Consolidated Financial Results
for the Third Quarter of the Fiscal Year Ending April 30, 2023
March 9, 2023
listedTokyo Stock Exchange
URL
http://www.tenpos.co.jp
Atsushi Morishita
Kazumitsu Morishita+81-3-3736-0319
Scheduled date of dividend payment commencement

Listed Company Name
Tenpos Holdings Co.
Code No.
2751
Representative
President
Contact Person
Management Dept.
Scheduled date of quarterly report submission March 10, 2023
Preparation of supplementary materials for quarterly financial results: Yes

Holding of quarterly financial results meeting: Yes (Web-based meeting for institutional investors)(Amounts are rounded down to million yen)

1. Consolidated Financial Results for the Third Quarter of the Fiscal Year Ending April 30, 2023
(May 1, 2022 - January 31, 2023)(1) Consolidated Operating Results (Cumulative)(Percentage figures represent changes from the same period of the previous year.)

Sales
Third Quarter
April 30, 2023
April 30, 2022
(Note)

Operating income

Profit attributable toowners of the parent

Ordinary profit

Millions of yen%

Millions of yen%

Millions of yen%

Millions of yen%

22,942
21,866

4.9
10.7

1,625
1,545

5.1
123.1

1,696
2,279

△25.6
155.2

1,057
1,347

△21.5
1,023.1

Comprehensive income

April 30, 2023

1,016 Millions of yen

Basic earnings
per share
Third Quarter
April 30, 2023
April 30, 2022.

(29.9)%)

April 30, 2022

1,449

Millions of yen(-%)

Diluted earnings
per share
Yen

Yen

88.76
113.42

87.68
112.24(2) Consolidated financial Position
Total assets
Third Quarter
April 30, 2023
April 30, 2022
(Reference)

net worth

April 30, 2023

Net assets

Capital adequacy ratio

Net assets per share

Millions of yen

Millions of yen%

Yen Yen

18,06918,826

13,77812,88368.9
61.1

1,043.74
965.12

12,443

Millions of yen

April 30, 2022

11,499Millions of yen

2. Dividends
Annual dividend
End of 1st quarter End of 2nd quarter End of 3rd quarter

April 30, 2022
April 30, 2023
Fiscal year ending April 2023
(forecast)Fiscal year-end

total amount

Yen

Yen

Yen

Yen

Yen

-

0.00
0.00

-

10.00

10.00

9.00

9.00

(Note) Revision of the most recently announced dividend forecast: Yes

3. Forecast of Consolidated Financial Results for the Fiscal Year Ending April 30, 2023
(May 1, 2022 - April 30, 2023)
Sales
full year(Percentage figures are comparisons with the previous year)
Profit attributable toOrdinary profit
Profit per shareowners of the parent

Operating income

Millions of yen%

Millions of yen

31,3007.9

2,130% Millions of yen

13.8

2,180

(Note) Revisions to the most recently announced earnings forecasts: Yes

1%

Millions of yen

%

Yen

△25.4

1,332

△15.0

111.83

Notes(1) Changes in significant subsidiaries during the period： None(Changes in specified subsidiaries resulting in changes in scope of consolidation)
Newly added: - (Company name), Excluded: (Company name)(2) Adoption of accounting methods specific to the preparation of quarterly consolidated financial statements： None(3) Changes in accounting policies, changes in accounting estimates, and restatements(i) Changes in accounting policies due to revisions of accounting standards, etc.

： Yes(2) Changes in accounting policies other than (1) above： None(3) Changes in accounting estimates： NoneRestatement： None(4) Number of shares issued and outstanding (common stock)
Ⅰ. Number of shares issued and outstanding at the endof the period (including treasury stock)
Ⅱ. Number of treasury stock at end of period
Ⅲ . Average number of shares during the period(cumulative quarterly period)

Apr. 2023 3Q

14,314,800 shares

April 30, 2022

14,314,800 shares

Apr. 2023 3Q

2,393,134 shares

April 30, 2022

2,400,132 shares

Apr. 2023 3Q

11,917,975 shares

April 2022 3Q

11,884,401 shares

The quarterly financial results are not subject to quarterly review by a certified public accountant or auditing firm.
Explanation of appropriate use of earnings forecasts and other special notes
The forward-looking statements, including earnings forecasts, contained in these materials are based on information currently available
to the Company and on certain assumptions deemed to be reasonable. Please refer to "1. Business Results, (3) Earnings Forecasts andOther Forward-Looking Statements" on page 7 of the attached materials for the precautionary statement regarding the use of earnings
forecasts.

