Note: This document has been translated from the Japanese original for reference purposes only. In the event of any discrepancy
between this translated document and the Japanese original, the original shall prevail.

Summary(Translation)
May 13, 2021

FIELDS CORPORATION
Consolidated Financial Results for the Fiscal Year Ended March 31, 2021
(Under Japanese GAAP)
Company name:
Listing:
Securities code:
URL:
Representative:
Inquiries:
Telephone:

FIELDS CORPORATION(URL: https://www.fields.biz/ir/e/)
Tokyo Stock Exchange 1st section
2767
https://www.fields.biz/ir/e/
Hidetoshi Yamamoto, Chairman, President and Group CEO
Hideaki Hatanaka, Corporate Officer, Deputy General Manager, Group Business Management Department+81-3-5784-2111

Scheduled date of annual general meeting of shareholders:
Scheduled date to commence dividend payments:
Scheduled date to file annual securities report:
Preparation of supplementary material on financial results:
Holding of financial results briefing:

June 16, 2021
June 17, 2021
June 16, 2021
Yes
Yes (for analysts and institutional investors)(Yen amounts are rounded down to millions, unless otherwise noted.)

1. Consolidated financial results for the fiscal year ended March 31, 2021 (from April 1, 2020 to March 31, 2021)(1) Consolidated operating results(Percentages indicate YoY changes.)
Profit attributable to
Net sales
Operating profit
Ordinary profit
owners of parent
Fiscal year ended

Millions of yen%

Millions of yen

March 31, 2021

38,796(41.7)(2,241)－(2,032)－(3,452)－

March 31, 2020

66,587

31.2

713

－

939

－

490

－

%

Millions of yen%

Millions of yen%(Notes) 1. Certain differences have arisen between the net sales of consolidated operating results for the fiscal year ended March 31, 2021 and the results
for the previous fiscal year. The reasons for these are given in (1) Overview of operating results for the fiscal year under review, 1. Overview
of operating results.

2. Comprehensive income

For the fiscal year ended March 31, 2021: ¥ (3,214) million [－%]For the fiscal year ended March 31, 2020:¥ (27) million [－%]

Basic earnings
per share

Diluted earnings
per share

Return on equity

Ratio of ordinary
profit to total assets

Ratio of operating
profit to net sales

Fiscal year ended

Yen

%

%

%

March 31, 2021

(105.78)－(10.9)

(3.5)

(5.8)

March 31, 2020

14.79

－

1.4

1.4

1.1

Yen

Reference: Share of profit (loss) of entities accounted for using equity method

For the fiscal year ended March 31, 2021: ¥205 million
For the fiscal year ended March 31, 2020: ¥ (47) million(2) Consolidated financial position
Total assets
As ofMarch 31, 2021
March 31, 2020

Net assets

Net assets per share

Millions of yen

Millions of yen

52,37030,44356.9

921.8034,27952.6

1,018.63

64,317

Reference: Equity

Equity-to-asset ratio

As of March 31, 2021:
As of March 31, 2020:%

Yen¥29,803 million¥33,801 million(3) Consolidated cash flows
Cash flows fromoperating activities

Cash flows frominvesting activities

Cash flows fromfinancing activities

Cash and cash
equivalents at end of
periodFiscal year ended

Millions of yen

Millions of yen

Millions of yen

Millions of yen

March 31, 2021

3,692

(1,072)(2,835)24,510March 31, 2020

(2,427)876(2,537)

24,725

2. Cash dividends
Annual dividends per share
Q1 endQ2 endQ3 endFiscalyear-end

Total cash
dividends(Total)

Total

Yen

Yen

Yen

Yen

Yen Millions of yen

Fiscal year ended
March 31, 2020

－

0.00

－

10.00

10.00

Fiscal year ended
March 31, 2021

－

0.00

－

10.00

10.00

Fiscal year ending
March 31, 2022
(Forecast)

－

－

－

－

－

Ratio of
Payout ratio dividends to(Consolidated) net assets(Consolidated)
%

%

331

67.6

1.0

323

－

1.0

－

(Note) We have yet to decide the dividend forecast for the year ending March 31, 2022.

3. Forecast of consolidated earnings for the fiscal year ending March 31, 2022 (April 1, 2021 to March 31, 2022)
The Company will not disclose the forecast at this time, and will continue to collect rationale for calculations while assessing
the impact of coronavirus disease (COVID-19), with the aim of disclosing them when it becomes possible to disclose reasonable
forecasts.

