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

June 13, 2024

Consolidated Financial Results
for the First Nine Months of the Fiscal Year Ending July 31, 2024
(Under Japanese GAAP)
Company name: Premier Anti-Aging Co., Ltd.
Listing exchange: Tokyo Stock Exchange
Securities code:
4934
URL:
https://www.p-antiaging.co.jp/en
Representative:
Kiyoshi Matsuura, President
Inquiries:
Yuka Uehara, Head of Corporate Communication Division and Executive Officer
Phone:+81-3-3502-2020
Scheduled date to file quarterly securities report:
June 13, 2024
Scheduled date for commencing dividend payments:
Preparation of supplementary materials on quarterly financial results: Yes
Holding of quarterly financial results briefing:
Yes (for institutional investors and analysts)(Amounts are rounded down to the nearest million yen, unless otherwise noted)

1. Consolidated financial results for the first nine months of the fiscal year ending July 31, 2024 (from August
1, 2023 to April 30, 2024)(1) Consolidated operating results (cumulative)
Net sales
Nine months ended(Percentage figures indicate year-on-year changes)

Operating profit

Profit attributable toowners of parent

Ordinary profit

Millions of yen%

Millions of yen%

Millions of yen%

Millions of yen

April 30, 2024

15,439(25.1)

3(92.4)

44

1.3(1,450)-April 30, 2023

20,609(20.4)

42(97.8)

43(98.0)(153)-

Note: Comprehensive income

Nine months ended April 30, 2024:
Nine months ended April 30, 2023:

Basic earnings per share
Nine months ended(1,452) million yen [(165) million yen [Diluted earnings
per share

Yen

April 30, 2024

- %]
- %]

Yen

(166.37)-

April 30, 2023
(17.58)
Note: Although there are dilutive shares, diluted earnings per share are not indicated due to net loss per share.

(2) Consolidated financial position
Total assets
As of

Net assets

Equity ratio

Millions of yen

Millions of yen

April 30, 2024

11,169

6,156

55.1

July 31, 2023

12,135

7,609

62.7

Reference:

Total shareholders’ equity
As of April 30, 2024:
As of July 31, 2023:

6,156 million yen
7,609 million yen%%

2. Cash dividends
Annual dividends per share

Fiscal year ended
July 31, 2023
Fiscal year ending
July 31, 2024

End of first quarterEnd of second quarterEnd of third quarter

Yen

Yen

Yen

-

0.00

-

-

0.00

-

Fiscal year-end

Total

Yen

Fiscal year ending
July 31, 2024
(Forecast)

Yen

0.00

0.00

0.00

0.00

Note: Revisions to the most recently announced cash dividends forecast: None

3. Consolidated earnings forecasts for the fiscal year ending July 31, 2024 (from August 1, 2023 to July 31,
2024)(Percentage figures indicate year-on-year changes)
Net sales
Millions of yen

Operating profit% Millions of yen

Profit attributable toowners of parent

Ordinary profit% Millions of yen

Full year
20,000 (24.2)(1,000)Note: Revisions to the most recently announced earnings forecast: None

(1,000)

Basic earnings
per share% Millions of yen

%

Yen

-

-

(286.68)(2,500)* Notes(1) Changes in significant subsidiaries during the current period (changes in specified subsidiaries resulting in change in scope of
consolidation): None
(2) Adoption of accounting treatments specific to the preparation of quarterly consolidated financial statements: Yes(3) Changes in accounting policies, changes in accounting estimates, and restatementsi.
Changes in accounting policies due to revisions to accounting standards, etc.: Noneii.
Changes in accounting policies other than those in i. above: Noneiii.
Changes in accounting estimates: Noneiv.
Restatements: None
(4) Number of shares issued and outstanding (common shares)i.
Number of shares issued and outstanding at the end of the period (including treasury shares)
As of April 30, 2024
8,720,534 sharesii.

As of July 31, 2023
Number of treasury shares at the end of the period
As of April 30, 2024

iii.

