May 10, 2019
Fukui Computer Holdings, Inc.
1

Future Vision Targeted by Fukui Computer Group“Be Must Be.”
MissionBe an essential force in the constructionindustry.

“All for Stakeholder.”VisionValues

Be a company that all stakeholders
appreciate.

“Dream Big, Design First.”
Be quick to create what people want.

2©2019 Fukui Computer Holdings, Inc.

Future Vision Targeted by Fukui Computer GroupThe Vision of Growth that We Should Strive For
Our group views the management foundation we have built in the CAD business up to this point as Development Period I. We see
Development Period II as the period during which we achieve long-term stable growth and work to secure new areas of growth in
the future. Our new Midterm Management Plan is the first phase of Development Period II.

In businesses other than theconstruction CAD business, we willtake advantage of the timing ofchanges in the businessenvironment to establish new areasof growth and transform these inthe next engines of growth.

Development
Period I

Development
Period II
Phase 1 of Midterm
Management Plan

Phase 2 of Midterm
Management Plan

Phase 3 of Midterm
Management Plan

Establish new areas of growthITSBusinessHousingBusiness

Construction
MaterialsBusinessBIM
Business

Construction
Infrastructure
Business

Civil
EngineeringBusiness

SurveyBusiness

Achieve sustainable growth
In core businesses
20192021

32024

During Development Period II, strive to double
the results achieved in Development Period I.

The construction CAD business,
which accounts for a healthy
percentage of the group’s sales
and profits, is our core business.
We will use this business base toincrease the number of companies
we do regular business with, andgrow the group’s business.

2027©2019 Fukui Computer Holdings, Inc.

New Midterm Management Plan (FY2019-2021)

Basic Policy & Key Strategies of the New Midterm Management Plan
We formulated the new Midterm Management Plan based on the slogan of “Dream Big, Design First.” We have designated FY2019
to FY2021 as Phase 1 of the Midterm Management Plan (hereafter the “new Midterm Management Plan”) as we sketch out ourvision of what the company should be ten years from now. We focused on developing stable foundations for management andachieving steady growth in formulating the new Midterm Management Plan.

BasicPolicy

KeyStrategies

During the new Midterm Management Plan, we will implement the key strategies aimed atachieving our vision for what the Fukui Computer Group should be in the future, in light of theenvironment surrounding the group. By implementing these strategies, we will enable thecompany to run smoothly on the two wheels of improving performance and strengthening thegovernance structure, and lead the company to greater growth through these offensive anddefensive measures.

1. Achieve sustainable growth in our core businesses and establish new areas of growth.
2. Restructure the business portfolio and value chain to strengthen the revenue base.
3. Strengthen the governance and human resource functions.

4©2019 Fukui Computer Holdings, Inc.

New Midterm Management Plan (FY2019-2021)

New Midterm Management Plan: Summary of the Quantitative Plan
We aim to achieve revenue growth in all group business every year and achieve ¥12.6 billion in net sales in the final year of the newMidterm Management Plan.
We will adjust the development and sales expenses invested in each brand according to the sales plans for each business, invest
management resources commensurate with sales, and strive to maximize profit for the entire business. Our goal for the final year isto achieve over ¥4.5 billion yen in operating income and a net profit margin of 23%.

Consolidated
net sales¥

12.6billion

Operatingincome¥4.5

Net profitmargin23.2billion(FY2021)(FY2021)(FY2021)¥10.9 billion¥3.7 billion

11.4 %(FY2017)(FY2017)(FY2017)5ROE%

15% or higher(During Midterm Plan)

23.1 %(FY2017)* Acquired treasury shares
in FYE Mar. 31, 2018©2019 Fukui Computer Holdings, Inc.

New Midterm Management Plan (FY2019-2021)

Key Strategy #1: Achieve sustainable growth in our core businesses
and establish new areas of growth.
Achieve stable growth in existing businesses

Establish new areas of growth

We lead the industry in the areas of CAD for housing andsurveys & civil engineering, which are core businesses of ourgroup. We will continue to grow the number of companies wedo regular business with and target stable growth byproviding solutions to the shortage of human resources in theconstruction industry through these businesses.
In non-CAD areas such as 3D catalog sites and point cloud
processing systems, we will expand core business functions
and manifest greater synergies with our core businesses toimprove profitability.

Potential for growth in sales and profit in existing businesses:
・ Expand business domain in the BIM/CIM segment.
・ Develop new 3D systems in the housing business.
・ Launch brands for each business segment in the surveybusiness.
Potential for growth in diversification of solutions for the future:
・ Consider investing in the cloud segment, and other smart
device segments.

Growth potential in future
diversification of solutions

Existing businesses

Growthareas

Expansion of BIM/CIM segment
New 3D system for the housing segment
Branding by segment in the survey business

Cloud segment
Smart device segment
etc.

Corebusinesses

Housing and survey & civilengineering CAD segments

6©2019 Fukui Computer Holdings, Inc.

