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

April 14, 2023

CONSOLIDATED FINANCIAL REPORT (Japanese GAAP)FY2022 (June 1, 2022 to May 31, 2023)
Nine Months Ended February 28, 2023
Listed company name:
Pasona Group Inc.
Listing stock exchange:
The Prime Market of the Tokyo Stock Exchange
Securities code number:
2168
URL:
https://www.pasonagroup.co.jp
Representative:
Yasuyuki Nambu, Group CEO and President
For further information contact: Yuko Nakase, Senior Managing Executive Officer and CFO
Tel. +81-3-6734-0200
Scheduled filing date of quarterly report: April 14, 2023
Supplemental materials prepared for quarterly financial results: Yes
Holding of quarterly financial results meeting: No(All amounts are in millions of yen rounded down unless otherwise stated)

1. CONSOLIDATED BUSINESS RESULTS(1) Consolidated Financial Results
Percentage figures are the increase / (decrease) for the corresponding period of the previous fiscal year.

Operating
IncomeNet Sales%

Nine months ended February 28, 2023
Nine months ended February 28, 2022
(Note) Comprehensive income

277,280
270,875

2.4
10.7

10,664
17,3489M FY2022: ¥6,596 million((44.0)%)
Net Income
per Share
Yen

Nine months ended February 28, 2023
Nine months ended February 28, 2022

100.79186.85

Profitattributable toowners of parent

Ordinary
Income%%(38.5)
19.5

11,445 (35.6)
17,760
21.5

%

3,948
7,314

(46.0)
31.0

9M FY2021: ¥11,778 million(50.9%)

Diluted Net
Income per Shareper Share Yen
100.55－(2) Consolidated Financial Position
Total Assets
257,434
203,746

February 28, 2023
May 31, 2022

Net Assets
67,784
67,146Equity Ratio (%)
20.0
24.5

(Reference) Equity
As of February 28, 2023: ¥51,553 million
As of May 31, 2022: ¥49,986 million(Note) In total assets as of May 31, 2022 and February 28, 2023, temporary “Deposits received” from customers related tocontracted projects is recorded in liabilities, and “Cash and deposits” worth it is recorded in assets. For details, please refer to “1.
Information Concerning Quarterly Consolidated Business Results (2) Overview of Consolidated Financial Position”.

2. DIVIDENDS PER SHARE
End ofFirst Quarter
Yen

End ofSecond QuarterEnd ofThird Quarter

FiscalYear-End

Total

Yen

Yen

Yen

Yen

FY20210.00－
0.00
FY2022－
FY2022 (Forecast)(Note) Revision to dividend forecast in the current quarter: None

－

35.00

35.00

－

35.00

35.00

― 1 ―

3. FORECAST OF RESULTS FOR THE FISCAL YEAR ENDING MAY 31, 2023
Percentage figures are the increase / (decrease) for the corresponding period of the previous fiscal year.

Operating
IncomeNet Sales%

FY2022 Full Fiscal Year

385,000

5.2

Ordinary
Income%19,500(11.7)

Profit attributable to Net Income per
Shareowners of parent%

20,200(10.2)

8,700

%

Yen

0.9

222.08(Note) Revision to forecast of results in the current quarter: None

4. NOTES(1) Changes in important subsidiaries during the current period: None
(Changes in specified subsidiaries that caused changes in the scope of consolidation)(2) Application of the special accounting practices in the preparation of quarterly consolidated financial statements:
None(3) Changes of accounting principles, changes in accounting estimates and retrospective restatement
1) Changes of accounting principles in line with revisions to accounting and other standards: None
2) Changes of accounting principles other than 1) above: None
3) Changes in accounting estimates: None
4) Retrospective restatement: None
(4) Number of shares issued and outstanding (Common shares)
1) The number of shares issued and outstanding as of the period-end (including treasury shares)
February 28, 2023: 41,690,300 shares
May 31, 2022: 41,690,300 shares
2) The number of treasury shares as of the period-end
February 28, 2023: 2,515,520 shares
May 31, 2022: 2,516,094 shares
3) Average number of shares for the period (Quarterly cumulative period)
Nine months ended February 28, 2023: 39,174,588 shares
Nine months ended February 28, 2022: 39,148,225 shares(Note)The Company has introduced “Board Benefit Trust (BBT)” and “Employment Stock Ownership Plan (J-ESOP)”. The Company’s
shares in the BBT and J-ESOP, which are reported as treasury shares under Shareholders’ equity, are counted as the number oftreasury shares as of the average number of shares outstanding for the period for the purpose of not including for computing
earnings per share.

