Consolidated Financial Report [IFRS]
For the Year Ended March 31, 2021
April 26, 2021
Listed Company: Hitachi Metals, Ltd. (URL https://www.hitachi-metals.co.jp/e/index.html) Listed Stock Exchanges: Tokyo Stock Exchange, Inc. (First Section, Code Number 5486)
Representative: Mitsuaki Nishiyama, Chairperson, President, and CEO
Contact: Izumi Tsubouchi, General Manager, Corporate Communications Dept. Tel: +81-3-6774-3077 Date of the Ordinary General Meeting of Shareholders: June 18, 2021
Note: Figures are rounded off to the nearest million yen. | ||||||||||||||||
1. Performance over the year under review (April 1, 2020 - March 31, 2021) | ||||||||||||||||
(1) Operating Results | (% indicates the rate of +/- compared with the previous fiscal year) | |||||||||||||||
Net Income (loss) | ||||||||||||||||
Revenues | Adjusted Operating | Operating | Income (loss) | Net Income (loss) | attributable to | |||||||||||
Income (loss) | Income (loss) | before Income Taxes | Shareholders of the | |||||||||||||
Parent Company | ||||||||||||||||
Million yen | % | Million yen | % | Million yen | % | Million yen | % | Million yen | % | Million yen | % | |||||
March, 2021 | 761,615 | (13.6) | (4,977) | - | (49,213) | - | (50,588) | - | (42,556) | - | (42,285) | - | ||||
March, 2020 | 881,402 | (13.9) | 14,383 | (72.0) | (39,126) | - | (40,614) | - | (39,538) | - | (37,648) | - | ||||
(Note) In order to give a true view of the condition of the whole Group's business without the effects of business restructuring etc., the Hitachi Metals Group (the "Group") shows "adjusted operating income" which is the operating income (loss) recorded in the consolidated statement of income, excluding non- operating income and expenses, and extraordinary income and losses. Adjusted operating income is a unified profitindicator for the Hitachi Group, including Hitachi, Ltd.
Comprehensive | Earnings | Earnings | Net Income (loss) Ratio to Equity | Income (loss) | Operating Income | ||||
per Share | per Share | attributable to Shareholders | before Income Taxes | (loss) Ratio | |||||
Income (loss) | |||||||||
(Basic) | (Diluted) | of the Parent Company | Ratio to Assets | to Revenues | |||||
Yen | Yen | ||||||||
Million yen | % | % | % | % | |||||
March, 2021 | (25,160) | - | (98.90) | - | (8.4) | (5.2) | (6.5) | ||
March, 2020 | (56,804) | - | (88.05) | - | (6.8) | (3.9) | (4.4) |
Reference: Share of profit of investments accounted for using the equity method March, 2021 ¥77millions March, 2020 ¥1,667millions
(2) Financial Standing
Equity attributable to | Equity attributable to | Equity per Share attributable to | |||
Total Asset | Total Equity | Shareholders of the | Shareholders of the | Shareholders of the | |
Parent Company | Parent Company Ratio | Parent Company | |||
Million yen | Million yen | Million yen | % | Yen | |
March, 2021 | 972,249 | 492,118 | 489,671 | 50.4 | 1,145.26 |
March, 2020 | 977,766 | 522,853 | 520,313 | 53.2 | 1,216.92 |
(3) Statement of Cash Flows
Cash Flows from Operating | Cash Flows from Investment | Cash Flows from Financing | Cash and Cash Equivalents | |
Activities | Activities | Activities | at the End of Period | |
Million yen | Million yen | Million yen | Million yen | |
March, 2021 | 52,586 | 2,191 | (1,096) | 99,339 |
March, 2020 | 105,958 | (56,418) | (45,735) | 42,353 |
2. Dividends
Dividends per Share | Dividends on | |||||
Total Dividends | Dividend Payout | Equity attributable to | ||||
Ratio | Shareholders of the | |||||
(Annual) | ||||||
1Q | 2Q | 3Q | Term-end | Annual | (Consolidated) | Parent Company |
(Consolidated)
Yen | Yen | Yen | Yen | |
March, 2020 | - | 13.00 | - | 13.00 |
March, 2021 | - | 0.00 | - | 0.00 |
March, 2022 | - | - | - | - |
(Forecast) | ||||
*The dividends on March, 2022 (forecast) have been undetermined as of this point.
Yen | Million yen | % | % |
26.00 | 11,116 | - | 2.0 |
0.00 | - | - | - |
- | - | ||
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3. Business results forecast for the year ending March 31, 2022 (April 1, 2021 - March 31, 2022)
(% indicates the rate of +/- compared with the same term of the previous fiscal year) | |||||||||
Income before | Net Income | Earnings per Share | |||||||
Revenues | Adjusted Operating Income | attributable to Shareholders | |||||||
Income Taxes | (Basic) | ||||||||
of the Parent Company | |||||||||
Million yen | % | Million yen | % | Million yen | % | Million yen | % | Yen | |
Full-year | 850,000 | 11.6 | 34,000 | - | 17,000 | - | 12,000 | - | 28.07 |
(Note) In order to give a true view of the condition of the whole Group's business without the effects of business restructuring etc., the Group shows "adjusted operating income" which is the operating income recorded in the consolidated statement of income, excluding non-operating income and expenses, and extraordinary income and losses. Adjusted operating income is a unified profitindicator for the Hitachi Group, including Hitachi, Ltd.
※ Other Notes
Numbers of shares issued (Common stock) | ||||
(i) Number of shares outstanding at end of period | ||||
(Including treasury stock) | March, 2021 | 428,904,352 | March, 2020 | 428,904,352 |
(ii) Number of treasury stock outstanding at end of period | March, 2021 | 1,340,710 | March, 2020 | 1,337,583 |
(iii) Average number of shares issued during the term | March, 2021 | 427,565,354 | March, 2020 | 427,568,334 |
*This financial report is outside the scope of audit procedures.
*The forecast figures, with the exception of actual results, are based on certain assumptions and predictions of the management at the time of preparation. Changes in business conditions or underlying assumptions may cause actual results to differ from those projected. Please refer to "1. (1) Overview of Operating Results" on page 4 for precondition and assumption as the basis of the above forecasts.
