PR TIMES : Summary of Consolidated Financial Results for the Nine Months Ended November 30, 2021 (Based on Japanese GAAP)

Translation

Note: This document has been translated from the Japanese original for reference purposes only. In the event of any discrepancy between this translated document and the Japanese original, the original shall prevail.

Summary of Consolidated Financial Results for the Nine Months Ended November 30, 2021 (Based on Japanese GAAP)

				January 13, 2022
Company name:	PR TIMES, Inc.
Stock exchange listing:	Tokyo
Stock code:	3922	URL https://prtimes.co.jp/
Representative:	President and CEO	TAKUMI YAMAGUCHI
Inquiries:	Director		AKIHIRO MISHIMA	TEL [phone]
Scheduled date to file Quarterly Securities Report:	January 13, 2022
Scheduled date to commence dividend payments:	-

Preparation of supplementary material on quarterly financial results: Yes
Holding of quarterly financial results meeting:		Yes	(for institutional investors and analysts)
							(Amounts less than one million yen are rounded down)
1. Consolidated financial results for the nine months ended November 30, 2021 (from March 1, 2021 to November 30, 2021)
(1) Consolidated operating results (cumulative)							Percentages indicate year-on-year changes
		Net sales		Operating profit			Ordinary profit	Profit attributable to
					owners of parent
Nine months ended		Millions of yen	%	Millions of yen		%		Millions of yen	%	Millions of yen		%
	3,608	-		1,520		-		1,518	-	1,044		-
November 30, 2021
Nine months ended		-	-		-		-		-	-	-		-
November 30, 2020
Note: Comprehensive income	For the nine months ended November 30, 2021:	¥1,043 million	[-%]
	For the nine months ended November 30, 2020:		¥- million	[-%]
		Earnings per share	Diluted earnings per share
Nine months ended			Yen				Yen
		79.45		76.53
November 30, 2021
Nine months ended			-				-
November 30, 2020

Note: Because the Company has prepared quarterly consolidated financial statements starting in the three months ended May 31, 2021, the Company is not stating year-on-year changes for the nine months ended November 30, 2021, or the consolidated operating results (cumulative) and year-on-year changes for the nine months ended November 30, 2020.

(2) Consolidated financial position

		Total assets			Net assets	Equity ratio	Net assets per share
		Millions of yen		Millions of yen	%	Yen
As of November 30, 2021		4,366		3,563	81.6	264.97
As of February 28, 2021		-		-	-	-
Reference: Equity	As of November 30, 2021	¥3,562 million
	As of February 28, 2021		¥-	million

Note: Because the Company has prepared quarterly consolidated financial statements starting in the three months ended May 31, 2021, the Company is not stating the consolidated financial position as of February 28, 2021.

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, 2021	-	0.00	-		0.00	0.00
Year ending February 28, 2022	-	0.00	-
Year ending February 28, 2022					0.00	0.00
(Forecast)
Note: Revisions to the forecast of cash dividends most recently announced: None

3. Forecast of consolidated financial results for the year ending February 28, 2022 (from March 1, 2021 to February 28, 2022)

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
Full year	4,715	-	1,750		-	1,748		-	1,212		-	93.02

Notes: 1 Revisions to the forecast most recently announced: None

2. Because the Company has prepared quarterly consolidated financial statements starting in the three months ended May 31, 2021, the Company is not stating year-on-year changes.

4. Notes

1. Changes in significant subsidiaries during the period (changes in specified subsidiaries resulting in the change in scope of consolidation): None
2. Adoption of accounting treatment specific to the preparation of quarterly consolidated financial statements: Yes
   Note: For more details, please refer to the section of "(3) Notes to quarterly consolidated financial statements, Adoption of accounting treatment specific to the preparation of quarterly consolidated financial statements" of "2. Quarterly consolidated financial statements and significant notes thereto" on page 6 of the attached material.
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:	No
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 November 30, 2021	13,457,200	shares	As of February 28, 2021	13,457,200	shares
Number of treasury shares at the end of the period
	As of November 30, 2021	10,421	shares	As of February 28, 2021	424,931	shares
Average number of shares during the period
	Nine months ended November 30, 2021	13,140,956	shares	Nine months ended November 30, 2020	13,040,376	shares

Note: The Company conducted a 2-for-1 share split of its common shares on August 5, 2020. Number of issued shares at the end of the period, number of treasury shares at the end of the period and average number of shares of common stock outstanding during the period have been calculated assuming that the share split was conducted at the beginning of the previous fiscal year.

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

(Caution regarding forward-looking statements)

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. As such, they do not constitute guarantees by the Company of future performance. Results may differ materially from the consolidated forecasts due to various factors. Please refer to the section of "(3) Explanation of forward-looking information, including consolidated results forecasts" of "1. Qualitative information on quarterly consolidated financial results for the period under review" on page 3 of the attached material for the preconditions for the results forecasts and items to exercise caution in the use of these results forecasts.

