July 14, 2021 | ||
Consolidated Summary Report for the Fiscal Year Ended May 31, 2021 | ||
[Japanese GAAP] | ||
Company Name: BOOKOFF GROUP HOLDINGS LIMITED | Stock Exchange: Tokyo | |
Code Number: | 9278 | URL: https://www.bookoffgroup.co.jp/en/ |
Representative: | Yasutaka Horiuchi, President and CEO | |
Inquiries: | Ryotaro Hara, General Manager of Corporate Planning Department Tel: +81 -42-750-8588 | |
General meeting of shareholders: | August 28, 2021 | |
Dividend payment date: | August 30, 2021 | |
Securities report issue date: | August 30, 2021 | |
Supplementary materials of financial results: | Yes | |
Financial results briefing: | Yes |
(Amounts less than one million yen are rounded down)
1. Consolidated Financial Results for the Fiscal Year Ended May 31, 2021 (April 1, 2020 - May 31, 2021)
(1) Consolidated Results of Operations | (Percentage figures represent year-on-year changes) | |||||||
Net sales | Operating profit | Ordinary profit | Profit attributable to | |||||
owners of parent | ||||||||
Million yen | YoY change | Million yen | YoY change | Million yen | YoY change | Million yen | YoY change | |
% | % | % | % | |||||
Fiscal year ended May 31, 2021 | 93,597 | - | 1,936 | - | 2,509 | - | 157 | - |
Fiscal year ended Mar. 31, 2020 | 84,389 | 4.4 | 1,428 | (7.8) | 1,898 | (10.5) | 240 | (88.9) |
(Note) Comprehensive income | Fiscal year ended May 31, 2021: | ¥201 million | (-%) | ||||
Fiscal year ended Mar. 31, 2020: | ¥232 million | (down 89.7%) | |||||
Net income per | Fully diluted net | Return on | Ratio of ordinary | Operating | |||
share | income per share | equity | profit to total assets | profit margin | |||
Yen | Yen | % | % | % | |||
Fiscal year ended May 31, 2021 | 9.03 | - | 1.2 | 6.1 | 2.1 | ||
Fiscal year ended Mar. 31, 2020 | 13.77 | - | 1.9 | 4.6 | 1.7 | ||
(Reference) Equity in earnings (losses) of associates | Fiscal year ended May 31, 2021: | ¥(9) million | |||||
Fiscal year ended Mar. 31, 2020: | ¥13 million |
(Note) No year-on-year comparisons are shown because the fiscal year ended on May 31, 2021 is a 14 -month transitional fiscal period due to the change in the fiscal year.
(2) Consolidated Financial Condition
Total assets | Net assets | Equity ratio | Net assets per share | |||||||||||||||||||
Million yen | Million yen | % | Yen | |||||||||||||||||||
As of May 31, 2021 | 40,321 | 12,944 | 31.9 | 736.74 | ||||||||||||||||||
As of Mar. 31, 2020 | 41,535 | 12,848 | 30.7 | 731.85 | ||||||||||||||||||
(Reference) Shareholders' equity | As of May 31, 2021: ¥12,854 million | As of Mar. 31, 2020: ¥12,768 million | ||||||||||||||||||||
(3) Consolidated Cash Flows | ||||||||||||||||||||||
Cash flows from | Cash flows from | Cash flows from | Cash and cash equivalents | |||||||||||||||||||
operating activities | investing activities | financing activities | at the end of period | |||||||||||||||||||
Million yen | Million yen | Million yen | Million yen | |||||||||||||||||||
Fiscal year ended May 31, 2021 | 2,235 | (1,331) | (1,158) | 5,837 | ||||||||||||||||||
Fiscal year ended Mar. 31, 2020 | 3,543 | (2,744) | (832) | 6,094 | ||||||||||||||||||
2. Dividends | ||||||||||||||||||||||
