Consolidated Summary Report of Operating Results for the Third Quarter of Fiscal 2021
(Year Ending December, 2021) [Japan GAAP]

October 27, 2021

Company name:
Future Corporation
Shares listed on: First Section of Tokyo Stock Exchange
Securities code:
4722 URL https://www.future.co.jp
Representative:
Yasufumi Kanemaru, Chairman and President
Contact:
Yasukazu Matsushita, Head of Financial & Accounting GroupTEL 03-5740-5724
Scheduled date for filing the quarterly report:
November 11, 2021
Scheduled date for distributing dividend payments:
Creation of supplemental material on quarterly financial results: None
Holding of financial results briefing:
None(Amount rounded off to million yen)

1.

Consolidated Results for the Third Quarter of Fiscal 2021 (January 1, 2021 to September 30, 2021)(1) Consolidated financial results (cumulative)(Percentage figures indicate year-on-year changes.)

Net Sales
3Q Fiscal 2021
3Q Fiscal 2020

Quarterly profit attributable toowners of parent

Operating income

Million yen%

Million yen%

Million yen%

35,78932,410

10.4
(4.3)

6,544
3,934

66.3
(19.4)

4,651
2,832

64.2
(11.5)(Note) Comprehensive income

3Q Fiscal 2021: 6,212 million yen ((32.2)%)

3Q Fiscal 2020: 9,167 million yen (219.6%)

Profit per shareYen

3Q Fiscal 2021
3Q Fiscal 2020

105.11
63.73(2) Consolidated financial position
Total assets
3Q Fiscal 2021
Fiscal 2020
(Reference) Shareholders’ equity

Net assets

Million yen

Shareholders’ equity ratio
Million yen

Net assets per share%

55,275
42,13349,82338,2283Q Fiscal 2021: 42,133 million yen

Yen

76.2
76.6
Fiscal 2020: 38,175 million yen

951.88862.892. Cash Dividends
Dividends per share
End of the first quarter
dividend

End of second quarter
dividend

Yen

End of third quarter
dividend

Yen―
Fiscal 2020
20.00―
Fiscal 2021
23.00
Fiscal 2021 (forecast)(Note)Revisions from the dividend forecast published most recently

Period-end dividend
Yen

Yen

―
―

20.00

40.00

23.00

46.00

: None3. Projected Consolidated Results for Fiscal 2021 (January 1, 2021 to December 31, 2021)
Net Sales
Million yen

Million yen

Full-year
48,5009.5
8,000(Note) Revisions from the earnings forecast published most recently: None

(Percentage figures indicate year-on-year changes.)

Profit attributable to ownersof parent

Operating income
%

Total

Yen

%

52.8

Million yen

5,500

%

44.9

Profit per shareYen

124.28

* Notes(1) Changes in significant subsidiaries during the first nine months of the fiscal year under review (changes in specified subsidiaries
accompanied by changes in the scope of consolidation): None
(2) Application of accounting treatment particular to the preparation of quarterly consolidated financial statements: None
(3) Change in accounting policies or estimates and retrospective restatements
1) Change in accounting policies in accordance with revision of accounting standards: None
2) Change in accounting policies other than item 1) above: None
3) Change in accounting estimates: None
4) Retrospective restatements: None
(4) Number of outstanding shares (common stock)1) Total outstanding shares as of theend of the period (including
47,664,000 shares Fiscal 2020
3Q Fiscal 2021
treasury shares)
2) Total treasury shares as of the end
3,400,671 shares Fiscal 2020
3Q Fiscal 2021of the period
3) Average number of outstanding
44,252,000 shares 3Q Fiscal 2020
shares during the period under
3Q Fiscal 2021
review

47,664,000 shares
3,422,611 shares
44,442,242 shares* This summary of quarterly financial results is outside the scope of quarterly reviews by a certified public accountant or an audit
corporation.
* Points to note about the proper use of projections, and other noteworthy events
Any forward-looking statement, including earnings forecasts, contained in this document is based on information currently held by the Company and assumptions
the Company considers to be reasonable, and the Company does not promise to achieve any of them. Actual results may differ significantly from forecasts due tovarious uncertain factors.

