TKP Corporation

Earnings briefing materials for 1Q of the year ending

Feb. 2020

1. Financial highlights in 1Q of the year ending Feb. 2020 2

2. Future business strategy (new medium-term plan) 12

3. Appendix 28

Agenda

Financial highlights in 1Q of the year ending

Feb. 2020 (March 1–May 31, 2019)

TKP Garden City Shinsaibashi Minamisenbaopened in June 2019

Main topics

Acquired Regus Japan Holdings (“Regus Japan”), making it a subsidiary

Opened TKP Garden City PREMIUM Ikebukuro and TKP Garden City PREMIUM Hiroshima Eki Kitaguchi

Launched APA Hotel Osaka Umeda (162 rooms in total), our first hotel in the Kansai area

We project significant

increases insales and profit

for the year

Full-year earnings forecast (YoY change) announced on June 26, 2019

(Millions of yen)

FY 2019.2(actual results)

FY 2020.2(forecast) YoY

changeAmount(Percentage of

sales)

Amount(Percentage of

sales)

Net sales 35,523(100%)

54,897(100%)

154.5%

Gross profit 13,700(38.6%)

21,420(39.0%)

156.4%

SG&A 9,433(26.6%)

14,974(27.2%)

158.7%

EBITDA 5,134(14.5%)

9,745(17.8%)

189.8%

Operating profit

4,267(12.0%)

6,446(11.7%)

151.1%

Ordinary profit 4,053(11.4%)

5,397(9.8%)

133.2%

Profit 1,894(5.3%)

3,169(5.8%)

167.3%

Overview of 1Q of the fiscal year ending Feb. 2020 (consolidated)

(Millions of yen)

1Q FY2019.2

1Q FY2020.2 YoY

changeAmount(percentage of

sales)

Amount(percentage of

sales)

Net sales 9,118(100%)

10,405(100%)

114.1%

Gross profit 3,964(43.4%)

4,562(43.8%)

115.1%

SG&A 2,199(24.1%)

2,475(23.8%)

112.6%

EBITDA 1,939(21.3%)

2,383(22.9%)

122.9%

Operating profit

1,765(19.4%)

2,087(20.1%)

118.2%

Ordinary profit 1,708(18.7%)

1,053(10.1%)

61.7%

Profit 992(10.9%)

409(3.9%)

41.2%

Profit indicates profit attributable to owners of parent

Recorded one-time non-operating expense of 800 million yen associated

with the acquisition of Regus Japan

Record-highsin both sales and operating profit

Rate of progress versus full-year forecast announced on June 26, 2019

0 1,000 2,000 3,000 4,000 5,000 6,000 7,000

Ordinary profit

Operating profit

1,053

2,087

801

Full-year forecast of 5,397 million yen

Full-year forecast of 6,446 million yen

(Millions of yen)

Rate of progress is in line with

full-year forecast

One-time expense

557 871 1,329

2,388 2,607

2,749

2,552

3,079

3,387 560

617

623

49

79

62

591

980

1,631

556

886

624

2018.2期1Q 2019.2期1Q 2020.2期1Q1Q FY2018.2 1Q FY2019.2 1Q FY2020.2

Consolidated sales by grade

STAR (－21％)

Others (－30％)

Accommodations/Training facilities (＋66％)

BC (＋1％)

CC (＋10％)

GC (＋5％)

GCP (＋53％)

(Units: millions of yen and % of YoY change)

*GCP: Garden City PREMIUM; GC: Garden City; CC: Conference Centers; BC: Business Centers; STAR: STAR rental conference rooms

Growth driven by higher grades

andaccommodations/training facilities

Room rent4,89453.7%

Options840

9.2%

Food and beverage

1,73219.0%

Accommodations834

9.2%

Others815

8.9%

Consolidated sales9,118 million yen

Consolidated sales composition by service

1Q FY2019.2 1Q FY2020.2

Share of additional services (sales other than room rent) expanded

(Units: millions of yen and % of total sales)