Dividend per share | Total | Dividend | Dividends on | |||||||||||||||||||
End of | End of | End of | End of | End of | Full | payout ratio | net assets ratio | |||||||||||||||
dividends | ||||||||||||||||||||||
1Q | 2Q | 3Q | 4Q | FY | year | (Consolidated) | (Consolidated) | |||||||||||||||
Yen | Yen | Yen | Yen | Yen | Yen | Million | % | % | ||||||||||||||
yen | ||||||||||||||||||||||
Fiscal year ended Mar. 31, 2020 | - | 0.00 | - | - | 6.00 | 6.00 | 104 | 43.6 | 0.8 | |||||||||||||
Fiscal year ended May 31, 2021 | - | 0.00 | - | - | 6.00 | 6.00 | 104 | 66.4 | 0.8 | |||||||||||||
Fiscal year ending May 31, 2022 (est.) | - | 0.00 | - | - | 8.00 | 8.00 | 34.9 |
3. Consolidated Forecast for the Fiscal Year Ending May 31, 2022 (June 1, 2021 - May 31, 2022)
(Percentage figures represent year-on-year changes)
Net sales | Operating profit | Ordinary profit | Profit attributable to | Net income | |||||
owners of parent | per share | ||||||||
Million yen | YoY change | Million yen | YoY change | Million yen | YoY change | Million yen | YoY change | Yen | |
% | % | % | % | ||||||
Full year | 85,000 | - | 950 | - | 1,200 | - | 400 | - | 22.93 |
(Notes) 1. Only the full-year forecast is shown because BOOKOFF GROUP HOLDINGS manages performance on a fiscal year basis. Please see "1. Overview of Results of Operations" on page 2 of the attachments for further information.
2. No prior-year comparisons are shown because the fiscal year ended on May 31, 2021 is a 14-month transitional fiscal period (from April 1, 2020 to May 31, 2021) due to the change in the fiscal year.
Notes:
1. Significant changes in subsidiaries during the period (changes in specific subsidiaries accompanied by changes in the scope of consolidation): None
New: - (company name) | Excluded: - (company name) |
2. Changes in accounting policies and accounting-based estimates, and restatements
- Changes due to revision of accounting standards: None
- Changes due to other reasons: None
- Changes in accounting-based estimates: None
- Restatements: None
3. Number of shares outstanding (common shares) | (Shares) |
- Shares outstanding (including treasury shares)
- Treasury shares
- Average number of shares outstanding
As of May 31, 2021 | 20,547,413 | As of Mar. 31, 2020 | 20,547,413 |
As of May 31, 2021 | 3,100,000 | As of Mar. 31, 2020 | 3,100,000 |
Fiscal year ended May 31, 2021 | 17,447,413 | Fiscal year ended Mar. 31, 2020 | 17,447,413 |
- The current financial report is not subject to audit by certified public accountants or auditing firms.
- Cautionary statement regarding forecasts of operating results and special notes
(Forward-looking statements)
Forward-looking statements in these materials are based on information available to management at the time this report was prepared and assumptions that management believes are reasonable. This report is not promises by BOOKOFF GROUP HOLDINGS regarding future performance. Actual results may differ materially from those projected in the forward -looking statements due to a variety of factors. Please see "1. Overview of Results of Operations" on page 2 of the attachments for items pertaining to the forecast stated above.
