Note: This document is a translation of a part of the original Japanese version and provided for reference purposes only. In the event of any
discrepancy between the Japanese original and this English translation, the Japanese original shall prevail.

Consolidated Financial Results for the Fiscal Year Ended
November 30, 2023 [Japanese GAAP]
January 12, 2024
Company name: MORITO CO., LTD.
Stock exchange listing: Tokyo Stock Exchange
Code number:
9837
URL: https://www.morito.co.jp
Representative: Takaki Ichitsubo, Representative Director, CEO
Kiyomi Akui, Director, Senior Executive Officer, Division Manager ofContact:
Corporate Administrative Division and Division Manager of Business (Phone) +81-6-6252-3551
Management Division
Scheduled date of filing
Scheduled date of commencing
February 28, 2024
February 29, 2024
dividend payments:
quarterly securities report:
Scheduled date of filing
February 29, 2024
annual securities report:
Availability of supplementary briefing material on annual financial results: Available
Schedule of annual financial results briefing session: Yes (for securities analysts and institutional investors)(Amounts of less than one million yen are rounded down.)
1. Consolidated Financial Results for the Fiscal Year Ended November 30, 2023
(December 1, 2022 to November 30, 2023)(1) Consolidated Operating Results(% indicates changes from the previous corresponding period.)
Profit attributable to
Net sales
Operating profit
Ordinary profit
owners of parent
Millions of yen

Fiscal year ended
November 30, 2023
Fiscal year ended
November 30, 2022

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

48,529

0.1

2,464

16.4

2,771

18.3

2,217

32.5

48,478

11.1

2,116

30.7

2,342

27.7

1,674

19.0

Fiscal year ended
Fiscal year ended(Note) Comprehensive income: November 30,
3,231million yen[ (20.6) %] November 30,
4,070 million yen[ 73.4 %]
2023
2022:
Basic earnings per
share

Diluted earnings
per share

Yen

Yen

return on equity

Ordinary profit tototal assets

Operating profit to
net sales%%%

Fiscal year ended
83.05
82.80
5.9
5.5
5.1
November 30, 2023
Fiscal year ended
62.23
4.8
4.9
4.4
November 30, 2022
(Reference) Share of profit (loss) of entities
Fiscal year ended
Fiscal year ended
52 million yen
73 million yen
accounted for using equity method: November 30, 2023:
November 30, 2022:(2) Consolidated Financial Position
Total assets
Fiscal year ended
November 30, 2023
Fiscal year ended
November 30, 2022

Net assets

Net assets per share

Millions of yen%

Yen

51,42938,45774.7

1,445.12

50,271

36,68472.9

1,371.63

Fiscal year ended
November 30, 2023:(3) Consolidated Cash Flows(Reference) Equity:

38,433 million yen

Cash flows fromoperating activities
Fiscal year ended
November 30, 2023
Fiscal year ended
November 30, 2022

Capital adequacy ratio

Millions of yen

Fiscal year ended
November 30, 2022:

Cash flows frominvesting activities

36,628 million yen

Cash flows fromfinancing activities

Cash and cash
equivalents at the endof period

Millions of yen

Millions of yen

Millions of yen

Millions of yen

4,399

77

(1,983)13,009850(135)(1,916)

10,396― 1 ―2. Dividends
Annual dividends
1st quarter- 2nd quarter- 3rd quarterYear-end
end
end
end

Dividends to
net assets(consolidated)

Total
dividends

Payout ratio

Yen Millions of yen

%

%

Total

(consolidated)

Yen

Yen

Yen

Yen

FY2022

-

13.50

-

18.50

32.00

873

51.4

2.4

FY2023
FY2024(Forecast)

-

27.00

-

28.00

55.00

1,496

66.2

3.9

-

29.00

-

29.00

58.00

67.1

3. Consolidated Financial Results Forecast for the Fiscal Year Ending November 30, 2024
(December 1, 2023 to November 30, 2024)(% indicates changes from the previous corresponding period.)
Profit attributable to Basic earnings per
Net sales
Operating profit
Ordinary profit
owners of parent
shareMillions of yen

Full year

51,000% Millions of yen

5.1

2,600

% Millions of yen

5.5

2,800

% Millions of yen

1.0

Notes:(1) Changes in significant subsidiaries during the period under review (changes in
specified subsidiaries resulting in changes in the scope of consolidation)

2,300

:

%

Yen

3.7

86.48

No

(2) Changes in accounting policies, changes in accounting estimates, and retrospective restatement
1) Changes in accounting policies due to the revision of accounting standards:

Yes2) Changes in accounting policies other than 1) above:

No3) Changes in accounting estimates:No4) Retrospective restatement:

No(3) Total number of issued shares (common shares)
1) Total number of issued shares at the endof the period (including treasury shares):2) Total number of treasury shares at theend of the period:3) Average number of shares during theperiod:November 30, 2023:

30,000,000

November 30, 2022:

30,000,000

November 30, 2023:

3,404,514

November 30, 2022:

3,295,500

November 30, 2023:

26,708,206

November 30, 2022:

26,901,369*

These quarterly consolidated financial results are outside the scope of audit by certified public accountants or audit
firms.

*

Explanation of the proper use of financial results forecast and other notes

The earnings forecasts and other forward-looking statements herein are based on information currently available andcertain assumptions judged to be reasonable. Actual results may differ significantly from these forecasts due to a wide
range of factors.
As for suppositions that form the assumptions for the forecast of financial results and cautionary notes concerning theuse thereof, please refer to “(4) Future Outlook” in “1. Overview of Business Results, Etc.” on page 7.
The Company and some of the Morito Group companies have introduced the “Japanese version of the employee
stock ownership plan (J-ESOP)” and the “officer remuneration board incentive plan (BIP) trust.” Consequently,
the shares of the Company held by Custody Bank of Japan, Ltd. (trust account E) and The Master Trust Bank ofJapan, Ltd. (officer remuneration BIP trust account), respectively, are included in treasury shares.

― 2 ―Table of Contents
1. Overview of Business Results, Etc.............................................................................................................

4(1)

Overview of Business Results for the Period under Review..............................................................