2

Table of Contents of Attachments

1. Qualitative information on financial results for the Current Quarter..........................................................................4(1) Explanation of Operating Results ........................................................................................ .....................................4(2) Explanation of financial condition ..........................................................................................................................11(3) Explanation of consolidated earnings forecasts and other forward-looking information .......................................12

2. Quarterly Consolidated financial statements and key notes ........................ .................................... .......................13(1) Quarterly Consolidated Balance Sheets ............................................................................... .............................. ...13(2) Quarterly Consolidated Statements of Income and Comprehensive Income ..........................................................15(3) Notes to Quarterly Consolidated Financial Statements ...........................................................................................17(Notes on Going Concern Assumption) ........................ ...............................................................................................17(Notes in the event of significant changes in shareholders' equity) ..............................................................................17(Change in accounting policy) ........................... ....................... ...... ...........................................................................17(Segment Information) ........................... ......................... ...... .....................................................................................18(Revenue Recognition Standards) ................................... .............................................................................................18

3. others ........................... .............................. ..............................................................................................................193

Qualitative Information on Financial Results for the Current Quarter(1) Explanation of Operating Results
In the domestic economy, the restaurant industry is recovering from the Corona disaster and there is a growing appetite for capital
investment, including the resumption of store openings, but the business environment remains challenging due to rising raw material
prices and utility costs and a shortage of human resources once displaced by the Corona disaster. However, for the past several years,
when news of the deregulation of the Corona disaster was reported, the sales of the tableware division of Tenpos Busters Co. and thesales of the Asakuma Group Co. tended to increase first. in February 2023, the sales of the tableware division increased 141.7% yoy, andthe same for the Asakuma Group Co. Sales increased 155.4% y/y, and this trend continued in March. Since it takes time to open arestaurant, it will be two or three months before sales of kitchen equipment are linked to sales, so we expect sales to rise considerably inthe next fiscal year.
The Group, which sells kitchen appliances to restaurants and provides restaurant management support and restaurant management,
reported consolidated Sales of 22,942 million yen (up 4.9% year-on-year), operating income of 1,625 million yen (up 5.1% year-onyear), Ordinary profit of 1,696 million yen (down 25.6% year-on-year), and net income attributable to parent company shareholders of
1,057 million yen (down 21.5% year-on-year) for the third quarter of the fiscal year under review. Net income attributable to shareholdersof the parent company amounted to 1,057 million yen (down 21.5% year on year).
Operating income(Millions of yen)

Period from May 1, 2021
to January 31, 2022

Period from May 1, 2021
to January 31, 2022

Difference

Growth Rate

1,936

1,612

△ 323

△ 16.7

62

167

104

165.9%

Food and Beverage

△ 386

△ 77

308

Total

1,613

1,702

89

Segment Name
Product sales businessInformation and services business

Deficit
Improvement
5.6% (in %)(Note) The above figures are the results of the segment on a non-consolidated basis and do not correspond to the results of the segment information.

Ordinary profit(Millions of yen)

Period from May 1, 2021
to January 31, 2022

Period from May 1, 2021
to January 31, 2022

Difference

Growth Rate

2,064

1,675

△ 388

△18.8

Information and services business

93

192

98

105.9%

Food and Beverage

189

△ 93

△283

2,347

1,773

△573

Segment Name
Product sales businessTotal

turning a
deficit△24.4(Note) The above figures are the results of the segment on a non-consolidated basis and do not correspond to the results of the segment information.

A Summary by business segment is as follows.
(1) Product sales businessIn the product sales business, segment sales increased slightly to 16,076 million yen (up 1.4% year-on-year) due to lost sales
opportunities caused by delays in the delivery of new equipment by kitchen equipment manufacturers due to the recent economic
situation and stagnant sales of used kitchen equipment due to delays in the delivery of new parts.
Currently, the product sales business is aggressively developing new businesses and investing in human resources under the policy ofmoving away from simply selling merchandise to becoming a company that sells information and services useful for restaurant
management. Tenpos Busters Co., Ltd, our core business, has accepted a total of 69 employees on loan from Gurunavi, Inc. andTenpos.com Co., Ltd. has accepted 16 employees (as of January 2023) on loan from Gurunavi for 15 of its regular employees in orderto strengthen its web policies. Ltd. has accepted 16 employees (as of January 2023) on secondment from Gurunabi, Inc. As a result,selling, general and administrative expenses increased, and segment operating income for the merchandising business declined 16.7%
to 1,612 million yen in the third quarter of the current fiscal year. However, we view the investment in human resources as a necessary
investment as we aim to "doctor" restaurant management support. Next fiscal year will mark one year since employees seconded to
Gurunavi have been with the Group, and their activities are highly anticipated.