As of July 31, 2023
155 shares
Average number of shares outstanding during the period (cumulative from the beginning of the fiscal year)
Nine months ended April 30, 2024
8,720,379 shares
Nine months ended April 30, 2023

8,720,534 shares
155 shares

8,720,379 shares* The report on quarterly financial results is not subject to audit procedures by a certified public accountant or an auditing firm.
* Explanation regarding appropriate use of earnings forecasts, and other notes(Caution regarding forward-looking statements, etc.)
The earnings outlook and other forward-looking statements contained in this document are based on information currently available
to, and certain assumptions that are deemed to be reasonable by the Company. Such statements are not intended as a promise by theCompany that they will be achieved. Actual results may differ from the forecasts in this document due to various factors. For theconditions forming the assumptions used in forecasting earnings and precautions regarding the use of earnings forecasts, please refer
to “1. Qualitative information for the first nine months of the fiscal year ending July 31, 2024, (3) Forward-looking information
including consolidated earnings forecasts” on page 4 of the Attachment.
(Change of amount display unit)
The amounts of account items and other items shown in the Company's consolidated financial statements were previously stated inunits of thousands of yen. However, starting from the current fiscal year, the amount has been changed to be stated in units ofmillions of yen. For ease of comparison, figures for the previous fiscal year and the first nine months of the previous fiscal year havealso been changed to units of millions of yen.

Contents of Attachment

1．

2.

Qualitative information for the first nine months of the fiscal year ending July 31, 2024 …..………………
(1) Consolidated financial results …..……………………………………………………………………
(2) Consolidated financial position ………..……………………………………………………………..
(3) Forward-looking information including consolidated earnings forecasts ……………………………
Quarterly consolidated financial statements and major notes ……………………………………………...
(1) Quarterly consolidated balance sheet …………………………………………………………………
(2) Quarterly consolidated statement of income and consolidated statement of comprehensive income…
Quarterly consolidated statement of income
Nine months ended April 30, 2024 ……………………………………………………………..……
Quarterly consolidated statement of comprehensive income
Nine months ended April 30, 2024 ……………..……………………………………………………
(3) Notes to quarterly consolidated financial statements ………………….……………………………..
(Changes in scope of consolidation or scope of equity method applications…………………………
(Notes on going concern assumption) ………………………………………………………………..
(Notes when there are significant changes in amounts of equity) ……………………………………..
(Application of accounting treatments specific to the preparation ofquarterly consolidated financial statements) ………………………………………………………...
(Changes in accounting policies) ……………………………………………………………………..
(Segment information, etc.) …………………………………..………………………………………

1

2
2
3
4
5
5
6
6
7
8
8
8
8
8
8
8

1. Qualitative information for the first nine months of the fiscal year ending July 31, 2024
(1) Consolidated financial results
In the first nine months of the fiscal year ending July 31, 2024, the Japanese economy continued to recover at a moderatepace, although there were signs of stagnation in some areas. While there were signs of recovery in personal consumption
due to the economic recovery, consumer confidence remained stagnant due to rising prices. In the domestic cosmetics
market, personal consumption recovered due to increased opportunities to go out, and inbound demand increased dueto the weaker yen. On the other hand, the polarization of the domestic cosmetics market has become clear since the
COVID-19 pandemic, and the low-price market continues to expand.
Under such circumstances, Premier Anti-Aging Co., Ltd. (“the Company”) and its consolidated subsidiaries (“theGroup”) have been working on measures such as rebuilding the mail order business and improving brand management
and cost structure in order to establish a lean and robust corporate structure that can steadily generate profits even in a
tough business environment.
Although sales of the recovery business conducted through the subsidiary Venex Co., Ltd. (“the Venex”) increased,sales of the anti-aging business conducted by the Company decreased, resulting in overall sales of 15,439 million yen(down 25.1% year-on-year). Operating profit was 3 million yen (down 92.4% year-on-year) due to the increase inprofits in the Recovery Business, the high level of advertising costs in the mail order market, and the control ofadvertising investments based on a new customer acquisition policy that emphasized acquisition efficiency andretention rate, despite a decrease in gross profit due to a decrease in sales in the anti-aging business. Ordinary profit
was 44 million yen (up 1.3% year-on-year) due to an increase in foreign exchange gains due to the weak yen. Loss
attributable to owners of parent was 1,450 million yen (loss attributable to owners of parent of 153 million yen in thesame period of the previous fiscal year) due to the recording of impairment loss related to software in progress, contract
loss, and provision of allowance for contract loss as extraordinary losses, and the reversal of deferred tax assets andrecording them as income taxes – current during the second quarter of the current fiscal year.
Business results by segment are as follows.
Anti-aging businessNet sales
Operating profit (loss)

