Slides
Page 1
Treasure Factory Co., Ltd. Presentation Materials Fiscal Year Ending February 2027 Six Months Ended August 31, 2026 (March 2026 to August 2026) TSE Prime Market Securities Code: 3093 October 14, 2026
Page 2
• Sales at non-consolidated existing stores were 105.2% YOY in the first 6 months (number of items sold 103.6% YOY, average selling price 101.6% YOY) • Non-consolidated existing stores exceeded YOY sales for 60 consecutive months from September 2021 through August 2026 • In August, measures to encourage customers to visit multiple stores proved effective, and sales exceeded the previous year's strong results • Consolidated gross profit ratio came to 60.2% (+0.2 pts YOY), and non-consolidated existing stores to 65.9% (+1.0 pts YOY) • The ratio turned upward following the change in the purchase coupon program in FY2026 Q3, and this trend continues • Achieved net sales of 25.8 billion yen (115.3% YOY) and operating profit of 2.3 billion yen (121.5% YOY) • Although a decrease in profit had been expected for Q2 alone, growth exceeded expectations, resulting in an increase in profit for Q2 alone Upward trend in gross profit ratio continues Non-consolidated existing stores exceeded YOY sales for 60 consecutive months Net sales and operating profit for the first 6 months grew by more than 15% YOY Summary of Financial Results 2 3 1 • Towards the target of opening 30–35 stores in the fiscal year, 19 stores were opened in the first 6 months • As of the end of Q2, the opening of 37 stores has been finalized, exceeding the annual target4 Successful progress in opening of new stores 2
Page 3
Contents 1. Summary of Financial Results 2. Performance and Dividends Forecasts 3. Medium-Term Management Plan 4. Sustainability References 1) Business Model and the Company’s Strengths 2) Measures to Actualize Management that is Conscious of Cost of Capital and Stock Price 3) Corporate Overview and History Treasure Factory Yame Store
Page 4
(million yen) FY2026 FY2027 Year on year Performance forecasts (Announced on July 9, 2026) First 6 months results First 6 months results Change Change (%) First 6 months forecast Progress Factors that caused YOY increase/decrease and differences between performance forecast and actual results: Net sales 22,453 25,891 +3,437 +15.3% 25,567 101.3% Year on year: Sales at existing stores in the first 6 months were 105.2% of the previous year's level : Benefited from 32 stores opened in previous FY, plus 19 stores in current FY Gross profit 13,464 15,591 +2,126 +15.8% - - Gross profit ratio 60.0% 60.2% +0.2 pts - - - Gross profit ratio by non-consolidated existing stores rose significantly to 65.9% (+1.0 pts YOY) Selling, general, and administrative expenses 11,545 13,260 +1,714 +14.9% - - Operating profit 1,919 2,330 +411 +21.5% 2,154 108.2% Operating profit ratio 8.5% 9.0% +0.5 pts - 8.4% - Ordinary profit 1,960 2,322 +362 +18.5% 2,157 107.7% Profit attributable to owners of parent 1,238 1,497 +259 +21.0% 1,388 107.9% Earnings per share 52.84 yen 63.89 yen +11.05 yen +20.9% 59.21 yen 107.9% Gross profit increased thanks to strong sales and a rise in gross profit margin, while SG&A expenses went as planned, leadingto a significant increase in operating profit 1. Summary of Financial Results 4 Consolidated｜Profit and Loss Statements (PL)
Page 5
Strong sales and purchases in Q2. Inventory will be utilized for sales in Q3 and beyond 1. Summary of Financial Results 5 (million yen, % shows composition ratio) End of FY2026 End of FY2027 Q2 Increase/decrease Increase/decrease factors Current assets 16,827 (66.0%) 17,666 (65.2%) +839 (-0.8 pts) Of which, cash and deposits 5,014 (19.7%) 4,418 (16.3%) -596 (-3.4 pts) Cash and deposits decreased due to strong purchases We aim to convert inventory into cash during the busy autumn and winter season Of which, merchandise 9,091 (35.7%) 10,408 (38.4%) +1,317 (+2.7 pts) Inventory increased thanks to successful purchases Securing merchandise for new stores and seasonal items in preparation for Q3 and beyond Non-current assets 8,652 (34.0%) 9,420 (34.8%) +767 (+0.8 pts) Total assets 25,479 (100.0%) 27,086 (100.0%) +1,606 Current liabilities 9,745 (38.2%) 9,898 (36.5%) +152 (-1.7 pts) Non-current liabilities 2,833 (11.1%) 3,226 (11.9%) +392 (+0.8 pts) Net assets 12,900 (50.6%) 13,962 (51.5%) +1,061 (+0.9 pts) Total liabilities and net assets 25,479 (100.0%) 27,086 (100.0%) +1,606 Equity capital ratio 50.0% 50.8% +0.8 pts Consolidated｜Balance Sheets (BS)
Page 6
(million yen) Quarterly results First 6 months FY2026 Q2 FY2027 Q2 Year on year FY2026 first 6 months FY2027 first 6 months Year on year Net sales 10,610 12,109 +14.1% 22,453 25,891 +15.3% Operating profit 423 475 +12.5% 1,919 2,330 +21.5% Operating profit ratio 4.0% 3.9% -0.1 pts 8.5% 9.0% +0.5 pts Operating profit grew +21.5% YOY in the first 6 months thanks to a significant increase in gross profit • Gross profit increased thanks to strong sales and a rise in gross profit margin • SG&A expenses went as planned, leading to a significant increase in operating profit Q2 (June–August) closed with increases in both revenue and profit • In Q2 (June–August) of the previous fiscal year, performance was strong due to initiatives such as those commemorating our 30th anniversary • In August, the expansion of our customer base triggered by last year's anniversary initiatives and our dominant-area store openings created synergies that absorbed the reactionary decline from the previous year • As a result, both net sales and operating profit grew by more than 10% YOY in Q2 (June–August) of the current fiscal year 6 10,320 9,294 10,900 11,691 11,843 10,610 12,745 13,398 13,782 12,109 0 2,000 4,000 6,000 8,000 10,000 12,000 14,000 Q1 Q2 Q3 Q4 Net sales FY2025 FY2026 FY2027 1,349 395 1,236 1,053 1,496 423 1,426 1,431 1,855 475 0 200 400 600 800 1,000 1,200 1,400 1,600 1,800 2,000 Q1 Q2 Q3 Q4 Operating profit FY2025 FY2026 FY2027 (million yen) (million yen) 1. Summary of Financial Results Consolidated｜Quarterly Results
Page 7
Growth in net sales was driven mainly by an increase in revenue from existing stores and stores opened in previous FY • Sales at non-consolidated existing stores performed particularly well • Impact of revenue increase from existing stores and stores opened in previous FY: approx. 2.8 billion yen *Total of 2,076 million yen from non-consolidated existing stores + 820 million yen from subsidiaries *Estimated figure only, since subsidiaries also include new stores, etc. Duty-free sales also continued to increase • Duty-free sales ratio was 11.1% (+0.8 pts YOY) in the first 6 months • Growth is expected to slow ahead of the transition to the refund method for duty-free sales Supplementary comments • Non-consolidated/existing stores, etc. represents the total of existing stores and stores opened in the previous fiscal year 25,891 22,453 +2,076 +558 -219 +203 +820 FY2026 first 6 months Non-consolidated/ existing stores, etc. Non-consolidated/ new stores Non-consolidated/ closed stores Non-consolidated/ others Subsidiaries FY2027 first 6 months 0 5,000 10,000 15,000 20,000 25,000 30,000 7 Mainly due to revenue increase from existing stores and stores opened in previous FY 1. Summary of Financial Results Consolidated｜Net Sales Fluctuation Analysis (million yen)
Page 8
(million yen) Purchases Sales First 6 months Composition ratio Year on year First 6 months Composition ratio Year on year Household items 569 4.9% 114.0% 1,312 5.2% 110.9% Apparel 4,700 41.1% 114.3% 11,949 47.4% 114.5% Fashion items 3,416 29.9% 117.9% 5,945 23.6% 118.5% Electric appliances 790 6.9% 104.4% 2,432 9.6% 112.5% Furniture 161 1.4% 101.9% 719 2.8% 102.0% Hobby-related items 1,149 10.2% 109.7% 2,512 10.0% 120.5% Other 640 5.6% 127.5% 349 1.4% 126.0% Total 11,429 100.0% 114.6% 25,221 100.0% 115.4% Both purchases and sales were steady • In particular, apparel, fashion items, and hobby-related items contributed in driving growth • Apparel continued to grow by curbing discounts on summer items while shifting to autumn items in line with the weather • Hobby-related items saw growth in both purchases and sales, thanks to the opening of stores under the new business category Treasure Factory Anime Lab and purchase initiatives Supplementary comments • Fashion items: bags, wallets, watches, etc. • Hobby-related items: sports and outdoor items, toys, musical instruments, etc. • “Other” under Purchases: includes side expenses 8 1. Summary of Financial Results Consolidated｜Purchases and Sales by Category
