Note: This document is a translation of the original Japanese document and is only for reference purposes. In the event ofany discrepancy between this translated document and the Japanese original, the latter shall prevail.

Consolidated Financial Results for the First Three Months of
the Fiscal Year Ending February 29, 2024
(under Japanese GAAP)
July 7, 2023
Company name:
Listing:
Securities code:
URL:
Representative:
Inquiries:
TEL:

LIFE CORPORATIONTokyo Stock Exchange8194
http://www.lifecorp.jp/
Takaharu Iwasaki, Representative Director and President
Kazuo Kaneko, Executive Officer, Deputy Division COO, Corporate Finance andAccounting Division, and General Manager, Investor Relations Department+81-3-5807-5111 (from overseas)

Scheduled date to file Quarterly Securities Report:
July 14, 2023–
Scheduled date to commence dividend payments:
Preparation of supplementary material on quarterly financial results: None
Holding of quarterly financial results meeting:
None

1.

(Amounts less than one million yen are rounded down.)
Consolidated financial results for the first three months of the fiscal year ending February 29, 2024
(from March 1, 2023 to May 31, 2023)(1) Consolidated operating results (cumulative)
Operating revenue
Three months ended(Percentages indicate year-on-year changes.)

Operating profit

Millions of yen%

Millions of yen

195,864

5.4

May 31, 2022
185,780
Note: Comprehensive income
Three months ended May 31, 2023:
Three months ended May 31, 2022:–

May 31, 2023

Profit attributable toowners of parent

Ordinary profit%

Millions of yen%

Millions of yen

%

6,347

15.0

6,559

14.7

4,418

11.0

5,520

(34.4)

5,720(33.5)

3,981(34.4)¥4,360 million [10.5%]¥3,944 million [(33.8)%]

Reference: Operating revenue is the total of net sales and receipts from operating revenue.
Net sales
Three months ended May 31, 2023:
Three months ended May 31, 2022:¥188,981 million [5.4%]¥179,223 million [–%]

Receipts from operating revenue
Three months ended May 31, 2023:
Three months ended May 31, 2022:¥6,882 million [5.0%]¥6,556 million [–%]

Earnings per share
Three months ended
May 31, 2023

Diluted earnings per share
Yen

Yen

94.16



May 31, 2022
84.95

Note: The Company has applied the “Accounting Standard for Revenue Recognition” (ASBJ Statement No. 29), etc., from the beginningof the first quarter of the fiscal year ended February 28, 2023. Figures for the three months ended May 31, 2022 represent theamounts after applying the said accounting standard, etc., and do not include year-on-year changes for operating revenue.

(2) Consolidated financial position
Total assets
As of

Net assets

Equity ratio

Net assets per share

Millions of yen

Millions of yen%

Yen

May 31, 2023

277,537

124,71744.9

2,657.64

February 28, 2023

280,810122,00243.4

2,599.79

Reference: Equity
As of May 31, 2023:
As of February 28, 2023:

2.

¥124,717 million¥122,002 million

Cash dividends
Annual dividends
First quarter-end

Second quarter-end

Third quarter-end

Fiscal year-end

Total

Yen

Yen

Yen

Yen

Yen

Fiscal year ended
February 28, 2023



35.00



35.00

70.00

Fiscal year ending
February 29, 2024



40.00



40.00

80.00

Fiscal year ending
February 29, 2024
(Forecast)
Note:

3.

