Materials for Financial
Results Brie ng
FYE January 2021

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02

Business performanceFYE January 202103

Performance for FYE January 2021 – Highlights

Hit the 7 billion yen mark for net sales
and the 3 billion yen mark for operating income, achieving record highs
Prove our agility in this rapidly changing external environment‣ Overall trading volume surpassed 62 billion yen, and we achieved record highs in terms of trading volume, turnover,
pro ts, and ARPU
‣ Achieved operating margin of 42.9% and ROE of 25.3%‣ In the rst quarter, we were affected by the COVID-19 pandemic, but overcame the dif culties by taking prompt
measures such as promoting alliances concerning delivery, and continued to maintain a high level of growth from thesecond quarter onwards‣ As a platform that connects with sellers around the world, we have successfully diversi ed our risks and proven thatour business model is in line with the era of growing demand for e-commerce‣ Further evolution of data-driven marketing, including enhanced operational ef ciency and system of marketing
automation tools, and introduction of AI-based life time value prediction model, etc.
‣ Full-scale operation of SNS such as Instagram and Twitter, and launch of of cial YouTube channel‣ Implemented measures to improve the operational ef ciency of shops and major individual sellers, such as linking
with the EC platform Next Engine‣ Shops' trading volume exceeded 130% YoY for the two consecutive year
‣ Life Style category, including furniture and general merchandise, and GLOBAL BUYMA are rapidly growing‣ To pay a regular dividend of 10 yen per share following on from the commemorative dividend of 7 yen per share paidin the previous scal year

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Performance for FYE January 2021 – Highlights

Maintained growth and achieved record highs
in both net sales and profits
Net sales

Operating income

73billionyenbillionyen( 百万円 )Overall trading volume ※ Including

FYE January 2021
(actual results)

FYE January 2021
(projection)FYE January 2020
(actual results for theprevious period)

Achievement
Rate

YoY

62.899--53.276

118%

Net Sales

7.077

7.011

101%

6.097

116%

Operating income

3.033

2.962

102%

2.692

113%

Ordinary income

3.030

2.961

102%

2.681

113%

Pro t

2.098

2.055

102%

1.860

113%

50.41 yen

49.37 yen102%

44.68 yen

113%

payment

Pro t per share(Unit: billion yen)

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Performance for FYE January 2021 – Net sales

Net sales 7.07 billion yen, 116% YoYConsolidated

Non-consolidated

7,077
6,097
5,283
4,492
4,147

FYE Jan. 2017

FYE Jan. 2018

FYE Jan. 2019

FYE Jan. 2020

FYE Jan. 2021

(Unit: million yen)

* FYE Jan. 2016 – FYE Jan. 2018 includes ROCKET VENTURE; second quarter of FYE Jan. 2017 – FYE Jan. 2018 includes ENIGMO KOREA

06

Performance for FYE Jan. 2021 ‒ Selling expenses

Overall selling and administration costs were 118% YoY
Increased investment in advertising costs in the GLOBAL BUYMA
and system-related costs associated with the use of Big DataFYE January 2021
(performance)FYE January 2020
(actual results for theprevious period)

Personnel costs ※1,139 million yen

979 million yen

116%

Advertising costs

1,105 million yen

926 million yen

119%

Write o s

26 million yen

16 million yen

161%

Costs relating to systems

136 million yen

94 million yen

144%

Other

309 million yen

280 million yen

110%

2,716 million yen

2,297 million yen

118%

Selling andadministration costs※The personnel costs Include dispatching, outsourcing, etc. For FYE Jan. 2021, this includes the recording of expenses for performance-linked stock options
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YoY

07

Performance for FYE Jan. 2021 - Operating income / margin

Operating income surpassed 3 billion yen (113% YoY)
Maintained high profitability with operating margin of 42.9%
Consolidated

3,500

Non-consolidated

44.2%

42.6%

40.6%
35.1%

3,000

42.9%

45%

3,033

40%

2,692

35%

2,500

30%

2,143
2,000

25%

1,768
1,574

20%

1,500

15%
1,000

10%
500

5%
0%

0
FYE Jan. 2017
(Unit: million yen)FYE Jan. 2018
Operating income

FYE Jan. 2019

FYE Jan. 2020

FYE Jan. 2021

Operating Income ratio* FYE Jan. 2016 – FYE Jan. 2018 includes ROCKET VENTURE; second quarter of FYE Jan. 2017 – FYE Jan. 2018 includes ENIGMO KOREA

