Slides
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Presentation Materials for FY2027 / 3 Q1 August 12 , 2026 COVER
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2 Together, Let's Create Culture Loved by All. We are continuing to build a platform to bring together unique and diverse content creators. With the latest technology, users are exposed to new, exciting, high-quality experiences every single day. We bring about the best 2D entertainment loved by all, regardless of age, gender, and nationality. To bring all this to fruition, we continue to challenge the norm.
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Financial Results for FY2027/3 Q1 01
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Q1 Results for FY2027/3 and Future Management Policies © COVER 4 Business progress Overview of Business Performance In FY2027/3 Q1, results are as follows; revenue 8,825 million yen (-8.3% YoY), gross profit 4,493 million yen (-8.4% YoY), contribution margin 3,956 million yen (-4.7% YoY), operating profit 651 million yen (-33.0% YoY), and net profit 415 million yen (-40.1% YoY) Streaming and Merchandising sales fell below the same period of the previous year, reflecting changes in talent composition and in the community environment, differences in the launch schedule and product mix of new trading card game products, and stockouts and limited product assortment that arose during the transition of manufacturing and sales operations for e-commerce products Concerts/Events service grew significantly, up 109.6% YoY, driven by multiple events held during the quarter and asset-based revenue from past events. Licensing/Collaborations also performed steadily, with our multifaceted business development underpinning overall results Launched the next-generation talent development project "mekPark," with UNIT B (Pre-Debut) and ACHRORA starting unit activities, strengthening the foundation for new talent creation to generate mid-to-long-term talent value Advanced multifaceted business development, including the opening of the official store in Harajuku, maintaining momentum through the release of new trading card game products, and expanding overseas tie-up and PR projects Simultaneously released the Company’s first smartphone game, "hololive Dreams," worldwide on July 23. Prior to the release, pre-registrations reached 1 million during Q1 through various campaigns and PR, making progress in creating new fan touchpoints through the gaming domain Current status of strengthening growth foundations and Structural Reforms Launched a new structure following organizational reorganization on April 1, accelerating decision-making and clarifying accountability frameworks across each business domain Enhanced internal operational frameworks to strengthen talent support and relations, supporting growth driven by talent value creation Initiated a project evaluation process based on strategic fit and economic rationality to advance the continuous review of the business portfolio Decided to terminate the "Holoearth" service, integrating accumulated technology and expertise into existing businesses while clarifying the reallocation of management resources toward priority areas
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Financial Highlights ｜ Summary for FY2027/3 Q1 © COVER 5 In Q1, the Concerts/Events and Licensing/Collaborations services supported earnings, offsetting the impact of graduated talents compared to the prior fiscal year Revenue Decline in Streaming/Content & MD: Sales in these services entered a short-term adjustment phase following the lapse of revenue contributions from talents who graduated in prior fiscal years. Meanwhile, streaming and EC traffic for existing talents trended toward recovery Strong Performance in Other Businesses: Concerts/Events expanded significantly, up +109.6% YoY. Licensing/Collaborations also performed solidly, with multifaceted business development contributing to the stabilization of earnings Solid Contribution Margin Ratio: Driven by contributions from high- margin services such as Licensing, the overall contribution margin ratio improved to 44.8% (compared to 43.1% in the same period of the previous fiscal year) Initiatives heading into Q2 Streaming/Content: Aim to funnel back new users through campaigns tied to the release of the major smartphone game "hololive Dreams," alongside summer initiatives and the launch