J Front Retailing : Supplementary Information to Financial Results for the First Three Months of the Fiscal Year Ending February 28, 2025

June 28, 2024

Supplementary Information to Financial Results for the First Three Months of

the Fiscal Year Ending February 28, 2025

From March 1, 2024 to May 31, 2024

J. Front Retailing Co., Ltd.

Contents

I. J. Front Retailing Consolidated Statements 【IFRS】	Page
1.	Consolidated business performance ･･････････････････････････････････････････････	2
2.	Segment information････････････････････････････････････････････････････････････	2
3.	Performance by consolidated companies･･･････････････････････････････････････････	3
4.	Components of SGA･････････････････････････････････････････････････････････････	4
5.	Components of other operating income and other operating expenses ･････････････････	4
6.	Components of finance income and finance costs and share of profit (loss) of
	investments accounted for using equity method･･････････････････････････････････････････	4
II. Daimaru Matsuzakaya Department Stores Non-consolidated Statements 【IFRS】
1.	Business performance･･･････････････････････････････････････････････････････････	5
2.	Summary of gross sales･････････････････････････････････････････････････････････････････	6,7
3.	Components of SGA･････････････････････････････････････････････････････････････	8
4.	Components of other operating income and other operating expenses･････････････････	8
5.	Components of finance income and finance costs･･･････････････････････････････････	8
III. PARCO Non-consolidated Statements 【IFRS】
1.	Business performance･･･････････････････････････････････････････････････････････	9

2. Summary of gross sales(PARCO stores)･･･････････････････････････････････････････ 10,11

3.	Components of operating costs･･･････････････････････････････････････････････････	11
4.	Components of SGA･････････････････････････････････････････････････････････････	12
5.	Components of other operating income and other operating expenses ･････････････････	12
6.	Components of finance income and finance costs･･･････････････････････････････････	12

IV. J. Front City Development Non-consolidated Statements 【IFRS】

1. Business performance･･･････････････････････････････････････････････････････････ 13

2.	Summary of results for current period･･････････････････････････････････････････････	14
3.	Components of SGA･････････････････････････････････････････････････････････････	14
4.	Components of other operating income and other operating expenses ･････････････････	14
5.	Components of finance income and finance costs･･･････････････････････････････････	14

1. JFR Card Non-consolidated Statements 【IFRS】
   1. Business performance･･･････････････････････････････････････････････････････････ 15

2. Summary of results for current period････････････････････････････････････････････････････ 15

－1－

I. J. Front Retailing Consolidated Statements 【IFRS】

1. Consolidated business performance

					(Millions of yen, %)
	Item	Three months	YoY		Three months
	ended		ended
		May 31, 2024		%	May 31, 2023
		Amount
1.	Gross sales	299,707	35,889	13.6	263,818
2.	Revenue	101,469	8,013	8.6	93,456
3.	Gross profit	53,294	7,463	16.3	45,831
4.	Gross margin ratio	52.52% difference	3.48%		49.04%
5.	Selling, general and administrative	36,891	891	2.5	36,000
	expenses (SGA)
6.	Business profit	16,403	6,572	66.8	9,831
7.	Operating profit	16,136	5,967	58.7	10,169
8.	Profit before tax	15,631	5,705	57.5	9,926
9.	Profit attributable to owners of parent	11,316	4,919	76.9	6,397
10.	Total assets	1,098,536	(16,190)		1,114,726
11.	Equity attributable to owners of	385,213	3,315		381,898
	parent
12.	Ratio of equity attributable to owners	35.1% difference	0.8%		34.3%
	of parent to total assets
13.	Total interest-bearing liabilities	339,426	(24,972)		364,398
	[Of which: lease liabilities]	[145,716]	[(4,734)]		[150,450]

Notes: 1. Gross sales are calculated by converting sales from purchases recorded at the time of sale (shoka shiire ) of the "Department Store Business",

1. which are recognized as revenue under IFRS, into a gross amount and converting the net amount of sales of the "SC Business" into tenant transaction volume (gross amount basis).
2. Business profit is calculated by subtracting cost of sales and SGA from revenue.
3. Results for the previous year in Items 10 to 13 are those at the end of the previous consolidated fiscal year (February 29, 2024).

