Year Ended December 31, 2018(20Th Term) (Securities Code: 3319)

Golf Digest Online Inc. www.golfdigest.co.jp

Results Briefing for the Fiscal Year Ended December 31, 2018(20th Term) (Securities Code: 3319)

Kyakushin = Policy of “putting the Aims to achieve the industry’s customer first” No.1 position in terms of the value Pursuing the services truly demanded by we provide and the level of customers. customer satisfaction in all services

Maximizing the Increasing the value we Sales growth level of customer provide satisfaction

Also enhancing investments for medium- to long-term growth

 Achieved the business policy for FY2018, “Sales growth.” Net sales achieved double-digit growth, driven by domestic services.

 The full-scale challenge of overseas development commenced, and the initial plan was revised. GolfTEC Enterprises LLC(hereinafter “U.S. GOLFTEC”) was made a subsidiary. The segments were divided into “Domestic” and “Overseas” in the fourth quarter.  Selling, general and administrative (SG&A)expenses increased due to investments for the future. M&A-related expenses associated with overseas investments were generated. Operating profit and ordinary profit did not achieve the forecasts, but net income did achieve the forecast.

The profit and loss of U.S. GOLFTEC were added to the scope of consolidation from the fourth quarter. Because the Company invests in U.S. GOLFTEC through GDO Sports*, a subsidiary in California, USA, the profit and loss of GDO Sports were also consolidated retroactive to the first quarter. *Official name: GDO Sports Inc.

(Million yen) 2016 2017 2018 YOY

Net sales 19,309 21,574 26,739 ＋5,164 (124%)

Gross profit 8,012 8,849 10,475 ＋1,625 (118%)

SG&A 6,939 7,635 9,670 ＋2,034 (127%)

Operating profit 1,073 1,214 804 △ 409 (66%)

Ordinary profit 1,089 1,225 822 △ 402 (67%)

Profit attributeable to △ 326 (54%) owners of parent 611 707 380

EBITDA 1,561 1,633 1,534 △ 99 (94%)

* EBITDA = Operating profit + Depreciation + Amortization of goodwill + Interest expenses + Long-term prepaid expenses

Sale of golf equipment were strong. Sales increased 116% year on year. Sales of golf clubs were strong as a result of promotion targeting the right time to replace your clubs. The gross margin fell 1 point due to a rise in the composition ratio of golf clubs.

The golf course booking service made a great effort. Sales increased 120% year on year. The number of golfers booked on GDO showed double-digit growth from the previous year, despite the impact of bad weather in the third quarter. Sale of systems for golf courses were strong.

Initiatives to promote the reciprocal use of services The number of users for the reciprocal use of services increased 111% year on year. Initiatives to promote the use of multiple services such as the GDO Yard Program and point measures contributed to higher sales.

Copyright(c) Golf Digest Online Inc. All Rights Reserved 6 6 The full-scale challenge of overseas development commenced, and the initial plan was revised. At the time of the initial forecasts, the conversion of U.S. GOLFTEC into a subsidiary was not factored in. Following its conversion to a subsidiary in July 2018, the Company announced its revised forecasts in August 2018. Sales in the overseas segment grew due to the strong performance of U.S. GOLFTEC and the early adoption of the revised revenue recognition standard in the United States. Despite an increase in M&A costs, the operating loss was smaller than expected. In the domestic segment, promotion costs increased to generate sales, and operating profit fell short of the forecast. Net income achieved the forecast. Forecast for Forecast for FY2018 FY2018 Results for FY2018 and comparison with the plan (Million yen) (Before revision) (After revision) Domestic Domestic 25,000 25,244 ＋244 (101%) 25,000 26,000 (Japan) 26,739 ＋739 (103%) (Japan) Net sales Overseas 1,000 Overseas 1,494 ＋494 (149%) Domestic Domestic 1,550 1,387 △ 162 (89%) 1,350 850 (Japan) 804 △ 45 (95%) (Japan) Operating profit Overseas △ 700 Overseas △ 582 ＋117 (-)

Ordinary profit 1,350 850 822 △ 27 (97%)

Profit attributeable 850 350 380 ＋30 (109%) to owners of parent

Spent promotion expenses because of focusing on sales expansion. Temporary costs for M&A due to the conversion of U.S. GOLFTEC into a subsidiary and SG&A expenses in the overseas segment* were added. *Overseas segment: Overseas businesses of U.S. GOLFTEC and GDO Sports, etc.