Page 9
9,838 11,813 13,464 15,591 62.0% 60.2% 60.0% 60.2% 0% 10% 20% 30% 40% 50% 60% 70% 0 2,000 4,000 6,000 8,000 10,000 12,000 14,000 16,000 18,000 20,000 FY2024 first 6 months FY2025 first 6 months FY2026 first 6 months FY2027 first 6 months Gross profit Gross profit ratio 1.08 1.09 1.05 1.06 Inventory turnover Gross profit ratio improved by 0.2 pts YOY • With improved pricing as a result of change in the purchase coupon program starting in FY2026 Q3, we achieved an increase in gross profit margin while maintaining inventory turnover • This trend is expected to continue through FY2027 Q3, by which point the effect will have lapped • The above impacts are prominent in the gross profit ratio from non-consolidated existing stores, which rose to 65.9% (+1.0 pts YOY) • Due to mix factors, such as steady sales of high-priced items with low gross profit ratios, the YOY increase in gross profit ratio was limited to +0.2 pts 9 (million yen) (cost of sales ÷ average inventories during the period) 1. Summary of Financial Results Consolidated｜Gross Profit, Gross Profit Ratio, and Inventory Turnover for the Past 4 Years
Page 10
66.5% 65.2% 65.4% 63.0% 65.5% 64.7% 64.5% 62.2% 65.0% 64.8% 64.7% 63.0% 66.3% 65.5% 60% 62% 64% 66% 68% Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 (+0.1 pts) (+0.2 pts) (+0.8 pts) (+1.3 pts) Non-consolidated｜Gross Profit Ratio from Existing Stores for the Past 4 Years 1. Summary of Financial Results 10 FY2024 (3 fiscal years ago) FY2025 (2 fiscal years ago) FY2026 (previous fiscal year) Driven by improved pricing resulting from changes to the purchasing coupon program implemented in FY2026 Q3, the gross profitmargin of non-consolidated existing stores shifted to an upward trend FY2027 (fiscal year under review) (Year on year) (-1.0 pts) (-0.5 pts) (-0.8 pts) (-0.9 pts)(-0.5 pts) (-0.4 pts) (-0.6 pts) (-0.4 pts) (-0.2 pts) (+0.7 pts)
Page 11
Profit growth from existing stores and stores opened in previous FY continues • Non-consolidated existing stores performed particularly well • Impact of profit increase from existing stores and stores opened in previous FY: approx. 850 million yen *Total of 808 million yen from non-consolidated existing stores + 43 million yen from subsidiaries *Estimated figure only, since subsidiaries also include new stores, etc. Main breakdown of Non-consolidated/Other • Increase in personnel for purchase channels other than in- store purchases -69 million yen (Increase in fixed costs due to business expansion) • Increase in advertising expenses to strengthen EC and purchases -58 million yen (Increase in variable costs due to higher sales and purchases) • Both are variable and fixed costs necessary for purchases and sales outside of stores, and are leading to an increase in purchases (For the first half in total, home-delivery purchases rose +22.2% YOY and home-visit purchases +20.5% YOY) Supplementary comments • Non-consolidated/existing stores, etc. represents the total of existing stores and stores opened in the previous fiscal year 11 1,919 +808 -121 -56 -263 +43 2,330 FY2026 first 6 months Non-consolidated/ existing stores, etc. Non-consolidated/ new stores Non-consolidated/ closed stores Non-consolidated/ others Subsidiaries FY2027 first 6 months 0 500 1,000 1,500 2,000 2,500 3,000 (million yen) 1. Summary of Financial Results Mainly due to profit increase from existing stores and stores opened in previous FY Consolidated｜Operating Profit Fluctuation Analysis
Page 12
SG&A expenses remained in line with the plan despite a significant increase in revenue, resulting in a 0.2 pt decrease in the SG&A expense ratio 1. Summary of Financial Results 12 (million yen, % shows sales ratio) FY2026 First 6 months FY2027 First 6 months Year on year Increase/decrease factors Personnel expenses 5,793 (25.8%) 6,596 (25.5%) 113.9% (-0.3 pts) Welcomed 144 new employees in April 2026 Continuing to invest in human capital for growth, while costs are being absorbed through revenue growth Rent expenses 2,409 (10.7%) 2,723 (10.5%) 113.0% (-0.2 pts) Opening of new stores Commission fees 770 (3.4%) 930 (3.6%) 120.6% (+0.2 pts) Opening of new stores Increase in e-commerce sales and cashless payment transactions Advertising expenses 308 (1.4%) 390 (1.5%) 126.5% (+0.1 pts) Mainly from increase in sales from e-commerce and rental business Increase in purchases through purchase channels other than stores Depreciation 315 (1.4%) 373 (1.4%) 118.5% ― Opening of new stores Transportation expenses 262 (1.2%) 324 (1.3%) 123.5% (+0.1 pts) Opening of new stores Supplies expenses 289 (1.3%) 315 (1.2%) 109.1% (-0.1 pts) Opening of new stores Utilities expenses 340 (1.5%) 369 (1.4%) 108.6% (-0.1 pts) Opening of new stores Other 1,054 (4.7%) 1,236 (4.8%) 117.3% (+0.1 pts) Opening of new stores, etc. (including job advertisement expenses, repair expenses, etc.) Total SG&A 11,545 (51.4%) 13,260 (51.2%) 114.9% (-0.2 pts) Consolidated｜Selling, General, and Administrative Expenses (Itemization)
Page 13
Operating cash flows remained flat • In the previous fiscal year, operating cash flows decreased YOY due to a temporary increase in inventory associated with the change in the purchase coupon program • In the current fiscal year, although there were no special factors like those in the previous fiscal year, operating cash flows remained flat, partly due to strong purchases, including securing inventory for new stores and seasonal items • In the second half, we will generate operating cash flows by converting inventory into sales Factors behind the decrease in free cash flows • Increase in capital expenditures associated with steady new store openings Supplementary comments • Free cash flows: The total of operating cash flows and investment cash flows (158) 1,256 329 330 (695) (909) (1,023) (1,152) (128) (346) 218 223 (853) 347 (694) (822) (1,500) (1,000) (500) 0 500 1,000 1,500 FY2024 first 6 months FY2025 first 6 months FY2026 first 6 months FY2027 first 6 months Operating cash flows Investing cash flows Financing cash flows Free cash flows 13 1. Summary of Financial Results Consolidated｜Cash Flows for the Past 4 Years (million yen)
Page 14
Changes in KPIs—Summary 1. Summary of Financial Results 14 E-commerce ratio Indicator of optimization of sales opportunities YOY Purchases Leading indicator of capacity for sales & store openings Conso lidated Conso lidated First 6 months: 105.2% Previous year: 104.3% (+0.9 pts) While results fell short of the planned assumption (YOY 102%) in June, they exceeded it in July and August, continuing steady performance First 6 months: 16.0% Previous year: 14.4% (+1.6 pts) By responding flexibly to changes in customer traffic driven by seasonal shifts and weather conditions, EC business remained strong Achieved a growth rate surpassing in-store sales, driven by measures to increase online listings at comprehensive reuse stores First 6 months: 114.6% Previous year: 121.8% (-7.2 pts) In-store purchases increased +11.1% YOY, home-delivery purchases increased +22.2% YOY, and home- visit purchases increased +20.5% YOY (all non-consolidated) Securing merchandise for new stores and seasonal items in preparation for Q3 and beyond Number of new stores in the current FY Leading indicator of increase in revenue and profit Conso lidated First 6 months: 19 stores Previous year: 18 stores (+1 store) As of the end of Q2, the opening of 37 stores has been finalized, exceeding the annual target of 30–35 stores Plan to open stores in various business categories and regions in Q3 and beyond First 6 months: 65.9% Previous year: 64.9% (+1.0 pts) *Page 9 shows consolidated figures, while page 10 and these figures are non-consolidated Significant increase thanks to improved pricing as a result of change in the purchase coupon program (The improvement effect will complete its full-year cycle by Q3 of the current fiscal year) YOY sales from existing stores Trends in demand and indicator of business growth potential Gross profit ratio of existing stores Indicator of business profitability Non- consol idated Non- consol idated
Page 15