*Notes(1) Changes in significant subsidiaries during the period (changes in specified subsidiaries resulting in the change in scope of
consolidation): None
(2) Changes in accounting policies, changes in accounting estimates, and restatement(i) Changes in accounting policies due to revisions to accounting standards and other regulations: None(ii) Changes in accounting policies due to reasons other than (2) (i): None(iii) Changes in accounting estimates: None(iv) Restatement: None
(3) Number of issued shares (common shares)(i) Total number of issued shares at the end of the period (including treasury shares)
As of March 31, 2021
34,700,000 shares
As of March 31, 2020
34,700,000 shares(ii) Number of treasury shares at the end of the period
As of March 31, 2021
2,368,300 shares
As of March 31, 2020
1,516,300 shares(iii)Average number of shares outstanding during the period
Fiscal year ended March 31, 2021
32,643,086 sharesFiscal year ended March 31, 2020
33,183,700 shares
Reference: Overview of non-consolidated financial results
Non-consolidated financial results for the fiscal year ended March 31, 2021 (from April 1, 2020 to March 31, 2021)(1) Non-consolidated operating results(Percentages indicate YoY changes.)

Net sales

Operating profit

Ordinary profit

Net profit

Fiscal year ended

Millions of yen%

Millions of yen%

Millions of yen%

Millions of yen%

March 31, 2021

29,723(48.3)(3,468)－(3,497)－(4,120)－March 31, 2020

57,515

35.1

995

－

1,516

－

1,091

－

Basic earnings
per share

Diluted earnings
per share

Fiscal year ended

Yen

March 31, 2021

(126.21)－

March 31, 2020

32.88

－

Yen

(Note) Certain differences have arisen between non-consolidated operating results for the fiscal year ended March 31, 2021 and the results for the previous
fiscal year. The reasons for these are given in (1) Overview of operating results for the fiscal year under review, 1. Overview of operating results.

- Financial results reports are exempt from audit conducted by certified public accountants or an audit corporation.
- Proper use of earnings forecasts, and other special matters(Disclaimer regarding forward-looking statements and projections)With regard to forecast of consolidated earnings, the Company will not disclose the forecast at this time, and will continue to collectrationale for calculations while assessing the impact of coronavirus disease (COVID-19), with the aim of disclosing them when it becomes
possible to disclose reasonable forecasts. Please refer to Forecasts for the next fiscal year on page 3 of the attached material for the present
business outlook for the next fiscal year.
(How to obtain supplementary materials on financial results)
We plan to hold a briefing for institutional investors and analysts on Friday, May 14, 2021. Materials used in this briefing will be posted
on our website promptly after the briefing.

Consolidated Financial Results for the Fiscal Year Ended March 31, 2021

Table of contents of attached document

1. Overview of operating results ꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏ 2(1) Overview of operating results for the fiscal year under review ꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏ 2(2) Overview of financial position for the fiscal year under review ꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏ 5(3) Overview of cash flows for the fiscal year under review ꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏ 5
2. Basic policy regarding selection of accounting standards ꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏ 6
3. Consolidated financial statements and important notes ꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏ 7(1) Consolidated balance sheets ꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏ 7(2) Consolidated statements of income and consolidated statements of comprehensive income ꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏ 9(3) Consolidated statement of change in equity ꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏ 12(4) Consolidated statements of cash flows ꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏ 14(5) Note regarding the consolidated financial statements ꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏ 16(Notes on the going concern assumption) ꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏ 16(Segment information, etc.) ꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏ 16(Per share information) ꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏ 17(Significant subsequent events) ꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏꞏ 171

Consolidated Financial Results for the Fiscal Year Ended March 31, 2021

1. Overview of operating results(1) Overview of operating results for the fiscal year under reviewi.) Consolidated financial statement
Earnings for the fiscal year under review were largely in line with the earnings forecasts disclosed in the Notification of
Revisions to Performance Forecast dated February 10, 2021.

In the fiscal year under review, the global socio-economic environment was characterized by the severe impact ofcoronavirus disease (COVID-19), which had far reaching effects on the economy as a whole and on the livelihoods ofindividuals. Economic activities stagnated as many countries implemented lockdowns to prevent the spread of infection,and the world GDP growth rate in 2020 was -3.3%, the worst recession since the Great Depression of the 1930s. On theother hand, stock prices rose in countries around the world as governments worked to support the economy through fiscal
stimulus measures and monetary easing. In 2020 (January to December), NASDAQ Composite Index rose +43.6%, andthe market capitalization of listed companies worldwide increased significantly.

In Japan, the impact of COVID-19 has been equally significant, and the business climate remains uncertain. In
conjunction with this, according to the Family Income and Expenditure Survey by Statistics Bureau, Ministry of Internal
Affairs and Communications, consumer spending by general consumers stagnated significantly, with -6.5% YoY decreasein 2020 in total household expenditure, and -33.1% YoY decrease in the area of culture and recreation services. On theother hand, lifestyles have changed dramatically, as telecommuting, online shopping, and the spread of contactless
payments made remarkable progress. In the industrial sector, polarization has progressed between industries that benefited
from lifestyle changes caused by the pandemic and those that were hit directly.

