Takashimaya : Summary of Consolidated Financial Results for the Six Months Ended August 31, 2021

Translation

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 Six Months Ended August 31, 2021
		(Based on Japanese GAAP)
		October 14, 2021
Company name:	Takashimaya Company, Limited
Stock exchange listing:	Tokyo
Stock code:	8233	URL https://www.takashimaya.co.jp
Representative:	President	Yoshio Murata

Inquiries:	General Manager, Public and Investor	Yoshiyuki Nishikata	TEL [phone]
Relations Office
Scheduled date to file Quarterly Securities Report:	October 15, 2021
Scheduled date to commence dividend payments:	November 22, 2021
Preparation of supplementary material on quarterly financial results:	Yes
Holding of quarterly financial results meeting:	Yes	(for analysts)

(Amounts less than one million yen are rounded down)

1. Consolidated financial results for the six months ended August 31, 2021 (from March 1, 2021 to August 31, 2021)

(1) Consolidated operating results (cumulative)								Percentages indicate year-on-year changes
	Operating revenue	Operating profit	Ordinary profit		Profit attributable to
			owners of parent
	Millions of yen		%	Millions of yen		%	Millions of yen			%	Millions of yen		%
Six months ended August 31, 2021	347,189		16.8	(2,014)		-		(559)			-		(4,375)		-
Six months ended August 31, 2020	297,352		(34.4)	(10,217)		-	(10,914)			-		(23,284)		-
	Earnings per share		Diluted earnings per share
				Yen				Yen
Six months ended August 31, 2021			(26.24)					-
Six months ended August 31, 2020			(139.64)					-
(2) Consolidated financial position
	Total assets		Net assets		Equity ratio
	Millions of yen		Millions of yen					%
As of August 31, 2021	1,123,981	412,197				34.8
As of February 28, 2021	1,150,506	415,111				34.3
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			-		12.00				-				12.00			24.00
Year ending February 28, 2022			-		12.00
Year ending February 28, 2022 (Forecast)										-				12.00			24.00

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

	Operating revenue	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	764,000	12.2	6,000		-	6,000		-	2,300		-	13.79

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4. Notes

1. Changes in significant subsidiaries during the six months ended August 31, 2021 (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

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:	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 August 31, 2021	177,759,481	shares	As of February 28, 2021	177,759,481	shares
Number of treasury shares at the end of the period
	As of August 31, 2021	11,026,357	shares	As of February 28, 2021	11,026,374	shares
Average number of shares during the period (cumulative from the beginning of the fiscal year)
	Six months ended August 31, 2021	166,733,120	shares	Six months ended August 31, 2020	166,733,337	shares

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Quarterly consolidated financial statements

Consolidated balance sheets

			(Millions of yen)
		As of February 28, 2021	As of August 31, 2021
Assets
Current assets
Cash and deposits	106,675	82,818
Notes and accounts receivable - trade	100,682	89,935
Securities	8	8
Merchandise and finished goods	41,843	40,222
Work in process	327	325
Raw materials and supplies	1,139	1,227
Other	33,595	42,002
Allowance for doubtful accounts	(664)	(667)
Total current assets	283,607	255,872
Non-current assets
Property, plant and equipment
Buildings and structures, net	184,000	185,394
Land	411,031	414,582
Leased assets, net	3,139	2,904
Right-of-use assets, net	77,281	77,323
Other, net	31,082	23,887
Total property, plant and equipment	706,535	704,092
Intangible assets
Goodwill	2,354	2,414
Leasehold interests in land	10,070	10,456
Right of use assets	4,673	5,855
Other	19,341	19,144
Total intangible assets	36,439	37,869
Investments and other assets
Investment securities	75,222	75,560
Guarantee deposits	26,562	28,208
Other	24,700	24,963
Allowance for doubtful accounts	(2,562)	(2,585)
Total investments and other assets	123,923	126,146
Total non-current assets	866,899	868,108
Total assets		1,150,506	1,123,981

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			(Millions of yen)
		As of February 28, 2021	As of August 31, 2021
Liabilities
Current liabilities
Notes and accounts payable - trade	86,965	88,111
Short-term borrowings	28,220	16,160
Current portion of bonds payable	10,090	51
Commercial papers	10,000	19,000
Lease obligations	7,981	8,511
Income taxes payable	8,356	2,123
Advances received	112,897	117,601
Gift certificates	54,074	56,064
Provision for point card certificates	2,427	2,078
Provision for loss on repair construction of building	3,661	3,661
Other	77,949	56,763
Total current liabilities	402,625	370,128
Non-current liabilities
Bonds payable	60,277	60,265
Long-term borrowings	98,565	106,439
Lease obligations	78,409	79,574
Asset retirement obligations	5,028	5,145
Retirement benefit liability	53,083	52,149
Provision for retirement benefits for directors (and other	310	231
officers)
Provision for environmental measures	241	82
Other	36,854	37,766
Total non-current liabilities	332,769	341,655
Total liabilities	735,395	711,784
Net assets
Shareholders' equity
Share capital	66,025	66,025
Capital surplus	54,790	54,790
Retained earnings	270,615	264,238
Treasury shares	(15,993)	(15,993)
Total shareholders' equity	375,437	369,061
Accumulated other comprehensive income
Valuation difference on available-for-sale securities	8,873	8,556
Deferred gains or losses on hedges	1	(0)
Revaluation reserve for land	2,945	2,945
Foreign currency translation adjustment	5,969	9,354
Remeasurements of defined benefit plans	1,089	896
Total accumulated other comprehensive income	18,879	21,752
Non-controlling interests	20,793	21,383
Total net assets	415,111	412,197
Total liabilities and net assets		1,150,506	1,123,981

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

Consolidated statements of income (cumulative)

			(Millions of yen)
		Six months ended	Six months ended
		August 31, 2020	August 31, 2021
Operating revenue	297,352	347,189
Net sales	268,559	315,080
Cost of sales	204,351	238,861
Gross profit	64,207	76,218
Other operating revenue	28,793	32,108
Operating gross profit	93,001	108,327
Selling, general and administrative expenses
Advertising expenses	7,580	9,429
Provision for point card certificates	917	864
Provision of allowance for doubtful accounts	519	247
Remuneration, salaries and allowances for directors (and other	27,715	28,963
officers)
Retirement benefit expenses	979	698
Rent expenses on real estate	9,275	10,935
Other	56,231	59,202
Total selling, general and administrative expenses	103,219	110,341
Operating loss	(10,217)	(2,014)
Non-operating income
Interest income	376	155
Dividend income	929	410
Subsidy income	77	1,567
Share of profit of entities accounted for using equity method	122	434
Foreign exchange gains	-	605
Other	814	743
Total non-operating income	2,322	3,918
Non-operating expenses
Interest expenses	2,389	2,280
Foreign exchange losses	365	-
Other	264	182
Total non-operating expenses	3,019	2,463
Ordinary loss	(10,914)	(559)
Extraordinary income
Gain on sales of investment securities	-	136
Gain on forgiveness of debts	-	313
Subsidy income	1,473	534
Gain on forgiveness of lease obligations	970	7
Total extraordinary income	2,444	991
Extraordinary losses
Loss on retirement of non-current assets	1,189	810
Impairment loss	1,853	13
Loss related to COVID-19	10,336	2,044
Other	953	9
Total extraordinary losses		14,333	2,878

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