Financial Results for the Three-Month Period
Ended June 30, 2024
August 5, 2024

Oricon Inc.
(Securities Code: 4800)

Business Concept

Corporate
Philosophy

Turning facts into intelligence

Management
PolicyIn a society where information makes things complicated because, forexample, of the scourge of fake news, Oricon will earn the trust of society

by turning facts into intelligence from an objective and fair standpointand disseminating it widely.

By doing so, we aspire to be a company of high social value that
contributes to the realization of affluent lifestyles and the development ofvarious industries.

1-1 Overview of Financial Results for FY24Q1(Millions of yen)

(％)

1,400

1,200

Net sales
Gross margin

Operating profit
Operating margin

1,168

1,175
1,114

1,000

71.4

80
68.0

66.2
60

800

●Consolidated financial results (YoY change)

Net sales
Gross margin

Operating profit

600

410

29.5
329

25.9
302

Operating margin+4.9 ％

66.2%(1.8) pts

¥302 mn(8.2) ％

25.9%

(3.6) pts

20

200

0

0
FY2022
Q1¥1,168 mn

40

34.9

400

100

FY2023Q1

FY2024
Q1

Although we achieved increased revenue,
increases in upfront investments and humanresource investments have caused operating profit
to decrease year on year.
31-2 Consolidated Statement of Income（Millions of yen）

FY2023Q1

FY2024
Q1

1,114

1,168

356

395

(32.0%)(33.8%)

757

772(68.0%)(66.2%)

428

470(38.5%)(40.3%)

329

302(29.5%)(25.9%)

371

347(Ordinary margin)(33.3%)(29.7%)Net income before income taxes

371

441

(Pretax profit margin)(33.3%)(37.8%)Net income attributable toowners of the parent(Net margin)

238

294

(21.4%)(25.2%)Net Sales
Cost of sales(Cost of sales margin)

Gross Profit(Gross margin)

SG&A expenses(SG&A margin)

Operating profit(Operating margin)

Ordinary profit

YoY
Amount

%

+54

+4.9%

+38

+10.9%

+15

+2.0%

+42

+9.8%

(27)

(8.2)%(24)(6.5)%+70+18.8%+55+23.4%

See next slide for the
breakdown by segment

Upfront investments for
SEO enhancement & investment forhuman resources

Impacted primarily by gain on saleof investment securities41-3 Breakdown of Sales by Segment
Sales of the Communication Business increased by 7.7% YoY（Millions of yen）

Communication

FY2023Q1

FY2024
Q1

YoY
Amount

％

858

924

+65

+7.7%

Customer Satisfaction Research

474

552

+77

+16.3%

News & Media

383

372

(11)

(3.0)%

Data Providing

166

167

+0

+0.6%

Mobile

89

76

(12)

(14.2)%

1,114

1,168

+54

+4.9%

Total

5

1-4 Breakdown of Operating Profit by Segment(YoY)(Millions of yen)

600

533

535

500

Communication＋0.4 ％

Data Providing(3.6) ％

Mobile(37.7) ％Impacted by an increase in personnel costs

400

FY2024 Q1

FY2023 Q1
300

The shrinkage of the music
download market has led toa decline in profits

200

100

61

59

30

19

0

Communication

Data Providing

Mobile6

1-5 Consolidated Balance Sheet(Millions of yen)

(Millions of yen)
7,000

6,027

6,000

7,000

5,805

5,000

6,000

Current assets

4,000

4,590

4,337

3,000

5,000

Property, plant & equipment

2,000
1,000
0

141
166
1,129

190
151
1,126

FY2023Q4-endFY2024
Q1-end（Millions of yen）

FY2023Q4-end2,000

Investments & other assets

816

5,805
23

731

23

4,000
3,000

Intangible assets

6,027

Current liabilities

5,187

5,050

Non-current liabilities
Total net assets

1,000
0

FY2023Q4-endFY2024
Q1-endChange（Millions of yen）

FY2024
Q1-endFY2023Q4-endFY2024
Q1-endChange

4,590

4,337

(252)

