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.

Consolidated Financial Results for the Three Months Ended June 30, 2024
(Based on Japanese GAAP)
August 8, 2024
Company name:

NAKABAYASHI CO., LTD.

Stock exchange listings: Tokyo
Stock code:

7987

URL: https://www.nakabayashi.co.jp/

Representative:

President and Representative Director

Hideaki Yumoto

Inquiries:

Director, Senior Executive Officer andGeneral Manager of Administration
Division

Shunsuke Nagai

Scheduled date to commence dividend payments:–

Preparation of supplementary material on financial results:

No

Holding of financial results meeting:No

TEL 06-6943-5555(Amounts less than one million yen are rounded down)

1. Consolidated financial results for the three months ended June 30, 2024 (from April 1, 2024 to June 30,2024)(1) Consolidated operating results (cumulative)
Net sales
Three months ended

Percentages indicate year-on-year changes
Operating profit

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

June 30, 2024

14,092

1.0

95

–

264

–

151

–

June 30, 2023

13,954

3.1

(286)

–

(46)

–

(57)

–

(Note) Comprehensive income:% Millions of yen

Profit attributable toowners of parent

Ordinary profit

Three months ended June 30, 2024:
Three months ended June 30, 2023:

Earnings per share
Three months ended¥214 million¥117 million[82.7%][–%]

Diluted earnings
per share

Yen

Yen

June 30, 2024

5.51

–

June 30, 2023

(2.08)–(2) Consolidated financial position
Total assets
As of

Net assets

Equity ratio

Millions of yen

Millions of yen

June 30, 2024

56,67228,002

48.2

March 31, 2024

57,965

28,11947.3(Reference) Equity:

As of June 30, 2024:
As of March 31, 2024:¥27,331 million¥27,440 million%

2. Cash dividends
Annual dividends per share
1st quarter-end

2nd quarter-end

Yen
Year ended March 31,2024
Year ending March 31,
2025

3rd quarter-end

Yen–

Fiscal year-end

Yen

Total

Yen

Yen

10.00

–

12.00

22.00

10.00

–

12.00

22.00

–

Year ending March 31,
2025 (Forecast)(Note) Revisions of dividend forecasts from recently announced figures: No

3. Forecast of consolidated financial results for the year ending March 31, 2025 (from April 1, 2024 toMarch 31, 2025)
Net sales

Percentages indicate year-on-year changes
Profit attributable toEarnings
Ordinary profit
owners of parent
per share

Operating profit

Millions ofyen%Millions ofyen

Six months ending
September 30, 2024

28,500

0.6

260

–

530

Full year

61,500

0.7

1,845

298.9

2,460

%

Millions ofyen(Note) Revisions of forecasts of financial results from recently announced figures: No

Millions of
yen

%

Yen

–

220

0.6

8.02

145.1

1,540

75.7

56.13

%

*

Notes

(1) Significant changes in the scope of consolidation during the three months ended June 30, 2024:

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:
Yes
Changes in accounting policies due to other reasons:No
Changes in accounting estimates:
No
Restatement of prior period financial statements:
No(Note) For details, please refer to “2. Quarterly Consolidated Financial Statements and Major Notes, (3)Notes to Quarterly Consolidated Financial Statements, (Notes on Changes in Accounting Policies)”on page 9 of the Accompanying Materials.
(4) Number of issued shares (common shares)
Total number of issued shares at the end of the period (including treasury shares)
As of June 30, 2024

28,794,294 shares As of March 31, 2024

28,794,294 shares

Number of treasury shares at the end of the period
As of June 30, 2024

1,357,858 shares As of March 31, 2024

1,357,711 shares

Average number of shares during the period (cumulative from the beginning of the fiscal year)
Three months ended June 30, 2024

27,436,517 shares Three months ended June 30, 2023

27,406,118 shares* Review of the Japanese-language originals of the attached quarterly consolidated financial statements by acertificated public accountant or an auditing firm: No* Explanation and other special notes concerning the appropriate use of business performance forecasts(Cautionary Statement with Respect to Forward-Looking Statements)
The earnings forecasts and other forward-looking statements herein are based on information currently
available to the Company and on certain assumptions deemed to be reasonable. These statements do not purportthat the Company pledges to realize such statements. For the assumptions underlying the earnings forecasts andcautions concerning the earnings forecasts, please refer to “1. Overview of Operating Results, (3) Explanationof Consolidated Earnings Forecasts and Other Forward-Looking Information” on page 4 of the Accompanying
Materials.

