Summary Report of Consolidated Financial Results
For the Third Quarter Ended March 31, 2022

(All financial information has been prepared in accordance with accounting principles generally accepted in Japan.)
Pan Pacific International Holdings Corporation
Securities Code No.: 7532
Shares Listed:Tokyo Stock Exchange
Address:
2-19-10 Aobadai, Meguro-ku, Tokyo
Representative:
Naoki Yoshida, President and CEO
Contact:
Keita Shimizu, Director and Managing Executive Officer, CFO (Phone:+81-3-5725-7588)
URL:
https://ppih.co.jp/(Amounts in million yen are rounded off to the nearest million)
1. Overview of Business Results and Financial Position for the third quarter of fiscal 2022 (From July 1, 2021 to March 31,
2022)(1) Results of Business Operations(Millions of yen, except per-share data)
Profit Attributable
Change Operating Change Ordinary Change
ChangeNet Sales
to Owners of(%)(%)
Income(%)
Income(%)
ParentNine Months Ended
1,370,479
8.1
63,080(5.7)
67,7070.2
45,984
1.7
March 31, 2022
Nine Months Ended
1,268,196
0.2
66,888
12.6
67,54714.7
45,23420.0
March 31, 2021
(Note) Comprehensive income: 45,769 million yen [2.5%] (FY 2022.6 3Q), 44,669 million yen [17.6%] (FY 2021.6 3Q)
Net Income
Per Share(Yen)

Net Income
Per Share-fully
diluted (Yen)

Nine Months Ended
75.92
75.74
March 31, 2022
Nine Months Ended
71.34
71.15
March 31, 2021
(Note) The Company has applied the “Accounting Standard for Revenue Recognition” (ASBJ Statement No. 29, March 31,2020) and relevant ASBJ regulations from the beginning of the first quarter under review, and each figure for thethird quarter of the fiscal year ending June 30, 2022, is the figure after applying the accounting standard andrelevant ASBJ regulations.
(2) Financial Position(Millions of yen, except per-share data)

Ratio of Shareholders’ Equity
to Total Assets (%)
As of March 31, 2022
1,352,800
380,839
27.6
June 30, 2021
1,370,115
438,628
30.5(Reference) Equity: 373,521 million yen (as of March 31, 2022), 418,524 million yen (as of June 30, 2021)(Note) During the consolidated accounting period for the second quarter of the fiscal year ending June 2022, provisional
accounting treatment for business combinations has been finalized. The figures for the fiscal year ended June 2021
reflect the content of the provisional accounting treatment.
Total Assets

Net assets

2. Dividends
Three Months End
of September 30
Year Ended June 30,
2021
Year Ending June 30,
2022
Year Ending June 30,
2022 (Forecast)

Annual Dividends per share
Six Months End
Nine Months End
of December 31
of March 31

－

3.00

－

－

3.00

－

(Note) Revision to the dividend forecast in the third quarter of fiscal 2022: None1

Year Endof June 30

Total

13.00

16.00

13.50

16.50

3. Consolidated Business Forecast：For the year ending June 30, 2022 (From July 1, 2021 to June 30, 2022)(Millions of yen, except per-share data)
Net Sales

Change(%)

Operating
IncomeChange(%)

Ordinary
IncomeChange(%)

Year Ending
1,870,000
9.4
85,000
4.6
83,0001.9
June 30, 2022
(Note) Revision to the business forecast in the third quarter of fiscal 2022: None

ProfitAttributableto Owners of
Parent57,600Change(%)

Net Income
perShare(Yen)

