Escrow Agent Japan : Summary of Consolidated Financial Results for the Three Months Ended May 31, 2022(Based on Japanese GAAP)

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 Three Months Ended May 31, 2022 (Based on Japanese GAAP)

July 8, 2022

Company name:

Escrow Agent Japan, Inc.

Stock exchange listing:

Tokyo

Stock code:

6093

URL

https://www.ea-j.jp/

Representative:

Representative Director, President and Chief

Shoichiro Narimiya

Executive Officer

Inquiries:

Director and Executive Officer

Masakage Ota

TEL [phone]

Scheduled date to file Quarterly Securities Report:

July 8, 2022

Scheduled date to commence dividend payments:

-

Preparation of supplementary material on quarterly financial results:

No

Holding of quarterly financial results meeting:

No

(Amounts less than one million yen are rounded down)

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

(1) Consolidated operating results (cumulative)

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

%

Three months ended May 31, 2022

873

11.2

161

14.2

161

11.9

104

10.9

Three months ended May 31, 2021

785

(9.5)

141

(20.4)

144

(19.3)

94

(17.6)

Earnings per share

Diluted earnings per share

Yen

Yen

Three months ended May 31, 2022

2.41

-

Three months ended May 31, 2021

2.18

-

(2) Consolidated financial position

Total assets

Net assets

Equity ratio

Net assets per share

Millions of yen

Millions of yen

%

Yen

As of May 31, 2022

3,856

3,314

86.0

76.34

As of February 28, 2022

4,093

3,379

82.5

77.83

2. Cash dividends

		Annual dividends per share
	1st quarter-end	2nd quarter-end	3rd quarter-end	Fiscal year-end	Total
	Yen	Yen	Yen	Yen	Yen
Year ended February 28, 2022	-	0.00	-	4.00	4.00
Year ending February 28, 2023	-
Year ending February 28, 2023 (Forecast)		0.00	-	4.00	4.00

3. Forecast of consolidated financial results for the year ending February 28, 2023 (from March 1, 2022 to February 28, 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	1,714	14.6	178	(21.7)	179	(22.8)	122	(19.9)	2.82
August 31, 2022
Full year	3,904	9.9	555	(9.6)	596	(3.6)	401	(1.3)	9.24

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4. Notes
(1)	Changes in significant subsidiaries during the three months ended May 31, 2022	No
	(changes in specified subsidiaries resulting in the change in scope of consolidation):
(2)	Application of special accounting methods for preparing quarterly consolidated financial statements:	No
(3)	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
(4)	Number of issued shares (common shares)
	Total number of issued shares at the end of the period (including treasury shares)
		As of May 31, 2022	45,718,369	shares	As of February 28, 2022		45,718,369	shares
	Number of treasury shares at the end of the period
		As of May 31, 2022	2,297,235	shares	As of February 28, 2022		2,296,935	shares
	Average number of shares during the period (cumulative from the beginning of the fiscal year)
		Three months ended May 31, 2022	43,421,334 shares	Three months ended May 31, 2021	43,336,548 shares

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Quarterly consolidated financial statements

Consolidated balance sheets

			(Thousands of yen)
		As of February 28, 2022	As of May 31, 2022
Assets
Current assets
Cash and deposits	2,766,884	2,528,045
Accounts receivable - trade	532,032	583,286
Other	80,156	86,098
Allowance for doubtful accounts	(5,121)	(7,225)
Total current assets	3,373,952	3,190,205
Non-current assets
Property, plant and equipment	93,315	89,395
Intangible assets	244,933	225,601
Investments and other assets	381,614	351,090
Total non-current assets	719,863	666,087
Total assets	4,093,815	3,856,292
Liabilities
Current liabilities
Accounts payable - trade	95,251	84,507
Income taxes payable	133,075	39,214
Provision for bonuses	74,411	25,789
Other	276,526	301,510
Total current liabilities	579,264	451,021
Non-current liabilities
Asset retirement obligations	37,457	37,457
Other	97,804	53,214
Total non-current liabilities	135,262	90,672
Total liabilities	714,527	541,693
Net assets
Shareholders' equity
Share capital	654,377	654,377
Capital surplus	769,217	773,792
Retained earnings	2,501,001	2,432,085
Treasury shares	(548,271)	(548,271)
Total shareholders' equity	3,376,326	3,311,985
Accumulated other comprehensive income
Valuation difference on available-for-sale securities	2,962	2,614
Total accumulated other comprehensive income	2,962	2,614
Total net assets	3,379,288	3,314,599
Total liabilities and net assets	4,093,815	3,856,292

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Consolidated statements of income (cumulative) and consolidated statements of comprehensive income (cumulative)

Consolidated statements of income (cumulative)

			(Thousands of yen)
		Three months ended	Three months ended
		May 31, 2021	May 31, 2022
Net sales	785,681	873,994
Cost of sales	398,273	461,080
Gross profit	387,408	412,914
Selling, general and administrative expenses	246,201	251,628
Operating profit	141,207	161,286
Non-operating income
Interest income	3	0
Rental income	3,980	3,844
Other	2,637	393
Total non-operating income	6,620	4,238
Non-operating expenses
Interest expenses	35	11
Rental expenses	3,366	3,844
Other	16	112
Total non-operating expenses	3,418	3,967
Ordinary profit	144,409	161,556
Profit before income taxes	144,409	161,556
Income taxes - current	33,108	26,693
Income taxes - deferred	16,785	30,093
Total income taxes	49,894	56,786
Profit	94,514	104,769
Profit attributable to owners of parent	94,514	104,769

4

Consolidated statements of comprehensive income (cumulative)

		(Thousands of yen)
	Three months ended	Three months ended
	May 31, 2021	May 31, 2022
Profit	94,514	104,769
Other comprehensive income
Valuation difference on available-for-sale securities	94	(347)
Total other comprehensive income	94	(347)
Comprehensive income	94,608	104,422
Comprehensive income attributable to
Comprehensive income attributable to owners of parent	94,608	104,422
Comprehensive income attributable to non-controlling	-	-
interests

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