Summary of Financial Results for the First Quarter of Fiscal Year 2013
(Three Months Ended March 31, 2013)[Japanese GAAP]
April 26, 2013
Company name: Senshukai Co., Ltd.
Stock exchanges: Tokyo and Osaka, First Sections
Stock code:
8165
URL: http://www.senshukai.co.jp
Representative:
Mr. Michio Tanabe, President and Representative Director
Inquiries:
Mr. Hiroyuki Hoshino, Director, Executive Officer,
General Manager of the Corporate Development Division Tel: +81-6-6881-3220
Scheduled date of filing of Quarterly Report: May 14, 2013
Scheduled date of payment of dividend: Preparation of supplementary materials for quarterly financial results: None
Holding of quarterly financial results meeting: None
(All amounts are rounded down to the nearest million yen)

1. Consolidated Financial Results for the 1st Quarter of 2013 (January 1, 2013 – March 31, 2013)(1) Consolidated operating results (cumulative)
Net sales(Percentages represent changes from the same period of the previous fiscal year)
Operating income
Ordinary income
Net income

Million yen

1Q 201334,471
1Q 201234,062
Note: Comprehensive income (million yen)%

Net income per share
1Q 2013
1Q 2012

Million yen

1.2
7.2
1Q 2013:%Million yen

37
(741)
1,287 (up 12.7%)

%

240
(216)
1Q 2012:

Million yen

%

197
(178)
1,142 (down 5.2%)-

Diluted net income per
share

Yen

Yen

4.57
(4.12)-(2) Consolidated financial position
Total assets

Net assets

Million yen

Equity ratio

Million yen

92,177
1Q 201392,887
Fiscal Year 2012
Reference: Shareholders’ equity (million yen) 1Q 2013:

45,78644,93245,786

Net assets per share
%

Yen

49.7
48.4
Fiscal Year 2012: 44,932

1,057.21
1,037.48

2. Dividends
1Q-endDividend per share
3Q-end2Q-endYen

Yen

Fiscal Year 2012
10.00
Fiscal Year 2013
Fiscal Year 2013 (forecasts)
12.00
Note: Revision to the most recently announced dividend forecast: None

Year-end

Total

Yen

Yen

Yen

-

10.00

20.00

-

12.00

24.00

3. Consolidated Outlook for Fiscal Year 2013 (January 1, 2013 – December 31, 2013)(Percentages represent changes from the same period of the previous fiscal year)
Net income
Net income
Operating income
Ordinary income
per share

Net sales

Million yen%

Million yen%

Yen

2Q 2013 (cumulative)
77,200
4.3
2,000
162.3
2,200
Full Year 2013
153,000
5.0
4,700
122.8
5,000
Note: Revision to the most recently announced consolidated outlook: None

Million yen%

Million yen

%

86.4
80.8

1,400
3,700

53.1
82.3

32.33
85.43

* Notes(1) Changes in significant subsidiaries during the period (changes in specified subsidiaries resulting in changes inscope of consolidation): None
Newly added: -Excluded: -(2) Application of special accounting methods for presenting quarterly consolidated financial statements: Yes
Note: Please refer to “2. Matters Related to Summary Information (Notes)” on page 3 for further information.

(3) Changes in accounting policies and accounting-based estimates, and restatements
1) Changes in accounting policies due to revisions in accounting standards, others: Yes
2) Changes in accounting policies other than 1) above: None
3) Changes in accounting-based estimates: Yes
4) Restatements: None
Note: Please refer to “2. Matters Related to Summary Information (Notes)” on page 3 for further information.

(4) Number of shares outstanding (common shares)
1) Number of shares outstanding at end of period (including treasury stock)
1Q 2013:47,630,393 sharesFiscal Year 2012:

47,630,393 sharesFiscal Year 2012:

4,321,445 shares

1Q 2012:43,309,318 shares

2) Number of shares of treasury stock at end of period
1Q 2013:

4,321,445 shares

3) Average number of shares outstanding during the period
1Q 2013:43,308,948 shares* Disclosure regarding the implementation of quarterly review procedures
These quarterly financial results materials are not subject to quarterly review procedures based on the Financial Instruments
and Exchange Act. Thus, at the time of its disclosure, the quarterly financial statement review procedures based on the
Financial Instruments and Exchange Act have not been completed.

