CONSOLIDATED FINANCIAL REPORT（Japanese GAAP）
FIRST QUARTER OF THE FISCAL YEAR ENDINGFEBRUARY 28, 2015
(March 1, 2014 to May 31, 2014)
July 7, 2014
YONDOSHI HOLDINGS INC. is listed on the First Section of the Tokyo Stock Exchange under the securities code
number 8008.
Representative:
Inquiries:

Hidenori Suzuki, President and Representative Director
Masahiko Nishimura, Director and General Manager Operations Dept.
Tel: +81-3-5719-3429
URL: http://www.yondoshi.co.jp/
Quarterly Securities Report filing date (planned): July 15, 2014
Supplemental materials prepared for quarterly financial results: No
Holding of quarterly financial results meeting: No
Dividend payment commencement date (planned): —(Millions of yen rounded down)

1. Consolidated Operating Results for the First Quarter of Fiscal 2014
(March 1, 2014 to May 31, 2014)(1) Consolidated Operating Results (Cumulative)(Percentage figures are the increase / (decrease) for the corresponding period of the previous fiscal year.)
Operating Revenues
Operating Income
Ordinary Income
Net Income

1Q FY2014

Millions of yen％

12,672

9.1

Millions of yen

1,560％

Millions of yen％

Millions of yen％

42.9

1,85644.11,184

43.2

1Q FY2013
11,6182.0
1,091(2.3)
1,288(5.5)
827
24.0Note: Comprehensive income 1Q FY2014: 1,211 million yen (9.1%) 1Q FY2013: 1,110 million yen (148.3%)
Net Incomeper ShareNet Income per
Share after Dilution
Yen

Yen

1Q FY2014

43.39

43.30

1Q FY2013

30.34

30.28

(2) Consolidated Financial Position
Total Assets

Net Assets

Millions of yen

Net Assets to Total
AssetsNet Assets per Share%

Yen

Millions of yen

May 31, 2014

58,71244,75676.2

1,639.35

February 28, 2014

58,47844,13675.4

1,609.45(Reference)
Shareholders’ equity: May 31, 2014: 44,730 million yen
February 28, 2014: 44,116 million yen

2. Dividends
Dividends per Share(Record Date)
Fiscal 2013
Fiscal 2014
Fiscal 2015
(Forecast)End of 1Q

End of 2Q

End of 3Q

AnnualYear-end

Yen

Yen

Yen

Yen

Yen

—
—

12.50

—

17.50

30.00

16.00

—

16.00

32.00

Note: Revision to dividend forecast for the first quarter of the fiscal year ending February 28, 2015: No-1-3. Forecasts of Consolidated Operating Results for the Fiscal Year Ending February 28, 2015
(March 1, 2014 to February 28, 2015)(% figures for the full fiscal year represent year-on-year increase or decrease)
Net Income
Operating Income
Ordinary Income
Net Incomeper ShareNet Sales
Millions of yen

