Full Fiscal Year Reference Format 1 [Japanese GAAP] (Consolidated)
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.

May 10, 2023

Consolidated Financial Results
for the Fiscal Year Ended March 31, 2023
(Japanese GAAP)

Company name:
Renaissance Inc.
Listing:
Tokyo Stock Exchange
Securities code:
2378
URL:
https://www.s-renaissance.co.jp/
Representative:
Toshiharu Okamoto, Representative Director, President and Corporate Officer
Inquiries:
Yoshitsugu Anzawa, Director, Executive Corporate Officer, Chief Financial Officer
Telephone:+81-03-5600-7811
Scheduled date of annual general meeting of shareholders:June 28, 2023
Scheduled date to commence dividend payments:
June 13, 2023
Scheduled date to file annual securities report:
June 28, 2023
Preparation of supplementary material on financial results:
Yes
Holding of financial results briefing:
Yes (for institutional investors, analysts and the
media)(Yen amounts are rounded down to millions, unless otherwise noted.)

1. Consolidated Financial Results for the Year Ended March 31, 2023 (April 1, 2022 to March 31, 2023)(1) Consolidated operating results(Percentages indicate year-on-year changes.)

Net sales
Fiscal year ended%

Millions of yen%

Millions of yen%

Millions of yen

40,7609.8

680(25.5)

311(50.8)(1,141)―

37,120

22.9

912

―

632

―

513

―

Note: Comprehensive income

Fiscal year ended March 31, 2023:
Fiscal year ended March 31, 2022:

Basic earnings
per share
Fiscal year ended
March 31, 2023
Fiscal year ended
March 31, 2022
Reference:(Note)

Profit attributable toowners of parent

Ordinary income

Millions of yen

Fiscal year ended
March 31, 2023
Fiscal year ended
March 31, 2022

Fiscal year ended

Operating income

Diluted earnings
per share

Yen(1,191) million yen
442 million yen

Return on equity

Yen[ - %][ - %]

Ratio of ordinary
income to total
assets%%Ratio of operating

income to net sales%%(60.44)―(10.7)

0.8

1.7

27.19

―

5.1

1.6

2.5

Share of profit (loss) of entities accounted for using equity method
Fiscal year ended March 31, 2023:- million yen
Fiscal year ended March 31, 2022:- million yen
Diluted net income per share for the fiscal year ended March 31, 2022 is not shown because there are no dilutive shares,
and diluted net income per share for the fiscal year ended March 31, 2023 is not shown because a loss per share wasrecorded, although there are dilutive shares.

Full Fiscal Year Reference Format 1 [Japanese GAAP] (Consolidated)(2) Consolidated financial position
Total assets
As ofEquity-to-asset ratio

Net assets per share

Millions of yen

Millions of yen%

Yen

42,272

10,99126.0

475.41

38,18910,32127.0

546.30Fiscal year ended
March 31, 2023
Fiscal year ended
March 31, 2022
Reference:

Net assets

EquityFiscal year ended March 31, 2023:10,979 million yen
Fiscal year ended March 31, 2022:10,318 million yen(3) Consolidated cash flows
Cash flows fromoperating activities
Fiscal year ended

Cash flows frominvesting activities

Cash and cash
equivalents at end of
periodCash flows fromfinancing activities

Millions of yen

Millions of yen

Millions of yen

Millions of yen

1,614(4,238)

3,350

5,532

3,819

(1,421)(4,555)

4,855

Fiscal year ended
March 31, 2023
Fiscal year ended
March 31, 2022

2. Cash dividends
Annual dividends per share
First
SecondThird
quarter-end quarter-end quarter-end
Yen
Fiscal year ended
March 31, 2022
Fiscal year ended
March 31, 2023
Fiscal year ending
March 31, 2024
(forecast)

Yen

Fiscalyear-end

Yen

Total

Yen

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

Total cash
dividends(Total)Yen Millions of yen

%

%

―

2.00

―

4.00

6.00

113

22.1

1.1

―

4.00

―

4.00

8.00

151

―

1.6

―

3.00

―

5.00

8.00

151.1

3. Forecast of Consolidated Financial Results for the Fiscal Year Ending March 31, 2024 (April 1, 2023 toMarch 31, 2024)
Net sales

Operating income

Ordinary income%

Millions ofyen(89.7)(300)

Millions ofyen%Millions ofyenFirst Six Months(YTD)

21,000

5.6

10Full Year

44,000

7.9

900

32.3

350

Net income
attributable toowners of the parent
company%―
12.4

Net income pershare

Millions of
yen

(400)
100

―
―

(21.18)5.29

Full Fiscal Year Reference Format 1 [Japanese GAAP] (Consolidated)* 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 other reasons: 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)
Fiscal year ended March 31, 2023

21,379,000 sharesFiscal year ended March 31, 2022

21,379,000 shares(ii) Number of treasury shares at the end of the period
Fiscal year ended March 31, 2023

2,490,706 sharesFiscal year ended March 31, 2022

2,490,706 shares(iii) Average number of shares outstanding during the period
Fiscal year ended March 31, 2023

18,888,294 sharesFiscal year ended March 31, 2022

18,888,294 shares[Reference] Overview of non-consolidated financial results
1. Non-Consolidated Financial Results for the Fiscal Year Ended March 31, 2023 (April 1, 2022 to March
31, 2023)(1) Non-consolidated operating results(Percentages indicate year-on-year changes.)

Net sales
Fiscal year ended
Fiscal year ended
March 31, 2023
Fiscal year ended
March 31, 2022

Operating income

Ordinary income

ProfitMillions of yen%

Millions of yen%

Millions of yen%

Millions of yen

40,2449.3

737(24.3)

302(46.5)(1,204)―36,830

22.6

974

―

564

―

441

―

Basic earnings per share

Diluted earnings per share

Yen

Yen

Fiscal year ended%

Fiscal year ended(63.76)―
March 31, 2023
Fiscal year ended
23.38―
March 31, 2022
(Note) Diluted net income per share for the fiscal year ended March 31, 2022 is not shown because there are no dilutive shares,
and diluted net income per share for the fiscal year ended March 31, 2023 is not shown because a loss per share wasrecorded, although there are dilutive shares.

