Translation
Notice: This document is an excerpt translation of the original Japanese document and is only for reference purposes. In the event of any
discrepancy between this translated document and the original Japanese document, the latter shall prevail.

Summary of Consolidated Financial Results
for the Three Months Ended May 31, 2022
(Based on Japanese GAAP)
July 14, 2022
Company name:

IDOM Inc.

Stock exchange listing: Tokyo
Stock code:
7599
Representative:
Inquiries:

URL

https://221616.com

President
General Manager, Finance & IR Division

Yusuke Hatori
Masayuki Matsumoto

Scheduled date to file Quarterly Securities Report:
Scheduled date to commence dividend payments:

July 15, 2022–

Preparation of supplementary material on quarterly financial results:
Holding of quarterly financial results meeting:YesNoTEL

03-5208-5503(Amounts less than one million yen are rounded down)
1. Consolidated financial results for the three months ended May 31, 2022 (from March 1, 2022 to May 31, 2022)(1) Consolidated operating results (cumulative)
Percentages indicate year-on-year changes
Profit attributable toNet sales
Operating profit
Ordinary profit
owners of parentMillions of yen% Millions of yen% Millions of yen% Millions of yen%
Three months ended May 31, 2022
135,601
15.9
5,256
3.4
5,053
2.9
5,377
95.4
Three months ended May 31, 2021
117,013
39.8
5,084
–
4,911
–
2,752
–
Earnings per share

Diluted earnings per share

Yen
53.55
27.41

Three months ended May 31, 2022
Three months ended May 31, 2021

Yen––(2) Consolidated financial position
Total assets

Net assets

Millions of yen
207,108
189,766

As of May 31, 2022
As of February 28, 2022

Equity ratio

Millions of yen
58,18355,709

Net assets per share
%
26.8
28.5

Yen
553.64537.97

2. Cash dividends
Annual dividends per share
1st quarter-end

2nd quarter-end

3rd quarter-end

Fiscal year-end

Yen––Yen
2.30

Yen–

Yen
2.30

Yen
4.60

16.20

–

16.20

32.40

Year ended February 28, 2022
Year ending February 28, 2023
Year ending February 28, 2023 (Forecast)Total

3. Forecast of consolidated financial results for the year ending February 28, 2023 (from March 1, 2022 to February 28, 2023)

Net sales
Millions of yen
Six months ending
August 31, 2022
Full year

Percentages indicate year-on-year changes
Profit attributable toOperating profit
Ordinary profit
Earnings per shareowners of parent% Millions of yen% Millions of yen% Millions of yen%
Yen

206,800(9.2)

8,600(8.9)

8,150(9.6)

7,200

35.5

71.71

366,800(20.2)

15,500(16.1)

14,800(15.7)

11,6007.5

115.531

4. Notes(1) Changes in significant subsidiaries during the three months ended May 31, 2022
(changes in specified subsidiaries resulting in the change in scope of consolidation):(2) Application of special accounting methods for preparing quarterly consolidated financial statements:

NoNo(3) Changes in accounting policies, changes in accounting estimates, and restatement of prior period financial statements
Changes in accounting policies due to revisions to accounting standards and other regulations:
Yes
Changes in accounting policies due to other reasons:
Changes in accounting estimates:

No
No

Restatement of prior period financial statements:

No(4) Number of issued shares (common shares)
Total number of issued shares at the end of the period (including treasury shares)
As of May 31, 2022

106,888,000 shares As of February 28, 2022

106,888,000 shares

Number of treasury shares at the end of the period
As of May 31, 2022

6,480,651 shares As of February 28, 2022

6,480,641 shares

Average number of shares during the period (cumulative from the beginning of the fiscal year)
Three months ended May 31, 2022

100,407,352 shares Three months ended May 31, 2021

2

100,407,399 shares

1.