Nine months endedApril 30, 2023
20,303Nine months endedApril 30, 2024
14,102(Millions of yen)
Year-on-year change(%)(30.5)

56

(166)

-

Net sales
Anti-aging business sales amounted to 14,102 million yen (down 30.5% year-on-year).
In the "DUO" brand, "The Cleansing Balm" has been ranked No. 1*¹ in cleansing sales for five consecutive years, andthe cumulative number of units shipped in the series has exceeded 50 million units as of the end of February 2024.
However, since the cleansing market as a whole continues to shift from balm formulations to oil formulations, andcompetition with low-priced balm products is intensifying, sales decreased for both mail order and wholesale sales. In
order to overcome this situation, the Company has strengthened communication to promote understanding of the brandand product value through new TV commercials, as well as utilizing events and various Social Networking Services(SNS) by beauticians and influencers and has focused on measures to improve retention rate and promote loyal
customer retention. However, as these measures require a certain period of time to produce sufficient effects, theirimpacts are currently limited.
In the “CANADEL” brand, the Company launched “CANADEL Cleansing Water” that removes oil-like makeup and“CANADEL Gelee Lotion [quasi-drug product]” that moisturizes instantly in March 2024, and expanded brand lineups.
However, as the competitive environment in the all-in-one market continued, and new acquisitions were lower thanplanned due to intensifying competition in advertising auctions, resulting in lower sales compared to the same periodof the previous fiscal year.
Although the “clayence” brand was affected by intensifying competition in the color treatment market and persistently
high advertising costs, sales have been gradually expanding as planned. Sales of quasi-drug foamy gray hair color2

“Clayspa Quick Color” that dyes deeply introduced last year are also increasing through test marketing. As a result,quarterly sales have continued to increase.
In addition, the inner care supplement “SINTO” brand has increased the number of new customers through strengthened
influencer initiatives, and the high-concentration vitamin C skin care brand “C+mania” has expanded the number ofsales stores to 6,300, both launched previous fiscal year. Both brands were performing well through test marketing, butthey have not been able to compensate for the decline in sales of core brands.
Operating profit (loss)
Despite controlling advertising expenses for new acquisitions against a backdrop of soaring advertising costs in the
mail order market, gross profit decreased due to lower sales, resulting in an operating loss of 166 million yen (operating
profit of 56 million yen in the same period of the previous fiscal year).
Recovery business(Millions of yen)
Nine months endedApril 30, 2023*²
Net sales
Operating profit (loss)

Nine months endedApril 30, 2024

306
(13)

1,337
163

Year-on-year change*²(%)-

Net sales
Net sales reached a record high of 1,337 million yen in the third quarter, thanks to the continued strengthening of supply
chain management and the utilization of group synergies in the development of new sales channels. The Venex
appointed Ayako Imoto as its new brand ambassador in March 2024 and has increased its advertising investment toraise brand awareness, which has resulted in a significant increase in the number of visitors to its website.
Operating profit
Thanks to the increase in sales, operating profit also reached a new record high in the third quarter, reaching 163 millionyen.

*¹ Survey on cleansing products by brand conducted by TPC Marketing Research Co., Ltd. (Survey period: April 2019
to March 2024 / Survey time: April 2024)*² As the recovery business began operations in the third quarter of the previous fiscal year, no year-on-year change
in sales and operating profit is stated.
(2) Consolidated financial position(Assets)
Total assets at the end of the first nine months of the current fiscal year decreased by 966 million yen from the end of
the previous fiscal year to 11,169 million yen. The main factors of increase and decrease were as follows.
Current assets decreased by 271 million yen from the end of the previous fiscal year to 8,958 million yen. This was
mainly due to a decrease of 427 million yen in accounts receivable - trade and an increase of 163 million yen in
unreceivable refund income tax included in “other” current assets.
Non-current assets decreased by 694 million yen from the end of the previous fiscal year to 2,210 million yen. Thiswas mainly due to an increase of 550 million yen in property, plant and equipment, a decrease of 465 million yen insoftware in progress included in "other" intangible assets, and a decrease of 517 million yen in deferred tax assets
included in investments and other assets.
(Liabilities)
Total liabilities at the end of the first nine months of the current fiscal year increased by 486 million yen from the endof the previous fiscal year to 5,012 million yen.
Current liabilities increased by 750 million yen from the end of the previous fiscal year to 3,766 million yen. This was3mainly due to an increase of 171 million yen in accounts payable - trade, an increase of 407 million yen in short-termborrowings and an increase of 155 million yen in current portion of long-term borrowings.
Non-current liabilities decreased by 263 million yen from the end of the previous fiscal year to 1,245 million yen. Thiswas mainly due to a decrease of 313 million yen in long-term borrowings.
(Net Assets)
Net assets at the end of the first nine months of the current fiscal year decreased by 1,452 million yen from the end of
the previous fiscal year to 6,156 million yen. This was mainly due to recording loss attributable to owners of parent of
1,450 million yen.
As a result, the equity ratio was 55.1%.
(3) Forward-looking information including consolidated earnings forecasts
The consolidated earnings forecast for the fiscal year ending July 31, 2024 remains unchanged from the forecast
announced in the “Notice concerning difference between consolidated earnings forecasts and actual results for the firstsix months of the fiscal year ending July 31, 2024, recording extraordinary losses (impairment loss, etc.), reversal ofdeferred tax assets and revision of full-year consolidated earnings forecasts" dated March 14, 2024. The Company willpromptly disclose it if it becomes necessary to revise the earnings forecast.

