Notice Regarding Differences from Previous Fiscal Year Results in Individual Performance

Performance Overview

For the fiscal year ending February 2026, individual performance recorded net sales of 124,736 million yen, operating income of 7,612 million yen, ordinary income of 9,818 million yen, and net income attributable to owners of parent of 5,459 million yen. Compared to the previous fiscal year, net sales decreased by 46.0%, operating income by 43.4%, ordinary income by 34.1%, and net income attributable to owners of parent by 49.4%, indicating significant declines. These are mainly due to the company split (absorption-type split) conducted on September 1, 2025, whereby apparel and miscellaneous goods-related businesses were transferred to fully-owned subsidiary Adastria Co., Ltd., and the company transitioned to a pure holding company, limiting revenue recognition in individual performance to a six-month period in the current fiscal year.

Impact on Shareholders and Consolidated Performance

This company split was an organizational restructuring within the group and is explicitly stated to have no negative impact on consolidated performance. The significant decrease in individual performance reflects changes in the revenue recognition period as a pure holding company. Investors should monitor trends in consolidated performance. Net income per share is 234.52 yen; although comparison with the previous fiscal year is unknown, it reflects the decline in individual performance.