Qualitative Information on Quarterly Financial Results(1) Analysis of operating results
In the first quarter of the fiscal year under review (March 1 to May 31, 2022), retail unit sales at directly managed stores in Japan were 37,547(down 3.2% year on year). Retail unit sales decreased due to a decline in the number of directly managed domestic stores, but retail unit sales atlarge stores increased year on year on a per store basis.
The Accounting Standard for Revenue Recognition (Accounting Standards Board of Japan (ASBJ) Statement No. 29 issued on March 31,2020; hereinafter the "Revenue Recognition Accounting Standard"), etc. has been applied since the beginning of the first three months of theconsolidated fiscal year under review. Due to the adoption of the Revenue Recognition Accounting Standard and other standards, a time-lag inrevenue recognition occurred for sales recorded in past years and those newly recorded in the current year. As a result, operating profit isexpected to decrease approximately 0.9 billion yen on a full-year basis. However, looking at the first quarter under review alone, operating profit
rose approximately 99 million yen due to the impact of prior year adjustments. Details are described in “2. Quarterly Consolidated FinancialStatements and Important Notes (3) Notes on quarterly consolidated financial statements (Changes in accounting policies)."
Sales of both new cars and used cars remained strong at the Australian subsidiary, aided by the yen continuing to weaken against theAustralian dollar compared with the previous year.
Selling, general and administrative expenses decreased, reflecting lower rent expenses due to the head office relocation and a decline inpersonnel expenses attributable to a decrease in the number of employees because of restrained new graduate hiring.
Extraordinary losses for the first quarter under review included a loss on retirement of non-current assets of 45 million yen. Even so, total
extraordinary losses decreased from the first quarter of the previous fiscal year in which head office relocation expenses of 856 million yen andother expenses had been posted.
As the result of the transfer of the shares of the Australian subsidiary, the tax effects attributable to the impairment loss of goodwill posted in
the previous year at the time the Australian subsidiary was acquired were posted in the first quarter under review, included in income taxes deferred.
As a result of the above, the consolidated business results for the first quarter under review were net sales of 135,601 million yen (up 15.9%
year on year), operating profit of 5,256 million yen (up 3.4%), ordinary profit of 5,053 million yen (up 2.9%), and profit attributable to owners ofparent of 5,377 million yen (up 95.4%), achieving record highs in terms of results for the first three months.
Regional segment-specific earnings are as indicated below:
I. JapanThe results of the Japan segment were net sales of 90,580 million yen (up 9.8% year on year) and segment profit (operating profit) of 4,038
million yen (up 2.6% year on year). The Japan segment recorded an increase in both sales and profit, chiefly reflecting a rise in the vehicle unit
price and a decrease in selling, general & administrative expenses.
II. Australia
The results of the Australia segment were net sales of 44,607 million yen (up 31.1% year on year) and segment profit (operating profit) of
1,284 million yen (up 9.8% year on year). With the yen continuing to weaken against the Australian dollar compared with the previous year, theAustralian subsidiary recorded increases in both sales and profit that also reflected strong sales of both new and used cars.
Results for each business segment are described below.
Starting with the first quarter under review, the domestic used car sales business and the new car sales business conducted in Australia
including non-consolidated sales of subsidiaries Tokyo My Car and Gulliver Insurance are voluntarily disclosed as the domestic core businesssegment and the Australian business segment, respectively.
I. Domestic Core BusinessThe results of the Japan segment were net sales of 90,345 million yen (up 14.4% year on year) and segment profit (operating profit) of 4,076
million yen (up 8.6% year on year). Retail unit sales at directly managed domestic stores decreased due to a decline in the number of stores.
However, the segment recorded an increase in both sales and profit, reflecting steady retail unit sales at large stores and a decline in selling,
general and administrative expenses.
II. Australia Business
The results of the Australia segment were net sales of 44,607 million yen (up 31.1% year on year) and segment profit (operating profit) of
1,284 million yen (up 9.8% year on year). With the yen continuing to weaken against the Australian dollar compared with the previous year, theAustralian subsidiary recorded increases in both sales and profit that also reflected strong sales of both new and used cars.

3

Previous first quarter period (From March 1, 2021 to May 31, 2021)
Domestic core
Net sales
Segment profit(Operating profit)

Australia

Amortization of
goodwill

Other (Differences)

Consolidated

78,95734,0284,028-117,013

3,753

1,169

283

(121)

5,084

First quarter under review (From March 1, 2022 to May 31, 2022)
Domestic core
Net sales
Segment profit(Operating profit)

Australia

Amortization ofgoodwill

Other (Differences)

Consolidated

90,34544,607648-

135,601

4,076

1,2840(104)5,256(2) Analysis of financial position
AssetsTotal assets as of the end of the first quarter ended May 31, 2022 were 207,108 million yen (up 9.1% compared to the end of the previous
fiscal year).
Current assets were 150,640 million yen (up 6.7% compared to the end of the previous fiscal year), mainly reflecting an increase in cash anddeposits (up 5,825 million yen) and an increase in merchandise (up 3,598 million yen).
Non-current assets stood at 56,467 million yen (up 16.1% from the end of the previous fiscal year) due primarily to increases in buildings andstructures (up 1,602 million yen) and deferred tax assets (up 4,814 million yen).
Liabilities
Total liabilities as of the end of the first quarter under review were 148,924 million yen (up 11.1% compared to the end of the previous fiscalyear).
Current liabilities totaled 95,704 million yen (up 56.7% from the end of the previous fiscal year) chiefly as a result of an increase in the current
portion of long-term borrowings (up 20,000 million yen), as well as a decrease in advances received (down 9,548 million yen from the end of theprevious fiscal year) and an increase in contract liabilities (up 19,189 million yen from the end of the previous year) attributable mainly to theadoption of the Revenue Recognition Accounting Standard.
Net assets
Total net assets as of the end of the first quarter ended May 31, 2022 were 58,183 million yen (up 4.4% compared to the end of the previous
fiscal year), due chiefly to increases in retained earnings (up 866 million yen) and non-controlling interests (up 901 million yen).
(3) Consolidated earnings forecast and other forward-looking statements
Looking at the consolidated earnings forecasts for the fiscal year ending February 28, 2023, there are no changes in the figures that werepresented in the Summary of Consolidated Financial Results for the Fiscal Year Ending February 28, 2022 (Japanese GAAP)" announced on
April 14, 2022..