Current liabilities

816

731

(85)

Property, plantand equipment

141

190

+48

Non-current
liabilities

23

23

+0

Intangible assets

166

151

(15)

Total liabilities

840

755

(85)

Investments andother assets

1,129

1,126

(2)

Total net assets

5,187

5,050

(137)

6,027

5,805

(222)

Total liabilities
and net assets

6,027

5,805

(222)

Current assets

Total assets

The equity ratio stood at 87.0％ (up 0.9 pts from FY2023 Q4-end)
7

2. Overview of Communication Business (1)◆Customer Satisfaction (CS) Research Business(Quarterly Trend)

All businesses (consisting of Trademark use, Digital promotion,
and Data distribution) have progressed steadily(Millions of yen)

700

Sales

600

+16.3%
YoY

552

522

500

474
423

400
323
300

200
100
0

Q1

Q2

Q3

FY2020

Q4

Q1

Q2

Q3

FY2021

Q4

Q1

Q2

Q3

FY2022

Q4

Q1

Q2

Q3

FY2023Q4Q1
FY20248

2. Overview of Communication Business (2)◆Customer Satisfaction (CS) Research Business(Quarterly Trend)

Trademark use(Millions of yen)

600
500

(Millions of yen)

+8.0 ％ YoY

売上高(商標)
Sales
(TM)
415

300

364

600

売上高(送客)Sales(Customer transfer)400+41.0 ％ YoY

300

243

200

200

100

100

76

108

92

135

96

300

Q1Q2Q3Q4Q1Q2Q3Q4Q1Q2Q3Q4Q1Q2Q3Q4Q1
FY2020

FY2021

FY2022

FY2023The number of contracts increased interms of all the rankings: Overall, Item
and Category.

当

100
0

Q1Q2Q3Q4Q1Q2Q3Q4Q1Q2Q3Q4Q1Q2Q3Q4Q1
FY2020

FY2021

FY2022+61.4 ％ YoY

200

0

0

売上高(データ)
Sales(Data)

500

393 400

303

Data distribution(Millions of yen)

600
500

400

Digital promotion(Customer transfer)

FY2023

当

12

3

13

23

14

Q1Q2Q3Q4Q1Q2Q3Q4Q1Q2Q3Q4Q1Q2Q3Q4Q1
FY2020

FY2021

FY2022

FY2023

当期

期

期

FY2024FY2024FY2024

Traffic to the CS website increased due tooperational adjustments and improvements
in content quality, resulting in increases inadvertising revenue and the number ofcontracts.

Q1 sales reached a record high with
contracts building up successfully not
only from repeat business but also fromnew clients.

92. Overview of Communication Business (3)◆Customer Satisfaction (CS) Research Business(Analysis of YoY Change in Sales)

Despite the impact of change in CS rankings, sales from new contracts for trademark use helped
exceed the level of the same period last year.

(Millions of yen)

474

10

2. Overview of Communication Business (4)◆Customer Satisfaction (CS) Research Business■Insurance Industry

Car (Direct/Agent)/Bike (Direct/Agent)/Bicycle/Fire/Pets/Life/Medical/Cancer/Insurance consultation shop/Educational■Insurance Industry (Financial Planner (FP)'s Evaluation)

Car (Direct/Agent)/Fire/Pets/Pets (small dogs)/Pets (cats)/Medical (whole life/term)/Medical with relaxed underwriting
criteria/Life (whole life/term)/Income protection/Cancer (whole life/term)/Disability/Dementia/Long-termcare/Comprehensive protection/Individual pension/Foreign currency-denominated■Financial Industry

Internet securities/iDeCo Securities Company/Internet bank/Net banking/Foreign currency deposits/Housing loan/
FX trading/Bank card loan/Non-bank card loan/Smartphone payment service/Cryptocurrency Exchange(Spot trading)/
Cryptocurrency Exchange(Margin trading)/Robo advisor/Credit card(No annual fee/Standard/Gold)■Cram School