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

Consolidated earnings forecasts for the fiscal year ending February 29, 2024
(from March 1, 2023 to February 29, 2024)(Percentages indicate year-on-year changes.)
Operating revenue

Fiscal year ending
February 29, 2024
Note:

Operating profit

Profit attributable toowners of parent

Ordinary profit

Earnings per
share

Millions ofyen%Millions ofyen%Millions ofyen%Millions of
yen

%

Yen

801,000

4.6

19,8003.4

20,5002.4

13,5001.3

288.02

Revisions to the consolidated earnings forecasts most recently announced: None

* Notes(1) Changes in significant subsidiaries during the period (changes in specified subsidiaries resulting in thechange in scope of consolidation): None
(2) Application of special accounting treatment to the preparation of quarterly consolidated financial
statements: None
(3) Changes in accounting policies, changes in accounting estimates, and restatement of prior period financial
statements
i. Changes in accounting policies due to revisions to accounting standards and other regulations: None
ii. Changes in accounting policies due to other reasons: Noneiii. Changes in accounting estimates: None
iv. Restatement: None
(4) Number of issued shares (ordinary shares)
i. Total number of issued shares at the end of the period (including treasury shares)
As of May 31, 2023
49,450,800 shares
As of February 28, 2023
49,450,800 shares
ii. Number of treasury shares at the end of the period
As of May 31, 2023
2,522,879 shares
As of February 28, 2023
2,522,786 sharesiii. Average number of shares during the period (cumulative from the beginning of the fiscal year)
Three months ended May 31, 2023
46,927,963 shares
Three months ended May 31, 2022
46,867,292 shares
Note: The number of treasury shares at the end of the period includes the Company’s shares (84,300 shares
as of May 31, 2023, and 84,300 shares as of February 28, 2023) held by Custody Bank of Japan, Ltd.
(Trust Account) as the trust assets for the “Trust for Delivering Shares to Directors.”
In addition, the Company’s shares held by Custody Bank of Japan, Ltd. (Trust Account) are includedin the treasury shares that are excluded from the calculation of the average number of shares during
the period. (84,300 shares for the three months ended May 31, 2023, and 90,300 shares for the threemonths ended May 31, 2022)* Quarterly financial results reports are not required to be subjected to quarterly financial reviews conducted bycertified public accountants or an audit corporation.
* Proper use of earnings forecasts, and other special matters
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. Actual
business and other results may differ substantially due to various factors. Please refer to “1. Qualitative
information on quarterly financial results, (3) Explanation of consolidated earnings forecasts and other suchforward-looking information” on page 3 of the attached material for the suppositions that form the assumptions
for earnings forecasts and cautions concerning the use thereof.

Attached material
1. Qualitative information on quarterly financial results .......................................................................................................... 2(1) Explanation of operating results .....................................................................................................................................2(2) Explanation of financial position ....................................................................................................................................3(3) Explanation of consolidated earnings forecasts and other such forward-looking information ........................................3
2. Quarterly consolidated financial statements and significant notes thereto ........................................................................... 4(1) Quarterly consolidated balance sheet ..............................................................................................................................4(2) Quarterly consolidated statement of income and consolidated statement of comprehensive income .............................6
Quarterly consolidated statement of income (cumulative) ..............................................................................................6
Quarterly consolidated statement of comprehensive income (cumulative) .....................................................................7(3) Notes to quarterly consolidated financial statements ......................................................................................................8
Notes on premise of going concern .................................................................................................................................8
Notes on the event of significant changes in the amount of shareholders’ equity ...........................................................8
Segment information, etc. ...............................................................................................................................................8
Significant subsequent events .........................................................................................................................................9-1-

1. Qualitative information on quarterly financial results(1) Explanation of operating results
During the first three months of the current fiscal year, the outlook for the Japanese economy
remained uncertain due to ongoing inflation stemming from the rise in resource prices under theunstable international situation, financial instability, particularly in the U.S. and economic
stagnation due to global scale monetary tightening, as well as the impact from the depreciation of
the yen. However, further advancements were made in the normalization of socioeconomic
activities due to the change in the legal status of COVID-19 and the abolition of activity
restrictions. As a result, with the support from the recovery in consumer spending and inbounddemand, the Group’s operating revenue as well as all profit items exceeded the results of the same
period of the previous fiscal year.
In the food supermarket industry, which is the Group’s area of business, the environment
surrounding corporate operations is unpredictable due to intensifying competition across industries
and business categories, rising procurement costs for raw materials, soaring utilities expenses, labor
expenses and other costs, and the heightened tendency to economize due to declining real wages
attributed to higher prices such as the successive hikes in food prices. In this economic
environment, based on the reflections of the 6th Medium-Term Plan and changes in the external
environment, the Group is working on the 7th Medium-Term Plan with the following three key
themes from the current fiscal year to realize our Corporate Philosophy, Vision, and the “True to
LIFE Declaration,” with a view to looking toward to what we want to be in fiscal 2030.
•

