FY03/2015 Briefing session on the financial results

Sato Restaurant Systems Co., Ltd.
Listed on TSE 1st section: 8163

Thank you very muchsince June, 2009

only

over 10
millionorders5 years from debut

1 in 10
Japanese
people12,173,572
ordersas of March 31, 2015

Table of Contents
FY03/2015 Actual Performance
Highlights
４
Current situation:
５
Opening new restaurants
６
Current situation:
Progress in various measures
８
Profit & Loss sheet (PL)Profit & Loss sheet (PL): 5 years ９
Balance Sheet (BS)
１０
Cash Flow Statement
１１
5 years transition charts
１２
FY03/2015: Performance
１３transition of existing Washoku
Sato restaurants

Washoku Sato & Sato-Shabu<Washoku Sato>
１６
Aiming to be the restaurantthat brings the highest customer
satisfaction
１７
Basic data

Menu comparison of all-you-can-eat
style Shabu-Shabu restaurants
Principle of premium course
Gross profit & Sato-Shabu sales
counts at Washoku Sato

２８

<Sato-Shabu>
Basic data
Development background

１９
２０

３１
３２

<Greatness of Sato-Shabu>
Greatness
Greatness: 1
Greatness: 2
Greatness: 3
Greatness: 4
Greatness: 5

２２
２３
２４
２５
２６
２７

Business reform
Effects of Business reform
Big change in Sato-Shabu customer
demographic!
Working environment

２９
３０

３３
３４

Mid-term management plan / Others
Towards realization of "SatoPyramid"<SRS Group restaurantscomposition>
current
Evolution phase 1: Nearfuture shape

３６

３７
３８

<Plan>
Mid-term management plan:
Numerical targets
Performance forecasts for
FY03/2016
Measures & Planned opening newrestaurants for the next term
(FY03/2016)
Most recent topics

３９
４０
４１

４２

FY03/2015 Actual performance ▶ Highlights

Increase in revenue for 5
consecutive terms
１↑

Increase in profit for 2↑
consecutive terms

Net sales: 37,969 million yen increase by 15.9%& 5,206 million yen（YOY）Business performance of Foodsnet Corporation having been owned by the Company since July, 2013 contributed to agreat extent.
Influence on sales that was concerned due to retroaction of rush demand and a substantive decline in disposable
income, caused by raising consumption tax rate, was limited.

２

Operating profit: up 33.1%

Ordinary profit:up 57.2%

In addition to increase in income, effects of proper control over SG&A expenses and foreign exchange gains havehelped increase in profit.

３【Washoku Sato】DM: 1

Newly opened 【Nigiri CHOJIRO】DM: 2
16 restaurants 【Katsuya】DM: 1 FC: 4【Sushihan】DM: 1【Santen】DM: 6【Nigiri CHUJIRO】DM: 1 DM: directly managed
FC: franchise chain

In addition to the above, contracts have been entered into for opening 13 newrestaurants (as of March 31, 2015).

４Group total (domestic & overseas): 329 restaurants
DM restaurants: total 292
・Washoku Sato １９８・Sushihan
１４・Santen
１２
・Nigiri CHOJIRO
５２・Miyakobito
１・Nigiri CHUJIRO
３
・Katsuya
１２Group FC restaurants: total 31
・Miyakobito
・Katsuya２０
１１Overseas: total 6
・Taiwan・Indonesia
・Thailand

４
１
１

4

FY03/2015 Actual performance ▶

Current situation:
Opening new restaurants

Newly opened 16 restaurants achievement rate: 45.7%
Current situation: Opening new restaurants
Planned

Total

35

Washoku Sato
SushihanSantenSanten FC
Nigiri CHOJIRO
Nigiri CHUJIRO
Katsuya
Katsuya FC

3
0
11
2
3
0
6
10

Renovation

Actual(full term)

Progress
rate

45.7%

13

29

1
1
6
0
2
1
1
4

33.3%
–
54.5%
0%
66.6%
–
16.6%
40.0%

2
0
6
0
0
0
2
3

3
1
12
0
2
1
3
7

16

※ContraTotal
cted (opened + contracted)

Actual (full term)

17
Washoku Sato
SushihanSantenSanten FC
Nigiri CHOJIRO
Nigiri CHUJIRO
Katsuya
Katsuya FC

9
1
ー
ー
6
ー
1
ー

Contracted:already contracted for opening

Plan for the
next term

46

restaurants<Issues>Accelerated opening new restaurants
・Aggregate property information for "Santen" and "Katsuya" restaurants for wider
selection
・Enhanced and more accurate property information<Approaches for FY03/2016>
１）Reorganization of group restaurants development division to include developmentof restaurants operated by Sato Arcland Food Service Co., Ltd.
２）Expansion of areas for opening new "Santen"
３）More staff put into group restaurants development division