Ranking lists by category■Beauty Industry
Beauty salon(Facial/Lose weight・Body)■Sports & Health

Fitness club/Kid’s swimming school(Infants/Elementary school)/24-hour gyms

■Wedding Industry

House wedding/Marriage agency/Wedding hall consultation counter/Wedding hall information
website/Dating・Marriage matching apps/Low-cost wedding■Human resources

Job hunting agency/Job hunting website/Employment information service/Changing job website/Changing
job agency/Reverse job application service/Nurse changing job/High-class・Middle-class changing job/
Temporary staffing agency/Manufacturing temp/Temporary staffing job website/Changing job scout service/
Carer for the elderly changing job

College entrance exam (Group guidance for senior high school students/Personal coaching for senior high school
students/Topnotch universities for senior high school students)/Senior high school entrance exam (Group/Personal)/Juniorhigh school entrance exam (Group/Personal)/Publicly-run integrated junior and senior high school (Group) /Elementary■Travelschool students (Group/Personal)/Correspondence study(for elementary school/junior high school/senior highHotel comparison website/Airline ticket comparison website
school)/Intellectual education for infants■School
English conversation school/Children's English (Infant/Elementary)/Online English Conversation/ Correspondence
study/Programming classroom for kids

■Life related

Hometown Tax Donation Program Website/Water server/Purified water server/House cleaning/Moving firm/Food delivery
service(Metropolitan area/Tokai/Kinki)/Meal kit(Metropolitan area/Tokai/Kinki)/Subscription video distribution/Car
purchase traders/Digital comics(Comprehensive/Original works only)/Used car seller/Vehicle inspection/Children photostudio/GPS tracker for kids/Bike seller/Manufacturer type bike seller■Business Solutions

Internet printing online order/Corporate training

Additional ranking lists announced in April through June
●Car insurance (Direct/Agent) (FP's Evaluation)●Fire insurance (FP's Evaluation)●Pets insurance/Pets (small dogs)/Pets (cats) (FP's Evaluation)■Telecommunications Industry

Low-cost SIM(Subscriber Identity Module)/Low-cost smartphone/Internet connection/Mobile carrier/Low-cost mobile
carrier■Housing Industry

Real Estate Brokerage for Sales (Condominiums/Houses/Land) /Real Estate Brokerage for Purchases(Condominiums/Houses)Condominium Management Companies /Rental Information Stores/Rental Information Websites/House Manufacturers for Custom Home Renovations (Full/Houses/Condominiums)/New Condominium Developments/
Built-for-Sale Houses (Builders)/Companies for Large-Scale Condominium Repairs

Total

189 ranking lists(As of Jun. 2024)
YoY 6 rankings decreased.
Not only the rankings by “Overall” also ”Item”＆”Category”
The number of contracts increased.

11

2. Overview of Communication Business (5)◆News & Media Business
Own media → Tie-up ads decreased(Quarterly Trend)Content for third-party media → Revenue from videos has decreased.
(Millions of yen)

600(3.0)% YoY

Sales

500

401

400

389

383

372

324
300

200

100

0

Q1

Q2

Q3

FY2020

Q4

Q1

Q2

Q3

FY2021

Q4

Q1

Q2

Q3

FY2022

Q4

Q1

Q2

Q3

FY2023Q4Q1
FY202412

2. Overview of Communication Business (6)◆News & Media Business

Own Media “ORICON NEWS” Trends in the number of sessions(Number of sessions)
120,000,000

FY2024 Q1 (Apr.–Jun.)

100,000,000

80,000,000[The number of sessions]increased by approx.

60,000,000

2％ YoY

40,000,000[Per session value]decreased by approx.

