May 10, 2019

Summary of Consolidated Financial Results for the Fiscal Year Ended March 31, 2019
[Japanese GAAP]
Listings: TSE First Section
Company name: AOKI Holdings Inc.
Stock code:
8214
URL: http://www.aoki-hd.co.jp/
Representative:
Akihiro Aoki, President
Contact:
Haruo Tamura, Executive Vice President
Tel: +81-45-941-1388
Scheduled date of Annual General Meeting of Shareholders:June 27, 2019
Scheduled date of filing of Annual Securities Report:
June 28, 2019
Scheduled date of payment of dividend:
June 6, 2019
Preparation of supplementary materials for financial results:
Yes
Holding of financial results meeting:Yes (for institutional investors and analysts)
Note: The original disclosure in Japanese was released on May 10, 2019 at 14:15 (GMT +9).
(All amounts are rounded down to the nearest million yen)

1. Consolidated Financial Results for the Fiscal Year Ended March 31, 2019 (April 1, 2018 – March 31, 2019)(1) Consolidated results of operations
Sales

Operating profit

Million yen%
Million yen%
FY3/19193,918(2.3)
13,382(10.0)
FY3/18
198,4172.3
14,8642.9
Note: Comprehensive income (million yen) FY3/19: 4,482 (down 40.3%)(Percentages represent year-on-year changes)
Profit attributable toOrdinary profit
owners of parent
Million yen%
Million yen%
11,890(15.1)
4,602(37.6)
14,003
0.8
7,377
0.3
FY3/18: 7,504 (up 1.4%)

Net income per
Diluted net income
Return on equity
share
per share
Yen
Yen%
FY3/1953.34
3.2
FY3/1884.87
5.1
Reference: Equity in income of affiliates (million yen)
FY3/19: -Ordinary profit on
total assets
%
5.0
5.9
FY3/18: -Operating profit to
sales
%
6.9
7.5

(2) Consolidated financial position
Total assets
Million yen
As of Mar. 31, 2019
232,056
As of Mar. 31, 2018
239,068
Reference: Shareholders’ equity (million yen)

Net assets
Equity ratio
Net assets per share
Million yen%
Yen145,67162.7
1,694.45
146,52861.3
1,691.70
As of Mar. 31, 2019:
145,595
As of Mar. 31, 2018: 146,440(3) Consolidated cash flow position

FY3/19FY3/18Cash flows fromoperating activities
Million yen
13,066
21,703

Cash flows frominvesting activities
Million yen(9,152)(8,855)

Cash flows fromfinancing activities
Million yen(9,532)(9,280)Cash and cash equivalents
at end of period
Million yen
26,55832,175

2. Dividends
Dividend per share

Dividend payout Dividend on
ratio
equity1Q-end2Q-end3Q-endYear-end
Total(consolidated) (consolidated)
Yen
Yen
Yen
Yen
Yen
Million yen%%
FY3/18
22.00
22.00
44.00
3,815
51.8
2.6
FY3/19
29.00
31.00
60.00
5,172
112.5
3.5
FY3/20 (forecasts)
23.00
23.00
46.00
73.2
Note: Breakdown of 2Q-end dividends for FY3/19: Ordinary dividends: 22.00 yen; Commemorative dividends: 7.00 yen
Breakdown of Year-end dividends for FY3/19: Ordinary dividends: 23.00 yen; Commemorative dividends: 8.00 yen
Total
dividends

3. Consolidated Forecast for the Fiscal Year Ending March 31, 2020 (April 1, 2019 – March 31, 2020)(Percentages represent year-on-year changes)
Profit attributable toSales
Operating profit
Ordinary profit
Net income per shareowners of parent
Million yen%
Million yen%
Million yen%
Million yen%
Yen
Full year
194,050(0.5)
12,300(8.8)
11,750
(1.2)
5,400
17.3
62.85
Note: In prior years, rent income of real estate was included in non-operating income and the rent cost of real estate was included
in non-operating expenses and selling, general and administrative expenses. Beginning with the fiscal year ending March 31,
2020, this real estate rent income and the associated cost are expected to be classified as sales and cost of sales, respectively,
instead. Year-on-year changes are based on the revised income statement for the fiscal year ended March 31, 2019.

* Notes(1) Changes in consolidated subsidiaries during the period (changes in scope of consolidation): None
(2) Changes in accounting policies and accounting-based estimates, and restatements
1) Changes in accounting policies due to revisions in accounting standards, others:

Yes2) Changes in accounting policies other than 1) above:None3) Changes in accounting-based estimates:

Yes

4) Restatements:

None

Note: Please refer to “Changes in Accounting Policies” and “Changes in Accounting-based Estimates” on page 13 for further
information.

(3) Number of shares outstanding (common shares)
1) Number of shares outstanding (including treasury stock) at the end of the period
As of Mar. 31, 2019:

90,649,504 shares

As of Mar. 31, 2018:

90,649,504 shares

As of Mar. 31, 2018:

4,085,322 sharesFiscal year ended Mar. 31, 2018:

86,920,380 shares

2) Number of shares of treasury stock at the end of the period
As of Mar. 31, 2019:

4,724,330 shares

3) Average number of shares outstanding during the period
Fiscal year ended Mar. 31, 2019:86,287,266 shares

Note 1: This financial report is not subject to audit by certified public accountants or auditing firms.
Note 2: Cautionary statement with respect to forecasts and other matters
Cautionary statement with respect to forward-looking statements
Forecasts and forward-looking statements in these materials are based on assumptions judged to be valid and information
available to the Company at the time the materials were created. These materials are not promises by the Company regarding
future performance. Actual performance may differ significantly from these forecasts for a number of reasons. Please refer to “1.
Overview of Results of Operations, etc., (4) Outlook” on page 4 of the attachments regarding preconditions or other related
matters for the forecast shown above.
Disclosure of the information meeting materials
The Company plans to hold a financial results meeting for institutional investors and analysts on Friday, May 24, 2019.
Materials to be distributed at this event will be available on the Company’s website immediately thereafter.

AOKI Holdings Inc. (8214) Fiscal Year Ended March 31, 2019

Contents of Attachments
1. Overview of Results of Operations, etc.

