Consolidated Financial Results for the First Quarter of 2024
(Three Months Ended March 31, 2024)[Japanese GAAP]May 10, 2024

Company name: WORLD HOLDINGS CO., LTD.

Listing: Tokyo Stock Exchange
Stock code:
2429
URL: http://www.world-hd.co.jp
Representative: Eikichi Iida, Chairman and President
Contact:
Shigeru Nakano, Director, Business Management Division Manager
Tel: +81-92-474-0555
Scheduled date of filing of Quarterly Report:
May 13, 2024
Scheduled date of payment of dividend:
Preparation of supplementary materials for quarterly financial
Yes
results:
None
Holding of quarterly financial results meeting:(All amounts are rounded down to the nearest million yen)

1. Consolidated Financial Results for the First Three Months of 2024 (January 1 to March 31, 2024)(1) Consolidated results of operations
Operating profit

Net sales
Million yen

54,821Three months ended Mar. 31, 2024
43,724Three months ended Mar. 31, 2023
Note: Comprehensive income (millions of yen)

(Percentages represent year-on-year changes)
Profit attributable toOrdinary profit
owners of parent%

Million yen%

Million yen%

Million yen

25.4
636 (67.1)
605 (68.3)
(121)
7.4
1,934
59.4
1,906
46.4
963
Three months ended Mar. 31, 2024: (66) (down 106.7%)
Three months ended Mar. 31, 2023: 992 (up 82.8%)%(112.6)94.0

Net income per share Diluted net income per share
Yen

Three months ended Mar. 31, 2024
Three months ended Mar. 31, 2023

Yen

(6.93)
54.93(2) Consolidated financial position

Total assets

54.68
Net assets

Million yen

Equity ratio

Million yen

Net assets per share%

160,964
41,255
As of Mar. 31, 2024
159,204
42,926
As of Dec. 31, 2023
Reference: Shareholders’ equity (millions of yen)
As of Mar. 31, 2024: 38,359

Yen

23.8
2,180.74
25.3
2,290.86
As of Dec. 31, 2023: 40,259

2. Dividends
Dividends per share
1Q-end2Q-endYen

3Q-end
Yen

2023
0.00
2024
2024 (forecast)
0.00
Note: Revisions to the most recently announced dividend forecast: None

3. Consolidated Forecast for 2024 (January 1 to December 31, 2024)
Net sales
Million yen

Operating profit%

Million yen

Ordinary profit%

Million yen

Year-end
Yen%First half
109,547 21.1
1,189 (67.7)
1,010 (72.3)
Full year
252,085 17.9
9,003 (13.1)
8,622 (15.9)
Note: Revisions to the most recently announced consolidated forecast: None

Total
Yen

Yen

-

106.00106.00

-

80.90

80.90

(Percentages represent year-on-year changes)
Profit attributable to
Net income perowners of parent
shareMillion yen

254
4,738

%

(87.4)(23.6)

Yen

14.48
270.05

* Notes(1) Changes in significant subsidiaries during the period (change in scope of consolidation): None
Newly added: -Excluded: -(2) Application of special accounting methods for presenting quarterly consolidated financial statements: Yes
Note: Please refer to the section “2. Quarterly Consolidated Financial Statements and Notes, (3) Notes to Quarterly
Consolidated Financial Statements, Application of Special Accounting Methods for Presenting Quarterly Consolidated
Financial Statements” on page 9 for further information.

(3) Changes in accounting policies and accounting-based estimates, and restatements
1) Changes in accounting policies due to revisions in accounting standards, others: None
2) Changes in accounting policies other than 1) above: None
3) Changes in accounting-based estimates: None
4) Restatements: None

(4) Number of shares issued (common stock)1) Number of shares issued at the end of the period (including treasury shares)
As of Mar. 31, 2024:

17,703,700 shares

As of Dec. 31, 2023:

17,687,800 shares

As of Dec. 31, 2023:

113,661 shares

2) Number of treasury shares at the end of the period
As of Mar. 31, 2024:

113,683 shares

3) Average number of shares during the period
Three months ended Mar. 31, 2024:

17,583,130 shares

Three months ended Mar. 31, 2023: 17,535,797 shares* The current financial report is not subject to quarterly review by certified public accountants or auditing firms.
* Cautionary statement with respect to forward-looking statements, and other special items
Cautionary statement with respect to forecasts
Forecasts of future performance in this document are based on assumption judged to be valid and information currently
available to the Company’s management, but are not promises by the Company regarding future performance. Actual results
may differ materially from the forecasts for a number of reasons. Please refer to “1. Qualitative Information on Quarterly
Consolidated Financial Performance, (3) Explanation of Consolidated Forecast and Other Forward-looking Statements” onpage 4 for forecast assumptions and notes of caution for usage.
How to view supplementary materials for quarterly financial results
Supplementary materials to be distributed at this event will be disclosed on the same day, using the Timely Disclosure network(TDnet), and available on the Company’s website.

