Expansion into the beauty and wedding sectors

「At GRAND FESTA HAKATA in Fukuoka City, the number of weddings and banquets held significantly exceeded the previous year's level as awareness of the facility increased, resulting in higher revenue for the weddings and banquets business overall.」

「We also improved store operating efficiency, including by strengthening direct employment, and promoted profitability improvements. As a result, revenue was ¥436 million, up 18.7% year on year, while the segment loss was ¥71 million, compared with a segment loss of ¥116 million in the same period of the previous year.」

「During the current interim consolidated accounting period, demand for banquets, particularly corporate banquets, was captured steadily, and revenue grew through events organized by the Company and other initiatives. Meanwhile, pursuing medium- to long-term growth, we made upfront investments in the new GRAND FESTA HAKATA facility in Fukuoka City, which grand-opened on 1 July 2024, including promotional activities and staff expansion. As a result, revenue was ¥367 million, up 59.9% year on year, while the segment loss was ¥116 million, compared with a segment loss of ¥78 million in the same period of the previous year.」

「While strengthening our corporate sales operations, we recorded a record monthly revenue figure after successfully capturing demand for corporate banquets as COVID-19 moved to Category V. Event revenue, including revenue from events organized by the Company, also grew, and profitability improved. In the weddings business, the number of weddings held and the number of contracts signed also remained on an upward trend. As a result, revenue was ¥572 million, up 40.4% from the previous fiscal year, while the segment loss was ¥127 million, compared with a segment loss of ¥157 million in the previous fiscal year.」

「During the first three quarters of the current consolidated fiscal year, the number of weddings held increased steadily as restrictions were eased. In the banquets business, demand for corporate banquets recovered, and strengthened corporate sales operations led to a record monthly revenue figure. Event revenue also grew, including revenue from events organized by the Company, and profitability improved. As a result, revenue was ¥415 million, up 40.7% year on year, while the segment loss was ¥92 million, compared with a segment loss of ¥124 million in the same period of the previous year.」

「During the first half of the current consolidated fiscal year, sales in the banquets business progressed steadily as a result of strengthening corporate sales for corporate banquets and event operations. In the weddings business, there were also steady signs of recovery, including initial signs of a recovery in inquiries and venue visits, and the business made steady progress toward improving profitability. As a result, revenue was ¥229 million, up 31.2% year on year, while the segment loss was ¥78 million, compared with a segment loss of ¥92 million in the same period of the previous year.」

「During the first quarter of the current consolidated cumulative period, corporate banquets and events that companies had refrained from holding during the COVID-19 pandemic resumed. As a result of strengthening corporate sales to promote venue utilization, revenue remained on a recovery trend. Meanwhile, we made upfront investments, including increasing staff, to strengthen our sales structure and customer service capabilities, resulting in a temporary decline in profit. As a result, revenue was ¥112 million, up 20.9% year on year, while the segment loss was ¥34 million, compared with a segment loss of ¥32 million in the same period of the previous year.」

「Reservations and the holding of weddings and banquets showed steady signs of recovery. We also strengthened sales for corporate events and banquets, resulting in steady progress toward improving profitability. As a result, revenue was ¥407 million, up 59.5% from the previous fiscal year, while the segment loss was ¥157 million, compared with a segment loss of ¥210 million in the previous fiscal year.」

「During the first three quarters of the current consolidated fiscal year, reservations and the holding of weddings and banquets showed steady signs of recovery as the government and administrative authorities eased restrictions on activities. We also strengthened corporate sales, resulting in steady progress toward improving profitability.」

「We also strengthened sales for corporate banquets and event operations, enabling the banquets business to make steady progress toward improving profitability. As a result, revenue was ¥175 million, up 65.7% year on year, while the segment loss was ¥92 million, compared with a segment loss of ¥117 million in the previous fiscal year.」

「During the first quarter of the current consolidated cumulative period, reservations and venue visits for wedding ceremonies recovered as the COVID-19 pandemic showed signs of settling to some extent. Corporate banquets and event operations were also on a recovery trend, and the banquets business made steady progress toward improving profitability. As a result, revenue was ¥92 million, up 70.4% year on year, while the segment loss was ¥32 million, compared with a segment loss of ¥57 million in the previous fiscal year.」