In the pachinko industry, in response to the Japanese government’s declaration of the state of emergency, pachinko halls
were forced to suspend or refrain from business operations. Since then, however, they have taken all possible measures tocombat the spread of the diseases and have continued operations, and the industry as a whole has not experienced a cluster
outbreak. In addition, while the number of gaming opportunities for the elderly has decreased, the number of gaming
opportunities for the younger generation has increased, and pachinko and pachislot (hereinafter, “PS”) machines suitable
for the younger generation have tended to penetrate the market. However, while consumer spending remained stagnant,the impact on merchandise sales was significant. At the end of the fiscal year, the number of pachinko halls was 8,063(down 647 YoY), the total number of machines installed in the market was 3.6 million units (down 220,000 units YoY),
the total market sales was 810,000 pachinko machines (down 350,000 units YoY), 430,000 pachislot machines (down140,000 units YoY), and 1.25 million total PS machines (down 490,000 units YoY).

Under these circumstances, in the pachinko and pachislot business (hereinafter, “PS business”), which is the Group’s
mainstay business, we focused on sales of merchandise to meet the needs of pachinko halls while thoroughly implementing
preventive measures against COVID-19, such as introducing telecommuting in compliance with governmental policies.
However, PS sales totaled 95,000 units (191,000 units in the previous fiscal year) due to sluggish unit sales and the
postponement of merchandise sales scheduling as a result of declining purchasing sentiment in the market and repeatedstate of emergency declarations.

With regard to IP business, based on the Group’s medium-term business strategy, our plan has been to first develop thetwo companies, Tsuburaya Productions Co., Ltd. (hereinafter, “TPC”) and Digital Frontier Inc. (hereinafter, “DF”) as
global IP companies, and then expand and horizontally deploy the knowledge and systems gained there. The strategic
initiatives that had been underway at both companies produced tangible results in FY2020.

TPC, which is responsible for IP business as a driver of the Group’s growth, is pursuing a medium-term business strategy
in which it will expand its Ultraman fans by providing live-action and anime products suitable for the domestic andoverseas fan base, through movies, television, distribution, etc., to generate revenue in both the video and licensing
businesses. In the video business, a promotional trailer and special visuals have been released for the movie SHINULTRAMAN, directed by Shinji Higuchi with production and screenplay by Hideaki Anno, and a new release date iscurrently being deliberated. In addition to launching TPC’s official subscription-based digital platform service,
TSUBURAYA IMAGINATION, in collaboration with NTT DOCOMO, the licensing business area saw new partnerships
domestically with major companies in areas such as apparel and food, while overseas, we also made a significant
contribution to profits, particularly in the Chinese market, and domestic and overseas sales were steady.
2Consolidated Financial Results for the Fiscal Year Ended March 31, 2021

DF, the core company of PS and IP businesses in the CG video field, continued to support CG video production, mainly
by domestic game companies, and VFX video production from both domestic and overseas. In addition, we entered into abusiness alliance with Netflix, one of the world’s largest streaming services, to provide video production resources for
VFX production and virtual production over a multi-year period for Netflix original titles. This is the first of its kind in adomestic company.

Consequently, the Group’s consolidated results for the fiscal year under review were net sales ¥38,796 million (down
58.3%YoY), an operating loss of ¥2,241 million (an operating profit of ¥713 million in the same period of the previous
fiscal year), an ordinary loss of ¥2,032 million (an ordinary loss of ¥939 million in the same period of the previous fiscal
year), and a loss attributable to owners of parent of ¥3,452 million (a loss of ¥490 million in the same period of the previous
fiscal year).
ii.) Forecasts for the next fiscal year
[Future business development]
In the pachinko industry, about three and a half years have passed since regulatory amendment in 2018, and a numberof PS machines with new game functions have now been launched in the market. PS machines that are easy to play while
also having a variety of game functions within a moderate amount of consumption have been rated highly by halls andfans. In the industry, changes to internal regulation have created an environment in which pachinko machines can be soldfrom 30,000 to 50,000 units per title, and in the pachislot market, measures such as reviewing self-regulation have madeit possible to develop pachislot machines that are inexpensive and easy for fans to enjoy. These trends are expected tostimulate the market in the future.
In addition, the global situation surrounding the coronavirus pandemic is changing with the rapid spread of vaccination,
particularly in the United Kingdom, the United States, and other developed countries, leading to reduced restrictions, suchas lift of lockdowns. As a result, not only online entertainment, which grew during the pandemic, but also conventional
entertainment, is experiencing a positive future for regrowth in line with new lifestyles.

Based on this understanding, we are taking a positive view of the changes in the public’s entertainment and leisure needs
during and after the COVID-19 pandemic, and will restructure our business domains into two major pillars, the PS
business and IP business, under our corporate philosophy of The Greatest Leisure for All People. In addition, we areconstructing a new medium-term business strategy that will strongly and speedily promote “building a foundation for astable PS business in a mature market” and “shifting to an IP company.”

In the PS business, we will conduct a fundamental review of our activity processes, from merchandise planning anddevelopment to marketing promotions, sales and maintenance, in line with future environmental changes. By converting
this process into a digital transformation (DX), we will efficiently secure earnings even in mature markets and build abusiness foundation that can achieve sustainable growth.