WORLD HOLDINGS CO., LTD. (2429) Financial Results for the First Quarter of 2024

Contents of Attachments
1. Qualitative Information on Quarterly Consolidated Financial Performance2(1) Explanation of Results of Operations

2(2) Explanation of Financial Position

4(3) Explanation of Consolidated Forecast and Other Forward-looking Statements

4

2. Quarterly Consolidated Financial Statements and Notes

5(1) Quarterly Consolidated Balance Sheet

5(2) Quarterly Consolidated Statements of Income and Comprehensive Income

7

Quarterly Consolidated Statement of Income
For the Three-month Period

7

Quarterly Consolidated Statement of Comprehensive Income
For the Three-month Period

8(3) Notes to Quarterly Consolidated Financial Statements

9

Going Concern Assumption

9

Significant Changes in Shareholders’ Equity

9

Changes in Significant Subsidiaries during the Period

9Application of Special Accounting Methods for Presenting
Quarterly Consolidated Financial Statements

9

Segment Information

91

WORLD HOLDINGS CO., LTD. (2429) Financial Results for the First Quarter of 2024

1. Qualitative Information on Quarterly Consolidated Financial Performance(1) Explanation of Results of Operations
During the first quarter of 2024, the economic recovery in Japan stalled due to consumer spending pressure fromhigh prices and a slowdown in the global economy as well as the impact of the Noto Peninsula earthquake andshutdowns in the automobile industry. Moreover, the primary business environment surrounding the World
Holdings Group continued to be challenging, with the continued slowdown in the semiconductor industry and thecontinued high price of real estate.
Under these circumstances, the Group achieved a solid performance in its core Human Resources and Education
Business through flexible personnel transfer, labor management, cost controls, and other measures. In the Real
Estate Business, despite higher sales with lower profits, we significantly exceeded the initial plan, especially interms of profitability, due to factors such as the early delivery of some properties.
Net sales increased 25.4% year on year to 54,821 million yen (up 10.5% vs. plan). Operating profit decreased
67.1% to 636 million yen (up 1,159 million yen vs. plan), ordinary profit decreased 68.3% to 605 million yen (up1,211 million yen vs. plan), and loss attributable to owners of parent decreased 1,085 million yen to 121 million
yen (up 1,159 million yen vs. plan).
All activities of the Group continue to be guided by the group’s purpose of “contributing to happiness and asustainable society through the creation of a variety of ways we live worldwide.” By promoting investment in
human capital and increasing its value, which is the group’s most important resource, we are determined to makeeven greater contributions to society while growing rapidly.
Business segment performance was as follows.
Products Human Resources Business
The Products Human Resources Business faced adverse circumstances from the start of the year resulting from thecontinued downturn in the semiconductor industry from the previous year, the Noto Peninsula earthquake at the
beginning of 2024, and operational shutdowns in the automobile industry. However, by leveraging its strength incovering multiple sectors while flexibly transferring personnel to various industries and implementing cost controls
including efficiency improvements through digital transformation, the business performed well and exceeded theinitial plan, achieving an increase in sales despite lower profits.
Furthermore, anticipating a recovery in the semiconductor industry from the second half of 2024, in addition toreinforcing recruitment efforts, we have made efforts to strengthen training programs, including preparing for thelaunch of a technical center in Ozu-machi, Kumamoto Prefecture, to train semiconductor personnel.
Sales were 25,658 million yen, up 9.4% year on year (up 7.2% vs. plan) and segment profit decreased 73.0% to
248 million yen (up 428.0% vs. plan).
Services Human Resources Business
The Service Human Resources Business experienced a quiet start due to seasonal factors following the busy yearend period. However, our mainstay logistics division saw steady growth in the e-commerce sector and acontribution to results from Yamato Staff Supply Co, Ltd., which we welcomed into the Group last year. In thecustomer service sales division, the Group achieved higher sales and profits than initially planned by flexibly
leveraging commercial opportunities from increased inbound demand and the Valentine's Day sales season.
In addition, by leveraging our accumulated expertise in labor management and operations in the logistics division,
we promoted measures to anticipate future growth, including steady lateral expansion into new businesses beyond
the traditional human resources domain, such as dispatch ordering management agency services.
Sales were 18,456 million yen, up 76.0% year on year (up 2.1% vs. plan) and segment profit increased 715.5% to118 million yen (up 146 million yen vs. plan).

