Summary of Consolidated Financial Results for the Fiscal Year Ended August 31, 2023

Note:

This document has been translated from the Japanese original for reference purposes only. In the event of any
discrepancy between this translated document and the Japanese original, the original shall prevail.

Summary of Consolidated Financial Results for the Fiscal Year Ended August 31, 2023
(Japanese GAAP)

October 12, 2023
Company name:
MEIKO NETWORK JAPAN CO., LTD.
Listing:
Tokyo
Securities code:
4668（URL：https://www.meikonet.co.jp）
Representative:
Kazuhito Yamashita, President & Representative Director
Inquiries:
Kouyuki Sakamoto, Senior Executive Officer, General Manager of Corporate Planning Department
Telephone:+81-3-5860-2111
Scheduled date of annual general meeting of shareholders:November 17, 2023
Scheduled date to file quarterly securities report:
November 20, 2023
Scheduled date to commencement dividend payment:
November 20, 2023
Preparation of supplementary material on quarterly financial results:
Yes
Holding of quarterly financial results briefing:
Yes (for analysts and institutional investor)(Amounts are rounded down to the nearest million yen)
1. Consolidated financial results for the fiscal year ended August 31, 2023 (From September 1, 2022 to August 31, 2023)(% indicates changes from the previous corresponding period)(1) Consolidated operating results
Profit attributable to
Net sales
Operating profit
Ordinary profit
owners of parent
Millions of yen%
Millions of yen%
Millions of yen%
Millions of yen%
Fiscal year ended
August 31, 2023
20,871
6.1
1,064 (8.9)
1,243
(3.6)
809 (17.0)
August 31, 2022
19,674
3.3
1,168
20.6
1,289
15.8
974 (14.5)
Note: Comprehensive income: For the fiscal year ended August 31, 2023: ¥1,110 million [(1.4) %]For the fiscal year ended August 31, 2022: ¥1,125 million [(4.5) %]Basic earnings
per share

Diluted earnings
per share

Return on equity

Yen

Yen

%

32.17
38.86

-

7.4
9.4

Fiscal year ended
August 31, 2023
August 31, 2022
Reference:

Ratio ofordinary profit
to total assets

Ratio ofoperating profit
to net sales

8.0
8.6

5.1
5.9

%

%

Share of profit (loss) of entities accounted for using equity method
For the fiscal year ended August 31, 2023: ¥58 million
For the fiscal year ended August 31, 2022: ¥36 million(2) Consolidated financial position
Total assets
Net assets
Equity-to-asset ratio
Millions of yen
Millions of yen%
As ofAugust 31, 2023
15,811
11,20370.9
August 31, 2022
15,43910,606
68.7
Reference: Equity
As of August 31, 2023:¥11,203 million
As of August 31, 2022:¥10,606 million

Net assets per shareyen

444.51422.84(3) Consolidated cash flows
Cash flows fromoperating activities

Cash flows frominvesting activities

Cash flows fromfinancing activities

Cash and cash
equivalents at end of
periodFiscal year ended

Millions of yen

Millions of yen

Millions of yen

Millions of yen

August 31, 2023

608

(307)

(588)

8,285

August 31, 2022

489

150

(653)

8,563

1

Summary of Consolidated Financial Results for the Fiscal Year Ended August 31, 2023

2. Cash Dividends

Fiscal year ended

Annual dividends per shareFirst
quarter-end
Yen

Secondquarter-end
Yen

Third
quarter-end
Yen

Fiscalyear-end
Yen

Total
Yen

Total cash
dividends(Total)Payout ratio(Consolidated)

Millions of yen%

Ratio ofdividends to net
assets(Consolidated)
%

557
56.6
August 31, 2022
11.00
11.00 22.00
608
74.6
August 31, 2023
12.00
12.00 24.00
Fiscal year ending
August 31, 2024
22.00
12.00 34.00
104.5(Forecast)
Note:
Details of the dividend at the end of the second quarter of the fiscal year ending August 31, 2024
Ordinary dividend: 12.00 yen Special dividend: 10.00 yen (40th Anniversary Commemorative Dividend)
3. Consolidated Financial Results Forecast for fiscal year ending August 31, 2024
(From September 1, 2023 to August 31, 2024)
Net sales
Second quarter(comulative)
Full-year