08

Performance for FYE Jan. 2021 - Cash ow

Cash and cash equivalents at end of period increased to 11.8 billion yen
due to an increase in operating CF, maintaining a stable levelcompared to average monthly trading volumes
14,000

4,134
12,000-222

111,807-291

10,000

8,186
8,000

6,000

5,241

4,000

2,000

0
Cash and cash
equivalents at
beginning of
periodOperatingCF

Investment
CF

FinanceCF

E ect ofexchange ratechange on
cash and cash
equivalents

Cash and cash
equivalents at
end of period

Monthly
average trading
volume (at endof period)(Unit: million yen)

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Performance for FYE January 2021 – Shareholder returns

Regular dividend of 10 yen per share, following the commemorative
dividend of 7 yen per share paid in the previous fiscal year
[F u t u re d ivide n d pol ic y]

In order to be in a continual state of growth, we have made investments in growth our top priority (this includes not only
M&A and capital tie-ups but also investments in human resources and strategic marketing investments that lead to
growth in turnover).
In regard to the dividend for the next term onward, while in some cases there may be no dividend payout depending on
investments in growth and the present demand for funds, we will adopt a policy of striking a balance with internal
reserves while giving comprehensive consideration to such factors as transitions in our performance, nancial
circumstances, and future business & investment plans.

Internal reserves

Operating CF

Investments (including M&A)
or dividendsfi

10Overview of
BUYMA business

11Performance for FYE January 2021 – Overall trading volume

Overall trading volume was 62.8 billion yen (118% YoY)

62,89960,00053,27650,00045,53340,00037,10933,27730,00020,00010,0000
FYE Jan. 2017

FYE Jan. 2018

FYE Jan. 2019

FYE Jan. 2020

FYE Jan. 2021

(Unit: million yen)*Overall trading volume: Amount of account settlements including such things as payment for goods and fees for settlement of payment in contracted transactions*Including the English language version from FYE January 2016; including the Korean language version from the 2nd quarter of FYE January 2017 to the 3rd quarter of FYE January 201812

Performance for FYE January 2021 – Number of members

Number of members remained in good shape, exceeding 8.5 million
Acquired approx. 1.28 million new members

8,585,119

9,000,000
8,000,000

7,302,929
7,000,000

6,139,853

6,000,000

4,987,585

5,000,000
4,000,000

3,998,041

3,000,000
2,000,000
1,000,0000FYE Jan. 2017

FYE Jan. 2018

FYE Jan. 2019

FYE Jan. 2020

FYE Jan. 2021

(Unit: Person)*Including the English language version from FYE January 2016; including the Korean language version from the 2nd quarter of FYE January 2017 to the 3rd quarter of FYE January 201813

Performance for FYE January 2021 – Number of active members

The number of active members exceeded
1.30 million people (114% YoY)

1,313,950

1,350,000

1,098,542

1,125,000

1,153,475

969,641
900,000

885,308

675,000

450,000

225,0000
FYE Jan. 2017

FYE Jan. 2018

FYE Jan. 2019

FYE Jan. 2020

FYE Jan. 2021

(Unit: Person)*Number of active members: members with a purchase history within the past year
*Including the English language version from FYE January 2016; including the Korean language version from the 2nd quarter of FYE January 2017 to the 3rd quarter of FYE January 201814

Performance for FYE January 2021 – Number of transactions handled

The number of transactions handled
was 2.86 million (113% YoY)

2,864,917

3,000,000

2,544,540

2,500,000

2,374,841
2,058,758

2,000,000

1,853,817

1,500,000

1,000,000

500,0000
FYE Jan. 2017

FYE Jan. 2018

FYE Jan. 2019

FYE Jan. 2020

FYE Jan. 2021

(Unit: no. of transactions)*Including the English language version from FYE January 2016; including the Korean language version from the 2nd quarter of FYE January 2017 to the 3rd quarter of FYE January 201815

