[Translation]

Consolidated Business Results for the First Quarter of the Fiscal Year Ending March 31, 2023 [IFRS]

August 10, 2022

Listed Company: Wacoal Holdings Corp.

Stock Exchange: Tokyo

Code Number: 3591

(URL:https://www.wacoalholdings.jp/)

Representative: (Position) Representative Director, President and CEO

(Name)

Hironobu Yasuhara

For Inquiries: (Position) Corporate Officer, Head of Corporate Planning Dept.

(Name)

Katsuya Hirooka

Scheduled quarterly report submission date:

August 15, 2022

Tel: +81 (075) 682-1010

Scheduled dividend payment start date:

-

Supplementary materials regarding quarterly business results:

Yes

Explanatory meeting regarding quarterly business results:

Yes (for institutional investors, analysts and the press)

(Amounts less than 1 million yen have been rounded)

1. First Quarter of the Fiscal Year Ending March 31, 2023 (April 1, 2022 - June 30, 2022)

  1. Consolidated Business Results

(% indicates increase (decrease) from the corresponding period of the previous fiscal year)

Profit Before

Business

Operating

Income Taxes and

Revenue

Equity in Net

Profit

Profit

Profit

Profit of Affiliated

Companies

Millions of Yen

%

Millions of Yen

%

Millions of Yen

%

Millions of Yen

%

Millions of Yen

%

First Quarter ended

49,027

15.5

2,378

21.2

2,469

0.5

3,580

23.4

2,467

51.1

June 30, 2022

First Quarter ended

42,453

-

1,962

-

2,456

-

2,902

-

1,633

-

June 30, 2021

Net Profit

Total

Basic Earnings

Diluted Earnings

Attributable to

Comprehensive

per Share

per Share

Owners of Parent

Income

Millions of Yen

%

Millions of Yen

%

Yen

Yen

First Quarter ended

2,404

47.8

8,273

-

39.17

39.01

June 30, 2022

First Quarter ended

1,627

-

632

-

26.06

25.95

June 30, 2021

(Note) Business

profit is calculated by

subtracting cost of

sales, and selling, general and administrative expenses from

revenue.

  1. Consolidated Financial Condition

Equity Attributable to

Ratio of Equity

Total Assets

Total Equity

Attributable to

Owners of Parent

Owners of Parent

Millions of Yen

Millions of Yen

Millions of Yen

%

As of June 30, 2022

305,330

226,172

223,239

73.1

As of the end of Fiscal

299,177

220,868

217,990

72.9

Year (March 31, 2022)

- 1 -

2.

Status of Dividends

Annual Dividend

End of First

End of Second

End of Third

Year-End

Total

Quarter

Quarter

Quarter

Yen

Yen

Yen

Yen

Yen

Fiscal Year Ended March 31, 2022

-

20.00

-

30.00

50.00

Fiscal Year Ending March 31, 2023

-

Fiscal Year Ending March 31, 2023

40.00

-

40.00

80.00

(Estimates)

(Note)

Revision of estimated dividends announced

during the latest quarter: No

3. Forecast of Consolidated Business Results for the Fiscal Year Ending March 31, 2023 (April 1, 2022 - March 31, 2023)

(% indicates increase (decrease) from the previous fiscal year with respect to "Annual" and from the six-month period ended September 30, 2021 with respect to "Six-month Period Ending September, 30, 2022")

Profit Before

Net Profit

Income Taxes

Basic Earnings

Revenue

Business Profit

Operating Profit

and Equity in

Attributable to

Net Profit of

Owners of

per Share

Affiliated

Parent

Companies

Millions of Yen %

Millions of Yen %

Millions of Yen %

Millions of Yen %

Millions of Yen %

Yen

Six-month

Period Ending

104,000

20.5

4,500

18.8

4,500

(2.5)

5,300

(2.6)

3,600

4.8

58.66

September 30,

2022

Annual

205,000

19.1

7,000

-

6,500

97.5

8,000

95.9

5,500

217.6

89.62

(Note)

Revision

of forecast of

consolidated business

results announced

during the latest

quarter:

No

- 2 -

Notes

  1. Changes in significant subsidiaries in the consolidated cumulative first quarter of the current fiscal year (i.e. changes in specified subsidiaries (tokutei kogaisha) which involve change in scope of consolidation): None
  2. Changes in accounting principles and/or accounting estimates:
    1. Changes in accounting principles required by IFRS: None
    2. Changes in accounting principles other than (i) above: None
    3. Changes in accounting estimates: None
  3. Number of Issued Shares (Common Stock)

First Quarter ended

Fiscal Year ended

June 30, 2022

March 31, 2022

  1. Number of issued shares (including

treasury stock) as of the end of:

64,500,000 shares

65,589,042 shares

  1. Number of shares held as treasury

stock as of the end of:

3,534,182 shares

4,130,773 shares

  1. Average number of shares during

consolidated first quarter (first

61,372,313 shares

62,424,862 shares

quarter ended June 30):

*These quarterly financial statements are exempt from the review procedures.

*Cautionary Statement regarding Forecast of Business Results

(Implementation of the International Financial Reporting Standards ("IFRS"))

Our group has implemented IFRS starting from the current consolidated fiscal year. The financial figures for the corresponding period of the previous fiscal year and the previous fiscal year are also presented in accordance with IFRS. For differences between IFRS and U.S. GAAP in the financial figures, please see "2. Condensed Quarterly Consolidated Financial Statements and Accompanying Notes - (5) Notes to Condensed Quarterly Consolidated Financial Statements (First-time adoption)" on page 18 of the attached materials.

