Summary of Consolidated Financial Results
for the Three Months Ended May 31, 2016 (Q1 FY2017)(Based on Japanese GAAP)
July 6, 2016
Company name:

ABC-MART, INC.

Stock exchange listing: Tokyo
Stock code:
2670
Representative:
Inquiries:

URL

http://www.abc-mart.co.jp/ir/

President and Representative Director
Minoru Noguchi
Director, Corporate Planning Office Manager Jo Kojima

Scheduled date to file Quarterly Securities Report:
Scheduled date to commence dividend payments:
Preparation of supplementary material on quarterly financial results:
Holding of quarterly financial results meeting:

TEL03-3476-5452

July 7, 2016
–Yes
Yes

(for institutional investors and analysts)(Amounts less than one million yen are rounded down)

1. Consolidated financial results for the three months ended May 31, 2016 (from March 1, 2016 to May 31, 2016)(1) Consolidated operating results (cumulative)
Percentages indicate year-on-year changes
Profit attributable toNet sales
Operating income
Ordinary income
owners of parent
Millions of yen% Millions of yen% Millions of yen% Millions of yen%Three months ended May 31, 2016
66,3544.5
14,3507.9
14,611
8.2
9,640
21.7Three months ended May 31, 2015
63,49612.0
13,2951.0
13,508
1.5
7,920
1.0
(Note) Comprehensive income:Three months ended May 2016 7,363 million yen (△4.3%)
Three months ended May 2015 7,693 million yen (12.2%)
Earnings per share

Diluted earnings per share

Yen
116.81105.12Three months ended May 31, 2016
Three months ended May 31, 2015

Yen–96.02(2) Consolidated financial position
Total assets

Net assets

Millions of yen
244,488
238,575

As of May 31, 2016
As of February 29, 2016
(Reference) Shareholders’ Equity:
As of May 31, 2016 205,528 million yen

Equity ratio

Millions of yen
206,064
203,652

As of February 29, 2015

Net assets per share%
84.1
85.1

Yen
2,490.29
2,461.25

203,131 million yen

2. Cash dividends
Annual dividends per share

Year ended February 29, 2016
Year ending February 28, 2017

1st quarter-end

2nd quarter-end

3rd quarter-end

Fiscal year-end

Yen––

Yen
60.00

Yen–

Yen
60.00

Yen
120.00

60.00

–

60.00

120.00Year ending February 28, 2017 (Forecast)(None) Revisions to dividend forecasts published most recently: NoneTotal

3. Forecast of consolidated financial results for the year ending February 28, 2017 (from March 1, 2016 to February 28, 2017)
Percentages indicate year-on-year changes
Profit attributable toNet sales
Operating income
Ordinary income
Earnings per shareowners of parent
Millions of yen% Millions of yen% Millions of yen% Millions of yen%Yen
Six months ending
123,200
2.3
24,1000.9
24,5000.8
15,8708.2
192.29August 31, 2016
Full year
243,000
2.0
42,7002.9
43,6503.4
28,4909.0345.20(None) Revisions to financial forecasts published most recently: None1

4. Notes(1) Changes in significant subsidiaries during the three months ended May 31, 2016(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:

Yes(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:YesNoChanges 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 May 31, 2016

82,532,416 shares As of February 29, 2016

82,532,416 shares

Number of treasury shares at the end of the period
As of May 31, 2016

393 shares As of February 29, 2016

393 shares

Average number of shares during the period (cumulative from the beginning of the fiscal year)
Three months ended May 31, 2016

82,532,023 shares Three months ended May 31, 2015

75,343,187 shares

NOTICE REGARDING QUARTERLY REVIEW PROCEDURES FOR THE CONSOLIDATED FINANCIAL RESULTS
This quarterly consolidated financial results statement is exempt from the quarterly review procedures based upon the Financial Instruments and Exchange Act.
At this time of disclosure of this quarterly consolidated financial results statement, the quarterly financial statement review procedures based upon the Financial
Instruments and Exchange Act has been completed.

FORWARD LOOKING STATEMENTS AND OTHER SPECIAL ITEMSThe forecast for the year ending February 28, 2017 is based on ABC-MART, INC.'s hypotheses, plans and estimates at the date of publication.
that some uncertain factors will cause the Company's future performance to differ significantly from the contents of forecast.