2. Segment information

Three months ended May 31, 2024								(Millions of yen, %)
		Reportable segments
	Department		Developer	Payment and	Total	Other	Total	Adjustments	Consolidated
	Store	SC Business	Finance
	Business
	Business		Business
Gross sales	197,240	80,003	16,726	3,188	297,158	11,863	309,022	(9,314)	299,707
YoY %	16.2	14.9	1.3	(1.5)	14.7	(13.6)	13.3	－	13.6
(1) Revenue to external	62,485	15,580	13,859	1,398	93,324	8,142	101,466	2	101,469
customers
(2) Intersegment revenue	120	287	2,867	1,789	5,064	3,432	8,496	(8,496)	－
Total revenue	62,606	15,868	16,726	3,188	98,388	11,574	109,963	(8,494)	101,469
YoY %	15.6	11.0	1.3	(1.5)	11.5	(13.8)	8.2	－	8.6
Business profit	10,623	4,002	1,638	386	16,650	258	16,908	(505)	16,403
YoY %	118.6	61.7	17.2	(47.2)	75.9	(45.8)	70.1	－	66.8
Segment profit	10,386	3,950	1,632	344	16,314	271	16,585	(449)	16,136
YoY %	130.6	25.7	0.3	(49.8)	63.8	(61.4)	55.5	－	58.7

Note: Due to the review of the business management classification,

PARCO Digital Marketing Co., Ltd. was transferred from the "Developer Business" to the "SC Business" on March 1, 2024, the previous year's results have been retroactively adjusted as if the transfer started on March 1, 2023.

－2－

3. Performance by consolidated companies

Company name

1.	J. Front Retailing Co., Ltd.
2.	Daimaru Matsuzakaya Department
	Stores Co. Ltd.
3.	The Hakata Daimaru, Inc.
4.	Kochi Daimaru Co., Ltd.
5.	PARCO Co., Ltd.
6.	PARCO Digital Marketing Co., Ltd.
7.	PARCO (Singapore) Pte Ltd

						(Millions of yen, %)
Three months ended May 31, 2024			Ownership
				Capital	Business
	Business	Operating		percentage
Revenue	Profit
profit	profit
10,469	8,439	8,493	9,321	31,974
57,848	10,254	10,492	7,220	10,000	100.0	Department store
3,929	327	309	182	3,037	69.9	Department store
861	40	43	28	300	100.0	Department store
15,676	4,010	3,958	2,759	34,367	100.0	Shopping center
259	(15)	(15)	(10)	10	100.0	Internet-related business
30	2	3	4	SGD 4M	100.0	Shopping center

8.	PARCO Space Systems Co., Ltd.
9.	J. Front Design & Construction Co., Ltd.

1. J. Front City Development Co.,Ltd.
2. JFR Card Co., Ltd.
3. Daimaru Kogyo, Ltd.
4. Daimaru Kogyo International Trading (Shanghai) Co., Ltd.
5. Daimaru Kogyo (Thailand) Co., Ltd.
6. Consumer Product End-Use Research Institute Co., Ltd.
7. Angel Park Co., Ltd.
8. JFR Service Co. Ltd.
9. JFR Information Center Co., Ltd.
10. Daimaru Matsuzakaya Tomonokai Co., Ltd.
11. XENOZ Co., Ltd.

5,066	178	179	115	100
9,649	1,029	1,031	670	100
2,180	431	422	247	110
3,188	386	344	201	100
7,395	179	203	143	1,800
1,384	(9)	(7)	(5)	USD 2M
87	(3)	(3)	(1)	THB 202M
276	19	19	12	100
269	114	114	83	400
1,479	(23)	(23)	(18)	100
2,098	159	160	98	10
44	(110)	(120)	23	100
60	(49)	(51)	(51)	100

