Tokyo Stock Exchange Prime Market Stock code: 4323
June 10, 2024

FY2024.3
Financial Results Briefing
Japan System Techniques Co., Ltd.

©2024 Japan System Techniques Co., Ltd.

Contents

I. FY2024.3 Summary
II. Performance Overview
III. FY2025.3 Forecasts and Latest Initiatives
IV. Long-term Growth Strategy
V. Appendix©2024 Japan System Techniques Co., Ltd.

1

I. FY2024.3 Summary

1. Consolidated Results of Operations Comparison
with Prior Years(M¥)
2022.32023.3Full year

Full year

2024.3Full year

YoY

2,450

26,183
7,268
27.75
2,791
10.66
2,861

+11.3%+14.0%+0.64+17.0%+0.52+16.8%

1,330

1,772

2,086

+17.8%

Total assets

15,53917,413

Net assets

9,194

10,816Equity ratio (%)

58.94

61.84

20,022
12,71263.22+15.0%+17.5%+1.38

PER (times)

11.88

12.46

PBR (times)

1.71

2.05

ROE (%)

16.66

17.78

ROIC (Invested capital) (%)

16.54

17.08

WACC (%)

4.58

6.09

19.11
3.51
17.82
17.17
7.47

+6.65
+1.46
+0.04
+0.09
+1.38

1,448

1,687

1,847

+9.5%

95

117

117

+0.0%

Net sales

21,39923,519Gross profit

5,688

6,375

26.58

27.11

2,000

2,385

9.35

10.14

Ordinary income

2,052

Profit attributable toowners of parent

Margin (%)

Operating income
Margin (%)

Number of employees(person)New employees◆ Performance• Net sales increased for 13 consecutive years andreached a record high for 11 consecutive years• Ordinary income increased for 9 consecutive years andreached a record high for 5 consecutive years• Operating margin continued to improve at the 10%level◆ Financial condition• Continuing stability of financial base due to continuous
increase in profit and good liquidity on hand

◆ Capital efficiency• Both ROE and ROIC increased for four consecutive years• PBR remained at a level above 3 times◆ Number of employees• Recruitment of new graduates fulfilled as initiallyplanned©2024 Japan System Techniques Co., Ltd.

2

I. FY2024.3 Summary

2. Digest by Segment
Segment(M¥)

Business Conditions and Factors of Increase/Decrease

Net sales

OperatingincomeOperatingmargin2024.3Full year

15,251

2,250

14.8%

YoY

+6.4%

+8.3%

+0.3

• For the GAKUEN series, strong PP sales due to replacement demand from the current customers andthe addition of new customers• Small decrease in BankNeo PP sales following the rapid increase in these sales in the previous fiscal year

2024.3Full year

4,933

1,383

28.0%

YoY

+9.9%

+10.6%+0.2

Medical big
data business• Big increase in analysis service sales because of one-time demand involving the Japanese government’s
data health plan (phase 3)• Highly profitable business models, including the cloud-based receipt management system, also
contributed to sales and profit growth2024.3Full year

2,644

686

25.9%

YoY

+30.8%+50.1%+3.3

Globalbusiness• Increasing interest in Malaysia in support services for the installation and use of SAP* software• In Thailand, sales and earnings increased at Bright & Better Co., Ltd., which was established by JAST in
2022

2024.3Full year

3,354

402

12.0%

+25.5%+48.3%<Operating margin>

+1.9

DX&SI
business• Expansion of new and existing large prime projects• Improved profitability due to larger percent of service/solution business sales

Packagebusiness<Net sales>(M¥)

30,00025,00023,51920,000

2,673
2,021
4,489

15,0005,000

26,183

2,385 271

4,000

3,354
2,644

457

3,000

4,933

1,250

2,000

14,3352,078(1,671)(1,000)

30.0%

1,383

20.0%

2,250

2024.3

25.0%

15.0%

22.6%
14.5%

(1,931)

5.0%

28.0%
25.9%
14.8%
12.0%

10.1%

0.0%
2023.3(Full year)

Package business

27.8%

10.0%

(2,000)2023.3

(%)

2,791
402
686

0

15,251

0

DX&SI business<Operating income>

1,000

10,000
5,000

(M¥)

YoY

2024.3 (Full year)

Medical big data business*Trademarks of other companies' solutions are listed under “Trademarks” at the end of this document.

2023.3Global business2024.3 (Full year)

Common expenses©2024 Japan System Techniques Co., Ltd.

3

I. FY2024.3 Summary

3. Topics (From FY2024.3 3Q)
Business Activities• Demonstration trial starts for use of generative AI at the iBss call center [December 20, 2023]• GAKUEN series price revisions on April 1, 2024 [January 30, 2024]• JAST starts sales of smartphone app of the insurers business support system (iBss) [March 15, 2024]• Received a Salesforce* Japan Partner Award 2024 in the financial services category of the industry of the year awards [April 30, 2024]

Shareholder Returns• A 2-for-1 common stock split on April 1, 2024 [February 29, 2024]• Year-end dividend forecast increased from the initial forecast of ¥40 to ¥45 per share [April 26, 2024]

M&A / Alliance• Absorption of ISR Co., Ltd. [October 23, 2023]• JAST becomes a member of the Association of Medical Databases in Japan [December 1, 2023]• Acquired 100% of the shares of K-SHIP Co., Ltd., an industry leader in receipt inspection and health guidance [January 26, 2024]• Start of closed beta testing of the AI career path determination app “MiraThin” for Generation Z students by JAST and Kindai University graduate student
start-up “YARUKA YARANKA” [March 13, 2024]• JAST starts new product development with the Japan Weather Association using the Medical Data PROVISION [March 26, 2024]

Corporate Governance• Decision to transition to the company with an audit & supervisory committee system [December 20, 2023]• Decision to introduce the Board Benefit Trust-Restricted Stock (“BBT-RS”) compensation plan for directors and executive officers [May 23, 2024]*Trademarks of other companies' solutions are listed under “Trademarks” at the end of this document.

©2024 Japan System Techniques Co., Ltd.

4

Contents

I. FY2024.3 Summary
II. Performance Overview
III. FY2025.3 Forecasts and Latest Initiatives
IV. Long-term Growth Strategy
V. Appendix©2024 Japan System Techniques Co., Ltd.

5

II. Performance Overview

1. Consolidated Financial Results (1) Consolidated Income Statement
2022.3First
half

Secondhalf

Net sales

10,042

Cost of sales
Gross profit

2023.3Full year

First
half

Secondhalf

11,297

21,39911,004

7,323

8,388

15,711

2,719

2,969

Margin (%)

27.1

Selling, general andadministrative expenses
of which R&D
expenses

2024.3(M¥)

2024.3 initial forecast

Full year

First
half

Second
half

Full
year

12,51523,51912,132

14,051 26,183

8,076

9,067

17,143

8,875

5,688

2,927

3,448

6,375

26.3

26.6

26.6

27.6

1,726

1,961

3,687

1,924

160

276

436

992

1,008

9.9

Vs. 2023.3
Full year

Vs. actual+11.3%

25,300+3.5%

10,040 18,915+10.3%

-

-

27.1

3,257
26.8

4,011 7,268
28.5 27.8+14.0%
+0.7

-

-

2,066

3,990

2,253

2,223 4,476+12.2%

-

-

199

270

469

120

353

-24.7%

-

-

2,000

1,003

1,382

2,385

8.9

9.3

9.1

11.0

10.1

1,004

1,048

2,052

1,037

1,413

2,450

1,003
8.3
1,008

1,788 2,791
12.7 10.7
1,853 2,861+17.0%+0.6+16.8%

2,540
10.0
2,600

+9.9%
+0.7
+10.0%

Margin (%)

10.0

9.3

9.7

9.4

11.3

10.4

8.3

13.2

10.9

+0.5

10.3

+0.6

Profit attributable to ownersof parent

686

644

1,330

737

1,035

1,772

651

1,435 2,086+17.7%

1,880+11.0%

Margin (%)

6.8

5.7

6.2

6.7

8.3

7.5

5.4

10.2

8.0

+0.5

7.4

+0.6

706

636

1,342

908

960

1,868

699

1,596 2,295+22.9%--

Operating income
Margin (%)

Ordinary income

Comprehensive
income233©2024 Japan System Techniques Co., Ltd.

