〔Delayed〕The original disclosure in Japanese was released on May 10, 2013 at 15:00 (GMT+9)

May 10, 2013

Best Bridal Inc.
Consolidated Earnings Report for the Three Months ended March 31, 2013
(Japanese GAAP)
Stock listing: Tokyo Stock Exchange (First Section)
Securities code: 2418
URL: http://www.bestbridal.co.jp/english/
Representative: Masayuki Tsukada, President and CEO
Information contact: Keiji Ishihara, Director
Tel: +81-3-5464-0081
Scheduled dates:
Filing of statutory quarterly financial report (sihanki hokokusho): May 13, 2013
Dividend payout:
Supplementary materials to quarterly financial results available: No
Quarterly earnings presentation held: No(Amounts rounded down to the nearest million yen)

1. Consolidated Performance for the Three Months ended March 31, 2013
(January 1, 2012 – March 31, 2013)(1) Consolidated Operating Results%

Operating income
million yen%

Ordinary income
million yen%

Net income
million yen
%

9,687

10.5

560

62.4

640

47.6

301

260.0

8,769

7.9

345

543.9

434

389.8

83

-

Net sales
million yen
Three months ended
March 31, 2013
Three months ended
March 31, 2012
Note: Comprehensive income:(Percentages indicate year-on-year changes)

Three months ended March 31, 2013:
Three months ended March 31, 2012:

Net income per shareyen
Three months ended
March 31, 2013
Three months ended
March 31, 2012

482 million yen (174.3 %)175 million yen(-%)

Diluted net income per
share
yen

1,232.82-

342.46-(2) Consolidated Financial Position

March 31, 2013

Total assets
million yen
47,429Equity ratio%

Net assets
million yen
21,052

48,381
20,815
December 31, 2012
Reference: Total equity: March 31, 2013:
21,052 million yen
December 31, 2012: 20,815 million yen
Total equity=Shareholders’ equity plus total accumulated other comprehensive income.

1

44.4
43.0

2. Dividends
End-Q1yen

Dividend per share
End-Q3yen

End-Q2yenYear ended
1,000.00
December 31, 2012
Year ending
December 31, 2013
Year ending
1,000.00
December 31, 2013
(Forecast)
Note: No revision has been made to the latest dividends forecast.

Year-endyen

Annual total
yen-

1,000.00

2,000.00-

1,000.00

2,000.00

3. Earnings Forecast for the Fiscal Year ending December 31, 2013
(January 1, 2013 – December 31, 2013)(Percentages indicate year-on-year changes)
Net income per
Net sales
million yen%

Operating income
million yen%

Six months ending
22,600 10.9
2,700
22.6
June 30, 2013
Year ending
48,200
8.3
7,400
13.5
December 31, 2013
Note: No revision has been made to the latest earnings forecast.

Net income
million yen
%

2,650

20.2

1,450

45.0

5,923.20

7,300

10.4

4,300

31.5

17,565.36*Notes(1) Changes affecting the consolidation status of significant subsidiaries during the period: None
(2) Use of accounting methods specific to the preparation of quarterly consolidated financial
statements: Yes(3) Changes in accounting policy, changes in accounting estimates, and retrospective
restatement
1) Changes in accordance with amendments to accounting standards, etc.: Yes
2) Changes other than noted in 1) above: None
3) Changes in accounting estimates: Yes
4) Retrospective restatement: None
(Note) This relates to Article 10-5 of the Regulations on the Terminology, Format andPreparation of Quarterly Consolidated Financial Statements. For details, please refer to“(3) Changes in Accounting Policy, Changes in Accounting Estimates, andRetrospective Restatement” in section “2. Other Information” on page 6 in theaccompanying materials.

2

share
yen

Ordinary income
million yen%

(3) Shares issued (common stock)1) Number of shares issued at end of period(including treasury stock)2) Number of shares held in treasury at end of
periodMarch 31, 2013

December 31, 2012

244,800

244,800--

Three Months ended Three Months ended
March 31, 2013
March 31, 2012
3) Average number of shares outstanding during
the period

244,800

244,800* Quarterly Review Status
This report is exempt from the review requirements of Japan’s Financial Instruments and Exchange Act. Asof this report publication, a review of the consolidated quarterly financial statements in accordance with the
Act is underway.

