Slide 1: Materials for Briefing Session on Q2 Financial Results, FY Ending March 2025
（7564） WORKMAN CO., LTD. Materials for Briefing Session on the Financial Results for the Second Quarter of the Fiscal Year Ending March 31, 2025 November 5, 2024
Slide 2: Briefing Contents
Briefing Contents ●Financial Results for the Second Quarter of the Fiscal Year 3 Ending March 31, 2025 ●Overview of Financial Results for the Second Quarter of the 7 Fiscal Year Ending March 31, 2025 ●Plans for the Fiscal Year Ending March 31, 2025 17 ©2024 WORKMAN CO., LTD. All Rights Reserved 2
Slide 3: Financial Results for the Second Quarter
Briefing Contents ●Financial Results for the Second Quarter of the Fiscal Year Ending March 31, 2025 ©2024 WORKMAN CO., LTD. All Rights Reserved 3
Slide 4: Cumulative Income Statement
Cumulative Income Statement （Millions of yen） FY 3/2024 FY 3/2025 YoY FY 3/2025 Vs. ➢ Financial Results Highlights Q2 Ｑ2 （％） Q2 Plans Plans ●Sales at all chain stores Sales at all chain stores 86,498 91,209 +5.4 90,240 +1.1 ・Seasonal products sold briskly in the Q2 accounting period due to the impac
Slide 5: Cumulative Selling, General and Administrative Expenses (SG&A)
Cumulative Selling, General and Administrative Expenses (SG&A) SG&A SG&A ➢ Factors of increase/decrease FY 3/2024 FY 3/2025 (Millions of yen) ratio ratio Change YoY (％) Q2 Q2 ●Labor cost （％） （％） ・Regular salary increase: +5.1％. Average number of employees during the quarter: +30 Sales at all chain s
Slide 6: Balance Sheet
Balance Sheet FY 3/2024 End of FY 3/2025 Change （Millions of yen) Q2 FY 3/2024 Q2 ➢ Factors of increase/decrease Current assets 95,869 101,390 114,690 +2,042 Cash and deposits 64,492 62,640 76,698 +8,510 ●Cash and deposits ・Free cash flow: +14,118 million yen Accounts receivable ・Payments of dividen
Slide 7: Overview of Financial Results for the Second Quarter
Briefing Contents ●Overview of Financial Results for the Second Quarter of the Fiscal Year Ending March 31, 2025 ©2024 WORKMAN CO., LTD. All Rights Reserved 7
Slide 8: Store Openings
Store Openings ●Progress is on track according to the plan adopted at the start of the year. Stand-alone #WORKMAN GIRL roadside stores opened. 1,021 stores at the end of September 2024 (up 10 stores over end-March 2024) Number of New store openings Excluding Number of stores at increase stores at (N
Slide 9: Monthly Trends and Factors
Monthly Trends and Factors ●Rise/Fall in Same-Store Sales, Number of Customers and Average Customer Spending （％） Rise/fall in sales Rise/fall in number of customers Average customer spending Q1 overview Q2 overview While seasonal products sold In addition to growth in the sales of summer steadily, s
Slide 10: Status of Sales
Status of Sales ●Sales at All Chain Stores 91,209 Million Yen ●Sales at existing stores by prefecture All chain stores Existing stores ・Sales of heat-resistant clothing and accessories grew in areas west of Net sales +5.4％ +2.2％ Kanto, and the number of areas with higher sales than last year increas
Slide 11: Status of Sales (Results by Product)
Status of Sales (Results by Product) ●Products for the general market drove sales, while workwear remained steady, benefiting from the high temperatures. ※1.Sales are calculated by product. These are not the product of a customer analysis. ●Trends in the sales ※2.Calculations exclude products on man
Slide 12: Sales by Business Category
Sales by Business Category ●Contribution to sales at all chain stores (Monthly cumulative period) Sales at existing stores are driving growth exceeding the plan. （％） 1 7. 1 . 2. 1 . 1 . △ .2 7.4% 1.2% 1 . . .2 1 . . 1.1 .2 1 2. △ .1 Sales Composition 1 1. . .1 Ratio 1 . (based on all chain stores) 1
Slide 13: Status of Sales (Sales by Product and Factors)