* Cautionary statement with respect to forward-looking statements
The above projections are based on information available at the time of release of this report. Actual results could differ
significantly from these projections due to a variety of factors. For further details regarding the projections, please refer topage 3, “1. Qualitative Information on Quarterly Consolidated Financial Performance, (3) Qualitative Information Regarding
Consolidated Outlook.”Senshukai Co., Ltd. (8165) Financial Report for the First Quarter of Fiscal Year 2013

Contents of Attachments
1. Qualitative Information on Quarterly Consolidated Financial Performance2(1) Qualitative Information Regarding Consolidated Results of Operations

2(2) Qualitative Information Regarding Consolidated Financial Position

3(3) Qualitative Information Regarding Consolidated Outlook

3

2. Matters Related to Summary Information (Notes)

3(1) Changes in Significant Subsidiaries during the Period

3(2) Application of Special Accounting Methods for Presenting Quarterly Consolidated Financial Statements

3(3) Changes in Accounting Policies and Accounting-based Estimates, and Restatements

3

3. Quarterly Consolidated Financial Statements

4(1) Quarterly Consolidated Balance Sheets

4(2) Quarterly Consolidated Statements of Income and Quarterly Consolidated Statements of Comprehensive
Income6

Quarterly Consolidated Statements of Income(For the Three-month Period)

6

Quarterly Consolidated Statements of Comprehensive Income(For the Three-month Period)

7(3) Going Concern Assumption

8(4) Significant Changes in Shareholders’ Equity

8(5) Segment and Other Information

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Senshukai Co., Ltd. (8165) Financial Report for the First Quarter of Fiscal Year 2013

1. Qualitative Information on Quarterly Consolidated Financial Performance(1) Qualitative Information Regarding Consolidated Results of Operations
In the first quarter (January 1, 2013 to March 31, 2013) of the current fiscal year, the Japanese economy showed
positive signs as corporate profits improved along with the yen's shift from appreciation to depreciation, and shareprices began to recover from the end of last fiscal year on expectations for economic stimulus.
In the retail industry, consumption of high-valued items at department stores and elsewhere began to recover, but theoutlook for the overall industry remained unclear as consumers remained generally thrifty.
In this environment, the Senshukai Group pulled together to achieve the targets of its medium-term management
plan which concludes in this fiscal year.
Net sales in the first quarter rose 1.2% year-over-year to 34,471 million yen.
As for profits, due to an improvement in the gross profit margin in the mail-order business, and the cutting of selling,
general and administrative expenses, operating income totaled 37 million yen, compared with an operating loss of
741 million yen in the same period of the previous fiscal year.
Ordinary income totaled 240 million yen, compared with an ordinary loss of 216 million yen in the same period of
the previous fiscal year, due to foreign exchange gains and other factors. Net income totaled 197 million yen,
compared with a net loss of 178 million yen in the same period of the previous fiscal year.
Overview by segment(Mail-order Business)
Consolidated sales in the mail-order business, comprising the catalog and the hanpukai businesses, increased 1.7%
year-over-year to 31,572 million yen in the first quarter. Sales of autumn and winter items rose as temperatures
dropped in January, but sales of spring items were slightly below the year-ago level. Sales gradually recovered in
February, and sales of spring items, which had been weak, rose in March as temperatures began to rise early in themonth.
Although the purchasing cost ratio increased due to an increase in bargain and clearance sales, the gross profit
margin improved due to higher sales and a decline in loss on valuation of goods. As a result of overall reduction inselling, general and administrative expense, operating income totaled 184 million yen, compared with operating lossof 768 million yen in the same period of the previous fiscal year.
1) Catalog business
Consolidated sales in the catalog business rose 2.5% year-over-year to 29,626 million yen in the first quarter.
2) Hanpukai business
Consolidated sales in the hanpukai business decreased 9.8% year-over-year to 1,946 million yen in the firstquarter.
(Bridal Business)
Consolidated sales in the bridal business, centered on the house wedding business, decreased 0.4% year-over-year to1,957 million yen in the first quarter due to a decrease in the number of weddings. Operating loss totaled 185
million yen, compared with operating loss of 71 million yen in the same period of the previous fiscal year.
(Corporates Business)
Consolidated sales in the corporates business, which provides products and services to corporations, increased 3.3%
year-over-year to 801 million yen, and operating income decreased 47.2% year-over-year to 65 million yen.
(Others)
Consolidated sales in other businesses, which consist of the services business (primarily travel and credit card
services) and the pet business (pet goods sales through retail stores), decreased 48.7% year-over-year to 140 million-2-Senshukai Co., Ltd. (8165) Financial Report for the First Quarter of Fiscal Year 2013