In IP business, we will continue to focus on fostering the two companies of TPC and DF as global IP companies basedon our medium-term business strategy. In particular, TPC has been “developing and franchising large-scale new IP,”“shifting to digital domains,” and “expanding overseas, mainly in China, other Asian countries, and North America” inaccordance with its medium-term business strategy (from 2018).
We are focused on developing TPC’s IP, which are in demand worldwide and have considerable growth potential,
through the implementation of new business models, and by expanding and horizontally deploying the knowledge andmechanisms gained from these new models, we are looking to shift the Group to an IP company.

3Consolidated Financial Results for the Fiscal Year Ended March 31, 2021

[Q1 results]
In the first-quarter PS business, sales of the two pachinko titles, PACHINKO GANTZ KIWAMI and PACHINKOULTRAMAN TARO 2, which were delivered in April when the pandemic had stabilized, totaled approximately 35,000
units, showing steady growth. In addition to continuing sales of pachinko one title and pachislot one title at present, weannounced yesterday (May 12) the Pachinko P Uchū Senkan Yamato 2202 Ai no Senshi-tachi for delivery in the second
quarter.
In IP business, both TPC and DF performed well. With TPC in particular, we are planning to release projects that willrealize “global expansion” in the near future.

[Outlook for the next fiscal year and the announcement of the medium-term management plan]
The Japanese government declared a third state of emergency from April 25 to May 31 in six prefectures, including
Tokyo, and has required eight prefectures to implement tighter COVID-19 measures. In addition, many local governments
are implementing their own emergency measures, which has hindered the operations of pachinko halls. Furthermore, theoutlook is expected to remain difficult for the foreseeable future due to factors such as mutations of COVID-19 andresulting variant strains, the maintenance and enhancement of the medical system, whether the Olympic and Paralympic
Games will be held, the situation of infections around January next year after extensive vaccination, and the associatedchanges in the social environment.
Under these circumstances, it is difficult to reasonably calculate the Group’s business activities and operating results.
Therefore, at this point in time, the Company has decided to set the forecast for the next fiscal year as “undetermined”
and announce it promptly when it becomes possible to make reasonable calculations. Similarly, the announcement of themedium-term management plan that incorporates concrete strategies for “building a foundation for a stable PS businessin a mature market” and “shifting to an IP company” will also be made when we are able to announce results forecasts
for the next fiscal year.

iii.) Basic policy on profit distribution and dividends for the fiscal year under review and the next fiscal year
We regard the enhancement of corporate value as an important management issue, and our basic policy is to pay
dividends in an appropriate manner in line with profits. On the other hand, we believe that stabilizing our financial basefrom a medium-to-long-term perspective in response to rapid changes in the marketplace and prioritizing securing
investment funds to increase earnings will lead to the greatest possible return for shareholders, including future increases
in corporate value. Specifically, the year-end dividend for the year ended March 31, 2021 will be ¥10 per share. This will
be discussed at the 33rd Annual General Meeting of Shareholders, which is scheduled to be held on June 16, 2021.

The dividend forecast for the next fiscal year will be announced promptly when it becomes possible to disclose theconsolidated earnings forecast.

(Notes) 1. All figures in this report are based on each company or each organization or our estimates.
2. Merchandise names in this report are trademarks or registered trademarks of each company.

4Consolidated Financial Results for the Fiscal Year Ended March 31, 2021

(2) Overview of financial position for the fiscal year under review
End of current fiscal year
(As of the end of March 2021)

End of the previous fiscal year
(As of the end of March 2020)

Total assets¥52,370 million¥64,317 million¥ (11,946) million

Total liabilities¥21,927 million¥30,037 million¥ (8,110) million

Total net assets¥30,443 million¥34,279 million¥ (3,836) million

YoY change(Assets)
Current assets decreased by ¥11,433 million from the end of the previous fiscal year to ¥39,147 million. This was mainly
due to a decrease in trade receivables and a decrease in work in process.
Property, plant and equipment decreased by ¥462 million from the end of the previous fiscal year to ¥4,272 million. Thiswas mainly due to a decrease in buildings and structures.
Intangible assets decreased by ¥364 million from the end of the previous fiscal year to ¥2,628 million. This was mainly
due to a decrease in goodwill.
Investments and other assets increased by ¥313 million from the end of the previous fiscal year to ¥6,322 million. Thiswas mainly due to an increase in investment securities.
Consequently, assets decreased by ¥11,946 million from the end of the previous fiscal year to ¥52,370 million.
(Liabilities)
Current liabilities decreased by ¥7,101 million from the end of the previous fiscal year to ¥10,895 million. This was mainly
due to a decrease in trade payables.
Non-current liabilities decreased by ¥1,009 million from the end of the previous fiscal year to ¥11,031 million. This was
mainly due to a decrease in long-term borrowings.
Consequently, liabilities decreased by ¥8,110 million from the end of the previous fiscal year to ¥21,927 million.
(Net assets)
Net assets decreased by ¥3,836 million from the end of the previous fiscal year to ¥30,443 million. This was mainly due
to a decrease in retained earnings.
(3) Overview of cash flows for the fiscal year under review
Cash and cash equivalents (hereinafter referred to as “cash”) at the end of the fiscal year under review decreased by ¥215
million from the end of the previous fiscal year to ¥24,510 million.
Cash flows for the fiscal year under review are summarized as follows:
Current period
Previous period(Year ended March 31, 2021) (Year ended March 31, 2020)