2(1) Results of Operations

2(2) Financial Position

3(3) Cash Flows

4(4) Outlook

4

2. Basic Approach for the Selection of Accounting Standards

5

3. Consolidated Financial Statements and Notes

6(1) Consolidated Balance Sheet

6(2) Consolidated Statement of Income and Consolidated Statement of Comprehensive Income

8

Consolidated Statement of Income

8

Consolidated Statement of Comprehensive Income

9(3) Consolidated Statement of Changes in Shareholders’ Equity

10(4) Consolidated Statement of Cash Flows

12(5) Notes to Consolidated Financial Statements

13

Going Concern Assumption

13

Changes in Accounting Policies

13

Reclassifications

13

Changes in Accounting-based Estimates

13

Additional Information

13

Notes to Consolidated Balance Sheet

14

Notes to Consolidated Statement of Income

15

Notes to Consolidated Statement of Comprehensive Income

16

Notes to Consolidated Statement of Changes in Shareholders’ Equity

16

Notes to Consolidated Statement of Cash Flows

18

Segment and Other Information

18

Per Share Information

22

Subsequent Events

22

4. Other

23

Changes in Directors

23

1

AOKI Holdings Inc. (8214) Fiscal Year Ended March 31, 2019

1. Overview of Results of Operations, etc.
(1) Results of Operations
In the fiscal year that ended on March 31, 2019, the Japanese economy was in a moderate recovery phase withimprovements in corporate earnings and employment conditions. However, global economic growth began to slow
late in the fiscal year due to U.S.-China trade friction and other issues. In Japan, consumers continued to bebudget-minded in response to rising prices and slowing growth of real income. Due to this situation, the economic
outlook remained unclear. The AOKI Group implemented various measures in each business segment as discussed
below. As a result, business performance in the fiscal year under review is as follows:
Sales

193,918 million yen (down 2.3% year-on-year)

Operating profit

13,382 million yen (down 10.0% year-on-year)

Ordinary profit

11,890 million yen (down 15.1% year-on-year)

Profit attributable to owners of parent

4,602 million yen (down 37.6% year-on-year)

Operating results by segment are as follows.
Fashion Business
At AOKI, there were numerous activities to target the so-called “freshers (freshman) market,” which consists mainlyof new university graduates starting their first jobs. AOKI used advertising featuring Sexy Zone, a group of singers
belonging to the same generation, and Ms. Wakana Aoi, an actress who has participated in many TV drama. Major
products are New Navy & Black Suits for men and for women the 360-degree Good Looking Suits, which feature an
attractive silhouette and design. There were also activities to strengthen the lineup of personal-order suits and AOKIWomen’s Style apparel for women in their 40s and 50s. During the fiscal year, seven stores were opened and 15
stores were closed, including stores closed for relocation or conversion to a different format. New stores include the
Ginza and Ikebukuro locations of Aoki Tokyo, an urban store format exclusively for order-made suits. As a result,
there were 566 stores at the end of the fiscal year compared with 574 stores at the end of the previous fiscal year.
ORIHICA conducted a Freshers Fair with upgraded video marketing, such as videos available only on the Internet.
Another highlight was a Pre-School Ceremony Fair to give parents ideas for coordinated apparel to wear at
ceremonies for the beginning or completion of a child’s nursery school or kindergarten term. Two new stores wereopened and eight stores were closed to improve the efficiency of operations. As a result, there were 131 stores at theend of the fiscal year compared with 137 stores at the end of the previous fiscal year.
Although there were numerous initiatives during the fiscal year, existing store sales were sluggish because of a shift
in preferences for styles of business apparel, the diversification of sales channels for suits, unfavorable weather andother reasons. As a result, sales in this segment decreased 3.4% to 114,404 million yen and there was an operating
profit decreased 15.3% to 7,222 million yen.
Anniversaire and Bridal Business
ANNIVERSAIRE INC., which operates guesthouse-style wedding and reception facilities, took many actions during
the fiscal year to attract more customers. Major initiatives included sales activities that clearly communicated thecore concept of ANNIVERSAIRE, a redesigned website, and the increased use of social networking services.
ANNIVERSAIRE also took actions aimed at increasing sales of peripheral products and services primarily
involving anniversaries, such as jewelry and photographs. Despite these actions, the number of weddings decreased
mainly because of market conditions for the bridal business in Japan. ANNIVERSAIRE FUKUOKA was closed to
improve operating efficiency. As a result, there were 13 locations at the end of the fiscal year compared with 14 at
the end of the previous fiscal year.
Sales decreased 6.4% to 25,433 million yen and operating profit decreased 22.7% to 2,169 million yen.

2

AOKI Holdings Inc. (8214) Fiscal Year Ended March 31, 2019

Karaoke Facility Operations Business
VALIC Co., Ltd., which operates karaoke facilities, used early morning operating hours and discounted morning
rates to attract new customers. To operate karaoke locations more efficiently, operating hours were shortened andlocations were closed on certain days. There were also activities to make existing locations more appealing, such as
by remodeling 13 locations to meet the increasingly diverse needs of customers. One karaoke facility was opened
and 42 were closed, including 18 closed for conversion into café complexes. As a result, there were 131 karaoke
locations at the end of the fiscal year compared with 172 at the end of the previous fiscal year.
There was steady progress in improving operating efficiency. Sales decreased 7.4% to 17,305 million yen andoperating profit increased 33.6% to 1,022 million yen.
Café Complex Operations Business
VALIC Co., Ltd., which also operates café complexes, renovated 56 cafés primarily by reconfiguring the layout ofbooths and adding karaoke, no-smoking booths and showers. In other measures to invigorate existing locations, thisbusiness offered free showers with unlimited towels, free breakfast, and other services. VALIC opened 20 locations
and closed 11 to improve operating efficiency. As a result, there were 368 café complexes at the end of the fiscal
year compared with 359 at the end of the previous fiscal year.
Sales increased 7.8% to 36,797 million yen due to contributions from new cafés and a steady increase inexisting-store sales, and operating profit increased 4.2% to 2,158 million yen.
(2) Financial Position
Balance sheet position
Starting with the beginning of the current fiscal year, AOKI Holdings has applied “Partial Amendments to
Accounting Standard for Tax Effect Accounting” (Accounting Standards Board of Japan (ASBJ) Statement No. 28,
February 16, 2018). Prior-year figures have been adjusted retroactively to conform with this accounting standard inorder to facilitate comparisons and analysis.
Total assets at the end of the fiscal year under review decreased 7,011 million yen from the end of the previous fiscal
year to 232,056 million yen.
Current assets decreased 5,289 million yen from the end of the previous fiscal year. There was a decrease of 5,617
million yen in cash in hand and in banks. Fixed assets decreased 1,722 million yen from the end of the previous
fiscal year as tangible fixed assets decreased 1,711 million yen due to depreciation and impairment loss.
Current liabilities decreased 3,572 million yen from the end of the previous fiscal year. There were decreases of
1,649 million yen in accounts payable-trade resulting from a decrease in procurement, and 2,013 million yen in
accrued income taxes. Long-term liabilities decreased 2,581 million yen. It was mainly due to decreases of 1,650
million yen in long-term debt due to repayments and other factors, and 664 million yen in lease obligations, while
there was an increase of 433 million yen in asset retirement obligations due to changes in estimates and otherfactors.
Net assets decreased 857 million yen from the end of the previous fiscal year. There was increases of 188 million
yen in retained earnings due to a profit attributable to owners of parent and dividend from surplus, and 926 million
yen in treasury stock due to stock purchases.