4(2)

Overview of Financial Position for the Period under Review..............................................................

5(3)

Overview of Cash Flows for the Period under Review.......................................................................

6(4)

Future Outlook...................................................................................................................................

7(5)

Basic Dividend Policy and Payments for the Period under Review and the Next Period..................

7

2. Overview of the Corporate Group...............................................................................................................

8

3. Basic Stance Regarding Choice of Accounting Standards.........................................................................

11

4. Consolidated Financial Statements and Primary Notes.............................................................................

12

(1)

Consolidated Balance Sheets............................................................................................................

12

(2)

Consolidated Statements of Income and Comprehensive Income....................................................

14

Consolidated Statements of Income.....................................................................................................

14

Consolidated Statements of Comprehensive Income..........................................................................

16

(3)

Consolidated Statements of Changes in Equity.................................................................................

17

(4)

Consolidated Statements of Cash Flows...........................................................................................

19

(5)

Notes to the Consolidated Financial Statements...............................................................................

21(Notes on Going Concern Assumption)................................................................................................

21(Changes in Accounting Policies).........................................................................................................

21(Segment Information, Etc.)..................................................................................................................

21(Per Share Information)........................................................................................................................

24(Significant Subsequent Events)..........................................................................................................

25

5. Other Information........................................................................................................................................

26

(1)

Changes in Officers...........................................................................................................................

― 3 ―

26

1. Overview of Business Results, Etc.
(1) Overview of Business Results for the Period under Review
The fiscal year under review (December 1, 2022, to November 30, 2023) saw economic activity steadily return tonormal as the impact of the COVID-19 pandemic eased. However, the outlook for the future remains uncertain due toa sharp rise in raw material prices caused by the situation in Ukraine and other factors, global monetary tightening,
and the possibility of an economic slowdown overseas, particularly in Europe, the U.S., and China, as well as
exchange rate fluctuations. Working against this backdrop, the Morito Group (the “Group”), which is mainly
engaged in the apparel, product, and transportation businesses, faced an uphill battle due to soaring raw material
prices for its mainstay products and other factors, which all kept profits low, stagnant demand caused by slowing
consumption in Europe, the U.S., and Asia, as well as a warm winter in Japan. On the other hand, the Group enjoyedfavorable sales of accessories and products with superior functionality, including athletic shoes- and medical
device-related products, which are unaffected by trends, while the performance of its kitchen appliance and related
service business remained upbeat. Under its “Rideeco®” initiative aimed at realizing a sustainable society, theGroup moved forward with the development and sales of environmentally friendly products, using discarded fishingnets and fabric scraps from garment factories, with a focus on winning new business contracts. The Group also
enjoyed higher operating profit thanks to increased sales of high-value-added products and the enhanced efficiency
of logistics operations.
As a result, for the fiscal year under review, net sales increased 0.1% year on year to 48,529 million yen. Operating
profit was up 16.4% to 2,464 million yen, ordinary profit grew 18.3% to 2,771 million yen, and profit attributable toowners of the parent increased 32.5% to 2,217 million yen.

Exchange rates used for the conversion of revenue and expenses of the Group’s overseas subsidiaries during the
preparation of consolidated financial statements for the fiscal year under review are as follows.
1Q

2Q

3Q

4Q

USD

141.39(113.71)132.43(116.34)

137.49(129.73)144.63(138.28)EUR

144.26(130.04)

142.17(130.40)

149.58(138.25)

157.32(139.26)

CNY

19.85

(17.78)19.35(18.31)

19.56(19.60)19.94(20.18)

HKD

18.07

(14.60)16.89(14.90)17.54(16.53)18.49(17.62)TWD

4.51(4.09)

4.36(4.16)

4.48(4.41)

4.57(4.55)

VND

0.0058(0.0050)

0.0056(0.0051)

0.0059(0.0056)

0.0060(0.0059)

THB

3.89

(3.41)

3.91(3.52)

3.99(3.77)

4.12(3.80)

MXN

7.19(5.48)

7.11(5.67)

7.79(6.48)

8.48(6.83)(Note) The exchange rate of the same period in the previous fiscal year is stated in parentheses.

― 4 ―Business results by segment are as follows.
Japan
The Apparel Division saw increases in sales of accessories for workwear and athletic shoes as well as for bags
although sales of medical wear accessories for the European and the U.S. markets declined.
The Product Division enjoyed increases in sales of medical device-related products and products for one-coin shops(like 100-yen stores) as well as higher revenues for the kitchen appliance rental, sales, and cleaning business,despite declining sales of construction safety products and surfboard-related products.
In the Transportation Division, sales of automotive interior components to Japanese automotive manufacturers
increased.
As a result, net sales grew 1.7% year on year to total 34,070 million yen, and segment profit rose 25.2% year on
year to reach 2,026 million yen.
Asia
The Apparel Division enjoyed growing sales of baby wear accessories in China and Hong Kong as well as athleticshoe accessories and workwear-related products in Vietnam although sales of casual wear accessories andworkwear accessories for the European and the U.S. markets declined in China and Hong Kong.
In the Transportation Division, sales of automotive interior components to Japanese automotive manufacturers
decreased in China due to the restructuring of unprofitable businesses.
As a result, net sales decreased 7.6% year on year to total 7,705 million yen, and segment profit grew 7.6% year on
year to reach 749 million yen.
Europe and the U.S.
In the Apparel Division, sales of accessories for casual wear and workwear decreased.
In the Transportation Division, sales of automotive interior components to Japanese automotive manufacturers
increased.
As a result, net sales grew 2.0% year on year to total 6,753 million yen while segment loss came to 27 million yen(segment profit for the same period in the previous fiscal year was 104 million yen).
(2) Overview of Financial Position for the Period under Review
Total assets for the fiscal year under review increased 1,157 million yen from the previous fiscal year-end to 51,429
million yen.
Current assets grew 667 million yen from the previous fiscal year-end to 31,149 million yen. This was mainly due toa decrease of 632 million yen in notes and accounts receivable, a decrease of 407 million yen in electronicallyrecorded monetary claims, a decrease of 270 million yen in merchandise and finished goods, a decrease of 269
million yen in raw materials and supplies, and an increase of 2,613 million yen in cash and deposits.
Non-current assets were up 489 million yen from the previous fiscal year-end to 20,280 million yen. This was mainly
due to a decrease of 217 million yen in goodwill, a decrease of 205 million yen in Buildings and structures, adecrease of 63 million yen in Construction in progress, and an increase of 956 million yen in Investment securities.
Current liabilities decreased 720 million yen from the previous fiscal year-end to 8,589 million yen. This was mainly
due to an increase of 213 million yen in accrued consumption taxes included in other, an increase of 72 million yen in
accrued expenses included in other, and a decrease of 1,026 million yen in notes and accounts payable - trade.
Non-current liabilities increased 104 million yen from the previous fiscal year-end to 4,382 million yen. This was
mainly due to a decrease of 256 million yen in long-term borrowings, an increase of 288 million yen in Deferred tax
liabilities, an increase of 51 million yen in Long-term lease obligations in other, and an increase of 12 million yen in
Provision for share awards for directors (and other officers).
Net assets increased 1,772 million yen from the previous fiscal year-end to 38,457 million yen.
The shareholders’equity ratio increased 1.8 percentage points to 74.7% from 72.9% in the previous fiscal year.