Operating profit

5.3
5.5

(% indicates year-on-year changes)
Basic
Profit attributable toearnings
owners of parent
per share

Ordinary profit

Millions of yen%

Millions of yen%

Millions of yen%

Millions of yen%

yen

10,9304.6

740(15.6)

760(24.0)

480(27.0)

19.04

22,000

5.4

1,200

12.7

1,250

0.6

820

1.4

32.53

Notes:(1) Changes in significant subsidiaries during the period. (changes in specified subsidiaries resulting in the change
in the scope of consolidation):
None(2) Changes in accounting policies, changes in accounting estimates, and restatement.
1) Changes in accounting policies caused by revision of accounting standards: Yes
2) Changes in accounting policies due to other reasons:None3) Changes in accounting estimates:
None4) Restatement:
None(3) Number of issued shares (common shares)(i) Total number of issued shares at the end of the period. (including treasury shares)
As of August 31, 2023
27,803,600 shares
As of August 31, 2022
27,803,600 shares(ii)

Number of treasury shares at the end of the period.
As of August 31, 2023
As of August 31, 2022

2,599,108 shares
2,720,058 shares(iii) Average number of shares outstanding during the period.
Fiscal year ended August 31, 2023
Fiscal year ended August 31, 2022

25,151,283 shares
25,083,542 shares

Note: Treasury stock for the fiscal year ended August 31, 2023 includes the Company's shares held by the "Stock Granting
Trust for Officers." (141,000 shares of treasury stock at the end of the fiscal year) Treasury stock for the fiscal year
ended August 31, 2022 includes the Company's shares held by the "Stock Granting Trust for Officers" and the"Stock Granting Trust for Employees" (141,000 and 121,000 shares of treasury stock at the end of the fiscal year)2Summary of Consolidated Financial Results for the Fiscal Year Ended August 31, 2023

Reference: Overview of non-consolidated financial results
1. Non-consolidated financial results for fiscal year ended August 31, 2023
(From September 1, 2022 to August 31, 2023）(1) Non-consolidated operating results（Percentages represent increases or decreases from the previous year）

Net sales

Operating income

Ordinary income

Net income

Fiscal year ended

Millions of yen%

Millions of yen%

Millions of yen%

Millions of yen%

August 31, 2023

13,4262.5

471(35.7)

535(31.8)

395(48.8)

August 31, 2022

13,100

2.6

733

20.0

784

13.5

772

(16.3)Net income per share
yen

Fiscal year ended
August 31, 2023
August 31, 2022

Fully diluted net income per
share

yen

15.72
30.78

-

(2) Non-consolidated financial situation
Total assets
Fiscal year ended
August 31, 2023
August 31, 2022
(Reference) Shareholders’ equity:

Net assets

Million yen

Million yen

Shareholders’ equity
ratio

13,015
10,66813,052
10,491
Fiscal year ended August 31, 2023:
Fiscal year ended August 31, 2022:

Net assets per share

%

yen

82.0
80.4
¥10,668 million¥10,491 million

423.30418.26* The financial statements are not subject to audit by a certified public accountant or auditing firm.
* Proper use of earnings forecasts, and other special matters.
Forward-looking statements in the document, such as earnings forecasts, are based on the information currently
available and certain assumptions that the company thinks reasonable. Actual results may differ remarkably from thestatements due to a variety of different factors.
How to obtain presentation materials and the contents of the financial results briefing.
The Company plans to hold a financial results briefing for institutional investors and analysts on October 12, 2023.
The presentation materials and audio will be posted on the Company's website promptly after the meeting.

