Interim report
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Note : This document has been translated from the Japanese original for reference purposes only . In the event of any discrepancy between this translated document and the Japanese original , the original shall prevail . Summary of Consolidated Financial Results for the Three Months Ended June 30 , 2026 ( Under Japanese GAAP ) August 6 , 2026 8282 Listing : Tokyo Stock Exchange URL : https://www.ksdenki.co.jp/ Yuji Yoshihara Taro Mizutani Representative Director , President and Chief Executive Officer Director , Managing Executive Officer , Company name : Securities code : K'S HOLDINGS CORPORATION Representative : Inquiries : Telephone : Department Manager of Corporate Planning Office + 81-29-215-9033 Scheduled date to commence dividend payments : Preparation of supplementary material on quarterly financial results : Yes Holding of quarterly financial results briefing : Yes ( Online briefings for institutional investors and analysts ) ( Yen amounts are rounded down to millions , unless otherwise noted . ) 1. Consolidated financial results for the three months ended June 30 , 2026 ( from April 1 , 2026 to June 30 , 2026 ) ( 1 ) Consolidated operating results ( cumulative ) ( Percentages indicate year - on - year changes . ) Net sales Three months ended Millions of yen % Operating profit Millions of yen Ordinary profit Profit attributable to owners of parent % Millions of yen % Millions of yen % June 30 , 2026 June 30 , 2025 199,909 177,787 12.4 Note : Comprehensive income 2.7 For the three months ended June 30 , 2026 : For the three months ended June 30 , 2025 : 12,481 5,270 136.8 13,396 26.1 5,955 125.0 16.4 9,161 100.7 4,565 59.7 ¥ 9,186 million ¥ 4,577 million [ 100.7 % ] [ 59.6 % ] Basic earnings per share Diluted earnings per share Three months ended Yen Yen June 30 , 2026 June 30 , 2025 59.29 28.48 59.21 28.45 ( 2 ) Consolidated financial position Net assets per share Total assets Net assets Equity - to - asset ratio As of Millions of yen Millions of yen % June 30 , 2026 March 31 , 2026 437,279 422,482 254,346 248,875 58.1 58.9 Reference : Equity As of June 30 , 2026 : ¥ 254,205 million As of March 31 , 2026 : ¥ 248,703 million 2. Cash dividends Fiscal year ended March 31 , 2026 Annual dividends per share Yen 1,644.85 1,609.62 First quarter - end Second quarter - end Third quarter - end Fiscal year - end Total Yen Yen Yen Yen Yen 22.00 24.00 46.00 Fiscal year ending March 31 , 2027 Fiscal year ending March 31 , 2027 ( Forecast ) 24.00 Note : Revisions to the forecast of cash dividends most recently announced : None 24.00 48.00 Net sales Operating profit Millions of yen Second quarter ( cumulative ) Full year 398,000 785,000 5.7 3.3 Ordinary profit % Millions of yen % Millions of yen 17,500 34.3 18,800 29.0 30,500 13.8 33,500 3. Forecast of Consolidated financial results for the year ending March 31 , 2027 ( from April 1 , 2026 to March 31 , 2027 ) ( Percentages indicate year - on - year changes . ) Profit attributable to owners of parent Basic earnings per share % Millions of yen % Yen 13,100 24.7 84.78 9.5 20,000 39.7 129.43 Note : Revisions to the forecast of cash dividends most recently announced : None
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* N otes (1) Significant changes in the scope of consolidation during the period: None (2) Adoption of accounting treatment specific to the preparation of quarterly consolidated financial statements: None (3) Changes in accounting policies, changes in accounting estimates, and restatement (i) Changes in accounting policies due to revisions to accounting standards and other regulations: None (ii) Changes in accounting policies due to other reasons: None (iii) Changes in accounting estimates: None (iv) Restatement: None (4) N umber of issued shares (common shares) (i) Total number of issued shares at the end of the period (including treasury shares) As of June 30, 2026 168,000,000 shares As of March 31, 2026 168,000,000 shares (ii) Number of treasury