3Q Results for FY2020
Supplementary Materials

February 5, 2021
Benesse Holdings, Inc.

Forward-Looking Statements

This presentation contains forward-looking statements concerning the future plans,strategies, beliefs and performance of Benesse Holdings, Inc. and its subsidiaries.
These forward-looking statements are not historical facts. They are expectations,estimates, forecasts and projections based on information currently available to theCompany and are subject to a number of risks, uncertainties and assumptions. As
such, actual results may differ materially from those projected.

1Results by Segment (YoY)
Nine months ended December 31

Education Business in Japan
Global Kodomo Challenge
Nursing Care and Childcare
Berlitz
OthersTotal Net Sales
Education Business in Japan
Global Kodomo Challenge
Nursing Care and Childcare
Berlitz
Others/Reconciliations
Total Operating Income
Ordinary Income
Net Income(Millions of Yen)FY2019FY2020Change%149,581
42,34091,84034,712
18,086
336,562
14,881
3,701
8,768(2,195)(2,062)23,09320,026
13,181

152,198
41,00492,261
19,683
12,439317,585
14,2593,659
6,943(5,673)(2,526)
16,662
13,434
7,027

2,616(1,336)420(15,029)(5,647)(18,976)(621)(42)(1,825)(3,477)(463)(6,431)(6,591)(6,154)

1.7
(3.2)
0.5
(43.3)(31.2)
(5.6)
(4.2)
(1.2)
(20.8)－－(27.8)(32.9)(46.7)※In fiscal 2020, Domestic Education was renamed the Education Business in Japan.

2Analysis of Net Sales/Operating Income (YoY)(Billions of Yen)

Education Business in JapanNet Sales

Global Kodomo Challenge

Shinkenzemi : increase in cumulative enrollment

6.6

School & Teacher Support business : impact of temporary school closures due to COVID-19, etc(1.9)

Cram schools / English education : impact of the voluntary halt of business over COVID-19, etc(2.1)

Japan : Impact of concerts cancellation / increase in cumulative enrollment, etc(0.3)

Overseas : Impact of concerts cancellation and the price revision for correspondence course in China, etc

(0.1)
(0.9)

Forex rate impact

Nursing Care and Childcare

Increase in the Childcare business / increase in nursing home residents, etc

Berlitz

BTS : temporary language center closures due to COVID-19 / impact of franchising conversion in Spain and Belgium, etc/ liquidation of business in France, etc
ELS : Impact of the halt marketing due to university campus closures in the USA

0.4(14.1)

Forex rate impact(0.9)

No sales contribution from Simul International, Inc, due to its sell-off, etc. *(4.9)

Impact of hotel closures in the Naoshima business due to COVID-19, etc(0.7)

Shinkenzemi : due to higher sales / higher costs by the product revision, etc

3.8

Due to lower sales in the School & Teacher Support business; Cram schools and English education business, etc(4.4)

Japan : due to lower sales in the concerts business, etc(0.4)

Overseas : decrease in marketing costs, etc

0.4

Nursing Care and Childcare

Improve wages for staff / higher labor costs as increase in the No. of nursing homes, etc(1.8)

Berlitz

Due to lower sales / lower cost, etc(3.4)

Others/Reconciliations

Due to lower sales, etc(0.4)

Others

Education Business in Japan

Operating Income

Global Kodomo Challenge*The Company transferred all shares of Simul International, Inc, to TAKARA & COMPANY LTD. as of March 31, 2020

3Results by Segment (YoY) (Each quarter)
Three months ended Dec. 31: both net sales and operating income are backon the recovery track
Nine months ended December 31(Billions of Yen)
１Q

２Q

３Q

ChangeChangeChangeFY2019FY2020Change

149.5

152.1

2.6

(5.1)

3.2

4.5

Global Kodomo Challenge

42.3

41.0

(1.3)

(0.8)

0.1

(0.5)

Nursing Care and Childcare

91.8

92.2

0.4

(0.1)