3

Summary of Consolidated Financial Results for the Fiscal Year Ended August 31, 2023

Reference: Trend of numbers of Meiko Gijuku schools and registered students and system-wide sales
Fiscal year ended
August 31, 2022
From Sep. 1, 2021
to Aug. 31, 2022
Operating
YOY
results comparison

TermFiscal Period
Number of Meiko Gijuku directly operated schools (MNJ)

220

15

239

19

Number of Meiko Gijuku directly operated schools (MAXIS)

95

2

98

3

Number of Meiko Gijuku directly operated schools (KLINE)

41

-

40

(1)

Number of Meiko Gijuku directly operated schools (TOMONI)

42

-

42

-

Number of Meiko Gijuku directly operated schools (One link)

22

2

21

(1)

Number of Meiko Gijuku directly operated schools (Cooth)

16

16

18

2

Subtotal number of Meiko Gijuku directly operated schools

436

35

458

22

Number of Meiko Gijuku franchised schools

1,339

(27)

1,296

(43)

Total number of Meiko Gijuku schools

1,775

8

1,754

(21)

15,902900

16,992

1,090

6,634

(373)

6,539

(95)

2,879

(73)

2,830

(49)

2,265

37

2,140

(125)

947

62

871

(76)

1,168

1,168

1,183

15

29,795

1,721

30,555760

69,236(5,141)

65,176(4,060)Total number of registered students of Meiko Gijuku schools

99,031

95,731

Sales from Meiko Gijuku directly operated schools(Millions of yen)

12,186(3,420)629

12,680(3,300)

Sales from Meiko Gijuku franchised schools *1(Millions of yen)

4,525

20

4,266

(259)

Sales from Japanese language schools(Millions of yen)

815

(25)

1,120

305

Sales from others(Millions of yen)

2,147

11

2,803

656

Total Sales(Millions of yen)

19,674635

20,871

1,196

12,186629

12,680493

24,332(1,644)23,096(1,235)36,519(1,015)35,777(741)

Number of registered students of Meiko Gijuku directly
operated schools (MNJ)
Number of registered students of Meiko Gijuku directly
operated schools (MAXIS)
Number of registered students of Meiko Gijuku directly
operated schools (KLINE)
Number of registered students of Meiko Gijuku directly
operated schools (TOMONI)
Number of registered students of Meiko Gijuku directly
operated schools (One link)
Number of registered students of Meiko Gijuku directly
operated schools (Cooth)
Subtotal mumber of registered students of Meiko Gijuku directly
operated schools
Number of registered students of Meiko Gijuku franchised
Schools

Sales from Meiko Gijuku directly operated schools(Millions of yen)
System-wide sales from Meiko Gijuku franchised schools(Millions of yen)
Total system-wide sales from Meiko Gijuku schools*2(Millions of yen )*Fiscal year ended
August 31, 2023
From Sep. 1, 2022
to Aug. 31, 2023
Operating
YOY
results comparison

1
2

493

Sales from Meiko Gijuku franchised schools represent royalty revenues and sales of products.
Total system-wide sales from Meiko Gijuku schools represent the sum of total sales of Meiko Gijuku directly operated
schools, including tuition, materials fees, and examination fees, and the total sales of Meiko Gijuku franchised schools,
including tuition. Materials fees and examination fees of franchised schools are excluded.
4Summary of Consolidated Financial Results for the Fiscal Year Ended August 31, 2023

Consolidated Financial Statements and Major Notes(1) Consolidated statement of Balance Sheets
Fiscal year ended
August 31, 2022
(As of August 31,2022)
AssetsCurrent assets
Cash and deposits
Accounts receivable - trade
Securities
MerchandiseWork in process
Supplies
Advance payments to suppliers
Prepaid expenses
Other
Allowance for doubtful accounts
Total current assets
Non-current assets
Property, plant and equipment
Buildings and structures
Accumulated depreciation
Buildings and structures, net
Tools, furniture and fixtures
Accumulated depreciation
Tools, furniture and fixtures, net(Millions of yen)
Fiscal year ended
August 31, 2023
(As of August 31,2023)

