Financial Summary for the Third Quarter of Fiscal Year Ending February 2026〔IFRS〕(Consolidated)

Overview of Business Performance

During the cumulative consolidated period for the third quarter of the fiscal year ending February 2026, sales revenue increased to JPY 207.938 billion (24.5% Year-over-Year), operating income rose to JPY 15.894 billion (11.3% YoY), and net income attributable to owners of the parent company reached JPY 9.745 billion (16.3% YoY), showing growth in both revenue and profits. Although the brand business failed to meet the core operating income plan due to sluggish sales in some apparel brands, the platform business achieved significant profit growth and the lifestyle brands performed favorably, resulting in an overall increase in profits. The acquisition of full ownership of Narumiya International Co., Ltd. increased the parent's equity stake, contributing to the achievement of the financial and capital strategy goal of reducing shareholder capital cost.

Segment Performance and Financial Position

The brand business recorded sales revenue of JPY 144.780 billion (1.2% decrease Year-over-Year) and core operating income of JPY 8.189 billion (6.8% decrease YoY), resulting in declines in revenue and profits. The digital business posted sales revenue of JPY 23.022 billion (11.4% decline YoY) and core operating income of JPY 1.545 billion (23.7% decrease YoY), also reflecting reduced revenue and profits. However, the platform business achieved substantial growth with sales revenue of JPY 100.929 billion (72.2% YoY increase) and core operating income of JPY 3.688 billion (120.4% YoY increase). Total assets were JPY 273.147 billion, total liabilities were JPY 180.305 billion, and total equity was JPY 92.841 billion. Profitability of capital also improved with ROE at 14.1% and ROIC at 9.1%.