100.0 Space engineering & management

100.0 Design & construction contracting

100.0 Real estate

100.0 Payment and finance

100.0 Wholesale

100.0 Wholesale

99.9 Wholesale

100.0 Merchandise test Quality control

50.2 Parking

Commissioned back-office service

100.0 Leasing Parking

100.0 Information service

100.0 Specified prepaid transaction service

51.6 Management of e-sports teams Event management business

－3－

4. Components of SGA

				(Millions of yen,%)
	Three months			Three months
Component	ended	YoY		ended
	May 31, 2024	Amount	%	May 31, 2023
Personnel expenses	13,081	1,066	8.9	12,015
Advertising expenses	2,713	(131)	(4.6)	2,844
Packing and transportation costs	310	11	3.6	299
Depreciation	6,204	(183)	(2.9)	6,387
Operational costs	2,922	373	14.6	2,549
Other	11,658	(245)	(2.1)	11,903
Total	36,891	891	2.5	36,000

Note: Depreciation is included in cost of sales as well as selling, general and administrative expenses.

[Cost of sales] Q1 results for current fiscal year: 5,121 million yen / Q1 results for previous fiscal year: 5,231 million yen

5. Components of other operating income and other operating expenses

			(Millions of yen)
	Three months	Three months	Remarks
	ended	ended
	May 31, 2024	May 31, 2023
Other operating income	277	1,061
Gain on sale of fixed assets	－	732
Other subsidies	4	87
Other	273	241
Other operating expenses	545	723
Loss on disposal of fixed assets	333	436	Mainly Daimaru Matsuzakaya Department
Stores 242
Other	211	287

6. Components of finance income and finance costs and share of profit (loss) of investments accounted for using equity method

Component

Finance income

Interest and dividend income

Finance costs

Interest expenses on borrowings and bonds

Other

Share of profit (loss) of investments accounted for using equity method

		(Millions of yen)
Three months		Three months
ended		ended
May 31, 2024	YoY	May 31, 2023
205	(57)	262
205	(57)	262
1,069	(128)	1,197
1,002	(126)	1,128
67	(2)	69
359	(333)	692

－4－

II. Daimaru Matsuzakaya Department Stores Non-consolidated Statements 【IFRS】

1. Business performance

					(Millions of yen, %)
	Item	Three months	YoY		Three months
	ended		ended
		May 31, 2024			May 31, 2023
			Amount	%
1.	Gross sales	180,885	25,295	16.3	155,590
	[Of which: real estate lease revenue]	[7,141]	[1,235]	[20.9]	[5,906]
2.	Revenue	57,848	7,987	16.0	49,861
3.	Gross profit	38,023	5,708	17.7	32,315
4.	Gross margin ratio	65.73% Difference	0.92%		64.81%
5.	SGA	27,769	266	1.0	27,503
6.	Business profit	10,254	5,442	113.1	4,812
7.	Operating profit	10,492	5,621	115.4	4,871
8.	Profit before tax	10,543	5,811	122.8	4,732
9.	Profit	7,220	3,950	120.8	3,270
10.	Total assets	428,235	2,546		425,689
11.	Equity	154,612	4,350		150,262
12.	Equity ratio	36.1% Difference	0.8%		35.3%
13.	Total interest-bearing liabilities	106,987	(7,437)		114,424
	[Of which: lease liabilities]	[64,698]	[(3,459)]		[68,157]
Notes:	1. Gross sales are calculated by converting sales from purchases recorded at the time of sale (shoka shiire) of the "Department Store Business,"
	which are recognized as revenue under IFRS, into gross amount.

1. Business profit is calculated by subtracting cost of sales and SGA from revenue.
2. Results for the previous year in Items 10 to 13 are those at the end of the previous business year (February 29, 2024).

－5－

2. Summary of gross sales

(1) Sales by store

Period

Store

Daimaru Osaka Shinsaibashi

Osaka Umeda

Tokyo

Kyoto

Kobe

Suma

Ashiya

Sapporo

Shimonoseki

Matsuzakaya Nagoya

Ueno

Shizuoka

Takatsuki

Total stores

Corporations, head office, etc.

