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Respond , Exceed WDB WDB Holdings Co. , Ltd. FY2026 1Q Financial Report ~ New Business Strategy ~
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2 Company Overview （Aug, 2026） ※The number of employees is calculated on a different base from that in the financial report. Company Name WDB Holdings Co., Ltd. Incorporation July 6,1985 Capital ¥1 billion Stock Listing Prime Market of Tokyo Stock Exchange (Code 2475) President and CEO Toshimitsu Nakano Head Office 101 Edomachi, Chuo-ku, Kobe-shi, Hyogo Number of Employees 993 (temporary staff and others / 10,072） Sales ¥50.3 billion（FY2025） Ordinary Income ¥4.5 billion（FY2025） Business Domain ・Human Resources Business ・CRO business ・Platform and Other Business
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3 Group Companies（Aug, 2026）
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4 Corporate Value Office clerk staffing Science area staffing Technical training R&D and Manufacture Expanded into R&D and manufacturing (※Withdrew in FY2021) Started science and research area staffing CRO Started in-house staff training Platform doconico 1985 1997 2005 202120102008 2016 2025 Entered the platform business Entered CRO market (Expanded overseas in 2015) History and Business Expansion DOCO1 Started staffing services through the platform
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5 Sales and Profit Composition (FY2025) Profit compositionSales composition
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6 Sales and profits are generally growing for the past 10 years. In addition, although ordinary income has not shown significant growth since the FY 2022, this is primarily due to our ongoing investments in areas such as increased compensation for temporary staff and the development of our platform, aimed at ensuring continued growth over the long term. Financial Results & Forecast (Consolidated)
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Human Resources Business
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8 Sales Breakdown of Staffing Business（FY2025） Our staffing business is mainly focusing on the science and research field. This field accounts for approx. 80% of the revenue of our staffing business.
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9 Market Share of Science and Research Field Staffing Our company accounts for approx. 1/3 of the science-related temporary staffing market (110 billion yen) . This makes us the Market leader. WDBG 30% Others 70%
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10 Science and Research Field Staffing We dispatch scientific researchers, research assistants, and technicians in the science and research related fields. ・ Knowledge/skills in genetics ・ Knowledge/skills in animal anatomy ・ PCR testing capabilities ・ Experience in chemical analysis, etc. ・ Research assistance in laboratories (Universities, research institution as well as private sector) ・ Quality control work for factory Staff and talent Staffing requests
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11 Observation with a microscope Reagent concentration by evaporator Component analysis by HPLC Images of Operations Reagent injection by pipette
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12 ・Nitto Denko Corp. ・Mitsubishi Chemical Corp. etc. Kyowa Kirin Co.,Ltd. etc.Mitsubishi Electric Corp. etc. Ajinomoto Co., Inc. etc. ・Tokyo Univ. ・Kyoto Univ. ・Osaka Univ. etc. ・RIKEN ・AIST etc. Sales Composition Ratio by Industry Segment (FY2025) We have business with most major chemicals manufacturers, pharmaceuticals, food manufacturers, public laboratories, and universities.
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13 Our Strengths 1. We provide necessary skills and techniques for our staff at our in-house training centers nationwide. 2. We attract good staff because of our name value in the science field. 3. We deal with both registration type and full-time employee type. This is advantageous compared to one type only staffing companies. In addition to these factors, we aim to become a staffing agency of choice for a broader range of candidates by offering industry-leading compensation to temporary staff. Three elements to source high-quality staff
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14 Our Strengths 1. Best Matching With many years of experience in the sciences field, we understand our clients’ work requirements well. For candidates, we conduct a one-day skills test to understand their abilities accurately. Using this information and our own methods, we match candidates with the best possible jobs. 2. Maintaining Satisfaction During Employment We have regular meetings with clients and temporary staff, and we have a system to discuss any issues anytime. This lets us solve problems quickly during employment. We also pay high-performing temporary staff well according to their work quality, keeping them satisfied. 3. Providing Services Through the Platform We provide temporary staffing services through our proprietary system (details below). How we keep high level of satisfaction for customer and staff both
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15 What is “Platform” We call the mechanism which enhances the convenience and visualization of services that used to be done manually as a "platform“. The basic development concept is that “the platform will streamline, automate, and visualize operations, and customers will be able to receive our services 24/7, and will be able to check the progress of services in real time.“ Our human resources service platform “doconico” was released in April 2021, and “DOCO1” followed in May 2025. Both platforms are currently in active operation and have been continuously improved since their release. We also released a platform for CRO services and started operation during FY2023.