5

FY03/2015 Actual performance ▶

Current situation:
Progress in various measures

Establishing revenue base and taking on challenges for growing phase
A period of growth and development

Measuresof logistics with
1 Integration①
Foodsnet Corporation▶▶▶

Progress (full term)▶ DoneSystems for logistics and ordering from restaurants havebeen renovated, and were put into operation in October.

▶ DoneManagement by in-store PC for planning staff rotation andsales/budget has been adopted at every restaurant.
Staff attendance management system that uses veinauthentication terminals was completely renovated andhas been adopted at every restaurant since April, 2015.

→ to be started in October
operation of store②
2 Full-blown
support systemorder system is to be completely③ Tableadopted at every Washoku Sato
▶ Done3 restaurant by the end of July.
the core system
Cont.
▶
④
4 Updating
To start the project aiming for adopting
in FY03/2017

This was entirely adopted in July.
Continued development of accounting/purchasing/logistic
systems

5 Making complete Santen FC format ▶ Done⑤
Carrying on experiment of the new⑥
6 category "Home delivery Sushi - Nigiri ▶ Cont.

FC format was complete.
Offering will start during FY03/2016.

⑦
7▶ DoneCM broadcasting using "Wassho-kun" started.
Awarded as the 10th place of enterprise sector in "Yuru-Kyara
Grand Prix" (popularity contest of mascot characters)▶ Cont.

This has been adopted at every Washoku Sato restaurant
since March 12, 2015.
In total 140,000 members have joined.

CHUJIRO"⑧
8

Sales promotion measures using
official mascot characters of WashokuSato and Santen
Sales promotion making use of"LINE@" application→ in effect since April in Shizuoka area

Nijoujou-Kita branch was opened in March, as the 3rdstore.

6

FY03/2015
Actual performance

7

FY03/2015 Actual performance ▶ Profit & Loss sheet (PL)Sales ↑ Operating profit ↑ Ordinary profit ↑(million yen)

2014_3

2015_3

AmountAmount+/- (amount)+/- (%)Net sales

32,76237,969

5,206

15.9%

Operating profit

888

1,183

294

33.1%

Operating profit rate

2.7%

3.1%

Ordinary profit

846

1,330

483

57.2%

Ordinary profit rate

2.6%

3.5%

Net profit

513

840

326

63.5%

Net profit rate

1.6%

2.2%
8

Profit & Loss sheet (PL): 5 years

Increase in revenue for 5 consecutive terms ↑Increase in profit for 2 consecutive terms ↑(million yen; consolidated)

2011_3

2012_3+/-

Amount (amount) +/- (%) Amount

Net sales

24,646+/(amount)

866

682

170

2.9%

937

+/- (%)

414

8.2%

797

+/-

37,9691,183△235 △29.5%

1,330
483 57.2%

284 50.6%

840

513
–

294 33.1%

233 35.5%
846

3,145

5,206 15.9%

6,979 27.1%△281 △30.0%

16.9%

-

+/-

Amount (amount) +/- (%) Amount (amount) +/- (%)

888

320
△2,9952015_31.6%

561△2,8252014_332,762655

115
Net profit+/-

Amount (amount)

25,78370
Ordinary
profit+/- (%)

25,368721

Operatingprofit2013_3

193 60.3%

326 63.5%

plus/minus amounts are those relative to previous year
percentages refer to plus/minus relative to previous year

The Company endeavors to grow continuously.

9FY03/2015 Actual performance ▶ Balance Sheet (BS)Balance Sheet(BS)(million yen)

FY03/2014
Total current assets

FY03/2015+/- (amount)

7,315
16,49523,816

7,526
16,742
24,272

211
247
455

Total net assets

6,851
7,397
14,248
9,951
129
9,567

432
△866
△433
755
5
889

Total liabilities and net assets

23,8167,284
6,530
13,815
10,707135
10,45624,272

Total fixed assets
Total assets

Total current liabilities
Total fixed liabilities
Total liabilities
Total shareholders’ equity
Minority shareholders' equity455△ means decrease
10

FY03/2015 Actual performance ▶ Cash Flow Statement

Cash Flow Statement(million yen)

