Briefings on Financial Results for the First Quarter ofFiscal Year Ending September 30, 2023 (FY2023)

APAMAN Co., Ltd.
February 10, 2023
Tokyo Stock Exchange (Standard): 8889

1. 1Q FY2023 Financial Summary
2. 1Q FY2023 Results by Segment

Contents

3. FY2023 Consolidated Forecast
4. Growth Strategy
5. Appendix

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1Q FY2023 Financial Summary

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Topics

Net sales

¥11.0
Up

1.8%

OperatingprofitEBITDAbillion ¥YoY0.72 billion 0.34

down¥6.5%

YoY

down

Profit attributable toowners of parentbillion ¥13.0%

YoY-0.16 billion
down¥0.23 billion

Net sales, EBITDA and operating profit were as planned.
Profit (ordinary profit): Foreign exchange loss of 0.16 billion yen
was recorded.
* Note: EBITDA = Ordinary profit + depreciation + amortization of goodwill

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Financial Summary｜ Overview of Consolidated Statement of Income(Millions of yen)

1Q FY2022

Ratio to net
sales

1Q FY2023

Ratio to netsales

YoYchange

Net sales

10,845-11,042-+197

Gross profit

2,562

23.6%

2,614

23.7%

+52

SG&A expenses

2,170

20.0%

2,273

20.6%

+102

Operating profit

392

3.6%

341

3.1%

-50

Ordinary profit

226

2.1%

290.3%-197

Profit attributable toowners of parent

79

0.7％

-160

-1.4%

-239

EBITDANote

777

7.2%

727

6.6%

-50

 Non-operating income: Foreign exchange gains/loss; loss of ¥160 million (down ¥190 million YoY)
 Non-operating expenses: Equity-method profit/loss; loss of ¥60 million (up ¥30 million YoY) Extraordinary income: Loss (gain) on change in equity; gain of ¥0 million (down ¥30 million YoY)
Note: EBITDA = Operating profit + depreciation + amortization of goodwill

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Financial Summary ｜ Overview of Consolidated Balance Sheet(Millions of yen)

EndFY2022

1Q FY2023

ChangeEndFY2022

1Q FY2023

ChangeCurrent assets

16,45015,610‐839

Current liabilities

11,952

12,084+132

Cash and deposits

8,318

7,643

‐675

Accounts payable-trade

1,537

1,333-203

Accounts receivable-trade

1,817

1,759‐58

Short-term borrowings Note 1

3,036

3,318+281

Operational investment
securities

1,054

1,059

+5

Other

7,377

7,432+55

Other

5,258

5,147

‐111

Non-current liabilities

19,277

18,518-759

19,094

18,915‐179

Long-term borrowings

15,707

15,030-677

Property, plant and equipment

2,687

2,781+94

Long-term lease and guarantee
deposited

1,453

1,424

-29

Intangible assets

9,776

9,624

‐152

Other

2,116

2,063

-52

Goodwill

5,604

5,415

‐188

Total liabilities

31,22930,603

-626

Other

4,172

4,208+366,630

6,509

‐121

Capital

8,002

8,002

-

35,54534,526‐1,019Net assets

4,315

3,923

-392

Total liabilities and netassets

35,54534,526-1,019Non-current assets

Investments and other assets

Total assets

Note: 1. Includes current portion of long-term borrowings

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Financial Summary ｜ Quarterly Sales(Billions of yen)

FY2021

FY2022
44.9

44.4

33.8

33.6

22.7

22.5

11.1

1Q

FY2023

11.0

10.8

2Q

3Q

4Q

1Q

2Q

3Q

4Q

1Q

2Q

3Q

4Q

 Effect on the application of the accounting standard for revenue recognition: 1Q FY2023 ¥-160 million (1Q FY2022 ¥-160 million)
Note: Quarterly sales are cumulative results.

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7Financial Summary ｜ Quarterly EBITDA Note
(Billions of yen)

FY2021

FY2022

FY2023
3.43

2.94
2.56
2.12
1.69

1.21

0.72

0.77

0.53

1Q

2Q

3Q

4Q

1Q

Note: EBITDA = Operating profit + depreciation + amortization of goodwill
Quarterly EBITDA is cumulative results.

