Round One CorporationTSE: 4680

Analysis of present states and future prospects「Term 2023.3 2Q(Apr.2022～Sep.2022)Outline of Financial Results」

· Issued by Round One Corporation

FY 2023.3 2Q (Apr.2022～Sep.2022) Outline of Financial Results

Nanjing Jiangning Golden Eagle

(Nanjing, Jiangsu, China)

July 8, 2022 Open!

Roseville

South Hill

(Roseville, California, USA)

(Puyallup, Washington, USA)

August 6, 2022 Open!

August 13, 2022 Open!

Analysis of consolidated operating results

Apr. 2022~Sep.2022 Actual [In comparison with FY 2020.3 (before COVID-19)]

(Unit ¥bn) ※Figures below ¥10 million are truncated. Percentage is rounded off to one decimal place.

Unit

FY 2020.3 Actual

FY 2023.3 Actual

Dif.(%)

(2019.4~2019.9)

(2022.4~2022.9)

Total at the end of the term ①

Store

137

152

+10.9

Bowling

12.05

11.88

(1.4)

Amusement

27.08

41.12

+51.9

Karaoke, Food

5.66

6.00

+6.0

Spo-cha

6.81

6.91

+1.6

Cre-cha

―

0.12

―

Others

1.58

1.42

(10.0)

Total sales

53.18

67.48

+26.9

Cost of sales

45.69

58.43

+27.9

P/L

Gross profit

7.49

9.05

+20.8

S.G.A. expenses

1.68

2.12

+26.4

Operating profit

5.81

6.92

+19.2

Non-operating income &

(0.11)

0.18

―

expenses

Ordinary profit ②

5.70

7.11

+24.8

Ordinary profit margin

10.7％

10.5％

―

Extraordinary income & loss ③

(0.29)

(0.03)

―

Profit before income taxes

5.40

7.08

+31.1

Income taxes

1.69

1.84

+8.5

Profit

3.70

5.24

+41.4

-1-

  • [Number of stores]

Japan：99 stores (1 store opened, 5 stores closed） The USA : 49 stores (17 stores opened, 2 stores closed) China : 4 stores (4 stores opened)

  • [Ordinary profit] ※1

FY 2020.3 2nd Q Actual

Ordinary profit

¥5.70bn

◆Japan Ordinary profit & loss

¥(2.70)bn

[Breakdown] Increase in Promotion exp.

¥(1.76)bn

(Amusement prize exp., etc.)

Increase in Lease Fee for amusement

¥(0.99)bn

machines

Decrease in Sales

¥(0.81)bn

Increase in Utility exp.

¥(0.59)bn

Decrease in Advertising exp.

+¥0.51bn

Decrease in Purchases

+¥0.33bn

Decrease in Communication exp.

+¥0.24bn

Decrease in Other exp.

+¥0.37bn

◆The USA Ordinary Profit & loss ※2

+¥4.71bn

◆China and Other

¥(0.60)bn

FY 2023.3 2nd Q Actual

Ordinary profit

¥7.11bn

※1 Ordinary profit is compared excluding royalty.

FY 2020.3 2nd Q Actual … Japan ¥5.15bn, The USA ¥0.56bn FY 2023.3 2nd Q Actual … Japan ¥2.45bn, The USA ¥5.27bn

Ordinary profit including royalty is below.

FY 2020.3 2nd Q Actual … Japan ¥5.26bn, The USA ¥0.45bn FY 2023.3 2nd Q Actual … Japan ¥3.67bn, The USA ¥4.05bn

※2 Profit & loss in comparison per a store

FY 2020.3 2nd Q Actual (Operating months : 195) Sales ¥0.29bn, Gross profit ¥0.03bn

FY 2023.3 2nd Q Actual (Operating months : 281) Sales ¥0.52bn, Gross profit ¥0.13bn

  • [Extraordinary income & loss breakdown]

FY 2020.3 2nd Q Actual Extraordinary income & loss ¥(0.29)bn

・ Loss on retirement of non-current assets, etc.

¥(0.29)bn

FY 2023.3 2nd Q Actual Extraordinary income & loss ¥(0.03)bn

・ Gain on reversal of share acquisition rights

+¥0.08bn

・ Loss on retirement of non-current assets, etc.

