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 March 31, 2022
(Based on Japanese GAAP)May 13, 2022
Company name:
Kufu Company Inc.
Stock exchange listing: Tokyo
Stock code:
4376
URL https://kufu.co.jp/
Representative:
Director & Representative Executive Officer
Inquiries:
Director & Executive Officer
Scheduled date to file Quarterly Securities Report:
Scheduled date to commence dividend payments:
Preparation of supplementary material on quarterly financial results:
Holding of quarterly financial results meeting:Yoshiteru Akita
Jun Kanma
TEL 03-6264-2323
May 13, 2022
–Yes
Yes(for institutional investors and analysts)(Amounts less than one million yen are rounded down)
1. Consolidated financial results for the six months ended March 31, 2022 (from October 1, 2021 to March 31, 2022)(1) Consolidated operating results (cumulative)
Percentages indicate year-on-year changesProfit 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 March 31, 2022
9,127–773–717–241–
Six months ended March 31, 2021––––––––(Note) EBITDA (operating profit + depreciation and amortization): Six months ended March 31, 2022: 1,284 million yen [–%]
Six months ended March 31, 2021: – million yen [–%]
Earnings per shareYen
4.15–

Six months ended March 31, 2022
Six months ended March 31, 2021

Diluted earnings per share
Yen
4.13–(2) Consolidated financial position

As of March 31, 2022
As of September 30, 2021

Total assets
Millions of yen
20,479–Net assets
Millions of yen
10,539–Equity ratio%
44.7–

2. Cash dividends

Year ended September 30, 2021
Year ending September 30, 2022
Year ending September 30, 2022 (Forecast)

1st quarter-end
Yen––

Annual dividends per share
2nd quarter-end
3rd quarter-end
Fiscal year-end
Yen
Yen
Yen–––0.00––

3. Forecast of consolidated financial results for the year ending September 30, 2022 (from October 1, 2021 to September 30, 2022)
Percentages indicate year-on-year changes
Net sales
Full year

Millions of yen
18,000Operating profit% Millions of yen
–
1,300

1

EBITDA% Millions of yen–
2,300%–

TotalYen––4. Notes(1) Changes in significant subsidiaries during the six months ended March 31, 2022
(changes in specified subsidiaries resulting in the change in scope of consolidation):(2) Application of special accounting methods for preparing quarterly consolidated financial statements:

YesNo(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:
Yes
Changes in accounting policies due to other reasons:No
Changes in accounting estimates:
No
Restatement of prior period financial statements:
No(4) Number of issued shares (common shares)
Total number of issued shares at the end of the period (including treasury shares)
As of March 31, 2022
58,286,139 shares As of September 30, 2021
Number of treasury shares at the end of the period
As of March 31, 2022
1,148 shares As of September 30, 2021
Average number of shares during the period (cumulative from the beginning of the fiscal year)
Six months ended March 31, 2022
58,259,005 shares Six months ended March 31, 2021

2– shares– shares– sharesQuarterly consolidated financial statements
Consolidated balance sheets(Thousands of yen)
As of March 31, 2022
AssetsCurrent assets
Cash and deposits
Notes and accounts receivable - trade
MerchandiseWork in process
Raw materials and supplies
Real estate for sale
Operational investment securities
Other
Allowance for doubtful accounts
Total current assets
Non-current assets
Property, plant and equipment
Intangible assets
Goodwill
Other
Total intangible assets
Investments and other assets
Deferred tax assets
Other
Allowance for doubtful accounts
Total investments and other assets
Total non-current assets
Deferred assets
Total assets
Liabilities
Current liabilities
Accounts payable - trade
Outstanding claims
Policy reserve
Short-term borrowings
Current portion of long-term borrowings
Income taxes payable
Provision for bonuses
Provision for point services
Correction related cost
Provision for loss on business liquidation
Other
Total current liabilities
Non-current liabilities
Bonds payable
Long-term borrowings
Asset retirement obligations
Provision for share awards
Other
Total non-current liabilities
Total liabilities

7,120,029
1,135,949
124,917462,018
4,612
2,595,037
1,759,868
548,980(25,849)
13,725,564
535,664
3,858,502
506,908
4,365,411
597,224
1,531,265(284,322)
1,844,167
6,745,243
8,756
20,479,564

