2030 Vision,the Medium-Term Management Plan(FY2021-FY2025)
May 20, 2021

Contents

I. 2030 Vision
II. Medium-Term Management Plan (FY2021-FY2025)
III. Changing the Company Name

©2021 Kyowa Exeo Corporation All Rights Reserved.

2

2030 Vision
2030 Vision

Engineering for Fusion

Vision of the Exeo Group・Exeo's universal mission is to solve social issues.

Engineering connecting everything insociety to the future
20XX・The Group has the ability to connect and integrate
diverse types of engineering through innovation.

2030・Our goal is to rise to challenges to be a corporategroup that is needed in Japan and around the world.

Value creation forsustainable growth2025

Medium-Term
Management Plan(FY2021-FY2025)
2020©2021 Kyowa Exeo Corporation All Rights Reserved.

Challenge
1

Innovation to solve issues

Challenge
2

Engineering to solve issues

Challenge
3

ESG management

3Into an Age of Revolutionary Change
Drastic social and economic change is occurring around the world.
The entire world is facing the unprecedented crisis of the COVID-19 pandemic. At the same time, people's
awareness of human rights issues, including diversity and race problems, has increased, and environmental issues
have become a common challenge faced by all. In this environment, technological innovation has the power to radicallychange every business. While some businesses will decline, some new services will be able to quickly expand globally.

Social awareness of the issues the world is facing is changing as the SDGs become widely known around the world.

◆Social issues
Environmental destruction,
depletion of resources

Aging infrastructure andnatural threats

Global warming and climate change due toCO2 emissions
 The effects of microplastics on ecosystems
 The depletion of resources associated witheconomic growthRenovation of aging infrastructure
Preparation for frequent natural disasters
 Response to the new normal created by theCOVID-19 pandemic

Depopulation and hollowing-out
due to a declining population
Declining birthrate and aging population,evident decline of the working-age population
 Depopulation and aging in rural areas
 Hollowing-out and the decline of cities
◆Changes in industry and society
Rapid technological innovation
Development of information andcommunications technology, including thechange from 5G to 6G
 Changes in everyday life due to AI and robotics
 Signs of a new society due to DX (Society 5.0)©2021 Kyowa Exeo Corporation All Rights Reserved.

Change from goods toexperiential services
Change of services from ownership to use,such as XaaS Providing added value through digital services
 Changing the business model to create
new businesses


Changes in social awareness
Increasing awareness of human rights,
including LGBTQ rights
 Progress in diversity and inclusion
 SDGs and ESG as essential indicators
4

Roles of the Exeo Group as the world moves toward 2030
To achieve the Group's vision of society in 2030, the Group will create a solution innovation
cycle in engineering and will expand engineering into new fields.
Vision of society in 2030

Roles of the Exeo Group

Carbon-neutral society• The sophistication of resource recycling and energy• Enhancement of renewable energy plants and zero waste
gases

Solutions(Cyberspace)Innovationcycle
Big data analysis,
AI technology

Global society where diversity is enjoyed• Workstyle reforms that consider globalization and diversity• Development of communications infrastructure in APAC

Platforms

Cloud, data
accumulation

IoT, sensor
data collection

Telecom
carriers

Transportation, mobility

Society without poverty or inequality©2021 Kyowa Exeo Corporation All Rights Reserved.

Environment & energy
JapanFusion

City: data space, offices• Education solutions for equal opportunities in education• Digitalization of industry to eliminate inequalities in industry(Physical space)

Digital twins, AI, VR

A smart society where people live healthyand vibrant lives• Smart cities, buildings and homes using advanced
communications• Medical, government and social systems for an aging society

Construction site

BIM/CIM
automation

Urbaninfrastructure

Infrastructure renovation
Systemsolutions

Engineeringfields

Global5Fields We Aim to Contribute to by 2030
Our Vision ofSociety in2030

A smart society wherepeople live healthyand vibrant lives

Carbon-neutralsociety

Global society where
diversity is enjoyedSociety without
poverty or inequality

Drone services

AgriTech
FCV/EV

Digital twins

Local 5G

Smart factories

Smart forestry

Regional areas
Biomass

CitiesTransportation
system

6G service

Renovation of aging
infrastructure
Resource recycling
AdministrativesystemsystemMega-solar power
plantsE-learning
Smart grids

Trade platform

GlobalXaaS

FinTechCommunications
infrastructure©2021 Kyowa Exeo Corporation All Rights Reserved.