(2) Non-consolidated financial position
Total assets
As ofFiscal year ended
March 31, 2023
Fiscal year ended
March 31, 2022
Reference:

Net assets

Equity-to-asset ratio

Net assets per share

Millions of yen

Millions of yen%

Yen

42,047

11,01826.2

476.8637,955

10,36327.3

548.70EquityFiscal year ended March 31, 2023:11,007 million yen
Fiscal year ended March 31, 2022:10,363 million yen

Full Fiscal Year Reference Format 1 [Japanese GAAP] (Consolidated)* 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(1) The earnings forecasts and other forward-looking statements in this document are based on information
available to the Company and certain assumptions that the Company considers reasonable. Actual
financial results may differ significantly from the forecasts due to various factors. Please refer to “1.
Overview of Operating Results” on page 2 of the Summary of Financial Results (Attachments) for theassumptions used in forecasting business results and precautions regarding the use of the forecasts.
(2) The Company held a briefing for institutional investors, analysts, and the media on May 11, 2023. The
financial results presentation materials are posted on the Company’s website(Reference) Dividends on class shares
Breakdown of dividends per share related to class shares with different rights from those of common stock is as follows:
Annual dividend
End of first quarterEnd of second quarterEnd of third quarteryen
yenClass A SharesFiscal year ended――
March 31, 2022
Fiscal year ended――
March 31, 2023
Fiscal year ending
March 31, 2024
4.78―
(forecast)(Note) 2,092,000 Class A shares were issued on January 31, 2023

End of term

Total

yen

yen

yen

―

―

―

―

1.57

1.57

―

4.78

9.56

○

Table of Contents of Attachments
1.

Overview of Operating Results .................................................................................................................... 2(1) Overview of Operating Results for Fiscal Year Ended March 31, 2023 .............................................. 2(2) Overview of Financial Position for Fiscal Year Ended March 31, 2023 .............................................. 4(3) Overview of Cash Flow for Fiscal Year Ended March 31, 2023 .......................................................... 5(4) Future Outlook ..................................................................................................................................... 5

2.

Basic Approach to the Selection of Accounting Standards .......................................................................... 73.

Consolidated Financial Statements and Primary Notes ................................................................................ 8(1) Consolidated balance sheet .................................................................................................................. 8(2) Consolidated Statements of Income and Consolidated Statements of Comprehensive Income ......... 10(3) Consolidated statement of changes in equity ..................................................................................... 12(4) Consolidated statement of cash flows ................................................................................................ 14(5) Notes to Consolidated Financial Statements ...................................................................................... 16(Notes on Going Concern Assumption) ............................................................................................. 16(Additional information) .................................................................................................................... 16(Segment Information, Etc.) ............................................................................................................... 16(Per share information)....................................................................................................................... 17(Significant subsequent events) .......................................................................................................... 17

- 1 -

1.

(1)

Overview of Operating Results
Overview of Operating Results for Fiscal Year Ended March 31, 2023