7.2

95.46

4. Others(1) Significant changes in the scope of consolidation: Yes
Newly consolidated: 1 company (Pan Pacific International Financial Service Corporation) , Excluded:－(2) Simplified accounting methods and special accounting methods for preparation of the quarterly consolidated
financial statements: None
(3) Changes in accounting policies concerning preparation of quarterly consolidated financial statements① Changes in line with revision to accounting standards: Yes② Other changes: None
③ Changes in accounting estimates: None
④ Restatement: None
(4) Number of outstanding shares (Common share)① Number of outstanding shares (Treasury share included)
March 31, 2022
634,333,040 shares
June 30, 2021
634,239,440 shares② Number of treasury shares
March 31, 2022
38,073,224 shares
June 30, 2021
18,924 shares③ Average number of outstanding shares during the period
March 31, 2022
605,670,375 shares
March 31, 2021
634,054,371 shares※This financial summary is not subject to audit conducted by certified public accountants or an audit corporation.
※Explanation regarding the appropriate use of forecasts of business results
The financial forecasts of business results are based on judgments and estimates that have been made using
currently available information. By nature, such financial forecasts are subject to uncertainties and risks. Therefore,
actual results might be significantly different from the aforementioned forecasts for a variety of reasons, includingchanges in economic environments related to our business, market trends and foreign currency exchange rates.
※The Company plans to hold a financial result briefing for security analysts and institutional investors on May 10,2022. Presentation materials for the briefing will be available on the Company’s website.

2

Consolidated Quarterly Balance Sheets(Millions of yen)
As of June 30,

As of March 31,

2021

2022

AmountAmountAssetsCurrent assets
Cash and deposits¥157,522¥147,762

Notes and accounts receivables-trade

21,07425,212

Accounts receivables - installment

65,49153,424

Operating loans
Merchandise and finished goods
Prepaid expenses

7,658

7,831

203,416

206,239

7,671

7,992

Deposits paid

4,364

4,609

Other

29,488

17,844

Allowance for doubtful accounts(1,276)(1,671)

495,406

469,242

261,481

263,617

Total current assets

Non-current assets
Property, plant and equipment
Buildings and structures, net
Tools, furniture and fixtures, net

32,84835,246Lands

317,402

315,494

Right of use assets, net

22,672

23,871Other, net

9,347

17,262643,750

655,490

Goodwill

55,411

57,223

Other

23,25523,914

Total intangible assets

78,667

81,137

Investment securities

29,082

27,837Long-term loan receivables

1,192

1,133

Long-term prepaid expenses

5,140

5,089

Retirement benefit assets

16,756

16,965

Deferred tax assets

24,55821,429Lease and guarantee deposits

73,882

73,114

Total property, plant and equipment
Intangible assets

Investments and other assets

Other

3,802

3,515

Allowance for doubtful accounts(2,120)(2,150)152,292

146,931874,709883,558¥1,370,115¥1,352,800

Total investments and other assets
Total non-current assets

Total assets3

(Millions of yen)
As of June 30,

As of March 31,

2021

2022

AmountAmountLiabilities
Current liabilities
Notes and accounts payables - trade¥149,984¥156,280

Short-term loan payables

1,500

－

Current portion of long-term loan payables

33,613

26,347

Current portion of bonds

22,566

11,421

191－

46,50850,643

Payables under fluidity lease receivables
Accounts payables - other
Lease obligations

1,380

1,607

Accrued expenses

25,55022,235

Deposits received

28,00015,547

Income taxes payables

11,299

8,494

Provision for point card certificates

5,747

1,487

－

11,221

Contract liabilities
Other

27,211

17,227

Total current liabilities

353,550

322,508

Bond payables

203,976

272,555

Long-term loan payables

271,507

275,762

Lease obligations

21,08722,420Asset retirement obligations

24,16524,935

7－

57,19553,780Non-current liabilities

Negative goodwill
Other
Total non-current liabilities

577,937

649,453

931,487

971,961

Share capital

23,15323,196

Capital surplus

17,121

17,354Retained earnings

376,152

412,101(15)(80,956)

416,411

371,696

1,165

703

749

922

Total liabilities
Net assets
Shareholders' equity

Treasury shares
Total shareholders' equity
Accumulated other comprehensive income
Valuation difference on available-for-sale securities
Foreign currency translation adjustment
Remeasurements of defined benefit plans

199

200

2,113

1,825

Share acquisition rights

216

272

Non-controlling interests

19,888

7,046

Total accumulated other comprehensive income

Total net assets
Total liabilities and net assets

4

438,628

380,839¥1,370,115¥1,352,800

Consolidated Quarterly Statements of Income(Millions of yen)
Nine months ended
March 31, 2022
AmountNine months ended
March 31, 2021
AmountNet sales
Cost of sales¥1,268,196¥1,370,479

