Consolidated Financial Results
for the Second Quarter of the Fiscal Year Ending December 31, 2023
August 7, 2023
ICHIKOH INDUSTRIES, LTD.
Tokyo Stock Exchange 7 2 4 4
http://www.ichikoh.com/
Christophe Vilatte, President, CEO, Representative director
Masaki Takamori, GM of Corporate Planning Department
TEL: (0463) 96-1442
Filing of Quarterly Financial Report: August 10, 2023
Date for starting dividends payment: September 5, 2023
Quarterly earnings supplementary explanatory documents: Yes
Quarterly earnings presentation: Yes (Institutional Investor, Analyst)
*Amounts under one million yen have been rounded down.
1.Performance at the end of the Second Quarter as of June 30, 2023 (January 1, 2023 to June 30, 2023)
(1) Consolidated Financial Results | (Millions of yen; percentage figures indicate year-on-year change) | |||||||||||||||||||
Net Sales | Operating Income | Ordinary Income | quarterly net income (loss) | |||||||||||||||||
attributable to the shareholder | ||||||||||||||||||||
parent company | ||||||||||||||||||||
% | % | % | % | |||||||||||||||||
2nd Quarter (ended on Jun. 30, 2023) | 75,770 | 20.4 | 3,777 | 236.9 | 3,783 | 134.4 | 2,521 | 99.1 | ||||||||||||
2nd Quarter (ended on Jun. 30, 2022) | 62,935 | △ 3.8 | 1,121 △ 72.3 | 1,613 | △ 65.5 | 1,266 | △ 57.8 | |||||||||||||
(Note) | Comprehensive income: | |||||||||||||||||||
Jun. 30, 2023 | 3,782 million yen | ( | 4.6%) | Jun. 30, 2022 | 3,615 million yen | ( △15.7 %) | ||||||||||||||
Net income per | Net income per share- | |||||||||||||||||||
share (Yen) | diluted (Yen) | |||||||||||||||||||
2nd Quarter (ended on Jun. 30, 2023) | 26.23 | - | ||||||||||||||||||
2nd Quarter (ended on Jun. 30, 2022) | 13.18 | - | ||||||||||||||||||
(2) Consolidated Financial Position | (Millions of yen; except for per share figures) | |||||||||||||||||||
Total Assets | Net Assets | Equity Ratio (%) | ||||||||||||||||||
% | ||||||||||||||||||||
2nd Quarter (as of Jun. 30, 2023) | 125,133 | 58,378 | 46.1 | |||||||||||||||||
FY2021 (as of Dec. 31, 2022) | 125,915 | 55,007 | 43.2 | |||||||||||||||||
[Reference] Equity: Second Quarter as of Jun. 30, 2023 | 57,645 million yen | |||||||||||||||||||
Fiscal Year as of Dec. 31, 2022 | 54,334 million yen | |||||||||||||||||||
2. Cash Dividends | ||||||||||||||||||||
Cash Dividends per share (Yen) | ||||||||||||||||||||
(Cut-off Date) | 1st Quarter | 2nd Quarter | 3rd Quarter | Year-End | Full Year | |||||||||||||||
FY2022 (ended on Dec. 31, 2022) | - | 4.50 | - | 4.50 | 9.00 | |||||||||||||||
FY2023 (ended on Dec. 31, 2023) | - | 5.50 | ||||||||||||||||||
FY2023 (ended on Dec. 31, 2023) [plan] | - | 5.50 | 11.00 | |||||||||||||||||
Note: Revision to previous dividend forecast : No |
3. Consolidated Performance Forecasts for the Fiscal Year 2023 (January 1, 2023 to December 31, 2023)
(Millions of yen; percentages indicate changes over the same period in the previous fiscal year)
Net Sales | Operating Income | Ordinary Income | quarterly net income (loss) | Net Income | |||||
attributable to the shareholder | |||||||||
per Share (Yen) | |||||||||
parent company | |||||||||
% | % | % | % | yen | |||||
Full Year | 143,500 | 5.9 | 6,400 | 62.5 | 7,200 | 34.5 | 5,300 | 19.8 | 55.14 |
Note: Revision to previous consolidated performance forecast : No
4. Other | |||
(1) Principal affiliates' transfer in this fiscal term (in accordance with the change of consolidation scope) | No | ||
Added | - | (Corporate name) | |
Excluded | - | (Corporate name) |
- Application of simple accounting as well as specific accounting for preparing the quarterly consolidated financial statements: Applied
- Changes in accounting policies, changes in accounting estimates, and restatement
-
Changes in accounting policies due to revisions to accounting standard: No
② Changes in accounting policies due to other reasons: No
③ Changes in accounting estimates: No
④ Restatement: No
-
Changes in accounting policies due to revisions to accounting standard: No
- Number of issued shares (common stock)
- Number of shares outstanding at the end of the period (including treasury stock)
As of June 30, 2023 | 96,334,226 |
As of December 31, 2022 | 96,292,401 |