6

II. Performance Overview

1. Consolidated Financial Results (2) Consolidated Balance Sheets
Total assets

2021.32022.32023.3End ofperiodEnd ofperiodEnd ofperiod2024.3End of period(M¥)

Vs. 2023.3

Composition
ratio

PercentagechangeDifference

14,18720,022
15,710100.0%
78.5%+2,609+1,523+15.0%+10.7%

546

631

1,065

5.3%

+434

+68.8%

378

274

242

Investments and other assets

2,243

2,329

2,352

490
2,755

2.4%
13.8%

+248
+403

+102.5%+17.1%

Total liabilities and net assets

12,861

15,53917,413Liabilities
Current liabilities
Non-current liabilities
Net assets
Shareholder’s equity
Share capital
Capital surplus
Retained earnings
Treasury shares
Accumulated othercomprehensive income
Share acquisition rights
Non-controlling interests

6,011
4,388
1,623
6,850
6,592
1,076
1,128
4,605
(218)

6,345
4,621
1,724
9,194
8,929
1,535
1,703
5,865
(175)

6,597
4,703
1,893
10,816
10,451
1,535
1,702
7,389
(175)

20,022
7,310
5,222
2,087
12,712
12,141
1,535
1,702
9,079
(175)

100.0%
36.5%
26.1%
10.4%
63.5%
60.6%
7.7%
8.5%
45.3%
(0.9)%+2,609
+713
+519
+194
+1,896+1,690+0+0+1,690+0+15.0%+10.8%+11.0%+10.2%+17.5%+16.2%
+0.0%
+0.0%
22.9%
+0.0%

220

230

316

517

2.6%

+201

+63.6%

5
31

34

47

53

0.3%

+6

+12.8%

12,861

15,53917,413

9,696

12,389Property, plant and equipment

542

Intangible assets

Current assets©2024 Japan System Techniques Co., Ltd.

7

II. Performance Overview

1. Consolidated Financial Results (3) Consolidated Cash Flows(M¥)

2018.3Full year

2019.3Full year

2020.3Full year

2021.3Full year

2022.3Full year

2023.3Full year

2024.3Full year

Cash flows from operating activities

642

1,342

417

2,131

1,162

1,073

Cash flows from investing activities

147(1,063)

(527)

87

(80)

(541)

789

279

(110)

2,218

1,082

532

38

1,157

(185)

(1,247)

486

(280)

2,785

4,204

3,908

4,853

6,463

6,793

1,888
(761)
1,127
(424)
7,515

Free cash flow
Cash flows from financing activities

Cash and cash equivalents at the end of period
(M¥)

(M¥)

<Consolidated Cash Flow>

3,000

9,000

2,500
6,463

2,000
1,500
1,000
500
0

4,204

7,515

7,500
6,000

4,853

4,500

3,908

3,000

2,785

789

6,793

2,218
279

1,082
(110)

532

1,127

1,500
0

(500)

(1,500)(1,000)(3,000)(1,500)(4,500)2018.32019.32020.32021.32022.32023.32024.3Left-hand scale:
Right-hand scale:©2024 Japan System Techniques Co., Ltd.

8

II. Performance Overview

1. Consolidated Results (4) Sales by Business Segment(M¥)

30,00026,18325,00023,51920,00016,86815,000

977
2,958

401

21,3992,673

18,789

2,087

2,021

1,072
1,367

1,383
1,419

1,806

3,613

3,912

18,019

3,354
2,644
4,933

4,489

4,784

10,00012,53011,965

12,073

12,721

2019.32020.32021.32022.3

DX&SI business

Package business

5,000

14,335

15,2512023.32024.30Medical big data business*Figures at the top of the graph are consolidated net sales (after consolidation and elimination).

(Full year)

Global business©2024 Japan System Techniques Co., Ltd.

9

II. Performance Overview

1. Consolidated Results (5) Operating Income by Business Segment
(M¥)

5,000

2,791
2,385

4,000

2,000

3,000

856
2,000

1,000

17

532

1,250

219

213

271
457

1,196

2,078
1,317

1,273
(20)

1,383

1,529

1,008

1,581

686

381

1,216

970

49

402

(217)

2,250

1,559

(50)

0

(1,255)(1,000)(1,307)(1,467)(1,519)(1,671)2020.32021.32022.32023.3

Medical big data business

Global business(1,931)(2,000)2019.3

DX&SI business

Package business*Figures at the top of the graph are consolidated operating income (after consolidation and elimination).

2024.3(Full year)

Consolidated eliminations and corporate SG&A
©2024 Japan System Techniques Co., Ltd.

10

II. Performance Overview

1. Consolidated Financial Results (6) Consolidated Number of Employees(Person)

2,000

1,847
1,800

1,687

1,600

118

122

1,448
1,320

1,400
1,200

1,111
77

1,000

600

87

587

106
418
332

157

247

234
800

1,164

617

107

88

95

107
228

80

83

187

200

146

158

607

628

669

723

574

589

2019.32020.32021.32022.32023.32024.3

206

400
200
0

DX&SI business

Package business*Figures at the top of the graph are the consolidated number of employees.

Medical big data business

Global business(End of FY)

Common expenses*Consolidated number of new employees as of April 1, 2024: 117©2024 Japan System Techniques Co., Ltd.

11

II. Performance Overview

2. Stock Price (1) JAST’s Stock Price and Volume
Prime Market
Conformity with listing maintenance standards

(¥)

2,500

(Thousands of shares)

15,000Stock Split (2)1 share → 2 shares

2,000

12,000Stock Split (1)1 share → 2 shares

Determined
Osaka
World Expo tobe held

First series of share acquisition rights
Completed exercise of the rights

1,500
The second Abe
CabinetCOVID-19

Listed on the First Sectionof the Tokyo Stock Exchange

Off-floor trading

Transition to
Tokyo Stock Exchange
Prime Market

9,000

Second series of shareacquisition rights
Completed exercise of the rights

1,000

6,000

Consumption tax 8%

Consumption tax 10%
COVID-19 changed tocategory 5 infectious disease

500

0

3,000

0

Apr-12

Apr-13Apr-14Apr-15

Apr-16

Apr-17

Apr-18Apr-19JAST Stock price (Left-hand scale)

Stock price information(Closing price on 3 June 2024)

Stock price¥1,618Apr-20

Apr-21

Apr-22

Apr-23Apr-24

JAST Volume (Right-hand scale)

EPS*Share prices prior to the stock split (effective date: 1 April 2024) are retrospectively adjusted.

¥93.77

PER

17.25

PBR

3.14

©2024 Japan System Techniques Co., Ltd.

12

II. Performance Overview

2. Stock Price (2) JAST’s Stock Price and Correlation of the Nikkei Stock Average
Prime Market
Conformity with listing maintenance standards

(¥)

2,500

(¥)
50,000Stock Split (2)1 share → 2 shares

2,000

40,000Stock Split (1)1 share → 2 shares

Determined
Osaka
World Expo tobe held

First series of share acquisition rights
Completed exercise of the rights

1,500
The second Abe
Cabinet

1,000

COVID-19

Listed on the First Sectionof the Tokyo Stock Exchange

Off-floor trading

Transition to
Tokyo Stock Exchange
Prime Market

30,000

Second series of shareacquisition rights
Completed exercise of the rights

20,000Consumption tax 8%

Consumption tax 10%
COVID-19 changed tocategory 5 infectious disease500

010,0000

Apr-12

Apr-13Apr-14Apr-15

Apr-16

Apr-17

Apr-18JAST Stock price (Left-hand scale)

Stock price information(Closing price on 3 June 2024)

Stock price¥1,618Apr-19Apr-20

Apr-21

Apr-22

Apr-23Apr-24

Nikkei Stock Average (Right-hand scale)

EPS*Share prices prior to the stock split (effective date: 1 April 2024) are retrospectively adjusted.

¥93.77

PER

17.25

PBR

3.14

©2024 Japan System Techniques Co., Ltd.

13

II. Performance Overview

3. Performance by Category (1) Package Business GAKUEN Sales by Category(M¥)

Category

5,000
4,500

4,150
3,832

4,000

7%
3,500

3,058
3,000

2,586
2,500

9%

8%
23%

3,615
8%

3,216
8%

7%

26%

23%

25%

18%
500
0

16%
16%

1,000

13%
10%

11%
18%

• Stock-type revenue

Purchase andsales

Purchase and sales of
hardware and third party’s
products• Enhancement of product lineup
through OEM

EUC
development

Individual contracted
development associated withpackage sales• High unit price SE• High profitability

Packagemaintenance

Maintenance contracts for
packaged products• Stock-type revenue

15%

15%

24%

System operation support

20%

24%
1,500

Operation
service

22%

22%

14%
19%

Feature

25%

23%

22%
2,000

Description

16%
15%

13%

Implementation Consulting for packaged
product implementation
service• Sales and profit linked with package
sales• Very high unit price

Package sales• Development investment being
completed• Extremely high profitability

11%
19%

17%

2019.32020.32021.32022.32023.3*Figures at the top of the graph are total sales of GAKUEN business.

18%

Sales of packaged products

2024.3 (Full year)©2024 Japan System Techniques Co., Ltd.

14

II. Performance Overview

3. Performance by Category (2) Sales by End User’s Industry(M¥)

30,00026,18325,00023,5196%
4%

21,39920,00016,86815,0007%
3%
22%

10,00015%
26%18,0197%
3%24%

Telecom

6%
4%

19%

21%

23%
23%

13%

23%
16%

14%
26%

5,000

15%
30%

28%

23%

22%
14%

14%

12%

6%

11%

15%

13%

14%

13%

2020.32021.32022.32023.32024.3 (Full year)

14%

15%

13%
2019.30

7%
4%

18,7896%
5%

Finance/Insurance/Securities

Service/Distribution

Manufacture*Figures at the top of the graph are consolidated net sales (after consolidation and elimination).

Education Institution

MedicalGovernment/others©2024 Japan System Techniques Co., Ltd.