The Quarterly Financial Report is not subject to a quarterly review conducted by CPA or audit firm.
Cautionary statement and other explanatory notes
The aforementioned forecasts are based on assumptions and beliefs in light of information available to management
at the time of document preparation and accordingly include certain unconfirmed factors. As a result, readers areadvised that actual results may differ materially from forecasts for a variety of reasons. Please refer to “Overview ofConsolidated Forecasts” .
(Method to obtain supplemental materials for quarterly financial results)
Supplemental materials for the quarterly financial results have been posted on the Company’s website(https://www.pasonagroup.co.jp/ir/) since April 14, 2023.

― 2 ―Consolidated Financial Report
Nine Months Ended February 28, 2023

INDEX

1. Qualitative Information Concerning Quarterly Consolidated Business Results(1) Overview of Consolidated Business Results

･･･

p. 4

(2) Overview of Consolidated Financial Position

･･･

p. 9

(3) Overview of Consolidated Forecasts

･･･

p. 9

(1) Quarterly Consolidated Balance Sheets

･･･

p. 10

(2) Quarterly Consolidated Statements of Income

･･･

p. 12

(3) Quarterly Consolidated Statements of Comprehensive Income

･･･

p. 13

(4) Notes to Going Concern Assumption

･･･

p. 13

(5) Notes on Significant Changes in the Shareholders’ Equity

･･･

p. 13

(6) Additional Information

･･
･･･

P. 13

(7) Segment Information

･･･

p. 14

(8) Important Subsequent Events

･･･

p. 15

2. Quarterly Consolidated Financial Statements and Notes

(
8
)

(
8
(

― 3 ―

1. Qualitative Information Concerning Quarterly Consolidated Business Results(1) Overview of Consolidated Business Resultsi) Business Results for the Nine Months ended February 28, 2023
During the nine months ended February 28, 2023, the Japanese economy continued its gradual
recovery, although there were downside risks to the domestic economy due to global monetary
tightening and rising prices.
Under these circumstances, in the Group, demand for BPO services and outsourcing grew, and demandfor human resources remained strong, with the Career Solutions placement and recruiting services
outperforming the same period of the previous year. In overseas (Global Sourcing), demand for humanresources also recovered, and even excluding the push-up effect of foreign exchange rate effects, profit
expanded from the same period of the previous year. In addition, as domestic tourism is recovering due
to the end of the COVID-19 pandemic, the number of tourists is steadily increasing, partly due to thecontribution of new facilities in the Regional Revitalizations Solutions, which together with the change
in the fiscal year-end of some subsidiaries, resulted in a significant increase in sales.
As a result, consolidated net sales for the nine months ended February 28, 2023 were ¥277,280 million(up 2.4% year-on-year), and gross profit was ¥67,813 million (up 2.7% year-on-year). SG&A expenses
increased from the same period last year to ¥57,148 million (up 17.4% year -on-year), but these weremainly due to outsourcing external growth costs and expenses related to large-scale promotions, as wellas one-time expenses associated with the relocation of the Tokyo office in the first quarter. Operating
income amounted to ¥10,664 million (down 38.5% year-on-year), and ordinary income was ¥11,445
million (down 35.6% year-on-year), while profit attributable to owners of the parent was ¥3,948 million(down 46.0% year-on-year).
9M FY2022 Consolidated Financial Report(June 1, 2022 – February 28, 2023)(Millions of yen)

