Summary Report of Consolidated Financial Results
For the Third Quarter Ended March 31, 2021

(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, Executive Officer and 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 2021 (From July 1, 2020 to March 31,
2021)(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
1,268,196
0.2
66,888
12.6
67,54714.7
45,23420.0
March 31, 2021
Nine Months Ended－－－
1,265,759
37.7
59,41558,91437,711March 31, 2020
(Note) Comprehensive income: 44,669 million yen [17.6%] (FY 2021.6 3Q), 37,986 million yen [－%] (FY 2020.6 3Q)
Net Income
Per Share(Yen)

Net Income
Per Share-fully
diluted (Yen)

Nine Months Ended
71.34
71.15
March 31, 2021
Nine Months Ended
59.52
59.36
March 31, 2020
(Note) The accounting policy has been changed since the first quarter of the fiscal year ending June 2021, and the figures
for the third quarter of the fiscal year ended June 2020 are the figures after the retroactive adjustment.
The year-on-year percentage change in the third quarter of the fiscal year ended June 2020 is not stated because it
was retroactively revised due to changes in accounting policy.
(2) Financial Position

As of March 31, 2021

(Millions of yen, except per-share data)
Total Assets

Net assets

1,323,312

425,459

Ratio of Shareholders’ Equity
to Total Assets (%)
30.7

June 30, 2020
1,297,231
388,999
28.7(Reference) Equity: 405,845 million yen (as of March 31, 2021), 371,839 million yen (as of June 30, 2020)(Note) The accounting policy has been changed since the first quarter of the fiscal year ending June 2021, and the figures
for the fiscal year ended June 2020 are the figures after the retroactive adjustment.
2. Dividends
Three Months End
of September 30
Year Ended June 30,
2020
Year Ending June 30,
2021
Year Ending June 30,
2021 (Forecast)

Six Months End
of December 31

YenNine Months End
of March 31

－

3.00

－

－

3.00

－

(Note) Revision to the dividend forecast in the third quarter of fiscal 2021: None1

Year Endof June 30

Total

12.00

15.00

13.00

16.00

3. Consolidated Business Forecast：For the year ending June 30, 2021 (From July 1, 2020 to June 30, 2021)(Millions of yen, except per-share data)
Net Sales

Change(%)

Operating
IncomeChange(%)

Ordinary
IncomeChange(%)

ProfitAttributableto Owners of
ParentChange(%)

Net Income
perShare(Yen)Year Ending
1,700,000
1.1
80,000
6.1
79,0005.9
53,000
6.2
83.58
June 30, 2021
(Note) Revision to the business forecast in the third quarter of fiscal 2021: None
(Note) The year-on-year percentage change for the whole financial year have been revised retroactively due to changes inaccounting policy, so they are shown in comparison with the figures for the previous year after the retroactive
adjustment.
4. Others(1) Significant changes in the scope of consolidation: None
Newly consolidated: － , 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: None
② Other changes: Yes③ 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, 2021
634,197,040 shares
June 30, 2020
633,929,040 shares② Number of treasury share
March 31, 2021
18,924 shares
June 30, 2020
18,924 shares③ Average number of outstanding shares during the period
March 31, 2021
634,054,371 shares
March 31, 2020
633,574,015 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 11,2021. 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,

2020

2021

AmountAmountAssetsCurrent assets
Cash and deposits¥179,785￥202,487

Notes and accounts receivables-trade

18,37821,450Accounts receivables - installment

68,293

66,913Operating loans
Merchandise and finished goods
Prepaid expenses

8,076

7,565

187,775

195,583

6,772

6,530

Deposits paid

4,377

4,646

Other

21,572

16,474(890)(1,083)494,138

520,565

264,035

264,126

Allowance for doubtful accounts
Total current assets

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

29,89830,468Lands

325,499

323,337

3,278

5,705

622,710623,635

Goodwill

15,935

14,571

Other

20,94821,799Total intangible assets

36,88336,37017,51523,319Long-term loan receivables

1,269

2,010

Long-term prepaid expenses

5,729

5,319

Retirement benefit assets

16,236

16,445

Other, net
Total property, plant and equipment
Intangible assets

Investments and other assets
Investment securities

Deferred tax assets

23,15020,089Lease and guarantee deposits

78,62474,527

Other

3,178

3,152

Allowance for doubtful accounts
Total investments and other assets
Total non-current assets

Total assets

3(2,201)(2,121)