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16 Staffing Service Using “doconico” Before doconico ・AI chat for ordering & needs hearing ※Online interview available upon request ・Order via call/email ・In-person or phone interview ・Progress checked via call/email ・Approval and faxing of paper timesheets ・Paper contracts & invoices ・Monthly visit to monitor staff performance and client satisfaction Most of the staffing services procedures that were previously provided through our staff, can now be provided online. Staffing request Matching Labor management/ Contract/Billing Evaluation of temporary staff After doconico ・Real-time progress tracking on the platform ・Approval of digital timesheets anytime, anywhere ・Digital contracts & invoices ・Monthly visit + daily evaluation & feedback on platform
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17 Staffing Platform “doconico”＆“DOCO1” Enabling to complete requests, procedures, and management of staffing personnel on the Web. Various labor procedures and documents can be made paperless and efficient, as well as dispatched staff information can be centrally managed. Information sharing between related parties will be smoother, and improve business efficiency. “doconico” is our staffing management system designed for clients using our staffing services. To address client needs to also manage staff dispatched from other agencies, we launched “DOCO1” in May 2025, enabling centralized management across multiple staffing vendors. “DOCO1” allows users to manage all communication with different staffing agencies online. It also enables simultaneous job order dispatch to multiple agencies, while centralized visibility into each worker’s contract, time records, and billing status.
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CRO Business
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19 What is CRO CRO (Contract Research Organization) is a company that supports the drug development of pharmaceutical manufacturers. It takes 10 to 20 years and 100 billion yen for a pharmaceutical manufacturer to develop a new drug. For this reason, pharmaceutical manufacturers place orders for various ancillary tasks related to drug development to CROs so that researchers can concentrate on their research. We will explain specifically what kind of work the CRO will undertake on the next page.
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20 Investigate substances that can be used as medicines and research how to make them. Examine efficacy and safety (toxicity). Conduct experiments on cells and animals. Test on humans. Collect target patients, explain to them if they would cooperate with the test, and collect data. Create documents and apply for permission to manufacture and sell. After marketing, confirm whether there are any side effects not found in clinical trials and report them to the government agency. Basic research 2～3 years Non-clinical studies 3～5 years Clinical studies 3～7 years Approval application 1～2 years Post-market surveillance Indefinite period C R O ‘ s s ⅽ o p e Flow of New Drug Development
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21 2006 2009 201920112010 2015 2024 Clinical trial dispatch Commencement of consignment Entry into CRO Acquisition expansion Overseas expansion Listed as CRO Platform Dispatched to the clinical trial department of a pharmaceutical manufacturer Started contract service instead of dispatch Established WDB Medical (currently WDB coco) and entered the CRO business Acquired ICO and Densuke Systems (now WDB coco) Expanded into the US and Europe through acquisitions WDB coco listed Develop a platform and digitize CRO services History of WDBG CRO BusinessCorporate Value
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22 ・Pharmacovigilance ・Document support ・Data management ・Statistical analysis ・Clinical research support ・Regulatory affairs Japan Europe ・Regulatory affairs ・Clinical trial ・Data management ・Statistical analysis ・Pharmacovigilance WDB coco Cobridge Medfiles Regions and Contents of Business Development
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FY2026 1Q Result
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24 Summary (Consolidated) +0.1% +1.1% +0.7% +55.9% ＋0.6% -1.3% -1.1% -11.1% -20.4% Sales : Sales decreased by 1.3% YoY due to lower sales in the CRO business. Gross Margin : Gross margin decreased by 1.1% YoY due to lower profitability in the CRO business. Ordinary Income : Ordinary income decreased by 11.1% YoY due to a decline in gross margin and the recognition of depreciation expenses for the new head office building. Net Income : Net income decreased by 20.4% YoY due to a decrease in ordinary income and the recognition of a loss on retirement of non-current assets. (millions of yen)
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25 Segment Performance (Human Resources Business) YoY +0.8％ YoY +0.5％ Sales : Sales increased by 0.8% YoY due to an increase in temporary staffing fees. Operating Income : Operating income increased by 0.5% YoY due to the offset of increased in SG&A expenses, while increasing compensation for temporary staff. ■ Sales （millions of yen） ■ Operating Income / Operating Income ratio （millions of yen）