yen in the first quarter. Operating loss totaled 24 million yen, compared with an operating loss of 25 million yen in
the previous fiscal year.
Note: As Senshukai changed its reportable segment classifications from the third quarter of the previous fiscal year,
the new classifications have been applied to year-ago figures to allow for year-over-year comparisons. Pleasesee “3. Quarterly Consolidated Financial Statements, (5) Segment and Other Information” for details.
(2) Qualitative Information Regarding Consolidated Financial Position(Balance sheet position)
Assets totaled 92,177 million yen at the end of the first quarter, down 709 million yen from the end of the previous
fiscal year.
Current assets decreased 2,210 million yen to 44,037 million yen. The main factors were increases of 832 million
yen in notes and accounts receivable-trade and 752 million yen in merchandise and finished goods, and decreases of
2,500 million yen in cash and deposits and 1,294 million yen in accounts receivable-other. Noncurrent assets
increased 1,500 million yen to 48,139 million yen. The main factors were a decrease of 186 million yen in
intangible assets, and increases of 595 million yen in property, plant and equipment and 1,092 million yen in
investments and other assets.
Current liabilities decreased 1,501 million yen to 35,560 million yen. The main factors were an increase of 279
million yen in provision for sales promotion expenses, and decreases of 879 million yen in short-term loans payable
and 863 million yen in notes and accounts payable-trade. Noncurrent liabilities decreased 62 million yen to 10,830
million yen. The main factors were an increase of 789 million yen in other, and decreases of 503 million yen in
long-term loans payable and 350 million yen in bonds payable.
Net assets increased 854 million yen to 45,786 million yen. The main factors were a decrease of 235 million yen inretained earnings, and increases of 764 million yen in valuation difference on available-for-sale securities and 259
million yen in deferred gains or losses on hedges. Consequently, the equity ratio was 49.7%.
(3) Qualitative Information Regarding Consolidated Outlook
At the time of release of this report, Senshukai has not changed the consolidated outlook for the current fiscal year
(January 1, 2013 to December 31, 2013) released on February 7, 2013.
2. Matters Related to Summary Information (Notes)(1) Changes in Significant Subsidiaries during the Period
Not applicable.
(2) Application of Special Accounting Methods for Presenting Quarterly Consolidated Financial Statements(Calculation of tax expense)
The tax expenses are calculated by first estimating the effective tax rate after the application of tax effect accounting
with respect to income before income taxes and minority interests during the fiscal year in which the quarter underreview falls, and multiplying that rate by the income before income taxes and minority interests for the quarter
under review. However, the Company uses legally stipulated effective tax rates to calculate tax expenses for cases inwhich using estimated tax rates gives a noticeably irrational result.
(3) Changes in Accounting Policies and Accounting-based Estimates, and Restatements(Changes in accounting policies that are difficult to distinguish from changes in accounting-based estimates)
The Company and its domestic consolidated subsidiaries depreciate the property, plant and equipment acquired on
or after January 1, 2013, using the depreciation method stipulated in the revised Corporation Tax Act from the firstquarter of the current fiscal year, in line with revisions to the Corporation Tax Act.
This change has no significant effect on the amount of income for the first quarter of the current fiscal year.

