Financial Results Briefing Report for 3Q, FY2022
CREEMA LTD. (TSE Mothers: 4017)
January 14, 2022

Copyright ©2022 CREEMA LTD.

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MISSIONVISION

Make people and the world
happy by accomplishing
our work with love

A new big conglomerateleading the 21st century

Corporate Statement

Let's create a huge round era!

Copyright ©2022 CREEMA LTD.

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Business structure and "Creema economic zone"
We are expanding our business into various service areas that support the activities of creators with Japan's
largest handmade marketplace "Creema" as the main axis, and we are striving to expand the "Creema economiczone", where all services are dynamically linked.
Creator empowerment business① Marketplace service (Japan / Taiwan / Hong Kong)• KPIs of our business model− Registered creators
220 thousand people− Registered works
12 million items− App downloads
12 million DL− GMV (FY22 forecast) 16.2 billion/year② Platform services• Internal advertising(Advertising for creators)• External advertising (Advertising forcompanies and local governments)• Membership services(Daily remittance service, etc.)

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Creators(Sellers)(Work listing)Transaction
Revenue(Purchase)
Payment

Users(Buyers)

Transactionfees③ Events and Stores• Events− HandMade In Japan Fes'
(Tokyo Big Sight), etc.
• Stores− Creema Store④ New service group• Crowdfunding service− Creema SPRINGS• Fulfillment service• Lesson video platform− FANTIST• Other new services in preparation, etc.

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3Q, FY2022 Company-wide results

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[Company-wide] 3Q and cumulative results
3Q sales landed at 557 million yen (115% YoY) and operating profit at 49 million yen.Sales for 3Q cumulative landed at 1.6
billion yen (109% YoY) and operating profit at 237 million yen (73% YoY). At the end of 3Q, the progress rate of operating profit
to the annual budget trended well at 75%.
Consolidated Income Statement

TopicsCumulative (1Q ~ 3Q)

3Q
Unit: million yen

Results

YoY

Results

114%(Ref.) GMV

3,948

Sales

557

Sales Cost

Excludingmasks: 121%

YoY
103%

11,764115%

Excludingmasks: 120%

109%

Excludingmasks: 120%

1,666

Excludingmasks: 123%

32

1832%

40

1212%

Gross profit

525

108%

1,625

107%

SG&A

475

116%

1,388

116%

Operating profit

49

65%

237

73%

Ordinary Profit

48

75%

232

76%

Net income

57

469%

204

82%

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[3Q]
• Sales were 115% YoY in reaction to the surge in demand
which arose in the previous fiscal year due to the spread of
COVID-19.
• SG&A expenses were 116% YoY as a result of expanding
growth investments such as new business investments asplanned.
• As a result, operating profit was 65% YoY.
• Nonetheless, sales were 120% YoY if excluding maskrelated sales, which surged due to the impact of COVID-19.
Growth has continued in the main.
[3Q cumulative]• Despite continuing to be hit by the impact of COVID-19 inbusinesses in the offline field, sales were 109% YoY due
to business growth in the online field, making steady
growth (sales strongly grew 123% YoY if excluding maskrelated sales).
• SG&A expenses were 116% YoY mainly due to TV
commercials, large-scale development investments, andnew business investments.
• Consequently, operating profit for the first nine months was
73% YoY.
• The progress rate of operating profit to the annual target
was 75% as of 3Q.
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[Company-wide] Trends in consolidated sales
3Q sales landed at 115% YoY.Sales were 120% YoY if excluding handmade masks-related sales, which surged as
COVID-19 spreads in the previous year.Although being 109% YoY, the results for 3Q cumulative were 123% YoY if
excluding the impact of masks, growing steadily.
Sales trends

Quarter
Unit: million yen

3Q cumulative
YoY：115% *Excluding masks: 120%

YoY：109% *Excluding masks: 123%
1,666

606
523

514

448
365

386

1Q
FY20

2Q

539

503

485

1,069

317

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3Q

1,523

557

4Q

1Q
FY21

2Q

3Q

4Q

1Q
FY22

2Q

3Q

3Q
3Q
3Q
cumulative cumulative cumulative
FY20
FY21
FY22
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[Company-wide] Changes in consolidated SG&A expenses
Meanwhile, 3Q SG&A expenses continued to be incurred as planned for medium- to long-term growth.SG&A expenses for both3Q alone and 3Q cumulative were 116% YoY in line with increases in promotion expenses, system development expenses, newbusiness investments, etc.
Changes in SG&A expenses
Quarter

