Presentation Materials

for FY2022
Sansan, Inc. July 13, 2023

Disclaimer

In preparing these materials, Sansan, Inc. (“the Company”) relies upon and assumes the accuracy and completeness of all available information. However, theCompany makes no representations or warranties of any kind, expresses or implies, about the completeness and accuracy. This presentation may containfuture assumptions, prospects and forecasts based on planning, but these forward-looking statements are based on the information that is currently available
to us, and on certain assumptions that we assume to be reasonable, but the Company does not promise to achieve these. Major differences may occur
between the forecast and the actual performance, including changes in economic conditions, consumer needs and user preferences; competition with othercompanies; changes in laws, regulations and others; and a number of other future factors. Therefore, the actual performance announced may vary dependingon these various factors. In addition, the Company has no obligation to revise or publish the future prospects posted on this site.

© Sansan, Inc.

1

Contents

1 Consolidated Financial Results for FY2022
2 Growth Strategy
3 Full-Year Forecasts
Appendix
Sansan Group Overview, Sansan/Bill One Business, Eight Business, Initiatives for Sustainability© Sansan, Inc.

2

Contents

1 Consolidated Financial Results for FY2022
2 Growth Strategy
3 Full-Year Forecasts© Sansan, Inc.

3

1 Consolidated Financial Results for FY2022

Highlights of FY2022 Results
Solid progress in consolidated net sales and adjusted consolidated operating profit (1)Consolidated net sales up 24.9% YoY, adjusted consolidated operating profit up 28.9% YoY.
ARR (2) up 28.3%, to ¥25,412 million.

Solid sales growth in Sansan, the sales DX solution, owing to product renewal, etc.
Sansan net sales up 15.0% YoY, to ¥19,793 million. (Over ¥20 billion ARR as of June 2023.)
Implemented product renewal from FY2022 Q1 and enhanced sales structure.

ARR May 2023 for Bill One, the cloud-based invoice management solution,
significantly exceeded the target ARRBill One net sales up 192.2% YoY, to ¥2,414 million.
Bill One ARR for May 2023 was ¥3,798 million, considerably over the target of ¥3,000 million.

(1) Operating profit + share-based payment expenses + expenses arising from business combinations (amortization of goodwill and amortization of intangible assets)(2) Annual recurring revenue© Sansan, Inc.

4

1 Consolidated Financial Results for FY2022

Overview of Consolidated Financial Results
Net sales up 24.9% YoY, accelerating growth from Q3, adjusted operating profit up 28.9%.
Ordinary profit decreased owing to share-based payment expenses, etc., while profit attributable to owners of parent recorded
deficit owing to extraordinary losses, etc.
FY2021(millions of yen)

Full-Year
Results(For Reference) FY2022
Q4
Results

YoY

YoY

Consolidated Results

Net Sales

20,42025,510+24.9%

7,341+28.3%

Gross Profit

17,904

21,827+21.9%

6,081+23.3%

87.7%

85.6%

-2.1 pt.

82.9%-3.4 pt.

Adjusted Operating Profit

730

942

+28.9%

182-57.1%

Adjusted Operating Profit Margin

3.6%

3.7%

+0.1 pt.

2.5%-4.9 pt.

Ordinary Profit

968

122

-87.4%-379－

Profit Attributable to Owners of
Parent

857

-141

－

-880

－

6.87 yen-1.13 yen－

-7.02 yen－

Gross Profit Margin

EPS© Sansan, Inc.

Full-Year
Results

FY20225

1 Consolidated Financial Results for FY2022

Factors Contributing to Changes in Adjusted Consolidated Operating Profit
Personnel expenses up ¥1,590 million (23.5%) YoY because of stronger personnel recruiting.
Advertising expenses were up ¥336 million (11.3%) YoY.

Status of Consolidated Net Sales/Adjusted Operating Profit(million yen)

FY2022 Results

FY2021 Results

YoY

Net Sales

20,42025,510+5,090

Cost of Sales

2,515

3,683

+1,168Personnel Expenses

8,349

6,758

Advertising Expenses

3,306

2,969

Other SG&A Expenses

9,229

7,446

+1,590+336+1,783Adjusted Operating Profit

730

942

+211

For Reference

72

702

+629

25

39

+14

631

199

-432

Share-Based Payment Expenses (1)Expenses Arisingfrom Business Combinations(amortization of goodwill
and amortization of intangible assets)

Operating Profit(1) Includes expenses of compensation in cash or alternative salaries, etc. to the Group employees, etc. regarding trust-type stock options.
© Sansan, Inc.

6

1 Consolidated Financial Results for FY2022

Regarding Trust-Type Stock Options (“trust SO”)
In FY2022 results, record ¥499 million SG&A as the expense associated with trust SO.
As this marks the conclusion of the Company’s response at this time, this expense is temporary and will have no impact on
the Group’s essential business growth.
In "Taxation on Stock Options (Q&A)," which the National Tax Agency published on May 30, 2023, the Agency announced its opinion (“National Tax Agency's

Background

opinion”) that when an employee and others acquires shares by exercising trust SO rights, these are regarded as a substantial salary from a company. At thesame time, the Agency requested that companies pay the withholding income tax on trust SO rights that had been exercised in the past.

Major Actions

Status to Date

- The Company had previously not applied
withholding tax to the trust SO rights that had
been exercised since the Company did nottreat the stock as salary income when theemployees exercised their rights and acquired
the stock.

- The Company will retroactively apply
withholding tax pertaining to trust SO rightsthat have been exercised.

- The Company will, under certain preconditions
and rules, provide compensation in cash or
alternative salaries, etc. for part of theadditional burden increase.

Impact on Results- Impact on results for FY2022：¥499 million（recorded as SG&A）- Impact on results for FY2023 and beyond:
Record expenses regarding compensation in
cash etc. to the Directors.

