Consolidated Summary Report of Operating Results for the First Quarter of Fiscal 2023 (Year Ending
December 31, 2023)[Japan GAAP]
April 26, 2023

Company name:
Future Corporation
Securities code:
4722
URL: https://www.future.co.jp
Representative:
Yasufumi Kanemaru, Chairman and President
Contact:
Yasukazu Matsushita, Executive Officer
Scheduled date for filing the quarterly report:
May 12, 2023
Scheduled date for distributing dividend payments:－
Creation of supplemental material on quarterly financial results: No
Holding of financial results briefing:No

Listing:

Tokyo Stock ExchangeTel.: 03-5740-5724(Amounts rounded off to million yen)

1.

Consolidated Results for the First Quarter of Fiscal 2023 (January 1, 2023 to March 31, 2023)(1) Consolidated operating results (accumulated total)
Net sales
1Q Fiscal 2023
1Q Fiscal 2022

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

Operating income

Profit attributable to owners of parent

Million yen%

Million yen%

Million yen%

13,965
12,605

10.8
13.7

3,172
3,341

(5.0)
96.2

2,191
2,386

(8.2)
92.0

¥2,742 million (236.8%)

1Q Fiscal 2022

(Note) Comprehensive income

1Q Fiscal 2023

¥814 million (565.2%)

Profit per shareYen

1Q Fiscal 2023
1Q Fiscal 2022

24.74
26.96

(2) Consolidated financial position
Total assets
1Q Fiscal 2023
Fiscal 2022
(Reference) Shareholders’ equity

Shareholders’ equity ratio

Net assets

Million yen

59,80757,857
1Q Fiscal 2023:

Net assets per share

Million yen%

45,79844,827

76.6
77.5
Fiscal 2022:¥45,798 million

Yen

517.17506.20¥44,827 million

2. Cash Dividends
Annual dividends
End of first quarter

Fiscal 2022
Fiscal 2023
Fiscal 2023
(projection)(Note)End of second quarterEnd of third quarter

Fiscal year-end

Total

Yen

Yen

Yen

Yen

Yen

－
－

17.00

－

20.00

37.00

20.00

－

20.00

40.00

1. Revisions to the most recently announced dividend forecast: None

3. Projected Consolidated Results for Fiscal 2023 (January 1, 2023 to December 31, 2023)(Percentage figures indicate year-on-year changes.)

Net salesFirst six months(accumulated total)
Full-year(Note)

Profit attributable to owners ofparentOperating income

Profit per share

Million yen%

Million yen%

Million yen%

Yen

28,300

9.1

6,600

6.2

4,620

2.3

52.17

59,50010.7

13,800

12.8

9,660

4.6

109.08

Revisions to the most recently announced earnings forecast: None

*Notes(1) Changes in significant subsidiaries during the quarter under review (changes in specified subsidiaries accompanied by changes in thescope of consolidation): None
(2) Application of accounting treatment particular to the preparation of quarterly consolidated financial statements: None
(3) Changes in accounting policies or estimates and retrospective restatements
1) Changes in accounting policies in accordance with revisions of accounting standards: None
2) Changes in accounting policies other than item 1) above: None
3) Changes in accounting estimates: None
4) Retrospective restatements: None
(4) Number of outstanding shares (common stock)1) Total outstanding shares as ofthe end of the period
1Q Fiscal 2023
(including treasury shares)
2) Total treasury shares as of the
1Q Fiscal 2023
end of the period
3) Average number of outstanding
shares during the period under 1Q Fiscal 2023
review