3Q cumulative

Unit: millions of yen

YoY：116%

YoY：116%: Others: Promotion expenses: Personnel expenses

263
699

173

175

161

168

201

202

228

201

222

248

605
510

249

96

81

96

117

273

110

108

242

335

90

84

67

79

84

93

103

101

103

110

122

104

130

118

252

316

353

73
1Q
FY20

2Q

3Q

4Q

1Q
FY21

2Q

3Q

4Q

1Q
FY22

2Q

3Q

3Q
cumulative
FY20

3Q
cumulative
FY21

3Q
cumulative
FY22

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[Company-wide] Changes in consolidated operating income
3Q operating profit landed at 49 million yen, 65% YoY, due to the combined effect of the reaction to rapid growth resulting fromthe impact of COVID-19 in the previous year (demand for masks and stay-at-home consumption) and upfront investments madefor medium- to long-term growth.Results for 3Q cumulative landed at 237 million yen, 73% YoY.
Trends in operating profit
Quarter

3Q cumulative
YoY：65%

Unit: million yen

YoY：73%

324
148
122

237

125
75

58

39

49
▲9

6
1Q
FY20

2Q

3Q

4Q

1Q
FY21

2Q

3Q

4Q

1Q
FY22

2Q

3Q

3Q
cumulative
FY20

3Q
cumulative
FY21

3Q
cumulative
FY22

▲ 98
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Earnings progress
The progress rates of GMV, sales and operating profit to their full-year earnings target were 72%, 68% and 75%
respectively as of the end of 3Q, indicating that sales are slightly behind the target.
Key financial indicators

Progress as of 3Q against full-year earnings forecast (million yen)

Full-year earnings
forecast

GMV

3Q results

16,27911,764
 Progress rate (as of 3Q): 72%

Full-year earnings
forecast

Sales

3Q results

2,446
1,666
 Progress rate (as of 3Q): 68%

Full-year earnings
forecast

Operating profit

3Q results

315
236
 Progress rate (as of 3Q): 75%

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Topics• The progress rate of GMV to the budget
remained strong at 72%, and there is 4Q togo, when GMV tends to grow the mostin a year.
• Sales are slightly behind the target mainly
due to cancellation of a large-scale event(September) and suspension of the new
business of fulfillment service in addition to
the longer-than-expected stagnant
performance of stores resulting from thepersistent impact of COVID-19.
• On the other hand, operating profit
proceeded almost according to the budget
as a result of progress made in cost
reduction, etc.
• To achieve full-year earnings forecast,efforts will be made to catch up in 4Q, when
GMV and sales tend to grow the most in a
year.

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Initiatives in 4Q to achieve the full-year earnings targets
4Q is a period when GMV of marketplace service tends to grow the most in a year. Moreover, "HandMade In Japan Fes'," oneof Japan's largest creators' festivals, is scheduled for 4Q, too. We aim to speed up growth to hit the full-year targets.
Service

Marketplace

Main initiatives in 4Q• Events, such as Christmas, the New Year's holidays and Valentine's
Day, etc. will push up purchasing demand. Business enters a season
when Creema GMV tends to grow the most in a year.
• We aim to further expand Creema GMV through measures such as avariety of campaigns that capture demand.

Platform• Various advertising services too are expected to expand in line withincreases in Creema GMV and inflow thereto.
• Especially, we aim at business expansion in external advertisingprojects in sync with "HandMade In Japan Fes' "• "HandMade In Japan Fes'," a large craft event, is scheduled forJanuary 2022 in Tokyo Big Sight.

Events・Stores

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• We will be prepared for future regrowth by appropriately selecting
and concentrating resources in services in the offline field in addition
to those in the online field.
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[Company-wide] Balance sheet status
Subject (Unit: Million Yen)

3Q FY2022(Ref.) 2Q FY2022(Ref.) QoQ

3,505

3,530

99%

Cash and cash equivalents

2,830

2,915

97%

Accounts receivable

652

591

110%

355

227

156%

Deferred tax assets

78

64

122%

Security deposits

157

51

304%

Goodwill

41

45

91%

3,860

3,758

103%

2,126

2,039

104%

Withholdings / Funds payable and amounts
due to creators

1,546

1,466

105%

Loans repayable within one year

171

170

100%

439

482

91%

430

472

91%

2,566

2,522

102%

Capital stock

536

536

100%

Capital surplus

1,957

1,957

100%

Retained Earnings-1,198-1,256

－

1,293

1,235

105%

Current Assets

Fixed assets

Total assets
Current Liabilities

Fixed liabilities
Long-term liabilities
Total liabilities

Total net assets
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FY2022 Performance by major services