- Number of shares of treasury stock at the end of period
As of June 30, 2023 | 180,073 |
As of December 31, 2022 | 179,414 |
- Average number of shares during the period (cumulative)
FY2023 2nd quarter: | 96,130,698 |
FY2022 2nd quarter: | 96,115,689 |
*Quarterly review procedures:
This quarterly financial flash report is out of scope of the review procedures by certified public accountants or auditing firms
*Appropriate use of business forecast; other special items:
Performance Forecasts are based on judgments and estimated that have been made on the basis of currently available information. Change in the company's business environment and in market trends may cause actual result to differ materially from these forecast figures.
1. Qualitative Information on Quarterly Results
(1) Analysis of operating results
In the Japanese economy of the consolidated cumulative period of the second quarter of this fiscal year, personal consumption improved including gradual expansion in service consumption caused by downgrade of the legal status of the COVID-19 and the economy gradually recovered due to strong capital investment and inbound demand. On the other hand, there were also concerns about the risk of downward pressure on the Japanese economy by deteriorating overseas economies in ongoing inflation due to yen depreciation, sharp price increase of resource and global monetary tightening. In the U.S., personal consumption remained strong and inflation rate declined, and the economy showed gradual recovery. The Chinese economy recovered rapidly through to early spring following the termination of the Zero-Covid Policy, but the recovery after the economic restart was delayed due to slowdown in personal consumption, deterioration of the real estate market, and sluggish growth in exports. As for ASEAN, consumer sentiment continued to improve and strong consumption drove economic recovery in Indonesia. In Malaysia, active consumption and inbound demand drove continuous recovery of economy, meanwhile, exports tended to be weak due to a slump in external demand. In Thailand, the backdrop of sluggish global demand led to decline of exports and the pace of economic recovery weakened.
Under these circumstances, sales increased year-on-year in Japan as a mainstay and ASEAN and exceeded the market growth on an automotive production volume basis for the cumulative second quarter because of the sales situation in recovery trend. Consequently, the sales increase rate exceeded the market growth rate in Japan and ASEAN.
As a result, for the cumulative second quarter, the sales was 75,770 million yen (up 20.4% year-on-year). The operating income was 3,777 million yen (up 236.9% year-on-year) due to favorable impact of sales increase and progress in pass-through on the sharp rise in raw materials costs, etc. The ordinary income was 3,783 million yen (up 134.4% year-on year), and the net income attributable to the parent company was 2,521 million yen (up 99.1% year on-year).
Results by each segment are as follows:
1.Auto-Components business
Supply constraints of semiconductors was almost resolved, and automotive production, which reduced plant operation days, has been recovering in two regions, Japan and ASEAN. As a result, the sales was 71,832 million yen (up 20.8% year-on-year) and achieved a level higher than the automotive production market growth affected by the pass-through, and the operating income was 3,623 million yen (up 274.8% year-on- year).
2.After-Market business
As for the after-market business, sales for automotive accessory stores and for the dealer options remained strong, and the sales was 4,758 million yen (up 12.9% year-on-year), and the operating income was 167 million yen (up 8.6% year-on-year).
(3)Description of future outlooks such as consolidated earnings forecast
There is no revision to the earnings forecast for the FY2023 announced on May 11.
As for the future statements of performance forecast, etc. contained in this material, the statements are based on the information currently available to the company and certain information that the company deems reasonable. Please note that actual results may differ due to various factors.
