This document has been translated from the Japanese original for reference purposes.
In the event of any discrepancy between this document and the Japanese original, the latter shall prevail.

MAKING THE IMAGE INTELLIGENT

Nine months ended December 31, 2023

Financial Results Supplementary Information

Digital Media Professionals Inc.
February 14, 2024
The views and forecasts that appear in these materials represent determinations made by the Company at the time the materials were created.
The accuracy of the information therein is not guaranteed.
Please be aware of the possibility that actual performance and results may differ considerably due to a variety of factors.

Table of contents
Company Profile・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・ 3
DMP’s Purpose ・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・4
Nine Months Ended December 31, 2023 Results Highlights
Business Highlights・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・ 5
P/L・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・6
Net Sales by Business and Field・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・ 7
B/S・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・ 8
3rd Quarter Ended December 31, 2023 Topics・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・ 9
Fiscal Year Ending March 31, 2024 Business Forecast・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・・ 10

M A KING T H E IM A GE INT E LLIGE NT2

Company Profile
Leveraging our experience and knowledge as one of the world's leading graphics IP vendors, we have recently
been contributing to solving problems for our customers and society by providing a full range of AI services fromalgorithm/software to hardware, and from the edge to the cloud.
Company name

Digital Media Professionals Inc. (DMP)

IP core license business

July 2002

・AI/GPU IP core license
・AI software license

Foundation(Listed on Tokyo Stock Exchange Mothers market in June
2011, Moved to TSE Growth market in April 2022)

Location

Nakano-ku, Tokyo, Japan

Representative

Chairman, President and CEO: Tatsuo Yamamoto

Capital1,838 million yenNumber ofconsolidatedemployees

65 (as of March 31, 2023)

Number ofpatents

35 cases

Consolidated
subsidiary

Digital Media Professionals Vietnam CompanyLimited

M A KING T H E IM A GE INT E LLIGE NT

Product business・Image processing LSI for amusement market
・Vision system for collaborative robot
・Camera module for drone

Professional service business・AI algorithm/computer vision software contracted development
・FPGA/Board contracted development
・Customer product/service support related tosafety system and robotics

3

DMP’s Purpose

Making the Image Intelligent
Making画像を知能化する
the Image Intelligent"To"Tocreatecreateinnovative
innovativeproducts
productsandandservices
servicesthat
thatharness
harnessthe
thepower
powerofofimage
imageintelligence
intelligencetotosolve
solve
real-world
real-worldproblems
problemsand
anddrive
drivevalue
valueforforourourstakeholders.“
stakeholders.”
画像インテリジェンスの力で現実世界の問題を解決し、ステークホルダーに価値をもたらす革新的な製品とサービスを創造する

M A KING T H E IM A GE INT E LLIGE NT© Digital Media Professionals Inc.

44

Nine Months Ended December 31, 2023

Business Highlights• Nine-month sales reached a record high. Operating income, ordinary income, and net income attributable toowners of the parent also increased significantly and returned to profitability.

• Amusement field sales grew significantly, mainly due to the brisk pachislot market, including smart pachislot.
Robotics field saw product sales increase, and the high-margin GPU-related IP core license business also saw
strong sales.

Overall

Sales by businessNet sales

IP Core LicenseSafety

Robotics¥ 2,292M¥ 135M¥ 41M¥ 115M（YoY* +45％）
Ordinary income¥ 264M（YoY ¥ +322M）（YoY -15%）

Sales by field（YoY -65%）（YoY +33%）

AmusementOther¥ 2,018M¥ 117MProduct¥ 2,105M（YoY +57%）
Professional service（YoY +56%）（YoY +40%）¥ 51M（YoY -34%）* YoY: Year on YearM A KING T H E IM A GE INT E LLIGE NT5

Nine Months Ended December 31, 2023

Results Highlights: P/L
Net sales and incomes grew significantly mainly due to growthin the amusement field and product business
Nine months ended
December 31, 2022

Nine months ended
December 31, 2023

1,579

2,292+712

Operating income-60

261+322

Ordinaryincome-58

264+322

Net income
attributable toowners of parent-60

221+282(Unit: million yen)

Net sales

Amount change⚫ Net sales increased 45.1% due to significant growth in product business such as Cambrian visionsystem in addition to "RS1" image processing semiconductors for the amusement market⚫ Operating income, ordinary income, and net income attributable to owners of the parent also increased
significantly and returned to profitability

M A KING T H E IM A GE INT E LLIGE NT6

Nine Months Ended December 31, 2023

Results Highlights: Net Sales by Business and Field●Sales by business●Sales by field

IP core license business ¥135 millionSame period¥158 million
last year●Recorded AI/GPU running royalties for digital equipment, recurring revenues
in safety/robotics fields, maintenance/support revenues, etc.

