FOR TRANSLATION PURPOSE ONLY
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 version and the original Japanese version, the latter shall prevail.
March 16, 2021

Summary of Consolidated Financial Results
for the Second Quarter of the Fiscal Year 2021
[Japanese standards] (Consolidated)

Company name:
Stock exchange listing:Stock code:
Representative:
Inquiries:

Bushiroad Inc.
Tokyo
7803
URL:
https://bushiroad.co.jp/
President and COO
Yoshitaka Hashimoto
Director and General Manager of Business Administration
Toshiyuki Muraoka
TEL: 81-3-4500-4350
Scheduled date to file Quarterly Securities Report:
March 16, 2021
Scheduled date to commence dividend payments:
N/A
Preparation of supplementary material on financial results:
Yes
Holding of financial results meeting:Yes(From the viewpoint of preventing wider spread of COVID-19, this meeting has been cancelled, but instead, President will explain the quarterly
financial results by video streaming.)(Amounts less than one million yen are rounded down)

1. Consolidated financial results of the second quarter of FY2021 (August 1, 2020 – January 31, 2021)(1) Consolidated operating results (cumulative)(Percentages indicate year-on-year changes)
Net sales

Operating profit

Net profit attributable toowners of parent

Ordinary profit

Million yen%

Million yen%

Million yen%

Million yen%

18,026
17,429

3.4
−

158
2,233

−92.9
−

162
2,260

−92.8
−

−191
1,278

−
−

2Q of FY2021
2Q of FY2020(Note) Comprehensive income 2Q of FY2021: −178 million yen [−%]
2Q of FY2020: 1,525 million yen [−%]Net profit per share

2Q of FY2021
2Q of FY2020

Diluted net profit per share
yen

yen

−11.86
79.79

−
75.00

(Note) The Company has since FY2021 (current term) changed its fiscal year end from July 31 to June 30, and unified the whole Group’s
fiscal year end as June 30.

(2) Consolidated financial position
Total assets

2Q of FY2021
FY2020(Reference) Shareholders equity

Net assets

Equity ratio

Million yen

Million yen%

39,72434,518

13,69813,871

32.8
38.3

2Q of FY2021: 13,028 million yen
FY2020:13,222 million yen

2. Cash dividends
Annual dividends per share
1Q-end2Q-end3Q-endYen

FY2020
FY2021
FY2021 (forecasts)

－
－

0.00
0.00

Year-end

Total
Yen

Yen

－

0.00

0.00

－

0.00

0.00

Yen

Yen

(Note) Revisions to dividend forecasts published most recently: No
The Company has since FY2021 (current term) changed its fiscal year end from July 31 to June 30. Therefore, for FY2021 being a transitional period, theCompany set its record dates of interim dividend and year-end dividend as January 31 and June 30, respectively.

3. Consolidated performance forecasts for FY2021 (August 1, 2020 – June 30, 2021)

Consolidated financial forecast for FY2021 is undecided because rational calculation is difficult. Such forecast will be madepublic promptly, when it becomes possible.

FOR TRANSLATION PURPOSE ONLY
*Notes(1) Changes in significant subsidiaries during the current quarter consolidated cumulative period(changes in specified subsidiaries resulting in the change in scope of consolidation):No(2) Application of special accounting methods to the preparation of quarterly consolidated financial statement:

Yes(3) Changes in accounting policies, changes in accounting estimates, and restatement of prior period financial statements① Changes in accounting policies due to revisions to accounting standards and other regulations: No② Changes in accounting policies due to other reasons:No③ Changes in accounting estimates:
No④ Restatement of prior period financial statements:
No(4) Number of issued shares (common shares)① Total number of issued shares at the end of the period (including treasury stock)
2Q of FY2021:
16,345,400 shares FY2020:
16,311,400 shares② Number of treasury stock at the end of the period
2Q of FY2021:
180,526 shares FY2020:③ Average number of shares during the period (quarterly cumulative)
2Q of FY2021:
16,153,727 shares 2Q of FY2020:

180,526 shares
16,020,363 shares* Quarterly summary of financial results is not included in a quarterly review by a certified public accountant or an auditing firm.
* Explanation regarding appropriate use of the earnings forecast and other special notes
Descriptions about the future such as performance forecasts contained in this document are based on information currently
available to the Company and certain presumptions considered as reasonable, and those are not intended to indicate theCompany should assure that it would realize such forecasts. Meanwhile, actual performance in the future may differ
substantially, influenced by a wide variety of factors.
(How to obtain materials for quarterly financial results briefing)Video streaming will be provided on the Company's website (scheduled on March 16, 2021, Tuesday, after 15:30 (JST)).

Bushiroad Inc. (7803)

FOR TRANSLATION PURPOSE ONLY

Summary of Consolidated Financial Results for the Second Quarter of FY2021○ Table of Contents: Appendix
1. Qualitative Information regarding the Current Quarter ..................................................................................................... 2(1) Descriptions regarding operating results...................................................................................................................... 2(2) Descriptions regarding financial position .................................................................................................................... 3(3) Cash flow status ........................................................................................................................................................... 4(4) Descriptions regarding future prospects such as consolidated performance forecasts ................................................... 4
2. Quarterly Consolidated Financial Statements and Principal Notes ................................................................................... 5(1) Quarterly Consolidated Balance Sheets ....................................................................................................................... 5(2) Quarterly Consolidated Statements of Income and Statements of Comprehensive Income ........................................ 7
Quarterly Consolidated Statements of Income
For the second quarter consolidated cumulative period .......................................................................................... 7
Quarterly Consolidated Statements of Comprehensive Income
For the second quarter consolidated cumulative period .......................................................................................... 8(3) Quarterly Consolidated Cash Flow Statements ................................................................................................... 9(4) Notes on Quarterly Consolidated Financial Statements ............................................................................................... 10(Going Concern Assumption)...................................................................................................................................... 10(Notes in Case of Significant Changes in the Amount of Shareholders’ Equity) ........................................................ 10(Application of Special Accounting Methods to the Preparation of Quarterly Consolidated Financial Statements) .. 10(Segment Information, etc.) ........................................................................................................................................ 10(Significant Post-Balance Sheet Events) ............................................................................................................ 111

Bushiroad Inc. (7803)