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【Appendix】
Table of Contents | |
1. Overview of Operating Results ………………………………………………………………………………………………… | 4 |
(1) Overview of Operating Results……………………………………………………………………………………………… | 4 |
(2) Overview of Financial Condition………………………………...………………..………………..………………………… | 7 |
(3) Business Risks………………………………………………………………………………………………………………… | 9 |
2. Basic Views of Selecting Accounting Standards………………………………………………………………………………… | 10 |
3. Consolidated Financial Statements and Notes to Consolidated Financial Statements…………………………………………… | 11 |
(1) Consolidated Statement of Financial Position……………………………………………………………………………… | 11 |
(2) Consolidated Statements of Income and Comprehensive Income…………………………………………………………… | 13 |
[ Consolidated Statement of Income ]………………………………………………………………………………………… | 13 |
[ Consolidated Statement of Comprehensive Income ]……………………………………………………………………… | 14 |
(3) Consolidated Statement of Changes in Equity……………………………………………………………………………… | 15 |
(4) Consolidated Statement of Cash Flows……………………………………………………………………………………… | 16 |
(5) Notes to the Consolidated Financial Statements……………………………………………………………………………… | 18 |
[ Segment Information ]……………………………………………………………………………………………………… | 18 |
[ Net Income per Share ]……………………………………………………………………………………………………… | 23 |
[ Subsequent Events ]………………………………………………………………………………………………………… | 23 |
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1. Overview of Operating Results
- Overview of Operating Results
-
Overview of Fiscal 2020 (fiscal year ended March 31, 2021)
The Group's operating results for the full year ended March 31, 2021 were as follows.
During the fiscal year ended March 31, 2021, economic and social activities in various regions of the world remained restricted due to the global outbreak of the novel coronavirus disease (COVID-19). With the world economy expected to contract by 3.3% in 2020 (released by the International Monetary Fund [IMF] in April 2021), the global economy was faced with extremely challenging conditions with China being the only major economy that achieved positive growth. In the business fields of the Group, signs of a recovery in demand had continued since the second quarter after bottoming out in the first quarter ended June 30, 2020. However, revenues for the fiscal year ended March 31, 2021 decreased by 13.6% to ¥761,615 million, due to the significant drop in the first quarter.
Adjusted operating income* showed an improvement following the recovery of revenues since the second quarter ended September 30, 2020, in addition to measures such as the reduction of fixed costs. However, it ended at a loss of ¥4,977 million for the fiscal year ended March 31, 2021, a decrease of ¥19,360 million from the previous fiscal year, reflecting a decrease in revenues, among other factors.
Under other income, ¥1,971 million was recorded in Specialty Steel Products segment as a gain on business reorganization and others in line with the transfer of all of the shares of Mitsubishi Hitachi Tool, Ltd. (currently, MOLDINO Tool Engineering, Ltd.) held by the Company to Mitsubishi Materials Corporation in the first quarter ended June 30, 2020. In addition, ¥1,474 million was recorded in Functional Components and Equipment segment as a gain on business reorganization and others in line with the sale of certain plant owned by Waupaca Foundry, Inc. in the U.S. in the fourth quarter ended March 31, 2021. Under other expenses, in the Specialty Steel Products segment, impairment losses amounting to ¥6,812 million and ¥5,290 million were recorded in the second and fourth quarters respectively, as a result of reviewing the future profitability of the aircraft & energy materials business. In the Functional Components and Equipment segment, impairment losses of ¥5,457 million relating to certain plant owned by Waupaca Foundry, Inc. in the U.S., were recorded in the fourth quarter ended March 31, 2021. Also, in the Magnetic Materials and Applications / Power Electronics segment, impairment losses amounting to ¥15,657 million were recorded as a result of reviewing the expected future profitability of the magnetic materials and applications business in the second quarter ended September 30, 2020. Additionally, in the Wires, Cables, and Related Products segment, impairment losses amounting to ¥2,000 million were recorded as a result of reviewing the expected future profitability of the automotive components business in the second quarter ended September 30, 2020. Therefore, operating loss was ¥49,213 million, an increase of ¥10,087 million from the same period last year. Loss before income taxes increased by ¥9,974 million year on year, resulting in a loss before income taxes of ¥50,588 million, and net loss attributable to shareholders of the parent company increased by ¥4,637 million, resulting in a net loss attributable to shareholders of the parent company of ¥42,285 million.
The Group introduced business management based on Return on Invested Capital (ROIC) with the aim of improving cash flow and capital efficiency, as of the important challenges in the Medium-term Management Plan. In particular, in the current consolidated fiscal year, under circumstances in which the future of the business environment is uncertain due to the COVID- 19 outbreak, we believe that it is even more important to secure sufficient liquidity to ensure financial soundness and to steadily promote initiatives that can be effective through our own efforts, regardless of external factors such as demand. For this purpose, the Group has worked to curb capital expenditure through carefully selected investment in core business areas while enhancing operating capital efficiency. Thus, the free cash flows in the fiscal year ended March 31, 2021, were improved by ¥5,237 million year on year.
The results by business segment are as follows. Note that revenues for each segment include intersegment revenues. There were no significant changes to the businesses of the Group during the fiscal year ended March 31, 2021.
Specialty Steel Products
Revenues across the entire Specialty Steel Products segment for the fiscal year ended March 31, 2021, were ¥217,420 million, a decrease of 13.3% as compared with those of the fiscal year ended March 31, 2020.
Breaking down the revenues by business, sales of molds and tool steel were down year on year for the full fiscal year ended March 31, 2021, although the inventory adjustments including distribution stock corrections were completed by the end of December 2020, and there had been signs of a recovery in demand from both domestic and international markets since the fourth quarter. Sales of industrial materials decreased year on year for the fiscal year ended March 31, 2021, although there had been a clear recovery in demand for automotive-related products since the second quarter ended September 30, 2020 and demand recovered to its year-ago level during the fourth quarter ended March 31, 2021. Sales of aircraft & energy materials
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decreased year on year due to a decline in demand for the unit's mainstay aircraft-related materials, mainly in the private sector. Overall sales of electronic materials increased year on year, due to a recovery in demand for semiconductor package components in the fourth quarter ended March 31, fiscal year 2021, in addition to increased sales of organic EL panel-related components and clad metals for smartphones and batteries.
Sales of rolls decreased year on year reflecting a decline in demand for rolls, injection molding machine parts and steel-frame joints for construction.
Adjusted operating income decreased by ¥4,663 million year on year to ¥811 million, due to a decline in demand for our mainstay molds and tool steel and industrial materials. In addition, ¥1,971 million was recorded in the first quarter ended June 30, 2020 as a gain on business reorganization and others under other income in line with the transfer of all of the shares of Mitsubishi Hitachi Tool, Ltd. (currently, MOLDINO Tool Engineering, Ltd.) held by the Company to Mitsubishi Materials Corporation on April 1, 2020. Also, impairment losses amounting to ¥6,812 million and ¥5,290 million were recorded during the second quarter and the fourth quarter in fiscal year 2020 under other expenses, as a result of reviewing the future profitability of the aircraft & energy materials business. Consequently, operating income of the segment decreased by ¥19,561 million year on year, resulting in an operating loss of ¥11,976 million.