Interim period
Fiscal yearendingFebruary 28,
2015%

Millions of yen%

Millions of yen%

Millions of yen%

Yen

23,500

3.7

2,000

5.4

2,400

6.1

1,400

7.9

51.26

51,500

5.1

5,400

10.1

6,300

11.6

3,750

17.8

137.31

Note: Revisions to consolidated operating forecasts for the first quarter of the fiscal year ending February 28,
2015: NoNotes(1) Changes in Important Subsidiaries during the Period:(Changes in specified subsidiaries that caused changes in the scope of consolidation): NoNew: —Excluded: —(2) Application of Special Accounting Practices in the Preparation of the Quarterly Consolidated
Financial Statements: No(3) Changes in Accounting Policies, Changes in Accounting Estimates, and Restatements
1) Changes of accounting principles in line with revisions to accounting and other standards: No
2) Changes of accounting principles other than 1) above: No
3) Changes in accounting estimates: No4) Retrospective restatement: No(4) Number of Shares Issued and Outstanding (Common Stock)
1. Total number of shares issued and outstanding (including treasury stock) as of theperiod-end:
May 31, 2014: 29,331,356 sharesFeb. 28, 2014: 29,331,356 shares
2. Total number of treasury stock as of the period-end:
May 31, 2014: 2,045,559 sharesFeb. 28, 2014: 1,920,288 shares
3. Average number of shares for the period (Cumulative total for the quarterly consolidatedperiod)First quarter fiscal 2014: 27,309,949 shares First quarter fiscal 2013: 27,274,160 shares
Note: The number of recorded treasury stock is inclusive of 145,100 of the Company’s shares
held by the YONDOSHI HOLDINGS Employees’ Shareholding Association Trust Account asof the end of the quarterly period.
Regarding the Status of Quarterly Review Procedure Implementation
This financial report for the first quarter of fiscal 2014 is not subject to the quarterly review procedures
stipulated in the Financial Instruments and Exchange Act of Japan. As of the date of disclosure of thisreport, the review procedures for the quarterly financial statements under the Financial Instruments andExchange Act had not been completed.
Explanation concerning the Proper Use of Operating Results Forecasts and Other Relevant Specific Items
The forecasts of operating results and other items concerning the future contained in this document are
based on management’s assumptions and beliefs that are determined to be reasonable in light of currently
available information, YONDOSHI HOLDINGS INC. cautions readers that due to a variety of factors
actual results may differ materially from forecasts. For the assumptions that underpin operating results
forecasts as well as cautionary notes on the use of operating results forecasts, please refer to “Explanationof Consolidated Results Forecasts and Other Future Predictions” on page 5.

-2-Contents
1.

2.

Qualitative Information Regarding Consolidated Quarterly Business Results

4(1)Explanation of Business Results4(2)Explanation of Financial Condition

4(3)Explanation of Consolidated Results Forecasts and Other Future Predictions

5

Summary Information (Notes)

5(1)Changes in Important Subsidiaries During the Period5(2)Application of Special Accounting Practices in the Preparation of the Quarterly

5

Consolidated Financial Statements(3)
3.

Changes in Accounting Policies, Changes in Accounting Estimates, and Restatements

5Consolidated Quarterly Financial Statements

6(1)Consolidated Quarterly Balance Sheets

6(2)Consolidated Quarterly Statements of Income and Consolidated Quarterly Statements of8Comprehensive Income
Consolidated Quarterly Statements of Income

First Quarter Cumulative

Consolidated Quarterly Statements of Comprehensive Income(3)First Quarter Cumulative

89Notes to Consolidated Quarterly Financial Statements(Notes Regarding Going Concern Assumptions)10(Notes Regarding Substantial Changes in Shareholders’ Equity)10(Segment Information)