3

AOKI Holdings Inc. (8214) Fiscal Year Ended March 31, 2019(3) Cash Flows
Cash flow position(Millions of yen)
FY3/19FY3/18Cash flows from operating activities

21,70313,066

Cash flows from investing activities(8,855)(9,152)

Cash flows from financing activities(9,280)(9,532)

Increase (decrease) in cash and cash equivalents

3,567(5,617)

Cash and cash equivalents at beginning of period

28,60832,175

Cash and cash equivalents at end of period

32,17526,558Cash and cash equivalents at the end of the fiscal year under review decreased 5,617 million yen from the end of theprevious fiscal year to 26,558 million yen mainly due to a decrease in profit before income taxes and an increase inincome taxes paid.
Net cash provided by operating activities decreased 9,080 million yen to 13,066 million yen on a year-on-year basis.
The principal factors were profit before income taxes of 7,436 million yen, depreciation and amortization of 8,229
million yen, and impairment loss of 4,153 million yen, while there was income taxes paid of 5,295 million yen (thenet of income tax payments and refunds).
Net cash used in investing activities increased 296 million yen to 9,152 million yen on a year-on-year basis. Thiswas mainly due to the payments of 7,035 million yen for the acquisition of tangible fixed assets for capital
investment, 1,206 million yen in acquisition of intangible fixed assets, and leasehold and guarantee deposits of 965
million yen.
Net cash used in financing activities increased 251 million yen to 9,532 million yen on a year-on-year basis. Thiswas mainly due to scheduled repayment of long-term debt of 2,650 million yen, repayments of lease obligations of
2,484 million yen, payments for purchase of treasury stock of 986 million yen, and cash dividends paid of 4,411
million yen, while there were proceeds from long-term debt of 1,000 million yen for capital expenditure.
(4) Outlook
In the fiscal year ending on March 31, 2020, the outlook is expected to remain uncertain primarily because of theplanned consumption tax hike, overseas events, economic events, and exchange rate movements. The AOKI Groupwill use a variety of actions to respond to changing market conditions as well as to operate with even greater
efficiency. There will be many activities to build an even stronger foundation for business operations, including byrenovating or closing existing stores.
In the Fashion Business, AOKI will concentrate on invigorating existing stores by developing products that matchchanges in the needs of consumers, expanding the lineup of women’s apparel and strengthening sales activities for
personal-order suits. There will also be an extensive reexamination of store operations, including closures of
unprofitable stores, relocations or conversions to different formats, in order to improve efficiency. ORIHICA willcontinue to strengthen its lineup of merchandise and further enhance profitability by boosting operating efficiencies.
We plan to open nine stores including relocations or conversions in the Fashion Business during the fiscal year
ending on March 31, 2020.
The Karaoke Facility Operations Business and Café Complex Operations Business of VALIC will be combined in
the fiscal year ending on March 31, 2020 to reflect the reorganization of VALIC and the increasing diversity of theoperations of the café complex business. The combined business will be renamed the Entertainment Business.
Operating stores in a manner that closely reflects consumers’ needs is the priority of this business. Other major
initiatives of the Entertainment Business are store renovations and format conversions for the evolution of store
formats to match anticipated future market trends and the opening of new locations. During the fiscal year ending on
4

AOKI Holdings Inc. (8214) Fiscal Year Ended March 31, 2019

March 31, 2020, the Entertainment Business plans to open 100 new locations and renovate existing 100 locations.
By implementing all of these measures, we expect our performance to improve in the coming fiscal year.
Business segment forecasts are based on the following assumptions for changes in existing-store sales.
1Q
Fashion

2Q

(0.7)

1H
3.2

3Q
0.9

Anniversaire and Bridal (Note)

4Q

(3.1)

(%)
Full year

2H
1.2

(6.0)

(0.5)

0.0

4.4

(0.7)

Karaoke Facility Operations

2.4

(0.7)

0.7

(0.5)

(2.1)

(1.3)

(0.3)

Café Complex Operations

4.5

0.6

2.4

1.9

0.7

1.3

1.8

Note: The percentages for the ANNIVERSAIRE and Bridal business are expected changes in the number of couples married
excluding ANNIVERSAIRE FUKUOKA, which was closed last year.

Our business segment forecasts are as follows.
Business segment forecasts for the fiscal year ending March 31, 2020
Fashion
Sales (Millions of yen)

Anniversaireand Bridal

Entertainment

OthersConsolidated

110,250

25,00057,5003,530

194,050

Year-on year change (%)

96.4

98.3

106.3

-

99.5

Segment profit (Millions of yen)

7,500

1,500

2,800

790

12,300Year-on year change (%)

103.3

69.1

88.0

-

91.2

Notes:

1. Segment profit is operating profit. The total segment profits differ from consolidated operating profit because of
consolidation adjustments.
2. Beginning with the fiscal year ending March 31, 2020, business profit or loss related to real estate leasing, which was
included in non-operating income or expenses, is expected to be included in operating profit or loss. Year-on-yearchanges are based on the reclassified figures for rent income of real estate and the rent cost of real estate for the
fiscal year ended March 31, 2019.
3. Others mainly consist of real estate leasing and other businesses. The expected amount of consolidation adjustments
is -2,200 million yen for sales and -690 million yen for segment profit.

2. Basic Approach for the Selection of Accounting Standards
The AOKI Group’s operations are located in Japan and the Group has little or no need of raising funds in overseas
markets. Moreover, the percentage of shares held by foreign shareholders is relatively small. In view of the above
factors the Company currently uses Japanese accounting standards for its financial statements.
The Company will consider using International Financial Reporting Standards (IFRS) if considered necessary by the
future direction of the Group’s business development, the use of IFRS by other companies in Japan and other factors.

