Financial Results for the Three-month Period Ended March 31, 2024 [IFRS](Consolidated)
May 15, 2024
NOVARESE, Inc.
Stock Exchange: Tokyo Stock Exchange
9160
URL: https://www.novarese.co.jp/
Hiroki Ogino, President & CEO
Terutoshi Masuyama, Member of the Board and Corporate Officer,
General Manager of the Management Strategy Division
Tel. +81-(0)3-5524-3344
Scheduled date to submit quarterly report:
May 15, 2024
Scheduled date of the start of dividends payment:‒
Supplementary material for quarterly financial results: Yes
Briefing on quarterly financial results:
Yes (for institutional investors and analysts)
Listed Company:
Code Number:
Representative:
Contact:(Amounts of less than one million yen are rounded off.)

1. Consolidated financial results for the three-month period ended March 31, 2024 (from January 1, 2024 to March 31, 2024)(Percentages calculated on year-on-year basis.)(1) Consolidated results of operations
Profit before income
Revenue
Operating profit
Net profit
taxes
Three-month period ended

Million yen

March 31, 2024
March 31, 2023

%

3,696
3,330

Million yen

11.0
52.6

%

-333
-383

Profit attributable toowners of the parent

Million yen

–
–

%

-394
-480

Total comprehensive
income for the period

Million yen––

Basic earnings
per share

Three-month period ended

Million yen%

Million yen%

March 31, 2024
March 31, 2023

-259
-323

–
–

-263
-325

–
–

%

-259
-323

–
–

Diluted earnings
per share
Yen

Yen-10.39-12.93––(Note) On May 25, 2023, the Company implemented a two-hundred-for-one common stock split. The basic earnings per share has been calculated under
the assumption that the said share split was conducted at the beginning of the previous fiscal year.

(2) Consolidated financial position
Total assets
As ofMillion yen

March 31, 2024
December 31, 2023

Million yen

33,57932,301

Ratio of equity
attributable to owners of
the parent

Equity attributable toowners of the parent

Total equity

Million yen

7,918
8,177

%

7,918
8,177

23.6
25.3

2. Dividends
End of 1stquarter
Yen

Fiscal year ended December 31, 2023
Fiscal year ending December 31, 2024
Fiscal year ending December 31, 2024
(forecast)

Dividend per share
End of 3rdquarter

End of 2ndquarter
Yen––

Year end

Yen

Annual

Yen

Yen

0.00

–

0.00

0.00

0.00

–

0.00

0.00

(Note) Revisions from dividends forecasts announced most recently: None

3. Consolidated financial results forecasts for the fiscal year ending December 31, 2024 (from January 1, 2024 to December 31, 2024)(Percentages calculated on year-on-year basis.)

RevenueFirst half
Full year

Operating profit

Profit before
income taxes

Profit attributableto owners of theparentNet profit

Basic earnings
per share

Million yen%

Million yen%

Million yen%

Million yen%

Million yen

%

Yen

8,653
19,576

4.9
7.2

92
1,710

-66.8
11.1

-95
1,361

–
10.6

-64
943

–
0.1

-64
943

–
0.1

-2.56
37.72

(Note) Revisions from financial results forecasts published most recently: None

* Notes(1) Changes in significant subsidiaries during the period (changes in specific subsidiaries resulting in changes in scope of
consolidation): No(2) Changes in accounting policies and changes in accounting estimates(i) Changes in accounting policies as required by IFRS: Yes(ii) Changes in accounting policies other than (i): No(iii) Changes in accounting estimates: No(3) Number of shares outstanding (common stock)(i) Number of shares outstanding at the end of the period (including treasury shares)
As of March 31, 2024:
25,000,000 shares
As of December 31, 2023:
25,000,000 shares(ii) Number of treasury shares at the end of the period
As of March 31, 2024:– shares
As of December 31, 2023:– shares(iii) Average number of shares outstanding during the period
Three-month period ended March 31, 2024:
25,000,000 shares
Three-month period ended March 31, 2023:
25,000,000 shares(Note) On May 25, 2023, the Company implemented a two-hundred-for-one common stock split. The number of shares outstandingat the end of the period, the number of treasury shares at the end of the period, and the average number of shares outstanding
during the period were calculated assuming that the stock split was implemented at the beginning of the previous
consolidated fiscal year.
* This consolidated financial results falls outside the scope of quarterly review procedures to be performed by certified public
accountants or an audit firm.
* Note regarding proper use of consolidated financial results forecasts and other special comments
The forward-looking statements, such as results forecasts, included in this document are based on information available to theCompany and certain assumptions that the Company considers reasonable as of the date of the document. The Company does notpromise that the forecasts will be achieved. Actual results may differ significantly due to a range of factors. For conditions regarding
the assumptions for results forecasts and notes on the use of results forecasts, etc., please refer to page 4 of the accompanying
materials “1. Qualitative information regarding consolidated financial results for the three-month period ended March 31, 2024, (4)Explanations on forward-looking information including forecast of consolidated financial results.”