（Reference）Status of Trust SOs Introduced by the Company (1)Number of trust SO shares issued/granted

2,138,444 (1.71%)

Of which number of shares that had been exercised as of end of May 2023

323,120 (0.26%)

Of which number of shares that remained unexercised as of end of May 2023

1,612,324 (1.29%)(1) The difference between the number of issued/granted shares and the number of exercised/unexercised shares is the number of lapsed shares. In addition, the ratio indicates the ratio to the total number of shares issued as of the end of the fiscal year ended May 2023.
© Sansan, Inc.

7

1 Consolidated Financial Results for FY2022

Results by Segment
Increased net sales and adjusted operating profit (reduced deficit) in both Sansan/Bill One and Eight Businesses.
Adjustment amount (adjusted operating profit) expanded by ¥1,212 million in negative because of increased headcount, etc.

FY2021(millions of yen)

Full-Year
Results

Full-Year
Results(For Reference) FY2022
YoY

Q4 Results

YoY

20,42025,510+24.9%

7,333+28.3%

18,10522,516+24.4%

6,284+28.1%

2,213

2,867

+29.5%

1,018+30.0%

Others126

198+57.3%

53+16.0%

Adjustments

-25

-72

ー

-23

ー

Consolidated

730

942

+28.9%

182-57.1%

Sansan/Bill One Business

5,752

7,005

+21.8%

1,808

+6.2%

Eight Business

-355

-170

ー

36

+88.2%

-22

-36

ー

-8

ー

-4,643-5,856ー-1,653ーConsolidated

Net Sales
Adjusted Operating
Profit© Sansan, Inc.

FY2022

Sansan/Bill One Business
Eight Business

OthersAdjustments

8

1 Consolidated Financial Results for FY2022

Sansan/Bill One Business Overview
Net sales increased by 24.4% YoY, owing to solid progress for Sansan and high growth for Bill One.
Adjusted operating profit up 21.8% YoY owing to net sales growth, etc. while enhancing marketing and advertising activities.

FY2021(millions of yen)

Full-Year
Results

YoY

Q4
Results

YoY

18,10522,516+24.4%

6,284+28.1%

Sansan17,214

19,793+15.0%

5,245+15.2%

16,34918,688+14.3%

4,907+14.5%

865

1,104+27.7%

338+27.8%

Bill One

826

2,414

+192.2%870+165.8%Others64308+379.7%168+547.4%

5,752

7,005

+21.8%

1,808

+6.2%

31.8%

31.1%

-0.7 pt.

28.8%-5.9 pt.

Sansan Other Sales

Adjusted Operating Profit
Adjusted Operating
Profit Margin© Sansan, Inc.

Full-Year
Results(For Reference) FY2022

Net Sales

Sansan Recurring Sales
Sansan/Bill One
Business

FY20229

1 Consolidated Financial Results for FY2022

Sansan/Bill One Business:

Recurring Sales, Subscriptions and Monthly Recurring Sales per Subscriptions,
Last 12 Months’ Average of Monthly Churn Rate

SansanMonthly recurring sales per subscription accelerated owing to strengthening of sales to medium- and large-sized enterprises etc.
The churn rate down 0.18 points YoY to 0.44%, maintaining a low churn rate of less than 1%.

Number of Sansan Subscriptions andMonthly Recurring Sales per Subscription

Sansan Sales
Sansan Other Sales「Sansan」その他「Sansan」ストック
Sansan Recurring Sales「Sansan」ストック売上高比率
Ratio of Sansan Recurring Sales(millions of yen)

95.3% 95.1% 94.9% 95.2% 95.8% 95.3% 94.7%

94.2% 94.7%

Last 12 Months Average of Monthly
Churn Rate for Sansan (1)「Sansan」契約件数
Number of Sansan Subscriptions
Monthly
Recurring Sales per Subscription
契約当たり月次ストック売上高(subscriptions)

8,969

95.0% 94.5%

93.6%¥9,000¥8,000

5,245
5,015
338
4,701 4,831
273
4,551
242
4,366
250
4,227
264
4,068
230
3,893
4,7414,907
200
3,733
4,588
169
3,535
4,451
185
3,357
191
4,136 4,286
172
4,026
157
3,899
3,708
3,541
3,199 3,362
Recurring Sales
Up

6,969

7,230

7,523

7,744

7,992 8,186

8,314 8,488

8,844
8,644 8,722\184,000\170,000¥7,000\162,000¥6,0000.63%¥5,000¥4,000

Subscriptions
Up

Monthly
Recurring Sales per
subscription Up

5.7% YoY

8.2% YoY

0.62%

0.44%

¥3,00014.5% YoY

¥2,000¥1,000

¥0

Q1

Q2

Q3

FY2020

Q4

Q1

Q2

Q3

FY2021

Q4

Q1

Q2

Q3

FY2022

Q4

End- End- End- End- End- End- End- End- End- End- End- End-

Q1末
Q1 Q2末Q2 Q3末Q3 Q4末Q4 Q1末Q1 Q2末Q2 Q3末Q3 Q4末Q4 Q1末Q1 Q2末Q2 Q3末Q3 Q4末Q4

FY2020

FY2021

FY2022

FY2020Q4

FY2021Q4

FY2022Q4(1) Ratio of decreased monthly fees associated with contract cancellations to total monthly fees for existing contracts© Sansan, Inc.

10

1 Consolidated Financial Results for FY2022
MRR, Paid Subscriptions and Monthly Recurring Sales per Paid Subscription,
Last 12 Months Average of Monthly Churn Rate

Sansan/Bill One Business: Bill One

MRR up 172.4% YoY, and ARR hit ¥3,798 million as of May 2023.
Net increase in paid subscriptions up 103.7% accelerated vs. Q3.