0.2

0.3

Berlitz

34.7

19.6

(15.0)

(2.3)

(6.9)

(5.6)

Others

18.0

12.4

(5.6)

(2.1)

(1.6)

(1.8)

Total Net Sales

336.5

317.5

(18.9)(10.7)

(5.0)

(3.1)

Education

14.8

14.2

(0.6)

(3.8)

1.1

2.0

Global Kodomo Challenge

3.7

3.6

(0.0)

(0.3)

0.4

(0.1)

Nursing Care and Childcare

8.7

6.9

(1.8)

(0.6)

(0.8)

(0.2)

Berlitz

(2.1)

(5.6)

(3.4)

(0.1)

(1.5)

(1.7)

Others/Reconciliations

(2.0)

(2.5)

(0.4)

(0.3)

(0.2)

0.1

Total Operating Income

23.0

16.6

(6.4)

(5.4)

(1.0)

0.0

Education

Business in Japan

Business in Japan4

FY2020 Full Year ForecastForecast announced on November 6, 2020 has not been changed.

FY2019Net Sales

FY2020(Millions of Yen)

Change(Forecast)%

448,577

426,000 (22,577)(5.0)

Operating Income

21,2669,300 (11,966)(56.3)

Operating Income ratio（%）

4.7

Ordinary Income

16,759Net Income

6,2890(6,289)

ーExchange Rate(USD/JPY)

109.37108.00(1.37)ー

2.25(2.5)

ー

4,500 (12,259)(73.2)

FY2020 Full Year Forecast by Segment
Forecast announced on November 6, 2020 has not been changed.

FY2020FY2019
Education Business in Japan
Global Kodomo Challenge
Nursing Care and Childcare
Berlitz
OthersTotal Net Sales
Education Business in Japan
Global Kodomo Challenge
Nursing Care and Childcare
Berlitz
Others/Reconciliations
Total Operating Income(Forecast)

200,393
56,555
122,868
45,02023,739448,577
14,042
2,654
11,374(3,152)(3,652)
21,266

6

203,200
55,500124,200
26,90016,200426,000
10,1001,400
9,000(6,800)(4,400)9,300(Millions of Yen)

Change%2,807(1,055)
1,332(18,120)(7,539)(22,577)(3,942)(1,254)(2,374)(3,648)(748)(11,966)

1.4
(1.9)
1.1
(40.2)(31.8)(5.0)(28.1)(47.2)(20.9)ーー(56.3)

Analysis of Net Sales/Operating Income (Full Year Forecast)(Billions of Yen)

Education Business in JapanNet Sales

Global Kodomo Challenge

Shinkenzemi : increase in cumulative enrollment

8.3

School & Teacher Support business : impact of temporary school closures due to COVID-19, etc(3.2)

Cram schools / English education : impact of the voluntary halt of business over COVID-19, etc(2.3)

Japan : increase in cumulative enrollment / impact of concerts cancellation, etc

0.1Overseas : Impact of concerts cancellation in China, etc

(0.4)
(0.7)

Forex rate impact

Nursing Care and Childcare

Increase in nursing home residents and Childcare business, etcBerlitz

BTS : temporary language center closures due to COVID-19 / impact of franchising conversion in Spain and Belgium, etc /liquidation of business in France, etc
ELS : Impact of the halt marketing due to University campus closures in USA

1.3(17.5)

Forex rate impact(0.6)

No sales contribution from Simul International, Inc, due to its sell-off, etc.

