〔Delayed〕The original disclosure in Japanese was released on August 9, 2024 at 15:00 (GMT+9)

August 9, 2024

Tsukada Global Holdings Inc.
Consolidated Earnings Report for the Six Months ended June 30, 2024
(Japanese GAAP)

Stock listing: Tokyo Stock Exchange
Securities code: 2418
URL: https://www.tsukada-global.holdings/en/
Representative: Masayuki Tsukada, President and CEO
Information contact: Masahiro Yamasaki, Manager, Finance &Tel: +81-3-5464-0081
Accounting Department
Scheduled dates:
Filing of statutory semiannual financial report (hanki hokokusho): August 13, 2024
Dividend payout:
September 3, 2024
Supplementary materials to financial results available: Yes
Earnings presentation held: Yes (targeted at institutional investors and analysts)(Amounts rounded down to the nearest million yen)

1. Consolidated Performance for the Six Months ended June 30, 2024
(January 1, 2024 – June 30, 2024)(1) Consolidated Operating Results(Percentages indicate year-on-year changes)

Net sales
million yen%

Operating income

Ordinary income

million yen

million yen%

Profit attributable toowners of the parent%

million yen

Six months ended
28,5496.4
2,330 64.4
3,292 52.1
June 30, 2024
Six months ended
26,84219.1
1,418
2,165 61.8
June 30, 2023
Note: Comprehensive income: Six months ended June 30, 2024: 2,894 million yen (45.6%)
Six months ended June 30, 2023: 1,988 million yen (111.2%)
Profitper share
Six months ended
June 30, 2024
Six months ended
June 30, 2023

yen

Diluted profit
per share

yen

63.68

-

42.70

-

(2) Consolidated Financial Position
Total assets
million yen

Net assets
million yen

June 30, 2024
103,583
31,123
December 31, 2023
93,15427,428Reference: Total equity: June 30, 2024:
29,820 million yen
December 31, 2023: 27,196 million yen

Equity ratio
%

28.8
29.2

%

3,037

49.1

2,036

-

2. Dividends
End-Q1Dividend per share
End-Q3End-Q2yen

yenYear ended
5.00
December 31, 2023
Year ending
5.00
December 31, 2024
Year ending
December 31, 2024
(Forecast)
Note: No revision has been made to the latest dividends forecast.

Year-end

Annual total

yen

yen

yen

-

5.00

10.00

-

5.00

10.00

3. Earnings Forecast for the Fiscal Year ending December 31, 2024
(January 1, 2024 – December 31, 2024)
Net sales
million yen

Operating income%

million yen%

Year ending
63,380 10.3
6,847 28.2
December 31, 2024
Note: No revision has been made to the latest earnings forecast.

(Percentages indicate year-on-year changes)
Profit attributable
Profitto owners of theOrdinary income
per share
parentmillion yen%

million yen

%

yen

6,316

10.0

5,024

6.2

105.33*Notes(1) Changes in significant subsidiaries during the period: Yes(Changes in specific subsidiaries accompanying a change in scope of consolidation)
Newly Consolidated: BT KALAKAUA, LLC
Newly Deconsolidated: None
(2) Use of accounting methods specific to the preparation of interim consolidated financial
statements: Yes
Note: For details, please refer to “(4) Notes on Interim Consolidated Financial Statements(Application of Specific Accounting Methods for the Preparation of Interim
Consolidated Financial Statements)” in section “2. Interim Consolidated Financial
Statements and Main Notes” on page 10 in the accompanying materials.
(3) Changes in accounting policy, changes in accounting estimates, and retrospective
restatement
1) Changes in accordance with amendments to accounting standards, etc.: None
2) Changes other than noted in 1) above: None
3) Changes in accounting estimates: None
4) Retrospective restatement: None(4) Shares issued (common stock)1) Number of shares issued at end of
period (including treasury stock)2) Number of shares held in treasury at
end of period

3) Average number of shares
outstanding during the period

June 30, 2024

December 31,
2023

48,960,000

48,960,000

1,259,834

1,259,834

Six Months ended
June 30, 2024

Six Months ended
June 30, 2023

47,700,166

47,700,166* Quarterly (interim) earnings reports are exempt from quarterly review conducted by certified
public accountants or by audit firms.
* Appropriate Use of Earnings Forecast and Other Important Information(Cautionary Statement with Respect to Forward-Looking Statements)
Any forecasts and forward-looking statements given herein are based on information available asof this report’s publication and on certain assumptions that are deemed reasonable. These
forecasts are not guarantees of future performance, and actual results may differ from forecasts
due to changes in the business environment. For the assumptions underlying the forecasts herein
and other notice on the use of earnings forecasts, please refer to “(3) Earnings Forecast for the
Fiscal Year Ending December 31, 2024” in the section “1. Review of Consolidated Financial
Results” on page 3 in the accompanying materials.