5

AOKI Holdings Inc. (8214) Fiscal Year Ended March 31, 2019

3. Consolidated Financial Statements and Notes(1) Consolidated Balance Sheet
FY3/18(As of Mar. 31, 2018)(Millions of yen)
FY3/19(As of Mar. 31, 2019)

AssetsCurrent assets
Cash in hand and in banks

32,175

Accounts receivable-trade26,558

11,659Inventories*1

Other current assets

26,007

11,793*1

8,431

Allowance for doubtful accounts

25,574
9,061

(35)

(38)

78,23872,948132,709134,265

Accumulated depreciation(72,124)(73,332)

Buildings and structures, net

60,58560,933

Total current assets
Fixed assets
Tangible fixed assets
Buildings and structures

Machinery, vehicles, tools, furniture and fixtures

16,477

16,947

Accumulated depreciation(8,765)(9,366)

Machinery, vehicles, tools, furniture and fixtures, net

7,712

7,581

Land

*2

Lease assets

36,952*2

36,941

14,135

13,841

Accumulated depreciation(8,982)(9,473)

Lease assets, net

5,153

4,367

Construction in progress

1,265

134

Total tangible fixed assets

111,669

109,958

5,796

5,932

Intangible fixed assets
Investments and other assets
Investment securities

*3

4,361

*3

4,209

Guarantee deposits

7,973

7,881

Leasehold deposit

20,61020,536

Deferred income tax assets

8,577

8,442

Other investments and other assets

1,890

2,186

Allowance for doubtful accounts

(50)

(40)

Total investments and other assets

43,364

43,216

160,829

159,107

239,068

232,056

Total fixed assets
Total assets

6

AOKI Holdings Inc. (8214) Fiscal Year Ended March 31, 2019

(Millions of yen)
FY3/19(As of Mar. 31, 2019)

FY3/18(As of Mar. 31, 2018)
Liabilities
Current liabilities
Accounts payable-trade

19,812

18,162Current portion of long-term debt

2,650

2,650

Lease obligations

1,864

1,709

Accounts payable-other

5,885

5,903

Accrued income taxes

2,593

579

Accrued bonuses for employees

1,978

2,078

123

83

Other current liabilities

5,841

6,010

Total current liabilities

40,75037,177Long-term debt

36,47534,825

Lease obligations
Accrued retirement benefits for directors and statutory
auditors
Accrued costs for customer point program

3,880

3,216

2,018

-

1,059

872

Net defined benefit liability

1,054

1,094

Asset retirement obligations

6,032

6,466

Accrued bonuses for directors and statutory auditors

Long-term liabilities

Other long-term liabilities

1,269

2,733

Total long-term liabilities

51,78949,20892,53986,385

Common stock

23,282

23,282

Capital surplus

27,833

27,846

Retained earnings

100,299

100,488

Treasury stock(5,376)(6,302)

Total shareholders’ equity

146,039

145,315

Unrealized gain on securities

588

370

Remeasurements of defined benefit plans

(187)

(89)

Total accumulated other comprehensive income

401

280

87

75

146,528

145,671

239,068

232,056

Total liabilities
Net assets
Shareholders’ equity

Accumulated other comprehensive income

Stock acquisition rights
Total net assets
Total liabilities and net assets

7

AOKI Holdings Inc. (8214) Fiscal Year Ended March 31, 2019(2) Consolidated Statement of Income and Consolidated Statement of Comprehensive Income
Consolidated Statement of Income
FY3/18(Apr. 1, 2017 – Mar. 31, 2018)(Millions of yen)
FY3/19(Apr. 1, 2018 – Mar. 31, 2019)

Sales

198,417

193,918

Cost of sales

111,552

110,325

Gross profit

86,864

Selling, general and administrative expenses*1

Operating profit

72,00083,592*1

70,20914,864

13,38296

91

Non-operating profit
Interest income
Dividend income

72

78

Rental income on real estate

571

556

Other

168

185

Total non-operating profit

908

912

Interest expenses

328

299

Expenses on sub-leased real estate

496

471

Loss on disposal of fixed assets
Expenses for events to celebrate AOKI’s 60th
anniversary
Other

263

558

119

450

561

624

Non-operating expenses

Total non-operating expenses

1,769

2,404

14,003

11,890Gain on sale of fixed assets

20

175

Gain on sales of investment securities-

27

Ordinary profit
Extraordinary gains

Gain on reversal of stock acquisition rights-

12

Total extraordinary gains

20

215

Extraordinary losses
Loss on sales of fixed assets

38

Impairment loss

*2

2,078

*2

4,153

Loss on liquidation of subsidiaries and associates-

444

Loss on disaster

-

71

2,117

4,669

Total extraordinary losses
Profit before income taxes

11,906

7,436

Current income taxes

4,822

2,670

Deferred income taxes

(293)

163

Total income taxes

4,528

2,834

Profit

7,377

4,602

Profit attributable to owners of parent

7,377

4,602

8

AOKI Holdings Inc. (8214) Fiscal Year Ended March 31, 2019

Consolidated Statement of Comprehensive Income
FY3/18(Apr. 1, 2017 – Mar. 31, 2018)(Millions of yen)
FY3/19(Apr. 1, 2018 – Mar. 31, 2019)

7,377

4,602

Unrealized gain on securities

11

(218)

Remeasurements of defined benefit plans, net of tax

115

97

ProfitOther comprehensive income

Total other comprehensive income*1

Comprehensive income

126

*1

(120)

7,504

4,482

7,504

4,482

-

-

Comprehensive income attributable toComprehensive income attributable to owners of parent
Comprehensive income attributable to non-controllinginterests

9

AOKI Holdings Inc. (8214) Fiscal Year Ended March 31, 2019(3) Consolidated Statement of Changes in Shareholders’ Equity
FY3/18 (Apr. 1, 2017 – Mar. 31, 2018)(Millions of yen)
Shareholders’ equity

Balance at the beginning ofcurrent period

Common stock

Capital surplus

23,282

27,833Retained earnings Treasury stock
96,753(4,325)

Total
shareholders’equity143,544

Changes of items during period
Dividend from surplus(3,830)(3,830)

Profit attributable to owners ofparent

7,377

7,377

Purchase of treasury stock
Disposal of treasury stock
Net changes of items other thanshareholders’ equity
Total changes of items during
periodBalance at the end of current
period

(1,051)(1,051)

0

0

0

-

0

3,546

(1,051)

2,495

23,282

27,833

100,299(5,376)

146,039

Accumulated other comprehensive income
Remeasurements
Unrealized gainof defined benefit
on securities
plans
Balance at the beginning ofcurrent period

576

(302)

Total accumulated
othercomprehensive
income274

StockacquisitionrightsTotal net assets

87

143,906

Changes of items during period
Dividend from surplus(3,830)

Profit attributable to owners ofparent

7,377

Purchase of treasury stock(1,051)

Disposal of treasury stock0

Net changes of items other thanshareholders’ equity
Total changes of items during
periodBalance at the end of current
period

11

115

126

-

126

11

115

126

-

2,622

588

(187)

401

87

146,528

10

AOKI Holdings Inc. (8214) Fiscal Year Ended March 31, 2019

FY3/19 (Apr. 1, 2018 – Mar. 31, 2019)(Millions of yen)
Shareholders’ equity

Balance at the beginning ofcurrent period

Common stock

Capital surplus

23,282

27,833Retained earnings Treasury stock
100,299(5,376)

Total
shareholders’equity146,039

Changes of items during period
Dividend from surplus(4,413)(4,413)

