The following is an English translation of the transcript of the results briefing of DigitalMedia Professionals, Inc. for the six months ended September 30, 2023, on November
13, 2023. In the event of any discrepancy between this document and the Japaneseoriginal, the latter shall prevail.

[Speakers]
Tatsuo Yamamoto, Chairman, President and CEO, Digital Media Professionals, Inc.
Tsuyoshi Osawa, Senior Management Director, Corporate Planning Department
General Manager, Digital Media Professionals, Inc.

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Osawa: Thank you for joining us today for the results briefing of Digital Media
Professionals, Inc. for the six months ended September 30, 2023.
Here is today's agenda. I will explain the financial results for the six months ended
September 30, 2023, followed by the business forecast for the fiscal year ending March
31, 2024, and then Yamamoto will explain our challenges and initiatives for the second
half and beyond.

Osawa: Before I explain our financial results for the six months ended September 30,
2023, I would like to begin with a brief overview of our company and its strengths. Since
our founding in July 2002 as a university-launched we have conducted our business withgraphics technology at the core and have achieved significant results, including the2adoption of our GPU IP in Nintendo game consoles and the introduction of 2D/3D
integrated graphics LSI for the amusement market.
In recent years, we have contributed to solving customer and social problems by leveraging
our integrated development system and our ability to provide products and services fromalgorithm/software to hardware and from the edge to the cloud.

Osawa: Let me start with the highlights of the six months ended September 30, 2023.
Net sales increased 56 percent year on year, reaching a new record high.
Ordinary income also increased by 234 million yen year on year, with each level ofincome returning to profitability.
By segment, sales in the amusement field grew substantially due to the brisk pachislot
market, including 6.5 models and smart pachislot machines. In addition, product sales
expanded in the robotics field, and the GPU-related business went well in the highmargin IP core license business.

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Osawa: Here is a P/L summary. Net sales increased significantly by 516 million yen year
on year to 1,442 million yen, with a sales growth rate of 55.8%, due to sales expansion
in the amusement field and the product business.
Operating income was 134 million yen, up 237 million yen year on year.
Ordinary income was 140 million yen, up 234 million yen year on year, and net income
attributable to owners of the parent was 121 million yen, up 216 million yen year on year,
resulting in a significant increase in incomes and a return to profitability.

Osawa: Here are sales by business and field.
In the IP core license business, net sales were 94 million yen, up 40 percent year on
year, due to the expansion of GPU-related revenues for digital equipment, in addition to4stable recurring revenues from the safety field.
In the product business, net sales were 1,301 million yen, a significant increase of 63%
year on year, mainly due to a significant increase in sales of "RS1" graphics
semiconductors for mass production and an expansion of sales of "Cambrian Vision
Systems".
In the professional service business, sales of contract development services in the safety,
robotics, and GPU fields were recorded, but net sales were 46 million yen, a decreaseof 22% year on year due to slow performance in the safety and robotics fields in the firstquarter. In the second quarter from July to September, however, sales in the safety androbotics fields recovered.

In the safety field, net sales were 34 million yen, down 30% year on year, due to a sales
decline in the product business, despite stable recurring revenues and the provision of
professional services related to dashcams.
In the robotics field, net sales were 69 million yen, up 122% year on year, due toincreased revenue from product businesses such as "Cambrian Vision Systems".
In the amusement field, net sales were 1,257 million yen, up 59% year on year due tostrong mass production shipments of "RS1".
In other field, net sales were 80 million yen, up 46% year on year, due to an increase in
GPU-related license revenue.

Osawa: Here is a B/S summary. total assets at the end of September 2023 totaled 3,691
million yen, down 150 million yen from the end of the previous fiscal year. This was5mainly due to a decrease in accounts receivable and contract assets of 429 million yen
and increases in cash and deposits of 108 million yen and investment securities of 199
million yen.
Liabilities amounted to 446 million yen, down 271 million yen from the end of the previous
fiscal year. This was mainly due to a decrease in accounts payable of 291 million yen.
Net assets amounted to 3,245 million yen, up 121 million yen from the end of the previous
fiscal year. This was mainly due to an increase in retained earnings of 121 million yen,resulting from the recording of net income attributable to owners of the parent.
The equity ratio was as high as 87.9 percent, and we have sufficient funds for working
capital and investments to enhance our R&D structure.