Exceeded 100% YOY for 60 consecutive months • Exceeded planned assumptions (YOY 102%) in the first 6 months, achieving YOY 105% • Number of Saturdays, Sundays, and national holidays in June was one day less compared to last year, while July and August were the same as last year • In June, the number of sales did not grow due to factors such as part of the demand for summer items emerging early in May and the rainy season, but a higher price per sale made up for this and sales exceeded the same month of the previous year • In August, measures to encourage customers to visit multiple stores proved effective and the number of sales increased, exceeding the previous year's strong results • Demand is expected to be equalized over the year to the planned level for performance forecast Q2 First 6 months Net sales (YOY) 103.7 % 105.2 % Number of sales (YOY) 101.5 % 103.6 % Price per sale (YOY) 102.2 % 101.6 % 15 104.4% 103.6% 105.2% 100.3% 101.6% 111.4% 105.7% 106.6% 105.7% 103.4% 106.2% 102.1%101.6% 105.5% 112.7% 100.4% 106.8% 103.9% 85% 90% 95% 100% 105% 110% 115% Mar. Apr. May Jun. Jul. Aug. Sep. Oct. Nov. Dec. Jan. Feb. FY2026 FY2027 1. Summary of Financial Results Changes in KPIs ｜(Non-consolidated) Existing Stores, YOY Sales
Page 16
Business category Q1 Q2 Q3 Finalized Q4 Finalized Full year Treasure Factory +2 stores +3 stores +3 stores +3 stores +11 stores Treasure Factory Style +7 stores +1 store -1 store +5 stores -2 stores +1 store +14 stores -3 stores Treasure Factory Sports & Outdoor - +1 store +1 store - +2 stores Uselet - ― - +1 store +1 store Brand Collect ― ― ― -1 store +1 store +1 store -1 store Treasure Factory Musical Instrument ― - - +1 store +1 store Treasure Factory Anime Lab ― +1 store ― +1 store +2 stores Kindal +1 store +1 store +1 store ― -1 store +3 stores -1 store PickUP +1 store ― ― ― +1 store Thailand +1 store ― +1 store +1 store +3 stores Total +12 stores +7 stores -1 store +11 stores -3 stores +9 stores -1 store +39 stores -5 stores Annual store opening target achieved • Against the target of opening 30–35 stores, the opening of 37 stores and the relocation of 2 stores have been finalized (relocations: 2 Treasure Factory Style stores) • The second stores of the new business categories Treasure Factory Musical Instrument and Treasure Factory Anime Lab have been decided • Store openings for the next fiscal year are expected to be finalized in due course Reasons for store closures • All closures were due to termination of contracts for reasons on the lessor's side or expiration of fixed-term lease contracts • As these were closures of stores with strong performance, we will seek to reopen in nearby areas to leverage the customer base built up over many years 1. Summary of Financial Results Supplementary comments • Including openings and closures due to relocations • Overseas subsidiaries have a different fiscal year (December to November); store openings, closures and relocations are shown according to the consolidated fiscal year (March to February) • Franchise stores are not included • Please refer to Slide 46 for the latest store network 16 Changes in KPIs｜(Consolidated) Progress of New Store Openings (Finalized / minus (-) shows stores closed)
Page 17
1. Summary of Financial Results 17 Net sales for the first 6 months increased +14.3% YOY to ¥3.91 billion, continuing revenue and profit growth While sales growth from inbound tourists is gradually leveling off, performance continued to exceed plan thanks to strong demand for used clothing *We deeply apologize for the great concern and inconvenience caused by the personal information leakage incident disclosed onAugust 28. There has been no impact on business performance, and the EC site concerned has continued to perform as it did before the disclosure. Thanks to increase in sales of jewelry, net sales for the first 6 months increased +7.8% YOY to ¥1.55 billion, achieving growth in revenue and profit Steady performance since the launch of a new store in April Both sales and purchases were strong, achieving an increase of +19.0% YOY in net sales for the first 6 months Opened stores in Tokyo (Nerima store) and Aichi (Nagakute store) in November of the previous FY Due to new store openings and related preparations, net sales increased while operating profit decreased in the first 6 months Opened the 7th store on October 3, and the opening of one more store during the current fiscal year has been finalized, moving into rollout acceleration phase Treasure Factory (Thailand) Co., Ltd. General reuse business operating mainly in Bangkok GK Factory Reuse business specializing in used golf gear PickUP JAPAN Reuse business based in Shizuoka Prefecture Kindal Reuse business specializing in branded used clothing Recorded a loss in the first 6 months, aiming to contribute to full-year profit Preparing to open the 4th store and aiming to open multiple stores per year Treasure Factory (Taiwan) Co., Ltd. Reuse business operating mainly in areas around Taipei Performance of Group Companies *Treasure Factory USA Inc. plans to open its first store in spring 2027
Page 18
Contents 1. Summary of Financial Results 2. Performance and Dividends Forecasts 3. Medium-Term Management Plan 4. Sustainability References 1) Business Model and the Company’s Strengths 2) Measures to Actualize Management that is Conscious of Cost of Capital and Stock Price 3) Corporate Overview and History Treasure Factory Style Yokohama Tsuzuki Store
Page 19
The full-year forecasts revised upward in Q1 remain unchanged, and progress against the revised plan is on track 2. Performance and Dividends Forecasts 19 (million yen) Full-year forecast Vs. previous forecast Assumptions & supplementary informationFY2026 Results FY2027 Forecast (Announced on July 9, 2026) Change vs. previous results FY2027 Forecast (Announced on April 9, 2026) Change vs. previous forecast Net sales 48,597 54,975 +13.1% 54,304 +1.2% Revised the assumption for non-consolidated existing-store sales in the second half to 103% YOY (previously set at 102% YOY). Gross profit 28,731 32,823 +14.2% 32,361 +1.4% Gross profit ratio (consolidated) has been set at 59.7% Operating profit 4,777 5,333 +11.6% 5,065 +5.3% SG&A ratio (consolidated) has been set at 50.0% Operating profit ratio 9.8% 9.7% -0.1pts 9.3% +0.4pts Profit attributable to owners of the parent 3,171 3,551 +12.0% 3,395 +4.6% Net profit margin 6.5% 6.5% ― 6.3% +0.2pts Earnings per share 135.29 yen 151.49 yen +12.0% 144.83 yen +4.6% Dividend per share 40.00 yen 46.00 yen +15.0% 44.00 yen +4.5% Dividend payout ratio 29.6% 30.4% +0.8 pts 30.4% ― FY2027 Performance Forecasts
Page 20
31% 35% 9% 9% 30% 30% 56% 0% 20% 40% 60% 80% 100% 120% Progress against actual results Progress against revised forecast 24% 25% 22% 22% 26% 28% 53% 0% 20% 40% 60% 80% 100% 120% Progress against actual results Progress against revised forecast Q1 Q2 Q3 Q4 Quarters not elapsed Progress Against Full-year Targets 2. Performance and Dividends Forecasts 20 FY2026 results 48,597 (million yen) FY2026 results 4,777 Net sales progressed on par with the previous year, while operating profit, which had been expected to decrease in Q2 alone, increased contrary to expectations. (The previous year's figure represents the progress rate against full-year actual results.) Revised forecast for the current FY 54,975 Revised forecast for the current FY 5,333 Net sales FY2027 FY2026 Operating profit FY2027 FY2026
Page 21
(million yen) FY2026 results FY2027 forecast YOY Net sales 26,144 29,084 +11.2% Operating profit 2,858 3,003 +5.1% Operating profit ratio 10.9% 10.3% -0.6 pts Full-year cycle of the pricing improvement effect completed • The improvement in pricing from the change in the purchase coupon program implemented in FY2026 Q3 will be on the same terms as the previous year from Q3 of the current fiscal year Relocation of logistics base and concentration of store openings • Costs will be incurred in connection with the relocation of the logistics center and the opening of new bases for home-visit purchases • New store openings will be concentrated in November– December Non-consolidated existing store sales assumed at 103% YOY • In July, the assumption for the second half was raised from 102% to 103% Results for the first half were 105.2%. Weather-related fluctuations are also taken into account 21 2. Performance and Dividends Forecasts FY2027 Outlook for the Second Half Changes in Operating Profit 1,919 2,858 2,330 3,003 FY2026 FY2027 *H2 forecast = full-year forecast announced on July 9, 2026 − H1 results H1 closed above forecast Full-year forecasts unchanged, as H2 will see the end of the pricing improvement effect and concentrated costs H2 forecast (million yen) FY2026 results FY2027 results FY2026 results FY2027 forecast H1 (YOY +21.5%) H2 (YOY +5.1%)