4

Storefront sales Used kitchen equipment sales Tenpos Busters Co., Ltd.
Sales: 12,276 million yen (+1.6% YoY) Operating income: 1,503 million yen (-6.9% YoY)
Tenpos Busters Co., Ltd, the largest used kitchen equipment sales company in Japan, will launch "Dr. Tenpos," an information andservice useful for restaurant management as well as product sales, in 2019. Tenpos Busters' growth strategy is to acquire customers who
open new restaurants and increase customer spend by providing "Dr. Tenpos" information and services that are useful for restaurant
management in addition to product sales. This is because although the number of new restaurant openings accounts for only 4% of the613,000 annual restaurant visits (24,000), it is a customer segment with growth potential, accounting for 37.9% of total sales. However,the doctor's road is still very far, and we are not in a position to say that we are providing support for restaurant management.
The number of customers who visited our stores during the period under review increased 1.5% year-on-year, and among them, thenumber of customers who opened new stores increased 10.2% year-on-year, a strong result. On the other hand, there has been an issue
with regard to the average spend per customer for new store openings: despite various efforts, there has been no significant growth in
the past few years. As a measure to increase the average spend per customer, we have been focusing on the real estate referral businesssince the third quarter of the current fiscal year. Since January 2023, we have obtained 818 registrations from restaurants wishing to open
new restaurants, while we have acquired information on 444 real estate properties for restaurants. In the future, we plan to introduce
properties to restaurants and at the same time increase the number of registered restaurants looking for properties to 10,000.
Sales activities by the outside sales force, which started in the first half of the fiscal year, mainly target customers opening newrestaurants. The force accompanies customers on property tours, attends meetings with interior decorators, and discusses kitchenequipment on site. Although this has raised the unit price per customer, the impact on the overall unit price per customer has not yet beensignificant because of the small number of 11 employees in the outside sales force nationwide. However, we feel that the unit price perorder for a complete kitchen set is high, and we intend to expand our outside sales force in the future.
In terms of merchandise measures, we have established a "Store Policy Section" to improve product displays, product assortments,
store promotional materials, customer service, and operations, and have begun providing on-site store guidance. This will improve thenumber of customers and sales per customer per store. Other initiatives include the renovation of Tenpos Busters Ichinomiya Store (Aichi
Prefecture) into a store specializing in the ramen business in January 2023, and the renovation of Nagoya Nakagawa Store (Aichi
Prefecture) into a store specializing in decorative items in the same month. By creating such specialized stores, we will create stores that
can attract customers from all over the country and from a wide area.
Direct sales of kitchen equipment to major restaurant companies Kitchen Techno Corporation
Sales 2,255 million yen (-2.2% YoY) Operating income 143 million yen (-19.3% YoY)
As a measure to expand sales, the Company launched a kitchen equipment inspection service, which led to an order for a new largescale project (sales of 48 million yen). However, a decline in renovation projects for supermarket companies, a major customer, due toa slowdown in nest egg consumption, and an increase in selling, general, and administrative expenses due to personnel reinforcement
resulted in lower sales and profits for the period under review.
Sales of kitchen equipment and consumer food products via web-based mail order Tenpos.com Co., Ltd.
Sales: 1,884 million yen (-3.1% YoY) Operating income: 3 million yen (-95.2% YoY)
Delays in the delivery of refrigeration equipment, which had affected the company since the previous fiscal year, began to ease frommid-December 2022, but the aggressive acceptance of personnel from Gurunavi resulted in a 35.4% increase in selling, general andadministrative expenses, which could not offset the increase in expenses, resulting in a decrease in profit. We are screwed.
As a result of measures to increase the number of accesses through SEO and other measures, the number of visitors increased 19.9%
year-on-year, and although we saw signs of a recovery in business performance, we were at a loss as the number of orders received
declined 13.0% year-on-year. Despite this situation, we are planning to release a series of new web pages and websites in the next fiscal
year, as we have thickened our web-savvy workforce through investment in human resources. Now that we are on track to supply
refrigeration equipment, it looks like we will be able to get out of our dark period.
As a new initiative in the third quarter of the current fiscal year, we launched a new business that provides total support for property
introductions, interior design, and kitchens, and we will work to expand this business to become a pillar of earnings in the next fiscal
year, armed with the ability to transmit information and attract customers by making full use of the Web.

5

The results of each company in the merchandise sales business are as follows.
Amount of Sales
Company Name(Millions of yen)

Period from May 1, 2021
to January 31, 2022

Period from May 1, 2021
to January 31, 2022

Difference

GrowthRate

Tenpos Busters Co., Ltd.

12,07812,276197

1.6%

Kitchen Techno Corporation

2,306

2,255

△50

△2.2

Tenpos.com Co., Ltd.

1,944

1,884

△60

△ 3.1

Total

16,32916,41687

0.5%(Note) The above figures are the results of the Company's subsidiaries on a non-consolidated basis and do not correspond to the results in the segment information.

Operating income
Company Name(Millions of yen)

Period from May 1, 2021
to January 31, 2022

Tenpos Busters Co., Ltd.