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[Marketplace] Main initiatives and Creema GMV trends
3Q GMV landed at 3.9 billion yen, 114% YoY. GMV was 121% YoY for 3Q alone and 120% for 3Q cumulative, progressing as planned if
excluding mask GMV, which is susceptible to the situation of COVID-19. Growth has continued in the main.

Main initiatives• Rolling out a variety of merchandising
campaigns including feature articles
capturing the trends including Halloween andspecial programs such as "Summer grabbags."

Creema GMV trends

Quarter
Unit: million yen

YoY：114%*GMV excluding masks YoY: 121%

• Enhancement of Creema products focusing
on a better user interface and measures toimprove convenience for creators.

4,256
3,956

3,740

4,172

11,463

3,948

2,515
2,224

YoY：103%*GMV excluding masks YoY: 120%

11,764

3,643

3,466

• Strengthening of systems and support
structure to provide a safer and more securepurchasing experience.
• Broadcasting of Creema TV commercial from
July to August to get the service known.

3Q cumulative

6,483

2,075 2,182• Collab items from Creema x Hello Circus"Star Creator Discovery Project" werecompleted and put on the market.
• "Area CC," a new brand produced by Chiaki,
head of Hello Circus, was put on sale.
1Q 2Q
FY20
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3Q

4Q

1Q 2Q
FY21

3Q

4Q

1Q 2Q
FY22

3Q

3Q
3Q
3Q
cumulative cumulative cumulative
FY20
FY21
FY22
PAGE 13

[Marketplace] Impact of handmade masks in Creema GMV
Creema GMV total was 121% YoY for 3Q alone and 120% for 3Q cumulative, if excluding mask-related products,
expanding steadily.
Creema GMV (overall)

Creema GMV (excluding mask-related sales)

GMV (overall) YoY: 114%

Unit: million yen

GMV (excluding mask-related sales) YoY: 121%

3,133
3,136

3,187

3,759

3,985

3,522

3,867

2,515

3,136

1Q
FY21

2Q

3Q

3,985

4Q

1Q
FY22

3,522

3,867

2,515

1,122
4Q
FY20

3,133

3,187

3,759

1Q
FY21

604

279

196

187

120

80

2Q

3Q

4Q

1Q
FY22

2Q

3Q

Mask-related GMV

4Q
FY20

2Q

3Q

Other GMV

Note: The mask-related GMV refers to the GMV of traded products that contain the word "mask" in the titles of works on Creema. Such works are among those traded during a relevant period under
Creema's categories other than food. In regard to the mask-related GMV disclosed on April 14, since it was calculated based on titles of works extracted at the point when the disclosed material was
prepared and not when works were traded, in some cases, titles have been changed from when traded. By revising the extraction method in detail this time, the total annual mask-related GMV in FY21
increased slightly more than the mask-related GMV disclosed on April 14, while the GMV excluding mask-related products in FY22 disclosed on July 13 decreased slightly.
Copyright ©2022 CREEMA LTD.

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[Marketplace] Sales trends
3Q overall sales were 378 million yen (110% YoY), but if excluding mask-related products, 118% YoY. Sales for 3Q cumulative
were 101% YoY but if excluding mask-related products likewise, 118% YoY. Sales continue to grow strongly in the main.
Sales trends
Quarter

3Q cumulative

OverallExcluding masks

YoY：110%

Unit: million yen

Overall

YoY：118%

Excluding masks

YoY：101%
1,147

YoY：118%

1,163
1,124
949

312
323
314

364

402

351

369
323

314

4Q 1Q 2Q
FY20 FY21

3Q

312

364

402

351

369

1Q 2Q
FY22

3Q

640

640

246

246
104

64

4Q 1Q 2Q
FY20 FY21

28
3Q

20
4Q

Mask-related sales

18
12
1Q 2Q
FY22

8
3Q

4Q

3Q
3Q
3Q
cumulative cumulative cumulative
FY20
FY21
FY22

3Q
3Q
3Q
cumulative cumulative cumulative
FY20
FY21
FY22

Other sales

Note: Mask-related sales refers to those associated with sales from trading of works that contain the word "mask" in their title. Such works are among those that completed trade during a relevant period
under Creema's categories other than food.
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PAGE 15