8,755
977
95
13
7
16
329
243
(33)
10,405

8,472
1,038
100
123
13
10
28
357
309
(34)
10,421

1,290
(780)
509
394
(340)
53

1,416
(833)
582
415
(359)
55

49
35
(23)
11
624

48
19
(13)
6
693

Land
Leased assets
Accumulated depreciation
Leased assets, net
Total property, plant and equipment
Intangible assets
Goodwill
Software
Software in progress
Telephone subscription right
Total intangible assets
Investments and other assets
Investment securities
Long-term prepaid expenses
Deferred tax assets
Leasehold and guarantee deposits
Long-term time deposits
Other

422
180
4
607

292
163
20
4
482

2,452
22
233
949
100
44

2,809
26
98
1,022
100
158

Total investments and other assets
Total non-current assets
Total assets

3,801
5,033
15,4394,214
5,390
15,8115

Summary of Consolidated Financial Results for the Fiscal Year Ended August 31, 2023

(Millions of yen)
Fiscal year ended
August 31, 2023
(As of August 31,2023)

Fiscal year ended
August 31, 2022
(As of August 31,2022)
Liabilities
Current liabilities
Accounts payable - trade
Accounts payable - otherAccrued expenses
Income taxes payable
Accrued consumption taxes
Contract liabilities
Lease liabilities
Deposits received
Provision for bonuses
Other
Total current liabilities
Non-current liabilities
Retirement benefit liability
Provision for share awards for directors (and otherofficers)
Provision for share awards
Long-term accounts payable-other to employees
Long-term accounts payable-other to officers
Deferred tax liabilities
Lease liabilities
Asset retirement obligations
Long-term guarantee deposits
Total non-current liabilities
Total liabilities
Net assets
Shareholders' equity
Share capital
Capital surplus
Retained earnings
Treasury shares
Total shareholders' equity
Accumulated other comprehensive income
Valuation difference on available-for-sale securities
Foreign currency translation adjustment
Total accumulated other comprehensive income
Total net assets
Total liabilities and net assets

6

128
231
1,179
570
195
1,148
1
85
434
44

157
138
1,204
166
231
1,218
2
132
445
62

4,019

3,759

121

135

26

36

62
84
117
9
10
380
1
813
4,833

79
116
67
4
406
1
848
4,607

972
909
10,959(2,779)10,062972
909
11,184(2,707)
10,358

521
21
543

815
29
844

10,606
15,439

11,203
15,811

Summary of Consolidated Financial Results for the Fiscal Year Ended August 31, 2023

(2) Consolidated statements of profit or loss and comprehensive income
Consolidated statements of profit or loss

(Millions of yen)
Fiscal year ended
August 31, 2023
(from Sep. 1, 2022
to Aug. 31, 2023)

Fiscal year ended
August 31, 2022
(from Sep. 1, 2021
to Aug. 31, 2022)
Net sales
Cost of sales
Gross profit

19,674
14,627
5,047

20,871
15,8195,051

Selling, general and administrative expenses
Advertising expenses
Promotion expenses
Provision of allowance for doubtful accounts
Remuneration for directors (and other officers)
Salaries and allowances
Bonuses
Provision for bonuses
Retirement benefit expenses
Provision for share awards for directors (and other officers)
Provision for share awards
Commission expenses
Depreciation
Rent expenses
Amortization of goodwill
Other

524
1,049
10
294
384
67
44
10
14
4
340
33
266
91
742

437
981
18
317
464
34
52
7
10
3
305
46
291
129
884

3,878
1,168

3,987
1,064

10
27
36
14
3
12
27
132

11
30
58
25
14
0
21
39
201

0
6
1
3
11
1,289

7
11
3
22
1,243

Total selling, general and administrative expenses
Operating profit
Non-operating income
Interest income
Dividend income
Share of profit of entities accounted for using equity method
Rental income
Reversal of allowance for doubtful accounts
Subsidy income
Penalty income
Other
Total non-operating income
Non-operating expenses
Interest expenses
Loss on investments in investment partnerships
Commission expenses
Rental expenses
Other
Total non-operating expenses
Ordinary profit