Functional Components and Equipment
Revenues across the entire Functional Components and Equipment segment for the fiscal year ended March 31, 2021, were ¥247,939 million, a decrease of 17.3% compared with those of the fiscal year ended March 31, 2020.
Breaking down the revenues by business, among casting components for automobiles, sales of cast iron products plummeted, bottoming out in the first quarter of the current fiscal year, as the operations of major customers were suspended in various parts of the world during the quarter as a result of the COVID-19 outbreak. As automobile sales subsequently recovered in various regions and the operations of major customers resumed, the Group's business remained on a recovery trend. However, during the fourth quarter, the sales were affected mainly in the North America by production adjustments implemented by automobile manufacturers, as a result of a supply shortage of semiconductors for automobiles. Sales for the full fiscal year ended March 31, 2021 decreased year on year. Driven by demand recovery, sales of heat-resistant exhaust casting components had remained higher than the same period of last year since the third quarter ended December 31, 2020. However, sales for the full fiscal year were down year on year due to the significant decline in the first quarter. It was decided to withdraw from the aluminum wheels business, and their production was terminated at the end of September 2020. As a result, overall sales of casting components for automobiles decreased year on year.
Among piping components, sales of semiconductor manufacturing equipment increased year on year due to the recovery of capital investment demand. Sales of pipe fittings, the segment's mainstay products, decreased year on year reflecting declines in the number of housing starts and large-scale construction projects in Japanese markets. As a result, overall sales of piping components decreased year on year.
Adjusted operating loss increased by ¥11,902 million year on year to ¥12,812 million, due to a decrease in demand of the automotive casting components, which is the segment's core business. Under other income, ¥1,474 million was recorded as a gain on business reorganization and others in line with the sale of certain plant owned by Waupaca Foundry, Inc. in the U.S. in the fourth quarter ended March 31, 2021. Also, impairment losses of ¥5,457 million recorded under other expenses in the fourth quarter, relating to certain plant owned by Waupaca Foundry, Inc. in the U.S. Thus, operating loss was ¥19,128 million, an increase of ¥9,906 million from the previous fiscal year.
Magnetic Materials and Applications / Power Electronics
Revenues in the Magnetic Materials and Applications/ Power Electronics segment segment for the fiscal year ended March 31, 2021 were ¥106,142 million, a decrease of 9.1% year on year.
Breaking down the revenues by business, demand for both rare earth magnets and ferrite magnets among magnetic materials plummeted, hitting a low in the first quarter. However, demand continued to recover for automotive electronic components after the beginning of the second quarter ended September 30, 2020. Sales for the fourth quarter were up year on year as demand related to FA/robots and electronics had picked up since the third quarter. Sales for the full fiscal year ended March 31, 2021 decreased year on year.
Among power electronics materials, sales of soft magnetic materials and their applied products decreased year on year due to a decline in demand for amorphous metals for transformers, despite an increase in demand related to telecommunications such as server equipment. Meanwhile, sales of ceramic components remained year on year due to a decrease in demand for use in telecommunications equipment, despite an increase in demand for use in medical devices. As a result, sales of power electronics materials as a whole decreased from the same period last year.
Adjusted operating income increased by ¥1,076 million to ¥2,481 million year on year. Operating loss was ¥14,084 million improve by ¥28,666 million, compared with the year ended March 31, 2020 due to despite impairment losses amounting to
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¥15,657 million were recorded under other expenses in the second quarter ended September 30, 2020 as a result of reviewing the expected future profitability of the magnetic materials and applications business, mainly the impact of the impairment losses amounting to ¥42,581 million were recorded under other expenses during the second quarter ended September 30, 2019.
Wires, Cables, and Related Products
Revenues in the Wires, Cables, and Related Products segment for the fiscal year ended March 31, 2021, were ¥189,244 million, a decrease of 11.3%.
Breaking down the revenues by business, sales of electronic wires increased year on year, reflecting an increase in demand for FA/robot applications and brisk demand related to base stations for the fifth-generation technology standard for cellular networks (5G). Meanwhile, sales of wires and cables for rolling stock increased year on year as a result of a rise in demand in the Chinese market, despite a decline in demand in the domestic market. Sales of wires and cables for medical devices decreased year on year, as demand for cables remained virtually flat year on year but demand for tubes decreased. Sales of magnet wires for the full fiscal year were down year on year, despite a recovery in demand mainly for automotive applications since the third quarter. As a result, overall sales of electric wires and cables decreased year on year.
Following the recovery of the automobile market, demand for automotive components recovered, mainly for use in automotive electronic components. For this reason, sales of automotive components had remained higher than the same period last year since the third quarter. However, sales for the year ended March 31, 2021 were down year on year due to the significant drop in the first quarter.
Adjusted operating income was ¥4,560 million, a decrease of ¥2,109 million, as compared with the year ended March 31, 2020, led in part by a decline in demand for the wires, cables, and automotive components. Operating income of the segment was ¥1,832 million, a decrease of ¥3,425 million year on year due to impairment losses amounting to ¥2,000 million were recorded under other expenses, as a result of reviewing the expected future profitability of the automotive components business during the second quarter ended September 30, 2020.
Other
Revenues in the other segment for the fiscal year ended March 31, 2021, were ¥2,555 million, a decrease of 24.2%, and adjusted operating income increased by ¥125 million to ¥879 million, as compared with the fiscal year ended March 31, 2020. Operating income of the segment increased by ¥758 million to ¥1,268 million year on year for the same period.
- In order to give a true view of the condition of the whole Group's business without the effects of business restructuring etc., the Group shows "adjusted operating income" which is the operating income (loss) recorded in the consolidated statement of income, excluding non-operating income and expenses, and extraordinary income and losses. Adjusted operating income is a unified profitindicator for the Hitachi Group, including Hitachi, Ltd.
- Outlook for Fiscal 2021 (the fiscal year ending March 31, 2022)
-
Situation of Operating Results
The world economy is turning positive, expected to grow by 6.0% in 2021 (forecast released by IMF in April 2021). The automobiles, electronics, and industrial Infrastructure businesses, which are the Group's core business areas, are also expected to see a recovery in demand. Meanwhile, there are concerns over the additional impact of the semiconductor shortage on automotive production and the logistics disruptions such as a potential shortage of containers caused by a rapid recovery in the international movement of goods, though some of those are included in the forecast of fiscal year 2021. While the impact of COVID-19 might be mitigated as vaccination rollout expands, it is presently difficult to look into the future. Therefore, the fiscal year 2022 outlook does not reflect risks and impact such as a potential suspension of the operation of the Group and its customers due to a rebound of COVID-19.