15

II. Performance Overview

3. Performance by Category (3) Sales by Customer Group
Adding new customer groups due to business diversification while maintaining a base of ultra-long-term customers
Customer group*Years in parentheses indicate the number of years ofbusiness with JAST.

2023.32024.3Full year Full year

NTT (29 years)

16.9%

15.5%

TIS (27 years)

5.8%

4.9%

Honda Motor (40 years)

4.7%

4.7%

Fujitsu (47 years)

3.6%

4.4%

Duskin (35 years)
Above 5 companies
Prime transactions in Japan
Universities and other educational
institutions
Other foreign business transactions
Health insurance associations, local
governments, other healthcare-relatedcompanies
GAKUEN business agent

4.4%
35.5%
14.7%

4.2%
33.7%
20.6%

10.2%

11.7%

7.9%

10.1%

7.8%

5.3%

Financial institutions

4.1%

4.1%

Foreign energy-related public companies

3.6%

2.7%

Highway-related public companies

1.6%

0.5%

Others
Total

6.1%
100%

2.8%
100%

Foreign energy related publiccompanies, 2.7%

Highway-related
public companies,
0.5%

Others, 2.8%

Financial
institutions,
4.1%
NTT, 15.5%
GAKUEN businessagent, 5.3%
TIS, 4.9%
Other foreignbusinesstransactions, 10.1%

Honda Motor, 4.7%
Fujitsu, 4.4%

8.6%

8.4%
Duskin, 4.2%
Health insurance
associations, local
governments, other
healthcare-relatedcompanies, 8.4%

Universities and othereducational
institutions, 11.7%

Prime transactionsin Japan,20.6%©2024 Japan System Techniques Co., Ltd.

16

Contents

I. FY2024.3 Summary
II. Performance Overview
III. FY2025.3 Forecasts and Latest Initiatives
IV. Long-term Growth Strategy
V. Appendix©2024 Japan System Techniques Co., Ltd.

17

III. FY2025.3 Forecasts and Latest Initiatives

1. Policy for FY2025.3
Corporate Policy: Utilize the JAST DNA for the next 50 years of progress- Start innovations involving all JAST employees to make a further leap following its second foundation • Increase linkage with mega-solutions (SAP*, Salesforce*, others)• Strengthen marketing, more capabilities for upstream/ultra-upstream phases• More start-up activities for next-generation brand services

DX & SI business

GAKUEN• Larger share of each customer’s business and market expansion by using tactics for specificcategories, such as customer size
• Expansion of service lineup (consulting, DX products, infrastructure business)• Investments for business growth (new versions, new components, services for graduates)

BankNeo• Strengthen sales activities by using clearly defined tactics for specific customer segments• Increase added value by expanding the Salesforce* business• Differentiate BankNeo by enhancing the distinct features of its products and services

Package business

Medical big data business• Business growth (market share, automation/autonomy, service upgrades)• More alliances with medical DX vendors, academic institutions and others• A more powerful organization (management, marketing, specialist training, other activities)

Global business• Expansion of the SAP* business in terms of areas and the number of customers• Upgrade functions of current products and enlarge the coverage of solutions• Add products and expand to more trading areas by using alliances*Trademarks of other companies' solutions are listed under “Trademarks” at the end of this document.

©2024 Japan System Techniques Co., Ltd.

18

III. FY2025.3 Forecasts and Latest Initiatives

2. Earnings Forecast (1) FY2025.3 Forecasts
Aiming for 14th consecutive year of sales growth and 10th consecutive year of ordinary
income growth2023.3Results

Net sales

Operating income
Ordinary income
Net income

(M¥)

(M¥)

(M¥)

(M¥)

2024.3

Sales ratio

Results2025.3

Sales ratio

Forecast

Vs. 2024.3

Sales ratio

PercentagechangeIncrease

23,519100.0%

26,183100.0%

28,570100.0%+2,386

+9.1%

2,385

10.1%

2,791

10.7%

3,150

11.0%

+359

+12.9%

2,450

10.4%

2,861

10.9%

3,200

11.2%

+339

+11.8%

1,772

7.5%

2,086

8.0%

2,300

8.1%

+214

+10.3%©2024 Japan System Techniques Co., Ltd.

19

III. FY2025.3 Forecasts and Latest Initiatives

2. Earnings Forecast (2) Feasibility Analysis against FY2025.3 Forecasts(M¥)

Increase in R&D and otherup-front investments

Progress in DX of
management, increase inpersonnel expenses, etc.

Sales growthHigher
profitability
in allbusinesses

2024.3Operating income

Lower expenses due to
office expansion andother actions
completed in FY2024.3

2025.3Operating income
forecast©2024 Japan System Techniques Co., Ltd.

20

III. FY2025.3 Forecasts and Latest Initiatives

2. Earnings Forecast (3) Transition of Sales and Order Backlog
Business/Period(M¥)

2019.92020.32020.92021.32021.92022.32022.92023.32023.9DX&SI business

2,622

2,937

3,099

2,766

3,121

3,857

4,138

4,098

Package business

1,251

1,349

2,764

2,301

2,423

1,902

2,521

Medical big data business

549

532

782

692

900

727

Total order backlog

4,423

4,818

6,645

5,760

6,446

6,486

(M¥)

<Order backlog by business segment>

6,000

2024.3Vs. 2023.3

4,672

4,856

+18.5%

2,187

2,735

3,115

+42.4%

1,095

814

1,403

561

-31.1%

7,754

7,100

8,811

8,533

+20.2%<Relationship between order backlog andsales for the following two quarters>(M¥)

16,0005,000

14,0004,000

12,00010,000

3,000

8,000

2,000

6,000
4,000

1,000

2,000

0

0
2019.9 2020.3 2020.9 2021.3 2021.9 2022.3 2022.9 2023.3 2023.9 2024.3 (FY)

DX&SI business

Package business

Medical big data business*Global business is omitted due to the short-term nature of the remaining order period.

2019.9 2020.3 2020.9 2021.3 2021.9 2022.3 2022.9 2023.3 2023.9 2024.3 (FY)

Total order backlog

Sales for the following two quarters©2024 Japan System Techniques Co., Ltd.

21

III. FY2025.3 Forecasts and Latest Initiatives

2. Earnings Forecast (4) Research and Development Expenses
Investing actively in technological development and joint research in addition to product development
Continue research and development activities for a wide range of topics< R&D Themes >(M¥)

2023.3Full year

2024.3Full year

DX & SI business

108

74

Package business

179

126

Medical big databusiness

73

98

Others107

52

R&D Total

469

353

*1 2025.3

DX & SI business

Full year
forecast• Strengthening mega solutions• JAST branding of SI business

GAKUEN• RX product enhancement• Related solution expansion• New services expanded for graduates• New product development foruniversity students

BankNeo• New service development (AInatural language processing (NLP),
image recognition, co-creation
with customers)• Enhance products (SMART
BankNeo, Salesforce*2)

Medical big data business• iBss Function Expansion• AI/automation for higher operational
efficiency• New product and service research*1 The arrow angle in the full-year forecast for FY2025.3 is an image of the percentage increase/decrease.
*2 Trademarks of other companies' solutions are listed under “Trademarks” at the end of this document.

Others• New product development• New technology research• Joint research with industrial, academic andpublic sector industrial and academic
officials©2024 Japan System Techniques Co., Ltd.

22

III. FY2025.3 Forecasts and Latest Initiatives

3. Management with Priority on the Cost of Capital (1) Continued Increase in Market Capitalization<EPS> *1

<Market Capitalization>(¥)(100M¥)

120

800

56.16

80
40

85.08

72.25

33.02

700

34.11

26.98

41.25

0
End of
2021.3End of
2022.3End of
2023.3End of
2024.3500

Total market capitalization of tradable
shares achieved one year ahead ofplan*2 and complied with prime
standards.
449

400

<PER>
(Times)Steady growth of market
capitalization to achieve a “market
position shift from Micro-cap to
Small-cap”

300

25

14.55

10

14.00
10.70

223

19.11

16.00

20
15

600

Watching over
”EPS×PER＝Stoc price”• EPS• Continue observation inview of maintaining highlevels and improving
stock liquidity• PER
Plan and implement
measures for
improvements

200

14.48
18.00

100

158
136

85

183

115

5
0

0
End of
2021.3End of
2022.3End of
2023.3End of
2024.3End of
2021.3End of
2022.3End of
2023.3End of
2024.3～Mediumterm target
value

Results◆ Initial plan*2*1 Share prices prior to the stock split (effective date: April 1, 2024) are retrospectively adjusted.
*2 Plans and targets according to the “Plan for Compliance with the Listing Maintenance Criteria for the New Market Classification” (November 24, 2021).

©2024 Japan System Techniques Co., Ltd.

