JSS CORPORATION

The Group consists of the Company, its consolidated subsidiary 株式会社ワカヤマアスレティックス, and one other affiliated company. It has entered into a business and capital alliance agreement with Nippon Television Holdings, Inc. Its principal business is the operation of swimming schools, which constitutes a single segment. The Group operates 64 company-operated locations and 20 contracted locations. The company-operated locations comprise 61 swimming schools, 1 fitness club, and 2 tennis schools, while the contracted operations involve managing swimming schools under service agreements. The combined membership of the company-operated and contracted locations was 76,880, down 8.9% year on year, with membership fee revenue accounting for approximately 80% of total revenue. Revenue was ¥8,541 million, up 1.9% year on year. Operating profit was ¥433 million, up 72.0%; ordinary profit was ¥427 million, up 68.8%; and profit attributable to owners of the parent was ¥242 million, up 25.9%. Total assets were ¥7,340 million and total net assets were ¥3,182 million. In terms of the business environment, the swimming school market is showing signs of recovery from a state of oversupply, although competition is expected to remain intense. The Group's growth strategy is centered on geographic expansion through M&A, strengthening its educational expertise, and promoting operations rooted in local communities and focused on education. Key areas of focus for the current fiscal year include membership acquisition initiatives, collaboration with Tipness and others, use of online streaming services, and new openings and capital investment.