143,500

142,741803,093

802,747¥1,297,231¥1,323,312

(Millions of yen)
As of June 30,

As of March 31,

2020

2021

AmountAmountLiabilities
Current liabilities
Notes and accounts payables - trade¥148,226￥148,778－

1,500

Current portion of long-term loan payables

13,20133,646

Current portion of bonds

11,916

2,566

Payables under securitization of lease receivables

4,512

632

Accounts payables – other

53,481

47,622

Accrued expenses

22,58821,250

Deposits received

16,806

15,962

Income taxes payables

10,9698,944

Short-term loan payables

Provision for point card certificates

6,924

5,735

Other

23,60424,924

Total current liabilities

312,227

311,559

Bond payables

226,542

223,976

Long-term loan payables

276,191

268,380

Non-current liabilities

Long-term payables under securitization of lease receivables

Asset retirement obligations
Negative goodwill

191－

23,30023,893

94

29

Other

69,68770,015

Total non-current liabilities

596,005

586,294908,232

897,853

23,00823,133

Total liabilities
Net assets
Shareholders' equity
Share capital
Capital surplus

16,977

17,102Retained earnings

332,263

367,988

(15)

(15)

372,233

408,208

Valuation difference on available-for-sale securities

529

951

Foreign currency translation adjustment(865)(3,330)Remeasurements of defined benefit plans

(58)

16

Total accumulated other comprehensive income(394)(2,363)

218

216

Treasury shares
Total shareholders' equity
Accumulated other comprehensive income

Share acquisition rights
Non-controlling interests

16,942

19,398

Total net assets

388,999

425,459¥1,297,231¥1,323,312

Total liabilities and net assets

4Consolidated Quarterly Statements of Income
Nine months ended
March 31, 2020
AmountNet sales(Millions of yen)
Nine months ended
March 31, 2021
Amount￥1,265,759￥1,268,196

902,120898,252

363,639

369,944304,224

303,056

59,41566,888Interest and dividend income

491

423

Amortization of negative goodwill

65

65

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

235

196

Other

3,244

4,161

Total non-operating income

4,035

4,845

Share of profit of entities accounted for using equity method

Non-operating expenses
3,855

3,767

Cost of claim's liquidation

132

46

Other

549

374

4,536

4,186

58,91467,547

Gain on sales of non-current assets

667

96

Gain on bargain purchase

241－

Gain on sale of businesses

494－

Gain on reversal of provision for loss on store closings

268－

Gain on reversal of share acquisition rights

2200Gain on insurance claims

－

1,227

Other

428

75

2,318

1,398

Impairment loss

1,533

－

Loss on retirement of non-current assets

2,869

649

Loss on closing of stores

1,085

370

Loss on disaster

192

48

Other

278

63

5,957

1,129

Profit before income taxes

55,27567,815Interest expenses paid on loans and bonds

Total non-operating expenses
Ordinary income
Extraordinary income

Total extraordinary income
Extraordinary losses

Total extraordinary losses

Income taxes - current

15,477

16,596

Income taxes – deferred

1,813

4,799

Total income taxes

17,29021,39537,98546,420274

1,186￥37,711￥45,234

ProfitProfit attributable to non-controlling interests
Profit attributable to owners of parent

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

ProfitNine months ended
March 31, 2020

Nine months ended
March 31, 2021

AmountAmount￥37,985￥46,420

Valuation difference on available-for-sale securities

328

624

Foreign currency translation adjustment(333)(2,469)

36

4

(30)

90

1

(1,752)￥37,986￥44,669￥37,550￥43,266

436

1,403

Other comprehensive income

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 to：
Owners of parent
Non-controlling interests

6Consolidated Quarterly Statements of Cash Flows(Millions of yen)

Cash flows from operating activities:
Profit before income taxes
Depreciation and amortization
Impairment loss
Amortization of negative goodwill
Gain on bargain purchase
Decrease in provisions
Interest and dividend income
Interest expenses paid on loans and bonds
Share of profit of entities accounted for using equity method
Loss on sales and retirement of property, plant and equipment
Gain on insurance claims
Gain on sale of businesses
Loss on store closings
Increase in notes and accounts receivables – trade
Increase in inventories
Increase (decrease) in notes and accounts payables – trade
Decrease in accounts receivables – installment
Increase (decrease) in accounts payables – other
Decrease in deposits received
Other, net
SubtotalInterest and dividend income received
Interest expenses paid
Income taxes paid
Income taxes refund
Proceeds from insurance benefits
Payments for loss on disaster
Dividends received from entities accounted for using equity method
Net cash provided by operating activities
Cash flows from investing activities:
Payments for purchase of property, plant and equipment
Proceeds from sales of property, plant and equipment
Payments for purchase of intangible assets
Proceeds from sale of businesses
Purchase of investment securities
Purchase of shares of subsidiaries and affiliates
Payments for leasehold and guarantee deposits
Proceeds from collection of leasehold and guarantee deposits
Payments for store opening in progress
Purchase of shares of subsidiaries resulting in change in scope of consolidation