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3. Quarterly Consolidated Financial Statements(1) Quarterly Consolidated Balance Sheets(Million yen)
1Q 2013(As of Mar. 31, 2013)

Fiscal Year 2012
(As of Dec. 31, 2012)
AssetsCurrent assets
Cash and deposits

7,452

4,952

Notes and accounts receivable-trade

6,663

7,496

Merchandise and finished goods

16,644

17,397

Accounts receivable-other

9,951

8,657

Other

5,824

5,813

Allowance for doubtful accounts

(289)

(279)

46,24844,037

Total current assets
Noncurrent assets
Property, plant and equipment
Buildings and structures, net

14,05014,160Land

11,908

11,908Other, net

2,215

2,700

Total property, plant and equipment

28,17428,769Goodwill

2,278

2,240

Other

3,995

3,846

Total intangible assets

6,273

6,087

Investment securities

5,950

6,972

Other

6,558

6,627

Allowance for doubtful accounts

(317)

(317)

Total investments and other assets

12,19013,282

46,63948,13992,887

92,177

Intangible assets

Investments and other assets

Total noncurrent assets
Total assets-4-Senshukai Co., Ltd. (8165) Financial Report for the First Quarter of Fiscal Year 2013

(Million yen)
1Q 2013(As of Mar. 31, 2013)

Fiscal Year 2012
(As of Dec. 31, 2012)
Liabilities
Current liabilities
Notes and accounts payable-trade

8,073

7,210

Short-term loans payable

3,405

2,526

Current portion of bonds

700

700

Accounts payable-factoring

13,993

13,812

Income taxes payable

207

95

Provision for sales promotion expenses

307

587

Other

10,373

10,629Total current liabilities

37,06235,560Bonds payable

1,850

1,500

Long-term loans payable

6,993

6,489

34

36

Noncurrent liabilities

Provision for retirement benefits
Other

2,015

2,804

Total noncurrent liabilities

10,892

10,83047,95546,391

Total liabilities
Net assets
Shareholders’ equity
Capital stock

20,35920,359

Capital surplus

21,03821,038Retained earnings

13,581

13,345

Treasury stock(2,775)(2,775)

Total shareholders’ equity

52,20351,968(578)

185

Accumulated other comprehensive income
Valuation difference on available-for-sale securities
Deferred gains or losses on hedges
Revaluation reserve for land
Foreign currency translation adjustment
Total accumulated other comprehensive income
Total net assets
Total liabilities and net assets

-5-

438

698

(7,041)(7,041)

(89)

(24)

(7,271)(6,181)

44,93245,78692,887

92,177

Senshukai Co., Ltd. (8165) Financial Report for the First Quarter of Fiscal Year 2013

(2) Quarterly Consolidated Statements of Income and Quarterly Consolidated Statements of Comprehensive
IncomeQuarterly Consolidated Statements of Income(For the Three-month Period)
1Q 2012(Jan. 1, 2012 – Mar. 31, 2012)(Million yen)
1Q 2013(Jan. 1, 2013 – Mar. 31, 2013)

Net sales

34,062

34,471

Cost of sales

18,13718,002Gross profit

15,925

16,468Selling, general and administrative expenses

16,666

16,431(741)

37Interest income

14

14Dividends income

11Operating income (loss)
Non-operating income

Foreign exchange gains

318

82

Other

292

183

Total non-operating income

627

282

56

53

Other

45

26

Total non-operating expenses

101

79

(216)

240

Gain on sales of noncurrent assets

10Gain on sales of investment securities

22

49

Total extraordinary income

23

50

Loss on sales and retirement of noncurrent assets

18

29

Total extraordinary losses

18

29

(211)

260

Non-operating expenses
Interest expenses

Ordinary income (loss)
Extraordinary income

Extraordinary loss

Income (loss) before income taxes and minority interests
Income taxes

(32)

63

Income (loss) before minority interests

(178)

197

Net income (loss)

(178)

197

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Senshukai Co., Ltd. (8165) Financial Report for the First Quarter of Fiscal Year 2013

