Zenrin Co., Ltd.TSE: 9474

Results for the First Quarter of Fiscal 2025

· Issued by Zenrin Co., Ltd.

*Disclaimer:

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

Securities Code: 9474

Result for the First Quarter of

Fiscal 2025

(Year Ended March 31, 2025)

July 30, 2024

*Note:

Thisdocumentcontainsforward-lookingstatementsbasedonassumptions,forecastsandplansin lightofinformationavailabletoZENRIN Co.,Ltd. asofthe preparation date of this document. Actual performance may vary significantly from the forecast figures due to various risks and uncertainties owing to globaleconomictrends,marketdemand,statusofcompetition,exchangefluctuationsandotherfactors.

The information thatappears in this document rounds down fractions to the nearest specified unit androunds off decimals in the percentage of change to thefirstdecimalplace.

Inaddition,caseswherethepercentageofchangeexceeds 1000%andcaseswhereoneorbothoftheitemsofcomparisonarenegativeareshownas "-."

Results for 1Q of FY25

Table of Contents

Ⅰ . Overview of Results for

the First Quarter of Fiscal 2025

  1. Overview of Results
  2. Changes in Net Sales, Income and Profit
  3. Sales by business
  4. Causes for Change in Operating Income [Sales / Cost]
  5. Amount of Capital Investment, Depreciation and R&D Cost

©

ZENRIN CO., LTD. All Rights Reserved.

1

Results for

Ⅰ . Overview of Results for the First Quarter of Fiscal 2025

1. Overview of Results

1Q of FY25

Key Points of Results for

Increase in Sales and profit

the 1Q of FY2５

Sales

Result

  • Net Sales increased for 4 consecutive periods due to higher sales of data for in-car navigation systems in the automotive-related business and steady sales of API services in the IoT-related business.

Expenses

・

Profit and loss

  • Operating income increased for the first time in 3 due to a change in the composition of sales, despite an increase in personnel expenses due to the impact of a base salary increase and other factors.
  • Note: It shouldbe noted that while fixed costs such as the expenses for developing map databases are incurred throughout theyear, expenses generally precede net sales due to drastic seasonal fluctuations in whichnet sales tend to be concentratedin the fourthquarter.

(Amounts in million yen)

FY24 1Q

FY25 1Q

Compared to FY24 1Q

Actual

Actual

% of Change

Net Sales

12,793

14,130

+1,336

+10.4%

Operating

14,137

14,404

+266

+1.9%

Expenses

Operating Income

-1,344

-274

+1,069

-

Operating Margin

-10.5%

-1.9%

+8.6pt

-

Ordinary Income

-1,378

-255

+1,123

-

Profit Attributable to

-989

9

+999

-

Owners of Parent

ExtraordinaryIncomefromgain onsaleofsubsidiaryshares （WillSmartCo.,Ltd.）

©

ZENRIN CO., LTD. All Rights Reserved.

2

Results for

Ⅰ . Overview of Results for the First Quarter of Fiscal 2025

2. Changes in Net Sales, Income and Profit

1Q of FY25

(Amounts in million yen)

14,130

9

14,000

12,588

11,312

12,243

12,254

12,793

634-

1,130-

413-

923-

1,344-

274-

390-

1,016-

346-

806-

1,378-

255-

640-

621-

298-

536-

989-

12,000

0

-1,000

10,000

-2,000

20/6

22/6

23/6

24/6

20/6

22/6

23/6

24/6

19/6

20/6

21/6

22/6

23/6

24/6

19/6

20/6

21/6

22/6

23/6

24/6

19/6

21/6

19/6

21/6

Net Sales

Operating Income

Ordinary Income

Profit Attributable to

Owners of Parent

Compared to

+1,336

+1,069

+1,123

+999

1Q of FY24

(+10.4%)

(-)

(-)

(-)

(% of Changes)

Increase in sales

Increase in income and profit

for 4 consecutive periods

for the first time in 3 periods

*the "Accounting Standard for Revenue Recognition" (ASBJ Statement No. 29, March 31, 2020), etc. have been applied from the beginning of the first quarter of fiscal 2022.

