Enomoto : Summary of Consolidated Financial Results

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 Year Ended March 31, 2023
			(Based on Japanese GAAP)
																				May 9, 2023
Company name:	ENOMOTO Co.,Ltd.
Stock exchange listing:	Tokyo
Stock code:	6928	URL https://www.enomoto.co.jp/
Representative:	President							Nobuyuki Takeuchi
Inquiries:	Operating Officer of Administration Group Tsutomu Takei	TEL [phone]
Scheduled date of ordinary general meeting of shareholders:	June 28, 2023
Scheduled date to file Securities Report:			June 28, 2023
Scheduled date to commence dividend payments:			June 29, 2023
Preparation of supplementary material on financial results:			Yes
Holding of financial results meeting:							Yes	(for institutional investors and analysts)
												(Amounts less than one million yen are rounded down)
1. Consolidated financial results for the year ended March 31, 2023 (from April 1, 2022 to March 31, 2023)
(1) Consolidated operating results												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		%
Year ended March 31, 2023		29,265		7.4	1,561		(22.4)		1,805	(12.1)	1,269		(17.9)
Year ended March 31, 2022		27,250		18.5	2,012		28.7		2,054	31.5		1,545		3.8
			Earnings per share		Diluted earnings per	Profit attributable to	Ordinary profit/total	Operating profit/net
					share			owners of			assets			sales
										parent/equity
				Yen			Yen				%					%				%
Year ended March 31, 2023		190.02		189.46				6.5					5.6				5.3
Year ended March 31, 2022		230.49		229.81				8.7					7.4				7.4
(2) Consolidated financial position
			Total assets			Net assets		Equity ratio	Net assets per share
			Millions of yen	Millions of yen				%						Yen
As of March 31, 2023			34,039					20,594				60.5				3,081.37
As of March 31, 2022			30,174					18,628				61.7				2,790.50
(3) Consolidated cash flows
			Cash flows from	Cash flows from	Cash flows from	Cash and cash equivalents
			operating activities	investing activities	financing activities		at end of period
			Millions of yen	Millions of yen	Millions of yen		Millions of yen
Year ended March 31, 2023					1,810					(2,998)				535						4,041
Year ended March 31, 2022					3,331					(2,965)				386						4,365
2. Cash dividends
							Annual dividends per share				Total cash		Dividend payout	Ratio of dividends
																to net assets
			1st quarter-end	2nd quarter-end	3rd quarter-end	Fiscal year-end	Total		dividends (Total)	ratio (Consolidated)	(Consolidated)
			Yen			Yen	Yen				Yen	Yen	Millions of yen		%			%
Year ended March 31, 2022		-		20.00	-				30.00	50.00		340		21.7			1.9
Year ended March 31, 2023		-		30.00	-				30.00	60.00		408		31.6			2.0
Year ending March 31, 2024		-			35.00	-				35.00	70.00				37.4
(Forecast)

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3. Forecast of consolidated financial results for the year ending March 31, 2024 (from April 1, 2023 to March 31, 2024)

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	29,000	(0.9)	1,700		8.9	1,700		(5.9)	1,250	(1.5)	187.16

4. Notes

(1) Changes in significant subsidiaries during the year ended March 31, 2023

(changes in specified subsidiaries resulting in the change in scope of consolidation):	No
(2) 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

(3) Number of issued shares (common shares)

Total number of issued shares at the end of the period (including treasury shares)

	As of March 31, 2023	6,865,360	shares	As of March 31, 2022	6,865,360	shares
Number of treasury shares at the end of the period
	As of March 31, 2023	186,610	shares	As of March 31, 2022	194,975	shares
Average number of shares during the period
	Year ended March 31, 2023	6,678,205	shares	Year ended March 31, 2022	6,705,022	shares

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CONSOLIDATED FINANCIAL STATEMENTS