(How to obtain supplementary material on quarterly financial results and quarterly financial summary presentation material)

On Thursday, January 13, 2022, the Company plans to post the supplementary material on the quarterly financial results on its website. The Company also plans to hold a quarterly financial summary presentation meeting for institutional investors and securities analysts on the same day.

	PR TIMES, Inc. (3922)
Attached Material
	Index
1. Qualitative information on quarterly consolidated financial results for the period under review.............	2
(1)	Explanation of operating results..........................................................................................................	2
(2)	Explanation of financial position ........................................................................................................	2
(3)	Explanation of forward-looking information, including consolidated results forecasts......................	3
2. Quarterly consolidated financial statements and significant notes thereto ...............................................	4
(1)	Quarterly consolidated balance sheet..................................................................................................	4
(2)	Quarterly consolidated statement of income and comprehensive income ..........................................	5
	Quarterly consolidated statement of income (cumulative).................................................................	5
	Quarterly consolidated statement of comprehensive income (cumulative)........................................	5
(3)	Notes to quarterly consolidated financial statements ..........................................................................	6
	Notes on premise of going concern ....................................................................................................	6
	Notes on significant changes in the amount of shareholders' equity..................................................	6
	Changes in significant subsidiaries during the period under review ..................................................	6
	Adoption of accounting treatment specific to the preparation of quarterly consolidated financial
	statements ...........................................................................................................................................	6
	Segment information ..........................................................................................................................	6
	Significant events after reporting period ............................................................................................	7

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PR TIMES, Inc. (3922)

1. Qualitative information on quarterly consolidated financial results for the period under review

(1) Explanation of operating results

In the nine months ended November 30, 2021, the PR TIMES, Inc. Group (the "Group") invested in the development of new functions, etc. for the future in order to realize our mission of "Towards an age where information inspires hearts and minds" while continuing efforts to strengthen the core structure for the press release distribution service "PR TIMES," which is a key business.

The number of companies using our services has reached 62,415 companies, and 49.3% of listed companies in Japan were using our services. The Group is maintaining a strong growth rate with the number of press releases reaching a record high of 28,534 in November and also due to other factors. As press release materials, 144,887 images were posted in November and 2,406 videos were posted in October, both representing record highs, as the shift to press releases with rich contents continues. In addition, there were 11,814 distribution recipients, 22,559 media users and 206 partner media, and the number of monthly site views for press releases in August was the highest recorded at 58.80 million page views. There has been an enormous response in terms of network effect accompanying the increases for both the distribution side and the receiving side of press releases. As a result, "PR TIMES" has evolved from an information distribution service for press releases, containing media- oriented material, to a PR (Public Relations) platform.

To realize our mission, we are also striving to create business that goes beyond "PR TIMES." Beginning in this fiscal year, we changed the key indicators from number of users to number of paying user companies for "Jooto," our task and project management tool, and from number of accounts to number of paying accounts for "Tayori," our cloud-based information organization tool, and worked to expand usage and improve service. As a result, the number of paying user companies for "Jooto" rose 4.9% quarter on quarter to 1,727 companies and the number of paying accounts for "Tayori" rose 8.0% to 624 accounts. Although both services grew according to plan, their effects on net sales were limited, and we continue to still be in the investment phase.

As a result, for the nine months ended November 30, 2021, the Company posted net sales of

¥3,608,841 thousand, operating profit of ¥1,520,360 thousand, ordinary profit of ¥1,518,938 thousand and profit attributable to owners of parent of ¥1,044,078 thousand. Comparison against the consolidated financial statements for corresponding period of the previous fiscal year or as of the end of the previous fiscal year has not been performed as the Company began preparing the quarterly consolidated financial statements from the first quarter ended May 31, 2021.

Note that the Group has a single segment consisting of the Press Release Distribution Business, and statement of operating results by segment has been omitted.

1. Explanation of financial position Assets
   Total assets at the end of the third quarter under review were ¥4,366,813 thousand.

Current assets at the end of the third quarter under review were ¥3,779,749 thousand. The main factors were cash and deposits of ¥3,132,301 thousand and notes and accounts receivable - trade of ¥610,286 thousand.

Non-current assets at the end of the third quarter under review were ¥587,064 thousand. The main factors were intangible assets of ¥159,109 thousand and investments and other assets of ¥369,884 thousand.

Liabilities

Liabilities at the end of the third quarter under review were ¥802,951 thousand.

Current liabilities at the end of the third quarter under review were ¥800,267 thousand. The main factors were income taxes payable of ¥307,433 thousand, unearned revenue of ¥207,571 thousand, and other current liabilities of ¥221,610 thousand.

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