898,252

970,161

369,944

400,318

303,056

337,238

66,88863,080Interest and dividend income

423

714

Amortization of negative goodwill

65

7

Share of profit of entities accounted for using equity method

196

387

Gross profit
Selling, general and administrative expenses
Operating income
Non-operating income

724

7,211

Other

3,437

2,956

Total non-operating income

4,845

11,276

Foreign exchange gains

Non-operating expenses
3,767

5,505

Cost of claim's liquidation

46

1

Other

374

1,144

Interest expenses paid on loans and bonds

Total non-operating expenses
Ordinary income

4,186

6,649

67,54767,707Extraordinary income
Gain on sales of non-current assets
Gain on insurance claims
Reversal of provision for environmental measures

96

923

1,227

－

1

85

74

46

1,398

1,055

Loss on retirement of non-current assets

649

877

Loss on closing of stores

370

84

Loss on disaster

48

195

Loss on litigation

－

542

Other

63

237

1,129

1,936

Profit before income taxes

67,81566,826

Income taxes - current

16,596

17,849

Income taxes - deferred

4,799

2,445

Total income taxes

21,395

20,294

Profit46,42046,532

Profit attributable to non-controlling interests

1,186

548

¥45,234¥45,984

Other
Total extraordinary income
Extraordinary losses

Total extraordinary losses

Profit attributable to owners of parent

5Consolidated Quarterly Statements of Comprehensive Income(Millions of yen)

ProfitNine months ended
March 31, 2021

Nine months ended
March 31, 2022

AmountAmount¥46,420¥46,532

Other comprehensive income
Valuation difference on available-for-sale securities

624(1,117)(2,469)

344

4

(9)

90

20

(1,752)(762)

Comprehensive income¥44,669¥45,769

Comprehensive income attributable to:
Owners of parent¥43,266¥45,546

Non-controlling interests

1,403

224

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

6Consolidated Quarterly Statements of Cash Flows
Nine months ended
March 31, 2021
Amount(Millions of yen)
Nine months ended
March 31, 2022
AmountCash flows from operating activities:
Profit before income taxes
Depreciation
Amortization of negative goodwill
Decrease in provisions
Interest and dividend income
Interest expenses paid on loans and bonds
Foreign exchange gains
Share of profit of entities accounted for using equity method
Loss on sale and retirement of property, plant and equipment
Gain on insurance claims
Loss on closings of stores
Increase in notes and accounts receivables – trade
Increase in inventories
Increase in notes and accounts payables – trade
Decrease in accounts receivable - installment
Increase (decrease) in accounts payable - other
Increase (decrease) in deposits received
Other, net
SubtotalInterest and dividends received
Interest expenses paid
Income taxes paid
Income taxes refund
Proceeds from insurance income
Payments associated with disaster loss
Dividends received from entities accounted for using equity method
Net cash provided by operating activities¥67,815
22,373(65)(4,341)
(423)
3,767
(724)
(196)
552
(1,227)370(2,698)(8,107)845
1,328(2,223)(846)
6,837
83,038162(3,416)(19,303)
1,127
1,691
(89)
－
63,209¥66,826
28,210(7)(6,301)(714)
5,505(7,211)
(387)
23
－
84
(4,376)(1,764)
5,322
11,992
1,919
1,819(10,293)
90,645469(5,253)(36,046)
15,421－(655)
21
64,602

Cash flows from investing activities:
Payments for purchase of property, plant and equipment
Proceeds from sale of property, plant and equipment
Purchase of intangible assets
Purchase of investment securities
Purchase of shares of subsidiaries and associates
Payments of leasehold and guarantee deposits
Proceeds from collection of leasehold and guarantee deposits
Payment for store opening in progress
Payments of loan receivables
Other, net
Net cash used in investing activities(27,377)2,518(2,483)(4,082)
(790)
(777)
3,400
(189)
(802)
118
(30,463)(33,771)
4,944(2,961)
(10)
－
(477)
993
(666)
(1)
(220)
(32,167)

