■Performance trends of PROGRIT (9560)

2. Financial Status and Management Indicators

At the end of the second quarter of the fiscal year ending 2024/8, total assets increased 441 million yen from the end of the previous fiscal year to 3,069 million yen. Current assets increased 425 million yen to 2,557 million yen due to an increase of 385 million yen in cash and deposits, etc., and fixed assets increased 16 million yen to 512 million yen due to an increase in security deposits, etc.

Total liabilities decreased by 26 million yen from the end of the previous fiscal year to 1,508 million yen. Current liabilities remained flat at 1434 million yen at the end of the previous fiscal year, and fixed liabilities decreased by 26 million yen to 74 million yen. This is due to the fact that long-term loans were 26 million yen, bonus provisions were 52 million yen, and unpayment/unpaid expenses decreased by 80 million yen, but contract liabilities increased by 140 million yen, etc.

Net assets increased 468 million yen from the end of the previous fiscal year due to an increase of 35 million yen in capital and surplus capital, respectively, and net income of 395 million yen, etc., to 1,560 million yen. As a result, all management indicators showing safety have been improved, and the current ratio is 178.2% (same 29.6 point improvement), debt ratio 96.8% (same 43.8 point improvement), and equity ratio 50.8% (same 9.3 point improvement).

3. Cash flow situation

Cash and cash equivalents at the end of the second quarter of the fiscal year ending 2024/8 increased 385 million yen from the end of the previous fiscal year to 2,361 million yen. Cash flow from operating activities was 401 million yen (revenue of 346 million yen for the same period last year). In addition to quarterly net profit of 530 million yen before income taxes, this is due to an increase in contract liabilities of 140 million yen, corporate tax payments of 134 million yen, a decrease of 62 million yen in unpaid accounts, a decrease of 52 million yen in bonus provisions, etc.

Cash flow from investment activities was expenditure of 44 million yen (expenditure of 0.7 million yen in the same period last year). This is due to expenses of 27 million yen due to deposit deductions and 17 million yen of expenses associated with the acquisition of tangible fixed assets.

Cash flow from financial activities was income of 29 million yen (revenue of 190 million yen for the same period last year). It is mainly due to income of 70 million yen from stock issuance associated with the exercise of stock acquisition rights, and expenditure of 42 million yen due to repayment of long-term loans. From the company's high profitability, it can be seen that it has been able to hold plenty of funds acquired in the main business as investment funds, including advertising investments.

(Author: FISCO Analyst Tomokazu Murase)