Translation
Notice: This document is an excerpt translation of the original Japanese document and is only for reference purposes. In the event of any
discrepancy between this translated document and the original Japanese document, the latter shall prevail.

Summary of Consolidated Financial Results
for the Six Months Ended August 31, 2023
(Based on Japanese GAAP)
October 6, 2023
Company name:ICHIBANYA CO., LTD.
Stock exchange listing: Tokyo, Nagoya
Stock code:
Representative:

7630
President

URL

https://www.ichibanya.co.jp/
Mamoru Kuzuhara

Inquiries:

General Manager of Corporate Planning
Dept.

Yasutaka Hirao

TEL

Scheduled date to file Quarterly Securities Report:
Scheduled date to commence dividend payments:

October 13, 2023
November 17, 2023

Preparation of supplementary material on quarterly financial results:
Holding of quarterly financial results meeting:

Yes
Yes

(0586) 81 - 0792

(for institutional investors and analysts)(Amounts less than one million yen are rounded down)

1. Consolidated financial results for the six months ended August 31, 2023 (from March 1, 2023 to August 31, 2023)(1) Consolidated operating results (cumulative)
Percentages indicate year-on-year changes
Profit attributable toNet sales
Operating profit
Ordinary profit
owners of parent
Millions of yen% Millions of yen% Millions of yen% Millions of yen%Six months ended August 31, 2023
26,822
17.3
2,467
87.2
2,606
58.6
1,418
38.8
Six months ended August 31, 2022
22,874
4.2
1,317
10.2
1,642 (13.3)
1,021 (32.8)
Earnings per share

Diluted earnings per share

Yen
44.45
32.01

Six months ended August 31, 2023
Six months ended August 31, 2022

Yen––(2) Consolidated financial position
Total assets

Net assets

Millions of yen
43,74942,432As of August 31, 2023
As of February 28, 2023

Equity ratio

Millions of yen
31,37930,945

Net assets per share
%
70.7
72.0

Yen
970.05957.78

2. Cash dividends
Annual dividends per share

Year ended February 28, 2023
Year ending February 29, 2024

1st quarter-end

2nd quarter-end

3rd quarter-end

Fiscal year-end

Yen
––

Yen
40.00
40.00

Yen–

Yen
40.00

Yen
80.00

–

40.00

80.00

Year ending February 29, 2024 (Forecast)Total

3. Forecast of consolidated financial results for the year ending February 29, 2024 (from March 1, 2023 to February 29, 2024)
Net sales
Full year

Millions of yen
55,100Percentages indicate year-on-year changes
Profit attributable toOperating profit
Ordinary profit
Earnings per shareowners of parent% Millions of yen% Millions of yen% Millions of yen%
Yen
14.1
4,900
35.6
5,150
27.4
3,100
22.1
97.16

1

4. Notes(1) Changes in significant subsidiaries during the six months ended August 31, 2023
(changes in specified subsidiaries resulting in the change in scope of consolidation):No(2) Application of special accounting methods for preparing quarterly consolidated financial statements:

No(3) Changes in accounting policies, changes in accounting estimates, and restatement of prior period financial statements
Changes in accounting policies due to revisions to accounting standards and other regulations:
Changes in accounting policies due to other reasons:

No
No

Changes in accounting estimates:
Restatement of prior period financial statements:

NoNo(4) Number of issued shares (common shares)
Total number of issued shares at the end of the period (including treasury shares)
As of August 31, 2023

31,926,000 shares As of February 28, 2023

31,926,000 shares

Number of treasury shares at the end of the period
As of August 31, 2023

21,043 shares As of February 28, 2023

6,836 shares

Average number of shares during the period (cumulative from the beginning of the fiscal year)
Six months ended August 31, 2023

31,906,530 shares Six months ended August 31, 2022

231,914,920 shares

Quarterly consolidated financial statements
Consolidated balance sheets(Thousands of yen)
As of February 28, 2023

As of August 31, 2023

AssetsCurrent assets
Cash and deposits
Accounts receivable - trade

17,690,428
3,161,681

16,916,881
3,722,677

Merchandise and finished goods
Work in process

1,001,425
47,519997,148
50,483260,984
819,759

277,270
1,026,682

22,981,799

22,991,143

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

4,844,872
687,188

5,095,414
673,406

Land
Leased assets, net

5,375,658
702,255

5,326,062
518,243

Raw materials and supplies
Other
Total current assets
Non-current assets
Property, plant and equipment

Other, net
Total property, plant and equipment

585,195

599,741

12,195,170

12,212,868

223,145845,024

835,863
1,283,080

1,068,170

2,118,944

Intangible assets
Goodwill
Other
Total intangible assets
Investments and other assets
Investment securities

372,560

413,494

Deferred tax assets
Guarantee deposits

1,089,040
4,495,207

1,140,545
4,542,255

Other
Allowance for doubtful accounts

233,104(2,153)

332,514(2,086)

Total investments and other assets

6,187,759

6,426,722

19,451,100

20,758,535

42,432,899

43,749,679Total non-current assets
Total assets3

(Thousands of yen)
As of February 28, 2023

As of August 31, 2023

Liabilities
Current liabilities
Accounts payable - trade

2,312,523

2,824,751–
1,455,617

5,236
1,441,473

574,309329,732

936,349
353,542

Provision for shareholder benefit program
Other

99,117
1,143,819

108,201
1,108,905

Total current liabilities

5,915,119

6,778,460

Current portion of long-term borrowings
Accounts payable - other
Income taxes payable
Provision for bonuses