New Midterm Management Plan (FY2019-2021)

Key Strategy #2:
Restructure the business portfolio
and value chain to strengthen therevenue base.
We have restructured the management accounting for ourformer two businesses into seven businesses in order toreveal problems in the business structure from theperspective of improving productivity.

●Previous Business Structure

Survey & Civil Engineering
CAD BusinessArchitecture CAD Business●New Structure: Seven Business Segments

HousingBusinessBIMBusiness

Construction
MaterialsBusinessSurveyBusiness

CivilEngineering
Business

Construction
InfrastructureBusiness

ITS Business(related toelections)R&D on new technology and establishment of infrastructure for development
Back office administration for development (inspection, maintenance, and repair)
Sales
Support[Main product][Main product][Main product][Main product]* Architecture CAD Business[Main product][Main product]* Survey & Civil Engineering CAD Business[Main product]* ITS Business* Segments shown in publicly disclosed materials●Revised Value Chain for Each BusinessDirectors

SalesDevelopment

Development
SupportSales

Inspection

Programming

Specifications &design

Development plans

Managementdecisions

Requirements &specifications

7Investment
recovery plans
Business plans

Business Executive

MarketingMarketProblems & needs

We have also restructured the value chain for each business
and will maximize sales and minimize expenses in eachbusiness to achieve steady growth in profit.

Support
Maintenance &version upgrades©2019 Fukui Computer Holdings, Inc.

New Midterm Management Plan (FY2019-2021)

Key Strategy #3: Strengthen the governance and human resource functions.
We will strengthen the foundations of management (the governance and human resource functions) to support steady pursuit of key
strategies #1 and #2 and drive improvement in corporate value.

GovernanceFunction・ Improve the effectiveness of the Board of Directors.
・ Revise the organizational design and establish
discretionary nomination and compensation committees.
・ Increase the percentage of performance-linkedcompensation.
・ Improve the quality and quantity of dialog with shareholders.

Visualize
thegovernancefunction

HumanResource
Function・ Promote human resources in a manner that is optimal for thegroup as a whole.
・ Strengthen each human resource: Develop professional
human resources, improve awareness of issues, and foster
awareness of management and compliance.
・ Respond to work style reform and other changes in themanagement environment.
― Improve both employee motivation and productivity. ―・ Expand the percentage of performance-based compensation.

Invest inhumanresources
to improve
productivity

8©2019 Fukui Computer Holdings, Inc.

New Midterm Management Plan (FY2019-2021)

New Midterm Management Plan: Quantitative Goals●Midterm Profit Plan(Millions of yen)

FY2020

FY2021

Housing Business

4,674

4,830

4,890

Achieve stable growth with existing core brands andexpand sales along with development of new 3Dsystems.

BIM Business272320380Expand sales channels and increase the number ofcompanies we do regular business with by revising
the sales strategy for existing brands.

Construction Materials
Business721

735

770

Achieve stable growth by enhancing the 3D catalog
function and manifesting synergies with corebusinesses.

Survey Business

3,013

3,120

3,220

Achieve stable growth in existing core brands andexpand sales along with launching brands for eachbusiness segment.

Civil Engineering
Business

1,578

1,630

1,670

Achieve stable growth in existing core brands andexpand sales along with expanding the functions ofCIM-related products.

Construction
Infrastructure Business

988

1,030

1,150

Manifest synergies of point cloud systems in otherbusinesses and expand sales along with developing
new solutions.

ITS Business

390

55460

Achieve steady growth centered on Upper and Lower
House elections and local general elections.

Other*

64

60

60

Net sales

11,70011,78012,600Operating income

4,120

4,200

4,500

Net income

2,730

2,750

2,925

Consolidated

FY20199Growth Strategy* Sales from hardware and other products* Assumes an effective tax rate of 35% in FY2020 and beyond.

©2019 Fukui Computer Holdings, Inc.

New Midterm Management Plan (FY2019-2021)

To Achieve Corporate Sustainability―Work to be a company that is appreciated by all stakeholders―

Employeesatisfaction

Customersatisfaction

Shareholder
returnFukui ComputerGroup

We will work to implement a
virtuous cycle of corporate
sustainability through ourrelationships with all
stakeholders.
Solutions toenvironmental
issuesSupplier
satisfaction

Contribution
to localcommunities

10©2019 Fukui Computer Holdings, Inc.

New Midterm Management Plan (FY2019-2021)

Policy on Shareholder Return
Our basic policy on the allocation of profits is to focus on returns to shareholders and pay stable, consistent dividends.

● Our new Midterm Management Plan sets the goal for the consolidated dividend
payout ratio at around 30%, and we will strive to provide greater returns toshareholders while taking the business environment, earnings status, and otherfactors into collective consideration.
● We will maintain a flexible stance on the purchase of treasury shares, while taking
the various factors in the surrounding management environment into consideration.

We plan to use our internal reserves to prepare for the demand for funds from development and strengthening the sales structure,
while also strengthening management by investing in human resources and in research and development. We also plan to makeactive use of internal reserves for future business expansion.

11©2019 Fukui Computer Holdings, Inc.