7

Summary of Consolidated Financial Results for the Fiscal Year Ended August 31, 2023

(Millions of yen)
Fiscal year ended
August 31, 2023
(from Sep. 1, 2022
to Aug. 31, 2023)

Fiscal year ended
August 31, 2022
(from Sep. 1, 2021
to Aug. 31, 2022)
Extraordinary income
Gain on sale of property, plant and equipment
Gain on sale of investment securities
Gain on sale of shares of subsidiaries and associates
Total extraordinary income
Extraordinary losses
Loss on change in equity
Loss on sale of non-current assets
Loss on retirement of property, plant and equipment
Extra retirement payments
Loss on store closings
Impairment losses
Other
Total extraordinary losses
Profit before income taxes
Income taxes - current
Income taxes - deferred
Total income taxes
ProfitProfit attributable to owners of parent

8

623
623

0
149
150

0
24
15
99
3

9
1
2
26
2

143
1,769
858
(63)
794
974
974

42
1,350
478
63
541
809
809

Summary of Consolidated Financial Results for the Fiscal Year Ended August 31, 2023

Consolidated statements of comprehensive income

ProfitOther comprehensive income
Valuation difference on available-for-sale securities
Share of other comprehensive income of entities accounted forusing equity method
Total other comprehensive income
Comprehensive income
Comprehensive income attributable toComprehensive income attributable to owners of parent

9(Millions of yen)
Fiscal year ended August Fiscal year ended August
31, 2022
31, 2023(from Sep. 1, 2021
(from Sep. 1, 2022
to Aug. 31, 2022)
to Aug. 31, 2023)
974
809
144

293

6

7

151
1,125

301
1,110

1,125

1,110

Summary of Consolidated Financial Results for the Fiscal Year Ended August 31, 2023

(3) Consolidated statement of change in shareholder's equity
Previous consolidated fiscal year (From September 1, 2021 to August 31, 2022)(Millions of yen)

Shareholder’s equity
Capitalsurplus

Share capital
Balance at beginning of period
Cumulative effects of changes inaccounting policies
Balance at beginning of current
period reflecting change inaccounting policy
Changes during period

972

Retainedearnings

909

Treasuryshares

10,529(2,779)

(12)
972

909

10,517

Dividends of surplus
Profit attributable to owners ofparentPurchase of treasury shares

Total
shareholders'equity9,632(12)(2,779)

9,620

(532)

(532)

974

974
-

Disposal of treasury shares
Change of scope of consolidation
Net changes in items other thanshareholders' equity
Total changes during period
Balance at end of period

-

-

-

442

-

442

972

909

10,959(2,779)10,062

Accumulated other comprehensive income

Balance at beginning of period
Cumulative effects of changes inaccounting policies
Balance at beginning of current
period reflecting change inaccounting policy
Changes during period

Valuationdifference on
available-for-salesecurities
377

Foreign currencytranslation
adjustment
15

Total accumulated
othercomprehensive
income392

Total net
assets
10,025
(12)

377

15

392

Dividends of surplus
Profit attributable to owners ofparentPurchase of treasury shares

10,012

(532)
974
-

Disposal of treasury shares-

Change of scope of consolidation
Net changes in items other thanshareholders' equity
Total changes during period

144

6

151

151

144

6

151

593

Balance at end of period

521

21

543

10,60610

Summary of Consolidated Financial Results for the Fiscal Year Ended August 31, 2023

Current consolidated fiscal year (From September 1, 2022 to August 31, 2023)(Millions of yen)

Shareholder’s equity
Capitalsurplus

Share capital
Balance at beginning of period

972

Retainedearnings

909

Treasuryshares10,959(2,779)Total
shareholders'equity10,062

Changes during period
Dividends of surplus
Profit attributable to owners ofparentPurchase of treasury shares

