AGC : Consolidated Financial Results for the Six Months ended June 30, 2022 (IFRS basis)

August 2, 2022

Corporate Name: AGC Inc.

(Code Number: 5201; TSE Prime Market)

(URL: http://www.agc.com)

President & CEO: Yoshinori Hirai

Contact: Chikako Ogawa, General Manager,

Corporate Communications & Investor Relations Division

(Tel: [phone])

Consolidated Financial Results for the Six Months ended June 30, 2022 (IFRS basis)

(Figures are rounded down to the nearest million.)

1. Financial Results for the Six months ended June 30, 2022 (January 1 through June 30, 2022)

(1) Consolidated operating results

(% represents the change from the same period in the previous fiscal year.)

	For the Six months ended		For the Six months ended
	June 30, 2022		June 30, 2021
	Millions of yen	%	Millions of yen	%
Net sales	978,340	20.6	811,332	24.0
Operating profit	115,340	21.1	95,208	362.6
Profit before tax	117,595	21.1	97,133	490.3
Profit for the period	95,180	20.6	78,913	495.0
Profit for the period attributable to owners of the parent	71,202	11.5	63,843	458.0
Total comprehensive income for the period	278,638	77.0	157,425	-
Basic earnings per share (yen)	321.26		288.33
Diluted earnings per share (yen)	320.31		287.20

(2) Consolidated financial position

	FY2022 second quarter	FY2021
	(as of June 30, 2022)	(as of December 31, 2021)
Total assets (millions of yen)	2,990,250	2,666,031
Total equity(millions of yen)	1,716,900	1,481,380
Equity attributable to owners of the parent	1,514,396	1,314,161
(millions of yen)
Equity attributable to owners of the parent ratio (%)	50.6	49.3

2. Dividends			(Unit: yen)
	FY2021		FY2022	FY2022 (forecast)
End of first quarter		-	-	――――
End of second quarter		80.00	105.00	――――
End of third quarter		-	――――	-
End of fiscal year		130.00	――――	105.00
Total		210.00	――――	210.00

Note: Revision of the dividends forecast from the latest official forecast: No

3. Forecast for FY2022 (January 1 through December 31, 2022)

(% represents the change from the same period in the previous fiscal year)

	Full year
	Millions of yen	%
Net sales	2,050,000	20.8
Operating profit	230,000	11.6
Profit before tax	217,000	3.3
Profit for the period	157,000	(1.3)
Profit for the period attributable to	120,000	(3.1)
owners of the parent
Basic earnings per share (yen)	541.44

Note: Revision of the forecast for FY2022 consolidated operating results from the latest official forecast: Yes

*Notes

1. Changes in significant subsidiaries during the period: No
2. Changes in Accounting Policies and Changes in Accounting Estimates

1. Changes in accounting policies required by IFRS: Yes
2. Changes in accounting policies other than "i" above: No
3. Changes in accounting estimates: No

Note: For details, please refer to "1. Condensed Interim Consolidated Financial Statements (IFRS) (5) Notes to the Condensed Interim Consolidated Financial Statements, (Changes in Accounting Policies)" on

page 10.

(3) Number of shares issued (common stock)

1. Number of shares issued (including treasury stock) at the end of the period

-FY2022 second quarter (as of June 30, 2022):	227,441,381
-FY2021 (as of December 31, 2021):	227,441,381

1. Number of treasury stock at the end of the period

-FY2022 second quarter (as of June 30, 2022):	5,415,675
-FY2021 (as of December 31, 2021):	5,517,627

1. Average number of shares issued during the period

-For the six months ended June 30, 2022:	221,632,321
-For the six months ended June 30, 2021:	221,421,047

*This interim consolidated financial statement is outside the scope of quarterly review procedures.

*Appropriate Use of Forecast and Other Information and Other Matters

The above forecast is the assumptions of the Group's management on the basis of currently available information and, as such, contain risks and uncertainties. For this reason, investors are advised not to base investment decisions solely on these prospective results. Please note that actual results may materially differ from the projection due to such various factors as business and market environment the Group is active in, currency exchange rate fluctuations, and others.

*Supplementary Material for the Quarterly Financial Results

Supplementary material(Financial Results for the Six Months ended June 30, FY2022) will be published on TD-net for viewing in Japan, and on our Website.