In the current consolidated fiscal year, net sales increased from the previous fiscal year, mainly due to steady growth in thenumber of new members joining the Company’s sports clubs. On the other hand, expenditures were higher than initially expected
due to the impact of higher heating and lighting expenses and other factors. In addition, as announced today in the “NoticeRegarding Differences between Full-Year Consolidated Earnings Forecast and Actual Results and Recording of Extraordinary
Losses and Reversal of Deferred Tax Assets,” the Company has recorded impairment losses of 599 million yen and reversed
deferred tax assets and recorded income taxes-deferred of 749 million yen.
As a result, for the consolidated fiscal year under review, net sales were 40,760 million yen (up 9.8% year-on-year), operating
income came to 680 million yen (down 25.5% year-on-year), ordinary income posted 311 million yen (down 50.8% year-on-year),and a loss attributable to owners of the parent company was 1,141 million yen (compared with net income attributable to owners of
the parent company of 513 million yen for the same period last year). The above figures include approximately 400 million yen inbusiness commencement expenses for the newly opened integrated sports clubs (two facilities opened in August and one facility inNovember).
During the current consolidated fiscal year, the Japanese economy showed signs of an economic recovery as a result of thenormalization of economic activities due to the easing of restrictions on activities and entry into Japan associated with COVID-19.
On the other hand, the situation remains highly uncertain due to soaring prices of energy resources and raw materials resulting fromthe situation in Russia and Ukraine, and the rise in prices of goods due to the weak yen.
The fitness industry also continues to face a challenging business environment due to rising utility, labor, and other costs. However,demand is on the road to recovery as the eighth wave of COVID-19 has subsided, and people are becoming more motivated toexercise and be more health-conscious. Also, in March 2023, an industry group revised its guidelines for the spread of infection andestablished a policy that basically leaves the wearing of masks by customers in sports facilities to the discretion of the individual.
Under these circumstances, the Renaissance group, based on its corporate philosophy of a “company for creating purpose in life”(ikigai in Japanese), and its long-term vision of a “health solution company that enriches the age of the 100-year life span,” has beenworking to realize a healthy and long-lived society and resolve local social issues. It will do so through the maintenance andpromotion of good health to enable people to work throughout their lifetime, which is becoming increasingly important with thearrival of the 100-year life period, and the “shift from treatment to prevention” initiatives that will lead to the reduction of social
security expenses such as medical expenses.
In the sports club business, the number of enrolled members as of March 31, 2023 was 373,615 (including 36,936 online
members) (up 12.2% year-on-year), due to strong growth in the number of new fitness members as a result of the popularity of theswimming pool, bath, sauna and other features unique to an integrated sports club. In addition, the Company has worked to enhancethe value it provides by implementing renovations centered on the expansion of free weight zones in gyms at 10 existing facilities,
launching “RENAISSANCEColors,” a fan community website where members can interact with each other nationwide, anddeveloping and marketing “Gungun Nobirune,” a private brand of supplements for growing children. On the other hand, in responseto the government’s request to save electricity, we implemented power-saving measures during the summer (July to September) andwinter (December to March), but the increase in heating and lighting expenses exceeded our assumptions. During the current
consolidated fiscal year, three integrated sports clubs were opened: “Sports Club Renaissance Aeon Town Fujimino 24” (Fujiminoshi, Saitama) and “Sports Club Renaissance Ebina ViNA Gardens 24” (Ebina-shi, Kanagawa) in August, and “Sports Club
Renaissance Maita 24” (Yokohama-shi, Kanagawa) in November.
In the nursing and rehabilitation business, the Company strengthened its sales and support system to increase the number offranchisees of the rehabilitation-focused day service “Genki Gym,” and opened four new facilities during the current consolidated
fiscal year, including “Renaissance Genki Gym Obihiro Jiyugaoka,” the first such facility in Hokkaido. As for facilities directly
operated, the Company opened three facilities: “Renaissance Rehabilitation Center Maita,” a day-care facility specializing in stroke
care, and “Renaissance Rehabilitation Station Maita,” a home-nursing station, both in December, and “Renaissance Genki Gym Jr.
Maita,” an after-school daycare service, in February 2023. These three facilities are attached to “Sports Club Renaissance Maita 24”
and aim to promote the health of the community while enhancing synergy between the sports club and nursing care rehabilitation
facility.
In addition, in support of nursing care facilities operated by other companies, we provided online gymnastics classes at more than
70 nursing homes and nursing care offices operated by Sompo Care Inc. in an effort to prevent functional decline of residents andusers during the pandemic. In the future, we will work to prevent functional decline of residents by providing our proprietary brain
activation method, “SYNAPSOLOGY,” which is expected to prevent cognitive decline of the brain, to nursing care facilities.
In our business targeting corporations and health insurance associations, we have been expanding the provision of our online
lesson service, "RENAISSANCE Online Livestream" (hereinafter referred to as "ROL"), which is available for free to members of
our sports clubs. The number of ROL users among members of "Sumitomo Life Insurance's Vitality" health promotion insurance,sold by Sumitomo Life Insurance Company, has been increasing. Additionally, starting from October, we have commenced providing- 2 -ROL to the "KENCO SUPPORT PROGRAM," a comprehensive health management support tool for small and medium-sizedenterprises offered by Daido Life Insurance Company. In addition, we developed an online program for cancer survivors, held event
lessons, and implemented other initiatives to help people living with cancer maintain and improve their quality of life before, during,
and after treatment.
In our business for municipalities, the Company has dispatched employees to 16 municipalities, utilizing the “Regional
Revitalization Entrepreneur” program supported by the Ministry of Internal Affairs and Communications, to solve local health issues
and plan community revitalization at the base facilities of the dispatched municipalities. Among the municipalities to which our
employees were dispatched, “Revitalizing the village through the power of sports! Local multi-generational exchange activity‘Tsumagoi Village Fitness Festa’ 2022,” held in the village of Tsumagoi in Agatsuma-gun, Gunma, received an award for excellencein the “2nd Sport in Life Award” sponsored by Japan Sports Agency. In the public-private partnership (PPP) projects for public
facilities, a consortium in which the Company participates has been newly designated as the manager of sports parks and indoor
sports facilities in Takeo-shi, Saga, and Ozu-machi Kikuchi-gun, Kumamoto. From April 2023, we will operate, maintain, andmanage a total of 40 sports facilities in each city and town as the designated manager, and further revitalize the facilities as a base forpromoting community health and sports.
Furthermore, in March 2023, we concluded “Partnership Agreement on Health and Productivity Management Support in Sumidaku” with Sumida-ku, Tokyo. In accordance with the agreement, starting in April, the Company will cooperate with Sumida-ku as a“health and productivity management supporter” and work toward the “realization of a city with the best health and longevity inJapan, where no one is left behind” as stated in the Sumida Comprehensive Plan for Sumida Promotion (latter phase).
In Vietnam, it has been nine years since we started operations and the localization of operations is progressing smoothly. During
the current consolidated fiscal year, both facilities in Hanoi and Binh Duong province saw steady growth in the number of newenrollees and registered members as socio-economic activities normalized. We are also actively involved in providing swimming
lessons to kindergartens and elementary schools, and will continue to contribute to children’s education support and drowning
prevention through our ties with the community by leveraging our strengths in having directly managed facilities.
BEACH TOWN Inc., a consolidated subsidiary, has been involved in planning and proposing projects for participation in the
public-private partnership (PPP) projects for public facilities and the park private financing initiative (Park-PFI), and was selected asa project partner in the Takeo Onsen Resort Village Campground Utilization Project in Takeo-shi, Saga. In April 2023,“BEACHTOWN OND PARK” opened within “OND PARK” in Takeo Onsen Resort Village, offering a yoga studio, bouldering gym,
outdoor fitness center, and other facilities to enhance the coexistence of the natural environment and surrounding facilities as well as
the attractiveness of the area.
During the current consolidated fiscal year, we opened new facilities and were entrusted with the operation of the facilities listed
in the table below, and the number of our group’s facilities as of the end of March 2023, including the facilities of BEACH TOWN,
Inc., totaled 190 facilities: 130 sports clubs (105 directly managed, 23 entrusted, and two Renaissance Vietnam facilities), two studiotype facilities, 43 nursing and rehabilitation facilities (32 directly managed and 11 franchise), and 15 outdoor fitness facilities (sixdirectly managed and nine entrusted).
Opening Date

Facility Name

Facility Type
Nursing rehabilitation(directly managed)
Nursing rehabilitation(franchise, FC)

May 2022

Renaissance Care Station Totsuka (Yokohama-shi, Kanagawa)May 2022

Renaissance Genki Gym Oizumigakuen (Nerima-ku, Tokyo)

May 2022

ATHLETA ATHLETIC CLUB (Sumida-ku, Tokyo)

June 2022

BEACHTOWN HIBIYA PARK (Chiyoda-ku, Tokyo)

July 2022

Renaissance Genki Gym Iwaki Chuodai (Iwaki-shi, Fukushima)

August 2022

Sports Club Renaissance Aeon Town Fujimino 24 (Fujimino-shi, Saitama)

Sports club

August 2022

Sports Club Renaissance Ebina ViNA Gardens 24 (Ebina-shi, Kanagawa)Sports club

September 2022

Renaissance Genki Gym Kagoshima-Chuo (Kagoshima-shi, Kagoshima)

Nursing rehabilitation(franchise, FC)

November 2022

Sports Club Renaissance Maita 24 (Yokohama-shi, Kanagawa)December 2022

Renaissance Rehabilitation Center Maita (same as above) *December 2022

Renaissance Rehabilitation Station Maita (same as above) *- 3 -Outdoor fitness (entrusted)
Outdoor fitness (directly
managed)Nursing rehabilitation(franchise, FC)

