#1Fiscal Year Ended March 2023 Results Presentation 2023/4/28 SEGASammy | Disclaimer Market forecasts, operating results forecast, and other information contained in this material are based on judgements and projections of the Company's managements based on currently available information. Therefore, please understand that the contents herein involve risks and uncertainties and that actual results could differ materially depending on various factors. This is an English translation from the original Japanese-language version. The translation is provided for your reference and convenience only and without any warranty as to its accuracy or otherwise. The Company assumes no responsibility for this translation and for direct, indirect or any other forms of damages arising from the translations. Should there be any inconsistency between the translation and the original Japanese document, the Japanese language version shall prevail. 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All Rights Reserved.#2SEGASammy 01 FY2023/3 Results / FY2024/3 Forecast -2-#3Results Highlights (Billion yen) FY2022/3 Full Year FY2023/3 FY2024/3 Full Year Full Year Results Results Forecast Sales 320.9 389.6 433.0 Entertainment Contents 235.9 282.8 305.0 Pachislot and Pachinko Machines 75.8 94.2 115.0 • Resort 8.6 11.5 12.0 Other Elimination 0.6 1.1 1.0 Operating Income 32.0 46.7 55.0 Entertainment Contents 33.9 38.7 43.5 Pachislot and Pachinko Machines 9.3 20.0 24.5 Resort -2.5 -1.1 -1.0 Other Elimination -8.7 -10.9 -12.0 Non-operating income 5.9 4.9 4.0 Non-operating expenses 4.6 2.2 1.0 Ordinary Income 33.3 49.4 58.0 Entertainment Contents 36.8 41.1 45.0 Pachislot and Pachinko Machines 10.2 20.7 25.0 Resort -6.7 -3.2 0.0 Other Elimination -7.0 -9.2 -12.0 Ordinary Income Margin 10.4% 12.7% 13.4% Extraordinary income 5.2 0.0 Extraordinary losses 0.6 2.4 • Income before income taxes 37.9 47.0 58.0 • Profit attributable to owners of parent 37.0 45.9 40.0 • ROE 12.7% 14.7% Dividends per share (JPY) 40.00 59.00 47.00 SEGASammy FY2023/3 Results Achieved significant increases in sales and profits YoY • • Sales and profits increased, or loss margin narrowed YoY in all businesses Income taxes, etc. remained at low level as in the previous fiscal year due to the recording of deferred tax assets at a U.S. subsidiary, decrease in taxable income from net loss carried forward, and tax credits related to research and development at a U.K. subsidiary. Decided to increase year-end dividends forecast and implement shares buybacks based on the return policy of a total return ratio of 50% (-> See P.68) FY2024/3 Forecast ➤ Forecast increases in sales and profits for all business areas Continue to grow, driven by CS* (Entertainment Contents) Increase unit sales of pachislot (Pachislot and Pachinko) Achieve profitability in ordinary income (Resorts) *CS Consumer area -3-#4Breakdown of Income (FY2023/3 Results) SEGASammy (Unit: billion yen) Breakdown of non-operating income/losses and extraordinary income/losses Operating income 46.7 Non-operating income 4.9 Non-operating income 4.9 Gain on investments in partnership 1.9 Foreign exchange gains 1.3 Non-operating expenses 2.2 Dividends income 0.5 Interest income 0.4 Ordinary income 49.4 Extraordinary income. Extraordinary losses 2.4 Non-operating expenses 2.2 0.0 Equity in losses of affiliates 0.5 Loss on investments in partnership 0.5 Extraordinary Income 0.0 Income before income taxes 47.0 Taxes/Others 1.1 Extraordinary losses 2.4 Loss on business restructuring 1.7 Impairment loss 0.4 Profit attributable to 45.9 owners of parent Taxes/Others 1.1 -4-#5Costs and Expenses, etc. SEGASammy Entertainment Contents (Billion yen) FY2021/3 FY2022/3 FY2023/3 FY2024/3 Full Year Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Results Full Year Forecast R&D / Content production expenses 9.2 9.8 11.8 14.7 9.9 13.5 12.7 18.3 11.9 14.8 16.4 22.9 66.0 68.9 Advertising expenses 1.7 2.8 3.3 3.7 2.2 3.9 3.7 4.4 2.7 5.0 6.3 6.7 20.7 23.6 Depreciation 2.2 2.3 0.7 1.5 0.8 0.9 0.9 1.1 0.9 1.0 0.9 1.0 3.8 3.6 Cap-ex 2.2 2.8 3.5 1.9 1.5 1.4 1.6 2.8 1.1 1.1 1.7 2.0 5.9 6.1 Pachislot & Pachinko (Billion yen) FY2021/3 FY2022/3 FY2023/3 FY2024/3 Full Year Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Results Full Year Forecast R&D / Content production expenses 5.4 3.9 3.3 3.7 3.4 3.2 3.4 4.4 3.0 3.5 3.7 4.2 14.4 15.5 Advertising expenses 0.1 0.6 0.3 0.2 0.2 0.6 0.5 0.3 0.3 0.3 0.3 0.8 1.7 4.0 Depreciation 0.8 0.9 0.9 0.8 0.5 0.7 0.7 0.8 0.6 0.7 0.7 0.7 2.7 3.0 Cap-ex 1.1 0.7 0.7 0.8 1.2 1.1 0.8 1.0 1.0 1.0 1.0 1.2 4.2 5.4 *Recognition of R&D Expenses and Content Production Expenses by business segments • • • Entertainment Contents business (Full Game (CS)): Expenses are capitalized as inventory assets or intangible assets during development and booked as expenses after launch. 25% will be amortized in first month and the rest will be amortized over a period of 23 months using the straight-line method (Total amortization period is 24 months) Entertainment Contents business (F2P (F2P)): Expenses are amortized over a period 24 or 36 months using the straight-line method Entertainment Contents business (AM): Expenses are capitalized as inventory assets during development and booked as expenses after launch. They will be amortized 15% per first 2 months and the rest will be amortized 7% per 10 months using the straight-line method (Total amortization period is 12 months) Pachislot and Pachinko business: Expenses aren't capitalized but are recognized as they arise (process outsourcing expenses recognized when work is inspected) *Full Game (CS) are anticipated to be sold for a longer period due to recent longer product lifecycle compared with conventional length, so the amortization rule has been revised as above from new titles to be launched in FY2024/3. Titles released by FY2023/3 will be amortized 40%, 15%, 5% per first 3 months and the rest will be amortized 2% per 21 months using the straight-line method. Content development amortization expense of Entertainment Contents business as a whole is expected to be reduced for approx. 4.6 billion yen in FY2024/3. -5-#6Costs and Expenses, etc. Resort (Billion yen) R&D / Content production expenses Advertising expenses Depreciation Cap-ex Other / Elimination (Billion yen) R&D / Content production expenses Advertising expenses Depreciation Cap-ex SEGASammy FY2021/3 FY2022/3 FY2023/3 FY2024/3 Full Year Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Results Full Year Forecast 0.0 0.0 0.1 0.1 0.0 0.0 0.0 0.1 0.0 0.0 0.0 0.1 0.1 0.0 0.0 0.1 0.1 0.0 0.0 0.2 0.1 0.0 0.0 0.1 0.1 0.1 0.3 0.5 0.2 0.2 0.3 0.2 0.1 0.2 0.2 0.1 0.1 0.2 0.1 0.2 0.6 0.7 0.0 0.0 0.1 0.0 0.1 0.1 0.1 0.1 0.5 0.1 0.4 0.2 1.2 0.4 FY2021/3 FY2022/3 FY2023/3 FY2024/3 Full Year Full Year Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Results Forecast 0.1 -0.1 0.0 -0.1 0.1 -0.1 0.1 -0.1 0.0 0.0 0.1 -0.2 -0.1 0.1 0.2 0.1 0.2 0.2 0.4 0.4 0.2 0.3 0.3 0.7 0.2 0.2 1.4 1.2 0.4 0.3 0.3 0.1 0.4 0.1 0.3 0.2 0.5 0.1 0.3 0.2 1.1 1.0 0.3 0.1 -0.1 0.4 0.3 0.0 0.3 0.6 0.2 0.0 0.2 0.1 0.5 1.6 -6-#7Consolidated Balance Sheet Summary SEGASammy (Billion yen) Account 【Assets】 【Liabilities and Net Assets] As of end of March 2022 As of end of March 2023 Increase /Decrease As of end of As of end of Account March 2022 March 2023 Increase /Decrease Cash and Deposits 152.4 179.5 +27.1 Accounts Payable 24.4 30.5 +6.1 Accounts Receivable 38.9 53.3 +14.4 Short Term Borrowings 10.0 17.0 +7.0 Inventories 67.5 89.4 Other 28.9 31.6 Total Current Assets 287.7 353.8 +21.9 Other +2.7 Total Current Liabilities +66.1 Corporate Bonds 52.5 72.8 +20.3 86.9 120.3 +33.4 10.0 10.0 Tangible Fixed Assets 60.3 60.4 +0.1 Long Term Borrowings 32.0 25.0 -7.0 Intangible Fixed Assets 13.1 13.2 +0.1 Other 13.8 14.8 +1.0 Investment Securities 40.6 39.5 -1.1 Total Noncurrent Liabilities 55.8 49.8 -6.0 Other 33.7 34.6 +0.9 Total Liabilities 142.8 170.2 +27.4 Shareholders Equity 294.4 326.7 +32.3 Total accumulated other comprehensive income -2.0 4.0 +6.0 Share acquisition rights 0.1 0.4 +0.3 Non-controlling interests 0.0 0.0 -0.0 Total Noncurrent Assets Total Assets 147.7 435.4 147.7 501.5 +0.0 Total Net Assets +66.1 Total Liabilities