(Attached Documents)

INDEX

1. Condensed Interim Consolidated Financial Statements (IFRS) and major notes	2
(1)	Condensed Interim Consolidated Statements of Financial Position	2
(2)	Condensed Interim Consolidated Statements of Profit or Loss and Consolidated Statements of	3
Comprehensive Income
	(Condensed Interim Consolidated Statements of Profit or Loss)	3
	(Condensed Interim Consolidated Statements of Comprehensive Income)	4
(3)	Condensed Interim Consolidated Statements of Changes in Equity	5
(4)	Condensed Interim Consolidated Statements of Cash Flows	9
(5)Notes to the Condensed Interim Consolidated Financial Statements	10
	(Notes regarding assumption of a going concern)	10
	(Changes in Accounting Policies)	10
	(Changes in Accounting Estimates)	10
	(Segment Information)	11
	(Notes to Other Income and Other Expenses)	13
	(Notes on Significant Subsequent Events)	13

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1. Condensed Interim Consolidated Financial Statements (IFRS)

(1) Condensed Interim Consolidated Statements of Financial Position

			(Unit: millions of yen)
		FY2021	FY2022 second quarter
		(as of December 31, 2021)	(as of June 30, 2022)
Assets
	Current assets
	Cash and cash equivalents	195,830	255,542
	Trade receivables	295,161	319,512
	Inventories	330,101	418,689
	Other receivables	65,472	58,339
	Income tax receivables	3,518	3,197
	Other current assets	25,186	49,247
	Total current assets	915,271	1,104,529
	Non-current assets
	Property, plant and equipment	1,323,868	1,457,741
	Goodwill	112,916	122,964
	Intangible assets	69,913	79,519
	Investments accounted for using equity method	31,197	27,008
	Other financial assets	116,624	109,331
	Deferred tax assets	27,611	29,005
	Other non-current assets	68,628	60,150
	Total non-current assets	1,750,759	1,885,720
Total assets	2,666,031	2,990,250
Liabilities and equity
Liabilities
	Current liabilities
	Trade payables	196,435	215,939
	Short-terminterest-bearing debt	36,820	51,685
	Long-terminterest-bearing debt due within one year	88,599	141,703
	Other payables	199,169	216,126
	Income tax payables	42,411	27,045
	Provisions	1,207	1,537
	Other current liabilities	34,764	47,531
	Total current liabilities	599,408	701,570
	Non-current liabilities
	Long-terminterest-bearing debt	477,774	466,953
	Deferred tax liabilities	35,814	31,099
	Post-employment benefit liabilities	53,805	50,325
	Provisions	12,064	15,790
	Other non-current liabilities	5,782	7,611
	Total non-current liabilities	585,241	571,779
	Total liabilities	1,184,650	1,273,350
Equity
	Share capital	90,873	90,873
	Capital surplus	81,621	79,842
	Retained earnings	927,830	978,369
	Treasury shares	(26,933)	(26,732)
	Other components of equity	240,769	392,042
	Total equity attributable to owners of the parent	1,314,161	1,514,396
	Non-controlling interests	167,219	202,504
	Total equity	1,481,380	1,716,900
Total liabilities and equity	2,666,031	2,990,250

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1. Condensed Interim Consolidated Statements of Profit or Loss and Consolidated Statements of Comprehensive Income
   (Condensed Interim Consolidated Statements of Profit or Loss)

		(Unit: millions of yen)
	For the six months	For the six months
	ended June 30, 2021	ended June 30, 2022
	(Jan. 1 through June. 30, 2021)	(Jan. 1 through June. 30, 2022)
Net sales	811,332	978,340
Cost of sales	(565,815)	(698,488)
Gross profit	245,517	279,852
Selling, general and administrative expenses	(151,771)	(165,809)
Share of profit (loss) of associates and joint ventures	1,462	1,297
accounted for using equity method
Operating profit	95,208	115,340
Other income	9,199	11,385
Other expenses	(7,180)	(10,288)
Business profit	97,227	116,436
Finance income	3,276	4,560
Finance costs	(3,370)	(3,402)
Net finance income (costs)	(94)	1,158
Profit before tax	97,133	117,595
Income tax expenses	(18,219)	(22,415)
Profit for the period	78,913	95,180
Attributable to:
Owners of the parent	63,843	71,202
Non-controlling interests	15,070	23,978
Earnings per share
Basic earnings per share (yen)	288.33	321.26
Diluted earnings per share (yen)	287.20	320.31

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