2

WORLD HOLDINGS CO., LTD. (2429) Financial Results for the First Quarter of 2024

Real Estate BusinessIn the Real Estate Business, amid persistently high real estate prices, we have been cautiously developing ourbusiness to ensure optimum timing for both purchasing and sales. However, due to reasons including the delivery
of some properties ahead of schedule in the second quarter, we significantly exceeded the initial plan, achieving
increased sales despite a fall in profits.
The plan for the current financial year is to deliver numerous properties in the second half, especially in the fourth
quarter, and we are making good progress with contracts. The main condominium properties planned for thisfinancial year are Residential Oji Kamiya in Tokyo; Asuto Residential The Tower in Miyagi Prefecture, which is a
joint venture project with Nomura Real Estate Development Co., Ltd; and Residential Midosuji Abiko in Osaka
Prefecture. For office buildings, we are planning developments such as BIZIA Kokura, promoted as the leading
project of Kokura Kurosaki Rebitation (Rebuild+Invitation) in Kitakyushu City, Fukuoka Prefecture.
Sales were 7,768 million yen, up 10.5% year on year (up 60.0% vs. plan), and segment profit was 491 million yen,down 45.8% year on year (up 1,004 million yen vs. plan).
Information and Telecommunications BusinessIn the Information and Telecommunications Business, with the mobile phone sales agency industry undergoing aperiod of major change, steady progress was made in preparations for the second quarter onward, such as sales
promotions for pent-up demand resulting from amendments to the Ordinance for Enforcement of theTelecommunications Business Act and other regulations.
While taking a scrap-and-build approach to the mobile stores to improve efficiency, we are leveraging the segment’s
existing strengths in the corporate solutions sector and connecting them to strengthen the corporate sales teamwithin the mobile shop. In so doing, the Group aims to enhance its presence and grow once more as a regional
problem-solving base for both individuals and corporate customers.
Sales were 2,018 million yen, up 3.6% year on year (up 5.7% vs. plan), and there was a segment loss of 42 million
yen, up 27 million yen year on year (down 7 million yen vs. plan).
Agricultural Park Business
The Agricultural Parks Business experiences fewest visitors during the winter due to the outdoor nature of the
facilities. In March, severe weather conditions including low temperatures, sudden gusts, and heavy rain causedby cold fronts continued every weekend and led to a fall in visitor numbers, especially in western Japan. However,conditions were relatively good for business operations in the January-February period, with a mild winter andlittle precipitation in the form of snow, leading to a rise in first-quarter sales and profits.
In addition to maintaining existing facilities in preparation for the busiest season from spring, we have been actively
preparing for new designated management of the following entrusted projects starting from April: Saitama City
Urban Park Group 8 and 10, Hyogo Prefectural Awaji Cultural Hall, Kobe Port Waterfront Area (Meriken Park Harborland Square), and Ring Ring Port Tsuchiura.
Sales were 919 million yen, up 13.1% year on year (up 6.8% vs. plan), and a segment loss was 114 million yen, up
3 million yen year on year (up 28 million yen vs. plan).

3

WORLD HOLDINGS CO., LTD. (2429) Financial Results for the First Quarter of 2024

(2) Explanation of Financial Position
AssetsTotal assets increased 1,760 million yen from the end of 2023 to 160,964 million yen at the end of the first quarterof 2024. This was mainly due to increases of 2,498 million yen in cash and deposits, 403 million yen in real estate
for sale and 836 million yen in real estate for sale in process, and a decrease of 2,074 million yen in notes andaccounts receivable-trade.
Liabilities
Total liabilities increased 3,431 million yen from the end of 2023 to 119,709 million yen. This was mainly due todecreases of 1,271 million yen in accounts payable-real estate business and 1,497 million yen in income taxes
payable, and an increase of 6,199 million yen in short-term borrowings.
Net assets
Net assets decreased 1,671 million yen from the end of 2023 to 41,255 million yen, mainly due to a decrease of
1,984 million yen in retained earnings. The decrease in retained earnings was due to loss attributable to owners ofparent of 121 million yen and dividends from retained earnings of 1,862 million yen.
(3) Explanation of Consolidated Forecast and Other Forward-looking Statements
World Holdings maintains its first-half and full-year consolidated forecasts that were announced in the“Consolidated Financial Results for 2023” on February 9, 2024.