FY2017 FY2018

(Million yen) SG&A expenses in the overseas segment Gross profit ＋1410 ＋1,625  SG&A expenses at U.S. Operating GOLFTEC SG&A expenses at GDOS profit  1,214 SG&A expenses in Operating the domestic profit segment ＋307 804  Labor costs ＋219  SG&A expenses ＋ 331 M&A-related  Others △243 expenses ＋317

Total assets increased due to the inclusion of U.S. ■ Assets Property, plant and equipment: +¥1,540 million GOLFTEC in the scope of consolidation on the Goodwill: +¥3,180 million balance sheet from the last day of the third ■ Liabilities quarter. Short-term loans payable: +¥2,150 million Total assets: ¥18,236 million Advances received: +¥1,850 million Long-term loans payable: +¥1,330 million

Current Current Total assets: ¥10,805 million assets liabilities Current 9,687 10,128 liabilities Current 4,589 assets Long-term Non- Long-term 7,859 liabilities current liabilities 196 assets 1,900 8,549 Total net Total net Non-current assets Goodwill assets assets (Million yen) 6,207 2,946 6,019 3,230 End of December 2017 End of December 2018

2019‐2023 Five-Year Mid-Term Strategic Policy

(Securities Code: 3319)

Review of the Previous Mid-Term Strategic Plan (2016‐2018) and Issues that Have Become Evident

Initiatives to strengthen the existing businesses  Strengthening of system infrastructure Achieved growth in  Promotion of reciprocal use of services  Expansion of contact points with sales and profit in customers (digital x real)  Strengthening of customer services each service

Challenges for new businesses and overseas businesses Commenced full-scale  Conversion of U.S. GOLFTEC into a subsidiary challenge for the  Commencement of golf course booking service in Thailand development of  Commencement of the import and sale of IoT products (Arccos) originating in the United States overseas businesses  Administer TOP TRACER RANGE on a trial basis

Net sales: Achievement of a double-digit annual average growth rate or more. Annual average growth rate 14.3%

Operating profit: ¥850 million (revised in August 2018) Operating profit was ¥800 million, falling short of the forecast.

Dividend payment rate: Maintenance of 20% 1st year: 20%, 2nd year: 20%, 3rd year: 50%

Domestic environment Overseas environment  Increase in shipping costs  Upward trend of the golfer population  Intensified competition with leading  Increase in sales of fitted clubs volume retailers and E-commerce  Increase in contact points with  Progress in the shift to smartphones customers To seize growth opportunities in these environmental changes, it is necessary to expand the scale of GDO.

Expansion of sales Expansion of and share customer base

It is necessary to expand the share of the GDO Group in the golf market. We succeeded in expanding sales in FY2018 as a result of working comprehensively to “maximize the value we provide” and “increase the level of customer satisfaction.” 267 Net sales Up 124% YOY 215 (100 million yen) 193

Gross margin

 Overseas 41.5% 41.0%  Japan 39.2% 104 80 88 Gross profit

Up 118% YOY

2016 2017 2018

Copyright(c) Golf Digest Online Inc. All Rights Reserved 6 6 Expansion of the Customer Base: Full-Scale Entry into Overseas Markets Made GOLFTEC, the U.S. No. 1 golf lesson chain, a subsidiary. Acquired a 60% stake in U.S. GOLFTEC on July 2, 2018. U.S. GOLFTEC, which has developed approximately 200 stores in six countries worldwide, centered on the U.S.(*), the world’s largest golf market, has become a subsidiary. (*)The size of the golf equipment market is about $3.3 billion, and the number of golf courses in the U.S. is about 15,000 which accounts for 45% of all golf courses worldwide.