Page 22
Plan to increase the annual dividend by 6 yen for FY2027 • Paid an interim dividend of 24 yen (+5 yen from the previous fiscal year); the year-end dividend forecast of 22 yen remains unchanged • The year-end dividend will be reviewed again based on performance in the second half Supplementary comments (Basic policy on allocation of profit) • Continuously pay out dividends in line with earnings by taking into consideration the balance between shareholder returns and the need to strengthen the financial foundation by bolstering internal reserves • Immediate target payout ratio shall be 30% or greater 12 18 19 24 16 16 21 222 0 yen 10 yen 20 yen 30 yen 40 yen FY2024 FY2025 FY2026 FY2027 (forecast) Interim Year end Commemorative dividend Dividends forecast (per share) Dividends for the past 4 years (after stock split & adjustments) 22 2. Performance and Dividends Forecasts Dividends forecast FY2026 FY2027 Forecast (Announced on July 9, 2026) YOY FY2027 Forecast (Announced on April 9, 2026) Change vs. previous forecast Interim (Results) 19 yen 24 yen +5 yen 22 yen +2 yen Year end 21 yen 22 yen +1 yen 22 yen ― Annual total 40 yen 46 yen +6 yen 44 yen +2 yen Dividend payout ratio 29.6% *30.4% +0.8 pts 30.4% ― *Payout ratio is calculated based on the revised forecasts.
Page 23
FY2027 Initiatives 2. Performance and Dividends Forecasts 23 Reuse Business Peripheral Reuse Businesses Japan ⚫ Increase number of purchases and sales through continuous efforts, including acquiring app members (3.15 million app members as of end of August 2026) ⚫ Leverage diverse sales channels including our e-commerce site, auction, and overseas business sites to maximize sales and purchases ⚫ By launching specialty business categories, we aim to deepen our expertise in specific product categories and broaden our customer base; simultaneously, we will feed the accumulated knowledge back into our existing businesses to elevate the performance of the Group as a whole Overseas ⚫ Continue opening stores in Thailand (currently 7 stores) and Taiwan (currently 3 stores) at a rate of 1–2 stores per year in each country ⚫ Treasure Factory USA Inc. plans to open its first store in spring 2027 Opening of new stores ⚫ Target to open 30–35 stores during the fiscal year across the Group (32 stores in FY2026) Existing regions (Tohoku, North Kanto, Greater Tokyo Area (Tokyo Metropolis, Kanagawa, Chiba, Saitama), Tokai, Kansai, Chugoku and Kyushu) & new regions ⚫ First expansion into Saga Prefecture Strengthen purchases through channels other than physical stores ⚫ Increase home-delivery and home-visit purchases by about 5–15% in order to ensure inventory for new store openings ⚫ In the first half, home-delivery purchases rose +22.2% YOY and home-visit purchases +20.5% YOY Auction Business ⚫ Increase number of listings and quantity available from the bases in Kanto and Kansai (also expand listings from our own stores) Moving & Removal Business ⚫ Increase number of moves and purchases by effectively combining our moving services with services by partner moving companies Rental Business ⚫ Increase both sales and profit with business base expansion and product expansion (dresses, black formal suits) ⚫ With the takeover of the unmanned rental dress service, promote growth through physical stores and online sales *The services of the real estate business (Treasure Factory Real Estate) were terminated in August 2026 While the business had continually generated profit, we have decided to allocate management resources to other areas with a view to optimizing our business portfolio
Page 24
Contents 1. Summary of Financial Results 2. Performance and Dividends Forecasts 3. Medium-Term Management Plan 4. Sustainability References 1) Business Model and the Company’s Strengths 2) Measures to Actualize Management that is Conscious of Cost of Capital and Stock Price 3) Corporate Overview and History Kindal Ginza Store
Page 25
Development of reuse business Open 30 to 40 new stores per year on a consolidated basis to expand the Group’s reuse network. These stores will serve as purchases and sales locations for physical stores and as sales locations for online stores. In addition to investing in our core reuse business, invest continuously in peripheral reuse businesses that are synergistic and complementary to reuse business, and in other businesses that are in line with our management philosophy to expand our growth platform. Continue to build the business structure and improve earnings while opening new stores based on the conditions of each region. Expand business into new regions beyond Thailand, Taiwan, and the U.S. Conduct aggressive M&A of reuse companies that can complement our business and other companies that can enhance synergy within the Group to accelerate growth. Leverage the development capabilities of our internal system division and the Group’s system development company to streamline operations and make innovations using IT and AI, and create new business opportunities to increase the Group’s revenue. 25 1 2 3 4 5 3. Medium-Term Management Plan Management Policies to Achieve the Medium-Term Management Plan Investment in new businesses Growth in overseas markets Growth through M&A Growth through investments in digital transformation
Page 26
Revamped the Medium-Term Management Plan • In the revision of performance forecasts in Q1, only FY2027 was revised; FY2028 and FY2029 are scheduled to be updated in April • Will continue to review and revise as necessary based on performance Maintain sustainable profit growth and high efficiency • Continue sustainable profit growth and investments • We will continue to maintain high level of ROE by balancing growth investments and shareholder returns Final fiscal year of the Plan (FY2029) • Forecast net sales of 71.0 billion yen and operating profit of 6.3 billion yen Plan 26 Plan 3. Medium-Term Management Plan Summary of Medium-term Profit and Loss Projections 344 422 485 549 620 710 275 293 319 355 390 425 0 50 100 150 200 250 300 350 400 450 0 100 200 300 400 500 600 700 800 FY2024 FY2025 FY2026 FY2027 FY2028 FY2029 Net sales, number of stores Net sales (hundred million yen) Number of stores (stores) 33 40 47 53 56 63 0 10 20 30 40 50 60 70 80 FY2024 FY2025 FY2026 FY2027 FY2028 FY2029 Operating profit
Page 27
March 2026 Established a specialized team “DX Assessment & Authenticity Office” March 2026– Launched an AI project spanning the technology organizations of all Group companies July 2026– Began trial operation of our first project “Streamlining data entry & search tasks during assessment” Aim to achieve a 70–80% reduction in working time for assessment operations In-store sales EC sales List on auctions Export Use of Artificial Intelligence and Investment in Digital Transformation 27 3. Medium-Term Management Plan Accelerate the creation of added value through the use of AI and digital transformation across every process, from purchases to sales Purchase process In-store purchases Home-delivery purchases Home-visit purchases Sales process Purchases through moving service Receive order for purchases Interface Optimize Optimize routes Optimize pricing DX Use of AI Use of AI Increase customer satisfaction Improve productivity Improve productivity Prevent loss of purchase opportunities Maximize profit ratio MD & demand forecasts Use of AI Prevent loss of sales opportunities Maximize profit ratio Receive order for purchases Visit Assess Sales plan Assess authenticity Use of AI Improve productivity Optimize selling price Use of AI Maximize profit ratio Adjust pricing Optimize inventory volume Use of AI Prevent loss of sales opportunities Maximize profit ratio Move inventory DX Image of profit & loss impact during the period under the Medium-Term Management Plan Increase in personnel expenses & outsourcing costs (Investment phase) Increase in gross profit (Maximize sale opportunities, minimize discount loss, increase inventory turnover) Increase in operating profit (Streamline assessment, improve labor productivity) DX DX
Page 28