Accompanying Materials - Contents
1. Qualitative information regarding consolidated financial results for the three-month period ended
March 31, 2024 .............................................................................................................................................................. 2(1) Explanations on operating results ............................................................................................................................... 2(2) Explanations on financial position.............................................................................................................................. 3(3) Overview of cash flows .............................................................................................................................................. 3(4) Explanations on forward-looking information including forecast of consolidated financial results .......................... 4
2. Condensed quarterly consolidated financial statements and significant notes ............................................................... 5(1) Condensed quarterly consolidated statements of financial position ........................................................................... 5(2) Condensed quarterly consolidated statements of profit or loss and condensed quarterly consolidated statements ofcomprehensive income ............................................................................................................................................... 7(3) Condensed quarterly consolidated statements of changes in equity ........................................................................... 9(4) Condensed quarterly consolidated statements of cash flows .................................................................................... 10(5) Notes to condensed quarterly consolidated financial statements ...............................................................................11(Notes regarding going concern assumptions) ..............................................................................................................11(Changes in accounting policies) ..................................................................................................................................11(Segment information) ..................................................................................................................................................11–1–

1. Qualitative information regarding consolidated financial results for the three-month period ended March 31, 2024
(1) Explanations on operating results
During the three-month period ended March 31, 2024, the Japanese economy recovered moderately, partly due to the effects ofmeasures implemented in an improving employment and income situation. However, the future of the economy remained uncertain
given risks of downward pressure on the Japanese economy caused by a downturn in overseas economies, such as the effects ofcontinuing global monetary tightening and concern over the future of the Chinese economy.
In this environment, NOVARESE, Inc. (the “Company”) and its associated companies (the “Group”) have been implementing
priority initiatives guided by its corporate philosophy, “Rock your life: We want to be a company that provides vitality to society.”
One of the priority initiatives is the opening of new wedding venues. In July 2024, the Company will open Seiryuso, an exclusive
use wedding venue in Sendai City and the Company’s first venue in Miyagi prefecture.
The Company will build a two-story building on part of a site covering an area of approximately 2,556 m2 adjacent to Zuihoden,
the mausoleum of Masamune Date, who was the founder of the Sendai domain. The location is on a hill offering a stunning view of
Zuihoden’s surroundings of cedar-lined paths, Aobayama to the west of Sendai plain, and the Hirose River running through thecenter of the city. Wedding guests will be offered food incorporating plenty of the local specialties such as seafood caught near Mt.
Kinka and in the Sanriku coastal area.
In September 2024, the Company will open Amandan Aisle, an exclusive use wedding venue in Fukushima City, Fukushima
prefecture.
Amandan Aisle is situated opposite Arakawa Sakura-zutsumi Park, which straddles the Arakawa River, and is a wedding venue thatboasts views of natural beauty. On land with an area of approx. 3,775.17 m2, the Company will build a one-story building (with a
total floor space of approx. 1,122.05 m2). The side of the building looking out on the Arakawa River will be made completely of
glass. The banquet hall and chapel will look out directly onto the cherry trees lining the Arakawa River, with majestic views ofMount Azuma-kofuji and Mount Adatara in the background. The Company will incorporate the seasonal changes in the landscape,the cherry blossom of spring, the greenery of summer, the red leaves of autumn, and the snow of winter, into wedding production.
In the spring of 2025, the Company will open (tentative name) HOMAM (Former Mckenzie House), a dedicated wedding venue in
Suruga Ward, Shizuoka City. The Company made a proposal for the project to use the Former Mckenzie House and surroundedlands owned by the city government of Shizuoka. As a result, the Company was selected as the priority candidate in the lending of
the Former Mckenzie House and the city-owned lands around it.
In the spring of 2026, the Company will open (tentative name) Amandan Bridge, a dedicated wedding venue in Toyama City,
Toyama prefecture. The Group, including the Company, has been selected as the designated installer for the Kureha Hills Footpath
Bridge and Surrounding Plaza Park-Private Finance Initiative (Park-PFI) of Toyama City, which is aimed at making the plaza aroundthe bridge and footpath livelier by leveraging the expertise of local private businesses of the city. The Group will remain proactive
in working on public-private collaboration projects.
In restaurant operations in wedding facilities, the Company held MAISON de PARFAIT, which offered all-you-can-eat afternoon
tea and others, and increased the number of facilities which serve lunch. In addition, the Company reinforced the system forreceiving orders for corporate banquets, etc., and as a result, banquets and general food and drink remained strong, with an increasein the number of orders received for banquets, among others.
In the Restaurant business, the Company will open a new Japanese-style restaurant in Hiroshima City, Hiroshima prefecture in July
2024. The Company will also open a cafe in the hotel of APA Hotel & Resort <Osaka Namba Ekimae Tower>, a 40-story superhighrise tower hotel the APA Group expected to open in Naniwa-ku, Osaka City in December 2024.
In the wedding production division of the Bridal business, the number of new visitors was trending toward a recovery. As a result,the number of couples from whom the Company received orders increased 5.8% year on year, to 1,246. The number of back orders
stood at 3,250, down 7.0% year on year, because the number of new orders received grew sluggishly in the second half of theprevious fiscal year due to increasing competition at some existing venues.
Revenue in the three-month period ended March 31, 2024 amounted to 3,696 million yen, rising 11.0% year on year, primarily due
to an increase in the number of wedding guests and growth in sales from banquets and general food and drink at wedding facilities.
On the profit side, the operating loss was 333 million yen (an operating loss of 383 million yen in the three-month period ended
March 31, 2023), the loss before income taxes came to 394 million yen (a loss before income taxes of 480 million yen in the threemonth period ended March 31, 2023), and the net loss was 259 million yen (a net loss of 323 million yen in the three-month period
ended March 31, 2023). This was attributable to an increase in selling, general and administrative expenses, mainly reflecting higher
personnel expenses associated with an increase in staff hired as an up-front investment in sustainable growth and an increase inadvertising expenses to improve the ability to attract customers.