Period from May 1, 2021
to January 31, 2022

Difference

Growth
Rate

1,614

1,503

△110

△6.9

Kitchen Techno Corporation

177

143

△34

(19.3%)

Tenpos.com Co., Ltd.

68

3

△65

(95.2%)

1,860

1,650

△210

△ 11.3

Total(Note) The above figures are the results of the Company's subsidiaries on a non-consolidated basis and do not correspond to the results in the segment information.

Ordinary profit
Company Name(Millions of yen)
Period from May 1, 2021
to January 31, 2022

Tenpos Busters Co., Ltd.

Period from May 1, 2021
to January 31, 2022

Difference

Growth
Rate

1,630

1,514

△115

△ 7.1

Kitchen Techno Corporation

180

147

△33

△18.6

Tenpos.com Co., Ltd.

68

3

△65

(94.9%)

1,879

1,665

△214

△ 11.4

Total(Note) The above figures are the results of the Company's subsidiaries on a non-consolidated basis and do not correspond to the results in the segment information.

(2) Information and services businessWith an increase in the number of restaurants investing in sales promotion, human resources, and equipment as they recover from theCorona disaster, segment Sales for the period under review increased 18.7% year on year to 3,005 million yen, and segment operating
income rose 165.9% to 167 million yen, with both sales and income up. The POS system sales and temporary staffing services businesses
were the main drivers of the segment's growth.
Interior construction and design Studio Tenpos Co.
Sales: 620 million yen (-11.9% YoY) Operating income: 19 million yen (-55.2% YoY)
Although the number of construction contracts received during the period under review increased 8.7% year-on-year, Sales declined
due to a decrease in the number of new store opening customers with high per-customer prices. In order to increase the number of orders
from new store-opening customers, the training of human resources hired in anticipation of the recovery of the Corona disaster is an
issue.
POS system and ASP sales Tenpos Johokan Co.
Sales: 720 million yen (+33.0% YoY) Operating income: 79 million yen (+55.1% YoY)
Orders for table order systems and mobile order systems increased due to factors such as increased demand for contactless information
devices in the wake of the Corona disaster. In addition, the distribution of new POS equipment units is in short supply due to the shortageof semiconductors, resulting in a 33.3% year-on-year increase in sales volume of used POS, a strong point of strength.
As for new initiatives, we have completed development of a new cashless ticket vending machine in January 2023, and will start sales

6

in February. On the sales front, we have developed 12 companies that sell our products on our behalf. We will continue to expand oursales network.
Financial services and real estate brokerage Tempus Financial Trust Co.
Sales: 625 million yen (+7.0% YoY) Operating income: 33 million yen (+22.7% YoY)
The number of credit and lease transactions, the mainstay of the finance division, increased and contributed to earnings as the appetite
for capital investment in restaurants recovered from the Corona disaster. In the real estate business, an increase in the number of contracts
concluded due to an increase in the number of contract employees engaged in the mainstay sale and brokerage of unoccupied properties,
as well as new sublease contracts, resulted in an increase in both revenue and profit for the period under review.
Support for attracting customers Profit Laboratory Inc.
Sales: 88 million yen (+3.5% YoY) Operating income: 8 million yen (vs. operating loss of 8 million yen in the same period of theprevious year)
As major restaurant companies, which are our main customers, have gradually resumed sales promotion activities, orders for our main
business, FAXDM service "Manzoku FAX," are on a recovery trend. However, since the current number of orders is about 70% of thenumber of orders before the Corona disaster, it has not recovered to the level before the Corona disaster.
Temporary staffing, placement and contracting services D-Spark Inc.
Sales: 833 million yen (+51.1% YoY) Operating income: 25 million yen (vs. operating loss of 21 million yen in the same period lastyear)
In the temporary staffing business, the number of orders received in the customer service temporary staffing business increased
significantly due to the significant easing of behavioral restrictions. Other factors, including the acquisition of "bulk store contracting"orders for food and beverage outlets, including sweets, resulted in a 51.1% year-on-year increase in Sales for the period under review.
DSPARK Corporation intends to continue to focus on human resource services, including bulk store outsourcing services, as it aims toshift from a temporary staffing company specializing in customer service to a comprehensive human resource services company.
Web services, Dr. Tenpos new business development Tenpos Food Place Inc.
Sales: 134 million yen (+47.6% YoY) Operating income: 0 million yen (vs. operating loss of 16 million yen in the same period of theprevious year)
Due to the strengthening of the sales promotion support business and the increase in sales in the settlement business, sales in the
cumulative third quarter increased 47.6% year-on-year, gross profit increased 72.5%, and operating profit reached the highest level since
the establishment of the company during the same period. It turned black. However, we are not happy with the turnaround of Tenpos
Food Place, Inc. as it is positioned as a "research and development company" for new businesses in our group. In the new businessdevelopment of "Dr. Tenpos," the company is working on the development of new businesses. In new business development for "Dr.
Tenpos," we have finally begun to make progress in the development of a PR site specializing in food and beverage and a new service
to support customers in selecting restaurants with close ties to the community.
In the sales promotion support business, which includes website creation and SNS operation support for restaurants, we are currently
restructuring our service design. In order to become an indispensable company for restaurants, we will further focus on new businessdevelopment and promote the development of businesses that will become pillars for the next fiscal year and beyond.
The results of each company in the information and services business are as follows.
Sales (non-consolidated)(Millions of yen)Company Name

