Summary of Financial Results
for the Second Quarter of the Fiscal Year Ending February 28, 2010
(Six Months Ended August 31, 2009)
September 30, 2009

Company name:

POINT INC.
Listing: TSE 1st section
2685
URL: http://www.point.co.jp
Toshiaki Ishii, President and Representative Director
Tsuyoshi Matsuda, Director, Corporate Officer, General Manager of Administration Division
Tel: +81-3-3243-6011
Scheduled date of filing of Quarterly Report: October 15, 2009
Scheduled date of payment of dividend:
October 26, 2009
Stock code:
Representative:
Contact:(All amounts are rounded down to the nearest million yen)

1. Consolidated Financial Results for the Second Quarter of the Fiscal Year Ending February 28, 2010
(March 1, 2009 – August 31, 2009)(1) Consolidated results of operations (cumulative)
Net sales
Million yen

Six months ended Aug. 31, 2009
Six months ended Aug. 31, 2008%

43,741
38,425

Operating income(Percentages represent year-on-year changes)
Ordinary income
Net income

Million yen%

Million yen

6,722
5,980

12.8

6,780
6,078

19.8

Net income per share

Diluted net income
per share

YenYenSix months ended Aug. 31, 2009
Six months ended Aug. 31, 2008

161.91135.35%

Million yen

13.6%

3,939
3,350

9.3

-(2) Consolidated financial position

As of Aug. 31, 2009
As of Feb. 28, 2009
(Reference) Shareholders’ equity

Total assets

Net assets

Equity ratio

Net assets per share

Million yen

Million yen%

Yen

45,98145,885
Aug. 31, 2009:

29,31026,56529,146 million yen

63.4
1,197.86
57.6
1,086.09
Feb. 28, 2009: 26,426 million yen

2. Dividends
1Q-end2Q-endDividend per share
3Q-endYearendAnnualYen

Yen

Yen

Yen

Yen

Fiscal year ended Feb. 28, 2009
Fiscal year ending Feb. 28, 2010
Fiscal year ending Feb. 28, 2010 (forecast)(Note) Revision of dividend forecast during the period: Yes-40.00
50.00-60.00100.00-60.00110.003. Consolidated Forecast for the Fiscal Year Ending February 28, 2010 (March 1, 2009 – February 28, 2010)(Percentages represent year-on-year changes)
Net sales
Million yen%

Operating income

Ordinary income

Million yen

Million yen%

Full year
97,000 11.9
16,1002.1(Note) Revision of consolidated forecast during the period: None- 1 -16,200%1.6

Net incomeMillion yen

9,000

Net income per share%

11.2

Yen

369.88

POINT INC. (2685) Summary of 2Q Financial Results for February 2010 Fiscal Year

4. Others(1) Changes in significant subsidiaries during the period (changes in specified subsidiaries resulting in changes inscope of consolidation): None
(2) Application of simplified accounting methods and special accounting methods in the preparation of quarterly
consolidated financial statements: Yes(3) Changes in accounting principles, procedures and presentation methods for preparation of quarterly
consolidated financial statements1) Changes caused by revision of accounting standards: Yes
2) Other changes: Yes(4) Number of outstanding shares (common shares)
1) Number of shares outstanding at end of period (including treasury stock)
Aug. 31, 2009:

25,990,720 sharesFeb. 28, 2009:

25,990,720 sharesFeb. 28, 2009:

1,658,593 shares

2) Number of treasury stock at end of period
Aug. 31, 2009:

1,658,600 shares

3) Average number of shares outstanding during the period (cumulative)
Six months ended Aug. 31, 2009:24,332,123 shares

Six months ended Aug. 31, 2008:

24,756,833 shares* Cautionary statement with respect to forward-looking statements
1. Forward-looking statements in this report are based on currently available information and certain assumptions judged tobe reasonable. Actual results may differ significantly from these forecasts for a number of factors.
2. Effective from the current fiscal year, the Company has adopted “Accounting Standards for Quarterly FinancialStatements” (Accounting Standards Board of Japan (ASBJ) Statement No. 12, March 14, 2007) and “Guidance on
Accounting Standards for Quarterly Financial Statements” (ASBJ Guidance No. 14, March 14, 2007). In addition, thequarterly consolidated financial statements are prepared in accordance with “Regulations for Quarterly Consolidated
Financial Statements.”