–2–

The number of our facilities as of March 31, 2024 is as follows.
Segment
Bridal businessRestaurant businessType of facility

Guesthouse

Dress shop

Other

Japan

34

24

1

7

Overseas

–

–

1

–

Results by segment are as follows.
(Bridal business)
In the Bridal business, revenue rose 9.8% year on year, to 3,445 million yen, attributable to a recovery in the number of wedding
guests compared to the three-month period ended March 31, 2023 as well as an improvement in demand for banquets and generalfood and drink at wedding facilities. However, the segment loss was 70 million yen (a segment loss of 83 million yen in the threemonth period ended March 31, 2023), reflecting an increase in selling, general and administrative expenses that resulted mainly
from higher personnel expenses associated with an increase in staff hired as an up-front investment in sustainable growth and anincrease in advertising expenses to improve the ability to attract customers.
(Restaurant business)
In the Restaurant business, revenue rose 30.2% year on year, to 250 million yen, and segment profit increased to 11 million yen (asegment loss of 0 million yen in the three-month period ended March 31, 2023), reflecting growth in sales at existing restaurants
driven mainly by demand from inbound tourists and recovery trend of use by corporate customers.
(2) Explanations on financial position(Assets)
As of Mach 31, 2024, assets totaled 33,579 million yen, an increase of 1,278 million yen compared to the end of the previous fiscal
year. Major factors were an increase of 933 million yen in cash and cash equivalents, mainly reflecting an increase in borrowings,
an increase of 136 million yen in property, plant and equipment attributed to the purchase of property, plant and equipment for new
and existing facilities, and a rise of 135 million yen in deferred tax assets, which offset a decrease of 16 million yen in trade andother receivables.
(Liabilities)
As of March 31, 2024, liabilities totaled 25,661 million yen, an increase of 1,538 million yen compared to the end of the previous
fiscal year. Factors for the increase were a net increase of 1,607 million yen in borrowings, which chiefly resulted from a borrowing
under overdraft agreements with financial institutions, and a climb of 252 million yen in contract liabilities owed to customers,
partially offset by a decrease of 348 million yen in income taxes payable that resulted from payment of income taxes.
(Equity)
As of March 31, 2024, equity totaled 7,918 million yen, a decrease of 259 million yen compared to the end of the previous fiscal
year. The main factor was a decrease in retained earnings resulting from a net loss of 259 million yen recorded.
(3) Overview of cash flows
Cash and cash equivalents (“cash”) as of March 31, 2024 increased by 2,653 million yen from the end of the previous fiscal year,
to 933 million yen (up 54.3% year on year).
Cash flow conditions in the three-month period ended March 31, 2024 and the main associated factors are as follows.
(Cash flows from operating activities)
Net cash used in operating activities was 394million yen. This is primarily attributable to income taxes paid of 349 million yen, adecrease of 139 million yen in accrued consumption taxes, interest paid of 61 million yen, and a loss before income taxes of 394
million yen, partially offset by an increase of 252 million yen in contract liabilities, an increase of 128 million yen in trade and otherpayables, and depreciation and amortization of 604 million yen.
(Cash flows from investing activities)
Net cash used in investing activities was 391million yen. This is attributed to use of 390million yen for the purchase of property,
plant and equipment related to opening of new facilities in 2024 and pre-existing facilities.