BOOKOFF GROUP HOLDINGS LIMITED (9278)
Summary Report for the Fiscal Year Ended May 2021
Table of Contents
1. Overview of Results of Operations | 2 | |
(1) | Results of Operations | 2 |
(2) | Financial Position | 4 |
(3) | Cash Flows | 4 |
(4) | Basic Policy on Profit Distribution and Dividends for FY5/2021 and FY5/2022 | 5 |
2. Basic Approach to the Selection of Accounting Standards | 5 | |
3. Consolidated Financial Statements and Notes | 6 | |
(1) | Consolidated Balance Sheet | 6 |
(2) | Consolidated Statements of Income and Comprehensive Income | 8 |
Consolidated Statement of Income | 8 | |
Consolidated Statement of Comprehensive Income | 9 | |
(3) | Consolidated Statement of Changes in Net Assets | 10 |
(4) | Consolidated Statement of Cash Flows | 12 |
(5) | Notes to Consolidated Financial Statements | 14 |
(Notes Concerning the Going-Concern Premise) | 14 | |
(Important Items that Form the Basis for Preparing Consolidated Financial Statements) | 14 | |
(Consolidated Balance Sheet) | 15 | |
(Consolidated Statement of Income) | 15 | |
(Consolidated Statement of Comprehensive Income) | 16 | |
(Segment Information) | 17 | |
(Per-Share Information) | 18 | |
(Important Subsequent Events) | 18 |
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BOOKOFF GROUP HOLDINGS LIMITED (9278)
Summary Report for the Fiscal Year Ended May 2021
1. Overview of Results of Operations
(1) Results of Operations
Forward-looking statements in this Consolidated Summary Report are based on information available to management as of the end of the fiscal year ended on May 31, 2021.
No year-on-year comparisons are shown because the fiscal year ended on May 31, 2021 is a 14-month transitional fiscal period due to the change in the fiscal year.
Since the start of operations, the BOOKOFF Group has always been guided by the two corporate philosophies of "contributing to society through our business activities" and "the pursuit of employees' material and spiritual wellbeing." We celebrated our 30th anniversary in the fiscal year ended on May 31, 2021. We are currently implementing a medium-term business plan and rededicating ourselves to our corporate philosophies and focusing our activities on the mission of "being a source of an enjoyable and prosperous life for many people."
Based on this mission, we will use our strengths in Japan's growing reuse market to become the leading reuse company with books as the core category. Our goal is to become the reuse store chain used by the largest number of customers as we adapt to changes in market conditions.
We have established two core strategies in order to accomplish this goal.
Core strategy I: Upgrade individual stores
We believe that upgrading reuse services in both our retail format and Internet platform is the starting point for becoming Japan's leading reuse company that serves the largest number of customers. We are working on improvements for all store format packages and services.
Core strategy II: Use all the BOOKOFF Group's strengths
In the past, the BOOKOFF Group provided separate services at stores and through channels other than stores. Now, we are creating an integrated framework that combines the platforms for member s and buying and selling merchandise with systems that support these activities and with other items. In addition, every service will make full use of member and merchandise information, operational expertise, and other resources we have accumulated in every service category. The objective of these activities is to operate as "One BOOKOFF."
During the current fiscal year, we opened three stores in total (BOOKOFF SUPER BAZAAR 1 -Gou Kyoto Fushimi Store and BOOKOFF Onojo Mikasagawa Store in Japan, and Jalan Jalan Japan Tesco Rawang Store in Malaysia.)
Furthermore, we have continued to make substantial investments for improving services for app members and establishing a network of franchised stores using our e-purchasing system. Investments have been also used to create an omni-channel structure that utilizes the BOOKOFF Online website and to move forward with our O2O (online-to-offline) strategy. Conducting all business operations in a cohesive manner as "One BOOKOFF" is the objective of all these initiatives.
In the current fiscal year, the majority of stores directly operated by the BOOKOFF Group temporarily closed or closed only on weekends and holidays in April and May 2020 in response to the state of emergency in Japan and requests to companies to reduce or suspend business activities because of COVID-19. Most stores that altered operations are located in areas where governments made these requests. As a result, existing store sales were much lower than one year earlier. Starting in the middle of Ma y 2020, we reduced operating hours and sales areas at stores and began reopening most stores while taking many actions to prevent COVID -19 infection. Operations generally returned to normal in early June 2020. During the second (from January to March 2021) and third (from April to June 2021) declarations of state of emergency, we continued to operate stores with the utmost care to prevent infection. Directly operated existing store sales in Japan of the BOOKOFF Group were far below sales one year earlier in April and May 2020 but sales from June to August and October 2020 and February to May 2021 were higher than one year earlier. Selling, general and administrative expenses were also lower than the previous fiscal year due to the impact of store closures an d shortened business hours, as well as cost control.
