Bic Camera : Consolidated Financial Results for the Fiscal Year Ended August 31, 2022

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 August 31, 2022

(Based on Japanese GAAP)

October 12, 2022

Company name:

BIC CAMERA INC.

Stock exchange listing:

Tokyo

Stock code:

3048

URL https://www.biccamera.co.jp/ir/

Representative:

Representative Director and President

Toru Akiho

Inquiries:

Managing Director, Business Management

Toru Abe

TEL

03-3987-8785

Headquarters

Scheduled date of annual general meeting of shareholders:

November 17, 2022

Scheduled date to commence dividend payments:

November 18, 2022

Scheduled date to file Securities Report:

November 18, 2022

Preparation of supplementary material on financial results:

Yes

Holding of financial results meeting:

Yes

(for institutional investors and analysts)

(Amounts less than one million yen are rounded down)

1. Consolidated financial results for the year ended August 31, 2022 (from September 1, 2021 to August 31, 2022)

(1) Consolidated operating results

Percentages indicate year-on-year changes

Net sales

Operating profit

Ordinary profit

Profit attributable to

owners of parent

Millions of yen

%

Millions of yen

%

Millions of yen

%

Millions of yen

%

Year ended August 31, 2022

792,368

-

17,863

-

20,808

-

5,765

-

Year ended August 31, 2021

834,060

(1.6)

18,217

51.0

21,629

47.2

8,761

60.7

Note: Comprehensive income

Year ended August 31, 2022

¥9,096 million

[-%]

Year ended August 31, 2021

¥12,095 million

[15.7%]

Note: The Company has applied the "Accounting Standard for Revenue Recognition" (ASBJ Statement No. 29, March 31, 2020) and relevant ASBJ regulations effective from the beginning of the fiscal year ended August 31, 2022. Each figure for the fiscal year ended August 31, 2022 is the figure after applying the accounting standard and relevant ASBJ regulations. Therefore, the percentages of change from the previous year are not stated.

			Earnings per share	Diluted earnings	Return on equity	Ordinary profit/	Operating profit/
				per share	total assets	net sales
				Yen		Yen		%		%	%
Year ended August 31, 2022		33.22		33.16		4.2		4.6	2.3
Year ended August 31, 2021		49.80		49.75		6.2		4.7	2.2
Reference:	Share of profit (loss) of entities accounted for using equity method	Year ended August 31, 2022:	¥19 million
							Year ended August 31, 2021:	¥192 million
(2) Consolidated financial position
			Total assets		Net assets	Equity ratio		Net assets per share
			Millions of yen	Millions of yen			%		Yen
As of August 31, 2022			456,466		169,133			28.8		767.54
As of August 31, 2021			454,466		179,523			31.6		816.94
Reference:	Equity	As of August 31, 2022:	¥131,375 million
		As of August 31, 2021:	¥143,730 million

Note: The Company has applied the "Accounting Standard for Revenue Recognition" (ASBJ Statement No. 29, March 31, 2020) and relevant ASBJ regulations effective from the beginning of the fiscal year ended August 31, 2022. Each figure as of August 31, 2022 is the figure after applying the accounting standard and relevant ASBJ regulations.

(3) Consolidated cash flows

	Cash flows from	Cash flows from	Cash flows from	Cash and cash equivalents
	operating activities	investing activities	financing activities	at end of period
	Millions of yen	Millions of yen	Millions of yen	Millions of yen
Year ended August 31, 2022	25,317	(18,076)	(26,565)	89,536
Year ended August 31, 2021	7,763	(12,356)	(4,387)	108,857
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2. Cash dividends