Number of Bill One Subscriptions andMonthly Recurring Sales per Subscription

Bill One MRR (1)(millions of yen)

316

ARR
May 2023¥3,798 million 172.8% YoY

Paid subscriptions
Monthly Recurring Sales per Subscription(subscriptions)

1,581
Paid
subscriptions
Up

Monthly
Recurring Sales per
subscription Up

103.7% YoY

34.2% YoY

MRR
up

229

1,300

177

¥105,000

58
0

6

FY2021

0.59%

FY2022

53 96

0.50%

0.49%

455

0.45%

280

32

8月 11月2月 May5月 Aug.
8月 11月2月 May5月 8月
2月 May5月
Aug. 11月
Nov. Feb.
Nov. Feb.
Aug.
Nov. Feb.

FY20200.64%

643 77690

19¥200,000¥149,000

116

8

1,084
930

140

4

Last 12 Months Average of Monthly
Churn Rate for Bill One (1)188End- End- End- End- End- End- End- End- End- End- End- EndQ1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4FY2020

FY2021

FY2022

FY2021Q4

FY2022Q1

FY2022Q2

FY2022Q3

FY2022Q4(1) Monthly Recurring Revenue(2) Ratio of decreased monthly fees associated with contract cancellations to total monthly fees for existing contracts© Sansan, Inc.

11

1 Consolidated Financial Results for FY2022

Eight Business Overview
Net sales up 29.5% YoY owing to B2B service sales growth.

FY2021(millions of yen)

Full-Year
Results

Full-Year
Results(For Reference) FY2022
Q4
Results

YoY

YoY

2,213

2,867

+29.5%

1,018+30.0%

B2C Services

286

303

+6.0%

77

+7.3%

B2B Services

1,927

2,563

+33.0%

940+32.4%

Adjusted Operating Profit

-355

-170

ー

36

+88.2%

Number of Eight Users (1)

3.10

3.31

+0.20

million people

million people

million people

2,819

3,703

+31.4%Net Sales

Eight
Business

FY2022

Number of Eight Team
Subscriptions(1) Confirmed users who registered their business card in their profile after downloading the app.
© Sansan, Inc.

12

1 Consolidated Financial Results for FY2022

Eight Business: Net Sales, Adjusted Operating Profit
B2B net sales up vs. Q3 owing to holding a large-scale business event.
Adjusted operating profit up owing to sales growth, recorded profit in Q4.

Net Sales

Adjusted Operating Profit

BtoCサービス
B2C services(millions of yen)(millions of yen)

1,018

BtoBサービス
B2B services

783
702
552
488

424

710

360

309
234

533

350

413
287

480
352

628

460

383

19
940

454

424

36

613

-14
-57

535

-101 -96
-193

74

73

73

74

71

71

71

72

Q1

Q2

Q3

Q4

Q1

Q2

Q3

Q4

FY2020© Sansan, Inc.

FY2021

72

74

78

77

Q1

Q2

Q3

Q4

FY2022Q1-162 -178
Q2

Q3

FY2020

-135
-198
Q4

-176
Q1

Q2

Q3

FY2021

Q4

Q1

Q2

Q3

Q4

FY202213

Contents

1 Consolidated Financial Results for FY2022

2 Growth Strategy
3 Full-Year Forecasts© Sansan, Inc.

14

2 Growth Strategy

Highlights of Full-Year Forecasts

Net sales: 28% to 32% growth,
accelerating from FY2022© Sansan, Inc.

- Net sales forecast for FY2023 is ¥32,653 million to ¥33,674 million- Aim for accelerating net sales growth rate by 3.1 pt. to 7.1 pt. YoY

Adjusted operating profit margin:
3.8% to 5.5%

- Adjusted operating profit is forecasted ¥1,240 million to ¥1,852 million.
- Even while implementing various investments for accelerating growth--in net sales, aiming for improvement for 0.1pt. to 1.8pt. profit margin.

Bill One: Upward revision of
ARR target to ¥7 billion+- Backed by the strong growth of Bill One, we revised ARR target at the--end of FY2023 from over ¥6 billion to ¥7 billion.

15

2 Growth Strategy

Strategies for Acerating Net Sales Growth Rate and Solid Profit Growth© Sansan, Inc.

1

2

Net Sales Maximization

Increase Profitabilityof Sansan/Bill One Businessof Eight Business3
Utilize M&A

16

2 Growth Strategy

Strategies for Acerating Net Sales Growth Rate and Solid Profit Growth© Sansan, Inc.

1

2

Net Sales Maximization

Increase Profitabilityof Sansan/Bill One Businessof Eight Business3
Utilize M&A

17

2 Growth Strategy (1) Net Sales Maximization of Sansan/Bill One Business

Reorganization of Sales Structure for Net Sales Maximization
During the pandemic, adopted a shared sales structure was adopted across services, aimed at resource allocation
optimization. However, considering the improvements in order status and other factors, transition was made to anindependent sales structure for each service, focusing on maximizing revenue.

Previous Sales Structure

Business Division

New Sales Structure

Sansan Division

Bill One Division

Sales

Sales

Sales

Sales Development

Sales Development

Sales Development

MarketingMarketingMarketingCustomer SuccessCustomer SuccessCustomer Successetc.

© Sansan, Inc.

18

2 Growth Strategy (1) Net Sales Maximization of Sansan/Bill One Business

Sansan: Evolution of “Database to Power Sales”
In response to changes in the environment caused by the COVID-19 pandemic, Sansan was renewed from a business cardbased contact management service to the sales DX solution in June 2022.
Sansan brings in 1 million+ corporate data items and progressively expands functions to facilitate DX in sales.
Sansan, the business card-based
contact management service

Sansan, the sales DX solution
Company information

Let’s try to sellto company A

Let’s try to sellto company A

Corporate information

Contact information

Use only in-house
contact information© Sansan, Inc.