shares at the end of the period As of June 30, 2026 13,454,176 shares As of March 31, 2026 13,489,542 shares (iii) Average number of shares outstanding during the period (cumulative from the beginning of the fiscal year) Three months ended June 30, 2026 154,519,708 shares Three months ended June 30, 2025 160,292,319 shares * T he number of treasury stock at the end of the period includes the Company shares held by the "Stock Grant ESOP Trust Account" (As of June 30, 2026: 403,793 shares, As of March 31, 2026: 405,567 shares). T he Company shares held by the "Stock Grant ESOP Trust Account" are included in the treasury stock as a deduction in the calculation of the average number of shares during the period ( Three months ended June 30, 2026: 404,674 shares, three months ended June 30, 2025: 410,911 shares). * Q uarterly financial results reports are exempt from quarterly review conducted by certified public accountants or an audit corporation. * P roper use of earnings forecasts, and other special matters (Cautionary Statement Concerning Forward-Looking Statements) The forward-looking statements in this document are based on information currently available to the Company a nd certain assumptions that the Company deems reasonable, and are not intended to be a promise by the Company that they will be achieved. Actual results may differ materially due to various factors. Please refer to page 3 of the Appendix for matters relating to earnings forecasts, "1. Qualitative Information on Quarterly F inancial Results (3) Explanation of Consolidated Earnings Forecasts and Other Forward-looking Statements." (How to obtain supplementary materials for quarterly financial results) Supplementary materials for the quarterly financial results will be posted on the Company's website promptl y af ter the announcement of the quarterly financial results.
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○Table of Contents of the Appendix 1. Qualitative Information on Quarterly Financial Results……………………………………………………………………… 2 (1) Explanation of Operating Results………………………………………………………………………………………… 2 (2) Explanation of Financial Position………………………………………………………………………………………… 3 (3) Explanation of Consolidated Earnings Forecasts and Other Forward-looking Statements ……………………………… 3 2. Quarterly Consolidated Financial Statements and Major Notes……………………………………………………………… 4 (1) Quarterly Consolidated Balance Sheet …………………………………………………………………………………… 4 (2) Quarterly Consolidated Statements of Income and Quarterly Consolidated Statements of Comprehensive Income …… 6 Quarterly Consolidated Statement of Income …………………………………………………………………………… 6 Quarterly Consolidated Statement of Comprehensive Income…………………………………………………………… 7 (3) Quarterly Consolidated Statements of Cash Flows ……………………………………………………………………… 8 (4) Notes to Quarterly Consolidated Financial Statements ………………………………………………………………… 9 (Notes on Segment Information, etc.) ……………………………………………………………………………… 9 (Notes on Significant Changes in the Amount of Shareholders' Equity) ………………………………………… 9 (Notes on Going Concern Assumption) …………………………………………………………………………… 9 3. Supplementary Information ………………………………………………………………………………………………… 10 Net sales by product category ………………………………………………………………………………………… 10 -1- K'S HOLDINGS CORPORATION (8282) Consolidated Financial Results for the Three Months Ended June 30, 2026
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1. Qualitative Information on Quarterly Financial Results (1) Explanation of Operating Results During the first quarter of the fiscal year under review, the Japanese economy continued to recover moderately on the back of improvements in employment and income conditions. On the other hand, personal consumption remained high as a means of defending people's livelihoods due to prolonged geopolitical risks, including the situation in the Middle East, as well as soaring prices resulting from fluctuations in interest rates and exchange rates accompanying trends in financial and trade policies i n various countries. As a result, the