Sports clubNursing rehabilitation(directly managed)
Nursing rehabilitation(directly managed)

February 2023

Renaissance Genki Gym Jr. Maita (same as above) *March 2023

Renaissance Genki Gym Obihiro Jiyugaoka (Obihiro-shi, Hokkaido)

Nursing rehabilitation(directly managed)
Nursing rehabilitation(franchise, FC)

Time of outlet closure/termination ofmanagement contract

Facility Name

Facility TypeEnd of June 2022

Demi Renaissance Live Stream Studio Ikebukuro-Higashiguchi (Toshima-ku,
Tokyo)

StudioEnd of June 2022

Fitness Studio Renaissance Gotanda (Shinagawa-ku, Tokyo)

StudioEnd of July 2022

Community Park KOBE (Kobe-shi, Hyogo)

End of August 2022

Sports Club Renaissance Ebina (Ebina-shi, Kanagawa)End of September
2022

Liv Shin-Yurigaoka Futsal Club (Kawasaki-shi, Kanagawa)

Other (entrusted)

End of January 2023

Outdoor Fitness Okayama (Okayama-shi, Okayama)

Outdoor fitness(entrusted)

End of March 2023

Fitness Club Renaissance Shin-Urayasu (Urayasu-shi, Chiba)

End of March 2023

Renaissance Genki Gym Ekoda (Nerima-ku, Tokyo)

End of March 2023

Sharp Fukuyama Sports Center (Fukuyama-shi, Hiroshima)*

Outdoor fitness(directly managed)
Sports club
(entrusted)

Sports clubNursing rehabilitation(franchise, FC)
Other (entrusted)

Attached to Sports Club Renaissance Maita 24

In November 2022, the Company decided to raise approximately 5 billion yen from a fund serviced by Advantage Advisors, Inc.
At the same time, we entered into a business alliance agreement with Advantage Advisors, Inc and have initiated multiple projects,
including the enhancement of outlet development, positioning the following four points as priority measures and key focus areas.
1) Establish an organizational structure, including the development of an optimal management and personnel framework basedon the Company’s business portfolio
2) Strengthen the development system, expand regions for opening new outlets, and improve operational efficiency and develop
new services by utilizing DX to expand and increase added value in the sports club business.
3) Accelerate new store openings by improving and strengthening the development system for nursing rehabilitation facility
properties in the healthcare business, which is positioned as a growth area
4) Take on the challenge of new businesses that address social issues with a focus on healthIn addition, on March 31, 2023, the Company acquired a portion of the equity (40.0%) of Tokyu Sports Oasis Inc. (hereafterreferred to as “Tokyu Sports Oasis”), a newly established company that took over the fitness management, home fitness, outsourced
sports facility management and digital health design businesses of Tokyu Sports Oasis, Inc., a subsidiary of Tokyu Land Corporation,
through a corporate divestiture. With this capital participation, Tokyu Sports Oasis and the Company combined have approximately
140 directly managed sports clubs in Japan, making it the largest corporate group in the fitness industry by sales. Going forward, thetwo companies will mutually utilize their resources and expertise to contribute to the re-growth of the business and the developmentof the industry.
(2) Overview of Financial Position for Fiscal Year Ended March 31, 2023
1)
AssetsTotal assets at the end of the current consolidated fiscal year rose 4,083 million yen from the end of the previous fiscal
year to 42,272 million yen. This was mainly due to an increase of 1,109 million yen in total current assets resulting from anincrease in cash and deposits, and an increase of 2,947 million yen in total fixed assets resulting from an increase in leased
assets associated with new store openings and an increase in investment securities resulting from the acquisition of sharesin affiliated companies.
2)

Liabilities
Total liabilities at the end of the current fiscal year grew 3,414 million yen from the end of the previous fiscal year to
31,281 million yen. This was mainly due to an increase of 657 million yen in total current liabilities, resulting from anincrease in short-term borrowings, and a rise of 2,756 million yen in noncurrent liabilities, mainly due to an increase inlease liabilities in connection with new store openings, the issuance of convertible-bond-type bonds with share acquisitionrights, and a decrease in long-term borrowings.

3)

Net assets
Total net assets at the end of the current fiscal year were up 669 million yen from the end of the previous fiscal year to
10,991 million yen. This was mainly due to an increase of 999 million yen in share capital and legal capital surplus,- 4 -respectively, as a result of the issuance of Class A shares, and a decrease of 1,292 million yen in retained earnings as aresult of recording a loss attributable to owners of the parent company of 1,141 million yen and paying 151 million yen in
dividends.
(3)

Overview of Cash Flow for Fiscal Year Ended March 31, 2023
Cash and cash equivalents (“cash”) at the end of the current consolidated fiscal year increased 676 million yen from theend of the previous fiscal year to 5,532 million yen.
The status of each cash flow at the end of the current consolidated fiscal year and their factors are as follows.

1)

Cash flows from operating activities
1,614 million yen in the current fiscal year (3,819 million yen in the previous fiscal year)
Cash provided by operating activities amounted to 1,614 million yen (down 57.7% from the previous consolidated fiscal
year). This was mainly due to depreciation of 2,233 million yen (up 1.8% from the previous consolidated fiscal year), an
increase in long-term accounts payable-other of 644 million yen, and a decrease in accrued consumption tax of -1,118
million yen.

2)

Cash flows from investing activities-4,238 million yen in the current consolidated fiscal year (-1,421 million yen in the previous fiscal year)
Cash used for investment activities totaled 4,238 million yen. This was mainly due to purchase of property, plant andequipment of 2,583 million yen (up 84.0% year-on-year) and purchase of shares of subsidiaries and associates of 1,616
million yen.