FOR TRANSLATION PURPOSE ONLY

Summary of Consolidated Financial Results for the Second Quarter of FY2021

1. Qualitative Information regarding the Current Quarter(1) Descriptions regarding operating results
During the current second quarter consolidated cumulative fiscal period, Japanese economy has regained a certain level ofactiveness with economic activities resuming under so-called “With Corona” situation, but because of reissuance of the state of
emergency in January, 2021, due to the third wave of domestic widespread of COVID-19, economic activities have again
suffered from various restrictions mainly on food-service and events.
Amid such an environment, our Group has developed its business activities under “IP Developer” strategy, based on, in
addition to rolling out new IP promotion and media-mix such as “D4DJ”, a range of plans in each business department andeach IP project in consideration of present With Corona situation as well as After Corona in the future.
As a result, consolidated performance of the current second quarter consolidated cumulative period was as follows. Net
sales: 18,026,394,000 yen (increase by 3.4% YoY); Operating profit: 158,829,000 yen (decrease by 92.9% YoY); Ordinary
profit: 162,810,000 yen (decrease by 92.8% YoY); and Net loss attributable to owners of parent: 191,532,000 yen (as opposed
to Net profit attributable to owners of parent of 1,278,301,000 yen in the same period of the previous year).
Operating results of individual business segments are as follows. Meanwhile, segmental net sales include sales to externalcustomers.
1. Digital IP business
Digital IP business segment has four departments: TCG (Trading Card Games) Dept., MOG (Mobile Online Games)
Dept., MD (Merchandising) Dept., and Media Dept.
① TCG Dept.
Overseas sales grew up mainly in East Asia, staying at high level mainly with the flagship TCG “Weiss Schwarz”. In
addition, articles branded with “Assault Lily” included in “Weiss Schwarz”, and those with “D4DJ” included in “Rebirthfor you” were released, whereby business development combined as a new IP media-mix was carried out. As for“Cardfight!! Vanguard”, new series of “CARDFIGHT!! VANGUARD overDress” starting in April, 2021, was publicizedin January, 2021, which marked as a full-swing promotion development towards rebooting the IP business celebrating its
10th anniversary.
② MOG Dept.
“D4DJ Groovy Mix” (in-house IP / in-house distribution) was promoted, in addition to a large-scale event within thegame collaborated with “Monster Hunter”, also along with development as a music platform such as implementing a lotof original works including “hololive production”, “Nana Mizuki”, and “Momoiro Clover Z”, which led to sales growth.
Meanwhile, new application games “ARGONAVIS from BanG Dream! AAside” (in-house IP / external distribution) and“Assault Lily Last Bullet” (external IP / external distribution) were released on January 14, 2021, and on January 20,
2021, respectively. In addition, “GRISAIA -CHRONOS REBELLION-” (external IP / in-house distribution) was
released on November 26, 2020, developed by Frontwing Lab. having business tie-up with us.
③ MD Dept.
Affected by scale-down, postponement and abortion of real events due to reissuance of the state of emergency, sales ofthis department got softened. Despite such a situation, sales of capsule toys has maintained steady growth, where a variety
of topical articles ware released such as “160% Animals”, “Trap” and “Majide Naru Drum” from the original capsule toy
brand “TAMA-KYU”.
④ Media Dept.
Bushiroad Media opened “COMIC BUSHIROAD WEB”, a website where comics can be enjoyed for free, onJanuary 22, 2021. As a place for IP development/creation, the site will distribute new series for 12 months successively.
Meanwhile, concerning TV animation, some large depreciation was incurred due to starting broadcast of “Assault Lily
BOUQUET” and “D4DJ First Mix” from October, 2020.
These operations resulted in Net sales of 13,359,110,000 yen (increase by 9.5% YoY) and Segment profit of
27,864,000 yen (decrease by 97.8% YoY).

2

Bushiroad Inc. (7803)

FOR TRANSLATION PURPOSE ONLY

Summary of Consolidated Financial Results for the Second Quarter of FY2021

2. Live IP businessLive IP business segment has two departments: Music Dept. and Sports Dept.
① Music Dept.
As for music software, 12 single-CDs and 2 albums, mainly those of “BanG Dream!” and “D4DJ” were released andmaintained steady growth, notably Poppin’Party 16th Single “Photograph” achieved No.1 on the Oricon weekly singles
ranking. As for live shows/stages, music live shows/stages of “BanG Dream!”, “Girls☆Musical Revue Starlight” and“D4DJ” were organized several times with audience, and further, the first stage of new IP “ROAD59-SHINJIDAININKYOU TOKKU” was organized on December 24-27, 2020, with audience. However, reissuance of the state of
emergency had some impact such as postponement of a portion of events initially planned to be held in January, 2021.
In addition, Hikosen Theater Company expects to show a deficit in the immediate future because of aborting morethan 180 stages from August, 2020 to March, 2021, due to widespread of COVID-19, and as such its goodwill has been
fully booked as impairment loss considering uncertainty and other factors under the environment of the new coronavirus.
② Sports Dept.
One of the biggest events organized by New Japan Pro-Wrestling, “Varsan Presents WRESTLE KINGDOM 15 in
Tokyo Dome” (Ittenyon and Ittengo) was held on January 4-5, 2021, attracting 20,490 spectators. Besides, New Japan
Pro-Wrestling organized 53 events. Also, number of paid subscribers of the video streaming service “New Japan ProWrestling World” reached 116,000, the highest ever, in January, 2021.
In addition, STARDOM, a brand of women’s pro-wrestling, organized 26 events and also played a part in“WRESTLE KINGDOM 15” as its sponsoring matches.
These operations resulted in Net sales of 4,667,284,000 yen (decrease by 10.7% YoY) and Segment profit of 124,453,000
yen (decrease by 86.9% YoY).
(2) Descriptions regarding financial position(Assets)
Total assets was 39,724,916,000 yen at the end of the current second quarter consolidated fiscal period, i.e. increaseby 5,206,566,000 yen as compared to the end of the previous consolidated fiscal year. This is mainly due to increase in
cash and deposits of 4,693,587,000 yen and increase in work in progress of 575,320,000 yen.
(Liabilities)
Total liabilities was 26,026,706,000 yen at the end of the current second quarter consolidated fiscal period, i.e. increase by
5,379,804,000 as compared to the end of the previous consolidated fiscal year. This is mainly due to increase in convertiblebond-type bonds with subscription rights to shares of 5,000,000,000 yen.
(Net assets)
Total assets was 13,698,210,000 yen at the end of the current second quarter consolidated fiscal period, i.e. decreaseby 173,238,000 yen as compared to the end of the previous consolidated fiscal year. This is mainly because, both capitalstock and legal capital surplus increased by 2,550,000 yen respectively due to execution of subscription rights to shares(stock option), whereas retained earnings decreased by 191,532,000 yen due to allocation of net loss attributable toowners of parent.