Product business¥2,105 million

Same period¥1,343 million
last year●Recorded sales from volume shipments of RS1, Cambrian Vision Systems,and camera modules for drone mass production

Professional servicebusiness¥51 million

Same period
last year¥78 million●Recorded revenues from AI/GPU contracted development services●PoC* projects for safety and robotics fields are to be booked in Q4

Safety field¥41 millionSame period
last year¥117 million●Recorded recurring revenues (running royalties and subscription fees),
maintenance/support revenues related to dashcams, and professional
service revenue

Robotics field¥115 million

Same period
last year¥86 million●Recorded sales of products such as Cambrian Vision Systems and camera
modules for drone mass production, and professional services

Amusement field¥2,018 million

Same period¥1,291 million
last year●Recorded sales of RS1 for mass production

Other¥117 million

Same period
last year¥83 million●Recorded AI/GPU running royalties and maintenance/support revenues for
digital equipment* PoC: Abbreviation for Proof of Concept. Verification and trial about feasibility before introducing a new concept, theory or principle in full scale

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Nine Months Ended December 31, 2023

Results Highlights: B/SEquity ratio remains high at 85.9%(Unit: million yen)

End of March2023

End of Dec.
2023

Amountchange

Major factors of increase/decrease

Current assets

3,683

3,391-292

Accounts receivable - trade and contract
assets -549, Cash and deposits +173,
Merchandise and finished goods +95

Non-current assets

158

502+344

Investment securities +370

3,842

3,893+51

Current liabilities

700

532-167

Non-current liabilities

1718+0Total liabilities

717

550-167

Total net assets

3,124

3,343+219

Total liabilities andnet assets

3,842

3,893+51

Total assets

M A KING T H E IM A GE INT E LLIGE NT

Accounts payable - trade -204

Retained earnings +22183rd Quarter Ended December 31, 2023

TopicsSafetyRobotics
Contribute to labor saving in themanufacturing and transportation industries

Realize a safe and secure society⚫ Promoted activities to acquire new licenses of ZIA MOVE for
autonomous robots through development kits, with a track record ofmultiple adoptions⚫ Expanded Cambrian Vision System business⚫ Earned recurring revenues from existing projects from edge
to cloud for dashcams⚫ PoC projects in the broader safety field are underway for
car license plate recognition, human attributes/line offlow recognition, headcount counting, etc., utilizing
DMP's high AI image recognition capabilities

Amusement

Solvingsocial/customer
problems throughimage intelligence

Realize both beautiful video expression
and reduction of machine chassis cost
⚫ Continued mass production shipments of our image processing
semiconductor, RS1, for pachislot machines, including smart pachislots
with strong utilization and pachinko machines⚫ Expand our share and acquire new customers in the market segment
where we can demonstrate the superiority of our unique 2D/3D
integrated chip

M A KING T H E IM A GE INT E LLIGE NT• Made progress in product shipments and business projects with a view to in-line
production aimed at reducing labor and improving productivity for end customers in
the manufacturing industry, particularly the automotive industry• Active business progress with customers in the pharmaceuticals, cosmetics, andfood industries such as installation in the Kao’s Dynamic Cell Production System,taking advantage of the strengths in recognition accuracy for transparent andglossy parts

AI/GPU IP

Provide small size, low power, andhigh-performance IPs optimized for customer SoCs
⚫ Obtained stable running royalties from existing IPs/customers and progressed deals for new projects⚫ Promoted activities to obtain license business of ZIA
A3000, an AI IP processor that significantly exceeds
the performance of current products

9Fiscal Year Ending March 31, 2024

Business Forecast
No change in the full-year earnings forecast announced on November 13, 2023
Currently examining the outlook for future business performance and will promptly announce revisions
to the current forecast if such revisions become necessary(Unit: Million yen)

FY 03/2023(Actual)

FY 03/2024
9 months results

Progress

Full-year forecast

2,232

2,292

78%

2,950

Operating income

27261

109%

240

Ordinary income

28264

110%

240

Net income attributableto owners of parent

22222

111%

200

Net sales⚫ Record-high net sales in cumulative Q3 mainly due to brisk sales in the product business and the amusement field.
Operating income, ordinary income, and quarterly net income attributable to owners of the parent have exceeded
the full-year forecast.
⚫ In the fourth quarter, we expect to continue volume shipments of "RS1" image processing semiconductors for theamusement market, as well as license and professional service revenues in the safety field, product sales andprofessional service revenues in the robotics field, and solid GPU-related license revenues.

M A KING T H E IM A GE INT E LLIGE NT

10

<Inquiries>
Digital Media Professionals Inc. Corporate Planning Department
Tel. +81-3-6454-0450
URL: https://www.dmprof.com/en/ir/⚫ Forward-looking statements contained within this document are based on currently
available information and involve risks and uncertainties, including macroeconomic
conditions and trends in the industries in which we are engaged. As such, actual results
may differ materially from those anticipated.
⚫ The purpose of this document is to provide information for the purpose of understandingour company and is not to solicit investment in securities issued by our company. Pleaserefrain from making any investment decisions based entirely on this document.

M A KING T H E IM A GE INT E LLIGE NT11