3)

Cash flows from financing activities
3,350 million yen in the current consolidated fiscal year (-4,555 million yen in the previous fiscal year)
Cash provided by financing activities amounted to 3,350 million yen. This was mainly due to proceeds from issuance ofshares of 1,978 million yen, proceeds from issuance of convertible-bond-type bonds with share acquisition rights of 1,494
million yen, proceeds from long-term borrowings of 1,200 million yen (down 40.1% from the previous consolidated fiscal
year), a net increase in short-term borrowings of 1,150 million yen and repayment of long-term borrowings of 2,223
million yen (up 4.7% from the previous consolidated fiscal year).
(Reference) Trends in cash flow indicators
Fiscal year ended
March 31, 2021

Fiscal year ended
March 31, 2022

(%)
(%)

23.9

27.0

Fiscal year ended
March 31, 2023
(Consolidated fiscal
year under review)
26.0

53.1

48.9

41.5

Debt repayment period(years)Operating Revenue Interest Coverage Ratio(times)

―
―

4.9
2.5

14.0
1.5

Equity ratio
Equity ratio based on market value(Note)

1.

Each indicator is calculated using the following formulas, all of which are based on consolidated financial
figures.
• Equity ratio: Equity ratio/Total assets• Equity ratio based on market value: Market capitalization/Total assets• Debt repayment period: Interest-bearing liabilities/Cash flow fromoperating activities• Operating Revenue Interest Coverage Ratio: (Operating income + Interest income + Dividend
income)/Interest expense2.

Market capitalization is calculated by multiplying the closing stock price at the end of the period by the
number of shares outstanding at the end of the period (less treasury shares).
Interest-bearing liabilities include convertible-bond-type bonds with share acquisition rights, short-term andlong-term borrowings and lease liabilities recorded on the consolidated balance sheet. Operating cash flow is
the cash flow from operating activities in the consolidated statement of cash flows. Interest expense in the
consolidated statement of income is used for interest expense.
Debt repayment period for fiscal year ended March 31, 2021 is not shown because operating cash flow was
negative, and the operating revenue interest coverage ratio is not shown because of operating losses.

3.

4.
(4)

Future Outlook
The status of COVID-19 under the Infectious Diseases Control Law shifted from Class 2 to Class 5 from May 8, 2023.
Therefore, in the next consolidated fiscal year, while we expect to see more active service consumption and economic recovery,
the outlook is expected to remain uncertain due to further price hikes of energy resources and raw materials and the impact of
the rise in prices of goods.

- 5 -The fitness industry will continue to face unpredictable conditions due to intensifying competition, including thedevelopment of a wide variety of business formats and moves to restructure the industry in the wake of the pandemic, as wellas the challenge of balancing investments with a view to growth while responding to ever-rising costs.
Under these circumstances, our group has set a long-term vision of becoming a “health solution company that enriches theage of the 100-year life span.” It will work to increase the profitability of existing facilities and steadily grow new facilities in
its core sports club business, expand its nursing and rehabilitation business, and create added value through collaboration
between each business and the healthcare field, including business targeting companies and health insurance associations, andbusiness for municipalities.
The next consolidated fiscal year is positioned as the first year to accelerate the building of a foundation for the realization of
the long-term vision and to chart a medium- to long-term growth trajectory for fiscal 2024 and beyond. In order to respond to
the ever-changing external environment and achieve new growth, we established a new Marketing Promotion Department toperform a cross-organizational function. The planning, digital promotion and human resource functions of each business unit in
the sports club and health care businesses will be consolidated in the headquarters of the new division to optimize operations
from a company-wide perspective, strengthen collaboration among divisions, and create synergies among businesses.
Regarding new sports club openings, we plan to open four new integrated sports clubs in Osaka-shi, Osaka; Sendai-shi,
Miyagi; Kikuyomachi, Kikuchi-gun, Kumamoto; and Zama-shi, Kanagawa, to meet the diverse needs of local residents andcontribute to the promotion of local health and the revitalization of local communities. The opening costs for these sports clubs
are expected to be at the same level as in fiscal year 2022.
In addition, we believe that it is important for employees to be the starting point in realizing the “creating purpose in life
(ikigai in Japanese) ” for all stakeholders. In the next consolidated fiscal year, the Company will work to strengthen its
investment in human resources, including health management and human resource development, and raise employee salarylevels in light of recent price hikes.
In order to cope with these various cost increases and to increase added value in our business through continuous investment
in human resources and facilities, we decided to revise membership fees for sports clubs, excluding some facilities, sequentiallystarting in July 2023.
In addition, to improve the operational efficiency of sports clubs, which is the core of the income and expenditure structurereform, a cloud-based shift management system has been introduced at each facility to visualize the distribution of work hours,
etc., to initiate efforts to equalize, automate, and consolidate operations, while also saving labor.
Furthermore, through the capital participation in Tokyu Sports Oasis, the two companies will combine their strengths to
expand customer value and improve service quality, while aiming for business growth.
As a result of the above initiatives, consolidated forecasts for the fiscal year ending March 31, 2024 are net sales of 44,000
million yen (up 7.9% from the fiscal year under review), operating income of 900 million yen (up 32.3%), ordinary income of
350 million yen (up 12.4%), and net income attributable to owner of the parent company of 100 million yen (a loss attributableto owners of the parent company of 1,141 million yen).
Rikako Ikee won four events: the 100-meter butterfly, 100-meter freestyle, 50-meter butterfly, and 50-meter freestyle, at the99th Japan Swimming Championships held in April 2023. She was selected to represent Japan at the World Championships tobe held in Fukuoka in July. In April of the same year, Rikako Ikee became affiliated with The Yokohama Rubber Co., Ltd., aCategory 1 registered organization, but we will continue to provide swimming instructions and support her activities as a
Category 2 registered organization. In addition, Riku Ezawa, affiliated with our company, won the men’s 5 km category at the98th Japan Swimming Championships OWS (Open Water Swimming) event held in October 2022 and will represent Japan at
the same event in World Aquatics Championships to be held in July 2023.
We also signed a personal sponsorship agreement with freestyle skier specializing in mogul, Anri Kawamura, in April of thesame year. Anri Kawamura is a highly promising athlete who has been competing around the world as a member of theJapanese national team, aiming to compete in the 2026 Olympics in Cortina d’Ampezzo, Italy. We will support Anri Kawamura
for her further success by providing Sports Club Renaissance as her training site in Japan.
From April 2023 onward, the Company plans to open new facilities, entrust operations, and close the facilities in the table below,
including the facilities of BEACH TOWN, Inc.
Opening Date

Facility Name

Facility Type

April 2023

Takeo Civic Baseball Stadium (and 26 other facilities) (Takeo-shi, Saga)