future outlook remains uncertain. Under these circumstances, our Company Group has advocated "Gambaranai (don't over do it)" management, which we do the right things in a reliable manner without overdoing it, aiming to satisfy our customer's in the ideal way, and has provided services from the customer's point of view, such as "Cash discounts," "Free long-term warranties," and "Anshin Pass Port App," in order to carry out the "truly friendly service of customers " communicated to customers. As a home appliance / electronics store, our Company Group has developed community-based stores and conducted sales activities that emphasize customer convenience. The K's Denki Group has established " We will develop businesses in which people are planed in the center, seeking happiness for the people involved in the K’s Denki Group. We will spread the “harmony with, and circles of” people through our businesses activities, leading to greater contribution to so ciety." as its corporate philosophy and purpose, and is working on further sustainability management. Our basic policy for the fiscal year under review is to "Aim to lay the foundation for longer-term growth by re-examing existing store efficiency and boosting their customer service. " We will move forward with initiatives to achieve this goal and will enter the final year of our three-year "Medium-Term Management Plan 2027. " In such a situation, business results for the first quarter of the fiscal year under review performed well, driven by last -minute demand ahead of the so-called "The 2027 Air Conditioner Problem," which is a concern about price increases due to the increase in the energy-saving standards in April 2027. As a result, net sales, operating profit, ordinary profit, and profit attributable to owners of parent all increased year on year. As for store openings and closings, the Company opened 3 Directly-managed Stores and closed 3 Directly-managed Stores to improve management efficiency as described below. As a result, the number of stores as of June 30, 2026 was 556 (552 Directly- managed Stores and four Franchisee’s Stores). location Open Close Chiba Prefecture Mobara (June) Mobara Honten (June) Niigata Prefecture Meike Inter Honten (June) Niigata Minami (April) Shizuoka Prefecture Fujieda (June) Aichi Prefecture Tokai (April) As a result of the above, net sale was 199.909 billion yen (112.4% year on year), operating profit was 12.481 billion yen (236.8% year on year), ordinary profit was 13.396 billion yen (225.0% year on year), and net income attributable to owners of parent was 9.161 billion yen (200.7% year on year). -2- K'S HOLDINGS CORPORATION (8282) Consolidated Financial Results for the Three Months Ended June 30, 2026
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(2) Explanation of Financial Position (Assets) Total assets at the end of the first quarter were 437.279 billion yen, an increase of 14.797 billion yen from the end of the previous fiscal year. This was mainly due to increases of 12.853 billion yen in merchandise and 9.514 billion yen in cash and deposits, despite a decrease of 10.233 billion yen in accounts receivable. (Liabilities) Total liabilities at the end of the first quarter were 182.933 billion yen, an increase of 9.326 billion yen from the end of the previous fiscal year. This was mainly due to increases of 8.726 billion yen in accounts payable and 4.095 billion yen in contract liabilities, despite decreases of 2.759 billion yen in income taxes payable, 2.544 billion yen in provision for bonuses, and 2.5 billion yen in short-term borrowings. As working capital, the Company has entered into a syndicated loan agreement (term loan agreement and commitment line agreement) with a total amount of 100 billion yen. (Net assets) Total net assets at the end of the first quarter under review were 254.346 billion yen, a increase of 5.47 billion yen from the end of the previous fiscal year. This was mainly due to an increase of 5.427 billion yen in retained earnings. As a result of the