Note: This document has been translated from the Japanese original for reference purposes only. In the event of any discrepancy
between this translated document and the Japanese original, the original shall prevail.

Summary(Translation)
August 5, 2021

FIELDS CORPORATION
Consolidated Financial Results for the Three Months Ended June 30, 2021 (Under Japanese GAAP)
Company name:
Listing:
Securities code:
URL:
Representative:
Inquiries:
Telephone:

FIELDS CORPORATION(URL: https://www.fields.biz/ir/e/)
Tokyo Stock Exchange 1st section
2767
https://www.fields.biz/ir/e/
Hidetoshi Yamamoto, Chairman, President and Group CEO
Hideaki Hatanaka, Corporate Officer, Deputy General Manager, Group Business Management Department+81-3-5784-2111

Scheduled date to file quarterly securities report:
Scheduled date to commence dividend payments:
Preparation of supplementary material on quarterly financial results:
Holding of quarterly financial results briefing:

August 6, 2021
Yes
No
(Yen amounts are rounded down to millions)

1. Consolidated financial results for the three months ended June 30, 2021 (from April 1, 2021 to June 30, 2021)(1) Consolidated operating results (cumulative)(Percentages indicate YoY changes.)
Net sales
Three months ended
June 30, 2021
June 30, 2020
Note: Comprehensive income

Millions of yen

22,9302,341

Operating profit%
879.3(87.8)

Millions of yen

378(2,403)

Profit attributable toowners of parent

Ordinary profit%－－

Millions of yen

559(2,383)%－－

Millions of yen

338(2,910)%－－For the three months ended June 30, 2021: ¥ 517 million [－%]For the three months ended June 30, 2020: ¥ (2,979) million [－%]

Basic earnings
per share

Diluted earnings
per share

Three months ended
June 30, 2021

Yen

Yen

10.47

10.45

June 30, 2020

(87.71)―(2) Consolidated financial position
Total assets
As ofJune 30, 2021
March 31, 2021
Reference: Equity

Net assets

Equity-to-asset ratio

Millions of yen

Millions of yen

55,38329,077%51.4

52,37030,44356.9

As of June 30, 2021: ¥ 28,464 million
As of March 31, 2021: ¥ 29,803 million

2. Cash dividends
Annual dividends
Q1-endFiscal year ended
March 31, 2021
Fiscal year ending
March 31, 2022
Fiscal year ending
March 31, 2022 (Forecast)

Q2-endFiscalyear-end

Q3-end

Total

Yen

Yen

Yen

Yen

Yen

－

0.00

－

10.00

10.00

－

－

－

－

－

(Note) Revisions to the forecast of cash dividends most recently announced: None
We have yet to decide the dividend forecast for the year ending March 31, 2022.

3. Forecast of consolidated earnings for the fiscal year ending March 31, 2022 (April 1, 2021 to March 31, 2022)
As announced in the “Consolidated Financial Results for the Fiscal Year Ended March 31, 2021,” published on May 13, 2021, we
will continue to gather rationale for calculation while reviewing the market environment, and disclose the forecast as soon as it
becomes possible.

1

*Notes(1) Changes in significant subsidiaries during the period (changes in specified subsidiaries resulting in the change in scope of
consolidation): None
(2) Application of accounting methods specific to the preparation of quarterly consolidated financial statements: Yes(3) Changes in accounting policies, changes in accounting estimates, and restatement(i)
Changes in accounting policies due to revisions to accounting standards and other regulations: Yes(ii) Changes in accounting policies due to other reasons other than (3) (i): None(iii) Changes in accounting estimates: None(iv) Restatement: None+(4) Number of issued shares (common shares)
(i)

(ii)

(iii)

Total number of issued shares at the end of the period (including treasury shares)
As of June 30, 2021

34,700,000 shares

As of March 31, 2021

34,700,000 shares

Number of treasury shares at the end of the period
As of June 30, 2021

2,368,300 shares

As of March 31, 2021

2,368,300 shares

Average number of shares outstanding during the period (cumulative from the beginning of the fiscal year)
Three months ended June 30, 2021

32,331,700 shares

Three months ended June 30, 2020

33,183,700 shares* Quarterly financial results reports are exempt from quarterly review by certified public accountants or an audit corporation.