2Q

3Q

4Q

1Q

2Q

3Q

4Q

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Financial Summary ｜ Quarterly Operating Profit(Billions of yen)

FY2021

FY2022

FY2023
1.89

1.42

1.35

0.93

0.92

0.42

0.39

0.34

0.14
1Q

2Q

3Q

Note: Quarterly operating profit is cumulative results.

4Q

1Q

2Q

3Q

4Q

1Q

2Q

3Q

4Q

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Financial Summary ｜ Profit Structure

Constant revenue accounts for about 70% of gross profit
Management

Rental management fee(Includes sub-leasing)
Platform

Constant-revenue gross profit

74.6％Company-rentedhousings

Brokerage fee

Cloud service

Usage fee

Franchise service

Royalty fee

Metered parking

Parking fee

Technology

OtherNote: Sales for businesses in the same segment that are divided between constant-revenue and other gross profit include transactions within the segment that are eliminated in theconsolidated financial statements.

As of Dec. 31, 2022

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Financial Summary ｜ Share and Amount of Constant Revenue Gross Profit(Billions of yen)

FY2021

FY202275%

FY202373%

74%

Gross profit

Gross profit

Gross profit

2.52

2.56

2.61

Share of constantrevenue gross profit
in total gross profit

0.64

0.69

0.66

Constant
revenueConstant
revenueConstant
revenue

1.88
1Q

1.86

2Q

3Q

Note: Quarterly gross profit is cumulative results

4Q

1Q

ストック

1.94

2Q

3Q

4Q

1Q

2Q

3Q

4Q

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1Q FY2023 Results by Segment

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Results by Segment｜ Platform Business(PM + Company Housing + Store Operations)(Millions of yen)

Topics Sales in PM, company housing and store
operations were firm

Segment sales
8,695

Segment profit8,845

8,656456

428+2.2%

1Q FY2021

1Q FY2022

+6.4%

262

1Q FY2023

1Q FY2021

1Q FY2022

1Q FY2023

 Lower sales due to the application of the accounting standard for revenue recognition: -¥160 million in 1Q FY2023
 Lower sales due to the application of the accounting standard for revenue recognition: -¥160 million in 1Q FY2022
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Results by Segment｜ Platform Business(PM + Company Housing + Store Operations)

Topics The number of companies using the company-rented
housing service and company housing agency service
increased

1Q FY2022

No. of units undermanagement
No. of directly managed
storesNo. of companies using thecompany housing agency
serviceNo. of companies using thecompany-rented housing
service

1Q FY2023

YoY Change

90,44290,511+6971

72+12,912

3,346+434

75

119+44Copyright © APAMAN Co.,Ltd. All rights reserved.

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Results by Segment｜ Platform Business(PM + Company Housing + Store Operations)

Promotional activities targeting property owners

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Results by Segment｜ Technology Business (FC)(Millions of yen)

Topics Higher depreciation due to digital transformation ofAPAMAN

 Held FC National Conference Locally for the first timein 3 years
Segment sales

1,878

Segment profit
1,999

1,905

290
253

231
-20.5%+4.9%

1Q FY2021

1Q FY2022

1Q FY2023

1Q FY2021

1Q FY2022

1Q FY2023

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Results by Segment｜ Analysis of Operating Profit (YoY Change)(Millions of yen)

SG&A expenses

Gross profit+52• Increase in overall
personnel expenses• Revitalize localcommunities(Invigorating localcommunities)

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FY2023 Consolidated Forecast

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Overview of Consolidated Forecast(Millions of yen)

Forecast increases in business efficiency and depreciation due to the digital transformation of APAMAN
FY2022
Results

FY2023
Forecast

ChangeNet sales

44,92645,700+773

EBITDA

3,435

3,600+164

Operating profit

1,893

1,900+6

Ordinary profit

1,419

1,300-119262

300+37

Profit attributable toowners of parent

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Growth StrategyCopyright © APAMAN Co.,Ltd. All rights reserved.

