Note : This document has been translated from the Japanese original for reference purposes only. In the event of any
discrepancy between this translated document and the Japanese original, the original shall prevail.

Consolidated Financial Results for the Nine Months Ended April 30, 2024
(August 1, 2023 to April 30, 2024) [Japanese GAAP]
June 7, 2024
Stock exchange listing: Tokyo
Stock Exchange, Prime Market

Company name: I’ll Inc.
Code number:3854
URL https://www.ill.co.jp
Representative: Tetsuo Iwamoto, Representative Director & President
Contact:Naoko Ogura, Executive Officer, Head of Accounting Department
Scheduled date for filing quarterly securities report:
June 14, 2024

Tel: +81-6-6292-1170

Scheduled date for dividend payment commencement:
Availability of supplementary briefing material on quarterly financial results: Yes
Quarterly financial results briefing session:

No(Amounts less than ¥1 million rounded down)

1. Consolidated Financial Results for the Nine Months Ended April 30, 2024 (August 1, 2023 to April 30, 2024)(1) Consolidated Operating Results (Cumulative)(% indicates change from previous corresponding period)
Profit attributable toNet sales
Operating profit
Ordinary profit
owners of parent¥ Million%¥ Million%¥ Million%¥ Million%
Nine months ended
12,869
10.3
3,266
23.8
3,284
23.5
2,184
26.4
April 30, 2024
Nine months ended
11,662
23.5
2,639
71.0
2,659
70.4
1,728
72.5
April 30, 2023
(Note) Comprehensive income:Nine months endedApril 30, 2024

(25.1%)

Nine months endedApril 30, 2023

Yen

Diluted net profit pershare
Net profit per share
Yen

87.28-

69.06-

Net profit per share
Nine months endedApril 30, 2024
Nine months endedApril 30, 2023

¥2,155 Million¥1,722 Million (72.4%)(Note) Diluted net profit per share is not shown because there are no dilutive shares.

(2) Consolidated Financial Position
Total assets
Nine months endedApril 30, 2024
Fiscal year ended
July 31, 2023
(Reference) Shareholders’ equity

Net assets

Equity ratio¥ Million¥ Million%

13,624

8,994

66.0

12,115

7,740

63.9

Nine months ended April 30, 2024

¥8,994 Million

Fiscal year ended July 31, 2023

¥ 7,740 Million

2. Dividends
End of first quarter

Annual dividends
End of second
End of third quarter
quarter
Yen
Yen

End of year

Total

Yen
Yen
Yen
Fiscal year ended
11.00
20.00
31.00
July 31, 2023
Fiscal year ending
16.00
July 31, 2024
Fiscal year ending
July 31, 2024
24.00
40.00
(Forecast)(Note) Revision to the dividend forecast announced most recently:
Yes
For the revision of the dividend forecast, please see “Notice Concerning Revision of Full Year Consolidated Financial Forecasts andDividend Forecast (Dividend Increase)” released today (June 7, 2024).

3. Consolidated Financial Forecasts for the Fiscal Year Ending July 31, 2024 (August 1, 2023 to July 31, 2024)(% indicates changes from the previous year).

Net sales

Full year(Note)*Operating profit

Profit attributable toowners of parent

Ordinary profit

Net profit per share¥ Million%¥ Million%¥ Million%¥ Million%

Yen

17,350

9.0

4,250

19.8

4,272

19.6

2,851

15.4

113.93

Revision to the financial forecasts announced most recently: Yes
For the revision of the consolidated financial forecasts, please see “Notice Concerning Revision of Full Year Consolidated Financial
Forecasts and Dividend Forecast (Dividend Increase)” released today (June 7, 2024).