Consolidated Financial Results for the Three Months Ended June 30, 2021

Table of contents of Attached Document
1. Qualitative information on the quarterly financial resultsꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏ 2(1) Analysis of operating results and consolidated earnings forecasts .......................................................................2(2) Overview of financial position .............................................................................................................................3
2. Quarterly consolidated financial statements and important notes ꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏ 4(1) Quarterly consolidated balance sheets .................................................................................................................4(2) Quarterly consolidated statements of income and consolidated statements of comprehensive income................6(3) Quarterly consolidated statements of cash flows .................................................................................................8(4) Notes regarding the quarterly consolidated financial statements .........................................................................9(Notes regarding the operation of the company as a going concern) ..................................................................... 9(Notes regarding occurrence of significant change in amount of shareholders’ equity) ........................................ 9(Application of the accounting method specific to quarterly consolidated financial statements) .......................... 9(Changes in accounting policies)........................................................................................................................... 91

Consolidated Financial Results for the Three Months Ended June 30, 2021

1. Qualitative information on the quarterly financial results(1) Analysis of operating results and consolidated earnings forecastsi.) Overview of the first quarter of the current fiscal year (April to June 2021)
In the first quarter, in response to self-restraint requests from national and local governments due to multiple state of emergency
declarations over the last year, the pachinko industry continued its sales efforts by taking all possible measures to mitigate thespread of infection. More than three years have passed since the regulatory amendment of PS machines in February 2018, andthe market is seeing pachinko and pachislot (hereinafter, “PS”) machines that meet the expectations of fans, and an increase indemand for these by pachinko halls. As a result, the total number of units sold in the market was approximately 400,000, twicethat of the same period in the previous fiscal year.
In the PS business, we released two pachinko machines, PACHINKO GANTZ KIWAMI and PACHINKO ULTRAMAN TARO 2,
and one pachislot machine, PACHISLOT Hyakkaryouran SAMURAI GIRLS. Sales have begun and continue for two pachinkotitles to be delivered in the second quarter, the P BERSERK Musou and the P Uchū Senkan Yamato 2202 Ai no Senshi-tachi. As
a result, the number of units delivered in the first quarter totaled 50,000. In addition, we made steady progress in preparing forthe sale of multiple large-scale titles scheduled for the fiscal year under review.
In Tsuburaya Productions Co., Ltd., merchandising in Japan and China progressed steadily.
Digital Frontier Inc. (hereinafter, “Digital Frontier”) was responsible for CG video production in director Mamoru Hosoda’s
latest title Belle (Ryu to Sobakasu no Hime), released to great acclaim in the first quarter. In addition, orders for CG video
production, mainly by major domestic game companies, and VFX video production from Netflix contributed to an increase in
overall business performance.
Other Group companies also made progress as planned.
As a result, consolidated net sales for the first quarter of the fiscal year under review amounted to ¥22,930 million (up 879.3%
YoY), operating profit was ¥378 million (up ¥2,782 million YoY), ordinary profit was ¥559 million (up ¥2,942 million YoY),
and profit attributable to owners of parent was ¥338 million (up ¥3,249 million YoY).

ii.) Explanation of consolidated earnings forecasts and other forward-looking statements
As mentioned above, the businesses of each Group company are performing steadily. In the PS business, major and other titles
scheduled for delivery by the third quarter have already passed or applied for model certification test, and we are working
diligently to plan sales measures that will contribute to maximizing the number of units delivered. By bringing these products tomarket at the optimal time, we aim to improve our business performance in the fiscal year under review.
Regarding the forecast for the consolidated results, as announced in the “Consolidated Financial Results for the Fiscal Year
Ended March 31, 2021,” published on May 13, 2021, we will continue to collect rationale for calculations while reviewing themarket environment, and disclose the forecast as soon as it becomes possible.

(Note 1) All figures in this report are based on our estimates.
(Note 2) Merchandise names in this report are trademarks or registered trademarks of each company.