YoY change

Cash flows from operating activities¥3,692 million¥ (2,427) million¥6,119 million

Cash flows from investing activities¥ (1,072) million¥876 million¥ (1,949) million

Cash flows from financing activities¥ (2,835) million¥ (2,537) billion¥ (297) million(Cash flows from operating activities)
Net cash provided by operating activities was ¥3,692 million (¥2,427 million used in the same period of the previous fiscal
year). This was mainly due to a loss before income taxes of ¥2,908 million, a decrease in trade receivables of ¥10,239 million,a decrease in trade payables of ¥6,003 million, a decrease in inventory of ¥1,569 million, a decrease in depreciation of ¥873
million, and a decrease/increase in consumption taxes receivable/payable of ¥701 million.
(Cash flows from investing activities)
Net cash used in investing activities was ¥1,072 million (¥876 million provided in the same period of the previous fiscal
year). This was mainly due to purchase of non-current assets of ¥586 million and payments for investments in capital of ¥260
million.

5

Consolidated Financial Results for the Fiscal Year Ended March 31, 2021

(Cash flows from financing activities)
Net cash used in financing activities was ¥2,835 million (¥2,537 million used in the same period of the previous fiscal
year). This was mainly due to repayments of long-term borrowings payments of ¥5,329 million, proceeds from long-termborrowings payments of ¥2,990 million, purchase of treasury shares payments of ¥365 million and dividends of ¥331 million.
(Reference) Trends in cash flow-related indicators
FY2016
Shareholders’ equity ratio
Shareholders’ equity ratio basedon market value
Cash flow to interest-bearing
liabilities ratio
Interest coverage ratio

FY2017FY2018FY2019FY2020

52.5%

48.4%

50.8%

52.6%

56.9%

47.7%

53.4%

35.6%

14.7%

35.6%

-

-

7.1 years-

3.0 years--

28.6 times-

40.7 times

Shareholders’ equity ratio: shareholders’ equity/total assets
Shareholders’ equity ratio based on market value: market capitalization (closing share price at the end of the period)/total assets
Cash flow to interest-bearing liabilities ratio: interest-bearing liabilities/operating cash flow
Interest coverage ratio: operating cash flow/interest expenses(Notes)1. All figures are calculated based on consolidated financial figures.
2. Market capitalization is calculated based on the number of shares outstanding excluding treasury shares.
3. Interest-bearing liabilities covers all liabilities that pay interest out of liabilities recorded in the consolidatedbalance sheet.
4. Cash flow to interest-bearing liabilities ratio and interest coverage ratio are not stated when operating cash flow is
negative.
2. Basic policy regarding selection of accounting standards
The Group considers the financial statements prepared in accordance with Japanese GAAP to be appropriate for the purposeof presenting the status of the Company’s current business. With regard to the application of IFRS, we intend to respond
appropriately, taking into account various domestic and overseas circumstances.

6

Consolidated Financial Results for the Fiscal Year Ended March 31, 2021

3.

Consolidated financial statements and important notes(1) Consolidated balance sheets(Unit: millions of yen)Previous consolidated fiscal year Current consolidated fiscal year
(As of March 31, 2020)(As of March 31, 2021)
AssetsCurrent assets
Cash and deposits
Notes and accounts receivable-trade
Electronically recorded monetary claims-operating
Merchandise and finished goods
Work in process
Raw materials and supplies
Merchandising rights advances
Other
Allowance for doubtful accounts

24,825
14,171
1,087
446
4,852
2,574
1,687
964
(29)

24,610
5,325
67
700
3,589
1,901
1,451
1,572
(71)

50,58039,147

5,377(3,022)

5,355(3,245)

Buildings and structures, net

2,354

2,109

Machinery, equipment and vehicles
Accumulated depreciation

115
(93)

77
(64)

21

12

4,010
(3,422)

3,579(3,123)

587

455

Land
Construction in progress

1,644
126

1,645
49

Total property, plant and equipment

4,734

4,272

2,156
836

1,875
752

2,992

2,628

1,325
373
695
2,799
1,187
(373)

1,803
457
496
2,859
1,113
(408)

Total current assets
Non-current assets
Property, plant and equipment
Buildings and structures
Accumulated depreciation

Machinery, equipment and vehicles, net
Tools, furniture and fixtures
Accumulated depreciation
Tools, furniture and fixtures, net

Intangible assets
Goodwill
Other
Total intangible assets
Investments and other assets
Investment securities
Long-term loans receivable
Deferred tax assets
Leasehold and guarantee deposits
Other
Allowance for doubtful accounts
Total investments and other assets
Total non-current assets
Total assets

