Daikokutenbussan : Summary of Consolidated Financial Results for the Six Months Ended November 30, 2021(Based on Japanese GAAP)

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 Six Months Ended November 30, 2021 (Based on Japanese GAAP)

				January 12, 2022
Company name:	DAIKOKUTENBUSSAN CO.,LTD.
Stock exchange listing:	Tokyo
Stock code:	2791	URL http://www.e-dkt.co.jp/
Representative:	Representative Director and President	SHOJI OGA
Inquiries:	Senior Managing Director	MASASHI OMURA	TEL [phone]
Scheduled date to file Quarterly Securities Report:	January 13, 2022
Scheduled date to commence dividend payments:	-
Preparation of supplementary material on quarterly financial results:	No
Holding of quarterly financial results meeting:	Yes

(Amounts less than one million yen are rounded down)

1. Consolidated financial results for the six months ended November 30, 2021 (from June 1, 2021 to November 30, 2021)

(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		%
Six months ended November 30, 2021	109,176		-		3,752	(18.4)		3,937		(17.2)		2,497		(14.2)
Six months ended November 30, 2020	111,105		10.7		4,598	139.7		4,753		137.9		2,911		145.3
	Earnings per share		Diluted earnings per share
			Yen					Yen
Six months ended November 30, 2021			179.29					179.20
Six months ended November 30, 2020			208.99					-
(2) Consolidated financial position
	Total assets				Net assets	Equity ratio
	Millions of yen			Millions of yen					%
As of November 30, 2021		74,027					43,648				58.8
As of May 31, 2021		75,635					41,537				54.7
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 May 31, 2021		-			0.00			-				29.00			29.00
Year ending May 31, 2022		-			0.00
Year ending May 31, 2022 (Forecast)									-				29.00			29.00

3. Forecast of consolidated financial results for the year ending May 31, 2022 (from June 1, 2021 to May 31, 2022)

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	222,700	-	7,900	(8.1)	8,000		(9.4)	4,800	(13.0)	344.60

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4. Notes

1. Changes in significant subsidiaries during the six months ended November 30, 2021 (changes in specified subsidiaries resulting in the change in scope of consolidation):
2. Application of special accounting methods for preparing quarterly consolidated financial statements:

No

No

(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:	Yes
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 November 30, 2021	14,474,200	shares	As of May 31, 2021	14,474,200	shares
Number of treasury shares at the end of the period
	As of November 30, 2021	545,354	shares	As of May 31, 2021	545,320	shares
Average number of shares during the period (cumulative from the beginning of the fiscal year)
	Six months ended November 30, 2021	13,928,866	shares	Six months ended November 30, 2020	13,928,880	shares

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Quarterly consolidated financial statements

Consolidated balance sheets

			(Millions of yen)
		As of May 31, 2021	As of November 30, 2021
Assets
Current assets
Cash and deposits	7,857	6,991
Notes and accounts receivable - trade	126	111
Merchandise and finished goods	6,529	7,139
Work in process	92	100
Raw materials and supplies	304	362
Other	4,183	3,446
Allowance for doubtful accounts	(203)	(203)
Total current assets	18,889	17,949
Non-current assets
Property, plant and equipment
Buildings and structures, net	26,688	25,364
Land	8,101	8,232
Other, net	8,895	9,491
Total property, plant and equipment	43,685	43,088
Intangible assets	322	350
Investments and other assets
Construction assistance fund receivables	1,677	1,604
Guarantee deposits	4,907	4,938
Other	6,209	6,152
Allowance for doubtful accounts	(55)	(57)
Total investments and other assets	12,738	12,638
Total non-current assets	56,746	56,077
Total assets		75,635	74,027

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			(Millions of yen)
		As of May 31, 2021	As of November 30, 2021
Liabilities
Current liabilities
Notes and accounts payable - trade	13,385	13,140
Short-term borrowings	3,904	4,070
Income taxes payable	2,520	1,616
Provision for bonuses	555	590
Asset retirement obligations	6	6
Other	7,611	5,398
Total current liabilities	27,983	24,822
Non-current liabilities
Long-term borrowings	1,070	579
Retirement benefit liability	40	41
Asset retirement obligations	2,909	2,927
Other	2,093	2,007
Total non-current liabilities	6,114	5,556
Total liabilities	34,097	30,378
Net assets
Shareholders' equity
Share capital	1,661	1,661
Capital surplus	1,823	1,823
Retained earnings	38,695	40,789
Treasury shares	(880)	(880)
Total shareholders' equity	41,300	43,393
Accumulated other comprehensive income
Valuation difference on available-for-sale securities	90	103
Total accumulated other comprehensive income	90	103
Share acquisition rights	46	49
Non-controlling interests	100	102
Total net assets	41,537	43,648
Total liabilities and net assets		75,635	74,027

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

Consolidated statements of income (cumulative)

			(Millions of yen)
		Six months ended	Six months ended
		November 30, 2020	November 30, 2021
Net sales	111,105	109,176
Cost of sales	84,172	82,848
Gross profit	26,932	26,328
Selling, general and administrative expenses	22,334	22,575
Operating profit	4,598	3,752
Non-operating income
Interest income	16	13
Dividend income	2	4
Rental income	43	44
Insurance claim income	74	89
Reversal of allowance for doubtful accounts	27	-
Other	35	73
Total non-operating income	199	224
Non-operating expenses
Interest expenses	13	13
Rental expenses	24	24
Other	5	1
Total non-operating expenses	43	39
Ordinary profit	4,753	3,937
Extraordinary income
Subsidy income	35	-
Total extraordinary income	35	-
Extraordinary losses
Loss on tax purpose reduction entry of non-current assets	35	-
Total extraordinary losses	35	-
Profit before income taxes	4,753	3,937
Income taxes - current	2,034	1,446
Income taxes - deferred	(197)	(8)
Total income taxes	1,837	1,438
Profit	2,916	2,498
Profit attributable to non-controlling interests	5	1
Profit attributable to owners of parent		2,911	2,497

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