Profit attributable to owners ofparent

4,602

4,602

Purchase of treasury stock
12

Disposal of treasury stock
Net changes of items other thanshareholders’ equity
Total changes of items during
periodBalance at the end of current
period

(986)

(986)

59

72

-

12

188

(926)

(724)

23,282

27,846

100,488(6,302)

145,315

Accumulated other comprehensive income
Remeasurements
Unrealized gainof defined benefit
on securities
plans
Balance at the beginning ofcurrent period

588

(187)

Total accumulated
othercomprehensive
income401

Stockacquisitionrights87

Total net assets

146,528

Changes of items during period
Dividend from surplus(4,413)

Profit attributable to owners ofparent

4,602

Purchase of treasury stock(986)

Disposal of treasury stock72

Net changes of items other thanshareholders’ equity
Total changes of items during
periodBalance at the end of current
period

(218)

97

(120)

(12)

(132)

(218)

97

(120)

(12)

(857)

370

(89)

280

75

145,671

11

AOKI Holdings Inc. (8214) Fiscal Year Ended March 31, 2019(4) Consolidated Statement of Cash Flows
FY3/18(Apr. 1, 2017 – Mar. 31, 2018)(Millions of yen)
FY3/19(Apr. 1, 2018 – Mar. 31, 2019)

Cash flows from operating activities
Profit before income taxes

11,906

7,436

Depreciation and amortization

8,459

8,229

Impairment loss
Increase (decrease) in accrued retirement benefits for
employees
Increase (decrease) in accrued retirement benefits for
directors and statutory auditors
Increase (decrease) in accrued costs for customer point
programInterest and dividend income

2,078

4,153

255

183

68

(2,018)

(10)

(186)

(168)

(170)

328

299

Interest expenses
Loss on liquidation of subsidiaries and associates-

444

Decrease (increase) in accounts receivable-trade(1,151)(134)

Decrease (increase) in inventories

897

432

Increase (decrease) in accounts payable-trade652(1,649)

Increase (decrease) in accrued consumption taxes

1,103

(892)

Other

1,254

2,394

Subtotal

25,674

18,523

Interest and dividend income received

130

139

Interests paid

(326)

(300)

(4,670)(6,170)895

875

21,70313,066(6,942)(7,035)

Payments for acquisition of intangible fixed assets(626)(1,206)

Payments for leasehold and guarantee deposits
Proceeds from collection of leasehold and guarantee
deposits
Net decrease (increase) in short-term debt

(488)

(965)

536

737

(440)

170

Net decrease (increase) in trust beneficiary rights

(204)

(36)

Income taxes paid
Income taxes refund
Net cash provided by operating activities
Cash flows from investing activities
Payments for acquisition of tangible fixed assets

Other
Net cash used in investing activities

(688)

(817)

(8,855)(9,152)

Cash flows from financing activities
Proceeds from long-term debt

2,000

1,000

Repayments of long-term debt

(4,150)(2,650)

Repayments of lease obligations(2,245)(2,484)

Payments for purchase of treasury stock(1,051)(986)

Dividends paid

(3,833)(4,411)

0-(9,280)(9,532)Other
Net cash used in financing activities
Effect of exchange rate change on cash and cash equivalents

(0)

(0)

Increase (decrease) in cash and cash equivalents

3,567(5,617)

Cash and cash equivalents at beginning of period

28,60832,175

Cash and cash equivalents at end of period*112

32,175*1

26,558AOKI Holdings Inc. (8214) Fiscal Year Ended March 31, 2019(5) Notes to Consolidated Financial Statements
Going Concern Assumption
No reportable information.

Changes in Accounting Policies
AOKI Holdings has decided to apply “Practical Solution on Transactions Granting Employees and Others Stock
Acquisition Rights, which Involve Considerations, with Vesting Conditions, etc.” (ASBJ Practical Issues Task Force(PITF) No. 36, January 12, 2018) from April 1, 2018 and to account for transactions granting employees and others
stock acquisition rights, which involve considerations, with vesting conditions in accordance with the “AccountingStandard for Stock Options” (ASBJ Statement No. 8, December 27, 2005) and related guidance.
However, when applying PITF No. 36, the Company complies with the transitional provisions in Paragraph 10, Item(3) of PITF No. 36 and continues to account for transactions that granted employees and others stock acquisitionrights, which involve considerations, with vesting conditions prior to the date of application of PITF No. 36 inaccordance with the previously adopted accounting procedures.
Reclassifications
Application of Partial Amendments to Accounting Standard for Tax Effect Accounting
AOKI Holdings has applied “Partial Amendments to Accounting Standard for Tax Effect Accounting” (ASBJ
Statement No. 28, February 16, 2018) at the beginning of the current fiscal year. Accordingly, deferred tax assets arereclassified and included in the investments and other assets section.
Changes in Accounting-based Estimates
Changes in Accounting-based Estimates for Asset Retirement Obligations
AOKI Holdings has recorded asset retirement obligations for returning leased space to its original condition inassociation with real estate leasing contracts for stores and other properties. According to the store closure and otherinformation, the Company changed its accounting-based estimates for restoration expenses which will be required
for store closures. As a result of this change, an increase of 575 million yen is added to asset retirement obligations
before the change. The effect of this change on profit/loss is insignificant.

Additional Information
Termination of Directors’ Retirement Benefits
At the AOKI Holdings shareholders meeting in June 2018, shareholders approved a resolution to make final
retirement payments in conjunction with the termination of the retirement benefit program for directors and statutory
auditors of AOKI Holdings and its consolidated subsidiaries.
As a result, all accrued retirement benefits for directors and statutory auditors were reversed and eliminated. The
planned retirement benefit program termination payments of 1,680 million yen are included in other long-term
liabilities.