and Net Assets 292.6 435.4 331.3 +38.7 501.5 +66.1 Cash, deposits and cash equivalents Interest bearing debt Net cash Equity ratio As of end of March 2022 152.4 52.0 As of end of March 2023 179.5 52.0 Increase /Decrease (Current Assets) +27.1 (Liabilities) 100.4 127.5 67.1% 66.0% +27.1 -1.1p (Net assets) Main factors for increase/decrease Cash and deposits increased as a result of strong business performance. In addition, notes and accounts receivable and inventory assets mainly related to "Smart Pachislot Hokuto No Ken" increased and content work in progress increased centered on Consumer are Notes and accounts payable and contract liabilities increased mainly related to "Smart Pachislot Hokuto No Ken" Shareholders' equity increased due to recording of profit attributable to owners of parent while dividend payments and share buybacks were executed -7-#8Consolidated Cash Flows Cash and cash equivalents End of FY2022/3 End of FY2023/3 152.4 179.5 SEGASammy Cash Flows from Operating Activities (Unit: billion yen) Income before income taxes +47.0 Depreciation and amortization +10.6 C/F Increase in notes and accounts receivable -13.4 from Operating -trade Increase in inventories -22.4 Activities +44.7 Increase in contract liabilities +15.5 Others +7.4 C/F from Investing Activities Cash Flows from Investing Activities Purchase of property, plant and -4.9 -2.3 equipment Purchase of intangible assets -5.8 Others +8.4 C/F from Financing Activities Cash Flows from Financing Activities -15.3 Proceeds from long-term borrowings +10.0 Repayment of long-term borrowings -10.1 Purchase of treasury stock Cash dividends paid Others -4.9 -8.8 -1.5 -8-#9SEGASammy 02 Per Segments Results / Forecast -9-#10Entertainment Contents Business (Billion yen) SEGASammy Sales Consumer Amusement Machine Animation/Toy Other Elimination Operating Income Consumer FY2022/3 Full Year FY2023/3 Full Year FY2024/3 Full Year Forecast 305.0 FY2023/3 Results ➤ Both sales and profits increased YoY • Some new titles in Full game and F2P* performed strongly (CS*) Sales in the Prize category went strong (AM*) FY2024/3 Forecast Results Results 235.9 282.8 158.3 187.9 205.0 49.7 64.9 63.5 25.6 29.3 36.0 2.3 0.7 0.5 33.9 38.7 43.5 29.3 32.8 36.0 Amusement Machine 2.5 2.9 5.0 Animation/Toy 3.0 4.5 4.5 Other Elimination -0.9 -1.5 -2.0 Non-operating income 3.3 2.8 1.8 Non-operating expenses 0.5 0.4 0.3 Ordinary Income 36.8 41.1 45.0 Ordinary Income Margin 15.6% 14.5% 14.8% • *Exchange rate in initial forecast for FY2024/3: 1US dollar = 127 yen, £1 =160yen, and 1 Euro = 141yen. ➤ Expect higher sales and profits due to the contribution of new titles and repeat sales (CS) Increase in unit sales of new titles FY2023/3 results: 10,090 thousand units FY2024/3 plan: 14,120 thousand units Increase in operating expenses of R&D expenses and advertising expenses due to increase in new titles ➤ Expect to maintain strong performance in the prize category (AM) -10- *F2P-Free-to-play, CS = Consumer area, AM = Amusement Machine area#11Entertainment Contents Business: Per Subsegments FY2023/3 Results Strong performance of new titles such as "Sonic Frontiers" and "Persona 5 Royal" (Remaster) . Full Game • Repeat sales performed weakly • • Consumer F2P Strong performance of "Project SEKAI COLORFUL STAGE! feat. Hatsune Miku" Recorded license revenue, etc. Other Recorded foreign exchange gains Amusement Machine • • Sales Animation / Toy Animation • Toy • • Strong sales of UFO Catcher Ⓡ series and prizes Sales and profits increased YoY despite the impact of raw material price hikes Released the theatrical version of "Detective Conan: The Bride of Halloween" Recorded animation production and distribution revenue, etc. Launched new products such as "With a front camera! Fun to change mouse covers! Sumikkogurashi Personal Computer Premium Design by yourself" SEGASammy . FY2024/3 Forecast Sales of new titles increase Sales of repeat titles contribute to earnings due to new titles released in the previous fiscal year Change the amortization rule of content work in process Stable earnings from "Project SEKAI COLORFUL STAGE! feat. Hatsune Miku" and other existing titles will continue to contribute Release new title, "404 GAME RE:SET -Error Game Reset-" • Record licensing revenue centered on Sonic • • Strengthen sales of prizes Launch of new products such as "UFO CATCHER 10" Release the theatrical version of "DETECTIVE CONAN: Black Iron Submarine" Record animation production and distribution revenue, etc. • Sales of new products and regular products, etc. -11-#12Consumer Area / Full Game: Sales Trend 25.9 SEGASammy (Unit: billion yen) New Titles 2.0 13.5 14.3 8.6 13.0 13.1 12.2 ■Repeat 3.2 6.1 3.0 11.5 5.4 2.1 7.3 4.0 12.3 8.9 7.6 8.0 7.7 5.7 6.4 6.7 6.5 7.0 7.1 5.8 4.2 3.9 4.0 4.0 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 FY2020/3 FY2021/3 FY2022/3 FY2023/3 -12-#13Consumer Area / F2P: Sales Trend "Project SEKAI COLORFUL STAGE! feat. Hatsune Miku" "PHANTASY STAR ONLINE 2 NEW GENESIS" SEGASammy (Unit: billion yen) "PHANTASY STAR ONLINE 2" (2012/7~) "SEGA NET MAHJONG MJ" (2013/7~) 16.2 15.5 15.6 14.4 14.7 15.0 15.2 15.1 13.7 13.1 Titles released in FY2022/3 12.4 11.1 10.4 ■Titles released in FY2021/3 9.1 9.0 9.4 Titles released in FY2020/3 Titles released in FY2019/3 ■Titles released in or before FY2018/3 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 FY2020/3 FY2021/3 FY2022/3 FY2023/3 [Top 3 titles in sales from Jan. to Mar. 2023] (No. 1) Project SEKAI COLORFUL STAGE! reac "Project SEKAI COLORFUL STAGE! feat. Hatsune Miku" © SEGA/O CP/O CFM Release: Sep. 2020 (No. 2) NEW GENESIS LII PHANTASY STAR ONLINE 2 "PHANTASY STAR ONLINE 2 NEW GENESIS" ©SEGA Release: Jun. 2021 (No. 3) 七力NET 麻雀會 כח CEEGA "SEGA NET MAHJONG MJ❞ ©SEGA Release: Jul. 2013 -13-#14(Reference) Consumer Area: Sales Trend SEGASammy (Billion yen) FY2022/3 FY2023/3 FY2024/3 Through Through Q1 Q2 Q3 Through Q4 Through Through Through Q1 Q2 Q3 Q4 Full Year Forecast Sales 29.5 71.2 119.6 158.3 34.7 75.0 142.5 187.9 205.0 Domestic 13.0 30.9 50.3 66.6 15.7 33.8 52.4 71.4 71.6 Overseas 16.7 40.3 69.4 92.0 19.2 41.1 89.8 116.7 135.4 Overseas sales ratio 56.6% 56.6% 58.0% 58.1% 55.3% 54.8% 63.0% 62.1% 66.0% Other Elimination -0.2 0.0 -0.1 -0.3 -0.2 0.1 0.3 -0.2 -2.0 Full Game 11.0 30.7 50.3 65.8 9.9 22.3 55.3 73.2 108.1 New titles 3.0 16.0 29.1 40.6 2.1 7.5 33.4 45.6 75.8 Japan 0.2 2.4 5.4 5.7 0.5 1.7 3.6 5.0 9.5 Asia 0.1 0.9 2.0 3.0 0.5 1.1 3.5 5.3 5.4 North America / Europe 2.7 12.7 21.7 31.9 1.0 4.6 26.3 35.2 60.8 Repeat titles 8.0 14.7 21.2 25.2 7.7 14.7 21.8 27.6 32.3 Japan 0.8 2.0 2.8 3.4 0.8 1.7 2.4 3.0 2.4 Asia 0.7 1.4 1.8 2.3 0.8 1.5 2.2 2.8 2.4 North America / Europe 6.4 11.3 16.6 19.5 6.1 11.5 17.1 21.6 27.5 Download sales ratio 61.6% 65.3% 63.8% 69.5% 74.9% 74.5% 66.0% 69.7% 68.2% F2P 12.4 26.1 40.8 55.8 15.6 31.8 47.0 62.1 64.0 Japan 10.9 23.2 36.6 50.1 13.0 27.1 39.9 53.2 51.6 Asia 0.0 0.0 0.3 0.5 0.5 0.5 0.5 0.6 0.7 North America / Europe 1.4 2.9 3.9 5.2 2.0 4.1 6.5 8.2 11.6 Other 6.2 14.5 28.6 37.0 9.2 20.9 40.2 52.6 32.9 ⚫ Full Game = Mainly physical sales and download sales of full game for home video game consoles and PCs. (Additional download content sales are not included.) •F2P = Mainly sales of contents offering free basic play and microtransaction for smartphones and PCs. •Other = Sales of additional download contents, consignment sales of 3rd party titles, revenue from consignment development, transfer of titles, offering of titles in batches to 1st parties, sales of products other than game software, etc. -14-#15(Reference) Consumer Area / Full Game: Unit Sales Trend SEGASammy FY2022/3 FY2023/3 Q1 Through Q2 Through Q3 Through Q4 Q1 Through Q2 Through Q3 Through Q4 FY2024/3 Full Year Forecast Full Game: Number of Titles Japan Asia O title 3 titles 5 titles 6 titles 3 titles 7 titles 11 titles 15 titles 12 titles 1 title 4 titles 7 titles 9 titles 3 titles 7 titles 11 titles 15 titles 13 titles North America / Europe 3 titles 6 titles 11 titles 13 titles 3 titles 7 titles 12 titles 16 titles 14 titles Full Game: Unit sales (Thousand) 6,580 14,040 21,970 27,200 5,140 10,140 20,750 27,890 34,480 Total New titles 1,060 3,500 6,630 8,770 440 1,480 6,970 