Investment in people – We invest in growth of personnel and a motivating workplaceenvironment because we recognize that increased motivation through employee growth andsatisfaction, will advance the 7th Medium-Term Plan and lead to company growth.

•

Breaking away from homogeneous competition – We aim to provide customers with a
comfortable shopping experience by refining our unique products and services, expanding ourinternet business, and providing information through the LIFE app available on smartphones,in order to realize seamless and convenient shopping environment.

•

Contributing towards the realization of a sustainable and flourishing society – As a “lifeline forthe community” – we are implementing initiatives to realize a sustainable and flourishingsociety (reduction of environmental impacts, contribution to the local community, etc.).

In promoting the three themes, all employees will personally engage in “kaizen” activities under theslogan of “Linking the Circle of Kaizen” in order to optimize costs while also increasing
productivity to accomplish the 7th Medium-Term Plan, even in the current situation of labor
shortages.
We opened following new stores: Takarazuka Nakayamadera Store (Hyogo) and BIO-RAL
PARCO_ya Ueno Store (Tokyo) in March, Kawasaki Tsukagoshi Store (Kanagawa) and Central
Square LaLaport Kadoma Store (Osaka), which was our 300th store, in April. As for existing stores,
we undertook major renovations at Oizumigakuen Ekimae Store, expanding the sales floor area by amultiple of approximately 1.8, and substantially enhancing the product lineups such as BIO-RAL
brand products and frozen foods.
The Group’s operating revenue totaled ¥195,864 million (up 5.4% year on year) as a result of the
expansion of new stores and online supermarkets, the strengthening of private brand products suchas “BIO-RAL,” and implementing product initiatives that sought to enhance taste of our products.
On the other hand, as for selling, general and administrative expenses, the Group saw increases inutilities expenses, various property expenses such as rent expenses from opening new stores, andpersonnel expenses from increased hiring activities. However, as a result of initiatives to reduce
further costs overall, operating profit was ¥6,347 million (up 15.0% year on year), ordinary profit-2-was ¥6,559 million (up 14.7% year on year), and profit attributable to owners of parent was ¥4,418
million (up 11.0% year on year).
Results by segment are as follows:(Retail Business)
Operating revenue was ¥195,807 million (up 5.4% year on year), with net sales of ¥188,981 million(up 5.4% year on year), and segment profit of ¥6,452 million (up 14.1% year on year).
Net sales by department were ¥82,441 million (up 4.7% year on year) for fresh produce, ¥84,630
million (up 6.6% year on year) for general food, ¥16,231 million (up 4.5% year on year) forlifestyle products, and ¥5,677 million (up 1.6% year on year) for apparel.
(Other Business)
Operating revenue from LIFE FINANCIAL SERVICE was ¥679 million (up 9.4% year on year),with segment profit of ¥106 million (up 66.8% year on year).
(2) Explanation of financial position
Assets, liabilities, and net assets
Total assets at the end of the first quarter of the current fiscal year were ¥277,537 million, adecrease of ¥3,273 million from the end of the previous fiscal year.
Current assets totaled ¥76,354 million, a decrease of ¥4,136 million from the end of the previous
fiscal year. This was mainly due to a ¥5,923 million decrease in accounts receivable - other (othercurrent assets), while accounts receivable - trade increased by ¥968 million, and merchandise andfinished goods increased by ¥1,464 million.
Non-current assets totaled ¥201,183 million, an increase of ¥863 million from the end of theprevious fiscal year. This was mainly due to an increase of ¥565 million in property, plant andequipment after depreciation and an increase of ¥146 million in guarantee deposits, resulting fromnew store openings.
Total liabilities at the end of the first quarter of the current fiscal year were ¥152,819 million, adecrease of ¥5,987 million from the end of the previous fiscal year. This was mainly due to a
¥16,350 million decrease in the total of short-term borrowings and long-term borrowings, whileaccounts payable - trade increased by ¥6,079 million, income taxes payable increased by ¥747
million, and provision for bonuses increased by ¥2,403 million.
Total net assets at the end of the first quarter of the current fiscal year were ¥124,717 million, an
increase of ¥2,714 million from the end of the previous fiscal year. This was mainly due to a ¥2,773
million increase in retained earnings.
(3) Explanation of consolidated earnings forecasts and other such forward-looking information
There is no change in the consolidated earnings forecasts for the fiscal year ending February 29,
2024 from that announced on April 10, 2023 in the “Consolidated Financial Results for the Fiscal
Year Ended February 28, 2023.”
We will closely monitor future economic and consumer spending trends, and if it becomes
necessary to revise our consolidated earnings forecasts, we will disclose the promptly.