2It is possible

Quarterly consolidated financial statements
Consolidated balance sheets(Millions of yen)
As of February 29, 2016

As of May 31, 2016

AssetsCurrent assets
Cash and deposits
Notes and accounts receivable - trade

100,748
8,147

98,2609,652

Inventories
Deferred tax assets

54,503
1,864

58,750
1,861

Other
Allowance for doubtful accounts

4,009
(24)

5,332
(24)

169,249

173,833

25,672(12,906)

26,200(13,207)

12,766

12,9939,540(6,447)

9,351(6,380)Total current assets
Non-current assets
Property, plant and equipment
Buildings and structures
Accumulated depreciation
Buildings and structures, netTools, furniture and fixtures
Accumulated depreciation
Tools, furniture and fixtures, net

3,092

2,970

14,728
1,567

14,662
1,553

438
(368)

429
(366)

6962

32,22332,242

Trademark right
Goodwill

2,563
6,236

2,695
5,610

Other

2,339

1,804

Total intangible assets

11,13910,109

552
102

532
2,647

Long-term loans receivable
Lease and guarantee deposits

2,243
21,8092,239
21,629Other
Allowance for doubtful accounts

1,272
(16)

1,269
(15)

Total investments and other assets

25,96328,303Land
Construction in progress
Other
Accumulated depreciation
Other, net
Total property, plant and equipment
Intangible assets

Investments and other assets
Investment securities
Shares of subsidiaries and associates

Total non-current assets
Total assets

369,326

70,655

238,575

244,488

(Millions of yen)
As of February 29, 2016

As of May 31, 2016

Liabilities
Current liabilities
Notes and accounts payable - trade

10,675

16,724

Short-term loans payable
Current portion of long-term loans payable

3,191
500

2,842
–

Income taxes payable
Provision for bonuses

7,778
831

5,325
1,445

Provision
Asset retirement obligations

424
19355
18

Notes payable - facilities
Other

892
7,661

767
8,076

Total current liabilities

31,97535,557

Non-current liabilities
Net defined benefit liability

799

808

Asset retirement obligations
Other3121,835

300
1,758

Total non-current liabilities

2,947

2,867

34,92338,424

Shareholders' equity
Capital stock

19,972

19,972

Capital surplus
Retained earnings

23,978148,175

23,978152,864(2)(2)

192,125

196,813

Valuation difference on available-for-sale securities
Foreign currency translation adjustment(2)
11,0090
8,714

Total accumulated other comprehensive income

11,006

8,714

520

535

203,652

206,064

238,575

244,488

Total liabilities
Net assets

Treasury shares
Total shareholders' equity
Accumulated other comprehensive income

Non-controlling interests
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)Three months ended

Three months ended

May 31, 2015

May 31, 2016

Net sales
Cost of sales

63,49628,553

66,35429,544Gross profit

34,94236,809674

739

Advertising expenses
Warehousing expenses

2,077
664

1,673
706

Directors' compensations, salaries and allowances
Provision for bonuses

5,866
577

6,297
636

91
746

89809Rents
Depreciation

5,754
1,041

6,541
1,015

Utilities expenses
Commission fee

531
1,251

502
1,246

258
329

313
224

Other

1,781

1,664

Total selling, general and administrative expenses

21,64622,45813,295

14,3504035Foreign exchange gains
Rent Income for house

–
204

43181

Advertising medium income
Other

1334

1239

Total non-operating income

292

312

14

3

355

–
40

Selling, general and administrative expenses
Packing and transportation expenses

Retirement benefit expenses
Legal and employee benefits expenses

Taxes and dues
Amortization of goodwill

Operating income
Non-operating income
Interest income

Non-operating expenses
Interest expenses
Foreign exchange losses
Rent expenses
Other46

Total non-operating expenses

7950

13,508

14,611

Ordinary income5(Millions of yen)

Extraordinary income
Gain on sales of non-current assets
Total extraordinary income
Extraordinary losses
Loss on sales of non-current assets

Three months ended

Three months ended

May 31, 2015

May 31, 2016
1,361

11,361

1690–

Loss on retirement of non-current assets
Impairment loss38
1,488

2027

Total extraordinary losses

2,217

47

Income before income taxes and minority interests

12,653

14,565

Income taxes - current

4,753

4,937

Income taxes - deferred

(58)

(50)

Total income taxes

4,694

4,886

Profit

7,958

9,678

37

38

7,920

9,640

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

6

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

ProfitOther comprehensive income
Valuation difference on available-for-sale securities
Foreign currency translation adjustment
Total other comprehensive income
Comprehensive income

Three months ended

Three months ended

May 31, 2015

May 31, 2016
7,958

9,678

2(266)

2(2,317)(264)(2,315)

7,693

7,363

7,650

7,348

42

14

Comprehensive income attributable toComprehensive income attributable to owners of parent
Comprehensive income attributable to non-controllinginterests

7