of UNIT B (Pre- Debut) and ACHRORA. Furthermore, create large-scale touchpoints through media-mix content to reactivate temporarily dormant users and cultivate new fan bases Concerts/Events: Strive to expand brand exposure by hosting multiple events overseas, in addition to "hololive English 4th Concert -Serendipity-” and Momosuzu Nene 1st Live “Hanasaku * Nenenenenenenene Chokaika!” Merchandising: Focus on merchandise sales tied to summer initiatives, expand overseas sales of the trading card game, and enhance customer attraction and store experiences at official physical stores Licensing/Collaborations: Target the expansion of revenue related to "hololive Dreams" and drive growth in overseas licensing and collaboration revenue, centered on Asia and North America FY2026/3 Q1 FY2027/3 Q1 YoY First-half Earnings Forecast (Progress rate) Revenue 9,629 8,825 -8.3% 22,270 (39.6%) Streaming/Content 2,175 2,092 -3.8% - Concerts/Events 433 908 +109.6% - Merchandising 5,838 4,546 -22.1% - Licensing/Collaborations 1,182 1,279 +8.2% - Gross Profit 4,907 4,493 -8.4% - Reference: Contribution Margin 4,152 3,956 -4.7% 9,511 (41.6%) Operating Profit 972 651 -33.0% 1,930 (33.8%) Net Profit 693 415 -40.1% 1,350 (30.8%) Unit: MM JPY
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51.8% 53.9% 49.9% 47.2% 51.0% 46.7% 54.1% 40.5% 50.9% © COVER 6 Historical Trends in Revenue and Gross Profit Streaming and EC sales entered a short-term adjustment phase, reflecting the lapse of revenue contributions from talents who graduated compared to prior fiscal years While revenue decreased, the gross profit margin remained at the same level as the same period of the previous fiscal year, supported by the rebound from temporary inventory clearance and the maintenance of operational efficiency 3,325 5,757 5,862 6,859 4,907 5,666 6,999 5,934 4,493 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 FY2025/3 FY2026/3 FY2027/3 5,916 8,397 8,844 7,964 8,559 7,979 7,512 6,758 6,053 2,034 2,184 2,504 2,599 2,175 2,299 2,504 2,158 2,092 349 1,144 2,328 3,971 433 1,922 2,024 4,867 908 2,931 5,879 5,448 6,280 5,838 5,839 6,639 5,429 4,546 1,100 1,480 1,476 1,687 1,182 2,062 1,759 2,193 1,279 6,416 10,688 11,758 14,538 9,629 12,124 12,927 14,648 8,825 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 FY2025/3 FY2026/3 FY2027/3 Historical Trends in Revenue and Advanced Received Unit: MM JPY Streaming/Content Concerts/Events Advanced receivedMerchandising Licensing/Collaborations Historical Trends in Gross Profit and Gross Profit Margin Unit: MM JPY Gross Profit Gross Profit Margin
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Historical Trends in Cost of Sales and SG&A Expenses © COVER 7 In cost of sales, manufacturing cost levels improved, due to the absence of the inventory clearance recorded in Q4 In SG&A expense, while personnel and office facility expenses increased due to headcount growth and price inflation, total SG&A expenses decreased both YoY and QoQ. This reduction was driven by decreases in variable costs, such as warehouse SG&A expenses resulting from lower MD revenue, alongside the optimal allocation of internal resources 48.2% 46.1% 50.1% 52.8% 49.0% 53.3% 45.9% 59.5% 49.1% 38.8% 30.1% 31.4% 30.3% 40.9% 32.8% 34.3% 28.0% 43.5% 993 1,497 1,570 1,669 1,330 1,453 1,582 1,522 1,283 339 500 485 450 584 665 554 458 435 62 516 1,280 2,128 107 778 564 2,445 310 734 1,228 1,476 2,067 1,638 2,476 2,096 3,204 1,280 961 1,188 1,082 1,361 1,061 1,084 1,130 1,083 1,022 3,091 4,930 5,895 7,679 4,722 6,457 5,928 8,714 4,332 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 FY2025/3 FY2026/3 FY2027/3 894 1,020 1,114 1,383 1,259 1,356 1,274 1,372 1,349 384 387 437 475 510 519 542 543 597 570 1,067 930 1,157 892 727 998 756 535 419 443 735 721 766 818 837 832 817 221 301 472 664 506 550 786 597 542 2,490 3,219 3,691 4,401 3,935 3,972 4,439 4,103 3,841 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 FY2025/3 FY2026/3 FY2027/3 Personnel expenses Office equipment expenses Outsourcing expenses Other SG&A expenses Warehouse SG&A expenses* SG&A ratio Historical Trends in Cost of Sales and Cost of Sales Ratio Unit: MM JPY Historical Trends in SG&A Expenses and SG&A Ratio Unit: MM JPY Performer remuneration Outsourcing expenses Merchandising costs Other cost of sales Event expenses Cost of sales Ratio * Including SG&A cost related to EC such as logistics expense, sales commission, etc.