Room rent5,43052.2%

Options1,0059.7%

Food and beverage

1,93718.6%

Accommodations1,25712.1%

Others773

7.4%

Consolidated sales10,405 million

yen

Primary expansion in 1Q FY2020.2

Once again focused on active expansion of higher-grade units nationwide. APA Hotel Osaka Umeda became our first hotel in the Kansai area

TKP Garden City PREMIUM Hiroshima EkiKitaguchi

(Opened in April 2019)

TKP Garden City PREMIUM Ikebukuro(Opened in April 2019)

APA Hotel Osaka Umeda(Opened in May 2019)

New annex of TKP ShinbashiConference Center

(Opened in April 2019)

TKP Garden City Sendai Ekikita Annex

(Opened in April 2019)

TKP Utsunomiya Conference Center

(Opened in March 2019)

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10

Number of meeting rooms and locations by grade

Grade FY2017.2 FY2018.2 FY2019.2 1Q FY2020.2

Garden City PREMIUM

(GCP)

Rooms 113 137 223 241Locations 11 13 20 22

Garden City(GC)

Rooms 372 417 458 461Locations 32 39 46 47

Conference Center

(CC)

Rooms 796 881 992 984Locations 67 79 87 87

Business Center

(BC)

Rooms 351 313 319 314Locations 53 49 50 50

STAR rental conference

rooms

Rooms 91 88 93 94Locations 41 38 40 41

Within trainingfacilities

LecTore, Ishinoya, etc. Rooms 29

822

75210

5811

Regus JapanRooms ‐ ‐ ‐ 337

locations － － － 143

Total

Rooms 1,752 1858 2,137 2,489Locations 212 225 253 401

Floor space (m2) 277,728 339,490 379,470 478,839

*As of May 31, 2019

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11

Summary of consolidated balance sheet

Balance sheet expanded due to acquisition of Regus Japan

(Millions of yen)End-

FY2019.21Q

FY2020.2QoQ

change

QoQchange

(%)Current assets 16,747 19,100 +2,353 +14.1%(Cash and deposits) 11,967 13,225 +1,258 +10.5%(Accounts receivable) 3,355 3,732 +377 +11.2%Non-current assets 34,318 86,451 +52,133 +151.9%(Property, plant and equipment) 24,959 30,133 +5,174 ＋20.7％

Total assets 51,066 105,552 +54,486 +106.7%

Current liabilities 9,299 42,835 +33,536 +360.6%

Non-current liabilities 31,003 38,687 +7,654 +24.8%

Total liabilities 40,302 81,522 +41,220 +102.3%(Interest-bearing debt) 35,911 70,252 +34,341 +95.6%

Total net assets 10,763 24,030 +13,267 +123.3%Total liabilities and net assets 51,066 105,552 +54,486 +106.7%

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12

Future business strategy

(new medium-term plan)

SPACES Shinagawa scheduled for opening in September 2019

ｘ

13

0

50,000

100,000

150,000

200,000

1994

1998

2000

2001

2002

2003

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

2017

2018

2019

予

Flexible workspace market

The flexible workspace market in Japan is expanding

Flexible workspaces*1 in five wards*2 of Tokyo by total area

*1 Figures are the total of serviced offices and co-working offices. Flexible workspace, which is not leased based on a conventionaloffice lease agreement, is a new type of office that gives users more flexibility in choosing workspaces that match their needs. Source: A New Era for Flexible Workspace in TOKYO CBD from Jones Lang LaSalle K.K. (JLL; December 2018)

*2 Chiyoda, Chuo, Minato, Shinjuku and Shibuya

(m2)

E

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14

Potential market growth

Further market expansion is projected in the future

* Scale of office market in Japan: 20 trillion yen (TKP estimate based on surveys conducted by Mitsui Fudosan Co., Ltd., JLL, CBRE, etc.)

Source: TKP estimates based on data from CBRE, JLL, etc.