[Ref.] Trends in marketplace-related KPIs
Both the number of listings and app downloads have been steady. While the transaction unit price fell temporarily due to asudden increase in low unit-price mask-related sales in FY21, the transaction unit price has recovered in FY22 with thesignificant decrease in mask-related sales. Unit price in 3Q was highest ever.
Number of listings

App DL

Unit: 10,000

Average transaction unit price (Japan)

Unit: 10,000

Unit：Yen

1,299

5,395

1,218

1,245
1,131

The proportion of mask sales
to total sales has declined, andunit price has recovered

1,186

1,189
1,120

5,086 5,110

1,154
4,948

5,078

973

866

5,161

837

694

654

4,410

529
Unit price temporarily fell due
to an increase in volume of
low-priced mask sales

FY18 FY19 FY20 FY21
FY18

FY19

FY20

FY21 1Q FY22 2Q

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3Q

FY18

FY19

FY20

FY21 1Q FY22 2Q

3Q

1Q
FY22

2Q

3Q

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[Ref.] Star Creator Discovery Project
Four creators, chosen from as many as about 450 applicants by Mr. Keita Maruyama, Ms. Chiaki and the Creema
Executive Office, were advised by Mr. Keita Maruyama, created craftworks that demonstrated their talent andstarted selling them on Creema.

Knitting Hukeitoflow

Embroidery Creator Double Rainbow

Ceramic Artist Tamami Suzuki

Insect Accessory Creator monovage

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PAGE 17

[Ref.] Area CC"Area CC," a new brand produced by Chiaki, head of Hello Circus, was put on sale on Creema.

Copyright ©2022 CREEMA LTD.

PAGE 18

[Platform] Main initiatives and sales trends
In addition to the significant acceleration of orders and deliveries of items in external advertising (advertising for companies and local
governments), users of internal advertising (advertising for creators) continued to be steady. As a result, sales of the platform service
landed at 129 million yen (114% YoY). Sales for 3Q cumulative landed at 414 million yen (138% YoY)。

Main initiatives• In external advertising(advertising forcompanies and local governments),
collaboration projects with major
manufacturers and various companies
as well as support in a digital shift in the
traditional craft industry continued, andorders/deliveries of local government
PR projects accelerated.
• In internal advertising (advertising for
creators), initiatives continued to betaken in various campaigns, additions offunctions, etc. to promote the use ofadvertising services.

Sales trends
Quarter
YoY：114%

Unit: million yen

YoY：138%

414
165
130
113
90
52

1Q 2Q
FY20

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3Q cumulative

118

95

84

90

4Q

1Q 2Q
FY21

299

129
203

60

3Q

3Q

4Q

1Q 2Q
FY22

3Q

3Q
3Q
3Q
cumulative cumulative cumulative
FY20
FY21
FY22

PAGE 19

[Ref.] Holding of Creative Contest in Kuriyama-cho, Hokkaido
We support Kuriyama-cho in emphasizing its attractions to the world through a creative contest that invites creators registered in
Creema in two categories—Kuri (chestnuts in English) design, which uses the shape of a chestnut in the design, and Kuri raw material,in which works are made from such nuts—to celebrate the chestnut that is part of the name of Kuriyama-cho as a motif.

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PAGE 20

[Ref.] Invitation of creators to Kuriyama Creative Stay in Kuriyama-cho, Hokkaido
We support Kuriyama-cho in inviting creators to join Kuriyama Creative Stay, an immigration promotional program that gives participantsa sense of after-immigration life through staying in prepared accommodations in Kuriyama-cho, Hokkaido, selling craftworks inexhibitions and creating them in ateliers.

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PAGE 21

[Platform] Main initiatives and sales trends
Stores saw a decline in customer traffic due to the impact of COVID-19 in addition to business through a store system with the number of stores
three fewer than the previous year..
However, regarding events, as a result of holding the first large-scale event in the current fiscal year, sales grew 174% YoY for 3Q alone and 106%
YoY for the first nine months.