9M FY2021

9M FY2022

YoY

Net sales

270,875

277,280+2.4%

Operating income

17,348

10,664(38.5)%

Ordinary income

17,76011,445(35.6)%

Profit attributable toowners of parent

7,314

3,948

(46.0)%― 4 ―ⅱ) Business Segment Information (before elimination of intersegment transactions)
HR Solutions
Expert Services (Temporary staffing), BPO Services (Contracting), Others
Net sales: ¥229,463 million Operating income: ¥11,409 million
Expert Services
Net sales: ¥110,876 million
This segment provides expert services (temporary staffing) for a wide range of job types, from new
graduates to senior citizens, in the areas of office work, clerical work, engineers requiring highly
specialized skills, and sales and marketing positions.
Demand for temporary staffing services continued to recover, with orders from a wide range ofindustries, mainly in the financial sector, IT, and manufacturers. However, while net sales in the current
quarter exceeded those of the same period of the previous year, they did not make up for the special
demand of the previous year, resulting in net sales of ¥110,876 million (down 2.8% year-on-year).
KANDEN JOINUS CO., LTD. (which changed trade name to Pasona Joinus Inc. on April 1), whichbecame a subsidiary of the Company on January 5, 2023, will contribute to the Company’s earnings
from the fourth quarter of the current fiscal year.
BPO Services
Net sales: ¥104,718 million
In this segment, the Group provides BPO services by accepting contracts for general affairs,
accounting and finance, reception, sales administration and order placement, and human resources andlabor and payroll services, while consolidated subsidiary Bewith, Inc. provides contact center and BPO
services using its own digital technology.
Demand for BPO services remained strong, and the impact of the previous year's special demand
was offset by the accumulation of new projects and the expansion of service areas for existingtransactions, resulting in higher net sales than in the same period of the previous year. In the transition
to a "with-COVID-19" society following the previous period, new business associated with job
placement assistance and human resources development has been acquired from the public sector, while
demand from the private sector continues to be related to organizational restructuring and DX
promotion such as support for system insourcing through low-code development.
As a result, net sales amounted to ¥104,718 million (up 2.1% year-on-year).
HR Consulting, Education & Training, Others
Net sales: ¥6,580 million
This segment provides management support via freelance professionals and former executives oflisted companies, as well as education and training services commissioned by companies and the public
sector, along with HR tech implementation support services such as talent management.
In the education and training business, training related to the promotion of women's activities
increased from the previous year, and we also strengthened our business related to human capitalmanagement, which is a growing concern mainly among listed companies, by launching the "Human
Capital Management Visualization Support Service" from October 2022. In the advisory consulting
business, recruitment consulting services expanded on the strength of human resources corporate knowhow.
As a result, net sales amounted to ¥6,580 million (up 5.2% year-on-year).
Global Sourcing
Net sales: ¥7,288 million Operating income: ¥456 million
This segment provides a full line of human resources-related services overseas, including placement
and recruiting, temporary staffing and outsourcing, payroll processing, and education and training.
In the North America region, the unit price of placement and recruiting commissions rose andexecutive-level contracts expanded, while, in BPO, the outsourcing of payroll-related operations grew.
In the Asian region, sales of placement and recruiting and temporary staffing services increased due to― 5 ―continued demand for human resources mainly in the semiconductor manufacturing industry in Taiwan.
In addition, performance is recovering in India, Thailand, and Malaysia. In the current period, we arefocusing on cross-border transactions that take advantage of the business characteristics of each of ourgroup companies, and we are promoting business collaboration to enable horizontal development ineach country, such as in IT development work in Vietnam.
As a result, net sales amounted to ¥7,288 million (up 18.6% year-on-year), and operating income
amounted to ¥456 million (up 77.4% year-on-year), partly due to the foreign exchange effects of theweaker yen.
Net sales for the segment consisting of the above businesses amounted to ¥229,463 million (up 0.2%
year-on-year). In terms of profit, operating income was ¥11,409 million (down 18.9% year-on-year),mainly due to a decrease in gross profit margin in Expert Services as a result of an increase in paid
leave taken by active staff and social insurance premiums, along with an increase in SG&A expenses
including personnel expenses.
Career Solutions (Placement/Recruiting, Outplacement)
Net sales: ¥10,305 million Operating income: ¥2,969 million
This segment provides the Placement/Recruiting business, which supports companies' mid-career
recruiting activities and matches them with job seekers, and the Outplacement business, which supports
job transfers based on companies' human resource strategies.
In the Placement/Recruiting business, companies remained highly motivated to hire in the highcareer and specialized job fields that we focus on, and the unit price per contract rose in tandem with