Neutral hosting

Offshore wind
power

Smart house

Online service

Privatelife quality

Telework

Healthcare

Wearable6

Target Business Portfolio in 2030
To build a robust management foundation that is less affected by the economy and social conditions, Exeo
will expand Urban Infrastructure and System-Solutions to make sales in each of its segment almost equal
in FY2030.

2020

2015

Systemsolutions

Systemsolutions13%

Telecom
carriers

27%

2025

Systemsolutions30%

Telecom
carriers

Urban

Telecom

infrastructurecarriers

23%

Urban

64%

infrastructure

infrastructure

26%

30%

・Integration of three companies inthe same industry in western Japan・Expansion of operations throughM&A activities
・Promotion of global business©2021 Kyowa Exeo Corporation All Rights Reserved.

47%

2030

Systemsolutions

Telecomcarriers

40%

Urban

・Entry into the social infrastructure
renovation business・Expansion of the renewable energy
business
・Entry into a new phase in the global
business

Urban
infrastructure

・Expansion into new business fields
・ESG management to enhance
corporate value
・To become a company that contributesto the achievement of the SDGs
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Contents

I. 2030 Vision
II. Medium-Term Management Plan (FY2021-FY2025)
III. Changing the Company Name

©2021 Kyowa Exeo Corporation All Rights Reserved.

8

Targets in the Medium-Term Management Plan
FY2025Resultstargets• Net sales: ¥630.0 billion• ROE: 9.0% or more

• Operating profit: ¥47.0 billion (7.5%)• EPS: ¥280 or more

Strategies in each businessTelecomcarriers

Actively developing 5G;
enhancing profitability andproductivity

CitiesInfrastructure

Developing fields— advancing digitaltransformation in construction

Systemsolutions

Focusing onhigh value-added business— expanding recurring business©2021 Kyowa Exeo Corporation All Rights Reserved.

Business foundation
Safety, quality,
BCP
Environment,energy

Financialstrategy

Advancementof DX

Humanresourcesstrategy
Groupmanagement

9Strategies in Each Segment

Telecom
carriers

Actively developing 5G;
enhancing profitability andproductivity

CitiesInfrastructure

Systemsolutions

Developing fields— advancing digitaltransformation inconstruction

Focusing on highvalue-added business— expanding recurringbusiness©2021 Kyowa Exeo Corporation All Rights Reserved.

・Developing many skills
・Digital transformation,
offshoring・Integrating operations

Becoming a partner that builds
optimal communications
environments for customers

・Entering the environment andenergy businesses
・Strengthening the infrastructure
renovation business・Actively utilizing BIM/CIM, AI, etc.

Providing engineering toenhance resilience

・Pursuing new technologies,
advancing the DX of customers
・Cultivating XaaS engineers
・Offshoring, improving development
processes

Evolving into asolution provider

10Strategies in Each Segment: Image of Growth Strategies
 Promoting the smart energy business, including
renewable energy (biomass, wind power) and batteries ESG activities that enhance corporate value over thelong term

Biomass

Megasolar
power
plantsRoads, bridges
Public infrastructures

Large buildings,
hyperscale datacenters
Railways,mobility

Electricity
Civilengineering Development of entire buildings, urban
redevelopment, maintenance・Strengthening collaboration with developers

ICT,
telecommunications

Telecommunications
AI, robotics

Plant
SoftwareReuse©2021 Kyowa Exeo Corporation All Rights Reserved.