Period from May 1, 2021
to January 31, 2022

Period from May 1, 2021
to January 31, 2022

Difference

Studio Tenpos Corporation

704

620

△83

Tenpos Johokan Co.

541

720

178

585

625

40

85

88

2

Corporation
Tempo Financial Trust
Corporation
profit laboratory

7

GrowthRate△ 11.933.0%(1.0)
7.0% (1.0)
3.5%(3.5%)

D-Spark Corporation

551

833

281

Tenpos Food Place Co.

91

134

43

2,558

3,022

463

total amount

51.1%(in %)
47.6%(in %)
18.1%(in %)(Note) The above figures are the results of the Company's subsidiaries on a non-consolidated basis and do not correspond to theresults in the segment information.
Operating income (non-consolidated)
Company Name(Millions of yen)
Period from May 1, 2021
to January 31, 2022

Period from May 1, 2021
to January 31, 2022

Difference

GrowthRate(55.2%)

Studio Tenpos Corporation

43

19

△23

(55.2%)(55.2%)

Tenpos Johokan Co.

51

79

28

27

33

6

△8

8

16

D-Spark Corporation

△21

25

46

Tenpos Food Place Co.

△16

0

17

74

166

91

Corporation
Tempo Financial Trust
Corporation
profit laboratory

total amount

55.1
22.7%
(in %)
returning to
profitreturning to
profiteliminationof a deficit
122.0%(1.0)(Note) The above figures are the results of the Company's subsidiaries on a non-consolidated basis and do not correspond to theresults in the segment information.

8

Ordinary profit (non-consolidated)(Millions of yen)
Period from May 1, 2021
to January 31, 2022

Studio Tenpos Corporation

43

20

△22

△ 51.8

Tenpos Johokan Co.

51

79

28

54.7% (%)

27

33

6

△4

8

12

D-Spark Corporation

weak2

25

28

Tenpos Food Place Co.

△15

1

17

98

169

70

Corporation
Tempo Financial Trust
Corporation
profit laboratory

total amount

Period from May 1, 2021
to January 31, 2022

GrowthCompany Name

Difference

Rate

22.5%
(in %)
returning to
profitreturning to
profitreturning to
profit
72.1% (1)(Note) The above figures are the results of the Company's subsidiaries on a non-consolidated basis and do not correspond to theresults in the segment information.
Food & Beverage
In the restaurant industry, due to the easing of action restrictions and other factors, segment sales in the restaurant business increased
12.0% year-over-year to 4,513 million yen and segment operating loss amounted to 77 million yen (versus a segment operating loss of
386 million yen in the same period of the previous year).
Restaurant Management Akasuma Co.
Sales: 4,535 million yen (11.1% increase y/y) Operating income: 0 million yen (operating loss of 221 million yen in the same period of
the previous year)
Although both sales and operating income improved, the number of customers visiting the store remained in the 70% range comparedto the pre-Corona disaster period (April 2020), and the Company focused on activities to attract customers and to improve productivity
and customer service during the period under review.
To attract customers, some restaurants began offering low-priced lunches of 780 yen and 980 yen to attract new customers. The "Big
Hamburger Steak," a visually impressive 300 g hamburger steak, served with salad or corn soup and rice for 980 yen, became the fifth
most popular lunch menu item sold on weekdays. On the other hand, with the aim of becoming known as "Asakuma when it comes tosteak," the tenderloin steak, for which there were many requests for its revival, was sold as a year-end fair item, and prime rank sirloin
steak, the highest rank available in the United States, was sold for a limited time. In addition, we have worked on product measures thatare distinct from the lunch menu, such as the sale of prime rank sirloin steak, the highest rank in the United States, for a limited time. In
addition, the number of salad bar items was increased from about 15 to about 25, and is currently being increased to 45 at some restaurants.
We have also increased the number of salad bar items from about 15 to about 25, and are now offering 45 items at some of our restaurants.
We have been working on measures so that when customers who had shunned the salad bar in the aftermath of the Corona disaster andstayed away return, they will be surprised.
In order to improve productivity and customer service, we have been working on training by reviewing staff assignments according
to the expected number of customers and conducting customer service tests. Although we have not yet reached the level we are aiming
for, we have begun to receive compliments from customers. However, despite our efforts to this point, we have not been able to escapethe effects of the Corona disaster, and our performance has not been good.
In store development, the number of stores decreased by one franchised store, resulting in 61directly managed stores and 4 franchised
stores for Asakuma Corporation and 10 directly managed stores (one store is closed) for Asakuma Succession Corporation, bringing thetotal number of stores in the Asakuma Group to 75.
Dream Dining Inc.
Sales: 118 million yen (+29.6% YoY) Operating loss: 11 million yen (vs. operating loss of 20 million yen in the same period last year)
Dream Dining Corporation, which operates "Kaisen-Oh" and "Osaka-Dojima Toro-ya" mainly in commercial facilities, raised product9