Accompanying Material – Contents
1. Review of Consolidated Financial Results(1) Operating Results(2) Analysis of Financial Condition(3) Earnings Forecast for the Fiscal Year Ending December 31, 2024
2. Interim Consolidated Financial Statements and Main Notes(1) Consolidated Balance Sheets(2) Consolidated Statements of Income and Comprehensive Income
Consolidated Statements of Income
Consolidated Statements of Comprehensive Income(3) Consolidated Statements of Cash Flows(4) Notes on Interim Consolidated Financial Statements(Note on the Going-concern Assumption)(Note on Significant Changes in the Amount of Shareholders’ Equity)(Application of Specific Accounting Methods for the Preparation of Interim
Consolidated Financial Statements)(Notes to Segment Information, etc.)(Revenue Recognition)
3. Supplementary Information(Weddings Held and Orders Received)

1

2
2
3
3
4
4
6
6
7
8
10
10
10
10
11
12
13
13

1. Review of Consolidated Financial Results(1) Operating Results
In the six months ended June 30, 2024, the Japanese economy as a whole was on a moderate
recovery path helped by the effects of various government policies, including improvements incorporate earnings, employment, and income, as well as the transformation from a cost-cutting
economy to a growth-oriented one. However, the outlook still remains uncertain, such as thecontinued high interest rate levels in the U.S. and Europe, rapid fluctuations of foreign exchange
markets, and the rise of consumer prices which include energy costs and raw material prices.
Amidst this environment, the Tsukada Global Holdings Group (“the Group”) focused on
creating new value, developing high-quality and attractive outlets, providing high value-added
services in the bridal, hotel, and wellness and relaxation (W&R) markets, and on accurately
responding to diversifying customer needs, and thereby strived to expand net sales and to
improve profitability.
In the Hotel business, the number of foreign visitors to Japan reached a record high of 3,135
thousand in June 2024 (Japan National Tourism Organization “Number of Foreign Visitors toJapan (June 2024 estimate)”), an increase of 8.9% from the same month in 2019 and a record
high of 17,777 thousand for the first half of the year. These factors led to an upturn in theovernight occupancy rate and average charge per night, which remained stable in general. In
June 2024, the Company acquired a portion of the equity interest in BT KALAKAUA, LLC, which
operates the Kaimana Beach Hotel in Honolulu, Hawaii, the U.S., and made it a consolidated
subsidiary, working to expand its business area and earnings in the future.
In the Wedding and Hotel businesses, the number of wedding orders received slightly
increased to 6,583 (up 3.9% year on year), and the spend per wedding, which had been lagging
behind, recovered moderately. Moreover, in the W&R business, we have worked to strengthen
our future profit base by closing unprofitable outlets which are slow to recover from the COVID19 pandemic and improving business efficiency.
As a result, in the first six months of fiscal 2024, the Group posted consolidated net sales of¥28,549 million (up 6.4% year on year) and operating income of ¥2,330 million (up 64.4% year
on year). Ordinary income came to ¥3,292 million (up 52.1% year on year) due to the posting of
foreign exchange gains of ¥1,225 million in non-operating income. Interim profit attributable toowners of the parent was ¥3,037 million (up 49.1% year on year) due to the posting of ¥1,058
million in gain on step acquisitions as stated above under extraordinary income where theCompany acquired a portion of the equity interest in BT KALAKAUA, LLC, and made it aconsolidated subsidiary.
The results for each business segment were as follows.
1) Wedding businessIn the first six months of fiscal 2024, the number of weddings held fell to 4,275 (down 12.7%
year on year) due to the closure of outlets, but spend per wedding gradually recovered andthus net sales in the Wedding business also increased modestly year on year. In terms of
profitability, spend per wedding recovered, despite the rise in energy costs and raw material
prices, resulting in a slight year-on-year increase.
As a result, net sales in the Wedding business totaled ¥16,136 million (up 0.4% year onyear) and segment profit was ¥1,745 million (up 4.8% year on year).