Designated management

April 2023

Five Ozu-machi athletic park facilities (and eight others) (Ozu-machi,
Kikuchi-gun, Kumamoto)

Designated management

April 2023

BEACHTOWN OND PARK (Takeo-shi, Saga)

Outdoor fitness (entrusted)- 6 -July 2023

Sports Club & Spa Renaissance Imazato 24 (Osaka-shi, Osaka)

Sports club

July 2023

Sports Club Renaissance Sendai Oroshimachi 24 (Sendai-shi, Miyagi)

Sports club

Fall 2023
Fall 2023
Time of outlet closure/termination ofmanagement contract
End of June 2023

Sports Club Renaissance Hikarinomori 24 (tentative name) (Kikuyomachi,
Kikuchi-gun, Kumamoto)Sports Club Renaissance Aeon Mall Zama 24 (tentative name) (Zama-shi,
Kanagawa)
Facility NameSports Club Renaissance Sagami-Ono (Sagamihara-shi, Kanagawa)2.

Sports club
Sports club
Facility TypeSports club

Basic Approach to the Selection of Accounting Standards
The Group’s policy for the time being is to prepare its consolidated financial statements in accordance with Japanese GAAP,
taking into consideration the comparability of its consolidated financial statements between periods and between companies.
The Company’s policy is to respond appropriately to the application of International Financial Reporting Standards, taking into
consideration the domestic and international situation.

- 7 -

3.

(1)

Consolidated Financial Statements and Primary Notes
Consolidated balance sheet(Thousands of yen)FYE March 2022
(as of March 31, 2022)

FYE March 2023
(as of March 31, 2023)

AssetsCurrent assets
Cash and deposits

4,841,060

5,520,381

Accounts receivable – trade

1,051,987

1,245,183

Investments in leases

23,361

23,957

Commodity

243,628

234,274

Supplies

74,46975,319Other

1,448,239

1,691,792(8,295)(6,881)

7,674,451

8,784,027

Allowance for doubtful accounts
Total current assets
Fixed assets
Property, plant and equipment
Buildings and structures

19,794,087

20,049,221

Accumulated depreciation(13,891,533)(14,463,005)

Buildings and structures, net

5,902,554

5,586,215

Machinery, equipment and vehicles

2,513,821

2,541,868

Accumulated depreciation(2,124,767)(2,176,353)

Machinery, equipment and vehicles, net
Tools, furniture and fixtures
Accumulated depreciation
Tools, furniture and fixtures, net
Land
Leased assets

389,054

365,514

4,583,327

4,614,544(3,871,557)(4,020,218)

711,769

594,326

1,124,938

1,124,938

13,253,267

15,954,239

Accumulated depreciation(4,177,933)(4,984,686)

Leased assets, net

9,075,334

10,969,552

Construction in progress

107,142905,929

17,310,793

19,546,478

Goodwill

184,827

76,610Other450,709384,465

Total intangible fixed assets

635,537

461,076

Investment securities

30,558

1,645,137

Long-term loans receivable

433,836

477,105

Leasehold and guarantee deposits

8,458,356

8,814,555

Deferred tax assets

2,517,313

1,766,323

Other

1,128,196

751,008

Total investments and other assets

12,568,260

13,454,129

30,514,590

33,461,683

Share issuance costs―

21,318Bond issuance costs

―

5,700

Total property, plant and equipment
Intangible fixed assets

Investments and other assets

Total fixed assets
Deferred assets

Total deferred assets
Total assets

- 8 -

―

27,01838,189,042

42,272,729

(Thousands of yen)FYE March 2022
(as of March 31, 2022)

FYE March 2023
(as of March 31, 2023)

Liabilities
Current liabilities
Accounts payable - trade60,48254,479

Short-term borrowings

1,850,000

3,000,000

Current portion of long-term borrowings

2,103,084

2,203,084

592,548

695,898

Accounts payable-other

1,367,402

1,622,097

Income taxes payable

332,476

197,429

Advances received

324,660

354,084

Provision for bonuses

493,778

684,062

Provision for bonuses for directors (and otherofficers)

10,637

13,926

Asset retirement obligations

25,846

13,453

Lease obligations

Other

2,523,269

1,503,415

Total current liabilities

9,684,185

10,341,931―

1,499,988

Non-current liabilities
Convertible-bond-type bonds with shareacquisition rights
Long-term borrowings

4,874,805

3,751,721

Lease obligations

9,456,574

11,400,747

Retirement benefit liability

825,151

851,520

Asset retirement obligations

1,308,481

1,357,079

Other

1,717,908

2,078,499

Total non-current liabilities

18,182,920

20,939,556

27,867,105

31,281,487

Share capital

2,210,380

3,210,356

Capital surplus

4,813,515

5,813,491

Retained earnings

5,936,804

4,644,051

Treasury shares(2,514,753)(2,514,753)

Total shareholders’ equity

10,445,945

11,153,145

Valuation difference on available-for-salesecurities

6,176

4,846

Foreign currency translation adjustment(95,557)(145,643)

Remeasurements of defined benefit plans(37,934)(32,779)

Total accumulated other comprehensive income

Total liabilities
Net assets
Shareholders’ equity

Accumulated other comprehensive income(127,316)(173,576)

Share acquisition rights―

11,673

Non-controlling interests

3,306

―

10,321,936

10,991,242

38,189,042

42,272,729

Total net assets
Total liabilities and net assets

- 9 -

(2)

Consolidated Statements of Income and Consolidated Statements of Comprehensive Income
Consolidated statement of income(Thousands of yen)FYE March 2022
(April 1, 2021 to March 31,
2022)

FYE March 2023
(April 1, 2022 to March 31,
2023)

Net sales

37,120,078

40,760,685

Cost of sales

34,107,551

37,781,939

Gross profit

3,012,527

2,978,746

Selling, general and administrative expenses

2,099,541

2,298,356

912,985

680,390

Interest income

9,656

9,033

Dividend income

120

226

Foreign exchange gains

84,42955,123Gain on sublease

10,316

10,316

Commission income

3,195

2,112

Other

53,607

49,773

Total non-operating income

161,325

126,585

Interest expenses

372,512467,336

Other

68,85228,308

Total non-operating expenses

441,365495,644

632,946

311,331326

360

Subsidies for employment adjustment

146,175―

Subsidy income

437,942―

Total extraordinary income

584,444

360

Loss on retirement of non-current assets

17,925

14,260

Impairment losses

315,469

599,111

Loss on store closings

4,619

3,000

Loss on outlet shutdown

391,626

―

5,283

932

734,922617,305

Net income (loss) before income taxes

482,467(305,613)