prices by 5-10%, partly due to soaring purchase prices of key ingredients such as tuna and salmon. In addition, as the number of visitors
to commercial facilities has recovered due to the easing of behavioral restrictions, the company has implemented menu measures toattract new customer segments and sales promotion activities to attract repeat customers.

10

The results of each company in the food and beverage business are as follows.
Sales(Millions of yen)Company Name

Period from May 1, 2021
to January 31, 2022

Akasuma Corporation
Dream Dining Co.
total amount

Period from May 1, 2021
to January 31, 2022

Difference

4,082

4,535

452

91

118

27

4,174

4,654

479

GrowthRate
11.1% (1)29.6%
(in %)
11.5(Note) The above figures are the results of the Company's subsidiaries on a non-consolidated basis and do not correspond to theresults in the segment information.
Operating income
Company Name(Millions of yen)
Period from May 1, 2021
to January 31, 2022

Period from May 1, 2021
to January 31, 2022

Difference

Akasuma Corporation

△221

0

221

Dream Dining Co.

△20

△11

9

GrowthRateeliminationof a deficit
Deficit
Improvement
Deficit

total amount

△241

△10

230

Improvement(Note) The above figures are the results of the Company's subsidiaries on a non-consolidated basis and do not correspond to theresults in the segment information.
Ordinary profit (non-consolidated)
Company Name(Millions of yen)
Period from May 1, 2021
to January 31, 2022

Period from May 1, 2021
to January 31, 2022

Difference

Akasuma Corporation

316

△27

△343

Dream Dining Co.

17

0

△18

334

△27

△361

total amountGrowthRateturning a
deficitturning a
deficitturning a
deficit(Note) The above figures are the results of the Company's subsidiaries on a non-consolidated basis and do not correspond to theresults in the segment information.

(2) Explanation of Financial Condition
Total assets at the end of the third quarter of the current consolidated fiscal year amounted to 18,069 million yen, down 756 million
yen from the end of the previous consolidated fiscal year. The details are as follows.
(Current assets)
Current assets totaled 15,122 million yen at the end of the third quarter of the current fiscal year, down 647 million yen from the endof the previous fiscal year. The main factors were a decrease of 1,167 million yen in cash and deposits and an increase of 736 million
yen in inventories.
(Fixed assets) The balance of fixed assets at the end of the third quarter of the current consolidated fiscal year was 2,947 million yen, adecrease of 109 million yen from the end of the previous consolidated fiscal year. The main factor was a decrease of 119 million yen indeferred tax assets.
（Current liabilities)
Current liabilities at the end of the third quarter amounted to 3,962 million yen, down 1,583 million yen from the end of the previous

11fiscal year. The main factors were a 620 million yen decrease in income taxes payable and a 250 million yen decrease in short-term loans
payable.
（Long-term liabilities)
The balance of noncurrent liabilities at the end of the third quarter of the current consolidated fiscal year was 329 million yen, adecrease of 67 million yen from the end of the previous consolidated fiscal year. The main factor was a decrease of 77 million yen in
long-term loans payable.
(Net assets)
Total net assets at the end of the third quarter of the current consolidated fiscal year amounted to 13,778 million yen, an increase of
894 million yen from the end of the previous consolidated fiscal year. The main factor was a 938 million yen increase in retained earnings.

(3) Explanation of consolidated earnings forecasts and other forward-looking information
The Company has revised its

consolidated earnings forecast for the fiscal year ending April 30, 2023, which was announced on

December 8, 2022. For details, please refer to the "Notice of Revision of Full-Year Earnings Forecasts for the Fiscal Year Ending April
30, 2023" released on March 9, 2023.