Contents
1. Qualitative Information Regarding Financial Results for the Third Quarter under Review ......................................................................... 2(1) Explanations for Operating Results ........................................................................................................................................................ 2
2. Quarterly Consolidated Financial Statements and Major Notes ................................................................................................................... 3(1) Quarterly consolidated balance sheets .................................................................................................................................................... 3(2) Consolidated quarterly statements of income and comprehensive income ............................................................................................. 5(First nine months period) .................................................................................................................................................................... 5(3) Notes to quarterly consolidated financial statements .............................................................................................................................. 7(Notes on premise of a going concern) ................................................................................................................................................. 7(Notes on any significant change in shareholders’ equity) ................................................................................................................... 7(Segment information, etc.) .................................................................................................................................................................. 7
3. Supplementary Information .......................................................................................................................................................................... 8
Orders received ............................................................................................................................................................................................ 8

1. Qualitative Information Regarding Financial Results for the Third Quarter under Review(1) Explanations for Operating Results
The Group’s consolidated net sales for the first nine months under review were 35,789 million yen, up 10.4% year on
year; consolidated operating income was 6,544 million yen, up 66.3% year on year; and consolidated profit for theperiod attributable to owners of parent was 4,651 million yen, up 64.2% from a year ago.
Looking at the economic environment during the first nine months of the fiscal year under review, we saw companies
continuing efforts to change their operations, such as implementing business reforms and developing new digital
services. Thanks to the implementation of COVID-19 countermeasures, companies became more aware of challenges
in digital transformation (DX), necessitating a revamping of their supply chains and teleworking, while the efforts toadopt information technology and digitalization were accelerated across all industries and fields.
In terms of individual lifestyles, the use of IT-driven services, such as shopping at e-commerce sites, enjoying
entertainment and sports on video and online, and accessing education and self-development services online, havespread widely. At the same time, camping and other outdoor leisure activities continued to be popular.
Under those conditions, consolidated net sales for the first nine months under review increased 10.4% year on year.
Consolidated operating income grew 66.3% year on year. Consolidated profit attributable to owners of parent rose
64.2% year on year.
Details of the performance of each segment are as follows.
1) IT Consulting & Service Business
Future Architect, Inc. (including the technology division of Future Corporation) received solid orders for DX
projects from a wide variety of customers. Net sales increased year on year boosted by the acquisition of a
project to introduce a next-generation banking system for regional financial institutions and a project to renovatea core system of the wholesale industry, as well as the steady progress of projects to support customer’s AI- andIoT-driven growth from a medium-term perspective. The company also saw a substantial year-on-year increasein operating income as it focused on ensuring quality control and revenue management.
Net sales of Future Inspace, Inc. increased only slightly year on year, while operating income increased due tocost-reduction efforts.
Future One, Inc. reviewed a system integration plan of its original packaged software for sales management andtook steps for recovery. As a result, operating income increased, though net sales decreased, on a year-on-yearbasis.
YDC Corporation endeavored to expand its customer base in the logistics field in cooperation with Future
Architect, Inc. However, due to a decrease in original SI projects, net sales slightly decreased and operating
income increased only marginally year on year.
Both net sales and operating income of dit Co., Ltd. rose significantly year on year. The company continued toreceive favorable orders for vulnerability assessment, computer forensics, incident response, and other cybersecurity-related services to defend against the growing number of cyberattacks, as well as a steady stream oforders for network construction-related services designed to improve the information and communications
technology (ICT) environment.
As a result, net sales of the segment increased to 28,827 million yen (up 10.9% year on year) and operating
income grew substantially to 6,229 million yen (up 70.2% year on year).
2) Business Innovation BusinessNet sales of eSPORTS Co., Ltd. rose year on year due to strong demand for camping, fishing, and other outdoor
activities suited to the new lifestyle. On the other hand, operating income decreased due to aggressive system
investment.
CodeCamp Inc. saw net sales jump year on year due to an increase in orders from corporations, but operating
income fell as a result of prioritizing recruitment and R&D.
Both net sales and operating income of Tokyo Calendar Inc. rose year on year due to stable revenue fromInternet services including Tokyo Calendar Date, growth in magazine and advertisement sales, and ongoing cost
controls.
Both net sales and operating income of LaiBlitz, Inc. fell year on year due to a decrease in orders received fromexisting customers, despite the growth in FastBiz, an operational support service dedicated for sports teams.
As a result, net sales of the segment increased to 7,067 million yen (up 9.1% year on year), while operating
income fell to 322 million yen (down 7.7% year on year).
(Notes) Segment results mentioned above are before adjustment for intersegmental sales and transfers.
-2-2. Quarterly Consolidated Financial Statements and Major Notes(1) Quarterly consolidated balance sheets(in thousands of yen)