13

AOKI Holdings Inc. (8214) Fiscal Year Ended March 31, 2019

Notes to Consolidated Balance Sheet*1. Breakdown of inventories(Millions of yen)
FY3/18(As of Mar. 31, 2018)

Merchandise

25,27024,954736

620

26,00725,574

Raw materials and supplies
Total

FY3/19(As of Mar. 31, 2019)*2. Collateralized assets(Millions of yen)
FY3/18(As of Mar. 31, 2018)

Land

FY3/19(As of Mar. 31, 2019)284*3. The following items are applicable to non-consolidated subsidiaries and affiliates(Millions of yen)

FY3/18(As of Mar. 31, 2018)
Investment securities (stocks)

284

FY3/19(As of Mar. 31, 2019)
514

315

4. The Company has current account overdraft agreements with major financial institutions in order to raise funds
efficiently. The balance of unused credit lines under these agreements as of the end of the fiscal year is as follows.
(Millions of yen)
FY3/18(As of Mar. 31, 2018)
Current account overdraft

FY3/19(As of Mar. 31, 2019)

26,000Credit used
Credit available

14

26,000--26,00026,000AOKI Holdings Inc. (8214) Fiscal Year Ended March 31, 2019

Notes to Consolidated Statement of Income*1. Major items of selling, general and administrative expenses(Millions of yen)

FY3/18
FY3/19(Apr. 1, 2017 – Mar. 31, 2018) (Apr. 1, 2018 – Mar. 31, 2019)
Advertising expenses

13,07912,349

Salaries and bonuses

18,976

18,642

Provision of accrued bonuses for employees

1,670

1,677

Provision of accrued bonuses for directors and statutory auditors

122

83

Retirement benefit expenses
Provision of accrued retirement benefits for directors andstatutory auditors
Welfare expense

818

764

112

20

3,850

3,742

Rents

15,251

14,737

Depreciation and amortization

3,480

3,478

*2. Impairment loss
The Group recognized an impairment loss on the following groups of assets.
FY3/18 (Apr. 1, 2017 – Mar. 31, 2018)
Use

Item

Location

Operating stores

Buildings and structures, others

Toyama City, Toyama, etc.

Idle assets

Land

Joetsu City, Niigata

The Group uses individual stores and idle asset items to group its assets.
Book value was impaired to recoverable value, and the resulting impairment loss (2,078 million yen) was recognized
as an extraordinary loss, for idle assets whose recoverable value had fallen below book value, and operating stores
set to be closed, rebuilt or expected to remain in the red due to changes in conditions at the store location and otherfactors.
Breakdown of impairment losses: operating stores 2,078 million yen (including buildings and structures 1,673
million yen and others 405 million yen) and idle assets 0 million yen (land 0 million yen).
The recoverable value of this category of assets is measured by net sales value or utility value. The net sales value isbased on roadside land prices. The utility value is calculated by the discounted cash flow method. A discount rate of
between 5.3% and 5.7% is used for calculating the utility value.
FY3/19 (Apr. 1, 2018 – Mar. 31, 2019)
Use
Operating stores

Item
Buildings and structures, others

Location
Chiba City, Chiba, etc.

Subleasing stores

Buildings and structures, others

Atsugi City, Kanagawa, etc.

Idle assets

Land

Joetsu City, Niigata, etc.

The Group uses individual stores and idle asset items to group its assets.
Book value was impaired to recoverable value, and the resulting impairment loss (4,153 million yen) was recognized
as an extraordinary loss, for idle assets whose recoverable value had fallen below book value, and operating storesand subleasing stores set to be closed, rebuilt or expected to remain in the red due to changes in conditions at thestore location and other factors.
Breakdown of impairment losses: operating stores 4,090 million yen (including buildings and structures 3,247
million yen and others 843 million yen), subleasing stores 51 million yen (including buildings and structures 50
million yen and others 1 million yen) and idle assets (land) 11 million yen.
The recoverable value of this category of assets is measured by net sales value or utility value. The net sales value isbased on the appraisal of a real estate appraiser. The utility value is calculated by the discounted cash flow method.
A discount rate of between 5.4% and 5.8% is used for calculating the utility value.

15

AOKI Holdings Inc. (8214) Fiscal Year Ended March 31, 2019

Notes to Consolidated Statement of Comprehensive Income*1. Re-classification adjustments and tax effect with respect to other comprehensive income(Millions of yen)

FY3/18
FY3/19(Apr. 1, 2017 – Mar. 31, 2018) (Apr. 1, 2018 – Mar. 31, 2019)
Unrealized gain on securities
Amount incurred during the year
Re-classification adjustments

22

(292)

-

-

Before tax effect adjustments

22

(292)

Tax effect

(11)

74

Unrealized gain on securities

11

(218)

Amount incurred during the year

18

45

Re-classification adjustments

158

98

Remeasurements of defined benefit plans, net of tax

Before tax effect adjustments

176

144

Tax effect

(61)

(46)

Remeasurements of defined benefit plans, net of tax

115

97

126

(120)

Total other comprehensive income

Notes to Consolidated Statement of Changes in Shareholders’ Equity
FY3/18 (Apr. 1, 2017 – Mar. 31, 2018)
1. Type of share and number of outstanding shares
Type of share
Common shares (Thousand shares)

Number of shares
as of Apr. 1, 2017
90,649

Increase-

Number of shares
as of Mar. 31, 2018
90,6490

Number of shares
as of Mar. 31, 2018
4,085

Decrease-

2. Type and number of shares of treasury stock
Type of share
Common shares (Thousand shares)

Number of shares
as of Apr. 1, 2017
3,404

Increase

Decrease
681

Notes: 1. Increase in the number of shares of treasury stock (Thousand shares)
Purchase of treasury stock pursuant to the Board of Directors’ resolution on February 9, 2017: 363
Purchase of treasury stock pursuant to the Board of Directors’ resolution on January 31, 2018: 316
Purchase of odd-lot shares: 1
2. Decrease in the number of shares of treasury stock (Thousand shares)
Sales of odd-lot shares: 0

3. Items related to acquisition rights for new sharesCompany

Stock acquisition rights(itemized)

Reportingcompany

Stock acquisition rights by
way of stock options (2015)

Type of shares Number of shares under stock acquisition rights
Balance as of(Thousand shares)
under stock
Mar. 31, 2018acquisition
As of Mar. 31, (Millions of yen)
As of Apr. 1,
Increase Decreaserights
2018
2017
-

-

-

-

-

87

4. Dividends(1) Dividend payment
Resolution

Type of share

Board of Directors’ meetingon May 11, 2017
Board of Directors’ meetingon November 9, 2017

CommonsharesCommonsharesTotal amount of dividend(Millions of yen)

Dividend pershare (Yen)Record date

Effective date

1,919

22

Mar. 31, 2017

Jun. 7, 2017

1,911

22

Sep. 30, 2017

Dec. 5, 201716

AOKI Holdings Inc. (8214) Fiscal Year Ended March 31, 2019(2) Dividends with a record date in the current fiscal year but an effective date in the following fiscal year
Resolution
Board of Directors’ meetingon May 10, 2018

Type ofshare
Commonshares

Source offunds
Retainedearnings

Total amount of dividend(Millions of yen)

Dividend pershare (Yen)

1,904

Recorddate

Effectivedate

22 Mar. 31, 2018 Jun. 6, 2018

FY3/19 (Apr. 1, 2018 – Mar. 31, 2019)
1. Type of share and number of outstanding shares
Type of share
Common shares (Thousand shares)

