Interim report
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- 1 - Consolidated Financial Results for the Six Months Ended August 31, 2026 (Half-year Period) (Japanese Accounting Standards) October 14, 2026 Company name Treasure Factory Co., Ltd. Listings: Tokyo Stock Exchange Securities code 3093 URL: https://www.treasurefactory.co.jp/ Representative President & CEO, Eigo Nosaka Contact Executive Officer, General Manager of Corporate Planning Office, Takaaki Kanesaka Telephone +81-3-3880-8822 Submission of statutory half-yearly report: October 14, 2026 Commencement of dividend payments: November 2, 2026 Supplementary documents for financial results: Yes Financial results briefing: Yes (for institutional investors and analysts) (Amounts in millions of yen rounded down to the nearest million yen) 1. Results for the six months ended August 31, 2026 (half-year period) (March 1, 2026 to August 31, 2026) (1) Operating results (Percentage figures represent year-on-year changes) Net sales Operating profit Ordinary profit Profit attributable to owners of parent million yen % million yen % million yen % million yen % FY2027 H1 25,891 15.3 2,330 21.5 2,322 18.5 1,497 21.0 FY2026 H1 22,453 14.5 1,919 10.0 1,960 11.5 1,238 8.2 (Note) Comprehensive income: FY2027 H1 1,525 million yen (19.9%) FY2026 H1 1,271 million yen (8.8%) Profit per share Diluted profit per share yen yen FY2027 H1 63.89 - FY2026 H1 52.84 - (2) Financial position Total assets Net assets Equity capital ratio million yen million yen % FY2027 H1 27,086 13,962 50.8 FY2026 25,479 12,900 50.0 (Reference) Shareholders’ equity: FY2027 H1 13,760 million yen FY2026 12,733 million yen 2. Dividends Dividend per share End of 1st quarter End of 2nd quarter End of 3rd quarter Fiscal year end Total yen yen yen yen yen FY2026 - 19.00 - 21.00 40.00 FY2027 - 24.00 FY2027 (forecast) - 22.00 46.00 (Note 1) Revisions to dividend forecast published most recently: No 3. Results forecast for the fiscal year ending February 28, 2027 (March 1, 2026 to February 28, 2027) (Percentage figures represent year-on-year changes) Net sales Operating profit Ordinary profit Profit attributable to owners of parent Profit per share million yen % million yen % million yen % million yen % yen Full year 54,975 13.1 5,333 11.6 5,332 9.8 3,551 12.0 151.49 (Note) Revisions to results forecast published most recently: No
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- 2 - * Notes (1) Critical changes in the scope of consolidation during the six months of the fiscal year under review: None Number of new companies ― (their names): ―, Number of excluded companies ― (their names): ― (2) Adoption of accounting unique to the preparation of half-yearly consolidated financial statements: None (3) Changes to accounting policies, changes of accounting estimates, and revisions and restatements [1] Changes in accounting policies in accordance with changes in accounting principles: None [2] Changes in accounting policies other than [1] above: None [3] Changes in accounting estimates: None [4] Revisions and restatements: None (4) Number of shares issued and outstanding (common stock) [1] Number of shares issued at period-end (including treasury shares) As of August 31, 2026 24,347,800 shares As of February 28, 2026 24,347,800 shares [2] Treasury shares at period-end As of August 31, 2026 899,549 shares As of February 28, 2026 906,591 shares [3] Average number of shares issued during the period (half-year) As of August 31, 2026 23,443,576 shares FY2026 H1 23,437,786 shares *These financial results for the second quarter (half-year period) are outside the scope of review procedures conducted by a certified public accountant or audit corporation. *Explanation of the proper use of financial results forecast and other notes (Notes on descriptions about forecasts) Information relating to forecasts stated in this document was based on information available at the time of publication of the document. Actual results may differ materially from the forecasts due to a range of factors. For further information about the results forecast, please refer to (3) Explanation regarding the Information on Forecast including Consolidated Forecasts in 1. Qualitative Information about the Half-yearly Financial Results on Page 6 of the attached material.
