Escrow Agent Japan : Summary of Consolidated Financial Results for the Year Ended February 28, 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 Year Ended February 28, 2022

(Based on Japanese GAAP)

Company name: Escrow Agent Japan, Inc.

Stock exchange listing: Tokyo

Stock code: 6093 URLhttps://www.ea-j.jp/ Representative Director, President and Chief

Shoichiro Narimiya
Executive Officer
Inquiries: Director and Executive Officer	Masakage Ota
Scheduled date of ordinary general meeting of shareholders:	May 26, 2022
Scheduled date to file Securities Report:	May 27, 2022
Scheduled date to commence dividend payments:	May 27, 2022
Preparation of supplementary material on financial results:	Yes
Holding of financial results meeting:	No

Representative:

TEL

03-6703-0500

April 15, 2022

(Amounts less than one million yen are rounded down)

1. Consolidated financial results for the year ended February 28, 2022 (from March 1, 2021 to February 28, 2022)

(1) Consolidated operating results

Percentages indicate year-on-year changes

Net sales	Operating profit	Ordinary profit	Profit attributable to owners of parent
Year ended February 28, 2022 Year ended February 28, 2021	Millions of yen 3,552 3,072	% 15.6 (4.1)	Millions of yen 614 492	% 24.8 13.4	Millions of yen 619 549	% 12.7 24.1	Millions of yen 406 363	% 11.8 26.8

Earnings per share	Diluted earnings per share	Profit attributable to owners of parent/equity	Ordinary profit/total assets	Operating profit/net sales
Year ended February 28, 2022 Year ended February 28, 2021	Yen 9.37 8.52	Yen - 8.49	% 12.4 12.5	% 15.6 15.4	% 17.3 16.0

(2) Consolidated financial position

Total assets	Net assets	Equity ratio	Net assets per share
As of February 28, 2022 As of February 28, 2021	Millions of yen 4,093 3,820	Millions of yen 3,379 3,155	% 82.5 82.6	Yen 77.83 72.80

(3) Consolidated cash flows

Cash flows from operating activities	Cash flows from investing activities	Cash flows from financing activities	Cash and cash equivalents at end of period
Year ended February 28, 2022 Year ended February 28, 2021	Millions of yen 408 414	Millions of yen (185) 110	Millions of yen (182) 69	Millions of yen 2,666 2,626

2. Cash dividends

Annual dividends per share	Total cash dividends (Total)	Dividend payout ratio (Consolidated)	Ratio of dividends to net assets (Consolidated)
1st quarter-end	2nd quarter-end	3rd quarter-end	Fiscal year-end	Total
Year ended February 28, 2021 Year ended February 28, 2022	Yen - -	Yen 0.00 0.00	Yen - -	Yen 4.00 4.00	Yen 4.00 4.00	Millions of yen 173 173	% 46.9 42.7	% 6.0 5.3
Year ending February 28, 2023 (Forecast)	-	0.00	-	4.00	4.00	43.3

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 owners of parent	Earnings per share
Six months ending August 31, 2022 Full year	Millions of yen 1,714 3,904	% 14.6 9.9	Millions of yen 178 555	% (21.7) (9.6)	Millions of yen 179 596	% (22.8) (3.6)	Millions of yen 122 401	% (19.9) (1.3)	Yen 2.82 9.24

4. Notes

• (1) Changes in significant subsidiaries during the year ended February 28, 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: Changes in accounting policies due to other reasons:

  Changes in accounting estimates:

  Restatement of prior period financial statements:

  No No No No

• (3) Number of issued shares (common shares)

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

  As of February 28, 2022

  45,718,369 shares

  As of February 28, 2021

  45,630,483 shares

  Number of treasury shares at the end of the period

  As of February 28, 2022

  2,296,935 shares

  As of February 28, 2021

  2,293,335 shares

  Average number of shares during the period

Year ended February 28, 2022

43,385,605 shares

Year ended February 28, 2021

42,679,437 shares

Consolidated financial statements Consolidated balance sheets

(Thousands of yen)
As of February 28, 2021	As of February 28, 2022
Assets Current assets Cash and deposits Accounts receivable - trade Other Allowance for doubtful accounts	2,826,581 395,439 84,352 (1,673)	2,766,884 532,032 80,156 (5,121)
Total current assets	3,304,699	3,373,952
Non-current assets Property, plant and equipment Buildings Leased assets Other Accumulated depreciation	93,921 30,063 70,692 (109,951)	99,344 33,737 84,925 (124,691)
Total property, plant and equipment	84,725	93,315
Intangible assets Software Software in progress Other	110,926 31,784 7,213	242,739 - 2,194
Total intangible assets	149,925	244,933
Investments and other assets Investment securities Guarantee deposits Long-term time deposits Deferred tax assets Other	123,796 129,029 - 21,862 6,599	83,895 136,979 100,000 54,015 6,724
Total investments and other assets	281,288	381,614
Total non-current assets	515,939	719,863
Total assets	3,820,638	4,093,815
(Thousands of yen)
As of February 28, 2021	As of February 28, 2022
Liabilities Current liabilities Accounts payable - trade Income taxes payable Provision for bonuses Other	95,136 138,226 49,998 251,877	95,251 133,075 74,411 276,526
Total current liabilities	535,239	579,264
Non-current liabilities Asset retirement obligations Retirement benefit liability Long-term accounts payable - other Other	34,665 36,046 - 59,677	37,457 - 35,556 62,247
Total non-current liabilities	130,388	135,262
Total liabilities	665,627	714,527
Net assets Shareholders' equity Share capital Capital surplus Retained earnings Treasury shares	647,065 761,905 2,267,736 (548,271)	654,377 769,217 2,501,001 (548,271)
Total shareholders' equity	3,128,436	3,376,326
Accumulated other comprehensive income Valuation difference on available-for-sale securities	26,574	2,962
Total accumulated other comprehensive income	26,574	2,962
Total net assets	3,155,011	3,379,288
Total liabilities and net assets	3,820,638	4,093,815

Consolidated statements of income and consolidated statements of comprehensive income Consolidated statements of income

(Thousands of yen)
Fiscal year ended February 28, 2021	Fiscal year ended February 28, 2022
Net sales Cost of sales	3,072,866 1,631,753	3,552,931 1,882,825
Gross profit	1,441,113	1,670,106
Selling, general and administrative expenses	948,680	1,055,755
Operating profit	492,432	614,350
Non-operating income Interest income Rental income Gain on investments in investment partnerships Other	40 16,200 50,398 8,377	32 15,740 - 4,391
Total non-operating income	75,016	20,164
Non-operating expenses Interest expenses Rental expenses Share issuance costs Other	143 13,066 1,818 2,732	93 13,750 - 1,444
Total non-operating expenses	17,761	15,289
Ordinary profit	549,687	619,225
Extraordinary income Gain on reversal of share acquisition rights	238	-
Total extraordinary income	238	-
Profit before income taxes	549,925	619,225
Income taxes - current Income taxes - deferred	184,801 1,373	234,342 (21,731)
Total income taxes	186,175	212,610
Profit	363,750	406,614
Profit attributable to owners of parent	363,750	406,614