Cross Marketing : Consolidated Financial Results for the Third Quarter of the Fiscal Year Ending June 30, 2023

Note: This document has been translated from a part of 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.

Consolidated Financial Results

for the Third Quarter of the Fiscal Year Ending June 30, 2023

[ Under Japanese GAAP ]

May 15, 2023

Company name:	Cross Marketing Group Inc.
Stock exchange listing:	Tokyo Stock Exchange
Code number:	3675
URL:	https://www.cm-group.co.jp
Representative:	Miki Igarashi, President & CEO
Contact:	Koji Onozuka, Director & CFO
Phone:	[phone]

Scheduled date of filing marketable securities reports:	May 15, 2023
Availability of supplementary briefing material on financial results: Available
Schedule of financial results briefing session:	Available

(Amounts less than one million yen are rounded to the nearest million yen)

1. Consolidated Financial Results for the Nine Months Ended March 31, 2023 (July 1, 2022 to March 31, 2023)

(1) Consolidated Operating Results

(% indicates changes from the previous corresponding period)

Net income

Net sales

Operating income

Ordinary income

attributable to

owners of parent

Nine Months ended

Million yen

%

Million yen

%

Million yen

%

Million yen

%

March 31, 2023

19,651

3.0

2,172

(20.5)

2,094

(22.0)

1,251

(30.8)

March 31, 2022

19,078

－

2,732

－

2,683

－

1,809

－

Basic earnings per share

Diluted earnings per share

Nine Months Ended

Yen

Yen

March 31, 2023

63.19

62.65

March 31, 2022

91.81

90.91

(Note) Comprehensive income: Nine Months Ended March 31, 2023: ¥1,260 million [-36.2%]

Comprehensive income: Nine Months Ended March 31, 2022: ¥1,975 million [－%]

(2) Consolidated Financial Position

Total assets

Net assets

Equity ratio

As of

Million yen

Million yen

%

March 31, 2023

14,093

6,696

46.9

June 30, 2022

13,133

6,136

43.9

(Reference) Equity: As of March 31, 2023:

¥6,605 million

As of June 30, 2022:

¥5,764 million

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2. Dividends

Annual dividends

1st

2nd

3rd

Year-end

Total

quarter-end

quarter-end

quarter-end

Yen

Yen

Yen

Yen

Yen

Fiscal year ended June 30, 2022

－

4.30

－

5.30

9.60

Fiscal year ended June 30, 2023

－

6.00

Fiscal year ending June 30, 2023

(Forecast)

－

6.00

12.00

(Note): Revision to the most recently announced of dividends: No

3. Consolidated Financial Results Forecast for the Fiscal Year Ending June 30, 2023 (July 1, 2022 to June 30, 2023)

							Net income	Basic earnings per
	Net sales		Operating income	Ordinary income	attributable to
		share
							owners of parent
	Million yen	%	Million yen	%	Million yen	%	Million yen	%	Yen
Full year	25,000	0.4	2,000	(20.7)	1,900	(23.9)	1,150	(26.3)	57.59

(Note) Revision to the consolidated financial results forecast announced most recently: Yes

* Notes:

1. Changes in significant subsidiaries during the third quarter of the fiscal year ending June 30, 2023 (changes in specified subsidiaries resulting in changes in scope of consolidation): No
2. Accounting policies adopted specially for the preparation of quarterly consolidated financial statements: Yes
3. Changes in accounting policies, changes in accounting estimates and retrospective restatement
4. 1. Changes in accounting policies due to the revision of accounting standards: Yes
   2. Changes in accounting policies other than 1 above: No
   3. Changes in accounting estimates: No
   4. Retrospective restatement: No
5. Total number of issued shares (common shares)
6. 1. Total number of issued shares at the end of the period (including treasury shares):

March 31, 2023: 19,970,464 shares

June 30, 2022: 19,970,464 shares

1. Total number of treasury shares at the end of the period: March 31, 2023: 177,755 shares
   June 30, 2022: 178,355 shares
2. Average number of shares during the period:

Nine months ended March 31, 2023: 19,794,939 shares

Nine months ended March 31, 2022: 19,698,411 shares

• Presentation regarding the auditing status of the fiscal year review procedures

These fiscal year financial results are outside the scope of fiscal year review procedures under the Financial Instruments and Exchange Act.

* Explanation of the proper use of financial results forecast and other notes

The earnings forecasts and other forward-looking statements herein are based on data currently available to Cross Marketing Group Inc. (CMG) and its reasonable assumption. Actual results may differ significantly from these forecasts due to various factors.

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