Total

[Of which: net sales of goods] [Of which: real estate lease revenue]

					(Millions of yen, %)
Three months		YoY		Three months
ended	Share		ended	Share
May 31, 2024	Amount	%	May 31, 2023
28,611	15.8	8,832	44.7	19,779	12.7
13,831	7.6	1,032	8.1	12,799	8.2
20,927	11.6	1,946	10.3	18,981	12.2
19,843	11.0	4,277	27.5	15,566	10.0
23,333	12.9	2,210	10.5	21,123	13.6
1,487	0.8	(28)	(1.8)	1,515	1.0
1,012	0.6	8	0.8	1,004	0.6
19,240	10.6	2,911	17.8	16,329	10.5
1,767	1.0	(44)	(2.4)	1,811	1.2
30,952	17.1	2,151	7.5	28,801	18.5
6,163	3.4	364	6.3	5,799	3.7
4,299	2.4	23	0.5	4,276	2.8
1,338	0.7	30	2.2	1,308	0.8
172,809	95.5	23,711	15.9	149,098	95.8
8,076	4.5	1,585	24.4	6,491	4.2
180,885	100.0	25,295	16.3	155,590	100.0
173,744	96.1	24,060	16.1	149,684	96.2
7,141	3.9	1,235	20.9	5,906	3.8

(2) YoY percentage changes in monthly sales

Month	March	April		May	Total 1Q
Total	13.9		13.6	21.4	16.3

－6－

(3) Number of the company app users and purchase amount

		(Thousand people, millions of yen, %)
Category	Number of	Number of	Annual
purchase
effective users	active users
	amount	YoY %
Daimaru Matsuzakaya app	2,368	1,214	286,233	16.8

Notes: 1. "Number of active users" means the number of the effective users as of May 31, 2024 who have made purchases during the one-year period prior to that date.

1. 2. Purchase amount is the total value of purchases made by effective app users who have paid with a company-issued credit card, point cards for cash purchases, or by scanning the barcode on the screen of the app.

2. Sales and gross margin ratio by merchandise category

					(Millions of yen, %)
Merchandise category	Sales	YoY %	Share	Share PY	Gross margin	YoY RD
ratio
Clothing	85,947	22.8	49.5	46.7	20.53	(1.13)
Accessories	8,604	7.2	5.0	5.4	27.43	(0.28)
General goods	35,488	20.6	20.4	19.7	23.29	0.29
Household goods	4,596	2.3	2.6	3.0	23.68	0.14
Foods	28,395	0.8	16.3	18.8	14.16	0.04
Other	10,712	11.9	6.2	6.4	16.03	0.28
Total	173,744	16.1	100.0	100.0	20.20	(0.31)

(5) Duty-free sales

		(Millions of yen, %)
Store	Amount	YoY %	Sales share
Daimaru Osaka Shinsaibashi	13,442	190.5	47.0
Osaka Umeda	1,548	147.4	11.2
Tokyo	2,315	103.9	11.1
Kyoto	5,224	398.6	26.3
Kobe	2,394	344.2	10.3
Sapporo	2,850	251.7	14.8
Shimonoseki	7	225.9	0.4
Matsuzakaya Nagoya	2,563	532.7	8.3
Ueno	236	65.4	3.8
Shizuoka	42	43.4	1.0
Total	30,626	227.0	16.9

Note: Sales share is the duty-free sales percentage of total sales of each store.

－7－

3. Components of SGA

				(Millions of yen, %)
Component	Three months	YoY		Three months
ended		ended
	May 31, 2024	Amount	YoY ％	May 31, 2023
Personnel expenses	7,613	394	5.5	7,219
Advertising expenses	2,357	(143)	(5.7)	2,500
Packing and transportation costs	276	11	3.9	265
Depreciation	5,150	(46)	(0.9)	5,196
Operational costs	2,580	(261)	(9.2)	2,841
Other	9,791	311	3.3	9,480
Total	27,769	266	1.0	27,503

Note: Depreciation is included in cost of sales as well as selling, general and administrative expenses.