― 5 ―(3) Overview of Cash Flows for the Period under Review
The status of cash flows for the fiscal year under review is as follows.
(Cash flows from operating activities)
Cash flows provided by operating activities amounted to 4,399 million yen, compared with cash flows of 850 million
yen provided in the previous fiscal year. This was mainly due to an increase in funds due to the acquisition of profit
before income taxes and a decrease in trade receivables.

(Cash flows from investing activities)
Cash flows provided in investing activities amounted to 77 million yen, compared with cash flows of 135 million yen
used in the previous fiscal year. This was mainly due to a decrease in cash from the acquisition of property, plant andequipment, and an increase in cash from the proceeds from sale of investment securities, and the proceeds fromredemption of investment securities.

(Cash flows from financing activities)
Cash flows used in financing activities amounted to 1,983 million yen, compared with cash flows of 1,916 million
yen used in the previous fiscal year. This was mainly due to the repayment of long-term borrowings, payment ofdividends, and purchase of treasury stock.

As a result of the above, cash and cash equivalents at the end of the fiscal year under review increased 2,613
million yen from the previous fiscal year-end to 13,009 million yen.
Trends of cash flow indicators are as follows.
Fiscal year ended

Fiscal year ended

Fiscal year ended

November 30, 2021

November 30, 2022

November 30, 2023

Equity ratio (%)

73.7

72.9

74.7

Equity ratio based on fair value (%)

38.1

40.3

67.0

81.2

206.1

33.5

245.6

63.5

287.1

Cash flow to interest-bearing debt
ratio (%)
Interest coverage ratio (times)(Note) Equity ratio: Shareholders’equity / Total assets
Equity ratio based on fair value: Total market value of shares / Total assets
Cash flow to interest-bearing debt ratio: Interest-bearing debts / Operating cash flow Interest
coverage ratio: Operating cash flow / Interest paid
* The indicators were calculated using financial figures on a consolidated basis.
* The total market value of shares was calculated by multiplying the closing share price by the total numberof shares outstanding (less the treasury shares) on the date of the fiscal year-end.
* Operating cash flow is the amount of net cash provided by (used in) operating activities recorded in theConsolidated Statements of Cash Flows.
* Among the liabilities recorded on the Consolidated Balance Sheets, interest-bearing debts apply toborrowings.
* Interest paid is the amount of interest paid recorded on the Consolidated Statements of Cash Flows.

― 6 ―(4) Future Outlook
During the fiscal year under review, the Group operated under the corporate vision of “Creating existence value:
Realization of a new Morito Group.”
Although the outlook remains uncertain due to the prolonged situation in Ukraine, the problem in the Middle East, theweak yen, and global warming, the Group expects to achieve the quantitative targets set under the 8th Mid-Term
Management Plan (running for 5 years from fiscal 2022 to fiscal 2026) earlier than projected. As a result, the 8th
Mid-Term Management Plan has been updated. Working with the aim of achieving net sales of 60,000 million yen
and operating profit of 3,000 million yen on a consolidated basis by the fiscal year ending November 30, 2026, theGroup will take various measures to become a global niche top company with a focus on continuing to make small
parts that make a big difference in the world.
Regarding the full-year forecast of the Group for the fiscal year ending November 30, 2024, the outlook for the global
economy remains uncertain, due to factors including exchange rate fluctuations and price increases. However, theGroup will focus on sales of value-added products with a particular emphasis on functionality, sustainability, andecology, in addition to its core products. The consolidated financial results for fiscal 2024 are forecasted to exceed
those of fiscal 2023, with net sales of 51,000 million yen, operating profit of 2,600 million yen, ordinary profit of 2,800
million, and profit attributable to owners of parent of 2,300 million yen.
*Notes on the future outlook
The aforementioned outlook is based on information available at the date of release of these materials. Actual results
and other details may differ from the outlook due to various factors in the future.
We will promptly disclose any changes in forecast figures.
(5) Basic Dividend Policy and Payments for the Period under Review and the Next Period
We see returning profits to shareholders as well as building a sound and efficient business foundation and financial
structure to enhance profitability as key management issues. We will use retained earnings to aggressively invest inareas aimed at long-term growth, such as expanding existing core businesses, seeking new business opportunities,
conducting M&As, etc., with an eye to enhancing our corporate value in the future. Dividends are determined after
considering factors such as the financial position and net assets.
Our basic dividend policy is as follows:- Realize stable and continuous dividend payments- A dividend on equity (DOE) ratio of 4.0% is the standard- Depending on business results, a dividend payout ratio of 50% or more in relation to profit attributable to ownersof parent is the standard(However, in a fiscal year with a significant fluctuation in after-tax profit attributable to owners of parent due tospecial factors such as extraordinary income or losses, the dividend amount will be determined in light of thecorresponding impact.)
From the perspective of striving to further enhance shareholder returns, after considering factors such as theCompany’s earnings and expenditure balance as well as the share price level, the Company will continuously review
the need to flexibly purchase or retire its treasury shares.
For the fiscal year under review, we plan to propose a year-end dividend of 28.00 yen per share at the Annual
General Meeting of Shareholders that will be held on February 28, 2024. Accordingly, including the interim dividendof 27.00 yen per share, the annual dividend for the fiscal year under review will amount to 55.00 yen per share. This
represents an increase of 23.00 yen from the previous year’s annual dividend of 32.00 yen.
Regarding dividends for the next fiscal year, based on our basic dividend policy, we plan to pay out an interim
dividend of 29.00 yen, and a year-end dividend of 29.00 yen, which will combine to form an annual dividend of 58.00
yen.