7

6,008

6,322

13,736

13,22364,31752,370Consolidated Financial Results for the Fiscal Year Ended March 31, 2021

(Unit: millions of yen)Previous consolidated fiscal year Current consolidated fiscal year
(As of March 31, 2020)(As of March 31, 2021)
Liabilities
Current liabilities
Notes and accounts payable-trade
Short-term borrowings
Current portion of long-term borrowings
Income taxes payable
Provision for bonuses
Provision for bonuses for directors (and other officers)
Other

9,336
200
5,329
127
251
14
2,736

3,610
253
3,863
100
288
14
2,764

Total current liabilities

17,996

10,895

Non-current liabilities
Long-term borrowings
Retirement benefit liability
Asset retirement obligations

7,691
674
889

6,837
770
861

Other

2,784

2,561

Total non-current liabilities

12,04011,031

Total liabilities

30,037

21,927

Net assets
Shareholders’ equity
Share capital
Capital surplus
Retained earnings
Treasury shares

7,948
7,579
20,060(1,821)

7,948
7,579
16,104(1,946)33,767

29,686

Accumulated other comprehensive income
Valuation difference on available-for-sale securities
Foreign currency translation adjustment
Remeasurements of defined benefit plans

10
0
22

116
1
(0)

Total accumulated other comprehensive income

34

117

-

7

Total shareholders’ equity

Share acquisition rights
Non-controlling interests
Total net assets
Total liabilities and net assets

8

477

632

34,27930,44364,31752,370Consolidated Financial Results for the Fiscal Year Ended March 31, 2021

(2) Consolidated statements of income and consolidated statements of comprehensive income
Consolidated statements of income(Unit: millions of yen)Previous consolidated fiscal year
(April 1, 2019 to March 31, 2020)

Current consolidated fiscal year
(April 1, 2020 to March 31, 2021)

Net sales
Cost of sales

66,587
51,77738,79628,869Gross profit

14,809

9,927

Selling, general and administrative expenses
Advertising expenses
Salaries
Provision for bonuses
Retirement benefit expenses
Outsourcing expenses
Travel and transportation expenses
Depreciation
Rent expenses on land and buildings
Provision of allowance for doubtful accounts
Amortization of goodwill

1,233
4,486
139
76
1,162
364
595
1,318
(68)
559

940
3,978
165
73
946
247
554
1,247
47
280

Provision for bonuses for directors (and other officers)
Other

14
4,211

14
3,672

Total selling, general and administrative expenses

14,095

12,169Operating profit (loss)

713(2,241)Non-operating income
Interest income
Dividend income
Purchase discounts
Share of profit of entities accounted for using equity method
Distributions from investments
Other

18
85
224
21
87

6
8
35
205
17
114

437

386

59
47
25

90
22

31

20

48

44

Total non-operating income
Non-operating expenses
Interest expenses
Share of loss of entities accounted for using equity method
Financing expenses
Provision of allowance for doubtful accounts for
subsidiaries and associates
Other
Total non-operating expenses
Ordinary profit (loss)

9

211

178

939

(2,032)

Consolidated Financial Results for the Fiscal Year Ended March 31, 2021

(Unit: millions of yen)Previous consolidated fiscal year
(April 1, 2019 to March 31, 2020)

Current consolidated fiscal year
(April 1, 2020 to March 31, 2021)

16
17
0

0
16
1

35

18

8
212
75
10

60
174
34
601
22

Total extraordinary losses

307

893

Profit (loss) before income taxes

667(2,908)

Income taxes - current

175

191

Income taxes - deferred

(69)

199

Total income taxes

106

391

Profit (loss)

560(3,299)Profit attributable to non-controlling interests

70

153

Profit (loss) attributable to owners of parent

490(3,452)Extraordinary income
Gain on sale of non-current assets
Gain on sale of investment securities
Gain on liquidation of subsidiaries and associates
Other
Total extraordinary income
Extraordinary losses
Loss on retirement of non-current assets
Impairment losses
Loss on sale of investment securities
Loss on litigation
Losses from coronavirus disease (COVID-19)
Other

10

Consolidated Financial Results for the Fiscal Year Ended March 31, 2021

Consolidated statement of comprehensive income(Unit: millions of yen)Previous consolidated fiscal year
(April 1, 2019 to March 31, 2020)

Current consolidated fiscal year
(April 1, 2020 to March 31, 2021)

560(3,299)

(587)
0
(0)

107
0
(22)

Profit (loss)
Other comprehensive income
Valuation difference on available-for-sale securities
Foreign currency translation adjustment
Remeasurements of defined benefit plans, net of tax

(588)

84

Comprehensive income

Total other comprehensive income(27)(3,214)Comprehensive income attributable toComprehensive income attributable to owners of parent
Comprehensive income attributable to non-controlling interests

(97)
70

(3,369)155

11

Consolidated Financial Results for the Fiscal Year Ended March 31, 2021

(3) Consolidated statement of change in equity
Previous fiscal year (April 1, 2019 to March 31, 2020)(Unit: millions of yen)
Shareholders’ equity