*Regarding figures for the previous fiscal year (fiscal 2021) and earlier, the increase (decrease) and rates (%) are reference values because the Accounting Standard for Revenue Recognition, etc. are not applied retrospectively (same as the next page and after).

©

ZENRIN CO., LTD. All Rights Reserved.

3

Results for

Ⅰ．Overview of Results for the First Quarter of Fiscal 2025

3. Sales by business

1Q of FY25

(Amounts in billion yen)

14.1

12.7

3.4

Compared to

Business overview of FY25 1Q

FY24 1Q

(% of change)

+1.3

ー

TOTAL

(+10.4%)

⚫ Stock-type "GIS Package Series" performed well.

Product

＋0

⚫ Entrusted services decreased from the previous fiscal

Business

(＋2.7%)

year.

3.3

1.2

1.2 1.6

-0

⚫

Slight decrease due to a reactionary decline in entrusted

Public solution

services in the previous fiscal year.

Business

(-1.0%)

⚫

Steady growth in sales of residential map data

1.6

3.0

3.4

3.3

4.3

Marketingsolution

+0

⚫ "Selection services," an outsourced option for "RakuRaku

Business

(+1.2%)

sales promotion map" performed well.

＋0.2

⚫ "ZENRIN Maps API" performed well.

IoT

⚫ Negative impact due to exclusion of subsidiaries from

Business

(＋9.6%)

consolidation.

+0.9

⚫ Sales of data for in-car navigation systems increased.

Automotive

Business

(+27.7%)

(Including under-reported quantities from previous years).

FY24 1Q

FY25 1Q

©

ZENRIN CO., LTD. All Rights Reserved.

4

Ⅰ．Overview of Results for the First Quarter of Fiscal 2025

Results for

1Q of FY25 4. Causes for Change in Operating Income [Sales / Cost]

(Amounts in billion yen) Operating Income (compared to 1Q of FY24)

0

-10

-20

+1.0 billion yen

Map database development costs related to higher-precisionlocation informationwill continueat the same level as in the previousfiscal year.

Cost of sales

Personnel

expenses

-2

Increasein sales due to

Development

Other

price revisions

Impact of a base

expenses of

expenses

map databases

salary increase

-13

Increase in revenue mainly

from high-margin products

such as sales of data for in-car

navigation systems and APIs

Details on previous page

Operating

Changes in Sales

Changes in Operating Expenses

Operating

Income

(compared to 1Q of FY24)

(compared to 1Q of FY24)

Income

1Q of FY24

+ 1.3

+ 0.2

1Q of FY25

billion yen

billion yen

©

ZENRIN CO., LTD. All Rights Reserved.

5

Ⅰ．Overview of Results for the First Quarter of Fiscal 2025

Results for

1Q of FY25 5. Amount of Capital Investment, Depreciation and R&D Cost

Total

Amount of Capital Investment

R & D Cost

Intangibleleasedassets

(Amounts in million yen)

(Amounts in million yen)

Tangibleleasedassets

Intangibleassets

• Development of MaaS services

Property,plantand equipment

400

• AI image recognition technology, etc.

1,127

1,053

1,115

1,091

1,200

1

1,032

18

43

7

7

15

300

871

38

800

58

200

988

913

964

916

370

974

279

740

272

400

100

213

183

152

72

94

33

183

60

159

19/6

20/6

21/6

22/6

23/6

24/6

19/6

20/6

21/6

22/6

23/6

24/6

Total

Intangibleleasedassets

Tangibleleasedassets

Intangibleassets

Property,plantand equipment

Depreciation

(Amounts in million yen)

1,600 1,366 1,313

5 6

1,200 107 98

1,260 1,233

5 4

78 74

1,357

1,323

2

1

80

78

800

400

1,122 1,074 1,047 1,027 1,101 1,127

130

133

128

127

142

146

19/6

20/6

21/6

22/6

23/6

24/6

©

ZENRIN CO., LTD. All Rights Reserved.