(6.2)

Impact of hotel closures in the Naoshima business due to COVID-19, etc(1.3)

Shinkenzemi : due to higher sales, etc

5.4

Due to lower sales in the School & Teacher Support business; Cram schools and English education business, etc(9.3)

Japan : due to higher sales in the correspondence course / due to lower sales in the concerts business, etc(0.0)

Overseas : due to lower sales / strategic investment / Forex rate impact [-0.1](1.2)

Nursing Care and Childcare

Due to higher sales / improve wages for staff / higher labor costs as increase in the No. of nursing homes, etc(2.3)

Berlitz

Due to lower sales / lower cost, etc(3.6)

Others/Reconciliations

Due to lower sales, etc(0.7)

Others

Education Business in Japan

Operating Income

Global Kodomo Challenge

7

Education
Businessin Japan

Breakdown of Net Sales

Nine months ended December 31(Millions of Yen)FY2019FY2020Change%Ratio(%)

Senior High School

9,341

9,896

555

5.9

6.5

Junior High School

20,42821,478

1,050

5.1

14.1

Elementary School

42,26747,293

5,025

11.9

31.1

41,106

39,166(1,940)(4.7)

25.7Other

36,43734,363(2,074)

(5.7)

22.6

Total

149,581

152,198

2,616

1.7

100.0

School & Teacher
Support8Global
KodomoChallenge

Breakdown of Net Sales

Nine months ended December 31(Millions of Yen)FY2019
Kodomo Challenge

FY2020Change%Ratio(%)

13,83814,768

929

6.7

36.0

20,207

19,929

(277)

(1.4)

48.6

Other

8,294

6,306

(1,988)(24.0)

15.4

Total

42,34041,004(1,336)

(3.2)

100.0

in Japan (Preschool)
Overseas Kodomo
Challenge (Preschool)9

Education
Business (Japan)
Global
Kodomo Challenge

Cumulative Enrollment for Shinkenzemi and Kodomo Challenge【Cumulative Enrollment for Shinkenzemi】(Thousands）

Nine months ended December 31

FY2019FY2020Change%Senior High School

1,086

1,089

30.3

Junior High School

3,229

3,371

141

4.4

Elementary School

10,35011,385

1,035

10.0

14,665

15,846

1,180

8.0

Total

【Cumulative Enrollment for Kodomo Challenge (Preschool)】

FY2019FY2020(Thousands）

Change%Kodomo Challenge in Japan (Preschool)

7,019

7,344

325

4.6

Overseas Kodomo Challenge (Preschool)

11,131

10,779(351)

(3.2)

Total

18,15018,123(26)(0.1)•Note1: Cumulative enrollment represents the cumulative total No. of people who receive materials monthly (from April to December).
•Note2: Cumulative enrollment for Kodomo Challenge in China, Taiwan and Indonesia represents the cumulative total No. of people who receive materials monthly.
Cumulative enrollment for China and Indonesia represents the cumulative total No. of people who receive materials monthly (from January to September),due to the differences of those closing dates ended December 31 st.

10

Nursing Careand Childcare

No. of Nursing Homes and Elderly Houses

Dec. 2019

March 2020

Sep. 2020

Dec. 2020

Aria

24242424

Clara

40

40

40

39

143

146

147

150

Madoka

57

57

57

57

Bon Sejour

47

47

49

49

Cocochi

141415

15

Li-Re

2222

Total

327

330

334

336

Granny & Granda

11Berlitz

Berlitz No. of Lessons by Region (Berlitz operated)
Nine months ended September 30(Thousands of Lessons)

2019

2020

%

Americas846

722(14.6)

Europe

1,981

1,080

(45.5)

Asia

1,216

809

(33.5)

Total

4,044

2,612(35.4)

Years ended December 31 (Preliminary figures)2019(Thousands of Lessons)2020%

Americas1,123996(11.3)

Europe2,594

1,475(43.2)

Asia

1,599

1,086(32.1)

Total

5,317

3,558(33.1)•Note:The No. of lessons in Europe in 3Q has decreased by 900 thousands YoY. This decrease includes a reduction of the No. of lessons （495 thousands）
due to franchising conversion and liquidation of business.
The No. of lessons in Europe in a Year ended December 31 （preliminary figures）has decreased by 1,119 thousands YoY. This decrease includes areduction of the No. of lessons （644 thousands） due to franchising conversion and liquidation of business.

12