Financial Results for the Nine Months Ended
November 30, 2023

AEON DELIGHT CO., LTD.
January 10, 2024

Contents1

Financial Report for FY2/24 Q3

2

Initiatives for FY2/24 Q4©2024 AEON Delight All Rights Reserved 2

Consolidated Statements of Income
Sales and profits increased owing to the growing market share of existing customers
and new customer acquisition.
Although profits fell behind the plan due to insufficient efforts to improve profitability
amid rising cost pressures, sales increased above the plan.
(100 million yen)

FY2/23 Q3(Ratio to sales)

FY2/24 Q3(Ratio to sales)

Net sales

2,268(100.0%)

2,419

Gross profit

302(13.4%)

SG&A expenses

194

Operating income

Ordinary income
Net income
attributable toowners of parent

Difference

Percentagechange(100.0%)

150

106.6%

311(12.9%)

8102.9%(8.6%)

202(8.4%)

8104.2%108(4.8%)

108(4.5%)0100.4%110(4.9%)110(4.6%)

0100.6%71(3.2%)76(3.1%)4106.3%©2024 AEON Delight All Rights Reserved ３

Sales by Segment
Sales increased in all 7 businesses. Double-digit growth in the Construction work segment, which
expanded contracting for energy-saving-related construction, and the Materials/supplies sourcing services
segment, which expanded orders for various materials.

(100 million yen)

FY2/23 Q3

FY2/24 Q3Facilities
management

490

524

106.9%

Security services

369

381

103.3%

Cleaning services

511

529

103.5%

Construction work

382

421

110.2%

Materials/supplies
sourcing services

309

348

112.5%

Vending machineservices

7072102.5%

Support services

135

142

105.4%

2,268

2,419

106.6%

Total

Percentage change©2024 AEON Delight All Rights Reserved ４Profit by Segment
Profits increased in 5 businesses and decreased in 2 businesses.
Profitability declined mainly due to higher personnel costs and outsourcing costs, resulting in lower profits fromthe Cleaning and the Support services segment.
(100 million yen)

FY2/23 Q3

FY2/24 Q3Facilities management

42.6

44.3

103.8%

Security services

23.0

23.6

102.6%

Cleaning services

50.3

40.3

80.1%

Construction work

27.1

34.2

126.3%

Materials/supplies
sourcing services

14.5

16.9

116.7%

Vending machineservices

7.9

9.8

124.1%

Support services

4.1

4.097.7%

169.9

173.5

102.1%

Total

Percentage change©2024 AEON Delight All Rights Reserved ５Consolidated Balance Sheet(100 million yen)

Nov. 2023

Difference

Current
liabilities

48450521

Noncurrent
liabilities

28

30

2512

535

23

Shareholder’sequity

959

968

85

Total net assets

993

1,013

1942

Total liabilities
and net assets

1,506

1,548

42

Nov. 2023

Difference

1,295

1,332

37

Property, plantand equipment

6467

2

Intangible
assets6364

1

Investments,
etc.

82

83

1

Noncurrent
assets210

216

Total assets

1,5061,548

Current assets

Liabilities andnet assets

Feb. 2023

Feb. 2023

AssetsTotalliabilities©2024 AEON Delight All Rights Reserved ６

Major Initiatives in FY2/24 Q3 ① Customer-oriented management
Promoting various measures to secure sales that exceed the plan

Initiatives

Further strengthen
account sales

Active proposals forsmall-scale repairs led
by on-site staffs

Strengthen construction
works

Results・Through strengthening relationships with customers through accountmanagement, we increased the market share of existing customers by expanding
the services and by contracting with the same customer to provide services toproperties at other locations.
・Since our services and expertise are highly evaluated, we received new orders
from a wide range of facilities.

・Sales increased through active proposals for small-scale repairs
led by on-site staffs to maintain and improve"safety and security" , “functionality” and "aesthetics" of facilities.

・Orders increased for energy-saving-related construction projects, where demandis rising in line with higher energy costs.
・Orders for various types of work increased through aggressive proposals ofrenovation and repair work for facilities managed.
©2024 AEON Delight All Rights Reserved ７

Major Initiatives in FY2/24 Q3 ② Promotion of DX-1
To build a sustainable business model, we developed the Area Management
system and promoted the reform of facility management operations.

