April 30, 2020
For Immediate Release:
MTI Ltd.
Toshihiro Maeta,President and Chief Executive Officer
Listing: Tokyo Stock Exchange(First Section) [9438]
Contact: Hiroshi Matsumoto, Senior Managing Director
Tel: +81-3-5333-6323

Notice Concerning Posting of Extraordinary Income, Differences between Forecasts
and Actual Results for the First Half of the Fiscal Year and Revisions to Full-Year Results Forecasts

MTI Ltd. (hereinafter the “Company”) announces that the Company will post extraordinary income as stated below
for the second quarter of the fiscal year ending September 30, 2020 (from January 1, 2020 to March 31, 2020).
In addition, the Company announces that the Company will revise the forecasts for the first half of the fiscal year
ending September 30, 2020 and revise the earnings forecast for the fiscal year ending September 30, 2020
announced on February 3, 2020,Detail are as follows.

1. Posting of Extraordinary Income and Extraordinary Losses
The Company will post an extraordinary income of 519 million yen and extraordinary income of 246 million yen
on a non-consolidated basis, due mainly to the factors stated below.
(1) Posting of a consolidated gain on step acquisitions
The Company acquired additional shares in Crowd Cast, Ltd. (hereinafter “Crowd Cast”), its equity method
affiliate, and converted it into its consolidated subsidiary. With this step, the Company will post a gain on step
acquisitions of 272 million yen under extraordinary income as a gain on revaluation of equity interests owned
before the additional share acquisition using their market value at the time of the acquisition concerned.
(2) Posting of gain on sales of investment securities in consolidated and non-consolidated financialresults
The Company will record 246 million yen in gain on sales of investment securities as a result of selling ourshares.

12. Revision of the consolidated results forecast(1) Differences between forecasts and actual results for the first half of the fiscal year ending
September 30, 2020
(October 1, 2019 – March 31, 2020）

Previous announced
forecast (A)Current announced
forecast (B)Differences（B-A）
Differences（%）（Reference）
Actual results in the previous
fiscal year
(For the first half of thefiscal year ended September30, 2019)

ProfitNet
attributable toincome
owners of parent per share

Net sales

Operatingincome

Ordinary
incomeMillions of yen

Millions of yen

Millions of yen

Millions of yen

13,0001,200

1,000700

12.81*

12,946

1,446

1,310

1,246

22.80

(53)

+246+310+546(0.4%)+20.6%+31.0%+78.0%

13,932

1,635

1,577

860

Yen

15.74

*The forecast for net income per share released on the previous occasion is a figure taken from the Summary of Consolidated
Financial Results for the First Quarter of the Fiscal Year Ending September 30, 2020 (released on April 30, 2020) in which figures
recalculated on the basis of the number of outstanding shares (excluding treasury shares) as of March 31, 2020 are stated.

[Reasons for the differences]
Net sales were almost in line with expectations, reflecting the effect of accepting the transfer of businesses
such as the musico music streaming website, although the number of paying subscribers declined year onyear.
Operating income and ordinary income exceeded the most recent forecasts, reflecting controlled
advertising expenses against the backdrop of a slow rise in subscriptions of smartphone-based paying
subscribers.
Profit attributable to owners of parent was significantly higher than the initial forecast, aided by theposting of extraordinary income as described in 1. above.

(2) Revision of the consolidated financial forecast for the full fiscal year ending September 30, 2020
(October 1, 2019 – September 30, 2020)
ProfitNet
Operating
Ordinary
Net sales
attributable toincome
incomeincomeowners of parent per share
Yen
Millions of yen
Millions of yen
Millions of yen
Millions of yen
Previous announced
26,000
2,000
1,920
1,200
21.96*
forecast (A)Current announced
forecast (B)Differences（B-A）
Differences（%）(Reference)
For the fiscal year ended
September 30, 2019

26,000

2,500

2,400

1,700-+500+480+500-+25.0%+25.0%+41.7%

27,112

2,959

3,134

1,508

31.11

27.57

*The forecast for net income per share released on the previous occasion is a figure taken from the Summary of Consolidated
Financial Results for the First Quarter of the Fiscal Year Ending September 30, 2020 (released on April 30, 2020) in which figures
recalculated on the basis of the number of outstanding shares (excluding treasury shares) as of March 31, 2020 are stated.

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[Reasons for the revisions]With respect to forecasts for full-year consolidated results for the fiscal year ending September 30, 2020, theCompany has made upward revisions to operating income, ordinary income and profit attributable to owners ofparent, taking into consideration differences from the most recent forecasts that occurred to the financial results
for the first half of the fiscal year under review. The Company believes that the spread of the COVID-19
coronavirus has a minor impact on forecasts for the full-year consolidated financial results at the present time.
Even so, it will make disclosures promptly if any event that is expected to have a serious impact is identified,going forward.
＜Points to consider concerning forecasts
Matters stated in this material concerning results forecasts are based on assessments, assumptions andconvictions derived from information available to the Company at the time when this material is published.
They may differ significantly from actual results due to a variety of factors, including future economic
conditions in Japan and overseas, changes in conditions for business operations in Japan and overseas, oruncertain factors and potential risks inherent in forecasts. Those risks and uncertain factors include
unpredictable effects on results that may arise from future events.

Note: This document has been translated from a part of the Japanese original for reference purposes only. In theevent of any discrepancy between this translated document and the Japanese original, the original shall prevail.
The Company assumes no responsibility for this translation or for direct, indirect or any other forms ofdamages arising from the translation.

Contact information for inquiries
Investor Relations OfficeTel: +81-3-5333-6323
Fax: +81-3-3320-0189
E-mail: ir@mti.co.jp URL： https://www.mti.co.jp/eng

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