Statements of Income

Consolidated Statements of Income

(Millions of yen)

	For the fiscal year ended May 31, 2025	For the fiscal year ended May 31, 2026
Net sales	309,240	308,496
Cost of sales	241,281	238,217
Gross profit	67,958	70,278
Selling, general and administrative expenses	69,196	71,428
Operating profit (loss)	(1,237)	(1,149)
Non-operating income
Interest income	159	402
Share of profit of entities accounted for using equity method	134	210
Sponsorship money income	234	542
Subsidy income	198	179
Expo product sales income	117	540
Other	501	528
Total non-operating income	1,346	2,404
Non-operating expenses
Interest expenses	331	420
Expo cost of product sales	49	294
Commitment fees	30	181
Other	156	220
Total non-operating expenses	568	1,116
Ordinary profit (loss)	(460)	138
Extraordinary income
Gain on sale of non-current assets	96	1
Gain on receipt of donated non-current assets	-	726
Gain on sale of investment securities	76	181
Gain on change in equity	5	8
Total extraordinary income	178	918
Extraordinary losses
Loss on sale and retirement of non-current assets	190	320
Impairment losses	237	498
Loss on valuation of investment securities	50	168
Expo exhibit related expenses	4,821	1,075
Loss on litigation	246	-
Total extraordinary losses	5,545	2,063
Profit (loss) before income taxes	(5,826)	(1,006)
Income taxes - current	1,989	2,337
Income taxes - deferred	126	(16)
Total income taxes	2,115	2,321
Profit (loss)	(7,942)	(3,328)
Profit attributable to non-controlling interests	716	60
Profit (loss) attributable to owners of parent	(8,658)	(3,388)

Consolidated Statements of Comprehensive Income

(Millions of yen)

	For the fiscal year ended May 31, 2025	For the fiscal year ended May 31, 2026
Profit (loss)	(7,942)	(3,328)
Other comprehensive income
Valuation difference on available-for-sale securities	(25)	(113)
Foreign currency translation adjustment	(84)	197
Remeasurements of defined benefit plans, net of tax	(364)	426
Share of other comprehensive income of entities accounted for using equity method	(0)	1
Total other comprehensive income	(474)	511
Comprehensive income	(8,416)	(2,816)
Comprehensive income attributable to
Comprehensive income attributable to owners of parent	(9,125)	(2,907)
Comprehensive income attributable to non-controlling interests	709	91