Non-current liabilities
Long-term borrowings–34,764

Lease liabilities
Retirement benefit liability

293,193
1,150,350

184,427
1,186,001

Long-term guarantee deposits
Asset retirement obligations

3,540,954
532,591

3,501,010
557,819

Other

55,101

127,229

5,572,192

5,591,252

11,487,311

12,369,712

Share capital
Capital surplus

1,503,270
1,389,226

1,503,270
1,389,950

Retained earnings
Treasury shares

27,090,313(32,701)

27,231,660(108,714)

Total shareholders' equity

29,950,108

30,016,165

Total non-current liabilities
Total liabilities
Net assets
Shareholders' equity

Accumulated other comprehensive income
Valuation difference on available-for-sale securities

53,97782,438Foreign currency translation adjustment
Remeasurements of defined benefit plans

577,421(9,980)858,434(7,621)

Total accumulated other comprehensive income

621,417933,251

374,061

430,549

30,945,588

31,379,966

42,432,899

43,749,679

Non-controlling interests
Total net assets
Total liabilities and net assets

4Consolidated statements of income (cumulative) and consolidated statements of comprehensive income(cumulative)
Consolidated statements of income (cumulative)(Thousands of yen)Six months ended

Six months ended

August 31, 2022

August 31, 2023

Net sales
Cost of sales

22,874,883
12,281,067

26,822,463
13,873,615

Gross profit

10,593,815

12,948,847

Selling, general and administrative expenses

9,275,838

10,481,436

Operating profit

1,317,977

2,467,410

Interest and dividend income
Rental income from buildings

5,880
433,014

19,476442,546

Subsidy income
Other219,429
39,068–61,148

Total non-operating income

697,393523,171

Non-operating income

Non-operating expenses
Interest expenses

6,445

6,619

Rental expenses
Other346,096
20,118366,169
11,681

Total non-operating expenses

372,660

384,470

1,642,710

2,606,111

Gain on sales of stores
Other

37,3162,560

20,364587

Total extraordinary income

39,876

20,951

Extraordinary losses
Loss on sale of non-current assets

33,806–

4,100
67,4502,782
383,475

Ordinary profit
Extraordinary income

Loss on retirement of non-current assets
Impairment losses
Loss on valuation of shares of subsidiaries and associates
Total extraordinary losses
Profit before income taxes
Income taxes - current

4,932

–

110,290386,258

1,572,296

2,240,804

518,495

858,166

Income taxes - deferred

39,067(60,977)

Total income taxes

557,562

797,188

1,014,733

1,443,616(6,883)25,502

1,021,617

1,418,113

ProfitProfit (loss) attributable to non-controlling interests
Profit attributable to owners of parent5

Consolidated statements of comprehensive income (cumulative)(Thousands of yen)

ProfitOther comprehensive income

Six months ended

Six months ended

August 31, 2022

August 31, 20231,014,733

1,443,616

Valuation difference on available-for-sale securities
Foreign currency translation adjustment(4,401)456,968

28,461
314,409

Remeasurements of defined benefit plans, net of tax

11,342

2,358

463,908345,229

Comprehensive income

Total other comprehensive income

1,478,642

1,788,845

Comprehensive income attributable toComprehensive income attributable to owners of parent

1,435,271

1,729,946

43,37158,898Comprehensive income attributable to non-controllinginterests

6Consolidated statements of cash flows(Thousands of yen)

Cash flows from operating activities
Profit before income taxes

Six months ended

Six months ended

August 31, 2022

August 31, 2023

1,572,296

2,240,804

Depreciation
Impairment losses

758,105
67,450828,095
383,475

Amortization of goodwill
Increase (decrease) in provision for bonuses

22,3142,149

42,79920,059

Increase (decrease) in retirement benefit liability
Interest and dividend income

49,263(5,880)39,044(19,476)

Interest expenses
Loss (gain) on sale of non-current assets

6,445
31,246

6,619(587)

Loss (gain) on sales of storesLoss on retirement of non-current assets(37,316)
4,100(20,364)
2,782

Loss on valuation of shares of subsidiaries and associates
Decrease (increase) in trade receivables

4,932(484,173)–(509,023)

Decrease (increase) in inventories
Increase (decrease) in trade payables(53,771)
198,872(2,139)472,469

Increase (decrease) long-term guarantee deposits received
Other, net(66,712)41,084(39,943)(167,854)

2,110,406

3,276,759

4,637(6,445)16,004(6,619)SubtotalInterest and dividends received
Interest paid
Income taxes paid

(1,020,897)(532,752)

Net cash provided by (used in) operating activities

1,087,700

2,753,392(10,800)
10,800(180,410)
11,150Purchase of securities
Proceeds from redemption of securities(7,998,756)
8,000,000(7,996,528)
8,000,000

Purchase of property, plant and equipment
Purchase of intangible assets(485,197)(84,995)(802,587)(440,503)

Proceeds from sale of property, plant and equipment
Proceeds from sales of stores

104,427
60,129–27,933–(816,813)

Other, net(12,436)(30,020)

Net cash provided by (used in) investing activities(416,829)(2,227,780)

Dividends paid
Other, net(1,275,732)(198,689)(1,275,821)(385,920)

Net cash provided by (used in) financing activities(1,474,421)(1,661,742)

Effect of exchange rate change on cash and cash equivalents

280,883

178,672

Cash flows from investing activities
Payments into time deposits
Proceeds from withdrawal of time deposits

Purchase of shares of subsidiaries resulting in change in scopeof consolidation

Cash flows from financing activities

Net increase (decrease) in cash and cash equivalents(522,666)(957,458)

Cash and cash equivalents at beginning of period

17,420,555

17,678,123

Cash and cash equivalents at end of period

16,897,888

16,720,665

7