95,328,000 shares Fiscal 2022

95,328,000 shares

6,771,952 shares Fiscal 2022

6,771,952 shares

88,556,048 shares 1Q Fiscal 2022

88,526,522 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 statements, including earnings forecasts, contained in this document are 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 First Quarter under Review ........................................................................... 2
Explanation of Operating Results ................................................................................................................................................................. 2
2. Quarterly Consolidated Financial Statements and Major Notes ................................................................................................................... 4(1) Quarterly consolidated balance sheets .................................................................................................................................................... 4(2) Consolidated quarterly statements of income and comprehensive income ............................................................................................. 6(First three-month period) .................................................................................................................................................................... 6(3) Notes to quarterly consolidated financial statements .............................................................................................................................. 8(Notes on premise of a going concern) ................................................................................................................................................. 8(Notes on any significant change in shareholders' equity) .................................................................................................................... 8(Segment information) ......................................................................................................................................................................... 8
3. Supplementary Information .......................................................................................................................................................................... 9
Orders received .................................................................................................................................................................................... 9

1. Qualitative Information Regarding Financial Results for the First Quarter under Review
Explanation of Operating Results
Looking at the economic environment during the first three months of the fiscal year under review, we saw
companies continue to actively harness the power of IT to change their operations, such as promoting digitaltransformation (DX), implementing business reforms, and developing new digital services, despite global uncertainty,
ongoing inflation, and the increase of overseas interest rates. Companies are revamping their work styles and overall
supply chains following the enforcement of the Work Style Reform Law, and accelerating the use of IT in areas
related to ESG and the SDGs. These things boost IT investments in all sectors and fields. In terms of individual
lifestyles, the use of IT-driven services, such as shopping at e-commerce sites, enjoying entertainment and sports onvideo and online, and accessing education and self-development services online, has become common, and various
related services are being created.
Working against this backdrop, we won contracts from customers in a wide range of industries and made progresswith large-scale projects that would contribute to medium-term growth. As a result, consolidated net sales for the first
three months totaled 13,965 million yen (up 10.8% year on year), operating income was 3,172 million yen (down
5.0% year on year) due to higher-than-planned costs for quality improvement in the design phase of some large-scale
projects, and profit attributable to owners of parent came to 2,191 million yen (down 8.2% year on year).
Details of the performance (net sales and operating income) of each segment are as follows.
(1) IT Consulting & Service Business
Future Architect, Inc. (including the Technology Division of Future Corporation) received new orders fordesigns of platforms for integrated data management of procurement, manufacturing, and quality control in theretail industry, renovations of mission-critical systems in the apparel industry, and grand designs for advancing
DX of a newspaper company group, and started working on them. It also continued to move ahead with various
projects of customers in a wide range of industries, such as designs/development relating to the revamping of
mission-critical systems and IT infrastructures in the food wholesaling and public service industries. In addition
to that, the company made steady progress with a project introducing next-generation banking systems toregional financial institutions that would contribute to its medium-term growth, specifically, the loan support
system FutureBANK starting operating at two new companies, as well as with the provision of DX assistance tovarious companies in the logistics and other industries. On the other hand, higher than planned costs for quality
improvement at the design stage in some large-scale projects and investments in research and development
resulted in an increase in net sales but a decrease in operating income year on year.
Future Inspace, Inc. performed steadily in development for system infrastructure renewal and cloud migration
projects from existing customers, in addition to the provision of regular maintenance and operation services. As
a result, net sales and operating income increased year on year.
Future One, Inc. worked on boosting orders for its original InfiniOne software package, the company’s key
product, through industry-specific sales strategies. As a result, it enjoyed a year-on-year increase in both net
sales and operating income.
YDC Corporation saw steady progress in developing new customers as well as expanding existing customers
while developing their demands, particularly in the manufacturing industry. In addition to these traditional SI, it
enjoyed an increase in orders led by upstream businesses such as mission-critical system renovation and granddesign consultation for the SmartFactory concept. Furthermore, due to an increase in the license sales of YDCSONAR® and other factors, its net sales and operating income increased year on year.
Both net sales and operating income of dit Co., Ltd. declined year on year due to a slower-than-expected
increase in orders for cybersecurity-related services, such as vulnerability assessment, incident response, andnetwork security solutions, and an increase in outsourcing costs.
As a result, net sales of the segment increased to 12,243 million yen (up 12.5% year on year) and operating
income decreased to 3,381 million yen (down 3.5% year on year).
(2) Business Innovation Business
The net sales and operating income of YOCABITO Co., Ltd. decreased year on year due to stagnant sales in its
outdoor business caused by a still fiercely competitive market as well as rising costs, while apparel sales
remained strong.
While Tokyo Calendar Inc. saw a robust stream of revenue from its online services, such as magazines,
advertising, and Tokyo Calendar Date, its net sales increased but the operating income decreased year on year
due to costs relating to the launch of its new service Gourmet Calendar.
While CodeCamp, Inc. enjoyed an uptick in orders from corporate customers which we will start working on
from the second quarter of the current fiscal year, a decrease in orders from individual customers caused by the-2-entry of more competitors in the market led to a decline in net sales and operating income year on year.
LaiBlitz, Inc. posted an increase in net sales and operating income year on year as a result of starting providing
Fast Biz, a packaged membership management and e-commerce service for sports teams, for local governments’services for residents and B2B subscription businesses.
As a result, the segment saw both net sales and operating income drop year on year, with net sales totaling 1,732
million yen (down 2.3% year on year) and operating loss standing at 173 million yen (up from an operating lossof 67 million yen for the same period last year).
(Note) Segment results mentioned above are before adjustment for intersegmental sales and transfers.