4

2. Quarterly consolidated financial statements and major notes(1) Quarterly consolidated balance sheet(Millions of yen)
As of July 31, 2023

As of April 30, 2024

AssetsCurrent assets
Cash and deposits
Accounts receivable - tradeFinished goods
Raw materials and supplies

4,670
2,080
1,464
444

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

4,482
1,652
1,363
591

568

868

9,229

8,958

77

628

394

362

Other

1,117

693

Total intangible assets

1,511

1,055

Investments and other assets

1,316

526

Total non-current assets
Total assets
Liabilities
Current liabilities
Accounts payable - trade
Short-term borrowings
Current portion of long-term borrowings
Current portion of bonds payable
Accounts payable - other
Income taxes payable
Provision for bonuses
Provision for cotract loss
Other

2,905

2,210

12,135

11,169

258
568
230
26
1,171
22
53
-

430
975
385
26
954
35
46
144

685

768

Total current liabilities

3,016

3,766

Non-current liabilities
Bonds payable
Long-term borrowings
Provision for contract loss
Asset retirement obligations

70
1,366
38

50
1,053
106
6

Other
Total non-current liabilities
Total liabilities
Net assets
Shareholders' equity
Share capital
Capital surplus
Retained earnings
Treasury shares

34

29

1,509

1,245

4,525

5,012

1,351
1,351
4,888

1,351
1,351
3,437

(1)

(1)

7,590

6,139

Foreign currency translation adjustment

19

17

Total accumulated other comprehensive income

19

17

Total shareholders' equity
Accumulated other comprehensive income

Total net assets

7,609

6,156

Total liabilities and net assets

12,135

11,1695

(2) Quarterly consolidated statement of income and consolidated statement of comprehensive income(Quarterly consolidated statement of income)(Nine months ended April 30)(Millions of yen)
Nine months ended April 30, 2023

Nine months ended April 30, 2024

(From August 1, 2022

(From August 1, 2023

to April 30, 2023)

to April 30, 2024)

Net sales

20,609

Cost of sales

4,924

15,4393,083

Gross profit

15,684

12,356

Selling, general and administrative expenses

15,642

12,353Operating profit

423

Non-operating income
Interest income
Profit on currency exchange
Commission income

1
5

1
53
-

Miscellaneous income

158Total non-operating income

2263

Non-operating expenses
Interest expenses
Loss on currency exchange
Miscellaneous losses
Total non-operating expenses

12
7
0
21

16
5
22

Ordinary profit

43

44

Extraordinary losses
Impairment loss
Cotract loss
Provision of allowance for contract loss

-

492
147
250

-

18

Other
Total extraordinary losses-

908

Profit (loss) before income taxes

43

(864)

Income taxes - current

196

585

Profit (loss)(153)(1,450)

Profit (loss) attributable to owners of parent(153)(1,450)6

(Quarterly consolidated statement of comprehensive income)(Nine months ended April 30)(Millions of yen)
Nine months ended April 30, 2023

Nine months ended April 30, 2024

(From August 1, 2022

(From August 1, 2023

to April 30, 2023)

to April 30, 2024)

Profit (loss)
Other comprehensive income
Foreign currency translation adjustment(153)(1,450)(11)(2)