― 7 ―

2. Overview of the Corporate GroupThe Group consists of the parent company (the Company), 20 subsidiaries, and 1 affiliate. The main business of theGroup is the sales and manufacturing of materials and products for apparel and lifestyle goods, centering on daily
necessities, as well as automotive interior components. Business activities of the Group include: the sale andmanufacturing of materials for apparel and lifestyle goods such as stationery and OA equipment, and automotive
interior components; the import, sale, and wholesale of marine leisure and snowboarding equipment; and the rental,
sale, and cleaning of kitchen appliances.
The classification of reportable segments is the same as the classification of segments described in “4.
Consolidated Financial Statements and Primary Notes (5) Notes to the Consolidated Financial Statements.”
⦿ Consolidated subsidiaries:

20 companies□Affiliates accounted for using equity method:

1 company

Japan⦿ Morito Japan Co., Ltd.:

Planning, development, manufacturing, and sales of consumer product materials
and related products⦿ Morito Apparel Co., Ltd.:

Planning, development, manufacturing, and sales of apparel materials andproducts

⦿ Morito Auto-Parts Co., Ltd.:

Planning, development, manufacturing, and sales of automotive interior
components

⦿ Ace Industrial Machinery Co., Ltd.: Rental, sales, and cleaning of kitchen appliances⦿ Matex Inc.:

Manufacturing of apparel secondary materials, design, printing, website creation,
desktop publishing, and graphic design production planning⦿ Maneuverline Co., Ltd.:

Import, sales, and wholesaling of marine leisure, snowboarding, and apparelgoods⦿ Canvas Co., Ltd.:

A wholly owned subsidiary of Maneuverline Co., Ltd.; import, sales andwholesaling of apparel goods□ Kuraray Fastening Co., Ltd.:Sale and manufacturing of hook and loop fasteners

Asia⦿ Morito Scovill Hong Kong Co., Ltd.: Sale of materials for apparel and consumer products and automotive interior
components
⦿ Morito (Shenzhen) Co., Ltd.:

A wholly owned subsidiary of Morito Scovill Hong Kong Co., Ltd.; manufacturing
and sale of materials for apparel and consumer products⦿ Morito Shanghai Co., Ltd.:Sale of materials for apparel and consumer products and automotive interior
components

⦿ Morito Danang Co., Ltd.:Sale and manufacturing of materials for apparel and consumer products, andoperation of rental factories

⦿ Morito Trading (Thailand) Co., Ltd.: Sale of materials for apparel and consumer products and automotive interior
components
⦿ Shanghai New World Matex

A wholly owned subsidiary of Matex Inc.; sales and manufacturing of apparelInternational Trade Co., Ltd.:secondary materials, design, and sales of printing materials both in and outside
China⦿ GSG (Scovill) Fasteners Asia Ltd.: A wholly owned subsidiary of Morito Scovill Americas, LLC; sale of materials forapparel products
⦿ Scovill Fasteners India PVT. Ltd.:

A wholly owned subsidiary of Morito Scovill Americas, LLC; sale of materials forapparel products

Europe and the U.S.
⦿ Morito North America, Inc.:

Sale of automotive interior components

⦿ Morito (Europe) B.V.:

Sale of materials for apparel and consumer products, and automotive interior
components― 8 ―⦿ Morito Scovill Americas, LLC:

Sale and manufacturing of materials for apparel and consumer products

⦿ Scovill Fasteners UK Ltd.:

A wholly owned subsidiary of Morito Scovill Americas, LLC; sale of materials forapparel products⦿ Morito Scovill Mexico S.A. de C.V.: A subsidiary of Morito North America, Inc. (owning an 89.4% stake) and Morito
Scovill Americas, LLC (owning a 10.6% stake); sale of materials for apparel andconsumer products, and automotive interior components(Notes) 1 The liquidation of consolidated subsidiary Taiwan Morito Co., Ltd. was completed on May 8, 2023.
2 On April 1, 2023, 52DESIGN CO., LTD., a former consolidated subsidiary, was absorbed in anabsorption-type merger with another consolidated subsidiary Morito Apparel Co., Ltd. as the surviving
company, and therefore has been excluded from the scope of consolidation.
3 Kane-M (Thailand) Co., Ltd. was renamed Morito Trading (Thailand) Co., Ltd. on December 1, 2022, andKane-M Danang Co., Ltd. was renamed Morito Danang Co., Ltd. on December 22, 2022.

― 9 ―― 10 ―

3. Basic Stance Regarding Choice of Accounting Standards
Taking into consideration the comparability of consolidated financial statements across periods and among
companies, the Group’s policy is to continue preparing its consolidated financial statements using Japanese GAAP
for the time being. With regard to the application of International Financial Reporting Standards (IFRS), the Group’spolicy is to respond appropriately based on considerations of the situation in Japan and overseas.

