・This is Oyama, president and CEO of Broadleaf Co., Ltd.
・Thank you for participating in the online briefing session for FY2020.

・I would like to start with a summary of the financial results for FY2020. Please refer to page 3.

・Operating profit exceeded forecasts, but both revenue and profit decreased year on year.
・The reason for the shortfall in sales was the additional freezing deals in non-automotive sector andthe concentration in the number of business negotiations in automotive sector in December, which
pushed some of them back to 2021.
・Negotiation period in sales activities prolonged due to the impact of COVID-19, but we were able
to recover the negotiation period to normal level in Q4 by promoting the penetration of online
negotiations.
・In terms of customer status, business conditions have been stable in automotive sector, mainly in
auto maintenance shops, while business conditions have remained severe for travel agencies and bus
operators.
・Demand in work analysis software OTRS have also stayed weak due to the impact of COVID-19.
・Next, I will provide an overview of the consolidated financial results. Please refer to page 4.

・From Q2 to Q3, business negotiation period prolonged due to the impact of COVID-19.
・Revenue declined for the full fiscal year.

・The decline in Profit before tax was larger than the decline in Operating profit due to financial
expenses incurred as a result of revaluation of investment financial assets.
・Next, I will explain revenue by the category of Platform. Please refer to page 5.

・For Basic, lump-sum of PaaS/SaaS is linked with the annual number of software sales, so revenue
decreased.
・Meanwhile, monthly-sales of PaaS/SaaS and IaaS continued to increase because these sections
mainly consist of stock sales, which are proportional to the number of customers.
・Within EDI/Payment, PSF is a payment agent fee for recycled auto parts transactions. The slump in
the recycled parts market was the main factor behind decrease in revenue.
・BLP/CPT is an ordering platform for auto parts through our products. Due to an increasing numberof user companies, we are steadily building up sales.
・Among Support services, revenue of Maintenance continue to increase in line with an increase in
the contract rate.

・Supplies are sales of printed forms and other products associated with our service. Purchasebehavior seem to be influenced by the external environment, resulting in a decrease in revenue.
・Revenue of Others increased due to steady growth in the number of companies using BL.
Homepage Premiums, which is one of the DX products.
・Next, I will explain revenue by the category of Application. Please refer to page 6.

・For Application, revenue decreased due to lower annual software sales.
・For By industry, revenue decreased in Automotive section due to prolonged business negotiations.

・Non-automotive section was impacted by prolonged business negotiations as well as fewer renewalsof customer and some deals being postponed or frozen.
・The Company’s work analysis software, OTRS, is used for operational analysis of production lines
and other facilities, mainly in manufacturing industries. Therefore, demand declined due torestrained investment on plants and other facilities as well as lower operation rate.
・For Others, revenue increased due to a big deal of equipment sales.
・Next, I will explain the trends in customer numbers and monthly sales. Please refer to page 7.

・In FY2020, the number of customer continued to grow due to acquisition of new customers, despitea year-on-year decrease in software sales.
・In addition, various types of service required when using software adopt monthly contract.
Therefore, they are stock-type sales that increase as the number of customers increases.
・In revenue categories, these services are included in monthly sales of Platform and continue toincrease their sales without being affected by external conditions, as shown in the graph on the right.
・Next, I will explain the breakdown of changes in operating profit. Please refer to page 8.

・The decrease in cost of sales was limited due to an increase in amortization expenses of cloudservices.
・On the other hand, advertising expenses declined, since we withdrew from attending exhibitions dueto the spread of COVID-19.
・Selling, general and administrative (SG&A) expenses decreased by 718 million yen as a result of
reduction in operating and other expenses.
・Next, I will explain the status of our balance sheet. Please refer to page 9.

・In assets, intangible assets increased due to investment in development of cloud services.
・Other financial assets decreased due to revaluation of financial assets.

・Contract liabilities are decreasing.
・This is because network use fee (monthly sales) of the subsidiary Tajima was received in advancefor several years in a lump sum, so the balance will decline along with the recording of sales.
・In addition, long-term interest-bearing debts decreased.
・Total equity increased due to recognition of profit of FY2020.
・Next, I will explain the cash flow situation. Please refer to page 10.