Quarterly Consolidated Statements of Comprehensive Income(For the Three-month Period)
1Q 2012(Jan. 1, 2012 – Mar. 31, 2012)(Million yen)
1Q 2013(Jan. 1, 2013 – Mar. 31, 2013)

(178)

197

Income (loss) before minority interests
Other comprehensive income
Valuation difference on available-for-sale securities

421

764

Deferred gains or losses on hedges

859

259

Foreign currency translation adjustment
Share of other comprehensive income of associates
accounted for using equity method

32

34

8

30

1,320

1,089

1,142

1,287

1,142

1,287

-

-

Total other comprehensive income
Comprehensive income
Comprehensive income attributable toComprehensive income attributable to owners of the parent
Comprehensive income attributable to minority interests-7-

Senshukai Co., Ltd. (8165) Financial Report for the First Quarter of Fiscal Year 2013

(3) Going Concern Assumption
Not applicable.
(4) Significant Changes in Shareholders’ Equity
Not applicable.
(5) Segment and Other Information
I 1Q 2012 (Jan. 1, 2012 – Mar. 31, 2012)
1. Information related to sales and profit or loss for each reportable segment(Million yen)Amounts shown onquarterly
Adjustment
consolidated(Note 2)statements of income(Note 3)

Reportable segment
Mail-orderbusiness

Bridalbusiness

Corporates
business

Sub-total

Others(Note 1)

Total

Sales to customers

31,048

1,964

775

33,788273

34,062-

34,062

Inter-segment sales

133

-

16

150

21

172

(172)

-

Total

31,182

1,964

792

33,939295

34,234(172)

34,062

Segment profit (loss)

(768)

(71)

124

(715)

(25)

(741)

0

(741)

Net sales

Notes: 1. Others represent the businesses which are not included in any of the three reportable segments and consist of theservices business primarily offering travel and credit card services, and the pet business distributing pet goods sales
through retail stores.
2. The 0 million yen adjustment to segment profit (loss) comprises elimination for inter-segment transactions.
3. Segment profit (loss) is adjusted to be consistent with operating loss shown on the quarterly consolidated statements ofincome.

2. Information related to impairment of noncurrent assets, goodwill, etc. for each reportable segment
No major events or changes occurred.
II 1Q 2013 (Jan. 1, 2013 – Mar. 31, 2013)
1. Information related to sales and profit or loss for each reportable segment(Million yen)

Reportable segment

Amounts shown onquarterly
Adjustment
consolidated(Note 2)statements of income(Note 3)Mail-orderbusiness

Bridalbusiness

Corporates
business

Sub-total

Others(Note 1)

Sales to customers

31,572

1,957

801

34,330140

34,471-

34,471

Inter-segment sales

140

-

8

149

60

209

(209)

-

Total

31,713

1,957

809

34,480200

34,680(209)

34,471

Segment profit (loss)

184

(185)

65

64

(24)

40

(2)

37

Total

Net sales

Notes: 1. Others represent the businesses which are not included in any of the three reportable segments and consist of theservices business primarily offering travel and credit card services, and the pet business distributing pet goods sales
through retail stores.
2. The (2) million yen adjustment to segment profit (loss) comprises elimination for inter-segment transactions.
3. Segment profit (loss) is adjusted to be consistent with operating income shown on the quarterly consolidated
statements of income.

2. Information related to impairment of noncurrent assets, goodwill, etc. for each reportable segment
No major events or changes occurred.

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Senshukai Co., Ltd. (8165) Financial Report for the First Quarter of Fiscal Year 2013

3. Information related to revisions for reportable segments
Following the business transfer between companies within the consolidated group, a part of the business in theothers segment was changed to the mail-order business segment in the third quarter of the previous fiscal year. The
reportable segment for the first quarter of the previous fiscal year is prepared and disclosed based on the calculation
methods after this change.

* This financial report is solely a translation of summary of “Kessan Tanshin” (in Japanese, including attachments), which has
been prepared in accordance with accounting principles and practices generally accepted in Japan, for the convenience ofreaders who prefer an English translation.

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