Use various contact andcompany information

In-housebusiness cards

EmailsWebsiteinquiries

Virtual cards

Phone calls

Seminars19

2 Growth Strategy (1) Net Sales Maximization of Sansan/Bill One Business

Sansan: Contact Information Functions
In June 2023, two new functions were added:
Smart Contact Management: Automatic storage of customer email interactions on the Sansan platform
Contact Visualization: Visualize types and quantities of contracts in chronological order
Smart Contact Management

Various Contacts

Contact Activities

Business cards

2022

Meetings

Calls

EmailsBy linking with mail servers such as
Gmail™ (1) / Microsoft Outlook (2), e-mailexchanges are automatically stored on
Sansan and the amount of daily e-mailexchanges is displayed as the number ofcontacts in the client's company
information and organization tree.

2023(1) Gmail, Google Workspace, and Google Calendar are trademarks of Google LLC.
(2) Microsoft Teams, Teams, and Microsoft Outlook are registered trademarks or trademarks of Microsoft Corporation in the United States and other countries.
© Sansan, Inc.

20

2 Growth Strategy (1) Net Sales Maximization of Sansan/Bill One Business

Sansan: Potential Market Size in Japan (TAM)
The number of users within current customers is limited, and there is room for many dozens of times more coverage expansion.
Aiming for 14.5% to 15.5% Sansan net sales growth in FY2023.

Company Size

Sansan Coverage

Sansan Coverage(Employees)(Company) (1)(Employees) (1)1,000+

16.3%

4.5%

(+0.2 pt.)

3.9%

100–999(+0.0 pt.)

<100

0.3%
(+0.0 pt.)(+0.4 pt.)

3.3%(+0.3 pt.)

Potential formany dozens of times
coverage expansion

1.6%(+0.5 pt.)

(1) Sansan coverage is calculated with the number of subscriptions and total number of IDs in Sansan for FY2022 Q4 end as the numerator and the number based on Economic Census for Business Activity in 2021 issued by the Statistics Bureau as the denominator.
© Sansan, Inc.

21

2 Growth Strategy (1) Net Sales Maximization of Sansan/Bill One BusinessBill One: Size of Potential Market in Japan
Since all companies are targeted, regardless of industry or size, vast room for development exists in Japan.
There is significant growth potential for Bill One compared with Sansan coverage rate.

User Company Coverage (3)Size of Potential Market for Bill One
Companies in Japan(1)~2 million

8,969
E
1,000+

Companies in Bill One invoice network (2)90,000M
100–999

Subscriptions

1,581

16.3%

3.0%

3.9%

1.3%

0.3%

0.0% (4)~S<100Bill One paid subscriptions

1,581

Company size

Coverage(Employees)(1) Based on Economic Census for Business Activity in 2021 issued by the Statistics Bureau(2) Paid subscriptions + free subscriptions + companies that send invoices to paid and free subscriptions(3) The coverage is calculated with the number of subscription in each services for FY2022 Q4 end as the numerator and the number based on Economic Census for Business Activity in 2021 issued by the Statistics Bureau as the denominator. (4) Paid subscriptions only
© Sansan, Inc.

22

2 Growth Strategy (1) Net Sales Maximization of Sansan/Bill One BusinessBill One: Entry into New Business Field
Backed by strong sales growth and the expansion of the invoice network, implementing new functions and venturing
into new field.
In June 2023, the launch of the Bill One Business Card, corporate credit card, marked entry into the fintech field.

May 2020
launchFeb. 2023

Invoice receiving
function

Purchase orderfunction

Feb. 2022

Invoice issuing
function「」

Expansion into fintech field

Aug. 2022
Oct. 2021

Journal entry
function

Mailing function

June 2023
LaunchBill One
Business Card,
corporate credit card

© Sansan, Inc.

23

2 Growth Strategy (1) Net Sales Maximization of Sansan/Bill One BusinessBill One: Bill One Business Card Function Outline
The Bill One Business Card, a corporate credit card that available as an option with Bill One, boosts efficiency in corporate
credit card payments, contributing to even faster monthly closing.
Users can effectively adapt to the Invoicing System and Electronic Bookkeeping Act, while reducing fraud risk.

Instantly reflecttransaction details

Issue cards and process
payments on Bill One

Digitize receipts andreconcile automatically

Request receipt
submission after usage
automatically

1. Centralized control- Card issuance is available on Bill One.
- Reduces the workload to lend andmanage cards.

Card administrator

2. Security measures- Limits and restrictions on usage amountand purposes.
- Minimizes fraud risk.

3. Automatic reconciliation oftransaction details and receipts.
- Receipts are digitized at 99.9% (1) accuracy
by the end of the next business day.
- Transaction details and receipts areautomatically matched.

(1) Digitization accuracy when conditions specified by Sansan, Inc. are met.
© Sansan, Inc.

24

2 Growth Strategy (1) Net Sales Maximization of Sansan/Bill One BusinessBill One: ARR Target
Aiming for ARR of ¥7 billion+ by the end of FY2023.

Bill One ARR(millions of yen)

May 2024
ARR aim for¥7billion+
3,798

1,392
237
2021
FY2020End-Q4© Sansan, Inc.

2022
FY2021End-Q42023
FY2022End-Q42024
FY2023End-Q425

2 Growth Strategy (1) Net Sales Maximization of Sansan/Bill One BusinessContract One: Strengthened Function
Contract One: The contract DX solution that accurately digitizes all contracts and realizes company-wide use.
Began offering document search function using GPT and integration function with Sansan.

Service Outlines

Contract One AI

Contract One AI instantly summarize
contract details, allowing for easycomprehension of the key points

Equipped with AI summarizing function using GPT technology

The service builds a comprehensive database that accurately digitizes both
past and future contracts, letting all employees utilize contract information
as a valuable asset in their business operations.

© Sansan, Inc.