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Historical Trends in Contribution Margin and Operating Profit © COVER 8 Driven by growth in the highly profitable Licensing segment and other factors, the contribution ratio improved by +1.7pt YoY to 44.8% While the operating profit margin declined due to the impact of fixed-cost investments (such as personnel expenses) to strengthen the growth foundation and adjustments in EC revenue, the Company will translate revenue expansion from Q2 onward into profit growth, backed by a solid Contribution Margin structure 13.0% 23.7% 18.5% 16.9% 10.1% 14.0% 19.8% 12.5% 7.4% 834 2,537 2,171 2,457 972 1,693 2,559 1,831 651 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 FY2025/3 FY2026/3 FY2027/3 2,967 4,865 5,044 5,834 4,152 5,049 5,878 5,332 3,956 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 FY2025/3 FY2026/3 FY2027/3 46.2% 45.5% 42.9% 40.1% 43.1% 41.7% 45.5% 36.4% 44.8% Contribution Margin Contribution Margin Ratio Historical Trends in Contribution Margin and Contribution Margin Ratio Unit: MM JPY Historical Trends in Operating Profit and Operating Profit Margin Unit: MM JPY Operating Profit Operating Profit Margin
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Current Status of Business Development by Service 02
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Business Development by Service ｜ Streaming/Content © COVER Against the backdrop of changes in the talent lineup and community environment, streaming-related metrics—primarily centered on short-form videos—showed a softening trend. However, the progress of diverse streaming activities by affiliated talents and the rise of emerging talents underpinned resilient performance In addition, the next-generation talent development project "mekPark" was launched, with two units—UNIT B (Pre-Debut) and ACHRORA—commencing their activities 2,034 2,184 2,504 2,599 2,175 2,299 2,504 2,158 2,092 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 FY2025/3 FY2026/3 FY2027/3 hololive Utauma Grand Prix Views: 1.25 million Peak Concurrent Viewers: 128,000 Launch of Next-Generation Talent Development Project "mekPark" UNIT B (Pre-Debut): Commenced activities on May 22, 2026 ACHRORA: Commenced activities on June 26, 2026 Historical Trends in Streaming/Content Unit: MM JPY 10
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Business Development by Service ｜ Concerts/Events © COVER 349 1,144 2,328 3,971 433 1,922 2,024 4,867 908 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 FY2025/3 FY2026/3 FY2027/3 Secret Society holoX Live 2026 "First MISSION" Date: April 29, 2026 Venue: Pia Arena MM First offline concert for “Secret Society holoX” Shishiro Hai -Offline- Dates: April 11–12, 2026 Venue: Yokohama BUNTAI Major esports event featuring professional players The 4th edition, held offline for the first time Historical Trends in Concerts/Events Unit: MM JPY While the number of events held during Q1 is typically lower due given the concentration of large-scale events in Q4, performance expanded YoY in the current fiscal year through the execution of multiple large-scale offline initiatives leveraging the individuality of talents Asset-type revenue, such as sales of video products related to past live concerts, also contributed to revenue 11
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2,931 5,879 5,448 6,280 3,868 4,162 4,752 3,918 3,098 1,970 1,677 1,887 1,511 1,448 2,931 5,879 5,448 6,280 5,838 5,839 6,639 5,429 4,546 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 FY2025/3 FY2026/3 FY2027/3 Business Development by Service｜ Merchandising © COVER Commenced operations of the official Harajuku store, driving the maximization of omni-channel Gross Merchandise Value (GMV) EC sales entered an adjustment phase due to the lapse of product sales related to graduated talents, as well as differences in sales schedules and product mix for new trading card game products. Additionally, the Company recognized opportunity losses resulting from stockouts and limited product availability during the transition process of manufacturing and sales operations in EC, and will work toward future improvements Commencement of Operations of Official Harajuku Store hololive production official shop in Harajuku Located inside "Omokado," Tokyu Plaza Omotesando Opening Date: April 24, 2026 hololive OFFICIAL CARD GAME New booster pack product "Bouncer Bound" released on June 19, 2026 While revenue decreased YoY due to differences in sales schedules and product mix, underlying momentum was maintained through the introduction of new products Historical Trends in Merchandising Unit: MM JPY TCG sales 12
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Business Development by Service ｜ Licensing/Collaborations © COVER Advanced nationwide exposure through collaboration projects with major domestic clients. Drove revenue growth through the expansion of business with overseas clients, centered on North America and East Asia 1,100 1,480 1,476 1,687 1,182 2,062 1,759 2,193 1,279 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 FY2025/3 FY2026/3 FY2027/3 "Sakura Miko POP UP SHOP" Commemorating the Opening of Kyoto TSUTAYA IP Bookstore Held a POP UP SHOP hosted at "Kyoto IP Bookstore" inside Kyoto Takashimaya S.C. for approximately three months, from April 28 to July 28, 2026 Held an "Oshi Tabi" collaboration with JR Central from April 1 to May 31, 2026, aligned with the release of the new song by "Irohanihohetto AyaFubuMi" Collaboration Projects with Major Domestic Clients Historical Trends in Licensing/Collaborations Unit: MM JPY 13