Final fiscal year of the Plan (FY2029) • Forecast net sales of 71.0 billion yen and operating profit of 6.3 billion yen. Dividend payout ratio • Target dividend payout ratio will be 30% or higher Notes • As there are many uncertain elements, increases in profit and expenses for M&A, including intermediary fees, are not included in the Plan. • The Plan may be impacted in the event the Company fails to secure the number of new store properties as originally assumed. • The Plan may be significantly impacted in the event of unexpected situations, such as the spread of COVID-19. • The Medium-Term Management Plan may be revised as necessary. • Earnings per share are subject to changes depending on progress in exercise of share acquisition rights and purchase of treasury shares going forward. • Expected dividends may change due to status of business results, etc. 28 Stores to be opened per year 32 stores 30-35 stores 35-40 stores 35-40 stores - Net sales ¥48.5 billion ¥54.9 billion ¥62.0 billion ¥71.0 billion 13.55% Operating profit ¥4.77 billion ¥5.33 billion ¥5.68 billion ¥6.38 billion 10.18% Operating profit ratio 9.8% 9.7% 9.2% 9.0% - Profit attributable to owners of the parent ¥3.17 billion ¥3.55 billion ¥3.83 billion ¥4.29 billion 10.61% Earnings per share 135.3 yen 151.5 yen 163.4 yen 183.2 yen 10.63% Dividend per share 40.0 yen 46.0 yen 49.0 yen 55.0 yen - Dividend payout ratio 29.6% 30.4% 30.0% 30.0% - CAGR (annual growth rate) FY2029FY2028FY2027FY2026 3. Medium-Term Management Plan Medium-term Profit and Loss Projections, Expected Dividends (FY2027–FY2029)
Page 29
Funding plan (cash-in) (1) Operating cash flows forecast: approx. 3.4–5.2 billion yen per year : approx. 12.0–13.0 billion yen in accumulated total over 3 years (2) Bank loans : approx. 6.0 billion yen (1) + (2) : approx. 18.0–19.0 billion yen Capital allocation plan (cash-out) (3) Investments in new stores : approx. 3.5–4.0 billion yen per year : approx. 9.5–11.0 billion yen in accumulated total over 3 years • Investments in store facilities, security deposits, inventory, etc. for new stores (4) Financial soundness : approx. 5.0 billion yen in accumulated total over 3 years • Repayment of interest-bearing debt and strengthening of financial base, etc. (5) Total dividends : approx. 3.3 billion yen in accumulated total over 3 years • The Company positions share buybacks as a capital allocation option alongside growth investments and M&A, and will execute them opportunistically when its shares are undervalued. (3) + (4) + (5) : approx. 17.0–19.0 billion yen Financial Planning for FY2027–FY2029｜Accumulated Total Over 3 Years cash-in cash-out 29 Bank loans Approx. ¥6.0 billion Operating cash flows ¥12.0–13.0 billion Total dividends Approx. ¥3.3 billion Investments in new stores ¥9.5–11.0 billion 3. Medium-Term Management Plan Financial Soundness Approx. ¥5.0 billion Of the growth investments, about 40–50% shall be financed through debt to ensure appropriate financial leverage
Page 30
17 19 25 25 32 37 0 0.2 0.4 0.6 0.8 1 1.2 0 5 10 15 20 25 30 35 40 FY2022 FY2023 FY2024 FY2025 FY2026 FY2027 FY2028 FY2029 New stores per year Finalized Plan Plan Core engine of sustainable growth = highly profitable and highly efficient store model + continuous opening of new stores 3. Medium-Term Management Plan 30 Highly profitable store model Continuous opening of new stores Quantitative results • Average initial investment of approximately 50 to 60 million yen with payback period of 48 months • Achieve single-month profitability within 3 to 6 months after opening • Reach mature phase about 24 months after opening and continue long-term growth thereafter (Existing stores exceeded YOY sales for 60 consecutive months) Store managers’ high standards for profitability and efficiency • A culture that grants store managers discretion by setting operating profit as their top KPI, thereby honing the competitiveness of each individual store • Visualize cash flows related to inventory on the store performance dashboard Working to improve ROIC at the store operation level “Ability to sell through” supported by our data-driven culture • Organizational capability to execute appropriate pricing and precise inventory control by leveraging inventory sales/purchase data • Achieve gross profit margin that ranks among the highest in the industry Consistent opening of new stores • A steady pace of store openings taking into consideration the constraints of human resources and inventory of reused goods (Target to open approximately 10% of the number of existing stores) • Balancing urban and regional stores to grow both store count and profitability Opportunities for store openings • Operating a diverse portfolio of over ten business categories, enabling flexible store openings tailored to specific locations and properties • Recognize the capability to open stores comparable to or greater than that of competitors who operate on a scale of approximately 1,000 stores domestically 35–40 35–40
Page 31
Contents 1. Summary of Financial Results 2. Performance and Dividends Forecasts 3. Medium-Term Management Plan 4. Sustainability References 1) Business Model and the Company’s Strengths 2) Measures to Actualize Management that is Conscious of Cost of Capital and Stock Price 3) Corporate Overview and History Treasure Factory Sports & Outdoor Miyoshi Store
Page 32
Environment ⚫ Reduce CO2 through reuse business ⚫ Utilize LED lighting ⚫ Engage in activities to conserve the environment (Mt. Fuji cleaning activity) Social - Community ⚫ Support the development of employees ⚫ Promote recruitment of people with disabilities ⚫ Improve system for reducing work hours ⚫ Approach social issues through new businesses ⚫ Invest in start-up companies ⚫ Develop young executives Governance ⚫ Strengthen the corporate governance framework Basic Policy on Sustainability & Basic Data 4. Sustainability 32 Treasure Factory aims to contribute to the establishment of a recycling society through its core business of reuse, to achieve symbiosis with society and provide new values, and to grow sustainably through our diversified organization. The company will pursue highly reliable management to meet the expectations of customers, employees, business partners, shareholders, and various other stakeholders. FY2024 FY2025 FY2026 Internal Directors Male 4 4 3 External Directors Male 1 1 1 Female 1 1 1 Percentage of External Directors 33.3% 33.3% 40.0% Percentage of female Directors 16.7% 16.7% 20.0% External Auditors Male 3 3 3 FY2024 FY2025 FY2026 Number of new recruits 115 107 132 Number of mid-career recruits 113 126 119 Total number of recruits 228 233 251 Number of full-time employees 902 1,009 1,168 Number of part-time employees 2,403 2,953 3,136 Total number of employees 3,305 3,962 4,304 Number of female full-time employees 155 184 225 Number of female part-time employees 1,452 1,725 1,861 Total number of female employees 1,607 1,909 2,086 Percentage of female full-time employees 17.2% 18.2% 19.3% Percentage of female part-time employees 60.4% 58.4% 59.3% Percentage of female employees 48.6% 48.2% 48.5% Number of in-house training sessions 175 176 228 Percentage of paid leave used 65.9% 64.0% 64.2% Number of employees taking child care leave 22 23 30 Unit 2024 2025 2026 CO2 emissions Scope 1 t-CO2 235 273 311 Scope 2 t-CO2 5,484 6,705 7,291 Total t-CO2 5,719 6,978 7,602 CO2 emissions per unit Per sales of one million yen t-CO2/million yen 0.217 0.222 0.214 Unit FY2024 FY2025 FY2026 Amount of CO2 emissions reduced by reuse business Four goods subject to home appliance recycling t 17,719 18,058 20,195 Apparel t 22,134 24,746 27,881 Furniture t 3,114 3,038 3,062 Subtotal of major categories t 42,967 45,842 51,138 Note 1: Scope 1 emissions include CO2 emissions from gasoline. Scope 2 emissions include CO2 emissions from electricity. Note 2: Scope 1 emissions are calculated by estimating the amount of gasoline consumption (from data on costs of fuel purchased within the Company and the average of gasoline prices during each period) and applying the emission coefficient. Scope 2 emissions are calculated using the location-based method, taking the electricity consumption and applying the emission coefficient (alternative value set forth by the Ministry of the Environment). Note 3: Locations where electricity consumption could not be measured were excluded from the Scope 2 emissions calculations. Note 1: The four goods subject to home appliance recycling are washing machines, refrigerators, TVs, and air conditioners. Amounts for the four goods and furniture are calculated based on the Ministry of the Environment’s FY2010 Report by the Study Committee on the Promotion of Reuse of Used Products, etc. Note 2: Apparel is calculated based on the Ministry of the Environment’s Visualization Tool for 3R Initiatives. *Data updated every May