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b) Management Measures
The Group developed and released in October 2020, a Management Plan, with the aim of transforming its cost structure for an early improvement in performance and to reform its revenue base to secure capital for investment in future growth. Under the Management Plan, the Group aims to create a revenue structure which is resilient to fluctuations in demand, by transforming its cost structure through measures such as: business restructuring including withdrawal from unprofitable product lines and the merger and abolition of bases, a radical reduction of costs and expenses, and the optimization of personnel costs. Based on benchmark analysis in the global competitive environment faced by each business, the Group will accelerate the regeneration of business in each segment to optimize the portfolio of growth and core businesses.
Taking the above into consideration, the consolidated operating forecasts for the fiscal year ending March 31, 2022 are as follows:
Consolidated operating forecasts for the fiscal year ending March 31, 2022 (April 1, 2021- March 31, 2022)
(% indicates the rate of +/- compared with the same term of the previous fiscal year) | |||||||||||||
Adjusted | Income | Net Income attribute to | Basic Earnings | ||||||||||
Revenues | Shareholders of | ||||||||||||
Operating income | before Income Taxes | per Share | |||||||||||
the Parent Company | |||||||||||||
Million yen | % | Million yen | % | Million yen | % | Million yen | % | Yen | |||||
Fiscal year ending March 31, 2022 | 850,000 | 11.6 | 34,000 | - | 17,000 | - | 12,000 | - | 28.07 |
- In order to give a true view of the condition of the whole Group's business without the effects of business restructuring etc., the Group shows "adjusted operating income" which is the operating income recorded in the consolidated statement of income, excluding non-operating income and expenses, and extraordinary income and losses. Adjusted operating income is a unified profitindicator for the Hitachi Group, including Hitachi, Ltd.
- Overview of Financial Condition
-
Assets, liabilities, and equity
The analysis of changes in the Group's condensed interim consolidated statement of financial position as of the end of the fiscal year ended March 31, 2021, is as follows:
Total assets were ¥972,249 million, a decrease of ¥5,517 million compared with the end of the fiscal year ended March 31, 2020. Current assets were ¥462,558 million, an increase of ¥56,439 million compared with the end of the fiscal year ended March 31, 2020. This was mainly due to an increase of ¥56,986 million in cash and cash equivalents. Non-current assets were ¥509,691 million, a decrease of ¥61,956 million compared with the end of the fiscal year ended March 31, 2020. Property, plant and equipment decreased by ¥47,647 million, which resulted primarily from impairment losses of ¥30,469 million. In addition, goodwill and intangible assets decreased by ¥6,743 million, which resulted mainly from impairment losses of ¥5,388 million. Additionally, investments accounted for using the equity method decreased by ¥17,582 million. This was mainly attributable to the effect of the exclusion from the scope of application of the equity method as a result of the transfer of the 49% of the total number of outstanding shares of Mitsubishi Hitachi Tool, Ltd. (currently, MOLDINO Tool Engineering, Ltd.) held by the Company on April 1, 2020.
Total liabilities were ¥480,131 million, an increase of ¥25,218 million compared with the end of the fiscal year ended March 31, 2020. This was mainly due to increases in trade payables of ¥23,999 million and Short-term debt of ¥19,463 million despite decreases of ¥11,731 million in the current portion of long-term debt and long-term debt. Total equity was ¥492,118 million, a decrease of ¥30,735 million compared with the end of the fiscal year ended March 31, 2020. This was mainly due to a decrease of ¥47,932 million in retained earnings despite an increase of ¥17,295 million in accumulated other comprehensive income. - Cash flows
Cash and cash equivalents as of the end of the fiscal year ended March 31, 2021, were ¥99,339 million, an increase of ¥56,986 million from March 31, 2020, as a result of cash provided by operating and investing activities exceeding net cash used in financing activities. The analysis of cash flows for each category as of March 31, 2021, is as follows:
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Net cash provided by operating activities was ¥52,586 million. This was mainly attributable to the net effect of net loss of ¥42,556 million, more than offset by depreciation and amortization of ¥50,407 million, impairment losses of ¥35,857 million, and income of ¥26,960 million from decreasing working capital.
Net cash provided in investing activities was ¥2,191 million. This was primarily attributable to proceeds of ¥26,329 million from sale of investments in securities and other financial assets (including investments in subsidiaries and investments accounted for using the equity method) as a result of transferring the 49% of the total number of outstanding shares of Mitsubishi Hitachi Tool, Ltd. (currently, MOLDINO Tool Engineering, Ltd.) held by the Company on April 1, 2020, despite payment of ¥29,129 million for the purchase of property, plant and equipment.
Net cash used in financing activities was ¥1,096 million. This was mainly due to the net effect of repayment of long-term debts of ¥50,839 million and dividends paid to shareholders of ¥5,570 million, despite proceeds of ¥36,749 million from long -term debts and a net increase of ¥18,569 million in short-term debt.
In principle, the Company covers funding for growth investments with operating cash flows generated during the normal course of business and liquid funds. For other financing on a larger scale, Hitachi Metals implements reliable and flexible methods to minimize opportunity losses for its growth, including accessing financial and capital markets.
Hitachi Metals adopted a Group cash pooling system to help manage its own working capital and that of its subsidiaries. In principle, consolidated subsidiaries in Japan procure funds through this system, rather than taking on external debt. By consolidating surplus funds and debts across the Group, Hitachi Metals has better positioned itself to become more financially efficient. Group companies in the U.S. and China also use this cash pooling system, through which funds are centrally managed to enhance financial efficiency.
March, 2017 | March, 2018 | March, 2019 | March, 2020 | March, 2021 | |
Ratio of equity attributable to | |||||
shareholders of the parent | 51.6 | 53.1 | 53.5 | 53.2 | 50.4 |
company (%) | |||||
Ratio of equity attributable to | |||||
shareholders of the parent | 64.2 | 50.8 | 50.0 | 49.8 | 80.1 |
company at market value (%) | |||||
Ratio of interest-bearing debts | 217.5 | 411.0 | 303.5 | 177.0 | 371.4 |
to cash flows (%) | |||||
Interest coverage ratio (times) | 31.2 | 15.2 | 24.6 | 39.6 | 31.1 |
*Ratio of equity attributable to shareholders of the parent company:
Equity attributable to shareholders of the parent company/Total assets
Ratio of equity attributable to shareholders of the parent company at market value: Total market value of stocks/Total assets
Ratio of interest-bearing debts to cash flows: Interest-bearing debts/Cash flows from operations
Interest coverage ratio: Cash flows from operations/Interest paid
- Each indicator is calculated using financial information per consolidated financial statements.
- Total market value of stocks is calculated by multiplying the closing stock price at the fiscal year end by total number of stocks issued (excluding treasury stocks) as of the fiscal year end.