10,090 14,120 Japan Asia 50 410 780 850 90 250 640 1,090 1,370 50 250 500 760 110 260 860 1,350 930 North America / Europe 960 2,840 5,350 7,160 230 960 5,460 7,640 11,800 Total Repeat titles 5,520 10,540 15,340 18,430 4,700 8,650 13,770 17,790 20,360 Japan 290 Asia North America / Europe *Unit sales don't include the figure for free download 340 4,890 660 680 9,200 950 1,140 260 760 1,080 1,380 1,130 880 1,170 410 750 1,390 1,840 1,280 13,500 16,130 4,030 7,120 11,290 14,560 17,930 *As for Numbers of Titles above, for the same title released in multiple regions, the title number is counted 1 per each sales region (Japan, Asia and NA/EU) [Unit sales of major IPs] (Thousand units) FY2022/3 FY2023/3 Q1 Through Q2 Through Q3 Through Q4 Q1 Through Q2 Through Through Q3 Q4 Sonic series Total War series 1,000 2,900 4,900 5,800 1,460 2,630 6,750 8,150 600 1,000 1,300 2,600 420 950 1,750 2,300 Persona series 400 700 1,000 1,300 270 500 2,040 3,270 Like a Dragon series* 700 1,800 2,500 2,900 470 960 1,730 2,830 -15- *"Like a Dragon" series includes "Judgment" series#16(Reference) Consumer area/Full Game: Major new titles released in FY2023/3 SEGASammy [Titles released in FY2023/3] SONIC™ FRONTIERS ソニックフロンティア ©SEGA "Sonic Frontiers" • IP growth through hits for movies and animations, collaborations, and etc. • • Expand sales opportunities by global simultaneous launch x multi-platform support Worldwide unit sales: Over 3.2 million units (as of the end of March 2023) "Persona 5 Royal" (Remaster) Expand sales opportunities by global simultaneous launch x multi-platform support PERSONAS • Worldwide unit sales: Over 1.7 million (as of the end of March 2023) THE ROYAL OATLUS. OSEGA. All rights reserved. -16-#17(Reference) Consumer area/Full Game: Major new titles to be released in FY2024/3 SEGASammy [Titles to be released in FY2024/3] *Only announced titles are listed. Figures in () to the right of the title are the planed release dates SAMBA O AMIGO DE PARTY CENTRAL サンバDEアミーゴ:バーティーセントラル 0.0 I-11 HD REMASTER "Etrian Odyssey Origins Collection" (June. 1) OATLUS. OSEGA. All rights reserved. SONIC ORIGINS PLUS www "Sonic Origins Plus" (Jun. 23) OSEGA ENDLESS DUNGEON SEGA "Samba de Amigo: Party Central" (Summer 2023) ©SEGA Like a Dragon Gaiden: The Man Who Erased His Name M TM "ENDLESS™ Dungeon" (Oct. 19) Amplitude Studios SAS. OSEGA *In addition to the above, we plan to sell mainstay IP titles which will be announced later "Like a Dragon Gaiden: The Man Who Erased His Name" (2023) ©SEGA -17-#18(Reference) Entertainment Contents Business: Sales Schedule New titles Consumer Repeat Full Game 13 Sentinels: Aegis Rim (for Nintendo Switch™) ~FY2023/3 Hatsune Miku: Project DIVA Mega Mix+ (for PC) Sonic Origins Two Point Campus Soul Hackers 2 Sonic Frontiers Football Manager 2023 Persona 5 Royal (Remaster) Like a Dragon: Ishin! Company of Heroes 3 SEGASammy In or after FY2024/3 (Plan) ENDLESS™ Dungeon Etrian Odyssey Origins Collection Sonic Origins Plus Like a Dragon Gaiden: The Man Who Erased His Name Samba de Amigo: Party Central Sonic Series / Persona Series / Total War Series / Football Manager Series / Like a Dragon Series, etc. HYENAS 22 F2P In or before FY2018/3 FY2019/3~ FY2020/3~ FY2021/3~ FY2022/3~ PHANTASY STAR ONLINE 2/ Puyo Puyo!! Quest/ CHAIN CHRONICLE SHIN MEGAMI TENSEI Liberation DX2 / SEGA Pocket Club Manager FIST OF THE NORTH STAR LEGENDS REVIVE Re:ZERO -Starting Life in Another World- Lost in Memories / Project SEKAI COLORFUL STAGE! feat. Hatsune Miku PHANTASY STAR ONLINE 2 NEW GENESIS / Sin Chronicle FY2024/3~ *Only announced titles are listed for "In or after FY2024/3 (plan)" 404 GAME RE:SET -Error Game Reset- -18-#19(Reference) Entertainment Contents Business: Sales Schedule ~FY2023/3 SEGASammy In or after FY2024/3 (Plan) Animation/Toy Amusement Machine <Major titles in operation> <Major regular sales titles> StarHorse4 / EIKETSU TAISEN / maimai DX / CHUNITHM /O.N.G.E.K.I./ MJ ARCADE INITIAL D THE ARCADE / KanColle Arcade / Fate Grand Order Arcade / lalamee UFO CatcherⓇ series / Prizes for prize machines ROMAPI Bépiu. HORI A TALE romakyun UFO CATCHER 10 BINGO THEATER JACKPOT CIRCUS Detective Conan: The Bride of Halloween ANPANMAN: Dororin and the Transformation Carnival DETECTIVE CONAN: Black Iron Submarine With a front camera! Fun to change mouse covers! Sumikkogurashi Personal Computer Premium Design by yourself Fun to change screen covers! Sumikkogurashi Smart Phone Anpanman Cash Register Deluxe Disney&Pixar Characters Dream Switch 2 Anpanman JhuJhu Korokoro Hamburger Shop *Only announced titles are listed for "In or after FY2024/3 (plan)" -19-#20Pachislot and Pachinko Machines Business SEGASammy FY2023/3 Results ➤ Achieved significant increases in sales and profits YoY • Especially pachislot machines (No. 6.5 models) performed strongly Recorded the sales and profits of partially pre-delivered units for the titles which will be released in FY2024/3 Major titles sold: "Pachislot Kabaneri of the Iron Fortress" "P Shin Hokuto Muso Chapter 4" etc. (Billion yen) FY2022/3 Full Year FY2023/3 Full Year Results Results Sales 75.8 94.2 FY2024/3 Full Year Forecast 115.0 Pachislot Pachinko 30.6 41.0 66.6 37.1 44.2 37.7 Other Elimination 8.1 9.0 10.7 Operating Income 9.3 20.0 24.5 • Non-operating income 1.0 0.8 0.6 Non-operating expenses 0.1 0.2 0.1 Ordinary Income 10.2 20.7 Ordinary Income Margin 13.5% 22.0% 25.0 21.7% Pachislot Number of Titles Unit Sales (units) Pachinko 10 titles 77,870 8 titles 94,966 FY2024/3 Forecast Number of Titles 5 titles 5 titles 8 titles 146,000 6 titles ➤ Forecast higher sales and profits YoY Unit Sales (units) 97,027 103,556 Board Frame 56,728 52,152 Board 40,299 51,404 93,000 54,400 38,600 ➤ Continue to be driven by pachislot machines (No. 6.5 models and Smart Pachislot) • *New series is counted as one title (Machines which installation started from previous fiscal year/ specification changed titles, etc. aren't included) Pachislot: In addition to No. 6.5 models, aggressively launch smart pachislot, starting with "Smart Pachislot Hokuto no Ken" • Pachinko: launch centered on mainstay series machines -20-#21(Reference) Pachislot and Pachinko Machines Business: Sales Schedule ~FY2023/3 New series Titles which installation started from previous FY/ Specification changed title In or after FY2024/3 (Plan) SEGASammy Pachinko Pachislot Pachislot Kabaneri of the Iron Fortress P The Seven deadly Sins 2 Pachislot Saga of Tanya the Evil Pachislot The Rising of the Shield Hero P BIG DREAM 3 P TIGER & BUNNY ~Kanzen Muketsu WILD Spec~ P Shin Hokuto Muso Chapter 4 Smart Pachislot Hokuto No Ken Pachislot CODE GEASS Lelouch of the Rebellion 3 C.C&Kallen ver. Pachislot Kabaneri of the Iron Fortress (Additional Sales) Smart Pachislot BIOHAZARD:VENDETTA P Aura Battler Dunbine 2 -ZEROLIMIT HYPER- P Kabaneri of the Iron Fortress ~4,000Rengeki ver.~ P Hokuto No Ken Bokyosei P BLACK LAGOON4 (Major titles in FY2023/3) Delivery month Unit sales (Major titles to be released in or after FY2024/3) Pachislot Pachislot Kabaneri of the Iron Fortress Jul. Pachislot Saga of Tanya the Evil Dec. 35,341 units 15,200 units Pachislot Smart Pachislot Hokuto No Ken Pachislot The Rising of the Shield Feb. 10,158 units Hero Pachinko P Shin Hokuto Muso Chapter 4 Feb. 34,387 units Pachislot CODE GEASS Lelouch of the Rebellion 3 C.C&Kallen ver. Pachislot Kabaneri of the Iron Fortress (Additional Sales) Smart Pachislot BIOHAZARD:VENDETTA P BIG DREAM 3 Jan. 12,180 units Pachinko P The Seven deadly Sins 2 Nov. 12,165 units P Aura Battler Dunbine 2 -ZEROLIMIT HYPER- P Hokuto No Ken Bokyosei P TIGER & BUNNY ~Kanzen Muketsu WILD Spec Dec. 12,150 units P Kabaneri of the Iron Fortress ~4,000Rengeki ver.