Company name GolfTEC Enterprises LLC

Representative Joseph L. Assell

Location Colorado, USA

Established October 24, 2001

Capital ¥2,478 million (as of December 31, 2017)

Business Golf lesson service and golf fitting sales business making full use of IT

Yano Research Institute “2017 World Golf Market Report” and NGF “2018 GOLF INDUSTRY REPORT” Copyright(c) Golf Digest Online Inc. All Rights Reserved 7 Expansion of the Customer Base: Full-Scale Entry into Overseas Markets

U.S. GOLFTEC is a growing company that is steadily increasing its net sales. When a large U.S. golf equipment retailer went bankrupt in September 2016, the company made a loss in 2017 due to the relocation, elimination and consolidation of lesson shops it had in the shopping centers but the business recovered in 2018.

Changes in net sales and EBITDA of U.S. GOLFTEC 60 (Million dollars) Joined the Group in July 2018

2.8 3.2 0.3 1.8 ‐0.3

2014 2015 2016 2017 2018

* EBITDA = Net Income + Depreciation & Amortization + Interest Expense

2018 Septe Novemb Decemb June July August October mber er er PMI Phase* Conclusion Acquisition of shares Commencement of consolidation of PL

of contract * Abbreviation of Post Merger Integration. It refers to a process of building and promoting a management scheme to enhance corporate value and support long-term growth after the merger and acquisition of a company has come into effect. Converted U.S. GOLFTEC into a subsidiary ➡ The building of the management base流動負債 is an urgent need. 4,589 流動資産 7,859  Dispatched固定負債 an executive officer from Japan.  Strengthened196 governance, built a reporting system and promoted the introduction of J-SOX.  Commenced group financing to build a stable financial base. 固定資産 2,946 Thoroughly managed goodwill.  Cultivated and strengthened global human resources.

Five-Year Mid-Term Strategic Policy

The domestic golf market is shrinking, but the Internet market is expanding. However, competition is intensifying. The golf market in the United States continues to boom, mainly among new golfers. In addition, the retail market of golf equipment is showing signs that experience sales will become prevalent. Japan The United States Future: GDO’s Future: GDO’s Past trends Past trends predictions predictions Declining Declining Rate of birthrate and birthrate and Population Upward trend increase will aging aging fall gradually population population

Continued Upward trend Upward trend Downward Golf population downward mainly in new for the time trend trend golfers being

May remain Downward Increase for flat while Number of rounds trend ceasing Remain flat the past two rising and to fall years in a row falling

Upward trend Ratio of purchasers Golf equipment EC Expected Upward trend for the time being through EC to increase market From PC to Smartphone 35%

Golf course booking Upward trend Upward trend for the time being Unknown Unknown via the Internet From PC to Smartphone

 The period is set at 5 years. A period of about 5 years is necessary to develop strategies from a medium- to long- term perspective and achieve certain results to strengthen our long-term presence in the global market.

 Not the mid-term strategic plan, but the mid-term strategic policy It takes time to formulate a specific plan, as the GDO Group has reached a major threshold amid the situation where the business environment is changing every day in Japan and overseas.

 To continue to grow in the domestic market environment, certain investments are necessary. While the competitive environment is intensifying due to sluggish growth among the population and golfer population in Japan and new entries in the Internet environment, there is room for growth. To continue to grow, certain investments are necessary.

Copyright(c) Golf Digest Online Inc. All Rights Reserved 12 New Mid-Term Strategic Policy (2019-2023) Become a global comprehensive golf service company with the aim of maximizing corporate value. Domestic businesses Achieve further growth in sales and profitability in a difficult environment.

New Overseas businesses businesses Build a new earnings Achieve growth, taking advantage of model. economies of scale.

