G Tekt : Summary of Consolidated Financial Results for the Nine Months Ended December 31, 2022

Translation

Notice: This document is an excerpt translation of the original Japanese document and is only for reference purposes. In the event of any discrepancy between this translated document and the original Japanese document, the latter shall prevail.

Summary of Consolidated Financial Results for the Nine Months Ended December 31, 2022 (Based on Japanese GAAP)

February 3, 2023

Company name:

G-TEKT CORPORATION

Stock exchange listing:

Tokyo

Stock code:

5970

URL

https://www.g-tekt.jp/

Representative:

President, Chief Executive Officer

Naohiro Takao

Inquiries:

General Manager of Finance Division

Makoto Kimura

TEL [phone]

Scheduled date to file Quarterly Securities Report:

February 9, 2023

Scheduled date to commence dividend payments:

-

Preparation of supplementary material on quarterly financial results:

Yes

Holding of quarterly financial results meeting:

Yes

(for institutional investors and analysts)

(Amounts less than one million yen are rounded down)

1. Consolidated financial results for the nine months ended December 31, 2022 (from April 1, 2022 to December 31, 2022)

(1) Consolidated operating results (cumulative)

Percentages indicate year-on-year changes

Net sales

Operating profit

Ordinary profit

Profit attributable to

owners of parent

Millions of yen

%

Millions of yen

%

Millions of yen

%

Millions of yen

%

Nine months ended December 31, 2022

235,709

41.2

10,218

54.9

11,471

56.7

8,405

55.5

Nine months ended December 31, 2021

166,893

8.1

6,598

24.1

7,322

40.9

5,405

58.4

Earnings per share

Diluted earnings per share

Yen

Yen

Nine months ended December 31, 2022

195.51

-

Nine months ended December 31, 2021

125.85

-

(2) Consolidated financial position

Total assets

Net assets

Equity ratio

Millions of yen

Millions of yen

%

As of December 31, 2022

273,299

170,584

58.2

As of March 31, 2022

282,540

163,924

53.9

2. Cash dividends

		Annual dividends per share
	1st quarter-end	2nd quarter-end	3rd quarter-end	Fiscal year-end	Total
	Yen	Yen	Yen	Yen	Yen
Year ended March 31, 2022	-	28.00	-	28.00	56.00
Year ending March 31, 2023	-	29.00	-
Year ending March 31, 2023 (Forecast)				29.00	58.00

3. Forecast of consolidated financial results for the year ending March 31, 2023 (from April 1, 2022 to March 31, 2023)

Percentages indicate year-on-year changes

	Net sales		Operating profit	Ordinary profit	Profit attributable to	Earnings per share
		owners of parent
	Millions of yen	%	Millions of yen	%	Millions of yen	%	Millions of yen	%	Yen
Full year	311,000	31.5	10,300	(5.8)	11,000	(12.2)	7,600	(14.4)	176.76

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4. Notes
(1)	Changes in significant subsidiaries during the nine months ended December 31, 2022	No
	(changes in specified subsidiaries resulting in the change in scope of consolidation):
(2)	Application of special accounting methods for preparing quarterly consolidated financial statements:	Yes
(3)	Changes in accounting policies, changes in accounting estimates, and restatement of prior period financial statements
	Changes in accounting policies due to revisions to accounting standards and other regulations:	No
	Changes in accounting policies due to other reasons:		No
	Changes in accounting estimates:			No
	Restatement of prior period financial statements:			No
(4)	Number of issued shares (common shares)
	Total number of issued shares at the end of the period (including treasury shares)
		As of December 31, 2022	43,931,260 shares	As of March 31, 2022		43,931,260 shares
	Number of treasury shares at the end of the period
		As of December 31, 2022	921,223 shares	As of March 31, 2022		959,008 shares
	Average number of shares during the period (cumulative from the beginning of the fiscal year)
		Nine months ended December 31, 2022	42,992,488 shares	Nine months ended December 31, 2021	42,953,115 shares

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Quarterly consolidated financial statements

Consolidated balance sheets

			(Millions of yen)
		As of March 31, 2022	As of December 31, 2022
Assets
Current assets
Cash and deposits	40,685	39,868
Notes and accounts receivable - trade	51,230	47,588
Finished goods	1,908	2,178
Work in process	29,081	19,872
Raw materials	3,872	4,784
Supplies	1,297	1,449
Other	8,374	8,358
Total current assets	136,450	124,100
Non-current assets
Property, plant and equipment
Buildings and structures, net	57,773	59,132
Machinery, equipment and vehicles, net	38,645	41,729
Tools, furniture and fixtures, net	11,627	12,845
Land	13,342	13,645
Construction in progress	12,677	9,514
Total property, plant and equipment	134,067	136,868
Intangible assets	1,416	1,232
Investments and other assets
Investment securities	8,518	8,786
Other	2,088	2,311
Total investments and other assets	10,606	11,098
Total non-current assets	146,090	149,199
Total assets	282,540	273,299
Liabilities
Current liabilities
Accounts payable - trade	30,394	31,422
Short-term borrowings	22,247	13,311
Current portion of long-term borrowings	12,414	9,974
Accounts payable - other	6,773	7,155
Income taxes payable	1,610	1,131
Provision for bonuses	1,424	734
Other	6,301	6,202
Total current liabilities	81,165	69,932
Non-current liabilities
Long-term borrowings	29,019	23,234
Retirement benefit liability	1,048	1,680
Provision for share awards for directors (and other	438	447
officers)
Other	6,943	7,420
Total non-current liabilities	37,450	32,782
Total liabilities		118,615	102,714

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				(Millions of yen)
			As of March 31, 2022	As of December 31, 2022
Net assets
Shareholders' equity
Share capital			4,656	4,656
Capital surplus	23,635	23,622
Retained earnings	103,677	109,610
Treasury shares	(1,707)	(1,649)
Total shareholders' equity	130,261	136,239
Accumulated other comprehensive income
Valuation	difference on available-for-sale	1,285	964
securities
Deferred gains or losses on hedges	1	42
Foreign currency translation adjustment	20,363	21,979
Remeasurements of defined benefit plans	380	(143)
Total accumulated other comprehensive income	22,031	22,842
Non-controlling interests	11,631	11,503
Total net assets			163,924	170,584
Total liabilities and net assets		282,540	273,299

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Consolidated statements of income (cumulative) and consolidated statements of comprehensive income (cumulative)

Consolidated statements of income (cumulative)

			(Millions of yen)
		Nine months ended	Nine months ended
		December 31, 2021	December 31, 2022
Net sales	166,893	235,709
Cost of sales	150,660	214,189
Gross profit	16,232	21,519
Selling, general and administrative expenses	9,633	11,300
Operating profit	6,598	10,218
Non-operating income
Interest income	231	509
Dividend income	125	154
Foreign exchange gains	249	275
Share of profit of entities accounted for using equity	195	553
method
Other	403	509
Total non-operating income	1,205	2,003
Non-operating expenses
Interest expenses	383	705
Other	98	45
Total non-operating expenses	482	750
Ordinary profit	7,322	11,471
Extraordinary income
Gain on sale of non-current assets	41	105
Gain on sale of investment securities	3	27
Total extraordinary income	44	133
Extraordinary losses
Loss on sale of non-current assets	8	1
Loss related to COVID-19	-	167
Total extraordinary losses	8	168
Profit before income taxes	7,357	11,436
Income taxes	2,378	3,217
Profit	4,979	8,218
Loss attributable to non-controlling interests	(425)	(187)
Profit attributable to owners of parent	5,405	8,405

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