Reference: Summary of Non-consolidated Forecasts
Non-consolidated Forecast for the Fiscal Year Ending February 28, 2010 (March 1, 2009 – February 28, 2010)
Net sales
Million yen%

Operating income

Ordinary income

Million yen

Million yen%

Full year
95,000 11.0
15,8001.6
16,000(Note) Revision of non-consolidated forecast during the period: None- 2 -%1.2(Percentages represent year-on-year changes)
Net incomeNet income per share
Million yen

9,000%

12.0

Yen369.88

POINT INC. (2685) Summary of 2Q Financial Results for February 2010 Fiscal Year

Qualitative Information and Financial Statements
1. Qualitative information regarding consolidated results of operations
In the first half (March 1, 2009 to August 31, 2009) of the current fiscal year, the Japanese economy finallybegan to show signs of bottoming out as public works spending increased, and exports and production picked up.
Personal consumption, however, remained weak overall, despite indications of improvement in some sectors, asconditions for employment and income remained harsh.
In the casual wear market in which our group operates, personal consumption remained weak due to poor
weather, consumers’ more defensive spending stance, and a growing preference among consumers for low-priced
items.
In this environment, net sales increased 13.8% year-on-year. Domestic existing-store sales were 96.2% of theprevious year’s level, roughly in line with our 96.1% full-year target. Sales of early summer and summer wear
were steady from mid-April, but poor weather, including a prolonged rainy season, weighed on sales from July.
The following domestic brands maintained strong sales growth: LEPSIM LOWRYS FARM, HEATHER, andAPART BY LOWRYS.
COLLECT POINT Harajuku, a large integrated flagship store that we opened in April, also saw steady sales.
We continued to aggressively open new stores. We expanded the domestic store network to 597 stores (including28 e-commerce websites) at the end of the second quarter, the net result of opening 50 new stores (including 10e-commerce websites) during the first half, and closing four.
Overseas, we opened one new store in Taiwan, COLLECT POINT, and five new stores in Hong Kong including
LOWRYS FARM, RAGEBLUE, and COLLECT POINT, expanding our overseas store network to 31 stores at theend of the second quarter: 18 stores in Taiwan and 13 stores in Hong Kong.
Regarding profits, the gross profit margin improved to 60.9% (up 0.5 point year-on-year) as we optimallycontrolled procurement, inventories, and sales price revisions.
The SG&A-to-sales ratio rose 0.7 point year-on-year to 45.5% mainly due to aggressive and strategic store
development in domestic and overseas markets, and an increase in expenses from the expansion of results-based
incentives. The operating income margin declined 0.2 point to 15.4%.
We booked an extraordinary gain of 66 million yen from the reversal of subscription rights to shares following
the expiration of stock options. However, we also booked extraordinary losses including disposal costs for fixed
asset of 39 million yen, losses of 48 million yen from the cancellation of store rental contracts, and impairment
losses at three stores of 61 million yen.
As a result, consolidated net sales in the first half increased 13.8% year-on-year to 43,741 million yen, operating
income increased 12.4% to 6,722 million yen, ordinary income increased 11.5% to 6,780 million yen, and net
income increased 17.6% to 3,939 million yen.
(Note) Year-on-year figures in “Qualitative information regarding consolidated results of operations” are forreference purpose.
2. Qualitative information regarding consolidated financial position(1) Balance sheet position
Total assets increased 96 million yen from as of February 28, 2009 to 45,981 million yen as of August 31, 2009.
This was mainly the net result of an increase in short-term investment securities of 1,001 million yen, an increasein tangible assets of 1,120 million yen, and a decrease in cash and deposits of 1,973 million yen.
Liabilities declined 2,649 million yen to 16,670 million yen mainly due to decreases in accounts payable of 728
million yen and income taxes payable of 1,946 million yen.
Net assets rose 2,745 million yen to 29,310 million yen mainly due to an increase in retained earnings of 2,479
million yen.
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(2) Cash flow position
Cash and cash equivalents as of August 31, 2009 amounted to 18,329 million yen, or 1,973 million yen less thanas of February 28, 2009.
A summary of cash flows from each activity is as follows.
(Cash flows from operating activities)
Net cash provided by operating activities totaled 1,657 million yen. The main factors include income before
income taxes of 6,697 million yen, an increase in accounts receivable of 748 million yen, a decrease in accounts
payable of 736 million yen, and income taxes paid of 4,041 million yen.
(Cash flows from investing activities)
Net cash used in investing activities totaled 2,191 million yen. This was mainly due to payment of 1,432 million
yen for acquisition of tangible assets.
(Cash flows from financing activities)
Net cash used in financing activities totaled 1,460 million yen. This was mainly due to cash dividends paid of
1,457 million yen.

3. Qualitative information regarding consolidated forecast
Point Inc. maintains its consolidated forecast for the fiscal year ending on February 28, 2010 (released on April3, 2009).

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