Page 33
Contents 1. Summary of Financial Results 2. Performance and Dividends Forecasts 3. Medium-Term Management Plan 4. Sustainability References 1) Business Model and the Company’s Strengths 2) Measures to Actualize Management that is Conscious of Cost of Capital and Stock Price 3) Corporate Overview and History Brand Collect Omotesando 1 Store
Page 34
Business Model 1) Business Model and the Company’s Strengths 34 Physical stores Diverse business categories, diverse products Supply merchandise Online listing Multiple-store operation in diverse business categoriesPurchases in multiple categories through multiple channels In-store sales In-store purchases Home- delivery purchases Purchases from companies EC sales Auction platform E-commerce websites Supply merchandise 10–15% Around 5% Around 5% 20–25% 80–85%65–70% 3–5% Home-visit purchases Individual customers ■ ■ ■ Corporate Individual customers Corporate Distribution center Distribution center Sales to business customers
Page 35
Cost of reusable products • High unit price merchandise - As these items are assets, market price is formed. - Prices are easily compared across multiple channels and tend to rise in bidding • Low unit price merchandise - Greater need for bundle purchase rather than focusing on assessed value - Although costs are low, they can contribute to revenue by efficiently increasing handling volume • Small-sized merchandise - Easy-to-handle items have relatively lower fixed costs - Lower fixed costs can contribute to improving SG&A expenses • Large-sized merchandise - Items that are harder to handle have relatively higher fixed costs - Higher fixed costs tend to increase SG&A expenses 35 Size of item Pr ic e p er it e m Middle unit price apparel Middle brand items Low unit price apparel Fast fashion items Low brand items High unit price apparel Luxury itemsBranded items Fashion items Bags Wallets Furnitu re & home applian ces Golf gear, Musical instruments Size of circle is composition ratio of merchandise (representation) Yellow circles are merchandise with higher composition ratio in recent years (Light colored area) Lower gross profit ratio (Dark colored area) Higher gross profit ratio Outdoor items Household items High Low Small Large (Middle area) Standard gross profit ratio 1) Business Model and the Company’s Strengths Consolidated｜Relationship Between Profit & Loss Structure and Product Mix
Page 36
① By possessing multiple business formats, the Group can meet the diverse needs of customers, as well as share its expertise on appraisals across business categories. ② By possessing multiple business formats, the Group can open new stores in various locations. ③ As each business format handles different product categories, Group stores can be located in close proximity. ① Through its diverse purchasing channels including in-store purchases, home-visit purchases, home-delivery purchases, purchases in moving & removal, corporate purchases, and purchases through auctions, the Group has the capacity to purchase products from various categories. ① With its distribution centers in multiple locations in the Kanto and Kansai regions and a network of freight trucks, the Group is capable of stocking large items and mass quantities for home-visit and corporate purchases. ② By stocking inventory at the centers at all times, the Group can supply inventory to new stores without affecting the performance of existing stores. ① With its in-house systems development division and subsidiary for system development, the Group develops its own systems, apps, and online sales systems to make improvements quickly. ② The Group established a system in which data is updated on a real-time basis, data of all bases are shared, and the PDCA cycle based on data analysis is rapidly reflected. Competitive Advantages Supporting our Growth 1) Business Model and the Company’s Strengths 36 By rolling out over 10 business formats of general reuse and specialized reuse, the Company will achieve sustainable growth through constant expansion of the types of products and price ranges that it offers. In addition to in-store sales channels, the Company is strengthening its own e-commerce and in-house auctions to strengthen sell out. 1 2 3 4 System development and data analysis capabilities Established distribution network Purchases in multiple categories through multiple channels Multiple-store operation in diverse business categories
Page 37
Business category Concept & product Typical locations Flagship brands General reuse stores handling a wide range of reusable products Along major roads Inside shopping malls Fashion reuse stores handling a wide range of fashion items Areas within 10-minute walk from train stations Areas close to major train stations Inside shopping malls Specialty brands Specialized reuse stores handling sporting gear and outdoor goods Along major roads Used clothing outlet stores offering low-priced fashion items Near train stations in the Tokyo metropolitan area Busy areas such as shopping arcades Suburban areas Luxury brand reuse stores specializing in high-end branded goods, jewelry, etc. Central Tokyo (Omotesando, Harajuku) Areas also popular among international visitors Large furniture and home appliance reuse stores handling large furniture items, interior products, and home appliances Suburbs in Kanto region Along major roads Specialty reuse shop handling various musical instruments Urban areas rooted in music culture Reuse shop specializing in anime & character goods Areas with active subculture consumptions Group companies Branded used clothing reuse stores handling domestic and imported brand items Urban areas in Kanto and Kansai regions Fashion-conscious areas Reuse stores specializing in golf gear and golf apparel Along major roads Inside shopping malls General reuse shop, branded items and jewelry reuse stores based in Shizuoka Prefecture Along major roads Multiple-store operation in diverse business categories 1) Business Model and the Company’s Strengths 37
Page 38
Appraisal data ⚫ Control purchase and sale prices ⚫ Support buyers’ appraisal System development and data analysis capabilities 1) Business Model and the Company’s Strengths 38 Inventory management ⚫ Identify top sellers and poor sellers ⚫ Identify and sweep out slow-moving inventory Price management ⚫ Prevent excessive discounts ⚫ Launch timely price reductions Performance management ⚫ Support stores’ target management ⚫ Share management indices with other stores Customer management ⚫ Age group and other segment analysis ⚫ Use data for marketing Authenticity information ⚫ Prevent distribution of imitations ⚫ Support buyer development Product management expertise is critical in reuse business dealing with one-of-a-kind products. We developed our own POS system using item-by-item management expertise that we have been refining since establishment. The system is used as the foundation to enhance system functionality and store management. Share sales and purchases, inventory, and performance data at each store on a real- time basis
Page 39
Future direction ⚫ Aim to expand business through opening around 30–40 stores per year ⚫ By increasing profitability at new stores and existing stores, strive to maintain and raise net profit margin and total assets turnover ⚫ By increasing profitability at new stores and existing stores, strive to maintain and raise ROIC, an indicator of return on investment ⚫ Position acquisition of treasury shares as an investment destination along with growth investments and M&A, and implement repurchase flexibly when stock price is undervalued in order to maintain capital efficiency Capital Efficiency and Stock Price Trends 2) Measures to Actualize Management that is Conscious of Cost of Capital and Stock Price 39 Capital efficiency Stock price Current ⚫ ROE trends well above cost of equity (ROE 27.4% = Net profit margin 6.5% x total assets turnover 2.10 x financial leverage 2.00) ⚫ ROIC trends well above WACC Current (as of end of August 2026) Cost of equity : approx. 4.6% ROE : 27.4% (FY2026) WACC : approx. 4.1% ROIC : 18.3% (FY2026) Future direction ⚫ Maintain relatively high profitability and growth (e.g., profit margin, annual growth rate) within the sector ⚫ Achieve sustainable expansion of operating cash flows to enhance stock market valuation ⚫ Articulate the Company’s competitive advantages and growth potentials, and continue to disclose information to shareholders and investors ⚫ Continue efforts to release English disclosures at the same time as Japanese versions PER : 12–15x (trending around 13–14x toward the end of August) PBR : around 3.5x