the increase in the number of contracts signed. In addition, the business is expanding due to continued
strong demand for hiring female managers.
In the Outplacement business, demand continued to decline as companies settled down to review
their business structure. Meanwhile, demand for our Safe Placement Total Service, which supports
employee’s future career development, is steadily increasing due to the implementation of Japan’s
revised Act on Stabilization of Employment of Elderly Persons and growing interest in human capitalmanagement.
As a result, the Placement/Recruiting business expanded, but this was not enough to offset the decline
in the Outplacement business, resulting in net sales of ¥10,305 million (down 6.5% year-on-year) andoperating income of ¥2,969 million (down 11.6% year-on-year).
Outsourcing
Net sales: ¥31,022 million Operating income: ¥7,838 million
In this segment, our consolidated subsidiary Benefit One Inc. provides mainly outsourced employee
benefit services to corporations, government agencies, and municipalities.
In the employee benefits business, revenues increased due to external growth from M&As, as wellas an increase in membership of part-time employees of the Public Employees' Mutual Aid Association
during the period. In addition, the use of services by welfare members and related subsidy expenditurecontinued to be slightly below expectations, despite an increase compared to the previous year.
In the healthcare business, while the COVID-19 vaccination support project has been steady andexceeded the initial forecast, the health guidance project is making efforts to encourage those eligiblefor health guidance to receive it, as the impact of COVID-19 remains, and there are delays in theimplementation progress.
In addition, during the nine months ended February 28, 2023, the Company invested in commercials
and other promotional activities, and one-time expenses associated with the relocation of its head office
were recorded in SG&A expenses.
As a result, net sales amounted to ¥31,022 million (up 14.6% year-on-year) and operating income
amounted to ¥7,838 million (down 17.8% year-on-year).
― 6 ―Life Solutions
Net sales: ¥6,114 million Operating income: ¥314 million
This segment includes: the childcare business, which operates licensed and certified childcare centers,
in-house childcare facilities, and childcare for school-age children; the nursing care business, which
provides daycare services and home-visit nursing care; and the life support business, which provides
housekeeping services.
In the nursing care business, the dispatch of care staff to residential treatment facilities for COVID19 infections continued to increase. In the life support business, such as housekeeping services, there
was growth in new customers from general households and in child-rearing family support services
contracted by local governments.
In the childcare business, although the number of in-house daycare centers has been shrinking due
to the spread of telecommuting, the number of facilities operated by school-age children's clubs
increased, and the number of children accepted at licensed childcare facilities grew steadily.
As a result, net sales amounted to ¥6,114 million (up 16.2% year-on-year), and operating income
amounted to ¥314 million (up 76.9% year-on-year).
Regional Revitalization Solutions
Net sales: ¥5,247 million Operating income: ¥(2,119) million
In this segment, the Company is engaged in regional development projects to create new industries
and employment in rural areas in cooperation and collaboration with local residents, local companies,
and local governments.
On Awaji Island, Hyogo Prefecture, Japan, the easing of movement restrictions associated with the
COVID-19 pandemic has restored the flow of people to tourist destinations. During the nine months
ended February 28, 2023, new attractions and facilities were popular from the beginning of the period.
Last October, we also held various events on the island, including a wellbeing-themed cooking
competition, international forum, business contest, and field day, in an effort to attract a wide range of
people from Japan and abroad to interact with each other for the sustainable development of the region.
During the nine months ended February 28, 2023, some subsidiaries changed their fiscal year-ends
from March to May, which was reflected by adding two months' worth of business results, and net sales
increased to ¥5,247 million (up 59.4% year-on-year). However operating loss increased due to theinclusion of the off-season winter season in January and February, resulting in an operating income of¥(2,119) million (¥(1,702) million in the same period of the previous year).
Eliminations and Corporate
Net sales: ¥(4,872) million Operating income: ¥(9,748) million
This includes intergroup transaction elimination and costs to maximize group synergies, incubation
costs for new businesses, and administrative costs as a holding company.
During the nine months ended February 28, 2023, one-time expenses and double rent for the
relocation period were incurred in connection with the office relocation to "PASONA SQUARE" inMinami Aoyama, Tokyo, which took place in the first quarter, as well as increased expenses related tothe partial relocation of head office functions to Awaji Island, Hyogo Prefecture, Japan, and this is being
carried out in stages.
As a result, net sales of ¥(4,872) million (¥(4,788) million in the same period of the previous year)
and operating income of ¥(9,748) million (¥(8,094) million in the same period of the previous year)
were recorded for the elimination of intergroup transactions.