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Osawa: We upwardly revised the forecast of consolidated financial results for the fiscal
year ending March 31, 2024 announced on May 12, 2023.
Net sales are expected to be 2,950 million yen, up 13.5% compared to the previous
forecast of 2,600 million yen.
Operating income and ordinary income are expected to be 240 million yen, up 60%
compared to the previous forecast of 150 million yen. Net income attributable to ownersof the parent is expected to be 200 million yen, up 66.7% compared to the previous
forecast of 120 million yen.
In the first half of the fiscal year, both sales and incomes exceeded our initial expectations,mainly due to brisk sales in the product business and the amusement field.
We expect steady performance in the third quarter and beyond.
Specifically, volume shipments of "RS1" image processing semiconductors for theamusement market are expected to remain strong.
We expect license and professional service revenues in the safety field, product sales
and professional service revenues in the robotics field, and steady GPU-related license
revenues in other field.

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Yamamoto: I would like to talk about our challenges and initiatives.
This year, we have adopted "Making the Image Intelligent" as our corporate Purpose.
The goal is to harness the power of image intelligence to solve real-world problems andcreate innovative products and services that drive value for our stakeholders.
For example, our safety business uses cameras mounted on cars to extract various typesof information from the images, thereby creating a high added value of "safety". This isa very typical example of "image intelligence".
Also, while conventional robots were able to move to the desired coordinates based on
the results of calculations, by attaching a camera to a robot, it is now possible to acquirea variety of information in real time, thereby making the robot intelligent to perform avariety of complex tasks. It can truly be said that we are making robots intelligent throughimages.
Thus, it can be said that our business is "making images intelligent" based on image
processing and AI technologies.

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Yamamoto: I believe that this "image intelligence" is very useful in other fields, such as
agricultural machinery, construction sites, and healthcare.

Yamamoto: I would like to talk about our focus areas and our approach to the business.
We are focusing on three fields: Amusement, Robotics, and Safety.
First, let me explain about the amusement field. With "RS1", which combines a real-time
3D engine and a high-performance, high-compression 2D video engine on a single chip,
we have achieved both extremely beautiful visual expressions and cost reductions in the
chassis by standardizing parts for pachinko and pachislot machines.

9Demand has grown tremendously due to the high utilization of pachislot machines,
especially 6.5 models and smart pachislot machines, which has contributed significantly
to our business performance.
ZEEG Co. Ltd. is a joint venture of Sammy Corporation and Universal Entertainment
Corporation. RS1 is used in three types of ZEEG chassis, which are designed to be theindustry standard.
As of July 31, 2023, sales of ZEEG chassis equipped with "RS1" reached 15 models and
260,000 units.
This is the number of units shipped to pachinko parlors, and the number of "RS1" units
shipped by DMP to date, including those shipped after July 31, has exceeded thisnumber.

Yamamoto: In the safety field, we continued to generate recurring revenue from existing
projects for JVC KENWOOD, DENSO TEN, and Sumitomo Mitsui Auto Service in theareas of driver (in-vehicle) monitoring and out-of-vehicle monitoring called ADAS
(Advanced Driver Assistance System), from the edge to the cloud using dashcams.
Recently, our "ZIA SAFE" was adopted by DENSO TEN for the driver monitoring functionof its new safe driving management telematics service, "Offseg". We are also working
on various initiatives to extend this "ZIA SAFE" technology to non-automotive fields suchas local government, public transportation, energy, and building and construction.
One such initiative is the development of an AI camera system that contributes to zeroenergy building management, known as ZEB (Net Zero Energy Building) or BEMS

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(Building Energy Management System), in collaboration with THine Electronics, and weare now promoting this system.

Yamamoto: "ZIA SAFE" is a collection of various software for safe driver assistancesystems that combines edge and cloud computing with high recognition accuracy. It isprovided to customers as an integrated development platform, enabling them to quickly
combine modules with various functions to realize high-performance, high-quality safe
driving systems.
In addition, the risk of accidents can be further reduced by simultaneously managing
both DMS (Driver Monitoring System: a system that monitors driver behavior) and ADAS(a system that obtains information from images of the vehicle's surroundings and links it
to safe driving) technologies.

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Yamamoto: One use case of "ZIA SAFE" is Denso Ten's "Offseg" system. This system
uses AI to analyze various driver behaviors and link them to safe driving.
DENSO TEN old us that the AI image recognition function, which combines low CPU
load, high reliability, and high functionality, along with professional services backed by
DMP's advanced technology, has made a significant contribution to the realization of
DENSO TEN's services.

Yamamoto: I would like to talk about our collaboration with THine Electronics. We aredeveloping a system to realize next-generation intelligent BEMS and to accelerate thedigital transformation of industrial processes in factories and other facilities. By
combining a camera module from THine Electronics with our AI, for example, it can be12used to detect the position, number, and attributes of people in an office and intelligently
control the air conditioning and lighting in a building.
We are currently proposing this system to our infrastructure and other customers.