2Consolidated Financial Results for the Three Months Ended June 30, 2021

(2) Overview of financial position(Assets)
Current assets increased by ¥2,345 million from the end of the previous fiscal year to ¥41,492 million. This was mainly due
to an increase in trade receivables.
Property, plant and equipment decreased by ¥10 million from the end of the previous fiscal year to ¥4,261 million. This was
mainly due to a decrease in buildings and structures.
Intangible assets decreased by ¥51 million from the end of the previous fiscal year to ¥2,577 million. This was mainly due toa decrease in goodwill.
Investments and other assets increased by ¥728 million from the end of the previous fiscal year to ¥7,051 million. This was
mainly due to an increase in investments in capital.
Consequently, assets increased by ¥3,012 million from the end of the previous fiscal year to ¥55,383 million.
(Liabilities)
Current liabilities increased by ¥5,234 million from the end of the previous fiscal year to ¥16,129 million. This was mainly
due to an increase in liabilities related to payable transactions and trade payables.
Non-current liabilities decreased by ¥855 million from the end of the previous fiscal year to ¥10,176 million. This was mainly
due to a decrease in long-term borrowings.
Consequently, liabilities increased by ¥4,378 million from the end of the previous fiscal year to ¥ 26,305 million.
(Net assets)
Net assets decreased by ¥1,365 million from the end of the previous fiscal year to ¥29,077 million. This was mainly due to adecrease in retained earnings.
(Analysis of cash flows)
Cash and cash equivalents (hereinafter referred to as “cash”) at the end of Q1 of the fiscal year under review decreased by¥ 2,476 million from the end of the previous fiscal year to ¥22,033 million.
(Cash flows from operating activities)
Net cash used in operating activities was ¥443 million (¥256 million provided in the same period of the previous fiscal year).
This was mainly attributable to profit before income taxes of ¥530 million, an increase in trade receivables of ¥979 million, an
increase in trade payables of ¥718 million, and an increase in inventories of ¥711 million.
(Cash flows from investing activities)
Net cash used in investing activities was ¥679 million (¥404 million used in the same period of the previous fiscal year). Thiswas mainly due to payments for investments in capital of ¥543 million and purchase of non-current assets of ¥134 million.
(Cash flows from financing activities)
Net cash used in financing activities was ¥1,368 million (¥1,654 million used in the same period of the previous fiscal year).
This was mainly due to repayments of long-term borrowings of ¥1,024 million and cash dividends paid of ¥313 million.

3

Consolidated Financial Results for the Three Months Ended June 30, 2021

2. Quarterly consolidated financial statements and important notes(1) Quarterly consolidated balance sheets(Unit: Millions of yen)
Q1of current consolidated
fiscal year
(as of June 30, 2021)

Previous consolidated
fiscal year
(as of March 31, 2021)
AssetsCurrent assets
Cash and deposits
Notes and accounts receivable - trade
Notes and accounts receivable - trade, andcontract assets
Electronically recorded monetary claims - operating
Merchandise and finished goods
Work in process
Raw materials and supplies
Other
Allowance for doubtful accounts
Total current assets
Non-current assets
Property, plant and equipment
Land
Other
Total property, plant and equipment
Intangible assets
Goodwill
Other
Total intangible assets

24,6105,325

22,133
-

-

5,896

67
700
3,589
1,901
3,024
(71)

1,637
905
3,942
1,826
5,223
(71)

39,14741,492

1,645
2,626

1,645
2,616

4,272

4,261

1,875
752

1,812
764

2,628

2,577

Investments and other assets
Investment securities
Long-term loans receivable
Other
Allowance for doubtful accounts

1,803
457
4,469
(408)

1,936
245
5,128
(258)

Total investments and other assets

6,322

7,051

13,223

13,89052,37055,383

Total non-current assets
Total assets
Liabilities
Current liabilities
Notes and accounts payable - trade

3,610

4,752

Short-term borrowings
Current portion of long-term borrowings
Income taxes payable
Provision for bonuses
Provision for bonuses for directors (and otherofficers)
Other

253
3,863
100
288

235
3,724
30
147

14

-

2,764

7,238

Total current liabilities

10,895

16,129Non-current liabilities
Long-term borrowings
Retirement benefit liability
Asset retirement obligations
Other

6,837
770
861
2,561

5,952
782
863
2,577

11,031

10,17621,92726,305

Total non-current liabilities
Total liabilities

4Consolidated Financial Results for the Three Months Ended June 30, 2021

(Unit: Millions of yen)
Q1of current consolidated
fiscal year
(as of June 30, 2021)

Previous consolidated
fiscal year
(as of March 31, 2021)
Net assets
Shareholders’ equity
Share capital
Capital surplus
Retained earnings
Treasury shares

7,948
7,579
16,104(1,946)

7,948
7,579
14,694(1,946)

29,68628,276

Accumulated other comprehensive income
Valuation difference on available-for-sale securities
Foreign currency translation adjustment
Remeasurements of defined benefit plans

116
1
(0)

188
1
(2)

Total accumulated other comprehensive income

117

187

7

12

Total shareholders’ equity

Share acquisition rights
Non-controlling interests
Total net assets
Total liabilities and net assets