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VISION

Real EstateTechnology

Services with value for society

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Business Climate(Billions of yen)Japan’s B-to-B real estate DX market is expected to grow to ¥244.5 billion in 2025
Japan’s B-to-C real estate DX market is expected to grow to ¥1,001.7 billion in 2025

244.5

86.7

2017

100.2

2018

119.8

125.7

2019

2020

Yano Research Institute Ltd. ”Real Estate Tech Market Survey (2021)”

The property
management support
market is growing rapidly
and growth is expected tocontinue

2025Copyright © APAMAN Co.,Ltd. All rights reserved.

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Primary Goals

1. More progress with the digitaltransformation of APAMAN
2. Growth of earnings and the scale ofoperations (company housing, numberof rental properties under management)

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Primary Goals ｜ More Progress with the Digital Transformation of APAMAN(1) Example of IT Services

AOS
A rental brokeragesystem that uses asingle computer tohandle everything fromlisting properties toworking withcustomers.

apamanshop.com

A rental property
management system thatcan process aggregateannual payments of morethan ¥200 billion

An information analysis
service that uses bigdata

One of Japan’slargest websites forsearching for anapartment to rent

APSSKIPS
An integrated system
for raising the
productivity ofcustomers, rental
brokerage companies
and rental property
managementcompanies* Pictures of screens are not final because this system is still being developed.

BIG DATAApartment checking cloud
Uses photos ofdamage todetermine the fairamount of payments
required when atenant departs

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Primary Goals ｜ More Progress with the Digital Transformation of APAMAN(2) Example of IT Services

Register customer personal data using a smartphone for
automatic transfer to a data management system

SKIPS BBOne of Japan’s largest B-to-B websites for rental property
companies, linking the information of rental brokage
companies and rental property brokers

Introduction
cloudCentralized management of customer introductions
from business partners

Owner WebOne of Japan’s largest websites for creating a base of realestate owners

RPA

Digital labor is used for maintaining up-to-date market
information. The data management system is updated
every day with the latest information.

Renovation check
cloud

Renovation companies use a smartphone to submit reports;
report forms are generated automatically and data can bestoredAPSS

Linkage with about 350 real estate developers,
homebuilders and other companies allows automaticallyreceiving information daily about 200,000 available
properties

Property patrol
cloud

Uses a smartphone for internal reports about visits tobuildings and owners; reports can be produced when awayfrom the office

Facilitates the sharing of information among franchiseecompanies, agents and others nationwide

Appraisal cloud

Uses big data for instant assessments to determine the properrent; can also automatically generate residential rental
assessment reports

Links the database of the main IT system with thewebsites of all franchisees

Owner portal

Allows property owners to use the internet to confirm
financial other operational data. Property managementcompanies can use charts for communications with owners.

Selkey cloudA system that automates unlocking/locking doors of rental
properties for rental property brokerage and property
management companies; significantly improves productivity
by eliminating the need to borrow keysStore visitor cloudAmaren Net

OEM API link

App production cloud, job opening website, franchise portal, e-learning and other services
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Primary Goals ｜ Growth of Earnings and the Scale of Operations

More partner companies forcompany housing

More rental properties undermanagement

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Appendix

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Company Profile
Company name

APAMAN Co., Ltd.

Established

October 1999

Head office

Marunouchi Trust Tower North, 1-8-1 Marunouchi, Chiyoda-ku, Tokyo 100-0005Capital

8,002 million yen (as of September 30, 2022)

Boardmembers

Koji Omura, President and CEO
Takashi Kawamori, Managing Director
Yujirou Takahashi, Outside Director
Akihito Watanabe, Outside Director
Takaaki Yamazaki, Full-time Audit & Supervisory Board Member
Takeshi Yamada, Outside Audit & Supervisory Board Member
Makoto Ariyasu, Outside Audit & Supervisory Board Member

Employees

Consolidated: 1,099; Non-consolidated: 54 (as of September 30, 2022; excluding part-time employees)