● Development of "area management“
Labor-saving at 46 new facilities(319 facilities in total)
Reallocated more than 51 specialist personnel(cumulative total of 218)
*Area Management
A facility management model in which multiple facilities are managed on
an area-by-area basis, mainly through remote control and patrol services.

● Reform of facility management operations
Utilization of digital devices enables automation ofroutine operations (facility inspections, preparationof reports, etc.) and visualization of power
consumption
Introduced at 92 new facilities (263 facilities intotal)● DX of facility administration operations throughuse of cameras (top) and sensors (bottom)©2024 AEON Delight All Rights Reserved 8

Major Initiatives in FY2/24 Q2 ② Promotion of DX-2
Developed a unique interactive AI tool "AI Manager" to improve business efficiency.
Started operation for all employees in October.
Developed a unique interactive AI tool
"AI Manager" based on ideas generated
from future consideration project byyoung employees.

In order to support back-office operations,
we began using this AI tool to learn internal
regulations and manuals in October.
We also started a trial operation of making
Estimates for construction works by this AI.

In the medium to long term, we plan toexpand the scope of support to on-site
operations by transferring expertise infacility management to this tool.
©2024 AEON Delight All Rights Reserved ９Major Initiatives in FY2/24 Q3 ③ Group Management-1
Sales increased but profits decreased for all domestic group companies due to struggles at building
maintenance subsidiaries.
AEON DELIGHT CONNECT, which manages small and medium-sized facilities, and AEON compass, which
operates travel-related business, saw a recovery in earnings.

Company nameAEON DELIGHT
CONNECT CO., LTD.

AEON compass Co.,Ltd.
Kankyouseibi Co., Ltd.

OutlineSales and profits significantly increased due to the expansion of contracts for maintenance
operations and construction works by restaurant chains, convenience stores and so on.

Sales and profits increased thanks to the strong performance of on-site management
services and corporate travel business along with the recovery of human flow.

Sales decreased due to increase in renewal contracts and orders for repair and maintenancework, but profit decreased due to higher labor costs, etc.

Hakuseisha CO., LTD.

Profits decreased due to higher labor costs, etc., while sales remained at the same level as
the previous fiscal year.

Ask Maintenance

In April, we made the company, which operates a cleaning business mainly in the Kyushu
region, a wholly owned subsidiary. Both sales and profits increased due to growth in neworders.
©2024 AEON Delight All Rights Reserved 10Major Initiatives in FY2/24 Q2 ③ Group Management-2
In overseas business, sales increased to 109.2% YoY, but operating income decreased to 90.4% YoY.
China: Sales increased due to steady business expansion, as a result of market share expansion amongcustomers and new customer acquisition. On the other hand, profit decreased due tothe impact of rising personnel costs and other factors.
ASEAN: Sales increased in countries where we operate. On the other hand, profit decreased due to the impactof the rising personnel costs in Malaysia where the Employment Law was revised and Indonesia.
(Net sales/100 million yen)

(Operating income

ChinaMalaysia

Vietnam300
250

Indonesia

Operating income/100 million yen)

18263

241

15

12.5

200

11.3

12150

9100

650

300Net sales

Operating income

Net sales

FY2/23 Q3* Fiscal year of overseas businesses ends in December. Figures are simple totals of operating companies.

Operating income

FY2/24 Q3©2024 AEON Delight All Rights Reserved 11Major Initiatives in FY2/24 Q3 ④ Skill Contests
Becoming a group of experts in facility management with partner companies.
We held the Fifth AEON Delight Skill Contest.

[Photos of contests]

From left: The facilities management contest, The cleaning services contest, The security services contest

Members from domestic and overseas group companies and partner companies(cleaning and security businesses) competed and presented their technologies,achievements, and best practices to each other.

Skills x Human capabilities = Specialists©2024 AEON Delight All Rights Reserved 12Major Initiatives in FY2/24 Q3 ⑤ Started Accepting "Specified Skilled Worker"
Began accepting foreign nationals with special skills called"Specified Skilled Worker" in the building cleaning field.
AEON compass × PT Sinar Jernih Sarana（Indonesia）

Established a system to train
candidates in the following at the local
subsidiary in Indonesia
・Building cleaning skills
・Japanese
Training at the local
subsidiary

In November 2023, we accepted
11 Specified Skilled Workers.
(A total of 16 people are expected to beaccepted this fiscal year.)In the future, we will expand employment
with a view to accepting people in fields
other than building cleaning to establish
a sustainable business model.
©2024 AEON Delight All Rights Reserved 13