FY03/2014

FY03/2015

2013.4.1〜2014.3.31

2014.4.1〜2015.3.31+/- (amount)

1,157

2,721

1,563

△2756

△1,2201,536

CF from financial activities

1,604△1,597△3,201

Balance of cash and cash
equivalents at the end of the period

5,533

5,532

0

CF from operating activities
CF from investments△ means decrease11

5 years transition charts
Sales Increased for 5 consecutive terms ↑Operating profit & Ordinary profit Increased for 2 consecutive terms ↑ ROE increased ↑(million yen)(million yen)

40,0001,500

Net sales

Operating profit

30,0001,000

20,000500

10,00000
2011_3

2012_3

2013_3

2014_3

2011_3

2015_3(million yen)

(%)

1,500

9

2012_3

2013_3

2014_3

2015_3

ROE

Ordinary profit
7
1,000
5
500
2

0

0
2011_3

2012_3

2013_3

2014_3

2015_3

2011_3

2012_3

2013_3

2014_3

2015_312

FY03/2015: Performance transition of existing
Washoku Sato restaurants
FY03/2015: Performance transition of existing Washoku Sato restaurants
Except for retroaction to the effects of TV appearance during FY03/2014 and for impact of bad weather, theCompany could keep solid performance all through.
Averagespending
Net sales
Number ofcustomers

1Q
Apr.

1Q

May.

2Q
Jun.

Jul.

Aug.

3Q
Sep.

Oct.

Nov.

4Q
Dec.

Jan.

Feb.

Mar.

Washoku Sato appeared on several TV shows during FY03/2014 leading to rapid increase in sales, and for the current term retroaction tosuch increase resulted in decrease in sales at existing restaurants as compared to the previous year. Influence that was concerned due toraising consumption tax rate was minimal, and except for impact of appearance on TV shows existing restaurants could keep solid
performance.

weather impacted on sales at existing restaurants which stayed lower level. Each of typhoons No. 8 in July and No. 11 in August have
2Q Badled to decrease by about 1 - 3%.
October, approaching typhoon caused negative impact of about -4%. In November, weather conditions became stable so existing
3Q Inrestaurants
could keep solid sales. Also In November, calendar peculiarity brought about positive effect of about +5%.

4Q

From January, sales on weekdays could remain solid as well. Performance in February was up about 3% from previous year impacted byheavy snow.
From March, solid performance could be kept due to sales promotion with LINE@ application and starting CM broadcast featuring populartalents.

13

Washoku Sato

14

15

To be the restaurant that brings thehighest customer satisfaction

Suburban Japanese restaurants that serve a number of menu, mainly Japanesecuisine, favored by men and women, young or old, where families, friends, couples,and even a single guest may spend happy hours for both lunch and dinner. (Withsufficient parking areas at every restaurant)
16Number of restaurants

No. 1 in Japanesefood family restaurants

Basic data as of March 31, 2015

198 restaurants
Distribution

Squaremeasureca. 250 m2(standard)

Kansai (60%) 118
Chubu (20%) 40
Kanto (20%) 40

Staff
Full-timePart-time

665
6,214

as of March 31, 2015

Investment

90 ~ 100
million yen

lunch : dinner

Averagespending

Number ofcustomers ５：５

1,200 ~ 1,300
yen

Sales amount ４：６
17

18

DebutJune, 2009

Basic dataall-you-can-eat style Shabu-Shabu, 120 min. course

2 courses of Sato-Shabu

30
items

Sato-Shabu course

Premium course

1,990 yen

2,490 yen

30 items are available for all-youcan-eat system including meat
(beef chuck roll, pork loin, porkback rib, chicken thigh, chickenball) and various hot pot
ingredients.

proportion of SatoShabu sales

３２％

Sato-Shabu
32%
other menu
68% proportion of SatoShabu sales during
its oﬀering hours

Entire menu comprising 75 items isavailable for all-you-can-eat system
including, besides meat and hot pot
ingredients for the 30 items of SatoShabu course, seasonal cuisine
such as Sushi and fried foods,
grilled chicken, cutlet skewers, anda variety of special choices.

largest in
the trade

75
items

Sato-Shabu course
vs Premium course
Premium course
Sato-Shabu course dominates
17%

８３％
Premium course
83%

19Development backgroundA policy that cost reduction achieved by business reform should be returned
to customers led to creation of Sato-Shabu!
customers
Lehman's collapse

Business reform
Building up a mechanism formaking profit despite less sales

SRS Group

Signature menu
is desired.

commodity
development

pursuit of profit

strength

What kind?

decision❶
Develop valueadded commodities
with adequate cost!