565,7109,986
2,113
2,982,3061,065,752
308,897
33,291
4,431
45,4205,641
2,590,958
7,614,508
16,6001,998,025
97,433
151,139
62,4502,325,648
9,940,1563

(Thousands of yen)
As of March 31, 2022
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
Foreign currency translation adjustment
Total accumulated other comprehensive income
Share acquisition rights
Non-controlling interests
Total net assets
Total liabilities and net assets

13,1289,017,403
980,556(682)
10,010,405(856,544)
2,197(854,347)
8,885
1,374,463
10,539,407
20,479,564

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Consolidated statements of income (cumulative) and consolidated statements of comprehensive income(cumulative)
Consolidated statements of income (cumulative)(Thousands of yen)Six months ended
March 31, 2022
Net sales
9,127,670
Cost of sales
4,513,062
Gross profit
4,614,607
Selling, general and administrative expenses
3,841,530
Operating profit
773,077
Non-operating income
Interest income
98
Foreign exchange gains
16,472
Other
10,570Total non-operating income
27,141Non-operating expenses
Interest expenses
21,408Commission expenses
51,413
Other
9,773
Total non-operating expenses
82,595
Ordinary profit
717,623
Extraordinary income
Gain on sale of non-current assets
154
Gain on reversal of share acquisition rights
423
Total extraordinary income
578
Extraordinary losses
Loss on retirement of non-current assets
298
Impairment losses
1,738
Provision for loss on business liquidation
11,441
Other
8,566
Total extraordinary losses
22,045
Profit before income taxes
696,156
Income taxes - current
313,733
Income taxes - deferred
66,174
Total income taxes
379,908
Profit316,248
Profit attributable to non-controlling interests
74,440
Profit attributable to owners of parent
241,807

5Consolidated statements of comprehensive income (cumulative)(Thousands of yen)Six months ended
March 31, 2022
Profit316,248
Other comprehensive income
Valuation difference on available-for-sale securities(1,312,507)
Foreign currency translation adjustment
3,121
Total other comprehensive income(1,309,386)
Comprehensive income(993,138)
Comprehensive income attributable toComprehensive income attributable to owners of(1,067,578)
parentComprehensive
incomeattributableto74,440
non-controlling interests

6Consolidated statements of cash flows(Thousands of yen)Six months ended
March 31, 2022
Cash flows from operating activities
Profit before income taxes
Depreciation
Impairment losses
Amortization of goodwill
Increase (decrease) in allowance for doubtful
accounts
Interest and dividend income
Interest expenses
Foreign exchange losses (gains)
Loss (gain) on sale of property, plant and equipment
Decrease (increase) in trade receivables
Decrease (increase) in inventories
Decrease (increase) in real estate for sale
Increase (decrease) in trade payables
Increase (decrease) in accrued expenses
Increase (decrease) in deposits received
Increase (decrease) in unearned revenue
Decrease (increase) in consumption taxes refund
receivable
Other, net
SubtotalInterest and dividends received
Income taxes paid
Interest paid
Income taxes refund
Net cash provided by (used in) operating activities
Cash flows from investing activities
Purchase of property, plant and equipment
Proceeds from sale of property, plant and equipment
Purchase of intangible assets
Payments of leasehold and guarantee deposits
Proceeds from refund of leasehold and guarantee
deposits
Purchase of investment securities
Payments for investment partnerships in capital
Other, net
Net cash provided by (used in) investing activities

696,156
179,525
1,738
332,289
25,796(98)
21,408(983)(154)(169,677)(112,181)(170,293)
102,101(55,126)(64,051)
51,63378,466
16,826933,374
54,098(351,974)(21,046)
22,965
637,419(32,269)
132(95,715)(4,206)
3,902(723,592)(50,000)(331)(902,081)

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(Thousands of yen)Six months ended
March 31, 2022
Cash flows from financing activities
Net increase (decrease) in short-term borrowings
Proceeds from long-term borrowings
Repayments of long-term borrowings
Proceeds from issuance of shares resulting fromexercise of share acquisition rights
Redemption of bonds
Purchase of treasury shares
Proceeds from issuance of share acquisition rights
Purchase of shares of subsidiaries not resulting inchange in scope of consolidation
Other, net
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(1,229,798)
1,300,000(456,980)
5,656(8,350)(682)
1,037(10,610)(6,927)(406,654)
10,877(660,439)
7,750,214
7,089,774

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