7%

Operating income
margin: 4.7%
ROE: ー※Operating income
margin: 5.1%
ROE: 14.1%95 facilities

ー

About 70 staffs

ーAllocation of 20% of staffs in the headquarters to front
office by consolidating head office functionsー※ー

Net sales of 65.0billion yen consolidated with groupcompanies in Japanー※52.8billion yen

Overseas sales ratio: over 8%

7.1％

6.7%

Shift to shared services for domestic group finance andaccounting departmentsー※ーOperating income ratio of 6.0%,
sustaining the standard of ROE 12% through increasing operating
incomePromotion ofDXGroupmanagement

Number of facilities introducing area management: 360
Reduction in number of on-site staff through area
management: 180

Improved items with blue color※Some indicators are to update yearly.
©2021 AEON Delight All Rights Reserved

14

(Ref.) Planned figures for FY2/22
Enhancing the foundation for profit increaseby investing to DX and human resource fields aggressively(100 million yen)

Net sales

FY2/21 Result(Ratio to sales)

FY2/22 Forecast(Ratio to sales)

3,000 （100.0%）

3,250 （100.0%）

108.3%

Percentage change

Operating income

152（5.1%）

165（5.2%）

108.3%

Ordinary income

152（5.1%）

165（5.2%）

108.1%Net income attributable toowners of parents

116（3.9%）

105（3.2%）

89.9%●Expected impact of COVID-19 and former KAJITAKU on operating income for FY2/22• COVID-19: -0.5 billion yen (FY2/21: -1.5 billion yen)
• Former KAJITAKU: -0.3 billion yen (FY2/21: -1.0 billion yen)©2021 AEON Delight All Rights Reserved15

If you have any questions or comments, please contact us below.
■ These materials contain statements about forecasts and estimates relating to the future plans, strategies, andperformance of AEON DELIGHT.
These statements are based not only on past performance, but also on assumptions based on information currently
available to the company. For this reason, please note that the actual performance may differ from our estimates.
■ The information contained in these materials has been prepared by the following methods if not specifically statedotherwise.
◇ All statements are based on consolidated results◇ All figures of less than 100 million yen have been rounded down
※Round to the nearest 100 million yen only in page 6◇ Percentages have been rounded off to one decimal place

AEON DELIGHT CO., LTD.
(Securities Code: 9787)IR Contact : Emiko Ishii
Delight Communication Department
TEL 03-6840-5712
Please contact us on our website.
https://www.aeondelight.co.jp

Based on information available up to the date of publication (July 7, 2021)
These forecasts have been prepared and are subject to change due to various factors going forward.