What will satisfy
customers?

decision❷moreovervalueadded
commodity
Higher value provided
by direct and bulk
purchase on our own

created!

What is "service"?
services with least
waiting time as the
maximum service

What
specialty
does Sato
offer?

Purchase &development
capabilities

Cost reduction to
be returned tocustomers

pursuit of sales
changecustomers→decreased
sales→decreased

past

pursuit of profit amount

not profit rate

20

Greatness of Sato-Shabu

21

Greatness

Thank you very muchsince June, 2009

over 10
millionordersonly

5 years from debut

1 in 10
Japanese
people12,173,572
ordersas of March 31, 201522

Greatness: 1
Sato-Shabu

Sales still keep increasing by more than 10% every year!

(million yen)up 12%
up 15%
up 12%

4,000""
up 37%
up 69%

2,000""

Sales of Sato-Shabu

6,000""

0""2010
FY03/2010
3	

2011
FY03/2011
3	

2012
FY03/2012
3	

2013
FY03/2013
3	

2014
FY03/2014
3	

2015
FY03/20153	

23

Greatness: 2
FY03/2015

Sato-Shabu

Sales share exceeded 30% !
exceeded30%
FY03/2010
2010
3	
11％

other menu

20113	
FY03/201118％
other menu

20123	
FY03/20122013
3	
FY03/20132014
3	
FY03/2014

24％

26％

29％

other menu

other menu

other menu

FY03/2015
2015
3	

32％
other menu

increasing every year24

Greatness: 3

80% of customers ordering Sato-Shabuchoose Premium course
exceeded80%
FY03/2011
2011 3	

SatoShabu
coursePremiumcourse53％

FY03/20122012 3	
SatoShabu
coursePremiumcourse69％

FY03/201320133	

FY03/20142014 3	

SatoShabu
course Premium
courseSatoShabu
course Premium
course

76％

79％

2015
3	
FY03/2015
SatoShabu
coursePremiumcourse83％

increasing every year25

Greatness: 4

Average spending at
increased by more than 5%.
driven by(yen)

1,300$$

Average spending
1,200$$

up more than 5%

1,100$$

1,000$$
FY03/201020103	

FY03/201120113	

FY03/201220123	

FY03/201320133	

FY03/20142014

3	

FY03/2015
2015

3	

26

Greatness: 5

Sales from booking
Number of customers more than double
from booking
Sales

Number ofcustomersfrom booking

from booking

2,500""

2,293&&
2,293(million yen)

2,000""
1,500""
1,000""

1,615&&
1,615
1,098&&
1,098

1,821&&
1,821

1,200""

2,032&&
2,032

1,000""

800""

1,304&&
1,304

2.1 times

600""
200""

0""

0""
2011
FY03/
2011
3	

2012
FY03/
2012
3	

2013
FY03/
2013
3	

2014
FY03/
2014
3	

2015
FY03/
2015
3	

483
483$$

573
573$$

705
705$$

813
813$$

919
919$$

2.2 times

400""

500""
2010
FY03/
2010
3	

1,068
1,068$$(thousand)

2010
FY03/
3	
2010

2011
FY03/
3	
2011

2012
FY03/
3	
2012

2013
FY03/
3	
2013

2014
FY03/
3	
2014

2015
FY03/
3	
2015

27

Menu comparison of all-you-can-eat(lowest priced courses which
style Shabu-Shabu restaurants
include beef)
differentiation with Premium course

combined

specialized

conventional Japanese cuisine + ShabuShabu (all-you-can-eat)

Shabu-Shabu (all-you-can-eat) only
3,980 yen

Kinnobuta

3,480 yen

Yuzuan3,000 yen
extra 500 yen gives allyou-can-eat style Sushi,
seasonal cuisine, etc.

including all-you-can-eat
style side menu such as
salad
including all-you-can-eat
style side menu such as
salad, fried chicken anddessertKagonoya

2,980 yen

2,780 yen

Shabu-Shabu Onyasai

including all-you-can-eat
style snacks, appetizers,
etc.

Hanayayohei

2,680 yen

2,640 yen

Don-teiextra +480 yen gives allyou-can-eat style Sushi,
snacks, etc.