As of 2019200.0 billion yen

（1%）

Scale of flexible workspace market in the Tokyo Metropolitan area

2030 forecast(projection from JLL)

6.0 trillion yen(30%)

FIX

FLEX

FIX

FLEX

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15

Market growth potential and our strategies

Expand business three-dimensionally along with market growth

Source: TKP estimates based on data from CBRE, JLL, etc.

①Share expansion

As of 2019200.0 billion yen

(1%)

2030 forecast6.0 trillion yen

(30%)

ｘ

16

14,16217,941

21,978

28,689

35,523

54,897

68,441

76,877

2015/2期 16/2期 17/2期 18/2期 19/2期 20/2期E 21/2期E 22/2期E

Consolidated sales of approximately

77.0 billion yenin FY2022.2

(Millions of yen)

Sales targets (medium-term plan announced on June 26, 2019)

Actual results New plan

Previous plan

FY2015.2 FY2016.2 FY2017.2 FY2018.2 FY2019.2 FY2020.2target

FY2021.2target

FY2022.2target

ｘ

17

1,224

2,4113,134

4,0845,134

9,745

14,305

16,754

2015/2期 16/2期 17/2期 18/2期 19/2期 20/2期E 21/2期E 22/2期E

Profit targets (medium-term plan announced on June 26, 2019)

8782,004

2,6943,449

4,289

6,446

9,352

11,312

2015/2期 16/2期 17/2期 18/2期 19/2期 20/2期E 21/2期E 22/2期E

6.2%

11.2%12.3% 12.0% 12.1%

14.2% 14.6%

11.7%13.7%

14.7%

Operating profit and operating profit margin

(Millions of yen)

8.6%

13.4% 14.3% 14.2% 14.5%

17.8%

20.9% 21.8%

Actual results New plan

EBITDA and EBITDA margin

Actual results New plan

Previous plan

Aiming for operating profit margin of approximately 15% and an EBITDA margin of approximately 20%

(Millions of yen)

FY2015.2 FY2016.2 FY2018.2 FY2019.2FY2017.2 FY2020.2target

FY2021.2target

FY2022.2target

FY2015.2 FY2016.2 FY2017.2 FY2018.2 FY2019.2 FY2020.2target

FY2021.2target

FY2022.2target

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18

New medium-term plan

Japan

Formulated a new medium-term plan, with the fiscal year ending in February 2022 as the final year

Acquired Regus Japan and reached a long-term exclusive partnership agreement with IWG on

April 15, 2019

Income statement to be consolidated starting in 2Q

FY2020.2

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19

Regus Japan

150 locations nationwide (top in Japan)

• High-end serviced offices

• 100 locations in Japan

• Co-working spaces

• 4 locations in Japan

• Budget-priced serviced offices (not staffed)

• 46 locations in Japan

*As of July 2019 (including new locations that have been announced )

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20

New business domains

We have established a framework that enables the utilization of all kinds of idle spaces

TKP brandsTKP brands

High grade

Long-term

Regus Japan brandsRegus Japan brands

Rental conference rooms/ Hotel banquet facilitiesRental conference rooms/ Hotel banquet facilities Serviced offices and co-working spacesServiced offices and co-working spaces

Short-term

Budget-priced

Garden City

Garden CityPREMIUM

Conference Center

Business Center

STAR Rental Conference

Rooms

ｘ

21Naha

Kagoshima

Kumamoto

Kokura

Yamaguchi

Matsuyama

HIroshimaOkayama

Tottori

Kobe

Kyoto

Shiga

Toyohashi

Hamamatsu Atami/Izu

Hakone

YokohamaKawasaki

Omiya

ChibaTokyo

UtsunomiyaKaruizawaNagano

Matsumoto

Kanazawa

Sendai

MoriokaAkita

Hachinohe

Obihiro

Koriyama

Sapporo

OsakaNagoya

Aomori

Niigata

TsukubaMito

Toyama

Takamatsu

Miyazaki

259 locationsApprox.

388,000 m2

Approx. 150 locationsApprox.