― 11 ―

4. Consolidated Financial Statements and Primary Notes(1) Consolidated Balance Sheets(Thousands of yen)
As of November 30, 2022
AssetsCurrent assets
Cash and deposits
Notes receivable - trade
Accounts receivable - trade
Electronically recorded monetary claims operating
Merchandise and finished goods
Work in process
Raw materials and supplies
Other
Allowance for doubtful accounts
Total current assets
Non-current assets
Property, plant and equipment
Buildings and structures
Accumulated depreciation
Buildings and structures, net
Machinery, equipment and vehicles
Accumulated depreciation
Machinery, equipment and vehicles, net
Tools, furniture and fixtures
Accumulated depreciation
Tools, furniture and fixtures, net
Land
Leased assets
Accumulated depreciation
Leased assets, net
Right of use assets
Accumulated depreciation
Right of use assets, net
Construction in progress
Total property, plant and equipment
Intangible assets
Goodwill
Leased assets
Other
Total intangible assets
Investments and other assets
Investment securities
Long-term loans receivable
Deferred tax assets
Retirement benefit asset
Other
Allowance for doubtful accounts
Total investments and other assets
Total non-current assets
Total assets― 12 ―

As of November 30, 2023

10,399,699
1,132,789
8,122,904

13,013,252
778,016
7,845,458

2,847,664

2,440,431

5,159,313
509,281
1,285,121
1,076,907(52,481)
30,481,201

4,888,816
453,769
1,015,825
827,277(113,686)
31,149,163

8,005,558(4,035,303)
3,970,255
3,017,147(2,235,107)782,0392,453,916(2,108,137)
345,778
4,547,309
123,040(82,431)40,609634,820(311,359)
323,460
157,477
10,166,930

7,908,854(4,144,585)
3,764,268
3,135,447(2,335,706)
799,740
2,556,912(2,228,808)
328,1034,660,948
117,490(91,633)
25,857
598,826(227,925)
370,901
94,051
10,043,872

2,712,342
3,871
1,150,396
3,866,611

2,495,204
2,269
1,064,806
3,562,280

4,465,618
42,000535,338
286,915573,067(145,760)
5,757,179
19,790,721
50,271,922

5,422,020
36,000516,890314,646
452,164(67,688)6,674,033
20,280,186
51,429,350

(Thousands of yen)
As of November 30, 2022
Liabilities
Current liabilities
Notes and accounts payable - trade
Electronically recorded obligations - operating
Short-term borrowings
Current portion of long-term borrowings
Income taxes payable
Provision for bonuses
Provision for bonuses for directors (and otherofficers)
Other
Total current liabilities
Non-current liabilities
Long-term borrowings
Deferred tax liabilities
Deferred tax liabilities for land revaluation
Provision for share awards
Provision for retirement benefits for directors(and other officers)
Provision for share awards for directors (andother officers)
Provision for environmental measures
Retirement benefit liability
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-salesecurities
Deferred gains or losses on hedges
Revaluation reserve for land
Foreign currency translation adjustment
Remeasurements of defined benefit plans
Total accumulated other comprehensive
incomeShare acquisition rights
Non-controlling interests
Total net assets
Total liabilities and net assets― 13 ―

As of November 30, 2023

4,684,932
940,625
50,000280,008
577,794393,205

3,658,697
1,082,704
50,000256,674
611,892
473,097

145,842

146,836

2,237,096
9,309,505

2,309,311
8,589,213

1,423,294
1,268,648
272,019
37,448

1,166,620
1,556,663
262,126
48,17645,55854,20888,468100,494

25,968862,554254,097
4,278,056
13,587,562

26,823
864,593
303,208
4,382,915
12,972,128

3,532,492
2,962,803
27,539,047(2,174,195)
31,860,146

3,532,492
3,040,197
28,538,155(2,437,142)
32,673,702

1,274,715

2,053,469(15,199)442,187
3,023,530
43,38013,287419,773
3,223,586
49,934

4,768,615

5,760,051

55,59736,684,360
50,271,922

23,46738,457,221
51,429,350

(2) Consolidated Statements of Income and Comprehensive Income
Consolidated Statements of Income(Thousands of yen)
For the fiscal year
ended November 30, 2022

For the fiscal year
ended November 30, 2023

48,478,405
35,990,975
12,487,429

48,529,542
35,264,050
13,265,491

3,366,015
695,886
841,485
187,420

3,477,761
792,860
896,484
125,805

129,796

146,950

13,90016,45016,647

12,025

101,875
1,549,973
22,509698,672
160,204
524,7212,061,370
10,370,480
2,116,949

96,682
1,486,464(5,211)
738,759
168,599
508,078
2,339,325
10,801,037
2,464,454

9,690
85,142
79,32011,531

17,38899,72844,43867,692-73,33452,294

4,205
50,693313,917

38,23641,436361,215

13,172
17,79757,30688,2752,342,590

12,666
12,627244
28,76054,2982,771,370

Net sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Salaries
Bonuses
Welfare expenses
Retirement benefit expenses
Provision for bonuses for directors (and otherofficers)
Provision for retirement benefits for directors (andother officers)
Provision for share awards for directors (and otherofficers)
Communication expenses
Freight and packing costs
Provision of allowance for doubtful accounts
Commission expenses
Rent expenses
Depreciation
Other
Total selling, general and administrative expenses
Operating profit
Non-operating income
Interest income
Dividend income
Gain on redemption of investment securities
Rental income from real estate
Foreign exchange gains
Share of profit of entities accounted for using
equity method
Subsidies for employment adjustment
Insurance return
Other
Total non-operating income
Non-operating expenses
Interest expenses
Depreciation of assets for rent
Foreign exchange losses
Other
Total non-operating expenses
Ordinary profit― 14 ―

(Thousands of yen)
For the fiscal year
ended November 30, 2022

For the fiscal year
ended November 30, 2023

123,184
164,385682
466
96,654385,373

21,382
302,495840
130,102454,819585
15,236
48,64846,658111,128
2,616,836
1,008,111(65,355)
942,755
1,674,080
1,674,080

0
32,065
1,690
33,756
3,192,433
999,871(25,427)
974,4442,217,989
2,217,989

Extraordinary income
Gain on sale of non-current assets
Gain on sale of investment securities
Gain on reversal of share acquisition rights
Gain on sale of golf club membership
Insurance claim income
Gain on liquidation of subsidiaries
Total extraordinary income
Extraordinary losses
Loss on sale of non-current assets
Loss on retirement of non-current assets
Loss on valuation of golf club membership
Claim settlement money
Loss on withdrawal from businessTotal extraordinary losses
Profit before income taxes
Income taxes - current
Income taxes - deferred
Total income taxes
ProfitProfit attributable to non-controlling interests
Profit attributable to owners of parent― 15 ―