2,200 yen

Nabe-zo

2,000 yen
1,999 yen

Yumean1,980 yen

extra 400 yen gives 24 allyou-can-eat style items suchas fried fish and Takoyaki

Shabu-saiSyabu-yo

1,999 yen

1,990 yen

extra 500 yen gives 45 all-youcan-eat style items such as
Sushi, Tempura, steak, etc.

adapted from "Foodbiz vol.73" published on Jan. 31, 2015
Special prices limited to weekdays and to lunch hours are not included.

1,000 yen28

Premium course

company

customers

specialization

Principle of premium
extra charge

wide variety of menu

diversified items

more pleasure for choicebalanced orderlargest in
the trade

75
items

higher frequency andaverage spending

easy cost adjustment

higher sales

controlled grossprofit rate

higher gross profit
29

Gross profit of Washoku Sato & number of orders of Sato-Shabu
since debut of Sato-Shabu

Gross profit increasing every year
number of orders increasing by morethan 10% every year
Sato-Shabu
number of orders

2,889,259

3,000,000

Gross profit(million yen)

17,0002,573,323
2,219,480

2,250,000

numberof orders

1,500,000

969,3380Gross profit

1,555,154

750,000

16,5001,967,018

Sato-Shabu
Premiumdebut

Sato-Shabu
debut

2010年
FY03/

2011年
FY03/

2012年
FY03/

2013年
FY03/

2014年
FY03/

2015年
FY03/

3月期
2010

3月期
2011

3月期
2012

3月期
2013

3月期
2014

3月期
2015

16,00015,50015,00030

simpleoperation
reformreformBusiness reform
outsourcing

mechanization

highly pre-processed
foodstuff•frozen pork cutlet with batter•development & introduction of
Tempura flour that does not need
Uchiko (pretreatment powder)outsourcing
pre-cut vegetables
pre-cut lettuce knifelessshredded carrot, etc.

Sashimi, etc. at Sushiareamechanization
non-boiling noodle
cookermicrowave rice cooker
miso-soup dispenser
soup stock dispenser

effects✔ more stable quality✔ less working process
preparation time 40% cut
food losses 44.2% cut✔ less accidents & more
safetyWorker injuries involving knives
decreased by half!
knifeless（from 19 down to 10）✔ better customer
turnover ratebalanced utilization of kitchen and diningarea!

service with least waiting time is the greatest one

dining area reform
service with least waiting time is the greatest one

kitchen reform

table order systemannual labor cost reduction of
160 million yen

development
one-way operation•staff movement in one direction•more frequent observation oftables•highest priority: customers do
not have to wait at entrance

introduction•nonslip tray
•Teflon-coated pot for two
types of soup in one

private roomlayout modification•modified to more family-oriented•development of rooms formore efficient operation31Effects ofBusiness reform

Business reform resulted in operating profit
after

beforeFY03/2009rate rising from 8%(sales
tocomposition)
11%.

FY03/2014

after
reformbeforereform
＋３％

Sales

２９
%

１００
%
３２
%
６%

Cost rate

３２%

Labor cost

６３
%

２５
%

Utilities
expenses
Others＋３％８%Operatingprofit rate

５７
%

▲６％

Sales

１００
%
３０
%
５%
２２%

１１
%
32

Big change in customer demographic by!

Aging and decreasing of customers were braked,
successfully stimulating new customer segments.
beforeintroduction

Japanese cuisine = elderly adults
changeafter
introduction

Young families

policyWe do not makeprofit from children.
That's why

overwhel 19 ~ 39 yrs
weekday lunch
ming
popularity 【before】１９％【after】

Sato-Shabu course

3 yrs or younger: freepreschool children: 490 yen

Premium course

primary school or younger:
extra charge not required

３３％

holiday dinner【before】４１％【after】 ５７％Children take their parents.

【full stomach】 Children will get full with meat!
reasonsa pleasure to choose freely among wide variety of all-you-can-eat style menu
of【pleasure for choice】 It's
(75 items)!
popularity 【relaxing private room】 You don't have to care about other guests, and may use Tatami mat in the privateroom to lay down children!

value provision There are values and strength, including pleasure, that only food service industry
can offer.