5

632

600

30,44329,07752,37055,383

Consolidated Financial Results for the Three Months Ended June 30, 2021

(2) Quarterly consolidated statements of income and consolidated statements of comprehensive income
Quarterly consolidated statements of income
Q1 of the year ending March 31, 2022

Net sales
Cost of sales

Q1 of previous consolidated
fiscal year
(April 1, 2020 to June 30, 2020)
2,341
2,000

(Unit: Millions of yen)
Q1 of current consolidated
fiscal year
(April 1, 2021 to June 30, 2021)
22,93019,551Gross profit

340

3,378

Selling, general and administrative expenses

2,744

3,000

Operating profit (loss)(2,403)

378

1
1
2

0
1
139

22

29

Non-operating income
Interest income
Dividend income
Purchase discounts
Share of profit of entities accounted for using equity
methodOther
Total non-operating income
Non-operating expenses
Interest expenses
Foreign exchange losses
Other
Total non-operating expenses
Ordinary profit (loss)
Extraordinary losses
Loss on retirement of non-current assets
Loss on litigation
Losses from coronavirus disease (COVID-19)

23

36

52

207

26
0
5

22
2
2

32

27

(2,383)

559

1
1
562

0
0
27

Total extraordinary losses

566

28

Profit (loss) before income taxes(2,950)530

Income taxes

38

83

Profit (loss)(2,988)

446

(77)

108

(2,910)338

Profit (loss) attributable to non-controlling interests
Profit (loss) attributable to owners of parent

6

Consolidated Financial Results for the Three Months Ended June 30, 2021

Quarterly consolidated statements of comprehensive income
Q1 of the year ending March 31, 2021
Q1 of previous consolidated
fiscal year
(April 1, 2020 to June 30, 2020)(2,988)(Unit: Millions of yen)
Q1 of current consolidated
fiscal year
(April 1, 2021 to June 30, 2021)
446

8
0
0

72
0
(2)

8

70

Comprehensive income(2,979)517

Comprehensive income attributable toComprehensive income attributable to owners ofparentComprehensive income attributable to noncontrolling interests(2,902)

409

(76)

108

Profit (loss)
Other comprehensive income
Valuation difference on available-for-sale securities
Foreign currency translation adjustment
Remeasurements of defined benefit plans, net of tax
Total other comprehensive income

7Consolidated Financial Results for the Three Months Ended June 30, 2021

(3) Quarterly consolidated statements of cash flows(Unit: Millions of yen)
Q1 of previous consolidated
fiscal year

Q1 of current consolidated
fiscal year

(April 1, 2020 to June 30, 2020)(April 1, 2021 to June 30, 2021)(2,950)
193
74

530
177
63

(13)

(3)

(122)

(141)

(14)

(14)

16
(3)

8
(2)

(22)

(29)

26
13,576(1,376)(7,691)

22
(979)
(711)
718

(901)

(225)

Cash flows from operating activities
Profit (loss) before income taxes
Depreciation
Amortization of goodwill
Increase (decrease) in allowance for doubtful
accounts
Increase (decrease) in provision for bonuses
Increase (decrease) in provision for bonuses for
directors (and other officers)
Increase (decrease) in retirement benefit liability
Interest and dividend income
Share of loss (profit) of entities accounted for using
equity method
Interest expenses
Decrease (increase) in trade receivables
Decrease (increase) in inventories
Increase (decrease) in trade payables
Decrease/increase in consumption taxes
receivable/payable
Other, net

(401)

329

Subtotal

388

(257)

Interest and dividends received
Interest paid
Income taxes refund (paid)

3
(26)
(108)

3
(22)
(166)

Net cash provided by (used in) operating activities

256

(443)

Cash flows from investing activities
Purchase of property, plant and equipment
Proceeds from sale of property, plant and equipment
Purchase of intangible assets
Proceeds from sale of investment securities
Payments for investments in capital
Loan advances
Proceeds from collection of loans receivable
Other, net

(60)
0
(65)
4
(175)
(38)
8
(77)

(90)
(44)
18
(543)
23
(43)

Net cash provided by (used in) investing activities

(404)

(679)

Cash flows from financing activities
Net increase (decrease) in short-term borrowings
Repayments of long-term borrowings
Dividends paid
Other, net(1,332)
(320)
(1)

(20)
(1,024)(313)(10)

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(1,654)(1,368)(0)0(1,802)(2,491)