Main initiatives• Stores were severely hit by the impact of
COVID-19, and shifted to a two-store
system, three stores fewer than a year
earlier.Sales were considerably below thelevel of a year earlier, as the number ofvisiting customers has not yet picked up,
in addition to restrictions on business due
to declarations of a state of emergency
and pre-emergency measures(countermeasures will be mentioned later).
• Regarding events, Creema YAMABIKO
FES 2021, our first outdoor music andcraft festival, was held in Gotemba Kogen
on November 6 and 7, 2021.Over 10,000
people took part, leading to the possibilityof new services.

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Sales trends
Quarter

The first nine months

Unit: million yen
219
118

116

YoY：174%

YoY：106%

59
43

41
26
14
1Q
FY20

2Q

3Q

4Q

1Q
FY21

2Q

24

19

13

13

3Q

4Q

1Q
FY22

2Q

3Q

66

70

3Q
3Q
3Q
cumulative cumulative cumulative
FY20
FY21
FY22

PAGE 22

Closure of Creema Store Shinjuku
Creema Store Shinjuku has been operating in Lumine Shinjuku Lumine 2 since 2014, but will be closed on
January 31, 2022. Afterward, business in the store field will continue with only the one store of Creema Store
Sapporo situated in Sapporo Stellar Place.
Closure of Creema Store Shinjuku• Creema Store Shinjuku
started business in 2014, but it
was decided to close the store
on January 31, 2022.
• We have concluded thatfurther continuation ofbusiness will be risky due tofactors such as temporary
closure of the tenant building,shorter business hours and adecrease in visiting customers
as COVID-19 spreads.
• Additionally, after we have run
business in Lumine Shinjuku,
which leads the trend of tenantbuildings for fashion stores, formany years, we judge that thestore has completed the roleof being a showcase for ourbusiness.
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Future business expansion in the store field.
• Afterward, we will run the store businesswith only the one store of Creema Store
Sapporo located in Sapporo Stellar Place.
Continued operation of the Sapporo store
looks realistic since it is less exposed to theimpact of COVID-19 than in Tokyo due to its
location.
• When COVID-19 comes to an end,
we plan to develop operations flexibly
including opening a new store in a newformat by leveraging our know-how inrunning an offline business format.

PAGE 23

[Ref.] Creema YAMABIKO FES 2021
We held Creema YAMABIKO FES 2021, an outdoor music and craft festival that consisted of an outdoor concert stage to enable theaudience to enjoy live music played by 12 bands with Mt. Fuji in the background; a craft town, a sauna village and outdoor areas. The
festival attracted over 10,000 visitors.

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PAGE 24

[Notice] HandMade In Japan Fes Winter 2022
HandMade In Japan Fes', one of Japan's largest creator festivals with 3,000 creators from across the country
exhibiting their craftworks, is scheduled for January 2022, the first time in two years, in Tokyo Big Sight.

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PAGE 25

[Ref.] New service group
In addition to the crowdfunding service and lesson video platform, we intend to successively add new services in
the future to promote the construction of the "Creema economic zone" while increasing value provided to creators
and users.
Services released to dateServices to be released in the future

Crowdfunding

Lesson video platform, etc.

Introduction of other new services

Utilizing the huge membership base of"Creema" , which supports theactivities of creators, we operate aplatform where creators can raise
funds.

We entered into the EdTech via M&A
with FANTIST Co., Ltd, providing
creator's lesson video platform, andstarted offering fulfillment service fromphoto-taking to shipping.

Development and examination of various
new services with high synergy with
Creema is underway.

1) FANTIST results will be reflected in the consolidated income statement from 2Q of FY22 (1Q balance sheet has been consolidated).
Copyright ©2022 CREEMA LTD.

PAGE 26

FY22 company-wide earnings forecast
To be able to further strongly back up the activities of creators, in FY22 we aim to achieve sales of 2.4 billion yen,operating profit of 315 million yen, and net income of 293 million yen by expanding the "Creema economic zone",
where various services are dynamically linked.
FY22 Sales Forecast
by Major Services

Company-wide earnings forecast
Unit: million yen

Sales(Ref.) FY21

FY22

YoY

2,062

2,446

119%

Unit: million yen

Marketplace

Sales cost

5

88

1689%

Gross profit

2,057

2,357

115%

SG&A

1,831

2,042

112%

Operating profit

226

315

140%

Ordinary profit

204

307

150%

Net income
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178

293

164%

1,628
YoY: 106%(Ref.) YoY without masksales: 121%

Platform

590
YoY: 137%

Events &Stores171
YoY: 200%

New service
group

55
YoY: 382%
PAGE 27

Appendix

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PAGE 28 Marketplace service (Japan / Taiwan / Hong Kong)
At "Creema," which acts as the core of the "Creema economic zone", 12 million works produced by 220 thousandcreators are listed. The GMV of FY21 exceeded 15.4 billion yen, and we have established a position as one of thelargest global handmade marketplaces in Japan and Asia.

