Fiscal Year Ending August 2026 Earnings Presentation (TSE Standard 3174)

Overview of Results

This consolidated financial statement includes Happiness and D Co.,Ltd., AbHeri, No., and the JUNGOLD business. Consolidated revenue for the fiscal year ending August 2026 decreased from 8,841,449 thousand yen to 8,257,267 thousand yen (YoY -6.6%). There were movements in gross profit and SG&A expenses and the recording of special losses; while the operating loss is moving toward improvement, profitability has not yet been achieved. The company will continue initiatives to improve profitability, including the effects of the acquisition in the JUNGOLD business and expanded vintage and purchase operations. The company expects to achieve profitability in the fiscal year ending August 2027.

Outlook and Management Policy

Under the medium-term management policy, the company will promote its NEW & VINTAGE strategy, circular business strategy, expansion of purchase operations, and small-store strategy. For the fiscal year ending August 2027, the company expects to return to an operating profit due to expansion of vintage and purchase operations. It aims to stabilize and improve gross margin through actual demand for bullion jewelry and expansion of the reuse market.