10-3-1. Qualitative Information on Business and Financial Results(1) Explanation of Business Results
During the first quarter period of the fiscal year ending February 2015 (March 1, 2014 to May 31, 2014),
the Japanese economy continued its moderate recovery trend, with improvement in corporate earnings
and the employment environment, despite concerns about a slowdown in growth in emerging economies,
and the effects of the consumption tax increase.
In the retail industry, a sense of uncertainty about the future outlook lingered, as the rush in demandahead of the consumption tax rate hike was followed by a rebound decline.
Under such conditions, in fiscal 2014, the final year of the third medium-term management plan, theYONDOSHI HOLDINGS Group took steps to enhance its corporate value by practicing CSR-based
management to establish a highly trusted corporate group, strengthening internal controls, providing
returns to shareholders, and making longer term investments linked to earnings growth.
As a result, operating revenues for the first quarter period of the subject fiscal year amounted to¥12,672 million (up 9.1% from the same period of the previous fiscal year). Operating income totaled¥1,560 million (up 42.9%), with ordinary income of ¥1,856 million (up 44.1%) and net income of ¥1,184
million (up 43.2%).
Operating income, ordinary income, and net income all reached new record highs for the first quarter
period.
Note: Operating revenues are the sum total of net sales and other operating revenues.
Operating results by business segment were as follows.
The F.D.C. Products GroupThe F.D.C. Products Group posted record high figures for both sales and operating income, due mainly topositive performance at mainstay 4°C brand jewelry and canal 4°C stores, along with pre-tax hikedemand at 4°C BRIDAL throughout the first quarter period.
As a result, segment operating revenues amounted to ¥6,755 million (up 23.3% from the same
period of the previous fiscal year), with operating income of ¥1,375 million (up 63.0%).
The AS’TY GroupThe AS’TY Group took measures to strengthen its project planning capabilities in the apparel
manufacturing business. Sales and operating income declined year on year, but performance exceeded
forecasts.
As a result, segment operating revenues amounted to ¥2,534 million (down 6.7% from the same
period of the previous fiscal year), with operating income of ¥165 million (down 29.8%).
MISUZUMISUZU Co., Ltd. took steps to revitalize sales at existing stores by strengthening project planningcapabilities, and to scale back unprofitable locations.
As a result, segment operating revenues amounted to ¥1,409 million (down 11.2% from the same
period of the previous fiscal year), with operating income of ¥36 million (down 29.8%).
age
age Co., Ltd. achieved a year-on-year increase in sales as a result of strenuous efforts at existing locationsand new store openings for the company’s mainstay everyday fashion brand PALETTE. Operating
income, however, declined as the RAPPORT brand struggled with the effects of the consumption tax rise.
As a result, segment operating revenues amounted to ¥1,974 million (up 7.7% from the same periodof the previous fiscal year), with the company posting an operating loss for the subject period of ¥0million (compared to operating income of ¥11 million in the same period of the previous fiscal year).
(2) Explanation of Financial Condition
Total assets at the end of the subject first quarter period (May 31, 2014) amounted to ¥58,712 million, an
increase of ¥233 million from the end of the previous fiscal year (February 28, 2014). This was due
mainly to increases of ¥1,652 million in notes and accounts receivable―trade; and ¥374 million inmerchandise and finished goods; against a decrease of ¥1,650 million in short-term investment securities.
Total liabilities amounted to ¥13,955 million, a decrease of ¥386 million from the end of the-4-

previous fiscal year. This was due mainly to a decrease of ¥897 million in income taxes payable; against
an increase of ¥141 million in notes and accounts payable—trade.
Total net assets at the end of the subject period amounted to ¥44,756 million, an increase of ¥619
million from the end of the previous fiscal year.
(3) Explanation of Consolidated Results Forecasts and Other Future Predictions
Earnings forecasts are unchanged from those announced on April 14, 2014.

2. Summary Information (Notes)(1) Changes in Important Subsidiaries during the Period
Not applicable(2) Application of Special Accounting Practices in the Preparation of the Quarterly Consolidated
Financial Statements
Not applicable(3) Changes in Accounting Policies, Changes in Accounting Estimates, and Restatements
Not applicable-5-3. Consolidated Quarterly Financial Statements(1) Consolidated Quarterly Balance Sheets(Thousands of yen)
End of the Fiscal Year Ended
February 28, 2014
(As of February 28, 2014)ASSETS
Current assets:
Cash and deposits
Notes and accounts receivable ― trade
Short-term investment securities
Merchandise and finished goods
Work in process
Raw materials and supplies
Other current assets
Allowance for doubtful accounts
Total current assets
Noncurrent assets:
Property, plant and equipment:
Buildings and structures, net
Land
Other, net
Total property, plant and equipment

End of the First Quarter of
the Fiscal Year Ending
February 28, 2015
(As of May 31, 2014)

643,415
2,952,219
4,850,000
6,819,273
728,965
678,745
950,047(4,233)

633,436
4,605,205
3,200,000
7,193,946
496,890686,019
891,745(4,073)

17,618,434

17,703,171

5,485,560
5,549,208
759,536

5,487,139
5,541,605
983,146

11,794,305

12,011,891

Intangible assets:
Goodwill
Other intangible assets

6,206,310
660,815

6,082,184
666,113

Total intangible assets

6,867,126

6,748,298

15,623,836
2,077,497
5,078,118(580,756)