 Active initiatives for 5G development
・Local 5G
・MEC (mobile edge computing)・IoT, etc.
11Business foundation

Safety,quality, BCP Using the evolution of technologies
DX, AI, IoT, VR/AR, digital twin, etc.
 Enhancing power through ideas and addedvalue Adapting to change in the environment

Kururinpa

Humanresources
strategyGroupmanagement

EneCompo

Enhancing adaptability to enable human resources
to adapt to changes in the business environment
Increasing labor productivity
eveloping a culture where diverse values arerespected
Responding to new ways of working in the newnormal created by the COVID-19 pandemic Flexible and agile Group management
 Synergies utilizing the Group's strengths©2021 Kyowa Exeo Corporation All Rights Reserved.

Environment,energy

 Active contribution to environment-relatedbusiness Promotion of the use of renewable energy Reducing the Company's CO2 emissions
 Promoting energy-saving activities

ZEB-certified OfficeFinancialstrategy

Advancementof DX

Mega solar power plants

 Achieving a stable financial base Active investment for growth Stable and flexible shareholder returns

 Strengthening the managementfoundation through digitalization
 Creating new value through solutions

12

ESG Goals
Challenges to address

Environment■Shift to renewable energy■Initiatives toward decarbonization, reduction of CO2emissions■Contribution to a resource recycling-oriented society■Use of environmentally friendly green products

Social■Contributing to local communities■Ensuring safety and quality in business■Promotion of Diversity & Inclusion■Driving work style reforms

Governance■ Achieving transparent management■ Ensuring strict compliance■ Ensuring thorough risk management©2021 Kyowa Exeo Corporation All Rights Reserved.

Related SDGs

13

Contents

I. 2030 Vision
II. Medium-Term Management Plan (FY2021-FY2025)
III. Changing the Company Name

©2021 Kyowa Exeo Corporation All Rights Reserved.

14

From Kyowa Exeo Corporation to EXEO GroupKyowa Exeo Corporation will change its name to express its aspiration
to create new value, bringing together the Group companies'
management resources and technologies as the core company of theGroup to achieve substantial growth.

New business name: EXEO Group, Inc.
Date of change: October 1, 2021

The name of the business will change following the passing of a resolution ata shareholders' meeting, which is necessary for the name to be changed.

©2021 Kyowa Exeo Corporation All Rights Reserved.

15

Corporate History and Future Development
2030 Vision
2019: DeClout,Winner,KDT,SPS,CPU

600
6,000

2018: C-Cube, Seibu Electric Industry andNippon Dentsu ,KOHKEN,LAE

5,000500

the Medium-Term Management Plan(FY21-FY25)

2014: AID
2011: ICOMSYSTECH
2010: Ikeno Tsuuken(Now:EXEO-TEC)

4,000
400
3,000300

2005: KANAC
2004: Daiwa Densetsu,
Wako Engineering (Now:EXEO-TEC)

Engineering for Fusion

2001: Merger with Showa Technos

The whole Group will work
together to help achieve asustainable global society.

2,000200

1998: Entered the NI business

1,000100

1986: Entered the environment business
1982: Entered the SI business

0

1954年

1960年

1970年

1980年

1990年

2000年

2010年

2020年

2030

2040

2050

Kyowa Densetsu (37 years)

Kyowa Exeo Corporation (30 years)

EXEO Group(Foundation period) Building telecommunications
facilities was a priority mission.
Strengthened the foundation for building
telecommunications facilities and expanded businessdomains gradually.
★ Established a brand for Kyowa as a builder oftelecom facilities(Business expansion) Expanded business,establishing a telecommunications constructiongroup and developing solutions★ Established a brand for Exeo as anengineering company.

(DX, innovation and Group management)
Will promote global expansion and accelerate
growth, responding to the the digital shift.
★ EXEO Group will enter a new stage.

©2021 Kyowa Exeo Corporation All Rights Reserved.

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