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Explanation on Operating Results
During the consolidated cumulative second quarter (from April 1, 2022 to September 30, 2022), JPX Group recorded operating revenue of ¥66,486 million (increased 1.5% from the same period of the previous fiscal year (i.e., year on year)), and operating expenses were ¥33,240 million (increased 10.2% year on year). As a result, JPX Group recorded operating income of ¥34,127 million (decreased 5.3% year on year) and income before income tax of ¥34,122 million (decreased 5.3% year on year).
In addition, net income attributable to owners of the parent company after tax was ¥23,189 million (decreased 5.6% year on year).

Explanation on Financial Position
(Assets, liabilities, and equity)
For assets and liabilities of JPX Group, “clearing business financial assets and liabilities” assumed by Japan Securities Clearing Corporation as a clearing organization and “deposits from clearing participants” deposited by clearing participants as collateral are included under both assets and liabilities. “Clearing business financial assets and liabilities” and “deposits from clearing participants” have a large impact on the amount of assets and liabilities of JPX Group due to their sizable amounts and daily fluctuations subject to changes in clearing participants’ positions. In addition, “legal guarantee funds”, “trading participant security money”, and “default compensation reserve funds” based on the rules for securing safety of financial instruments transactions and other transactions are included under both assets and either liabilities or equity. Total assets as of September 30, 2022 increased by ¥7,001,936 million from the end of the previous fiscal year to
¥78,465,370 million due mainly to an increase in “clearing business financial assets”. Excluding “clearing business financial assets”, “deposits from clearing participants”, “legal guarantee funds”, and “default compensation reserve funds”, assets increased by ¥3,337 million from the end of the previous fiscal year to ¥390,506 million. Total liabilities as of September 30, 2022 increased by ¥7,004,219 million from the end of the previous fiscal year to ¥78,143,802 million due mainly to the same increase in “clearing business financial liabilities”. Excluding “clearing
business financial liabilities”, “deposits from clearing participants”, “legal guarantee funds”, and “trading participant security money”, liabilities increased by ¥5,599 million from the end of the previous fiscal year to ¥88,132 million. Total equity as of September 30, 2022 decreased by ¥2,283 million from the end of the previous fiscal year to ¥321,568 million, due to a capital reduction as a result of dividend payment despite a capital increase from net income attributable to owners of the parent company. In addition, after excluding “default compensation reserve funds”, total equity as of the same date was ¥293,620 million.

Explanation on Forecast Information such as Consolidated Earnings Forecast, etc.

There are no revisions to the consolidated earnings forecast from the forecast figures announced in the “Consolidated financial results for the fiscal year ended March 31, 2022 (Based on IFRS), unaudited” on April 26, 2022 (hereinafter “previously disclosed material”).

There are no revisions to the dividend forecast from the forecast figures announced in previously disclosed material.