above, the equity ratio was 58.1%. (Cash flows) Cash and cash equivalents (hereinafter referred to as "funds") at the end of the first quarter of the fiscal year under review increased by 9.314 billion yen from the end of the previous fiscal year to 20.173 billion yen. The status of each cash flow is as follows: ・Cash flows from operating activities Net cash provided by operating activities was 19.435 billion yen (2.534 billion yen in the same period of the previous fiscal year). This was mainly due to income before income taxes and minority interests of 13.381 billion yen, decrease in notes and accounts receivable of 10.233 billion yen, increase in inventories of 12.852 billion yen, increase in notes and accounts payable of 8.726 billion yen, increase in contract liabilities of 4.095 billion yen, and income taxes paid of 5.086 billion yen. ・Cash flows from investing activities Net cash used in investing activities was 3.321 billion yen (2.669 billion yen in the same period of the previous fiscal year). This was mainly due to payments into time deposits of 3.9 billion yen, proceeds from withdrawal of time deposits of 3.7 billion yen, and payments for acquisition of property, plant and equipment of 3.203 billion yen. ・Cash flows from financing activities Net cash used in financing activities was 6.799 billion yen (1.601 billion yen in the same period of the previous fiscal year). This was mainly due to the net decrease in short-term borrowings of 2.5 billion yen and the payment of dividends of 3.719 billion yen. (3) Explanation of Consolidated Earnings Forecasts and Other Forward-looking Statements There are no changes to the consolidated earnings forecast announced in the "Summary of Financial Results for the Fiscal Year Ended March 31, 2026" dated May 8, 2026. -3- K'S HOLDINGS CORPORATION (8282) Consolidated Financial Results for the Three Months Ended June 30, 2026
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2. Quarterly Consolidated Financial Statements and Major Notes (1) Quarterly Consolidated Balance Sheet (Millions of yen) As of March 31, 2026 As of June 30, 2026 Assets Current assets Cash and deposits 19,158 28,673 Accounts receivable - trade 33,706 23,473 Merchandise 175,116 187,970 Supplies 121 119 Other 7,523 9,450 Total current assets 235,626 249,686 Non-current assets Property, plant and equipment Buildings and structures, net 75,173 74,936 Land 25,200 25,184 Leased assets, net 8,703 10,092 Construction in progress 2,577 3,716 Other, net 2,552 2,612 Total property, plant and equipment 114,207 116,541 Intangible assets Goodwill 33 32 Leased assets 2 － Other 5,071 5,196 Total intangible assets 5,107 5,229 Investments and other assets Investment securities 1,292 1,329 Long-term loans receivable 14,648 14,240 Leasehold and guarantee deposits 24,443 24,424 Deferred tax assets 24,009 22,551 Other 3,150 3,279 Allowance for doubtful accounts (3) (3) Total investments and other assets 67,541 65,822 Total non-current assets 186,856 187,593 Total assets 422,482 437,279 -4- K'S HOLDINGS CORPORATION (8282) Consolidated Financial Results for the Three Months Ended June 30, 2026
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(Millions of yen) As of March 31, 2026 As of June 30, 2026 Liabilities Current liabilities Accounts payable - trade 50,788 59,514 Short-term borrowings 2,500 － Lease liabilities 2,251 2,345 Income taxes payable 6,092 3,333 Contract liabilities 31,690 35,785 Provision for bonuses 5,166 2,621 Provision for loss on disaster 6 21 Other 13,463 16,337 Total current liabilities 111,959 119,960 Non-current liabilities Long-term borrowings 40,000 40,000 Lease liabilities 15,700 16,956 Asset retirement obligations 4,351 4,410 Provision for share awards 263 283 Other 1,332 1,322 Total non-current liabilities 61,647 62,973 Total liabilities 173,607 182,933 Net assets Shareholders' equity Share capital 18,125 18,125 Capital surplus 50,069 50,069 Retained earnings 198,757 204,184 Treasury shares (18,792) (18,742) Total shareholders' equity 248,160 253,637 Accumulated other comprehensive income Valuation difference on available-for-sale securities 542 567 Total accumulated other comprehensive income 542 567 Share acquisition rights 172 141 Total net assets 248,875 254,346 Total liabilities and net assets 422,482 437,279 -5- K'S HOLDINGS CORPORATION (8282) Consolidated Financial Results for the Three Months Ended June 30, 2026