AssetsCurrent assets
Cash and deposits
Notes and accounts receivable – trade
Securities
Merchandise and finished goods
Work in process
Other
Allowance for doubtful accounts
Total current assets
Non-current assets
Property, plant and equipment
Buildings and structures
Accumulated depreciation
Buildings and structures, net
Land
Other
Accumulated depreciation
Other, net
Total property, plant and equipment
Intangible assets
Goodwill
Software
Customer-related assets
Other
Total intangible assets
Investments and other assets
Investment securities
Lease and guarantee deposits
Deferred tax assets
Other
Allowance for doubtful accounts
Total investments and other assets
Total non-current assets
Total assets

Previous consolidated fiscal year
(December 31, 2020)-3-

Third quarter under review(September 30, 2021)

15,110,388
7,884,666
1,000,006
1,075,525
15,775
1,352,733(3,000)26,436,095

18,587,515
7,102,998
1,500,580
1,354,055
23,345
1,394,409(3,000)29,959,905

1,656,638(1,007,547)
649,091855
2,794,921(2,266,482)
528,438
1,178,384

1,677,462(976,948)
700,513855
2,922,327(2,440,152)
482,174
1,183,544

138,378
1,591,245
416,000
5,361
2,150,985

108,644
1,748,593
260,000
4,633
2,121,871

18,431,595
1,436,115
18,463
250,641(78,881)
20,057,933
23,387,303
49,823,398

20,632,106
1,177,045
13,281
264,304(76,631)22,010,106
25,315,521
55,275,426

(in thousands of yen)Previous consolidated fiscal year
(December 31, 2020)
Liabilities
Current liabilities
Accounts payable – trade
Current portion of long-term loans payable
Accounts payable – other
Income taxes payable
Provision for bonuses
Provision for quality assurance
Provision for loss on projects
Other
Total current liabilities
Non-current liabilities
Asset retirement obligations
Deferred tax liabilities
Other
Total non-current liabilities
Total liabilities
Shareholders’ equity
Shareholders’ equity
Capital stock
Capital surplus
Retained earnings
Treasury shares
Total shareholders’ equity
Total accumulated other comprehensive income
Valuation difference on available-for-salesecurities
Deferred gains or losses on hedges
Foreign currency translation adjustment
Total accumulated other comprehensive income
Non-controlling interests
Total net assets
Total liabilities and net assets-4-

Third quarter under review(September 30, 2021)

1,028,501
3,320
1,306,849
764,400
257,487
61,646
13,285
3,041,342
6,476,832

1,408,232
1,047,943
1,565,437
972,630
41,682
67,6202,537,459
7,641,005

351,613
4,615,063
151,138
5,117,815
11,594,648

350,106
4,990,430
160,568
5,501,104
13,142,110

4,000,000
21,33325,150,606(2,235,662)
26,936,278

4,000,000
27,581,388(2,221,059)
29,360,328

11,229,849

12,759,157(4,185)
13,485
11,239,149
53,32338,228,750
49,823,398

3,153
10,676
12,772,987
42,133,316
55,275,426

(2) Consolidated quarterly statements of income and comprehensive income(First nine months period)(in thousands of yen)

32,410,144
19,071,018
13,339,126

First nine months of theconsolidated fiscal year underreview(from January 1, 2021 toSeptember 30, 2021)
35,789,770
19,205,172
16,584,597

395,4113,638,347
397,494438,805
291,457
340,3903,902,235
9,404,141
3,934,984

427,820
4,181,487
496,657
436,497258,646
246,675
3,992,045
10,039,831
6,544,766

572
74,855

1,139
107,708

1,731

14,788

1,210
12,20590,575867
24,084
148,587230
230
4,025,329

88
88
6,693,265

93,31893,318

6,376
974
7,351

683
683
4,117,964
1,238,263
2,879,701

16,263
16,263
6,684,353
2,005,726
4,678,626

2,832,171
47,5294,651,532
27,094First nine months of the previous
consolidated fiscal year
(from January 1, 2020 to
September 30, 2020)
Net Sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Directors’ compensations
Salaries and bonuses
Training expenses
Research and development expenses
Depreciation
Recruiting expenses
Other
Total selling, general and administrative expenses
Operating income
Non-operating income
Interest income
Dividend income
Share of profit of entities accounted for using equity
methodForeign exchange gains
Other
Total non-operating income
Non-operating expenses
Interest expenses
Total non-operating expenses
Ordinary income
Extraordinary income
Gain on sale of shares of subsidiaries and associates
Gain on sales of investment securities
Total extraordinary income
Extraordinary losses
Loss on valuation of investment securities
Loss on change in equity
Total extraordinary losses
Profit before income taxes
Total income taxes
Profit(Breakdown)
Quarterly profit attributable to owners of parent
Quarterly profit attributable to non-controlling interests-5-(in thousands of yen)First nine months of the previous
consolidated fiscal year
(from January 1, 2020 to
September 30, 2020)