- Cash flows from operating activities in the consolidated statements of cash flows are used as cash flows from operations in the above calculation. Interest-bearing debts include all interest-bearing debts recorded in the consolidated statement of financial position. Interest paid represents the amount of interest expenses paid per the consolidated statements of cash flows.
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(3) Business Risks
The following are some of the business risks that may affect the performance and financial condition of the Group. The Group strives to avoid or minimize the impact of such risks by establishing and maintaining effective risk management systems. However, these risks may not be fully avoided or minimized, and may affect operating results, financial condition, and other aspects of the Group.
- Risks associated with product demand and market conditions
- Risks associated with competitiveness and development and commercialization of new technologies and products
- Risks associated with raw materials procurement
- Risks associated with changes in foreign exchange rates
- Risks associated with the global expansion of businesses
- Risks associated with impairment losses on property, plant and equipment
- Risks associated with product quality
- Risks associated with M&A
- Risks associated with financing activities
- Risks associated with relationship with the parent company
- Risks associated with information security
- Risks associated with environmental regulations
- Risks associated with business reorganization
- Risks associated with intellectual property rights
- Risks associated with securing talent
- Risks associated with laws and regulations, and official regulations
- Risks associated with earthquakes and other natural disasters
- Risks associated with retirement benefit obligations
Relating to "g) Risks associated with product quality," the Company made an official announcement on April 27, 2020, stating that it had discovered misconduct involving misrepresentation of the test results in the inspection reports submitted to customers for some products manufactured by the Company and its subsidiaries. A special investigation committee comprising outside experts, established as also stated in the announcement, has examined the facts and causes of the matter. The committee's investigation confirmed misconduct regarding several products of the Company and its subsidiaries such as magnets, specialty steel, and automotive casting products. The confirmed cases include misrepresentation of the test results on product characteristics defined in the specifications agreed with customers as well as delivery of products to customers without meeting the specifications. Based on the results of the committee's investigation, the Company will make every effort to prevent the recurrence of such matter and to rebuild the trust of customers, shareholders, and other stakeholders by firmly implementing preventive measures, conducting a thorough review of its quality assurance system, and further enhancing its compliance framework.
As for "g) Risks associated with product quality," the following are the degree of the possibility and the timing of the occurrence of these risks currently known, their potential impact on the operating results, and measures to prevent the risks:
- Risks associated with product quality
- Effects of the Misconduct at Issue
The investigation confirmed misconduct regarding several products of the Company and its subsidiaries such as magnets, specialty steel, and automotive casting products. The confirmed cases include misrepresentation of the test results on product characteristics defined in the specifications agreed with customers as well as delivery of products to customers without meeting the specifications. With regard to the products for which misconduct has been confirmed, the Company has been engaging in analysis of correlations between the methods of inspections actually conducted by the Company and those agreed with customers, confirmation of performance in the presence of customers, or reinspection of sample products stored at the Company. So far, no performance or safety problem has been found. Detailed investigations are still in progress at some bases.
The potential effects include: a reduction in sales resulting from a loss of trust in the Group's products; additional measures to be taken in response to newly discovered misconduct; losses to be incurred including the costs of compensation for customers; and an increase in the costs required to improve the quality control system.
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2) Faulty or Defective Products
The Group's products include those requiring high credibility such as key safety components. The Group established a strict quality control system for product manufacturing, in order to prevent faulty or defective products or those that do not meet the specifications agreed with customers from flowing into the market. However, if faulty or defective products or those that do not meet the specifications agreed with customers flow into the market and any costs are incurred in the repair, replacement, recall, compensation for damages, or legal actions of the Group's products, it may affect the operating results or financial situation of the Group.
2. Basic Views of Selecting Accounting Standards
The Group has voluntarily adopted IFRS and prepared its consolidated financial statements under IFRS for the annual securities report beginning from the fiscal year ended March 31, 2015 (April 1, 2014 through March 31, 2015), for the purposes of further globalizing its business, better understanding of group management, stronger governance, and more efficient business operations.
- 10 -
3. Consolidated Financial Statements and Notes to Consolidated Financial Statements
- Consolidated Statement of Financial Position
(Millions of yen) | |||
As of | As of | ||
March 31, 2020 | March 31, 2021 | ||
Assets | |||
Current assets | |||
Cash and cash equivalents | 42,353 | 99,339 | |
Trade receivables | 157,732 | 167,553 | |
Inventories | 179,925 | 170,094 | |
Other current assets | 26,109 | 25,572 | |
Total current assets | 406,119 | 462,558 | |
Non-current assets | |||
Investments accounted for using the equity method | 28,354 | 10,772 | |
Investments in securities and other financial assets | 13,234 | 11,859 | |
Property, plant and equipment | 381,095 | 333,448 | |
Goodwill and intangible assets | 118,174 | 111,431 | |
Deferred tax assets | 17,816 | 23,835 | |
Other non-current assets | 12,974 | 18,346 | |
Total non-current assets | 571,647 | 509,691 | |
Total assets | 977,766 | 972,249 | |
- 11 -
(Millions of yen) | |||
As of | As of | ||
March 31, 2020 | March 31, 2021 | ||
Liabilities | |||
Current liabilities | |||
Short-term debt | 53,048 | 72,511 | |
Current portion of long-term debt | 51,253 | 29,132 | |
Other financial liabilities | 26,642 | 22,016 | |
Trade payables | 126,640 | 150,639 | |
Accrued expenses | 35,042 | 40,668 | |
Contract Liabilities | 640 | 1,015 | |
Other current liabilities | 3,934 | 1,799 | |
Total current liabilities | 297,199 | 317,780 | |
Non-current liabilities | |||
Long-term debt | 83,285 | 93,675 | |
Other financial liabilities | 978 | 217 | |
Retirement and severance benefits | 67,560 | 64,260 | |
Deferred tax liabilities | 2,420 | 438 | |
Other non-current liabilities | 3,471 | 3,761 | |
Total non-current liabilities | 157,714 | 162,351 | |
Total liabilities | 454,913 | 480,131 | |
Equity | |||
Equity attributable to shareholders of the parent company | |||
Common stock | 26,284 | 26,284 | |
Capital surplus | 115,405 | 115,405 | |
Retained earnings | 374,820 | 326,888 | |
Accumulated other comprehensive income | 4,969 | 22,264 | |
Treasury stock, at cost | (1,165) | (1,170) | |
Total equity attributable to shareholders of the parent | 520,313 | 489,671 | |
company | |||
Non-controlling interests | 2,540 | 2,447 | |
Total equity | 522,853 | 492,118 | |
Total liabilities and equity | 977,766 | 972,249 | |
- 12 -
- Consolidated Statements of Income and Comprehensive Income [ Consolidated Statement of Income ]
(Millions of yen) | ||||
Note | For the year ended | For the year ended | ||
March 31, 2020 | March 31, 2021 | |||
Revenues | 881,402 | 761,615 | ||
Cost of sales | (755,947) | (666,246) | ||
Gross profit | 125,455 | 95,369 | ||
Selling, general and administrative expenses | (111,072) | (100,346) | ||
Other income | 8,599 | 9,726 | ||
Other expenses | (62,108) | (53,962) | ||
Operating income (loss) | 1 | (39,126) | (49,213) | |
Interest income | 456 | 217 | ||
Other financial income | 122 | 789 | ||
Interest charges | (2,646) | (1,650) | ||
Other financial expenses | (1,087) | (808) | ||
Share of (losses) profits of investments accounted | 1,667 | 77 | ||
for using the equity method | ||||
Income (loss) before income taxes | ||||
(40,614) | (50,588) | |||
Income taxes | 1,076 | 8,032 | ||
Net income (loss) | (39,538) | (42,556) | ||
Net income (loss) attributable to: | ||||
Shareholders of the parent company | (37,648) | (42,285) | ||
Non-controlling interests | (1,890) | (271) | ||
Net income (loss) | (39,538) | (42,556) | ||
Earnings per share attributable to shareholders of | ||||
the parent company | ||||
Basic | ¥(88.05) | ¥(98.90) | ||
Diluted | - | - |
Note: 1. Adjusted operating income, which is the operating income (loss) presented in the Consolidated Statement of Income, excluding other income and other expenses, is ¥14,383 million and ¥(4,977) million for the fiscal year ended March 31, 2020 and 2021, respectively.
