FY2020 Q1 Earnings Result Briefing Session Apr 1, 2019–Jun 30, 2019

August 9, 2019

1. Financial Status 2. Business Status ▪Entertainment Business ▪Lifestyle Business

3. Appendix

1. Financial Status 2. Business Status ▪Entertainment Business ▪Lifestyle Business

3. Appendix

Unit: millions of yen

FY2020／Q1 FY2019／Q1 Change (Apr 2019– Jun 2019) (Apr 2018– Jun 2018) (YoY)

Net Sales 20,780 34,561 (39.9)％

Operating (85.2)％ Income 1,637 11,029

Ordinary Income 1,683 11,028 (84.7)％

Profit Attributable to Owners of Parent 1,134 7,294 (84.4)％

Unit: millions of yen Entertainment sales Lifestyle sales 60,000 Operating income

50,000

40,000

30,000

20,000

10,000

FY2018 FY2019 FY2020 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Entertainment Sales 44,981 41,271 38,306 51,388 32,709 35,335 33,545 37,015 19,970 Lifestyle sales 3,247 3,755 3,872 2,269 1,851 1,148 1,393 1,033 810 Operating income 20,209 16,699 10,949 24,501 11,029 9,496 6,175 14,134 1,637

7,000

6,000

5,000

4,000

3,000

2,000

1,000

FY2018 FY2019 FY2020 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Outsourcing 5,226 4,010 3,961 4,660 3,128 3,643 4,276 3,744 3,299 Personnel expenses for development 543 690 596 753 582 688 581 694 583 Content procurement expenses 33 32 27 19 19 17 16 16 16 Depreciation 34 36 40 53 52 60 57 73 81 Rental charges 259 301 364 347 332 326 419 374 351 Purchases 145 253 183 189 204 227 182 218 131 Others 69 52 72 92 66 78 72 67 48

25,000

20,000

15,000

10,000

5,000

FY2018 FY2019 FY2020 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Settlement fees 13,832 12,746 13,097 13,958 9,847 10,446 11,013 9,535 5,576 Advertising 4,529 5,947 8,429 4,687 5,267 6,991 8,120 4,039 4,053 Outsourcing 626 788 1,517 1,145 1,026 1,058 1,189 1,672 1,931 Personnel 1,082 1,756 1,160 1,363 1,439 1,696 1,366 1,564 1,518 Rents on properties 288 327 346 358 375 369 373 389 407 Amortization of Goodwill 361 361 361 ーーーーー 97 Tax and public charge 319 289 193 454 184 209 127 316 91 Others 665 735 879 1,071 1,002 975 967 1,207 957 ©mixi, Inc. All rights reserved. 8 Performance up to 1st Quarter FY2020

 The progress rate of incomes is high, but this can be attributed to relocation expenses being posted during the 2nd half of the fiscal year, etc. These results roughly follow our performance forecast

Unit: millions of yen FY2020 forecast Net sales 20.8% 79.2% 100,000

Operating income 32.7% 67.3% 5,000

Ordinary income 33.7% 66.3% 5,000

Current income 37.8% 62.2% 3,000

1. Financial Status 2. Business Status ▪Entertainment Business ▪Lifestyle Business

3. Appendix

Revitalize Monster Strike

Grow Sports Businesses

©mixi, Inc. All rights reserved. 11 Entertainment Business: Monster Strike Revitalization Revitalization Plan and Medium-to-Long Term Strategy  The new head of operations will create short- and medium-to-long term strategies.  The revitalization plan aims to cause a V-shaped recovery in the short term through various reforms and maximized value for the Monster Strike brand in the future.