17,234,680
568,666
4,569,111(123,800)

Investments and other assets:
Investment securities
Prepaid pension cost
Other
Allowance for doubtful accounts
Total investments and other assets
Total noncurrent assets
Total assets-6-

22,198,696

22,248,658

40,860,128

41,008,848

58,478,562

58,712,019

５．
（要約）四半期連結財務諸表(Thousands of yen)
End of the Fiscal Year Ended
February 28, 2014
(As of February 28, 2014)
LIABILITIESCurrent liabilities:
Notes and accounts payable ― trade
Short-term loans payable
Income taxes payable
Provision for bonuses
Provision for directors' bonuses
Other4,515,638
1,366,588
425,726
44,2503,508,120

4,656,966
150,930
468,750
324,762
15,844
3,924,828

9,860,324

9,542,081

150,930
537,167
339,728
942,180
2,511,944

541,723
347,537
944,126
2,580,476―

Total current liabilities
Noncurrent liabilities:
Long-term loans payable
Provision for retirement benefitsProvision for directors' retirement benefits
Asset retirement obligations
Other
Total noncurrent liabilities

End of the First Quarter of
the Fiscal Year Ending
February 28, 2015
(As of May 31, 2014)―

4,481,950

4,413,863

Total liabilities

14,342,274

13,955,945

NET ASSETS
Shareholders’ equity:
Capital stock
Capital surplus
Retained earnings
Treasury stock

2,486,520
18,322,104
24,364,402(1,504,089)

2,486,520
18,322,104
25,049,992(1,602,729)

43,668,937

44,255,887

Other accumulated comprehensive income:
Valuation difference on available-for-sale securities
Deferred gains or losses on hedges
Revaluation reserve for land
Foreign currency translation adjustments

Total shareholders’ equity

648,981(10,415)(233,476)
42,838676,327(6,012)(233,476)
38,161

Total other accumulated comprehensive income

447,928

475,000

Subscription rights to shares
Total net assets
Total liabilities and net assets-7-

19,421

25,18644,136,288

44,756,074

58,478,562

58,712,019

(2) Consolidated Quarterly Statements of Income and Consolidated Quarterly Statements ofComprehensive Income
Consolidated Quarterly Statements of Income
First Quarter Cumulative(Thousands of yen)First Quarter of the
Fiscal Year Ended
February 28, 2014
(March 1, 2013 toMay 31, 2013)

First Quarter of the
Fiscal Year Ending
February 28, 2015
(March 1, 2014 toMay 31, 2014)

Net sales
Cost of Sales

11,403,997
5,234,507

12,462,745
5,509,648

Gross profit

6,169,489

6,953,097

214,594

209,809

Other operating revenue
Operating gross profit

6,384,083

7,162,907

Selling, general and administrative expenses

5,292,214

5,602,815

Operating income

1,091,869

1,560,091

Foreign exchange gains
Other

2,116
10,197
148,791
22,057
3,492
14,6242,759
5,244
224,122
25,485
3,763
38,357

Total non-operating income

201,279

299,731

139
1,914
1,542
520
1,026

381

Non-operating income
Interest income
Dividends received
Equity in earnings of affiliates
Rent of real estate for investment

Non-operating expenses
Interest expenses
Loss on insurance cancellation
Depreciation of real estate for investment
Management cost for real estate for investment
Other
Total non-operating expenses
Ordinary income
Extraordinary income
Gain on sales of noncurrent assets
Total extraordinary income
Extraordinary loss
Impairment loss