23

III. FY2025.3 Forecasts and Latest Initiatives

3. Management with Priority on the Cost of Capital(2) Perceptions Regarding Enhancement of Corporate Value
The PBR is higher than one and increasing rapidly
Our goal is an even higher PBR through equity spread*-oriented management.
<PBR>(Times)

<ROE>

(%)

17.80

20.0

4.0

17.78

3.51

3.5

15.0

16.66

3.0
9.74
2.5

10.0

2.05

2.0

More growth ofcorporate value by
earning an ROE higher
than the cost of equity

8.90

7.41

1.71

1.5
0.69

0.9

0.81

1.0

5.0

1.2

1.121.17
0.88

5.92
5.43
4.42
3.84

5.05

0.0

0.5

0.69

-0.49

0.65

0.0

-5.0

2024.32023.32022.32021.32020.32019.32018.32017.3ROE

2016.32015.32014.32013.32024.3

1.0 Boundaries

2023.32022.32021.32020.32019.32018.32017.32016.32015.32014.32013.3PBR(End of FY)

Cost of equity (3.67 - 4.75）(End of FY)**Equity Spread: Calculated as ROE - Cost of Equity, a positive value indicates the creation of shareholder value.
*Cost of Equity: Risk-free Rate + β (sensitivity) × Equity Risk Premium
The risk-free rate is based on the 10-year government bond yield as of March 29, 2024 (0.750%), and the Equity Risk Premium is derived from historical risk premium data over the past 50 years (4.03%) sourced from SPEEDA.
The β value is adjusted using past data of stock prices (including dividends) and TOPIX (including dividends) with the following formula: Adjusted β = 2/3 × β + 1 × 1/3. The upper and lower bounds are calculated based on
the data for the past 15 years, 10 years, and 5 years.
©2024 Japan System Techniques Co., Ltd.

24

III. FY2025.3 Forecasts and Latest Initiatives

3. Management with Priority on the Cost of Capital (3) Continuous Improvement of ROIC
Profit growth rate exceeded the rate of expansion of invested capital and improved by about 14 points in 10 fiscal years
The EVA spread* is increasing
(M¥)
2,400

(%)
20

<ROIC>

17.08

18

17.17

16.54

16
14

11.10

10

8.70

1,800
1,500

2,020 18,000
15,0001,200

12,00002024.32023.32022.32021.32020.32019.32018.32017.32016.32015.33.01

2014.32013.3

5.01

11,764 6,000
3,000

134

0

6
4

9,000

4,457

300

8.25

6.32

8

2

21,000

600

9.37

(M¥)
24,000

2,100

900

12

<NOPAT / Invested capital>(Full year)

NOPAT (Left-hand scale)
Invested capital (average for period) (Right-hand scale)

4.29
3.00

2015.3 end - 2024.3 end CAGR (10 fiscal years)

0

WACC (4.58 - 7.47)*

2024.32023.32022.32021.32020.32019.32018.32017.32016.32015.32014.32013.3

ROIC (Invested capital)(Full year)

NOPAT

Invested capital(average for period)

32.7%

9.3%

*EVA Spread: ROIC (invested capital) minus WACC. If this value is positive, the company is creating economic value in excess of the cost required by shareholders and creditors (WACC).
*WACC: Calculated as follows.
Interest-bearing debt / (market capitalization less treasury stock + interest-bearing debt) x (1 - effective tax rate) x cost of debt* + market capitalization less treasury stock / (market capitalization less treasury stock) + interestbearing debt) x cost of equity*Debt cost is the median of several listed companies with the same level of equity capital and equity ratio.
©2024 Japan System Techniques Co., Ltd.

25

III. FY2025.3 Forecasts and Latest Initiatives

4. Shareholder Returns (1) Dividend Policy
2023.3Results(¥)

Percentagechange2025.3
plan

27

(¥)

16.0

22.5

+6.5

+40.6%

Year-end dividend yield

(%)

1.8

1.2

-0.6

-

Number of shareholders at
the end of period(Person)

2,572

2,971

+399

+15.5%－

Market capitalization at theend of period(M¥)

22,353

44,955 +22,602+101.1%

－

DOE

(%)

3.64

4.36

－

4.57

+0.72

*The figures for the fiscal year ended March 31 represent the full-year performance figures, respectively.
*Amounts are rounded down to the nearest million yen.

44.9

25.4

10.9

13.9

19.5

46.3

Aim for same/higher
dividend every year

85.1

80

93.7

65
50

56.1
26

27.5

Guidelines:
Payout ratio of 30%
or
DOE of 4%

72.2

32

50

[Revised dividend
policy](%)<Net income per share and dividend payout ratio>

57.3

70

30

Increase/decrease

Dividends per share

110
90

Vs. 2023.3

2024.3Results

26.9

15.1

17.8

22.1

26.4

28.8

35
20

(1.4)

10

5

(10)

(10)
2015.32016.32017.32018.32019.3

Net income per share (Left-hand scale)*Share prices prior to the stock split (effective date: April 1, 2024) are retrospectively adjusted.

2020.32021.32022.32023.3

Dividend payout ratio (Right-hand scale)2024.32025.3 (fct.)(End of fiscal year)©2024 Japan System Techniques Co., Ltd.

26

III. FY2025.3 Forecasts and Latest Initiatives

4. Shareholder Returns (2) Shareholder Benefit Measures
Shareholder
characteristics

Number of shareholders *2 (Shareholding ratio*２)
End of Sep. 2023

End of Mar. 2024

ChangePercentagechangeIndividual shareholders

1,531 (8.87%)

1,890 (8.49%)+359+23.4%

Institutional investors,
financial institutions, etc.

99 (42.19%)

107 (43.09%)

+8

+8.1%

Others*1

498 (47.56%)568 (46.98%)+70+14.1%

Announced on November 22, 2023
For FY2024.3

50th anniversary special offers
Original QUO cards• Expected effect: expansion of shareholder base
• Eligible shareholders*3: Holdings of 200 shares (2 units) or more

Increase in overall yield

Expand shareholder base,mainly individual
shareholders

FY2024.3 -JAST shareholder
special benefits
Original catalogue gifts• Expected effect: Shareholder expansion and long-term shareholding
expansion• Eligible shareholders*3: Holdings of 600 shares or more
• Items: Ethical products, donations to social contribution activities, etc.

*Share prices prior to the stock split (effective date: April 1, 2024) are retrospectively adjusted.
*1: Shareholder characteristics "Other": individual shareholders
related to JAST, domestic corporations, etc.
*2: Number of shareholders and shareholding ratios: Figures areapproximate*3: Supplementary information on target shareholders• The 50th anniversary benefits are available to shareholders registered or recorded in the shareholder register as of March 31, 2024.
• JAST shareholder benefits are available to shareholders listed or recorded in the shareholder register as of March 31 every year.
The content and value of the catalogue gift varies depending on the number of shares held and the length of continuous holding.
• For more information, see the November 22, 2023 disclosure ”Start of Shareholder Benefit Program and 50th Anniversary Gift”.
©2024 Japan System Techniques Co., Ltd.

27

Contents

I. FY2024.3 Summary
II. Performance Overview
III. FY2025.3 Forecasts and Latest Initiatives
IV. Long-term Growth Strategy
V. Appendix©2024 Japan System Techniques Co., Ltd.

28

IV. Long-term Growth Strategy

1. JAST-Style DX Concept
Creating a cyclical structure for business development, productivity improvement, and market valueenhancement by fully utilizing DX promotion activities in the core business and business management.
New Normal society

Capital market• SDGs/TCFD/ESG• Changing attitudes about thevalue of the company

Industrial circle• The Cliffs of 2025
• Development of related laws
• Shortage of personnel withdigital technology skills• Automation to autonomation

Digital transformation of society and life

• Working innovation• Change in values• 5G/6G, Society 5.0

CorebusinessDX• DX & SI business: Co-creation DX• GAKUEN business: Educational DX• BankNeo business: Financial DX• Medical big data business: Medical DX• New/Derivative business: Co-creation DX, etc.

Businessmanagement
DX
Internal use

Commercialization• Health Management through datautilization• Office DX and Workstyle
Development leading New Normal

Market value
CI• An even more prominent position in the Prime Market•From SI’er to “Launch the Future” DX’er•Sustainability initiatives©2024 Japan System Techniques Co., Ltd.

29

IV. Long-term Growth Strategy

2. Core Business DX (1) DX & SI Business Strategy Overview
Refining the business portfolio to maintain and expand a stable growth platform and promote high valueadded businesses
Sales composition

Service• Data collection, utilization and analysis support• Provided one-stop service from infrastructure
construction to operation and maintenancewith cloud computing

High value-added

Solution

45.9%

8.3%
45.8%

Stable growth platform• Launching new businesses• Building large scale businesses with high grossprofit margin• Developing mega solution businesses such as
SAP*/SFDC*SI
FY2024.3 Results• Maintaining and expanding SI (System
Integration) business mainly with existingcustomers as the primary revenue base
• Use senior SEs (Systems Engineers) tostrengthen SI project capabilities• Creating new branded products

Accompanying
Customer DX- Providing consulting services forplanning and promotion- Building a business ecosystem
Sales compositionDX
projects,
31.6%

JAST Brandingof SI business
Branding development methods
and frameworks cultivated over 50
years as the JAST Method to add
value and enhance market
competitivenessFor further information about our DX & SI Business:https://www.jast.jp/service/software/*Trademarks of other companies' solutions are listed under “Trademarks” at the end of this document.

©2024 Japan System Techniques Co., Ltd.

