INTAGE HOLDINGS Inc.

Given the nature of the information services business, the Group handles large volumes of corporate and personal information, creating a risk of unauthorized access leading to data acquisition or tampering. Although the Group has implemented security measures for externally published systems through compliance with the Personal Information Protection Act, Privacy Mark certification, ISMS, and a dedicated organization, an information leak, should it occur, could severely damage the Group's reputation and materially affect its business performance.

The Group actively pursues investment activities to secure growth in existing businesses and develop new businesses. However, if the expected investment returns are not achieved, or if problems at investee companies are discovered late, this could adversely affect business performance and business development. A similar risk arises if sufficient management resources, such as personnel, cannot be allocated to investment activities.

In the panel survey field, there is a risk that the launch of new products and the transition from data provision to solution provision may not progress as planned. In the Custom Research field, competition is intensifying due to the entry of internet survey specialist companies, requiring continuous system investment to maintain competitive advantage; if this burden becomes excessive, it could affect business performance.

The Healthcare business is highly dependent on trends in the pharmaceutical industry and faces the risk of market contraction due to a decline in new drug development in Japan. Depending on trends such as amendments to the Pharmaceuticals and Medical Devices Act and other regulations, the business environment could change significantly, affecting business performance.

In the Business Intelligence business, the policy is to strengthen industry-specific solution capabilities by leveraging the industry expertise and customer base cultivated through customer-focused services such as system operation and maintenance management. If this does not progress as planned, business performance could be affected.

Given the high proportion of highly specialized work, securing and developing personnel is a critical challenge, and with the acceleration of overseas expansion, securing global talent has become an urgent priority. The Group is continuously reviewing its personnel acquisition, development, and evaluation systems and accelerating succession planning, but if these initiatives do not progress smoothly, business performance could be affected.

In overseas business, the enactment or amendment of local laws and regulations, disruptions to business operations due to political conditions, and unexpected natural disasters or infectious disease outbreaks could affect business performance. As the Group actively pursues overseas expansion, its exposure to such changes in the external environment is correspondingly significant.

The Group has established a Management System Committee, an Internal Control Promotion Committee, and a Sustainability Committee to strengthen its compliance framework and address ESG themes. However, if these frameworks do not function adequately or are not sufficiently instilled among employees, business performance could be affected.

Since the financial statements of overseas consolidated subsidiaries denominated in local currencies are translated into Japanese yen, fluctuations in foreign exchange rates could directly affect consolidated business performance. As overseas expansion continues to grow, this foreign exchange exposure is expected to persist going forward.

The revenue sources of INTAGE HOLDINGS Inc., a listed holding company, are limited to management fees and dividends received from its subsidiary operating companies. If the financial condition of any operating company deteriorates and it becomes difficult to pay dividends, this poses a structural risk of directly and adversely affecting the standalone performance of the holding company.