~ P BLACK LAGOON4 *Only announced titles are listed for in or after FY2024/3 (plan) Delivery month Apr. Jun. Jun. After Jul. Apr. May Jun. Jul. -21-#22Resort Business SEGASammy * FY2023/3 Results ➤ Strong performance centered on individual customers, leading to a recovery in earnings (Billion yen) FY2022/3 FY2023/3 FY2024/3 Full Year Full Year Results Results Full Year Forecast Sales 8.6 11.5 12.0 Operating Income -2.5 -1.1 -1.0 • Non-operating income 0.0 0.1 1.2 Non-operating expenses 4.1 2.1 0.2 Ordinary Income -6.7 -3.2 0.0 • Ordinary Income Margin <PHOENIX RESORT> No. of facility users (Thousands) 760 946 908 3 accommodation facilities 308 394 374 2 golf courses 94 103 103 Other facilities 358 449 431 Figures for PARADISE SEGASAMMY Co., Ltd. are recorded with three months delay as its settlement of accounts is December PHOENIX RESORT: Strong growth in individual customers due to government and facility's own measures to stimulate tourism demand, and achieved the highest sales and first profitability since it joined the group PARADISE SEGASAMMY: Casino sales recovered rapidly, centered on Japanese VIP customers, due to relaxation of travel restrictions FY2024/3 Forecast ➤ Expect to be profitable at ordinary income stage PHOENIX RESORT: Continue to take various measures for individual customers and strengthen CRM, and expect the recovery of group customers from resumption of sporting camps and MICE, etc. PARADISE SEGASAMMY: Casino sales are expected to continue to be driven by strong Japanese VIP customer. In addition to that, a gradual recovery in Chinese VIP customers is also expected -22-#23(Reference) Status of Each Facility: PHOENIX RESORT PHOENIX RESORT: Sales by type of facility users Individual stay ■Group stay& banquet Other (eating and drinking, golf, etc.) SEGASammy Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 FY2020/3 FY2021/3 FY2022/3 FY2023/3 Sales and facilities users in FY2023/3 exceeded the level prior to COVID-19, driven by strong individual customers In addition to continue to capture individual customer demand, the recovery of group customers is expected -23-#24300,000 250,000 200,000 150,000 100,000 50,000 0 Jan Feb Mar Apr May Jun 2019 *Drop amounts: Purchased amount of chips լոր Aug Sep Oct Nov Dec (Reference) Status of Each Facility: PARADISE SEGASAMMY Trend of Drop amounts* at PARADISE CITY Jan Feb Mar Apr May Jun 2020 լոր Aug ■China VIP ■Japan VIP ■■■ Other VIP ■Mass Sep Oct Nov Dec Jan Feb Mar Apr May 2021 Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun 2022 լոր Aug Sep Oct Nov Dec Jan Feb Mar 2023 -24- SEGASammy (KRW million)#25SEGASammy 03 Progress of the Medium-Term Plan (~FY2024/3) -25-#26Long-term vision Value (Mindset and DNA) "Creation is Life" × Mission / Purpose (Raison d'être) "Always Proactive, "Constantly Creating, Forever Captivating" Always Pioneering" -Making life more colorful- Vision (Ideal self) Be a Game Changer Entertainment Global Leading Contents Provider Pachislot and Pachinko Triple crown of share in utilization, in installation, and in sales Gaming & Resort Human Materiality Resources Products/ Services Sustainability Realize the investment in gaming area Environment Empathy Governance SEGASammy Edge Economics Addiction Environ ment -26-#27Mid-term Plan: Ordinary Income Trend (FY2015/3-FY2024/3) Mid-term plan was achieved one year ahead of plan, driven by growth of Entertainment Contents and Pachislot & Pachinko (Billion yen) SEGASammy Mid-term Plan Beyond the Status Quo (Announced on May 2021) Entertainment Contents ■Resort Consolidated Ordinary Income (~FY2020/3) -3.4% -ROE 1.8% 9.2% 28.5 16.8 16.4 Pachislot & Pachinko Other/Elimitation 14.7% 12.7% 58.0 10% 7% 5% 4.6% 2.9% 0.9% 0.4% ( 49.4 45.0 25.0 33.3 20.7 10.2 1.7 25.2 14.5 7.4 30.0 13.0 20.0 9.0 9.0 45.0 41.1 36.8 40.0 27.9 30.0 25.0 -11.3 Road to 2020 (Structural reform) Beyond the Status Quo FY2015/3 FY2016/3 FY2017/3 FY2018/3 FY2019/3 FY2020/3 FY2021/3 FY2022/3 FY2023/3 FY2024/3 (Forecast) FY2022/3 FY2023/3 FY2024/3 (Mid-term) (Mid-term) (Mid-term) -27-#28Entertainment Contents Business Consumer area Entertainment Contents Business SEGASammy -28-#29Long-term Target SEGASammy Becoming a Global Leading Contents Provider FY2024/3 FY2026/3 Reinforcing the earnings base by strengthening the global branding of Creation of "Super Games" existing IPs Investment promotion period toward becoming a global player Proactive growth investment Announced the implementation of TOB of Rovio Entertainment Oyj *Details are explained from P.44 -29-#30Key Points in FY2024/3 Further Expansion of Major IPs (Full Game) • • SEGASammy Promote the global simultaneous launch x multi-platform support of several new titles Strengthen repeat sales of series titles released in the previous fiscal year ➤ Secure stable earnings from existing mainstay titles (F2P) • Stable earnings contributions from "Project SEKAI COLORFUL STAGE! feat. Hatsune Miku", "ONE PIECE Bounty Rush" (Developer: SEGA CORPORATION, Publisher: Bandai Namco Entertainment Inc.) and "PHANTASY STAR ONLINE 2 NEW GENESIS" Taking on challenge of creating new IP (CS) • "HYENAS", a multi-play FPS title developed by Creative Assembly (Release: 2023 (plan)) "404 GAME RE:SET -Error Game Reset-", a RPG for smartphone (Release: Apr. 25, 2023) -30-#31Expanding Touchpoints 1 Expanding touchpoints SEGASammy Strengthen global simultaneous launch x multi-platform support FY2022/3 FY2023/3 Global simultaneous launch x Multi-platform support (new titles) 7 titles (Approx. 6M unit sales) "HUMANKIND™M" "Sonic Colors: Ultimate" ⚫ "Lost Judgment", etc. 10 titles (Approx. 8.8M unit sales) "Sonic Frontiers" ⚫ "Sonic Origins" ⚫ "Like a Dragon: Ishin!", etc. FY2024/3 Plan 12 titles (Approx. 12M unit sales) ⚫ "Sonic Origins Plus" "Like a Dragon Gaiden: The Man Who Erased His Name" • "ENDLESSTM Dungeon" etc. *Number of titles and unit sales includes titles corresponding to "2. Lengthening of product lifecycles". -31-#32Prolonging Product Life Cycles 2 Prolonging product life cycles FY2022/3 SEGASammy Remake/Remaster, Spin-Off / Change of theme, Multichannel monetization (Additionally support subscription services, etc.) FY2023/3 FY2024/3 Plan Remake/Remaster, Spin-Off / Change of theme (new titles) Approx. 4M unit sales "Sonic Colors: Ultimate" ⚫"Super Monkey Ball Banana Mania" ⚫ "Lost Judgment", etc. Approx. 3.5M unit sales ⚫ "Persona 5 Royal (Remaster)" • "Like a Dragon: Ishin!" "Sonic Origins" etc. ■ Additionally support subscription "HUMANKIND™" "Football Manager 2022" "Total War: WARHAMMER III", etc services (new titles) ⚫ "Persona 5 Royal (Remaster)" • "Football Manager 2023" "Soul Hackers 2" etc. *Number of titles and unit sales includes titles corresponding to "1. Expanding touchpoints". Approx. 5M unit sales "Sonic Origins Plus" "Samba de Amigo: Party Central" "Etrian Odyssey Origins Collection" etc. Planning multiple titles -32-#33SEGASammy Strengthening User Engagement 3 Strengthening user engagement Strengthening the mix of media, expanding SONIC's brand awareness CY2020 これがオレの力だ! 仲間を守ってみせる!!! CY2021 最強の CY2022 SONIC PRIME SEGA NETFLIX SONIC WildBrain CY2023~ Future initiatives with PARAMOUNT PICTURES Development of a third feature film Development of original TV series to be distributed in Paramount+ SERV ワイルド・スピード プロデューサー ソニック ザ・ムービー 6.262) ©2022 PARAMOUNT PICTURES AND SEGA OF AMERICA, INC. ALL RIGHTS RESERVED. Global Box Office Revenue $320M (43.5 billion yen*) 3Q ANNIVERSARY *Exchange rate: $1=136 yen (as of Jun. 23, 2022) ザ・ムービー VS ナックルズ 8.19 ©2022 PARAMOUNT PICTURES CORPORATION AND SEGA OF AMERICA, INC. Global Box Office Revenue $400M (54.4 billion yen*) FRONTIERS OSEGA Released "Sonic Frontiers" Sold over 3.2 million units worldwide www SONIC ORIGINS PLUS wwwww Schedule to release new title "Sonic Origins Plus" -33-#34Game Market Data: Market Size by Region Worldwide market has grown to nearly double in size since 2015 SEGASammy Although it reached a brief plateau in 2022 and 2023, the growth is expected from 2024 onward (Trillions yen) 27.5 26.3 25.1 25.2 24.0 3.0 23.3 2.8 ■Others 2.2 2.5 2.3 2.0 5.2 4.9 18.7 4.4 4.6 18.0 4.3 Europe 4.3 15.9 1.6 1.5 13.9 1.3 3.5 3.5 6.6 7.1 7.5 6.7 6.3 12.2 6.2 1.1 North America 2.9 1.0 2.7 4.8 4.8 Asia 2.5 4.0 3.6 3.3 8.9 8.2 8.5 8.7 8.9 9.0 5.7 6.1 6.5 ■ Japan 4.7 3.8 1.6 1.8 2.1 2.2 2.3 2.6 2.8 2.6 2.7 2.7 2.8 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 Forecast *In-house estimation based on data from "Newzoo Global Games Market Data January 2023" (*Exchange rate: 1 USD = 130 JPY) -34-#35SEGASammy Pachislot and Pachinko Machines Business ☐ Pachislot and Pachinko Machines Business -35-#36Long-term Targets Triple crown of share in utilization, in installation, and in