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 Nine Months Ended November 30, 2021
(Based on Japanese GAAP)
January 11, 2022
Company name:
Riso Kyoiku Co., Ltd.
Stock exchange listing: Tokyo
Stock code:
Representative:

4714
URL https://www.riso-kyoikugroup.com/
President and CEO
Shigenori Hirano

Inquiries:
Vice president and CFOScheduled date to file Quarterly Securities Report:

Masaaki Kume
January 12, 2022

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

Holding of quarterly financial results meeting:

Yes

TEL

03-5996-3701(for institutional investors and analysts)(Amounts less than one million yen are rounded down)
1. Consolidated financial results for the nine months ended November 30, 2021 (from March 1, 2021 to November 30, 2021)(1) Consolidated operating results (cumulative)
Net sales
Nine months ended November 30, 2021
Nine months ended November 30, 2020

Millions of yen
22,064
17,886Percentages indicate year-on-year changes
Profit attributable toOperating profit
Ordinary profit
owners of parent% Millions of yen% Millions of yen% Millions of yen%
23.4
2,074–
2,079 514.0
1,314–(7.8)
149 (91.0)
338 (79.8)
40 (96.2)

Earnings per share

Diluted earnings per share
Yen
8.87
0.28

Nine months ended November 30, 2021
Nine months ended November 30, 2020

Yen
8.86
0.28

(2) Consolidated financial position
Total assets
As of November 30, 2021
As of February 28, 2021

Net assets

Millions of yen
18,302
13,940Equity ratio

Millions of yen
9,406
6,575

Net assets per share
%
50.9
46.7

Yen
60.42
44.02

2. Cash dividends
Annual dividends per share

Year ended February 28, 2021
Year ending February 28, 2022

1st quarter-end

2nd quarter-end

3rd quarter-end

Fiscal year-end

Yen
0.00
0.00

Yen
0.00
0.00

Yen
0.00
0.00

Yen
9.50

Yen
9.50

14.00

14.00

Year ending February 28, 2022 (Forecast)Total

3. Forecast of consolidated financial results for the year ending February 28, 2022 (from March 1, 2021 to February 28, 2022)
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
Full year
30,00019.0
3,010 197.8
3,000 151.6
2,100 278.2
14.03

1

4. Notes(1) Changes in significant subsidiaries during the nine months ended November 30, 2021
(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 November 30, 2021

156,209,829 shares As of February 28, 2021

156,209,829 shares

Number of treasury shares at the end of the period
As of November 30, 2021

1,896,760 shares As of February 28, 2021

8,396,070 shares

Average number of shares during the period (cumulative from the beginning of the fiscal year)
Nine months ended November 30, 2021

148,144,363 shares Nine months ended November 30, 2020

2145,920,542 shares

Quarterly consolidated financial statements
Consolidated balance sheets(Thousands of yen)As of February 28, 2021

As of November 30, 2021

AssetsCurrent assets
Cash and deposits
Trade accounts receivable

3,963,694
2,454,135

8,270,475
1,866,989

Inventories
Income taxes receivable

135,497
37,672

148,674
14,430Other
Allowance for doubtful accounts

438,892(11,588)481,737(12,584)

7,018,304

10,769,723

2,953,928(1,413,589)

3,393,009(1,485,390)

1,540,339

1,907,618

1,858,972(701,592)

2,051,298(758,966)

1,157,379

1,292,332

417,963
13,668417,963
13,668(13,668)(13,668)00

3,115,682

3,617,913

Total current assets
Non-current assets
Property, plant and equipment
Buildings and structures
Accumulated depreciation
Buildings and structures, net
Tools, furniture and fixtures
Accumulated depreciation
Tools, furniture and fixtures, net
Land
Other
Accumulated depreciation
Other, net
Total property, plant and equipment
Intangible assets
Other

177,485

185,953

Total intangible assets

177,485

185,953

Investments and other assets
Investment securities

124,027

112,334

Deferred tax assets
Leasehold and guarantee deposits

678,8912,558,477660,994
2,648,915

Other
Allowance for doubtful accounts

273,534(6,072)313,041(6,072)