–3–

(Cash flows from financing activities)
Net cash provided by financing activities was 1,357 million yen. This is due to a net increase in short-term borrowings of 975 million
yen and 723 million yen in proceeds from long-term borrowings, which were partially offset by repayments of long-term borrowingsof 109 million yen and repayments of lease liabilities of 231 million yen in connection with leases of buildings, etc.
(4) Explanations on forward-looking information including forecast of consolidated financial results
Looking at our business environment during the three-month period ended March 31, 2024, the Vital Statistics Report (Preliminarydata) published by the Ministry of Health, Labour and Welfare estimates the number of marriages in 2023 at around 500,000, with
figures still far below the pre-COVID 2019 level of around 600,000 (according to the same statistics).
Under such conditions, the Group will leverage its strength in the in-house production of various items to develop high added value
products and increase efficiency. At existing facilities, the Group will seek to maintain the appeal of the facilities and win morecustomers and orders through flexible renovation that accurately reflects customer preferences and vigorous advertising activities.
As the Group undertakes these initiatives, it forecasts that it will record revenue of 19,576 million yen, an operating profit of 1,710
million yen, a profit before income tax of 1,361 million yen and a net profit of 943 million yen in the fiscal year ending December
31, 2024.

–4–

2. Condensed quarterly consolidated financial statements and significant notes(1) Condensed quarterly consolidated statements of financial position
As of December 31, 2023
Thousand yen
AssetsCurrent assets
Cash and cash equivalents
Trade and other receivables
Inventories
Other financial assets
Other current assets
Total current assets
Non-current assets
Property, plant and equipment, net
Goodwill
Intangible assets, net
Investments accounted for using the equity method
Other financial assets
Deferred tax assets
Other non-current assets
Total non-current assets
Total assets–5–

As of March 31, 2024
Thousand yen

1,719,405
402,477
241,505
20,033
140,7392,653,233
385,562
244,732
19,573
222,292

2,524,162

3,525,393

15,820,651
11,203,452
71,26823,718999,161
1,630,672
28,313

15,957,590
11,203,452
71,65733,283994,801
1,766,389
27,39829,777,239

30,054,574

32,301,401

33,579,968

As of December 31, 2023

As of March 31, 2024

Thousand yen

Thousand yen

Liabilities and equity
Liabilities
Current liabilities
Trade and other payables
Contract liabilities
Borrowings
Other financial liabilities
Provisions
Income taxes payable
Other current liabilities

1,427,247
1,212,356
3,399,769
982,90760,448349,179
745,5311,580,297
1,464,926
12,989,795
1,000,372–
1,091
587,117

Total current liabilities
Non-current liabilities
Borrowings
Other financial liabilities
Provisions
Other non-current liabilities

8,177,438

17,623,599

9,688,801
4,937,598
1,271,155
48,443

1,705,900
4,992,384
1,285,433
54,300Total non-current liabilities

15,945,998

8,038,020

24,123,437

25,661,619

100,000
6,150,000
1,865,936
62,027100,000
6,150,000
1,606,079
62,268

Total equity attributable to owners of the parent

8,177,964

7,918,348

Total equity

8,177,964

7,918,348

32,301,401

33,579,968

Total liabilities
EquityShare capital
Capital surplus
Retained earnings
Other components of equity

Total liabilities and equity–6–(2) Condensed quarterly consolidated statements of profit or loss and condensed quarterly consolidated statements of comprehensive
income(Condensed quarterly consolidated statements of profit or loss)
Three-month period ended
Three-month period ended
March 31, 2023
March 31, 2024
Thousand yen
3,330,090(1,638,395)