Total other comprehensive income

(11)

(2)

Comprehensive income(165)(1,452)Comprehensive income attributable toComprehensive income attributable to owners of parent(165)(1,452)

7

(3) Notes to quarterly consolidated financial statements(Changes in scope of consolidation or scope of equity method application)
During the first six months of the current fiscal year, an absorption-type merger was carried out in which the Company
became the surviving company and Premier Wellness Science Co., Ltd., which was a wholly owned subsidiary of theCompany, became the dissolved company, so it was excluded from the scope of consolidation.
(Notes on going concern assumption)
Not applicable(Notes when there are significant changes in accounts of equity)
Not applicable(Application of accounting treatments specific to the preparation of quarterly consolidated financial statements)(Calculation of income tax expense)
Income tax expenses are calculated by reasonably estimating the effective tax rate after applying tax effect accounting
to profit before income taxes for the consolidated fiscal year, including the first nine months under review, andmultiplying profit (loss) before income taxes by the estimated effective tax rate. However, if tax expenses calculatedusing the estimated effective tax rate result in significantly lacking rationality, the statutory effective tax rate is used.
(Changes in accounting policies)
Not applicable(Segment information, etc.)[Segment information]
1.
Overview of reporting segments(1) Method of determining reporting segments
The Company's reporting segments are aggregates of the Company's constituent units according to certain standards.
These components have separate financial information available and are subject to periodic review by the highest
management decision-making body to determine resource allocation and evaluate performance.
Since the Company mainly evaluates business performance by consolidated subsidiary, this is the unit for identifying
business segments. Reporting segments are determined by aggregating those business segments that have similarities
in terms of economic characteristics, markets in which products and services are sold, types of customers, etc.
(2) Types of products and services belonging to each reporting segment
The main products and services handled by each segment are listed below.
・Anti-aging business
The business primarily manufactures and sells skin care, hair care, and inner care products, and includes brands such
as DUO, CANADEL, and clayence.
・Recovery businessThis business primarily manufactures and sells recovery wear through Venex Co., Ltd..

8

2.
I.

Information regarding the amount of sales and profit (loss) by reporting segment
Nine months ended April 30, 2023 for the previous fiscal year (From August 1, 2022 to April 30, 2023)(Millions of yen)
Reporting segment
Adjustment
Amount recorded inamountquarterly consolidated
Anti-aging
RecoveryTotalstatement of income
businessbusiness
Sales
Sales to externalcustomers

20,303306

20,609-20,609Internal sales
between segments

-

-

-

-

-

Total
Segment profit (loss)

20,303
56

306
(13)

20,60942-

20,60942

Note: Segment profit (loss) is consistent with operating profit in the quarterly consolidated statement of income.
II.

Nine months ended April 30, 2024 for the current fiscal year (From August 1, 2023 to April 30, 2024)(Millions of yen)
Reporting segment
Adjustment
Amount recorded inamountquarterly consolidated
Anti-aging
Recovery
Total
Note 1statement of income
businessbusiness
Note 2
Sales
Sales to externalcustomers
Internal sales
between segments
Total
Segment profit (loss)

14,102

1,337

15,439-15,439

-

-

-

-

-

14,102
(166)

1,337
163

15,439(2)

515,4393Note 1. The adjustment amount of 5 million yen for segment profit (loss) is the elimination of intersegment
transactions.
Note 2. Segment profit (loss) is adjusted with operating profit in the quarterly consolidated statement of income.
3.
Change in reporting segment
Previously, the Group's reporting segment was only the "cosmetics manufacturing and sales business," and otherbusiness segments were of little importance, so segment information was omitted. However, from the first quarter ofthe current fiscal year, segment information has been disclosed for "recovery business" as its importance has increased
among the Group.
Additionally, starting from the first quarter of the current fiscal year, the name of the reporting segment that waspreviously called "cosmetics manufacturing and sales business" has been changed to "anti-aging business."
Furthermore, the segment information for the first nine months of the previous fiscal year is disclosed based on therevised classification.
4.
Information regarding impairment losses on non-current assets or goodwill, etc. for each reporting segment(Significant impairment loss on non-current assets)
An impairment loss was recorded on some software in progress in the “anti-aging business” segment. The amount of
impairment loss recorded was 492 million yen.
(Significant changes in the amount of goodwill)
Not applicable9