Page 40
Company name Treasure Factory Co., Ltd. Address of head office 4-14-1 Sotokanda, Chiyoda-ku, Tokyo, Japan Representative Eigo Nosaka, President & CEO Foundation May 25, 1995 Number of full-time employees 1,292 (full-time employees only; as of the end of August 2026) Business description Operation of reuse stores, operation of auctions Operation of Treasure Factory moving service Operation of end-of-life organization and cleanout business “Regacy,” operation of EC dress rental business “Cariru” Paid-in capital 906 million yen (as of the end of August 2026) Fiscal year end February Management philosophy Treasure Factory provides people with joy, discovery, and excitement. Mission statement “To create new norms in society” • We will be innovative in making the world a better place and creating new values. • We will accumulate new values to create new norms in society. Vision The Treasure Factory Group will accumulate new values that are unique to us and become a corporate group that is relied upon by all. And, through challenge and innovation, we aim to continue growing for 300 years. Origin of company name Treasure Factory: “A factory for finding new value in used goods” With a rich lineup of rare one-of-a-kind products, we provide customers with the joy of buying and selling disused articles, all in one place, and the excitement of discovering unique products that can be found nowhere else. Corporate Overview 3) Corporate Overview and History 40
Page 41
History 3) Corporate Overview and History 41 1995 May Established Treasure Factory Y. K. (limited private company) in Yokohama City, Kanagawa Prefecture Oct. Opened the Treasure Factory Adachi Head Office in Toneri, Adachi-ku, Tokyo, the Company’s first comprehensive recycle shop 1999 Dec. Increased capital to ¥10 million and reorganized Treasure Factory as a joint-stock company (kabushiki kaisha) 2000 Sep. Established a distribution center in Iriya, Adachi-ku, Tokyo 2002 May Relocated the corporate headquarters to Takenotsuka, Adachi-ku, Tokyo 2004 Jul. Launched franchise operations. Opened the Treasure Factory Iwaki-Kashima Store as the first franchise store in Iwaki City, Fukushima Prefecture 2006 Oct. Launched Treasure Factory Style, a new business dedicated to clothing and fashion accessories; opened the first store in Chiba City, Chiba Prefecture 2007 Dec. Listed on the Mothers Section of the Tokyo Stock Exchange (TSE) 2008 Feb. Relocated the corporate headquarters to Umejima, Adachi-ku, Tokyo 2010 Feb. Opened Treasure Factory Style online store Oct. Launched Cariru, a rental business for branded bags and fashion, which was acquired through business transfer 2013 May First expansion into Kansai area; opened the Treasure Factory Kobe Shin-Nagata Store in Kobe City, Hyogo Prefecture Nov. Launched Uselet, a new business for providing a wide range of fashion products at low prices; opened the first store in Kuki City, Saitama Prefecture 2014 Sep. Launched Treasure Factory Sports, a new business dedicated to sports and outdoor goods; opened the first store in Yokohama City, Kanagawa Prefecture Sep. Launched Treasure Factory Moving & Removal, a moving & removal business Oct. Launched Brand Collect, a business acquired through business transfer, dedicated to used designer clothing Dec. Moved from the TSE Mothers Section to the First Section of the TSE
Page 42
2016 Mar. Established Treasure Factory (Thailand) Co., Ltd., a local affiliate in Thailand May First expansion into Tokai area; opened the Treasure Factory Tokushige Store in Nagoya City, Aichi Prefecture Jul. First expansion into Kyushu area; opened the Treasure Factory Fukuoka Kasuga Store in Kasuga City, Fukuoka Prefecture Jul. Opened the first overseas store, Treasure Factory Sukhumvit 39 Store, in Bangkok, Thailand Jul. Relocated the head office to Kanda, Chiyoda-ku, Tokyo Sep. Launched Treasure Factory Market, a new business of large-scale stores that handle mainly electric appliances and furniture; opened the first store in Chiba City, Chiba Prefecture Sep. Acquired shares of K.K. Kindal to make it a wholly-owned subsidiary 2017 Oct. Opened the general reuse online store, Treasure Factory Online 2018 Mar. Acquired shares of GOLF Kids Co., Ltd. to make it a subsidiary (currently K.K. GK Factory) 2019 Jan. Acquired shares of Digital Quest Co., Ltd. to make it a subsidiary Oct. Launched Treasure Factory Real Estate, a real estate business 2020 Feb. Acquired shares of K.K. STANDING OVATION and concluded a capital and business alliance with the company Mar. Launched Treasure Factory Live Net Auction, an online auction business Oct. Acquired shares of PickUP JAPAN to make it a subsidiary Nov. Launched Regacy, an end-of-life organization and cleanout business 2021 Apr. Established Treasure Factory (Taiwan) Co., Ltd., a local affiliate in Taiwan 2022 Feb. Split Digital Quest Co., Ltd. and established Treasure Factory Technologies Co., Ltd. Feb. Sold shares of Digital Quest Co., Ltd. Apr. Moved from the First Section of the TSE to the Prime Market of the TSE Dec. Opened Treasure Factory Xinzhuang Xingfu Store in New Taipei City, the first store in Taiwan 2023 Oct. Acquired shares of ACUO Co., Ltd. to make it a wholly-owned subsidiary History 3) Corporate Overview and History 42
Page 43
2024 Feb. K.K. GK Factory absorbed and merged ACUO Co., Ltd. 2025 Jan. Relocated the head office to Sotokanda, Chiyoda-ku, Tokyo Jan. Renewed corporate logo Mar. First expansion into Chugoku area; opened the Treasure Factory Okayama Hirai Store in Okayama City, Okayama Prefecture Jul. First expansion of directly managed store into Tohoku area; opened the Treasure Factory Style Sendai Oroshimachi Store in Sendai City, Miyagi Prefecture Jul. Launched Treasure Factory Musical Instrument, a new business format specializing in a wide variety of musical instruments; opened the first store in Musashino City, Tokyo Sep. Established Treasure Factory USA Inc., a local affiliate in America Nov. Acquired shares of Empty Co., Ltd. to take over the "Empty Dressy" business Dec. Opened Treasure Factory Style Taipei Gongguan Store in Taipei, Taiwan, the first overseas Treasure Factory Style business format store 2026 Feb. Renewed Cariru logo Apr. Rebranded "Empty Dressy" (acquired through a business transfer in November 2025) as "Smart Cariru" Jun. Launched Treasure Factory Anime Lab, a new business format specializing in anime and character goods; opened the first store in Tachikawa City, Tokyo Aug. Terminated Treasure Factory Real Estate services History 3) Corporate Overview and History 43
Page 44
0 10,000 20,000 30,000 40,000 50,000 60,000 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2030 2040 Sales of entire reuse market Reuse Market Trends 3) Corporate Overview and History 44 B2C (stores) 13,222 C to C 14,445 B2C (online) 6,488 other 481 Business composition ratio of entire reuse market Forecast 5 trillion yen 3.46 trillion yen 1.13 trillion yen 2025 Scale of reuse market 3.46 trillion yen (million yen) *Source: “Reuse Market in Data (Latest Edition),” The Reuse Economic Journal (hundred million yen) 38.2% 41.7% 18.7% 1.4% Forecast 4 trillion yen
Page 45
Fore cast Changes in Operating profit • Achieved record-high profit in FY2026 • Plan to renew the highest profit record with ¥5,333 million in FY2027 (Revised full-year forecasts upward on July 9, 2026) Track record of listing • December 2007: Listed on the TSE Mothers Section • December 2014: Changed market to TSE First Section • April 2022: Restructured to TSE Prime Market 45 Changes in Sales and Operating Profit (million yen) (million yen) 3,372 4,242 5,230 6,347 7,205 7,984 9,129 10,686 12,216 13,328 16,431 17,737 19,12318,735 23,313 28,212 34,454 42,207 48,597 54,975 237 221 358 392 570 628 709 959 1,086 706 621 905 939 106 995 2,565 3,358 4,035 4,777 5,333 0 1,000 2,000 3,000 4,000 5,000 6,000 0 10,000 20,000 30,000 40,000 50,000 60,000 Net sales Operating profit 3) Corporate Overview and History
Page 46