sales No. 1 in total utilization share of Pachislot and Pachinko Creation of hits FY2024/3 Building a stable earnings structure Maintain stable earnings Improvement of business efficiency SEGASammy -36-#37Review of 2nd Year of Medium-Term Plan: Total Utilization Share SEGASammy ■ Although Pachislot was strong, total utilization share decreased YoY due to struggle in Pachinko 【Trend of our utilization share] Total (Pachislot & Pachinko) 15.0% 10.0% Pachislot -Pachinko 5.0% *1 *1 FY2022/3 FY2023/3 1st K Company 18% 1st S Company 18% 2nd S Company 18% 2nd K Company 16% 3rd Sammy 11% 3rd S Company 14% 4th S Company 9% 4th Sammy 9% 0.0% April 2022 Future initiatives March 2023 Pachislot: Increased due to strong sales of No. 6.5 Model (+2p) Pachinko: Decreased due to low utilization, while sales were strong (-7p) ⚫Pachislot: Actively launch Smart Machines while continuously launch No. 6.5 Model, which utilization remains strong •Pachinko: Work on developing machines that will be supported by users *In-house estimation based on DK-SIS data (Data for 4 yen Pachinko and 20 yen Pachislot) of Daikoku Denki Co., Ltd *Utilization Share = Ratio of Sammy machine's utilization out of total number of installed machine for each title × utilization of each title (Pachislot: Numbers of inserted medals, Pachinko: Numbers of shot balls) *1: Calculated by average of the fiscal year (Exclude the week striding over fiscal years) -37-#38Market Trend (Utilization Trend) ■■Utilization level of Pachislot is significantly increasing 【Utilization Trend (Pachislot & Pachinko)] 140% 120% 100% 80% Beginning of "Smart Pachislot Hokuto No Ken" Pachislot: Utilization Trend (YoY) Pachinko: Utilization Trend (YoY) Beginning of Smart Pachislot Installation Beginning of No. 6.5 Model Installation ⚫Pachislot SEGASammy Utilization level has increased due to installation of No. 6.5 Model and Smart Pachislot, which responds to revision of regulation Due to installation of "Smart Pachislot Hokuto No Ken", etc., recent utilization is significantly increasing •Pachinko Due to lack of new hit machines, utilization continues centered on regular machines 60% Apr. Installation Beginning of "Pachislot Kabaneri of the Iron Fortress" Installation Jul. Oct. Jan. *In-house estimation based on DK-SIS data (Data for 4 yen Pachinko and 20 yen Pachislot) of Daikoku Denki Co., Ltd Apr. -38-#39Market Forecast of FY2024/3 ■ Expect increase of unit sales driven by Pachislot in FY2024/3 【Transition of Unit Sales) ■■Pachislot Pachinko SEGASammy (Thousand) 1,160 1,040 860 670 480 600 690 *1 8501 620 2,170 1,930 440 1,620 1,430 1,350 1,220 1,180 1,060 1,150i 830 FY2015/3 *In-house Estimation FY2016/3 FY2017/3 *Includes FY2023/3 Smart Pachislot unit sales (Approx. 90,000 units) FY2018/3 FY2019/3 FY2020/3 FY2021/3 FY2022/3 FY2023/3 FY2024/3 (Forecast) -39-#40"Smart Pachislot Hokuto no Ken❞ 331a 5 31 BATTLE BONUS 编 BATTLE BONUS SEGASammy Installed Units: Approx. 40,000 units (as of April 28) *Of the above, approx. 5,000 units were delivered in advance in FY2023/3 Record high utilization start out of past "Hokuto" series Maintains top class utilization in market Actively implement promotion such as TV commercials, etc. in order to appeal to dormant users, etc. Demand is very strong, so work on additional sales while carefully assessing parts procurement and production capacity Sammy "Smart Pachislot Hokuto No Ken" ©Buronson & Tetsuo Hara/COAMIX 1983, OCOAMIX 2007 Approved No.YRA-114 Sammy -40-#41"Smart Pachislot Hokuto No Ken❞ ■Our total utilization share has increased significantly due to installation of "Smart Pachislot Hokuto No Ken❞ 【Transition of total utilization Share (2023)】 SEGASammy 30.0% 25.0% 20.0% 15.0% 10.0% 8.8% 5.0% (4th) 0.0% Jan. Sammy -S Company (1st Place) Beginning of "Smart Pachislot Hokuto no Ken" Installation Apr. 14.2% (2nd Place) *In-house estimation based on DK-SIS data (Data for 4 yen Pachinko and 20 yen Pachislot) of Daikoku Denki Co., Ltd -41- *Utilization Share = Ratio of Sammy machine's utilization out of total number of installed machine for each title × utilization of each title (Pachislot: Numbers of inserted medals, Pachinko: Numbers of shot balls)#42Investment in Growth Investment Strategy SEGASammy -42-#43Concept of Investment in Growth (~FY2026/3) Implemented investment in the following growth area Consumer Area Approx. ¥100.0 billion Strengthen development resources Investment in new ecosystem Area of consideration for investment Expansion of organic development pipeline Strengthen global mobile and online games Strengthen CRM functions to revitalize user communities Investment in newly emerging business areas Progress SEGASammy Establishment of SEGA Sapporo Studio ● Announced the implementation of TOB of Rovio Entertainment Oyj Gaming Area Approx. ¥100.0 billion Other Approx. ¥50.0 billion Careful assessment of investment opportunities in the gaming area Expand CVC investment limit (Total limit: ¥15.0 billion) Creation of new business, acquisition of IPs, etc. Total ¥250.0 billion Online casino and sports betting overseas Land-based casinos overseas Both domestic and overseas IR Strengthen open innovation activities, including investment in start-up companies Step off from domestic and overseas IR Considering online gaming area Implement 18 new investments, approx. ¥3.0 billion Exit from existing investment portfolio x 4 Establishment of joint venture with PAPYLESS CO., LTD. "GAPOLI❞ service released -43-#44Overview of the Acquisition of Rovio Deal Overview • EUR 9.25 per Share SEGA SEGASammy Acquisition Price At the meeting of the Board of Directors held on April 17, 2023, An announcement of a tender offer to acquire Rovio Entertainment Oyj ("Rovio"), a mobile game company headquartered in Finland, was resolved The Acquisition is a friendly takeover, as Rovio's board of directors has agreed to recommend, and has expressed support towards the Tender Offer. Shareholders in Rovio who in aggregate hold shares corresponding to approximately 49.1 percent of the outstanding shares and votes in Rovio, have irrevocably undertaken to accept the Offer, subject to certain customary conditions . . EUR 1.48 per Option 19.0% premium to Rovio's closing price as of April 14, 2023, 17.5% premium compared to the 3M VWAP ending April 14 Total: EUR 706m (JPY 1,036.8 Oku) *Assumption of €1=\146.9 Tender Offer Period/Threshold & Approval Process Threshold of tender offer is set at more than 90% of shares The acquisition is contingent on the completion of reviews under applicable antitrust laws and other customary conditions Tender offer will commence once the tender offer document is approved by the Finnish Financial Supervisory Authority • Expected to close on Q2 of FY2024/3 -44-#45Overview of Rovio Company Overview SEGA SEGASammy Financial Trend / Segmentation Long Term Trend of Revenue and Operating Margin Founded: HQ: Stock Exchange: Services: 2003 Espoo, Finland (EUR m) NASDAQ Helsinki 10.5% 11.2% 8.8% 15.6% 13.2% 9.0% 281.1 6.2% O 289.0 317.7 272.2 286.2 191.7 297.1 Mobile game development operation, Brand Licensing 2016 2017 2018 2019 2020 2021 2022 546 (in 2022) Employees: Financials (2022) Business Revenue Breakdown (2022) Geography Sales: 317.7 (EUR m) 303% 11% 1% In-app Purchase NAM 16% Operating Profit (margin): Adj. EBITDA (margin): 28.5 (EUR m) (9.0%) 53.8 (EUR m) (16.9%) Advertisement EMEA 19% Brand Licensing APAC Other 70% LATAM 78% 1 source: Rovio Annual Report 2022, Factset 2 Some financial figures could be different from audited figures, due to the 2nd decimal point being rounded down -45-#46Key Strength of Rovio ①: Development and Operational Capabilities regarding Mobile Gaming SEGA SEGASammy Holds 8 studios with a focus on casual-games, serving as a base for its strong game portfolio Game Studio Portfolio HISTORIC FOOTHOLD 6.7 M Daily Active Users (2022 Average) 5.0 B Cumulative Downloads1 Game Title Portfolio Titles with over EUR 100m) 8 Live Service Games NEW ORGANIC STUDIOS FWD ESPOO PUZZLE STOCKHOLM ADVANCED CASUAL TORONTO Montreal Montreal BARCELONA CASUAL CROSS- HYBRID PUZZLE PLATFROM -CASUAL GAMING STUDIOS FROM ACQUISITION COPENHAGEN CASUAL RPG IZMIR GROW Angry Birds Journey Angry Birds Dream Blast + games in soft launch EARN CRIME SCENE DO NOT CROSS Angry Birds 2 Angry Birds Friends Angry Birds Match Small Town Murders (RUBY GAMES) HYPER & HYBRID- CASUAL CATALOGUE HYPER-CASUAL 1 5bn cumulative downloads include titles outside of Angry Birds 2 Source : Rovio Entertainment Investor Presentation February 2023 Rovio Annual Report 2022 + others WOR DUS Ruby Games -46-#47Key Strength of Rovio②: The Globally Popular Angry Birds IP ANGRY BIRDS SEGA SEGASammy ANGRY BIRDS Launch of Angry Birds Game 2009 Launch of Angry Birds 2 2015 Movie⚫ Anime TV Anime 2013 ANGRY BIRDS TONS LBE1. Merchandise Sale of Merchandise 2010 Start of First LBE Business in Spain 2013 1 Location-based Entertainment (EUR m) 350 AB Movie 2016 ANGRY BIRDS 300 Games ■Brand Licensing 250 200 AB Movie 2 2019 FRENEMIES 5 BILLION downloads! 