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 Six Months Ended September 30, 2023
(Based on Japanese GAAP)
November 10, 2023
Company name:XEBIO HOLDINGS CO., LTD.
Stock exchange listing: Tokyo
Stock code:
Representative:

8281
URL
President & CEO

http://www.xebio.co.jp
Tomoyoshi Morohashi

Inquiries:
CFO
Scheduled date to file Quarterly Securities Report:

Kazuhiko Nakamura
November 10, 2023

Scheduled date to commence dividend payments:
Preparation of supplementary material on quarterly financial results:

December 11, 2023
Yes

Holding of quarterly financial results meeting:

Yes

TEL

03-6870-6008(Amounts less than one million yen are rounded down)
1. Consolidated financial results for the six months ended September 30, 2023 (from April 1, 2023 to September 30, 2023)(1) Consolidated operating results (cumulative)
Net sales
Six months ended September 30, 2023
Six months ended September 30, 2022

Millions of yen
120,052
118,028

Percentages indicate year-on-year changes
Profit attributable toOperating profit
Ordinary profit
owners of parent% Millions of yen% Millions of yen% Millions of yen%
1.7
2,968 (26.5)
3,669 (26.8)
2,021 (35.7)
10.2
4,041
92.2
5,010
54.9
3,146
95.1

Earnings per share

Diluted earnings per share

Yen
45.72
71.16

Six months ended September 30, 2023
Six months ended September 30, 2022

Yen
45.47
70.88

(2) Consolidated financial position
Total assets
As of September 30, 2023
As of March 31, 2023

Net assets

Millions of yen
207,157
211,300

Equity ratio

Millions of yen
124,011
122,567

Net assets per share%
59.5
57.7

Yen
2,789.79
2,760.04

2. Cash dividends
Annual dividends per share

Year ended March 31, 2023
Year ending March 31, 2024

1st quarter-end

2nd quarter-end

3rd quarter-end

Fiscal year-end

Yen––

Yen
15.00
15.00

Yen–

Yen
15.00

Yen
30.00

–

15.00

30.00

Year ending March 31, 2024 (Forecast)Total

3. Forecast of consolidated financial results for the year ending March 31, 2024 (from April 1, 2023 to March 31, 2024)
Percentages indicate year-on-year changes
Profit attributable toNet sales
Operating profit
Ordinary profit
Earnings per shareowners of parent
Millions of yen% Millions of yen% Millions of yen% Millions of yen%
Yen
Full year
245,171
2.5
7,280 (12.6)
7,792 (15.7)
3,445 (36.2)
77.92

1

4. Notes(1) Changes in significant subsidiaries during the six months ended September 30, 2023
(changes in specified subsidiaries resulting in the change in scope of consolidation):No(2) Application of special accounting methods for preparing quarterly consolidated financial statements:

No(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:
Changes in accounting policies due to other reasons:

No
No

Changes in accounting estimates:
Restatement of prior period financial statements:

NoNo(4) Number of issued shares (common shares)
Total number of issued shares at the end of the period (including treasury shares)
As of September 30, 2023

47,911,023 shares As of March 31, 2023

47,911,023 shares

Number of treasury shares at the end of the period
As of September 30, 2023

3,700,367 shares As of March 31, 2023

3,700,307 shares

Average number of shares during the period (cumulative from the beginning of the fiscal year)
Six months ended September 30, 2023

44,210,668 shares Six months ended September 30, 2022

244,210,958 shares

Quarterly consolidated financial statements
Consolidated balance sheets(Millions of yen)
As of March 31, 2023

As of September 30, 2023

AssetsCurrent assets
Cash and deposits
Notes and accounts receivable - trade32,89023,41425,973
20,950Operating loans
Merchandise

878
80,714845
82,959

Income taxes refund receivable
Other

157
8,188

173
8,060

Allowance for doubtful accounts

(438)

(441)

145,805

138,52152,44552,896

Accumulated depreciation(38,560)(38,091)

Buildings and structures, net

13,88514,805Land

13,984

14,060

Leased assets
Accumulated depreciation

6,091(1,853)