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Current Status of Strengthening Growth and Structural Reforms of Management Foundations 03
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Progress of Priority Initiatives for Strengthening Growth Foundations and Structural Reforms © COVER Positioning the current period as an investment phase aimed at strengthening the medium-to-long-term growth foundation, while steadily advancing disciplined investments and structural reforms Priority Strategic Areas Progress Creating Talent Value - Enhancing the creative environment - Strengthening talent management - New talent creation & development pipeline Launched the next-generation talent development project "mekPark," with UNIT B (Pre-Debut) and ACHRORA commencing unit activities as trainees Established a new department specialized in enhancing talent creative environments under the Talent Management Division Preparing for new talent debuts within the current fiscal year and production-wide anniversary memorial events in H2 Enhancing Fan Experience - Advancing streaming apps & expression technology - Evolving two-way communication - Maintaining a healthy community Integrated technology and expertise gained from the termination of "Holoearth" into existing businesses Advanced the development of the home-streaming system and new studio technologies, scheduled for release in H2 Strengthened legal and CS activities toward maintaining a healthy fan community Expanding Brand Touchpoints through Diversification - Media-mix development - Expanding global fan touchpoints - Optimizing sales channels & SCM Simultaneously released the smartphone game "hololive Dreams" worldwide on July 23, 2026 Introduced new trading card game products and expanded overseas rollout Expanded business with overseas clients, centered on North America and East Asia Expanded physical fan touchpoints through the commencement of official Harajuku store operations and promoted the maximization of GMV Advanced UX improvements, such as shortening delivery times on the proprietary EC store Strengthening Management Foundation to Support Growth - Reorganizing organizational & decision- making processes - Clarifying investment evaluation criteria - Improving asset & capital efficiency Commenced operations in April of a new organization designed to simplify decision-making layers and consolidate/reorganize along related business lines Continued disciplined resource allocation through a periodic review process of various projects for sustainable growth Managed capital efficiency through share buybacks 15
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Launch of New Trainee Project © COVER 16 Launched "mekPark," a next-generation talent development project Aim to build a sustainable talent portfolio by establishing a pipeline to continuously generate talents through unit- based development and evaluation Activity Start Date: May 22, 2026 YouTube Channel Subscribers: 103,000 *As of end of July 2026 Activity Start Date: June 26, 2026 YouTube Channel Subscribers: 53,600 *As of end of July 2026 Conducted 2nd Audition Application Period: June 5 – July 21, 2026
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Business Expansion of Trading Card Game (TCG) © COVER 17 Nurture the TCG as a major business foundation and physical fan touchpoint, developing media-mix initiatives linked with continuous new product releases, streaming projects, merchandise, tie-ups, and other channels Promote its position as a medium-to-long-term growth driver by strengthening expansion not only domestically, but also in overseas markets, particularly North America New!! Merchandising- Linked Song Provision Collaboration Licensed Out Original Songs Co-creation Projects
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Official Service Launch of Smartphone Game "hololive Dreams" © COVER 18 Simultaneously released worldwide on July 23 after surpassing 1.6 million pre-registrations Related performance is already trending ahead of initial projections, confirming the successful launch of the gaming domain as a highly sustainable business pillar "Oshi Tabi" collaboration campaign with JR Central to commemorate the release Promotional ad trucks operated across 10 cities in 3 countries: Japan, the U.S., and Indonesia Surpassed 1 million downloads on Day 1 and currently exceeding 2 million downloads, while earning highly favorable user reviews Ranked #1 on sales rankings across all launched app stores where the game was launched Performance Following Official Service LaunchMajor Marketing Initiatives Leading Up to Release
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Appendix
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Growth Roadmap and Current Position Toward Maximizing Corporate Value over the Medium to Long Term © COVER 20 In our growth strategy, we are currently positioned in an investment period focused on our growth foundations, aimed at achieving mid- to long-term revenue expansion Brand Expansion Phase (Quantitative Expansion) Investment Period for Strengthening Growth Foundations (Qualitative Expansion) Further Growth Acceleration and Re-growth Phase Time Profit Concentrating capital investment on talent value creation. Executing disciplined development of our growth foundations.
