Earnings Report [Japanese GAAP] (Consolidated) Interim

Overview of Results

For the second quarter of the fiscal year ending February 2027 (interim), consolidated net sales were 88,905 million yen, a substantial increase of 34.4% year-over-year. Operating income was 995 million yen and ordinary income was 1,929 million yen, both exceeding the previous year. Net income was 1,117 million yen, a slight decrease of 14.9% year-over-year. The addition of two newly consolidated subsidiaries led to a decline in gross profit margin while simultaneously improving the SG&A expense ratio. Full-year forecasts are unchanged from those announced at the time of publication. By segment, apparel-related businesses remained solid and other businesses also posted revenue increases.

Outlook and Impact for Investors

While interim results show a large increase in net sales, interim net income decreased. The definitive goodwill amounts arising from newly consolidated companies have been disclosed, and attention should be paid to future amortization burdens. Full-year earnings forecasts remain unchanged, and exchange rate movements and trends in imported brands may continue to affect performance. No additional information on capital policy or dividends is provided in this document.