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- 3 - ○ Table of Contents (Attachment) 1. Qualitative Information about the Half-yearly Financial Results ………………………………………………………… 4 (1) Overview of Half-yearly Operating Results ……………………………………………………………………………… 4 (2) Overview of Half-yearly Financial Position …………………………………………………………………………… 6 (3) Explanation regarding the Information on Forecasts including Consolidated Forecasts ………………………………… 6 2. Half-yearly Consolidated Financial Statements and Main Notes …………………………………………………………… 7 (1) Half-yearly Consolidated Balance Sheet ………………………………………………………………………………… 7 (2) Half-yearly Consolidated Statement of Income and Half-yearly Consolidated Statement of Comprehensive Income … 9 Half-yearly Consolidated Statement of Income ……………………………………………………………………… 9 Half-yearly Consolidated Statement of Comprehensive Income …………………………………………………… 10 (3) Half-yearly Consolidated Statement of Cash Flows …………………………………………………………………… 11 (4) Notes on the Half-yearly Consolidated Financial Statements …………………………………………………………… 12 (Notes on Changes in Accounting Policies) …………………………………………………………………………… 12 (Notes on Going Concern Assumption) ………………………………………………………………………………… 12 (Notes on Substantial Changes in the Amount of Shareholders’ Equity) ……………………………………………… 12 (Notes on Segment Information, etc.) ………………………………………………………………………………… 13 (Material Post-Balance Sheet Events) ………………………………………………………………………………… 15
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- 4 - 1. Qualitative Information about the Half-yearly Financial Results Overview of Operating Results (1) Overview of Half-yearly Operating Results During the first half of the current consolidated accounting period, the Japanese economy continued to recover gradually, supported by improvements in employment and income conditions. Although personal consumption showed signs of picking up on the back of a gradual increase in real total employee income, consumer sentiment remained weak due to gradual increases in consumer prices and developments in the United States’ trade policy, among other factors, and the economic outlook remains uncertain. In the reuse industry, demand for reusable items in general has continued to grow, driven by consumers’ entrenched efforts to protect their household budgets amid rising prices and growing interest in a circular society. Meanwhile, across the retail industry as a whole, consumer behavior has been shifting from “buying because it is cheap” to “choosing based on empathy and conviction” amid sluggish growth in real wages, making differentiation through product appeal and the value of in-store experiences increasingly important. During the first half of the current consolidated accounting period, the Treasure Factory Group enjoyed steady business that continued from the previous period. We achieved an operating profit of ¥475 million over the second quarter of the consolidated accounting period from June to August, which was a record figure for our operating profit earned in the second quarter of a consolidated accounting period. Our existing stores also enjoyed steady sales. Consequently, the results of operations for the first half of the current consolidated accounting period show net sales of ¥25,891 million (up 15.3 percent year on year), operating profit of ¥2,330 million (up 21.5 percent year on year), ordinary profit of ¥2,322 million (up 18.5 percent year on year), and half-yearly profit of ¥1,497 million attributable to owners of the parent (up 21.0 percent year on year). The results of operations sorted by segment are as stated below. (Reuse Business) Consolidated net sales increased 15.4 percent year on year, and non-consolidated sales at existing stores increased 5.2 percent year on year. In terms of sales by category, apparel sales increased 14.5 percent year on year, supported by growing demand for summer clothing as temperatures rose. Sales of electric appliances increased 12.5 percent year on year as the business captured new lifestyle-related demand in March and April as well as higher sales of summer home appliances such as air conditioners and electric fans as temperatures rose. Fashion items, such as branded items and wristwatches, and hobby-related items, such as outdoor and sporting goods, achieved significant increases of 18.5 percent and 20.5 percent year on year, respectively. EC sales increased 27.3 percent year on year. Consolidated purchases of merchandise for the first half of the current consolidated accounting period increased 14.6 percent year on year. As for purchases by channel, in-store purchases continued to grow steadily, achieving an increase of 11.1 percent year on year (non-consolidated). Among purchase channels other than physical stores, home-delivery purchases and home-visit purchases also performed well, increasing 22.2 percent year on year (non-consolidated) and 20.5 percent year on year (non- consolidated), respectively. During the first half of the current consolidated accounting period, we opened 19 directly-managed stores and closed 1 store, resulting in a net increase of 18 directly-managed stores. There was no change in the number of franchise stores. As a result, the number of stores at the end of the first half of the current consolidated accounting period (August 31, 2026) was 248 on a non-consolidated basis (244 directly-managed stores and 4 franchise stores) and 337 across the Group (306 directly-managed stores and 31 franchise stores). A breakdown of store openings and closures is shown in the tables below.