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PAGE 29

[Ref.] Various work categories that are handled by Creema
At "Creema", you can purchase original works of various genres, from fashion items, interior art, and food.

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PAGE 30

 Platform services
Utilizing the "Creema" user base, communicability, and platform, we provide such platform services as Internal
advertising (advertising for creators) that allows them to publicize their works and External advertising (forcompanies and local governments). This way we promote multi-layering of business.
Internal advertising(Advertising for creators)
An advertising service on "Creema" that enables
creators to list and promote their own works on
our website and app.

External advertising(Advertising for companies and local governments)
PR service for companies

Regional revitalization

We have developed a diverse advertising menu,
Utilizing the user and platform infrastructure ofsuch as advertorials that introduce attractive"Creema", such as DX support for the traditional
products and services of client companies ascraft industry, local products PR, and production of"reading material" and collaboration projects inpromotional events to showcase thewhich creators create products for client companies. attractiveness of local cities, we are developing
PR services in the area of regional revitalization.

31

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PAGE 31 Events and Stores (1/2) - Events
Various handmade craft events are held all over Japan, including "HandMade In Japan Fes' (Tokyo Big Sight)",
one of the largest festivals of creators in Japan, which mobilizes 50,000 visitors per event.
• Held at Tokyo Big Sight, since 2013.
HandMade
In Japan Fes'

• Established a position as one of the largest festivals
for creators in Japan.
− Exhibitors: about 3,000 people− Visitors: about 50,000 people

CreemaCraft Party• Held at INTEX Osaka, since 2014.
• Established a position as one of the largest craft
events in western Japan.
− Exhibitors: about 1,500 people− Visitors: about 13,000 people

Marunouchi Street
Market• The craft market "Marunouchi Street Market by
Creema" is regularly held on Marunouchi Nakadori.

Note: The number of exhibitors and visitors for each event is the result of the most recently held event. In 2020, those events were not held due to the influence of COVID-19.
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PAGE 32

[Ref.] Photos and sceneries from HandMade In Japan Fes'

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PAGE 33

 Events and Stores (2/2) - Stores
The editorial shops "Creema Store", which sell the works of creators registered in "Creema", are open in Shinjuku
and Sapporo.
Creema Store (LUMINE Shinjuku 2)

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Creema Store (Sapporo Stellar Place)

PAGE 34

 New service group - Crowdfunding service, etc.
We plan to develop various new services that respond to the challenges and thoughts of creators. As a first step,in the previous fiscal year we launched "Creema SPRINGS," a crowdfunding service that allows creators to raise
funds for projects they want to realize.

Copyright ©2022 CREEMA LTD.

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Changes in the number of employees (including part-time employees)
There has been no significant change in the number of employees in the past year.

Unit: people

75

79

1Q
FY20

2Q

98

101

3Q

4Q

95

93

1Q
FY21

2Q

96

100

102

94

95

3Q

4Q

1Q
FY22

2Q

3Q

Note: Employees are the total of regular employees, contract employees, and part-time employees, excluding executives.
Copyright ©2022 CREEMA LTD.

PAGE 36

Take rate trends
In FY21, GMV increased due to the spread of COVID-19, but the sales of events & stores services fell sharply,
resulting in a significant decrease in take rate. After FY22, the events & stores will gradually recover and our new
service group will be created, so the take rate is expected to improve again.
16.9%
16.6%

14.6%

13.4%
12.4%
The take rate temporarily declined due to asignificant decline in sales of events & stores
services and a significant growth in GMV.

FY18
（Results）

FY19（Results）

FY20（Results）

FY21（Results）

17.2%

15.0%

14.2%

As the effects of COVID-19 gradually ease,
the take rate is expected to increasingly
improve to the level it should be.

FY22 3Q
cumulative（Results）

FY22
FY23
FY24
full-year（Forecast） （Forecast）（Forecast）

Note: The take rate is calculated using the GMV of the marketplace service as the denominator and the sales of all services as the numerator.
Copyright ©2022 CREEMA LTD.