Income taxes - current

154,083

90,034

Income taxes - deferred(188,491)

749,303

Total income taxes(34,407)839,338

Net income (loss)

516,875(1,144,952)

3,306(3,306)

513,568(1,141,646)

Operating income
Non-operating income

Non-operating expenses

Ordinary income
Extraordinary income
Gain on sale of non-current assets

Extraordinary losses

Other
Total extraordinary losses

Net income (loss) attributable to non-controlling interests
Net income (loss) attributable to owners of parent
company- 10 -

Consolidated statement of comprehensive income(Thousands of yen)FYE March 2022
(April 1, 2021 to March 31,
2022)
Net income (loss)

FYE March 2023
(April 1, 2022 to March 31,
2023)

516,875(1,144,952)

817(1,329)(82,556)(50,086)

7,644

5,155

(74,093)(46,260)

442,781(1,191,213)

439,475(1,187,906)

3,306(3,306)

Other comprehensive income
Valuation difference on available-for-sale securities
Foreign currency translation adjustment
Remeasurements of defined benefit plans, net of tax
Total other comprehensive income
Comprehensive income(Breakdown)Comprehensive income attributable to owners ofparent company
Comprehensive income attributable to noncontrolling interests- 11 -

(3)Consolidated statement of changes in equity

FYE March 2022 (April 1, 2021 to March 31, 2022)(Thousands of yen)
Shareholders’ equity

Balance at beginning of
periodShare capital

Capital surplus

2,210,380

4,813,515

Retainedearnings

Treasury shares

Total
shareholders’equity(2,514,753)

10,007,930

5,498,788

Changes during period
Dividends of surplus(75,553)(75,553)

Net income attributableto owners of the parent
company

513,568

513,568

Net changes in items
other thanshareholders’ equity
Total changes during
periodBalance at end of period――

438,015―

438,015

2,210,380

4,813,515

5,936,804(2,514,753)

10,445,945

Total
accumulated
othercomprehensive
incomeNoncontrollinginterests

Accumulated other comprehensive income
Valuationdifference on
available-for-salesecurities

Balance at beginning of
period5,358

Foreign currency Remeasurementsof defined benefit
translationplans
adjustment(13,001)(45,579)(53,222)

Total net assets―

9,954,707

Changes during period
Dividends of surplus(75,553)

Net income attributableto owners of the parent
company

513,568

Net changes in items
other thanshareholders’ equity

817(82,556)

7,644(74,093)

3,306(70,787)

Total changes during
period817(82,556)

7,644(74,093)

3,306

367,228

Balance at end of period

6,176(95,557)(37,934)(127,316)

3,306

10,321,936- 12 -

FYE March 2023 (April 1, 2022 to March 31, 2023)(Thousands of yen)
Shareholders’ equity
CapitalsurplusRetainedearnings

TreasurysharesTotalshareholders’equity2,210,380

4,813,515

5,936,804(2,514,753)

10,445,945

999,976

999,976

Share capital
Balance at beginning of
periodChanges during period
Issuance of newsharesDividends ofsurplus
Loss attributable toowners of parent
company

1,999,952(151,106)(151,106)(1,141,646)(1,141,646)

Net changes in
items other thanshareholders’ equity
Total changes during
period999,976

999,976(1,292,752)―

707,199

Balance at end of
period3,210,356

5,813,491

4,644,051(2,514,753)

11,153,145

Accumulated other comprehensive income

Balance at beginning of
periodValuationdifference on
available-forsale securities

Foreigncurrencytranslation
adjustment

6,176(95,557)

Total
Remeasurements accumulatedof definedotherbenefit planscomprehensive
income(37,934)(127,316)

Shareacquisitionrights

Noncontrollinginterests

―

3,306

Total net
assets10,321,936

Changes during period
Issuance of newshares1,999,952

Dividends ofsurplus(151,106)

Loss attributable toowners of parent
company
Net changes in
items other thanshareholders’ equity(1,141,646)(1,329)(50,086)

5,155(46,260)

11,673(3,306)(37,893)

Total changes during
period(1,329)(50,086)

5,155(46,260)

11,673(3,306)669,305

Balance at end of period

4,846(145,643)(32,779)(173,576)

11,673―

10,991,242- 13 -

(4)Consolidated statement of cash flows(Thousands of yen)FYE March 2022
(April 1, 2021 to March 31,
2022)

FYE March 2023
(April 1, 2022 to March 31,
2023)

Cash flows from operating activities
Net income (loss) before income taxes

482,467(305,613)

2,193,021

2,233,037

315,469

599,111

Loss on store closings

4,619

3,000

Increase (decrease) in retirement benefit liability

22,672

33,799

Increase (decrease) in long-term accounts payable other(83,583)

644,840

Increase (decrease) in provision for bonuses

258,471

193,572

Loss (gain) on sale of non-current assets

(326)

(360)

Loss on retirement of non-current assets

17,925

14,260Interest and dividend income(9,776)(9,260)Subsidies for employment adjustment(146,175)―

Subsidy income(437,942)―

Interest expenses

372,512467,336

Decrease (increase) in trade receivables(156,415)(193,195)

Decrease (increase) in inventories

22,8808,016

Decrease (increase) in prepaid expenses

40,374(55,210)

Increase (decrease) in trade payables

24,947(6,002)(386,640)

255,823

Increase (decrease) in accrued expenses

37,73557,036

Increase (decrease) in advances received(21,926)

29,424

Decrease (increase) in consumption taxes refund
receivable―(337,793)

Increase (decrease) in accrued consumption taxes

1,116,129(1,118,243)

Other

89,606(157,455)

Subtotal

3,756,045

2,356,122

233

329

Interest paid

(381,527)(467,158)

Subsidies received for employment adjustment

146,175―

Subsidies received

437,942―

Income taxes refund (paid)(139,631)(274,354)