Notes(1) Changes in significant subsidiaries during the nine months ended April 30, 2024 (changes in specificsubsidiaries resulting in changes in scope of consolidation):(2) Adoption of special accounting treatment for the preparation of the quarterly consolidated financial
statements:

NoNo(3) Changes in accounting policies, changes in accounting estimates and retrospective restatement
1) Changes in accounting policies due to the revision of accounting standards:
No2) Changes in accounting policies other than 1) above:No3) Changes in accounting estimates:No4) Retrospective restatement:No(4) Total number of issued shares (common shares)
1) Total number of issued shares at the end Nine months endedof the period (including treasury shares) April 30, 2024
2) Total number of treasury shares at theend of the period

Nine months ended

3) Average number of shares during theNine months ended

period25,042,528 shares
11,219 shares

April 30, 2024
April 30, 2024

25,031,661 sharesFiscal year ended
July 31, 2023
Fiscal year ended
July 31, 2023
Nine months endedApril 30, 2023

25,042,528 shares
10,019 shares
25,033,208 shares*This quarterly consolidated financial results report is not subject to the quarterly review by a certified public accountant or
an auditing firm.
*Explanation of the proper use of financial results forecast and other notes(Notice regarding future statements)
The financial forecasts stated in this document are based on information available as of the date of thisdocument. These forecasts should not be construed as a promise by the Company to achieve. Actual results maydiffer from these forecasts due to uncertain factors, such as economic trends. For notes about assumptions behindthe financial forecasts and how to use these financial forecasts, refer to page 4 “1. Qualitative Information
Regarding Financial Results for the Period Under Review, (3) Explanation of Consolidated Financial Forecasts andOther Future Projections.”-2-

Contents
1.

2.

Qualitative Information Regarding Financial Results for the Period Under Review ........................................................

4(1)Explanation of Operating Results .............................................................................................................................

4(2)Explanation of Financial Position .............................................................................................................................

4(3)Explanation of Consolidated Financial Forecasts and Other Future Projections ......................................................

4

Quarterly Consolidated Financial Statements and Significant Notes Thereto ..................................................................

5(1)Quarterly Consolidated Balance Sheets ....................................................................................................................

5(2)Quarterly Consolidated Statements of Income and Quarterly Consolidated Statements of Comprehensive Income

7

Quarterly Consolidated Statements of Income
For the nine months ended April 30, 2024 ............................................................................................................

7

Quarterly Consolidated Statements of Comprehensive Income(3)

For the nine months ended April 30, 2024 ............................................................................................................

8Notes on Quarterly Consolidated Financial Statements............................................................................................

9(Notes on the Premise of a Going Concern) .................................................................................................................

9(Notes on Substantial Changes in the Amount of Shareholders’ Equity) ......................................................................

9-3-

1.

Qualitative Information Regarding Financial Results for the Period Under Review(1)