Major Initiatives in FY2/24 Q3 ⑥ Retirement of Treasury Stock

1.5

Acquiredmillion shares of treasury
stock to improve capital efficiency andstrengthen shareholder returns. (October2022-July 2023)

Retired the shares in October 2023.
©2024 AEON Delight All Rights Reserved 14

Contents

1

Financial Report for FY2/24 Q3

2

Initiatives for FY2/24 Q4©2024 AEON Delight All Rights Reserved 15

Response to the 2024 Noto Peninsula Earthquake
We have been focusing on rebuilding efforts on the front lineof the affected area since the disaster on 2024.1.1.

We will continue to make efforts to rebuild the affected area in our mission of providing“Safety and Security”.
©2024 AEON Delight All Rights Reserved 16

Initiatives for Q4 to Achieve the Full-year operating income Target
Amid rising cost pressures, we will continue to work on measures to improve
profitability while strengthening sales activities to secure sales in excess of the plan.

ItemsMajor initiatives•Increase sales•

Further increase orders for energy conservation-related work, such as LED
lighting and replacement of air conditioning and heat source equipment.
Strengthen small-scale repairs led by on-site staffs to maintain andimprove "safety and security" , “functionality” and "aesthetics" of facilities.

• Facilities management: In addition to reviewing unit labor costs associated withimproving productivity in on-site operations, begin cost structure reform by reviewing
unit labor costs for operations and bringing some maintenance operations in-house.

Improve profitability• Security services: Promote rationalization of unit prices through labor saving and pricenegotiations through entry and closure management and systemization of store closure
operations.
• Materials/supplies sourcing services: Promote appropriate reflection of cost increases
in various materials in selling prices.

©2024 AEON Delight All Rights Reserved 17

Progress Toward Planned Targets for FY2/24

FY2/23 Result(Ratio to sales)

FY2/24 Forecast(Ratio to sales)

Difference

3,037(100.0%)3,100(100.0%)

102.0%

Operating income

158(5.2%)

160(5.2%)

101.2%

Ordinary profit

160(5.3%)

160(5.2%)

100.0%Net income attributableto owners of parent

101(3.3%)

104(3.3%)

102.4%(100 million yen)

Net sales©2024 AEON Delight All Rights Reserved 18

Reference: Progress in KPIs (Key Performance Indicators) of the Medium-Term Management Plan

Basic Policy
Customerorientedmanagement

KPI (End-FY2/24)
Ratio of sales inside/outside the AEON Group
60%:40% (total)

Operating income margin of 6.0%*1,
sustaining the standard of ROE 12% (full-year)
through increasing operating income
Number of facilities introducing area management:

Promotion of360 (total)

FY2/24 Q3End-FY2/22

62.1%：37.9%

64.4%：35.6%

operating income margin: 4.0%*1
ROE: －％*2

operating income margin: 5.0%
ROE 11.7％

319 facilities

178 facilities

218 staffs

115 staffs

ー*2Started improvement ofbusiness processes in the head
office divisionsー*2

52.1 billion yen

9.8％*17.8％

ー*2

Started support from ourfinancial and accounting
department for all domestic
group companies

DXReduction in number of on-site staff through area
management: 180 (total)
Allocation of 20% of staffs in the headquarters tofront office by consolidating head office functions
Net sales of 65.0 billion yen consolidated with groupcompanies in JapanGroupmanagement

Net sales ratio of Asia businesses over 8.0%*1(Former Revenue Recognition Standard)
Shift to shared services for domestic group financeand accounting departments (full-year)

Items in blue indicate improvements.
*1 Calculation based on the former revenue recognition standard*2 Renewed for the full year

©2024 AEON Delight All Rights Reserved 19

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◇ Figures are rounded down to the nearest 100 million yen.
*Figures on page 5, 11 are rounded down to the nearest 10 million yen.
◇ Percentages have been rounded off to one decimal place
IR Contact : President’s Office, PR and IR GroupTEL 03-6895-3892

AEON DELIGHT CO., LTD.
(Securities Code: 9787)

Please contact us on our website.
https://www.aeondelight.co.jp

Based on information available up to the date of publication (January 10, 2024)
These forecasts have been prepared and are subject to change due to various factors going forward.