Cash and cash equivalents at beginning of year
Increase in cash and cash equivalents resulting from
inclusion of subsidiaries in consolidation
Cash and cash equivalents at end of period

24,72524,510-14

22,922

22,0338

Consolidated Financial Results for the Three Months Ended June 30, 2021

(4) Notes regarding the quarterly consolidated financial statements(Notes regarding the operation of the company as a going concern)
Not applicable.
(Notes regarding occurrence of significant change in amount of shareholders’ equity)
The Company adopts the “Accounting Standard for Revenue Recognition” (ASBJ Statement No. 29, March 31, 2020), etc. fromthe beginning of Q1 of the current fiscal year. For details, please refer to the (4) Notes regarding the quarterly consolidated
financial statements, 2. Quarterly consolidated financial statements and important notes.
(Application of the accounting method specific to quarterly consolidated financial statements)
Calculation of tax expenses
Tax expenses are calculated by multiplying profit before income taxes by a reasonably estimated effective tax rate after theapplication of tax effect accounting to profit before income taxes for the fiscal year, including the first quarter of the fiscal year
under review.
(Changes in accounting policies)
The Company adopts the “Accounting Standard for Revenue Recognition” (ASBJ Statement No. 29, March 31, 2020,
hereinafter, the “Accounting Standard for Revenue Recognition”) from the beginning of Q1 of the current fiscal year andrecognizes revenue when control of promised goods or services is transferred to customers in an amount that is expected to bereceived in exchange for those goods or services.
Previously, revenue related to PS machine’s agency sales was recognized as revenue in the amount of the agency commission
received from manufacturers when the machines are delivered to pachinko halls and PS machine price is delivered to
manufacturers.
As a result of adoption of the above accounting standard and determining our role (principal or agent) in the provision of goods
or services to customers, for transactions for which we are the sole distributer, we have changed to a method of recognizing
revenues as the price of PS machines sold to pachinko halls when PS machines are shipped, as in the case of agency sales.
With regard to the application of the Accounting Standard for Revenue Recognition, etc., in accordance with the transitional
treatment stipulated in the provisions of paragraph 84 of the Accounting Standard for Revenue Recognition, the cumulative effectof retrospectively applying the new accounting policy prior to the beginning of Q1 of the fiscal year under review has beenadjusted to retained earnings at the beginning of Q1 of the fiscal year under review, and the new accounting policy has been
applied from the beginning of the fiscal year under review. In addition, the Company applies the methodology set forth in the
explanatory note (1), paragraph 86 of the Accounting Standard for Revenue Recognition to account for contract modifications
made prior to the beginning of Q1 under review in accordance with the terms of the contract after reflecting all contract
modifications, and adjusts the cumulative effect to retained earnings at the beginning of Q1 under review. Consequently, net
sales increased by ¥3,279 million, cost of sales increased by ¥2,964 million, and operating profit, ordinary profit, and profit
before income taxes increased by ¥315 million each for Q1 of the current fiscal year. In addition, the balance of retained earnings
at the beginning of the fiscal year decreased by ¥1,385 million. Due to the adoption of the Accounting Standard for Revenue
Recognition, from Q1 of the fiscal year under review, “Notes and accounts receivable - trade,” which had been presented in“Current assets” in the consolidated balance sheet for the previous fiscal year, has been included in “Notes and accounts
receivable - trade, and contract assets.” In accordance with the transitional treatment set forth in paragraph 89-2 of the AccountingStandard for Revenue Recognition, no reclassifications have been made to the prior period under the new presentation method.
Furthermore, in accordance with the transitional treatment stipulated in paragraph 28-15 of the “Accounting Standard for
Quarterly Financial Statements” (ASBJ Statement No. 12, March 31, 2020), revenue from contracts with customers for Q1 ofthe previous fiscal year has not been broken down.
The Accounting Standard for Calculation of Fair Value (ASBJ Statement No. 30, July 4, 2019, hereinafter, the “AccountingStandard for Calculation of Fair Value”) and other standards have been applied from the beginning of Q1 of the current fiscal
year, and in accordance with the transitional treatment stipulated in Article 19 of the Accounting Standard for Calculation of Fair
Value and Article 44-2 of the Accounting Standard for Financial Merchandise (ASBJ Statement No. 10, July 4, 2019), the new
accounting policy stipulated by the Accounting Standard for Calculation of Fair Value will be applied in the future. There is no
impact on the quarterly consolidated financial statements.

9