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 Year Ended March 31, 2023
(Based on Japanese GAAP)
April 21, 2023
Company name:

IwaiCosmo Holdings, Inc.

Stock exchange listing: Tokyo
Stock code:
8707
Representative:
Inquiries:

URL

https://www.iwaicosmo-hd.jp

Chairman and Chief Executive Officer
President and Chief Operating OfficerYoshiaki Okitsu
Takao Sasakawa

Scheduled date of ordinary general meeting of shareholders:
Scheduled date to file Securities Report:

June 23, 2023
June 23, 2023

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

June 7, 2023
Yes

Holding of financial results meeting:

NoTEL

06-6229-2800(Amounts less than one million yen are rounded down)
1. Consolidated financial results for the year ended March 31, 2023 (from April 1, 2022 to March 31, 2023)(1) Consolidated operating results
Percentages indicate year-on-year changes
Net operating
Profit attributable toOperating revenue
Operating profit
Ordinary profit
revenueowners of parent
Millions of yen% Millions of yen% Millions of yen% Millions of yen% Millions of yen%
Year ended March 31, 2023
19,691(4.9)
19,428(5.3)
4,770 (11.4)
5,165 (10.9)
3,564(5.1)
Year ended March 31, 2022
20,708(9.9)
20,512(9.5)
5,381 (25.1)
5,799 (23.0)
3,756 (29.9)
Earnings per share

Diluted earnings per shareYen
151.73159.93

Year ended March 31, 2023
Year ended March 31, 2022Yen––

Profit attributable toOperatingowners of parent/equity profit/Operating revenue
%%
6.2
24.2
6.7
26.0

(2) Consolidated financial position
Total assets
As of March 31, 2023
As of March 31, 2022

Net assets

Equity ratio

Millions of yen
183,509
182,476

Millions of yen
57,55756,496

Cash flows fromoperating activities
Millions of yen(5,797)
6,361

Cash flows frominvesting activities
Millions of yen(2,394)(1,136)

Net assets per share%
31.4
31.0

Yen
2,450.40
2,405.25(3) Consolidated cash flows

Year ended March 31, 2023
Year ended March 31, 2022

Cash flows from
Cash and cash equivalents
financing activities
at end of period
Millions of yen
Millions of yen(1,728)4,731(2,750)13,876

2. Cash dividends
Annual dividends per share
1st quarter-end 2nd quarter-end 3rd quarter-end Fiscal year-end

Year ended March 31, 2022
Year ended March 31, 2023
Year ending March 31, 2024
(Forecast)of dividends
Total cash
Dividend payout Ratio
to net assets
dividends (Total) ratio (Consolidated) (Consolidated)

TotalYenYenYenYenYen

Millions of yen%%––

20.00
20.00

––

60.00
60.00

80.00
80.00

1,879
1,879

50.0
52.7

3.3
3.3

–

–––

–

1–

3. Notes(1) Changes in significant subsidiaries during the year ended March 31, 2023
(changes in specified subsidiaries resulting in the change in scope of consolidation):No(2) 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:

YesNo

Changes in accounting estimates:
Restatement of prior period financial statements:

NoNo(3) Number of issued shares (common shares)
Total number of issued shares at the end of the period (including treasury shares)
As of March 31, 2023

25,012,800 shares As of March 31, 2022

25,012,800 shares

Number of treasury shares at the end of the period
As of March 31, 2023

1,523,846 shares As of March 31, 2022

1,523,766 shares

23,489,027 shares Year ended March 31, 2022

23,489,034 shares

Average number of shares during the period
Year ended March 31, 2023

2Consolidated financial statements
Consolidated balance sheets(Millions of yen)
As of March 31, 2022

As of March 31, 2023

AssetsCurrent assets
Cash and deposits
Segregated deposits

14,89592,3478,330
84,76192,000347

80,500
4,261

1,692
1,684

1,935
1,935

8
664

–
535

46,31544,381

63,16761,716

1,934

1,450

263
263

183
183

Advances paid
Short-term guarantee deposits

36
9,187

18
9,214

Accrued revenue
Other current assets

1,318
1,136

1,475
768

(6)

(6)

167,852

170,384

1,678
222

1,466232Equipment
Land

892
541

669
541

Other
Intangible assets

22615

22444

Software
Other6150444
012,32910,803

11,213
9,839

Long-term guarantee deposits
Deferred tax assets

693
306

702
309

Other
Allowance for doubtful accounts

683
(157)

503
(141)

14,623

13,125

182,476

183,509

Segregated deposits for customers
Other segregated deposits
Trading products
Trading securities and otherDerivatives
Trade date accrual
Margin transaction assets
Margin loans
Cash collateral provided for securities borrowed in
margin transactions
Loans secured by securities
Cash collateral provided for securities borrowed