*Appropriate Use of Earnings Forecast and Other Important Information
The above forecasts are based on information available as of this report’s publication. Actual
results may differ from forecasts due to changes in the business environment. For theassumptions underlying the forecasts herein and other notice on the use of earnings forecasts,
please refer to “Earnings Forecast for the Fiscal Year ending December 31, 2013” in the section“Review of Consolidated Financial Results” on page 5 in the accompanying materials.

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Accompanying Material – Contents
1. Review of Consolidated Financial Results(1) Operating Results(2) Financial Condition(3) Earnings Forecast for the Fiscal Year ending December 31, 2013
2. Other Information(1) Changes in Significant Subsidiaries(2) Application of Specific Accounting Methods for the Preparation of Quarterly
Financial Statements(3) Changes in Accounting Policy, Changes in Accounting Estimates, andRetrospective Restatement
3. Consolidated Financial Statements(1) Consolidated Balance Sheets(2) Consolidated Statements of Income and Comprehensive Income
Consolidated Statements of Income
Consolidated Statements of Comprehensive Income(3) Note on the Going-concern Assumption(4) Note on Significant Changes in the Amount of Shareholders’ Equity(5) Segment Information
4. Supplementary Information

4

5
5
5
6
6
6
6
6
7
7
9
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10
11
11
11
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1. Review of Consolidated Financial Results(1) Operating Results
In the first three months of the fiscal year ending December 31, 2013, the Japanese economy
moved into a moderate recovery trend as reconstruction-related demand following the Great
East Japan Earthquake of March 2011 and other factors offset the negative impact ofslowdowns in overseas economies and protracted deflation in the domestic economy.
Meanwhile, the outlook for the economy has begun to brighten as expectations regarding thebold policies proposed by the new government that took office near the end of 2012 have led
to a rapid depreciation of the yen and fueled a robust stock market rally.
Amid this environment, the Best Bridal Group endeavored to increase sales and profitability
by continually creating new value in the guest house and wedding business throughhigh-quality, appealing outlets and value-added services, and by taking proactive efforts toenhance business efficiency.
As a result of the above factors, the Group posted consolidated net sales of ¥9,687 million
in the first quarter, an increase of 10.5% over the same period of the previous fiscal year.
Operating income totaled ¥560 million, a year-on-year increase of 62.4%, ordinary income
amounted to ¥640 million, up 47.6%, and net income totaled ¥301 million, a 260.0% gain
over the first quarter of the previous fiscal year.
The results for each business segment were as follows.
1. Domestic operations
Sales at the Group’s domestic operations increased in the first quarter of the year, supported
by an increase in weddings held at Best Bridal’s existing outlets and at consolidated
subsidiary Hospitality Network Corporation, which renovated its facilities in the previous fiscal
year.
As a result, net sales in the domestic business totaled ¥9,101 million, a year-on-yearincrease of 11.0%, and segment operating income reached ¥896 million, an increase of
50.1%.
2. Overseas operations
The number of weddings held and orders placed in the first quarter was largely unchanged
over the same period of the previous fiscal year despite a moderate recovery in overallmarket conditions.
Overseas business net sales for the quarter totaled ¥586 million, a year-on-year increase of
3.0%. However, the segment posted an operating loss of ¥34 million, compared with a profitof ¥17 million a year earlier.

(2) Financial Condition
Assets, liabilities, and net assets
Assets at the end of the first quarter (March 31, 2013) totaled ¥47,429 million, a decline of¥952 million from the end of the previous fiscal year (December 31, 2012) as a ¥567 million
increase in investments and other assets was offset by a ¥1,439 million decrease in cash andcash equivalents.
Liabilities at the end of the first quarter totaled ¥26,376 million, ¥1,189 million less than at
the end of the previous fiscal year. The reduction in liabilities is attributable to a ¥1,897 million
decrease in income taxes payable, which was partially offset by a net increase of ¥781 million
in long-term debt and bonds and an increase of ¥224 million in advances received.
5

Net assets at the end of the first quarter totaled ¥21,052 million, an increase of ¥237 million
from the end of the previous fiscal year. This increase was mainly due to the booking of ¥301
million in net income for the quarter, which outweighed the ¥244 million in dividends paid fromretained earnings.

(3) Earnings Forecast for the Fiscal Year Ending December 31, 2013
There is no change to the consolidated earnings forecasts for the six months ending June 30,
2013 and for the year ending December 31, 2013 announced on February 14, 2013.

