Decline in tourists due to adverse weather and natural disasters

「Customer traffic declined due to poor weather during the season. Although we reviewed operations and took other measures, these efforts were insufficient to offset the decline. Revenue was ¥23 million, down 12.3% year on year, and operating results were an operating loss of ¥0 million, compared with operating profit of ¥1 million in the same period of the previous year.」

「The company has established internal emergency-response systems and an education system to prevent accidents in response to disasters and accidents. However, if a large-scale natural disaster or accident occurs, the business activities of our group may be severely disrupted, potentially affecting business results and financial condition.」

「During the interim consolidated accounting period, there were no newly arising business or other risks, nor any significant changes in the business or other risks described in the securities report for the previous fiscal year.」

「The company has established internal emergency-response systems and an education system to prevent accidents in response to disasters and accidents. However, if a large-scale natural disaster or accident occurs, the business activities of our group may be severely disrupted, potentially affecting business results and financial condition.」

「If the number of tourists and others declines due to adverse weather or natural disasters, sales in the group's main segments, namely the souvenir wholesale, souvenir retail and souvenir manufacturing businesses, may decline, potentially affecting business results and financial condition.」

「During the first 3 months of the current fiscal year, there were no new business or other risks, nor any material changes to the business or other risks described in the annual securities report for the previous fiscal year.」

「During the first 3 months of the current fiscal year, there were no new business or other risks, nor any material changes to the business or other risks described in the annual securities report for the previous fiscal year.」

「The souvenir wholesale business has pursued expanded sales channels through product development that leverages regional characteristics and proposals for original product lines developed by the company, together with its subsidiaries. However, the warm winter led to insufficient snowfall and a decline in visitors to ski-resort-related destinations, while requests for people to refrain from going out due to the spread of COVID-19 caused a substantial decline in tourist numbers. As a result, revenue amounted to ¥6,050 million, down 2.8% from the previous consolidated fiscal year, and operating income amounted to ¥255 million, down 31.2%.」

「During the cumulative third-quarter consolidated period, Japan's economy remained on a gradual recovery path, with corporate earnings and employment conditions improving, but changes in the natural environment, such as typhoons and insufficient snowfall, had a significant impact on the domestic economic environment,」

「During the cumulative second quarter of the current consolidated fiscal year, there were no new business or other risks, nor any material changes to the business and other risks described in the annual securities report for the previous fiscal year.」

「During the cumulative first-quarter consolidated period, there were no newly arising business or other risks, nor any significant changes in the business or other risks described in the securities report for the previous fiscal year.」

「The hot-spring facilities business actively planned, publicized and held various events, while working to improve customer service and increase repeat visitors at each facility. However, visitor numbers and average spending per customer declined due to the extreme summer heat and a trend toward warmer winters, resulting in revenue of ¥1,206 million, down 1.3% year on year.」

「During the cumulative second-quarter consolidated period, Japan's economy remained on a gradual recovery path, with corporate earnings and employment conditions improving partly as a result of the government's economic policies. However, adverse weather, including record-high temperatures, typhoons and torrential rain, as well as earthquakes, had a significant impact on the domestic economic environment. / In the hot-spring facilities business, the company actively planned, publicized and held various events, while working to improve customer service and increase repeat visitors at each facility. However, visitor numbers declined due to the extreme summer heat, resulting in revenue of ¥791 million, down 1.9% year on year.」

「Revenue amounted to ¥158 million, down 3.4% year on year, due to declines in visitor numbers and units sold caused by adverse weather,」

「If the number of tourists and others declines due to adverse weather or natural disasters, sales in the souvenir wholesale, souvenir retail and souvenir manufacturing businesses may decline, which may affect business performance.」

「The souvenir wholesale business has pursued expanded sales channels through product development that leverages regional characteristics and proposals for original product lines developed by the company, together with its subsidiaries. However, visitor numbers declined at some tourist destinations due in part to a succession of typhoons, resulting in revenue of ¥4,997 million, down 0.7% year on year.」

「During the cumulative second quarter of the current consolidated fiscal year, there were no new business or other risks, nor any material changes to the business and other risks described in the annual securities report for the previous fiscal year.」

「During the cumulative first-quarter consolidated period, there were no newly arising business or other risks, nor any significant changes in the business or other risks described in the securities report for the previous fiscal year.」

「If the number of tourists and others declines due to adverse weather or natural disasters, sales in the souvenir wholesale, souvenir retail and souvenir manufacturing businesses may decline, which may affect business performance.」