Short-Term Strategy (Revitalization Plan) Medium-to-Long Term Strategy

• Aim for a V-shaped recovery by expressing • Ensure Monster Strike brand positioning our core values (entertainment that brings and maximize the brand’s value people together) at key timings. • Expand on the Monster Strike economic system with a focus on branding

Key Timings Anime Anniversary 6-Year New Countdown Anniversary Year Game New Jul-Sep Oct Dec-Jan Games Monster Strike Brand Secret Secret

Merchandise Events

 Planned “Suspense” content to tie in with new characters and enhance their appeal  Added collaborations with popular IPs and used MonSpot to collaborate with businesses

New Character Tie-ins Collaborations

Bleach (May)

• “Monster Strike Suspense Theater (20 Million Orb Prize Pool!)” (Jun 20) Promare (June)

Yoshinoya (June) • New “Super Transcendence Festival” limited character “Sherlock Holmes” released (Jun 27)

 Excite users by holding XFLAG PARK 2019 and releasing the transcended forms of popular characters and increase active users with the “Oraflag Event” that encourages playing with friends

XFLAG PARK2019 Oraflag Event

 Begin the countdown campaign in July for the October’s 6-year anniversary event  Aim for a V-shaped recovery by living up 6-year campaign with surprises for users

Countdown campaign Tons of orbs giveaway

• As the plan for July for Monster Strike’s 6-year anniversary, Monst Prison chief Kurokawa gives out at least 100 orbs

New for You*1 limited gacha

• A sketch where a user posts their complaints about Monster Strike and gets imprisoned in Monst Prison *1：Limited gacha that guarantees at least one ★6 character that the user doesn’t already have ©mixi, Inc. All rights reserved. Entertainment Business 15 Focus Theme Status (Repost a presentation material for FY2019’s Earnings Result Briefing Session)

Revitalize Monster Strike

Grow Sports Businesses

 Content across multiple genres, spread over a week in August featuring XFLAG’s sponsored teams together: FC Tokyo, Tokyo Yakult Swallows, and Chiba Jets  Implemented plans to connect to location information from mobile game app Monster Strike

 Monster Strike spin-off “Monst Dream Company” is planned for release this summer  A pull-and-shoot board game that allows simultaneous cooperative play for up to four players for a Monster Strike experience more casual-friendly than the main game

The relaxing yet exciting pull-and-shoot board game “Monst Dream Company”

 Received “the cooperative wordplay RPG Kotodaman” from SEGA Games Co., Ltd. (Q1)  Aim for large growth by combining the potential of the long-loved concept of wordplay with the management and marketing experience gained from Monster Strike

The cooperative wordplay RPG Kotodaman

 Focus on revitalizing Monster Strike itself, and use assets and know-how from Monster Strike to expand our business portfolio

Monster Strike assetsNewfor uses Other IPs such as Kotodaman and know • Marketing officer in charge of the 3rd • Speed up growth by making use of appealing anniversary’s dramatic revitalization now game elements alongside assets and know-how Leadership/ Organization Monster Strike’s new head of operations gained from managing and marketing Monster

Changes - • Chain of command of related businesses how Strike also managed by the new head • Games using prominent IPs from other companies and games with external producers Return • Return to original values of “excitement from are under development to Roots playing with friends” • Open users up to, and encourage, spending

3rd anniversary revitalization Strikeeconomic system ExpandMonster on the (Changes in Monster Strike’s quarterly sales) Monster Strike spin-off games

• Gain new fans by expanding on the Monster Strike economic system with Monster Strike IP • Expect to take on users who do not enjoy the main game • Products other than Monst Dream Company are FY2016 FY2017 under development

 “Promare” is an animated feature film made in collaboration with Studio TRIGGER and released nationwide on May 24th  It has reached an audience of over 500,000 nationwide and is planned to be shown to 62 countries around the world

“Promare” Monster Strike in-app collaboration plan

・Held collaboration event in the Monster Strike app to celebrate “Promare”’s release ・Theaters screening “Promare” distributed ”Pro-dama” that allowed users to use the collaboration gacha for free

1. Financial Status 2. Business Status ▪Entertainment Business ▪Lifestyle Business

3. Appendix

 FamilyAlbum’s users have steadily increased and its Premium service began in April  Completed subsidization of SFIDANTE Inc., New Year card service manager in June  Plan to develop services together with them and continuously improve monetization

Number of FamilyAlbum users Complete subsidization of SFIDANTE Inc.