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Investment policy for new services
Development of new services will proceed from areas synergistic with the platform built through the creator
empowerment business. After that, the competitive advantage will be further strengthened by the cooperation
between old and new services, and the "Creema economic zone" will be expanded.
"Creema economic zone" expansion process
Build a solid platform
and a financial basethrough businessexpansion

Business expansion
through the highcustomer value

Expansion of the"Creema economic
zone"

Improving customer value
throughout the "Creema
economic zone" bystrengthening a collaboration
between old and new services
Copyright ©2022 CREEMA LTD.

Sequential launch of
new services utilizing
the platform

Creema platform infrastructureand new businesses①Creator base centered on professionals andsemi-professionals②A huge user base of over 20-30 million visits
per month, mainly by women in their 20s to
40s③A website / app as a medium with transmission
power and community base that goes beyond"just an EC website" (the total number offollowers on social media is about 900,000)④Business development ability that has createdvarious services by utilizing the platform

Utilizing a highly original platform, we will
actively develop new services in other areas
while focusing on areas related to creator
activity support.
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Expansion of new services
We steadily expand the service areas by utilizing the platform. We acquired FANTIST Co., Ltd. in 1Q of FY22 to
be fully prepared to enter into the EdTech domain in FY22.
Service area expansion
Before FY20FY21: New service sectors scheduled for FY22FY22Something new (In preparation): New service sectors entered in FY21
EdTech (FANTIST Co., Ltd.): Already established service sectors

Fulfillment
Crowdfunding
Fulfillment
Crowdfunding
Ad network
Ad network (Internal advertising)Media (External advertising)
Offline Biz (events & stores)
C to C Marketplace

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Ad network

Media

Media
Offline Biz (events & stores)
Offline Biz (events & stores)
C to C Marketplace

C to C Marketplace

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Investment in new services
Aiming for operating income of 140% YoY, while accelerating strategic investments in the new service group in
FY22 to further accelerate growth. FANTIST Co., Ltd. was acquired in 1Q of FY22 and investment in new services
has begun.
Trends in operating profit
Unit: million yen

FANTIST Co., Ltd. was acquiredin 1Q of FY22 and investment in
new services has begun.

163
57
226

315

48
FY19 (Results)

FY20 (Results)

FY21 (Results)

FY22 (Forecast)▲ 366
Operating profit
Copyright ©2022 CREEMA LTD.

Investment in new services (profit potential)
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Initiatives for ESG (1/2)
Bring about a fair society where talented people and hard
workers are justly appreciated.

Regional revitalization and development through producing
goods• The word Creema was created from the term "Creators' New Market" in pursuit of
the mission to build a fair world where genuinely good products will not go
unnoticed.

• Collaboration between quality materials and creators with unique creativity fromacross the country "Nationwide Discovery of Fantastic Goods" is ongoing with theaim of regional development by introducing the attractions of places via thecraftworks of creators.

• Creema is making trailblazing efforts to bring about a fair society where thetalents and abilities of people are justly evaluated and people can be true tothemselves, living and working in a world of creation where talent and hard work
do not directly lead to opportunities and appreciation.

Copyright ©2022 CREEMA LTD.

• Additionally, we are working on regional revitalization and development pivoting
on producing goods through measures such as Creema Craft Caravan, in which
we visit towns with the theme of producing goods across the country and open amarket with local citizens.

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Initiatives for ESG (2/2)
We commercialized 25 upcycled items by inviting Creema creators to come up with craftworks using selvedge (cloth edges),which is industrial waste from the weaving process of Enshu textile, a local industry of the Enshu region, Shizuoka
Prefecture.Going forward, we will remain determined to bring about a sustainable world where the power of producing goods
creates new value from waste.

Copyright ©2022 CREEMA LTD.

PAGE 42

C R E E M A LT D .
The Company's plans, business outlooks, strategies, etc. contained in this material are

based on the Company's management decisions obtained from the information available
as of the date of the announcement. It is just a forecast for the future, and there are various
risks such as "intensifying price competition in the market", "fluctuations in trends ineconomic activities surrounding the business environment", "fluctuations in exchange
rates", "significant fluctuations in market prices in the capital markets", etc. Please notethat the actual business performance may differ due to uncertainties mentioned above.

< Contact information >CREEMA LTD. Corporate Div.
https://www.creema.co.jp/contact/index.html

Copyright ©2022 CREEMA LTD.

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