○ Accompanying Materials – Contents
1. Overview of Operating Results ........................................................................................................................... 2(1) Overview of Operating Results for the Period under Review....................................................................... 2(2) Overview of Financial Position for the Period under Review ...................................................................... 3(3) Explanation of Consolidated Earnings Forecasts and Other Forward-Looking Information ....................... 4
2. Quarterly Consolidated Financial Statements and Major Notes ......................................................................... 5(1) Quarterly Consolidated Balance Sheets ........................................................................................................ 5(2) Quarterly Consolidated Statements of Income and Quarterly Consolidated Statements ofComprehensive Income ................................................................................................................................ 7(3) Notes to Quarterly Consolidated Financial Statements ................................................................................ 9(Notes on Changes in Accounting Policies).................................................................................................. 9(Notes on Segment Information) ................................................................................................................ 10(Notes on Significant Changes in the Amount of Shareholders’ Equity) .....................................................11(Notes on the Going Concern Assumption) .................................................................................................11(Notes on Quarterly Consolidated Statements of Cash Flows) ....................................................................11-1-

1. Overview of Operating Results(1) Overview of Operating Results for the Period under Review
During the three months under review, the Japanese economy saw a gradual recovery in economic activity,
partly due to improved employment and income conditions and the effect of inbound tourism. At the sametime, protracted tensions in Ukraine and the Middle East, prolonged instability in exchange rate trends, andthe effects of soaring energy and raw material prices have kept the outlook of the economy uncertain.
The circumstances surrounding the Company group (the “Group”) have necessitated a response to majorchanges in lifestyles and corporate activities, and under our purpose of “It’s for SMILE,” we are striving toenhance our corporate value by creating valuable products and services that are appropriate for an age of 100year lifespans.
Under these circumstances, we have formulated our fourth medium-term management plan (from April 1,
2024 to March 31, 2027), “Go on going,” and will work to achieve it by solving social issues related to thefive areas set forth in our mission and vision, “Life-related industry,” (Note) and creating product services that
capture changing consumption trends.
(Note) “Life-related industry” is a concept advocated by Professor Yoshinori Hiroi of Kyoto University.
Specifically, this refers to the following five fields: (1) health and medical care, (2) environment(including renewable energy), (3) life and welfare, (4) agriculture, and (5) culture.
In addition, the Consumer Communications Business and Office Appliances Business have been integrated
from the first quarter of the fiscal year ending March 31, 2025, in order to respond quickly to new lifestyles.
Accordingly, reportable segments have been reorganized into the four segments of Business Process Solutions
Business, Consumer Communications Business, Energy Business, and Others.
Net sales of the Group for the three months under review amounted to ¥14,092 million. Efforts to raise prices
and cut costs through screening orders resulted in operating profit of ¥95 million and ordinary profit of ¥264
million.
As a result, profit attributable to owners of parent was ¥151 million.
The Group’s operating results for the three months under review are as follows.
Net sales¥14,092 million (Up 1.0% year on year)

Operating profit¥95 million (Operating loss of ¥286 million in thesame period of the previous fiscal year)

Ordinary profit¥264 million (Ordinary loss of ¥46 million in the same
period of the previous fiscal year)

Profit attributable to owners of parent¥151 million (Loss attributable to owners of parent of¥57 million in the same period of theprevious fiscal year)

Operating results by segment are as follows.
(i) Business Process Solutions BusinessIn various BPO services and data printing services (DPS), competition is intensifying as order sizes become
smaller, but the Company will continue to promote rationalization in manufacturing departments andstreamlining in sales departments to improve competitiveness, and will work to develop a “BPO Integrated
Support Service” that provides total support related to the business environment throughout society. Paper
containers remained steady, with an increase in new projects for household goods and orders for“JIYUBACO.” The seals and labels area also continued to perform well. The library solutions businessremained strong, partly due to the contribution of new projects from public libraries.

