ENDO Lighting : Consolidated Financial Results for the Three Months Ended June 30, 2022

ENDO Lighting Corporation (6932)

Note:This document is a translation of a part of the original Japanese version and provided for reference purposes only. In the event of any discrepancy between the Japanese original and this English translation, the Japanese original shall prevail.

Consolidated Financial Results

for the Three Months Ended June 30, 2022

[Japanese GAAP]

Company name: ENDO Lighting Corporation

July 29, 2022

Stock exchange listing: Tokyo

Code number: 6932

URL: https://www.endo-lighting.co.jp

Representative: Kunihiko Endo

Representative Director and President

Contact: Masashi Sugisaka

Director, General Manager

of Sales

Divison

and General

Manager of Corporate Administration Division

Phone: [phone]

Scheduled date of filing quarterly securities report: August 10, 2022

Scheduled date of commencing dividend payments: -

Availability of supplementary briefing material on quarterly financial results: No

Schedule of quarterly financial results briefing session: No

(Amounts of less than one million yen are rounded down)

1. Consolidated Financial Results for the Three Months Ended June 30, 2022 (April 01, 2022 to June 30, 2022)

(1) Consolidated Operating Results

(% indicates changes from the previous corresponding period.)

Net sales

Operating profit

Ordinary profit

Profit attributable to

owners of parent

Three months ended

Million yen

%

Million yen

%

Million yen

%

Million yen

%

June 30, 2022

10,135

9.0

637

(36.7)

935

(19.7)

351

(61.3)

June 30, 2021

9,298

23.1

1,007

234.9

1,164

205.1

908

270.3

(Note) Comprehensive income:	Three months ended June 30, 2022:
	Three months ended June 30, 2021:

¥	1,487 million	[	(15.8) %]
¥	1,765 million	[	-%]

	Basic earnings			Diluted earnings per
	per share			share
Three months ended	Yen				Yen
June 30, 2022	23.78				-
June 30, 2021	61.49				-
(2) Consolidated Financial Position
	Total assets				Net assets	Capital adequacy ratio
As of	Million yen				Million yen	%
June 30, 2022	55,583				29,509	53.1
March 31, 2022	55,595				28,243	50.8
(Reference) Equity: As of	June 30, 2022:	¥	29,508 million
As of	March 31, 2022:	¥	28,243 million

ENDO Lighting Corporation (6932)

2. Dividends

				Annual dividends
	1st	2nd	3rd		Year-end	Total
	quarter-end	quarter-end	quarter-end
	Yen		Yen	Yen		Yen	Yen
Fiscal year ended March 31, 2022	-		7.50	-		15.00	22.50
Fiscal year ending March 31, 2023	-
Fiscal year ending March 31, 2023			15.00	-		15.00	30.00
(Forecast)
(Note) Revision to the forecast for dividends	announced most	recently:	No

3. Consolidated Financial Results Forecast for the Fiscal Year Ending March 31, 2023(April 01, 2022 to March 31, 2023)

(% indicates changes from the previous corresponding period.)

	Net sales		Operating profit	Ordinary profit	Profit attributable	Basic earnings
		to owners of parent	per share
Six months ended	Million yen		%	Million yen	%	Million yen	%	Million yen	%	Yen
20,000		5.5	900	(45.2)	1,400	(24.8)	600	(56.3)	40.61
September 30, 2022
Full year	43,000		5.8	2,500	(34.7)	2,700	(36.5)	1,900	(42.9)	128.59
(Note) Revision to the financial results forecast announced most recently:	Yes
* Notes:
(1) Changes in significant subsidiaries during the three months ended June 30, 2022
(changes in specified subsidiaries resulting in changes in scope of consolidation):	No
(2) Accounting policies adopted specially for the preparation of quarterly consolidated financial statements:	No

1. Changes in accounting policies, changes in accounting estimates and retrospective restatement
2. 1. Changes in accounting policies due to the revision of accounting standards: No
   2. Changes in accounting policies other than 1) above: No
   3. Changes in accounting estimates: No
   4. Retrospective restatement: No
3. Total number of issued shares (common shares)
4. 1. Total number of issued shares at the end of the period (including treasury shares):

June 30, 2022:	14,776,321	shares
March 31, 2022:	14,776,321	shares
2) Total number of treasury shares at the end of the period:
June 30, 2022:	152	shares
March 31, 2022:	152	shares

3) Average number of shares during the period:
Three months ended June 30, 2022:	14,776,169	shares
Three months ended June 30, 2021:	14,776,226	shares

• This financial report is not subject to audits by certified public accountants or auditing corporations.
• Explanation on proper use of financial results forecasts, and other special matters

(Cautionary note concerning forward-looking statements)

The forward-looking statements, including the financial results forecasts, contained in this document are based on information currently available to the Company and on certain assumptions deemed to be reasonable. These statements do not purport that the Company pledges to achieve the stated performance. Actual results may differ substantially due to various factors.