― 7 ―Segment Information (Figures include intersegment sales)
Consolidated Net Sales by Segment(Millions of yen)

9M FY2021

9M FY2022

267,109

270,791+1.4%

229,022

179,861
229,463+0.2%

114,102102,518
6,256

110,876
104,7186,580(2.8)%+2.1%+5.2%

Eliminations and Corporate

6,145
11,021
27,065
5,262
3,291(4,788)

7,288
10,30531,022
6,114
5,247(4,872)

Total

270,875

277,280+18.6%(6.5)%+14.6%+16.2%+59.4%－+2.4%

9M FY2021

9M FY2022

26,96722,218(17.6)%

14,075

11,409(18.9)%

13,818

10,953(20.7)%

257
3,358
9,533
177

456
2,969
7,838
314

+77.4%(11.6)%(17.8)%+76.9%(1,702)(8,094)
17,348(2,119)(9,748)
10,664－－(38.5)%

HR Solutions
Expert Services (Temporary staffing),
BPO Services (Contracting), Others
Expert Services (Temporary staffing)
BPO Services (Contracting)
HR Consulting, Education & Training, Others
Global Sourcing (Overseas)
Career Solutions (Placement / Recruiting, Outplacement)
Outsourcing
Life Solutions
Regional Revitalization Solutions

YoY

Consolidated Operating Income by Segment(Millions of yen)

HR Solutions
Expert Services (Temporary staffing),
BPO Services (Contracting), Others
Expert Services (Temporary staffing)
BPO Services (Contracting)YoY

HR Consulting, Education & Training, Others
Global Sourcing (Overseas)
Career Solutions (Placement/Recruiting, Outplacement)
Outsourcing
Life Solutions
Regional Revitalization Solutions
Eliminations and Corporate
Total

― 8 ―

(2) Overview of the Consolidated Financial Position
Status of Assets, Liabilities, and Net Assets
As of February 28, 2023, the amount of ¥65,085 million (¥10,123 million at the end of the previous
fiscal year) of temporary "deposits received" from customers related to contracted projects was recorded
in liabilities, and the corresponding "cash and deposits" were recorded in assets, for which use by theGroup is restricted.
AssetsTotal assets as of February 28, 2023, stood at ¥257,434 million, an increase of ¥53,688 million or
26.4%, compared with May 31, 2022. That was mainly attributable to an increase of ¥34,750 million in
cash and deposits affected by the above "deposits received" impact, while notes and accounts receivabletrade and contract assets increased by ¥10,280 million due to an increase in contracted projects, andwhile property, plants, and equipment such as regional development projects increased by ¥4,455 million.
Liabilities
Total liabilities as of February 28, 2023, stood at ¥189,650 million, an increase of ¥53,050 million
or 38.8%, compared with May 31, 2022. While deposits received increased by ¥54,619 million due tothe above-mentioned contracted projects, etc., and long-term loans payable increased by ¥5,798 million
due to fundraising, accounts payable-trade decreased by ¥3,179 million due to advanced payments andincome taxes payable decreased by ¥4,819 million due to income taxes payments, etc.
Net Assets
Net assets as of February 28, 2023, stood at ¥67,784 million, an increase of ¥637 million or 0.9%,
compared with May 31, 2022. While profit attributable to owners of the parent was ¥3,948 million,
retained earnings increased by ¥2,551 million due to dividend payments of ¥1,396 million, capitalsurplus decreased by ¥683 million mainly due to the acquisition of treasury shares by our consolidated
subsidiary Benefit One Inc., and there was a decrease of ¥928 million in non-controlling interests,
mainly due to dividends paid by a subsidiary.
As a result, the equity ratio as of February 28, 2023, was 20.0% (24.5% at the end of the previous
fiscal year). Total assets after deducting "cash and deposits" with "deposits received" related tocontracted projects stood at ¥192,348 million (¥193,622 million at the end of the previous fiscal year),while the equity ratio was 26.8% (25.8% at the end of the previous fiscal year).
(3) Overview of Consolidated Forecasts
Although the risk of downward pressure on the domestic economy due to global monetary tightening
and rising prices continues, we expect demand to increase as domestic companies move to eliminate
human resource shortages and improve business productivity. In the fourth quarter, when many Japanesecompanies will be facing the end of the fiscal year and the start of a new fiscal year, we expect to see
increased acquisition of new BPO demand, in addition to the usual demand for human resources, andtherefore, we maintain our full-year consolidated earnings forecast for the fiscal year ending May 31,
2023, as announced on January 13, 2023.