「We focused on expanding new sales channels by launching an online shop offering popular pasta dishes and sweets from Trattoria Matrimonio and having curry and sweets made with locally sourced ingredients from BRICK CAFE selected as gifts under Komaki City's hometown tax donation program in Aichi Prefecture. However, revenue was ¥255 million, up 75.1% from the previous fiscal year, while the segment loss was ¥210 million, compared with a segment loss of ¥170 million in the previous fiscal year.」

「Against this backdrop, while taking thorough measures to prevent infection, we focused on expanding new sales channels. These efforts included launching an online shop offering deliveries of popular pasta dishes and sweets from Trattoria Matrimonio, and having BRICK CAFE's specialty curry and sweets selected as gifts under Komaki City's hometown tax donation program in Aichi Prefecture.」

「As a result, revenue was ¥105 million, up 96.3% year on year, while the segment loss was ¥117 million, compared with a loss of ¥93 million in the same period of the previous year.」

「In the wedding and banquet businesses, the mood of restraint surrounding ceremonies and banquets continued amid the spread of COVID-19, and postponements and reductions in scale occurred one after another. However, as signs emerged that the impact of COVID-19 was becoming more limited, including through the spread of vaccinations, the number of new bookings and viewings began to increase, and sales followed a recovery trend. As a result, revenue was ¥54 million, up 453.7% from the previous fiscal year, while the segment loss was ¥57 million, compared with a segment loss of ¥49 million in the previous fiscal year.」

「In the wedding and banquet businesses, sales declined as the mood of restraint surrounding ceremonies and banquets continued amid the spread of COVID-19, with postponements and reductions in scale occurring one after another. …Revenue was ¥146 million, down 59.4% from the previous fiscal year, and the segment loss was ¥170 million, compared with a segment loss of ¥47 million in the previous fiscal year.」

「In the wedding and banquet businesses, sales remained sluggish as ceremonies and banquets were repeatedly postponed or scaled back due to the spread of COVID-19. As a result, revenue was ¥101 million, down 60.7% year on year, and the segment loss was ¥124 million, compared with a segment loss of ¥2 million in the same period of the previous year.」

「In the wedding and banquet-related business, the Group responded to postponed ceremonies and banquet cancellations and shifted its focus toward medium- to long-term growth by improving facilities and developing new content in anticipation of the end of the COVID-19 pandemic. As a result, sales were ¥339 million, down 27.3% year on year, and the segment loss was ¥110 million, compared with a loss of ¥20 million in the previous year.」

「In the bridal-related business, the Company promoted the establishment of a structure to improve facility utilization by strengthening corporate banquet sales in addition to core wedding services at SUBIR AKASAKA TOKYO (赤坂シュビア) and Angelina Sweet (アンジェリーナ・スイート), and worked to develop the business as a new earnings pillar. However, the bridal and banquet businesses saw revenue decline due to closures and requests for voluntary restraint amid the COVID-19 pandemic.」

「During the consolidated fiscal year, the Company worked to expand its new businesses, including the hair salon business and the bridal and banquet businesses, by expanding its network of locations. However, revenue deteriorated due to banquet cancellations resulting from the spread of COVID-19, and the businesses recorded a segment loss.」

「In the bridal-related business, the Company strengthened sales of corporate banquets, in addition to core wedding services at 赤坂シュビア and アンジェリーナ・スイート, promoted the establishment of a structure to improve facility utilization, and worked to develop the business as a new earnings pillar.」

「During the six-month period of the current consolidated fiscal year, the hair salon businesses under the directly operated brand FURUSHO (フルショウ) and the outsourced-operation brand Embellir (アンベリール) performed steadily. In bridal services, the Company promoted the establishment of a structure to improve facility utilization by strengthening corporate sales for weddings and other core services at 赤坂シュビア and expanding banquet use.」

「The Group established new earnings bases, including bridal and hair salon operations being developed to provide services tailored to customers’ various life stages.」

「The Group also took a step toward becoming a “comprehensive beauty services company” capable of providing a diverse range of products and services to satisfy existing and new customers, including by entering the beauty-related and wedding sectors.」