- 13 -
[ Consolidated Statement of Comprehensive Income ]
(Millions of yen) | |||
For the year ended | For the year ended | ||
March 31, 2020 | March 31, 2021 | ||
Net income (loss) | (39,538) | (42,556) | |
Other comprehensive income | |||
Items not to be reclassified into net income | |||
Net change in fair value of financial assets measured at fair | (573) | (98) | |
value through other comprehensive income | |||
Remeasurements of defined benefit plans | (7,069) | 7,499 | |
Share of other comprehensive income of investments | 219 | 104 | |
accounted for using the equity method | |||
Total items not to be reclassified into net income | (7,423) | 7,505 | |
Items that can be reclassified into net income | |||
Foreign currency translation adjustments | (9,723) | 9,762 | |
Net change in fair value of cash flow hedges | (109) | 89 | |
Share of other comprehensive income of investments | (11) | 40 | |
accounted for using the equity method | |||
Total items that can be reclassified into net income | (9,843) | 9,891 | |
Total other comprehensive income | (17,266) | 17,396 | |
Comprehensive income | (56,804) | (25,160) | |
Comprehensive income attributable to: | |||
Shareholders of the parent company | (54,588) | (25,079) | |
Non-controlling interests | (2,216) | (81) | |
Comprehensive income | (56,804) | (25,160) | |
- 14 -
(3) Consolidated Statement of Changes in Equity
(Millions of yen)
Accumulated | Total equity | |||||||
Treasury | attributable to | |||||||
Common | Capital | Retained | other | Non-controlling | ||||
stock, | shareholders | Total equity | ||||||
stock | surplus | earnings | comprehensive | at cost | of the parent | interests | ||
income | ||||||||
company | ||||||||
Balance at April 1, 2019 | 26,284 | 115,045 | 425,886 | 21,925 | (1,161) | 587,979 | 7,232 | 595,211 |
Cumulative effect of | - | - | (607) | - | - | (607) | - | (607) |
accounting change | ||||||||
Restated balance | 26,284 | 115,045 | 425,279 | 21,925 | (1,161) | 587,372 | 7,232 | 594,604 |
Changes in equity | ||||||||
Net income | - | - | (37,648) | - | - | (37,648) | (1,890) | (39,538) |
Other comprehensive income | - | - | - | (16,940) | - | (16,940) | (326) | (17,266) |
Dividends to shareholders of | - | - | (12,827) | - | - | (12,827) | - | (12,827) |
the parent company | ||||||||
Dividends to non-controlling | - | - | - | - | - | - | (22) | (22) |
interests | ||||||||
Acquisition of treasury stock | - | - | - | - | (4) | (4) | - | (4) |
Sales of treasury stock | - | 0 | - | - | 0 | 0 | - | 0 |
Transactions with non- | - | 360 | - | - | - | 360 | (2,454) | (2,094) |
controlling interests | ||||||||
Transfer to retained earnings | - | - | 16 | (16) | - | - | - | - |
Total changes in equity | - | 360 | (50,459) | (16,956) | (4) | (67,059) | (4,692) | (71,751) |
Balance at March 31, 2020 | 26,284 | 115,405 | 374,820 | 4,969 | (1,165) | 520,313 | 2,540 | 522,853 |
Changes in equity | ||||||||
Net income (loss) | - | - | (42,285) | - | - | (42,285) | (271) | (42,556) |
Other comprehensive income | - | - | - | 17,206 | - | 17,206 | 190 | 17,396 |
Dividends to shareholders of | - | - | (5,558) | - | - | (5,558) | - | (5,558) |
the parent company | ||||||||
Dividends to non-controlling | - | - | - | - | - | - | (12) | (12) |
interests | ||||||||
Acquisition of treasury stock | - | - | - | - | (5) | (5) | - | (5) |
Sales of treasury stock | - | 0 | - | - | 0 | 0 | - | 0 |
Transactions with non- | - | - | - | - | - | - | - | - |
controlling interests | ||||||||
Transfer to retained earnings | - | - | (89) | 89 | - | - | - | - |
Total changes in equity | - | 0 | (47,932) | 17,295 | (5) | (30,642) | (93) | (30,735) |
Balance at March 31, 2021 | 26,284 | 115,405 | 326,888 | 22,264 | (1,170) | 489,671 | 2,447 | 492,118 |
- 15 -
(4) Consolidated Statement of Cash Flows
(Millions of yen) | |||
For the year ended | For the year ended | ||
March 31, 2020 | March 31, 2021 | ||
Cash flows from operating activities: | |||
Net income (loss) | (39,538) | (42,556) | |
Adjustments to reconcile net income to | |||
net cash provided by operating activities: | |||
Depreciation and amortization | 55,180 | 50,407 | |
Impairment losses | 49,391 | 35,857 | |
Share of losses (profits) of investments accounted | (1,667) | (77) | |
for using the equity method | |||
Financial income and expenses | 3,155 | 1,452 | |
Losses (profits) on sale of property, plant and equipment | (2,155) | 1,184 | |
Structural reform expenses | 5,460 | 5,620 | |
Net loss (gain) on business reorganization and others | 43 | (3,726) | |
Income taxes | (1,076) | (8,032) | |
(Increase) decrease in trade receivables | 33,673 | (4,823) | |
(Increase) decrease in inventories | 31,460 | 10,960 | |
(Increase) decrease in accounts receivable - other | 5,683 | (1,022) | |
Increase (decrease) in trade payables | (26,254) | 20,823 | |
Increase (decrease) in accrued expenses | (2,359) | 4,989 | |
Increase (decrease) in retirement and severance benefits | 472 | 6,605 | |
Other | (3,598) | (14,208) | |
Subtotal | 107,870 | 63,453 | |
Interest and dividends received | 2,361 | 669 | |
Interest paid | (2,678) | (1,690) | |
Payments for structural reforms | (1,998) | (2,547) | |
Income taxes refund (paid) | 403 | (7,299) | |
Net cash provided by operating activities | 105,958 | 52,586 | |
Cash flows from investing activities: | |||
Purchase of property, plant and equipment | (59,520) | (29,129) | |
Purchase of intangible assets | (1,328) | (936) | |
Proceeds from sales of property, plant and equipment | 5,321 | 1,602 | |
Purchase of investments in securities and other financial assets | |||
(including investments in subsidiaries and investments | (115) | (424) | |
accounted for using the equity method) | |||
Proceeds from sale of investments in securities and other | |||