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Flywheel Business Model Rooted in Talent Value Creation © COVER 21 Our value creation foundation is built upon a flywheel business model with talent value creation at its core To maximize growth, it is essential to strengthen this foundation, focusing particularly on the creation of talent value Creation of Talent Value Enhancing Fans’ Experience Strengthening the Creative Environment through Investment Increasing production capacity for streaming content, music, MVs, etc. R&D in expression technologies Improving talent management Improving Experience through Community Participation Concerts Events Merchandising UGC participation Expanding Brand Touchpoints through Diversification TCG Games Comics Anime Global collaboration Media Mix
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Outlook for Intensive Capital Investment in Talent Value Creation and Profit Targets for the Current Fiscal Year © COVER 22 Breakdown of Earning Forecast for FY2027/3 (Profit Bridge) 7,056 1,856 1,298 -3,211 7,000 Optimization of Asset-Related Costs (Inventory, etc.) Associated with Structural Reforms and Business Growth • Absence of one-time expenses: A profit boost resulting from the absence of costs related to the retirement and write-down of inventory (approx. 1.8 billion yen) implemented in the previous fiscal year • Reduction of future costs: Mitigation of depreciation and amortization burdens from this fiscal year onward following the impairment of development assets such as Holoearth • Business growth: Raising the base revenue through the steady performance of existing talent and expansion in the TCG and Licensing/Collaborations sectors Intensive Capital Investment in Talent Value Creation for Sustainable Growth To strengthen the foundations supporting the sustainability of talent value, we are concentrating investments this fiscal year on constructing an ecosystem where talent can succeed over the long term. Key Investment Breakdown: • Expanding the support system by increasing the number of Talent Managers and Content Directors • Strengthening the creative production system and studio environment for the advancement of expression • Optimizing Supply Chain Management (SCM) with an eye toward global expansion • Strengthening the company-wide operation system Expected Effects: Strengthening the medium- to long-term growth foundation by reducing the workload per talent (ensuring psychological safety) and ensuring a stable supply of high - quality content Budgeting Discipline (Conservative Approach) • Budgeted conservatively at this stage regarding the contribution of the major smartphone game and the impact of new talent debuts • If these perform better than expected, they will function as upside catalysts for our business results
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Medium-term Management Target and Capital Allocation Framework © COVER 23 No significant changes to the financial goals and vision for 2030 Continuing to aim for sustainable growth with the goal of establishing a global creator economy Continuing growth accompanied by multifaceted business expansion and profitability improvement, centered on constructing a sustainable ecosystem that continues to produce top talent While maintaining targets, our policy is to flexibly optimize the achievement process based on discipline Maintaining Target Toward mid- to long-term value creation, transitioning from a "Quantitative Expansion" phase to a "Qualitative Expansion" phase that focuses on revenue quality and capital efficiency Continuously reviewing milestones and investment allocation based on the external environment Optimizing the portfolio by prioritizing a growth path based on production sustainability, predicated on talent value creation and a highly enthusiastic fan community Phase Transition Growth Investment / M&A Budget (Approx. 50 billion yen) • Investment in areas with high strategic alignment • Continuous R&D and flexible M&A Cash and Deposits on Hand / Shareholder Returns • Ensuring robust cash liquidity • Implementing flexible shareholder returns with an awareness of capital efficiency Cash at end of period Cumulative Operating Cash Flow
