Gurunavi : Consolidated Financial Results for FY2020

Translation

May 12, 2021

Consolidated Financial Results

for the Fiscal Year Ended March 31, 2021

Name of the Listed Company:	Gurunavi, Inc.
Listed Stock Exchanges:	Tokyo Stock Exchange
Stock Code:	2440
URL:	https://corporate.gnavi.co.jp/en/
Representative:	Akio Sugihara, President and Representative Director
Contact:	Teruhisa Yamada, Senior Managing Executive Officer
	TEL: [phone]

Scheduled date of Annual General Meeting of Shareholders:	June 21, 2021
Scheduled date to commence dividend payments:	-
Scheduled date to submit Securities Report:	June 22, 2021
Preparation of supplementary materials on financial results:	Yes
Holding of financial results presentation meeting:	Yes (for institutional investors and analysts)

(Millions of yen with fractional amounts discarded, unless otherwise noted.)

1. Consolidated financial results for the fiscal year ended March 31, 2021 (from April 1,

2020 to March 31, 2021)

(1)	Consolidated operating results					(Percentages indicate year-on-year changes.)
		Net sales			Operating income			Ordinary income		Net income attributable
							to owners of parent
Fiscal year ended	Millions of yen	%	Millions of yen		%		Millions of yen		%	Millions of yen	%
March 31, 2021	16,181	(47.7)	(7,423)		-		(7,269)		-		(9,704)	-
March 31, 2020	30,927	(5.5)	1,826	50.2			1,894	46.9		949	63.2
Note:	Comprehensive income
	Fiscal year ended March 31, 2021:	¥(9,768) million	[		-%]
	Fiscal year ended March 31, 2020:	¥841 million	[	15.6%]
		Basic earnings		Diluted earnings	Return on equity		Ordinary income	Operating income
		per share			per share		on total assets	on net sales
Fiscal year ended	Yen		Yen			%				%		%
March 31, 2021	(206.90)		-			(68.1)				(38.7)		(45.9)
March 31, 2020	20.26			20.25			5.0				7.9		5.9

Reference: Equity in earnings (losses) of affiliates:
Fiscal year ended March 31, 2021:	-
Fiscal year ended March 31, 2020:	-

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(2) Consolidated financial position

	Total assets	Net assets	Equity ratio		Net assets per share
As of	Millions of yen		Millions of yen		%	Yen
March 31, 2021		13,567		9,375		68.5	198.02
March 31, 2020		23,979		19,270		80.1	409.90
Reference: Equity
As of March 31, 2021:	¥9,290 million	As of March 31, 2020:	¥19,211 million

(3) Consolidated cash flows

	Net cash provided by	Net cash provided by	Net cash provided by	Cash and cash
	(used in) operating	(used in) investing	(used in) financing	equivalents at end of
	activities	activities	activities	period
Fiscal year ended	Millions of yen	Millions of yen	Millions of yen	Millions of yen
March 31, 2021	(3,815)	(147)	(187)	7,507
March 31, 2020	4,177	182	(327)	11,653

2. Cash dividends

		Annual dividends		Total amount		Dividends on
						Payout ratio
	First	Second	Third	Fiscal		of dividends	net assets
		(consolidated)
	quarter-	quarter-	quarter-	Total	(total)	(consolidated)
	end	end	end	year-end
	Yen	Yen	Yen	Yen	Yen	Millions of yen	%	%
Fiscal year ended	-	4.00	-	4.00	8.00	374	39.5	2.0
March 31, 2020
Fiscal year ended	-	0.00	-	0.00	0.00	-	-	-
March 31, 2021
Fiscal year ending
March 31, 2022	-	0.00	-	0.00	0.00		-
(Forecast)

3. Consolidated earnings forecasts for the fiscal year ending March 31, 2022 (from April 1, 2021 to March 31, 2022)

(Percentages indicate year-on-year changes.)

							Net income		Basic earnings
	Net sales		Operating income	Ordinary income	attributable to
		per share
							owners of parent
	Millions of		Millions of		Millions of		Millions of
	yen	%	yen	%	yen	%	yen	%	Yen
Six months ending	8,000	37.4	(2,950)	-	(2,950)	-	(2,970)	-	(63.30)
September 30, 2021
Fiscal year ending	19,400	19.9	(2,900)	-	(2,900)	-	(3,000)	-	(63.94)
March 31, 2022

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* Notes

1. Changes in significant subsidiaries during the period under review (changes in specified subsidiaries resulting in change in scope of consolidation): None
2. Changes in accounting policies, changes in accounting estimates, and restatement of prior period financial statements after error corrections
3. 1. Changes in accounting policies due to revisions to accounting standards and other regulations: None
   2. Changes in accounting policies due to other reasons: None
   3. Changes in accounting estimates: None
   4. Restatement of prior period financial statements after error corrections: None
4. Number of shares issued (common shares)
5. 1. Total number of shares issued at the end of the period (including treasury shares)