Performance for FYE January 2021 – Overall trading volume

The number of active members are growing,stimulating demand from both existing and new members
Achieved a trading volume of 118% YoY, in part due to higher ARPUFYE January 2021

Numberof active members

ARPU

YoY

YoY

114%

104%

16

Performance for FYE January 2021 – ARPU

Although the number of transactions handled decreasedin the first quarter due to the COVID-19 pandemic,
it returned to the same as or even higher level than the previous year
due to recovery from the second quarter onward
Demand for luxury items remained firm, with unit prices rising

Average annual number oftransactions per person

Average unit
price per transaction

ARPU

No.

Unit Price

YoY

YoY

YoY

104%

99%

104%

* Unit price could be impacted by trends,
having a kind of uncontrollable aspect

17

GLOBAL BUYMA(English language version)

18

GLOBAL BUYMA ‒ Performance for FYE Jan. 2021

Shift to North America has been successful, and the overall trading volume
accelerated rapidly from the second quarter onward
Rebranding for North America and fine tuning of product lineup led to a rapid
expansion in trading volume with 316% increase YoY in the fourth quarter
YoY
316%

YoY
247%

YoY
136%
Oct. 2019

New North America-focusedstructure launchedTemporary stagnation in
trading due to COVID-19

3Q

4Q

FYE Jan. 2020

1Q

2Q

3Q

4Q

FYE Jan. 2021

19

GLOBAL BUYMA ‒ Performance for FYE Jan. 2021
Branding equating BUYMA with luxury has taken root in consumer consciousness
Unit purchase price is 3.6 times higher than in Japan, and the use of the site is expanding
mainly among the high value buyers in North America
Aiming for growth in North America as a website with a more complete lineup of luxury
products than anywhere else

Impressions of BUYMA*

Unit price per transaction (yen)86,079Luxury3.6times

A ordable

Cross-border
23,723
Other

0%

20%

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*Source: Survey administered by this company (some questions had multiple answers)

40%

60%
Second Half of
FYE Jan 2021

Second Half of
FYE Jan 2021

BUYMA JAPANGLOBAL BUYMA

20

Mid-term Targets& FYE Jan. 2022

21

Progress of mid-term targets (Challenge 2025)

Steady progress toward achieving mid-term targets

Mid-term target

Progress as of FYE Jan. 2021

Operating
Income5 billion yen

3 billion yen

Cumulative
OperatingCF

5-year cumulative
Operating CF

Ave.
ROE

by FYE Jan. 2025

15 billion yen

5-year average

25%

Cleared the conditions for exercising
performance-linked stock options *1

3 billion yen

*2

25%

Started shareholder returns (dividends)
while maintaining high pro tability*1：The rate of execution is set at 15%, 40%, 70% and 100% depending on the state of achievement of net sales and operating income.

fi*2：Actual operating CF is 4.1 billion yen, taking into account a portion for which there was a delay in payment time (approx. 1.1 billion yen) due to a bank holiday on January 31, 2021.

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Mid-term targets - Room for growth

Much room for growth in the BUYMA business, both in Japan and overseas
The EC conversion rate is expected to increase andwe will continue to maintain growth

Fashion EC US market size:
11.2 trillion yen *2
Fashion EC domestic market size:
1.91 trillion yen *1（EC conversion rate 21.3％ *3）（EC conversion rate 13.8％）

Our overall trading
volume:62.4
billion yen

GLOBAL
BUYMA*1：E-Commerce Market Survey, Ministry of Economy, Trade and Industry*2：The Statisca Global Consumer Survey*3：Digital Commerce 360’s new 2020 Online Apparel Report23Mid-term targets - Expansion in interior goods

The Life Style category, which deals with interior goods(furniture, general merchandize, etc.), will grow,and we will strengthen promotions to accelerate its growth
In the current fiscal year, we will focus on expanding our top line
Overall trading volume in lifestyle category

