BELLSYSTEM24 : Consolidated financial results for the Six months ended August 31, 2021

This English document was prepared for reference purpose. Should there be any discrepancy between the translation and the original Japanese text, the latter shall prevail.

Consolidated financial results for the Six months ended August 31, 2021

[IFRS]

		October 13, 2021
Company name	：BELLSYSTEM 24 Holdings, Inc.	Stock exchange listing ：Tokyo
Stock exchange code	：6183	URL ：https://www.bell24hd.co.jp/ en/
Representative	：Shunsuke Noda, President and Chief Executive Officer
Contact	：Toyohisa Tsuji, Managing Executive Officer
TEL	：[phone]

Scheduled date of filing of quarterly reports	：October 14, 2021
Scheduled date of start of dividend payment	：November 12, 2021
Preparation of 2Q earnings presentation material	：Yes
Holding of 2Q earnings briefing	：Yes
	(Figures are rounded to the nearest million yen)

1. Consolidated financial results for the Six months ended August 31, 2021 (From March 1, 2021 to August 31, 2021)

1. Consolidated operating results

(Percentages represent year-on-year changes)

	Revenue		Operating income	Income before	Net income
		income taxes
	Millions of yen		%	Millions of yen		%	Millions of yen	%	Millions of yen	%
Six months ended	73,110		9.3	7,200		8.7	7,346	14.5	5,023	17.2
August 31, 2021
Six months ended	66,871		6.1	6,623		12.6	6,416	14.3	4,286	13.9
August 31, 2020
	Net income		Total Comprehensive	Basic earnings	Diluted earnings
	attributable to owners
	income		per share	per share
	of the parent
	Millions of yen		%	Millions of yen		%		Yen		Yen
Six months ended	4,918		15.7	5,191		24.8		66.93		66.41
August 31, 2021
Six months ended	4,250		14.7	4,160		10.8		57.82		57.43
August 31, 2020

(2) Consolidated financial position

			Total equity	Ratio of equity
	Total asset	Total equity	attributable to owners	attributable to owners
			of the parent	of the parent
	Millions of yen	Millions of yen	Millions of yen	%
As of August 31,2021	175,322	57,103	56,690	32.3
As of February 28, 2021	172,888	53,510	53,113	30.7

2．Dividend

		Dividend per share
	First	Second	Third		Fiscal	Annual
	quarter-end	quarter-end	quarter-end		year-end
	Yen	Yen	Yen		Yen	Yen
Fiscal year ended February 28, 2021	－	21.00	－		21.00	42.00
Fiscal year ended February 28, 2022	－	24.00
Fiscal year ended February 28, 2022			－		24.00	48.00
(planned)
(Note) Revision of most recently announced dividend forecasts : No

3 ．Consolidated financial results forecast for the fiscal year ending February 28, 2022 (From March 1, 2021 to February 28, 2022)

(Percentages represent changes from the same period of previous fiscal year)

											Net income		Basic
						Income before			attributable to
	Revenue		Operating income	Net income	earnings per
		income taxes	owners of the
								share
											parent
	Millions of yen		%	Millions of yen	%	Millions of yen		%	Millions of yen	%	Millions of yen		%	Yen
Fiscal year ending	139,000		2.4	12,200	3.4	11,869		5.0	7,907	7.6	7,800		7.6	105.90
February 28, 2022
(Note) Revisions of financial forecast in the latest announcement : No

(Notes)

(1) Changes in status of significant subsidiaries during the period

(Changes in specified subsidiaries accompanying changes in scope of consolidation): No

(2) Changes in accounting policies and accounting estimates

• Changes in accounting policies required by IFRS

• Changes in accounting policies other than ① above

• Changes in accounting estimates

• No
• No
• No

1. Number of issued shares (common share)

• Number of issued shares at the end of the period (including treasury shares):

As of August 31,2021	：	73,679,947	shares
As of February 28, 2021	：	73,653,107	shares

• Number of treasury shares at the end of period:

As of August 31,2021	：	160,522	shares
As of February 28, 2021	：	160,522	shares

③ Average number of shares:
Six months ended August 31, 2021	：	73,509,652	shares
Six months ended August 31, 2020	：	73,519,241	shares

• Disclosure regarding the execution of the quarterly review process

This quarterly financial report is outside the scope of quarterly review procedures under the Financial Instruments and Exchange Act. At the time of disclosure of this financial report, review procedures for the Quarterly Consolidated Financial Statements are in progress.

• Explanation about the appropriate use of the results forecasts and other special notes

(Note on forward-looking statements, etc.)

Forward-looking statements, including the results forecasts contained in this material, are based on information currently available for the Company and certain assumptions which the Company deems reasonable. The Company does not intend to provide any guarantee on the realization on these forecasts. Actual business results August differ materially from the forecasts due to various factors.

Condensed Interim Consolidated Financial Statements

（１） Condensed Interim Consolidated Statement of Financial Position（Unaudited）

				(Millions of yen)
		As of		As of
		February 28, 2021		August 31, 2021
Assets
Current assets
Cash and cash equivalents	5,518	7,770
Trade and other receivables	19,644	20,348
Other financial assets	240	292
Other current assets	979	918
Total current assets	26,381	29,328
Non-current assets
Property, plant and equipment	37,284	36,652
Goodwill	95,396	95,396
Intangible assets	2,710	2,428
Investments accounted for using the equity method	1,839	2,218
Deferred tax assets	2,605	2,552
Other financial assets	6,577	6,676
Other non-current assets	96	72
Total non-current assets	146,507	145,994
Total assets	172,888	175,322

				(Millions of yen)
		As of		As of
		February 28, 2021		August 31, 2021
Liabilities and Equity
Liabilities
Current liabilities
Trade and other payables	6,141	5,475
Borrowings	20,235	9,736
Income taxes payable	2,506	2,529
Provisions	165		―
Liabilities for employee benefits	10,424	11,244
Other financial liabilities	5,549	5,609
Other current liabilities	3,932	3,577
Total current liabilities	48,952	38,170
Non-current liabilities
Borrowings	42,907	53,444
Provisions	1,813	2,149
Liabilities for employee benefits	513	506
Deferred tax liabilities	76	76
Other financial liabilities	25,113	23,870
Other non-current liabilities	4	4
Total non-current liabilities	70,426	80,049
Total liabilities	119,378	118,219
Equity
Common stock	27,049	27,062
Capital surplus	3,448	3,461
Other components of equity	(235)	(59)
Retained earnings	23,148	26,523
Treasury shares	(297)	(297)
Total equity attributable to owners of the parent	53,113	56,690
Non-controlling interest	397	413
Total equity	53,510	57,103
Total liabilities and equity	172,888	175,322