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 Three Months Ended October 31, 2022
(Based on Japanese GAAP)
December 5, 2022
Company name:
Pharma Foods International Co.,Ltd.
Stock exchange listing: Tokyo
Stock code:
Representative:

2929
President

URL

https://www.pharmafoods.co.jp/
Mujo Kim

Inquiries:

General Manager of Administration
DepartmentToshihiro Kawanaka

Scheduled date to file Quarterly Securities Report:
Scheduled date to commence dividend payments:

December 15, 2022–

Preparation of supplementary material on quarterly financial results:
Holding of quarterly financial results meeting:

Yes
No

TEL

075-394-8600(Amounts less than one million yen are rounded down)
1. Consolidated financial results for the three months ended October 31, 2022 (from August 1, 2022 to October 31, 2022)(1) Consolidated operating results (cumulative)
Percentages indicate year-on-year changes
Profit attributable toNet sales
Operating profit
Ordinary profit
owners of parent
Millions of yen% Millions of yen% Millions of yen% Millions of yen%Three months ended October 31, 2022
17,03035.1(2,194)–(2,180)–(1,820)–Three months ended October 31, 2021
12,606
50.3
1,575
–
1,617
–
1,231
–
Earnings per share

Diluted earnings per share

Yen(62.78)42.45

Three months ended October 31, 2022
Three months ended October 31, 2021

Yen–
42.43

(2) Consolidated financial position
Total assets

Net assets

Millions of yen
32,702
31,159As of October 31, 2022
As of July 31, 2022

Equity ratio

Millions of yen
4,719
7,074%
14.4
22.7

2. Cash dividends
Annual dividends per share

Year ended July 31, 2022
Year ending July 31, 2023

1st quarter-end

2nd quarter-end

3rd quarter-end

Fiscal year-end

Yen
––

Yen
10.00

Yen–

Yen
10.00

Yen
20.00

10.00

–

10.00

20.00

Year ending July 31, 2023 (Forecast)Total

3. Forecast of consolidated financial results for the year ending July 31, 2023 (from August 1, 2022 to July 31, 2023)
Net sales
Full year

Millions of yen
71,000Percentages indicate year-on-year changes
Profit attributable toOperating profit
Ordinary profit
Earnings per shareowners of parent% Millions of yen% Millions of yen% Millions of yen%
Yen
18.0
1,191
10.3
1,268
0.3
886
–30.471

4. Notes(1) Changes in significant subsidiaries during the three months ended October 31, 2022
(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:

Yes
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 October 31, 2022

29,074,500 shares As of July 31, 2022

29,073,800 shares

Number of treasury shares at the end of the period
As of October 31, 2022

294,683 shares As of July 31, 2022

52,483 shares

Average number of shares during the period (cumulative from the beginning of the fiscal year)
Three months ended October 31, 2022

29,000,728 shares Three months ended October 31, 2021

229,005,705 shares

Quarterly consolidated financial statements
Consolidated balance sheets(Millions of yen)
As of July 31, 2022

As of October 31, 2022

AssetsCurrent assets
Cash and deposits
Notes and accounts receivable - trade

8,845
6,702

12,0455,449Electronically recorded monetary claims - operating
Merchandise and finished goods

732
4,704

486
4,332

478
884

572
811

Other
Allowance for doubtful accounts

1,175
(9)

1,073
(7)

Total current assets

23,51324,763

Buildings and structures, net
Machinery, equipment and vehicles, net

2,549
457

2,518
450

Tools, furniture and fixtures, net
Land

176
1,193

174
1,193

31
50

28
63

4,458

4,428

270

252

Work in process
Raw materials and supplies

Non-current assets
Property, plant and equipment

Leased assets, net
Construction in progress
Total property, plant and equipment
Intangible assets
Goodwill
Other34

34

Total intangible assets

305

287

1,572
1,309

1,552
1,670

Investments and other assets
Investment securities
Other
Allowance for doubtful accounts

(0)

(0)

Total investments and other assets

2,881

3,223

Total non-current assets
Total assets

3

7,645

7,938

31,15932,702

(Millions of yen)
As of July 31, 2022

As of October 31, 2022

Liabilities
Current liabilities
Notes and accounts payable - trade

1,176

1,002

Short-term borrowings
Current portion of long-term borrowings

15,400760

15,400788

Accounts payable - other
Income taxes payable

4,077
434

6,709
76

Provision for bonuses
Other

70876

156
828

Total current liabilities

22,79524,962

Non-current liabilities
Long-term borrowings

697

2,433

Retirement benefit liability
Other

427
164

456
131

Total non-current liabilities

1,288

3,020

24,08427,983

Shareholders' equity
Share capital

2,042

2,042

Capital surplus
Retained earnings

1,820
3,300

1,821
1,189

Treasury shares

(138)

(438)

Total shareholders' equity

7,024

4,614

Valuation difference on available-for-sale securities

46101

Total accumulated other comprehensive income

46101

Share acquisition rights

00

Non-controlling interests

22

Total liabilities
Net assets

Accumulated other comprehensive income

Total net assets
Total liabilities and net assets

47,074

4,719

31,15932,702

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

Three months ended

October 31, 2021

October 31, 2022

Net sales
Cost of sales12,606
1,918

17,0303,204Gross profit

10,687

13,825145

206

Advertising expenses
Commission expenses

6,730
750

12,800
1,019

Amortization of goodwill
Other

10
1,475

17
1,976

Total selling, general and administrative expenses

9,112

16,0201,575(2,194)

Interest income
Dividend income

00

6
2

Foreign exchange gains
Subsidy income

731

1013

Share of profit of entities accounted for using equity method
Outsourcing service income

14–4

Other

4

12

Total non-operating income

5049

Interest expenses
Share of loss of entities accounted for using equity method

2–

18
12Commission expenses
Other

50

30

Total non-operating expenses

835

Selling, general and administrative expenses
Research and development expenses

Operating profit (loss)
Non-operating income

Non-operating expenses

Ordinary profit (loss)

1,617(2,180)

Extraordinary income
Gain on bargain purchase82–

Total extraordinary income

82

–

0–

Extraordinary losses
Loss on retirement of non-current assets
Total extraordinary losses
Profit (loss) before income taxes

0–

1,699(2,180)

Income taxes

467(359)

Profit (loss)

1,231(1,820)

Loss attributable to non-controlling interests–(0)

Profit (loss) attributable to owners of parent

1,231(1,820)

5

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

Profit (loss)
Other comprehensive income
Valuation difference on available-for-sale securities
Total other comprehensive income

Three months ended

Three months ended

October 31, 2021

October 31, 2022
1,231

(1,820)

1055

1055

Comprehensive income

1,241(1,765)Comprehensive income attributable toComprehensive income attributable to owners of parent

1,241(1,765)–(0)Comprehensive income attributable to non-controllinginterests

6