Main businessGroupcompanies

Platform Business, Technology Business, OtherJapan
Apaman Network Co., Ltd, Apaman Property Co., Ltd., wepark Co., Ltd., Mi LIFE Co., Ltd., PLEAST SERVICE CO.,LTD.,RE‐Standard Co., Ltd., Apaman Energy Co., Ltd., AMENITY HOUSE Inc., Apamanshop Leasing Hokkaido Co., Ltd.,FIRST LIVING Co., Ltd., Gaspro Co.,Ltd., Apamanshop Sublease Co., Ltd., Rentalhouse Co.,Ltd., ClassHome Co.,Ltd.,MYHOUSE Co.,Ltd, SUMiTAS Partner Co., Ltd., dplan Co.,Ltd., JK HOME Co., Ltd.,AREA PLANNING Co., Ltd., TOKYO BIG HOUSE COMMUNITY Co., Ltd., Manshitsu Keiei Network Co., Ltd., ASK Co., Ltd.,SystemSoft Corporation, ARCHITECTS STUDIO JAPAN, INC.
Overseas
Apaman U.S.A., Corp., Global Capital Investments Holdings Limited,
BETTER HOUSE Property Consultants (Shanghai) Limited, APAMANSHOP (THAILAND) CO.,Ltd, fabbit Philippines Inc.,
Hetai Real Estate Com.,Ltd.
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Main Business
Using the Platform Business and Technology with innovative services
centered on advanced technologies

Rentalmanagement

Directly operated
storesunits

storescompanies

Companies

Rentalmanagement

Approx.
storesProperty ownerrelationships
Approx.

thousand stores(No. of contracted franchisees)

Customers

Parking spaces

companies

Technology BusinessFranchisees

Cloud services

CompanyCompany-rented
housing brokerage
housing(includes sub-leasing units)

Provision ofcompany housing

Brokerage

Franchisecompanies

Platform Business

Tenants

Property
ownersBrokerage/management

thousand owners

OtherMetered parking

4,004 parking spaces
As of Dec. 31, 2022
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Our Services
Platform BusinessTechnology Business

Rental brokerage

IoT/ Big Data/ AI

Information about rental properties by 72 directly operated stores(including 3 in other countries)• Shared electronic keys
Issuance of one-time keys, management of key utilization historyRental management• Use of AI for the automatic creation of suitable properties for acustomer

Total support for operating residential rental properties as the needsof tenants continues to diversify

RPA

Company-rented housing business

Automation of business processes by using robots

Intermediary services for company housing and leasing of entire
buildings for company housing

AR-TechPlatform Business• AOS
Store operation IT system• 24-hour emergency assistance service
Quick responses for lost keys, leaks, broken windows and otherproblems• APS
Property management ITsystem• Tenant insuranceInsurance for damage to a tenant’s possessions due to an accident
and for repairs caused by damage due to a random event involving
the property• Apamanshop.com
Portal site and app for rental
properties• Telecommunications business• Energy business• SKIPS
Explanations using IT, customer
services with no face-to-facecontact• Owner portal
A tool for communications withproperty owners• Introduction cloudManagement of the provision of
information about available
properties to customers• Store visitor cloud
Use of iPads for the analysis ofcustomer data
• Appraisal cloudUses big data to determine theproper rent for individual
properties

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Cautionary Statements
Amounts are rounded down to the nearest million yen and percentages are rounded off to the first decimal place. Accordingly, figures calculated using mathematicalformulas and the resulting figures stated in this material may not agree. The information presented in these materials, excluding past results but including
management strategies, plans, and forecasts, is forward-looking information, based on certain assumptions deemed reasonable in light of the information available atthe time these materials were prepared. Actual results may differ significantly from these forecasts as a result of a variety of factors going forward. The information
contained in these materials is subject to change without notice.
Every effort has been made to ensure the accuracy of the information contained herein, but APAMAN makes no guarantee regarding the accuracy, usefulness, ortimeliness of such information. APAMAN assumes no responsibility for losses incurred as a result of errors in the information contained herein.

These materials were prepared for the purpose of presenting the business overview of APAMAN and its affiliates, and are not intended as a solicitation or offer forinvestment. Investment decisions are entirely those of the investors.
This presentation uses numbers that are accurate at this time and makes no guarantee regarding numbers used in past presentations concerning results of operations.

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