30

IV. Long-term Growth Strategy

2. Core Business DX (2) Package business: GAKUEN Strategy Overview
Expanding target markets with new services based on the foundation as a top brand×2 times× 7 times

TAM
Subscription
Ex

nd
pa

ing distant and smalm a r ket

JAST-X-Techl(JAST Brand Cross-sector Solutions)Price revisionou r
inu w pnes
od re l euc as e
of
ts

IoT

AI

Cashless×s
ad ion
de of
ds
ervi
ces

Cont

GAKUENanp
Ex uel
va
h
g
hi
OEM
equipment

Consultation

Stable performance growth through expansion ofcurrent business using DX technology
For further information about our GAKUEN series: https://www.jast-gakuen.com/

Recurrent/reskilling programs

Platform business

Marketing support

Data utilization business

Education

Expanding alliance

Publishing and media

Expanding business domain

Local services(Graduates, Business persons, Primary and secondary education)

Formation of the foundation for the next
generation of GAKUEN through new business

Expanding beyond IT to other services©2024 Japan System Techniques Co., Ltd.

31

IV. Long-term Growth Strategy

2. Core Business DX (3) Package business: BankNeo Strategy Overview
Releasing continuously new solutions based on the concept of Smart/Niche/Cloud
Expanding target market with our unique products to become a financial DXer that contributes to local
communities

×5 times

TAM

Front
complianceContinuous
solutioncreation
Competitive
price

TQSM
Navi

E-formIntroducing to
all domestic
financial institutionsHigh
scalability
Easy
installation

×7 times

CRM
SFA

Managementof asseton deposit

Revitalizing the industry
and the region
through financial DX

CRM-basedbusiness
expansion
Number ofcustomers

(FY)

30

34

46

50

53

58

60

2018.32019.32020.32021.32022.32023.32024.3For further information about our BankNeo series: https://www.bankneo.jp/• Expanding sales channels throughcollaboration• Expanding SMART BankNeo
functions and sales• Strengthening non-face-to-facechannels and administrative
efficiency functions

2026.3• Encouraging financial institutions to move to the Cloud• Tie-up with existing users to plan new products• Supporting business transformation of banks in linewith regional characteristics/issues by introducing sales
support and CRM and utilizing data
©2024 Japan System Techniques Co., Ltd.

32

IV. Long-term Growth Strategy

2. Core Business DX (4) Medical Big Data Business Strategy Overview
Leveraging an unparalleled receipt processing volume and high value-added big data business to
become a top player in insurer DX
JMICS

×

iBss

Automatic receipt
inspection system +Data health services• Completion of inspection model for all insureds• Strengthening data analysis and health project
consulting• Create effective healthcare services based onevidence

Insurer operations
BPR/BPO System• Larger lineup of DX services for insurers• Faster actions involving the iBss app• Expansion of recognition and number of users• Platformization• Use automation for high-volume BPO

Top in Japan

Data Provider
Data Health Support Operator
For further information about our Medical Big Data Business: https://jmics.jp/

To the top playerof Insurer DX

Top in Japan

Insurer DX Platform

Building business modelfor data utilization

New services /Market expansion

M&A / Alliances

Evolving into a comprehensive
medical DX service• Health management• Pharmaceutical industry/ Healthcare institutions• D2C business, etc.
©2024 Japan System Techniques Co., Ltd.

33

IV. Long-term Growth Strategy

2. Core Business DX (5) Medical Big Data Business Medium-term Business Expansion
Net Sales Image

Initial - Present

Mediumterm

Medium-term Growth Theme
New Business
M&A

The number of iBss users exceeds
100 health insurers. Accelerating
business expansion as an insurer
platform.

Other

Started Life Innovation Lab (Current
name: Future Co-Creation Lab)
toward expanding data utilizationiBss

Accelerate business expansion by creating synergies between
existing & upcoming services✓ Expansion of data base (quantity, quality, scope)✓ Expansion of data-driven services (wearable tools, PHR, etc.)✓ Increase human resources and expertise✓ Expansion to new market sectors

Establishment of insurer platform✓ Deepen the differentiation point of System & BPO✓ Expand services to adjacent markets by enhancing web functions for✓

Non-inspection sales using
medical data exceed receipt
inspections

Receipt inspection
processing volume
exceeds up to 10 million
cases per month withthe expansion of JMICS
offerings.

subscribers
Expansion/upgrades of insurer DX services, become the leader in the insurer
DX category

Data Utilization

Expanding data coverage and revenue base through alliances

Data HealthExpansion of human resources x De-personalization through AI✓ Expansion of alliances with data providers✓ Expansion of data range for new RWD business✓ Use evidence for effective data health activities and the creation of products✓ A larger team of consultants✓ Expansion of organizational scale to accelerate subsequent growth x
increased efficiency through AI

Receipt Inspection

Completion of inspection business through fully automatedJMICS applicable to all types of insurer✓ Becoming market-leading data holders and the top provider of receipt data in

FY2010.3

FY2024.3

Japan©2024 Japan System Techniques Co., Ltd.

34

IV. Long-term Growth Strategy

2. Core business DX (6) Future Co-creation Laboratory
Contributing to society through joint research with academia, etc., by using data held by JAST
Aiming to discover seeds for commercialization through the development of commercial products
through co-creation DX with other companies◆ Services◆ Collaborative researches [since April 2023]

1) Medical Data PROVISION: MDP
A co-creation DX research/product development service using medical big data
: Medical big data containing informationof 9 million patients
Lab room: Secure research/analysis environment
JAST data advisor: Data analysis and proposals
Support for research/product development activities by providing big data of 9 million people, anenvironment for analysis, and data advisers

2) Medicine Tiger
Disease/Injury and drug use statistics dashboard service [launched on April 9, 2024]
Actual clinical trial info using real world data (RWD)!

Yasushi Hara, an Associate Professor at
Kobe University [November 14, 2023]

Kento Yoh, an Assistant Professor at Osaka
University [April 11, 2024]◆ New product development/PoC [since April 2023]
Started development of new products with the Japan Weather Association using theMedical Data PROVISION product development environment [March 26, 2024]
Started development of new products with KPMG Consulting using the Medical Data
PROVISION product development environment [January 31, 2024]
Demonstration trial starts for use of generative AI at the iBss Call Center[December 20, 2023]
Launch of disease/injury and drug use statistics dashboard service “Medical Tiger”
using medical big data [April 9, 2024]◆ Outputs [since April 2023]
Results of joint research with Osaka Metropolitan University“Healthcare Expenditure Reduction Due to a New Railway Station” [April 24, 2024]
Joint research with Kanazawa Medical University, “High Temperatures Near 40˚C in
200 Locations in Japan, Heat Stroke Raises Cataract Risk by About Four Times”,
reported by ANN TV News, Nikkei Shimbun and others [August 3, 2023]
For further information about our Future Co-creation Laboratory: https://www.jastlab.jast.jp/

Data is available at no cost at TableauPublic©2024 Japan System Techniques Co., Ltd.

35

IV. Long-term Growth Strategy

2. Core Business DX (7) Global Business
Establishing a base in India, a rapidly growing market in the pursuit of a digital transformation
Expanding SAP business to ASEAN + Pacific / South Asia and Middle East regions to accelerate global growth
HRM

Thailand

Malaysia

India

JASTEC (THAILAND) CO., LTD.
JAST Asia Pacific CO., LTD.
Bright & Better Co., Ltd.
Virtual Calibre GroupERP/ACCOUNTINGPMS*GLOVIA smart
PRONESStrengthening wide-area deployment of solutions and businessexpansion / Creation of new businesses*

Enhance functions to provide
comprehensive HRM solutions
VAR business development andfurther strengthening
global procurement capabilities

AG NET PTE. LTD.
Singapore(100M¥)

GuiLin Anxin Software Co., Ltd.
China

Domestic Business in ChinaSI
development

ASEAN
merchandise
collaboration

New product development/sales
through alliances

*

35
30
25
20
15
10
5
0

<Global Business Sales Change>

33.5
26.7
20.8

10.7
1.3

1.4

1.6

2016.32017.32018.3*Trademarks of other companies' solutions are listed under "Trademarks" at the end of this document.

13.8

4.0
2019.32020.32021.32022.32023.32024.3©2024 Japan System Techniques Co., Ltd.

36

IV. Long-term Growth Strategy

2. Core Business DX (8) M&A / Strategy for Group Expansion

Organic growthof existing businesses andextra revenue from M&A

350 Creating new domestic markets with “JAST IT” for same industry/other industries

Continuing domestic and overseas M&A with an eye on expanding products and areasand creating synergies(100M¥)

300(M&A)
Virtual Calibre
[SAP]

250

200

(M&A)
Alpha Computer Co., Ltd.
[ICT Infrastructure](M&A)
NewNeeds Co., Ltd.
GuiLin Anxin Software Co., Ltd.
[SI, Offshore, Expanding in China]

NEW

(M&A)
K-SHIP[Medical](M&A)
AG NET[AGHRM](M&A)
ISR Co., Ltd.
[IBM i-RPG]

JAST Techniques
JASTEC Thailand

Forecast

Medium-term
management
plan

150

100

50

0
2006.32007.32008.32009.32010.3

JAST non-consolidated net sales

2011.32012.32013.3

Consolidated net sales

2014.32015.32016.32017.3

Appearing Quantum leap

2018.32019.32020.32021.32022.32023.32024.32025.32026.3 (Full year)* Consolidation adjustments are deducted from consolidated net sales.
©2024 Japan System Techniques Co., Ltd.