Consolidated Statements of Comprehensive Income(Thousands of yen)
For the fiscal year
ended November 30, 2022

For the fiscal year
ended November 30, 2023

1,674,080

2,217,989(46,951)(19,811)2,382,413
80,303778,753
28,486200,055
6,553

(0)

(0)

2,395,953
4,070,034

1,013,849
3,231,838

4,070,034

3,231,838--

ProfitOther comprehensive income
Valuation difference on available-for-sale securities
Deferred gains or losses on hedges
Foreign currency translation adjustment
Remeasurements of defined benefit plans, net of tax
Share of other comprehensive income of entities
accounted for using equity method
Total other comprehensive income
Comprehensive income
Comprehensive income attributable toComprehensive income attributable to owners of parent
Comprehensive income attributable to non-controllinginterests― 16 ―

(3) Consolidated Statements of Changes in Equity
For the fiscal year ended November 30, 2022
(Thousands of yen)
Shareholders' equity

Balance at beginning of
periodCumulative effects ofchanges in accounting
policies
Restated balance

Share capital

Capital surplus

3,532,492

3,507,603

Retainedearnings
26,726,521

Total
Treasury shares shareholders'equity(2,289,615)

31,477,001(27,800)
3,532,492

3,507,603

26,698,720(27,800)(2,289,615)

31,449,200

Changes during period
Dividends of surplus
Profit attributable toowners of parent
Purchase of treasury
shares
Disposal of treasury
sharesCancellation oftreasury shares
Reversal ofrevaluation reserve
for landNet changes in items
other thanshareholders' equity
Total changes during
periodBalance at end of period(842,681)(842,681)

1,674,080

1,674,080(544,800)(449,455)(449,455)

20,07420,074

544,800

-

8,927

8,927

-

(544,800)

840,326

115,419

410,946

3,532,492

2,962,803

27,539,047(2,174,195)

31,860,146

Accumulated other comprehensive income
Total
Share
Valuation Deferred
Foreign Remeasurements
Revaluation
accumulated acquisition Non-controlling Total net
difference on gains orcurrency of definedinterests
assetsreserve forotherrightsavailable-for-sale losses ontranslation
benefitlandcomprehensive
securities
hedgesadjustment
plansincomeBalance at beginning of
periodCumulative effects ofchanges in accounting
policies
Restated balance

1,321,667

4,612

451,115

641,116(36,922)

2,381,589

56,280- 33,914,870(27,800)

1,321,667

4,612

451,115

641,116(36,922)

2,381,589

56,280- 33,887,069

Changes during period
Dividends of surplus
Profit attributable toowners of parent
Purchase of treasury
shares
Disposal of treasury
sharesCancellation oftreasury shares
Reversal ofrevaluation reserve
for landNet changes in items
other thanshareholders' equity
Total changes during
periodBalance at end of period(842,681)
1,674,080(449,455)
20,074
8,927(46,951) (19,811)(8,927) 2,382,413

80,303

2,387,026

(682)

-

2,386,343(46,951) (19,811)(8,927) 2,382,413

80,303

2,387,026

(682)

-

2,797,290

43,3804,768,615

55,597

1,274,715(15,199)442,187

3,023,530― 17 ―- 36,684,360

For the fiscal year ended November 30, 2023
(Thousands of yen)
Shareholders' equity

Balance at beginning of
periodShare capital

Capital surplus

3,532,492

2,962,803

Retainedearnings
27,539,047

Total
Treasury shares shareholders'equity(2,174,195)

31,860,146

Changes during period
Dividends of surplus
Profit attributable toowners of parent
Purchase of treasury
shares
Disposal of treasury
shares
Reversal ofrevaluation reserve
for landNet changes in items
other thanshareholders' equity
Total changes during
periodBalance at end of period(1,241,295)(1,241,295)

2,217,989

2,217,989

77,394(471,036)(471,036)

208,089

285,484

22,413

22,413-77,394

999,108(262,946)

813,555

3,532,492

3,040,197

28,538,155(2,437,142)

32,673,702

Accumulated other comprehensive income
Total
Share
Valuation Deferred
Foreign Remeasurements
Revaluation
accumulated acquisition Non-controlling Total net
difference on gains orcurrency of definedinterests
assetsreserve forotherrightsavailable-for-sale losses ontranslation
benefitlandcomprehensive
securities
hedgesadjustment
plansincomeBalance at beginning of
period1,274,715(15,199)442,187

3,023,530

43,3804,768,615

55,597-36,684,360

Changes during period
Dividends of surplus
Profit attributable toowners of parent
Purchase of treasury
shares
Disposal of treasury
shares
Reversal ofrevaluation reserve
for landNet changes in items
other thanshareholders' equity
Total changes during
periodBalance at end of period(1,241,295)
2,217,989(471,036)
285,484
22,413778,753

28,486(22,413)200,0556,553

991,435(32,130)-

959,305

778,753

28,486(22,413)200,0556,553

991,435(32,130)-

1,772,861

2,053,469

13,287419,773

3,223,586

49,9345,760,051

23,467-38,457,221― 18 ―

(4) Consolidated Statements of Cash Flows(Thousands of yen)
For the fiscal year
ended November 30, 2022
Cash flows from operating activities
Profit before income taxes
Depreciation
Amortization of goodwill
Increase (decrease) in provision for bonuses
Decrease (increase) in retirement benefit asset
Increase (decrease) in retirement benefit liability
Increase (decrease) in provision for retirement
benefits for directors (and other officers)
Increase (decrease) in provision for share awards
Increase (decrease) in provision for share awards
for directors (and other officers)
Increase (decrease) in allowance for doubtful
accounts
Interest and dividend income
Interest expenses
Subsidies for employment adjustment
Insurance claim income
Loss (gain) on redemption of investment
securities
Share of loss (profit) of entities accounted forusing equity method
Gain on reversal of share acquisition rights
Loss (gain) on sale of non-current assets
Loss (gain) on sale of investment securities
Loss (gain) on sale of golf club membership
Loss (gain) on liquidation of subsidiaries
Loss on valuation of golf club membership
Loss on retirement of non-current assets
Claim settlement money
Loss on withdrawal from business
Decrease (increase) in trade receivables
Decrease (increase) in inventories
Increase (decrease) in trade payables
Other, net
SubtotalInterest and dividends received
Interest paid
Proceeds from subsidies for employment
adjustment
Proceeds from insurance income
Payments for Claim settlement money
Income taxes paid
Net cash provided by (used in) operating activities― 19 ―For the fiscal year
ended November 30, 2023