Cash flows from operating activities

3,819,236

1,614,938

Depreciation
Impairment losses

Increase (decrease) in accounts payable - other

Interest and dividends received- 14 -

(Thousands of yen)FYE March 2022
(April 1, 2021 to March 31,
2022)

FYE March 2023
(April 1, 2022 to March 31,
2023)

Cash flows from investing activities
Purchase of shares of subsidiaries and associates―(1,616,497)(1,404,632)(2,583,976)

1,473

360

Purchase of intangible assets(77,006)(117,852)

Payments of leasehold and guarantee deposits(179,980)(256,217)

Proceeds from refund of leasehold and guarantee
deposits

180,878

314,688

Proceeds from collection of long-term loans
receivable

96,79771,875Purchase of shares of subsidiaries resulting in change
in scope of consolidation(27,869)―

Other(11,259)(51,069)(1,421,598)(4,238,687)

Net increase (decrease) in short-term borrowings(4,105,000)

1,150,000

Proceeds from long-term borrowings

2,005,000

1,200,000

Repayments of long-term borrowings(2,122,318)(2,223,084)

Proceeds from issuance of convertible-bond-typebonds with share acquisition rights―

1,494,288

Proceeds from issuance of shares―

1,978,633(592,381)(653,448)―

11,673

Dividends paid

(77,522)(152,235)

Proceeds from sale and leaseback transactions

348,607551,489

Other(11,391)(6,682)(4,555,006)

3,350,634(82,556)(50,086)

Net increase (decrease) in cash and cash equivalents(2,239,924)

676,799

Cash and cash equivalents at beginning of period

7,095,721

4,855,796

Cash and cash equivalents at end of period

4,855,796

5,532,596

Purchase of property, plant and equipment
Proceeds from sale of property, plant and equipment

Cash flows from investing activities
Cash flows from financing activities

Repayments of lease liabilities
Proceeds from issuance of share acquisition rights

Cash flows from financing activities
Effect of exchange rate change on cash and cash
equivalents- 15 -

(5) Notes to Consolidated Financial Statements(Notes on Going Concern Assumption)
Not applicable.
(Additional information)
Overview of acquisition of shares of Tokyu Sports Oasis Corporation
At a meeting of the Board of Directors held on February 10, 2023, the Board of Directors of the Company resolved toacquire a portion of the equity (40.0%) of Tokyu Sports Oasis Corporation (hereafter referred to as “Tokyu Sports Oasis”), a
newly established company that took over the fitness management, home fitness, outsourced sports facility management anddigital health design businesses of Tokyu Sports Oasis, Inc., a subsidiary of Tokyu Land Corporation, through a corporate
divestiture, as of March 31, 2023. Accordingly, new Tokyu Sports Oasis became an equity-method affiliate as a result of theacquisition of such shares on March 31, 2023.
An overview of the investee company, Tokyu Sports Oasis, is as follows:
Company Name (Investee Company)

Tokyu Sports Oasis Corporation

Business Profile

Management of members-only sports clubs, etc.

Start of application of equity method

March 31, 2023

Percentage of voting rights after share acquisition

40.0%

Since the investee company, Tokyu Sports Oasis, was established on March 31, 2023, the consolidated statement of income
for the current consolidated fiscal year does not include equity in losses (earnings) of affiliates of the investee company basedon its performance.
(Segment Information, Etc.)(Segment Information)[Segment Information]
This information is omitted because the Group’s only reportable segment is the “sports club management business.”[Related information]FYE March 2022 (April 1, 2021 to March 31, 2022)
1 Information by product and service
This information is omitted because net sales to external customers in the “sports club management business” exceed
90% of net sales in the consolidated statement of income.
2

3

Information by region(1) Net sales
This information is omitted because net sales to external customers in Japan account for more than 90% of net sales
in the 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 amount of property, plant and equipment on the consolidated balance sheet.
Information by major customer
No sales to external customers account for 10% or more of the net sales on the consolidated statement of income.

FYE March 2023 (April 1, 2022 to March 31, 2023)
1 Information by product and service
This information is omitted because net sales to external customers in the “sports club management business” exceed
90% of net sales in the consolidated statement of income.
2

Information by region(1) Net sales
This information is omitted because net sales to external customers in Japan account for more than 90% of net sales
in the 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 amount of property, plant and equipment on the consolidated balance sheet.

- 16 -

3

Information by major customer
No sales to external customers account for 10% or more of the net sales on the consolidated statement of income.

[Information on impairment losses on fixed assets by reportable segment]
FYE March 2022 (April 1, 2021 to March 31, 2022)
This information is omitted because the only reportable segment is the “sports club management business.”
FYE March 2023 (April 1, 2022 to March 31, 2023)
This information is omitted because the only reportable segment is the “sports club management business.”[Information on amortization of goodwill and unamortized balance by reportable segment]
FYE March 2022 (April 1, 2021 to March 31, 2022)
This information is omitted because the only reportable segment is the “sports club management business.”
FYE March 2023 (April 1, 2022 to March 31, 2023)
This information is omitted because the only reportable segment is the “sports club management business.”[Information on gain on negative goodwill by reportable segment]
FYE March 2022 (April 1, 2021 to March 31, 2022)
Not applicable.
FYE March 2023 (April 1, 2022 to March 31, 2023)
Not applicable.
(Per share information)FYE March 2022
(April 1, 2021 to March 31, 2022)

FYE March 2023
(April 1, 2022 to March 31, 2023)

Net assets per share

546.30 yen

475.41 yen

Net income (loss) per share

27.19 yen

(60.44) yen(Notes) 1.
2.

Diluted net income per share for the previous consolidated fiscal year is not shown because were no dilutive
shares. Diluted net income per share for the fiscal year ended March 31, 2023 is not shown, because a loss per
share was recorded, although there are dilutive shares.
The basis for calculating net income (loss) per share is as follows:
FYE March 2022
(April 1, 2021 to March 31, 2022)

FYE March 2023
(April 1, 2022 to March 31, 2023)

Net income (loss) attributable to owners of parent
company (thousand yen)

513,568(1,141,646)

Amount not attributable to common shareholders(thousand yen)――

Net income (loss) attributable to owners of parent
company related to common stock (thousand yen)

513,568(1,141,646)

Average number of common stocks during the period(shares)

18,888,294

18,888,294(Significant subsequent events)
Not applicable.

- 17 -