5％ YoY

20,000,000

0
4

2023

5

6

7

8

9

10

11

12

1

2

3

4

5

6

2024

13

2. Overview of Communication Business (7)◆News & Media Business[Measures for increasing unit price per session](Started a test run in June 2024 and went fully operational in July 2024)□○○○○○○○○○□

Changed the route leading to the photo page, which had
previously been a major factor for low unit price⇩Direct users to “text-rich” article pages, which are
informative enough to earn high unit price.
Third-party media
Pages for social media
sourced articles*“Text-rich”
article pages[Effect of measures]
YoY change inunit price per session
for July 2024

Up 11%
for articles in all
categories(high unit price)

Up 54％
for social media
sourced articles*“Photo-rich” pages

Inflow
Link
Increase the number of inflows from third-party media, time on page, read rates, and the number of visit pages
Obtain high unit price by currently making efforts to increase opportunities to post information that users seek
with an aim for the top search position* Social media sourced article: An article based on social media messages updated by actors, TV personalities, and other celebrities142. Overview of Communication Business (8)◆News & Media Business“ORICON NEWS” The Official YouTube Channel

Over 2.08 million subscribers as of Jun. 2024

100,000,000

80,000,000

2,500,000

2,000,000

再生数
Views
60,000,000

1,500,000

登録者数
Subscribers

40,000,000

1,000,000

20,000,000

500,000(Views) 0

1 3 5 7 9 11 1 3 5 7 9 11 1 3 5 7 9 11 1 3 5 7 9 11 1 3 5 7 9 11 1 3 5 7 9 11 1 3 5 7 9 11 1 3 5

2017

2018

2019

2020

2021

2022

2023

0 (Subscribers)

2024
15

3. Full-Year Forecast for FY2024

The forecast of consolidated financial results announced on May 8, 2024
remains unchanged
Both net sales and profits are expected to increase year on year even with the upfront investments for SEO
enhancement (with the aim for employees to acquire SEO skills) continuing up to the end of FY24 H1（Millions of yen）

FY2023Results

FY2024

YoY

Forecast

Amount%FY2024 Q1Results

Q1 Progressagainst full-year
forecast

Net sales

4,800

5,200

+399

+8.3%

1,168

22.5%

Operating profit

1,556

1,720

+163

+10.5%

302

17.6%

Ordinary profit

1,588

1,710

+121

+7.6%

347

20.3%

Net income attributableto owners of the parent

1,055

1,170

+114

+10.9%

294

25.2%
16

Appendix

17

Promotion of Business Transformation Based on the Corporate Philosophy “Turning Facts Into Intelligence”◼ Previously, the Mobile Business and Publishing Business had been the main contributors to net sales, but proactive
business restructuring has made the Customer Satisfaction (CS) Research Business and News & Media Business into major
revenue supporters◼ As a result of promoting business restructuring, we have dramatically increased our operating margin and recently
transformed ourselves into a highly profitable company maintaining an operating margin around 35%.
Net Sales Trends by Segment

Operating Profit and Operating Margin Trends
Operating profit

Operating margin(Millions of yen)

(Millions of yen)

7,000

2,000

40%

1,500

30%

1,000

20%

500

10%

0

0%

6,000

Others5,000

Publishing
Mobile4,000

Data Providing

3,000News & Media

2,000

Customer Satisfaction(CS) Research

1,000

0
FY10 FY11 FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19 FY20 FY21 FY22 FY23

18

Business Description and Main Revenue Sources of Each Segment
Segment

Business description

Main revenue sources

Communication Business
Customer Satisfaction (CS) ◼ Conducts internet surveys for users of various services
Research
and ranks and announces the results annually from an

independent position that is fair and unbiased◼ As of December 2023, has surveyed a total of 3.53
million people across 168 categories◼ The largest revenue source is “Trademark use,” in which companies pay a fee fora license to use the ranking results marked with Oricon’s trademark logo for
their own advertising and promotion◼ “Digital promotion,” in which customers are transferred to client company
websites from search engines and Oricon’s own media◼ “Data distribution,” which provides broad-ranging analyses of survey results◼ “Consulting,” which provides details and additional surveys to individualcompanies
News & Media◼ Creates over 3,500 news/feature articles and video
contents per month, focusing on entertainment◼ Ad revenue from the number of page views and sessions on Oricon’s own
media and distribution partner platforms◼ Acts as a news agency to distribute news to Yahoo!
News and other major online media sites and apps