2) Hotel business
While the number of hotel weddings slightly decreased to 759 (down 4.0% year on year) in
the first six months of fiscal 2024, overnight occupancy rates and average charge per night
were strong as foreign visitors to Japan grew in number.
As a result, net sales in the Hotel business totaled ¥10,957 million (up 17.4% year on year)
and segment profit was ¥1,619 million (up 111.0% year on year).
3) W&R businessIn the first six months of fiscal 2024, the closure of unprofitable outlets of the British-style
Queensway reflexology salons was promoted to strengthen our future profit base and2streamline the business. Both net sales and segment profit of the Beauty & Relax SPAHERBS spa complex were higher than the previous fiscal year as the number of visitors aswell as food and beverage sales reached record highs.
As a result, net sales in the W&R business totaled ¥1,454 million (up 1.0% year on year)
and the segment profit was ¥6 million (compared with a loss of ¥95 million a year earlier).
(2) Analysis of Financial Condition
1) Assets, Liabilities, and Net Assets
Total assets at the end of the first six months of fiscal 2024 (June 30, 2024) amounted to¥103,583 million, an increase of ¥10,428 million from the end of the previous fiscal year
(December 31, 2023). This was mainly due to an increase of ¥9,452 million in land and ¥2,378
million in buildings and structures as a result of BT KALAKAUA, LLC becoming a consolidated
subsidiary.
Total liabilities at the end of the first six months of fiscal 2024 (June 30, 2024) amounted to¥72,459 million, an increase of ¥6,733 million from the end of the previous fiscal year
(December 31, 2023). This was mainly due to an increase of ¥7,470 million in current portionof long-term debt as a result of BT KALAKAUA, LLC becoming a consolidated subsidiary.
Total net assets at the end of the first six months of fiscal 2024 (June 30, 2024) amounted
to ¥31,123 million, an increase of ¥3,695 million from the end of the previous fiscal year
(December 31, 2023). This was mainly due to an increase of ¥2,799 million in retained
earnings and ¥1,071 million in non-controlling interests due to the recording of interim profit
attributable to owners of the parent among others.
2) Overview of Cash Flows
Cash and cash equivalents (“cash”) as of June 30, 2024 totaled ¥17,884 million, a decreaseof ¥1,031 million from the end of the previous fiscal year (December 31, 2023).
Cash flows and factors behind changes in the cash flows during the six months ended June30, 2024, are as follows.
(Cash flows from operating activities)
Cash provided by operating activities totaled ¥3,275 million (up 51.8% year on year). Thechange was mainly attributable to income taxes paid of ¥611 million, which was offset by profit
before income taxes of ¥4,211 million and depreciation and amortization of ¥1,687 million.
(Cash flows from investing activities)
Cash used in investing activities totaled ¥2,718 million (compared with ¥3,319 million ayear earlier). This was mainly due to ¥2,618 million in proceeds from collection of loans
receivable, which were offset by ¥2,600 million in payments for acquisition of shares in a
subsidiary accompanying a change in the scope of consolidation resulting from BT
KALAKAUA, LLC becoming a consolidated subsidiary, ¥1,319 million in payments foracquisition of tangible assets associated with facility upgrades, and ¥1,211 million in purchaseof investment securities.
(Cash flows from financing activities)
Cash used in financing activities totaled ¥1,796 million (compared with ¥2,123 million ayear earlier). This chiefly reflects inflows of ¥3,440 million from proceeds from long-term debt,
which was offset by outflows of ¥4,476 million from repayments of long-term debt and ¥497
million in payments for redemption of bonds.
(3) Earnings Forecast for the Fiscal Year Ending December 31, 2024
The consolidated results forecast for the first six months and full fiscal year ending December
31, 2024, was revised, taking into account the Company’s performance and its progress during
the first six months of fiscal 2024. For details about the forecast revision, please refer to theAugust 8, 2024, news release “Notice Regarding Revisions to Consolidated Earnings Forecasts
for the Six Months Ended June 30, 2024, and the Fiscal Year Ending December 31, 2024.”3