1400

1200

1000

Interior goods EC domestic
market size: 1,742.8 billion yen *1

800( EC conversion rate 23.3% )600
Our overall
trading volume

400

1.4
billion yen

2000

FYE Jan.
2017

FYE Jan.
2018

FYE Jan.
2019

FYE Jan.
2020

FYE Jan.
2021(unit：million yen)
*1：E-Commerce Market Survey, Ministry of Economy, Trade and Industry

24

FYE Jan. 2022 - Budgeting policies

To increase the probability of achieving our mid-term targets,
we will strengthen investments in growththat will help shore up our business foundations

Budgeting policies

Net Sales

Accelerate the pace of net sales growthfrom the cruising speed of +15% YoY to +20

SGA

Active investment for further growth with discipline,
to an extent that enables pro t growth to be maintained

Operating
IncomeSecure 3 billion yen, the same level
as the previous scal year,
and allocate the pro t increase to investments in growth

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FYE Jan. 2022 – Measures for this term

Focus on GLOBAL BUYMA and the Life Style category
Make an additional investment of approximately 500 million yen for growth *1and strengthen business foundations during this scal year,
aiming acceleration of future growth
Max＋￥200 mil. yen Investment＊1

BUYMA

Max＋￥200 mil. yen Investment＊1‣ Expand collaboration with companies and major PS‣ Strengthen SNS marketing‣ Data-driven marketing‣ Ef cient management of coupons & advertising expenses

Max＋￥100 mil. yen Investment＊1

GLOBAL BUYMA‣ Expand advertising in North America‣ Strengthen SEO by optimizing webpages, etc.
‣ Improve convenience by diversifying payment methods‣ Acquire exclusive sellers for GLOBAL BUYMALife Style Category‣ Increase recognition by strengthening SEO measures and Social
Media advertising‣ Growth of favorable existing categories +enhancement of product line-up

Max＋￥50 mil. yen Investment＊1

NEW BUSINESS‣ Participate in new markets ＊2‣ Create new businesses derived from existing businesses‣ UI optimization (by country, taste, etc.)‣ Improve delivery services
Depends on deals ＊2

M&A‣ Meet the criteria set out in the "Specialty" Marketplace strategy and accelerate BUYMA's growth‣ A high growth rate for the target company/business*1：Additional growth investment: Refers to "Operating income of 115% compared with FY2021/1 - FY2022/1 forecast operating income".
Allocate to strengthen business infrastructure to expand the pace of pro t growth.

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*2：M&A will be carried out in line with our strategy, outside the scope of the above additional growth investment limit of approximately 500 million yen.

26

FYE Jan. 2022 - Forecasts for the whole year

Regarding forecasts for the full year
【Policy for this scal year: Prioritize investments in growth】
Our mid-term targets set out the aim of achieving operating income of 5 billion yen by FYE January 2025, which can be achieved with anaverage annual growth rate of +14% from now on. In order to steadily achieve this goal, in FYE January 2022, we will build a managementbase enabling us to achieve +20% growth in pro ts, surpassing our current cruising speed, by actively investing increased pro ts into growthinvestments in a disciplined manner while securing increased sales and pro t. We will make investments with an awareness of e ciency.
However, since it is di cult to give a reasonable estimate as to the timing and e ects of growth investments at the present time, we will
disclose range forecasts for the current scal year.
We will announce whether or not we will pay a dividend and the speci c amount after taking into consideration our business performance andinvestment status at the end of the scal year.

FYE January 2022
(projection)FYE January 2021
(actual results)

YoY

Overall trading volume

62,89972,334~78,624

115%~125%

Net sales

7,077

8,139~8,846

115%~125%

Operating income

3,033

3,063~3,519

101%~116%

Ordinary income

3,030

3,060~3,519

101%~116%

Pro t

2,098

2,117~2,435

101%~116%

50.41 yen50.85 yen~58.47 yen

101%~116%

10 yenTBDーPro t per share
Dividend per share

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(Unit: million yen)

FYE Jan. 2022 - Forecasts for the whole year

Quarterly comparison with the previous year for FYE Jan.2022‣ While total trading volume in FYE Jan. 2021 was 99% YoY in 1Q, it exceeded 120% YoY from 2Q onward.
‣ Therefore, in FYE Jan. 2022, the base of revenue growth is expected to be moderate compared to the same quarter of the previous year.
‣ However, as mentioned above, we are prioritizing the growth of our top line and plan to achieve growth in terms of total trading volume.

