Fiscal Year Ending February 2026 Q3 Financial Summary [Japanese GAAP] (Consolidated)

Overview of Performance

During the cumulative consolidated period of Q3 for the fiscal year ending February 2026, consolidated operating revenue was ¥353,821 million (2.2% decrease YoY) and operating income was ¥37,267 million (10.3% decrease YoY). Net income attributable to owners of parent for the quarter was ¥29,722 million (14.0% increase YoY), securing profit growth. In the domestic department store sector, revenue and profit declined following the pullback in inbound demand; however, domestic customer sales remained steady, with a focus on strengthening product capabilities and customer base. Overseas department store operations saw increased profits in Singapore, declines and losses in Shanghai and Siam, and both revenue and profit growth in Ho Chi Minh. Domestic commercial development experienced revenue increase despite renovation effects, while overseas commercial development saw declines in both revenue and profit, though projects in Vietnam progressed smoothly. The finance sector recorded revenue and profit growth due to increased card transaction volume and M&A effects, with the construction sector also achieving revenue and profit increases.

Financial Position and Outlook

Total assets increased to ¥1,336,975 million compared to the previous fiscal year-end, with liabilities also rising; however, net assets increased to ¥504,490 million, resulting in an equity ratio of 35.7%. Cash flow from operating activities was ¥43,731 million, down from the same period last year, while cash outflows from investing and financing activities decreased. No revisions have been made to the consolidated earnings forecast for the fiscal year ending February 2026. As part of strengthening shareholder returns, a resolution was passed to purchase and retire bonds with stock acquisition rights, and the cancellation of treasury stock was suspended, aiming to eliminate dilution concerns and enhance shareholder value.