Note: This document is a translation of a part of the original Japanese version and provided for reference purposes only. In the event of any discrepancy
between the Japanese original and this English translation, the Japanese original shall prevail.

Consolidated Financial Results
for the Year Ended March 31, 2023
[Japanese GAAP]May 12, 2023
Company name: VALOR HOLDINGS CO.,LTD.
Stock exchange listing: Tokyo, Nagoya
Code number: 9956
URL: https://valorholdings.co.jp/
Representative: Masami Tashiro
President and Representative Director
Contact: Akira Shinohana
Executive Director
Phone: +81-574-60-0864
Scheduled date of Annual General Meeting of Shareholders: June 29, 2023
Scheduled date of commencing dividend payments: June 13, 2023
Scheduled date of filing annual securities report: June 30, 2023
Availability of supplementary briefing material on annual financial results: Yes
Schedule of annual financial results briefing session: Yes(Amounts of less than one millions of yen are rounded down.)
1. Consolidated Financial Results for the Fiscal Year Ended March 31, 2023 (April 1, 2022 to March 31, 2023)(1) Consolidated Operating Results(% indicates changes from the previous corresponding period.)
Profit attributable toOperating revenues
Operating profit
Ordinary profit
owners of parent
Millions of yen%
Millions of yen%
Millions of yen%
Millions of yen%
Fiscal year ended
March 31, 2023
759,977
3.7
20,062(5.4)
23,049(4.5)
7,603(15.7)March 31, 2022
732,519
21,20524,1409,014(Note) Comprehensive income:Fiscal year ended March 31, 2023:¥
9,038 million [(16.7) %]Fiscal year ended March 31, 2022:¥
10,850 million [-%]Basic earnings per Diluted earnings per Rate of return on
share
share
equityOrdinary profit tototal assets ratio

Yen
Yen
%
Fiscal year ended
March 31, 2023
141.61141.585.0
March 31, 2022
167.87167.82
6.2(Reference) Equity in earnings (losses) of affiliated companies: Fiscal year ended March 31, 2023:
Fiscal year ended March 31, 2022:

Operating profit tooperating revenues
ratio

%

%

5.6
5.9
¥
¥

2.6
2.9
57 million
85 million(2) Consolidated Financial Position
Total assets
As ofMarch 31, 2023
March 31, 2022
(Reference) Equity:

Net assets

Millions of yen

417,107410,365
As of March 31, 2023:
As of March 31, 2022:

Capital adequacy ratio

Millions of yen¥¥

167,520
162,521
152,733 million
148,587 million

Net assets per share

%

Yen

36.6
36.2

2,851.73
2,766.89(3) Consolidated Cash Flows
Cash flows fromoperating activities
Fiscal year ended
March 31, 2023
March 31, 2022

Cash flows frominvesting activities

Cash flows fromfinancing activities

Cash and cash
equivalents at the endof period

Millions of yen

Millions of yen

Millions of yen

Millions of yen

36,39724,361(25,885)(26,729)(12,329)(4,115)

20,973
22,8671

2. Dividends
Annual dividends
1st
2nd
3rd
quarter-end quarter-end quarter-end

Year-end

Total

Fiscal year ended

Yen

Yen

Yen

Yen

March 31, 2022

-

26.00

-

30.00

56.00

March 31, 2023

-

27.00

-

31.00

58.00

-

28.00

-

32.00

60.00

Total
dividends

Payoutratio(consolidated)

Yen Millions of yen

Dividends
to netassets(consolidated)

%

%

3,011

33.4

2.1

3,119

41.0

2.1

Fiscal year ending
March 31, 2024-

(Forecast)
3. Consolidated Financial Results Forecast for the Fiscal Year Ending March 31, 2024 (April 1, 2023 to March 31, 2024)(% indicates changes from the previous corresponding period.)
Profit attributable to Basic earnings per
Operating revenues Operating profit
Ordinary profit
owners of parent
share
Six months ending
September 30, 2023
Full year