financial assets (including investments in subsidiaries and | 171 | 26,329 | |
investments accounted for using the equity method) | |||
Proceeds from transfer of business | - | 4,157 | |
Other | (947) | 592 | |
Net cash used in investing activities | (56,418) | 2,191 | |
- 16 -
(Millions of yen) | |||
For the year ended | For the year ended | ||
March 31, 2020 | March 31, 2021 | ||
Cash flows from financing activities: | |||
Increase (decrease) in short-term debt, net | 5,271 | 18,569 | |
Proceeds from long-term debt | 1,424 | 36,749 | |
Repayment of long-term debts | (37,488) | (50,839) | |
Purchase of shares of consolidated subsidiaries | (2,089) | - | |
from non-controlling interests | |||
Dividends paid to shareholders | (12,827) | (5,558) | |
Dividends paid to non-controlling interests | (22) | (12) | |
Acquisition of common stock for treasury | (4) | (5) | |
Proceeds from sales of treasury stock | 0 | 0 | |
Net cash used in financing activities | (45,735) | (1,096) | |
Effect of exchange rate changes on cash and cash equivalents | (2,550) | 3,305 | |
Net increase (decrease) in cash and cash equivalents | 1,255 | 56,986 | |
Cash and cash equivalents at the beginning of the year | 41,098 | 42,353 | |
Cash and cash equivalents at the end of the year | 42,353 | 99,339 | |
- 17 -
-
Notes to the Consolidated Financial Statements [ Segment Information ]
The Group's operating segments are components for which independent financial information is available and which are regularly reviewed by the Board of Directors to assist the Board in making decisions about resources to be allocated to the segments and to assess performance.
The Group has adopted a two-BusinessDivision-based organization structure, which is composed by Advanced Metals Division and Advanced Components and Materials Division. Both of the business divisions prepare a comprehensive strategy and engages in business activities related to their products and services for both the domestic and international markets.
Based on the above, the Group is structured by four business segments: Specialty Steel Products segment, and Functional Components and Equipment segment are comprised by Advanced Metals Division; and Magnetic Materials and Applications / Power Electronics segment, and Wire, Cables, and Related Products segment are comprised by Advanced Components and Materials Division. The Group infomrs the operating results also with the segment basis.
The primary products and services included in each segment are as follows:
Reportable segment
Specialty Steel
Products
Functional
Components and
Equipment
Magnetic Materials
and Applications /
Power Electronics
Wires, Cables, and Related Products
Major products and services
·Molds and tool steel, Automobile-related materials, Razor and blade materials, Precision cast components, and Aircraft- and energy-related materials, Display-related materials, Semiconductor and other package materials, and Battery-related materials
·Rolls for steel mills, Injection molding machine parts, Structural ceramic products, and Steel-frame joints for construction
·HNMTM ductile cast iron products, Cast iron products for transportation equipment, HERCUNITETM heat- resistant exhaust casting components, and Aluminum components
·Piping and infrastructure components (TM Gourd brand pipe fittings, valves, stainless steel and plastic piping components, water cooling equipment, precision mass flow control devices and sealed expansion tanks)
·NEOMAX® rare-earth magnets, Ferrite magnets, and Other magnets and applied products
·Soft magnetic materials (Metglas® amorphous metals; FINEMET® nanocrystalline magnetic material; and soft ferrite) and applied products, and Ceramic components
·Industrial cables, Electronic wires, Electric equipment materials, Cable assemblies, and Industrial rubber products
·Automotive electronic components and Brake hoses
Income by reportable segment is based on operating income. Intersegment revenues are based on prevailing market price.
- 18 -
Last consolidated fiscal year (from April 1, 2019 to March 31, 2020)
(Millions of Yen)
Business Segment | |||||||||||
Magnetic | Wires, | Consolidated | |||||||||
Functional | Materials | ||||||||||
Cables, | Others | Total | Adjustments | statements | |||||||
Specialty | Components | and | |||||||||
and | Subtotal | of income | |||||||||
Steel Products | and | Applications | |||||||||
Related | |||||||||||
Equipment | /Power | ||||||||||
Products | |||||||||||
Electronics | |||||||||||
Revenues | |||||||||||
External customers | 250,489 | 299,703 | 116,749 | 212,936 | 879,877 | 1,525 | 881,402 | - | 881,402 | ||
Intersegment | 154 | - | 11 | 393 | 558 | 1,846 | 2,404 | (2,404) | - | ||
transactions | |||||||||||
Total revenues | 250,643 | 299,703 | 116,760 | 213,329 | 880,435 | 3,371 | 883,806 | (2,404) | 881,402 | ||
Segment profit (loss) | 7,585 | (9,222) | (42,750) | 5,257 | (39,130) | 510 | (38,620) | (506) | (39,126) | ||
Financial income | - | - | - | - | - | - | - | - | 578 | ||
Financial expenses | - | - | - | - | - | - | - | - | (3,733) | ||
Share of profits of | |||||||||||
investments | - | - | - | - | - | - | - | - | 1,667 | ||
accounted for using | |||||||||||
the equity method | |||||||||||
Income before | - | - | - | - | - | - | - | - | (40,614) | ||
income taxes | |||||||||||
Segment assets | 368,543 | 308,941 | 147,373 | 244,089 | 1,068,946 | 8,814 | 1,077,760 | (99,994) | 977,766 | ||
Other items: | |||||||||||
Depreciation and | 16,715 | 17,166 | 9,281 | 8,300 | 51,462 | 453 | 51,915 | 3,265 | 55,180 | ||
amortization | |||||||||||
Capital expenditure | 19,140 | 14,813 | 7,613 | 9,874 | 51,440 | 156 | 51,596 | 1,423 | 53,019 | ||
Impairment losses | 1,403 | 4,231 | 42,581 | 674 | 48,889 | - | 48,889 | 290 | 49,179 | ||
Note:
- Segment profit (loss) is based on operating income.
