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 May 31, 2018
(Based on Japanese GAAP)
July 12, 2018
Company name:
IDOM Inc.
Stock exchange listing: Tokyo
Stock code:
Representative:

7599
President

URL

https://221616.com
Yusuke Hatori

Inquiries:
General Manager, Finance & IR Division
Scheduled date to file Quarterly Securities Report:

Masayuki Matsumoto
July 13, 2018

Scheduled date to commence dividend payments:
Preparation of supplementary material on quarterly financial results:–Yes

Holding of quarterly financial results meeting:

NoTEL

03-5208-5503(Amounts less than one million yen are rounded down)
1. Consolidated financial results for the three months ended May 31, 2018 (from March 1, 2018 to May 31, 2018)(1) Consolidated operating results (cumulative)
Net sales
Three months ended May 31, 2018
Three months ended May 31, 2017

Millions of yen
71,411
71,130Percentages indicate year-on-year changes
Profit attributable toOperating profit
Ordinary profit
owners of parent% Millions of yen% Millions of yen% Millions of yen%
0.4
378 (69.5)
103 (88.5)
(146)
–
7.5
1,243
(0.2)
903 (23.0)
457 (37.5)

Earnings per share

Diluted earnings per share

Yen(1.45)
4.51

Three months ended May 31, 2018
Three months ended May 31, 2017

Yen–
4.51

(2) Consolidated financial position
Total assets
As of May 31, 2018
As of February 28, 2018

Net assets

Millions of yen
136,187
130,181

Equity ratio

Millions of yen
40,801
41,494

Net assets per share%
29.6
31.4

Yen
397.12403.71

2. Cash dividends
Annual dividends per share

Year ended February 28, 2018Year ending February 28, 2019

1st quarter-end

2nd quarter-end

3rd quarter-end

Fiscal year-end

Yen
––

Yen
3.50

Yen–

Yen
3.50

Yen
7.00

5.50

–

5.50

11.00

Year ending February 28, 2019 (Forecast)Total

3. Forecast of consolidated financial results for the year ending February 28, 2019 (from March 1, 2018 to February 28, 2019)
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
142,800
5.4
2,700
6.8
2,300
13.2
1,150
2.5
11.34
August 31, 2018
Full year
290,000
5.0
7,600
12.1
6,800
17.3
3,900
9.0
38.46

1

4. Notes(1) Changes in significant subsidiaries during the three months ended May 31, 2018(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 May 31, 2018106,888,000 shares As of February 28, 2018106,888,000 shares

Number of treasury shares at the end of the period
As of May 31, 2018

5,480,470 shares As of February 28, 2018

5,480,470 shares

Average number of shares during the period (cumulative from the beginning of the fiscal year)
Three months ended May 31, 2018

101,407,530 shares Three months ended May 31, 20172

101,407,650 shares

Analysis of Operating Results and Financial Position for the First Quarter(1) Analysis of consolidated operating results
In the first quarter of the fiscal year under review (March 1, 2018 to May 31, 2018) retail car sales from all directly managed stores
totaled 31,925, down 3.1% from the same term last year. Sales per store fell due to a decrease in advertisement volume andchanges in sales strategy.
For SG&A expenses, store management expenses increased incidental to the increase in the number of display sales stores.
The Australia business showed an improvement on the back of a growth in sales while the new car market in Western Australia
remained sluggish.
As a result of the above, consolidated business results for the first quarter were net sales of 71,411 million yen (up 0.4% from thesame term last year.), operating income of 378 million yen (down 69.5%), ordinary income of 103 million yen (down 88.5%), andloss attributable to owners of parent of 146 million yen (same term last year was income of 457 million yen).
Regional segment-specific earnings are as indicated below.
I. JapanJapan segment resulted in net sales of 58,567 million yen (down 3.3% from the same term last year) and segment income(operating income) of 434 million yen (up 72.3%). A decrease in retail car sales resulted in declines in both net sales and operating
income.
II. Australia
Australia segment recorded net sales of 12,460 million yen (up 22.4% from the same term last year) and segment income(operating income) of 62 million yen (the same term last year was operating losses of 232 million yen). This was attributable to theresults of initiatives to improve performance while the new car market in Western Australia remained sluggish.

(2) Analysis of financial position
Assets
As of the end of first quarter ended May 31, 2018, total assets were 136,187 million yen (up 4.6% compared to the end of theprevious fiscal year, February 28, 2018).
Current assets were 82,826 million yen (up 7.6% compared to the end of the previous fiscal year) on increased cash and deposits(up 2,372 million yen).
Non-current assets were 53,360 million yen (up 0.3 % compared to the end of the previous fiscal year) on increased buildings andstructures (up 675 million yen) offsetting decreased goodwill (down 239 million yen) and decreased construction in progress(down 486 million yen).
Liabilities
As of the end of first quarter ended May 31, 2018, total liabilities were 95,385 million yen (up 7.6% compared to the end of theprevious fiscal year).
Current liabilities were 28,409 million yen (down 10.9% compared to the end of the previous fiscal year) on decreased income
taxes payable (down 1,658 million yen) and decreased provisions for bonuses (down 721 million yen).
Non-current liabilities were 66,975 million yen (up 17.9% compared to the end of the previous fiscal year) on increased long-termloans (10,000 million yen).