2. Other Information(1) Changes in Significant Subsidiaries
Not applicable.

(2) Application of Specific Accounting Methods for the Preparation of Quarterly Financial
Statements(Simplified accounting methods)
1) Calculation method for depreciation of fixed assets
Depreciation expenses for assets to which the declining-balance method is applied are
calculated by allocating a quarterly proportion of the amount for the full fiscal year.
2) Calculation method for deferred tax assets and deferred tax liabilities
Regarding judgments on the amount of recoverable deferred tax assets, the Company has
determined that there have been no significant changes in the economic environment or
emergence of temporary differences since the end of the previous fiscal year, and therefore thecalculations are based on future earnings forecasts from the previous year and tax planning
methods.

(Special accounting treatments)
Calculation of taxes
The Company calculates tax liabilities by producing a reasonable estimate of the effective tax
rate after applying tax-effect accounting to income before income taxes and minority interests
for the fiscal year, which encompasses the three months ended March 31, 2013, and thenmultiplying income (loss) before income taxes and minority interests by this estimated effective
tax rate. In cases where this estimated effective tax rate cannot be used, the statutory effective
tax rate is used.
(3) Changes in Accounting Policies, Estimates, and Retrospective Restatement(Changes in accounting policies that are difficult to distinguish from changes in accounting
estimates)
In accordance with Japan's recent corporate tax law amendments and effective from the firstquarter of the fiscal year ending December 31, 2013, the method which the Company uses
for depreciation of tangible assets acquired on or after January 1, 2013 will be adjusted toreflect the revised corporate tax code. Impact on earnings for the three months ended March
31, 2013 was negligible.
63. Consolidated Financial Statements(1) Consolidated Balance Sheets

AssetsCurrent assets
Cash and deposits
Accounts receivable - trade
Merchandise
Raw materials and supplies
Other
Allowance for doubtful receivables
Total current assets
Fixed assets
Tangible assets
Buildings and structures, net
Land
Other, net
Total tangible assets
Intangible assets
Goodwill
Other
Total intangible assets
Investments and other assets
Lease and guarantee deposits
Other
Total investments and other assets
Total fixed assets
Deferred assets
Total assets

7

December 31, 2012
Amount(millions of yen)March 31, 2013
Amount11,314
333
39
327
1,188
(48)
13,154

9,874
343
6
365
1,082
(48)
11,623

16,2474,760
1,216
22,224

16,0274,767
1,403
22,199

1,042
231
1,273

1,022
216
1,238

5,827
5,870
11,69735,19532
48,381

5,899
6,437
12,33735,77530
47,429December 31, 2012
Amount(millions of yen)March 31, 2013
AmountLiabilities
Current liabilities
Accounts payable - trade
Short-term debt
Current portion of long-term debt
Current portion of bonds
Income taxes payable
Advances received
Provision for loss on cancellation of rental contract
Other
Total current liabilities

2,157
3,191
612
2,237
942
52
2,527
11,722

1,915
860
3,177
538
339
1,167
52
2,490
10,541

Fixed liabilities
Bonds
Long-term debt
Provision for employees’ retirement benefits
Provision for directors’ retirement benefits
Provision for loss on cancellation of rental contract
Asset retirement obligations
Other
Total fixed liabilities
Total liabilities

1,590
11,230
268
594
100
1,068
992
15,84427,566

1,398
11,432
282
604
87
1,072
958
15,83526,376472
634
19,72920,836472
634
19,786
20,893

41

95

13

28

(76)
(21)
20,81548,381

34
158
21,05247,429Net assets
Shareholders’ equity
Capital stock
Capital surplus
Retained earnings
Total shareholders’ equity
Accumulated other comprehensive income
Net unrealized gain on available-for-sale securities
Deferred gain (loss) on derivatives under hedge
accounting
Foreign currency translation adjustments
Total accumulated other comprehensive income
Total net assets
Total liabilities and net assets8(2) Consolidated Statements of Income and Comprehensive Income
Consolidated Statements of Income

Net sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Operating income
Non-operating income
Interest income
Gain on investments in silent partnership
Foreign exchange gains
Surrender value received
Gain on valuation of derivatives
Other
Total non-operating income
Non-operating expenses
Interest expenses
Other
Total non-operating expenses
Ordinary income
Extraordinary loss
Loss on disposal of fixed assets
Total extraordinary loss
Income before income taxes and minority interests
Income taxes
Income before minority interests
Net income