First nine months of theconsolidated fiscal year underreview(from January 1, 2021 toSeptember 30, 2021)

6,288,685(1,655)243

1,529,308
7,339
292

934

(3,101)

6,288,207
9,167,909

1,533,838
6,212,465

9,120,379

6,185,371

47,52927,094

Other comprehensive income
Valuation difference on available-for-sale securities
Deferred gains or losses on hedges
Foreign currency translation adjustment
Share of other comprehensive income of entities
accounted for using equity method
Total other comprehensive income
Quarterly profit(Breakdown)
Quarterly comprehensive income attributable to ownersof parent
Quarterly comprehensive income attributable to noncontrolling interests-6-(3) Notes to quarterly consolidated financial statements(Notes on premise of a going concern)
Not applicable.
(Notes on any significant change in shareholders’ equity)
During the second quarter of the current consolidated fiscal year, the Company acquired additional shares in its
consolidated subsidiary, CodeCamp, Inc. As a result, capital surplus became a negative value after it was
reduced by 369,582 thousand yen, so the negative value was deducted from retained earnings.
(Segment information, etc.)[Segment information]
I First nine months of the previous consolidated fiscal year (from January 1, 2020 to September 30, 2020)
1. Information on the amounts of net sales, and profit or loss by reportable segment(in thousands of yen)Amount stated inquarterly
consolidated
financialstatements(Note 3)

Reportable segments
Other(Note 1)

Adjustments(Note 2)IT Consulting& ServiceBusiness

BusinessInnovation

Net Sales(1) Sales to outsideclients(2) Intersegment
sales or transfer

25,961,616

6,445,183

32,406,800

3,343

32,410,144-

32,410,144

21,181

32,71653,89827,333

81,231(81,231)-

Total

25,982,798

6,477,900

32,460,698

30,67632,491,375(81,231)

32,410,144

Total

Total

Segment profit (loss)
3,659,649
349,817
4,009,467(14,028)
3,995,438(60,454)
3,934,984(Notes) 1. “Other” is a segment for operations not included in reportable segments. The segment covers investment in, holding of, andmanagement of securities.
2. Adjustments for segment profit (loss) represent the amount of intersegment transactions eliminated, and income and expenses of
the holding company (excluding its technology division).
3. Segment profit (loss) is adjusted with operating income stated in quarterly consolidated financial statements.

II First nine months of the consolidated fiscal year under review (from January 1, 2021 to September 30, 2021)
1. Information on the amounts of net sales, and profit or loss by reportable segment(in thousands of yen)Amount stated inquarterly
consolidated
financialstatements(Note 3)

Reportable segments
Other(Note 1)

Adjustments(Note 2)IT Consulting& ServiceBusiness

BusinessInnovation

Net Sales(1) Sales to outsideclients(2) Intersegment
sales or transfer

28,770,420

7,010,349

35,780,769

9,000

35,789,770-

35,789,770

57,19856,739113,937

189,015

302,952(302,952)

-

Total

28,827,619

7,067,088

35,894,707

198,015

36,092,723(302,952)

35,789,770

Total

Total

Segment profits
6,229,208
322,757
6,551,966
41,075
6,593,041(48,275)
6,544,766(Notes) 1. “Other” is a segment for operations not included in reportable segments. The segment covers investment in, holding of, andmanagement of securities.
2. Adjustments for segment profit represent the amount of intersegment transactions eliminated, and income and expenses of theholding company (excluding its technology division).
3. Segment profit is adjusted with operating income stated in quarterly consolidated financial statements.

-7-

3. Supplementary Information
Orders received

Category(in thousands of yen)First nine months of the previous
consolidated fiscal year
(from January 1, 2020 to September 30,
2020)

First nine months of the consolidated
fiscal year under review(from January 1, 2021 to September
30, 2021)

Order received

Order received

Order backlog

Order backlog

IT Consulting & Service Business

22,982,443

9,544,549

33,446,884

14,192,969

Business Innovation

1,617,194364,669

1,620,431

329,558

24,599,637

9,909,218

35,067,316

14,522,528

Total

Category

Second quarter of the consolidated fiscal
year under review(from April 1, 2021 to June 30, 2021)
Order received

IT Consulting & Service BusinessBusiness Innovation
Total

Order backlog

Third quarter of the consolidated
fiscal year under review(from July 1, 2021 to September 30,
2021)
Order received

Order backlog

11,167,237

11,654,844

12,834,470

14,192,969

538,101

453,384

497,930

329,558

11,705,338

12,108,228

13,332,401

14,522,528-8-