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- 5 - [1] Stores opened/closed during the first half of the fiscal year under review (by business category) Business category End of previous FY Number of new stores Number of stores closed Increase/Decre ase End of H1 Treasure Factory Style 100 8 (1) 7 107 Treasure Factory 99 5 ― 5 104 Kindal 40 2 ― 2 42 Uselet 13 ― ― ― 13 Golf Kids 13 ― ― ― 13 Treasure Factory Sports & Outdoor 10 1 ― 1 11 PickUP 10 1 ― 1 11 Other 34 2 ― 2 36 Total 319 19 (1) 18 337 (Note) The numbers of stores include those of franchise stores. (Note) Overseas stores are included in Other. [2] Stores opened/closed during the first half of the fiscal year under review (by region) Region End of previous FY Number of new stores Number of stores closed Increase/Decre ase End of H1 Tohoku 7 ― ― ― 7 Kanto 197 11 (1) 10 207 Hokuriku 1 - ― - 1 Tokai 43 3 ― 3 46 Kansai 56 3 ― 3 59 Chugoku 2 ― ― ― 2 Kyushu 5 1 ― 1 6 Domestic total 311 18 (1) 17 328 Thailand 5 1 ― 1 6 Taiwan 3 ― ― ― 3 Overseas total 8 1 ― 1 9 Total 319 19 (1) 18 337 (Note) The numbers of stores include those of franchise stores. These results added up to net sales of ¥25,221 million (up 15.4 percent year on year) and a segment profit of ¥3,226 million (up 11.5 percent year on year). (Other) The rental business’s net sales increased 20.3 percent year on year. These results added up to net sales of ¥1,006 million (up 25.0 percent year on year) and a segment profit of ¥60 million (up 140.0 percent year on year).
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- 6 - (2) Overview of Half-yearly Financial Position Total assets at the end of the first half of the current consolidated accounting period increased by ¥1,606 million compared to the end of the previous consolidated fiscal year, totaling ¥27,086 million because of a decrease of ¥596 million in cash and deposits, an increase of ¥7 million in accounts receivable-trade, an increase of ¥1,317 million in merchandise, an increase of ¥348 million in buildings and structures (net), an increase of ¥267 million in leasehold and guarantee deposits, among other reasons. Total liabilities at the end of the first half of the current consolidated accounting period increased by ¥544 million compared to the end of the previous consolidated fiscal year, totaling ¥13,124 million because of an increase of ¥408 million in short-term borrowings, an increase of ¥363 million in long-term borrowings, an increase of ¥54 million in provision for bonuses, a decrease of ¥55 million in current portion of long-term borrowings, and a decrease of ¥111 million in income taxes payable, among other reasons. Total net assets at the end of the first half of the current consolidated accounting period increased by ¥1,061 million compared to the end of the previous consolidated fiscal year, totaling ¥13,962 million because a half-yearly profit of ¥1,497 million attributable to owners of the parent was recorded, and dividend payment led to a decrease of ¥492 million, among other reasons. (Analysis of cash flows) Cash and cash equivalents at the end of the first half of the current consolidated accounting period decreased by ¥596 million compared to the end of the previous consolidated fiscal year, totaling ¥4,416 million. The status of the cash flows during the first half of the current consolidated accounting period and their factors are as follows. (Cash flows from operating activities) Cash flows from operating activities during the first half of the current consolidated accounting period added up to an income of ¥330 million (the same period of the previous year saw an income of ¥329 million). This is mostly because we recorded an increase of ¥1,370 million in inventories and paid income taxes of ¥911 million, whereas we also recorded ¥2,321 million in profit before income taxes and ¥432 million in depreciation. (Cash flows from investing activities) Cash flows from investing activities during the first half of the current consolidated accounting period added up to an expenditure of ¥1,152 million (the same period of the previous year saw an expenditure of ¥1,023 million). This is mostly because we recorded ¥786 million in purchase of property, plant, and equipment, along with ¥311 million in payments of leasehold and guarantee deposits, to establish new stores. (Cash flows from financing activities) Cash flows from financing activities during the first half of the current consolidated accounting period added up to an income of ¥223 million (the same period of the previous year saw an income of ¥218 million). This is mostly because we recorded ¥792 million in repayments of long-term borrowings and ¥492 million in dividends paid, whereas we also recorded ¥1,100 million in proceeds from long-term borrowings and ¥408 million in short-term borrowings. (3) Explanation regarding the Information on Forecast including Consolidated Forecasts The full-year consolidated forecasts for the fiscal year ending February 28, 2027 remain unchanged from the revised consolidated forecasts announced in the “Notice Regarding Revisions to Earnings Forecasts and Dividend Forecasts” released by the Company on July 9, 2026.