9

Three months
ended March 31,
2012
Amount
8,769
6,320
2,449
2,103
345

(millions of yen)Three months
ended March 31,
2013
Amount
9,687
6,757
2,929
2,368
560

14
44
62
49
3
12
188

16
57
46
31
151

81
18
99
434

67
3
71
640

434
350
83
83

17
17
623
321
301
301

Consolidated Statements of Comprehensive Income

Income before minority interests
Other comprehensive income
Net unrealized gain on available-for-sale securities
Deferred gain (loss) on derivatives under hedge
accounting
Foreign currency translation adjustments
Share of other comprehensive income of affiliates
accounted for under the equity method
Total other comprehensive income
Comprehensive income(Breakdown)Comprehensive income attributable to owners of theparentComprehensive income attributable to minority
interests

10

Three months
ended March 31,
2012
Amount83(millions of yen)Three months
ended March 31,
2013
Amount
301

41

53

8

15

31

103

9

7

91
175

180
482

175

482

-

-

(3) Note on the Going-concern Assumption
Not applicable(4) Note on Significant Changes in the Amount of Shareholders’ Equity
Not applicable(5) Segment and Other Information
I. Three months ended March 31, 2012 (January 1 to March 31, 2012)
1. Net sales and income/loss by reportable segment(millions of yen)
Reportable segment

Net sales
Sales to outside customers
Inter-segment sales andtransfers
Total
Segment income

Adjustments(note 1)

Amount recordedon consolidated
statements ofincome (note 2)

8,769

-

8,769

0

0

(0)

-

8,201

569

8,770

(0)

8,769

597

17

614

(269)

345

Domestic
operations

Overseas
operations

8,200

569

0

Total

Note: 1. The minus 269 million yen adjustment for segment income includes 3 million yen elimination ofinter-segment sales and minus 273 million yen of unallocated corporate expenses. The main
component of these unallocated corporate expenses is SG&A expenses that are not attributableto reportable segments.
2. Segment income adjustments are based on operating income reported on the quarterly
consolidated statements of income for the corresponding period.

2. Impairment loss on fixed assets or goodwill by reportable segment
Not applicable
II. Three months ended March 31, 2013 (January 1 to March 31, 2013)
1. Net sales and income/loss by reportable segment(millions of yen)
Reportable segment

Net sales
Sales to outside customers
Inter-segment sales andtransfers
Total
Segment income (loss)

Adjustments(note 1)

Amount recordedon consolidated
statements ofincome (note 2)

9,687

-

9,687

0

2

(2)

-

9,103

586

9,690

(2)

9,687

896

(34)

862

(301)

560

Domestic
operations

Overseas
operations

9,101

586

2

11

Total

Note: 1. The minus 301 million yen adjustment for segment income (loss) includes 3 million yen eliminationof inter-segment sales and minus 305 million yen of unallocated corporate expenses. The main
component of these unallocated corporate expenses is SG&A expenses that are not attributableto reportable segments.
2. Segment income adjustments are based on operating income reported on the quarterly
consolidated statements of income for the corresponding period.

2. Impairment loss on fixed assets or goodwill by reportable segment
Not applicable124. Other Information
Weddings Held, Orders Received, and Sales volume
1) Number of weddings held

Segment

Three months ended
March 31, 2012

Three months ended
March 31, 2013

Year ended December
31, 2012

Number of weddings

Number of weddings

Number of weddings

held (cases)

held (cases)

held (cases)

Domestic operations

1,812

2,084

9,543

Overseas operations

588

565

2,974

Total

2,400

2,649

12,5172) Orders received

Segment

Three months ended
March 31, 2012

Three months ended
March 31, 2013

Year ended December
31, 2012

Orders

Order

Orders

Order

OrdersOrder

receivedbacklog

receivedbacklog

receivedbacklog(cases)(cases)(cases)(cases)(cases)(cases)Domestic operations

3,163

6,813

2,851

6,963

10,277

6,196

Overseas operations

939

1,805

908

1,765

2,942

1,422

Total

4,102

8,618

3,759

8,728

13,2197,6183) Sales volume

Segment

Three months ended
March 31, 2012

Three months ended
March 31, 2013

Year ended December
31, 2012

million yen

million yen

million yen

Domestic operations

8,200

9,101

41,633

Overseas operations

569

586

2,861

Total

8,769

9,687

44,494

Notes: 1. Inter-segment transactions have been eliminated from the amounts shown above.
2. The above amounts do not include consumption tax.

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