Yamamoto: In the robotics field, our "ZIA MOVE" integrated software development
platform for autonomous robots was licensed to several customers in the first half of thisfiscal year, and it is currently under customer evaluation.
In addition, the "Cambrian Vision System" has strengths in recognition accuracy andspeed of target parts and robustness to ambient light, and we have been working onconnecting it with robots made by manufacturers in Japan and overseas. As a result, thesystem is now being adopted in a wide range of fields, including the automotive, food,cosmetics, and pharmaceutical industries.

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Yamamoto: The figure on the slide shows the types of sensors mounted on various
robots. Cameras are used as key sensors on various types of robots, including industrial
robots, autonomous robots such as AGVs and AMRs, collaborative robots, drones, andagricultural robots.
The positioning of cameras becomes very important because these robots can do manythings by making them intelligent using cameras. This is where we believe "ZIA MOVE",
which combines our image processing technology and AI, will be widely used.

Yamamoto: "ZIA MOVE" is an integrated development environment that packages acamera-based self-positioning system called "Visual SLAM" and software functions
required for autonomous driving, including route generation. Using industry-standard
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open software "ROS", "ZIA MOVE" achieves high functional scalability through its
modular architecture, and achieves an extremely high stop position accuracy ofapproximately 4 mm.
Currently, we are providing an integrated software platform while developing andproviding robot hardware for customer evaluation.

Yamamoto: I would like to talk about Cambrian's picking system. We have invested in
Cambrian Inc. and sell their products with exclusive sales rights in Japan.
In addition to overseas robot arms, we have completed the connection with robot armsof Denso Wave and Fanuc, which are major robot manufacturers in Japan. We are now
in the process of introducing "Cambrian Vision Systems" to them and their users.

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Yamamoto: The "Cambrian Vision Systems" has several strengths.
First, the processing tact time is extremely short. Cambrian's camera attached to therobot can recognize the target part (workpiece) very quickly, within 0.2 to 0.3 seconds,
or about 200 milliseconds.
The slide shows a comparison with the competition. In many cases, major competitors'
vision systems take about 2 seconds for similar recognition, but we can recognize
workpieces much faster than that.
Furthermore, what customers appreciate most is the extremely high robustness toambient light. The ability to work in all kinds of environmental conditions with almost noerrors is a major strength. Our ability to recognize and pick transparent parts gives us ahuge advantage over our competitors.
This is also demonstrated in the parts picking solution developed by our partner SK
Solutions, which uses ABB's dual-arm robots.

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Yamamoto: Tokunaga Corporation is working on automation of bottle supply, andadopted the "Cambrian Vision System". "Cambrian Vision System" can recognize andprocess translucent and glossy bottles at high speed, which was very difficult in the past,and the system fits perfectly with the concept of the next-generation bottle feedingmachine that Tokunaga is aiming for.
In addition, while robots usually require a great deal of work to set up at the time of
installation, the "Cambrian Vision Systems" can be used immediately after installation,
which has been very much appreciated by our customers.

Yamamoto: We decided today (November 13, 2023) to invest an additional US$480,000
in Cambrian to strengthen our strategic alliance, and we also issued a press release on
17this matter. We invested in Cambrian in 2021 and acquired exclusive sales rights inJapan. We have decided to make an additional investment to contribute financially tostrengthening the company's development capabilities, to conduct marketing and sales
activities to increase our domestic market share, and to strengthen our alliance to expand
adoption in the manufacturing industries, particularly in the automotive industry, and food,cosmetics, and pharmaceutical industries.

Yamamoto: I would like to talk about some of our initiatives that we are very focused on.
So far, I have explained our efforts in the field of safe driving assistance systems or in
the field of robotics such as "ZIA SAFE" and "ZIA MOVE". In the future, in order to createeven more new value, we will provide solutions by integrating "ZIA SAFE" and "ZIA
MOVE" or safety and robotics.
As shown in the figure on the left side of the slide, by integrating safety technology toprevent accidents and disasters and robotics technology to efficiently move and transport
people and objects based on our image processing and artificial intelligence technologies,
we will solve various new social problems and create new services.
This means that the robot will be able to accurately recognize not only images as it moves,
but also the surrounding conditions it obtains while moving to realize efficient movement
and a safe environment, and create new services based on the recognition information
obtained. For example, we are currently working on the idea that we can solve problems
and create new services in various situations such as public transportation, medical care,schools, factories, plants, logistics, and agriculture.

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Yamamoto: This slide describes our GPU and AI IP. We provide our customers withsmall, low-power, high-performance IPs mainly for digital equipment applications. As
shown in the figure at the bottom of the slide, running royalties and maintenance support
revenues from existing customers have been strong.
In addition, we have been developing new customers while at the same time developing
and proposing to customers "ZIA A3000," an AI inference processor that greatly
surpasses the performance of our current products.