5bn Cumulative Downloads 2022 LBE Business operated all across the globe as of the end of 2022 (US, UK, China, Macao, Spain, Qatar, etc.) Revenue (per Business) 49 49 24 30 TV Anime 2022 32 150 306 28 248 250 264 258 276 100 159 50 113 0 FY15 FY16 2 Source Factset, Rovio Q4-2022_interim report FY17 FY18 FY19 FY20 FY21 FY22 Achieving historical highs in Games revenue and Consolidated revenue 3 Some financial figures could be different from audited figures, due to decimal points being rounded down to the nearest whole number -47-#48Gross Booking per Title (Quarterly) SEGA SEGASammy Core titles; Angry Birds 2 and Angry Birds Dream Blast boast strong sales AB Dream Blast is on course to pass the current top title, AB2 (EUR m) 90.0 80.0 70.0 62.2 0.2 60.0 82.3 76.1 6.1 1.5 76.1 74.2 72.6 67.9 67.3 68.3 4.1 2.0 2.7 2.0 0.1 64.6 65.0 64.5 4.5 1.8 2.5 1.8 ANGRY BIRDS 1.0 0.7 1. 0.1 0.1 0.2 30.3 28.6 29.5 28.8 26.6 28.4 28.7 26.5 26.2 25.2 26.6 50.0 25.0 40.0 14.9 30.0 16.4 16.1 15.5 15.2 15.4 15.0 15.0 16.2 14.1 17.6 21.6 0.4 10.1 0.1 1.2 3.1 7.3 20.0 8.3 7.3 3 7.2 8.0 8.1 5.1 8.5 4.4 5.6 9.3 0.2 9.3 1.0 3.0 3.8 3.9 4.7 9.1 8.4 4.1 8.8 2.8 10.0 15.1 2.2 1.7 1.5 1.3 14.3 12.3 11.7 11.6 11.6 10.2 9.1 8.0 7.3 7.0 6.7 ANGRY BIRDS Dream Blast N 0.0 Q1'20 Q2'20 Q3'20 Q4'20 Q1'21 Q2'21 Q3'21 Q4'21 Q1'22 Q2'22 Q3'22 Q4'22 Hyper-casual Custom Contracts AB Journey AB Friends Small Town Murders Other -48- 1 Source : Rovio Entertainment Investor Presentation February 2023#49Key Strength of Rovio③: "Beacon", the Tool for Live Service Game Operation SEGA SEGASammy Accelerate the globalization of SEGA's mobile game business, which is currently Japan-oriented }]}} Player Recognition Analytics Advertising Effectiveness AB testing Live Operation Payment Categories where synergies can be most expected BEACON BEACO BEACON Special Offer Default My Aspen De Support harne My Apps Data Lake1 + Personalization Client Segmentation Ad mediation Cross-Promotion Push Notification Research Privacy Framework Game Server Infrastructure Machine Learning / Al 1 Method of storing large data as raw data 2 Source : Rovio Entertainment Investor Presentation February 2023 ON месная Delly Latest reports -49-#50Progress of Consumer Area's Mid Term Plan SEGA SEGASammy Conversion of current IP into global IP is under progress Growth Strategy is moving to the next stage Key growth factors in the Past Global Simultaneous Sale × Multi-platform Expansion ■ Strong Partnership with Global Players Core Factors for Next Growth Strategy ■ SEGA = Treasure Island Revive and scale globally recognized IP, by reforming it to fit modern demand -50-#51To Increase Presence in the Global Gaming Market SEGA SEGASammy We recognize that a Japan-oriented mobile gaming business is not ideal By expanding to overseas markets, we can increase our presence in the rich mobile gaming market Global Market Size Revenue Breakdown of SEGA's Consumer Game Business PC 19% (47 billion USD) Console 26% (64 billion USD) ☐ Consumer Video-game Market Mobile 54% (132 billion USD) 1 Source: IDG Report October, 2022 2 SEGA's revenue represents cumulative figures as of Q3 PC 19% Consumer Video-game Market Console 43% Mobile 38% Overseas 12% Mobile Japan 88% -51-#52Geographical Breakdown of The Mobile Gaming Business after the Acquisition SEGA SEGASammy By acquiring Rovio, SEGA's overseas mobile revenue would as an estimate increase to 45% of total mobile revenue SEGA Mobile Japan/Overseas Ratio Rovio Mobile Japan/Overseas Ratio Simple consolidated basis Japan/Overseas Ratio Overseas 12% Revenue JPY 538 Oku Japan 88% + Overseas 97% Revenue JPY 340 Oku¹ Japan 3% 1 232 million Euros (*Assumption of €1=\146.9) 2 Represents SEGA and Rovio's cumulative figures as of Q3. Rovio's revenue breakdown taken from data.ai Overseas 45% Revenue JPY 880 Oku Japan 55% -52-#53Purpose of this Deal: Complementary Capabilities SEGA SEGASammy The two companies share common values and complementary capabilities There are large potential for synergies, to take a leap forward as a global player SEGA Global development capabilities for large-scale PC/Console games Wealth of popular franchises such as the Sonic series Capability and expertise in expansion of IP to various media ■ Development and operational capabilities for mobile games in Japan ■ Rich M&A experience centered around Europe + ☐ ROVIO ☐ Development and operational capabilities of global F2P games Globally recognized "Angry Birds" IP Track record regarding IP licensing to movies and merchandising Strong fanbase in the US and Europe Proprietary game operation platform, “Beacon" ☐ Shared values that nurture IP over the long term -53-#54Expected Synergies SEGA SEGASammy 1 Utilization of Rovio's distinctive know-how in live service mobile game operation, to bring SEGA's current and new titles to the global mobile gaming market, where there is large potential, and many users can be accessed SEGA + R ROVIO 2 Rapid expansion of both companies' fanbase by sharing know-how regarding multi-media expansion of global characters 3 Support cross-platform expansion of Rovio's IP using SEGA's capabilities -54-#55Establishment of a Joint Venture with PAPYLESS CO., LTD. SEGASammy Launch joint label for the production of vertical scroll comics Concluded a capital and business alliance with PAPYLESS CO., LTD. which develops e-book platforms domestically and overseas. We will form a creative team that can handle everything from the creation of original works to the production of works, and take on challenge to create original works and vitalize related IPs for the global marketplace. SEGASammy X Х ✓ Renta! papy.co.jp New joint venture (To be established on May (plan)) New label for vertical scroll comics ZETOON URL of label (Japanese site): https://jadecomix.com -55-#56Initiatives for Sustainability. Material issues to be addressed Human resources Products and Services Cultural diversity Active career opportunities for women Development of core human resources Maintenance of work environment Major initiatives • Promoting "Game Change" by increasing culturally diverse human resources Creating a foundation where people can thrive regardless of gender • Strategic development of human resources who can lead the next generation • Maintaining and improving the engagement of human resources 12 • Quality improvement and further efforts to enhance safety and security Target • Culturally diverse human resources" Approx. 900 people (approx. 21% or more) • Percentage of women in managerial positions 80 people or above (approx. 8% or more) ■ Amount invested in education ¥4.0 billion or more cumulatively • Engagement score 58 or above / Rating A or more (All are target towards FY2031/3 or CY2030) • Global leading contents provider (Entertainment Contents Business) • Win a "triple crown"-top share in utilization, installation, and sales (Pachislot and Pachinko Machines Business) 15 17 Environment 12 8₁ Scope1,2 • Consideration and execution of emission reduction measures 13 14 Scope3 TCFD cmpliance • Improvement of supplier engagement • Consideration of supplier selection criteria • Consideration of whether reduction targets should be applied to more companies and its timing • Strategy update • Consideration of whether disclosure should cover more companies, and its timing * Group-wide reduction of approx. 