1,500
24,846(12,296)－(11,916)(4,105)248(9,509)
1,052
－
－
(35)
(10,214)0
22,532
183,602¥206,133(1,500)30,000(35,119)
79,619(22,566)(192)
87(10,034)－(80,941)(10,361)(1,032)(52,039)
9,981(9,624)
160,875¥151,252

Cash flows from financing activities:
Net increase (decrease) in short-term loan payables
Proceeds from long-term loan payables
Repayments of long-term loan payables
Proceeds from issuance of bonds
Redemption of bonds
Repayments of payables under fluidity of lease receivables
Proceeds from issuance of common shares
Cash dividends paid
Proceeds from share issuance to non-controlling interests
Purchase of treasury shares
Purchase of shares of subsidiaries not resulting in change in scope of consolidation
Other, net
Net cash used in financing activities
Effect of foreign exchange rate change on cash and cash equivalents
Net increase (decrease) in cash and cash equivalents
Cash and cash equivalents at the beginning of period
Cash and cash equivalents at the end of period7

Segment Information
For the third quarter ended March 31, 2022
1. Information concerning sales and income by reporting segment(Millions of yen)
Reporting segment
DiscountStorebusiness

GMS
businessRentbusiness

Sub Total

Others(Note 1)

Total

AdjustmConsolidated
ent(Note 3)(Note 2)

Sales, Segment income
Sales
Sales to third parties¥988,481 ¥326,663

Intersegment sales
Total
Segment income (loss)¥44,520 ¥1,359,663 ¥10,816 ¥1,370,479¥－¥1,370,479

5,724

8,755

938

15,417

3,154

18,571 (18,571)－

994,205

335,418

45,457

1,375,081

13,9691,389,050 (18,571)

1,370,479¥51,922¥8,753¥7,794¥68,469 ¥(5,505)¥62,965¥63,080

¥115

Notes
1. “Others” includes the service related to the operation of the Company (Holdings Company), Credit card service and soon, which does not belong to the reporting segment.
2. The ¥115 million adjustment to segment income is an intersegment elimination.
3. Segment income is adjusted to the quarterly consolidated operating income.
2. Information concerning changes in reporting segment
The Company has applied the Accounting Standard for Revenue Recognition, etc. from the beginning of the first quarter
under review, and changed the accounting method for revenue recognition. Accordingly, the Company has also changed
the method of measuring profit or loss of reporting segments.
As a result of this change, sales of the “Discount Store business” for the third quarter of the current consolidated
cumulative period decreased by ¥5,071 million and sales of the “GMS business” decreased by ¥1,235 million comparedto the conventional method.
3. Information concerning impairment loss of fixed assets or goodwill by reporting segment
Significant change in goodwill
At the time of the business combination with GRCY Holdings, Inc. on April 21, 2021, the amount of goodwill was
determined on a provisional basis as the allocation process of the acquisition cost was not completed. With completion of
the allocation process in the second quarter of the fiscal year ending June 30, 2022, the Company adjusted the amount of
goodwill in the Discount Store Business segment that had been accounted for on a provisional basis.
For the third quarter ended March 31, 2021
1. Information concerning sales and income by reporting segment(Millions of yen)
Reporting segment
DiscountStorebusiness

GMS
businessRentbusiness

Sub Total

Others(Note 1)

Total

AdjustmConsolidated
ent(Note 3)(Note 2)

Sales, Segment income
Sales
Sales to third parties
Intersegment sales
Total
Segment income (loss)¥868,670 ¥342,393¥46,483 ¥1,257,546 ¥10,649 ¥1,268,196¥－¥1,268,196

5,473

6,240

873

12,586

3,382

15,968 (15,968)－

874,143

348,633

47,356

1,270,133

14,031

1,284,164 (15,968)

1,268,196¥45,238¥14,015¥10,498¥69,752¥(3,138)¥66,613¥66,888

¥275

Notes
1. “Others” includes the service related to the operation of the Company (Holdings Company), Credit card service and soon, which does not belong to the reporting segment.
2. The ¥275 million adjustment to segment income is an intersegment elimination.
3. Segment income is adjusted to the quarterly consolidated operating income.
2. Information concerning impairment loss of fixed assets or goodwill by reporting segment
Not applicable8