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 Three Months Ended December 31, 2023
(Based on Japanese GAAP)
February 14, 2024
Company name:
KONAKA CO.,LTD.
Stock exchange listing: Tokyo
Stock code:
Representative:

Inquiries:

7494
URL https://www.konaka.co.jp
Representative Director, President and CEOGroup Representative
Senior Managing Executive Officer, CFO,
General Manager of Administration
Headquarters

Kensuke Konaka

Makoto Okumura

TEL

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

February 14, 2024–

Preparation of supplementary material on quarterly financial results:
Holding of quarterly financial results meeting:NoNo045-825-7700(Amounts less than one million yen are rounded down)
1. Consolidated financial results for the three months ended December 31, 2023 (from October 1, 2023 to December 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%Three months ended December 31, 2023
16,574
(3.3)
(13)
–
281
64.9
80 (85.5)
Three months ended December 31, 2022
17,1426.7(15)
–
170–
557
–
Earnings per share

Diluted earnings per share

Yen
2.76
19.15

Three months ended December 31, 2023
Three months ended December 31, 2022

Yen––(2) Consolidated financial positionTotal assets
As of December 31, 2023
As of September 30, 2023

Net assets

Millions of yen
52,27450,612Equity ratio

Millions of yen
19,403
19,437

%
36.2
37.5

2. Cash dividends
Annual dividends per share

Year ended September 30, 2023
Year ending September 30, 2024
Year ending September 30, 2024
(Forecast)

1st quarter-end

2nd quarter-end

3rd quarter-end

Fiscal year-end

Yen––

Yen
10.00

Yen–

Yen
10.00

TotalYen
20.00

10.00

–

10.00

20.00

3. Forecast of consolidated financial results for the year ending September 30, 2024 (from October 1, 2023 to September 30, 2024)
Percentages indicate year-on-year changes
Profit attributable toNet sales
Operating profit
Ordinary profit
Earnings per shareowners of parent
Millions of yen% Millions of yen% Millions of yen% Millions of yen%
Yen
Six months ending
37,534
2.6
1,457
91.7
1,570
56.1
912 (13.4)
31.18
March 31, 2024
Full year
70,015
6.4
683
–
887–
85–
2.91

1

4. Notes(1) Changes in significant subsidiaries during the three months ended December 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 December 31, 2023

31,146,685 shares As of September 30, 2023

31,146,685 shares

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

1,896,994 shares As of September 30, 2023

1,897,073 shares

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

29,249,671 shares Three months ended December 31, 2022

229,115,391 shares

Quarterly consolidated financial statements
Consolidated balance sheets(Millions of yen)
As of September 30, 2023

As of December 31, 2023

AssetsCurrent assets
Cash and deposits
Accounts receivable - trade

5,894
2,826

4,541
3,474

Merchandise and finished goods
Work in process

14,3272

15,835
1

Raw materials and supplies
Other

366
1,347

351
1,542

Total current assets

24,76425,747

3,458
9,341

3,631
9,341

Non-current assets
Property, plant and equipment
Buildings and structures, net
Land
Other, net

495

562

13,296

13,536

Trademark right
Other43512

39666

Total intangible assets555

706

Investments and other assets
Investment securities

3,417

3,655

Leasehold and guarantee deposits
Retirement benefit asset

7,031
699

7,075
716

Other
Allowance for doubtful accounts

895
(47)

885
(48)

Total investments and other assets

11,996

12,28325,84826,52650,612

52,274

Total property, plant and equipment
Intangible assets

Total non-current assets
Total assets
Liabilities
Current liabilities
Notes and accounts payable - trade

1,709

2,759

Electronically recorded obligations - operating
Short-term borrowings

2,331
12,0753,22512,061

Current portion of long-term borrowings
Income taxes payable

7,652
366

7,552
164

896
413

926
159

Other

3,194

3,345

Total current liabilities

28,64030,194

85
594

78
602

Provision for point card certificates
Other

31
1,823

23
1,971

Total non-current liabilities

2,534

2,675

31,17532,870Contract liabilities
Provision for bonuses

Non-current liabilities
Long-term borrowings
Retirement benefit liability

Total liabilities

3

(Millions of yen)
As of September 30, 2023

As of December 31, 2023

Net assets
Shareholders' equityShare capital

5,305

5,305

Capital surplus
Retained earnings

13,253
1,631

13,253
1,419

Treasury shares(3,120)(3,119)Total shareholders' equity

17,07016,858

1,840
(39)

2,005
(48)

98

95

1,898

2,053

467

491

19,437

19,40350,612

52,274

Accumulated other comprehensive income
Valuation difference on available-for-sale securities
Foreign currency translation adjustment
Remeasurements of defined benefit plans
Total accumulated other comprehensive income
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)(Millions of yen)Three months ended

Three months ended

December 31, 2022

December 31, 2023

Net sales
Cost of sales

17,142
7,100

16,574
6,873

Gross profit

10,041

9,701

Selling, general and administrative expenses

10,057

9,715

(15)

(13)

Interest income
Dividend income

515

718

Rental income from real estate
Foreign exchange gains

10876

108
42

Reversal of provision for bonuses
Other–39

163
51

Total non-operating income

246391

Operating loss
Non-operating income

Non-operating expenses
Interest expenses

4241

Rental expenses on real estate
Other

14230
23

Total non-operating expenses

60

95

170281Gain on sale of non-current assets
Penalty income

36
440

0–

Total extraordinary income

476

03

764
–

120

Ordinary profit
Extraordinary income

Extraordinary losses
Loss on retirement of non-current assets
Loss on store closings
Other

67

19Profit before income taxes

Total extraordinary losses

579

261

Income taxes - current
Income taxes - deferred199(6)7585

Total income taxes

192

161

Profit386

99

Profit (loss) attributable to non-controlling interests

(171)

19

Profit attributable to owners of parent

557

80

5

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

ProfitOther comprehensive income

Three months ended

Three months ended

December 31, 2022

December 31, 2023
386

99

Valuation difference on available-for-sale securities
Foreign currency translation adjustment

51(50)

165(3)

Remeasurements of defined benefit plans, net of tax

3(2)

4158

Comprehensive income

Total other comprehensive income

391

258

Comprehensive income attributable toComprehensive income attributable to owners of parent

576

234

(185)

24

Comprehensive income attributable to non-controllinginterests6