3Net assets
As of the end of first quarter ended May 31, 2018, total net assets were 40,801 million yen (down 1.7% compared to the end of theprevious fiscal year) due to a decrease in retained earnings (down 501 million yen).

(3) Consolidated earnings forecast and other forward-looking information
There are no changes to our consolidated earnings forecasts for FY2019 from the figures released on April 12, 2018 in our“Summary of Consolidated Financial Results for the Year Ended February 28, 2018 (Based on Japanese GAAP).”

4

Quarterly consolidated financial statements
Consolidated balance sheets
As of February 28, 2018

(Millions of yen)
As of May 31, 2018

22,763
5,709
44,4791,037
3,203(239)76,95526,881
4,862
46,852
1,092
3,212(76)82,82632,602(11,445)
21,15664(15)
48
4,332(3,446)886
218
777
23,08833,578(11,746)
21,83248(15)
33
4,395(3,485)910
218
291
23,286

2,981
8,927
3,688
15,597

2,791
8,687
3,579
15,059

45
2,150
211
5,541
5,643
504
746
(304)
14,53953,225130,181

46
2,192
201
5,773
5,785
589
915(488)
15,01553,360136,187

AssetsCurrent assets
Cash and deposits
Notes and accounts receivable - trade
Merchandise
Deferred tax assets
Other
Allowance for doubtful accounts
Total current assets
Non-current assets
Property, plant and equipment
Buildings and structures
Accumulated depreciation
Buildings and structures, net
VehiclesAccumulated depreciation
Vehicles, net
Tools, furniture and fixtures
Accumulated depreciation
Tools, furniture and fixtures, net
LandConstruction in progress
Total property, plant and equipment
Intangible assets
Software
Goodwill
Other
Total intangible assets
Investments and other assets
Investment securities
Shares of subsidiaries and associates
Long-term loans receivable
Lease and guarantee deposits
Construction assistance fund receivables
Deferred tax assets
OtherAllowance for doubtful accounts
Total investments and other assets
Total non-current assets
Total assets

5

As of February 28, 2018

(Millions of yen)
As of May 31, 2018

14,327
1,201
3,845
2,029
4,581
314
815
871
315
3,597
31,901

13,890
1,075
3,665
371
4,163
219
94
539
389
4,000
28,40952,680
499
2,008
1,008
395
191
56,784
88,686

62,680
481
2,072
979
399
363
66,975
95,385

4,157
4,032
36,373(3,947)40,615

4,157
4,032
35,871(3,947)
40,113

323
323
3551
41,494130,181

157
157
3
526
40,801
136,187

Liabilities
Current liabilities
Accounts payable - trade
Short-term loans payable
Accounts payable - other
Income taxes payable
Advances received
Deposits received
Provision for bonuses
Provision for merchandise warranties
Other provision
Other
Total current liabilities
Non-current liabilities
Long-term loans payable
Long-term guarantee deposited
Asset retirement obligations
Deferred tax liabilities
Other provision
Other
Total non-current liabilities
Total liabilities
Net assets
Shareholders' equity
Capital stock
Capital surplus
Retained earnings
Treasury shares
Total shareholders' equity
Accumulated other comprehensive income
Foreign currency translation adjustment
Total accumulated other comprehensive income
Subscription rights to shares
Non-controlling interests
Total net assets
Total liabilities and net assets

6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
May 31, 2017
May 31, 2018
Net sales
71,13071,411
Cost of sales
55,041
56,104Gross profit
16,08815,306
Selling, general and administrative expenses
14,845
14,927
Operating profit
1,243
378
Non-operating income
Interest income
1213
Reimbursements on insurance
7–
Other
12
19
Total non-operating income
3232
Non-operating expenses
Interest expenses
248
167
Foreign exchange losses
4667
Share of loss of entities accounted for using equity
6964method
Other
78
Total non-operating expenses
372
308
Ordinary profit
903
103
Extraordinary income
Gain on sales of non-current assets
0–
Other–
1
Total extraordinary income
01
Extraordinary losses
Loss on retirement of non-current assets
84
124
Provision of allowance for doubtful accounts
14–
Other
2
40
Total extraordinary losses
101
164
Profit (loss) before income taxes
802(59)
Income taxes - current
711
249
Income taxes - deferred
(271)
(146)
Total income taxes
440
103
Profit (loss)
362(162)
Loss attributable to non-controlling interests(95)(15)
Profit (loss) attributable to owners of parent
457
(146)

7

Consolidated statements of comprehensive income (cumulative)

Profit (loss)
Other comprehensive income
Foreign currency translation adjustment
Share of other comprehensive income of entities
accounted for using equity method
Total other comprehensive income
Comprehensive income
Comprehensive income attributable toComprehensive income attributable to owners ofparent
Comprehensive income attributable tonon-controlling interests

8

Three months ended
May 31, 2017
362

(Millions of yen)Three months ended
May 31, 2018
(162)

(245)

(185)

7

10(237)
124

(175)
(337)

197

(313)

(73)

(24)