2,616,836
992,422259,832
86,83011,278
10,204

3,192,433
1,010,991
279,033
74,997(18,545)
2,300

13,400

8,650

5,173

10,728(3,181)

12,02529,442(19,490)(94,832)
13,172(4,205)(96,654)(117,117)
12,666--(44,438)(73,334)(52,294)(682)(122,599)(164,385)(466)
15,236
48,64846,658(775,801)(1,785,241)702,848(147,792)
1,582,807
94,848(13,395)(840)(21,382)(302,495)(130,102)
1,690
32,065
1,233,622
688,611(894,323)
303,643
5,262,431
117,119(15,321)

19,572-96,654(36,709)(893,143)
850,634(964,733)
4,399,496

(Thousands of yen)
For the fiscal year
ended November 30, 2022
Cash flows from investing activities
Proceeds from withdrawal of time deposits
Purchase of investment securities
Proceeds from sale of investment securities
Proceeds from redemption of investment
securities
Purchase of property, plant and equipment
Proceeds from sale of property, plant andequipment
Purchase of intangible assets
Proceeds from collection of loans receivable
Other, net
Net cash provided by (used in) investing activities
Cash flows from financing activities
Repayments of lease liabilities
Repayments of long-term borrowings
Purchase of treasury shares
Proceeds from exercise of employee shareoptions
Dividends paid
Net cash provided by (used in) financing activities
Effect of exchange rate change on cash and cash
equivalents
Net increase (decrease) in cash and cash
equivalents
Cash and cash equivalents at beginning of period
Cash and cash equivalents at end of period― 20 ―For the fiscal year
ended November 30, 2023

91,921(19,189)
193,429

9,596(13,531)371,540-

167,881(517,000)(491,815)

213,964

91,515(93,987)
6,000(10,251)(135,113)(50,696)
6,000(12,680)
77,810(229,818)(394,620)(449,455)(245,738)(280,008)(471,036)-

254,194(842,681)(1,916,575)(1,241,295)(1,983,884)

577,131

119,968(623,922)

2,613,391

11,020,111
10,396,188

10,396,188
13,009,580

(5) Notes to the Consolidated Financial Statements(Notes on Going Concern Assumption)
Not applicable.

(Changes in Accounting Policies)(Adoption of Implementation Guidance on Accounting Standard for Fair Value Measurement)
The Group has adopted the Implementation Guidance on Accounting Standard for Fair Value Measurement (ASBJ
Guidance No. 31, June 17, 2021) effective as of the beginning of the first quarter of the fiscal year under review. In
accordance with the transitional treatment set forth in paragraph 27-2 of the Implementation Guidance on
Accounting Standard for Fair Value Measurement, the Group has decided to apply the new accounting policy
stipulated by the Implementation Guidance on Accounting Standard for Fair Value Measurement prospectively. This
has no effect on the quarterly consolidated financial statements.
(Segment Information, Etc.)
Segment information
1. Overview of reportable segments
The Group’s reportable segments are those constituent units for which discrete financial information isavailable, and for which the Board of Directors conducts regular reviews for the purposes of making decisions on
the allocation of resources and assessing performance.
The main business of the Group is the sales and manufacturing of materials and products for apparel andlifestyle goods, centering on daily necessities, as well as automotive interior components. Operations in Japanare mainly carried out by six local subsidiaries, operations in Asia are mainly carried out by local subsidiaries in
China and Hong Kong, and operations in Europe and the U.S. are mainly carried out by local subsidiaries in the
U.S., Mexico, and the Netherlands. The Company and its local subsidiaries, etc. are independently managed
units, but the Group formulates comprehensive strategies for business activities across all regions.
The Group therefore consists of three regional segments, each of which is a reportable segment: Japan, Asia,
and Europe and the U.S.
2. Method used to calculate amounts of net sales, profit (loss), assets and other items by reportable segment
The accounting treatment used for each of the reportable segments is substantially the same as the accounting
treatment used in the preparation of the consolidated financial statements.
The amounts presented for the profit of reportable segments represent operating profit.
The amounts presented for intersegment sales or transfers are based on prevailing market prices.

― 21 ―

3. Information on amounts of net sales, profit (loss), assets and other items by reportable segment
I

For the fiscal year ended November 30, 2022
Reportable Segment

Japan

Asia

Europe &the U.S.

Total(Thousand yen)Amountrecorded in
Consolidated
Adjustment
Financial(Notes 1, 3)
Statements(Note 2)

Net sales Apparel

11,528,224

5,763,357

5,503,993

22,795,574-

22,795,574

Product

17,315,149

711,216

33,82018,060,186-

18,060,186

Transportation

4,673,065

1,865,563

1,084,015

7,622,644-

7,622,644

Revenue from contracts withcustomers

33,516,439

8,340,137

6,621,828

48,478,405-

48,478,405

Net sales to external customers

33,516,439

8,340,137

6,621,828

48,478,405-

48,478,405

Intersegment sales or transfers

1,795,433

3,630,045

91,1835,516,662(5,516,662)

-

Total

35,311,873

11,970,182

6,713,012

53,995,068(5,516,662)

48,478,405

Segment profit

1,618,824

696,660

104,001

2,419,486(302,536)

2,116,949

Segment assets

32,895,532

7,636,550

8,486,327

49,018,409

1,253,513

50,271,922

Other items Depreciation

422,817353,393

216,211

992,422-

992,422

Increase in property, plant andequipment and intangible assets

369,617236,337

284,030

889,985-889,985(Note) 1 The adjustment of (302,536) thousand yen to segment profit includes corporate expenses of (222,104) thousand
yen not allocated to the reportable segments, and other in the amount of (80,432) thousand yen.
2 The amount of segment profit has been adjusted with operating profit in the Consolidated Statements of Income.
3 The amount of the adjustment to segment assets of 1,253,513 thousand yen includes intersegment eliminationof (9,675,966) thousand yen, and corporate assets of 10,929,480 thousand yen not allocated to the reportablesegments. Corporate assets mainly refer to the financial assets (cash and deposits, investment securities, etc.)
held by the Company, which is the holding company of the Group.