6,072(2,078)

Leased assets, net

4,238

3,994

Construction in progress
Other

291
22,463

125
23,766(19,477)(19,811)

2,985

3,954

35,38536,939Total current assets
Non-current assets
Property, plant and equipment
Buildings and structures

Accumulated depreciation
Other, net
Total property, plant and equipment
Intangible assets
Goodwill

330

125

Software
Other

3,831
2,622

5,036
2,540

Total intangible assets

6,784

7,702

Investments and other assets
Investment securities

953

1,704

Long-term loans receivable
Deferred tax assets

12
4,574

9
4,418

Guarantee deposits
Leasehold deposits

1,465
14,013

1,380
14,106

Investment propertyAccumulated depreciation

3,120(1,289)

3,120(1,297)

Investment property, net

1,831

1,822

Retirement benefit asset
Other

103
539

127686

Allowance for doubtful accounts

(168)

(262)

Total investments and other assets

23,32523,99465,494

68,636211,300

207,157

Total non-current assets
Total assets3

(Millions of yen)
As of March 31, 2023

As of September 30, 2023

Liabilities
Current liabilities
Notes and accounts payable - trade23,42919,498

Electronically recorded obligations - operating
Short-term borrowings

29,032800

28,643700Current portion of long-term borrowings
Income taxes payable

1,840
1,521

1,844
1,463

Provision for bonuses
Provision for bonuses for directors (and other officers)

1,299
15

1,361
7

Provision for point card certificates
Other

78
14,16068
14,208

Total current liabilities

72,177

67,796

Non-current liabilities
Long-term borrowings

4,772

3,851

5,222
862

4,797
843

59

59

Asset retirement obligations
Other

4,768
870

4,870
928

Total non-current liabilities

16,555

15,35088,732

83,146

Shareholders' equity
Share capital

15,935

15,935

Capital surplus
Retained earnings

16,11996,49916,11997,858Treasury shares(6,498)(6,498)

Total shareholders' equity

122,056

123,414

Valuation difference on available-for-sale securities
Foreign currency translation adjustment

185
197

336
(65)

Remeasurements of defined benefit plans

(415)

(347)

Total accumulated other comprehensive income(32)(75)

Share acquisition rights

341

368

Non-controlling interests

202

303

122,567

124,011

211,300

207,157

Lease liabilities
Retirement benefit liability
Provision for retirement benefits for directors (and otherofficers)

Total liabilities
Net assets

Accumulated other comprehensive income

Total net assets
Total liabilities and net assets

4Consolidated statements of income (cumulative) and consolidated statements of comprehensive income(cumulative)
Consolidated statements of income (cumulative)(Millions of yen)Six months ended

Six months ended

September 30, 2022

September 30, 2023

Net sales
Cost of sales

118,028
72,751

120,052
74,399Gross profit

45,27645,653

Selling, general and administrative expenses

41,23542,684

Operating profit

4,041

2,968

Interest income
Dividend income

21623
7Rental income from real estate
Foreign exchange gains

345
623

355
396

Outsourcing service income
Subsidy income

151
83

184
–

Non-operating income

Other

169

215

1,401

1,183

Interest expenses
Rental expenses on real estate

48
219

51
238

Commission expenses
Other

124
39

151
40

Total non-operating income
Non-operating expenses

Total non-operating expenses

433

482

5,010

3,669

Gain on sale of non-current assets
Insurance claim income

3108

035

Settlement income
Margin deposit cancellation gain

72
8––

Gain on reversal of share acquisition rights
Gain on sale of investment securities

102–

04

Total extraordinary income

Ordinary profit
Extraordinary income

294

41

Extraordinary losses
Loss on retirement of non-current assets

10324

Loss on sale of non-current assets
Impairment losses

0–02

Loss on disaster
Loss on cancellation of rental contracts–21138

126

48

Profit before income taxes

Total extraordinary losses

5,178

3,662

Income taxes - current
Income taxes - deferred

1,694
239

1,493
62

Total income taxes

1,933

1,556

Profit

3,244

2,106

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

59885

3,146

2,021

Consolidated statements of comprehensive income (cumulative)(Millions of yen)