Loan advances
Other, net
Net cash used in investing activities

7

Nine months ended
March 31, 2020
AmountNine months ended
March 31, 2021
Amount¥55,275
21,491
1,533
(65)
(241)
(5,198)
(491)
3,855
(235)
2,314
－
(494)
1,085
(1,926)(3,811)(12,119)67
575(3,242)
6,836
65,209166(3,527)(15,142)
4,875
－
(298)
78
51,361¥67,815
22,373－(65)－(4,341)
(423)
3,767
(196)
552
(1,227)－370(2,698)(8,107)845
1,328(2,223)(846)
6,112
83,038162(3,416)(19,303)
1,127
1,691
(89)
－
63,209(23,456)
2,597(2,476)
5,978
(157)
(79)
(2,301)
1,011(570)(3,723)(4)(27)¥(23,207)(27,377)2,518(2,483)－(4,082)
(790)
(777)
3,400
(189)
－
(802)
118
¥(30,463)

(Millions of yen)

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 securitization of lease receivables
Proceeds from issuance of common shares
Cash dividends paid
Proceeds from share issuance to non-controlling shareholders
Purchase of treasury shares of subsidiaries
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
Increase in cash and cash equivalents resulting
from inclusion of subsidiaries in consolidation
Cash and cash equivalents at end of period

8

Nine months ended
March 31, 2020
AmountNine months ended
March 31, 2021
Amount¥(1,892)
2,500(19,772)98(22,916)(5,583)299(6,651)627(8,049)(27)(61,366)
120(33,092)
185,136¥1,50024,846(12,296)－(11,916)(4,105)248(9,509)
1,052
－
(35)
(10,214)0
22,532
183,602

1,163－¥153,207¥206,133

Segment Information
For the third quarter ended March 31, 2021
1. Information concerning sales and income by reporting segment(Millions of yen)
Reporting segment
GMS
businessRentbusiness

Sub Total

Others(Note 1)

¥868,670 ¥342,393¥46,483¥1,257,546¥10,649 ¥1,268,196

DiscountStorebusiness

Total

AdjustmConsolidated
ent(Note 3)(Note 2)

Sales, Segment income
Sales
Sales to third parties
Intersegment sales
Total
Segment income (loss)¥－¥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 changes in reporting segment
The valuation method for inventories (merchandise and finished goods) has changed since the first quarter of the current
consolidated fiscal year. This change has been applied retroactively, and segment income for the third quarter of theprevious fiscal year has decreased by 1,004 million yen in the “discount store business” compared to the case where theconventional method was used.
3. Information concerning impairment loss of fixed assets or goodwill by reporting segment
Not applicable
For the third quarter ended March 31, 2020
1. Information concerning sales and income by reporting segment(Millions of yen)
Reporting segment
DiscountStorebusiness

Others(Note 1)

GMS
businessRentbusiness

Sub Total¥831,684 ¥378,266¥44,530¥1,254,480 ¥11,279

Total

Adjustment Consolidated(Note 2)
(Note 3)

Sales, Segment income
Sales
Sales to third parties
Intersegment sales
Total
Segment income (loss)¥1,265,759¥－¥1,265,759

3,926

4,240

2,543

10,7094,803

15,512(15,512)－835,610

382,506

47,073

1,265,189

16,082

1,281,271(15,512)1,265,759¥35,886¥13,123¥10,506¥59,515¥(811)¥58,704¥711¥59,415

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 ¥711 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(Significant impairment losses on non-current assets)
Impairment losses on store facilities and land were recorded in the Discount Store business segment, Rent businesssegment and corporate assets not allocated to reportable segments. Impairment losses of ¥894 million in the DiscountStore business segment, ¥27 million in the Rent business segment and ¥612 million in the corporate assets notallocated to reportable segments were recorded for the third quarter ended March 31, 2020.
(Significant changes in goodwill)
Not applicable(Significant gain on bargain purchase)
Not applicable9