50%~ (2023) • Group-wide carbon neutrality (2050) • Reduce GHG emissions by 22.5% or more SEGASammy -56-#57Initiatives for Sustainability 5 12 8 Material issues to be addressed Addiction Governance 10 16 Major initiatives • Collaboration with industry groups on initiatives to address and prevent addiction and gaming disorder • Continuing commitment to addiction research Target • Compliance with laws, regulations, voluntary rules, etc. related to addiction • Contributing to the healthy development of the industry * Implement industry-academia joint research regarding addiction • Continuing to realize a corporate governance structure that will ensure highly transparent management and contribute to medium-to long-term improvement in corporate value SEGASammy -57-#58Initiatives for Sustainability (Investment in Human Resources) ■ 4 key indicator for human resources 1) Development of culturally diverse human resources*1 ● Number of human resources (ratio) [Target Company] SEGASammy 1), 2), 3) SEGA SAMMY HOLDINGS, SEGA (Japan), Sammy 4): Major Group Companies in Japan 2) Active career opportunities for women Approx. 21% or more ● Number of female managers (ratio) Approx. 17% Ratio in total employees: Approx. 15% 554 person FY2022/3 As of Dec. Cumulative total Cumulative total Approx. 900 person Approx. 5%* (42 person) 658 person FY2023/3 Results FY2031/3 Target *Certified based on multiple criteria, such as being a foreign national, having lived abroad and experienced multiculturalism, and having certain skills of multiple languages such as English and Chinese. Human resources who are exposed to diverse cultures and can apply that experience to their work 3) Development of core human resources Investment in education Cumulative total ¥4.0 billion or more CY2021 6% Approx. (72 person) 2023/4/1 Results *Ratio of female managers, including professionals, within whole managers 4) Maintenance of work environment Engagement score Approx. 8% or more (80 person or more) CY2030 Target Average Approx. *0.47 *0.45 billion/year billion/year 50.1* (B) 52.8 58 or more (BB) (A or more) Approx. \0.15 billion/year CY2021 FY2022/3 As of Dec. FY2023/3 Results FY2031/3 Target 2023/3 Results CY2030 Target *Cumulative investment from FY2023/3 to FY2031/3 *Source: Link and Motivation Inc, engagement score based on motivation cloud *Engagement Rating -58-#59ESG Ratings, Evaluations and etc. MSCI ESG RATINGS MSCI ESG RATINGS AA CCC B BB BBB A AA AAA CDP SEGASammy Adoption Status in Major ESG Indices 2022 CONSTITUENT MSCI JAPAN ESG SELECT LEADERS INDEX 2022 CONSTITUENT MSCI JAPAN EMPOWERING WOMEN INDEX (WIN) ^ FTSE Blossom Japan Sector Relative Index +CDP י DISCLOSURE INSIGHT ACTION Climate Change: B S&P/JPX ●Water: C- Carbon Efficient Index -59-#60Financial Strategy Financial Strategy SEGASammy -60-#61To Maximize the Corporate Value (~FY2026/3) ■Shift to the management focusing on capital efficiency Maximization of the Corporate Value Expansion of TSR Expansion of equity spread ROE: Over 10% Shareholder return Total return ratio: 50% or more Growth of profit Ordinary Income: Over 50.0 Billion yen Improvement of asset efficiency Improvement of per business company ROIC Optimization of Capital cost D/E ratio: around 0.5-0.6 (Net D/E ratio: around 0.2-0.3) SEGASammy Investment focus on Consumer business ROIC management Management of business portfolio Reducing of WACC through optimal capital structure Active use of debt according to the risk Reduction of long-term risk through enhancement of ESG -61-#62Expansion of Equity Spread [Trend of ROE, COE and Equity Spread] ⚫ROE COE Equity Spread 7.8% 14.7% 12.7% 11.4% 10.1% 9.1% 12.2% 6.4% 4.6% 2.9% 4.9pt 0.9% ▲ 5.5pt ▲ 4.5pt +4.6pt +0.5pt 0.4% ▲ 11.0pt FY2018/3 FY 2019/3 FY2020/3 FY2021/3 FY 2022/3 FY2023/3 SEGASammy Equity spread is trending positive in the last two fiscal years due to growth of the profits in each business *ROE: Return on equity *COE: Cost of equity (Source: Bloomberg) *Equity spread: ROE-COE -62-#63Per Business ROIC [Per business ROIC trend] Entertainment Contents Pachislot & Pachinko Resort WACC 23.5% 37.4% SEGASammy 42.6% ROIC of each business is trending towards improvement 19.8% 19.9% 18.6% 14.3% 10.2% 8.8% 14.8% 8.5% 8.4% 5.2% 10.1% 11.0% 7.4% 6.5% 5.2% ▲ 7.7% ▲ 8.8% ▲ 9.7% 9.3% 0.0% ▲ 7.6% ▲ 16.2% ▲ 12.5% 19.4% FY2018/3 FY2019/3 FY2020/3 FY2021/3 FY2022/3 FY2023/3 FY2024/3 (Forecast) *Per business ROIC: Adjusted profits per business/Investment capital per business • Entertainment Contents Business ROIC is trending at a high level mainly due to growth in profits at Consumer area, while increasing investment capital ⚫Pachislot and Pachinko Machines Business ROIC is growing sharply, reflecting the earnings growth from the optimization of investment capital and structural reform, etc. ⚫Resort Business ROIC is improving due to the impact of improved utilization at each facility -63-#64Investment Capital/Adjusted Profits per Business [Investment capital trend per business] SEGASammy [Adjusted profits trend by business] Entertainment Contents Pachislot & Pachinko Resort (Billion yen) 526 404 355 301 294 288 296 459 888 689 670 409 627 384 1,531 1,300 1,341 1,379 1,381 1,417 FY2018/3 FY2019/3 FY2020/3 FY2021/3 FY2022/3 FY2023/3 FY2024/3 (Forecast) ■ Entertainment Contents ■ Pachislot & Pachinko ■ Resort 159 (Billion yen) 185 148 75 79 292 260 81 197 111 69 69 115 22 ▲ 40 A41 ▲ 37 ▲ 48 A81 ▲ 63 316 FY2018/3 FY2019/3 FY2020/3 FY2021/3 FY2022/3 FY2023/3 FY2024/3 (Forecast) -64- *Investment Capital per business: investment capital at the end of each business period (total assets-current liabilities excluding interest-bearing debt)-CMS deposits *Adjusted profits by business: ordinary income after-tax and before-interest (Tax rate for the respective business is set to 30% for simplicity)#65Impact of Rovio Acquisition (Entertainment Contents Business) ➤ Impact on adjusted profits of Entertainment Contents Business • · Impacts on consolidated results are currently being calculated SEGASammy (Reference) Operating profit of Rovio in the latest period is approximately 28.5 million euros (4.1 billion yen) * Rovio's accounting standard The difference between the acquisition price of shares and net assets of Rovio is estimated to be approx. 479 million euros (about 70.3 billion yen) as of the end of Dec. 2022 Impact on investment capital per business • Investment capital for Entertainment Contents business is expected to rise by about 80.0 billion yen Impact on D/E ratio • • Plan to use cash on hand for the funds required for the tender offer, EUR 706 million in total (approx. ¥103,680 million) (We may continue to draw loans as appropriate based on its capital policy, in a way that does not affect the capability and willingness to fund the offer) If the loans of the same scale as the acquisition amount will be implemented, D/E ratio is estimated to be around from 0.2 times between 0.5 times at the end of FY2023/3 (Simplified simulation based on the balance sheet at the end of FY2023/3) *Assumption of €1=\146.9 -65-#66EPS Trend SEGASammy EPS* improved from expansion of business results and share buybacks Profit attributable to owners of parent (billion yen) EPS (yen) 89 38.1 58.6 11.2 5.4 26 137 12 370 208.0 181.2 158.8 459 400 FY2018/3 FY 2019/3 FY2020/3 FY2021/3 FY2022/3 FY2023/3 FY2024/3 (Forecast) = *EPS Earnings per share *In FY2022/3 and FY2023/3, decrease in taxable income from net loss carried forward and income taxes, etc. decreased from tax credit relevant to research and development for subsidiaries in U.K also contributed *Tax rate for FY2024/3 is set at 30% for simplicity -66-#67Shareholder Returns (Process of Determining the Amount of Return and Methods) FY2024/3 Q1 Q2 Q3 Q4 Q1 Results FY2023/3 Results Results Announcement Announcement Announcement Q2 Q3 Results Announcement FY2025/3 Q1 FY2024/3 SEGASammy Interim dividends (Q2 results announcement) In principle, decide interim dividend in accordance with the DOE 3% standard Initial forecast (announced in April) DOE3% or more = 47 yen per year (Interim 23 yen/Year-end 24 yen) Setting dividends forecast at the beginning of fiscal year using DOE 3% as base dividend Results Announcement Share buybacks (if implemented) Year-end dividend Resolve