2. Interim Consolidated Financial Statements and Main Notes(1) Consolidated Balance Sheets

AssetsCurrent assets
Cash and deposits
Accounts receivable - trade
Merchandise
Raw materials and supplies
Other
Allowance for doubtful receivables
Total current assets
Fixed assets
Tangible assets
Buildings and structures, net
LandConstruction in progress
Other, net
Total tangible assets(millions of yen)

December 31, 2023
AmountJune 30, 2024
Amount19,005
1,705
161
390
4,029
(40)
25,24917,973
1,723
165
394
2,447
(41)
22,663

27,795
16,774743
1,168
46,48130,173
26,226
737
1,822
58,960

745
877
1,622

1,320
859
2,180

6,029
7,051
6,691
(128)
19,64467,747
157
93,154

5,976
7,058
6,745
(144)
19,63680,776
143
103,583

Intangible assets
Goodwill
Other
Total intangible assets
Investments and other assets
Investment securities
Lease and guarantee deposits
Other
Allowance for doubtful receivables
Total investments and other assets
Total fixed assets
Deferred assets
Total assets

4December 31, 2023
AmountLiabilities
Current liabilities
Accounts payable - trade
Current portion of long-term debt
Current portion of bonds
Income taxes payable
Advances received
Allowance for loss on shop closing
Other
Total current liabilities
Fixed liabilities
Bonds
Long-term debt
Net defined benefit liability
Provision for directors’ retirement benefits
Asset retirement obligations
Other
Total fixed liabilities
Total liabilities
Net assets
Shareholders’ equity
Capital stock
Capital surplus
Retained earnings
Treasury stock
Total shareholders’ equity
Accumulated other comprehensive income
Deferred gain (loss) on derivatives under hedge
accounting
Foreign currency translation adjustments
Remeasurements of defined benefit plan
Total accumulated other comprehensive income
Non-controlling interests
Total net assets
Total liabilities and net assets

5(millions of yen)

June 30, 2024
Amount

1,947
7,118
994
615
3,080
260
4,296
18,312

1,773
14,588
844
723
3,269
384
4,473
26,057

4,709
36,391
409
1,005
4,549
348
47,41365,726

4,361
35,365
437
1,031
4,563
641
46,40272,459472
634
26,393(892)
26,606472
634
29,192(892)
29,406

99

278

488
2
589
231
27,42893,154

133
2
414
1,303
31,123
103,583(2) Consolidated Statements of Income and Comprehensive Income
Consolidated Statements of Income

Net sales
Cost of sales
Gross profit (loss)
Selling, general and administrative expenses
Operating income
Non-operating income
Interest income
Gain on investments in silent partnership
Gain on investments in capital
Foreign exchange gains
Other
Total non-operating income
Non-operating expenses
Interest expenses
Share of loss of entities accounted for using
equity method
Other
Total non-operating expenses
Ordinary income (loss)
Extraordinary income
Compensation income
Gain on sales of fixed assets
Gain on step acquisitions
Total extraordinary income
Extraordinary loss
Loss on disposal of fixed assets
Shop closing expenses
Provision of allowance for loss on shop closing
Other
Total extraordinary loss
Profit (loss) before income taxes
Income taxes
Profit (loss)
Profit (loss) attributable to non-controllinginterests
Profit (loss) attributable to owners of the parent

6(millions of yen)Six months ended
June 30, 2023
Amount26,842
17,412
9,430
8,012
1,418

Six months ended
June 30, 2024
Amount28,54917,476
11,072
8,741
2,330

62
70
56
789
111
1,090

123
74
1,225
47
1,472

251

276

44

160

47
343
2,165

73
510
3,292

700
0
700

0
1,058
1,058

51
41
4
97
2,768
732
2,035

0
13
124
1
139
4,211
1,172
3,038

(1)

1

2,036

3,037

Consolidated Statements of Comprehensive Income

Profit (loss)
Other comprehensive income
Deferred gain (loss) on derivatives under hedge
accounting
Foreign currency translation adjustments
Remeasurements of defined benefit plan
Share of other comprehensive income of entities
accounted for using equity method
Total other comprehensive income
Comprehensive income(Breakdown)Comprehensive income attributable to owners of
the parent
Comprehensive income attributable to noncontrolling interests