ProfitOther comprehensive income

Six months ended

Six months ended

September 30, 2022

September 30, 2023

3,244

2,106

Valuation difference on available-for-sale securities
Foreign currency translation adjustment

66(762)150(246)

Remeasurements of defined benefit plans, net of tax

2168(675)(27)

Comprehensive income

Total other comprehensive income

2,569

2,079

Comprehensive income attributable toComprehensive income attributable to owners of parent

2,470

1,978

98

101

Comprehensive income attributable to non-controllinginterests

6

Consolidated statements of cash flows(Millions of yen)

Cash flows from operating activities
Profit before income taxes

Six months ended

Six months ended

September 30, 2022

September 30, 2023

5,178

3,662

1,909
–2,053
2

Amortization of goodwill
Increase (decrease) in allowance for doubtful accounts

202
83

205
97

Increase (decrease) in provision for bonuses
Increase (decrease) in provision for bonuses for directors (and(88)61(8)(7)Depreciation
Impairment losses

other officers)
Increase (decrease) in provision for point card certificates

(0)

(10)

Decrease(increase) in contract liability
Increase (decrease) in retirement benefit liability

(55)
(1)

7(19)

Decrease (increase) in retirement benefit asset
Interest and dividend income

(0)
(28)

(24)
(30)

Interest expenses
Insurance claim income

48(108)51(35)

Settlement income
Subsidy income

(72)
(83)

––

Margin deposit cancellation gain
Gain on reversal of share acquisition rights

(8)
(102)

–(0)

Loss (gain) on sale of investment securities
Loss on retirement of non-current assets–103(4)24

Gain on sale of non-current assets
Loss on sale of non-current assets

(3)
0(0)
0

Loss on disaster
Loss on cancellation of rental contracts

–
21

138

Decrease (increase) in trade receivables
Decrease (increase) in operating loans receivable

846
49

2,604
33

Decrease (increase) in inventories
Increase (decrease) in trade payables(509)(2,605)(2,044)(4,412)

Increase (decrease) in accounts payable - other
Increase (decrease) in accrued consumption taxes(674)
1,161(428)(161)

Other, net(1,042)(439)

Subtotal

4,212

1,206

Interest and dividends received

2830

(51)
(2,210)(51)(1,585)

Income taxes refund
Proceeds from insurance income

108
108

157
35

Settlement received
Subsidies received

72
83––

2,351

(205)

Interest paid
Income taxes paid

Net cash provided by (used in) operating activities

7

(Millions of yen)

Cash flows from investing activities
Purchase of property, plant and equipment

Six months ended

Six months ended

September 30, 2022

September 30, 2023

(1,272)(2,649)(94)
20(16)
13(1,398)–(1,345)
(519)

–
7

17
6

Payments of leasehold and guarantee deposits
Proceeds from refund of leasehold and guarantee deposits

(98)
218

(454)
445

Refund of guarantee deposits received
Guarantee deposits received

(6)
11(5)
8

Other, net

214

148

(2,399)(4,350)30(5,061)

(100)
(916)

Proceeds from long-term borrowings
Repayments of lease liabilities

170
(412)

–
(431)

Purchase of treasury shares
Dividends paid

(0)
(662)

(0)
(673)

(0)

–

Net cash provided by (used in) financing activities(5,937)(2,121)

Effect of exchange rate change on cash and cash equivalents

(260)

(238)

Payments for retirement of property, plant and equipment
Proceeds from sale of property, plant and equipment
Purchase of intangible assets
Purchase of investment securities
Proceeds from sale of investment securities
Proceeds from collection of loans receivable

Net cash provided by (used in) investing activities
Cash flows from financing activities
Net increase (decrease) in short-term borrowings
Repayments of long-term borrowings

Purchase of shares of subsidiaries not resulting in change inscope of consolidation

Net increase (decrease) in cash and cash equivalents(6,245)(6,916)

Cash and cash equivalents at beginning of period

39,89332,890Cash and cash equivalents at end of period

33,64825,9738