Millions ofyen%Millions ofyen%Millions ofyen%Millions ofyen

384,000
772,000

2.5

9,900

3.5

11,3001.7

1.6

20,5002.2

23,300

1.1

%

Yen

6,300

9.8

117.34

9,300

22.3

173.21* Notes:(1) Changes in significant subsidiaries during the period under review (changes in specified subsidiaries resulting in changes inscope of consolidation): No(2) Changes in accounting policies, changes in accounting estimates and retrospective restatement
1) Changes in accounting policies due to the revision of accounting standards: Yes
2) Changes in accounting policies other than 1) above: No
3) Changes in accounting estimates: Yes
4) Retrospective restatement: No(3) Total number of issued shares (common shares)
1) Total number of issued shares at the end of the period (including treasury shares):
March 31, 2023:
53,987,499 shares
March 31, 2022:
53,987,499 shares
2) Number of treasury shares at the end of the period:
March 31, 2023:
429,374 shares
March 31, 2022:
285,341 shares
3) Average number of shares outstanding during the period:
Fiscal Year ended March 31, 2023:
Fiscal Year ended March 31, 2022:

53,691,248 shares
53,700,271 shares

2Consolidated Financial Statements
Consolidated Balance Sheets(Millions of yen)
As of March 31, 2022
AssetsCurrent assets
Cash and deposits
Notes and accounts receivable - trade, and contract
assetsMerchandise and finished goods
Raw materials and supplies
Other
Allowance for doubtful accounts
Total current assets
Non-current assets
Property, plant and equipment
Buildings and structures
Accumulated depreciation
Buildings and structures, net
Machinery, equipment and vehicles
Accumulated depreciation
Machinery, equipment and vehicles, net
Land
Leased assets
Accumulated depreciation
Leased assets, net
Construction in progress
Other
Accumulated depreciation
Other, net
Total property, plant and equipment
Intangible assets
Goodwill
Leased assets
Other
Total intangible assets
Investments and other assets
Investment securities
Long-term loans receivable
Deferred tax assets
Guarantee deposits
Other
Allowance for doubtful accounts
Total investments and other assets
Total non-current assets
Total assets

3

As of March 31, 2023

23,26021,482

14,905

16,701

56,261
1,128
14,670(9)110,21759,701
1,418
16,379(11)
115,671

305,319(161,166)
144,152
14,241(10,009)
4,231
54,282
23,227(15,266)
7,961
4,497
46,764(36,577)
10,186225,312

318,091(170,491)
147,599
14,765(10,726)
4,039
54,524
21,140(14,503)
6,637
2,448
49,669(39,514)
10,155
225,405

2,323
112
15,32317,7591,807
139
16,47918,426

9,787
1,078
9,900
32,5784,092(360)
57,077300,148410,365

9,981
1,061
10,50832,482
3,909(339)
57,603
301,436
417,107

(Millions of yen)
As of March 31, 2022
Liabilities
Current liabilities
Notes and accounts payable - trade
Short-term borrowings
Commercial papers
Current portion of long-term borrowings
Lease liabilities
Income taxes payable
Provision for bonuses
Provision for bonuses for directors (and otherofficers)
Provision for point card certificates
Provision for loss on store closings
Asset retirement obligations
Other
Total current liabilities
Non-current liabilities
Bonds payable
Long-term borrowings
Lease liabilities
Deferred tax liabilities
Provision for retirement benefits for directors (andother officers)
Retirement benefit liability
Asset retirement obligations
Long-term guarantee deposits
Other
Total non-current liabilities
Total liabilities
Net assets
Shareholders' equity
Share capital
Capital surplus
Retained earnings
Treasury shares
Total shareholders' equity
Accumulated other comprehensive income
Valuation difference on available-for-salesecurities
Deferred gains or losses on hedges
Foreign currency translation adjustment
Remeasurements of defined benefit plans
Total accumulated other comprehensive income
Share acquisition rights
Non-controlling interests
Total net assets
Total liabilities and net assets