3

Bushiroad Inc. (7803)

FOR TRANSLATION PURPOSE ONLY

Summary of Consolidated Financial Results for the Second Quarter of FY2021(3) Cash flow status
Cash and cash equivalents (hereinafter, "business fund") at the end of the current second quarter consolidated fiscal
period was 24,971,689,000 yen (increase by 4,819,291,000 yen from the end of the previous consolidated fiscal year).
Each cash flow status and factors thereof in the current second quarter consolidated fiscal period consolidated fiscal
year are as follows.
(Cash flows from operating activities)
Business fund used as a result of operating activities was 883,066,000 yen. Main sources of income weredepreciation of 269,104,000 yen, impairment loss of 214,339,000 yen and increased notes and accounts payable-trade of392,201,000 yen; and main sources of spending were increased inventories of 648,083,000 yen and income taxes paid of631,788,000 yen.
(Cash flows from investing activities)
Business fund used for investment activities was 125,909,000 yen. Main source of spending was purchase of noncurrent assets of 265,014,000 yen.
(Cash flows from financing activities)
Business fund resulting from financial activities was 5,811,065,000 yen. Main source of income was proceeds fromissuance of bonds of 4,985,183,000 yen.
(4) Descriptions regarding future prospects such as consolidated performance forecasts
Prospects for the future have still been unpredictable, as widespread of COVID-19 and other factors give rise toconcerns about impacts on economic activities.
In such a situation, our Group will put its efforts to establishing a profitability model by group-wide media-mix,
creating IP even faster, promoting DX (Digital transformation) while producing online live shows in the Live IP businesssegment, producing electronic comics, enhancing EC (online sales), and putting resources into application developmentin the Digital IP business segment, while retaining advantages of offline and analog dimensions.
However, consolidated financial forecast for FY2021 is undecided because rational calculation is difficult, aswidespread of COVID-19 and other factors are expected to have impacts on postponement and cancellation of prowrestling events, music live shows and other events, on consumer activities with stores suspending operation and othersituations, and on schedules of content production and MD production/sales. Such forecast will be made public
promptly, when it becomes possible.

4

Bushiroad Inc. (7803)

FOR TRANSLATION PURPOSE ONLY

Summary of Consolidated Financial Results for the Second Quarter of FY2021

2. Quarterly Consolidated Financial Statements and Principal Notes(1) Quarterly Consolidated Balance Sheets(Thousand yen)Previous consolidated
fiscal year
(Jul. 31, 2020)