Contract One AI leverages the Azure OpenAI Service from Microsoft and offers afeature that instantly summarizes and displays pre-digitized contract information,
primarily focusing on areas such as counterparties, overview, and duration.

26

2 Growth Strategy

Strategies for Acerating Net Sales Growth Rate and Solid Profit Growth© Sansan, Inc.

1

2

Net Sales Maximization

Increase Profitabilityof Sansan/Bill One Businessof Eight Business3
Utilize M&A

27

2 Growth Strategy (2) Increase Profitability of Eight Business

Eight: Business Operation Policy
Aim net sales growth for 10.0% to 17.0% in FY2023
Under profitability-focused business operations, aiming for return to full-year profitability.

Adjusted Operating Profit

Major Monetization Plans(millions of yen)

Business events

Business card management

B2B

B2B

Fixed fee per event

Fixed monthly fee(held irregularly) (1)(annual subscription)

Various business event
services using Eight's
business network

Users can sharecontact withcolleagues

B2C

36
19
-14
-57

Fixed monthly fee-101 -96-193
Q1-162 -178
Q2

Q3

FY2020

-135
-198
Q4

-176
Q1

Q2

Q3

FY2021

Q4

Q1

Q2

Q3

Q4

Delivers additional
functions to users,
such as network data
download

FY2022.
(1) There are multiple fee settings depending on the type of event held, etc.
© Sansan, Inc.

28

2 Growth Strategy

Strategies for Acerating Net Sales Growth Rate and Solid Profit Growth© Sansan, Inc.

1

2

Net Sales Maximization

Increase Profitabilityof Sansan/Bill One Businessof Eight Business3
Utilize M&A

29

2 Growth Strategy (3) Utilize M&A

Track Record of Company Consolidation
To achieve discontinuous growth, promote company consolidation etc.
CREATIVE SURVEY and ILU were newly incorporated as group companies.

Track Record of Company Consolidation© Sansan, Inc.

logmi, Inc.

Diamond Corporate
Data Services, Inc.

CREATIVE SURVEY INC.

Institute of Language
Understanding Inc.

August 2020

August 2021

March 2023

June 2023

30

2 Growth Strategy (3) Utilize M&A

Newly Incorporated Group Companies
CREATIVE SURVEY provides a corporate survey system.
ILU possesses expertise in knowledge databases and language understanding engine technologies.

Company Outline: CREATIVE SURVEY INC.

© Sansan, Inc.

Company Outline: Institute of Language Understanding Inc.

Beginning date of
consolidation

FY2022 Q4 (March 2023)

Beginning date of
consolidation

FY2023 Q1 (June 2023)

Business segment

Sansan/Bill One segment (others)

Business segment

OthersService outline

Provides CREATIVE SURVEY corporate survey system that aggregatescustomer information from various touchpoints

Service outline

Engaging in outsourced development etc., utilizing large-scale knowledge
databases and language understanding engines

Objective ofconsolidation

Enhancing CREATIVE SURVEY through integration of our sales and marketing
expertise with our proprietary technologies

Objective ofconsolidation

Enhancing Sansan’s natural language processing service development, researchand development capabilities, and talent acquisition

31

Contents

1 Consolidated Financial Results for FY2022
2 Growth Strategy

3 Full-Year Forecasts© Sansan, Inc.

32

3 Full-Year Forecasts

Full-Year Forecasts
Aim for consolidated net sales growth of 28.0% to 32.0%, accelerating from FY2022
Adjusted operating profit margin is to improve 0.1 points to 1.8 points YoY.

FY2023 (1)FY2022(millions of yen)

Full-Year
Results

YoY

Full-Year
Forecasts

YoY

25,510+24.9%

32,653 to 33,674+28.0% to +32.0%

22,516+24.4%

29,046 to 29,835+29.0% to +32.5%

Sansan19,793+15.0%

22,664 to 22,861+14.5% to +15.5%

Bill One

2,414+192.2%

5,673 to 6,156+135.0% to +155.0%

Eight Business

2,867+29.5%

3,153 to 3,354+10.0% to +17.0%

942+28.9%

1,240 to 1,852+31.7% to +96.6%

3.7%+0.1 pt.

3.8% to 5.5%

+0.1 pt. to +1.8 pt.

Net Sales

Consolidated Results

Sansan/Bill One Business

Adjusted Operating Profit
Adjusted Operating
Profit Margin.
(1) We do not disclose specific forecast figures for operating profit (loss) and below as it is difficult to make a reasonable estimate of expenses related to share-based payment expenses,
which may vary significantly depending on the level of our stock price, and certain non-operating income or expenses and other items.
© Sansan, Inc.

33

3 Full-Year Forecasts

Medium-Term Financial Targets (FY2022–FY2024)
Considering the solid business growth in FY2022, we revised upward the growth rate of consolidated net sales from the 20%+
range to the mid-20%+ range.
Aim to solid sales growth and stable profit growth.

Important management indicators

Continued consolidated net sales growth of mid-20%+ range or higher

Improvement of adjusted consolidated profit margin in each fiscal year

© Sansan, Inc.

Sansan/Bill One Business

Eight Business

Recording adjusted operating profit of ¥10 billion+
for Sansan and Bill One in FY2024(excluding Others, such as new services in
Sansan/Bill One Business segment)

Recording stable adjusted operating profit for full year

34Appendix© Sansan, Inc.

Sansan Group Overview© Sansan, Inc.

Sansan Group Overview

Mission and Vision

MissionTurning encounters
into innovation

VisionBecome business
infrastructure© Sansan, Inc.