・Cash flow from operating activities increased year on year, mainly due to a large decrease inoperating and other receivables.
・Cash flow from investing activities decreased. While making progress in cloud services
development, we decreased other investments.
・As a result, free cash flow increased by 2,510 million yen year on year, to 2,283 million yen.
・Next, I will explain our mid-term management policies. Please refer to page 12.

・Our basic management policy is not only to stabilize as a company, but also to evolve into a highgrowth company.
・We have gained a large market share within the stable market. However, we are aiming to achieve
higher growth not only by providing services in the market alone, but also digitally connecting
various customers with each others.
・Our main product is business software, which is responsible for the core operations of customers’
business. This business area is stable, but we believe there is still room for extension.
・As an approach, we will continue to implement measures to improve the profitability of our coresoftware business and measures to create businesses in new areas in parallel.
・In DX area, which is a growing market, we will make progress in DX of our customer companies
and ourselves, taking into account the movements of online shift, remote shift, and digitalization
which is a national policy.
・In addition, there are major changes in development of electronic vehicle and autonomous driving,
and we believe that there will be more opportunities for investing in various types of ITs.
・In MaaS, a variety of players have started entering the market We are focusing on developments
focusing on MaaS such as development of service provision infrastructure, and we expect demand toincrease further.
・Next, I will explain our efforts to link these growth opportunities to our evolution. Please refer topage 13.

・Over the 3-year period from 2021 to 2023, we will advance measures for evolution under the theme of"2 DX."
・The first DX is to promote the Digital Transformation (DX) of our customers and contribute to thecreation of a business environment that will lead to the creation of new value for them.
・In the second DX, on our unique IT platform, we gather, analyze, anticipate, and integrate information
obtained from not only software users but also from various 3rd parties, and provide them after
increasing the added value of information.
・This is what we call Data Exchangers (DX) which is a key element in organically linking our businessdevelopment to digital transformations (DX), evolution of vehicles such as EV and autonomous
driving, and MaaS domain.
・As a data exchanger (DX), we will accelerate our efforts to solve social issues by providing value toour customers.
・We will continue these efforts to evolve into a high-growth company.
・Next, I will explain our priority measures for the period from 2021 to 2023. Please refer to page 14.

・There are 4 priority measures.
・Measure 1 is to introduce new cloud-based model of the software to the market.

・Measure 2 is to extend our DX solutions and strengthen their linkage function with our software.
・Measure 3 is to greatly improve the ordering platform for auto parts, and improve its convenience,increase the variety of goods handled, and open the platform to software non-users.
・Measure 4 is to extend the service of providing platform for MaaS businesses, which have alreadybeen launched abroad, and increase the number of users, the scope of use, and the volume of use.
・For each of these priority measures, this slide show on which elements of our profitability will themeasures give effect, how the measures will be beneficial for customers, and how the measures canimpact the society and to which aspects can the measures contribute.
・With regard to social benefits, we intend to connect expansion of earnings with contribution to society
by actively engaging in the society from the perspective of SDGs' basic philosophy.
・Next, I will explain the relationship between priority measures. Please refer to page 15.

・Our service are all standardized on the infrastructure layer of cloud platform.
・Components of infrastructure-layer platform is provided to the 3rd party as API in the form of service
menu for each module.
・We provide a development program to a system development company (3rd party), which we can offer
without customization.
・Currently, Zenmov, which operates operation management platform for MaaS, is providing integrated
service including operational management system to MaaS operators, using our API.
・In addition to companies such as Zenmov which have specialized applications, we also have API thatfacilitate functional collaboration and data collaboration with accounting software, ERPs, groupware,and other products.
・In this way, we have been developing cloud platforms with the aim of expanding the number ofproviders of our platform to a wide range of fields, centered on mobility, through various 3rd parties.
・Up until now, software business was the object of public attention, but we have already started theplatform business, and we have built an infrastructure layer that can expand our knowledge, data, andservice to a wide range of industries, and we have gained a foothold in this fiscal year that enables us toexpand into a different business area than in the past.
・We believe that aggressively promoting new cloud platform is a shortcut to growth, so our strategy is tocontinue additional investment in the development investment and achieve early growth as well as
expansion of earnings at an early stage.
・Next, I will explain how our sales structure will change due to the 4 priority measures. Please refer topage 16.

