Fuji Seal International : FY2022 Third Quarter Financial Results Supplementary Briefing Materials

FY2022 Third Quarter Financial Results

Supplementary Briefing Materials

Fuji Seal International, Inc.

February 9, 2023

Copyright 2023 Fuji Seal Group

Table of Contents

FY2022 Third Quarter (Cumulative) Results

1. FY 2022 Third Quarter (Cumulative) Results
2. Revisions to Full-year 2022 Earnings Forecasts
3. Priority Measures for Fiscal 2023
4. Dividend Policy

New Environmental, Social and Governance Initiatives

1. Improve evaluation of environmental surveys
2. Initiatives to Reduce CO2

Copyright 2023 Fuji Seal Group

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1. Key Points of FY2022 the Third Quarter (Cumulative) Results

• In terms of the progress rate of the announced figures (full-year), net sales were 76.1%, which was basically in line with the plan.
  Profit at each stage slowed from 2Q onward, and operating profits reached 55.8% of the full year target.

(Millions of yen)

FY2021 3rd quarter

FY2022 3rd quarter

Increase/Decrease

(Amount)

(%)

FY2022 Annouced

full year

Vs. Announcement

Progress rate

Net sales		127,517	136,141	+8,623	+6.8%	179,000	76.1%
Operating profits	9,512	6,196			△34.9%	11,100	55.8%
(Operating Profit	△3,315
Margin)		(7.5%)	(4.6%)			(△2.9pt)	(6.2%)	(△1.6pt)
Ordinary profits	9,682	6,063			△37.4%	11,000	55.1%
(Ordinary Profit	△3,619
Margin)		(7.6%)	(4.5%)			(△3.1pt)	(6.1%)	(△1.6pt)
Net profits		5,442	3,394	△2,047		△37.6%	6,300	53.9%
(Net Profit Margin)	(4.3%)	(2.5%)			(△1.8pt)	(3.5%)	(△1.0pt)
Foreign Currency	USD	108.58	128.30		+18.2%	125.00	+2.6%
Translation
EUR	129.87	136.05		+4.8%	135.00	+0.8%
Rate (average)

[N.B.] Regarding the third quarter results, the Japanese and FSPT business results from April to December, figures for the Americas, Europe, and ASEAN (excluding FSPT) are January-September results.

Copyright 2023 Fuji Seal Group

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1. (1) FY2022 3rd Quarter (Cumulative) Results: Net Sales by Region

• Consolidated net sales increased YoY.
  By region (excluding forex impact), sales increased YoY in Japan/Europe (excluding FSCH) and decreased in the Americas/ASEAN.

			FY2021	FY2022	Year-on-year
		(Millions of yen)	3rd quarter	3rd quarter	change
	Consolidated net	127,517	136,141	+8,623
	sales
		Japan	69,025	72,186	+3,161
		Americas	31,390	36,868	+5,477
		Europe	20,896	20,776	△120
		ASEAN	11,964	12,830	+866
		Eliminations	△5,759	△6,519	△760
		Europe	19,164	20,776	+1,612
		(excl. FSCH)

Excluding forex impact	FY2021			～
3rd quarter
			Japan
+43		+0.0%
	Americas
+3,161		+4.6%	Europe
△189	△0.6%	ASEAN
△1,064	△5.1%	Eliminations
		Forex impact
△1,106	△9.2%			～
			FY2022
△760	-	3rd quarter
+668		+3.5%

127,517

Increase(Decrease) Excluding forex impact

+43

136,141

3,161

△189

△1,064

△1,106

△760

8,580

[N.B.] FSCH (formerly PAGO Switzerland) is not included in 1st half sales due to the business transfer in July last year.

Copyright 2023 Fuji Seal Group

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1. (2) FY2022 3Q (Cumulative) Results: Net Sales by Segment by Region

	FY2021	FY2022	Year-on-year change
(Millions of yen)	3rd quarter	3rd quarter	Change	Rate of change	Excluding forex
impact
Japan	69,025	72,186	3,161	+4.6%	-
Shrink label	35,108	36,346	1,237	+3.5%	-
PS label	7,329	7,012	△317	△4.3%	-
Soft pouch	12,710	15,307	2,596	+20.4%	-
Machinery	3,988	3,881	△106	△2.7%	-
Others	9,887	9,638	△248	△2.5%	-
Americas	31,390	36,868	5,477	+17.5%	△0.6%
Shrink label	25,359	31,113	5,754	+22.7%	+3.8%
PS label	876	1,385	508	+58.0%	+33.7%
Soft pouch	401	249	△151	△37.8%	△47.4%
Machinery	3,762	3,286	△476	△12.7%	△26.1%
Others	990	833	△157	△15.9%	△28.8%
Europe	20,896	20,776	△120 △0.6%	△5.1%
Shrink label	10,079	11,424	1,345	+13.3%	+8.2%
PS label	4,977	4,103	△873	△17.5%	△21.3%
Soft pouch	114	139	24	+21.6%	+16.1%
Machinery	5,725	5,108	△617	△10.8%	△14.8%
ASEAN	11,964	12,830	866	+7.2%	△9.2%
Shrink label	5,417	6,278	860	+15.9%	△1.9%
PS label	134	165	31	+23.1%	+4.1%
Soft pouch	5,928	5,950	22	+0.4%	△15.1%
Machinery	315	230	△85	△27.0%	△38.2%
Others	168	205	37	+22.2%	+3.4%
Eliminations	△5,759	△6,519	△760	-
Consolidated net	127,517	136,141	8,623	+6.8%

	●Slight increase in shrink labels due to recovery
	in the beverage sector.
	●Sales of soft pouches increased significantly,
Japan	due to increased demand for beverages in
	addition to increasing use of larger refills and
	pouching of containers.
	●Machinery continues to recover.
	●Shrink label maintained sales growth, but sales
	increased less than 2Q.
	●PS label sales increased due to contributions
Americas	from new projects.
	●In machinery, despite maintaining orders, sales
	declined due to the extension of customer
	delivery deadlines.
	●Sales of shrink labels increased.
	●PS label sales increased excluding the impact of
Europe	the Swiss business transfer.
	●Soft pouch sales increased due to new market
	entry.
	●The rate of decline of Shrink label sales
	narrowed due to a recovery in orders from a
	large Indonesian customer.
ASEAN ●Sales of soft pouches continued to decline due
	to price revisions.
	●In machinery, orders for ASEAN machines are
	strong.

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