Number of shares
as of Apr. 1, 2018
90,649

Increase-

Number of shares
as of Mar. 31, 2019
90,64945

Number of shares
as of Mar. 31, 2019
4,724

Decrease-

2. Type and number of shares of treasury stock
Type of share
Common shares (Thousand shares)

Number of shares
as of Apr. 1, 2018
4,085

Increase

Decrease
684

Notes: 1. Increase in the number of shares of treasury stock (Thousand shares)
Purchase of treasury stock pursuant to the Board of Directors’ resolution on January 31, 2018: 683
Purchase of odd-lot shares: 0
2. Decrease in the number of shares of treasury stock (Thousand shares)
Decrease due to disposals of restricted stock compensation for directors: 45

3. Items related to acquisition rights for new sharesCompany

Stock acquisition rights(itemized)

Reportingcompany

Stock acquisition rights by
way of stock options (2015)

Type of shares Number of shares under stock acquisition rights
Balance as of(Thousand shares)
under stock
Mar. 31, 2019acquisition
As of Mar. 31, (Millions of yen)
As of Apr. 1,
Increase Decreaserights
2019
2018
-

-

-

-

-

75

4. Dividends(1) Dividend payment
Resolution

Type of share

Board of Directors’ meetingon May 10, 2018
Board of Directors’ meetingon November 8, 2018

CommonsharesCommonsharesTotal amount of dividend(Millions of yen)

Dividend pershare (Yen)Record date

Effective date

1,904

22

Mar. 31, 2018

Jun. 6, 2018

2,509

29

Sep. 30, 2018

Dec. 5, 2018

(2) Dividends with a record date in the current fiscal year but an effective date in the following fiscal year
Resolution
Board of Directors’ meetingon May 10, 2019

Type ofshare
Commonshares

Source offunds
Retainedearnings

Total amount of dividend(Millions of yen)
2,663

17

Dividend pershare (Yen)Recorddate

Effectivedate

31 Mar. 31, 2019 Jun. 6, 2019

AOKI Holdings Inc. (8214) Fiscal Year Ended March 31, 2019

Notes to Consolidated Statement of Cash Flows*1. Reconciliation of cash and cash equivalents of the statement of cash flows and account balances of balance sheet
FY3/18(Apr. 1, 2017 – Mar. 31, 2018)(Millions of yen)
FY3/19(Apr. 1, 2018 – Mar. 31, 2019)

Cash in hand and in banks

32,17526,558Cash and cash equivalents

32,17526,558

FY3/18(Apr. 1, 2017 – Mar. 31, 2018)(Millions of yen)
FY3/19(Apr. 1, 2018 – Mar. 31, 2019)

2,435

1,665

2. Significant non-cash transactions
Assets and obligations applicable to the finance lease transaction

Assets and obligations applicable to the finance leasetransaction

Segment and Other Information
Segment information
1. Overview of reportable segment
The Group defines reportable segments as businesses for which financial details can be compiled; the Board of
Directors will review this information on a periodic basis in order to assist with decisions about allocating resourcesand evaluating the performance.
AOKI Holdings, as a pure holding company, supports the businesses of the various companies that comprise theGroup, while each business company proposes and executes comprehensive strategies for the respective products
and services they offer in the domestic market.
The products and services of each business company comprise different segments. The four reportable segments are
the Fashion Business, the Anniversaire and Bridal Business, the Karaoke Facility Operations Business, and the Café
Complex Operations Business. AOKI and ORIHICA are both included in one business segment, the Fashion
Business, because they fit all the conditions for grouping including similarities in economic characteristics andproduct content.
The Fashion Business plans and sells men’s and women’s wear; the Anniversaire and Bridal Business operates
wedding halls; the Karaoke Facility Operations Business operates karaoke facilities; and the Café Complex
Operations Business provides relaxation space with magazines, comics, massage chairs, Internet access, etc.
2. Calculation methods for sales, profits/losses, assets, liabilities and other items for each reportable segment
The accounting treatment methods for reportable segments are generally the same as accounting principles andprocedures used for the preparation of the consolidated financial statements.
Profits for reportable segments are generally operating profit figures. Profits on and transfer amounts ofinter-segment transactions within the Group are based on current market prices.

18

AOKI Holdings Inc. (8214) Fiscal Year Ended March 31, 2019

3. Information related to sales, profits/losses, assets, liabilities and other items for each reportable segment
FY3/18 (Apr. 1, 2017 – Mar. 31, 2018)(Millions of yen)
Reportable segment

Amounts shown on
Adjustment
consolidated(Note 1)
financial statements(Note 2)

Anniversaireand Bridal

Karaoke
Facility
Operations

CaféComplexOperations

118,442

27,157

18,687

34,129198,417-

198,417

13

15

4

-

32

(32)

-

Total

118,455

27,173

18,691

34,129198,450(32)

198,417

Segment profit

8,526

2,809

765

2,071

14,172691

14,864

Segment assets

112,819

41,161

13,287

28,837

196,105

42,962

239,068

2,768

1,653

1,232

2,260

7,915

433

8,348

0

-

15

1

16

-

16

2,831

390

1,738

3,825

8,786

1,267

10,053

Fashion

Total

Sales
External sales
Inter-segment sales
and transfers

Other items
Depreciation andamortization
Amortization of goodwill
Increase in tangible
fixed assets andintangible fixed assets

Notes: 1. The above adjustments include the following items.
(1) The 691 million yen adjustment to segment profit includes 4,286 million yen in elimination for inter-segment
transactions, and -3,594 million yen in company-wide costs that cannot be allocated to any specific reportablesegments. Company-wide costs mainly include administration expenses of the Company that cannot be attributed
to reportable segments.
(2) The 42,962 million yen adjustment to segment assets includes -29,673 million yen in elimination of the offsetting
receivables from subsidiaries, and company-wide assets of 72,636 million yen that cannot be allocated to any
specific reportable segments. Company-wide assets consist mainly of the Company’s land and building andstructures of the head office that cannot be attributed to reportable segments.
(3) The 1,267 million yen adjustment to an increase in tangible and intangible fixed assets mainly includes investment
in building and structures related to extension and reconstruction of the head office.
2. Segment profit is adjusted to be consistent with operating profit on the consolidated statement of income.

