e-LogiT co.,ltd. Financial Summary for the Second Quarter of the Fiscal Year Ending March 2027 (Interim) [Japanese GAAP] (Non-consolidated)

Business Performance Overview

For the interim period, net sales decreased to 4,305,546 thousand yen (Year-over-Year -5.1%). Due to an increased cost of sales ratio and higher personnel and outsourcing expenses, the company recorded an operating loss of 301,925 thousand yen, an ordinary loss of 303,925 thousand yen, and an interim net loss of 582,341 thousand yen. The main factors were the impact of the closure of the Osaka Fulfillment Center and the deterioration in profitability of the Northmall business. The recognition of impairment losses also contributed. Full-year earnings forecasts have been revised downward. The financial position shows cash of approximately 1,128,695 thousand yen and a decline in the equity ratio to 42.9%.

Outlook and Strategy

Under the new management structure, the company will work on restoring profitability by enhancing profitability controls, improving site operation productivity, expanding the revenue base by eliminating vacant capacity, strengthening management systems, and stabilizing the financial base. In the short term, it will promote fixed-cost reviews and optimize business structure, and accelerate decision-making through monthly budgeting and improved management accounting. Although funding is currently secured, uncertainties remain and notes regarding the going concern assumption should continue to be monitored.