◼ Revenue from sponsored advertising and PR consulting for companies◼ Fees received for providing content to distribution partner media outlets◼ The official YouTube channel of Oricon’s own media“ORICON NEWS” has amassed 2 million subscribers◼ Creation and promotion/management of online ads

Data Providing Business◼ Collects sales data and creates rankings for music,
videos, and books◼ Revenue from broadcasters and e-commerce sites, etc. for providing music
databases and ranking data

Mobile Business◼ Paid streaming service for mobile devices and PCs◼ Pay-as-you-go billing for member downloads◼ Music streaming site “Oricon Music Store”◼ eBook site “Yomulun”

19Asset Allocation Approach20

Policy to Proactively Invest Management Resources in Technologies and Seeds of Future
Business Opportunities◼ In addition to shareholder return, cash and deposits and free cash flow will be used to actively invest management
resources in technologies and seeds of future business opportunities◼ In addition to our recent demonstration test efforts involving generative AI and other technologies, we will develop
approaches to promising technologies and seeds of future business opportunities through various methods, including
in-house technology investment and M&A
Cash allocation approach

Operatingcash flow

Recent investments▍ Investment in new technologies through in-house
technologies and M&A
Growthinvestments▍ Recruiting and retaining top talent
New technologies

FinancialassetsShareholder
returnGenerative AI, Web3, etc.

SBI 4+5 ファンド

▍ DOE of 7% (Actual value) as a benchmark

21

Shareholder Return Policy◼ Continue to achieve one of the highest DOE among TSE listed companies, backed by ROE levels exceeding 20%◼ Dividend per share has increased 3.6 times that of 8 years ago

Accounting period

FY15

FY16

FY17

FY18

FY19

FY20

FY21

FY22

FY23

ROE

16.4%

17.6%

18.9%

24.1%

27.1%

25.9%

26.1%

25.2%

21.4%

Dividend per share
(yen)

8.0

10.0

10.0

12.0

17.0

17.0

23.0

27.0

29.0

DOE

6.0%

7.4%

6.8%

7.0%

8.3%

7.1%

8.1%

8.2%

7.7%

22

Customer Satisfaction (CS) ResearchBusiness Model and Strengths

23

Customer Satisfaction (CS) Research Business Overview
Provide services

Use services

Licenses trademark logos
Consumers

Respond to Internet survey

Announces ranking

Oricon Customer Satisfaction

Sells survey data

Companies

Reports ranking and provides
suggestions

Provides consulting services
Provides digital promotion(redirection )Increases consumer satisfaction

Contributes to the growth of companies
by improving their services

24

Oricon Customer Satisfaction Research Trademark Use and Trends in the Number of Annual
Rankings Announced◼ The Oricon Customer Satisfaction Research trademark logo can be used in various media by signing a contract by plan
◼ Although the number of services covered by the rankings has increased and trademark use sales are growing, there is still
great potential for further use of the Oricon trademark logo as trust in the rankings grows even further
Main trademark logos

Trends in the Number of Annual Rankings Announced andNumber of Survey Participants (Cumulative)(Unit:10K)

Rankings announced
250

Cumulative survey participants

400

353
350
200

190

184

191

168
155

Rank logo by industry
and business type

Item or sector rank logo
by industry and business type

150
125

132 135

137

100

293

300
259

250

223

198

200

173
150

150

Main media in which logo can be used (range varies by plan)
TV commercials / Externally-distributed ads (GDN, YDA, listing ads) / YouTube ads / Social media ads /Transit ads (in taxis, trains, etc.) / Outdoor ads (board posters, large screens, etc.) /Direct ads (DMs, mail magazines, newspaper inserts, free newspapers, etc.) / In-store sales promotional
materials (catalogs, novelty items, etc.) / Newspaper and magazine ads / Company websites (corporatesites)