― 9 ―2. Quarterly Consolidated Financial Statements and Notes(1) Quarterly Consolidated Balance Sheets(Millions of yen)

As of May 31, 2022

As of February 28, 2023

ASSETS
Current assets
Cash and deposits

66,951

101,701

Notes and accounts receivable-trade, and contract assets

50,982

61,262Inventories

3,560

3,502

Other

9,719

14,193

Allowance for doubtful accounts

(89)

(119)

131,123

180,541

27,336

31,792

Goodwill

6,833

8,209

Other

16,361

17,825

Total intangible assets

23,19526,035

21,952

18,941

Total current assets
Non-current assets
Property, plant and equipment
Intangible assets

Investments and other assets
Other
Allowance for doubtful accounts

(10)

(11)

Total investments and other assets

21,941

18,93072,47376,757

Total non-current assets
Deferred assets
Total assets― 10 ―

149

135

203,746

257,434

(Millions of yen)

As of May 31, 2022

As of February 28, 2022

LIABILITIESCurrent liabilities

8,735

5,556

Short-term loans payable

9,611

10,197

Accrued expenses

16,016

16,767

Accounts payable-trade

Income taxes payable

5,877

1,058

Deposits received

13,051

67,670

Provision for bonuses

4,741

2,802

19

16

Provision for directors' bonuses

43

16

Other

25,45825,530Total current liabilities

83,555

129,616

Asset retirement obligations

Non-current liabilities
Bonds payable

3,810

3,517

Long-term loans payable

38,77944,577598

600

Provision for directors’ stock benefit

571

566

Net defined benefit liability

2,300

2,437

Asset retirement obligations

2,280

2,538

Other

4,704

5,796

Provision for employees’ stock grant

53,04460,033

136,599

189,650

Capital stock

5,000

5,000

Capital surplus

17,786

17,103Retained earnings

28,23830,790Treasury shares(2,378)(2,378)

Total shareholders' equity

48,64650,515

1,131731

Foreign currency translation adjustment

197

303

Remeasurements of defined benefit plans

10

3

1,339

1,038

Total non-current liabilities
Total liabilities
NET ASSETS
Shareholders' equity

Accumulated other comprehensive income
Valuation difference on available-for-sale securities

Total accumulated other comprehensive income
Share acquisition rights

43

Non-controlling interests

17,155

16,226

Total net assets
Total liabilities and net assets― 11 ―

67,14667,784

203,746

257,434

(2) Quarterly Consolidated Statements of Income(Millions of yen)

9M FY2021

9M FY2022

Net sales

270,875

277,280

Cost of sales

204,837

209,466

Gross profit

66,03867,813

Selling, general and administrative expenses

48,69057,148Operating income

17,348

10,664

Subsidy

21
2
447

27
74
738

Real estate rent

554

177

Other

257

360

1,283

1,378

206
96
465
101

277
49
140
130

Non-operating income
Interest income
Share of profit of entities accounted for using equity method

Total non-operating income
Non-operating expenses
Interest expenses
Commitment fee
Rent expenses on real estates
Other

870

596

17,76011,445Gain on change in equity
Gain on sale of non-current assets

－24
3

213

Gain on sales of investment securities－

731

Gain on sale of shares of subsidiaries and associates

24

17

Total extraordinary income

28

995

Loss on valuation of investment securities

32
2
19

113
－
－

Loss on valuation of shares of subsidiaries and associates

0－

Total non-operating expenses
Ordinary income
Extraordinary income

33

Extraordinary loss
Loss on sale and retirement of non-current assets
Loss on sale of investment securities

54

113

Income taxes-deferred

17,734
6,086
955

12,327
4,735
322

Income taxes

7,042

5,058

Profit10,691

7,268

Profit attributable to non-controlling interests

3,377

3,320

Profit attributable to owners of parent

7,314

3,948

Total extraordinary loss
Income before income taxes
Income taxes-current― 12 ―

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

9M FY2021

9M FY2022

10,691

7,268

1,023

(777)

Foreign currency translation adjustment

86

109

Remeasurements of defined benefit plans

(24)

(3)

0

0

1,086

(671)

11,7786,596

Comprehensive income attributable to owners of the parent

7,893

3,647

Comprehensive income attributable to non-controlling interests

3,885

2,949

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

Share of other comprehensive income of entities accounted
for using equity method
Total other comprehensive income
Comprehensive income
Comprehensive income attributable to(4) Notes to Going Concern Assumption
None(5) Notes on Significant Changes in the Shareholders’ Equity
During the nine months of the current consolidated fiscal year, capital surplus decreased by ¥683
million mainly due to the acquisition of treasury stock by the consolidated subsidiary Benefit One Inc.
As a result, capital surplus amounted to ¥17,103 million at the end of the nine months of the current
fiscal year.
(6) Additional Information
Accounting estimates with the spread of COVID-19 infections
There are no significant changes in assumptions related to the impact of COVID-19 infections,which is described in “Significant accounting estimates” of “Annual Securities Report FY2021 (June
1, 2021 to May 31, 2022).