Distribution of midterm dividends is 5.5 yen per share in line with the dividend forecast announced on May 11, 2023, which increased by one yen from last year.
Year-end dividend forecast has not been changed from the forecast announced on May 11, 2023.
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2. Consolidated Financial Statement
(1) Consolidated Balance Sheets | (Millions of yen) | ||
Previous Fiscal Year End | Second Quarter End | ||
(As of December 31, 2022) | (As of June 30, 2023) | ||
Assets | |||
Current assets | |||
Cash and deposits | 8,631 | 9,718 | |
Notes and accounts receivable-trade | 27,121 | 26,652 | |
Electronically recorded monetary claims-operating | 388 | 159 | |
Merchandise and finished goods | 5,438 | 5,729 | |
Work in process | 2,776 | 2,353 | |
Raw materials and supplies | 5,284 | 5,581 | |
Other | 13,698 | 10,285 | |
Allowance for doubtful accounts | (60) | (48) | |
Total current assets | 63,280 | 60,432 | |
Noncurrent assets | |||
Property, plant and equipment | |||
Buildings and structures, net | 12,332 | 12,250 | |
Machinery, equipment and vehicles, net | 17,753 | 18,708 | |
Tools, furniture and fixtures, net | 2,633 | 2,851 | |
Land | 2,788 | 2,815 | |
Lease assets, net | 2,983 | 3,739 | |
Construction in progress | 3,164 | 2,540 | |
Total property, plant and equipment | 41,656 | 42,906 | |
Intangible assets | |||
Other | 859 | 825 | |
Total intangible assets | 859 | 825 | |
Investments and other assets | |||
Investment securities | 2,268 | 2,784 | |
Long-term loans receivable | 1,128 | 741 | |
Deferred tax assets | 5,569 | 5,583 | |
Other | 11,155 | 11,861 | |
Allowance for doubtful accounts | (3) | (2) | |
Total investments and other assets | 20,118 | 20,969 | |
Total noncurrent assets | 62,634 | 64,701 | |
Total assets | 125,915 | 125,133 | |
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(Millions of yen) | |||
Previous Fiscal Year End | Second Quarter End | ||
(As of December 31, 2022) | (As of June 30, 2023) | ||
Liabilities | |||
Current liabilities | |||
Notes and accounts payable-trade | 36,982 | 33,951 | |
Short-term loans payable | 1,400 | 1,000 | |
Current portion of long-term loans payable | 2,022 | 1,836 | |
Lease obligations | 541 | 540 | |
Income taxes payable | 453 | 1,002 | |
Accrued expenses | 5,112 | 4,866 | |
Provision for bonuses | 1,113 | 2,274 | |
Provision for directors' bonuses | 36 | 86 | |
Provision for product warranties | 1,983 | 2,061 | |
Other | 8,840 | 6,834 | |
Total current liabilities | 58,485 | 54,454 | |
Noncurrent liabilities | |||
Long-term loans payable | 920 | - | |
Lease obligations | 2,892 | 3,694 | |
Deferred tax liabilities | 153 | 170 | |
Retirement benefits | 8,182 | 8,218 | |
Asset retirement obligations | 172 | 164 | |
Provision for environmental measures | 23 | 23 | |
Other | 76 | 29 | |
Total noncurrent liabilities | 12,421 | 12,300 | |
Total liabilities | 70,907 | 66,755 | |
Net assets | |||
Shareholders' equity | |||
Capital stock | 8,986 | 8,996 | |
Capital surplus | 2,505 | 2,515 | |
Retained earnings | 44,660 | 46,749 | |
Treasury stock | (55) | (55) | |
Total shareholders' equity | 56,096 | 58,206 | |
Accumulated other comprehensive income | |||
Valuation difference on other securities. | 91 | 95 | |
Foreign currency translation adjustment | 41 | 1,167 | |
Adjustment retirement benefits | (1,895) | (1,824) | |
Total accumulated other comprehensive income | (1,762) | (560) | |
Minority interests | 673 | 732 | |
Total net assets | 55,007 | 58,378 | |
Total liabilities and net assets | 125,915 | 125,133 | |
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Ichikoh Industries Ltd. published this content on 07 August 2023 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 07 August 2023 07:56:08 UTC.