GLOBAL KIDS COMPANY CORP. Consolidated Financial Results
for the First Quarter of the Fiscal Year Ending September 30, 2022
(Three Months Ended December 31, 2021)
[Japanese GAAP] | ||
January 31, 2022 | ||
Company name: | Global Kids Company Corp. | Stock Exchange Listing: TSE (1st section) |
Securities code: | 6189 | URL: https://www.gkids.jp/ |
Representative: | Yuichi Nakasho, Representative Director & CEO | |
Contact: | Masayuki Noda, Director & General Manager, Finance & Investor Relations Department | |
Telephone: +81-(0)3-3221-3770 | ||
Scheduled date of filing of Quarterly Report: | February 4, 2022 | |
Scheduled date of payment of dividend: | - | |
Preparation of supplementary materials for quarterly financial results: | Yes | |
Holding of quarterly financial results meeting: | None | |
(All amounts are rounded down to the nearest million yen) |
1. Consolidated Financial Results for the First Quarter of the Fiscal Year Ending September 30, 2022 (October 1, 2021 to December 31, 2021)
(1) Consolidated results of operations | (Percentages 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 | % | |
Three months ended Dec. 31, 2021 | 6,025 | 5.9 | 133 | (10.5) | 131 | (10.5) | 83 | (11.1) |
Three months ended Dec. 31, 2020 | 5,688 | 5.7 | 149 | 92.7 | 146 | 19.9 | 93 | 16.6 |
Note: Comprehensive income (million yen) | Three months ended Dec. 31, 2021: | 91 | (down 8.0%) | |||
Three months ended Dec. 31, 2020: | 99 | (up 13.9%) | ||||
Net income per share | Diluted net income | |||||
per share | ||||||
Yen | Yen | |||||
Three months ended Dec. 31, 2021 | 8.93 | 8.87 | ||||
Three months ended Dec. 31, 2020 | 10.15 | 9.96 |
(2) Consolidated financial position
Total assets | Net assets | Equity ratio | ||||
Million yen | Million yen | % | ||||
As of Dec. 31, 2021 | 17,858 | 8,751 | 48.9 | |||
As of Dec. 31, 2020 | 18,110 | 8,658 | 47.7 | |||
Reference: Shareholders' equity (million yen) As of Dec. 31, 2021: 8,731 | As of Dec. 31, 2020: | 8,639 |
2. Dividends
Dividend per share | ||||||
1Q-end | 2Q-end | 3Q-end | Year-end | Total | ||
Yen | Yen | Yen | Yen | Yen | ||
Fiscal year ended Sep. 30, 2021 | - | 0.00 | - | 0.00 | 0.00 | |
Fiscal year ending Sep. 30, 2022 | - | |||||
Fiscal year ending Sep. 30, 2022 (Forecast) | 0.00 | - | 25.00 | 25.00 |
Note: Revisions to the most recently announced dividend forecast: None
3. Consolidated Earnings Forecast for the Fiscal Year Ending September 30, 2022
(October 1, 2021 to September 30, 2022) | (Percentages represent year-on-year changes) | ||||||||
Net sales | Operating profit | Ordinary profit | Profit attributable to | Net income per share | |||||
owners of parent | |||||||||
Million yen | % | Million yen | % | Million yen | % | Million yen | % | Yen | |
Full year | 24,900 | 5.8 | 940 | 63.2 | 1,260 | 9.7 | 800 | 66.0 | 85.82 |
Note: Revisions to the most recently announced earnings forecast: None
*Notes
- Changes in significant subsidiaries during the period (changes in specified subsidiaries resulting in changes in scope of consolidation): None
- Application of special accounting methods for presenting quarterly consolidated financial statements: None
- Changes in accounting policies and accounting-based estimates, and restatements
- Changes in accounting policies due to revisions in accounting standards, others: Yes
- Changes in accounting policies other than 1) above: None
- Changes in accounting-based estimates: None
- Restatements: None
- Number of shares issued (common stock)
- Number of shares issued as of the end of the period (including treasury shares)
As of Dec. 31, 2021: | 9,365,511 shares | As of Sep. 30, 2021: | 9,328,511 shares |
2) Number of treasury shares as of the end of the period
As of Dec. 31, 2021: | 6,859 shares | As of Sep. 30, 2021: | 6,797 shares |
3) Average number of shares issued during the period
Three months ended Dec. 31, | 9,327,974 shares | Three months ended Dec. 31, | 9,234,673 shares |
2021: | 2020: |
- The current quarterly financial report is not subject to quarterly review by certified public accountants or auditing firms.
-
Explanation of appropriate use of earnings forecasts and other special items
Forecasts and other forward-looking statements in these materials are based on assumptions judged to be valid and information available to the Company's management at the time these materials were prepared, but are not promises by the Company regarding future performance. Actual results may differ significantly from these forecasts for a number of reasons.
Please refer to the section "1. Qualitative Information on Quarterly Consolidated Financial Performance, (3) Explanation of Consolidated Earnings Forecast and Other Forward-looking Statements" on page 3 of the attachments for details on the above forecasts.