Yamamoto: "ZIA A3000" is the next generation of our DV700 series of AI inference
processors, which we have already provided to TV manufacturers such as REGZA andHISENSE, as well as major camera manufacturers for mass production. It is a very high19

performance AI processor, six times more powerful than DV740, and we are currently
working on licensing it.

Yamamoto: Here are our priority measures. We will accelerate our business under the
Purpose of "Making the Image Intelligent".
First, we will seize new market opportunities arising from our expanding knowledge ofthe amusement market by expanding our market share. Our share of the amusement
market is growing rapidly, and business opportunities are increasing rapidly as we areapproached by new customers. We intend to further expand our business in this field bycapturing new needs and business opportunities that arise in the future.
In addition, we will create new value by integrating robotics and safety technologies,
along with the promotion of platform businesses such as "ZIA MOVE" and "ZIA SAFE.
Furthermore, strengthening our strategic alliance with Cambrian, in which we are making
an additional investment, and winning customers for our new IP called "ZIA A3000," forwhich we are currently working on acquiring a new license, are our major priorities forthe second half of the year.

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[Q&A session]
Q1: I understand that the amusement market is currently doing well, but what is yourmedium- to long-term outlook?
A1: Although the market size is shrinking in the long term, the number of units shippedto the market is increasing again after 2020. One of the reasons for this is the emergenceof new standards such as 6.5 models and new types of machines such as smart pachinko
and smart pachislot. It is believed that the market is growing again due to the acceptanceof such machines.
For example, smart pachislot machines eliminate the need to touch the medals, thus
improving the sanitary environment. In addition, the elimination of inconveniences suchas inserting medals has led to improved occupancy rates and game efficiency.
Furthermore, cashless transactions are increasing. We believe that such new initiatives
will support the growth of this market. Therefore, we expect stable demand in the future.

Q2: Isn't there a limit to growth in the domestic market alone? Please tell us about yourinitiatives for overseas markets.
A2: For example, we have overseas customers for IP licensing. We would like to further
develop such customers in overseas markets.
In the robotics field, Japan is also a fairly large market. In addition to this, we are receivingvery strong inquiries from overseas customers who want to use robots made in Japan.

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We are seeing such a trend in Europe and Asia, and we are working to strengthen ourpartnerships with major Japanese robot manufacturers in order to help develop our future
overseas customers.

Q3: In your mid-term business plan released in 2021, you assumed that royalty incomein the robotics field would grow. Please tell us about this projection.
A3: Royalty income in the robotics field is currently small. We intend to expand royalty
income by acquiring initial licenses and volume production projects for "ZIA MOVE", anintegrated software platform for autonomous driving, and "ZIA SV", a stereo vision IP.

Q4: What is the outlook for cost reduction of "RS1"?
A4: We are working to reduce the overall cost of our products, not just "RS1". However,
due to factors such as the recent exchange rate and rising material costs, it is difficult togive a clear answer on the future outlook at this point.

Q5: Based on the profit level in the first half, the upward revision of the profit forecast
seems modest. Please explain the assumptions.
A5: The forecast figures are based on business projects that are highly probable at thisstage and somewhat conservative expense estimates.

Q6: The share price has been sluggish since the first quarter results were announced.
What are your thoughts on share buybacks and share price measures?
A6: I think some shareholders are concerned about the share price. In the short term,
we intend to improve our business performance, as we did today with the upward revision.
In the medium term, we will actively consider shareholder return measures, including
share buybacks.

Q7: Let me ask you about Israel-related issues. Please tell us about the impact of theconflict in Gaza on DMP.
A7: For the semiconductor industry, the presence of Israel is very important, and webelieve that there will be at least some impact on the industry as a whole. However, since
we do not do business with Israeli companies or engage in production or development
in Israel, we do not believe it will have an impact on us.

22Q8: Could you talk a little more specifically about the integration of safety and robotics
technologies?
A8: Basically, we create a map using images obtained while the robot is moving. Thismap can then be updated in real time by obtaining dynamic information about obstacles
and other conditions at any given time.
For example, there are cleaning robots, and we are thinking of creating new value by
using such map information to operate various robots, or by providing various services
based on the information obtained from the map.

Q9: What are the target markets and applications for "ZIA A3000"?
A9: As in the past, we believe that digital consumer products are the main market, but it
can also be used for image processing in robotics and other fields.
For example, we gave a demonstration at the Robot World exhibition held last week in
Yokohama. In the demonstration, "ZIA A3000" was used to control a robot using humangestures. We believe that there is a wide market, including in such fields.

Q10: Sales in the professional service business have been declining year after year.
What are your plans for this business?
A10: Professional services, as you know, is a man-hour business. We do not intend toaggressively expand it for the purpose of expansion per se.
However, some projects will lead to mass production of our customers' products, and wewould like to proactively acquire business if such projects have a high probability ofsuccess.

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