Number of Group Stores: 337 stores (of which, 306 stores are directly managed) *As of August 31, 2026 3) Corporate Overview and History 46 Prefecture Total by Prefecture/C ity Tohoku Miyagi － 3 － － － － － － － － － － 3 stores Fukushima 4 － － － － － － － － － － － 4 stores Kanto Ibaraki 4 － － － － － － － － － － － 4 stores Tochigi 4 － － － － － － － － － － － 4 stores Gunma 6 1 － － － － － － － － － － 7 stores Saitama 20 10 3 － 5 1 － － － － － － 39 stores Chiba 10 10 2 － － 1 － － － － － － 23 stores Tokyo 15 45 2 9 5 － 1 1 17 － 3 1 99 stores Kanagawa 12 15 1 － 3 － － － － － － － 31 stores Hokuriku Niigata － － － － － － － － 1 － － － 1 store Tokai Shizuoka － － － － － － － － 1 14 － － 15 stores Aichi 7 8 3 － － － － － 3 － 1 8 30 stores Mie － － － － － － － － － － － 1 1 store Kansai Shiga 2 － － － － － － － 1 － 2 － 5 stores Kyoto 1 － － － － － － － 2 － 1 － 4 stores Osaka 9 12 － － － － － － 11 － 5 － 37 stores Hyogo 3 3 － － － － － － 3 1 1 － 11 stores Nara － － － － － － － － 1 － － － 1 store Wakayama － － － － － － － － 1 － － － 1 store Chugoku Okayama 1 － － － － － － － － － － － 1 store Hiroshima － － － － － － － － 1 － － － 1 store Kyushu Fukuoka 5 － － － － － － － － － － － 5 stores Saga 1 － － － － － － － － － － － 1 store Thailand Bangkok 6 － － － － － － － － － － － 6 stores Taiwan Taiwan 2 1 - - - - - - - - - - 3 stores Total by business category 112 stores 108 stores 11 stores 9 stores 13 stores 2 stores 1 store 1 store 42 stores 15 stores 13 stores 10 stores 337 stores
Page 47
Non-consolidated｜Store Business Category 3) Corporate Overview and History 47 Peripheral reuse business General reuse business Treasure Factory General reuse business handling a wide range of items including furniture, home appliances, apparel, accessories and branded items Fashion reuse business Treasure Factory Style Fashion reuse business handling a wide range of fashion items Reuse business
Page 48
Non-consolidated｜Store Business Category 3) Corporate Overview and History 48 Peripheral reuse business Fashion outlet reuse business Uselet Outlet business handling a wide range of fashion goods at low prices Luxury brand reuse business Brand Collect Luxury brand reuse stores specializing in high-end branded goods, jewelry, etc. Compact stores focused on urban areas Reuse business
Page 49
Non-consolidated｜Store Business Category 3) Corporate Overview and History 49 Peripheral reuse business Sports & outdoor reuse business Treasure Factory Sports & Outdoor Specialized reuse stores handling outdoor goods and sporting gear for winter sports, etc. Large furniture and home appliances reuse business Treasure Factory Market Reuse business at large-scale stores, mainly handling electric appliances and furniture Operating in suburban areas Reuse business
Page 50
Subsidiaries｜Store Business Category 3) Corporate Overview and History 50 Peripheral reuse business Musical instrument reuse business Treasure Factory Musical Instrument Reuse business specializing in a wide variety of musical instruments Reuse business Anime and character goods reuse business Treasure Factory Anime Lab Reuse business specializing in anime and character goods
Page 51
Subsidiaries｜Store Business Category 3) Corporate Overview and History 51 Peripheral reuse businessReuse business Branded used clothing reuse business Kindal Reuse business specializing in branded used clothing Operating mainly in central locations in Osaka and Tokyo *Became a wholly-owned subsidiary in September 2016
Page 52
Subsidiaries｜Store Business Category 3) Corporate Overview and History 52 Peripheral reuse business General reuse business PickUP General reuse business handling a wide range of items including home appliances, furniture, apparel, branded items, leisure-related items, work tools, etc. Operating in Shizuoka Prefecture Branded items & jewelry reuse business Kinburry Branded items & jewelry reuse business handling gold, platinum, branded goods, watches, cash vouchers, etc. Operating in Shizuoka Prefecture *Became a wholly-owned subsidiary in October 2020 *Became a wholly-owned subsidiary in October 2020 Reuse business
Page 53
Subsidiaries｜Store Business Category 3) Corporate Overview and History 53 Peripheral reuse business Golf reuse business Golf King Reuse business specializing in golf gear Operating mainly in Nagoya, Aichi Prefecture *Became a wholly-owned subsidiary in October 2023 Golf reuse business Golf Kids Reuse business specializing in golf gear Operating mainly in the Tokyo metropolitan area and Kansai *Became a wholly-owned subsidiary in March 2018 Reuse business
Page 54
Subsidiaries｜Store Business Category 3) Corporate Overview and History 54 Peripheral reuse business General reuse business (Thailand subsidiary) Treasure Factory (Thailand) Co., Ltd. General reuse business handling a wide range of items including furniture, home appliances, apparel, accessories and branded items Operating mainly in Bangkok General reuse business (Taiwan subsidiary) Treasure Factory (Taiwan) Co., Ltd. General reuse business handling a wide range of items including furniture, home appliances, apparel, accessories and branded items Fashion reuse business handling a wide range of fashion items Operating mainly in areas around Taipei Reuse business
Page 55
Non-consolidated｜Outline of Services 3) Corporate Overview and History 55 Peripheral reuse business B2B Live Net Auction Treasure Factory Live Net Auction B2B online auction for reuse business operators for dealing of furniture, home appliances, and other general household items • Launched in March 2020 • Operating an online auction platform for reuse business operators • Handling a wide variety of merchandise for general households, focusing mainly on large electric appliances and furniture • Hold auctions for branded items • Diverse companies buy and sell on a real-time basis Reuse business Moving & removal + purchase service Treasure Factory Moving & Removal An innovative service that offers moving, removal, and purchasing at the same time, lightening both the load and the costs • Launched in September 2014 • Reduces the burden of disposing unwanted items by offering moving, removal, and purchasing at the same time • Users can keep the costs of moving low by deducting purchase price from the moving service fee • Partners with over 50 certified moving companies across Japan • Approximately 200 partners for customer referrals
Page 56
Non-consolidated｜Outline of Services 3) Corporate Overview and History 56 Peripheral reuse business Formal Wear Rental Service Cariru Online fashion rental service site specializing in formal dress for special occasions and black formal suits for funerals • Launched in October 2010 • Rental service for party dresses, bags, shoes, jewelry, and other items mainly for weddings and other special occasions • Also handles less frequently worn items, such as maternity dresses, suits for school entrance and graduation ceremonies, and yukata • Started a new rental site in April 2021 specializing in formal suits for funerals Reuse business
Page 57
Shareholder Benefits 3) Corporate Overview and History 57 To express our gratitude for continued support and to promote understanding of our business through reuse experience, the Company will grant two types of electronic coupons through the Company’s official app to shareholders holding one unit (100 shares) or more as of the end of February of each year. *Please refer to the notice sent separately to shareholders for details on how to claim shareholder benefits. Points Purchase price increase coupon ⚫ Holding of 1 shareholding unit (100 shares) or more and less than 4 shareholding units (400 shares): 1,000 points ⚫ Holding of 4 shareholding units (400 shares) or more: 2,000 points ⚫ Holding of 1 shareholding unit (100 shares) or more: 20% increase coupon (to be granted regardless of number of shareholding units) *Please note that the image shows a demo screen currently under development and may differ from the actual app interface.
Page 58
Disclaimer 58 This material has been prepared to provide information about the Company and is not intended to solicit investment. The information provided in the material is based on the Company’s judgment at the time of the preparation thereof, and the Company does not guarantee the accuracy of such information. The Company asks that investors use their own judgment when making investment decisions. <Inquiries on the Presentation Materials> E-Mail: tfir@treasure-f.com Company website (Company information and IR information) https://www.treasurefactory.co.jp