Assumption of total trading volume *1
35,000150%

30,00025,000100%

20,00015,00050%

10,000
5,000
0

0%
1Q

2Q

3Q

4Q

1Q

2Q

FYE Jan.2021 (Actual)(unit：million yen)

Total trading volume

3Q

4Q

FYE Jan.2022 (Forecast)
YoY

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*1：Total trading volume for FYE Jan. 2022 and year on year change (YoY) are based on the assumption of total trading volume and di er from the speci c forecast gures.

28

ESG・SDGs

29

ESG・SDGs

Business models that can coexist with society are in keeping withthe times from the perspective of ESG investment

Environment
1. On BUYMA, fashion items awaiting "buyers" are distributed across borders. BUYMA has solved the problem of inventory
disposal by matching supply and demand in the apparel industry around the world.
2. From March 2020, we shifted to a remote work-based working style, which has allowed us to reduce the amount of paper
we use and become more energy ef cient than before. We have also reduced our of ce space by half, helping us further
reduce our environmental footprint.

Social
1. 170,000 personal shoppers in 164 countries are active on BUYMA. We contribute to society by creating jobs around theworld and providing people with satisfaction in work.
2. Around half of our employees are women, and we promote diversity. In addition to women, men also take parental leave,
creating a comfortable working environment in which employees can enjoy long and rewarding careers.

Governance
1. Two of our ve directors are outside directors, and all three auditors are outside auditors, making for a highly independent
executive structure.
2. We established our internal systems based on fundamental policies for the establishment of internal control systems. In
addition to emphasizing the importance of compliance with laws and regulations, we are focusing on enhancing internal
control functions such as internal audits, our internal reporting system, and the Risk Management Committee.

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ESG・SDGs

Realization of a sustainable society through the growth of BUYMABUYMA, a cross-border EC infrastructurethat can be freely accessed by all

Sellers in 164 countries around the world,
enabling activities that transcend national borders

Reduction of waste loss by optimizing
inventory of fashion items around the world+ provision of services encouraging
the reuse of items

Providing opportunities
for 170,000 sellers

Ratio of female employees of 45%
Maternity and childcare leave systems
in place for women to maximize their abilities

Energy saving by reducing of ce space andpromoting remote work

Compliance with laws and regulations
Governance-oriented managementfi

31Appendix

32

Company Pro leCompany Name

Enigmo Inc.

Main Business

Management of “Specialty” Marketplace “BUYMA”

Location

NMF Aoyama itchome Bldg. 6F 8-1-22 Akasaka, Minato-ku, Tokyo

Date of Establishment

February 10th, 2004

Representative

Representative Director and Chief Executive O cer Shokei Suda

Capital381.9 million yen

Listed Market

Tokyo Stock Exchange First Section (Ticker：3665)

Number of Employee

113 people

Accounting Period

January 31stMajor Shareholde

Executive o cers & Sony Corporation*As of the end of Jan 2021

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History
February 2004

“Period of foundation” – 1st stage of foundation

Commencement of BUYMA services

Number of members:
0 – 100,000 people– Founded in February 2004
– BUYMA released in February 2005, the following year, under the theme of “It has value, no matter where
you are”

February 2006

“Period of expansion” – 2nd stage of foundation

Increase of capital / diversification of lines of business

Number of members:
100,000 - 800,000 people– February 2005 - March 2006 Implementation of capital increase through third-party allocation– BUYMA, which had achieved a positive balance on a monthly basis in 2008, grows into our company’s
main line of businessFebruary 2012

“Period of transition” – 3rd stage of foundation

Structural reforms

Number of members:
800,000 – 1.7 million people– 2012 - Heavy concentration of management resources on BUYMA– July 2012 - Listing of company on TSE Mothers

February 2014
Japanese, English and Korean
language versions of the site

“Period of globalization” – 4th stage of foundation

Commencement of global expansion /path to becoming the “No. 1 overseas online retailer”– December 2013 - Release of BUYMA Korea, the Korean language version of the site

