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 Nine Months Ended June 30, 2024
(Based on Japanese GAAP)
August 14, 2024
Company name:
KONAKA CO.,LTD.
Stock exchange listing: Tokyo
Stock code:
Representative:
Inquiries:

7494
URL https://www.konaka.co.jp
Representative Director, President and CEOGroup Representative
Managing Executive Officer, CFO, GeneralKensuke Konaka
Ryusuke Konaka

Manager of Administration Headquarters
Scheduled date to commence dividend payments:–Preparation of supplementary material on financial results:
Holding of financial results meeting:

NoNo

TEL

045(825)7700(Amounts less than one million yen are rounded down)
1. Consolidated financial results for the nine months ended June 30, 2024 (from October 1, 2023 to June 30, 2024)(1) Consolidated operating results (cumulative)
Percentages indicate year-on-year changes
Profit attributable toNet sales
Operating profit
Ordinary profitowners of parent
Millions of yen% Millions of yen% Millions of yen% Millions of yen%
Nine months ended June 30, 2024
50,412(4.4)
531 (29.9)730 (13.2)(96)–
Nine months ended June 30, 2023
52,736
4.5
757
–
840
–
851
–
Earnings per share

Diluted earnings per shareYen(3.29)
29.20

Nine months ended June 30, 2024
Nine months ended June 30, 2023

Yen––(2) Consolidated financial position
Total assets
As of June 30, 2024
As of September 30, 2023

Net assets

Millions of yen
49,141
50,612Equity ratioMillions of yen
19,132
19,437

%
37.9
37.5

2. Cash dividends
Annual dividends per share

Year ended September 30, 2023
Year ending September 30, 2024
Year ending September 30, 2024
(Forecast)

1st quarter-end

2nd quarter-end

3rd quarter-end

Fiscal year-end

Yen––

Yen
10.00
0.00

Yen––

Yen
10.00

Total
Yen
20.00

0.00

0.00

3. Forecast of consolidated financial results for the year ending September 30, 2024 (from October 1, 2023 to September 30, 2024)
Percentages indicate year-on-year changes
Profit attributable toNet salesOperating profit
Ordinary profit
Earnings per shareowners of parent
Millions of yen% Millions of yen% Millions of yen% Millions of yen%
Yen
Full year
70,015
6.4
683–887–
85–
2.81

14. Notes(1) Significant changes in the scope of consolidation during the nine months ended June 30, 2024:

No(2) Application of special accounting methods for preparing quarterly consolidated financial statements:

No(3) Changes in accounting policies, changes in accounting estimates, and restatement of prior period financial statements
NoChanges in accounting policies due to revisions to accounting standards and other regulations:
Changes in accounting policies due to other reasons:
Changes in accounting estimates:

NoNo

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 June 30, 2024

31,146,685 shares As of September 30, 2023

31,146,685 shares

Number of treasury shares at the end of the period
As of June 30, 2024

1,789,483 shares As of September 30, 2023

1,897,073 sharesAverage number of shares during the period (cumulative from the beginning of the fiscal year)
Nine months ended June 30, 2024

29,304,433 shares Nine months ended June 30, 2023

229,169,489 shares

Quarterly consolidated financial statements
Consolidated balance sheets(Millions of yen)
As of September 30, 2023

As of June 30, 2024

AssetsCurrent assets
Cash and deposits
Accounts receivable - trade

5,894
2,826

4,912
3,225

Merchandise and finished goods
Work in process

14,327214,070
1

Raw materials and supplies
Other366
1,347

396
1,782Total current assets

24,764

24,388

3,458
9,341

3,369
8,637

Non-current assets
Property, plant and equipment
Buildings and structures, net
Land
Other, net

495

541

13,296

12,548Trademark right
Other

43
512

1600

Total intangible assets

555

601

Investments and other assets
Investment securities

3,417

3,415

Leasehold and guarantee deposits
Retirement benefit asset

7,031
699

6,729
759

Other
Allowance for doubtful accounts

895
(47)

747
(49)

Total investments and other assets

11,996

11,602

25,84824,75250,61249,141

Total property, plant and equipment
Intangible assets

Total non-current assets
Total assets
Liabilities
Current liabilities
Notes and accounts payable - trade

1,709

1,715

Electronically recorded obligations - operating
Short-term borrowings

2,331
12,075

3,466
7,311

Current portion of long-term borrowings
Income taxes payable

7,652
366

1,056
306

896
413

731
324

Other

3,194

3,192

Total current liabilities

28,64018,104

85
594

9,332
582

Provision for point card certificates
Other

31
1,823

25
1,963

Total non-current liabilities

2,534

11,90331,175

30,008Contract liabilities
Provision for bonuses

Non-current liabilities
Long-term borrowings
Retirement benefit liability

Total liabilities

3(Millions of yen)
As of September 30, 2023

As of June 30, 2024

Net assets
Shareholders' equity
Share capital

5,305

5,305

Capital surplus
Retained earnings

13,253
1,631

13,253
1,106

Treasury shares(3,120)(2,938)

Total shareholders' equity

17,07016,727

1,840
(39)

1,838
(38)

98

91

1,898

1,891

467

513

19,437

19,13250,61249,141

Accumulated other comprehensive income
Valuation difference on available-for-sale securities
Foreign currency translation adjustment
Remeasurements of defined benefit plans
Total accumulated other comprehensive income
Non-controlling interests
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)
Nine months ended

Nine months ended

June 30, 2023

June 30, 2024

Net sales
Cost of sales

52,73622,09450,412
21,196Gross profit

30,642

29,216

Selling, general and administrative expenses

29,884

28,685757

531Interest income
Dividend income

1836

24
43

Rental income from real estate
Reversal of provision for bonuses

275
–

329
163

Other

188

153

Total non-operating income

518

715

Interest expenses
Commission expenses

127
–

125
167

Rental expenses on real estate
Share issuance costs

53
214

86–

Arrangement Fee
Other–
40

88
48

Total non-operating expenses

435

516

840

730

Gain on sale of non-current assets
Gain on sale of investment securities

811
0587
–

Penalty income
Other

440
230––1,481

587

Operating profit
Non-operating income

Non-operating expenses

Ordinary profit
Extraordinary income

Total extraordinary income
Extraordinary losses
Loss on retirement of non-current assets

26

10

1,526
68

825
630–

1,620

899

701

418

Income taxes - current

439

328

Income taxes - deferred

(320)

134

Total income taxes

119

462

Profit (loss)

581

(44)

Profit (loss) attributable to non-controlling interests

(270)

51

Profit (loss) attributable to owners of parent

851

(96)

Impairment losses
Loss on store closings
Other
Total extraordinary losses
Profit before income taxes

5Consolidated statements of comprehensive income (cumulative)(Millions of yen)

Profit (loss)
Other comprehensive income

Nine months ended

Nine months ended

June 30, 2023

June 30, 2024
581

(44)

Valuation difference on available-for-sale securities
Foreign currency translation adjustment

371
68

(1)
(4)

Remeasurements of defined benefit plans, net of tax

10(6)

450

(12)

Comprehensive income

Total other comprehensive income

1,032

(57)

Comprehensive income attributable toComprehensive income attributable to owners of parent

1,272(103)

(240)

46

Comprehensive income attributable to non-controllinginterests

6