CONSOLIDATED BALANCE SHEETS

			(Thousands of yen)
		As of March 31, 2022	As of March 31, 2023
Assets
Current assets
Cash and deposits	4,365,375	4,041,219
Electronically recorded monetary claims - operating	1,439,680	1,392,774
Accounts receivable - trade	6,350,522	7,224,441
Merchandise and finished goods	899,087	1,739,539
Work in process	1,686,447	1,590,892
Raw materials and supplies	1,781,201	2,390,297
Accounts receivable - other	363,263	515,409
Other	124,610	159,976
Allowance for doubtful accounts	(4,126)	(3,512)
Total current assets	17,006,061	19,051,037
Non-current assets
Property, plant and equipment
Buildings and structures	10,502,688	10,695,758
Accumulated depreciation	(6,032,168)	(6,036,942)
Buildings and structures, net	4,470,519	4,658,816
Machinery, equipment and vehicles	13,904,131	15,823,829
Accumulated depreciation	(10,052,150)	(11,092,816)
Machinery, equipment and vehicles, net	3,851,980	4,731,013
Tools, furniture and fixtures	3,947,099	4,100,324
Accumulated depreciation	(3,541,365)	(3,557,090)
Tools, furniture and fixtures, net	405,733	543,234
Land	2,641,781	2,850,782
Construction in progress	491,376	717,307
Total property, plant and equipment	11,861,392	13,501,153
Intangible assets	374,636	588,946
Investments and other assets
Investment securities	521,418	519,973
Retirement benefit asset	166,273	160,658
Deferred tax assets	57,440	17,363
Other	214,868	228,244
Allowance for doubtful accounts	(28,050)	(28,050)
Total investments and other assets	931,951	898,190
Total non-current assets	13,167,980	14,988,290
Total assets	30,174,042	34,039,328

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			(Thousands of yen)
		As of March 31, 2022	As of March 31, 2023
Liabilities
Current liabilities
Notes and accounts payable - trade	6,309,786	6,933,832
Short-term borrowings	667,996	1,197,996
Income taxes payable	134,545	16,680
Provision for bonuses for directors (and other officers)	50,000	-
Provision for bonuses	387,500	340,000
Asset retirement obligations	75,000	-
Other	1,489,842	1,687,634
Total current liabilities	9,114,669	10,176,143
Non-current liabilities
Long-term borrowings	1,482,014	1,934,018
Deferred tax liabilities	88,376	240,336
Retirement benefit liability	268,363	254,450
Provision for retirement benefits for directors (and other	67,792	67,792
officers)
Provision for share awards for directors (and other	128,728	144,590
officers)
Deferred tax liabilities for land revaluation	269,710	269,710
Other	125,601	357,461
Total non-current liabilities	2,430,585	3,268,359
Total liabilities	11,545,254	13,444,503
Net assets
Shareholders' equity
Share capital	4,749,333	4,749,333
Capital surplus	5,082,571	5,082,571
Retained earnings	8,641,636	9,502,195
Treasury shares	(255,181)	(244,093)
Total shareholders' equity	18,218,358	19,090,006
Accumulated other comprehensive income
Valuation difference on available-for-sale securities	32,159	30,183
Revaluation reserve for land	(397,291)	(397,291)
Foreign currency translation adjustment	749,510	1,783,533
Remeasurements of defined benefit plans	10,941	73,283
Total accumulated other comprehensive income	395,319	1,489,709
Share acquisition rights	15,109	15,109
Total net assets	18,628,787	20,594,825
Total liabilities and net assets	30,174,042	34,039,328

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Consolidated statements of income and consolidated statements of comprehensive income Consolidated statements of income

			(Thousands of yen)
		Fiscal year ended	Fiscal year ended
		March 31, 2022	March 31, 2023
Net sales	27,250,846	29,265,406
Cost of sales	22,788,570	25,165,332
Gross profit	4,462,275	4,100,074
Selling, general and administrative expenses	2,449,668	2,538,893
Operating profit	2,012,607	1,561,181
Non-operating income
Interest income	12,587	13,522
Dividend income	1,677	2,964
Rental income	38,892	30,480
Subsidy income	8,929	157,156
Insurance claim income	27,234	-
Foreign exchange gains	34,981	37,270
Other	28,204	48,986
Total non-operating income	152,508	290,380
Non-operating expenses
Interest expenses	12,760	25,436
Loss on sale of receivables	760	15
Taxes and dues	6,373	5,957
Depreciation	86,158	7,785
Other	4,723	6,706
Total non-operating expenses	110,776	45,901
Ordinary profit	2,054,339	1,805,660
Extraordinary income
Gain on sale of non-current assets	51,808	10,030
Total extraordinary income	51,808	10,030
Extraordinary losses
Loss on sale of non-current assets	8,651	7,241
Loss on retirement of non-current assets	13,835	59,894
Impairment losses	500	500
Loss on valuation of investment securities	-	1,086
Tax examination settlement for foreign subsidiaries	-	82,379
Total extraordinary losses	22,987	151,102
Profit before income taxes	2,083,160	1,664,588
Income taxes - current	377,745	191,975
Income taxes - deferred	159,971	203,611
Total income taxes	537,717	395,587
Profit	1,545,442	1,269,001
Profit attributable to owners of parent	1,545,442	1,269,001

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