As of March 31, 2021	48,675,100 shares
As of March 31, 2020	48,675,100 shares

1. Number of treasury shares at the end of the period

As of March 31, 2021	1,757,262 shares
As of March 31, 2020	1,806,562 shares

1. Average number of shares during the period

Fiscal year ended March 31, 2021	46,903,520 shares
Fiscal year ended March 31, 2020	46,844,577 shares

Reference: Summary of non-consolidated financial results
Non-consolidated	financial results for the fiscal year ended March 31, 2021 (from April 1,
2020 to March 31, 2021)
(1) Non-consolidated operating results			(Percentages indicate year-on-year changes.)
	Net sales		Operating income	Ordinary income	Net income
Fiscal year ended	Millions of yen	%	Millions of yen	%	Millions of yen	%	Millions of yen	%
March 31, 2021	16,168	(47.7)	(7,545)	-	(6,921)	-	(9,311)	-
March 31, 2020	30,894	(5.5)	1,720	61.1	1,779	58.4	867	93.4
	Basic earnings	Diluted earnings
	per share		per share
Fiscal year ended		Yen		Yen
March 31, 2021	(198.53)		-
March 31, 2020	18.52	18.51
(2) Non-consolidated financial position
	Total assets	Net assets	Equity ratio		Net assets per share
As of	Millions of yen	Millions of yen		%		Yen
March 31, 2021		13,261		9,036		67.5		190.79
March 31, 2020		23,236		18,545		79.6		394.44
Reference: Equity
As of March 31, 2021:	¥8,951 million	As of March 31, 2020: ¥18,486 million

• Financial results reports are exempt from audit conducted by certified public accountants or an audit corporation.
• Proper use of earnings forecasts, and other special matters

Forward-looking statements, including the consolidated forecasts stated in these materials, are based on information currently available to the Company and certain assumptions deemed reasonable. Consequently, any statements herein do not constitute assurances regarding actual results by the Company. Actual business and other results may differ materially due to various factors.

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Consolidated financial statements

(1) Consolidated balance sheet

				(Thousands of yen)
			As of March 31, 2020	As of March 31, 2021
Assets
	Current assets
		Cash and deposits	11,653,173	7,507,254
		Notes and accounts receivable - trade	4,172,261	2,741,754
		Accounts receivable - other	1,511,515	1,154,849
		Other	871,123	842,395
		Allowance for doubtful accounts	(205,621)	(581,667)
		Total current assets	18,002,452	11,664,585
	Non-current assets
		Property, plant and equipment
		Buildings and structures, net	380,942	-
		Other, net	463,352	-
		Total property, plant and equipment	844,294	-
		Intangible assets
		Software	1,750,689	-
		Other	72,835	-
		Total intangible assets	1,823,525	-
		Investments and other assets
		Investment securities	825,841	608,165
		Deferred tax assets	819,433	-
		Leasehold and guarantee deposits	1,594,025	1,274,138
		Other	70,095	20,991
		Total investments and other assets	3,309,395	1,903,296
		Total non-current assets	5,977,215	1,903,296
	Total assets	23,979,668	13,567,882

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					(Thousands of yen)
				As of March 31, 2020	As of March 31, 2021
Liabilities
	Current liabilities
		Notes and accounts payable - trade	153,667	143,539
		Income taxes payable	505,411	57,599
		Provision for bonuses	587,296	247,272
		Provision for point card certificates	209,520	158,979
		Accounts payable - other	2,154,388	1,482,069
		Asset retirement obligations	-	111,738
		Deposits received	315,724	1,675,578
		Other	523,961	147,280
		Total current liabilities	4,449,971	4,024,059
	Non-current liabilities
		Asset retirement obligations	258,238	167,531
		Other	900	900
		Total non-current liabilities	259,138	168,431
	Total liabilities	4,709,110	4,192,490
Net assets
	Shareholders' equity
		Share capital	2,334,300	2,334,300
		Capital surplus	2,884,780	2,884,780
		Retained earnings	18,732,221	8,745,156
		Treasury shares	(4,777,121)	(4,646,756)
		Total shareholders' equity	19,174,181	9,317,480
	Accumulated other comprehensive income
		Valuation difference on available-for-sale	65,015	(6,308)
		securities
		Foreign currency translation adjustment	(27,800)	(20,477)
		Total accumulated other comprehensive income	37,214	(26,786)
	Share acquisition rights	59,162	84,698
	Total net assets	19,270,557	9,375,392
Total liabilities and net assets	23,979,668	13,567,882

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