6

Results for

Table of Contents

1Q of FY25

  • Appendix

【Earnings Forecast for Fiscal 2025】

  1. Earnings Forecast for Fiscal 2025
  2. Changes in Net Sales, Income and Profit

3-1. Assumptions for Earnings Forecasts [Sales by business] 3-2. Assumptions for Earnings Forecasts [Sales / Costs]

  1. Changes in Quarterly Sales by business
  2. Sales-increasingEffect of Price Revisions
  3. Changes in Composition of Net Sales by Quarter

【Other supplementary information】

7. Trends of Quarterly Sales and Operating Income

©

ZENRIN CO., LTD. All Rights Reserved.

7

Results for 1Q of FY25

Appendix: Earnings Forecast for Fiscal 2025

1. Earnings Forecast for Fiscal 2025

Reprinted from

"Briefing on Results for Fiscal 2024"

Sales Result

  • Net sales will increase due to growth in stock-type business, such as GIS package, and price revisions.
  • Automotive-relatedsales will remain firm on the back of recovery in automobile production.

Expenses

・

Profit and loss

  • Operating income is expected to increase as the effect of increase in net sales will outweigh the expected increase in costs and expenses, such as increase in personnel expenses resulted from an increase in base salary and increase in cost of sales related to increase in net sales.

(Amounts in million yen)

(1) FY23

(2) FY24

(3) FY25

Compare to FY24 (3)-(2)

Actual

Actual

Forecast

% of Change

Net Sales

58,933

61,335

64,300

+2,964

+4.8%

Record high

Operating Expenses

57,134

59,353

60,700

+1,346

+2.3%

Operating Income

1,799

1,981

3,600

+1,618

+81.7%

Operating Margin

3.1%

3.2%

5.6%

+2.4pt

―

Ordinary Income

2,104

2,060

3,700

+1,639

+79.6%

Profit Attributable to

2,770

2,078

2,500

+421

+20.3%

Owners of Parent

Extraordinaryincomefromgain on

Extraordinaryincomefromgain

salesof investmentsecuritiesand

on salesof investmentsecurities

gain on salesof non-current assets

ROE

5.9%

4.4%

5.0%

+0.6pt

―

(Return On Equity)

©

ZENRIN CO., LTD. All Rights Reserved.

8

Results for 1Q of FY25

Appendix: Earnings Forecast for Fiscal 2025

2. Changes in Net Sales, Income and Profit

Reprinted from

"Briefing on Results for Fiscal 2024"

(Amounts in million yen)

63,747

60,000

50,000

40,000

FY19

59,771

57,225

59,053

58,933

61,335

64,300

Actual

Forecast

FY20

FY21

FY22

FY23

FY24

FY25

6,000

4,000

2,000

0

5,824

3,300

1,436

2,670

1,799

Actual 1,981

3,600

Forecast

FY19

FY20

FY21

FY22

FY23

FY24

FY25

6,200

3,709

3,044

3,700

1,683

2,104

2,060

Actual

Forecast

FY19

FY20

FY21

FY22

FY23

FY24

FY25

3,206

2,633

3,658

2,770

2,078

2,500

1,248

Forecast

Actual

FY19

FY20

FY21

FY22

FY23

FY24

FY25

Compared

to FY24

(% of

Changes)

Net Sales

Operating Income Ordinary Income

Profit Attributable to

Owners of Parent

+2,964

+1,618

+1,639

+421

(+4.8%)

(+81.7%)

(+79.6%)

(+20.3%)

Increase in sales

Increase in income

Increase in income and profit

for 2 consecutive fiscal years

for 2 consecutive fiscal years

for the first time in 3 fiscal years

*the "Accounting Standard for Revenue Recognition" (ASBJ Statement No. 29, March 31, 2020), etc. have been applied from the beginning of the first quarter of fiscal 2022.

*Regarding figures for the previous fiscal year (fiscal 2021) and earlier, the increase (decrease) and rates (%) are reference values because the Accounting Standard for Revenue Recognition, etc. are not applied retrospectively (same as the next page and after).

©

ZENRIN CO., LTD. All Rights Reserved.

9