REPORT 2024

Entering

the N extstage

of marketing research

The INTAGE Group was founded in 1960 as Marketing Intelligence Corporation (MIC). Panel surveys, which we launched in the early days after our founding, continue to grow at present as our core products while expanding target industries, services, and the areas they serve. We have thus established a solid position as a marketing research company in Japan.

Developments such as the remarkable progress of information technologies and the utilization of big data and AI have also brought about remarkable changes to consumers. Amid these major shifts in the operating environment, the INTAGE Group's businesses have continued to involve ceaseless renewals of products and services and challenges taken continuously in new business areas, so as to respond to customers' changes.

In October 2023, we formed a capital and business alliance with NTT DOCOMO, INC. With the continued extension of data, generation of value from data, and data structuring, we will accelerate initiatives to help customers solve their issues and make full-scale entries into the areas of our marketing activities, which are not limited to research.

With these efforts, we will continue growing in the area of data utilization, aiming to evolve from our customers' research/insight partner into their marketing partner.

CONTENTS

PART 1

INTRODUCTION

P01 CONTENTS

P03 THE PATH WE HAVE FOLLOWED / THE STRENGTHS WE HAVE DEVELOPED P05 OUR CURRENT STATUS

PART 2

FUTURE OF THE INTAGE GROUP

P07 MANAGEMENT MESSAGE

Yoshiya Nishi, President and Representative Director

P11 OUR BUSINESS MODEL

PART 5

DATA SECTION

P39 FINANCIAL AND NON-FINANCIAL HIGHLIGHTS FOR THE PAST 10 YEARS P41 FINANCIAL STATEMENTS

P44 CORPORATE PROFILE

Editorial Policy

We publish this report for the purpose of comprehensively communicating to our stakeholders the approach and initiatives we take for the medium- to long-term enhancement of the INTAGE Group's corporate value and for deepening mutual understanding through dialogue. In this INTAGE GROUP REPORT 2024, we introduce the Group's framework and milestones. At the same time, we place emphasis on gaining our stakeholders' understanding and support for the future we aspire to create, including the new president and the synergy with DOCOMO, which became our parent company.

Forward-looking Statements

This report contains forward-looking statements concerning the business and future prospects of the INTAGE Group. These statements reflect the information currently available and the Group's current analysis of various trends. Moreover, forward- looking statements are based on the INTAGE Group's assumptions and judgments made in light of currently available information; they contain known and unknown risks, uncertainties and other factors, and may be influenced by these factors. Accordingly, actual performance may differ from the current outlook.

Since the founding of Marketing Intelligence Corporation in 1960, we have been supporting customers' marketing activities by reading changes in the times and expanding and evolving various businesses that enable us to learn more about consumers. We can say that the reason why many customers rely on us is that we constantly check market movements and have continued to provide valuable information that helps companies understand consumers' perspectives.

Since our founding, we have continued our efforts to understand the market with a neutral stance, without being biased toward specific industries or companies. This has enabled us to build relationships, under which consumers and our partner companies provide us with various data, the source of the INTAGE Group's corporate value. A neutral stance is essential for defining what the INTAGE Group is.

INTRODUCTION

What we have kept unchanged

Our DNA

GROUP VISION

THE INTAGE GROUP WAY

OUR

CURRENT

STATUS

At the INTAGE Group, we collect data that support consumers. Based on a wealth of data, among the largest by volume in Japan, we lead marketing activities in Japan and abroad with our outstanding analytical and handling capabilities.

