AOKI : Supplementary Materials (for the Fiscal Year Ended March 31,2023)

Supplementary Materials

Fiscal Year Ended March 31, 2023

May 11, 2023

AOKI Holdings Inc.

1. All amounts are rounded down to the less than unit.

1. From the beginning of FY3/22, AOKI Holdings is applying the revenue recognition accounting standard. This standard is not retrospectively applied to all figures for FY3/19.
2. Acquisition of RUNSYSTEM Co., Ltd. as a subsidiary in June 2022. Reflected in results from the second quarter of FY3/23.
3. Net income per share: Net income divided by average number of shares outstanding(excluding treasury stock).

FY3/23 Results

Sales and earnings increased as the socioeconomic activities returned to normal, sales and earnings exceeded forecasts

*Reference FY3/19 Before the pandemic

FY3/22

FY3/23(Initial forecast)

FY3/23

Sales

(Billions of yen)

(Billions of yen)

(Billions of yen)

Sales

(Billions of yen)

195.0

Sales

Sales

172.7

176.1

154.9

Operating

Profit

Ordinary

Operating

13.4

Profit

Operating

Profit

Ordinary

11.8

Ordinary

Profit

Profit

Profit

Profit

Profit

10.2

Profit

attributable

attributable

Operating

Profit

8.8

attributable

to owners

to owners

Profit

Ordinaryattributable

8.1

to owners

8.4

of parent

of parent

5.4

Profit

to owners

of parent

5.6

4.6

4.3 of parent

4.1

2.5

Business climate

• Although a decline in the spread of COVID-19 is trending downward, there are no restrictions on movement, socioeconomic activities are normalizing
• Rise in raw material prices, fuel/electricity costs, and labor costs
• The economic outlook remains uncertain due to rising prices, etc

AOKI Group

• The number of customers increased in all businesses due to normalization of socio economic activities.
• Acquisition of RUNSYSTEM CO., LTD. as a subsidiary in June 2022. Reflected in results from the second quarter of FY3/23.
• The AOKI Group opened 33 stores and closed 65 stores for conversions to different formats or to improve operating efficiency.

AOKI Holdings Inc.

2

Consolidated Earnings Trends from FY3/17 to FY3/23

Sales	Sales	Operating profit/loss		Operating margin	Operating profit
(Billions of yen)					/loss
					(Billions of yen)

200.0	194.0	198.4	195.0					20.0
				180.2			176.1
	14.4	14.8	13.4		143.1	154.9
150.0						15.0
	7.4%	7.5%	6.9%				10.2
100.0				6.6			5.8%	10.0
					5.4
					3.7%
50.0						3.5%		5.0
0								0
		Before the pandemic
					-5.7			-5.0
					-4.0%
	FY3/17	FY3/18	FY3/19	FY3/20	FY3/21	FY3/22	FY3/23

AOKI Holdings Inc.

3

FY3/23 Results by Segment

	Sales and earnings increased due to an increase in the number of customers due to
Fashion	the socioeconomic activities returned to normal and favorable sales of formal wear,
	women's apparel, and casual apparel
Anniversaire and Bridal	Sales and earnings increased because of a increase in the number of weddings
and improved gross profit margin
Entertainment	Sales and earnings increased because new stores were opened and the impact of
the pandemic decreased

Sales	Operating profit/loss
(Billions of yen)	(Billions of yen)

195.0

3.1

54.1

25.4

114.4

154.9

4.4

56.9

7.9

88.6

+13.7%

+8.5%

+25.0%

+18.0%

+6.6%

176.1

4.8

71.2

9.4

94.5

13.4

0.6

3.1

2.1

7.2

	+88.0%	10.2
		0.7
	-15.5%	3.3
5.4	+465.0%
0.8

0.5

	+38.9%	6.6
4.7			0.3
-0.5

FY3/19

FY3/22

FY3/23

※Before the pandemic

FY3/19

※Before the pandemic

FY3/22

FY3/23

■ Fashion ■ Anniversaire/Bridal ■ Entertainment ■ Real Estate Leasing ■ Consolidated Total

AOKI Holdings Inc.

4

FY3/24 Consolidated Forecast

Net sales of 180.5 billion yen and operating profit of 10.8 billion yen are expected

to increase for the third consecutive year.

*Reference FY3/19	FY3/23
Before the pandemic

FY3/24 Forecast

Sales	(Billions of yen)	(Billions of yen)
195.0		Sales

Sales

(Billions of yen)

			176.1
Operating
Profit	Ordinary
13.4	Profit		Operating		Profit
	11.8	Profit	Profit	Ordinary
		10.2	Profit	attributable
		attributable
		to owners		8.4	to owners
			of parent
		of parent
				5.6
		4.6

180.5

Operating Ordinary

Profit Profit Profit

10.8 10.3 attributable to owners of parent

5.8

Business climate

• Recovery of the flow of people and normalization of economic activities due to the change to Corona 5
• High cost of materials and High cost of fuel, utilities, labor
• Depreciation of the yen
• Decline in pandemic severity
• Economic uncertainty due to inflation

AOKI Group

• Provide products and services that match new life styles
• Setting appropriate prices in response to rising material
• Implementation of expense control
• Carefully selected new store openings and continuation of store closures for conversions to different formats or to improve operating efficiency
• Implementation of measures to improve efficiency

AOKI Holdings Inc.

5