Expansion of the customer base (Reach, region, the cultivation of golfers, the creation of opportunities to come into contact with golf) Deepening of customer relations (Data, IoT, CRM, Technology) Develop customer data accumulated exhaustively into value- added services, and propose more appropriate solutions.

Domestic businesses

Aim to increase sales and improve profitability by expanding added value. The injection of certain investments and costs is indispensable.

Enjoy economies of scale by improving the efficiency of overall operation and expanding the scale through M&A and system investments.

Expansion of sales Local No.1 in Japan’s No.1 in golf channels to golf- community- marketing consulting related facilities based services and more…

New Businesses Build a new earnings model mainly in Japan to make it a pillar of growth. Take on a challenge in terms of the subscription business.

Cultivating the golf business in even greater depth by developing hardware x software services, put the current TOPTRACER RANGE business and Arccos business on track within two to three years. Arccos business

TOPTRACER RANGE business

Overseas Businesses

Accelerate growth based on global economies of scale. A major target at present is the United States.

Expansion of reach to Building of exhaustive Accumulation of global the customer base services know-how

Develop the existing businesses of U.S. GOLFTEC to a level that is able to contribute to the consolidated results. (In particular, experience retailing is a service form that has recently attracted attention in the United States.) Consider adding exhaustive services to U.S. GOLFTEC in a phased manner.

APPENDIX

Expansion of the customer base (Reach, region, the cultivation of golfers, the creation of opportunities to come in contact with golf)

Deepening of customer relationships

(Data, IoT, CRM, Technology)

Expansion of the A string of apparel new customer base brands GDO Yard Program Club trail TRY SHOT Conversion of U.S. GOLFTEC into a

Opening of GOLFTEC subsidiary KIDS GOLF Haneda Store events Commencement of experimental introduction Selling of ARCCOS of TOPTRACER RANGE Reservation site in Thailand Night GOLF In Yuigahama

Winter GOLF Golf Garden Project Deepening of customer relationship * Refer to page 46 through Appendix for details of individual initiatives.

Copyright(c) Golf Digest Online Inc. All Rights Reserved 13 Expansion of the customer base x Deepening of customer relationship “GDO Yard Program,” a new membership system launched in June 2017 Integrated special benefit grant systems for the sale of golf equipment, the golf course booking service and the golf lesson service. The number of users for the reciprocal use of services has increased significantly since the launch of the initiative. Changes in the number of users for the reciprocal use of services

108% 106% 116% 112% *Who are the users for the reciprocal use of services? Customers who use both the sales of golf equipment and the golf course booking service of GDO

Commencement of the initiative (June 2017 ～)

Copyright(c) Golf Digest Online Inc. All Rights Reserved 14 Expansion of the customer base x Deepening of customer relationship in Sales of Golf Equipment Expanding lineup of goods in e-commerce Began handling 53 new brands including popular names that will become the core for sales. Total number of brands handled: Approx. 390

“TRY SHOT,” the residual value-setting payment service that accepts purchase after trial, started. 390 brands

Copyright(c) Golf Digest Online Inc. All Rights Reserved 15 Expansion of the customer base x Deepening of customer relationship in Golf Lessons and Sales of Fitted Clubs A number of new stores opened. (Developed 12 stores across Japan)

Otemachi Store opened in May 22

Fukuoka Tenjin Store opened (9th store in the Kanto area) on June 12. (first store in the Kyushu area) Nagoya Meieki Store opened on February 5. (first store in the Chubu area)

Opened a new experience-based lounge “GDO Golfers LINKS HANEDA” on the 5th floor of Domestic Terminal 1 at Haneda Airport. Haneda Store opened on October 1. (10th store in the Kanto area)

Copyright(c) Golf Digest Online Inc. All Rights Reserved 16 Activation of Golf and Regional Revitalization Through Golf (Expansion of the customer base) Holding of snow golf *Winter golf was renamed snow golf in 2019. The second competition was held in Bibai, Hokkaido as last year. The first Tohoku competition was held in Aomori. Proposing various ways to enjoy golf in cooperation with local governments. Holding of night golf Held night golf in the moonlight on Yuigahama Beach for the first time! Conducted a beach cleaning activity for the purpose of environmental conservation in the Shonan area after the event.