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- 7 - 2. Half-yearly Consolidated Financial Statements and Main Notes (1) Half-yearly Consolidated Balance Sheet (Unit: million yen) Previous Consolidated Fiscal Year (Ended February 28, 2026) First Half of the Current Consolidated Accounting Period (Ended August 31, 2026) Assets Current assets Cash and deposits 5,014 4,418 Accounts receivable—trade 1,674 1,681 Merchandise 9,091 10,408 Other 1,046 1,158 Total current assets 16,827 17,666 Non-current assets Property, plant, and equipment Buildings and structures, net 2,727 3,076 Land 426 426 Other, net 894 1,073 Total property, plant, and equipment 4,049 4,576 Intangible assets Goodwill 311 282 Other 194 222 Total intangible assets 506 504 Investments and other assets Leasehold and guarantee deposits 3,060 3,328 Other 1,036 1,010 Total investments and other assets 4,097 4,338 Total non-current assets 8,652 9,420 Total assets 25,479 27,086
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- 8 - (Unit: million yen) Previous Consolidated Fiscal Year (Ended February 28, 2026) First Half of the Current Consolidated Accounting Period (Ended August 31, 2026) Liabilities Current liabilities Accounts payable—trade 236 177 Short-term borrowings 4,021 4,429 Current portion of long-term borrowings 1,332 1,276 Income taxes payable 991 879 Contract liabilities 151 174 Refund liabilities 56 73 Provision for bonuses 589 644 Provision for shareholder benefit program 4 - Asset retirement obligations 1 17 Other 2,359 2,224 Total current liabilities 9,745 9,898 Non-current liabilities Long-term borrowings 1,869 2,232 Asset retirement obligations 939 969 Other 24 24 Total non-current liabilities 2,833 3,226 Total liabilities 12,579 13,124 Net assets Shareholders’ equity Share capital 906 906 Capital surplus 872 880 Retained earnings 11,513 12,518 Treasury shares (582) (577) Total shareholders’ equity 12,710 13,728 Cumulative amount of other comprehensive income Foreign currency translation adjustment 23 31 Total cumulative amount of other comprehensive income 23 31 Non-controlling interests 166 202 Total net assets 12,900 13,962 Total liabilities and net assets 25,479 27,086
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- 9 - (2) Half-yearly Consolidated Statement of Income and Half-yearly Consolidated Statement of Comprehensive Income (Half-yearly Consolidated Statement of Income) (Unit: million yen) First Half of the Previous Consolidated Accounting Period (from March 1, 2025 to August 31, 2025) First Half of the Current Consolidated Accounting Period (from March 1, 2026 to August 31, 2026) Net sales 22,453 25,891 Cost of sales 8,988 10,300 Net gross profit 13,464 15,591 Selling, general, and administrative expenses 11,545 13,260 Operating profit 1,919 2,330 Non-operating income Interest income 3 19 Vending machine income 7 7 Foreign exchange gains 12 - Subsidy income 15 7 Other 27 14 Total non-operating income 66 48 Non-operating expenses Interest expenses 23 43 Foreign exchange losses - 12 Other 1 1 Total non-operating expenses 25 57 Ordinary profit 1,960 2,322 Extraordinary income Gain on sale of non-current assets - 0 Total extraordinary income - 0 Extraordinary losses Loss on retirement of non-current assets 1 1 Loss on valuation of investment securities 0 - Total extraordinary losses 1 1 Half-yearly profit before income taxes 1,959 2,321 Income taxes—current 650 769 Income taxes—deferred 31 34 Total income taxes 681 803 Half-yearly net profit 1,277 1,517 Half-yearly net profit attributable to non-controlling interests 38 19 Half-yearly net profit attributable to owners of parent 1,238 1,497
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- 10 - (Half-yearly Consolidated Statement of Comprehensive Income) (Unit: million yen) First Half of the Previous Consolidated Accounting Period (from March 1, 2025 to August 31, 2025) First Half of the Current Consolidated Accounting Period (from March 1, 2026 to August 31, 2026) Half-yearly net profit 1,277 1,517 Other comprehensive income Foreign currency translation adjustment (5) 7 Total of other comprehensive income (5) 7 Half-yearly comprehensive income 1,271 1,525 Comprehensive income attributable to Half-yearly comprehensive income attributable to owners of parent 1,233 1,505 Half-yearly comprehensive income attributable to non- controlling interests 38 19