37

IV. Long-term Growth Strategy

2. Core Business DX (9) Adapting to New Areas and Alliance Strategy
Big data
Data science✓ Construction of data analysis platform✓ Data analysis service
DX & SI business

Blockchain
FintechDX✓ E-commerce site construction✓ Use of RPA for business process
automation✓ Low code development✓ SAP*✓ Energy management✓ MaaS data platform✓ Financial cloud

AI / Biometric identification / VR
✓ Use of generative AI

Cloud✓ SI development for broader range
of applications✓ Solutions (SAP*, Salesforce*,
Adobe*, ServiceNow*, AWS*)AWS platform business✓ “BankNeo for CRM/SFA”
BankNeo(Package business)✓ Management of asset ✓ E-formon deposit✓ Sales productivity improvement
support✓ “SMART BankNeo”✓ Salesforce*Non-face-to-face/ Office efficiency
enhancements

Application to Package Functions✓ Management decision support (BI)✓ IR

✓ On-campus electronicmoney✓ AI-based package functions✓ GAKUEN Subscription

GAKUEN(Package business)✓ Smartphone app✓ E-learning✓ Linkage with Textbook Selection DB

Big Data in Education

Digital certificates
Collaborations for certificates issued atconvenience stores

Blockchain utilization

Additional applications to packages

Services for graduates✓ Smartphone app✓ DX of insurer business processes✓ Use data approach for measures forstaying healthy and medical
expense optimization✓ Partnerships with academic institutions✓ AI disease forecasts, changes in behavior✓ Use of AI technology for business process
automation, higher efficiency and receipt
of high-volume BPO orders✓ Cloud-based receipt inspection
systemMedical big data business✓ Expansion of monthly receipts
processed✓ Expansion of data utilization services✓ Medical big data service “REZULT”✓ BtoBtoC products

Use of AI for processing health insurance
claims✓ SAP*

Global business・Alliance
・New business creation
through in-house ventures✓ Co-Creation DX Service "MDP”✓ Industry-academia-government
collaboration*Future Co-Creation Lab✓ mcframe*✓ AGHRM

New service for Generation Z students*Package business✓*Trademarks of other companies' solutions are listed under “Trademarks” at the end of this document.

Current business areas and measures✓ SAP*

Business use of NLP*DX&SI business

JAST brand

Areas under planning/development©2024 Japan System Techniques Co., Ltd.

38

IV. Long-term Growth Strategy

3. Cash Allocation
Expand share in the current market
Investment for growth

Strategic investment: Up to ¥7.0 billion*Cumulative amount of distributable cash flows for the period

Strengthening
the value
offeredDevelopmentof technicalhumanresources

M&A / Alliances

JAST brands: same market and peers; DX & SI business: similar SI businesses, etc.

Business domain / market expansion
JAST brands: adjacent markets and different service providers; Others: alliances including capital tie-ups with ventures

R&D /New business development

Identification of new business seeds and focused investment in specific seeds

Recruitment / Training
investment
Multi-alliance

Diversity recruitment, sophisticated professionals, training and recruiting cuttingedge technology human resources
Coverage of advanced technologies and deep tech fields

Business management DX /Capital investments

Continuously updating the decision-making infrastructure and contributing to agile management

Strengthen shareholder relations and increase market capitalization
Shareholder returns

Adequate cash and cash equivalents

For steady growth of market capitalization (shift from Micro-cap to Small-cap), aggressively developing
measures to increase total yield, taking into account the balance between the speed of profit growth andinvestment for growth.

Profit growth for stronger cash flows and maintaining
appropriate cash conversion cycle (CCC)
Further increase financial soundness through diversification of brand business models (cash points),
improvement of SE unit prices and expansion of the solutions business. Aggressive investment for growth andsafer management.

*Approximates determined by cash on hand (cash and deposits and accounts receivable) at the end of FY2024.3 + {operating income + R&D expenses + non-cash expenses from mid-term plan (FY2025.3-FY2026.3)}©2024 Japan System Techniques Co., Ltd.

39

IV. Long-term Growth Strategy

4. Activities to Enhance Human Capital
Health Management Promotion
Excellent Health Management
Corporation(Large corporate division)

Certified for

4 consecutive years

Eliminating Long Working Hours
JAST's Unique Labor Policy”Kaeru! JAST”
Promoting stress checkexaminations
Continuation of 90% or higher inspection rate
(96.6% of the FY2024.3 results)

Attendance Data Analysis
Pick up & follow up
persons at high risk ofphysical and mental health
Platinum Kurumin certification(Obtained on November 27, 2023)

Certified as a Sports
Yell Company 2024

DX Human Resource Development

Enhancement of health education(1) Group Education Training

Number of SAP* qualified
employee• Health management training• Mental health training• Woman’s activity support forum(2) Health Events••••“Walking Events”“Let’s eat healthy meals!”“The 10-day challenge”“Measuring the quality of sleep”(3) Personal interviews withindustrial physicians and publichealth nurses

Promotion of regular healthcheckups andmedical checkups

Total Qualifications 307
Qualified persons 95 persons(As of April 30, 2024)”JCPL”
Beginner 555 persons
Intermediate 105 persons

In-house certifications(FY2010.3 - FY2024.3 cumulative number of certified recipients)(FY2024.3 re-examination rate: 88.0%

12 categories
21 courses(FY2024.3 results)

Average annual paid holiday

Average overtime hours

Acquisition rate 74.8％(Average monthly overtime hours)

Number of days 11.9 days
(FY2024.3 results)

Recipients of parental leave
16 persons
Male 8 persons(FY2024.3 results)

For further information about our Health Management Promotion: https://www.jast.jp/corporate/healthmanagement/*Trademarks of other companies' solutions are listed under "Trademarks" at the end of this document.

DX related external
e-learning course campaign

Advancing workstyle reform

100

100％

187 courses((FY2024.3 results, number of days held)

JCPL: The abbreviation for JAST Certified Project Leader.
In-house independent certification in JAST-style project management(1) Periodic health checkup rate
Continuing％(2) Percentage of re-examination
Continuing efforts toward

DX Human Resource Development
Group Training
16 categories(FY2024.3 results)

17.2 hours

Reduced working hours afterparental leave

Maximum of

9 years

1.5 times the legal requirement)(©2024 Japan System Techniques Co., Ltd.

40

IV. Long-term Growth Strategy

5. Efforts Towards Sustainability (1) Overall Policy
Appealing to various stakeholders through appropriate disclosure of corporate activities aimed atsustainable growthAppealing to
Sustainable Development Goals

Stakeholders

Related elements

SDGs
Goals (Targets)
when building a business model

Employeeengagement

Task Force on Climate-related
Financial Disclosures

Disclosure of climate-related financial
information by companies as a decisionmaking tool for investors

Society in general
General consumers

IR

Corporate Social
Responsibility

CSR

Sustainability
Sustainable growth ofsociety and businesses

Specific activities
including non-business-related volunteer work, etc.

Appealing toEnvironment / Social/ Governance

E

S

G

How to manage
while maintaining sustainability

IR

Investors
Financial
institutions©2024 Japan System Techniques Co., Ltd.

41

IV. Long-term Growth Strategy

5. Sustainability Initiatives (2) SDGs Initiatives (Main Activities)
Key issue

Industry and ICT innovation

Support for learning activities
using ICTBusiness field

General business

GAKUEN

Optimization of medical costs
and contribution to healthpromotion

Medical big databusiness

Improving the efficiency offinancial operations with an
integrated information
system package

BankNeo

Contribution to corporatetransformation by promoting
digitalization

DX＆SI business

Contents➢

Making society a better place by creating and providing new types of IT services
Supporting the structural transformation of industries with ICT
Contributing to co-creation and cooperative system establishment and ecosystemtransformation
Working in solidarity with group and partner companies

➢
➢
➢
➢
➢
➢

Providing a comprehensive solution in building the future of universities
ICT-driven, high-quality classroom support and technology-based education
Facilitating improved educational quality through the use of educational big data
Realization of recurrent education (lifelong learning) environments
AI and IoT research development aimed at the digitalization of education
Providing new services for Generation Z➢

Using medical big data in pursuit of “medical care expense optimization for
insurers and promotion of the health of the insured”
Joint research efforts with academia and others to help find “solutions to address
disease, including infectious diseases, and medical challenges”
Open-sourcing medical big data

➢
➢
➢

➢

➢

*Excerpt from our corporate website section “Initiatives for SDGs”➢

Contributing to society via information systems integration package businessaimed at financial institutions➢➢➢

Cashless service for employee cafeterias and offices“mieHR” human resources data platform
Office DX -Facial recognition-based attendance recording-

SDGs theme©2024 Japan System Techniques Co., Ltd.

