Gulliver International Co., Ltd.

Non-consolidated Results
Third Quarter of the Fiscal year Ending February 28, 2006
(Nine month period ended November 30, 2005)

This document has been translated from the original Japanese as a guide for non-Japanese investors. It
contains forward-looking statements based on a number of assumptions and beliefs made bymanagement in light of information currently available. Actual financial results may differ materiallydepending on a number of factors, including changing economic conditions and the pricing and productinitiatives of new and existing competitors.

SUMMARY OF FINANCIAL STATEMENTS (Non-consolidated)
Third quarter results for the fiscal year ending February 28, 2006

Gulliver International Co., Ltd.

January 11, 2006

Stock Code: 7599
http://www.glv.co.jp/President: Kenichi Hatori
1. Notes to preparation of these financial statements
Adoption of simplified accounting treatments:

stListed exchanges: Tokyo (1 Section)
Inquiries: Senior Executive Vice President: Ikuo Murata
Telephone: +81 3 5208-5503

Yes (partial use of the simple method)

Differences in accounting treatments applied compared to previous fiscal year:

None2. Non-consolidated financial results for the nine month period ended November 30, 2005
1) Non-consolidated Operating Results

Millions of yen, rounded downNine months ended
November 30, 2005

Nine months ended
November 30, 2004(% change)

Sales ...............................................................
Operating income............................................
Ordinary income..............................................
Net income ......................................................
Earnings per share (¥).....................................
Fully diluted earnings per share (¥) .................

123,665
6,311
6,330
3,372
¥337.45¥333.68

17.9
(9.9)
(9.6)
(10.7)---Fiscal Year ended
February 28, 2005(% change)

104,829
7,009
7,007
3,776
¥372.04¥362.54-------(% change)

147,486
9,601
9,584
5,259
¥510.03¥499.92

28.2
33.9
32.5
36.1
---Notes to the preparation of these financial statements:
1. Percentage figures for sales, operating income, etc. represent changes compared to the comparable period of the previous fiscal year.

2) Financial Position (non-consolidated)
Millions of yen, rounded down

Total assets.....................................................
Shareholders’ equity .......................................
Equity ratio (%)................................................
Shareholders’ equity per share (¥) ..................

As of November 30,
2005
31,51915,53449.3
1,559.30

As of November 30,
2005
26,046
15,65360.1
1,547.74

As of February 28, 2005
29,285
15,32752.3
1,522.30

3. Forecasts for the fiscal year ending February 28, 2006 (March 1, 2005 to February 28, 2006)
Millions of yen

FY ending February 28, 2006
Sales ......................................................................................
Ordinary income.....................................................................
Net Income.............................................................................
Forecast earnings per share (¥) .............................................

167,200
11,1006,100¥612.21

Forecasts and forward-looking statements in this document are based on a number of assumptions and beliefs made bymanagement in light of information currently available. Actual financial results may differ materially depending on a number offactors, including economic conditions, legislative and regulatory developments, delay in new product or service launches, andpricing and product initiatives of competitors.

1Non-consolidated Balance Sheets
As of November 30,
2005
ASSETS

Millions of yen
As of November 30,
2004

As of February 28,
2005% of total% of total% of total

Current assets
Cash and deposits .................................

3,009

2,378

4,514

Accounts receivable...............................

2,663

7,358

2,949

Marketable securities .............................

----

237

Inventory ................................................

4,319

3,842

4,405

Deferred tax assets................................

514

505

529

Others ....................................................

3,694

1,277

1,319

Allowance for doubtful accounts ............

(77)

(68)

(22)

Total current assets............................

14,12344.8

15,293

52.2

13,933

53.5

Fixed assets
Tangible fixed assets
Buildings and structures.........................

5,904

5,333

4,833

Tools, fixtures and equipment................

1,250

1,090

987

Land.......................................................

327

327

327

Other......................................................
Total tangible fixed assets

312
7,794

24.7

256
7,007

130
23.9

6,278

24.1

Intangible fixed assets
Software.................................................

2,962

2,177

1,925

Other......................................................

96101

102

Total intangible fixed assets ...............

3,059

9.7

2,279

7.8

2,028

7.8

Investments and other assets
Investment securities ..............................

