Sparx Group Co., Ltd. · TSE:8739

Sparx — Q2 FY2026 Earnings Presentation

46 slides from Sparx's earnings presentation, Oct 30, 2026

1. Slide 1: FY2026 2nd Quarter Earnings Presentation

   FY2026 2nd Quarter Earnings Presentation (Apr.2026 – Sep.2026) SPARX Group Co., Ltd. October 30, 2026 Securities code: 8739

2. Slide 2: Company Profile

   Company Profile SPARX is an independent investment company. Since our founding, we have pursued the intrinsic value of companies through a disciplined investment approach grounded in our thorough bottom-up approach and the unique investment philosophy. ▍ Corporate Profile President and Group CEO Com

3. Slide 3: Corporate Philosophy

   Corporate Philosophy Pur pose To make the world wealthier, healthier, and happier To be the most trusted and respected V ision investment company in the world Mission Bring ever-better investments to the world Copyright ©SPARX Group Co., Ltd. All Rights Reserved. 3

4. Slide 4: Index

   Index 01. FY2026 Q2 Highlights 02. Financial Results for FY2026 Q2 03. Overview of Four Pillars 04. Appendix Copyright ©SPARX Group Co., Ltd. All Rights Reserved. 4

5. Slide 5: FY2026 Q2 Highlights

   01. FY2026 Q2 Highlights

6. Slide 6: FY2026 Q2 Highlights

   FY2026 Q2 Highlights ▍Overview for financial results Historical Historical High High Profit attributable to ROE Operating Revenue Operating profit Base Earnings owners of parent （Annualized） 11,811 million 5,827 million 4,958 million 24.4 % 4,723 million (increase by 36.7%) (increase by 58.4%) (incr

7. Slide 7: AUM and Base Earnings Continue to Grow Steadily

   AUM and Base Earnings Continue to Grow Steadily AUM reached a record high of JPY 2,661.8 billion at the end of August 2026 and stood at JPY 2,642.9 billion at the end of September 2026, bringing JPY 3 trillion in AUM milestone even closer than before. Base Earnings for the first half of the fiscal y

8. Slide 8: Shareholder Returns (1): Interim Dividend

   Shareholder Returns (1): Interim Dividend An interim dividend of JPY 55 per share has been declared. We decide shareholder return by comprehensively examining the business performance, financial condition and return ratio, as well as the timing and method, among others, while considering stability a

9. Slide 9: Shareholder Returns (2): Acquisition and Cancellation of Treasury Shares

   Shareholder Returns (2): Acquisition and Cancellation of Treasury Shares Upon careful consideration of capital allocation after considering the Company's financial position, growth investments, and a portion of profits that have temporarily recognized such as performance fees and extraordinary profi

10. Slide 10: Financial Results for FY2026 Q2

    02. Financial Results for FY2026 Q2

11. Slide 11: FY2026 Q2 Status of key management indicators

    FY2026 Q2 Status of key management indicators Historical Comparatively Historical High Historical High High Management fee rate Management fees Base Earnings Assets Under Management Performance fees (after deducting commissions) (after deducting commissions) YoY YoY YoY +26.9% +39.2% Compared to the

12. Slide 12: FY2026 Q2 AUM Overview

    FY2026 Q2 AUM Overview AUM in September-end 2026 increased by 25.1% year-on-year, driven in part by the stock market. Average AUM rose by 27.2% year-on- year. monthly AUM trends Average AUM YoY Japanese Equity OneAsia Real Asset Private Equity Rate of +25.1% FY2025 Q2 FY2026 Q2 (unit: billion yen) (

13. Slide 13: FY2026 Q2 Consolidated Financial Highlights

    FY2026 Q2 Consolidated Financial Highlights Operating profit rose by 58.4%, mainly due to increases in management fees and performance fees. ROE increased by 7.5 percentage points year on year. FY2025 Q2 FY2026 Q2 YoY change （Unit: million yen） Management fees (before deducting commissions paid) inc

14. Slide 14: FY2026 Q2 Consolidated Balance Sheet

    FY2026 Q2 Consolidated Balance Sheet The industry the Company belongs to is significantly influenced by economic and market conditions. Thus, cash and cash equivalents are efficiently managed at a level equivalent to approximately two years of recurring expenses. While maintaining the current equity

15. Slide 15: Overview of Four Pillars

    03. Overview of Four Pillars

16. Slide 16: Focus on Alternative Investment Strategy

    Focus on Alternative Investment Strategy Compared with the end of March 2016, AUM grew 2.5x for traditional strategy, 4.0x for alternative strategy. Strengthening our alternative strategy to make it one of the pillars of our business. AUM for alternative strategy Composition for Alternative AUM 192.