Opening balance

Share capital

Capital surplus

7,948

7,579

Retainedearnings

Treasury shares

Total
Shareholders’equity(1,821)

33,61019,904

Changes during period
Dividends of surplus
Profit (loss) attributableto owners of parent
Purchase of treasury
shares
Disposal of treasury
sharesIncrease (decrease) insales of shares of
consolidated
subsidiaries
Change in scope of
consolidation
Net changes in items
other than shareholders'equityTotal changes during
periodEnding Balance

(331)

(331)

490

490
-

0

0

(2)

(2)

-

0

156

-

156

7,948

7,579

20,060(1,821)

33,767

Accumulated other comprehensive income
Total
Valuation
Foreign currency Remeasurements accumulated Share acquisition Non-controlling Total net assets
difference onrightsinterests
translationof defined benefit
otheravailable-for-saleadjustment
planscomprehensive
securities
incomeOpening balance

598

0

23

622

-

404

34,638Changes during period
Dividends of surplus
Profit (loss) attributableto owners of parent
Purchase of treasury
shares
Disposal of treasury
sharesIncrease (decrease) insales of shares of
consolidated
subsidiaries
Change in scope of
consolidation
Net changes in items
other than shareholders’equityTotal changes during
periodEnding Balance

(331)
490
-

0

(2)
(587)

0

(0)

(588)

-

72

(515)

(587)

0

(0)

(588)

-

72

(358)

10

0

22

34

-

477

34,27912

Consolidated Financial Results for the Fiscal Year Ended March 31, 2021

Current consolidated fiscal year (April 1, 2020 to March 31, 2021)(Unit: millions of yen)
Shareholders’ equity

Opening balance

Share capital

Capital surplus

7,948

7,579

Retainedearnings

Treasury shares

Total
shareholders’equity(1,821)

33,767

20,060Changes during period
Dividends of surplus
Profit (loss) attributableto owners of parent
Purchase of treasury
shares
Disposal of treasury
sharesIncrease (decrease) insales of shares of
consolidated
subsidiaries
Change in scope of
consolidation
Net changes in items
other than shareholders’equityTotal changes during
periodEnding Balance

(331)

(331)

(3,452)(3,452)

(171)

(365)

(365)

240

68

-

-

-

-

(3,956)(124)(4,081)

7,948

7,579

16,104(1,946)

29,686

Accumulated other comprehensive income
Total
Valuation
Foreign currency Remeasurements accumulated Share acquisition Non-controlling Total net assets
difference onrightsinterests
translationof defined benefit
otheravailable-for-saleadjustment
planscomprehensive
securities
incomeOpening balance

10

0

22

34

-

477

34,279Changes during period
Dividends of surplus
Profit (loss) attributableto owners of parent
Purchase of treasury
shares
Disposal of treasury
sharesIncrease (decrease) insales of shares of
consolidated
subsidiaries
Change in scope of
consolidation
Net changes in items
other than shareholders’equityTotal changes during
periodEnding Balance(331)(3,452)
(365)
68

-

105

0

(22)

82

7

155

245

105

0

(22)

82

7

155

(3,836)

116

1

(0)

117

7

632

30,44313

Consolidated Financial Results for the Fiscal Year Ended March 31, 2021

(4) Consolidated statements of cash flows(Unit: millions of yen)Previous consolidated fiscal year
(April 1, 2019 to March 31, 2020)

Current consolidated fiscal year
(April 1, 2020 to March 31, 2021)

667
1,346
559
(84)
1

(2,908)
873
174
280
76
37

4

-

46
(104)
(224)

73
(14)
(35)

47

(205)

59
774
212
(8,537)
237
23
(15)
(166)
234
1,402
(444)

90
305
(16)
10,239
1,569
236
(0)
289
12
(6,003)
(29)

832

(701)

(195)
995

(27)
(355)

(2,328)

3,960

104
(59)
(143)

13
(90)
(190)

Net cash provided by (used in) operating activities(2,427)

3,692

Cash flows from investing activities
Purchase of property, plant and equipment
Proceeds from sale of property, plant and equipment
Purchase of intangible assets
Purchase of investment securities
Proceeds from sale of investment securities
Proceeds from redemption of investment securities
Purchase of shares of subsidiaries and associates
Payments for investments in capital
Loan advances
Proceeds from collection of loans receivable
Payments of leasehold and guarantee deposits
Proceeds from refund of leasehold and guarantee deposits
Other, net(1,723)
48
(553)
(256)
3,623
200
(10)
(267)
(30)
54
(66)
43
(187)

(353)
6
(233)
(47)
85
(99)
(260)
(87)
38
(80)
23
(64)

876

(1,072)

