During this interim consolidated accounting period, the Japanese economy as a whole showed a gradual recovery due to the effects of various government policies, such as improvements in corporate earnings and the employment and income environment, as well as the transformation from a cost-cutting economy to a growth-oriented economy.However, the future remains uncertain due to the continued high interest rates in Europe and the United States, rapid fluctuations in exchange rates, and rising consumer prices, including energy costs and raw material prices.

In this environment, our group has worked to expand sales and improve profitability by creating new value in the bridal, hotel, and wellness and relaxation (W&R) markets, creating high-quality, attractive stores, and providing high-value-added services, and by responding appropriately to the diversifying needs of our customers.

In the hotel business, the number of foreign visitors to Japan reached a record high of 3,135,000 in June 2024 (Japan National Tourism Organization's "Number of Foreign Visitors to Japan (June 2024 Estimate)"), up 8.9% from the same month in 2019, and the cumulative number for the first half of the year reached a record high of 17,777,000.As a result of these factors, occupancy rates and average room rates increased, and the overall situation remained stable. In addition, in June 2024, we acquired a portion of the investment equity of BT KALAKAUA, LLC, which operates the Kaimana Beach Hotel in Honolulu, Hawaii, USA, making it a consolidated subsidiary, and worked to expand our business area and increase future revenue.

In the wedding and hotel businesses, the number of wedding orders increased slightly to 6,583 (up 3.9% from the same period last year), and the average wedding rate, which had been slow to recover, is also gradually recovering. In addition, in the W&R business, we have been working to strengthen our future earnings base by closing unprofitable stores that have been slow to recover from the COVID-19 pandemic and improving business efficiency.