105,000 m2

Approx. 409 locationsApprox. 493,000 m2

Oita

Nationwide network

409 locations in Japan comprising approximately 490,000m2

(top in Japan in terms of both total locations and area)

*As of July 2019 (including new locations that have been announced)

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22

Global network

TKP customers will be able to access all locations worldwide

CitiesMore than

1,100

Global networkGlobal network

LocationsMore than

3,300

Countries and regions

More than 120

Multi-brand portfolioMulti-brand portfolio

Europe, Middle East, Africa

Approx. 1,020locations

U.K.Approx. 330

locations

Asia PacificApprox. 690

locations

Americas Approx. 1,300

locations

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23

New management structure

Accelerating global business operation with a new management structure

Director

Shingo Nishioka• Joined Mitsui Construction Co., Ltd. (now Sumitomo Mitsui

Construction Co., Ltd.) in 1992. Joined Regus Japan as General Manager of the Asia Development and Management Department and moved on to become General Manager of Regus Group Limited and CEO of Regus Japan Holdings.

• Assumed role as director at TKP in May 2019

Outside Director

Mark Dixon• Established Regus (now IWG plc) in 1989 and assumed the

office of CEO. Became a non-executive director at Yellowstone Holdings S.à r.l. in 2007 and at Estorn Limited in 2010.

• Assumed role as outside director at TKP in May 2019

New!

Representative Director and CEO

Takateru Kawano New!

Director and COOKoji Nakamura

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24

Message from the new director,

Mark DixonPlease watch the accompanying video

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25

Merging of resources with Regus Japan, part one

Accelerating expansion through cooperative purchasing

Increase area by 270,000 tsubo

(891,000 m2) over 10 years

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26

Merging of resources with Regus Japan, part two

Improve operational efficiency through joint expansion

The opening of NishinipponShimbun Hall, our first joint opening, is scheduled for

September 2019

TKP Garden City PREMIUM Tenjin Sky Hall Regus Fukuoka Tenjin Sky Hall Center (tentative name)

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27

Triple A strategy

Anytime, Anywherefor All workers

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28

Appendix

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29

Corporate profile of Regus Japan

Name Regus GroupRegus Japan Holdings K.K.

Location of Shinjuku Park Tower, 30th floorheadquarters 3-7-1 Nishi Shinjukuin Japan Shinjuku-ku, Tokyo 163-1030

Establishment September 1998

Representative Shingo Nishioka (CEO)

Consolidated 13,249 million yenSales

No. of 250Employees (8,700 in the Regus Group)

Business Serviced offices, co-working spaces, virtual offices, rental meeting rooms

Brands Regus, Regus Express,Openoffice and SPACES

Major business Mitsubishi Estate Group, Mori Building, partners Mori Trust, Imperial Hotel, Tokyo Gas Real

Estate, Tokyu Land, NTT Urban Development, ORIX JREIT, Keihan Electric Railway, KyushuRailway, Sotetsu Building Management, and Daiei Real Estate & Development(random order)

No. of locations 3,300 in 1,100 cities in 120 countries

In Japan: More than 140 locations nationwide (in 2018)

Regus1998 Opened first location in Shinjuku Park Tower. Opened in Kamiyacho MT

Building2000 Opened in Otemachi First Square and Hibiya Imperial Hotel Tower2005 Opened in Akasaka Ark Hills and Shibuya Mark City2006 Opened five locations, including Yokohama Landmark Tower, Meieki, Osaka

Kokusai Building and Pacific Century Place Marunouchi2007 Opened in Yurakucho Itocia2008 Opened four locations, including Hankyu Grand Building in Umeda, AQUA

Hakata and Shinbashi Tokyu Building2009 Opened in Hiroshima High Building 212010 Opened six locations, including Sendai Mark One, Kobe International House,

Aoyama Place Canada and Shinagawa East One Tower2012 Opened three locations, including Sapporo Kita Building and Hankyu

Terminal Building2013 Opened four locations including Shin-Osaka Hankyu Building, Ginza Icchome