4

WORLD HOLDINGS CO., LTD. (2429) Financial Results for the First Quarter of 2024

2. Quarterly Consolidated Financial Statements and Notes(1) Quarterly Consolidated Balance Sheet(Millions of yen)First quarter of 2024
(As of Mar. 31, 2024)

2023(As of Dec. 31, 2023)
AssetsCurrent assets
Cash and deposits

40,84843,347

Notes and accounts receivable-trade25,14823,074Merchandise and finished goods

776

951

Real estate for sale

9,928

10,332Work in process

241

356

Real estate for sale in process

52,33553,172

Other

4,672

4,584

Allowance for doubtful accounts
Total current assets

(7)

(8)

133,944

135,810

9,714

9,686

9,210

8,939

273

267

9,484

9,207

Non-current assets
Property, plant and equipment
Intangible assets
Goodwill
Other
Total intangible assets
Investments and other assets
Investment securities

1,579

1,632

Deferred tax assets

2,213

2,246

Leasehold and guarantee deposits

1,532

1,539

Retirement benefit asset
Other

15

120

1,150

1,152

Allowance for doubtful accounts

(430)

(431)

Total investments and other assets

6,061

6,260

Total non-current assets

25,26025,154

159,204

160,964

Notes and accounts payable-trade

1,186

1,289

Accounts payable-real estate business

1,749

477

Short-term borrowings

45,88352,083

Accrued expenses

13,267

12,501

Advances received

1,002

809

Total assets
Liabilities
Current liabilities

Income taxes payable

2,239

742

Accrued consumption taxes

4,083

3,800

426

1,289

Provision for bonuses
Other

6,918

6,441

Total current liabilities

76,75779,434Long-term borrowings
Provision for retirement benefits for directors (andother officers)
Retirement benefit liability

32,893

33,460

201

202

3,967

4,202

Other

2,459

2,408

Non-current liabilities

Total non-current liabilities
Total liabilities

539,521

40,274116,278

119,709

WORLD HOLDINGS CO., LTD. (2429) Financial Results for the First Quarter of 2024

(Millions of yen)First quarter of 2024
(As of Mar. 31, 2024)

2023(As of Dec. 31, 2023)
Net assets
Shareholders’ equity
Share capital

1,350

1,361

Capital surplus

1,540

1,551

Retained earnings

37,46335,478Treasury shares

(119)

(119)

Total shareholders’ equity

40,234

38,272

51

79

Accumulated other comprehensive income
Valuationdifferenceonavailable-for-salesecurities
Foreign currency translation adjustment
Remeasurements of defined benefit plans
Total accumulated other comprehensive income

57

83

(83)

(76)

25

86

Share acquisition rights

58

313

Non-controlling interests

2,608

2,582

Total net assets
Total liabilities and net assets

6

42,926

41,255

159,204

160,964

WORLD HOLDINGS CO., LTD. (2429) Financial Results for the First Quarter of 2024

(2) Quarterly Consolidated Statements of Income and Comprehensive Income(Quarterly Consolidated Statement of Income)(For the Three-month Period)(Millions of yen)First three months of2024(Jan. 1 – Mar. 31, 2024)

First three months of2023(Jan. 1 – Mar. 31, 2023)
Net sales

43,72454,821

Cost of sales

35,947

47,148Gross profit

7,776

7,672

Selling, general and administrative expenses

5,841

7,036

Operating profit

1,934

636

Subsidy income

16

16

Other

36

80

Total non-operating income

5396

Non-operating income

Non-operating expenses
Interest expenses
Other
Total non-operating expenses
Ordinary profit

66

90

15

37

82

128

1,906

605

-

0

-

0

Extraordinary income
Insurance claim income
Total extraordinary income
Extraordinary losses
Loss on disaster-0

Total extraordinary losses-

0Profit before income taxes

1,906

605

Income taxes

940

742

Profit (loss)

965

(137)

2

(15)

963

(121)

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

7

WORLD HOLDINGS CO., LTD. (2429) Financial Results for the First Quarter of 2024

(Quarterly Consolidated Statement of Comprehensive Income)(For the Three-month Period)(Millions of yen)First three months of 2024
(Jan. 1 – Mar. 31, 2024)