37

Sansan Group Overview

History (1)FY2018−present

Diversifying Business
Fields and Services
FY2012−FY2017

FY2006−FY2011

Founding andLaunch of Business
FY2006SAN SAN, Inc. (now Sansan, Inc.) founded
Began offering Link Knowledge services(now Sansan, the sales DX solution)

FY2011

Strengthening
Investments
Through Large-Scale
Fundraising
FY2012−FY2017
Raised a total of more than ¥10 billion in funding

FY2012Started broadcasting first Sansan TV commercial

FY2022
Consolidated Net Sales¥25,510 million

FY2018
Listed on the Mothers Section of Tokyo Stock Exchange

FY2019Began offering Bill One cloud-based invoice management solution

FY2020Changed listing market to First Section of Tokyo Stock Exchange

FY2021
Began offering Contract One cloud-based contract management solution
Changed from First Section to Prime Market of Tokyo Stock Exchange.

FY2023
Launched Bill One Business Card

FY2013
Changed legal name to Sansan, Inc.

Launched Eight

FY2006 FY2007 FY2008 FY2009 FY2010 FY2011 FY2012 FY2013 FY2014 FY2015 FY2016 FY2017 FY2018 FY2019 FY2020 FY2021 FY2022(1) The graph indicates net sales for fiscal years ended in May (figures prior to the year ended May 2016 are non-consolidated, while subsequent figures are consolidated).
© Sansan, Inc.

38

Sansan Group Overview

Digitally Transform How People Work
Offering a business database that reshapes how people work and connects encounters with people and companies tobusiness opportunities.

Careermanagement

Digitally Transform
How People Work© Sansan, Inc.

39

Sansan Group Overview

Overview of Reporting Segments
Comprises two reporting segments, the Sansan/Bill One Business and Eight Business. (1)Sansan/Bill One Business

Eight Business

SansanB2C Services- Eight PremiumBill One（3）（2）

OthersB2B Services- Eight Team- Meets- Climbers- DX Camp- Business IT & SaaS EXPO
- Eight Career Design(1) The few other services not included in reportable segments are recorded in “Others,” while elimination of intra-company transactions (sales), and costs not allocated to segments are recorded in “Adjustments.”(2) Services provided by CREATIVE SURVEY INC., a consolidated subsidiary(3) Services provided by logmi, Inc., a consolidated subsidiary© Sansan, Inc.

40

Sansan Group Overview

Operation and Technologies for Digitizing Analog Information
Establishment of analog information digitization operation structure unsurpassed by competitors.
Prompt, accurate digitization of large volume of business card information

Scan large volumes ofanalog information

AI:
Data entry

Humans:Manual entry

Humans: Final check

Database

Automatic and manual data entry of
analog information images
Cycle repeated since company began

Combination of Technologies
Automatic detection andmicro-tasking of
analog information© Sansan, Inc.

Automatic detection of
language

Automatic sorting tooperators

Diverse network ofdata entry operators

Image processing
technology

41Sansan Group Overview

Tailwind of Market Environment
Digital transformation is boosting the need for cloud-based solutions

Domestic Private IT Market Size (1)(billions of yen)

Digital Transformation Market Size (2)(billions of yen)

SaaS Market Size in Japan (3)(billions of yen)＋¥579

13,550＋¥1,050＋¥3,813.6

billionbillionbillion

1,668.1

5,195.7

14,6001,089.1

1,382.1

2021
'05/5

2024E
'05/5

2020
'05/5

2030E
'05/5

2022E
'05/5

2026E
'05/5

(1) Based on 2022 IT Investment by Japanese Companies: Facts and Forecasts, Yano Research Institute Ltd.
(2) Based on Market Edition and Vendor Strategy Edition of 2022 Outlook of the Digital Transformation Market by Fuji Chimera Research Institute.
(3) Based on 2022 New Software Business Markets by Fuji Chimera Research Institute.
© Sansan, Inc.

42

Sansan Group Overview

Company Overview (1)Company name

Sansan, Inc.

FoundedJune 11, 2007

Head office

Aoyama Oval Building 13F, 5-52-2 Jingumae, Shibuya-ku, Tokyo, Japan

Other locations

Branch offices: Tokyo, Osaka, Fukuoka, Aichi
Satellite offices: Tokushima, Kyoto, Niigata

Group companies

Sansan Global Pte. Ltd. (Singapore)
Sansan Global Development Center, Inc. (Philippines)
Sansan Corporation (United States)
logmi, Inc.
Diamond Corporate Data Services, Inc.
CREATIVE SURVEY INC.
Institute of Language Understanding Inc.(From June 2023)

Representative

Chika Terada

Head OfficeKamiyama Lab,Tokushima

Employees

1,399

Capital¥6,582 million

Net sales¥25,510 million (FY2022)

Classification byshareholder type

Individuals and others: 47.33%; foreign financial institutions and individuals: 28.98%;
domestic financial institutions: 20.71%; other domestic corporations: 1.71%;
security firms: 1.28%

Sansan Innovation Lab,Kyoto(1) As of May 31, 2023
© Sansan, Inc.

43

Sansan Group Overview

About Employees
Breakdown by Organization (1)Employees (Consolidated)(people)

1,399
1,205

Others955
Eight Business

714

1,399
employees

549

Sansan/Bill One
FY2018FY2019FY2020
FY2021
FY2022
2019年5月期
2020年5月期
2021年5月期
2022年5月期
2023年5月期
End-Q4End-Q4End-Q4End-Q4End-Q4(1) As of May 31, 2023
© Sansan, Inc.

44

Sansan Group Overview

Ratio of Net Sales to Each Expenses
Ratio of Each Expenses to Consolidated Net Sales (1) (Cost of sales/R＆D (2) /S＆M (3) /G＆A (4))
売上原価
Cost of Sales

R&D

S&M

G&A

120.0%

100.0%

15.7%

80.0%

19.5%

13.6%

12.3%

12.3%

14.4%

17.8%

16.7%

19.5%

19.9%

39.4%

44.5%

43.5%

39.7%

25.3%

24.0%

22.0%

20.9%

22.1%

FY20182019年5月期

FY20192020年5月期

FY20202021年5月期

FY20212022年5月期

FY2022
2023年5月期

60.0%

48.6%
40.0%

20.0%

0.0%

(1) Unaudited(2) Research and Development (total personnel costs, server costs, common costs, etc. related to research and development)(3) Sales and Marketing (total advertising costs and personnel costs, common costs related to advertising and sales promotion)(4) General and Administrative (total personnel costs and common costs related to corporate departments)© Sansan, Inc.