17. Slide 17: Diversified Investor base

    Diversified Investor base Since our founding, we have built deep relationships—primarily with overseas institutional investors—as a gateway to Japanese equity investment. With the diversification of our investment strategies into OneAsia, real assets, and private equity, our client base has become b

18. Slide 18: Overview of Japanese Equity Investment Strategy

    Overview of Japanese Equity Investment Strategy AUM rose by 17.9% supported by favorable stock market conditions. AUM growth was mainly driven by investment performance in Focus All Cap, Mid & Small Cap, Long-Short, and Value Creation strategies. AUM ● Overview of AUM (Unit: 100 million yen) March 3

19. Slide 19: Overview of OneAsia Investment Strategy

    Overview of OneAsia Investment Strategy Korean equities continued to deliver strong performance over the medium to long term. AUM for OneAsia increased by 30.6% from the previous fiscal year-end. Korean equities began receiving inflows from U.S. institutional investors in July. Inquiries have also b

20. Slide 20: Overview of Real Asset Investment Strategy (1)

    Overview of Real Asset Investment Strategy (1) Promote investing in renewable power generation businesses, including solar power generation, at 348 locations※1 in Japan. The battery-storage business, a new investment area, is steadily expanding. Korean investors have shown interest in the Hokkaido G

21. Slide 21: Overview of Real Asset Investment Strategy (2)

    Overview of Real Asset Investment Strategy (2) ▍ Signed Agreement with Tomakomai City to Promote Low-Carbon Hydrogen ▍ Renewable energy power generation facilities - B u i l d i n g a C o s t - C o m p e t i t i ve H yd r o g e n S u p p l y C h a i n M o d e l t o ※1 Ac c e l e r a t e D e p l o ym

22. Slide 22: Overview of Private Equity Investment Strategy (1)

    Overview of Private Equity Investment Strategy (1) AUM increased due to Mirai Creation Fund IV and Japan Monozukuri Mirai Fund II, which were both established in April 2026. Continue fundraising for both funds while focusing on further increasing AUM. ● Overview of AUM ＜Q2＞ AUM (New Investments Exec

23. Slide 23: Overview of Private Equity Investment Strategy (2)

    Overview of Private Equity Investment Strategy (2) ▍IPO Mirai Creation Fund I reposted Mirai Creation Fund Ⅲ Listed on the Scheduled to list on the TSE Growth TSE Growth Market Market in October 30, 2026 Company: TIER IV, Inc. Company: Toggle Holdings Co., Ltd. Business: Business: Development of aut

24. Slide 24: Overview of Private Equity Investment Strategy (3)

    Overview of Private Equity Investment Strategy (3) The private equity investment strategy manages multiple funds. Our multi-track approach addresses the ongoing decline in AUM caused by portfolio companies’ exits from induvial funds during the investment return period by establishing new funds, ther

25. Slide 25: Overview of Private Equity Investment Strategy (4)

    Overview of Private Equity Investment Strategy (4) ▍Domestic Venture Capital Firms Ranked by Capital Raised 1 SBI Investment 2,289 USD MN 2 JAFCO Group 1,877 USD MN 3 SPARX Group 1,772 USD MN 4 Globis Capital Partners 1,103 USD MN 5 Dimension 906 USD MN 6 University of Tokyo Edge Capital Partners 78

26. Slide 26: (Reference) Progress on the Niseko Villa Project

    （Reference）Progress on the Niseko Villa Project Since October 2025, we have been exploring the creation of new investment opportunities centered in Hokkaido and developing luxury villas in the Niseko area. Targeting both domestic and international high-net-worth individuals. Construction is progress

27. Slide 27: Appendix

    04. Appendix

28. Slide 28: Status of key management indicators

    Status of key management indicators In this material, we explain the business performance and current business conditions of our group by providing managerial accounting details rather than financial accounting. Use four key management indicators not included in the consolidated financial statements

29. Slide 29: Consolidated Earnings Summary (based on management indicators)

    Consolidated Earnings Summary (based on management indicators) FY2025 FY2026 Q2 Full year Q2 YoY change (100 millions of Average AUM yen) 19,955 21,364 25,390 +27.2% Management fee rate （％） 0.65% 0.64% 0.65% (－0.00) (After deducting commissions) Management fees (Millions of yen) 6,395 13,444 8,112 +

30. Slide 30: Quarterly Trends in Operating Revenue

    Quarterly Trends in Operating Revenue （Millions of yen） 6,400 Management Fees Performance Fees Other operating revenue 6,205 5,894 6,000 5,606 5,600 1,000 5,016 5,042 5,200 4,746 1486 803 4,659 4,800 4,462 4,191 4,254 4,227 764 4,400 1,087 3,981 589 3,819 3,821 932 378 4,000 3,739 226 205 3,471 3,44

31. Slide 31: Breakdown of Operating and General Administrative Expenses

    Breakdown of Operating and General Administrative Expenses ◼ Increases in commissions paid due to the growth in AUM of publicly offered investment trusts. ◼ Increases in personnel expenses, mainly due to higher provision for bonuses. FY2025 FY2026 （Units: Millions of yen） Q2 Full Year Q2 YoY change

32. Slide 32: Quarterly Operating and General Administrative Expenses

    Quarterly Operating and General Administrative Expenses (Unit: million yen) Ordinary expenses Commissions paid & Bonuses 3,200 3,132 2,931 2,851 2,800 2,658 2,626 2,547 2,561 2,508 2,458 2,504 2,400 2,303 2,293 2,329 1,362 1244 2,095 1,232 2,009 935 1,954 1,102 1,943 1,898 1,055 1,026 2,000 1,841 1,