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Medium-term Targets (to FY2030/3) © COVER 24 Our medium-term management targets are to achieve revenue of 100 billion yen and operating profit of 25 billion yen or more in FY2030/3 Illustrative Growth Trajectory Unit: MM JPY 100,000~ 25,000~ Revenue and Gross Profit Increase business scale while improving profitability over the medium term through multifaceted product offerings and changes to sales mix, while ensuring revenue distribution to VTubers Operating Profit Emphasize investment in a wide range of growth areas, including expansion of production capacity, overseas business development, and digital content-related business development, as well as sustainable growth, and target a realistic profit level that aims to create maximum value over the medium to long term As the sales mix is expected to fluctuate in the process of promoting growth investment and diversifying profit opportunities, focus on the level of operating profit as a medium-term target Under the new management structure, structural reforms will be promoted such as personnel reassignment, business process review, and optimization of SG&A expenses, while at the same time strengthening the earnings structure Once the expansion phase of our business foundation is completed, expect room for further improvement in profitability through cost optimization and economies of scale The medium-term target is assumed to be achievable through organic growth, but strategic alliances and the utilization of external resources are not ruled out as growth options FY2025/3 FY2030/3 Revenue Operating profit 43,401 8,001
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Multi-faceted entertainment development that expands the potential of VTubers © COVER 25 Building strong bonds with fans and cultivating a passionate community through daily streaming and live events Extending talent personalities and world-views from the virtual to the physical world, adding color to fans' daily lives through merchandising and collaborations 48.1％ （YoY +15.6%） 14.6％ （YoY +25.3%） 18.7％ （YoY +18.7%） 18.5％ （YoY -2.0%） Commerce Activities via IPBuilding up Our VTuber IP and Fan Community Major Rev. Sources Major Cost Items Services Revenue Mix *1 (vs Prev. Year) Streaming / Content Merchandising Licensing / CollaborationsConcerts / Events Livestreaming through streaming platforms Live events offline / online Real / digital merchandise IP license-out and Promotional support like tie-up ads. Channel Membership*2, Super Chat *3 Tickets sales, Product sales In-house/External EC sales Royalties collected from licensees, Promotional fees from advertisers Platform Fees, Rev. share w/ VTubers Event production costs, Rev. share w/ VTubers Sales Commission, Raw Materials, Rev. share w/ VTubers Production Costs, Rev. share w/ VTubers *1 : Breakdown of FY2026/3 Revenue *2 : A system on YouTube whereby members pay a monthly fee to become channel members and receive badges, emotes, limited video d istribution and other similar privileges *3 : A system that allows viewers to pay a fee to make their chat messages stand out when livestreaming is published using Yo uTube's live chat
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0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 FY2024/3 FY2025/3 FY2026/3 FY2027/3 31.0% 25.3% 21.5% 18.5% 23.7% 16.8% 18.6% 18.0% 18.7% 10.3% 39.1% 41.4% 47.3% 48.1% 51.5% 13.1% 14.7% 13.2% 14.6% 14.5% FY2023/3 FY2024/3 FY2025/3 FY2026/3 FY2027/3 Q1 Overview of Service Mix and Product Mix 26© COVER % of Revenue by Service Segment Quarterly Sales Ratio of Each Product Streaming/Content Licensing/CollaborationsConcerts/Events Merchandising Made-to-order anniversary goods (EC) Other in-house planned goods(EC) Other in-house planned goods (retail)
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© COVER 27 * Breakdown of full-time employees Due to the termination of "Holoearth," the Company reallocated personnel involved in metaverse development, resulting in the transfer of certain personnel to other departments (other categories) Production Management 28% Concerts/Events, Media Mix 34% Creative, Technology Development 25% Back Office 13% Event Operation MD Product Planning Sales & Licensing New Business Development (including TCG, Game, etc.) Production Management VTuber Branding Planning and Developing New VTubers Talent Management Corporate Planning Administration Streaming Application & Software Development Illustration, CG, and Visual Production Organizational Structure COVER boasts an industry-leading and diverse workforce with a large number of specialized employees Company Structure* (as of June 30, 2026) Other Development Studio Content Production