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26 Segment Performance (CRO Business) YoY -13.8％ YoY -15.6％ Sales : Sales decreased by 13.8% YoY due to lower domestic order volume and the divesture of unprofitable overseas business. Operating Income : Operating income decreased by 15.6% YoY because we retained the workforce responsible for domestic contract operations in anticipation of future orders. ■ Sales （millions of yen） ■ Operating Income / Operating Income ratio （millions of yen）
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27 Consolidated Financial Statements (Sales) ✓ Sales decreased by 170 million yen YoY to 12,803 million yen (-1.3%). (millions of yen) YoY -1.3% Forecast 51,439
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28 Consolidated Financial Statements (Gross Margin / Gross Margin Ratio) ✓ Gross margin decreased by 34 million yen YoY to 2,998 million yen (-1.1%). ✓ Gross margin ratio remained unchanged YoY at 23.4%. (millions of yen) YoY -1.1% Forecast 12,178
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29 Consolidated Financial Statements (Ordinary Income / Ordinary Income Ratio) ✓ Ordinary income decreased 147 million yen YoY to 1,190 million yen (-11.1%). ✓ Ordinary income ratio decreased by 1.0 point YoY to 9.3%. (millions of yen) YoY -11.1% Forecast 4,663
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30 Consolidated Financial Statements (Net Income / Net Income Ratio) ✓ Net income decreased by 175 million yen YoY to 684 million yen (-20.4%). ✓ Net income ratio decreased by 1.3 point YoY to 5.4%. (millions of yen) YoY -20.4% Forecast 2,772
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31 Situation and Actions Taken Human resources ・In April 2026, we raised temporary staffing fees and compensation for temporary staff. ・By strengthening sales and selection systems, we worked to improve our acceptance rate and reduce the turnover rate. ・In the area of permanent-type temporary staffing, we worked to strengthen our recruitment capabilities by localized recruitment of new graduates and utilizing social network for recruiting activities. ・The number of implementations for the centralized staffing operations management platform “DOCO1” increased steadily. ・We strengthened sales activities to increase orders. ・We advanced initiatives to improve the quality of contracted operations. ・We promoted the use of in-house developed tools and AI to automate and standardize processes. CRO
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32 FY2026 Forecast ・There are no changes to the consolidated financial forecasts and dividends for FY2026 from the those announced on May 14, 2026. ・Performance for the 1Q of the consolidated fiscal year progressed as planned.
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33 Dividend Status and Future Policy Our goal is to increase profits by enhancing corporate value and to achieve continuous dividend increases. To this end, we are striving to grow our business and achieve continuous revenue and profit growth. However, within the temporary staffing industry, our dividend payout ratio remains relatively low, and we are unable to fully meet the expectations of our shareholders. Therefore, we have decided to revise our dividend payout ratio criteria and strengthen shareholder returns. Backed by a strong financial foundation, we will balance business investments and dividends, aiming for a dividend payout ratio of 65%, and maintain a stable state where we can continue to pay dividends. As for share repurchases, our basic policy is not to conduct them, primarily due to the liquidity ratio standards set by the Tokyo Stock Exchange.
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34 Appendix: Business Performance (Consolidated)
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35 Appendix: Analysis of Operating Income Changes (Year-on-Year Comparison) ・Temporary staffing fees increased. Sales Increase ・Divestiture of unprofitable business Cost Decrease ・Decline in domestic contracted business ・Divestiture of unprofitable overseas business Sales Decrease ・Recording of depreciation for the new head office building ・Temporary costs related to office relocation SG(&)A Increase (millions of yen)
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36 Appendix: Business Performance (Consolidated, Quarterly)
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37 Appendix: Business Performance （By Segment)
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38 Appendix: Business Performance （By Segment , Quarterly)
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39 Disclaimer The purpose of this material is to provide information about business performance. It is not intended to solicit investment in our stock. The predictions given in this material are judgments at the time the material was created. Forecasts are subject to change without notice. ＜Contact information＞ Corporate Planning Department WDB Holdings Co., Ltd. https://www.wdb-g.com/system/wdbhd/eng/contact/index.html