¥(0.11)bn

Analysis of consolidated operating results

Apr. 2022~Sep. 2022 Actual [with Plan]

(Unit ¥bn) ※Figures below ¥10 million are truncated. Percentage is rounded off to one decimal place.

Unit

FY 2023.3 Plan

FY 2023.3 Actual

Dif.(%)

(2022.4~2022.9)

(2022.4~2022.9)

Total at the end of the term

Store

152

152

―

Bowling

11.79

11.88

+0.8

Amusement

38.64

41.12

+6.4

Karaoke, Food

5.73

6.00

+4.7

Spo-cha

7.03

6.91

(1.7)

Cre-cha

0.14

0.12

(15.7)

Others

1.39

1.42

+1.9

Total sales

64.76

67.48

+4.2

Cost of sales

55.95

58.43

+4.4

P/L

Gross profit

8.80

9.05

+2.9

S.G.A. expenses

2.15

2.12

(1.5)

Operating profit

6.64

6.92

+4.3

Non-operating income &

0.04

0.18

+323.2

expenses

Ordinary profit ①

6.68

7.11

+6.4

Ordinary profit margin

10.3％

10.5％

―

Extraordinary income & loss ②

(0.05)

(0.03)

―

Profit before income taxes

6.63

7.08

+6.8

Income taxes

1.77

1.84

+4.1

Profit

4.86

5.24

+7.8

  • [Ordinary profit] ※1

FY 2023.3 2nd Q Plan

Ordinary profit

¥6.68bn

◆Japan Ordinary profit & loss

¥(0.81)bn

[Breakdown]

Increase in Promotion exp.

¥(0.19)bn

(Amusement prize exp., etc.)

Increase in Utility exp.

¥(0.16)bn

Increase in Sales

+¥0.14bn

Increase in Lease Fee for amusement

¥(0.14)bn

machines

Increase in Advertising exp.

¥(0.11)bn

Increase in Communication exp.

¥(0.08)bn

Increase in Supplies exp.

¥(0.08)bn

Increase in Other exp. ※2

¥(0.19)bn

◆The USA Ordinary Profit & loss

+¥1.43bn

[Breakdown]

Increase in Sales

+¥1.65bn

Increase in Personnel exp.

¥(0.21)bn

Increase in Supplies exp.

¥(0.17)bn

Decrease in Other exp. ※2

+¥0.16bn

◆China and Other

¥(0.19)bn

FY 2023.3 2nd Q Actual

Ordinary profit

¥7.11bn

※1 Ordinary profit is compared excluding royalty.

FY 2023.3 2nd Q Plan … Japan ¥3.26bn, The USA ¥3.84bn FY 2023.3 2nd Q Actual … Japan ¥2.45bn, The USA ¥5.27bn

Ordinary profit including royalty is below.

FY 2023.3 2nd Q Plan … Japan ¥4.33bn, The USA ¥2.76bn FY 2023.3 2nd Q Actual … Japan ¥3.67bn, The USA ¥4.05bn

※2 Other exp. includes the increased profit due to exchange rate fluctuations.

  • [Extraordinary income & loss breakdown]

FY 2023.3 2nd Q Actual Extraordinary income & loss ¥(0.03)bn

・ Gain on reversal of share acquisition rights

+¥0.08bn

・ Loss on retirement of non-current assets, etc.

¥(0.11)bn

-2-

FY 2023.3 Revised consolidated plan

(Store openings and closings, P/L)

Revised Plan is the figures disclosed on August 5, 2022. ※Figures below ¥10 million are truncated. Percentage is rounded off to one decimal place.

The Second Revised Plan is revised by reflecting the actual figures of the 2nd Q and by reviewing 2nd half. Please refer to page 4 for further details.