45

Sansan Group Overview

Breakdown of Adjustment Amount(millions of yen)

FY2022Full-Year Results

Full-Year Results

YoY

Adjusted Operating Profit (Adjustment)

Advertising expenses

55

70+27.5%

Personnel expenses

1,073

1,348

+25.6%

Server and PC costs

433

573

+32.4%

Rent

843

1,004

+19.1%

Recruiting expenses

266

267

+0.4%

1,971

2,591

+31.5%

Personnel-related costs

612

756

+23.6%

Office-related costs

547

768

+40.4%

Others811

1,065+31.3%

4,643

5,856

+26.1%

OthersTotal© Sansan, Inc.

FY202146

Sansan/Bill One Business© Sansan, Inc.

Sansan/Bill One Business

Sansan: Service Outline
Business card/contact management service repositioned as sales DX solution.
Equipped with company information for realizing sales usage of all types of customer information.

Share info other than business cards company-wide

Various corporate information provided

Business cards© Sansan, Inc.

Company information

Email signatures

Website inquiries/forms

Job/position

LocationsMeeting notes

Seminar participants

Corporate risk info

Personnel changes

48Sansan/Bill One Business

Sansan: Dominant Market Share and Solid Customer Base
Has gained high level of brand recognition among B2B services and established a dominant market share. Built a solid
customer base backed by Japan’s highest SaaS management expertise, which has been cultivated since we began.

Dominant Brand Recognition and Market Share in B2B

Strong Sales Organization and Solid Customer Base

Sales share in 2021 (1)SaaS expertise cultivatedover the 15 years since our founding

Sansan81.6%(1) Based on Latest Trends in Business Card Management Services in Sales Support DX 2023 (December 2022, survey by Seed Planning, in Japanese)© Sansan, Inc.

49

Sansan/Bill One Business

Sansan: Service Plans
Providing basic company-wide use plan.

A. Basic company-wide use plan

B. Previous plan (ID subscription)

Timing of payment

1

Initial Cost
(initial costs)

2

Customer
Success Plan
(initial costs)

12 months’ license cost

Cost by number of contract IDs

Cost for digitizing existing business cards

Digitization costs for business cards already held
(upper limit placed on number of business cards)

Offer introduction support plans with individual quotation
Costs for implementation and operational support of Sansan services

3

ScannerMonthly ¥10,000/scanner(running costs)

Rent scanners and tablets to customers based on number of office floors and/or branches

4© Sansan, Inc.

Setting by number of contract IDs

License cost

Determined according to company
size and usage (annual subscriptions)(running costs)

Tens of thousands to millions of yen per subscription

Fixed billing for each ID (upper limit placed on thenumber of business cards digitized)(annual subscriptions)

At start ofcontract

At start ofcontract

At start or
renewal ofcontract
At start or
renewal ofcontract50

Sansan/Bill One Business

Sansan: Accumulation of Net Sales by Service-in Timing (Recurring Sales)
Stably achieving negative churn rate (1)Sansan Sales Stack-up: Accumulation of Net Sales by Service-in Timing (Recurring Sales)

FY2017End-Q4FY2018End-Q4FY2019End-Q4FY2020End-Q4FY2021End-Q4FY2022End-Q4(1) Status where increase of revenue generated by the existing subscriptions is greater than revenue reduced resulting from cancellation© Sansan, Inc.

51

Sansan/Bill One Business

Sansan: Sales Composition by Customer Size (Recurring Sales)
No significant change in revenue composition ratio by customer size.
Sansan Sales Composition by Customer Size (1) (Recurring Sales)
YoY(Revenue)

Company size (employees)

FY2022End-Q4(composition)

1,000+
100-999
<100

45%

＋

17.1%
＋

37%

13.7%
＋

17%
FY2017End-Q4FY2018End-Q4FY2019End-Q4FY2020End-Q4FY2021End-Q415.9%

FY2022End-Q4(1) Created based on Sansan monthly fee amounts (unaudited), values from graphs up to and including FY2022 Q1 end changed following review of calculation method.
© Sansan, Inc.

52

Sansan/Bill One BusinessBill One: Service Outline
Making all forms of invoices receivable online, while promoting DX of invoice operations through accurate digitization.
Following the introduction of Bill One, customers can smoothly handle various legal amendments and fast monthly closing ofaccounts.
Invoice issuer

Receive, digitize & centralize your invoices. Fast monthly closing.

Bill One user companies

Postal mailOne-stop receipt
Emailattachment

UploadDigitization of invoices with 99.9% (1) accuracy
Centralized management by database

Resolve issues in the invoicing process
Receiving and managing
paper invoices is time-consuming
and labor-intensive

Personnel forced to come to theworkplace to process
paper invoices(1) Digitization accuracy when conditions specified by Sansan, Inc. are met.
© Sansan, Inc.

53

Sansan/Bill One BusinessBill One: Customer Base and Positioning
Regardless of industry or business type, acquiring various customers.
Achieved #1 sales in cloud invoice receiving service market.

Market Share in Cloud Invoice Receiving Services (1)Customers Running Bill One

Share of Sales
in Cloud Invoice
Receiving Service Market#1(1) Deloitte Tohmatsu MIC Economic Research Institute, "The Present and Future of the Market of Online Invoice Receiving Solution Service Market, Expected to Grow at a Staggering Rate" (MIC IT Report, July 2022).
© Sansan, Inc.