Total investments and other assets

3,628,859

3,729,213

6,922,027

7,533,080

13,940,332

18,302,804

Total non-current assets
Total assets3

(Thousands of yen)
As of February 28, 2021

As of November 30, 2021

Liabilities
Current liabilities
Accounts payable - other

1,149,166

1,331,641

Income taxes payable
Advances received

422,847
1,701,720

554,127
2,747,619

Provision for sales returns
Provision for bonuses

2,370
265,202

2,992
72,456

Provision for loss on liquidation of subsidiaries andassociates

40,529

1,702

Asset retirement obligations
Other

12,565
1,005,995

10,3101,177,815

Total current liabilities

4,600,399

5,898,665

3,895

2,234

1,681,000
1,073,012

1,822,611
1,163,605

Non-current liabilities
Lease obligations
Retirement benefit liability
Asset retirement obligations
Deferred tax liabilities

6,783

8,782

2,764,692

2,997,234

7,365,091

8,895,900

Share capital
Capital surplus

2,890,415
1,105,307

2,890,415
2,616,453

Retained earnings
Treasury shares

4,323,111(1,730,384)

4,262,544(391,654)

Total shareholders' equity

6,588,450

9,377,758

Total non-current liabilities
Total liabilities
Net assets
Shareholders' equity

Accumulated other comprehensive income
Valuation difference on available-for-sale securities

13,3005,188

Foreign currency translation adjustment
Remeasurements of defined benefit plans(401)(94,780)(1,556)(57,596)

Total accumulated other comprehensive income(81,881)(53,965)

68,671–

83,111
0

6,575,240

9,406,904

13,940,332

18,302,804

Share acquisition rights
Non-controlling interests
Total net assets
Total liabilities and net assets

4Consolidated statements of income (cumulative) and consolidated statements of comprehensive income(cumulative)
Consolidated statements of income (cumulative)(Thousands of yen)
Nine months ended

Nine months ended

November 30, 2020

November 30, 2021

Net sales
Cost of sales

17,886,882
13,935,096

22,064,531
15,903,555

Gross profit

3,951,786

6,160,975

Selling, general and administrative expenses

3,802,090

4,086,647

149,695

2,074,327

100

11
3,915

235
2,891

1,485
3,553

–
204,817

7,974
27,277

Recoveries of written off receivables
Miscellaneous income

1,720
510

1,522
4,532

Other

13,085

5,941

Total non-operating income

223,270

56,214

2,100
30,1001,895
43,192

Operating profit
Non-operating income
Interest income
Dividend income
Foreign exchange gains
Gain on forfeiture of unclaimed dividends
Compensation income
Subsidy income

Non-operating expenses
Interest expenses
Share issuance costs
Other

2,028

5,776

Total non-operating expenses

34,22950,864

338,737

2,079,676

–

7,850

25,66841,839Ordinary profit
Extraordinary income
Reversal of provision for loss on liquidation of subsidiaries
and associates
Compensation income
Other

3,769

–

Total extraordinary income

29,437

49,6909,529
727

12,863
4,646

–

1,107

Extraordinary losses
Loss on retirement of non-current assets
Relocation expenses
Other

10,257

18,616

Profit before income taxes

Total extraordinary losses

357,917

2,110,750

Income taxes

356,753

796,441

1,163

1,314,309

ProfitProfit (loss) attributable to non-controlling interests(39,298)

0Profit attributable to owners of parent

40,462

1,314,309

5Consolidated statements of comprehensive income (cumulative)(Thousands of yen)

ProfitOther comprehensive income

Nine months ended

Nine months ended

November 30, 2020

November 30, 2021

1,163

1,314,309

Valuation difference on available-for-sale securities
Foreign currency translation adjustment

3,811
(118)

(8,112)(1,155)Remeasurements of defined benefit plans, net of tax

24,91437,183

Total other comprehensive income

28,60827,915Comprehensive income

29,771

1,342,224

Comprehensive income attributable toComprehensive income attributable to owners of parent

29,771

1,342,224(0)0Comprehensive income attributable to non-controllinginterests

6