Zenrin : Rolling Plan for Medium-to Long-Term Business Plan "ZENRIN GROWTH PLAN 2025"

April 28, 2022

FOR IMMEDIATE RELEASE

Name of listed company: ZENRIN Co., Ltd. Representative: Zenshi Takayama

President and CEO

(Securities code: 9474)

Contact: Yumiko Toshima Executive Officer, and Head of Corporate Management Division

(TEL: +81-93-882-9050)

Rolling Plan for Medium- to Long-Term Business Plan "ZENRIN GROWTH PLAN 2025"

ZENRIN Co., Ltd. (Head Office: Kitakyushu City, Fukuoka Prefecture, President and CEO: Zenshi Takayama, hereafter "ZENRIN") announces that, regarding the medium- to long-term business plan "ZENRIN GROWTH PLAN 2025" (hereafter "ZGP25") , of which ZENRIN is currently in the 1st Stage (from fiscal 2020 through fiscal 2022), the rolling plan for the 2nd Stage (from fiscal 2023 through fiscal 2025) was resolved at the board of directors meeting held today based on the results of the 1st stage as follows.

1. Progress of ZGP25 1st Stage

In ZGP25, ZENRIN has set up and worked on the following three basic policies under the theme of "optimization of 'quality and quantity' in network society."

1. To create value from "activities" by connecting usage applications in business activities
2. To promote diversification of "goods" by connecting location information in production activities
3. To develop human capital from "people" by connecting individual wisdom to support business and production activities

Positioning the 1st Stage from the fiscal year ending March 31, 2020 through the fiscal year ending March 31, 2022 as the "Business model transformation period," ZENRIN has been working to enhance values to customers and strengthen the earnings base through the selective use of business models.

(Main achievements and issues in the ZGP25 1st Stage)

• As the result of efforts to plan and expand sales of packaged products, the shift from flow-type business to stock-type business has steadily progressed.
• With the development of the circulation platform, an environment has been created in which various spatial information can be retrieved according to the various functions of the services. This has made it possible to develop applications and provide packaged products for solving business problems of companies.
• In addition, ZENRIN has begun to develop a high-precision 3D map database that is indispensable for the realization of automated driving/safe driving support systems (AD/ADAS), drone operation management, smart cities, etc., and has also been actively involved in the alliance business.
• ZENRIN also took on the challenge of consumer business fields such as the map design business and tourism-type MaaS, and strengthened individual initiatives for new business areas.
• On the other hand, ZENRIN believes that the results were severe in terms of business performance due to the spread of COVID-19 infection and the impact of reduced production and

sluggish sales of automobiles. ZENRIN recognizes that the automotive business and marketing solution business are greatly affected by changes in the external environment, and improving profitability through our own services, including stock-type services, is our top priority.

2. Overview of ZGP25 2nd Stage

ZENRIN Group's policy is sustainability management, which aims for sustainable corporate growth by supporting the resolution of social issues through the provision of location information. In the 2nd Stage, which is the three period from the fiscal year ending March 31, 2023 through the fiscal year ending March 31, 2025, ZENRIN will first aim to recover the sluggish business performance due to the COVID-19 pandemic in order to leap to the next growth stage. Furthermore, ZENRIN will work on innovation of location information to create new value by optimizing location and information in circulation for the social issues that have become apparent.

(Initiatives to achieve the goal)

I. Business policy

• ZENRIN will stabilize the profitability of existing businesses by;
• 1. Expanding stock-type services by launching packaged products and on-demand services that capture market needs
  2. Expanding our market share in the existing navigation business.
• ZENRIN will promote profit growth by providing solutions for problems in the real estate, logistics, financial industries, etc.
• ZENRIN will aim to monetize by establishing business models to support the resolution of regional issues such as smart cities and drone logistics.
• ZENRIN will accelerate its efforts in consumer businesses such as tourism-type MaaS and map design products, and continue to invest in commercialization.

II. Production policy

In order to respond widely to smart cities, DX promotion in overall society, and a diversifying mobility society, ZENRIN will build up a high-precision network database that collects and manages all information related to location and connects it appropriately.

ZENRIN will continue to work on improving the accuracy of spatio-temporal information with diversity and expandability so that spatial information that is the basis of network databases and information in circulation in the world can be connected agilely and utilized flexibly.

III. Organizational and personnel policies

ZENRIN aims to be a corporate group that is trusted by stakeholders, in which diverse human capital vigorously playing active roles in a vibrant organization.

In the ZENRIN Group, we consider that fostering human capital who can respond to management strategies and changing business environments is the material for value creation, and by introducing and operating various systems that contribute to improving the level of employee engagement, ZENRIN will continue to work on "reform of job satisfaction".

Furthermore, with the aim of reducing the environmental burden, ZENRIN will work to reduce greenhouse gas emissions in our business activities.

IV. Financial policy

While maintaining a sound financial base by securing profits and improving asset efficiency, ZENRIN will continue to invest in the location information business field in order to strengthen our business base and return profits to shareholders based on profit growth.

(Performance Targets)

In ZGP25 2nd Stage, ZENRIN will work on recovering investments and improving operating profit margin as a priority issue by expanding stock-type services, creating various services and solutions from the circulation platform, and embodying business models.

(Amounts in billion yen)

(Basic Policy of Shareholder Return)

Concerning income distribution, positioning the returning of income to shareholders as a top priority, the ZENRIN Group adopts a basic policy of implementing stable, uninterrupted payments of dividends derived from income growth based on the medium- to long-term business plan on a consolidated basis. In line with this policy, the ZENRIN Group will set dividend on equity (DOE) on a consolidated basis of 3% or higher as the target.

By continuing to consider purchasing treasury shares and other undertakings with the aim of ensuring an agile capital policy and enhancing capital efficiency, the ZENRIN Group will return income to shareholders in accordance with the level of income, while taking into account the maintaining of an adequate amount of internal reserves.

The internal reserves will be used for capital investment, research and development investment and other expenditures that are indispensable for business development in the future in order to keep pace with the rapid market changes.

Please refer to the attachment for the details ZGP25.

[Disclaimer]

Any forward-looking statements contained in this document reflect the judgment of ZENRIN Co., Ltd. based on information currently available to ZENRIN Co., Ltd., and involve current or future risks and uncertainties. Actual results may vary significantly from these statements due to changes in various factors. The potential risks and uncertainties underlying such include, but are not limited to, changes in economic conditions, changes in legal regulations, delays in the development of new products, changes in customers, and natural disasters.

Table of Contents

1. Progress of ZGP25 1st Stage
2. Overview of ZGP25 2nd Stage

Appendix．Basic Policy of ZGP25

Note: This document contains forward-looking statements based on assumptions, forecasts and plans in light of information available to ZENRIN Co., Ltd. as of the preparation date of this document. Actual performance may vary significantly from the forecast figures due to various risks and uncertainties owing to global economic trends, market demand, status of competition, exchange fluctuations and other factors.

The information that appears in this document rounds down fractions to the nearest specified unit and rounds off decimals in the percentage of change to the first decimal place.