Status of Sales (Sales by Product and Factors) ● roducts related to extreme hot weather drove sales. oth men’s and women’s casualwear performed well. （Millions of yen） FY 3/2024 Q2 FY 3/2025 Q2 Category Factors (YoY) Sales YoY Sales YoY ・Summer supplies (+14.4％) Undergarments・Socks Undergarments, so
Slide 14: Status of Sales: PB Products
Status of Sales (Sales by Product and Factors) ●Sales of PB Products 58,442 Million Yen (Up 5.9％ YoY) ●Sales results by brand ●Changes in the PB ratio （The ratio to sales at all chain stores) Number of items （Millions of yen） (the previous year) Sales value (YoY) 80.0% Work & Outdoor 699（△64） 21,639
Slide 15: Format of Store Operations
Format of Store Operations ●Ratio of Franchise Stores 94.0％ (Down 0.2 points YoY) ●Format of Store Operations for FY 3/25 Q2 ●Number of Stores by Format of Operations SC Training stores End- End- Outsourcing stores (Contract B) Franchise stores (Contract A) Number Format March Up Down Sep. of stores
Slide 16: Inventories (Logistics Cost)
Inventories (Logistics Cost) ●Overall inventory optimization is progressing, but selling autumn/winter products carried over from last year is a challenge. ●Selling price inventories per store ●DC inventories / delivery cost ratio ・Consumption of summer products was steady, and production of autumn/
Slide 17: Plans for the Fiscal Year Ending March 2025
Briefing Contents ●Plans for the Fiscal Year Ending March 31, 2025 ©2024 WORKMAN CO., LTD. All Rights Reserved 17
Slide 18: Plans for FY Ending March 31, 2025: Management Policy
Plans for FY Ending March 31, 2025 ●Management Policy 1. order to revitalize existing stores. Maintain sales growth by aggressively opening stores and improving operations in 2. a flexible pricing policy. Improve profitability by developing products with increased added value and adopting Store Open
Slide 19: Store Opening Plans
Store Opening Plans ●There are no changes in the plan in terms of store openings, closures, or renovations. In the second half of the year, opening of #WORKMAN GIRL stores will accelerate. Number of Openings set for FY 3/25 Excluding Number of Medium/ stores at increase/ (Number of stores) S＆B※2 Ren
Slide 20: Product Development
Product Development ●Enhance casualwear in line with the expansion of the network of stores for general customers ●Enhance the casualwear line-up ●Pursue functionality Ladies Men’s Kids ・Differentiate the line from other business categories by expanding products ・Develop clothing that meets demands
Slide 21: Pricing Policy for the Fiscal Year Ending March 2025
Pricing Policy for the Fiscal Year Ending March 2025 ●In light of the ongoing weakening of the yen, secure profitability by reviewing the prices of some products. ●Forward exchange contracts ●Average settlement rate (accounting period) ・No additional contracts were booked during the quarter. ・A stab
Slide 22: Sales Strategy
Sales Strategy ●Motivate customers to visit stores and overhaul sales floors, aiming to increase customer satisfaction. ●Presentation of new 2024 autumn/winter products ●Sales strategy for the second half of the year Optimize inventory １. Manage inventory taking into account carry-over of autumn/win
Slide 23: Plans for the Fiscal Year Ending March 2025
Plans for the Fiscal Year Ending March 2025 ●Progress has exceeded plan targets up to Q2. Revision of the full-year earnings forecast will be considered based on Q3 sales. （％） Sales at all chain stores 183,980 Million yen YoY +5.0％ Sales at all chain stores Rate of progression 49.6％ Total operating
Slide 24: Disclaimer
■We have prepared this document solely for the purpose of facilitating understanding of WORKMAN, and not for the purpose of soliciting investment in the Company. As such, investors are advised to make investment decisions at their own discretion. ■ Whereas every effort has been made to ensure the ac