-3-

2. Quarterly Consolidated Financial Statements and Major Notes(1) Quarterly consolidated balance sheets(in millions of yen)Previous consolidated fiscal year
(December 31, 2022)
AssetsCurrent assets
Cash and deposits
Notes and accounts receivable – trade, and contract
assetsSecurities
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
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-4-First quarter of the current
consolidated fiscal year
(March 31, 2023)

26,652

24,875

8,549

8,971

1,000
1,116
22
1,498
(3)
38,835

1,100
1,263
20
3,604
(3)
39,831

1,815(1,142)673
0
3,107(2,703)
404
1,078

1,817
(1,171)646
0
3,188(2,757)
431
1,078

661
2,992
5
3,659

627
3,209
4
3,841

12,856
1,188
－
244
(4)
14,28419,02257,857

13,633
1,185
15
225
(3)
15,055
19,97559,807

Previous consolidated fiscal year
(December 31, 2022)
Liabilities
Current liabilities
Accounts payable – trade
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
Net assets
Shareholders’ equity
Capital stock
Capital surplus
Retained earnings
Treasury shares
Total shareholders’ equity
Accumulated other comprehensive income
Valuation difference on available-for-sale securities
Deferred gains or losses on hedges
Foreign currency translation adjustment
Total accumulated other comprehensive income
Total net assets
Total liabilities and net assets-5-(in millions of yen)First quarter of the current
consolidated fiscal year
(March 31, 2023)

1,067
1,810
2,280
250
60
37
4,354
9,860

1,498
1,118
1,293
1,242
65
17
5,628
10,863

356
2,682
130
3,169
13,030

356
2,648
139
3,145
14,0084,000
3735,856(2,210)37,6834,000
3736,276(2,210)38,103

7,123
(5)
25
7,143
44,82757,857

7,663
(1)
32
7,695
45,79859,807

(2) Consolidated quarterly statements of income and comprehensive income(First three-month period)

Net sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Directors’ compensations
Salaries and bonuses
Other salaries
Rents
Training expenses
Research and development expenses
Depreciation
Recruiting expenses
Amortization of goodwill
Other
Total selling, general and administrative expenses
Operating income
Non-operating income
Share of profit of entities accounted for using equity
methodOther
Total non-operating income
Non-operating expenses
Loss on investments in investment partnerships
Other
Total non-operating expenses
Ordinary income
Extraordinary income
Gain on sale of investment securities
Total extraordinary income
Profit before income taxes
Income taxes – current
Income taxes – deferred
Total income taxes
Profit(Breakdown)
Profit attributable to owners of parent(in millions of yen)First three months of the previous First three months of the current
consolidated fiscal year
consolidated fiscal year
(From January 1, 2022 to March (From January 1, 2023 to March
31, 2022)
31, 2023)
12,605
13,965
6,261
7,315
6,344
6,650