-3-

2. Quarterly consolidated financial statements and significant notes thereto(1) Quarterly consolidated balance sheet(Millions of yen)
As of February 28, 2023
AssetsCurrent assets
Cash and deposits
Accounts receivable - trade
Merchandise and finished goods
Raw materials and supplies
Other
Total current assets
Non-current assets
Property, plant and equipment
Buildings and structures, net
Land
Other, net
Total property, plant and equipment
Intangible assets
Investments and other assets
Guarantee deposits
Other
Allowance for doubtful accounts
Total investments and other assets
Total non-current assets
Total assets-4-

As of May 31, 2023

9,727
9,209
25,811
250
35,49180,490

9,553
10,17727,276273
29,07376,35491,932
39,61424,334
155,880
3,218

93,102
39,61423,729156,445
3,068

24,513
16,749(41)
41,220200,319
280,810

24,66017,050(42)
41,668201,183
277,537(Millions of yen)
As of February 28, 2023
Liabilities
Current liabilities
Accounts payable - trade
Short-term borrowings
Current portion of long-term borrowings
Income taxes payable
Provision for bonuses
Provision for sales promotion expenses
Other
Total current liabilities
Non-current liabilities
Long-term borrowings
Provision for share awards for directors (and otherofficers)
Retirement benefit liability
Asset retirement obligations
Other
Total non-current liabilities
Total liabilities
Net assets
Shareholders’ equity
Share capital
Capital surplus
Retained earnings
Treasury shares
Total shareholders’ equity
Accumulated other comprehensive income
Valuation difference on available-for-sale securities
Revaluation reserve for landRemeasurements of defined benefit plans
Total accumulated other comprehensive income
Total net assets
Total liabilities and net assets-5-

As of May 31, 2023

41,971
44,120
8,628
2,363
2,764
21
28,367
128,236

48,05023,300
9,627
3,110
5,168
20
29,503
118,781

17,497

20,967

43

43

889
5,350
6,790
30,571
158,807

918
5,468
6,640
34,038152,819

10,004
5,696
109,147(3,838)121,010

10,004
5,696
111,921(3,838)
123,783588(1,154)
1,558
992
122,002280,810560(1,154)
1,527
933
124,717
277,537