・As a result of measure 1, sales recognition will change to full monthly charge due to the cloud shift.
・Sales in the software business will temporally decline as majority of the present customers migrate
to a new cloud-based software.
・By the time most of customers complete their transition to the new cloud-based model, we expect
not only the sales of the software business to change to stock-type, but also revenue to grow.
・Strategy 2 is expected to provide synergies through functional coordination between DX Solutions
and cloud-based software.
・Measures 3 will lead to an increase in the number of users of the ordering platform and an increasein the utilization rate.

・Through Policy 4, we will diversify our revenue sources and evolve into a high-profit, high-growthcompany through the provision of platforms services centered on MaaS area.
・Next, I will explain each of our priority measures. Please refer to page 17.

・Policy 1 is to introduce new cloud-based model of the software in the market.
・Instead of merely changing the model of the software, through the introduction of the software,companies will be able to introduce only the required number of ID for required roles.
・For the Company, we will work to optimize revenues by establishing an optimal fee system, change
sales recognition to a monthly type, and increase the stock of sales.
・We will expand revenue further by combining measured-rate charges.
・These changes will greatly change the sales model of our software business.
・In addition, because we have a standardized service provision platform, we will be able to reducerunning costs for software maintenance and IT infrastructures, which will lead to higher margin in
the business.
・Next, I will explain the timing of the market introduction and how it will be deployed. Please referto page 8.

・Some of the major customer are already in the process of introduction through provision of modules.
・We have begun to propose orders through a similar scheme by narrowing down the number of proposals.
・Previously, our business model was to listen to customers’ requests and customize the service with ourresources. The cloud model, however, allows us to provide a foundation and service, and customization
will be easily conducted by customer and 3rd parties.
・Since 3rd parties will put a dedicated system on our system, we are transforming to a model in which
infrastructure use fee is collected from development companies by receiving a portion of their revenue.
・Regarding products for gas stations, we will narrow the number proposal to customers during 2021.
・In order to prioritize early market penetration, the standard version will be launched in stages from theend of 2021, delaying the schedule by about 1 year, in order to make large promotions at the optimum
timing. We sill first introduce the software mainly in specific major companies that will frequently use
the platform.
・However, depending on the external environment, including the situation of the COVID-19, theschedule may be strategically revised, so please be aware.
・In addition, with the early adoption of the ordering platform for auto parts in mind, we are planning tolaunch products for industries other than auto maintenance shops at the same time.
・Ordering platform is also designed to meet all the requirements of a standardized open EDI. We aredeveloping an infrastructure that can introduce ordering processes for various industry.
・Pricing is currently undecided, but will be announced as soon as it is determined.
・Next, I will explain the sales model of our software business. Please refer to page 19.

・Currently, sales in the software business are based on multi-year use fee of the software which isrecognized as sales in a lump sum, plus flat-rate monthly sales such as database use fee.
・When this moves to the new cloud-based model “.c Series”, sales recognition of lump-sum becomes
monthly flat-rate, and role licenses are charged for each ID of end users.
･ In addition, we will also use charges based on measured-rate, such as the number of forms output.
・In addition to these, we will provide cloud modules as API to certain major customer, and theprovision of SDKs and API to 3rd parties will increase.
・Like Apple Store, 3rd parties will provide applications on our platforms and share a portion of theirprofit.

・In this way, we believe that the multi-layered sales structure of the software business and the fee
system that is easier for customers to introduce, will lead to sales growth.
・Next, I will explain the strengthening of DX solutions. Please refer to page 20.

・As a result of the impact of COVID-19, there are growing needs among our customers for DX
solutions as tools to strengthen and expand their contacts with car owners.
・In addition, with the advancement of digital administration, various procedures are changing toonline.
・We have been providing information technology tools to enhance the function of business softwareand increase contact with car owners and other consumers so that customers can respond to theseneeds.
・In addition, we have decided to provide Google Workspace from us to customers.
・Google Workspace and our business software will be linked through the ID of end user and will beable to collaborate their functions.
・Originally, the introduction rate of IT in the industry was considered to be slightly lower than inother industries, but the recent situation of COVID-19 has increased the needs and motivations forcontacting with car owners and making estimation using remote methods.
・Car owners will also be able to make reservations from their smartphones and check the car repair
status at any time 24 hours a day.
・By providing highly convenient tools, we will continue to promote DX, including car owners,
maintenance factories, and ourselves.