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- 11 - (3) Half-yearly Consolidated Statement of Cash Flows (Unit: million yen) First Half of the Previous Consolidated Accounting Period (from March 1, 2025 to August 31, 2025) First Half of the Current Consolidated Accounting Period (from March 1, 2026 to August 31, 2026) Cash flows from operating activities Half-yearly profit before income taxes 1,959 2,321 Depreciation 368 432 Amortization of goodwill 23 28 Share-based remuneration expenses 5 6 Increase (decrease) in provision for bonuses 39 54 Increase (decrease) in provision for bonuses for directors (and other officers) (5) (4) Interest and dividend income (3) (19) Interest expenses 23 43 Foreign exchange losses (gains) (2) (2) Subsidy income (15) (7) Loss (gain) on sales and retirement of non-current assets 1 1 Increase (decrease) in accrued consumption taxes (172) (54) Decrease (increase) in trade receivables (125) (7) Decrease (increase) in inventories (1,194) (1,370) Increase (decrease) in trade payables 20 (59) Other 227 (100) Subtotal 1,149 1,261 Interest and dividends received 3 19 Interest paid (23) (46) Proceeds from subsidy income 15 7 Income taxes paid (814) (911) Net cash provided by (used in) operating activities 329 330 Cash flows from investing activities Purchase of property, plant, and equipment (685) (786) Purchase of intangible assets (36) (50) Payments of leasehold and guarantee deposits (284) (311) Proceeds from refund of leasehold and guarantee deposits 84 42 Other (101) (47) Net cash provided by (used in) investing activities (1,023) (1,152) Cash flows from financing activities Net increase (decrease) in short-term borrowings 166 408 Proceeds from long-term borrowings 1,100 1,100 Repayments of long-term borrowings (636) (792) Purchase of treasury shares - (0) Proceeds from issuance of shares resulting from exercise of share acquisition rights 9 - Dividends paid (421) (492) Net cash provided by (used in) financing activities 218 223 Effect of exchange rate change on cash and cash equivalents 2 2 Net increase (decrease) in cash and cash equivalents (473) (596) Cash and cash equivalents at beginning of period 3,004 5,012 Cash and cash equivalents at end of half-year period 2,531 4,416
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- 12 - (4) Notes on the Half-yearly Consolidated Financial Statements (Notes on Changes in Accounting Policies) N/A (Notes on Going Concern Assumption) N/A (Notes on Substantial Changes in the Amount of Shareholders’ Equity) N/A
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- 13 - (Notes on Segment Information, etc.) [Segment Information] I. First Half of Previous Consolidated Accounting Period (from March 1, 2025 to August 31, 2025) 1. Information about the amounts of net sales and profit or loss for each reporting segment (Unit: million yen) Reporting segment Other (Note 1) Total Adjustment amount (Note 2) Amount recorded on the half-yearly consolidated statement of income (Note 3) Reuse business Net sales Sales to external customers 21,864 589 22,453 - 22,453 Internal sales or transfer between segments - 216 216 (216) - Total 21,864 805 22,670 (216) 22,453 Segment profit 2,894 25 2,920 (1,001) 1,919 (Note 1) “Other” refers to the business segments not included in the reporting segments, such as the rental, information system, and real estate businesses. (Note 2) The adjustment amount for the segment’s profit is a company-wide expense and primarily part of selling, general, and administrative expenses not attributable to the segment. (Note 3) The segment profit has been adjusted according to the operating profit shown in the half-yearly consolidated statement of income. 2. Information about the impairment loss on non-current assets or goodwill for each reporting segment (Material Impairment Loss Pertaining to Non-current Assets) N/A (Material Change in the Amount of Goodwill) N/A
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- 14 - II. First Half of Current Consolidated Cumulative Period (from March 1, 2026 to August 31, 2026) 1. Information about the amounts of net sales and profit or loss for each reporting segment (Unit: million yen) Reporting segment Other (Note 1) Total Adjustment amount (Note 2) Amount recorded on the half-yearly consolidated statement of income (Note 3) Reuse business Net sales Sales to external customers 25,221 670 25,891 - 25,891 Internal sales or transfer between segments - 336 336 (336) - Total 25,221 1,006 26,227 (336) 25,891 Segment profit 3,226 60 3,287 (956) 2,330 (Note 1) “Other” refers to the business segments not included in the reporting segments, such as the rental, information system, and real estate businesses. (Note 2) The adjustment amount for the segment’s profit is a company-wide expense and primarily part of selling, general, and administrative expenses not attributable to the segment. (Note 3) The segment profit has been adjusted according to the operating profit shown in the half-yearly consolidated statement of income. 2. Information about the impairment loss on non-current assets or goodwill for each reporting segment (Material Impairment Loss Pertaining to Non-current Assets) N/A (Material Change in the Amount of Goodwill) N/A
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- 15 - (Material Post-Balance Sheet Events) N/A