Explanation of Operating Results
During the nine months ended April 30, 2024 (August 1, 2023 to April 30, 2024), the Japanese economy was on a gradualtrend of recovery as restrictions on socio-economic activities to prevent the spread of COVID-19 were lifted almost entirely. On
the other hand, it is necessary to keep close tabs on the impact on the Japanese economy of such matters as a downturn in overseas
economies due to monetary tightening, soaring raw material and energy prices, and the 2024 Noto Peninsula Earthquake.
Information system investment in Japan is booming, mainly in digital transformation which conducts a business transformationthat utilizes digital technologies to address labor shortages. Under these current market conditions, the I’ll Group is pursuing its“CROSS-OVER Synergy” strategy in order to strengthen the business of its customers. Through a combination of “real” and“online” products and services, the I’ll Group develops and proposes solutions for mid-tier and small/medium-size corporateclients that need to efficiently use IT to solve their management issues. The “CROSS-OVER Synergy” strategy is an initiative
to increase the business efficiency and strengthen the sales capabilities of customers, by proposing a combination of real andonline products and services through the I’ll Group’s unique value proposition style. This strategy not only gives the I’ll Groupa competitive edge during negotiations, but also enhances the satisfaction of its customers. In addition, to promote sustainablegrowth, I’ll has introduced an integrated production-sales system where sales representatives and system engineers are placed in
the same organization to enhance mutual collaboration. This has improved the accuracy of projects by determining customer
requirements at the time of quotation, strengthened the project management system, and reduced man-hours of customer support
after the system operation starts by improving delivery quality, thereby strengthening the profit structure.
As for sales results, I’ll has continued on the real world front to broaden the product appeal of its mainstay Aladdin Office
software package for each business sector. In sales, it collaborated with partner companies and saw orders remain firm as itproposed ways for optimum system use for each client on the basis of plenty of by-industry installment examples. In terms ofrevenue, the project turnover improved due to the integrated production-sales system, and the introduction of new packages andthe enhancement of functionalities and options have led to an improvement in the gross profit margin. As a result, each stage ofprofit has surpassed the performance of the same period of the previous consolidated fiscal year.
On the online world, the Company continued collaborative development anew in the fiscal year with online store operators on
the CROSS MALL cloud service, which integrates the management of multiple online stores. The Company will continue toincrease its capability to collaborate with multiple malls and continue up-front investments such as the release of a successor
service “BACKYARD™” and the opening of a service showroom “BACKYARD TOKYO” to increase sales results in the midto long-term. Also, the Company is achieving growth in sales of the CROSS Point cloud service which allows integrated
management of reward points and customers of online and physical stores.
In the nine months ended April 30, 2024, the Company continued to focus on product development and booked ¥47,187,000
for research and development to increase market competitiveness through development of new technologies in the future. At theI’ll Matsue Laboratory, an R&D base in Matsue, Shimane Prefecture, far-sighted system enhancements are progressing asplanned. The Company plans to increase the number of R&D personnel and heighten R&D activities.
As a result, for the nine months ended April 30, 2024, net sales were ¥12,869,659,000 (up 10.3% year on year), operating
profit was ¥3,266,980,000 (up 23.8% year on year), ordinary profit was ¥3,284,707,000 (up 23.5% year on year), and profit
attributable to owners of parent was ¥2,184,645,000 (up 26.4% year on year).

(2)

Explanation of Financial Position
As of the end of the third quarter period under review, total assets amounted to ¥13,624,179,000, an increase of¥1,508,851,000 from the end of the previous fiscal year. This was mainly attributable to increases of ¥676,397,000 in cash anddeposits, ¥432,610,000 in notes and accounts receivable – trade, and contract assets, and ¥122,457,000 in software in progress.
Total liabilities amounted to ¥4,629,797,000, an increase of ¥254,885,000 from the end of the previous fiscal year. This was
mainly attributable to an increase of ¥325,375,000 in provision for bonuses, despite a decrease of ¥68,822,000 in accounts
payable – other included in “other” under current liabilities.
Total net assets amounted to ¥8,994,381,000, an increase of ¥1,253,965,000 from the end of the previous fiscal year. This
primarily reflected an increase due mainly to ¥2,184,645,000 in profit attributable to owners of parent, despite a decrease due
to ¥901,152,000 in dividends of surplus.

(3)

Explanation of Consolidated Financial Forecasts and Other Future Projections
The consolidated financial forecasts for the fiscal year ending July 31, 2024, released on September 8, 2023, are included in“Notice Concerning Revision of Full Year Consolidated Financial Forecasts and Dividend Forecast (Dividend Increase)”released on June 7, 2024. Please refer to the relevant disclosure documents for details.

-4-2.

Quarterly Consolidated Financial Statements and Significant Notes Thereto(1) Quarterly Consolidated Balance Sheets
Fiscal 2023
(As of July 31, 2023)

AssetsCurrent assets:
Cash and cash equivalents
Notes and accounts receivable – trade, and contract
assetsMerchandiseWork in process
OtherAllowance for doubtful accounts
Total current assets
Non-current assets:
Tangible fixed assets
Intangible assets:
Software
Software in progress
Other
Total intangible assets
Investments and other assets:
Deferred tax assets
Other
Allowance for doubtful accounts
Total investments and other assets
Total non-current assets
Total assets
Liabilities
Current liabilities:
Accounts payable – trade
Income taxes payable
Provision for bonuses
Provision for product warranties
Other
Total current liabilities
Non-current liabilities:
Retirement benefit liabilities
Provision for retirement benefits for directors
Asset retirement obligations
Other
Total non-current liabilities
Total liabilities-5-(Thousands of yen)
For the nine months endedApril 30, 2024
(As of April 30, 2024)