First published a free paper “BRUDER Magazine.” Published the first free paper presented by “BRUDER,” a web magazine that distributes content highlighting the life style of golfers, such as fashion, cars and watches, in addition to golf wear. https://bruder.golfdigest.co.jp/

KIDS GOLF Inc. × GOLFTEC by GDO

Tie-up with “OCEANS,” a men’s fashion magazine Holding events where parents and children can experience a lesson.

Golf program for schoolchildren

KIDS GOLF provides a golf lesson course to the extra-curricular education program of Tamagawa Gakuen. The offering of a golf lesson course in a school education program is the first initiative at junior golf school.

Began selling IoT Tracking all shots by a smartphone app. product “ARCCOS” in Statistical analysis of round data is possible. “ARCCOS Caddie” that utilizes AI proposes how January 2018. to capture courses based on analytical data. Captured data will be utilized for lessons and club fitting at the GOLFTEC by GDO stores.

TOPTRACER RANGE administer Top Tracer Range on a trial basis in Japan .

A player can check the replay of all shots with a monitor installed at a setup base.

It provides data and entertainment which could not be experienced at a driving range before, such as virtual round, near pin, driving contest, simple trajectory measurement, analysis of trajectory and carry by the club number, and point game.

GDO Golf Garden Project * ongoing since 2016

If you play golf using the GDO Score Management application, you will donate ¥10 per birdie to agricultural support programs in developing countries.

Total number of birdies: 3.45 million!! Cumulative total of donation money: ¥34.50 million Number of gardens to which a donation has been made: 230 (as of January 2019)

GDO Score Management http://lesson.golfdigest.co.jp/score/opening/ Golf Garden Project http://company.golfdigest.co.jp/ir/policies/csr/

C o m p a n y N a m e Golf Digest Online Inc. (GDO) URL：www.golfdigest.co.jp

President and CEO Nobuya Ishizaka

Date of Establishment May 1, 2000 Listed on the Tokyo Stock Exchange Mothers Market on April 1, 2004 Listed on the Second Section of the Tokyo Stock Exchange on May 1, 2015 Listed on the First Section of the Tokyo Stock Exchange on September 7, 2015 (Securities Code: 3319)

H e a d O f f i c e 2-10-2 Higashi-Gotanda, Shinagawa-ku, Tokyo

C a p i t a l ¥1,458 million

Employees （Consolidated) 1,046 *Including part-time employees

GDO G r o u p GDO GolfTEC Co., Ltd （100％） KIDS GOLF Inc. （100％） GDO Sports, Inc （100％） GolfTEC Enterprises LLC （60％） Acquired a 60% units on July 2

GDO Events Total Golf platform Golf media

Golf Golf lessons course Database Custom club booking fitting

Sales of Golf Other offline equipment channels Stores

Golfers in the World: Approx. 98 million people Online × Offline

GOLFTEC by GDO Golf Garage GOLFTEC Online channel: Monthly average number of visitors* America, Canada, 5.28 million Mexico, Number of golfers Hong Kong, booked on GDO Singapore Number of golfers Competitions Thailand, Taiwan booked on GDO /events hosted

Offline channel: Monthly average number of users Total app downloads Number of likes on Facebook Japan and Overseas 2.41 million 1.35 million 650,000

(Results in FY2018) *Sum of monthly average numbers of unique users of PCs and mobile devices Enjoy golf

Approx.60% of golfers in Japan are GDO Club Members (millions of people)

As of Dec 2018 3.72 million people

GDO users: Characterized by business influence and high purchasing power as an individual. (As of the end of June 2018) ■Gender ratio ■ Age group

86％of users are males Average age 50, 40s – 50s 50%

■Annual income ■ Average golf score -Intermediate level with an average score in the 90 range 31％ -Many golfers aim to achieve the 80 range on a stable basis.