・Next, I will explain the EDI extension and the opening of the ordering platform to software nonusers. Please refer to page 21.

・Currently, we are providing the BL Parts Order System as an optional function of business software,and we plan to renovate this function as well.
・The new cloud model, ".c Series," will incorporate a new ordering platform as a standard function.
・This greatly improves convenience because when end users are making estimates and inputting autoparts information, the system will automatically display information on delivery dates and prices ofmultiple auto parts in real time at the back end.
・We are also expanding the functions of this system so that orders and payment information of autoparts can be exchanged in an integrated manner, including recycled parts.
・In addition, we are working to expand EDIs to include products other than auto parts, as well as toenable collaborations with other E-commerce site market places.
・Since the construction of extremely complex database is one of our strengths, we have prepared ainfrastructure for supporting EDI in industries that require ordering systems and in industries that
handles many goods.
・The ordering platform is not a user compensation such as business software and IT services, but ispositioned as a commission related to commodity transactions and payments, so it leads to billing
points, or market expansion, for us.
・For this reason, we will continue to strengthen our efforts to evolve into a high-growth company.

・Next, I will explain the development of MaaS platforms. Please refer to page 22.

・Mobility refers to all new moving objects that replaces the position current vehicles.
・Under parallel trends in the evolution of both hardware and service, it is certain that the entry of
new players and the emergence of new service will proceed.
・In terms of hardware, in addition to major information technology companies (GAFA, etc.) andelectronics manufacturers (SONY, etc.), ventures are entering the market as manufacturers.
・In terms of service, the content and methods of maintenance will change significantly, and as
autonomous driving progresses, we anticipate further rising demand for safety.
・In addition to the emergence of new transportation infrastructures, we believe that new service will
emerge, including service of spaces in the moving objects.

・Under this condition, we have already begun commercialization by providing a near-distancetransportation network platform to a new transportation infrastructure operated as a MaaS businessby Pasay city in the Philippines.
・Regarding MaaS in Pasay city, I will explain the topic in more detail later.
・The priority measures are described above, but we will continue to explain the concept of Data
Exchanger. Please refer to page 23.

・In addition to data on input and output via business software, we also accumulate data on
automobiles, such as transaction data on the ordering platform for auto parts, as well as record on
inspections, maintenance, repairs, and the purchase and sale of auto parts, as big data.
・This data and know-how of its analysis and forecast are utilized in the vehicle control by MaaS
operators, and are useful for maintenance and inspection to ensure the safety of vehicle operation.
・Meanwhile, the behaviors of ordinary consumers such as reservation information, ride information,and payment information are collected through MaaS operators and are accumulated as big data.
・Behavioral record for various consumers is accumulated by expanding the scope from public
transportation to various MaaS areas.
・As the handling of these items varies depending on the regulations of each country, we will analyze
them while controlling the scope of acquisition and utilization of data in accordance with regulations.
・These information should be attractive to many operators who are seeking to expand their value
chains by expanding points of contact with consumers.
・Our cloud platform and data exchange is a mechanism for converting these data accumulated on ourplatform into specific formats demanded by users and changing it to valuable information.
・Next, I will explain the results forecasts for FY2021. Please refer to page 25.

・Of the 3-year priority measures, the factor which affects the business results of FY2021 is the salesof cloud modules to major customer companies, which is part of Measure 1.
・In addition to add-on modules developed by other system company (3rd-party), we will provide
configuration modules for cloud software.
・Until now, in the case of multi-year contracts, sales were recognized in a lump sum at the time ofsale, but in the case of selling cloud products and cloud modules, sales are recognized on a monthly
basis.
・The impact of this change in sales recognition is expected to be 500 million yen.
・Although this change will be a factor for decrease in revenue in a single fiscal year. the conversion
to the cloud version will increase the usage rate of major customer and the use of additional
functions will increase. Therefore, the Lifetime Value (LTV) per customer will increase.
・Other from that, the impact of launching cloud software is minimal, so this will be a year in which
we will focus on expanding our business and make investments to encourage further growth.
・Next, I will explain our forecast of consolidated financial results. Please refer to page 26.