Center and one in Shin-Yokohama2014 Opened eleven facilities in Chiba, Aomori, Okayama, Ebisu, Harajuku and

elsewhere2015 Expanded into Takamatsu, Kagoshima, Naha and Hamamatsu

Opened 17 locations, including Akasaka K-Tower and units in Akihabara and Ginza San-Chome

2016 Expanded into Kanazawa. Opened ten locations, including Dai Nagoya Building, JRJP Hakata Building and Marunouchi Tekko Building. Opened Regus Express Kansai International Airport

2017 Expanded into Toyama. Simultaneously opened two locations in addition to Regus Express Hankyu Senri-Chuo

SPACES (acquired by IWG in 2014)2016 Opened a location in JP Tower Nagoya2017 Opened in Otemachi BuildingOpenoffice2012 Acquired Openoffice, a serviced office business managed by Business Bank2013 Opened four locations in Fushimi, Nagoya; Keihan Yodobashi; and elsewhere2014 Opened seven locations in Kawaramachi Oike, Kyoto; Sapporo Minami; Mito;

on Hakata Ekimae Street; and elsewhere2015 Expanded into Kokura, Kita-Kyushu and Kumamoto

Opened seven locations in Otemachi, Hiroshima; Jinnan, Shibuya; in front of Sendai Station; and elsewhere

2016 Expanded into Kumamoto, Oita and Niigata. Opened six locations, including in Tachikawa Eki Minami, Shin-Osaka Kita, Nagoya Marunouchi and elsewhere

2017 Opened in Sannomiya Minami, Kobe

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30

Accommodations/training facilities operated by TKP

FacilityNo. of guest rooms

Opened Building Land

APA Hotel TKP Sapporo Ekimae 203 August 2014 Leased ―APA Hotel TKP Sapporo-eki Kitaguchi EXCELLENT 108 August 2016 Leased ―APA Hotel TKP Nippori Ekimae 278 December 2016 Owned OwnedAPA Hotel TKP Tokyo Nishikasai 124 December 2017 Leased ―APA Hotel Keikyu Kawasaki Ekimae 143 June 2018 Owned LeasedAPA Hotel TKP Sendai Ekikita 306 October 2018 Owned OwnedAPA Hotel Osaka Umeda 162 May 2019 Owned LeasedAPA Hotel Hakata Higashi Hie Ekimae(tentative name) 206 Scheduled for February

2020 Owned Owned

APA Hotel Fukuoka Tenjin Nishi (tentative name) 268 Scheduled for May 2020 Owned OwnedAPA Hotel Ueno Hirokoji (tentative name) 215 Scheduled for July 2020 Owned OwnedLecTore Atami Shoarashi 20 November 2013 Leased ―LecTore Hakone Gora 23 January 2014 Leased ―LecTore Karuizawa 14 July 2014 Leased ―LecTore Atami Momoyama 31 July 2014 Leased ―LecTore Yugawara 108 May 2017 Owned OwnedLecTore Hayama Shonan‒Kokusaimura 160 April 2018 Owned OwnedLecTore Takamatsu Airport (banquet hall rental/ business alliance) 124 June 2018 ― ―

LecTore Yatsugatake (managed by a third party) 32 November 2018 ― ―LecTore Toyama Jiyukan (managed by a third party) 40 March 2018 ― ―LecTore Hakata Hisayama Onsen 44 June 2019 Owned OwnedIshinoya 22 January 2015 Leased ―First Cabin TKP Nagoya Station 199 September 2017 Owned OwnedFirst Cabin TKP Ichigaya 165 November 2018 Leased ―

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31

Important Notice

This English translation is only intended for reference. In cases of discrepancies, data contained within the original Japanese version shall take precedent over data contained herein.

This material has been prepared to improve the understanding of our Group, and no information contained herein shall be construed as solicitation for purchase or sale of our shares. This material has not been prepared for investment advisory purposes.

Forecasts and related information contained in this material are estimates which were based on information available to the TKP group at the time when the material was prepared. They will be impacted by uncertainties including market conditions and future business progress.

Please be aware that the actual results and other information may differ significantly from what is stated in this material.