		Annual dividends per share		Total cash	Dividend	Ratio of
						dividends to
	1st quarter-	2nd quarter-	3rd quarter-	Fiscal year-		dividends	payout ratio
	Total	net assets
	(Total)	(Consolidated)
	end	end	end	end		(Consolidated)
	Yen	Yen	Yen	Yen	Yen	Millions of yen	%	%
Year ended	-	5.00	-	10.00	15.00	2,639	30.1	1.9
August 31, 2021
Year ended	-	5.00	-	10.00	15.00	2,580	45.2	1.9
August 31, 2022
Year ending
August 31, 2023	-	5.00	-	10.00	15.00		32.9
(Forecast)

3. Forecast of consolidated financial results for the year ending August 31, 2023 (from September 1, 2022 to August 31, 2023)

Percentages indicate year-on-year changes

Net sales

Operating profit

Ordinary profit

Profit attributable to

Earnings per share

owners of parent

Millions of yen

%

Millions of yen

%

Millions of yen

%

Millions of yen

%

Yen

Six months ending

407,000

3.7

6,900

(26.9)

8,000

(25.0)

2,800

(41.3)

16.36

February 28, 2023

Full year

823,500

3.9

17,300

(3.2)

19,300

(7.3)

7,800

35.3

45.57

4. Notes

(1) Changes in significant subsidiaries during the year ended August 31, 2022

No

(changes in specified subsidiaries resulting in the change in scope of consolidation):

(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:

Yes

Changes in accounting policies due to other reasons:

No

Changes in accounting estimates:

No

Restatement of prior period financial statements:

No

(3) Number of issued shares (common shares)

Total number of issued shares at the end of the period (including treasury shares)

As of August 31, 2022

188,146,304

shares

As of August 31, 2021

188,146,304

shares

Number of treasury shares at the end of the period

As of August 31, 2022

16,981,502

shares

As of August 31, 2021

12,207,800

shares

Average number of shares during the period

Year ended August 31, 2022

173,570,349

shares

Year ended August 31, 2021

175,937,583

shares

2

Reference: Summary of non-consolidated financial results
Non-consolidated financial results for the year ended August 31, 2022 (from September 1, 2021 to August 31, 2022)
(1) Non-consolidated operating results				Percentages indicate year-on-year changes
	Net sales		Operating profit	Ordinary profit	Profit
	Millions of yen	%	Millions of yen	%	Millions of yen	%	Millions of yen	%
Year ended August 31, 2022	405,608	-	75	-	3,294	-	2,057	-
Year ended August 31, 2021	440,298	(4.4)	503	-	3,900	521.9	1,358	-
	Earnings per share	Diluted earnings per share
		Yen		Yen
Year ended August 31, 2022		11.85		11.85
Year ended August 31, 2021		7.72		7.72

Note: The Company has applied the "Accounting Standard for Revenue Recognition" (ASBJ Statement No. 29, March 31, 2020) and relevant ASBJ regulations effective from the beginning of the fiscal year ended August 31, 2022. Each figure for the fiscal year ended August 31, 2022 is the figure after applying the accounting standard and relevant ASBJ regulations. Therefore, the percentages of change from the previous year are not stated.

(2) Non-consolidated financial position

		Total assets	Net assets	Equity ratio	Net assets per share
		Millions of yen	Millions of yen	%	Yen
As of August 31, 2022			312,594	86,586	27.7	505.57
As of August 31, 2021			316,050	101,024	31.9	573.73
Reference: Equity	As of August 31, 2022:	¥86,536 million
	As of August 31, 2021:	¥100,940 million

Note: The Company has applied the "Accounting Standard for Revenue Recognition" (ASBJ Statement No. 29, March 31, 2020) and relevant ASBJ regulations effective from the beginning of the fiscal year ended August 31, 2022. Each figure as of August 31, 2022 is the figure after applying the accounting standard and relevant ASBJ regulations.

