Supplemental Materials for Financial

Results of the Third Quarter of the Fiscal

Year Ending January 2023

Computer Engineering & Consulting Ltd.

December 9, 2022

© Computer Engineering & Consulting Ltd. All rights reserved.

Contents

Operating Results for the Third Quarter of

the Fiscal Year Ending January 2023

Full-Year Earnings Forecast for the Fiscal

Year Ending January 2023

© Computer Engineering & Consulting Ltd. All rights reserved.

1

Year-on-year comparison of 3Q results

  • ICT investment by customers became active mainly in the DX area and for security measures, and business negotiations are increasing in spite of the remaining impact of the semiconductor shortage.
  • Net income reached a record high in 3Q with gains on sales of investment securities recorded in 2Q to

extraordinary income.

(Unit: Million yen)

FY ended

FY ending Jan. 2023

Jan. 2022

Results for 2Q

Results for 3Q

Year-on-year

Year-on-year rate

Results for 3Q

amount of change

of change

Net sales

33,527

23,478

35,288

1,760

5.3%

Operating income

3,043

1,969

3,277

234

7.7%

Operating income

9.1%

8.4%

9.3%

0.2

ratio

Ordinary income

3,081

1,988

3,296

215

7.0%

Ordinary income

9.2%

8.5%

9.3%

0.2

ratio

Net income*

1,798

3,495

4,381

2,583

143.7%

Net income ratio

5.4%

14.9%

12.4%

7.1

  • "Net income" signifies "Net income attributable to owners of parent" (the same applies hereinafter)
  • From the beginning of the first quarter of the fiscal year under review, the Company has applied the "Accounting Standard for Revenue Recognition," etc. Its impact in the first nine months of the fiscal year under review includes the following: net sales increased 180 million yen, and operating income, ordinary income, and profit before income taxes grew 21 million yen, respectively

© Computer Engineering & Consulting Ltd. All rights reserved.

3

Quarterly results

Net sales

(100 million yen)

518

500

480

452

400

380

359

352

335

300

252

245

234

224

200

126

126

114

118

100

0

1Q

2Q

3Q

4Q

1Q

2Q

3Q

4Q

1Q

2Q

3Q

4Q

1Q

2Q

3Q

FYE Jan/2020

FYE Jan/2021

FYE Jan/2022

FYE Jan/2023

Operating income/Operating income ratio

(100 million yen)

15.0%

80

59

50

60

42

9.3%

10.0%

44

40

28

26

37

30

32

22

19

5.0%

20

16

15

13

9

0

0.0%

1Q

2Q

3Q

4Q

1Q

2Q

3Q

4Q

1Q

2Q

3Q

4Q

1Q

2Q

3Q

FYE Jan/2020

FYE Jan/2021

FYE Jan/2022

FYE Jan/2023

© Computer Engineering & Consulting Ltd. All rights reserved.

Net sales

  • In the manufacturing area, net sales increased year on year as ICT investments recovered.
  • Inquiries from customers in the distribution industry continued to be steady.
  • The system development business remained steady with continued demand for DX.
  • The infrastructure construction business is gradually improving despite the continuous semiconductor shortage.
  • The security field was favorable thanks to strong demand.
  • In Group companies, net sales remained the same year on year.

Operating income

  • Increase in income due to higher net sales.
  • Income improved through productivity improvement activities.
  • Although the impact of unprofitable projects in the previous fiscal year is continuing, great effort was made to prevent opportunity loss.

4

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Computer Engineering & Consulting Ltd. published this content on 11 January 2023 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 11 January 2023 02:19:06 UTC.