12

Quarterly consolidated financial statements and key notes(1) Quarterly Consolidated Balance Sheets(Millions of yen)
Current Consolidated
Third Quarter(January 31, 2023)

End of Previous fiscal year
(April 30, 2022)
AssetsCurrent assets
cash on hand and in banks
Notes and accounts receivable-trade

10,356
1,498

9,188
1,570

inventories
Other

3,175
743

3,911
454

Allowance for doubtful accounts

weak2

weak2

Total current assets

15,77015,122

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

448
57

476
59

lot
Other, net

87
152

87
75

Total property, plant and equipment

746

699

111

104

111

104

fixed assets
property, plant and equipment

Intangible fixed assets
Other
Total intangible assets
Investments and other assets
Investments in securities

86

100

Shares of subsidiaries and affiliates
long-term loans

936
394

989
391

Lease and guarantee deposits
deferred tax asset

906
196

904
77

Bankruptcy reorganization claims, etc.
Other

812
118

814
98

Allowance for doubtful accounts△1,254△1,233

Total investments and other assets

2,198

2,142

3,056

2,947

18,826

18,069Total fixed assets
total assets

13

(Millions of yen)
Current Consolidated
Third Quarter(January 31, 2023)

End of Previous fiscal year
(April 30, 2022)
Liabilities
current liabilities
Notes and accounts payable-trade
Short-term debt

1,842
250

1,796
-

Current portion of long-term debt
Income taxes payable

83
719

11
99

Allowance for shareholder special benefit
Allowance for bonuses

195
267

84
138

Allowance for product warranties
Other

31
2,156

24
1,807

Total current liabilities

5,546

3,962

Long-term debt
Liabilities for retirement benefits

173
5

96
5

Asset retirement obligations
Other

90
126

90
136

fixed liabilities

Total long-term liabilities
total liabilities

397

329

5,943

4,291

Total net assets
capital stock
capital stock

509

499

Capital surplus
Retained earnings

843
11,150856
12,089treasury stock△1,009△1,006

Total shareholders' equity

11,494

12,43854

5

4

Accumulated other comprehensive income
Net unrealized gains (losses) on available-for-salesecurities, net of taxes
Total accumulated other comprehensive income
subscription warrant

199

214

Noncontrolling interest

1,185

1,120

Total net assets

12,883

13,77818,826

18,069Total liabilities and net assets

14

(2) Quarterly Consolidated Statements of Income and Quarterly Consolidated Statements of Comprehensive Income
Consolidated Quarterly Statements of Income
Third Quarter consolidated cumulative period

Sales
cost of sales

Third Quarter ofPrevious year
From: May 1, 2021
To: January 31, 2022
21,866
13,778(Millions of yen)
Third Quarter ofCurrent year
From: May 1, 2022
To: January 31, 2023
22,942
14,082Gross profit

8,088

8,859

Selling, general and administrative expenses

6,542

7,234

Operating income

1,545

1,625

3

1

Dividends received
Equity in earnings of affiliates

0
94

0
53

Subsidy income
Other

590
53

11
45

Total non-operating income

742

112

Non-operating expenses
Loss on reduction of grants-

37

interest expense
Allowance for doubtful accounts

4
-

2
-

Other

4

1

Non-operating income
interest income

Total non-operating expenses

8

41

2,279

1,696

-

13

8
15

0
-

83

-

12

-

6

6

125

20

Loss on disposal of fixed assets
Loss on store closures

5
12

1
9

Provision for loss on litigation
Provision for special account for unsettled advanced
depreciation
Losses due to temporary closures, etc.
settlement money

38

-

83

-

8
-

8

Ordinary profit
ExtraOrdinary profit
Reversal of unsettled special account for advanced
depreciation
Gain on sales of fixed assets
Subsidy income
insurance margin
Difference on fulfillment
obligations
Other

of

asset

retirement

Total extraOrdinary profit
Extraordinary loss

Other
Total extraordinary loss
Income before income taxes and minority interests

3

1

151

21

2,254

1,694

Corporate, inhabitant and enterprise taxes
Income taxes-deferred

755
50

557
120

Total income taxes

806

677

1,447

1,017

Net income
Net income (loss) attributable to noncontrolling interests
Net income attributable to owners of the parent

15

99

△40

1,347

1,057

Consolidated Quarterly Statements of Comprehensive Income
Nine Months Ended December 31, 2012

Net income
Other comprehensive income
Net unrealized gains (losses) on available-for-salesecurities, net of taxes
Total other comprehensive income

Third Quarter ofPrevious year
From: May 1, 2021
To: January 31, 2022
1,447(Millions of yen)
Third Quarter ofCurrent year
From: May 1, 2022
To: January 31, 2023
1,017

2

△0

2

△0

Comprehensive income

1,449

1,016

(Breakdown)Comprehensive income attributable to owners of theparentComprehensive income attributable to noncontrollinginterests