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(2) Quarterly Consolidated Statements of Income and Quarterly Consolidated Statements of Comprehensive Income (Quarterly Consolidated Statement of Income) (Millions of yen) Three months ended June 30, 2025 Three months ended June 30, 2026 Net sales 177,787 199,909 Cost of sales 127,296 140,680 Gross profit 50,491 59,228 Selling, general and administrative expenses Advertising expenses 2,620 2,752 Commission expenses 2,275 2,753 Outsourcing expenses 2,573 2,803 Salaries and allowances 12,439 12,944 Provision for bonuses 2,528 2,621 Retirement benefit expenses 307 306 Depreciation 3,264 3,031 Rent expenses on land and buildings 8,062 8,062 Utilities expenses 1,697 1,492 Other 9,452 9,977 Total selling, general and administrative expenses 45,220 46,746 Operating profit 5,270 12,481 Non-operating income Purchase discounts 788 813 Other 423 451 Total non-operating income 1,211 1,264 Non-operating expenses Interest expenses 203 189 Commission expenses 224 18 Rent expenses on store(construct in progress) 17 86 Other 81 55 Total non-operating expenses 527 350 Ordinary profit 5,955 13,396 Extraordinary income Gain on sale of investment securities － 72 Gain on sale of non-current assets 562 0 Other － 2 Total extraordinary income 562 76 Extraordinary losses Impairment losses 2 62 Loss on disaster － 25 Loss on retirement of non-current assets 17 3 Other 2 － Total extraordinary losses 22 91 Profit before income taxes 6,494 13,381 Income taxes - current 607 2,780 Income taxes - deferred 1,321 1,440 Total income taxes 1,929 4,220 Profit 4,565 9,161 Profit attributable to owners of parent 4,565 9,161 -6- K'S HOLDINGS CORPORATION (8282) Consolidated Financial Results for the Three Months Ended June 30, 2026
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(Quarterly Consolidated Statement of Comprehensive Income) (Millions of yen) Three months ended June 30, 2025 Three months ended June 30, 2026 Profit 4,565 9,161 Other comprehensive income Valuation difference on available-for-sale securities 12 25 Total other comprehensive income 12 25 Comprehensive income 4,577 9,186 Comprehensive income attributable to Comprehensive income attributable to owners of parent 4,577 9,186 -7- K'S HOLDINGS CORPORATION (8282) Consolidated Financial Results for the Three Months Ended June 30, 2026
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(3) Quarterly Consolidated Statements of Cash Flows (Millions of yen) Three months ended June 30, 2025 Three months ended June 30, 2026 Cash flows from operating activities Profit before income taxes 6,494 13,381 Depreciation 3,288 3,047 Impairment losses 2 62 Loss on disaster － 25 Loss (gain) on sale of investment securities － (72) Loss on retirement of non-current assets 17 3 Increase (decrease) in provision for bonuses (2,421) (2,544) Increase (decrease) in provision for loss on disaster － 14 Interest and dividend income (89) (93) Interest expenses 203 189 Commission expenses 224 18 Loss (gain) on sale of non-current assets (562) (0) Decrease (increase) in trade receivables 8,157 10,233 Decrease (increase) in inventories (11,135) (12,852) Increase (decrease) in trade payables 5,183 8,726 Increase (decrease) in contract liabilities (408) 4,095 Other, net (1,708) 449 Subtotal 7,247 24,683 Interest and dividends received 23 26 Interest paid (202) (189) Income taxes paid (4,532) (5,086) Net cash provided by (used in) operating activities 2,534 19,435 Cash flows from investing activities Payments into time deposits (3,500) (3,900) Proceeds from withdrawal of time deposits 2,700 3,700 Purchase of property, plant and equipment (2,326) (3,203) Proceeds