Premium : Financial Results Presentation for Q3 of FY Ending March 31, 2022

Financial Results Presentation

for Q3 of FY Ending March 31, 2022

February 1, 2022

TSE First Section: 7199 Premium Group Co., Ltd.

1.	Summary of Financial Results for Q3	P. 3
2. Segment Overview	P. 9
3.	Other Topics	P. 15
4. Appendix	P. 18

2

1. Summary of Financial Results for Q3

Highlights from Q3 of FY Ending March 31, 2022

• Markets of both new and used passenger vehicles have bottomed out despite the ongoing decline in inventory and soaring prices for used cars
• Both credit finance and automobile warranty segments recorded growth in volume that outpaced the market, despite the negative impacts
• The strong performance of our three core businesses resulted in higher revenue and profits

Market

◼ Number of new passenger vehicles registered: Q3 YTD : Down 5.5% YoY

Q3 alone : Down 18.5% YoY

• Number of used passenger vehicles registered: Q3 YTD : Down 4.8% YoY Q3 alone : Down 8.6% YoY

(Statistical data from the Japan Automobile Dealers Association)

KPIs

Performance

Topics

• Total volume of new loans: 3Q YTD: Up 25.4% YoY / ３Q alone: Up 18.2% YoY
• Total volume of automobile warranties: Q3 YTD: Up 14.4% YoY / Q3 alone: Up 17.3% YoY

Total volume of products developed in-house (automobile warranties): Q3 YTD: Up 29.6% YoY / Q3 alone: Up 30.7% YoY

• Operating income: ¥15,331 million (up 19.9% YoY)
• Profit before tax: ¥2,920 million (up 4.3% YoY) (Up 28.1% YoY when excluding one-offfactors)
• Future expected earnings (deferred profit): ¥34,391 million stocked on B/S (up 18.8% YoY)

Credit finance business: ¥28,597 million, Automobile warranty business: ¥5,486 million, Other businesses: ¥308 million

• Profit before tax revised upward to ¥3,900 million in the full-year earnings forecast and the annual dividend will increase to ¥51
• Transition to Prime Market from April 4, 2022
• Organizational restructuring and execution of long-term financing for the Group's medium- to long-termgrowth and enhancement of corporate value

4

Consolidated Performance

(Graph/table unit: millions of yen)

• Expansion of the three core businesses drove operating income higher by 19.9% YoY to ¥15,331 million
• Profit before tax increased 4.3% YoY to ¥2,920 million due to steady growth in operating income and operating expense reduction
• Profit before tax of core business excluding one-off factors was up 28.1% YoY

	FY21 Q3 YTD	FY22 Q3 YTD	YoY
	change
Operating income	12,788	15,331	+19.9%
Other income	653	49	-92.5%
	Includes gain on bargain
	purchase of ¥594 million
Operating expenses	10,602	12,494	+17.8%
Profit before tax	2,799	2,920	+4.3%
Profit before tax of	2,279	2,920	+28.1%
core business
Profit attributable to	1,835	2,047	+11.5%
owners of parent
Basic earnings	143.86	159.75	+11.1%
per share (yen)

Operating income		Profit before tax excluding
	one-off factors
Up 19.9% YoY	Up 28.1% YoY

	15,331	2,799	2,920
	One off profit,	520
12,788
Gain on
	bargain
	purchase	2,279
FY21 Q3 YTD	FY22 Q3 YTD	FY21 Q3 YTD	FY22 Q3 YTD	5