- Intersegment transactions are recorded at the same prices used in transactions with third parties. Adjustments represent mainly allocation variances of general and administrative expenses for corporate assets, which are not allocated to each reportable segment.
- Adjustments represent mainly cash and cash equivalents, investments in securities, and other financial assets included in corporate assets and eliminations of intersegment transactions.
- Capital expenditure represents increases in property, plant and equipment, intangible assets, and investment property.
- 19 -
Current year (from April 1, 2020 to March 31, 2021)
(Millions of yen)
Business Segment | ||||||||||
Magnetic | Wires, | Consolidated | ||||||||
Functional | Materials | |||||||||
Cables, | Others | Total | Adjustments | statements | ||||||
Specialty | Components | and | ||||||||
and | Subtotal | of income | ||||||||
Steel Products | and | Applications | ||||||||
Related | ||||||||||
Equipment | /Power | |||||||||
Products | ||||||||||
Electronics | ||||||||||
Revenues | ||||||||||
External customers | 217,253 | 247,939 | 106,109 | 188,963 | 760,264 | 1,351 | 761,615 | - | 761,615 | |
Intersegment | 167 | - | 33 | 281 | 481 | 1,204 | 1,685 | (1,685) | - | |
transactions | ||||||||||
Total revenues | 217,420 | 247,939 | 106,142 | 189,244 | 760,745 | 2,555 | 763,300 | (1,685) | 761,615 | |
Segment profit (loss) | (11,976) | (19,128) | (14,084) | 1,832 | (43,356) | 1,268 | (42,088) | (7,125) | (49,213) | |
Financial income | - | - | - | - | - | - | - | - | 1,006 | |
Financial expenses | - | - | - | - | - | - | - | - | (2,458) | |
Share of profits of | ||||||||||
investments | - | - | - | - | - | - | - | - | 77 | |
accounted for using | ||||||||||
the equity method | ||||||||||
Income before | - | - | - | - | - | - | - | - | (50,588) | |
income taxes | ||||||||||
Segment assets | 328,708 | 287,234 | 147,002 | 241,629 | 1,004,573 | 15,179 | 1,019,752 | (47,503) | 972,249 | |
Other items: | ||||||||||
Depreciation and | 16,976 | 15,395 | 6,389 | 7,970 | 46,730 | 400 | 47,130 | 3,277 | 50,407 | |
amortization | ||||||||||
Capital expenditure | 13,003 | 6,436 | 3,625 | 4,680 | 27,744 | 192 | 27,936 | 870 | 28,806 | |
Impairment losses | 12,226 | 5,847 | 15,657 | 2,003 | 35,733 | - | 35,733 | 124 | 35,857 | |
Note:
- Segment profit (loss) is based on operating income.
- Intersegment transactions are recorded at the same prices used in transactions with third parties. Adjustments represent mainly allocation variances of general and administrative expenses for corporate assets, which are not allocated to each reportable segment.
- Adjustments represent mainly cash and cash equivalents, investments in securities, and other financial assets included in corporate assets and eliminations of intersegment transactions.
- Capital expenditure represents increases in property, plant and equipment, intangible assets, and investment property.
- 20 -
Other Related Information
For the year ended March 31, 2020
-
Product and service information
Information is similar to that presented under Segment Information above and is therefore omitted. - Geographic information
- Revenues
(Millions of yen) | |||||
Japan | North America | Asia | Europe | Other areas | Total |
405,410 | 245,349 | 166,136 | 44,542 | 19,965 | 881,402 |
Note: Revenues are classified by country or region based on the customer's location.
Revenues from external customers attributed to any individual country or region other than Japan, the United States, and China were not material.
Revenues from external customers in the United States and China were ¥225,143 million and ¥63,380 million, respectively.
(b) Non-current assets (excluding financial instruments)
(Millions of yen) | |||||
Japan | North America | Asia | Europe | Other areas | Total |
320,935 | 170,084 | 47,557 | 243 | 3,071 | 541,890 |
Note: Non-current assets (excluding financial assets) attributed to any individual country or region other than Japan and the United States were not material.
Non-current assets (excluding financial assets) attributable to the United States were ¥170,084 million.
-
Significant customer information
There were no major external customers who are considered significant on a stand-alone basis.
- 21 -
For the year ended March 31, 2021
-
Product and service information
Information is similar to that presented under Segment Information above and is therefore omitted. - Geographic information
- Revenues
(Millions of yen) | |||||
Japan | North America | Asia | Europe | Other areas | Total |
342,849 | 207,082 | 160,874 | 35,435 | 15,375 | 761,615 |
Note: Revenues are classified by country or region based on the customer's location.
Revenues from external customers attributed to any individual country or region other than Japan, the United States, and China were not material.
Revenues from external customers in the United States and China were ¥191,193 million and ¥72,260 million, respectively.
(b) Non-current assets (excluding financial instruments)
(Millions of yen) | |||||
Japan | North America | Asia | Europe | Other areas | Total |
258,453 | 157,733 | 47,205 | 226 | 3,642 | 467,259 |
Note: Non-current assets (excluding financial assets) attributed to any individual country or region other than Japan and the United States were not material.
Non-current assets (excluding financial assets) attributable to the United States were ¥157,733 million.
-
Significant customer information
There were no major external customers who are considered significant on a stand-alone basis.
- 22 -
[ Net Income per Share ]
The calculation of basic EPS attributable to shareholders of the parent company is summarized as follows.
Note that diluted EPS attributable to shareholders of the parent company is not presented because no potential ordinary shares of common stock were issued or outstanding.
Weighted-average number of ordinary shares on which basic EPS is calculated
Net income attributable to shareholders of the parent company
Basic EPS attributable to shareholders of the parent company
For the year ended | For the year ended |
March 31, 2020 | March 31, 2021 |
427,568 Thousands of shares | 427,565 Thousands of shares |
(37,648) Millions of yen | (42,285) Millions of yen |
(88.05) Yen | (98.90) Yen |
[ Subsequent Events ] There is no applicable item.
- 23 -
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Disclaimer
Hitachi Metals Ltd. published this content on 26 April 2021 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 26 April 2021 06:03:01 UTC.