1,349

1,056

99

△40

16

(3) Notes to Quarterly Consolidated Financial Statements(Notes on premise of a going concern)
Not applicable.
(Notes in the event of significant changes in shareholders' equity)
Nine Months Ended January 31, 2022 (May 1, 2021 - January 31, 2022)
Dividends paid

resolution

Type ofsharesTotal amount ofdividends(Millions ofyen) Dividend
per share (yen)June 10, 2021
Board of Directors

commonstock

95

Dividend per
share
Dividend pershare (yen)Reference Dateeffective date

Source ofdividends

8

April 30, 2021

July 29, 2021

Retainedearnings(2) Dividends with a record date in the third quarter of the current consolidated cumulative period but an effective date after the endof the third quarter of the current consolidated fiscal year
Not applicable.
Significant changes in shareholders' equity
The Company disposed of treasury stock as restricted stock compensation in accordance with the resolution of the Board of
Directors meeting held on July 15, 2021. As a result of this disposal, treasury stock decreased by 18 million yen and amounted to
1,018 million yen at the end of the third quarter of the current fiscal year.
Nine Months Ended January 31, 2023 (May 1, 2022 - January 31, 2023)
Dividends paid

resolution

Type ofsharesTotal amount ofdividends(Millions ofyen) Dividend
per share (yen)Dividend per
share
Dividend pershare (yen)Reference Dateeffective date

Source ofdividends

June 10, 2022
Board of Directors

common
stock

119

10

April 30, 2022

July 28, 2022

Retainedearnings(2) Dividends with a record date in the third quarter of the current consolidated cumulative period but an effective date after the endof the third quarter of the current consolidated fiscal year
Not applicable.
Significant changes in shareholders' equity
Not applicable.
(Change in accounting policy)(Guidance on Accounting Standard for Measurement of Fair Value)
The "Guidance on Accounting Standard for Measurement of Fair Value" (ASBJ Guidance No. 31, June 17, 2021; hereinafterreferred to as "Guidance on Accounting Standard for Measurement of Fair Value") The "Guidance on Accounting Standard for
Measurement of Fair Value" (ASBJ Guidance No. 31, June 17, 2021) The new accounting policy prescribed by the "Guidance on
Accounting Standard for Measurement of Fair Value" (ASBJ Guidance No. 31, June 17, 2021) is applied from the beginning of thefirst quarter of the current fiscal year, and the new accounting policy prescribed by the Guidance is applied prospectively inaccordance with the transitional treatment prescribed in Paragraph 27-2 of the Guidance on Accounting Standard for Measurementof Fair Value. There is no impact on the quarterly consolidated financial statements.

17

(Segment Information, etc.)
Segment information
I Nine months ended January 31, 2022 (May 1, 2021 - January 31, 2022)
1. Information on Sales and profit or loss by reportable segment(Millions of yen)
Reportable Segment
Adjustment

Quarterly
consolidated
profitstatement

Product sales
business

Information &Services
Business

Revenue fromcontracts withcustomers

15,586

2,275

4,004

21,866-

21,866

Other income

-

-

-

-

-

-

To outside customers
Sales

15,586

2,275

4,004

21,866-

21,866

Intersegment sales andtransfers

268

253

24

546

△546

-

plan

15,854

2,528

4,029

22,413△546

21,866

Segment income (loss)(Loss) (-)

1,936

62

△386

1,613

△67

1,545

Food andBeverage

Total

Sales

(Note) Segment income (loss) is adjusted with operating income in the quarterly consolidated statements of income. The segment income (loss) adjustment of -67 million yen
includes -60 million yen in corporate expenses that are not allocated to each reportable segment. Corporate expenses mainly consist of expenses related to theadministration division of the head office that do not belong to any reportable segment.

Current Consolidated Cumulative Third Quarter (May 1, 2022 - January 31, 2023)
1. Information on Sales and profit or loss by reportable segment(Millions of yen)
Reportable Segment

Quarterly
consolidated
Adjustment
profitstatement

Product sales
business

Information &Services
Business

Revenue fromcontracts withcustomers

15,764

2,692

4,484

22,942-

22,942Other revenues

-

-

-

-

-

-

To outside customers
Sales

15,764

2,692

4,484

22,942-

22,942

Intersegment sales andtransfers

311

308

28

648

△648

-

plan

16,076

3,000

4,513

23,590△648

22,942

Segment income (loss)(Loss) (-)

1,612

167

△77

1,702

△77

1,625

Food andBeverage

Total

Sales

(Note) Segment income (loss) is adjusted with operating income in the quarterly consolidated statements of income. The segment income (loss) adjustment of -77 million yen
includes -68 million yen in corporate expenses that are not allocated to each reportable segment. Corporate expenses mainly consist of expenses related to theadministration division of the head office that do not belong to any reportable segment.

(Revenue Recognition)
Information that breaks down revenue from contracts with customers is presented in the "Notes (Segment Information)" section.

18

3. others
Significant Events Regarding Going Concern Assumption
Not applicable.

19