• Financial results reports are exempt from audit conducted by certified public accountants or an audit corporation.
• Proper use of forecasts of financial results, and other special matters (Caution concerning forward-looking statements)
  The forward-looking statements, including the earnings forecasts, shown in this document are based on information currently available to the Company and on certain assumptions deemed to be reasonable. Consequently, the statements herein do not constitute assurances regarding the
  Company's actual results. Actual financial results may differ substantially due to various factors.
  (How to obtain supplementary materials on financial results and contents of financial results meeting)
  The Company plans to hold the financial results meeting for institutional investors and analysts on Tuesday, October 18, 2022. The images (video) and explanation contents (audio) of the presentation will be posted on the Company's website along with the financial results materials.

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Consolidated financial statements

Consolidated balance sheets

		(Millions of yen)
	As of August 31, 2021	As of August 31, 2022
Assets
Current assets
Cash and deposits	108,973	91,081
Accounts receivable - trade	37,501	41,672
Merchandise and finished goods	98,584	100,872
Raw materials and supplies	560	513
Program right	136	176
Other	12,575	18,128
Allowance for doubtful accounts	(253)	(186)
Total current assets	258,077	252,258
Non-current assets
Property, plant and equipment
Buildings and structures	64,802	83,604
Accumulated depreciation	(37,760)	(55,692)
Buildings and structures, net	27,041	27,912
Machinery, equipment and vehicles	3,680	6,864
Accumulated depreciation	(2,037)	(2,790)
Machinery, equipment and vehicles, net	1,643	4,074
Land	46,984	47,594
Leased assets	8,667	8,541
Accumulated depreciation	(6,947)	(7,318)
Leased assets, net	1,720	1,222
Construction in progress	837	279
Other	25,183	27,129
Accumulated depreciation	(17,636)	(21,182)
Other, net	7,546	5,946
Total property, plant and equipment	85,774	87,030
Intangible assets
Goodwill	4,742	5,496
Other	26,297	24,725
Total intangible assets	31,040	30,222
Investments and other assets
Investment securities	12,229	13,192
Long-term loans receivable	1,078	416
Deferred tax assets	20,812	24,466
Retirement benefit asset	3,041	2,942
Guarantee deposits	41,809	41,094
Other	921	5,019
Allowance for doubtful accounts	(319)	(176)
Total investments and other assets	79,574	86,954
Total non-current assets	196,388	204,207
Total assets	454,466	456,466

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			(Millions of yen)
		As of August 31, 2021	As of August 31, 2022
Liabilities
Current liabilities
Accounts payable - trade		38,098	42,810
Short-term borrowings		56,496	65,006
Current portion of bonds payable		200	200
Current portion of long-term borrowings		25,387	22,954
Lease liabilities		528	404
Income taxes payable		4,572	2,455
Contract liabilities		-	34,390
Provision for bonuses		3,527	3,867
Provision for point card certificates		13,029	-
Provision for loss on store closings		203	506
Asset retirement obligations		61	524
Other		31,484	24,659
Total current liabilities		173,589	197,781
Non-current liabilities
Bonds payable		600	400
Long-term borrowings		66,491	43,945
Lease liabilities		985	587
Deferred tax liabilities		726	828
Contract liabilities		-	8,942
Provision for goods warranties		402	262
Provision for loss on store closing		438	458
Provision for loss on business of subsidiaries	and	-	54
associates
Retirement benefit liability		18,323	19,767
Asset retirement obligations		9,230	10,187
Other		4,154	4,116
Total non-current liabilities		101,353	89,551
Total liabilities		274,942	287,332
Net assets
Shareholders' equity
Share capital		25,929	25,929
Capital surplus		27,103	27,107
Retained earnings		105,983	98,753
Treasury shares		(16,729)	(21,693)
Total shareholders' equity		142,287	130,097
Accumulated other comprehensive income
Valuation difference on available-for-sale securities		1,593	1,599
Remeasurements of defined benefit plans		(149)	(321)
Total accumulated other comprehensive income		1,443	1,278
Share acquisition rights		151	183
Non-controlling interests		35,640	37,574
Total net assets		179,523	169,133
Total liabilities and net assets		454,466	456,466

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