As a result, consolidated net sales amounted to ¥93,597 million. The BOOKOFF Group recorded an operating profit of ¥1,936 million, an ordinary profit of ¥2,509 million, and a profit attributable to owners of parent of ¥157 million.
2
BOOKOFF GROUP HOLDINGS LIMITED (9278)
Summary Report for the Fiscal Year Ended May 2021
(Performance Trends)
(Unit: million yen) | ||
Fiscal year ended March 2020 | Fiscal year ended May 2021 | |
Net sales | 84,389 | 93,597 |
Operating profit | 1,428 | 1,936 |
Ordinary profit | 1,898 | 2,509 |
Extraordinary gains | 18 | - |
Extraordinary losses | 1,015 | 1,536 |
Profit before income taxes | 901 | 973 |
Profit attributable to owners of parent | 240 | 157 |
(Amounts rounded down to the nearest one million yen) |
(Store Opening/Closing)
(Unit: number of stores) | |||||||
Fiscal year ended March 2020 | Fiscal year ended May 2021 | ||||||
Open | Close | Open | Close | ||||
Total store openings/closings | Group | 33 (Note 1) | 11 | 8 (Note 3) | 5 | ||
Franchise | - | 16 (Note 2) | 4 | 15 (Note 4) | |||
Fiscal year-end total | Group | 404 | 407 | ||||
Franchise | 397 | 386 | |||||
Notes: 1. This figure includes nine BOOKOFF stores that were acquired from franchisees and 13 locations of BOOKOFF One-stop Purchasing Consultation Desk, which were added to the number of stores in the fiscal year ended March 2020.
- This figure includes nine BOOKOFF stores that the BOOKOFF Group acquired.
- This figure includes five BOOKOFF stores that were acquired from franchisees.
- This figure includes five BOOKOFF stores that the BOOKOFF Group acquired.
Outlook for the Fiscal Year Ending May 31, 2022
The COVID-19 pandemic has been severely impacted social and economic activities as well as people's lives and consumer spending and the outlook is likely to remain unclear in many countries.
The BOOKOFF Group's operations have been generally returned to normal with measures taken to prevent infections and secure safety of customers and employees. However, depending on the infection situation prevailing in the region, the BOOKOFF Group may be required to shorten its opening hours or close its business due to the declaration of a state of emergency or in response to priority measures introduced to prevent the spread of COVID-19.
Our assumption for the fiscal year ending on May 31, 2022 is that although progress with vaccinations will be achieved in Japan from the first to the third quarter, the number of new infections will remains largely unchanged. We also assume that the number of new infections will not decline and customer sentiment about going out and spending money will not fully recover until the fourth quarter.
The safety of customers and employees will remain the highest priority of store operations in order to prevent the spread of COVID-19. We will also use BOOKOFF Online and other e -commerce channels to serve our customers. At the same time, there will be more activities based on the medium -term business policies of "upgrade individual stores" and "use all the BOOKOFF Group's strengths." Major activities include addition of more items and consistent investments for renovation at existing stores, more collaboration between e- commerce and stores, a larger number of smartphone app members, more efficient operat ions, growth outside Japan, and adding new business domains to our operations. The entire BOOKOFF Group will use numerous initiatives during the fiscal year to accomplish the mission of "being a source of an enjoyable and prosperous life for many people."
In the fiscal year ending on May 31, 2022, in addition to the situation with COVID -19, the BOOKOFF Group anticipates that earnings levels will decline, albeit temporarily, due to the implementation of large -scale, strategic IT infrastructure and marketing investments. However, to achieve an early recovery to the level of ¥2 billion in consolidated ordinary profit, the Group will proactively engage in the renovation of BOOKOFF SUPER BAZAAR, a large-scale shopping complex, and open new roadside BOOKOFF stores. These actions
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BOOKOFF Group Holdings Ltd. published this content on 18 August 2021 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 18 August 2021 06:03:06 UTC.