Number of members:
1.7 million – 8.5 million people(as of the end of January 2021)– February 2015 - ROCKET VENTURE, a service which administers media aimed at young women, is
acquired as a subsidiary company (liquidated in January 2018)– October 2015 - Release of BUYMA, the English language version of the site
– March 2016 - BUYMA KOREA is acquired as a subsidiary company (liquidated in September 2017)– July 2018 – Release of BUYMA TRAVEL– April 2019 - Listing in the First Section of the Tokyo Stock Exchange

34

Structure of business operations

SHOP

1

List item

2
Point

Point
Purchasing after
the order has
been received

3

Purchase
item

4

t f
en o e)m - icle % rtt (5 n p
se t or en ctiafo
e aym ns
Fe p tra
of e
th

Fe
of e utr co ndan nesa tra r act ct greion (5% em
prenic 〜e) 7% toftheJapanese and English
language versions of the site

Order item

Original payment
systemDispatch item

Personal shoppers(sellers)

Buy e rs

Turnover generated from fees paid by both parties involved in the transaction
Buyers: Around 5% of the item price (+ other optional fees)
Personal shoppers: Brokerage fee of 5% – 7% of the item price (depending on the status of the item)

Premium personal shoppers：

Shops：

Those among excellent personal shoppers who have cleared certain criteria andresponded to our invitation

Business operators that have met the criteria for selling items through BUYMA

Premium members：
Determined according to the amount of purchases made during the past 6 months. Platinum stage members: (total purchase amount of 300,000 yen or more)/Gold stage members: (totalpurchase amount of between 150,000 yen and 300,000 yen)/Bronze stage members: (total purchase amount of between 70,000 yen and 150,000 yen)

35

BUYMA (Japanese language version) – Content of businessA specialty marketplace that brings individuals and companies from around the world
together and provides them with a special purchasing experience and limitlessencounters with fashion items
Number of items listed

More than

5.61 million items

Number of personal shoppers

170,000 people

Countries of residence of personal shoppers

164 countries

Average purchase amount

21,955 JPY

Average age of users

34.0 years
Users by sex

Female:70% Male: 30%*as of the end of Jan 2021

36

Rede nition of BUYMA

We have rede ned BUYMA as a“Specialty” Marketplace

A Marketplace which constructs a platform breaking down the boundaries
between companies and individuals by giving full play to a diverse range ofexpertise in specialized categories, and which creates special experiences
for both sellers and buyers in a whole new way.

Product genres of all kinds“Specialty”

C2C / B2C

Marketplace(Malls, ea markets, classi ed ads, etc.)(UBER, Airbnb, etc.)

Transition from an “all-genre” to a “specialty” marketplace
C’s expertise increases, resulting in coexistence between C and B

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Rede nition of BUYMA’s business areas

BUYMA is not suited to mass produced products of a kind used on a day
to day basis. Rather than easily available items that one can obtainanytime, anywhere, BUYMA targets special items inhabiting the realm of
the extraordinary, such as sought after brands, things which are a joy toobtain, and other products which people crave to own.
Today fashion, tomorrow travel… As a “Specialty” Marketplace, BUYMA
aims to inhabit a unique position in this realm of the extraordinary,providing a broad range of items and services from around the world.

Realm of the everyday

Realm of the extraordinary

As the realm of the everyday becomes more convenient,
people tend to spend more money and time exploring
the realm of the extraordinaryfi

38

BUYMA’s strategy for growth

1 Based on the concept of BUYMA as a “Specialty” Marketplace, provide a diverse range of options and special
items / experiences from all corners of the world in fashion, travel and other extraordinary elds, and help
people achieve new lifestyles through a formidable product lineup found nowhere else.
[Expansion in scale]2

Improve pro tability through the provision of related services that possess value for many BUYMA
users. [Improvement of pro tability]

3

Expand BUYMA overseas to become a much-loved brand among people around the world.
[Growth in the medium and long term]

TravelFashionOverseas
expansion

New

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These presentation materials are provided solely for the
purpose of better understanding of our company and are
not intended for the purpose of solicitation.
Forward-looking projections and forecasts contained
within this document are made based on information
available as of today.
Actual business performance may differ from projections
due to risks and uncertainties in the future.