7(millions of yen)Six months ended
June 30, 2023
Amount2,035

Six months ended
June 30, 2024
Amount
3,038

(273)

178

73
(0)

(322)
0

154

-

(47)
1,988

(144)
2,894

1,969

2,862

19

32

(3) Consolidated Statements of Cash Flows(millions of yen)

Cash flows from operating activities
Profit (loss) before income taxes
Depreciation and amortization
Amortization of goodwill
Amortization of bond issuance expenses
Loss on disposal of fixed assets
Increase (decrease) in provision for directors’
retirement benefits
Increase (decrease) in allowance for doubtfulreceivables
Increase (decrease) in net defined benefit liability
Interest and dividend income
Interest expenses
Share of loss (profit) of entities accounted for using
equity method(Gain) loss on sales of fixed assets
Shop closing expenses(Gain) loss on valuation of derivatives(Gain) loss on investments in silent partnerships
Compensation income(Gain) loss on step acquisitions
Foreign exchange (gain) loss
(Increase) decrease in notes and accounts
receivable- trade(Increase) decrease in inventories
Increase (decrease) in notes and accounts payable
trade
Increase (decrease) in advances received
Increase (decrease) in other liabilities
Decrease/increase in consumption taxes
receivable/payableOther
Sub totalInterest and dividends received
Interest paid
Proceeds from compensation
Income taxes paid
Net cash provided by (used in) operating activities

8

Six months ended
June 30,2023

Six months ended
June 30,
2024

AmountAmount

2,768
1,814
149
18
51

4,211
1,687
109
11
0

30

26

(45)

(104)

12
(62)
251

23
(123)
276

44

160

4
41
1
(70)
(700)
(722)

1
13
0
(74)
(1,058)
(947)

222

41

11

26

(382)

(263)

146
(91)

22
(207)

(822)

(346)

(192)
2,477
60
(248)
700
(832)
2,157

557
4,043
122
(279)
(611)
3,275

Cash flows from investing activities
Purchase of tangible assets
Proceeds from sales of tangible assets
Purchase of intangible assets
Purchase of investment securities
Purchase of affiliated companies’ shares
Proceeds from withdrawal of investment in silent
partnership
Loans receivableCollection of loans receivable
Lease and guarantee deposits
Collection of lease and guarantee deposits
Purchase of shares of subsidiaries resulting inchange in scope of consolidation
Other
Net cash provided by (used in) investing activities
Cash flows from financing activities
Proceeds from long-term debt
Repayments of long-term debt
Payments for redemption of bonds
Dividends paid to shareholders
Other
Net cash provided by (used in) financing activities
Foreign currency translation adjustments on
cash and cash equivalents
Net increase (decrease) in cash and cash
equivalents
Cash and cash equivalents, beginning of period
Cash and cash equivalents, end of period

9(millions of yen)Six months ended
June 30,2023

Six months ended
June 30,
2024

AmountAmount(1,197)1(4)(54)(1,319)0(26)(1,211)-90

91(2,320)

(231)

(155)
272

2,618
(105)
77

-

(2,600)

(22)

(12)

(3,391)(2,718)3,320(4,700)
(467)
(238)
(38)
(2,123)3,440(4,476)
(497)
(227)
(35)
(1,796)274

207(3,083)(1,031)

21,14918,065

18,916
17,884

(4) Notes on Interim Consolidated Financial Statements(Note on the Going-concern Assumption)
Not applicable(Note on Significant Changes in the Amount of Shareholders’ Equity)
Not applicable(Application of Specific Accounting Methods for the Preparation of Interim
Consolidated Financial Statements)(Simplified accounting methods)
1) Calculation method for depreciation of fixed assets
Depreciation expenses for assets to which the declining-balance method is applied
are calculated by allocating a quarterly proportion of the amount for the full fiscal year.
2) Calculation method for deferred tax assets and deferred tax liabilities
Regarding judgments on the amount of recoverable deferred tax assets, theCompany has determined that there have been no significant changes in theeconomic environment or emergence of temporary differences since the end of theprevious fiscal year, and therefore the calculations are based on future earnings
forecasts from the previous fiscal year and tax planning methods.
(Special accounting treatments)
Calculation of taxes
The Company calculates tax liabilities by producing a reasonable estimate of theeffective tax rate after applying tax-effect accounting to profit (loss) before income
taxes for the fiscal year, which encompasses the first six months ended June 30, 2024
and then multiplying profit (loss) before income taxes by this estimated effective tax
rate. In cases where this estimated effective tax rate cannot be used, the statutory
effective tax rate is used.