4

Quarterly consolidated financial statements
Consolidated balance sheets
As of February 28, 2022

(Millions of yen)
As of May 31, 2022

45,6705,620
85,363
4,907(416)141,146

51,496
4,714
88,962
5,921(454)
150,640

37,102(16,061)
21,040
298
(60)
238
4,279
(3,114)
1,164
136
1,083
23,66339,283(16,640)
22,643
292
(82)
210
4,751
(3,163)
1,588
136
973
25,551

1,465
5,995
4,314
11,775

1,456
6,528
4,747
12,733

20
129
228
4,405
4,289
3,677438(8)
13,181
48,620189,766

23
129
68
4,768
4,272
8,492
436
(8)
18,182
56,467207,108

AssetsCurrent assets
Cash and deposits
Notes and accounts receivable - trade
Merchandise
Other
Allowance for doubtful accounts
Total current assets
Non-current assets
Property, plant and equipment
Buildings and structures
Accumulated depreciation
Buildings and structures, net
VehiclesAccumulated depreciation
Vehicles, net
Tools, furniture and fixtures
Accumulated depreciation
Tools, furniture and fixtures, net
LandConstruction in progress
Total property, plant and equipment
Intangible assets
Software
Goodwill
Other
Total intangible assets
Investments and other assets
Investment securities
Shares of subsidiaries and associates
Long-term loans receivable
Leasehold and guarantee deposits
Construction assistance fund receivables
Deferred tax assets
Other
Allowance for doubtful accounts
Total investments and other assets
Total non-current assets
Total assets

5

As of February 28, 2022

(Millions of yen)
As of May 31, 2022

23,618
1,101
10,000
4,713
3,960
9,548
–
215
1,965
884
1,327
3,750
61,08525,1891,195
30,0004,856
5,834–
19,189
200
591
–
408
8,238
95,70467,523
587
2,236
1,535
680
407
72,972
134,057

47,423
610
2,210
1,740
786
448
53,220148,924

4,157
4,361
49,673(4,344)53,8474,157
5,227
49,530(4,344)54,570

168
168
1,693
55,709189,766

1,018
1,018
2,594
58,183
207,108

Liabilities
Current liabilities
Accounts payable - trade
Short-term borrowings
Current portion of long-term borrowings
Accounts payable - other
Income taxes payable
Advances received
Contract liabilities
Deposits received
Provision for bonuses
Provision for merchandise warranties
Other provisions
Other
Total current liabilities
Non-current liabilities
Long-term borrowings
Long-term guarantee deposits
Asset retirement obligations
Deferred tax liabilities
Other provisions
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
Foreign currency translation adjustment
Total accumulated other comprehensive income
Non-controlling interests
Total net assets
Total liabilities and net assets

6

Consolidated statements of income (cumulative) and consolidated statements of comprehensive income(cumulative)
Consolidated statements of income (cumulative)(Millions of yen)Three months ended
Three months ended
May 31, 2021
May 31, 2022
Net sales
117,013
135,601
Cost of sales
95,264
113,198
Gross profit
21,74822,402
Selling, general and administrative expenses
16,663
17,145
Operating profit
5,084
5,256
Non-operating income
Interest income
179
Subsidy income–23
Foreign exchange gains
1126
Other33
24
Total non-operating income6283Non-operating expenses
Interest expenses
232
271
Share of loss of entities accounted for using equity
0–
methodOther
215
Total non-operating expenses
235
286
Ordinary profit
4,911
5,053
Extraordinary income
Gain on sale of non-current assets–
54
Compensation income
25–
Subsidy income
359
Other
110
Total extraordinary income
31124
Extraordinary losses
Loss on retirement of non-current assets
045
Head office relocation expenses
856
–
Other
16
15
Total extraordinary losses
874
60
Profit before income taxes
4,069
5,117
Income taxes - current
1,843
1,990
Income taxes - deferred(693)(2,443)
Total income taxes
1,149(452)Profit2,919
5,569
Profit attributable to non-controlling interests
167
192
Profit attributable to owners of parent
2,752
5,377

7

Consolidated statements of comprehensive income (cumulative)

ProfitOther comprehensive income
Foreign currency translation adjustment
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 noncontrolling interests

8

Three months ended
May 31, 2021
2,919(Millions of yen)Three months ended
May 31, 2022
5,569

100

1,036(13)

–86
3,006

1,036
6,606

2,819

6,226

186

379