53,600

people

SCI® (Nationwide Consumer Panel Survey)

Daily shopping data continually collected from nationwide

male and female consumers between the ages of 15 and 79

6,000

stores

SRI+® (Nationwide Retail Store Panel Survey)

Retail store sales data collected from supermarkets

and other retail stores across Japan

30,000

people

i-SSP® (INTAGE Single Source Panel)

Data collected on media contact and purchasing

behavior under a cross-media environment

3.43 As of November

2024

million people

Mighty Monitor®

The largest Internet-based survey monitor panel in the

marketing research industry

3.38As of

June 30,

2024

million

CODE members

App to collect consumer data

through receipts

4.99million

television sets

Smart TV viewing data

Smart TV viewing log data collected from

Internet-connected televisions

4,200 As of

October 31, 2024

stores

Cross Fact (dispensing pharmacy)

Database for analyses integrating social insurance,

dispensing, and DPC* data

*DPC stands for Diagnosis Procedure Combination. It is a system for calculating hospitalization expenses per day in such a way that they will be lower. The DPC

data mentioned herein refers to data on drugs used under DPC.

62,000

Physicians as monitors

Membership base exclusively for physicians for market

research as the main purpose

Net sales

Operating profit

(million yen)

Ordinary profit

(million yen)

My name is Yoshiya Nishi. I became the President and Representative Director in July 2024. Since 2000, three consecutive people that joined the company as new graduates have held the top position at the INTAGE Group. I am the first president who came from an acquired company. In this sense, my background may be unprecedented in our history. I formerly belonged to a small company that I established with my colleagues. Since it was acquired by the INTAGE Group, I have been consistently committed to taking on challenges, aiming to achieve things that the small company couldn't achieve and do a job which will impact society by using the wealth of resources and capital of the INTAGE Group. I am very excited to accept this big role at a time when consumers' lifestyles are becoming more diverse and society is about to undergo major change.

Management emphasizing diversity and harnessing individuality

I spent my early childhood in the United States and returned to Japan at the age of nine unable to speak Japanese at all. What bewildered me more at that time than the language barrier was the cultural difference. Unlike education in Japan, which reinforces homogeneity, education in the United States was oriented to harnessing individuality based on the idea that you should increase the things

you are good at because everyone was born different. I vividly remember that I was shocked by this difference as a young child. My underlying ideas are that individuality should be harnessed and that people are good in different ways. I learned this in the United States. As the manager leading the Group, I will pursue a management style in which we leverage people's individuality so that they will achieve personal development, and consequently, the entire company will achieve growth. Emphasizing diversity is my first commitment.

Shifting to management that is committed to profit

Another thing I have continued to be committed to is profit. I was also committed to profit when I was the president of a Group company. This does not mean making profit by

significantly reducing costs. I am committed to providing great value and receiving appropriate compensation that measures up to the value we provide. The competition in our industry is intense. If you focus on immediate profit, you tend to offer a price which is lower than the value you provide. We are confident about our services and are strongly committed to the quality of our services. On the other hand, I feel that our commitment to prices has been weak. Profit will differ completely depending on whether we are aware of the value we provide and the appropriate price for that value. We will shift to management that has a greater commitment to profit than it had previously.

Becoming a company which impacts society in good ways.

We are one of the companies with the greatest amount of information (data) that can be used for marketing in Japan. We can use our ideas and knowledge to turn this information into great value. Data-driven management used to formulate strategies and make decisions is based on data. It is essential in an era when digitalization is progressing, consumers' ways of thinking are becoming more diverse, and businesses are evolving speedily. Taking advantage of being in this position, we will continue to turn the information that we possess into value to become a company which can continue to impact society in good ways.

Increasing the number of employees who enjoy working

Our company does not have a physical plant. The services that we provide were all created by people. I think that unless we ourselves, the people who create services and value, enjoy working, our output will not be good and customers will sense that. If we are going to do our jobs anyway, customers and co-workers would prefer to deal with people who enjoy working. While views of work and values have been changing, I think that increasing the number of employees who have job satisfaction and find work enjoyable is also important for impacting society in good ways. I would like to increase the number of employees who enjoy working.