(582)

(582)

809

809

Disposal of treasury shares
Change of scope of consolidation
Net changes in items other thanshareholders' equity
Total changes during period
Balance at end of period

Balance at beginning of period

(0)

(0)

71

71

(1)

(1)

-

-

-

-

224

71

296

972

909

11,184(2,707)

10,358

Accumulated other comprehensive income
Valuation
Total accumulated
Foreign currency
difference onothertranslation
available-for-salecomprehensive
adjustment
securities
income521
21
543

Total net
assets
10,606

Changes during period(582)

Dividends of surplus
Profit attributable to owners ofparent809

Purchase of treasury shares(0)

Disposal of treasury shares

71

Change of scope of consolidation
Net changes in items other thanshareholders' equity

(1)
293

7

301

301

Total changes during period

293

7

301

597

Balance at end of period

815

29

844

11,20311

Summary of Consolidated Financial Results for the Fiscal Year Ended August 31, 2023

(4) Consolidated statements of cash flows
Fiscal year ended
August 31, 2022
(from Sep. 1, 2021
to Aug. 31, 2022)
Cash flows from operating activities
Profit before income taxes
Depreciation
Impairment losses
Amortization of intangible assets
Amortization of goodwill
Increase (decrease) in allowance for doubtful accounts
Increase (decrease) in provision for bonuses
Increase (decrease) in retirement benefit liability
Increase (decrease) in provision for share awards for directors (andother officers)
Increase (decrease) in provision for share awards
Loss (gain) on sale of investment securities
Loss (gain) on sale of shares of subsidiaries and associates
Interest and dividend income
Subsidy income
Penalty income
Interest expenses
Share of loss (profit) of entities accounted for using equity method
Loss (gain) on change in equity
Loss (gain) on investments in investment partnerships
Rental income
Rent expenses
Loss (gain) on sale of property, plant and equipment
Loss on retirement of property, plant and equipment
Extra retirement payments
Loss on store closings
Decrease (increase) in trade receivables
Decrease (increase) in inventories
Increase (decrease) in trade payables
Increase (decrease) in accrued consumption taxes
Increase (decrease) in accrued expenses
Decrease (increase) in other assets
Increase (decrease) in other liabilities
SubtotalInterest and dividends received
Interest paid
Income taxes paid
Subsidies received
Penalty income received
Net cash provided by (used in) operating activities

12(Millions of yen)
Fiscal year ended
August 31, 2023
(from Sep. 1, 2022
to Aug. 31, 2023)

1,769
160
99
3
91
(0)
28
6

1,350
173
26
20
129
1
11
14

14

10

27
(623)
(38)
(12)
0
(36)
(14)
1
0
24
15
(193)
13
10
(147)
17
81
(144)
1,156
37
(0)
(716)
12
489

9
(149)
(42)
(0)
(21)
(58)
9
7
(25)
11
0
2
(51)
(31)
26
35
11
35
(7)
1,502
44
(959)
0
21
608

Summary of Consolidated Financial Results for the Fiscal Year Ended August 31, 2023

Cash flows from investing activities
Proceeds from redemption of securities
Purchase of property, plant and equipment
Proceeds from sale of property, plant and equipment
Purchase of intangible assets
Purchase of investment securities
Proceeds from sale of investment securities
Proceeds from redemption of investment securities
Purchase of shares of subsidiaries resulting in change inscope of consolidation
Payments of guarantee deposits
Proceeds from refund of guarantee deposits
Decrease (increase) in time deposits
Other, net
Net cash provided by (used in) investing activities
Cash flows from financing activities
Repayments of borrowings
Purchase of treasury shares
Dividends paid
Repayments of lease liabilities
Net cash provided by (used in) financing activities
Net increase (decrease) in cash and cash equivalents
Cash and cash equivalents at beginning of period
Increase in cash and cash equivalents resulting from inclusionof subsidiaries in consolidation
Cash and cash equivalents at end of period