(2) Quarterly consolidated statement of income and consolidated statement of comprehensive
incomeQuarterly consolidated statement of income (cumulative)(Millions of yen)Three months ended
May 31, 2022
Net sales
Cost of sales
Gross profit
Receipts from operating revenue
Operating gross profit
Selling, general and administrative expenses
Operating profit
Non-operating income
Interest income
Dividend income
Income from recycling
Other
Total non-operating income
Non-operating expenses
Interest expenses
Other
Total non-operating expenses
Ordinary profit
Extraordinary losses
Loss on retirement of non-current assets
Other
Total extraordinary losses
Profit before income taxes
Income taxes - current
Income taxes - deferred
Total income taxes
ProfitProfit attributable to owners of parent-6-

Three months ended
May 31, 2023

179,223
123,72255,501
6,556
62,05756,536
5,520

188,981
129,831
59,150
6,882
66,032
59,684
6,347

33
4
78
143
259

31
4
89
141
266

43
15
59
5,720

45
9
55
6,559

4
–
4
5,716
2,071
(336)
1,735
3,981
3,981

35
8
44
6,514
2,648
(552)
2,095
4,418
4,418

Quarterly consolidated statement of comprehensive income (cumulative)(Millions of yen)Three months ended
May 31, 2022
ProfitOther comprehensive income
Valuation difference on available-for-sale securities
Remeasurements of defined benefit plans, net of tax
Total other comprehensive income
Comprehensive income
Comprehensive income attributable toComprehensive income attributable to owners of parent-7-

Three months ended
May 31, 2023

3,981

4,418

(40)
4
(36)
3,944

(27)
(30)
(58)
4,360

3,944

4,360

(3) Notes to quarterly consolidated financial statements
Notes on premise of going concern
Not applicable.
Notes on the event of significant changes in the amount of shareholders’ equity
Not applicable.
Segment information, etc.
[Segment information]
I First three months of the previous fiscal year (March 1, 2022 to May 31, 2022)
1. Information on operating revenue and profit or loss by reportable segment and on
disaggregation of revenue
Reportablesegment
Other (Note 2)

Total

Adjustments

Retail Business(Millions of yen)Amounts
recorded inquarterly
consolidated
statement ofincome (Note 3)

Operating revenue (Note 1)
Revenue from contracts withcustomers

184,418265

184,683–

184,683

Other revenue (Note 4)

1,096

–

1,096

–

1,096

Operating revenue fromexternal customers

185,514265

185,780–

185,780

Intersegment operating
revenue and transfers

218

356

574

(574)

–

185,733

621

186,355(574)

185,780

5,656

63

5,720

–

5,720

Total
Segment profit
Notes: 1.
2.
3.
4.

Operating revenue is the total of net sales and receipts from operating revenue.
“Other” includes credit card business, etc.
Segment profit is adjusted to ordinary profit in the quarterly consolidated statement of income.
Other revenue includes real estate lease revenue based on the Accounting Standard for Lease Transactions(ASBJ Statement No. 13).

-8-

II First three months of the current fiscal year (March 1, 2023 to May 31, 2023)
1. Information on operating revenue and profit or loss by reportable segment and on
disaggregation of revenue
Reportablesegment
Other (Note 2)

Total

Adjustments

Retail Business(Millions of yen)Amounts
recorded inquarterly
consolidated
statement ofincome (Note 3)

Operating revenue (Note 1)
Revenue from contracts withcustomers
Other revenue (Note 4)
Operating revenue fromexternal customers
Intersegment operating

194,471296

194,768–

194,768

1,095

–

1,095

–

1,095

195,567

296

195,864–

195,864

240

383

623

(623)

–

195,807679

196,487(623)

195,864

6,452

106

6,559

–

6,559

revenue and transfers
Total
Segment profit
Notes: 1.

Operating revenue is the total of net sales and receipts from operating revenue.

2.
3.

“Other” includes credit card business, etc.
Segment profit is adjusted to ordinary profit in the quarterly consolidated statement of income.

4.

Other revenue includes real estate lease revenue based on the Accounting Standard for Lease Transactions(ASBJ Statement No. 13).

Significant subsequent events
Not applicable.

-9-