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2 2 2 2 2 2 2 3 3 4 9 13 22 36 48 51 75 93 110 132 170 215 262 300 373 376 392 409 455 480 492 509 570 602 652 679 738 740 743 741 740 6 9 12 3 6 9 12 3 6 9 12 3 6 9 12 3 6 9 12 3 6 9 12 3 6 9 12 3 6 9 12 3 6 9 12 3 6 9 12 3 6 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 Historical Trends in Employees © COVER 28
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© COVER 29 FY2023/3 FY2024/3 FY2025/3 FY2026/3 FY2027/3 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Total # of YouTube ch. Subs.(10 Thousands) 6,525 7,002 7,238 7,558 7,782 8,319 8,625 8,841 9,225 9,362 9,599 9,715 9,287 9,478 9,394 9,502 9,525 # of VTubers*1 (# of VTubers with 1M+ Subs.) 68 (27) 71 (30) 71 (31) 75 (32) 75 (33) 82 (36) 86 (36) 85 (38) 89 (41) 87 (40) 91 (46) 89 (44) 86 (42) 86 (43) 85 (43) 84 (43) 79*2 (45) Revenue （MM JPY） 3,601 4,190 5,010 7,648 5,142 7,133 6,949 10,941 6,416 10,688 11,758 14,538 9,629 12,124 12,927 14,648 8,825 Streaming / Content 1,450 1,572 1,575 1,744 1,651 1,799 2,038 2,157 2,034 2,184 2,504 2,599 2,175 2,299 2,504 2,158 2,092 Concerts / Events 193 581 466 2,187 376 1,285 954 2,985 349 1,144 2,328 3,971 433 1,922 2,024 4,867 908 Merchandising 1,574 1,597 2,090 2,740 2,091 3,269 2,701 4,414 2,931 5,879 5,448 6,280 5,838 5,839 6,639 5,429 4,546 Licensing / Collaborations 382 439 878 976 1,023 778 1,254 1,383 1,100 1,480 1,476 1,687 1,182 2,062 1,759 2,193 1,279 Operating Profit （MM JPY） 361 516 856 1,682 895 1,408 1,186 2,045 834 2,537 2,171 2,457 972 1,693 2,559 1,831 651 *1 Fuwawa Abyssgard and Mococo Abyssgard, who shared a channel, were counted as one person *2 As announced in the press release dated May 26, 2026, the number of affiliated talents decreased following changes to HOLOSTA RS Reference (# of ch subs., # of VTubers, revenue and operating profit by service)
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PL Summary © COVER 30 MM JPY FY2023/3 FY2024/3 FY2025/3 FY2026/3 FY2027/3 Q1 Total Revenue 20,451 30,166 43,401 49,330 8,825 YoY Growth +49% +48% +44% +13.7% -8.3% Gross Profit 9,396 13,988 21,805 23,507 4,493 Margin 45% 46% 50% 48% 51% Operating Profit 3,417 5,536 8,001 7,056 651 Margin 16% 18% 18% 14% 7% Net Profit 2,508 4,137 5,559 3,016 415 Margin 12% 14% 13% 6% 5%
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BS Summary © COVER 31 MM JPY FY2023/3 FY2024/3 FY2025/3 FY2026/3 FY2027/3 Q1 Total Current Assets 11,740 14,798 22,872 25,108 17,918 Cash and Cash Equivalents 7,793 8,666 11,498 16,008 11,879 Total Fixed Assets 4,146 7,914 10,187 9,799 10,170 Total Assets 15,887 22,713 33,060 34,908 28,088 Total Liabilities 8,880 11,569 16,112 14,944 10,708 Total Equity 7,006 11,143 16,947 19,964 17,379
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Handling of these Materials © COVER 32 This material has been prepared by COVER Corporation (the “Company”) solely for information purpose only, and does not constitute an offer to sell or a solicitation of an offer to buy any securities of the Company in the United States, Japan or any other jurisdictions. Any information contained in this material other than facts in the past and at present is referred to as such forward-looking statements. Forward-looking statements include but are not limited to expressions such as “believe”, “strive to", “anticipate”, “predict", “expect", “confirm", “continue", “try", “estimate“, “forecast“ “to take measures to", “hope”, “intend", “attempt", “it is possible…", “plan“, “strategy”, “potential", “probability", “project", “risk", “pursue", “should be…", “working to…", “have the goal of…“ and “planning to" as well as other similar expressions to explain future business activities, achievements, events and circumstances. Forward- looking statements are predictions about the future that reflect management's judgment based on currently-available information. As such, these forward-looking statements are subject to various risks and uncertainties. It is possible that the actual business content, results and the like in the future may significantly differ from those expressed in or suggested by the forward-looking statements. Therefore, please do not rely on forward-looking statements. The Company undertakes no obligation to update this material after the date of this material.
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Together,Let's Create Culture Loved by All. https://cover-corp.com/en