Fiscal year ended August
31, 2022(from Sep. 1, 2021
to Aug. 31, 2022)(Millions of yen)
Fiscal year ended August
31, 2023(from Sep. 1, 2022
to Aug. 31, 2023)

100
(112)
(92)
(158)
727
100

(145)
2
(107)
(113)
150
100

(233)

-

(37)
4
(105)
(42)
150

(109)
22
4
(111)
(307)

(116)
(532)
(4)
(653)
(13)
8,577

(0)
(582)
(5)
(588)
(287)
8,563

-

9

8,563

8,285

(5) Notes on Consolidated Financial Statements(Notes on the Going Concern Assumption)
Not applicable(Change in Accounting Policies)
Application of Accounting Standard for Fair Value Measurement Guidelines
We applied the "Accounting Standard for Fair Value Measurement Guidelines" from the beginning of thecurrent consolidated fiscal year.We have decided to apply the new accounting policy set forth by the Fair Value
Measurement Accounting Standard Guidelines for future periods, following the transitional treatment as
stipulated in Section 27-2 of the Fair Value Measurement Accounting Standard Guidelines.
It should be noted that this change will not have an impact on the consolidated financial statements.

13

Summary of Consolidated Financial Results for the Fiscal Year Ended August 31, 2023

Segment Information
1．Information related to net sales, profit or loss for each reportable segment
Previous consolidated fiscal year (From September 1, 2021 to August 31, 2022)(Millions of yen)

Reportable segment
Meiko Gijuku
directly
operated schools

Meiko Gijuku
franchised
schools

731

1,743

-

2,474

1,232

3,706

11,455

2,782

815

15,053914

15,967

12,1864,525

815

17,527

2,147

19,674

-

-

-

-

-

-

12,1864,525

815

17,527

2,147

19,674

-

947

-

947

4

951

12,186

5,472

815

18,475

2,151

20,626

1,296

1,703

(187)

2,811

(306)

2,505

55

57

16

129

23

152

Japaneselanguageschools

Others*

Total

Total

Net sales
Goods or services transferred ata point in time
Goods or services transferredover a period of time
Revenue from contracts withcustomers
Other income
Sales to external customers
Intersegment sales andtransfers
Total
Segment profit (loss)
Other items
Depreciation
Amortizaton of goodwill

5
5
85
91
Notes: 1. “Others” consists of the operating segments not included in reportable segments. It includes Kids Business(Afterschool), Waseda Academy Kobetsu Schools, Jiritsugausyu RED, MEIKO Kids e business, HR solution
business, and other businesses of consolidated subsidiaries Koto & Company and Simple Inc.
2. Information on assets and liabilities is not disclosed because the Company does not treat such information as
central to the allocation of management resources and the evaluation of business performance.

14

Summary of Consolidated Financial Results for the Fiscal Year Ended August 31, 2023

Current consolidated fiscal year (From September 1, 2022 to August 31, 2023)(Millions of yen)

Reportable segment
Japaneselanguageschools

Others*Total

Meiko Gijuku
directly operated
schools

Meiko Gijuku
franchised
schools

694

1,627

-

2,322

1,865

4,188

11,985

2,638

1,120

15,745938

16,683

12,680

4,266

1,120

18,067

2,803

20,871

-

-

-

-

-

-

12,680

4,266

1,120

18,067

2,803

20,871

-

969

0

969

461

1,431

12,680

5,235

1,120

19,0373,265

22,302

1,171

1,298

20

2,489

(59)

2,430

61

59

23

144

17

162

Total

Net sales
Goods or services transferred
at a point in time
Goods or services transferredover a period of time
Revenue from contracts withcustomers
Other income
Sales to external customers
Intersegment sales andtransfers
Total
Segment income (loss)
Other items
Depreciation

Amortization of goodwill
7
7
121
129
Notes: 1. “Others” consists of the operating segments not included in reportable segments. It includes Kids Business(Afterschool), Jiritsugausyu RED, MEIKO Kids e business, HR solution business, and other businesses of
consolidated subsidiaries Koto & Company and Simple Inc.
2. Information on assets and liabilities are not disclosed because the Company does not treat such information as
central to the allocation of management resources and the evaluation of business performance.