-6-

133
1,425
72
239
78
165
102
150
2
633
3,003
3,341

143
1,534
72
230
61
338
56
190
34
813
3,477
3,172

18

10

7
26

8
18

－
0
0
3,367

15
0
16
3,175

42
42
3,409
1,336
(313)
1,022
2,386

－
－
3,175
1,268
(283)
984
2,191

2,386

2,191

(in millions of yen)First three months of the previous First three months of the current
consolidated fiscal year
consolidated fiscal year
(From January 1, 2022 to March (From January 1, 2023 to March
31, 2022)
31, 2023)
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
Comprehensive income(Breakdown)Comprehensive income attributable to owners of parent
Comprehensive income attributable to non-controllinginterests-7-(1,579)
2
4

540
4
7

0

(0)

(1,572)
814

551
2,742

814

2,742

－

－

(3) Notes to quarterly consolidated financial statements(Notes on premise of a going concern)
Not applicable.
(Notes on any significant change in shareholders' equity)
Not applicable.
(Segment information)[Segment information]
I. First three months of the previous consolidated fiscal year (from January 1, 2022 to March 31, 2022)
1. Information on the amounts of net sales, and profit or loss by reportable segment(in millions of yen)

Adjustments(Note 2)

Amount statedin quarterly
consolidated
financialstatements(Note 3)

12,605－

12,605

81

139

(139)

－

12,65688

12,745(139)

12,605

3,437

(14)

3,422

(81)

3,341

Reportable segments
Other (Note1)

IT Consulting& ServiceBusiness

BusinessInnovation
Business(1) Sales to outsideclients

10,833

1,765

12,5987(2) Intersegment
sales or transfer

48

9

58

Total

10,882

1,774

Segment profit (loss)

3,505

(67)

Total

Total

Net sales(Note) 1. “Other” is a segment for operations not included in reportable segments. The segment covers investment in, holding of, andmanagement of securities.
2. Adjustments to segment profit (loss) represent the amount of intersegment transactions eliminated, and income and expenses of theholding company excluding the technology segment.
3. Segment profit (loss) is adjusted with operating income in quarterly consolidated financial statements.

II. First three months of the current consolidated fiscal year (from January 1, 2023 to March 31, 2023)
1. Information on the amounts of net sales, and profit or loss by reportable segment(in millions of yen)

Adjustments(Note 2)

Amount statedin quarterly
consolidated
financialstatements(Note 3)

13,965－

13,965

97

131

(131)

－

13,976120

14,097(131)

13,965

3,208

(31)

3,177

(4)

3,172

Reportable segments
Other(Note 1)IT Consulting& ServiceBusiness

BusinessInnovation
Business(1) Sales to outsideclients

12,231

1,710

13,94123(2) Intersegment
sales or transfer

12

22

34

12,243

1,732

3,381

(173)

Total

Total

Net sales

Total
Segment profit(loss)(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 to segment profit (loss) represent the amount of intersegment transactions eliminated, and income and expenses of theholding company excluding the technology segment.
3. Segment profit (loss) is adjusted with operating income in quarterly consolidated financial statements.

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3. Supplementary Information
Orders received(in millions of yen)

Category

First three months of the previous
First three months of the current
consolidated fiscal year
consolidated fiscal year
(From January 1, 2022 to March 31, 2022) (From January 1, 2023 to March 31, 2023)
Orders received

IT Consulting & Service Business

Category

Business Innovation Business
Total

Order backlog

13,311

14,415

16,290

697

439

721

767

13,206

13,75015,137

17,058Fourth quarter of the previous
consolidated fiscal year
(From October 1, 2022 to December 31,
2022)
Orders received

IT Consulting & Service Business

Orders received

12,508Business Innovation Business
Total

Order backlog

10,051

Order backlog
14,106First quarter of the current consolidated
fiscal year
(From January 1, 2023 to March 31, 2023)
Orders received
14,415

Order backlog
16,290

1,182

703

721

767

11,23314,80915,137

17,058-9-