― 13 ―

(7) Segment Informationi) Nin months ended February 28, 2022
Information regarding net sales, segment income (loss) by reporting segment and revenue
decomposition(Millions of yen)
Reporting segments
HR Solutions

Figures in
Adjustment consolidated
statements(Note 1)of income(Note 2)

ExpertServices,
BPO
Services,
Others

CareerSolutionsOutsourcing

Expert Services

113,671

－

－

－

－

113,671－

113,671

BPO Services

101,111

－

－

－

－

101,111－

101,111

HR Consulting,
Education & Training,
Others

5,318

－

－

－

5,318

－

5,318

Global Sourcing

5,909

－

－

－

－

5,909

－

5,909

Career Solutions－

10,990－－－10,990－10,990Outsourcing－－

26,211－－

26,211－

26,211

Life Solutions

－

－

－

4,891

－

4,891

－

4,891

Regional Revitalization
Solutions

－

－

－

－

2,770

2,770

－

2,770

Revenue from contract
with customers

226,011

10,99026,211

4,891

2,770

270,875－

270,875

－

－

－

－

－

－

－

－

226,011

10,99026,211

4,891

2,770

270,875－

270,875

3,010

30

854

370

521

4,788

(4,788)－

Total

229,022

11,021

27,065

5,262

3,291

275,664(4,788)

270,875

Operating income (loss)

14,075

3,358

9,533

177

(1,702)25,442(8,094)

17,348

Regional
Life
Revitalization
Solutions
Solutions

Total

Net sales

Other revenue
Sales to outside
customers
Intersegment sales
and transfers－

Notes:
1. Adjustments of ¥(8,094) million with Operating income (loss) includes corporate expenses of ¥(8,201)
million which primarily consist of Group management costs relating to the Company and incubation cost forour new business and the elimination of intersegment transactions of ¥106 million.
2. Operating income (loss) is adjusted with operating income under consolidated statements of income.

― 14 ―

ii) Nine months ended February 28, 2023
Information regarding net sales, segment income (loss) by reporting segment and revenue
decomposition(Millions of yen)
Reporting segments
HR Solutions

Figures in
Adjustment consolidated
statements(Note 1)of income(Note 2)

ExpertServices,
BPO
Services,
Others

CareerSolutionsOutsourcing

Expert Services

110,480

－

－

－

－

110,480－

110,480

BPO Services

102,745

－

－

－

－

102,745－

102,745

HR Consulting,
Education & Training,
Others

5,660

－

－

－

－

5,660

－

5,660

Global Sourcing

7,155

－

－

－

－

7,155

－

7,155

Career Solutions－

10,279－－－10,279－10,279Outsourcing－－

30,569－－30,569－30,569Life Solutions

－

－

－

5,738

－

5,738

－

5,738

Regional Revitalization
Solutions

－

－

－

－

4,651

4,651

－

4,651

Revenue from contract
with customers

226,041

10,27930,569

5,738

4,651

277,280－

277,280

Other revenue

－

－

－

－

－

－

－

－

Sales to outside
customers

226,041

10,27930,569

5,738

4,651

277,280－

277,280

Intersegment sales
and transfers

3,422

26

453

375

595

4,872

(4,872)－

Total

229,463

10,30531,022

6,114

5,247

282,152(4,872)

277,280

Operating income (loss)

11,409

2,969

7,838

314

(2,119)20,412(9,748)

10,664

Regional
Life
Revitalization
Solutions
Solutions

Total

Net sales

Notes:
1. Adjustments of ¥(9,748) million with Operating income (loss) includes corporate expenses of ¥(9,928) million
which primarily consist of Group management costs relating to the Company and incubation cost for our new
business and the elimination of intersegment transactions of ¥180 million.
2. Operating income (loss) is adjusted with operating income under consolidated statements of income.

(8) Important Subsequent Events
None― 15 ―