Translation.
Notice: This document is an excerpt translation of the original Japanese document and is only for reference purposes. In the event of any
discrepancy between this translated document and the original Japanese document, the latter shall prevail.

Summary of Consolidated Financial Results
for the Six Months Ended February 28, 2023
(Based on Japanese GAAP)

Company name:

April 11, 2023

HIMARAYA Co.,Ltd.

Stock exchange listing: Tokyo, Nagoya
Stock code:

7514

Representative:

Chairman and CEOURL https://www.hmry.jp/Inquiries:

Director and General Manager of Administration Department

Yusaku Komori

Scheduled date to file Quarterly Securities Report:

April 14, 2023

Scheduled date to commence dividend payments:

May 15, 2023

Preparation of supplementary material on quarterly financial results:

Yes

Holding of quarterly financial results meeting:No

Nobuaki Mitsui

TEL 058-271-6622(Amounts less than one million yen are rounded down)
1. Consolidated financial results for the six months ended February 28, 2023 (from September 1, 2022 to February 28, 2023)(1) Consolidated operating results (cumulative)
Net sales
Six months ended February 28, 2023
Six months ended February 28, 2022

Operating profit

Millions of yen%

Millions of yen%

29,40628,238

4.1
–

1,021
1,144(10.7)
34.2

Yen

Diluted earnings pershare
Yen

Six months ended February 28, 2023

67.74

–

Six months ended February 28, 2022

65.48

–

Earnings per share

Percentages indicate year-on-year changes
Profit attributable toOrdinary profit
owners of parent
Millions of yen% Millions of yen%
1,080
1,341(19.4)
40.6

8318033.5
38.9(Note) The “Accounting Standards for Revenue Recognition” (ASBJ Statement No. 29, March 31, 2020), etc. has been applied since theprevious fiscal year. Therefore, the rate of change in “Net sales” for the six months ended February 28, 2021 is not stated.
(2) Consolidated financial position
Total assets

Net assets

Equity ratio

Millions of yen

Millions of yen%

As of February 28, 2023

37,363

16,84545.1

As of August 31, 2022

38,26016,17742.3

2. Cash dividends
Annual dividends per share
1st quarter-end
Year ended August 31, 2022
Year ending August 31, 2023

2nd quarter-end

3rd quarter-end

Fiscal year-endTotalYen

Yen

Yen

Yen

Yen–

10.00

–

15.00

25.00

–

13.00
–

13.00

26.00

Year ending August 31, 2023 (Forecast)(Note) Revisions to the forecast of cash dividends most recently announced: No

Breakdown of a year-end dividend for the fiscal year ended August 31, 2022: Ordinary dividend 13.00 yen, commemorative dividend 2.00 yen

13. Forecast of consolidated financial results for the year ending August 31, 2023 (from September 1, 2022 to August 31, 2023)
Net sales
Millions of yen
Full year

59,500Operating profit

Percentages indicate year-on-year changes
Profit attributable toEarnings per shareowners of parent

Ordinary profit% Millions of yen% Millions of yen% Millions of yen%Yen

1.0

7.8

1.4

3.4

120.76

2,200

2,400

1,480(Note) Revisions to recent business forecast: No
4. Notes(1) Changes in significant subsidiaries during the six months ended February 28, 2023
(changes in specified subsidiaries resulting in the change in scope of consolidation):No(2) Adoption of accounting treatment specific to the preparation of quarterly consolidated financial statements: No(3) Changes in accounting policies, changes in accounting estimates, and restatement of prior period financial statements
Changes in accounting policies due to revisions to accounting standards and other regulations:No
Changes in accounting policies due to other reasons:No

Changes in accounting estimates:

No

Restatement of prior period financial statements:

No(4) Number of issued shares (common shares)
Total number of issued shares at the end of the period (including treasury shares)
As of February 28, 2023

12,320,787 shares

As of August 31, 2022

12,320,787 shares

As of August 31, 2022

65,183 shares

Number of treasury shares at the end of the period
As of February 28, 2023

33,793 shares

Average number of shares during the period (cumulative from the beginning of the fiscal year)
Six months ended February 28, 2023

12,271,299 shares2

Six months ended February 28, 2022

12,271,357 shares

Quarterly consolidated financial statements

Consolidated balance sheets(Millions of yen)
As of August 31, 2022

As of February 28, 2023

AssetsCurrent assets
Cash and deposits

9,676

8,274

Accounts receivable - trade

1,750

1,627Merchandise

14,753

14,866

Supplies

118

Other

1,013

823

Total current assets

27,20625,599Buildings and structures, net

3,376

4,425

Land

1,388

1,388

Leased assets－4Construction in progress471

7

Other, net

264

561

5,501

6,388

Software

272

212

Other

63

139

Total intangible assets

335

352

1,189

1,031

Non-current assets
Property, plant and equipment

Total property, plant and equipment
Intangible assets

Investments and other assets
Investment securities
Long-term loans receivable

448

417

Guarantee deposits

2,820

2,805

Deferred tax assets

235

235

Retirement benefit asset

329

318

Other

207

228

Allowance for doubtful accounts

(13)

(13)