Listening to the opinions of the people working on the front lines and leveraging these opinions when making decisions

Going forward, I will implement various reforms and improvements as the top manager of the Group. When working on these, I would like to value the opinions of the people working on the front lines. While people in management positions consider measures based on various information and analyses, I believe that many answers to the roots of problems are found on the front lines. When we take measures to solve an issue or problem, we must ask the people on the front lines what the root of the problem is. If we do not, we may implement the wrong measures. I have already begun to hold townhall meetings, and I plan to visit all of our offices in Japan and other countries. I would like to increase this dialogue with the people on the front lines, gain a good understanding of what is happening there, and use this information when making management decisions.

Aiming to increase net sales twofold and profit fourfold by 2030

We have announced our long-term vision, whose goal is 2030. The qualitative target is to continue to be a company that contributes to the realization of a convenient and affluent society free from social loss, and aim for business growth in proportion to our contribution to solving business and social issues. Society is undergoing a major change now. We will take the time like this as an opportunity, make investments, change our business style, and solve the issues that society and customers face. I put my passion into this message, that we should make a leap forward from the existing framework rather than following the same path as before. To do this, we need to change our mindset and think more deeply. I think that our mission is to function as our customers' business partner when they tell us their problems or request things from us, asking how they should respond to the changes of the times or telling us that to change they need evidence. The changes of the times are opportunities to demonstrate the value of data. We have the potential to achieve significant growth by translating opportunities into achievements. In numerical terms, I envision our achievement of net sales of 130.0 to 150.0 billion yen, which is about double the results in FY2022. (CAGR*1 at 10% to 12%), operating profit of 15.0 billion yen, which is four times higher than in FY2022, and return on equity (ROE) of 12% or higher. How should we seize this great opportunity and act while carefully thinking about what we should do? All of us at the INTAGE Group will work together to realize our desire to look ahead and continue growing.

Eliminating the invisible boundaries between Group companies

As I mentioned above, it is extremely difficult to achieve our long-term vision if we continue to follow the same path

we have been on. The key to the achievement of our long- term vision is the All INTAGE idea. Since we transitioned to a holding company structure, we have been increasing the things that we can do (our functions) and the number of colleagues that we have through M&A activities. To date, we have continued to develop the Group by ensuring the independence of the individual companies' functions and expanding their scale. However, to create new opportunities in these significantly changing times, greater comprehensive strength will be necessary because the key points for businesses that we handle are complicated. At present, as many as 28 operating companies belong to the INTAGE Group. Each company has been aiming to achieve its own growth. To compete on comprehensive strength, however, I think we should also consider changing the entire organization so that we can cooperate in businesses and functions beyond the boundaries between companies. I think that having all of the Group companies work as one to solve the issues faced by customers is a major task that we have to do to achieve our vision, and how we do this is an issue that we should address. I will eliminate the invisible boundaries between Group companies and build a structure that enables them to work as one and a culture that promotes this.

Accelerating growth through synergy with DOCOMO

Another key to our achievement of the vision is the synergy with NTT DOCOMO, INC. (hereafter, "DOCOMO"), with which we have formed a capital and business alliance. Before the increase in the diversity of consumers' values and lifestyles, companies' marketing activities were based on rough targeting and produced a certain degree of effect through what is called mass advertising. However, because the diversity of consumers has increased, it

is becoming difficult to respond to their needs using conventional methods. Our collaborations with DOCOMO have the potential to overcome this issue. DOCOMO has a membership base of more than approximately 100 million people.*2 We will create value from data obtained from one of the largest membership bases in Japan, which will enable us to take approaches suited to the increasingly diverse values and lifestyles of consumers. We will be able to learn information on an individual basis, for example, that consumers with a specific profile may potentially purchase a specific product. This alone is a great evolution of marketing, but it is nothing more than saying to our customers that we have analyzed the data to this point, so the rest is up to them. This is not still helpful enough for customers. By teaming up with DOCOMO, we will have access to information about the purchasing behaviors

of a huge number of consumers, which will enable us to provide them with highly satisfactory options in their daily purchasing activities and provide ads that they will not