332

130

100
50

33

70

40

50

0

44

0
2011 2013 2015 2016 2017 2018 2019 2020 2021 2022 2023

2011 2013 2015 2016 2017 2018 2019 2020 2021 2022 2023

25

Customer Satisfaction (CS) Research Process and Oricon’s Strengths◼ Select target industries independently as a third party that takes neither consumers’ nor companies’ sides, conduct fairand unbiased research, and strictly process data and statistics to create rankings◼ Leverage our brand power built through the music rankings which we have continuously provided to consumers from afair and unbiased standpoint to steadily build credibility of Oricon rankings in industries besides music

Customer Satisfaction (CS) Research Process: “Turning Satisfaction into Intelligence”
Select an industry suitable for ranking

Results of continuing the process fairly, thoroughly, and without bias

Make a questionnaire fitting the target
industry

Give the questionnaire to the appropriate
population
100+ users per company

Process the statistics strictly, fairly, andwithout bias
Announce the ranking

Increase credibility

Reassure use ofEnergize industries toof Oricon ranking which

Oricon trademark

realize a prosperous andturns facts into intelligencelogo certified services

sustainable society

Give feedback to the companies andcollect info on positive and negative
factors for the evaluation items
Reflect collected info in questionnaires forthe following year and beyond
26

Brand Collaboration with Oricon Trademark Logo Licensed Companies◼ Oricon brand credibility is further increased when renowned national brand companies use Oricon trademark logos
backed by fair, unbased, and faithful Oricon rankings, which in turn encourages other national brand companies indifferent business industries to use our trademark logos. This brand collaboration eventually leads to increased
credibility of both the Oricon brand and Oricon trademark logo certified services
Increased credibility of both sides
through brand collaboration
Oricon brandNational brandcompanies

Increase credibility

Companies in otherIndustries use trademarks

Announce fair, unbiased
and faithful rankings

Use trademark logos

27

Questioning the Credibility of No. 1 Labeling Turns Out to Be a Tailwind◼ Due to the increased No.1 labeled ads without legitimate evidence, the image of such advertised products and services
have been slightly tarnished from 2019 to 2022
◼ Many people think No.1 labeled ads should be based on facts (nearly 80%). Therefore, this situation is a tailwind for afair and unbiased third party institution like us which prioritizes improving customer satisfaction, as it will help increase
the credibility of our rankings
Impression of No. 1 Labeled Products & Services

Opinions on No. 1 Labeled Ads(Based on 1,000 respondents / Individual answers)(Based on 1,000 respondents / Individual answers)

LegendVery

It gives me agood
impression

2019

7.5%

2022

4.3%

It makes meinterested

2019
2022

A little

35.9%
36.7%

13.6%

Not really

44.8%

11.8%

47.6%

11.4%

43.9%

8.6%

Not at all

33.0%

43.8%

36.1%

Somewhat disagree
2.8%

Disagree
1.8%

Can't say either way
15.5%

9.5%

It should be based on facts

11.5%

when emphasizing
I trust it

It makes me
wantto purchase it

6.5%

35.6%

47.2%

10.7%

2022 5.5%

35.4%

46.5%

12.6%

2019

6.4%

31.2%

49.5%

12.9%

2022

5.3%

31.7%

48.0%

15.0%

2019

(Source) Research conducted by Macromill, Inc. from July 27th to 28th, 2022

Agree
51.3%

No. 1 in ads.
Somewhat agree…

(Source) Research conducted by Macromill, Inc. from July 27th to 28th, 2022

28

Two Approaches to Expand Oricon Trademark Logo Usage◼ Oricon Customer Satisfaction Research still has room to expand the number of categories covered, as well as potential for
growth in terms of personalized rankings based on factors such as region, age, and gender. Additionally, there is room for
growth in contract rates.