42

IV. Long-term Growth Strategy

5. Sustainability Initiatives (3) SDGs Initiatives (Business Management)
Key issue

Business field

Initiatives for healthmanagement

Healthmanagement

Providing opportunities
for learning

Training andeducation

Contents➢➢➢➢➢

Promotion of “Health management”
Promotion of regular health checkups and medical checkups
Elimination of long working hours
Communication promotion initiatives (e.g., events)
Physical and mental health promotion➢➢➢

A robust in-house training system (e.g., in-house professional certification
programs)
Internships (providing students with systems engineering work experience)
Supporting education and learning through systems development

Diversity initiatives

Recruitment andtreatment➢➢➢

Hiring and fair treatment regardless of race, nationality, gender, etc.
A variety of in-house systems for supporting a variety of work styles
Contract with “Work Happiness Farm” run by S-POOL Plus Inc.

Reduction ofenvironmental impact

General business
management➢➢

Initiatives to promote paperless offices via DX promotion
Initiatives to address environmental issues in our offices, data centers andelsewhere*Excerpt from our corporate website section "Initiatives for SDGs"

SDGs theme©2024 Japan System Techniques Co., Ltd.

43

Contents

I. FY2024.3 Summary
II. Performance Overview
III. FY2025.3 Forecasts and Latest Initiatives
IV. Long-term Growth Strategy
V. Appendix©2024 Japan System Techniques Co., Ltd.

44

V. Appendix

1. Company Information
Company NameJapan System Techniques Co., Ltd. (“JAST”)

Listed Market

Tokyo Stock Exchange Prime Market (Stock code: 4323)

FoundedMarch 26, 1973

Capital1,535 million yen (as of March 31, 2024)

Business
Segment

Qualifications

Osaka Head OfficeNakanoshima Festival Tower 29F, 2-3-18 Nakanoshima, Kita-ku, Osaka-shi
Location

Tokyo Head Office
Taiyo Seimei Shinagawa Building 27F, 2-16-2 Konan, Minato-ku, Tokyo
Representative

DX & SI business
Package business
Medical big data business
Global business

•
•
•
•
•
•

Privacy Mark Certification
ISO9001 registered company
ISO14001 registered company
ISO27001 registered company
ISO20000 registered company*
Excellent Health Management
Corporation 2024
• Platinum Kurumin certification

Takeaki Hirabayashi, President and CEO

Employees

Consolidated: 1,847 (as of March 31, 2024)
New employees (consolidated) as of April 1, 2024: 117

Business
Affiliation

None (completely independent)

Office Locations

1.
2.
3.
4.

Certification
Mark

Tokyo, Osaka, Singapore, Thailand, Malaysia, India and China*Registered with our Healthcare Innovation Division©2024 Japan System Techniques Co., Ltd.

45

V. Appendix

2. Group Companies
GuiLin Anxin Software Co., Ltd.

★ Guilin, China★Offshore development ★Sales base in China

Shanghai Jiafeng Information Technology Co., Ltd.

★ Shanghai, China

Osaka Head Office★Development and product sales base in China

JASTEC (THAILAND) CO., LTD.

Osaka Head Office★ Thailand, Bangkok★ Nakanoshima Festival Tower 28-29F,★IT service for local Japanese companies

2-3-18 Nakanoshima, Kita-ku, Osaka-shi, Osaka

JAST Asia Pacific CO., LTD.

NewNeeds Co., Ltd.

★ Thailand, Bangkok★ Osaka★Deployment of JAST brand services in ASEAN

Bright & Better Co., Ltd.

★ Thailand, Bangkok
of implementing integrated software package★Consultation
Software contract development

Virtual Calibre Group (4 companies)

Lumpur, Malaysia★ KualaChennai, India★Deployment of SAP business

AG NET PTE. LTD.

★ Singapore

Tokyo Head Office★Local based IT service
NEW

K-SHIP Co., Ltd.

City, Osaka★ Toyonaka★ Receipt inspection and health managementbusiness, etc.

Tokyo Head Office★ Taiyo Seimei Shinagawa Building 5F, 26F, 27F,
2-16-2 Konan, Minato-ku, Tokyo

Alpha Computer Co., Ltd.

★ Shinagawa-ku, Tokyo★ Multi-vendor IT infrastructure design★Deployment of HRM business©2024 Japan System Techniques Co., Ltd.

46

V. Appendix

3. History

2020• Launched “iBss” service• Launched “mieHR”• Launched “GAKUEN Subscription”• Launched “GAKUEN RX”• Launched “SMART BankNeo”

2022• Announced transition to
Tokyo Stock Exchange Prime market• Established Bright & Better

Great EastJapan
Earthquake2024• 50th anniversary of the foundation• Made K-SHIP Co., Ltd.
• Certified as a "DX Certified Business Operator” a subsidiary• Conformed to TSE Prime Market listing
maintenance standards• Made Virtual Calibre Consulting India Pvt. Ltd.
an affiliated company

2017
2012
• Acquired three companies

IT bubble
burst

２００

NewNeeds Co., Ltd.
SafeNeeds Co., Ltd.
GuiLin Anxin Software Co., Ltd.

2006
2003

• Acquired shares of
Alpha Computer Co., Ltd.

• Listed on the Second Section of
the Tokyo Stock Exchange

１５０

１００

• Listed on JASDAQ market

1973• Founded

1982• Acquired shares of ISR Co., Ltd.

2011

2000

• Launched “BankNeo”

2018• Launched “UNIVERSAL PASSPORT RX”• Established JAST Asia Pacific• Acquired shares of Virtual Calibre

2010

1994

2016

• Acquired shares of
Shanghai Jiafeng Information Technology Co., Ltd.

• Launched “UNIVERSAL PASSPORT”• Acquired shares of JASTEC (THAILAND)
５０• Launched “JMICS” service• Launched “GAKUEN”

2019• Established JAST TECHNIQUES

1973-

19

2015

2001

Economic
bubbleburst• Listed on the First
Section of the Tokyo
stock Exchange

COVID-

Economic downturn
precipitated by the
Lehman Brothers
bankruptcy

Net sales(100M¥)

2023

2021

• Acquired shares of AG NET

2000-

2010-

2015-

2020©2024 Japan System Techniques Co., Ltd.

47

V. Appendix

4. Business (1) List of Businesses
DX&SI business

Package business

Medical big data business

Global businessContracted development,
development support,solution development andimplementation

Development and sales of in-housepackaged solutions

Inspection and analysis of medical
information data and related
services

Global DX business with a focus on
the Asia-Pacific region

Taking advantage of our strength as a completely
independent company, we provide a wide variety of
information systems and services across a wide rangeof fields◆SI
Providing system development services to awide range of industries and business domains◆Solution
Development, operation, analysis, and related
system development of in-house solutions andcooperative solutions< Priority solutions >• AWS *8
• 3S (SAP*, Salesforce*, ServiceNow*)• Adobe*◆Service
From consultation, data science and cloudinfrastructure to operation and maintenance,and data analysis and utilization., etc.

Providing development and sales of our own branded
products, along with implementation consulting
services. Additionally, we offer related services suchas environment setup and system development◆GAKUEN
Providing development, sales, andimplementation and consulting services forthe "GAKUEN Series," a comprehensive
package system for universities, which has a
top market share in Japan (adopted by over
400 universities and junior colleges
nationwide)

Offer multiple healthcare businesses and provide a
one-stop service with an aim to promote utilizationof medical data and insurers' business reforms◆Receipt automatic inspection
system◆Countries
Malaysia

India

Thailand◆Insurer business support services
Singapore◆Receipt Management System for
Public Assistance*◆BankNeo
Providing development, sales, andimplementation for the “BankNeo” package
solution for financial institutions. Adopted by
60 financial institutions as of today, including
two Japanese mega banks in 2021.

With group companies in five countries overseas,
provide development, sales and implementation
consulting of ERP and HRM products, and systemdevelopment.

China◆Business• SAP* implementation consulting and related
services (in Malaysia and India)• ERP implementation and development ofrelated services (in Thailand)◆Data health business◆Data utilization• Cloud-based HRM solution
Developing “AGHRM®” (in Singapore)• Offshore development (in Guilin, China)*Trademarks of other companies' solutions are listed under "Trademarks" at the end of this document.

©2024 Japan System Techniques Co., Ltd.

48

V. Appendix

4. Business (2) JAST Brand: GAKUEN

Top brand with more than 447 schools installed
An integrated platform that comprehensively supports the activities of higher education
institutions
SchoolAffairs• School affairs• Classroom• Syllabus batch printing• Syllabus disclosure• Digital certificates*• Collaborations for certificates issued atconvenience stores*

Portfolio• Learning portfolio• My step• Course record

UNIVERSALPASSPORT
Portal system
Providing comprehensive services
using integrated campus data
to students/faculty/staff

Centralized
data management

Information
provision• Portal• Smartphone app• WEB application

Employment /Student
support

Education
supportSmartphone• Employment• Student• E-money• Point management- Research information

Employment

Schoolexpenses

CreatereportAutomatic
issuing
machine*Under development
OEM equipment

Cashless• Class
E-learning• Teacher’s tablet• Attendance management
ーSmartphone attendance/
IC attendance coordination

Information
disclosure

DX main themeCashchargerTicketmachinePOS
register

Subscription

Core back-office system

GAKUEN

Centralized management of student
information from admission tograduation and contributing tomanagement strategy formulation andbusiness improvement

Entrance
examination

Schoolaffairs

IC attendance
management
deviceERP
ScholarshipAI
Organizing timeschedule

Automatic
issuing machineAI
For further information about our GAKUEN series: https://www.jast-gakuen.com/©2024 Japan System Techniques Co., Ltd.