AssetsCurrent assets
Cash and deposits
Notes and accounts receivable - trade
Merchandise and finished goods
Work in process
Supplies
Other
Allowance for doubtful accounts
Total current assets
Non-current assets
Property, plant and equipment
Buildings and structures, net
Tools, furniture and fixture (net)
Vehicles (net)Land
Leased assets
Other, net
Total property, plant and equipment
Intangible assets
Software
Software in progress
Goodwill
Other
Total intangible assets
Investments and other assets
Investment securities
Long-term loans receivable
Deferred tax assets
Other
Allowance for doubtful accounts
Total investment and other assets
Total non-current assets
Deferred assets
Stock issuance cost
Total deferred assets
Total assets

5

Current second quarter
consolidated fiscal period(Jan. 31, 2021)

21,895,997
4,511,162
668,798
1,492,287
76,097
1,646,323−31,165
30,259,501

26,589,584
4,519,949
751,016
2,067,608
66,524
1,780,525−30,31135,744,896

467,948
106,597
56,625352,281
16,54572,352
1,072,350

440,778
86,94345,133
316,281
20,58253,146
962,864

163,286
36,220206,257
56,302462,066

95,365−
3,881
183,151
282,398

1,623,600
252,446
349,665
523,912−47,028
2,702,596
4,237,013

1,558,965
250,306
443,075
503,870−37,624
2,718,594
3,963,858

21,835
21,83534,518,350

16,161
16,161
39,724,916

Bushiroad Inc. (7803)

FOR TRANSLATION PURPOSE ONLY

Summary of Consolidated Financial Results for the Second Quarter of FY2021(Thousand yen)Previous consolidated
fiscal year
(Jul. 31, 2020)

Liabilities
Current liabilities
Accounts payable - trade
Accounts payable-other
Income taxes payable
Current portion of long-term loans payable
Provision for bonuses
Other
Total current liabilities
Non-current liabilities
Long-term loans payable
Convertible bond-type bonds with subscription rights to shares
Provision for directors’ retirement benefits
Liabilities on retirement benefits
Deferred tax liabilities
Other
Total non-current liabilities
Total liabilities
Net assets
Shareholders' equity
Capital stock
Capital surplus
Retained earnings
Treasury stock
Total shareholders' equity
Accumulated other comprehensive income
Valuation difference on available-for-sale securities
Foreign currency translation adjustment
Total accumulated other comprehensive income
Non-controlling interests
Total net assets
Total liabilities and net assets

6

Current second quarter
consolidated fiscal period(Jan. 31, 2021)

3,435,519
1,619,033
689,4033,757,191
84,379593,907
10,179,434

3,826,468
1,378,870
233,362
4,515,135
82,647444,357
10,480,841

10,198,164−
44,91059,87596,741
67,775
10,467,466
20,646,901

10,284,818
5,000,000
52,91363,582
94,311
50,23915,545,864
26,026,706

3,092,823

3,095,373

3,029,593
7,342,609−324,679
13,140,347

3,032,143
7,151,077−324,679
12,953,915

54,17928,25682,435648,665
13,871,448
34,518,350

48,68026,03474,714
669,580
13,698,210
39,724,916

Bushiroad Inc. (7803)

FOR TRANSLATION PURPOSE ONLY

Summary of Consolidated Financial Results for the Second Quarter of FY2021(2) Quarterly Consolidated Statements of Income and Statements of Comprehensive Income(Quarterly Consolidated Statements of Income)(For the second quarter consolidated cumulative period)(Thousand yen)

Net sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Operating profit

Previous second quarter
consolidated cumulative
period(Aug 1, 2019 - Jan 31, 2020)

Current second quarter
consolidated cumulative
period(Aug 1, 2020 - Jan 31, 2021)

17,429,354
9,282,501
8,146,853
5,913,786
2,233,067

18,026,394
11,400,582
6,625,812
6,466,983
158,829

19,573
5,204
13,9653,033
2,363
44,1408,887−
23,326
46,914
11,71390,841

11,122−5,996−
117,1202,260,088

30,32433,206
5,673
14,816
2,839
86,859
162,81033,81733,817−−−−26,28826,2882,267,617
872,084
1,395,533
117,231
1,278,301

2,609
214,339−
216,949−54,139
116,478−170,617
20,914−191,532

Non-operating profit

Interest and dividends income
Share of profit of entities accounted for using equity method
Foreign exchange gains
Subsidy income
Other
Total non-operating income
Non-operating expenses