4

As of March 31, 2023

57,237
19,841
17,00017,795
2,445
3,480
3,540

59,911
20,041
19,00011,736
2,286
4,744
3,670

198

210

485
58
65
25,895148,045519
82
28,230150,433

10,00047,511
10,862
198

10,00045,766
9,950
231

496

411

6,297
16,143
6,821
1,468
99,799247,844

6,502
18,1516,700
1,439
99,153
249,587

13,60920,063
115,030(547)
148,156

13,60920,062
119,567(831)
152,408

559

673

5
132
(266)
431
121
13,811
162,521410,365

(2)
(207)
(138)
325
19
14,766
167,520
417,107

Consolidated Statements of Income and Comprehensive Income
Consolidated Statements of Income(Millions of yen)
For the fiscal year
ended March 31, 2022
Net sales
Cost of sales
Gross profit
Operating revenue
Operating gross profit
Selling, general and administrative expenses
Advertising expenses
Wrapping expenses
Supplies expenses
Distribution expenses
Provision for point card certificates
Provision of allowance for doubtful accounts
Remuneration for directors (and other officers)
Salaries and allowances
Bonuses
Provision for bonuses
Provision for bonuses for directors (and other officers)
Retirement benefit expenses
Provision for retirement benefits for directors (andother officers)
Legal and other welfare expenses
Utilities expenses
Rent expenses
Repair and maintenance expenses
Depreciation
Amortization of goodwill
Other
Total selling, general and administrative expenses
Operating profit
Non-operating income
Interest income
Dividend income
Administrative service fee income
Rental income
Share of profit of entities accounted for using equity
methodOther
Total non-operating income
Non-operating expenses
Interest expenses
Rental costs on real estate
Other
Total non-operating expenses
Ordinary profit

5

For the fiscal year
ended March 31, 2023

708,484
520,255
188,228
24,034
212,263735,385
539,963
195,422
24,591
220,014

5,080
159
1,512
1,864
1,587
2
989
73,227
6,282
3,226
179
1,067

4,697
151
1,251
1,863
1,748
0
964
75,264
6,177
3,388
208
1,125

(16)

42

12,636
10,226
31,915
4,811
18,071
652
17,579191,057
21,205

13,231
13,691
32,937
4,942
18,476711
19,075
199,951
20,062

134
182
1,588
648

123
193
1,555
683

85

57

1,963
4,603

1,845
4,460

764
497
405
1,668
24,140

746
492
234
1,473
23,049(Millions of yen)
For the fiscal year
ended March 31, 2022
Extraordinary income
Gain on sale of non-current assets
Gain on sale of investment securities
Gain on bargain purchase
Penalty income
Subsidy income
Gain on reversal of foreign currency translation
adjustment
Gain on reversal of share acquisition rights
Other
Total extraordinary income
Extraordinary losses
Loss on sale of non-current assets
Loss on retirement of non-current assets
Impairment losses
Loss on tax purpose reduction entry of non-current
assetsLoss on valuation of investment securities
Other
Total extraordinary losses
Profit before income taxes
Income taxes - current
Income taxes - deferred
Total income taxes
ProfitProfit attributable to non-controlling interests
Profit attributable to owners of parent

6

For the fiscal year
ended March 31, 2023

84
1
0
77
582

29
39
1
263
293

-

163

95
841

101
64
957

42
186
3,308

10
154
5,939

421

221

6
358
4,324
20,657
7,985
1,421
9,407
11,250
2,235
9,014

349
6,675
17,331
8,633
(578)
8,055
9,276
1,672
7,603

Consolidated Statements of Comprehensive Income(Millions of yen)
For the fiscal year
ended March 31, 2022
ProfitOther comprehensive income
Valuation difference on available-for-sale securities
Deferred gains or losses on hedges
Foreign currency translation adjustment
Remeasurements of defined benefit plans, net of tax
Share of other comprehensive income of entities
accounted for using equity method
Total other comprehensive income
Comprehensive income
Comprehensive income attributable toComprehensive income attributable to owners ofparentComprehensive income attributable to non-controllinginterests