Total investments and other assets

5,216

5,023

11,053

11,76438,26037,363

Total non-current assets
Total assets3

(Millions of yen)
As of August 31, 2022

As of February 28, 2023

Liabilities
Current liabilities
Notes and accounts payable - trade

10,12910,460Current portion of long-term borrowings

2,696

2,531

Lease liabilities－1

Income taxes payable

426

398

Provision for bonuses

409

337

Provision for loss on store closings

3923Provision for shareholder benefit program

7062

Asset retirement obligations

715

Other

1,574

1,252

Total current liabilities

15,35315,082

Non-current liabilities
Long-term borrowings

5,534

4,274

Lease liabilities－3

Asset retirement obligations

834

834

Other

360

322

6,728

5,435

22,082

20,518

Share capital

2,544

2,544

Capital surplus

3,998

3,998

Retained earnings

9,604

10,237

Treasury shares

(65)

(34)

16,081

16,745(88)(46)

Total non-current liabilities
Total liabilities
Net assets
Shareholders' equityTotal shareholders' equity
Accumulated other comprehensive income
Valuation difference on available-for-sale securities
Deferred gains or losses on hedges

30

Remeasurements of defined benefit plans

181

146

Total accumulated other comprehensive income

96

99

16,177

16,84538,26037,363

Total net assets
Total liabilities and net assets

4Consolidated statements of income (cumulative) and consolidated statements of comprehensive income(cumulative)
Consolidated statements of income (cumulative)(Millions of yen)Six months ended
February 28, 2022

Six months endedFebruary 28, 2023

Net sales

28,23829,406

Cost of sales

17,711

18,650Gross profit

10,527

10,756

Selling, general and administrative expenses

9,382

9,735

Operating profit

1,144

1,021

Interest income

43

Dividend income

1518

Purchase discounts

64

Rental income

6864

Sponsorship money income

1818

Subsidy income

773

System introduction burden charge

60

－

Other

32

27

Total non-operating income

283

139

Interest expenses

14

10

Rental expenses on real estate

6462

Other

87

Non-operating income

Non-operating expenses

Total non-operating expensesOrdinary profit

8679

1,341

1,080

Extraordinary income
Gain on sale of non-current assets

4－Gain on sale of investment securities

0174

Total extraordinary income

5174

Impairment losses

812Provision for loss on store closings

82

14

Loss on sale of investment securities－33

Loss on valuation of investment securities

61

Provision of allowance for doubtful accounts

3－

Loss on cancellation of insurance policies－

8

Total extraordinary losses

100

69

1,246

1,185

Income taxes - current

352

338

Income taxes - deferred

90

15

Total income taxes

442

354

Profit803

831

Profit attributable to owners of parent

803

831

Extraordinary losses

Profit before income taxes

5Consolidated statements of comprehensive income (cumulative)(Millions of yen)Six months ended
February 28, 2022
ProfitSix months ended
February 28, 2023
803

831

Valuation difference on available-for-sale securities

941

Deferred gains or losses on hedges

4(3)Remeasurements of defined benefit plans, net of tax

(22)

(34)

Total other comprehensive income

(9)

3794

834

Comprehensive income attributable to owners ofparent794

834

Comprehensive income attributable to non-controllinginterests－－

Other comprehensive income

Comprehensive income
Comprehensive income attributable to6

Consolidated statements of cash flows(Millions of yen)Six months ended
February 28, 2022

Six months ended
February 28, 2023

Cash flows from operating activities
1,246

1,185

280

312

Impairment losses

812

Increase (decrease) in allowance for doubtful accounts

3－

Increase (decrease) in provision for bonuses
Increase (decrease) in provision for loss on storeclosings
Increase (decrease) in provision for shareholder benefit
programDecrease (increase) in retirement benefit asset

(153)

(72)

75

(15)

9(8)

(37)

(38)

Interest and dividend income

(19)

(21)

Interest expenses

14

10

Loss (gain) on sale of investment securities

(0)

(141)

Profit before income taxes
Depreciation

114

123

Decrease (increase) in inventories(1,037)(109)

Increase (decrease) in trade payables

1,530

331

Increase (decrease) in accrued consumption taxes

(317)

107

Other, net

(251)

(252)

Subtotal

1,464

1,424

Decrease (increase) in trade receivables

Interest and dividends received

1518

Interest paid(13)(9)

Income taxes refund (paid)

(324)

(270)

Net cash provided by (used in) operating activities

1,141

1,162(115)(1,244)

Cash flows from investing activities
Purchase of property, plant and equipment

4－

Purchase of investment securities

(26)

(10)

Proceeds from sale of investment securities

15

324

Proceeds from cancellation of insurance funds－19

Payments of leasehold and guarantee deposits
Proceeds from refund of leasehold and guarantee
deposits
Other, net

(120)

(64)

1103

(18)

(82)

Net cash provided by (used in) investing activities

(260)

(956)

(1,782)(1,424)

Dividends paid

(184)

(183)

Other, net

(101)

(0)

(2,068)(1,608)－(0)

Net increase (decrease) in cash and cash equivalents(1,187)(1,402)

Cash and cash equivalents at beginning of period

13,753

9,676

Cash and cash equivalents at end of period

12,566

8,274

Proceeds from sale of property, plant and equipment

Cash flows from financing activities
Repayments of long-term borrowings

Net cash provided by (used in) financing activities
Effect of exchange rate change on cash and cash
equivalents

7