■Occupation

-Company executives + Management level employees + ¥ Self-employed 30％ -Many users have business influence ¥10 million or more 24%、¥8 million or more 40%

America's golf market is the world's largest

USA 1st Japan ２nd

Golfers : 24.0 million people U.K. Golfers : 7.8 million people Golf courses :15,047 Golf courses : 2,290 Golfers : 3.5 million people Rounds : 90 million rouds Rounds : 475 million rounds Golf courses : 1,991 Golf equipment market : $410 million Golf equipment market : $2,043 million Golf equipment market : $3,344 million

China Korea Canada

Golfers : 0.6 million people Golfers : 2.0 million people Golfers : 5.5 million people Golf courses : 383 Golf courses :444 Golf courses : 2,295 Golf equipment market : $94 million Golf equipment market : $559 million Golf equipment market : $377 million

*Source: Yano Research Institute “2017 World Golf Market Report” and NGF “2017 GOLF INDUSTRY REPORT”

Booking on GDO is possible at around 90% of golf courses in Japan.

Number of golf courses Changes in the number of golf courses in Japan around the world and the number of golf courses bookable on GDO

courses Number of 1st USA 15,047 golf courses 2nd Canada 2,295courses

3rd Japan 2,290courses

・・・

Over 2,000 Thailand 240courses Taiwan 70courses

*Prepared by GDO based on “Golf around the world 2017” (Royal and Ancient Golf Club of Saint Andrews (R&A)).

*Source: “Changes in the Number of Golf Courses and Users based on Taxation Status of Golf Facility Taxes (November 2017)”(Nihon Gorufujo Keieisha Kyokai)

The total number of golf course users remains flat.

(millions people)

*Source: “Changes in the Number of Golf Courses and Users based on Taxation Status of Golf Facility Taxes (November 2017)” (Nihon Gorufujo Keieisha Kyokai)

Golf becomes more familiar due to lower green fees.

Green fees Number of plays (yen) per golfer (times)

*Source: Green fees are prepared by GDO based on net sales and total users in “Survey of Selected Service Industries” (Golf Courses) of the Ministry of Economy, Trade and Industry. Number of plays is based on “Leisure White Paper” (Japan Productivity Center).

The golf equipment market is shrinking, but sales of GDO are increasing.

Changes in the golf equipment market in Japan Sales ranking of golf equipment and net sales of golf equipment of GDO retailers in Japan

Golf equipment The golf equipment market has an 1st Company A ¥80.8 bil. market in Japan overwhelming size comprising approx. 20% Net sales of golf (sports volume retailer) (billion yen) of the sports equipment market equipment of GDO (billion yen) 2nd Company B ¥62.4 bil. (sports volume retailer)

3rd Company C ¥19.5 bil. (golf volume retailer) 4th GDO ¥17.3 bil

5th Company D ¥15.2 bil. (golf volume retailer) Percentage of golf equipment market comprised of EC market

12.5％（2017）

*Source: “Leisure White Paper” (Japan Productivity Center) GDO is overwhelming No. 1

The golf population is on an upward trend, including “those who are interested in golf.” The number of rounds increased year on year in the most recent two years, while it fluctuates strongly.