Thousand yen
3,696,322(1,747,445)

1,691,694(2,071,452)
5,196(9,297)

1,948,876(2,285,552)
8,707(6,005)

Operating profit (loss)
Finance income
Finance expenses
Share of profit (loss) of investments accounted for using
the equity method(383,858)
3,979(95,406)(333,974)
14,810(84,882)(5,686)

9,564

Profit (loss) before income taxes
Income taxes(480,972)
157,602(394,481)
134,624

Net profit (loss)(323,369)(259,856)

Net profit (loss) attributable to
Owners of the parent(323,369)(259,856)(323,369)(259,856)(12.93)–(10.39)–

Revenue
Cost of sales
Gross profit
Selling, general and administrative expenses
Other income
Other expenses

Net profit (loss)
Earnings (loss) per share
Basic earnings (loss) per share (yen)Diluted earnings per share (yen)–7–

(Condensed quarterly consolidated statements of comprehensive income)Three-month period ended
March 31, 2023
Net profit (loss)
Other comprehensive income
Items that may be reclassified to profit or loss
Exchange differences on translation of foreign
operations
Total of items that may be reclassified to profit orloss
Other comprehensive income, net of tax
Comprehensive income
Comprehensive income attributable to
Owners of the parent
Comprehensive income–8–

Three-month period ended
March 31, 2024

Thousand yen(323,369)

Thousand yen(259,856)(2,105)(3,985)(2,105)(3,985)(2,105)(3,985)(325,475)(263,842)(325,475)(263,842)(325,475)(263,842)

(3) Condensed quarterly consolidated statements of changes in equity
Equity attributable to owners of the parent
SharecapitalCapitalsurplusRetainedearnings

Other
componentsof equity

Total equity
attributableto owners of
the parent

Thousandyen
100,000––

Thousandyen
6,150,000––

Thousandyen
923,664(323,369)–

Thousandyen
60,607–(2,105)

Thousandyen
7,234,271(323,369)(2,105)

Thousandyen
7,234,271(323,369)(2,105)Comprehensive income––(323,369)(2,105)(325,475)(325,475)

Stock compensation

–

–

–

4,226

4,226

4,226

Balance as of January 1, 2023
Net profit (loss)
Other comprehensive income

Total equity

Total transactions with owners

–

–

–

4,226

4,226

4,226

Balance as of March 31, 2023

100,000

6,150,000

600,294

62,728

6,913,022

6,913,022

Equity attributable to owners of the parent
SharecapitalCapitalsurplusRetainedearnings

Other
componentsof equity

Total equity
attributableto owners of
the parent

Thousandyen
100,000––

Thousandyen
6,150,000––

Thousandyen
1,865,936(259,856)–

Thousandyen
62,027–(3,985)

Thousandyen
8,177,964(259,856)(3,985)

Thousandyen
8,177,964(259,856)(3,985)Comprehensive income––(259,856)(3,985)(263,842)(263,842)

Stock compensation

–

–

–

4,226

4,226

4,226

Balance as of January 1, 2024
Net profit (loss)
Other comprehensive income

Total equity

Total transactions with owners

–

–

–

4,226

4,226

4,226

Balance as of March 31, 2024

100,000

6,150,000

1,606,079

62,268

7,918,348

7,918,348–9–

(4) Condensed quarterly consolidated statements of cash flows
Three-month period ended
March 31, 2023

Three-month period ended
March 31, 2024

Thousand yen

Thousand yen

Cash flows from operating activities
Profit (loss) before income taxes
Depreciation and amortization
Finance income
Finance expenses
Share of profit (loss) of investments accounted for using
the equity method
Loss on retirement of fixed assets
Decrease (increase) in trade and other receivables
Decrease (increase) in inventories
Increase (decrease) in trade and other payables
Increase (decrease) in contract liabilities
Increase (decrease) in accrued expenses
Increase (decrease) in deposits received
Increase (decrease) in accrued consumption taxes
Other(480,972)
548,293(3,979)95,406(394,481)
604,981(14,810)84,882

5,686(9,564)

6,297
1,492
(12,966)
28,157
316,566(47,808)
4,155(385,877)(71,745)

5,281
22,393(2,469)128,249
252,565
1,001
13,591(139,699)(181,566)

2,708
614
(62,340)(209,024)

370,355483(61,274)(349,180)