-2-

Consequently, net sales in this business amounted to ¥6,865 million (down 0.2% year on year), and operating
profit amounted to ¥58 million (operating loss of ¥94 million in the same period of the previous fiscal year).
(ii) Consumer Communications Business
Stationary office supplies remained strong, partly due to OEM orders for commercially available products andthe effect of price increases. Gadget peripheral goods, such as PCs, smartphones, and tablets, as well as
security and disaster prevention goods remained steady, partly due to the synergy effect of the absorption-typemergers of the consolidated subsidiaries Miyoshi Co., Ltd. and Revex Co., Ltd. on January 1, 2024. We willcontinue to expand our product lineup and accelerate the launch of new products.
In our Meguri-ing business, a measure to support tourism, sales of Goshuin-cho and Gojoin-cho stamp books
and stuffed toys for theme parks and souvenirs continued to increase, partly due to an increase in inbound andother tourists and a growing interest in experiential and time-driven consumption.
KAGUKURO Co., Ltd., which is operating the e-commerce business for office furniture, remained strong due
to the continued trend of workers returning to work in offices, but shredders continued to face difficult
conditions due to a cycle of replacement demand and the shift away from paper. The Company will strive toincrease sales of crushers for media such as hard disk drives and solid state drives and develop new products.
Consequently, net sales in this business amounted to ¥6,867 million (up 2.1% year on year), and operating
profit amounted to ¥164 million (operating loss of ¥38 million in the same period of the previous fiscal year).
(iii) Energy Business
Wooden biomass power generation had a reduced number of operating days due to a statutory inspection
conducted in May 2024. In addition, operation has been carried out after adjustment of output in considerationof the woodchip stockpile situation. Solar power generation performed well.
Consequently, net sales in this business amounted to ¥342 million (up 3.6% year on year), while operating
loss amounted to ¥11 million (operating loss of ¥12 million in the same period of the previous fiscal year).
(iv) Others
The Vegetable Plant Business and the Garlic Farm Business, etc. posted net sales of ¥16 million (up 24.3%
year on year) and operating loss of ¥13 million (operating loss of ¥17 million in the same period of theprevious fiscal year).
(2) Overview of Financial Position for the Period under Review[Assets]
Current assets decreased by ¥1,100 million from the end of the previous fiscal year to ¥28,973 million. Thiswas mainly due to a decrease of ¥2,491 million in notes and accounts receivable - trade, despite an increase of¥773 million in merchandise and finished goods.
Non-current assets decreased by ¥193 million from the end of the previous fiscal year to ¥27,699 million. Thiswas mainly due to decreases of ¥179 million in machinery, equipment and vehicles and ¥94 million inbuildings and structures, despite an increase of ¥48 million in construction in progress.
As a result, total assets as of June 30, 2024 decreased by ¥1,293 million from the end of the previous fiscal
year to ¥56,672 million.
[Liabilities]
Current liabilities decreased by ¥1,150 million from the end of the previous fiscal year to ¥16,516 million.
This was mainly due to a decrease of ¥1,049 million in short-term borrowings.
Non-current liabilities decreased by ¥25 million from the end of the previous fiscal year to ¥12,153 million.
This was mainly due to a decrease of ¥70 million in long-term borrowings.
As a result, total liabilities as of June 30, 2024 decreased by ¥1,176 million from the end of the previous fiscal
year to ¥28,669 million.
[Net assets]
Total net assets decreased by ¥116 million from the end of the previous fiscal year to ¥28,002 million. Thiswas mainly due to a decrease of ¥178 million in retained earnings, despite an increase of ¥53 million inforeign currency translation adjustment.
-3-

As a result, the equity ratio was 48.2%, up 0.9 percentage points from the end of the previous fiscal year.
(3) Explanation of Consolidated Earnings Forecasts and Other Forward-Looking Information
We have not changed our earnings forecasts since the announcement we made on May 10, 2024.

-4-

2. Quarterly Consolidated Financial Statements and Major Notes(1) Quarterly Consolidated Balance Sheets(Millions of yen)
As of March 31, 2024
AssetsCurrent assets
Cash and deposits
Notes and accounts receivable - trade
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, net
Machinery, equipment and vehicles, net
LandConstruction in progress
Other, net
Total property, plant and equipment
Intangible assets
Goodwill
Other
Total intangible assets
Investments and other assets
Investment securities
Retirement benefit asset
Deferred tax assets
Other
Allowance for doubtful accounts
Total investments and other assets
Total non-current assets
Total assets-5-