Allowance for doubtful accounts
Total current assets
Non-current assets
Property, plant and equipment
Buildings, net

Investments and other assets
Investment securities

Total non-current assets
Total assets3

(Millions of yen)
As of March 31, 2022

As of March 31, 2023

Liabilities
Current liabilities
Trading products

337

272

334
2249
23

Margin transaction liabilities
Margin borrowings

18,65011,476

21,851
15,478Cash received for securities sold in margin transactions
Borrowings secured by securities

7,174
3,086

6,3734,048

Cash collateral received for securities lentDeposits received

3,086
50,2294,048
44,515

Deposits from customers
Other deposits received

46,273
3,956

41,5282,987

Guarantee deposits received
Short-term borrowings

41,3923,300

41,847
3,500

Current portion of bonds payable
Income taxes payable

2,000
218

–
1,089

Provision for bonuses
Other current liabilities

943
841

834
1,281

Total current liabilities

120,999

119,241

2,000

4,000

Deferred tax liabilities
Other noncurrent liabilities

2,177
363

1,903
368

Total non-current liabilities

4,541

6,272

438

439

438

439

125,979

125,952

Shareholders' equity
Share capital

10,00410,004

Capital surplus
Retained earnings

4,890
37,881

4,890
39,566

Treasury shares(1,702)(1,702)

Total shareholders' equity

51,07352,758Valuation difference on available-for-sale securities

5,423

4,799

Total accumulated other comprehensive income

5,423

4,799

Trading securities and otherDerivatives

Non-current liabilities
Bonds payable

Reserves under special laws
Reserve for financial instruments transaction liabilities
Total reserves under special laws
Total liabilities
Net assets

Accumulated other comprehensive income

Total net assets
Total liabilities and net assets

456,496

57,557

182,476

183,509

Consolidated statements of income and consolidated statements of comprehensive income
Consolidated statements of income(Millions of yen)
Fiscal year ended
March 31, 2022

Fiscal year ended
March 31, 2023

Operating revenue
Commission received
Brokerage commission

9,355
4,834

12,123
8,405

Commission for underwriting, secondary distribution andsolicitation for selling and others for professional investors

311

139

Fees for offering, secondary distribution and solicitation
for selling and others for professional investors

1,555

1,183

2,654
9,255

2,393
5,443

8,388
904

4,628
859

Net other trading income
Financial revenue

(37)
2,097

(43)
2,124

Total operating revenue

20,708

19,691Other commission received
Net trading income
Net trading income from securities
Net trading income from bonds

Financial expenses

195

262

Net operating revenue

20,512

19,428Selling, general and administrative expenses

15,131

14,658

Trading related expenses
Personnel expenses1,837
7,692

1,752
7,233

Real estate expenses
Office expenses

1,469
2,802

1,470
2,918

Depreciation
Taxes and dues

691
365

664
366

Other273

251

Operating profit

5,381

4,770

428

456

Non-operating income
Non-operating expenses

1060

5,799

5,165

Gain on sale of non-current assets

5–

Total extraordinary income

5–11

System Transfer Cost

250–

Total extraordinary losses

251

1Profit before income taxes

5,553

5,164

Income taxes - current
Income taxes - deferred

1,279
517

1,601
(0)

Total income taxes

1,797

1,600Profit

3,756

3,564

Profit attributable to owners of parent

3,756

3,564

Ordinary profit
Extraordinary income

Extraordinary losses
Provision of reserve for financial instruments transaction
liabilities

5Consolidated statements of comprehensive income(Millions of yen)

ProfitOther comprehensive income
Valuation difference on available-for-sale securities
Total other comprehensive income

Fiscal year ended

Fiscal year ended

March 31, 2022

March 31, 2023
3,756

3,564

(712)

(624)

(712)

(624)

Comprehensive income

3,044

2,939

Comprehensive income attributable toComprehensive income attributable to owners of parent

3,044

2,939

6Consolidated statements of changes in equity
Fiscal year ended March 31, 2022
(Millions of yen)
Shareholders' equity
Share capital
Balance at beginning of period

Capital surplus

10,004Retained earnings

4,890

Total shareholders'equity

Treasury shares

36,873(1,702)50,065

Changes during period
Dividends of surplus(2,748)(2,748)

Profit attributable to owners ofparent

3,756

3,756–

Purchase of treasury shares
Net changes in items otherthan shareholders' equity
Total changes during period
Balance at end of period––