5,639,851

6,316,248

3,620,055

4,052,665

238,459
20,468
158,506(2,208)9,675,133

279,753
18,703
184,093(4,224)
10,847,239

560,589

551,054

633,543
202,695
1,739
837,978645,596
325,152
1,739
972,488449,235
595,595(3,203)
1,041,627
2,440,194
12,115,327

581,375
676,333(4,313)
1,253,395
2,776,939
13,624,179

530,526
735,180
100,000
15,5991,165,306
2,546,612612,498
705,949
425,375
15,257915,065
2,674,146

1,126,616
463,707
230,894
7,081
1,828,299
4,374,912

1,206,272
511,465
232,649
5,265
1,955,651
4,629,797

Fiscal 2023
(As of July 31, 2023)
Net assets
Shareholders’ equity:
Capital stock
Capital surplus
Retained earnings
Treasury shares
Total shareholders’ equity
Other accumulated comprehensive income
Accumulated adjustments for retirement benefits
Valuation difference on available-for-sale securities
Total other accumulated comprehensive income
Total net assets
Total liabilities and net assets-6-(Thousands of yen)
For the nine months endedApril 30, 2024
(As of April 30, 2024)

354,673
319,673
6,975,620(10,080)
7,639,888

354,673
319,673
8,259,113(10,080)
8,923,381

100,527
100,527
7,740,415
12,115,327

71,242(242)
70,9998,994,381
13,624,179

(2) Quarterly Consolidated Statements of Income and Quarterly Consolidated Statements of Comprehensive Income(Quarterly Consolidated Statements of Income)(For the nine months ended April 30, 2024)

Net sales
Cost of sales
Gross profitSelling, general and administrative expenses
Operating profit
Non-operating income:Commission income
Subsidy income
Other
Total non-operating income
Non-operating expenses:
Interest expenses
Other
Total non-operating expenses
Ordinary profit
Extraordinary losses:
Loss on retirement of non-current assets
Total extraordinary losses
Net profit before taxes
Corporate, resident, enterprise taxes
Corporate and other taxes – deferred
Total corporate and other taxes
Net profit
Profit attributable to owners of parent

For the nine months ended April30, 2023
(From August 1, 2022
to April 30, 2023)
11,662,974
5,284,850
6,378,124
3,738,847
2,639,276(Thousands of yen)
For the nine months endedApril 30, 2024
(From August 1, 2023
to April 30, 2024)
12,869,659
5,638,446
7,231,213
3,964,233
3,266,980

14,315
5,637
711
20,663

11,9305,850
48018,260695
49745
2,659,195

480
53
534
3,284,707

9
92,659,185
1,033,018(102,537)
930,480
1,728,704
1,728,704

003,284,707
1,219,181(119,120)
1,100,061
2,184,645
2,184,645-7-(Quarterly Consolidated Statements of Comprehensive Income)(For the nine months ended April 30, 2024)

Net profit
Other comprehensive income:
Adjustment amount for retirement benefits
Valuation difference on available-for-sale securities
Total other comprehensive income
Comprehensive income(Breakdown)Comprehensive income attributable to owners ofparent
Comprehensive income attributable to non-controllinginterests

For the nine months endedApril 30, 2023
(From August 1, 2022
to April 30, 2023)
1,728,704(Thousands of yen)
For the nine months endedApril 30, 2024
(From August 1, 2023
to April 30, 2024)
2,184,645(5,915)(5,915)
1,722,789(29,284)(242)(29,527)
2,155,118

1,722,789

2,155,118---8-

(3) Notes on Quarterly Consolidated Financial Statements(Notes on the Premise of a Going Concern)
No applicable matters.
(Notes on Substantial Changes in the Amount of Shareholders’ Equity)
No applicable matters.

-9-