ENDO Lighting Corporation (6932)

Quarterly Consolidated Financial Statements

Quarterly Consolidated Balance Sheets

				(Million yen)
			As of March 31,2022	As of June 30,2022
Assets
	Current assets
		Cash and deposits	10,787	10,067
		Notes and accounts receivable - trade	7,527	7,684
		Merchandise and finished goods	12,039	11,481
		Work in process	174	268
		Raw materials and supplies	1,043	1,177
		Other	1,883	2,574
		Allowance for doubtful accounts	(87)	(81)
		Total current assets	33,368	33,171
	Non-current assets
		Property, plant and equipment
		Buildings and structures	9,329	9,540
		Accumulated depreciation	(4,555)	(4,732)
		Buildings and structures, net	4,773	4,807
		Machinery, equipment and vehicles	3,308	3,456
		Accumulated depreciation	(2,788)	(2,924)
		Machinery, equipment and vehicles, net	519	531
		Rental assets	14,579	14,870
		Accumulated depreciation	(8,162)	(8,395)
		Rental assets, net	6,417	6,474
		Land	3,468	3,479
		Leased assets	1,135	1,148
		Accumulated depreciation	(944)	(974)
		Leased assets, net	190	174
		Construction in progress	514	514
		Other	3,505	3,609
		Accumulated depreciation	(2,984)	(3,087)
		Other, net	521	522
		Total property, plant and equipment	16,405	16,504
		Intangible assets
		Software	362	374
		Goodwill	2,465	2,523
		Other	94	100
		Total intangible assets	2,922	2,998
		Investments and other assets
		Investment securities	68	64
		Retirement benefit asset	66	78
		Deferred tax assets	974	976
		Other	1,915	1,864
		Allowance for doubtful accounts	(125)	(75)
		Total investments and other assets	2,899	2,908
		Total non-current assets	22,227	22,411
	Total assets	55,595	55,583

ENDO Lighting Corporation (6932)

(Million yen)

			As of March 31,2022	As of June 30,2022
Liabilities
	Current liabilities
		Notes and accounts payable - trade	5,058	3,986
		Short-term borrowings	2,500	3,000
		Current portion of long-term borrowings	4,764	4,639
		Lease liabilities	149	127
		Income taxes payable	552	341
		Provision for bonuses	597	227
		Provision for bonuses for directors (and other	193	100
		officers)
		Provision for product warranties	634	713
		Other	2,170	2,824
		Total current liabilities	16,621	15,960
	Non-current liabilities
		Long-term borrowings	8,503	8,141
		Lease liabilities	97	87
		Deferred tax liabilities	734	808
		Provision for retirement benefits for directors (and	453	99
		other officers)
		Retirement benefit liability	227	248
		Other	714	728
		Total non-current liabilities	10,731	10,113
	Total liabilities	27,352	26,074
Net assets
	Shareholders' equity
		Share capital	5,155	5,155
		Capital surplus	5,516	5,516
		Retained earnings	15,886	16,015
		Treasury shares	(0)	(0)
		Total shareholders' equity	26,558	26,688
	Accumulated other comprehensive income
		Valuation difference on available-for-sale	10	8
		securities
		Deferred gains or losses on hedges	113	128
		Foreign currency translation adjustment	1,628	2,746
		Remeasurements of defined benefit plans	(67)	(62)
		Total accumulated other comprehensive income	1,684	2,820
	Non-controlling interests	0	0
	Total net assets	28,243	29,509
Total liabilities and net assets	55,595	55,583

ENDO Lighting Corporation (6932)

Quarterly Consolidated Statements of Income and Comprehensive Income
Quarterly Consolidated Statements of Income (For the three months)
			(Million yen)
	For the three months		For the three months
	ended June 30,2021		ended June 30,2022
Net sales		9,298	10,135
Cost of sales		5,490	6,362
Gross profit		3,807	3,773
Selling, general and administrative expenses		2,799	3,135
Operating profit		1,007	637
Non-operating income
Interest and dividend income		14	16
Rental income		34	34
Foreign exchange gains		150	283
Other		9	7
Total non-operating income		208	342
Non-operating expenses
Interest expenses		30	24
Rental costs		17	18
Other		3	3
Total non-operating expenses		51	45
Ordinary profit		1,164	935
Extraordinary income
Gain on sale of non-current assets		0	0
Total extraordinary income		0	0
Extraordinary losses
Retirement benefits for directors (and other officers)		-	338
Total extraordinary losses		-	338
Profit before income taxes		1,164	596
Income taxes - current		194	174
Income taxes - deferred		62	71
Total income taxes		256	245
Profit		908	351
Loss attributable to non-controlling interests		(0)	(0)
Profit attributable to owners of parent		908	351