Cash flows from operating activities
Profit (loss) before income taxes
Depreciation
Impairment losses
Amortization of goodwill
Increase (decrease) in allowance for doubtful accounts
Increase (decrease) in provision for bonuses
Increase (decrease) in provision for bonuses for
directors (and other officers)
Increase (decrease) in retirement benefit liability
Interest and dividend income
Purchase discounts
Share of loss (profit) of entities accounted for using
equity method
Interest expenses
Investments in capital depreciation
Loss (gain) on sale of investment securities
Decrease (increase) in trade receivables
Increase (decrease) in inventory
Decrease (increase) in merchandising rights advances
Loss (gain) on sale of non-current assets
Decrease (increase) in prepaid expenses
Decrease (increase) in advances paid
Increase (decrease) in trade payables
Increase (decrease) in accounts payable-other
Decrease/increase in consumption taxes
receivable/payable
Increase (decrease) in deposits received
Other, net
SubtotalInterest and dividends received
Interest paid
Income taxes refund (paid)

Net cash provided by (used in) investing activities

14

Consolidated Financial Results for the Fiscal Year Ended March 31, 2021

(Unit: millions of yen)Previous consolidated fiscal year
(April 1, 2019 to March 31, 2020)

Current consolidated fiscal year
(April 1, 2020 to March 31, 2021)

Cash flows from financing activities
Net increase (decrease) in short-term borrowings
Repayments of long-term borrowings
Proceeds from long-term borrowings
Dividends paid
Purchase of treasury shares
Other, net(5,760)(4,656)
8,250
(331)
(39)

53
(5,329)
2,990
(331)
(365)
147

Net cash provided by (used in) financing activities(2,537)(2,835)

Effect of exchange rate change on cash and cash equivalents

(0)

(0)

Net increase (decrease) in cash and cash equivalents(4,088)(215)

Cash and cash equivalents at beginning of year
Increase in cash and cash equivalents resulting from
inclusion of subsidiaries in consolidation
Cash and cash equivalents at end of year

28,807

24,725

6-

24,72524,51015

Consolidated Financial Results for the Fiscal Year Ended March 31, 2021

(5) Note regarding the consolidated financial statements(Notes on the going concern assumption)
Not applicable.
(Segment information, etc.)
Segment information
This statement is omitted as the Group engages in a single segment.
Related information
Previous fiscal year (April 1, 2019 to March 31, 2020)
1. Information on each product and service
Disclosure is omitted because net sales of a single finished goods service category to external customers exceeds 90% of net
sales of the consolidated statement of income.
2. Information for each region(1) Net sales
This information is omitted because net sales to external customers in Japan accounts for more than 90% of net sales of
consolidated statement of income.
(2) Property, plant and equipment
This information is omitted because the amount of property, plant and equipment located in Japan exceeds 90% of the amountin the consolidated balance sheet.
3. Information for each major customer
This information is omitted because there are no external customers that account for 10% of net sales of consolidated statementof income.
Current fiscal year (April 1, 2020 to March 31, 2021)
1. Information on each product and service
Disclosure is omitted because net sales of a single finished goods and service category to external customers exceeds 90% of
net sales of the consolidated statement of income.
2. Information for each region(1) Net sales
This information is omitted because net sales to external customers in Japan accounts for more than 90% of net sales of
consolidated statement of income.
(2) Property, plant and equipment
This information is omitted because the amount of property, plant and equipment located in Japan exceeds 90% of the amountof balance sheet on a consolidated basis.
3. Information for each major customer
This information is omitted because there are no external customers that account for 10% of net sales of consolidated statementof income.
Information relating to impairment loss of non-current assets by reportable segment
This statement is omitted as the Group engages in a single segment.
Information relating to amortization of goodwill and unamortized balance by reportable segment
This statement is omitted as the Group engages in a single segment.
Information relating to gain on bargain purchase by reportable segment
Not applicable.

16Consolidated Financial Results for the Fiscal Year Ended March 31, 2021

(Per share information)
Item

Previous consolidated fiscal year
(April 1, 2019 to March 31, 2020)

Current consolidated fiscal year
(April 1, 2020 to March 31, 2021)

Net assets per share¥1,018.63¥921.80

Profit (loss) per share¥14.79¥ (105.78)(Notes) 1. Diluted profit (loss) per share for the previous fiscal year is not presented because there were no dilutive shares.
Diluted profit (loss) per share for the fiscal year under review is not presented because the Company posted aloss per share despite the existence of dilutive shares.
2. The basis for calculating profit per share or loss per share is as follows:
Previous consolidated fiscal year
(April 1, 2019 to March 31, 2020)

Current consolidated fiscal year
(April 1, 2020 to March 31, 2021)

490(3,452)--

Profit (loss) attributable to owners of parent
attributable to common stock(millions of yen)490

(3,452)Average number of shares of common stock
outstanding during the period (shares)

33,183,700

32,643,086

-

-

Item
Profit (loss) attributable to owners of parent(millions of yen)Amounts not attributable to common shareholders(millions of yen)

Outline of dilutive shares not included in the calculationof diluted profit per share because they have no dilutive
effect(Significant subsequent events)
Not applicable.

17