7

For the fiscal year
ended March 31, 2023

11,250

9,276

(348)
5
(45)
(11)

113
(8)
(491)
147

(0)

0

(400)
10,850

(237)
9,038

8,679

7,497

2,170

1,541

Consolidated Statements of Changes in Equity
For the fiscal year ended March 31, 2022
(Millions of yen)
Shareholders' equity
Share capital
Balance at beginning of
periodCumulative effects ofchanges in accounting
policies
Restated balance

13,609

Capital surplus Retained earnings
20,049Treasury shares

Total shareholders' equity(561)

142,095

108,998(24)

13,609Changes during period
Change in ownershipinterest of parent due
to transactions with
non-controllinginterests
Dividends of surplus
Profit attributable toowners of parent
Purchase of treasury
shares
Disposal of treasury
sharesNet changes in items
other thanshareholders' equity
Total changes during
periodBalance at end of period

20,049108,973

(24)
(561)

142,07013

13(2,958)(2,958)

9,014

9,014

0

(0)

(0)

14

15

-

14

6,056

14

6,085

13,60920,063

115,030(547)

148,156

Accumulated other comprehensive income
Total
Share
Valuation
Foreign
Deferred gains
Remeasurements accumulated acquisitionNon-controlling Total net
difference on
currencyinterests
assetsor losses onof definedotherrightsavailable-for-saletranslation
hedgesbenefit plans comprehensive
securities
adjustment
incomeBalance at beginningof period
Cumulative effects ofchanges in accounting
policies
Restated balance
Changes during
periodChange inownership interestof parent due totransactions with
non-controllinginterests
Dividends ofsurplusProfit attributable toowners of parent
Purchase of treasury
shares
Disposal of treasury
sharesNet changes in
items other thanshareholders' equity
Total changes
during period
Balance at end of
period

880

-

140

(254)

766

134

12,194 155,190
(31)

880

-

140

(254)

766

134

(56)

12,162 155,134

13(2,958)
9,014
(0)
15
(321)

5

(7)

(12)

(335)

(12)

1,649

1,301

(321)

5

(7)

(12)

(335)

(12)

1,649

7,386

559

5

132

(266)

431

121

13,811 162,521

8

For the fiscal year ended March 31, 2023
(Millions of yen)
Shareholders' equity
Share capital
Balance at beginning of
periodCumulative effects ofchanges in accounting
policies
Restated balance

13,609

Capital surplus Retained earnings
20,063

Treasury shares

Total shareholders' equity(547)

148,156

115,030

13,609Changes during period
Change in ownershipinterest of parent due
to transactions with
non-controllinginterests
Dividends of surplus
Profit attributable toowners of parent
Purchase of treasury
shares
Disposal of treasury
sharesNet changes in items
other thanshareholders' equity
Total changes during
periodBalance at end of period

20,063

115,030(547)

148,156(1)(1)(3,065)(3,065)

7,603

7,603

0

(300)

(300)

15

16

-

(1)

4,537

(284)

4,251

13,60920,062

119,567(831)

152,408

Accumulated other comprehensive income
Total
Share
Valuation
Foreign
Deferred gains
Remeasurements accumulated acquisitionNon-controlling Total net
difference on
currencyinterests
assetsor losses onof definedotherrightsavailable-for-saletranslation
hedgesbenefit plans comprehensive
securities
adjustment
incomeBalance at beginningof period
Cumulative effects ofchanges in accounting
policies
Restated balance
Changes during
periodChange inownership interestof parent due totransactions with
non-controllinginterests
Dividends ofsurplusProfit attributable toowners of parent
Purchase of treasury
shares
Disposal of treasury
sharesNet changes in
items other thanshareholders' equity
Total changes
during period
Balance at end of
period

559

5

132

(266)

431

121

13,811 162,521
-

559

5

132

(266)

431

121

13,811 162,521(1)(3,065)
7,603
(300)
16
113

(8)