15

Summary of Consolidated Financial Results for the Fiscal Year Ended August 31, 2023

2．Difference between the Total of the Reportable Segments’ Measures of Profit or Loss and Income according toConsolidated Quarterly Statements of Income, and the Main Components of the Difference (Matters related to Adjustment
of Difference)(Millions of yen)
Fiscal year ended August 31, 2022 Fiscal year ended August 31, 2023

Net sales
Reportable segment total

18,47519,037

Profit (Loss) for “Others” category

2,151

3,265

Intersegment eliminations(951)(1,431)

19,67420,871

Net sales in consolidated financial statements(Millions of yen)
Fiscal year ended August 31, 2022 Fiscal year ended August 31, 2023

Profit (Loss)
Reportable segment total

2,811

2,489

Profit (Loss) for “Others” category

(306)

(59)

(1,336)(1,365)

Corporate expences

Operating income in consolidated financial
1,168
1,064
statements
Note: Corporate expenses are mainly expenses that relate to the General Affairs section of the parent company thatare not attributable to the reportable segment.

Other items

Depreciation
Note:

Reportable segment
total

Others(Millions of yen)Amount recorded inconsolidated statementsof operations

Adjustment*

FY2022

FY2023

FY2022

FY2023

FY2022

FY2023

FY2022

FY2023

129

144

23

17

8

11

160

173

Adjustment of depreciation and amortization mainly represents depreciation and amortization of assets related
to the General Affairs section of the parent company, which are not attributable to any reportable segment.

16

Summary of Consolidated Financial Results for the Fiscal Year Ended August 31, 2023

Per share information
Fiscal year ended August 31, 2022
(from Sep. 1, 2021 to Aug. 31, 2022)

Fiscal year ended August 31, 2023
(from Sep. 1, 2022 to Aug. 31, 2023)

Net assets per share

422.84 yen Net assets per share

444.51 yen

Net income (loss) per share

38.86 yen Earnings per share

32.17 yen

Notes:

1. Diluted net income per share is not shown in the above table, as there are no residual shares.
2. Basis for calculation of net income per share(Millions of yen)
Fiscal year ended August 31, 2022 Fiscal year ended August 31, 2023
(from Sep. 1, 2021 to Aug. 31, 2022)(from Sep. 1, 2022 to Aug. 31, 2023)

974

809

-

-

974

809

25,083,542

25,151,283

Net income per share
Profit attributable to owners of parent
Amount not attributable to ordinary
shareholders
Profit attributable to owners of parent ofordinary shareholders
Average number of shares during the period

3. In the calculation of "Net Asset Value per Share," we deduct the shares held in one's own name from thetotal number of common shares at the year-end. These treasury shares include the company's shares owned
by "Stock Granting Trust for Officers" and "Stock Granting Trust for Employees."
In the previous consolidated fiscal year "Stock Granting Trust for Officers" held 141,000 shares, and "Stock
Granting Trust for Employees" held 121,000 shares. In the current consolidated fiscal year, "Stock Granting
Trust for Officers" also held 141,000 shares.
4. In the calculation of "Earnings Per Share," we deduct the shares held in one's own name from the total
number of common shares during the priod. These treasury shares include the company's shares owned by"Stock Granting Trust for Officers" and "Stock Granting Trust for Employees."
In the previous consolidated fiscal year "Stock Granting Trust for Officers" held 141,000 shares, and "Stock
Granting Trust for Employees" held 121,000 shares. In the current consolidated fiscal year, "Stock Granting
Trust for Officers" also held 141,000 shares.
(Significant Subsequent Events)
Not applicable17