33. Slide 33: Quarterly Base Earnings

    Quarterly Base Earnings ▍ Average (Unit：100 million yen) AUM(3months average） Management fee(Net) Ordinary Expense (Unit：Millions of yen) 5,000 AUM 26,000 4,000 21,000 3,000 16,000 2,000 11,000 1,000 6,000 0 FY2021 FY2022 FY2023 FY2024 FY2025 FY2026 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q

34. Slide 34: Near-term Capital Allocation Plan (FY2026–FY2028)

    <Reference>Near-term Capital Allocation Plan (FY2026～FY2028) Given that the share of investment strategies less affected by market fluctuations—such as renewable energy and private equity—has increased, resulting in a more stable business portfolio; that our financial position remains solid; and tha

35. Slide 35: Reference Hybrid Business Model

    Reference Hybrid Business Model A hybrid model that combines our traditional strategy of investing in highly profitable ▍AUM as of September-end 2026 listed stocks with the stable strategy of financing Real Assets/Private Equity Japanese Equity OneAsia Japanese OneAsia 1,791.6bn 312.7bn Equity Priva

36. Slide 36: What is the Buffet Club?

    Passing on SPARX’s Investment Philosophy through the Buffet Club, an Internal Study Group What is the Buffet Club? Study various investment philosophies, including that of renowned investor Warren Buffett. A study group where employees share SPARX’s investment philosophy and investment principles th

37. Slide 37: External Recognition toward Our Initiatives for Sustainability

    (Reference) External Recognition toward Our Initiatives for Sustainability In recognition of our sustainability efforts, SAPRX has been selected as a constituent of three ESG indices which are adopted by the largest institutional investor in the world, GPIF (Japanese Government Pension Investment Fu

38. Slide 38: Structure of Performance Fees (Related to Equity Investment Fund)

    Structure of Performance Fees (Related to Equity Investment Fund) Performance Fees are recognized for NAV per share exceeding HWM as of record date for fund （NAV per share） In case NAV per share exceeds the revised HWM ※HWM is revised ￥16,000 Basis of calculating its performance fee Performance Exam

39. Slide 39: Performance Fee Structure (Related to real asset funds)

    Performance Fee Structure (Related to real asset (renewable energy) funds) Performance fee consist mainly of 2 types We operate separate funds that focus on “greenfield investments” — from development through operation of renewable-energy power plants and “brownfield investments” — in the post-commi

40. Slide 40: Performance Fee Structure (Related to venture capital fund)

    Performance Fee Structure (Related to venture capital fund) The investment recovery amount exceeds 100% of contribution amount, and a performance fee is accrued to GP (SPARX) after the preferred dividends are paid to LP investors. ▍ Image of Performance Fee Accrual ①Total Contribution:100 ②LP prefer

41. Slide 41: Primary Investment Strategies: Composite Returns Since Valuation Began ①

    Primary Investment Strategies: Composite Returns Since Valuation Began ① ▍ Japanese Equity Active Long-Only investment strategy ▍ Japanese Equity Mid & Small Cap investment strategy 35.0 Japanese equity active long-only investment strategy Japanese equity mid & small cap investment strategy TOPIX (D

42. Slide 42: Primary Investment Strategies: Composite Returns Since Valuation Began ②

    Primary Investment Strategies: Composite Returns Since Valuation Began ② ▍ Japanese Equity Long-Short investment strategy ▍ Japanese Equity Strategic investment strategy Japanese equity long-short investment strategy Japanese equity strategic investment strategy 4.5 20.0 TOPIX (Dividend included) TO

43. Slide 43: Information

    Information We distribute videos and send information via Facebook so that you can better understand the activities of SPARX. We are working to convey the new appeal of our company. Thank you for visiting us. https://www.youtube.com/user/8739SPARX SPARX Channel https://www.youtube.com/user/8739SPARX

44. Slide 44: Disclaimer

    ◼ This report is prepared solely for the purpose of providing information to the shareholders of ◼ The term the "Firm" was redefined effective 15 October 2009 and 30 November 2010 where SPARX Group Co., Ltd. (“SPARX”) and other interested parties, and it is not intended to be a SPARX Investment & Re

45. Slide 45: About Risks Related to Investment Trusts

    ▍ About Risks Related to Investment Trusts ◼ Investment trusts invest mainly in stocks, public bonds, and real estate investment securities of ◼ Indirect costs during investment in investment trusts fluctuating value (assets in foreign currencies also include exchange risks), so their net asset valu

46. Slide 46: SPARX Group Co., Ltd.

    SPARX Group Co., Ltd. Shinagawa Season Terrace 6F, 1-2-70 Konan, Minato-ku, Tokyo, Japan 108-0075 Tel: +81-3-6711-9100 (switchboard) ■This material is only for the purpose of explaining the financial results prepared by SPARX Group Co., Ltd. and SPARX Asset Management Co., Ltd., and it is not a disc

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