(Cautionary note on forward-looking statements)

The forecast of business results is based on reasonable information we obtained as of the date hereof and, due to various risks, uncertainties and other factors arising in the future, actual results in the future may differ largely from the estimates set out in this document. For notes on conditions used for the forecast of business results and cautionary statements regarding forecast of business results, please see "1. Qualitative Information regarding Consolidated Performance during the First Quarter - (3) Qualitative Information regarding Forecast of Consolidated Business Results" on page 9 of the attached materials.

- 3 -

Table of Contents for Attached Materials

1.

Qualitative Information regarding Consolidated Performance during the First Quarter

---------------------- 5

(1)

Qualitative Information regarding Consolidated Business Results ----------------------------------------------

5

(2)

Qualitative Information regarding Consolidated Financial Condition ------------------------------------------

9

(3)

Qualitative Information regarding Forecast of Consolidated Business Results -------------------------------

9

2.

Condensed Quarterly Consolidated Financial Statements and Accompanying Notes ------------------------

10

(1)

Condensed Quarterly Statement of Financial Position -----------------------------------------------------------

10

  1. Condensed Quarterly Consolidated Statement of Profit or Loss and Condensed Quarterly Consolidated

Statement of Comprehensive Income ------------------------------------------------------------------------------

12

(3)

Condensed Quarterly Consolidated Statement of Changes in Equity ------------------------------------------

14

(4)

Condensed Quarterly Consolidated Statement of Cash Flows --------------------------------------------------

15

(5)

Notes to Condensed Quarterly Consolidated Financial Statements --------------------------------------------

16

(Notes on Going Concern) -------------------------------------------------------------------------------------------

16

(Segment Information) -----------------------------------------------------------------------------------------------

16

(First-time Adoption) -------------------------------------------------------------------------------------------------

18

- 4 -

1. Qualitative Information regarding Consolidated Performance during the First Quarter

  1. Qualitative Information regarding Consolidated Business Results
    1. Performance Overview of the Three Months ended June 30, 2022

(Millions of Yen)

Previous Consolidated

Current Consolidated

Increased/(Decreased) from

Cumulative First

Cumulative First

previous consolidated

Quarter

Quarter

cumulative

(From April 1, 2021 to

(From April 1, 2022 to

first quarter

June 30, 2021)

June 30, 2022)

Amount

Amount

Amount

%

Revenue

42,453

49,027

+6,574

+15.5

Cost of sales

17,594

20,346

+2,752

+15.6

Sales profit

24,859

28,681

+3,822

+15.4

Selling, general and administrative expenses

22,897

26,303

+3,406

+14.9

Other income

596

608

+12

+2.0

Other expenses

102

517

+415

+406.9

Operating profit

2,456

2,469

+13

+0.5

Finance income

672

986

+314

+46.7

Finance expense

111

77

(34)

(30.6)

Share of profit (loss) of investments accounted for

(115)

202

+317

-

using equity method

Profit before income taxes and equity in net profit of

2,902

3,580

+678

+23.4

affiliated companies

Net profit attributable to owners of parent

1,627

2,404

+777

+47.8

(Our group voluntarily implements the International Financial Reporting Standards ("IFRS") starting from the beginning of current cumulative first quarter, and the results for the previous cumulative first quarter have been reclassified to conform to IFRS.)

During the current cumulative first quarter (April 1, 2022 - June 30, 2022), our group's domestic business environment continued to remain challenging as the number of customers visiting our retail stores only had a weak bounce back, despite signs of recovery seen in opportunities to go out due to the progress in vaccination and relaxed travel restrictions related to the coronavirus pandemic ("COVID-19"). While our business in Europe maintained its strong sales, our business environment in the United States remained sluggish due to weaker consumer confidence as a result of various factors including rising inflation and accelerated monetary tightening. In addition, our business in China was negatively affected by the impact of activity restrictions in response to another wave of the spread of COVID-19.

Under the "VISION 2030", our medium- to long-term strategy framework which we announced in June 2022, our group is moving forward with our initiatives to address increasingly complex and diverse social issues as an opportunity for future growth, and to enhance our corporate value by promoting "sustainable management", a management approach that balances resolving social issues on one hand and sustainable growth on the other hand through our business activities. In addition, our new mid-term business plan for the next three years, which starts in the current fiscal year, is designed to lay the foundation to realize our new vision formulated under "VISION 2030", which is "to evolve and grow as "Wacoal Group of the World" by providing both physical and emotional beauty and richness to individuals through high sensitivity and premium quality", and to promote initiatives for transforming into a highly profitable company capable of sustainable growth. In our domestic business, we will continue promoting our unique CX strategy including the utilization of our customer database and merger between online and offline activities to improve value of our customer experience, and strengthening our efforts to improve profitability, aiming "to transform ourselves into a resilient corporate structure". In our overseas business, we will seek further expansion by expanding our e-commerce business and entering into the emerging markets, in addition to expanding solid sales growth in the existing areas where we conduct our business. On the financial strategies side, we will work to improve our return on equity by improving profitability and capital efficiency while conducting active investments for growth.

- 5 -

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Wacoal Holdings Corporation published this content on 10 August 2022 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 10 August 2022 06:13:07 UTC.