―
1,492
511
1,098

5,143

3,484

1,288,006

1,856,339――

47,797

10,174

19,33147,797

Total extraordinary losses

10,174

19,331

Net income before income taxes

1,277,831

1,884,805

Income taxes ― current
Income taxes ― deferred

255,089
195,116500,099
199,833

Total income taxes

450,206

699,932

Income before minority interests

827,624

1,184,872

Minority interests in income
Net income-8-3―

827,620

1,184,872

Consolidated Quarterly Statements of Comprehensive Income
First Quarter Cumulative(Thousands of yen)First Quarter of theFiscal Year Ended
February 28, 2014
(March 1, 2013 toMay 31, 2013)
Income before minority interests
Other comprehensive income
Other valuation difference on available-for-sale securities
Deferred gains or losses on hedges
Foreign currency translation adjustments
Share of other comprehensive income of associates accounted
for using equity method
Total other comprehensive income
Comprehensive income

827,624

1,184,872

237,923(3,544)22,039(14,794)
4,331(4,676)

26,67042,211

283,089

27,071
1,211,944

1,110,714

Comprehensive income attributable toComprehensive income attributable to owners of the parent
Comprehensive income attributable to minority interests

1,110,710
3-9-First Quarter of theFiscal Year EndingFebruary 28, 2015
(March 1, 2014 toMay 31, 2014)

1,211,944―

(3) Notes to Quarterly Consolidated Financial Statements(Notes Regarding Going Concern Assumptions)Not applicable(Notes Regarding Substantial Changes in Shareholders’ Equity)
Not applicable(Segment Information)
Ⅰ The first quarter of the fiscal year ended February 28, 2014 (March 1, 2013 to May 31, 2013)
1. Information Regarding Sales and Income or Loss by Reporting Segment(Thousands of yen)

Adjustment
amount(Note 1)

Amountrecorded on
consolidated
quarterlystatements
of income(Note 2)

11,618,591―

11,618,591

49,574

424,540(424,540)―

1,595,665

1,882,805

12,043,132(424,540)

11,618,591

51,944

11,543

1,143,703(51,833)

1,091,869

Reporting Segments
F.D.C.
Products
group

AS’TY
group

MISUZUage

Total

5,480,502

2,717,287

1,587,571

1,833,230

9,327

357,543

8,093

5,489,830

3,074,831

844,093236,121

Operating revenues
Operating revenues tooutside customers
Intrasegment operating
revenues and transfers
TotalSegment income or loss

Notes:
1. The adjustment amount of minus ¥51,833 thousand for segment income mainly includes corporate expenses that are notallocated to individual reporting segments. Corporate expenses are primarily general administrative expenses not
attributable to reporting segments.
2. Segment income figures have been adjusted to operating income on the consolidated quarterly income statements.

2. Information Regarding Impairment Loss of Fixed Assets, Goodwill and Related Items byReporting Segment
There was no major impairment loss recorded during the period under review.
ⅡThe first quarter of the fiscal year ending February 28, 2015 (March 1, 2014 to May 31, 2014)
1. Information Regarding Sales and Income or Loss by Reporting Segment(Thousands of yen)

Adjustment
amount(Note 1)

Amountrecorded on
consolidated
quarterlystatementsof income(Note 2)

12,672,555―

12,672,555

61,433442,262(442,262)―

1,413,639

2,035,475

13,114,818(442,262)

12,672,555

36,467(866)

1,576,824(16,732)

1,560,091

Reporting Segments
F.D.C.
Products
group

AS’TY
group

MISUZUage

Total

6,755,033

2,534,460

1,409,019

1,974,042

11,016365,192

4,619

6,766,050

2,899,653

1,375,522

165,700

Operating revenues
Operating revenues tooutside customers
Intrasegment operating
revenues and transfers
Total
Segment income or loss

Notes:
1. The adjustment amount of minus ¥16,732 thousand for segment income or loss mainly includes corporate expenses thatare not allocated to individual reporting segments. Corporate expenses are primarily general administrative expenses not- 10 -2.

attributable to reporting segments.
Segment income or loss figures have been adjusted to operating income on the consolidated quarterly incomestatements.

2. Information Regarding Impairment Loss of Fixed Assets, Goodwill and Related Items byReporting Segment
There was no major impairment loss recorded during the period under review.

- 11 -