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

Overview of Business Results for the Fiscal Year Ending February 2026

For the fiscal year ending February 2026, consolidated results were: operating revenue JPY 569,312 million (up 8.6% YoY), operating income JPY 27,236 million (up 5.8% YoY), ordinary income JPY 27,361 million (up 5.2% YoY), and net income attributable to owners of the parent JPY 16,834 million (up 36.8% YoY), achieving increases in both revenue and profit. The main factors included the increase in stores for the Sunny business acquired in August 2024 and sales growth following recovery from the previous year's system disruption. Selling, general and administrative expenses increased 7.3% due to higher personnel and rental costs, but operating income still increased. By segment, retail business operating revenue was JPY 551,029 million (up 8.7% YoY), operating income JPY 20,782 million (up 4.0% YoY), and retail-related businesses operating revenue was JPY 53,922 million (up 12.5% YoY), operating income JPY 5,997 million (up 8.8% YoY).

Financial Position and Future Outlook

At the end of the fiscal year ending February 2026, total assets were JPY 595,383 million, net assets JPY 307,939 million, and the equity ratio was 49.4%. Cash flow from operating activities significantly increased to JPY 64,515 million, while cash outflow from investing activities was JPY 19,613 million, and cash outflow from financing activities was JPY 32,531 million. A stock split converting common stock 1 share into 3 shares was conducted on March 1, 2026, aiming to improve liquidity and broaden the investor base. Earnings guidance for the fiscal year ending February 2027 projects operating revenue of JPY 587,100 million (up 3.1% YoY), operating income of JPY 29,000 million (up 6.5% YoY), and net income attributable to owners of the parent of JPY 17,400 million (up 3.4% YoY). The company has formulated its Third Medium-Term Management Plan, aiming for sustainable growth as a community-oriented comprehensive lifestyle industry.