54

Sansan/Bill One BusinessBill One: External Environment in Invoicing Arena
In addition to invoicing system and Revision of Electronic Bookkeeping Act, various changes—including introduction ofdigital invoices (Peppol format)—expected to occur in environment surrounding invoices.

• System for correctly calculating tax
credits for purchases subject toconsumption tax.

Invoicing
System• Issuing company applies forregistration and issues eligible
invoices.

2022

2023

2024

October 2021 to end of March 2023
Issuer: Contractor’s registration application acceptance period
commences at time of issue of eligible invoice• Receiving companies will be required
to confirm whether received invoices
meet requirements for qualified
invoices, such as the registration
number stated and the recalculationof the consumption tax amount.

October: Invoicing system applications commenceIssuer: Issue of Qualified invoices
Receiver: Only qualified invoices can be applied for tax credit for purchases (1)• Laws related to preservation ofelectronic books.

Revision ofElectronic
Bookkeeping
Act• Paper receipt national tax documents
can be stored electronically with noneed to apply to tax offices.

• Electronic preservation of electronic
receipt national tax documents mademandatory.

January: Enforcement of Electronic Bookkeeping Act (Revised)

Allows2 years for being unable to store electronically only undercertain conditions(1) Certain transitional measures© Sansan, Inc.

55

Sansan/Bill One BusinessBill One: Room for Expanded Medium- and Large-Sized Company CoverageStrong brand recognition of Sansan and robust customer base centered on Medium- and Large-Sized companies making
significant contribution to Bill One’s gaining credibility.
Income from Medium- and Large-Sized companies continuing to expand, bringing expectations of coverage expansion.
User Company Coverage (1)Sales Composition by Customer Size (3)YoY
Company size (employees)(Revenue)

25%

1,000+

8,969
E
1,000+

M
100–999

S<100
Company size
(Employees)

Subscriptions

16.3%

1,581

100-999＋172.9%

<100

3.0%

3.9%

1.3%

0.3%

0.0

＋

51%

＋

% (2)

Coverage

186.6%

24%
FY2019End-Q4FY2020End-Q4FY2021End-Q4158.0%FY2022End-Q4(1) The coverage is calculated with the number of subscription in each services for FY2022 Q4 end as the numerator and the number based on Economic Census for Business Activity in 2021 issued by the Statistics Bureau as the denominator.
(2) Paid subscriptions only
(3) Created based on Bill One monthly fee amounts (unaudited)© Sansan, Inc.

56

Eight Business© Sansan, Inc.

Eight Business

Eight: Service Outline

App used by 3 million+ businesspeople as a service
to resolve problems that individuals face in business

Offering a lifetime app for business
Scan your own
business card

© Sansan, Inc.

Your profile

Network withyour contacts

Stay up to date

Instant messaging

58

Eight Business

Eight: Strengthening and Promotion of Monetization Plans
Augmenting and accelerating monetization by strengthening corporate services that leverage network of 3 million+ users.

B2B Services (1)B2C Services

Recruiting platform

Business events

B2B

B2B

B2B

B2C

Fixed monthly fee (2)Fixed fee per event

Fixed monthly fee

Fixed monthly fee(fixed contract)(held irregularly) (3)(annual subscription)

Professional recruitment services
targeting Eight users

Various business event services
using Eight's business network

Users can share contact
with colleagues

Business card management

Delivers additional functions
to users, such as network
data download(1) B2B services in the Eight business include event transcription services for the media logmi Biz, logmi Finance and logmi Tech provided by logmi, Inc.
(2) There is an additional charge when a decision to hire is made.
(3) There are multiple fee settings depending on the type of event held, etc.
© Sansan, Inc.

59

Initiatives for Sustainability© Sansan, Inc.

Initiatives for Sustainability

Material Issues (Priority Issues)
Identified key material issues (priority issues) relating to environment, society, and governance.
Working to resolve these issues through our core business, we aim to contribute to achieving the SDGs and building asustainable society.

© Sansan, Inc.

61

Initiatives for Sustainability

Expansion and Upgrading of Sustainability Information
Uploaded new sustainability page to our corporate website in October 2022.
Sustainability information significantly expanded in Annual Report 2022.

© Sansan, Inc.

- Sustainability page

- Annual ReportJapanese: https://jp.corp-sansan.com/sustainability

Japanese: https://ir.corp-sansan.com/ja/ir/library/report.html

English: https://www.corp-sansan.com/sustainability

English: https://ir.corp-sansan.com/en/ir/library/report.html

62

Others

External Evaluations
Achieved “A” rating in external ESG ratings in 2023.
The Government Pension Investment Fund (GPIF) domestic equity investment organizations selected our Annual Report as an“excellent integrated report” and “most-improved integrated report.”
ESG Rating

Annual Report

MSCI (1)Government Pension Investment Fund

MSCI ESG RATING “A”

Excellent Integrated Report

Government Pension Investment Fund

Most-Improved Integrated Report(1) THE USE BY SANSAN, INC. OF ANY MSCI ESG RESEARCH LLC OR ITS AFFILIATES (“MSCI”) DATA, AND THE USE OF MSCI LOGOS, TRADEMARKS, SERVICE MARKS OR INDEX NAMES HEREIN,
DO NOT CONSTITUTE A SPONSORSHIP, ENDORSEMENT, RECOMMENDATION, OR PROMOTION OF SANSAN, INC. BY MSCI. MSCI SERVICES AND DATA ARE THE PROPERTY OF MSCI OR
ITS INFORMATION PROVIDERS, AND ARE PROVIDED ‘AS-IS’ AND WITHOUT WARRANTY. MSCI NAMES AND LOGOS ARE TRADEMARKS OR SERVICE MARKS OF MSCI.
© Sansan, Inc.

63