(340)

128

(106)

(101)

954

746

113

(8)

(340)

128

(106)

(101)

954

4,998

673

(2)

(207)

(138)

325

19

9

14,766 167,520

Consolidated Statements of Cash Flows(Millions of yen)
For the fiscal year
ended March 31, 2022
Cash flows from operating activities
Profit before income taxes
Depreciation
Impairment losses
Amortization of goodwill
Gain on bargain purchase
Increase (decrease) in allowance for doubtful accounts
Increase (decrease) in retirement benefit liability
Increase (decrease) in provision for retirement benefits
for directors (and other officers)
Increase (decrease) in provision for point cardcertificatesInterest and dividend income
Interest expenses
Loss on retirement of non-current assets
Loss on tax purpose reduction entry of non-current
assetsLoss (gain) on valuation of investment securities
Share of loss (profit) of entities accounted for using
equity method
Gain on reversal of foreign currency translation
adjustment
Gain on reversal of share acquisition rights
Subsidy income
Penalty income01
Decrease (increase) in trade receivables
Decrease (increase) in inventories
Increase (decrease) in trade payables
Increase (decrease) in accrued consumption taxes
Increase (decrease) in accounts payable - other, andaccrued expenses
Other, net
SubtotalInterest and dividends received
Penalty income received
Interest paid
Income taxes paid
Net cash provided by (used in) operating activities

10

For the fiscal year
ended March 31, 2023

20,657
20,228
3,308
652
(0)
(35)
471

17,331
20,691
5,939
711
(1)
(19)
448

(197)

(110)

108

41

(317)
764
186

(317)
746
154

421

221

6

-

(85)

(57)

-

(163)

(582)
(77)
(987)
(3,206)(2,515)
(705)

(101)
(293)
(263)
(1,869)(3,733)
2,732
87(1,958)903

1,370
37,507218
77(753)(12,687)
24,361

1,038
44,116
227
263
(733)
(7,477)36,397

(Millions of yen)
For the fiscal year
ended March 31, 2022
Cash flows from investing activities
Payments into time deposits
Proceeds from withdrawal of time deposits
Purchase of property, plant and equipment
Proceeds from sale of property, plant and equipment
Purchase of intangible assets
Purchase of investment securities
Proceeds from sale of investment securities
Loan advances
Proceeds from collection of loans receivable
Payments of guarantee deposits
Proceeds from refund of guarantee deposits
Guarantee deposits received
Refund of guarantee deposits received
Purchase of shares of subsidiaries resulting in change
in scope of consolidation
Payments for acquisition of businesses
Proceeds from government subsidy
Other, net
Net cash provided by (used in) investing activities
Cash flows from financing activities
Net increase (decrease) in short-term borrowings
Net increase (decrease) in commercial papers
Proceeds from long-term borrowings
Repayments of long-term borrowings
Proceeds from issuance of bonds
Redemption of bonds
Repayments of finance lease liabilities
Proceeds from sale of treasury shares
Purchase of treasury shares
Dividends paid
Dividends paid to non-controlling interests
Other, net
Net cash provided by (used in) financing activities
Effect of exchange rate change on cash and cash
equivalents
Net increase (decrease) in cash and cash equivalents
Cash and cash equivalents at beginning of period
Cash and cash equivalents at end of period

11

For the fiscal year
ended March 31, 2023

(221)
462
(24,339)228(2,506)
(355)
7
(29)
676
(2,003)
1,738
653
(341)

(332)
276
(23,358)232(2,299)
(131)
39
(54)
74
(1,294)
1,498
380
(497)

(1,570)

(100)

(92)
582
381
(26,729)

(128)
293
(484)
(25,885)(2,121)
7,000
21,800(23,982)
9,950(10,010)(3,221)15(0)(2,958)(586)
0(4,115)200
2,000
10,100(17,942)(2,697)16(300)(3,066)(577)(61)(12,329)0(76)(6,482)
29,34922,867(1,894)
22,867
20,973