Pronexus IncorporatedTSE: 7893

2024 Fiscal Year 2nd Quarter Performance Review

Nov 25, 2024 at 8:56 AM UTC · Issued by Pronexus Incorporated

The Six-Month Earnings Report for the Year Ending March 31, 2025

Performance Review

(From April 1 to Sep 30, 2024)

November 20,2024

PRONEXUS INC.

(Securities code：7893)

Contents

１

Results of Operations for the First Six Months of the Fiscal Year Ending March 31, 2025

Shareholder Return and Stock Price

3 Topics

References

Corporate Profile
Our Business Domains
Business Environment
Major Management Indicators

１

Results of Operations for the First Six Months of the Fiscal Year Ending March 31, 2025

Shareholder Return and Stock Price

Topics

References

Corporate Profile
Our Business Domains
Business Environment
Major Management Indicators

● Financial Highlights 2Q for FYE March 2025(IFRS)

Revenues increased due to an increase in orders for web, English translation and BPO(*) an increase in the number of convocation notices issued, and contributions from services supporting digitization. Profits increased due to the elimination of initial costs for digitization in the same period of the previous year and the recording of a 1,411 million yen gain on sale of affiliate company stocks.

(*) Business process outsourcing : Outsourcing a company's entire business processes to an external company.

（Unit：Millions yen）

	2Q for FYE March 2024	2Q for FYE March 2025	YoY change		Compared to initial
		forecast


	Amount	Share(%)	Amount	Share(%)	Amount	(%)	Forecast	Difference
		from forecast


Revenue	17,716	100.0	17,887	100.0	171	1.0	31,000		57.7

Operating profit	2,905	16.4	3,163	17.7	258	8.9	2,500		126.5

Profit before tax	2,935	16.6	4,595	25.7	1,660	56.6	3,900		117.8

Profit attributable to	1,993	11.2	3,132	17.5	1,139	57.1	2,650		118.2
owners of parent



ROE（％）		－		－		－	10.0		－

EPS（Yen）		－		－		－	103.88		－

Starting from the first three months of the current fiscal year, the accounting for the annual fees for the practical information provision services for our client companies was changed from recording a lump sum at the beginning of the fiscal year previously to recording monthly installments. the sales for these services for the first three months decreased by 96 million yen year on year. （No impact on full-yearresults / Change from lump-sumrecording at the beginning of the period to monthly installments.)

If there is no change in the method of recording sales Revenue YoY UP 267 Million yen

Operating Profit YoY UP 354 Million yen

Financial Highlights Growth in non-printing sales

Increased sales in the non-printing field, including web, English translation and BPO, and the progress of digitization of convocation notices and an increase in orders for electronic services led to an increase in the proportion of sales revenue from non-printing fields.

Sales trends by printing and non-printing fields

（Unit：Millions yen）

Non-printing Printing

17,71617,887

Revenue	15,398	16,018

14,390

66.0%

（＊）

58.0%

Non-	52.4%	53.0%	53.1%
printing

2021/3	2022/3	2023/3	2024/3	2025/3
2Q	2Q	2Q	2Q	2Q

（＊）In line with the introduction of the electronic provision system for general meeting notices in March 2023, the portion of sales related to content creation and electronic provision of convocation notices will be changed from the printing sector to the non-printing sector.

Growth areas

System
Web
English translation
BPO
Consulting seminars
Visualization of general meetings of shareholders
Event
New creation of support for overseas expansion
Database

● Revenues Composition by Product Area

Revenue of IR and event-related sales for listed companies fell below that of the same period of the previous year. Due to a change in the accounting for the annual fees for the practical information provision services for our client companies was changed from recording a lump sum at the beginning of the fiscal year previously to recording monthly installments.

						（Unit：Millions yen）

	2Q for FYE March 2024	2Q for FYE March 2025	YoY change

	Amount	Share(%)	Amount	Share(%)	Change	(%)

Listed companies disclosure-	8,001	45.2	8,148	45.5	147	1.8
related


Listed companies IR and events-	5,846	33.0	5,752	32.2	(94)	(1.6)
related, etc. business


Financial instruments disclosure-	3,354	18.9	3,472	19.4	117	3.5
related


Database-related	515	2.9	516	2.9	１	0.1

Decrease of 96 million yen due to change in accounting method for recording sales of annual membership fees

Revenue by Product Area Listed Companies Disclosure-Related

	147Million yen
（Unit：Millions yen）	(1.8%)	Impact of the electronic provision of
	convocation notices

Sales remained at the same level as the same period last year

6,946 7,218

7,640 8,0018,148

March 2023 Introduction of the system for the electronic provision decreased the number of printed pages.

the shift to electronic provision has been more gradual than expected, an increase

in the number of printed copies, accompanying the increase in the number of individual shareholders, the promotion of orders for new services in response to the introduction of the new system

Positive factors

Orders increased for finance-related products
- Financing increased against the backdrop of robust stock markets
Orders increased in outsourcing services for the preparation of disclosure documents

21/3 2Q

22/3 2Q

23/3 2Q

24/3 2Q

25/3 2Q

With persisting high demands for operational streamlining in line with work-style reform

Major factors

	Revenue	Order volume	Market share	Prices

Shareholders' meeting-related	Convocation notices for shareholders'
meetings/printing of resolution notices, etc.

Account settlement-related	Securities reports/earnings reports
Systems-related

IPO/finance-related	Registration documents and prospectuses

● Revenue by Product Area Listed Companies IR and events-Related, etc.

Down

94Million yen

（Unit：Millions yen）	(1.6%)

Positive factors

4,080

3,616

5,8465,752

4,424

Orders increased for web services,English translation services etc.
Increasing need to promote dialogue with shareholders and investors
Simultaneous disclosure in Japanese and English required for Prime listed

companies

Negative Factors

 Revenue from business reports for shareholders decreased as the number

					of companies preparing such reports has declined.
					 The accounting for the annual fees for the practical information provision
					services for our client companies was changed from recording a lump sum
					at the beginning of the fiscal year previously to recording monthly
					installments. The sales decreased by 96 million yen year on year.
21/3 2Q	22/3 2Q	23/3 2Q	24/3 2Q	25/3 2Q
（no impact on the performance for the full year as a result of this change)

		Major factors
Revenue
Order volume	Market share	Prices

Business reports

Online IR services

English-language IR tools

Visuals and operational support for shareholders' meetings

Revenue by Product Area Financial Instruments Disclosure-Related

				117Million yen
（Unit：Million yen）			(3.5%)
3,283	3,566	3,440	3,354	3,472

Positive factors

Orders increased for promotion tools, mainly for salescompany websites

The backdrop of the increase in the number of individual investors following the introduction of
the new NISA (Nippon Individual Savings Account) scheme.

Negative Factors

Sales of real estate investment trust-related products decreased.

21/3 2Q

22/3 2Q

23/3 2Q

24/3 2Q

25/3 2Q

		Major factors
Revenue
Order volume	Market share	Prices

Domestic investment trust management company-related

J-REIT listed investment trust-related

Foreign investment trust management company-related

Foreign company-related

● Revenue by Product Area Database-Related

			1Million yen
（Unit：Million yen）				(0.1%)

545	534	514	515	516	Positive factors

 Increased unit prices mainly from universities, who are the main customers, and acquire orders from new customers

Negative Factors

 Reduced unit prices when renewing contracts with some existing customers.

21/3 2Q

22/3 2Q

23/3 2Q

24/3 2Q

25/3 2Q

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