◼ Continue to conduct fair and accurate surveys and announce rankings to further enhance its credibility as an index
established in society that connects consumers and companies
more

more

Trends in Contract Rates

Housing
Insurance Industry Human
Industry
resources

Financial
Industry
Retailer

Contract rate

more

40.0%

Cram
SchoolOricon Customer Satisfaction

30.0%

School

35.5%
29.2%

31.8%

Improving appeal

Survey categories
more

WeddingIndustry

Business
SolutionsLife
relatedTravelTelecommunications
Industry
Beautymore
Industry

LeisureSports＆Health

more

more

36.1%

more

20.0%

Rankings
Trademark logo
CS Website

10.0%

0.0%

2020

2021

2022

2023

29

Digital Promotion Business Initiatives◼ The business focuses on organic customer transfer from search engines and Oricon’s own media to client company
websites. The conversion rate from Oricon rankings to client company websites is high due to trust in the Oricon brand◼ Strengthen initiatives to boost revenue by further refining search engine algorithm analysis, particularly that of Google
Search with a purpose

High conversion rate

Click totransfer customers(pay-as-you-go)

Trust in Oricon rankings
and the Oricon brand

Organic customertransfer to clientcompany websites

Boost revenue by further
improving the accuracy of Google
algorithm analysis

A

Consumers

B
Click

C

D

30

Consulting Business Initiatives◼ By identifying low-scoring items in Oricon ranking data and conducting additional user surveys and employee interviews,
we can locate specific areas of dissatisfaction among service users and propose measures to solve issues◼ We intend to expand the Consulting Business to companies that have not yet concluded trademark logo licensing
contracts because we can apply our accumulated expertise without a large increase in personnel
Companies included in the ranking

Consulting BusinessA

Oricon ranking data
analysis of target
companies
Main items

Rank

A 大項目

順位
5th

A

5位

B

11位

DD

3rd
3位

B

CC
EE

11th

1st
1位

13位
13th

Create additional survey
items based on original
ranking data to explore
low-scoring items andthe underlying reasons

Identify problem areas
for improvement throughnot only Internet surveys
of service users but also
employee interviews

Recommend strategies toresolve issues (improve
services)

B

Companies eligible
for trademark logo
licensing contracts

C

D

Main items
B

E

E

F

Improve services oftarget companies

Improve user satisfaction

Companies eligible for

consulting services

G

H

I

31

Customer Satisfaction (CS) Research Business Growth Image
Enhance research and data analysis

Streamline reporting
Ensure time for human fact-checking【 Vision 】
All employees of the Oricon Group
Utilize generative AI, etc.

Provide new solution options by

Consulting

expanding into PR consulting, etc.

Data distribution

Digital promotion

Azure Open AI etc.
Ready to deploy
Microsoft 365 Copilot

Trademark use

FY19

FY23

32

Continued Growth of the Customer Satisfaction (CS) Research Business by Raising Awareness

Customer Satisfaction (CS) Research Business Quarterly
Net Sales Trends(Millions of yen)

Trademark use

Digital promotion

Customer Satisfaction (CS) Business Net Sales Trends(Millionsof yen)Data distribution

Trademark use

Digital promotion

Data distribution

700

FY2016

601

224

54

FY2017

644

222

78

FY2018

828

201

63

FY2019

953

237

65

FY2020

997

320

52

FY2021

1,362

421

83

FY2022

1,651

410

82

FY2023

1,559

452

95

600

500

400

300

200

100

0

Q1Q2Q3Q4Q1Q2Q3Q4Q1Q2Q3Q4Q1Q2Q3Q4Q1Q2Q3Q4Q1Q2Q3Q4Q1Q2Q3Q4Q1Q2Q3Q4FY2016FY2017FY2018FY2019FY2020

FY2021

FY2022

FY202333

News & MediaBusiness Model and Strengths

34

News & Media Business Overview
Entertainment industry
companies

Own Web Media⚫ Entertainment production⚫ TV and radio stations

Provide news materials⚫ Film distribution companies⚫ Publishers⚫ Event planners, etc.

Reports news

News distribution revenue

Package distributors

About 100 distribution partners⚫ CD stores, electronics retailers⚫ E-commerce sites, convenience
stores⚫ Bookstores, etc.