First three months of 2023
(Jan. 1 – Mar. 31, 2023)
Profit (loss)

965

(137)

2

28

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

1135

Remeasurements of defined benefit plans, net of tax

12

6

Total other comprehensive income

26

70

992

(66)

986

(60)

5

(5)

Comprehensive income
Comprehensive income attributable toComprehensive income attributable to owners ofparentComprehensive income attributable to non-controllinginterests

8

WORLD HOLDINGS CO., LTD. (2429) Financial Results for the First Quarter of 2024

(3) Notes to Quarterly Consolidated Financial Statements
Going Concern Assumption
Not applicable.
Significant Changes in Shareholders’ Equity
Not applicable.
Changes in Significant Subsidiaries during the Period
Not applicable.
Application of Special Accounting Methods for Presenting Quarterly Consolidated Financial Statements
Calculation of tax expense
The tax expenses are calculated by first reasonably estimating the effective tax rate after the application of tax
effect accounting with respect to profit before income taxes for the fiscal year in which the quarter under review
falls, and multiplying that rate by the profit before income taxes for the quarter under review. However, World
Holdings uses legally stipulated effective tax rates to calculate tax expenses when the use of estimated tax rates
produces a clearly irrational result.
Segment Information
I. First three months of 2023 (Jan. 1 – Mar. 31, 2023)
1. Information related to net sales and profit or loss for each reportable segment
Reportable segment
Products
Human
Resources
Business

Services
Human
Resources
Business

Information
andReal EstateBusiness Telecommunications
Business

Agricultural
Park
Business

Subtotal(Millions of yen)Amounts shownon quarterly
consolidated
Adjustments
statement of(Note 1)income(Note 2)

Net sales
Sales toexternal
23,450
10,484
7,027
1,948
813
43,72443,724
customers
Inter-segment
sales and
152
42
8
17
2
223
(223)
transfers
Total
23,602
10,527
7,035
1,966
816
43,947(223)
43,724
Segment
918
14
906
(69)
(117)
1,651
283
1,934
profit (loss)
Notes: 1. The 283 million yen adjustment to segment profit (loss) includes elimination for inter-segment transactions of 8
million yen, and 274 million yen in corporate expenses that cannot be allocated to any of the reportable segments.
Corporate expenses mainly consist of general and administrative expenses that are not attributable to any of thereportable segments.
2. Segment profit (loss) is adjusted with operating profit shown on the quarterly consolidated statement of income.

2. Information related to impairment losses on non-current assets or goodwill, etc. for each reportable segment
Impairment losses related to non-current assets
Not applicable.
Significant change in goodwill
There is no significant change.
Significant gain on bargain purchaseNot applicable.

9

WORLD HOLDINGS CO., LTD. (2429) Financial Results for the First Quarter of 2024

II. First three months of 2024 (Jan. 1 – Mar. 31, 2024)
1. Information related to net sales and profit or loss for each reportable segment
Reportable segment
Products
Human
Resources
Business

Services
Human
Resources
Business

Information
andReal Estate
Telecommunications
Business
Business

Agricultural
Park
Business

Total(Millions of yen)Amounts shownon quarterly
consolidated
Adjustments
statement of(Note 1)income(Note 2)

Net sales
Sales toexternal
25,65818,456
7,768
2,018
919
54,821
54,821
customers
Inter-segment
sales and
163
40
10
18
2
235
(235)
transfers
Total
25,822
18,496
7,779
2,037
921
55,056(235)
54,821
Segment
248
118
491
(42)
(114)
701
(64)
636
profit (loss)
Notes: 1. The -64 million yen adjustment to segment profit (loss) includes elimination for inter-segment transactions of 8
million yen, and -72 million yen in corporate expenses that cannot be allocated to any of the reportable segments.
Corporate expenses mainly consist of general and administrative expenses that are not attributable to any of thereportable segments.
2. Segment profit (loss) is adjusted to be consistent with operating profit shown on the quarterly consolidated statementof income.

2. Information related to impairment losses on non-current assets or goodwill, etc. for each reportable segment
Impairment losses related to non-current assets
Not applicable.
Significant change in goodwill
Not applicable.
Significant gain on bargain purchaseNot applicable.

This financial report is solely a translation of “Kessan Tanshin” (in Japanese, including attachments), which has been preparedin accordance with accounting principles and practices generally accepted in Japan, for the convenience of readers who prefer
an English translation.

10