10

(Notes to Segment Information, etc.)
I. Six months ended June 30, 2023 (January 1 to June 30, 2023)
1. Net sales and income/loss by reportable segment and information on disaggregation of revenue(millions of yen)

Reportable segment
Weddingbusiness
Net sales
Revenue from contracts
with customers
Other revenue
Sales to outside
customers
Inter-segment sales andtransfers

Hotel
W&R
business businessAmountrecorded on
consolidated
Adjustments statements ofincome (note 2)(note 1)

Total

16,051

9,334

1,440

26,826-

26,826

16

-

-

16

-

16

16,067

9,334

1,440

26,842-

26,842

943

477

14

1,435

(1,435)-

Total
17,0109,811
1,455
28,277(1,435)
26,842
Segment income (loss)
1,664
767
(95)
2,336
(918)
1,418
Notes: 1. The minus 918 million yen adjustment for the segment income (loss) includes a 11 million
yen elimination of inter-segment sales and minus 930 million yen in corporate expenses
that are not allocated to each reportable segment. The main component of these
unallocated corporate expenses is general and administrative expenses that are not
attributable to reportable segments.
2. Segment income (loss) is adjusted to correspond with operating income reported on theinterim consolidated statements of income.

2. Impairment loss on fixed assets or goodwill by reportable segment
Not applicable11II. Six months ended June 30, 2024 (January 1 to June 30, 2024)
1. Net sales and income/loss by reportable segment and information on disaggregation ofrevenue(millions of yen)Amountrecorded on
consolidated
Adjustments statements ofincome (note 2)(note 1)

Reportable segment
Weddingbusiness
Net sales
Revenue from contracts
with customers
Other revenue
Sales to outside
customers
Inter-segment sales andtransfers
Total

Hotel
W&R
business business

Total

16,065

10,9571,454

28,477-28,477

71

-

-

71

-

71

16,136

10,957

1,454

28,549-28,549

969

456

4

1,430

(1,430)-17,106

11,414

1,459

29,979(1,430)28,549Segment income
1,745
1,619
6
3,372
(1,041)
2,330
Notes: 1. The minus 1,041 million yen adjustment for the segment income includes a minus 9 million
yen elimination of inter-segment sales and minus 1,031 million yen in corporate expenses
that are not allocated to each reportable segment. The main component of these
unallocated corporate expenses is general and administrative expenses that are not
attributable to reportable segments.
2. Segment income (loss) is adjusted to correspond with operating income reported on theinterim consolidated statements of income.

2. Impairment loss on fixed assets or goodwill by reportable segment(Material Changes in the Amount of Goodwill)In the Hotel business, BT KALAKAUA, LLC has been included in the scope of
consolidation since the interim consolidated accounting period after the Company
acquired a portion of the equity interest in it. The increase in goodwill due to this eventwas ¥684 million in the first six months of fiscal 2024.
(Revenue Recognition)
Information on the disaggregation of revenue from contracts with customers is as statedin “(Notes to Segment Information, etc.)” in “Notes on Interim Consolidated Financial
Statements.”12

3. Supplementary Information(Weddings Held and Orders Received)1) Number of weddings held
Six months ended
June 30, 2023
Number of weddings
Segment
held (cases)
Wedding business
4,899

Six months ended
June 30, 2024
Number of weddings
held (cases)
4,275Year ended
December 31, 2023
Number of weddings
held (cases)
10,462

Hotel business

791

759

1,708

Total

5,690

5,034

12,1702) Wedding orders received
Six months ended
June 30, 2023
Orders
Order
Segment
receivedbacklog(cases)(cases)
Wedding business
5,399
6,480

Six months ended
June 30, 2024
OrdersOrder
receivedbacklog(cases)(cases)
5,645
6,901

Year ended
December 31, 2023
OrdersOrder
receivedbacklog(cases)(cases)10,013
5,531

Hotel business

937

1,266

938

1,290

1,699

1,111

Total

6,336

7,746

6,583

8,191

11,7126,642

13