from sale of property, plant and equipment 633 2 Proceeds from sale of investment securities － 77 Loan advances (426) (271) Proceeds from collection of loans receivable 518 616 Payments of leasehold and guarantee deposits (83) (277) Proceeds from refund of leasehold and guarantee deposits 192 256 Other, net (376) (321) Net cash provided by (used in) investing activities (2,669) (3,321) Cash flows from financing activities Net increase (decrease) in short-term borrowings (34,100) (2,500) Proceeds from long-term borrowings 40,000 － Purchase of treasury shares (3,138) (0) Dividends paid (3,556) (3,719) Commission fee paid (210) － Other, net (596) (580) Net cash provided by (used in) financing activities (1,601) (6,799) Net increase (decrease) in cash and cash equivalents (1,736) 9,314 Cash and cash equivalents at beginning of period 9,333 10,858 Cash and cash equivalents at end of period 7,597 20,173 -8- K'S HOLDINGS CORPORATION (8282) Consolidated Financial Results for the Three Months Ended June 30, 2026
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(4) Notes on Quarterly Consolidated Financial Statements (Notes on Segment Information, etc.) <Segment information> This information is omitted due to its immateriality as disclosed information. (Notes on Significant Changes in the Amount of Shareholders' Equity) Cash dividends paid (Resolution) Classes of shares Total amount of dividends (million yen) Per share Dividends (yen) Base date Effective date Money to pay the dividend June 26, 2026 Annual General Meeting of Shareholders Ordinary shares 3,717 24 March 31, 2026 June 29, 2026 Retained earnings (Notes on Going Concern Assumption) No items to be reported -9- K'S HOLDINGS CORPORATION (8282) Consolidated Financial Results for the Three Months Ended June 30, 2026
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3. Supplementary Information Net sales by product category Name by product type Previous cumulative consolidated first quarter (from April 1, 2025 to June 30, 2025) Current consolidated cumulative first quarter (from April 1, 2026 to June 30, 2026) Net sales of Directly managed Stores (million yen) Net sale of Franchisee’s Stores, etc. (million yen) Total (million yen) Net sales of Directly managed Stores (million yen) Net sale of Franchisee’s Stores, etc. (million yen) Total (million yen) from the previous fiscal year (%) Visual - Audio TV 12,831 54 12,885 13,890 58 13,949 108.3 Blu-ray and DVD 1,576 5 1,581 1,521 6 1,527 96.6 Audio 3,049 9 3,058 3,124 9 3,134 102.5 Other 1,619 5 1,624 1,589 5 1,595 98.2 Subtotal 19,076 74 19,150 20,126 79 20,206 105.5 ITs PC･information devices 10,759 37 10,796 10,034 25 10,059 93.2 PC peripheral devices 7,401 24 7,426 7,793 20 7,814 105.2 Mobile phones 21,000 4 21,004 24,008 4 24,012 114.3 Other 5,041 27 5,069 5,270 26 5,296 104.5 Subtotal 44,203 93 44,296 47,106 76 47,183 106.5 Home appliances Refrigerator 16,349 51 16,400 16,512 48 16,560 101.0 Washing machines 16,453 50 16,503 17,168 51 17,219 104.3 Vacuum cleaners 5,676 18 5,694 5,539 17 5,556 97.6 Cooking appliances 11,328 41 11,369 11,816 41 11,858 104.3 Beauty & health appliances 7,449 25 7,474 8,088 26 8,115 108.6 Other 5,883 25 5,909 6,489 21 6,511 110.2 Subtotal 63,140 212 63,352 65,614 206 65,821 103.9 Seasonal Air conditioners 32,362 121 32,484 44,358 152 44,510 137.0 Other 4,132 26 4,158 3,465 21 3,486 83.8 Subtotal 36,494 147 36,642 47,823 173 47,996 131.0 Other 14,248 96 14,345 18,591 109 18,701 130.4 Total 177,163 624 177,787 199,263 645 199,909 112.4 (Notes) 1. "Net sale of Franchisee’s Stores, etc." is sales of merchandise supplied to Franchisee’s Stores. 2. The above figures include EC Net sales. 3. Sales related to Free long-term warranties (1.353 billion yen in the first quarter of the previous fiscal year and 1.398 billion yen in the first quarter of the current fiscal year) are included in "Other" (Net sales of Directly managed Stores). -10- K'S HOLDINGS CORPORATION (8282) Consolidated Financial Results for the Three Months Ended June 30, 2026