• Producer of multiple app services that allow users to create high- quality New Year cards using photos taken with their mobile devices • Has high quality, a large selection of designs, and has secured an industry-leading number of orders

Revitalize Monster Strike

Grow Sports Businesses

1. Financial Status 2. Business Status ▪Entertainment Business ▪Lifestyle Business

3. Appendix

Unit: millions of yen FY2020／Q1 FY2019／Q1 (end of Jun 2019) (end of Jun 2018) Current assets 154,471 158,264 Non-current assets 31,937 20,536 Total assets 186,409 178,800 Current liabilities 10,166 15,154 Non-current liabilities 742 35 Net assets 175,500 163,611

FY2020／Q1 FY2019／Q1 (Apr 2019-Jun 2019) (Apr 2018-Jun 2018) CFs from operating activities 2,322 234 CFs from investing activities (4,418) (588) CFs from financing activities (3,922) (14,088) Cash and cash equivalents at end of period 138,393 141,755

Unit: people

1,200

1,000

800

600

400

200

0 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 FY2018 FY2019 FY2020 Back office and others 104 101 67 79 103 125 194 205 199 Lifestyle 261 247 247 232 221 195 189 165 180 Entertainment 355 374 428 464 508 502 489 514 590

 Segment income before depreciation and amortization (EBITDA)

Unit: millions of yen

FY2020／Q1 FY2019／Q1 Change (Apr 2019-Jun 2019) (Apr 2018-Jun 2018) (YoY)

Entertainment

Net Sales 19,970 32,709 (38.9)%

Segment Operating Income 4,172 13,190 (68.4)% (EBITDA)

Lifestyle (former name: Media Platform)

Net Sales 810 1,851 (56.2)%

Segment Operating Income (272) (424) -% (EBITDA)

Unit: 10,000 people Exceeds 51 Million

5,000 Chinese Launch

4,000

3,000 Hong Kong and Macao Launch

2,000

Taiwanese Launch 1,000

0 Oct-13 Jan-14 Apr Jul Oct Jan-15 Apr Jul Oct Jan-16 Apr Jul Oct Jan-17 Apr Jul Oct Jan-18 Apr Jul Oct Jan Apr Jul

Domestic Overseas (Taiwan, Hong Kong, Macau, China)

* Number of users does not include multiple downloads to the same device * Exceeded a cumulative 51 million users globally on July 24, 2019

Company name mixi, Inc. Establishment June 3, 1999 Capital 9.69 billion yen Location of main office Sumitomo Shibuya First Tower Building 7F, 1-2-20 Higashi, Shibuya-ku, Tokyo, 150-0011 President Koki Kimura Outside Director Satosi Sima Director Kosuke Taru Outside Director Naoko Shimura Director Hiroyuki Osawa Outside Director Tatsuya Matsunaga Executive officers and Director Masahiko Okuda Corporate Auditor Takako Kato directors Director Tatsuma Murase Corporate Auditor Yuichiro Nishimura Director and Founder Kenji Kasahara Outside Corporate Auditor Hiroyuki Wakamatsu Outside Corporate Auditor Nozomi Ueda Employees 969(regular employee only) Total number of shares 78,230,850 shares issued Kenji Kasahara 45.25% JP MORGAN CHASE BANK 380634 2.65% Major Shareholders THE BANK OF NEW YORK 133972 1.90% (As of Mar 31, 2019) CDSIL AS DEPOSITARY FOR OLD MUTUAL GLOBAL INVESTORS SERIES 1.50% Japan Trustee Services Bank Ltd. (trust account) 1.32% As of Jun 30, 2019

Unit: millions of yen

4,500

TicketCamp 4,000 Matchmaking Business

3,500 nohana

minimo/FamilyAlbum/others

3,000 Find Job!

SNS mixi 2,500

2,000

1,500

1,000

500

0 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 FY2018 FY2019 FY2020

©mixi, Inc. All rights reserved. The opinions and forecasts contained in these materials are based on mixi's knowledge as of the time the materials were created. No guarantee of the accuracy of that information is stated or implied. The public should be aware of the possibility that actual earnings may diverge from these forecasts due to changes in any number of factors.