(Million people) Golf population Number of rounds (YoY)

2012 2013 2014 2015 2016 2012 2013 2014 2015 2016 Those who are interested in golf Those who are very interested in golf Golfers *Source: NGF(National Golf Foundation)Member Resources Copyright(c) Golf Digest Online Inc. All Rights Reserved 35 Main Service

 One of the world’s largest with the most Strengths extensive selection of goods of GDO  Differentiated information power  Provision of high-quality services GDO Golf Shop  Number of items dealt with Approx. 100,000 new items and approx. 40,000 used items Number of brands dealt with: Approx. 390 brands in Japan and overseas  Major services Online sales of golf equipment Golf Garage store Purchase/sales of used golf equipment (Online/offline: 5 Golf Garage stores in Kanto)  Stores also opened on the following websites: Yahoo! Shopping, Yahoo! Auction, Amazon.co.jp, Rakuten Ichiba, and LOHACO, Wowma! （opened on April, 2018）

Percentage of Percentage of consolidated consolidated net sales gross profit

Approx. 65% Approx. 40% Results in FY2018 Results in FY2018

YoY changes in the amount of orders received

*Market: Golf equipment market (golf clubs, balls, accessories) Year-on-year changes in the market size estimated based on actual sales of actual stores of major dealers dealing with major golf equipment nationwide calculated by GfK LifeStyle Tracking Japan. Copyright(c) Golf Digest Online Inc. All Rights Reserved 38 Golf Course Bookings

Strengths of  One of Japan’s largest and most extensive information volumes  Commercialization power taking potential demand in advance GDO  Provision of high-quality services

 Number of partner golf courses 2,000 courses or more (Including Overseas: Hawaii, Guam, American mainland, Singapore, Thailand, Malaysia, Australia, etc)  Major services -Domestic- ・Golf course booking (Internet/phone/app) ・GDO Premium Club ・Hosting of competitions and events ・Sales of a web booking system for golf courses -Overseas- ・Overseas golf course booking (Internet) ・Sales of a web booking system for overseas golf courses

Percentage of consolidated Percentage of consolidated net sales gross profit Approx. 25% Approx. 50% Results in FY2018 Results in FY2018

Changes in golfers booked on GDO (players) (YoY)

*Market: Source: Ministry of Economy, Trade and Industry “Survey of Selected Service Industries.” Comparison of total golf course players of eight prefectures (Hokkaido, Miyagi, Tokyo, Aichi, Osaka, Hiroshima, Kagawa and Fukuoka) Copyright(c) Golf Digest Online Inc. All Rights Reserved 40 Golf Media

 Overwhelming information volume and high-quality Strengths content of GDO  Distinctiveness and swiftness of news  Response to diverse devices  Viewer rate in the golf category No.１ in Japan  Major services Golf media (news, BRUDER, club information) Internet advertising/marketing service Mobile services (free/pay-per-use services) GDO Card  Strategic alliance partners PGA tour (USA), European tour, Asian tour, the Golf Digest in the USA

 Differentiated lesson method Strengths of Lesson studio of  Provision of high-quality services GolfTEC by GDO GolfTEC by GDO  Realization of experience-based store

 The USA’s leading golf lesson chain 6 countries （USA, Canada, Mexico, Hong Kong, Singapore, Japan） Club fitting service 201 centers（Direct center : 104, FC : 97） Center in Japan : 『GOLFTEC by GDO』 Roppongi, Ebisu, Ginza ANNEX, Otemachi, Kanda, Ikebukuro, Shinjuku, Yokohama Sakuragicho, Nagoya, Osaka Umeda, Fukuoka Tenjin, Haneda

（centers : 9 centers in Kanto, 1 center in Chubu, Lesson approach that 1 center in Kansai, 1 center in Kyusyu） visualizes improvement  Major services *GolfTEC Intellectual Property, LLC Swing Evaluation Head office: Denver, Colorado, USA one on one golf lessons Established: 1995 Remarks: Has a share of 25% or more of the club fitting + sales of custum golf club golf lesson market in the USA.

■ Consolidated Net Sales ■ Consolidated Gross Profit YOY （Million yen）（Million yen） YOY YOY 124% YOY 107% 112% 113%

■ Selling, General and Administrative Expenses ■ Consolidated Operating Profit

（Million yen）（Million yen）

■ Consolidated Ordinary Profit ■ Profit Attributable to Owners of Parent

■ EBITDA ■ Net Income Per Share