Interest expenses
Share of loss of entities accounted for using equity method
Amortization of stock issuance cost
Bond issuance cost
Other
Total non-operating expenses
Ordinary profit
Extraordinary profit

Insurance income
Total extraordinary profit
Extraordinary losses

Loss on valuation of investment securities
Impairment loss
Loss on disaster
Total extraordinary losses
Net profit (loss) before income taxes and minority interests
Income taxes
Net profit (loss)
Net profit (loss) attributable to non-controlling shareholders
Net profit (loss) attributable to owners of parent

7

Bushiroad Inc. (7803)

FOR TRANSLATION PURPOSE ONLY

Summary of Consolidated Financial Results for the Second Quarter of FY2021(Quarterly Consolidated Statements of Income)(For the second quarter consolidated cumulative period)(Thousand yen)

Net profit (loss)
Other comprehensive income (loss)
Valuation difference on available-for-sale securities
Foreign currency translation adjustment
Total other comprehensive income
Comprehensive income (loss)(detail)Comprehensive income (loss) attributable to owners of parent
Comprehensive income (loss) attributable to non-controlling interests

8

Previous second quarter
consolidated cumulative
period(Aug 1, 2019 - Jan 31, 2020)

Current second quarter
consolidated cumulative
period(Aug 1, 2020 - Jan 31, 2021)

1,395,533−170,617

124,6855,019
129,705
1,525,238−5,499−2,221−7,720−178,338

1,408,006
117,231−199,253
20,914

Bushiroad Inc. (7803)

FOR TRANSLATION PURPOSE ONLY

Summary of Consolidated Financial Results for the Second Quarter of FY2021(3) Quarterly Consolidated Cash Flow Statements(Thousand yen)Previous second quarter
consolidated cumulative
period(Aug 1, 2019
- Jan 31, 2020)

Current second quarter
consolidated cumulative
period(Aug 1, 2020
- Jan 31, 2021)

2,267,617
106,347
−
1,168
−520
4,281
2,807
−19,573
11,122−5,204
26,288−33,817−95,172−68,184−54,139
269,104
214,339
23,280−10,259−3,051
3,706−8,88730,32433,206−−
2,609−7,560−648,083−959,716

392,201

Other−155,001−492,445

Subtotal

1,272,786−255,654

19,38932,677−11,203−26,288
33,817−566,822
721,679−28,300−−−631,788−883,066−1,028,412
879,295−162,978−684,834
100,000−20,187950−−11,081−927,249−1,225,407
1,354,293−265,014
−
−
−
2,191
−28,641
36,669−125,909

Effect of exchange rate change on cash and cash equivalents

3,450,000−1,018,482−
648,585−5,096
3,075,006
4,365

2,700,000−1,855,402
4,985,183
5,100−23,816
5,811,065
17,201

Net increase (decrease) in cash and cash equivalents

2,873,802

4,819,291

Cash and cash equivalents at beginning of period

12,566,581

20,152,398

Cash and cash equivalents at 2Q end

15,440,384

24,971,689

Cash flows from operating activities
Net profit (loss) before income taxes and minority interests
Depreciation
Impairment loss
Amortization of goodwill
Increase (decrease) in allowance for doubtful accounts
Increase (decrease) in reserve for bonuses
Increase (decrease) in liabilities for retirement benefits
Interest and dividends income
Interest expenses
Equity in (earnings) losses of affiliates
Loss on disaster
Insurance income
Loss (gain) on valuation of investment securities
Decrease (increase) in notes and accounts receivable-trade
Decrease (increase) in inventories
Increase (decrease) in notes and accounts payable-trade

