BELLSYSTEM24 : Consolidated financial results for the Three months ended May 31, 2022

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 Three months ended May 31, 2022

[IFRS]

		July 13, 2022
Company name	：BELLSYSTEM 24 Holdings, Inc.	Stock exchange listing ：Tokyo
Stock exchange code	：6183	URL ：https://www.bell24.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	：July 14, 2022
Scheduled date of start of dividend payment	：―
Preparation of 1Q earnings presentation material	：Yes
Holding of 1Q earnings briefing	：No
	(Figures are rounded to the nearest million yen)

1. Consolidated financial results for the Three months ended May 31, 2022 (From March 1, 2022 to May 31, 2022)

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	%
Three months ended	39,244		7.6	4,278		19.6	4,047	13.7	2,637	11.0
May 31, 2022
Three months ended	36,458		11.6	3,577		17.3	3,558	22.7	2,374	23.2
May 31, 2021
	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
Three months ended	2,558		10.0	3,093		20.4		34.78		34.56
May 31, 2022
Three months ended	2,323		21.0	2,570		41.1		31.63		31.38
May 31, 2021

(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 May 31,2022	181,323	60,315	59,805	33.0
As of February 28, 2022	178,312	59,489	58,986	33.1

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, 2022	－	24.00	－		30.00	54.00
Fiscal year ended February 28, 2023	－
Fiscal year ended February 28, 2023		30.00	－		30.00	60.00
(planned)
(Note) Revision of most recently announced dividend forecasts : No

3 ．Consolidated financial results forecast for the fiscal year ending February 28, 2023 (From March 1, 2022 to February 28, 2023)

(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	148,000		1.0	14,000	5.8	13,900		3.2	9,400	2.9	9,200		2.9	125.08
February 28, 2023
(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 May 31,2022	：	73,715,734	shares
As of February 28, 2022	：	73,715,734	shares

• Number of treasury shares at the end of period:

As of May 31,2022	：	154,106	shares
As of February 28, 2022	：	160,522	shares

③ Average number of shares:
Three months ended May 31, 2022	：	73,556,991	shares
Three months ended May 31, 2021	：	73,499,878	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 May 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, 2022		May 31, 2022
Assets
Current assets
Cash and cash equivalents	6,196	9,584
Trade and other receivables	21,181	20,801
Other financial assets	289	294
Other current assets	1,143	1,113
Total current assets	28,809	31,792
Non-current assets
Property, plant and equipment	40,067	39,594
Goodwill	94,900	94,900
Intangible assets	2,064	1,950
Investments accounted for using the equity method	2,641	2,729
Deferred tax assets	2,806	2,806
Other financial assets	6,940	7,486
Other non-current assets	85	66
Total non-current assets	149,503	149,531
Total assets	178,312	181,323

				(Millions of yen)
		As of		As of
		February 28, 2022		May 31, 2022
Liabilities and Equity
Liabilities
Current liabilities
Trade and other payables	6,691	6,116
Borrowings	37,481	38,864
Income taxes payable	2,222	1,649
Liabilities for employee benefits	12,005	13,029
Other financial liabilities	6,095	6,053
Other current liabilities	2,909	4,265
Total current liabilities	67,403	69,976
Non-current liabilities
Borrowings	21,971	21,973
Provisions	2,211	2,381
Liabilities for employee benefits	652	655
Deferred tax liabilities	8	8
Other financial liabilities	26,569	26,005
Other non-current liabilities	9	10
Total non-current liabilities	51,420	51,032
Total liabilities	118,823	121,008
Equity
Common stock	27,079	27,079
Capital surplus	3,478	3,475
Other components of equity	(57)	402
Retained earnings	28,783	29,134
Treasury shares	(297)	(285)
Total equity attributable to owners of the parent	58,986	59,805
Non-controlling interest	503	510
Total equity	59,489	60,315
Total liabilities and equity	178,312	181,323