As of June 30, 2024

7,214
11,106
6,355
917
1,784
2,695
(0)
30,073

7,520
8,614
7,129
1,278
1,983
2,446
(0)
28,973

7,463
4,603
9,494
33
155
21,750

7,368
4,423
9,494
81
163
21,531

13
278
292

–
272
272

3,010
1,754
226
867
(8)
5,850
27,892
57,965

3,049
1,773
259
821
(8)
5,895
27,69956,672

(Millions of yen)
As of March 31, 2024
Liabilities
Current liabilities
Notes and accounts payable - trade
Short-term borrowings
Accounts payable - otherAccrued expenses
Income taxes payable
Provision for bonuses
Other
Total current liabilities
Non-current liabilities
Long-term borrowings
Retirement benefit liability
Deferred tax liabilities
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-sale securities
Deferred gains or losses on hedges
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-6-

As of June 30, 2024

4,632
6,248
2,962
429
458
517
2,418
17,667

4,473
5,198
3,149
426
136
388
2,743
16,516

8,674
2,972
250
280
12,17829,846

8,603
2,927
340
281
12,153
28,6696,666
8,943
10,677(691)
25,595

6,666
8,943
10,499(691)
25,417

1,028
56
149
610
1,844
678
28,11957,965

1,052
61
202
597
1,913
671
28,002
56,672

(2) Quarterly Consolidated Statements of Income and Quarterly Consolidated Statements ofComprehensive Income
Quarterly Consolidated Statements of Income(Millions of yen)Three months ended
June 30, 2023
Net sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Operating profit (loss)
Non-operating income
Rental income
Dividend income
Insurance claim income
Other
Total non-operating income
Non-operating expenses
Interest expenses
Miscellaneous expenses of assets for rent
Other
Total non-operating expenses
Ordinary profit (loss)
Extraordinary income
Gain on sale of non-current assets
Gain on sale of investment securities
Total extraordinary income
Extraordinary losses
Loss on disposal of non-current assets
Total extraordinary losses
Profit before income taxes
Income taxes - current
Income taxes - deferred
Total income taxes
Profit (loss)
Loss attributable to non-controlling interests
Profit (loss) attributable to owners of parent-7-

Three months ended
June 30, 2024

13,954
10,640
3,313
3,600
(286)

14,092
10,561
3,531
3,435
95

43
55
108
69
277

43
53
54
53
205

20
10
5
36
(46)

21
9
6
37
264

0
51
52

0
–
0

2
2
3
136
(68)
68
(64)
(7)
(57)

0
0
264
90
28
119
144
(6)
151

Quarterly Consolidated Statements of Comprehensive Income(Millions of yen)Three months ended
June 30, 2023
Profit (loss)
Other 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
Total other comprehensive income
Comprehensive income
Comprehensive income attributable toComprehensive income attributable to owners of parent
Comprehensive income attributable to non-controllinginterests-8-

Three months ended
June 30, 2024
(64)

144

138
32
8
2
181
117

23
4
53
(12)
69
214

124

220

(7)

(6)

(3) Notes to Quarterly Consolidated Financial Statements(Notes on Changes in Accounting Policies)
Application of the “Accounting Standard for Current Income Taxes” and other relevant ASBJ regulations
The Company has applied the “Accounting Standard for Current Income Taxes” (Accounting Standards
Board of Japan (ASBJ) Statement No. 27, October 28, 2022; the “Revised Accounting Standard of 2022”)
and other relevant ASBJ regulations from the beginning of the first quarter of the fiscal year ending March
31, 2025.
Revisions regarding the classification of income taxes (taxation on other comprehensive income) are inaccordance with the transitional treatment stipulated in the proviso of paragraph 20-3 of the Revised
Accounting Standard of 2022 and the transitional treatment prescribed in the proviso of paragraph 65-2
(2) of the “Guidance on Accounting Standard for Tax Effect Accounting” (ASBJ Guidance No. 28,
October 28, 2022; the “Revised Application Guidance of 2022”). This change in accounting policies did
not have an impact on the quarterly consolidated financial statements.
In addition, the Company has applied the Revised Implementation Guidance of 2022 related to therevision of the treatment in consolidated financial statements of the deferral for tax purposes of gains orlosses on sale of investments in subsidiaries among consolidated companies from the beginning of thefirst quarter of the fiscal year ending March 31, 2025. This change in accounting policies has been applied
retrospectively, and the quarterly consolidated financial statements and the consolidated financial
statements for the previous quarter and the previous fiscal year have been prepared on a retrospective
basis. This change in accounting policies did not have an impact on the quarterly consolidated financial
statements of the previous quarter or the consolidated financial statements of the previous fiscal year.