1,008–

1,008

10,0044,890

37,881(1,702)51,073

Accumulated other comprehensive income

Balance at beginning of period

Valuation difference
on available-for-salesecurities

Total accumulated
other comprehensive
income

6,135

6,135

Total net assets

56,200Changes during period
Dividends of surplus(2,748)

Profit attributable to owners ofparent

3,756–

Purchase of treasury shares
Net changes in items otherthan shareholders' equity

(712)

(712)

(712)

Total changes during period

(712)

(712)

295

Balance at end of period

5,423

5,423

56,496

7

Fiscal year ended March 31, 2023
(Millions of yen)
Shareholders' equity
Share capital
Balance at beginning of period

Capital surplus

10,004Retained earnings

4,890

37,881

Total shareholders'equityTreasury shares(1,702)51,073

Changes during period
Dividends of surplus(1,879)(1,879)Profit attributable to owners ofparent

3,564

3,564

Purchase of treasury shares

(0)

(0)

Net changes in items otherthan shareholders' equity
Total changes during period
Balance at end of period––

1,684

(0)

1,684

10,0044,890

39,566(1,702)52,758

Accumulated other comprehensive income

Balance at beginning of period

Valuation difference
on available-for-salesecurities

Total accumulated
other comprehensive
income

5,423

5,423

Total net assets

56,496

Changes during period
Dividends of surplus(1,879)Profit attributable to owners ofparent

3,564

Purchase of treasury shares(0)

Net changes in items otherthan shareholders' equity

(624)

(624)

(624)

Total changes during period

(624)

(624)

1,060

Balance at end of period

4,799

4,799

57,557

8Consolidated statements of cash flows(Millions of yen)

Cash flows from operating activities
Profit before income taxes

Fiscal year ended

Fiscal year ended

March 31, 2022

March 31, 2023
5,553

5,164

Depreciation
Loss (gain) on sale of non-current assets

691
(5)

664
–

Bond issuance costs
Increase (decrease) in allowance for doubtful accounts

–
(11)

44
(16)

Increase (decrease) in provision for bonuses
Increase (decrease) in reserve for financial instruments

(312)

(108)

transaction liabilities
Interest and dividend income1

1(2,008)(2,302)

Interest expenses
Foreign exchange losses (gains)

195(1,395)

262
(992)

250

–

9,000

11,50017(3,914)

461
522

(307)
128

Decrease (increase) in margin transaction assets
Decrease (increase) in loans secured by securities

3,619
488

(16,851)80

Decrease (increase) in advance paid
Decrease (increase) in deposits

(28)
(467)

18
(26)

Increase (decrease) in margin transaction liabilities
Increase (decrease) in borrowings secured by securities(18)(1,064)

3,201
962

Increase (decrease) in deposits received
Increase (decrease) in guarantee deposits received(2,732)(4,455)(5,714)454

Other, net

(78)

541

Subtotal

8,222(7,208)Interest and dividends received

1,960

2,210

Interest paid
System Transfer Cost

(197)
(288)

(256)
–System Transfer Cost
Decrease (increase) in cash segregated as deposits forcustomers
Decrease (increase) in other segregated deposits
Decrease (increase) in trading products
Decrease (increase) in trade date accrual

Income taxes refund (paid)(3,335)(541)

Net cash provided by (used in) operating activities6,361(5,797)

Payments into time deposits
Proceeds from withdrawal of time deposits

(976)
1,112

(6,031)
3,669

Purchase of property, plant and equipment
Proceeds from sale of property, plant and equipment

(179)
6(71)
–

Purchase of intangible assets
Purchase of long-term prepaid expenses

(255)
(720)

(19)
(2)

Purchase of investment securities
Proceeds from sale of investment securities

(25)
–

(59)
101

Proceeds from collection of loans receivable
Payments for asset retirement obligations

0(151)––Cash flows from investing activities

Other, netNet cash provided by (used in) investing activities

951

19

(1,136)(2,394)

(Millions of yen)

Cash flows from financing activities
Net increase (decrease) in short-term borrowings

Fiscal year ended

Fiscal year ended

March 31, 2022

March 31, 2023–

200

Repayments of lease liabilities
Proceeds from issuance of bonds

(2)
–

(5)
1,955

Redemption of bonds
Purchase of treasury shares––(2,000)(0)

Dividends paid

(2,747)(1,879)Net cash provided by (used in) financing activities(2,750)(1,728)

Effect of exchange rate change on cash and cash equivalents

1,330775

Net increase (decrease) in cash and cash equivalents

3,805(9,145)

Cash and cash equivalents at beginning of period

10,071

13,876

Cash and cash equivalents at end of period

13,876

4,731

10