Content distributors

User inflow from distribution partners⚫ Record labels

Provide sales data

⚫ Download stores⚫ Subscription streaming services⚫ Video streaming services

Reports news

・
・
・

35

News & Media Business Strengths◼ Distributes reliable news backed by strong connections in the entertainment industry◼ Captured the top market share in the entertainment category of major portal sites for over 10 years◼ Established status as an entertainment news agency, including being used by Kyodo News to distribute articles to local
newspapers

1
Solid foundation built onstrong connections in theentertainment industry

2

Established status as a news agency

Corporate strength capable oforiginal news and video
creation

focused on entertainment▍ Distribution network to major news sites and news apps
backed by high credibility

Our strengths

3
Accumulated expertise inarticle writing and editing forboth print and online media

4

Our highly-valued dedication toproviding articles that do notharm the subject’s image, news
based on fact, and intention towrite articles readers appreciate▍ Provision of news to local newspapers and content tomajor media such as national newspapers and TV
stations, in addition to online media▍ The official YouTube channel with over 2 million
subscribers, as well as many views from nonsubscribers, which consistently provides content
that reaches over a million views
36Capturing New User Demographics by Implementing Short Videos◼ Be the first to focus on the potential of short videos (Less than 1 minute or 3 to 5 minutes long) in entertainment news
distribution◼ Capture new user demographics through short videos that take advantage of Oricon’s strengths and appeal to thelifestyles and tastes of the younger generation
1

2

Solid foundation built onstrong connections in theentertainment industry

Corporate strength capable oforiginal news and video
creationVideo Site Viewing Time on Mobile Devices by Age Group:
Weekdays (Minutes)
0

20

40

60

80

Users in their 20s by Media Type: Weekdays (%)

100

Internet use

TV viewing (in real time)

Teens
20s

60.0

30s

Lunch time use

40.0

40s

Be the first to focus on thepotential of entertainment
short videos

Capture new user demographics

20.0

50s
60s

0.0
5:00AM 8:00AM 11:00AM 2:00PM 5:00PM 8:00PM 11:00PM 2:00AM

Source: Ministry of Internal Affairs and Communications FY2021 Survey Report on
Usage Time of Information and Communications Media and Information Behavior

Source: Ministry of Internal Affairs and Communications FY2021 Survey Report on
Usage Time of Information and Communications Media and Information Behavior

YouTube Ranking by the Number of Gen Z Viewers
Rank

Channel name

Viewers

Video category

1

THE FIRST TAKE

2.27 million

Music

2

oricon1.78 million

Entertainment / variety shows3

Hyakumantenbara Salome

1.51 million

VTuber4

Nintendo official channel

1.41 million

Gameplay and game-related content

5

Ayase / YOASOBI

1.40 million

Music

Notes: ・Gen Z is defined as viewers aged 16-26 as of December 2022. ・Data collection period: June 2022 - Dec. 2022 (target devices: PCs and smartphones) ・It is counted as one
viewer if a video is played at least once during the data collection period. ・The number of views is the number of views per month.

Source: VALUES, Inc. "Ranking of YouTube Channels by the Number of Gen Z Viewers"

37

Future Direction for the Expansion of the News & Media Business◼ Policy to promote multifaceted business expansion based on the strengths and management resources cultivated to datein the News & Media Business◼ Take on new and unique challenges without being reliant on a specific platform

Media development aimed at Gen Z (Application of videos, etc.)

Expansion of original projects such as drama and movie behindthe-scenes footage and TV program promotion

News & Media Business

Strengths

Management
resources

Support for multiple languages, adapt to FAST (free ad-supported
streaming television), and collaborate with overseas video streaming
platforms, among other efforts, to respond to new media trends

Improving productivity and disseminating accurate information
through the use of generative AI, etc.
38

The forward-looking statements including the earnings forecasts contained in thisreport are based on information currently available to us and certain assumptions
that we believe to be reasonable. Accordingly, please be advised that we do notguarantee the achievement of the forecasts, and the actual results may differ
significantly from the forecasts due to a variety of factors.

Oricon Inc.

https://www.oricon.jp/