return amount and method for year-end (Results announcement) Determine return amount and method for year-end [Basic policy of shareholder return] DOE: 3% or more, Total return ratio: 50% or more Calculate the amount of shareholder returns in accordance with the profit level based on the basic policy of shareholder returns when the full-year business results are fixed O Apply DOE or total return ratio, whichever is higher Implement shareholder returns through dividends or share buybacks -67-#68Shareholder Returns Trend (FY2018/3-FY2024/3) SEGASammy ■ Based on the policy of a total return ratio of 50%, annual dividends for FY2023/3 is expected to be 59 yen and plan to execute share buybacks of 10.0 billion yen [Results and forecast of dividends per share] 60 5500 ¥40 40 2800 20 10 03 FY2018/3 ¥40 FY2019/3 ¥59 *1 ¥47 ¥40 ¥40 ¥30 FY2020/3 FY2021/3 FY2022/3 FY2023/3 FY2024/3 (Forecast) FY2018/3 FY2019/3 Total dividends Dividend per share 9.37 billion yen Interim: 20 yen Year-end: 20 yen 9.38 billion yen Interim: 20 yen Year-end: 20 yen FY2020/3 9.39 billion yen Interim: 20 yen Year-end: 20 yen FY2021/3 7.05 billion yen Interim: 20 yen Year-end: 20 yen FY2022/3 9.16 billion yen Interim: 20 yen Year-end: 20 yen FY2023/3 12.96 billion yen Interim: 20 yen Year-end: 39 yen FY2024/3 (Forecast) Interim: 23 yen Year-end: 24 yen Amount for share buyback*2 DOE*3 29.99 billion yen 10.0 billion yen Total return ratio*4 3.0% 105% 3.1% 355% 3.1% 68% 2.4% 3.1% 4.2% n/a 3% or more 553% 106% 50% 50% or more *1 The initial dividend forecast for FY2024/3 is based on DOE3% or equivalent *2 Purchase period of share buyback for FY2022/3 was 2021/11/9-2022/4/19 and plan to be 2023/5/1-2023/9/29 for FY2023/3 For FY2023/3, plan for acquisition price (maximum) = ¥10.0 billion, number of shares to be acquired (maximum) = 8 million shares *3 DOE (Dividends on Equity) = dividend amount / net asset *4 Total return ratio = (total dividend amount + total amount of share buybacks) / net income -68-#69Total Shareholder Return Trend Stock Price Fluctuation Rate (yen) Dividend per share (yen) Total Shareholder Return 40 193 134.3% 109.0% 82.8% 79.9% 30 SEGASammy 59 40 161.5% 412 386 400 40 40 ▲ 379 FY2018/3 FY2019/3 6 FY2020/3 FY2021/3 FY2022/3 FY2023/3 FY2024/3 FY2018/3 FY2019/3 FY2020/3 FY2021/3 FY2022/3 FY2023/3 (Forecast) Stock Price Fluction Rate (yen) Dividend per share (yen) 193 40 Total Shareholder Return ▲ 379 40 79.9% 9 40 82.8% 412 30 109.0% 386 40 134.3% 400 59 161.5% 47 *Stock Price fluctuation Rate = closing price at the end of the relevant fiscal year - closing price at the end of the previous fiscal year *Total shareholder return = (stock price on the last day of each business fiscal year + cumulative amount of dividends per share from the last four business fiscal years of the current business -69- fiscal year through the respective business fiscal years)/stock price on the last day of the five business fiscal years of the current business fiscal year (Source: FSA)#7004 Appendix SEGASammy -70-#71Trend of Balance of Content Production Expenses in B/S (Consumer area) SEGASammy 52.9 48.0 43.0 42.3 38.7 39.9 34.0 33.0 31.0 27.5 26.0 24.8 23.6 23.7 Q1 Q2 T ☐ Q3 (Unit: billion yen) 56.2 51.4 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 FY2021/3 FY2022/3 FY2023/3 FY2020/3 *Balance of work in progress R&D expenses of titles before release + balance of unamortized R&D expenses of released titles -71-#72Trend of No. of Employees by Segment SEGASammy (Unit: employees) Entertainment Contents Pachislot & Pachinko Resort Others Overseas personnel ratio -R&D personnel ratio 57.1% 463 510 525 431 443 474 714 725 724 707 732 729 526 426 437 449 448 1,579 1,581 1,575 1,449 1,458 1,457 714 445 435 431 426 419 684 672 651 628 699 714 701 682 664 1,446 1,022 1,057 1,052 1,050 1,047 1,087 1,111 1,106 1,108 28.7% 5,769 5,923 6,200 6,168 6,284 6,340 5,394 5,369 5,464 5,541 5,612 5,630 5,822 5,887 5,989 6,035 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 FY2020/3 FY2021/3 FY2022/3 FY2023/3 *No. of employees are the No. of full-time employees and permanent contract employees. Excludes the No. of temporary employees -72-#73Resort Business (PARADISE SEGASAMMY) SEGASammy FY2023/3 Results ➤ Recovery trend due to relaxation of travel restrictions Drop amounts of Japanese VIP recovered rapidly which close to before COVID-19 levels ➤ EBITDA remained positive due to cost reduction initiative under COVID-19 (KRW Billion) 2022/3 Full year Results 2023/3 Full year Results Sales 161.5 270.5 Casino 86.6 157.5 • Hotel 67.7 95.9 Other 7.0 17.0 Cost of sales 178.2 234.1 Casino 63.7 100.4 Hotel 81.9 74.7 Other 32.4 38.8 Gross profit -16.7 36.4 SG&A 25.4 27.9 Operating profit -42.2 8.5 EBITDA 14.9 65.3 Net profit -87.9 -33.9 • Number of casino visitors 99.0 151.0 (Thousands) SEGASAMMY Equity method acquisition amount (Billion yen) Source: Paradise IR -4.1 -1.8 FY2024/3 Forecast ➤ Expect the contribution to profits from equity in gains of affiliates *PARADISE SEGASAMMY Co., Ltd. is an equity method affiliate of SEGA SAMMY HOLDINGS INC. Casino sales are expected to continue to be driven by strong Japanese VIP customers, along with a complete recovery in flights to and from Japan and Korea, and a gradual recovery in Chinese VIP customers is also expected due to a staged recovery in traffic to and from China and Korea *Figures for PARADISE SEGASAMMY Co., Ltd. are recorded with three months delay as its settlement of accounts is December *Local accounting standard -73-#74Overview of Rovio SEGASammy Trade name Rovio Entertainment Oyj Consolidated performance and financials of Rovio for the last three years Location of head office Keilaranta 7 02150, Espoo, Uusimaa Finland Fiscal year FY2020/12 FY2021/12 FY2022/12 Name / title of the representative Alexandre Pelletier-Normand / CEO (Units: EUR millions) Business overview Planning, development, management, and distribution of mobile games, as well as licensing of Angry Birds IP Consolidated net assets 165.4 197.5 226.8 Consolidated total assets 208.4 287.0 294.3 Capital Establishment EUR 0.7 million (as of December 31, 2022) NAV per share on a consolidated basis (euro) 2.27 2.66 2.73 2003 Consolidated sales 272.2 286.2 317.7 MOOR Holding AB 15.57% Consolidated operating profit 42.5 37.7 28.5 Major shareholders, Adventurous Ideas Oy 7.79% and their ownership ratio (as of March 31, 2023) Profit for the period 32.1 30.1 22.8 Brilliant Problems Oy 7.79% Impera Oy Ab 6.13% EPS on a consolidated basis (EUR) 0.43 0.41 0.30 Capital relationship N/A Dividend per share (EUR) 0.12 0.12 0.13 Relationship between Human relationship N/A the Company and Rovio Business relationship N/A *Per-share figures are calculated on a fully diluted basis (assuming all outstanding options are converted into shares). Some financial figures differ from audited figures due to the figures in this document being rounded down. Applicability to Related Parties N/A Repost from document disclosed in Apr. 17, 2023, "SEGA to Acquire Rovio Entertainment Oyj❞ https://www.segasammy.co.jp/cms/wp-content/uploads/2023/04/20230417_aquisition_e.pdf -74-#75SEGASammy https://www.segasammy.co.jp/en/ir/ Cautionary Statement for Investors and Shareholders with Respect to Nevada Gaming Statutes and Regulations SEGA SAMMY HOLDINGS INC. ("the Company") is registered with the Nevada Commission as a publicly traded corporation and has been found suitable to directly or indirectly own the stock of SEGA SAMMY CREATION INC., and Sega Sammy Creation USA, Inc., both of which are subsidiaries that have been licensed as manufacturers and distributors of gaming devices in Nevada. Pursuant to Nevada law, the Company's shareholders are subject to the rules and regulations of the Nevada Gaming Authorities. A detailed explanation of Nevada gaming statutes and regulations can be found on the Company's corporate website: https://www.segasammy.co.jp/en/ir/stock/regulation/ Please visit below website for more information of products and services of SEGASAMMY. https://www.segasammy.co.jp/en/corp/group/ (Sega Sammy Group Website list) *Company / product names, etc. in this document are trademarks or registered trademarks of the respective companies.