49

V. Appendix

4. Business (3) JAST Brand: BankNeo
Offering a wide range of smart and niche solutions that leverage easy implementation and scalability
Our integrated package drives digital transformation (DX) in financial institutions

Scheduled for release
in FY2025.3

Inheritance
supportsolutions• Centralization/efficiency of clerical tasks• Compliance with laws and regulations• Banking system linkage

Front-end
ComplianceReleased in FY2024.3

Released in FY2023.3• Unified workflow and paperless operations• Compliance with regulations• Integration with CRM• Improved productivity in external activities
and external affairs management• Enhancement of sales skills for personnel• Strengthening the organization.

Electricform

CRM/SFA
Released in FY2022.3

CloudManagement ofasset of deposit

Released in FY2022.3• Centralized customer
management and sales support.

TQSM NAVIFor further information about our BankNeo series: https://www.bankneo.jp/

Ease of implementation through asmall start approach.

High scalability after
implementation

Released in FY2020.3• Reduction of administrative burdens• Paperless initiatives• Ensuring comprehensive security• Reducing administrative burdens inmanagement and operations

Proven track record of
implementation in numerous
financial institutions nationwide

Othersolutions• Strengthening information management• Paperless initiatives• Comprehensive estate management
and business administration• Versatile scalability and expandability

A wealth of expertise
accumulated over 30 years

A service lineupthat captures customer needs©2024 Japan System Techniques Co., Ltd.

50

V. Appendix

4. Business (4) JAST Brand: JMICS / iBss
Used by more than 400 organizations, JMICS/iBss uses a large volume of medical data and DX technology for total support
for medical expense optimization and measures to stay healthy. Extends from insurer business process support to analysis,
consulting and healthcare services.
Benefit and application-related services
Utilizing the system for receipt inspection,
dependent investigation, and assistance withsubsidy application• Inspection 【JMICS】➢ Receipt inspection➢ Inspection of overseas medical cost,
Inspection for judo therapy and osteopathy• Web application 【iBss】➢ Dependent investigation system(Verification)➢ Various applications(influenza vaccination subsidy)

Medical cost analysis services

Receipt data

JMICS
iBss

Notification services
Identification of eligible individuals and issuanceof corrective notices for medical expense
optimization• WEB notifications• Issuance of notices to promote generic medicine
usage• Identification of individuals with duplicate or
frequent visits and issuance of corrective notices• Identification of individuals with duplicate
medicine administration and issuance ofcorrective notices• Dispatch of notices recommending medical
examinations• Other notifications for appropriate healthcare
behavior, etc.

Result data of
medical check-up

Data of subscriber

Analysis

Medical cost
optimization

For further information about our Medical big data business: https://jmics.jp/

ConsultingIT
technology

Healthpromotion

Providing support for various health initiatives
and caregiving data, with a focus on receipt andhealth check-up data
• Providing comprehensive support from data
health strategy formulation to execution.
• Analysis of receipt and health check-up data
• Evaluation of the effectiveness of healthcare
services• Various analytical reports and benchmarks• Geographic Information System (GIS) analysis ofregional medical expenses• Analysis of caregiving data

Health guidance services

Business
supportOffering health guidance provided by healthcounselors, registered dietitians, nurses, andother professionals• Extraction of target individuals for healthguidance• Prevention of the exacerbation of lifestylerelated diseases• Prevention of the exacerbation of lifestylerelated diseases diabetic nephropathy• Specific health guidance (face-to-face and ICTbased)• Guidance on appropriate medical check-ups(reducing duplications, frequent visits, etc.)©2024 Japan System Techniques Co., Ltd.

51

V. Appendix

5. Philosophy-driven Management
Since its inception, the company has adhered to a philosophy-driven management approach, encapsulated by the principle "Thevision comes first." This approach is grounded in the integration of Taoism and economics, emphasizing that the caliber ofmanagement is fundamentally dependent on the quality of its employees.

Basicphilosophy

天爵を修めて人爵これに従う
A heaven-given rank naturally bestowed upon individuals who possess a respectable andtrustworthy character. This esteemed status is earned through the consistent practice ofprinciples and the continuous improvement of one's personality, character, and virtue.

A human-made rank is a superficial status awarded by an organization or
supervisor, typically based on an individual's achievements or experience.

When individuals receive a human-made rank first, they often mistake it for a heaven-given rank. Our ultimate theme regarding
business activities and human resource development is to ensure that each of our employees attains a heaven-given rank first.

Management
policyUpholding absolute independence

Beneficial in all directions

To genuinely engage with our clients, we firmly maintain a position of complete
independence, enabling us to tackle challenges freely and without restrictions.
JAST's current strength lies in its extensive achievements and accumulated
knowledge across a wide range of industries and technical fields.

We are dedicated to the philosophy of “good for four directions” (namely, customers,
shareholders, employees and society) in order to build win-win relationships withthem. We pursue long-term stable growth by maximizing value of each stakeholder
and increasing corporate value in the aggregate.

Human capital development management

Adapt the Fueki Ryūkō (immutability and fluidity)
concept in management

Our approach to human capital development management is rooted in the belief that
nurturing human potential should take precedence over all else. Through thisphilosophy, we cultivate each JAST employee to possess a passion for information
technology and a commitment to thoughtful customer service. These qualities are
the driving forces behind our company's growth.

For further information about our Corporate Slogan and Statement: https://www.jast.jp/corporate/policy/

Based on Matsuo Basho’s concept of “Fueki Ryūkō” (immutability and fluidity), whichemphasizes creating value by embracing new changes while preserving essential
elements, we exercise suitable leadership for managing changes (fluidity) by adhering
to a consistent management philosophy (immutability).

©2024 Japan System Techniques Co., Ltd.

52

V. Appendix

6. Management Policy
The company's management policy is integrated into four key areas: human resources, production, sales,
and finance. This policy serves as a guiding framework to ensure long-term growth.
Human Resource
Philosophy

Employees arevaluable assets

Production
Philosophy
Quality first➢➢

Consistent quality
Equilibrium between
knowledge accumulation
and adaptation to change➢➢High ratio of repeat orders
Long-term partnerships withblue-chip clients➢➢

Continuous creation of new
products and businesses
Enhancement of in-house
technologies and integrationof external knowledge

Sales strategies• Advance a proposal-driven system integration (SI) business by closely➢aligning with customers' industries and operations, ensuring repeat projects.
➢• Provide problem-solving and co-creation proposals through specialized
sales teams.
• Effectively address a wide range of customer issues with diverse proposals, ➢leveraging strategic alliances.

Establishment of long-term
customer relationships
Digital transformation (DX)service businessMutual prosperity of four
distinct businesses

Rigorous costmanagement• Implement cost management across all activities, including back-office
operations.
• Maintain a modestly-sized head office and corporate departments.

Cost-efficient structure
Steady earnings growth

Employee-focused

Commitment toquality and reliability• Organize projects with a focus on employee leadership.
• Commit to completing contracted projects without exiting midway.

Proactive researchand development• Maintain an R&D cost to sales ratio above the industry average.
• Foster synergy through mergers, acquisitions, and business alliances.
• Enhance the acquisition of digital transformation technologies within thecompany.
• Promote joint research through industry-academia-government
collaboration to create social value.

Sales Philosophy
Customers first

Finance Philosophy
Independent andself-reliant• Our recruitment activities are centered on the long-term development andnurturing of engineers, valuing talent from both humanities and sciencebackgrounds.
• We leverage mid-career recruitment to bring in specialists and fresh
perspectives.
• By enhancing employee satisfaction through opportunities for growth, fairevaluations, and a positive working environment, we achieve a highretention rate.

➢➢©2024 Japan System Techniques Co., Ltd.

53

奥付

Japan System Techniques Co., Ltd.
https://www.jast.jp/
Inquiry
https://www.jast.jp/contact/[Notice]
The data and future projections disclosed in this document are based on the judgment and information available as of the date of this document and are subject tochanges due to various factors. We do not guarantee the achievement of these objectives or forecasts or future performance. Additionally, this information is subject tochange without notice. Unless otherwise noted, all performance-related figures are presented on a consolidated basis.
[Trademarks]*1: SAP, the SAP logo and SAP products are trademarks or registered trademarks of SAP AG in Germany and various other countries.
*2: Salesforce and the Salesforce logo are registered trademarks of Salesforce.com, inc.
Other service names are also registered trademarks or trademarks of Salesforce.com, inc.
*3: The mcframe logo, as well as all mcframe products, features, and service names, are registered trademarks or trademarks of Business Engineering Corporation.
*4: GLOVIA smart PRONES and GLOVIA smart products are trademarks or registered trademarks of Fujitsu Limited in Japan and other countries.
*5: RezeptPlus and the RezeptPlus logo are registered trademarks of Fujitsu Japan Limited.
*6: Adobe is a registered trademark of Adobe Inc.
*7: ServiceNow is a registered trademark of ServiceNow Inc.
*8: AWS is a registered trademark of Amazon Technologies, Inc.

©2024 Japan System Techniques Co., Ltd.