・For FY12/2021, the company forecasts revenue of 20.1 billion yen (down 1,062 million yen YoY),
operating profit of 2.4 billion yen (down 1,735 million yen), and profit of 1,550 million yen (down
915 million yen).

・We intend to invest for sustainable high growth and to proceed with the transition to cloud services.
・Next, I will explain the forecasts by revenue categories. Please refer to page 27.

・For Platform Basic, revenue is expected to be about same level year on year. While monthly fees
such as database use fee will be accumulated, the revenue linked to the number of software sales
will decrease.

・For EDI and settlement, revenue is expected to increase due to an increasing trend in the number ofusers of ordering platforms.
・For Support service, revenue is expected to increase due to an increase in the contract rate formonthly maintenance service for software users.
・For Application By industry, revenue is expected to decrease primarily due to a change in sales
recognition associated with offering of cloud modules to certain major customers.
・Another factor behind the decrease in revenue is the expected decline in the number of deals in nonautomotive sector.
・For OTRS, the forecast is particularly cautious in the first half of the fiscal year, as we believe it
will take some time before demand recovers in the market.
・Next, I will explain the breakdown of changes in operating profit. Please refer to page 28.

・Amortization expenses included in cost of sales is expected to increase as cloud-based software andvarious platform menus are released in stages.
・SG&A expenses also include expenses related to upgrading service provision infrastructure due tocloud migration.
・We anticipate that operating expenses will gradually return to its normal level on the assumptionthat the level of operating activities would gradually return.
・Consequently, operating profit is expected to be 2.4 billion yen (down 1,735 million yen year onyear).
・Next, I will explain the dividend. Please refer to page 29.

・As previously announced, the year-end dividend in FY2020 will be 6.60 yen per share.
・We decided to change our dividend policy from FY2021.

・The new dividend policy is “Our basic policy is to distribute earnings in accordance with businessresults and we aim for a consolidated dividend payout ratio of 35% or more."
・Based on this new dividend policy, we expect to pay an interim dividend of 3.5 yen per share, yearend dividend of 3.5 yen per share and a full-year dividend of 7 yen for FY2021. The forecast for the
consolidated dividend payout ratio is 39.7%.
・We will make investments for acceleration, which will temporarily result in a decline in profits.
However, our policy is to expand earnings through future growth and pay dividends based on this
dividend payout ratio, so please take this opportunity.

・Finally, as a topic, I will provide a supplemental explanation of the situation of the business ofPlatform service for MaaS operators. Please refer to page 32.

・As explained in the press release released on February 9, our group provided platform for theoperation of the new transportation infrastructure in Pasay city, the Philippines, as an one-stop
service.

・This is not a demonstration experiment of the new transportation infrastructure, but it is already in apractical phase.
・Please refer to page 33 for an overview of service offered by our group.

・We are providing Broadleaf Cloud Platform.
・The system is now in operation by controlling data conversion as well as data accumulation andanalysis of the data operation management system through the payment service and linking it withthe operation management system through API.
・BLISAM TRADING CORP, which provides one-stop service for periodic inspections, is a joint
venture with Broadleaf Co., Ltd. and Standard Insurance Co, Inc. which is a major non-life
insurance company in the Philippines.
・We also provide coverage of insurances at the same time.
・Broadleaf IT. Solutions Inc is a local subsidiary which conducts businesses in the Philippines and is
structured to provide Broadleaf Cloud Platform through this subsidiary.

・Currently, there are offers of this one-stop service as well as business negotiations on payment
service outside Pasay city, and we will work hard to expand them.
・The benefit of this service is that all the services can be performed in one-stop operation, including
management and operation of vehicles, payments and collections of cash, periodic inspections andinsurance coverage, which significantly reduces management costs of the administration.
・E-tricycle, which is electric vehicle, is seen as a tool to improve traffic conditions and emission
conditions in Southeast Asia, and we are receiving inquiries from various cities.
I would like to close my explanation. Thank you for your participation.