19

AOKI Holdings Inc. (8214) Fiscal Year Ended March 31, 2019

FY3/19 (Apr. 1, 2018 – Mar. 31, 2019)(Millions of yen)
Reportable segment

Amounts shown on
Adjustment
consolidated(Note 1)
financial statements(Note 2)

Anniversaireand Bridal

Karaoke
Facility
Operations

CaféComplexOperations

114,401

25,413

17,30536,797

193,918-

193,918

2

19

0

-

22

(22)

-

Total

114,404

25,433

17,30536,797

193,940(22)

193,918

Segment profit

7,222

2,169

1,022

2,158

12,572809

13,382

Segment assets

112,762

39,451

11,487

31,977

195,678

36,377232,056

2,917

1,508

990

2,388

7,804

335

8,140

-

-

13

-

13

-

13

4,374

542

741

4,614

10,273

1,133

11,406

Fashion

Total

Sales
External sales
Inter-segment sales
and transfers

Other items
Depreciation andamortization
Amortization of goodwill
Increase in tangible
fixed assets andintangible fixed assets

Notes: 1. The above adjustments include the following items.
(1) The 809 million yen adjustment to segment profit includes 4,614 million yen in elimination for inter-segment
transactions, and -3,804 million yen in company-wide costs that cannot be allocated to any specific reportablesegments. Company-wide costs mainly include administration expenses of the Company that cannot be attributed
to reportable segments.
(2) The 36,377 million yen adjustment to segment assets includes -33,229 million yen in elimination of the offsetting
receivables from subsidiaries, and company-wide assets of 69,607 million yen that cannot be allocated to any
specific reportable segments. Company-wide assets consist mainly of the Company’s land and building andstructures of the head office that cannot be attributed to reportable segments.
(3) The 1,133 million yen adjustment to an increase in tangible and intangible fixed assets mainly includes investment
in building and structures related to extension and reconstruction of the head office.
2. Segment profit is adjusted to be consistent with operating profit on the consolidated statement of income.

Related information
FY3/18 (Apr. 1, 2017 – Mar. 31, 2018)
1. Information by product or service
This information is omitted because the same information is presented in segment information.
2. Information by region(1) Sales
No reportable information because there are no external sales outside Japan.
(2) Tangible fixed assets
No reportable information since the Company has no tangible fixed assets other than Japan.
3. Information by major client
This information is omitted because no external client accounts for more than 10% of sales on the consolidated
statement of income.

20

AOKI Holdings Inc. (8214) Fiscal Year Ended March 31, 2019

FY3/19 (Apr. 1, 2018 – Mar. 31, 2019)
1. Information by product or service
This information is omitted because the same information is presented in segment information.
2. Information by region(1) Sales
No reportable information because there are no external sales outside Japan.
(2) Tangible fixed assets
No reportable information since the Company has no tangible fixed assets other than Japan.
3. Information by major client
This information is omitted because no external client accounts for more than 10% of sales on the consolidated
statement of income.
Information related to impairment losses on fixed assets for each reportable segment(Millions of yen)

FY3/18 (Apr. 1, 2017 – Mar. 31, 2018)
Reportable segment
Anniversaire Karaoke Facility Café Complex
and Bridal
Operations
Operations

FashionImpairment losses

866

262

791

157

Eliminationor
corporate
Sub-total
2,078

Reportable segment

Impairment losses

Anniversaire Karaoke Facility Café Complex
and Bridal
Operations
Operations

1,190

2,078

(Millions of yen)

FY3/19 (Apr. 1, 2018 – Mar. 31, 2019)

Fashion

0

Total

-

1,702

1,255

Elimination
Sub-total or corporate
4,148

5

Total
4,153

Information related to goodwill amortization and the unamortized balance for each reportable segment(Millions of yen)

FY3/18 (Apr. 1, 2017 – Mar. 31, 2018)
Reportable segment
Anniversaireand Bridal

FashionBalance at end of period-

Karaoke Facility Café Complex
Operations
Operations

-

38

-

Elimination
Sub-total or corporate
38

-

Total
38

Note: Goodwill amortization is omitted because the same information is presented in segment information.
(Millions of yen)

FY3/19 (Apr. 1, 2018 – Mar. 31, 2019)
Reportable segment
Anniversaireand Bridal

FashionBalance at end of period-

Karaoke Facility Café Complex
Operations
Operations

-

7

-

Elimination
Sub-total or corporate
7

Note: Goodwill amortization is omitted because the same information is presented in segment information.

Information related to gain on negative goodwill for each reportable segment
No reportable information.

21

-

Total
7

AOKI Holdings Inc. (8214) Fiscal Year Ended March 31, 2019

Per Share Information(Yen)
FY3/19(Apr. 1, 2018 – Mar. 31, 2019)

FY3/18(Apr. 1, 2017 – Mar. 31, 2018)
Net assets per share

1,691.70

1,694.45

Net income per share

84.87

53.34

Notes: 1. Diluted net income per share is not presented since the Company has no potential stock with dilutive effects.
2. The following is a reconciliation of net income per share

Item

FY3/18(Apr. 1, 2017 – Mar. 31, 2018)(Millions of yen)
FY3/19(Apr. 1, 2018 – Mar. 31, 2019)

7,377

4,602

-

-

7,377

4,602

86,92086,287

Net income per share
Profit attributable to owners of parent
Net income not available to common stock
shareholders
Profit attributable to owners of parent applicable tocommon stock
Average number of common shares outstanding
during the period (Thousand shares)

Summary of potential stock not included in thecalculation of diluted net income per share since there
was no dilutive effect

Stock acquisition rights issued
pursuant to the Board of
Directors’ resolution on
November 18, 2015
Stock Acquisition Rights No. 5
Number of stock acquisitionrights: 9,050

Stock acquisition rights issued
pursuant to the Board of
Directors’ resolution on
November 18, 2015
Stock Acquisition Rights No. 5
Number of stock acquisitionrights: 7,750

3. The following is a reconciliation of net assets per share

Item(Millions of yen)
FY3/19(As of Mar. 31, 2019)

FY3/18(As of Mar. 31, 2018)

Total net assets
Deduction on total net assets[of which stock acquisition rights]

146,528

145,671

87

75

[87]

[75]

Net assets applicable to common shares

146,440

145,595

Number of common stock shares used in calculationof net assets per share (Thousand shares)

86,56485,925Subsequent Events
Not applicable.

22

AOKI Holdings Inc. (8214) Fiscal Year Ended March 31, 2019

4. Other
Changes in Directors(1) Changes of Aoki Holdings’ Directors (to be effective June 27, 2019)
1) Candidate for directors
Director

Keita Nagemoto (Current Managing Executive Officer)

Director

Terumitsu Noguchi (Current Managing Executive Officer)

Director

Hidekazu Azuma (Current Executive Vice President of VALIC Co., Ltd.)

2) Retiring directors
Director

Masatake Hirai

Director

Shingo Tanii

Note: Mr. Shingo Tanii will remain the President of VALIC Co., Ltd.

(2) Changes of Representative Directors of consolidated subsidiaries (ANNIVERSAIRE INC.) (to be effective June
26, 2019)
1) Candidate for representative director
Kenichi Matsuda (Current Managing Executive Officer)
2) Retiring representative director
Masatake Hirai
Note: Mr. Masatake Hirai will be appointed as Chairman of ANNIVERSAIRE INC.

* This financial report is solely a translation 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 of readers
who prefer an English translation.

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