Global Kids Company Corp. (6189) Consolidated Financial Results for the First Quarter of FY9/22
Contents of Attachments
1. Qualitative Information on Quarterly Consolidated Financial Performance | 2 | |
(1) | Explanation of Results of Operations | 2 |
(2) | Explanation of Financial Position | 2 |
(3) | Explanation of Consolidated Earnings Forecast and Other Forward-looking Statements | 3 |
2. Quarterly Consolidated Financial Statements and Notes | 4 | |
(1) | Quarterly Consolidated Balance Sheet | 4 |
(2) | Quarterly Consolidated Statements of Income and Comprehensive Income | 6 |
(For the Three-month Period) | ||
(3) | Notes to Quarterly Consolidated Financial Statements | 7 |
Going Concern Assumption | 7 | |
Significant Changes in Shareholders' Equity | 7 | |
Changes in Accounting Policies | 7 | |
Segment and Other Information | 8 |
1
Global Kids Company Corp. (6189) Consolidated Financial Results for the First Quarter of FY9/22
1. Qualitative Information on Quarterly Consolidated Financial Performance
(1) Explanation of Results of Operations
In Japan, dealing with the declining workforce due to the low birthrate and aging population has become an issue of the utmost urgency, and the significance of the child-rearing business is growing year by year, as an infrastructure to support the social advancement and active participation of women who are expected to boost the country's economic vitality.
To reduce the number of wait-listed children at nursery schools, both the central and local governments are implementing measures that aim to expand service capacity by securing childcare workers and developing nursery schools. Specifically, free early childhood education and preschool programs began in October 2019, and in December 2020, the government announced the New Child-rearing Security Plan, setting a goal of securing additional capacity for approximately 140,000 children over the four years from fiscal 2021 to the end of fiscal 2024.
While the number of wait-listed children is decreasing, thanks to these initiatives taken by the government, the situation is still far from the government's goal of zero wait-listed children. The demand for establishing new nursery schools is expected to continue to a certain extent to achieve the goal of expanding service capacity under the government's New Child-rearing Security Plan. Furthermore, in an effort to unify its measures regarding children, the government plans to create a new "Agency for Children and Families" as early as possible in fiscal year 2023, under the banner of a "child-centered society" which centrally positions child-related initiatives and policies within society. The establishment of Agency for Children and Families is expected to raise the percentage of childcare-related expenditures against GDP to the latter 3% levels, comparable to European countries, and to improve the compensation and social standing of childcare workers, and the stance of promoting children-centric policies has become increasingly marked.
At the end of the period under review, the Group operates a total of 183 facilities: 135 central government licensed nursery schools (98 in Tokyo, 27 in Kanagawa, four in Chiba, one in Saitama and five in Osaka); 22 local government licensed nursery schools or centers for early childhood education and care; 11 employer-sponsored nurseries; 12 after-school day care centers or children's houses; and three child developmental support facilities. Furthermore, the Group plans to open six new central government licensed nursery schools (including one facility to be transitioned from local government licensed nursery school status) during the fiscal year ending September 30, 2022, mainly in Tokyo.
Net sales for the period under review increased. This was attributable to a rise in the number of nursery school children due to improvements in the occupancy rate and an increase in the number of facilities under operation. In terms of expenses, the cost of sales rose primarily due to an increase in personnel expenses resulting from the hiring of additional personnel in conjunction with the increase in the number of facilities under operation, together with the expansion of benefits. Furthermore, selling, general and administrative expenses also rose in conjunction with recruitment advertising and the increase in business consignment expenses related to investing in operation efficiency improvements, etc.
Consequently, the Group reported net sales for the period under review of 6,025 million yen (up 5.9% year on year) with operating profit of 133 million yen (down 10.5% year on year), ordinary profit of 131 million yen (down 10.5% year on year), and profit attributable to owners of parent of 83 million yen (down 11.1% year on year).
-
Explanation of Financial Position Assets
Total assets amounted to 17,858 million yen at the end of the period under review, a decrease of 252 million yen from the end of the previous fiscal year.
Current assets decreased 226 million yen to 3,903 million yen. This was mainly attributable to a decrease of 161 million yen in accounts receivable-other and contract assets (indicated as "accounts receivable-other" until the previous fiscal year).
Non-current assets decreased 25 million yen to 13,954 million yen. This was mainly attributable to long-term prepaid expenses, lease and guarantee deposits, and deferred tax assets decreasing by 19 million yen, 6 million yen, and 5 million yen, respectively, despite an increase of 17 million yen in property, plant and equipment for the opening of new facilities scheduled in April.
Liabilities
Total liabilities amounted to 9,107 million yen at the end of the period under review, a decrease of 344 million yen from the end of the previous fiscal year.
Current liabilities decreased 181 million yen to 3,030 million yen. This was mainly attributable to a decrease of 317 million yen in provision for bonuses due to the payment of bonuses in December, despite a 148 million yen increase in accounts payable-other.Non-current liabilities decreased 163 million yen to 6,076 million yen. This was mainly attributable to a decrease of 188 million yen in long-term loans payable.
2
Global Kids Company Corp. (6189) Consolidated Financial Results for the First Quarter of FY9/22
Net assets
Net assets amounted to 8,751 million yen at the end of the period under review, an increase of 92 million yen from the end of the previous fiscal year. This was mainly attributable to an increase of 83 million yen in retained earnings as a result of the booking of profit attributable to owners of parent.
(3) Explanation of Consolidated Earnings Forecast and Other Forward-looking Statements
The Company maintains its consolidated forecasts for the fiscal year ending September 30, 2022 that was announced on November 12, 2021.
3
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Global Kids Company Corporation published this content on 18 February 2022 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 18 February 2022 07:40:05 UTC.