― 22 ―

II

For the nine months of the fiscal year ending November 30, 2023
Reportable Segment

Japan

Asia

Europe &the U.S.

Total(Thousand yen)Amountrecorded in
Consolidated
Adjustment
Financial(Notes 1, 3)
Statements(Note 2)

Net sales Apparel

11,796,377

6,123,353

5,285,849

23,205,580-

23,205,580

Product

17,260,741

574,023

21,473

17,856,237-

17,856,237

Transportation

5,013,408

1,008,095

1,446,219

7,467,723-

7,467,723

Revenue from contracts withcustomers

34,070,527

7,705,472

6,753,542

48,529,542-

48,529,542

Net sales to external customers

34,070,527

7,705,472

6,753,542

48,529,542-

48,529,542

Intersegment sales or transfers

1,793,621

4,159,819

116,9126,070,354(6,070,354)

-

Total

35,864,148

11,865,292

6,870,455

54,599,896(6,070,354)

48,529,542

Segment profit (loss)

2,026,957

749,562(27,126)

2,749,393(284,939)

2,464,454

Segment assets

30,766,797

7,301,621

8,458,770

46,527,190

4,902,160

51,429,350

Depreciation

393,281

350,672

267,037

1,010,991-

1,010,991

Increase in property, plant andequipment and intangible assets

319,461

356,110

221,946

897,517-897,517

Other items(Note) 1 The adjustment of (284,939) thousand yen to segment profit (loss) includes corporate expenses of (248,287)
thousand yen not allocated to the reportable segments, and other in the amount of (36,651) thousand yen.
2 The amount of segment profit (loss) has been adjusted with operating profit in the Consolidated Statements ofIncome.
3 The amount of the adjustment to segment assets of 4,902,160 thousand yen includes intersegment eliminationof (9,401,423) thousand yen, and corporate assets of 14,303,583 thousand yen not allocated to the reportablesegments. Corporate assets mainly refer to the financial assets (cash and deposits, investment securities, etc.)
held by the Company, which is the holding company of the Group.

― 23 ―

(Per Share Information)
As of November 30, 2022
(December 1, 2021 toNovember 30, 2022)

Item
Net assets per share(Yen)
As of November 30, 2023
(December 1, 2022 toNovember 30, 2023)

1,371.63

1,445.12

Basic earnings per share

62.23

83.05

Diluted earnings per share

-

82.80

(Note) 1 The number of common shares that are treasury shares used to calculate “net assets per share” includes
the Company’s shares (373 thousand shares in the previous fiscal year, 373 thousand shares in the fiscal year
under review) held by Custody Bank of Japan, Ltd. (trust account E), and the Company’s shares (154 thousand
shares in the previous fiscal year, 154 thousand shares in the fiscal year under review) held by The Master Trust
Bank of Japan, Ltd. (officer remuneration BIP trust account).
2 The average number of common shares during the period that are treasury shares used to calculate “basic
earnings per share” includes the Company’s shares (373 thousand shares in the previous fiscal year, 373
thousand shares in the fiscal year under review) held by Custody Bank of Japan, Ltd. (trust account E), and theCompany’s shares (162 thousand shares in the previous fiscal year, 154 thousand shares in the fiscal year
under review) held by The Master Trust Bank of Japan, Ltd. (officer remuneration BIP trust account).
3 In the previous fiscal year, there were no diluted stocks. Therefore there is no entry in the diluted net income pershare adjusted section.
(Note) Basis for the Calculations
1 Net assets per share
Item

As of November 30, 2022

As of November 30, 2023

36,684,360

38,457,221

Amount deducted from total net assets (thousand yen)

55,59723,467[Including: Share acquisition rights (thousand yen)](55,597)(23,467)[Including: Non-controlling interests (thousand yen)]--

Net assets relating to common shares (thousand yen)

36,628,762

38,433,753

Number of common issued shares (thousand shares)

30,00030,000

3,295

3,404

26,704

26,595

Total net assets on Consolidated Balance Sheets(Thousand yen)

Number of common shares that are treasury shares(thousand shares)
Number of common shares used to calculate net
assets per share (thousand shares)(Note) The number of common shares that are treasury shares used to calculate net assets per share includes theCompany’s shares held respectively by Custody Bank of Japan, Ltd. (trust account E) and The Master Trust
Bank of Japan, Ltd. (officer remuneration BIP trust account) as treasury shares.

― 24 ―

2 Basic earnings per share
Item

As of November 30, 2022
(December 1, 2021 toNovember 30, 2022)

As of November 30, 2023
(December 1, 2022 toNovember 30, 2023)

Basic earnings per share
Profit attributable to owners of parent (thousand
yen)

1,674,080

2,217,989--

Profit attributable to owners of parent relating tocommon shares (thousand yen)

1,674,080

2,217,989

Average number of common shares during theperiod (thousand shares)

26,901

26,708Net income adjustment attributable to parent
company shareholder (thousands of yen)--

The number of increase of common stock(thousand share)-80(Stock Option (thousands share))-80

Amount not attributable to commonshareholders (thousand yen)

Diluted net income per share adjusted

Overview of residual shares not included in
calculation of diluted earnings per share due tolack of dilutive effect

Share acquisition rights
resolved by the Board of
Directors and at the Annual
General Meeting of
Shareholders held on
February 25, 2016
Common shares: 529,500-(Note) The average number of common shares during the period used to calculate basic earnings per share anddiluted earnings per share includes the Company’s shares held respectively by Custody Bank of Japan, Ltd.
(trust account E) and The Master Trust Bank of Japan, Ltd. (officer remuneration BIP trust account) as
treasury shares.
(Significant Subsequent Events)
Not applicable.

― 25 ―

5. Other Information(1) Changes in Officers
1. Changes of representative
Not applicable.
2. Changes of other officers
Not applicable.

― 26 ―