Interest and dividends income received
Interest expenses paid
Payments associated with disaster loss
Proceeds from insurance income
Income taxes paid
Net cash provided by (used in) operating activities
Cash flows from investing activities
Payments into time deposits
Proceeds from withdrawal of time deposits
Purchase of non-current assets
Purchase of investment securities
Proceeds from sales of investment securities
Payments of loans receivableCollection of loans receivable
Purchase of investments in subsidiaries resulting in change in scope of consolidation
Other
Net cash provided by (used in) investing activities
Cash flows from financing activities
Proceeds from long-term loans payable
Repayments of long-term loans payable
Proceeds from issuance of bonds with subscription rights to shares
Proceeds from issuance of common stock
Other
Net cash provided by (used in) financing activities

9

Bushiroad Inc. (7803)

FOR TRANSLATION PURPOSE ONLY

Summary of Consolidated Financial Results for the Second Quarter of FY2021(4) Notes on Quarterly Consolidated Financial Statements(Going Concern Assumption)
Not applicable.
(Notes in Case of Significant Changes in the Amount of Shareholders’ Equity)
Not applicable.
(Application of Special Accounting Methods to the Preparation of Quarterly Consolidated Financial Statements)
Tax expenses are calculated by multiplying the net profit before income taxes by a reasonably evaluated effective
tax rate on the net profit before income taxes for the consolidated fiscal year including the current second quarter
consolidated fiscal period.
(Segment Information, etc.)【Segment Information】
I

Previous second quarter consolidated cumulative period (Aug 1, 2019 - Jan 31, 2020)

1. Information on net sales and profit/loss of each reportable segment
Reportable segments

Net sales
Sales to external customers
Inter-segment sales or transfer
Total
Segment profit (loss)

Digital IP
business

Live IPbusiness

12,204,996
176,970
12,381,966
1,262,863

5,224,358
199,239
5,423,598
953,309

Adjustment
Total

17,429,354
376,210
17,805,564
2,216,173(Note 1)(Thousand yen)Amount allocated to thequarterly consolidated P/Lstatement(Note 2)

17,429,354－
17,429,354
2,233,067－−376,210−376,210
16,894

Notes: 1. Adjusted segment profit of 16,894, 000 yen equals to adjusted inventories.
2. Segment profit (loss) has been aligned with the operating profit (loss) presented on the Quarterly Consolidated Statements of Income.

2. Information on impairment loss of non-current assets or goodwill, etc., for each reportable segment(Important impairment loss on non-current assets)
Not applicable.

(Significant changes in amount of goodwill)
Not applicable.

(Material profit from negative goodwill)
Not applicable.
II Current second quarter consolidated cumulative period (Aug 1, 2020 - Jan 31, 2021)
1. Information on net sales and profit/loss of each reportable segment
Reportable segments

Net sales
Sales to external customers
Inter-segment sales or transfer
Total
Segment profit (loss)

Digital IP
business

Live IPbusiness

13,359,110
217,849
13,576,959
27,864

4,667,284
255,068
4,922,353
124,453

Adjustment
Total

18,026,394
472,917
18,499,312
152,317(Note 1)－
−472,917−472,917
6,511(Thousand yen)Amount allocated to thequarterly consolidated P/Lstatement(Note 2)

18,026,394－
18,026,394
158,829

Notes: 1. Adjusted segment profit of 6,511,000 yen equals to adjusted inventories.
2. Segment profit (loss) has been aligned with the operating profit (loss) presented on the Quarterly Consolidated Statements of Income.

10

Bushiroad Inc. (7803)

FOR TRANSLATION PURPOSE ONLY

Summary of Consolidated Financial Results for the Second Quarter of FY2021

2. Information on impairment loss of non-current assets or goodwill, etc., for each reportable segment(Important impairment loss on non-current assets)
Impairment loss of 214,339,000 yen was recorded in the Digital IP business segment.

(Significant changes in amount of goodwill)In the Digital IP business segment, there was a significant change in amount of goodwill due to impairment of
goodwill. Such event caused decrease in goodwill by 179,439,000 yen.
Meanwhile, the amount as described in “Important impairment loss on non-current assets” above includes this
impairment of goodwill.

(Material profit from negative goodwill)
Not applicable.
(Significant Post-Balance Sheet Events)
Not applicable.

11