[Cost of sales] Q1 results for current fiscal year: 1,323 million yen / Q1 results for previous fiscal year: 1,373 million yen

4. Components of other operating income and other operating expenses

(Millions of yen)

Component	Three months	Three months	Remarks
ended	ended
	May 31, 2024	May 31, 2023
Other operating income	531	483
Other	531	483
Other operating expenses	293	424
Loss on disposal of fixed assets	246	345
Other	46	79

5．Components of finance income and finance costs

			(Millions of yen)
Component	Three months		Three months
ended	YoY	ended
	May 31, 2024	May 31, 2023
Finance income	353	(31)	384
Interest and dividend income	353	(31)	384
Finance costs	302	(221)	523
Interest expenses	302	(221)	523

－8－

III. PARCO Non-consolidated Statements 【IFRS】

1. Business performance

					(Millions of yen, %)
	Item	Three months	YoY		Three months
	ended		ended
		May 31, 2024			May 31, 2023
			Amount	%
1.	Gross sales	79,834	10,367	14.9	69,467
2.	Revenue	15,676	1,559	11.0	14,117
	[Of which: real estate lease revenue]	[8,284]	[829]	[11.1]	[7,455]
3.	Operating costs	9,348	(62)	(0.7)	9,410
4.	Operating gross profit	6,328	1,622	34.4	4,706
5.	Gross margin ratio	40.37% Difference	7.03%		33.34%
6.	SGA	2,317	90	4.1	2,227
7.	Business profit	4,010	1,531	61.7	2,479
8.	Operating profit	3,958	798	25.2	3,160
9.	Profit before tax	3,839	976	34.1	2,863
10.	Profit	2,759	814	41.8	1,945
11.	Total assets	299,842	(865)		300,707
12.	Equity	75,824	1,301		74,523
13.	Equity ratio	25.3% Difference	0.5%		24.8%
14.	Total interest-bearing liabilities	163,678	(3,092)		166,770
	[Of which: lease liabilities]	[65,104]	[(747)]		[65,851]

Notes: 1. Gross sales are the total value of the tenant transaction volume of PARCO stores and sales from the entertainment business.

1. Business profit is calculated by subtracting operating costs and SGA from operating revenue.
2. Results for the previous year in Items 11 to 14 are those at the end of the previous business year (February 29, 2024).

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2. Summary of gross sales (PARCO stores)

Gross sales are the total value of the tenant transaction volume of PARCO stores.

"Total comparable stores" does not include the transaction volume of Shintokorozawa PARCO, which closed in the previous year.

(1) Tenant transaction volume by store

Period	Three months		Period
	ended May 31, 2024
Store	Amount	YoY %	Store
Sapporo PARCO	3,622	25.7	Shizuoka PARCO
Sendai PARCO	5,228	8.1	Nagoya PARCO
Urawa PARCO	7,938	14.4	Shinsaibashi PARCO
Ikebukuro PARCO	6,978	19.4	Hiroshima PARCO
PARCO_ya Ueno	2,275	8.2	Fukuoka PARCO
Kichijoji PARCO	2,072	1.4	Hibarigaoka PARCO
Shibuya PARCO	10,916	41.7	Matsumoto PARCO
Kinshicho PARCO	2,841	10.5	Total all stores
Chofu PARCO	4,788	3.1	Total comparable stores
(2) YoY percentage changes in monthly tenant transaction volume
Month	March	April	May	Total 1Q
Total all stores	16.1	14.3	13.8	14.8
Total comparable stores	19.3	17.5	16.9	17.9
(3) Tenant transaction volume by merchandise category		(Millions of yen, %)
Merchandise category	Amount	YoY %	Share
Womenswear	6,058	(1.0)	7.8
Menswear	1,414	(7.4)	1.8
General clothing	12,841	17.3	16.6
Other clothing	1,622	14.5	2.1
Total clothing	21,937	9.6	28.3
Shoes	2,684	25.1	3.5
Bags	1,808	22.3	2.3
Jewelry	1,859	26.4	2.4
Cosmetics	2,959	8.8	3.8
Other accessories	4,107	16.7	5.3
Total accessories	13,419	18.4	17.3
General goods	19,707	33.6	25.4
Foods	4,983	4.9	6.4
Restaurants	8,233	9.5	10.6
Other	9,261	25.5	11.9
Total comparable stores	77,541	17.9	100.0

(Millions of yen, %)

Three months

ended May 31, 2024

Amount	YoY %
1,904	2.6
8,388	20.3
8,392	47.6
3,305	5.4
6,451	12.2
1,696	(6.7)

738(23.3)

77,54114.8

77,54117.9

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