319

373

244

Shares held in related companies..........

494

475

375

Long term loans to related companies ...

500

710

160

Deposits and guarantee money ..............

3,250

1,848

1,816

Construction cooperation fund ................

1,636

960

822

Deferred tax assets.................................

94

135

165

Other.......................................................

592

517

502

Allowance for doubtful accounts .............

(345)

(315)

(280)

Total investment and other assets........

6,542Total fixed assets ...............................
Total Assets.............................................

20.8

4,705

16.1

3,805

17,39555.2

31,519100.0

13,99147.8

12,112

46.5

29,285100.0

26,046

100.0

2

14.6

Non-consolidated Balance Sheets
Millions of yen, rounded down
As of November 30,

As of February 28,

As of November 30,

2005

2005

2004

LIABILITIES% of total% of total% of total

Current liabilities
Accounts payable ...................................

2,600

4,203

2,842

Short-term borrowing ..............................

7,000

2,000--

Accrued expenses ..................................

1,657

2,014

1,840

Accrued corporate taxes.........................

616

2,507

1,765

Advances received .................................

667

338

616

Deposits received ...................................

765

765

979

Reserve for bonuses ..............................

940

508

768

Other.......................................................

1,198

Total current liabilities...........................

15,356997
48.7

13,336

947
45.6

9,762

37.5

Long-term liabilities
Guarantee deposits received..................

628

621

630

Total long-term liabilities.......................

628

2.0

621

2.1

6302.4

Total liabilities.....................................

15,98550.7

13,95847.7

10,392

39.9

Paid-in capital .........................................

4,157

13.2

4,139

14.1

4,126

15.8

Capital surplus........................................

4,032

12.8

4,014

13.7

4,002

15.4

Retained earnings ..................................

14,06544.6

12,852

43.9

11,543

44.3

securities ................................................

79

0.3

100.0

80.0

Treasury stock ........................................

(6,799)(21.6)(5,689)(19.4)(4,027)(15.4)

Total shareholders’ equity ..................

15,53449.3

15,32752.3

15,65360.1

31,519100.0

29,285100.0

26,046

100.0

CAPITAL

Unrealized gains and losses in otherTotal Liabilities and Shareholders’Equity.......................................................

3

Non-consolidated Statements of Income
Millions of yen
March 1, 2005 to

March 1, 2004 to

March 1, 2004 toNovember 30, 2005

November 30, 2004

February 28, 2005%%%

Sales .................................................................

123,665

100.0

104,829100.0

147,486

100.0

Cost of goods sold .............................................

92,80875.0

78,335

74.7

110,36174.8

Gross profit ...............................................

30,85725.0

26,49325.3

37,125

25.2

Sales, general & administrative expenses .........

24,54519.9

19,48418.6

27,523

18.7

Operating income ............................................

6,311

5.1

7,009

6.7

9,601

6.5

Non-operating income .......................................

560.0

200.0

25

0.0

Non-operating expenses....................................

370.0

220.0

420.0

Ordinary income ..............................................

6,330

5.1

7,007

6.7

9,584

6.5

Extraordinary profit ............................................

470.1

460.0

70.0

Extraordinary losses ..........................................

365

0.3

----

249

0.2

Net income before taxes, etc. .........................

6,013

4.9

7,053

6.7

9,342

6.3

Corporate income tax, inhabitants tax andenterprise tax ....................................................

2,656

3,395

4,150

Corporate tax adjustments.................................

(15)

(119)

(67)

Net income .......................................................

3,372

2.7

3,776

3.6

5,259

43.5

Additional Information
From the first quarter of the current fiscal year the proportionate amounts of corporation tax on value addedand capital have been included in Selling, General and Administrative expenses. This 1follows thepromulgation from March 31, 2004 of the Partial Revisions to the Law Concerning Regional Tax. As a result
Selling, General and Administration expenses increased by ¥87 million and operating income, ordinary
income and income before taxes, etc. each decreased by ¥87 million.

1 (2003 Article 9) For fiscal years commencing on or after April 1, 2004, along with the introduction of the tax

system based on business size ‘Treatment of the tax based on business size portion of corporate taxes in
the Statements of Income’ (February 13, 2004, Corporate Accounting Standards Committee Practice Report12).

5