33

Working
environment
In addition to establishing our business brands, it is further
important to create more comfortable working environment
and more rigorous food safety control!
One week consecutive
leave scheme

Staff attendance
management by veinauthentication
adoptedOvertime pay iscounted in minutes.

achieved 100% taken

Shift toregular employees

achieved

Low jobturnover rate

NO 24 hours
operation

actualjob turnover rate: 5.2%

average in lodging / food service industries:
30.4%
source: Statistics Bureau of Japan, "Hiring
rates and turnover rates of full-time workers
by industry (2013)"

300 part-time
employees shiftedto regular
employees

Full five-day
workweek

Our employees feel comfortable to work.

promoting100%
achievement34Mid-term management plan35

Towards realization of "Sato Pyramid"

36

SRS group restaurants composition (current)

SRS group restaurants composition:
Diamond shapehighdiamond shapecurrent

pricelow

Number of restaurants

37

SRS Group restaurants composition Evolution phase 1: Near-future shape

Diamond shape to pyramid
shape
Evolution phase 1

high

price

Near-futureshapecurrent
broader-based pyramid shapediamondshapepyramid shape

Number ofrestaurants

fast-casualfast-casual

low price zone
fast-casual

more restaurants
newly opened
38

Plan

▶

Mid-term management plan: Numerical targets

FY03/2019

Aiming at sales of 52 billion yen and 600 restaurants
in operation(billion yen)

FY03/2016 (as planned)

600

60

(billion yen)100

600 restaurants

382 restaurants

Sales:52 billion yen

40.9

329

FY03/2019billion yen

restaurants

310

37.9

restaurants

221

32.7
billion yen

Sales

Net sales

restaurantsbillion yen

25.7
billion yen

billion yen

Ordinary profit

1.33

0.84

0.56

billion yen

billion yen

0

2013_3
actual2014_3
actual2015_3
actual2016_3plan

5

2017_3

2018_3

Ordinary
profit

NOTE: Number ofrestaurants include
FC and overseas

0

2019_3
39

Plan

▶

Performance forecasts for FY03/2016

Increases in income and in operating profit are
anticipated also for FY03/2016.

(million yen)

2016_3 (forecast)

2015_3+/(amount)

AmountNet sales+/(amount)+/- (%)

2,930

7.7%

76

6.5%

△110

△8.3%

1,260
33.1%

1,220

1,330
483

Net profit attributable
to shareholders ofparent company

15.9%

1,183
294

Ordinary profit

Amount40,90037,9695,206

Operating profit+/- (%)

57.2%

490

840
326

63.5%

△350 △41.7%
40

Measures & Planned opening new restaurants forthe next term (FY03/2016)
Measures① Improved purchasing power by using foodstuff shared with Foodsnet Corporation
operation of staff attendance management system using vein
② Full-blown
authentication terminals
payroll-related operations, including those in response to the③ Outsourcing
forthcoming My Number system
the core system: to start testing operation aiming for adoption in④ Updating
FY03/2017⑤ FC development of Santen restaurants
on experiment and store development of "Home delivery⑥ Carrying
Sushi - Nigiri CHUJIRO"
promotion activities making use of popular talents, official⑦ Enhancing
mascot characters and SNS⑧ Opening new restaurants more widely overseas
PlannedPlanned

7
8

46

new
restaurants

Washoku Sato
SantenSanten (FC)Nigiri CHOJIRO
Nigiri CHUJIRO
Katsuya
Katsuya (FC)

3
16
4
4
3
6
10

41

Most recent topic
Newly opened restaurants<domestic>

Newly opened restaurants<overseas>

February Takaida branch of Santen (Osaka pref.)February

JinShan branch (Taipei)

Asagiri branch of Nigiri CHOJIRO (Hyogo pref.)May

March Nijoujou-Kita branch of Nigiri CHUJIRO(Kyoto Pref.)Second branch in Indonesia

April Kyoto-Kumiyama branch of Katsuya(Kyoto Pref.)Chayashinden branch of Washoku Sato
(Aichi Pref.)TopicsFebruary

Our "short-time regular employee system" was introduced in a TV program "Kansai Netsu
Shisen" produced by NHK (Kansai area); and "Cast" produced by Asahi Broadcasting Co.
highlighted a topic "all-you-can-eat style Sato-Shabu goes to Thailand!!" (Kansai area).

March

Sales promotion activities using LINE@ application started at every restaurant.
CM broadcast featuring Black Mayonnaise (a popular comedian) started.

April

Staff attendance management system using vein authentication terminals was adopted.
42

Contact
Sato Restaurant Systems Co., Ltd.
Management Planning HQ. (Tanaka, Okamoto, Okada)

TEL: +81-6-7709-9977
email: 873@sato-rs.jp

Earnings forecasts and other descriptions concerning the future contained in this document are based on
information currently available to the Company. This includes largely uncertain elements and therefore
actual business performance and other elements may differ substantially due to various factors. We would
appreciate that you should understand the abovementioned presumptions and make decisions on any
investment according to your own judgement.