Net cash provided by (used in) operating activities
Cash flows from investing activities
Purchases of property, plant and equipment
Proceeds from sale of property, plant and equipment
Purchases of intangible assets
Proceeds from collection of loans receivable
Payments of guarantee deposits
Proceeds from refund of guarantee deposits(268,042)(39,617)(731,250)
10(1,995)
5,016(35,200)–(390,391)
850(6,807)
5,110(1,100)501

Net cash used in investing activities
Cash flows from financing activities
Net increase (decrease) in short-term borrowings
Proceeds from long-term borrowings
Repayments of long-term borrowings
Repayments of lease liabilities(763,418)(391,836)(100,000)
11,346,564(11,548,908)(219,095)

975,001
723,827(109,762)(231,668)

Net cash provided by (used in) financing activities
Effect of exchange rate changes in cash and cash
equivalents(521,439)

1,357,396

(562)

7,884

Net increase (decrease) in cash and cash equivalents
Cash and cash equivalents at beginning of period(1,553,462)
2,803,410

933,827
1,719,405

Cash and cash equivalents at end of period

1,249,948

2,653,233

SubtotalInterest received
Interest paid
Income taxes paid

– 10 –

(5) Notes to condensed quarterly consolidated financial statements(Notes regarding going concern assumptions)Not applicable.
(Changes in accounting policies)
The significant accounting policies applied to the condensed quarterly consolidated financial statements for the three-month
period ended March 31, 2024 are the same as those applied to the consolidated financial statements for the previous fiscal year,
except the following.
The Group has applied the following standards from the first quarter of the fiscal year ending December 31, 2024.
IFRS
Description of new standards/amendments
IAS 1

Presentation of Financial Statements

Clarifies requirements for classifying liabilities as current or noncurrent.

IAS 1

Presentation of Financial Statements

Non-current Liabilities with Covenants

The application of the accounting standards above does not have material impact on the condensed quarterly consolidated
financial statements.
(Segment information)(1) Overview of reportable segments
The Group’s reportable segments are the Company’s components for which separate financial information is available and forwhich the Board of Directors performs periodic reviews for the purposes of determining management resources allocation andevaluating performance.
The Group’s business is classified into segments according to business type. The Group has two reportable segments: the Bridal
business and the Restaurant business.
The major operations of the Bridal business are the planning and operations of ceremonies and banquets, wedding attire rental
and sale, and provision of banquet food and beverages.
The major operations of the Restaurant business are preparing banquets and general meals (lunches and dinners).
(2) Revenues and business results by segment
The following are the results, including revenue, of the reportable segments of the Group.
Profit or loss of the reportable segments is the operating profit on the condensed quarterly consolidated statements of profit or
loss.
Intersegment transaction prices are based on prevailing market prices.

– 11 –

Three-month period ended March 31, 2023
Reportable segments
Bridal businessRestaurant
business

Total

Adjustments(Note)

Consolidated

Thousand yen

Thousand yen

Thousand yen

Thousand yen

Thousand yen

Revenue
External
Intersegment

3,137,750
774

192,3396,618

3,330,090
7,392–(7,392)

3,330,090–

Total

3,138,524

198,958

3,337,482(7,392)

3,330,090(83,557)(632)(84,189)(299,669)(383,858)

Segment profit (loss)
Finance income
Finance expenses
Share of profit (loss) ofinvestments accounted forusing the equity method

3,979(95,406)(5,686)

Profit (loss) before income
taxes(480,972)(Note) “Adjustments” in segment profit (loss) is mostly the elimination of intersegment transactions and corporate expenses
that are not allocated to either reportable segment. Corporate expenses are primarily general and administrative expenses
that are not attributable to either reportable segment.
Three-month period ended March 31, 2024
Reportable segments
Bridal businessRestaurant
business

Total

Adjustments(Note)

Consolidated

Thousand yen

Thousand yen

Thousand yen

Thousand yen

Thousand yen

Revenue
External
Intersegment

3,445,975
326

250,346
4,255

3,696,322
4,581–(4,581)

3,696,322–

Total

3,446,301

254,6023,700,903(4,581)

3,696,322(70,019)

11,066(58,952)(275,021)(333,974)

Segment profit (loss)
Finance income
Finance expenses
Share of profit ofinvestments accounted forusing the equity method

14,810(84,882)
9,564

Profit (loss) before incometaxes(394,481)(Note) “Adjustments” in segment profit (loss) is mostly the elimination of intersegment transactions and corporate expenses
that are not allocated to either reportable segment. Corporate expenses are primarily general and administrative expenses
that are not attributable to either reportable segment.

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