-9-(Notes on Segment Information)
Three months ended June 30, 2023 (April 1, 2023 to June 30, 2023)
1. Information Concerning Monetary Amounts for Net Sales, and Profit or Loss by Reportable Segment
Reportable segment
ConsumerBusiness Process
Communications
Solutions BusinessBusiness

Energy Business

Total

Others(Note) 1

Total

Adjusted
amount(Note) 2(Millions of Yen)
Amount onquarterly
consolidated
statements ofincome(Note) 3

Net sales
Net sales to externalcustomers
Inter-segment net sales ortransfers
Total
Segment loss

Notes

6,881

6,729

330

13,941

13

13,954–

13,954

293

56

–

349

3

353

(353)

–

7,174

6,785

330

14,29017

14,308(353)

13,954

(94)

(38)

(12)

(145)

(17)

(163)

(122)

(286)

1. The “Others” category is business segments not included in the reportable segments, including the Vegetable Plant
Business and Garlic Farm Business.
2. Adjusted amount of (¥122 million) for segment loss includes inter-segment transaction eliminations of ¥45 million, an
adjustment of ¥5 million for inventories, and company-wide expenses of (¥173 million) that are not allocated toreportable segments. Company-wide expenses are primarily general administrative expenses and SG&A expenses that
do not belong to reportable segments.
3. Segment loss is adjusted for operating loss on quarterly consolidated statements of income.

2. Impairment Losses on Non-current Assets or Goodwill, etc. by Reportable Segment
Not applicable.
Three months ended June 30, 2024 (April 1, 2024 to June 30, 2024)
1. Information Concerning Monetary Amounts for Net Sales, and Profit or Loss by Reportable Segment
Reportable segment
ConsumerBusiness Process
Communications
Solutions BusinessBusiness

Energy Business

Total

Others(Note) 1

Total

Adjusted
amount(Note) 2(Millions of Yen)
Amount onquarterly
consolidated
statements ofincome(Note) 3

Net sales
Net sales to externalcustomers
Inter-segment net sales ortransfers
Total
Segment profit (loss)

Notes

6,865

6,867

342

14,07516

14,092–

14,092

378

77

–

456

2

458

(458)

–

7,244

6,945

342

14,532

19

14,551(458)

14,092

58

164

(11)

211

(13)

197

(101)

95

1. The “Others” category is business segments not included in the reportable segments, including the Vegetable Plant
Business and Garlic Farm Business.
2. Adjusted amount of (¥101 million) for segment profit (loss) includes inter-segment transaction eliminations of ¥30
million, an adjustment of ¥3 million for inventories, and company-wide expenses of (¥135 million) that are not allocatedto reportable segments. Company-wide expenses are primarily general administrative expenses and SG&A expenses
that do not belong to reportable segments.
3. Segment profit or loss is adjusted for operating profit on quarterly consolidated statements of income.

2. Impairment Losses on Non-current Assets or Goodwill, etc. by Reportable Segment
Not applicable.

- 10 -

3. Items Related to Changes in Reportable Segments, etc.
The Consumer Communications Business and Office Appliances Business have been integrated fromthe first quarter of the fiscal year ending March 31, 2025, in order to quickly respond to new lifestyles.
Accordingly, reportable segments have been changed to the four categories of Business Process
Solutions Business, Consumer Communications Business, Energy Business, and Others.
Segment information for the first quarter of the previous fiscal year is disclosed based on the reporting
segment classification after the change.
(Notes on Significant Changes in the Amount of Shareholders’ Equity)
Not applicable.
(Notes on the Going Concern Assumption)
Not applicable.
(Notes on Quarterly Consolidated Statements of Cash Flows)
Quarterly consolidated statements of cash flows for the three months under review are not prepared.
Depreciation (including amortization related to intangible assets excluding goodwill) and amortization of
goodwill for the three months ended June 30, 2023 and 2024 are as follows.
(Millions of yen)Three months ended
June 30, 2023
Depreciation
Amortization of goodwill

394
27- 11 -

Three months ended
June 30, 2024387
13