Unit

FY 2023.3 Revised Plan

FY 2023.3 Second Revised Plan

Consolidated

Japan

The USA

China

Consolidated

Japan

The USA

China

Opening

Store

7

1

4

2

6

1

4

1

Stores

Closing

Store

1

―

―

―

3

1

1

―

Total (at the end of term)

Store

155

100

50

5

152

99

49

4

Bowling

¥bn

24.98

19.07

5.70

0.20

25.60

19.21

6.26

0.12

Amusement

¥bn

77.58

46.70

29.63

1.23

83.44

47.68

35.17

0.57

Karaoke, Food

¥bn

12.22

6.14

6.00

0.07

13.62

6.70

6.86

0.05

Spo-cha

¥bn

14.73

13.32

0.96

0.44

14.89

13.42

1.17

0.28

Cre-cha

¥bn

0.30

0.30

―

―

0.28

0.28

―

―

Others

¥bn

2.79

2.78

―

0.00

2.94

2.94

―

0.00

P/L

Total sales

¥bn

132.62

88.33

42.31

1.95

140.79

90.25

49.47

1.04

Gross profit

¥bn

16.05

9.64

7.01

(0.58)

17.31

7.84

10.64

(1.14)

Ordinary profit ※1

¥bn

15.78

9.64

6.83

(0.68)

17.17

7.96

10.44

(1.24)

Ordinary profit margin

％

11.9％

10.9％

16.1％

―

12.2％

8.8％

21.1％

―

Extraordinary income & loss

¥bn

(0.74)

(0.09)

(0.00)

(0.63)

※2(0.74)

(0.03)

(0.04)

(0.66)

Profit before income taxes

¥bn

15.03

9.54

6.82

(1.32)

16.43

7.93

10.39

(1.91)

Income taxes

¥bn

3.82

2.60

1.21

―

4.71

2.62

2.07

―

Profit

¥bn

11.20

6.93

5.60

(1.32)

11.72

5.30

8.32

(1.91)

(Note) ※1 Ordinary profit of Japan and The USA is shown excluding royalty.

Ordinary profit including royalty is : Revised Plan … Japan ¥11.75bn, The USA ¥4.71bn

Second Revised Plan … Japan ¥10.43bn, The USA ¥7.97bn

※2 Extraordinary income & loss ¥(0.74)bn : Impairment loss ¥(0.66)bn, Loss on retirement of non-current assets, etc. ¥(0.16)bn,

Gain on reversal of share acquisition rights +¥0.08bn

Forex : Revised Plan … 1 USD＝125.00 JPY, 1 CNY＝19.20 JPY

Second Revised Plan … 1 USD＝134.04 JPY, 1 CNY＝19.89 JPY

-3-

FY 2023.3 Formulation Basis of Second Revised Plan

Revised Plan is the figures disclosed on August 5, 2022.

※Figures below ¥10 million are truncated.

【Consolidated】 Comparison full year ordinary profit with Revised Plan +¥1.39bn [Revised ¥15.78bn ⇒ Second Revised ¥17.17bn]

【Japan】 Major factors of difference from Revised Plan

Full year ordinary profit

¥(1.68)bn

Revised Plan

Ordinary profit

¥9.64bn

【Breakdown】

Increase in Sales

+¥1.91bn

Increase in Promotion exp.

¥(0.99)bn

(Amusement prize exp., etc.)

Increase in Lease Fee for

¥(0.57)bn

amusement machines

Increase in Personnel exp.

¥(0.55)bn

Increase in Utility exp.

¥(0.50)bn

Increase in Communication exp.

¥(0.38)bn

Increase in Other exp.

¥(0.60)bn

Second Revised Plan Ordinary profit

¥7.96bn

【The USA】 Major factors of difference from Revised Plan

Full year ordinary profit

+¥3.61bn

Revised Plan

Ordinary profit

¥6.83bn

【Breakdown】

Increase in Sales

+¥4.53bn

Increase in Personnel exp.

¥(0.95)bn

Increase in Promotion exp.

¥(0.23)bn

(Amusement prize exp., etc.)

Increase in Supplies exp.

¥(0.18)bn

Decrease in Other exp.

+¥0.44bn

Second Revised Plan Ordinary profit

¥10.44bn

【Japan】 Increased Sales based on the recent performance.

Increased Promotion exp. based on the increase of crane games sales in Amusement department. Increased Utility exp. based on the rising electricity costs.

【The USA】 Increased Sales and each exp. based on the recent performance.

【China】 Revised store opening schedule. (Decreased the number of new store openings from 2 to 1.)

Revised Sales and each exp. considering the operating conditions due to the current spread of COVID-19.

Ordinary profit above is shown excluding royalty.

Ordinary profit including royalty is : Revised Plan … Japan ¥11.75bn, The USA ¥4.71bn Second Revised Plan … Japan ¥10.43bn, The USA ¥7.97bn

-4-

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