Japan Exchange : Earnings Release, Q4 FY2021

(Reference Translation)

April 26, 2022

Japan Exchange Group, Inc. and Consolidated Subsidiaries

Consolidated financial results for the fiscal year ended March 31, 2022

(Based on IFRS), unaudited

Company name: Code number: Representative: Contact:

Japan Exchange Group, Inc. 8697

Stock Exchange Listings: Tokyo URL:https://www.jpx.co.jp/english/Kiyota Akira, Director & Representative Executive Officer, Group CEO

Lin Kay, Executive Officer (Corporate Communications and Investor Relations)

Scheduled date of annual general shareholders meeting:	June 16, 2022
Scheduled date of start of dividend payment:	May 27, 2022
Scheduled date of filing of annual securities report:	June 9, 2022
Preparation of earnings presentation material:	Yes
Holding of earnings announcement:	Yes (For institutional investors and analysts)

1. Consolidated financial results for the fiscal year ended March 31, 2022 (from April 1, 2021 to March 31, 2022)

(Figures less than a million yen are omitted)

(1) Consolidated operating results

(Percentages represent changes year on year)

Operating revenue	Operating income	Income before income tax	Net income	Net income attributable to owners of the parent company	Comprehensive income
Year ended March 31, 2022	Mil. yen 135,432	% 1.6	Mil. yen 73,473	% (1.5)	Mil. yen 73,429	% (1.7)	Mil. yen 50,830	% (2.3)	Mil. yen 49,955	% (2.8)	Mil. yen 51,457	% (4.9)
Year ended March 31, 2021	133,343	7.8	74,565	8.8	74,732	8.2	52,017	7.7	51,389	7.9	54,102	7.8

Basic earnings per share	Diluted earnings per share	Return on equity attributable to owners of the parent company	Ratio of income before income tax to total assets	Ratio of operating income to operating revenue
Year ended March 31, 2022	yen 94.35	yen －	% 15.7	% 0.1	% 54.3
Year ended March 31, 2021	96.00	－	16.6	0.1	55.9

(Reference)

Share of income of investments accounted for using the equity method: Year ended March 31, 2022: ¥1,067 million

Year ended March 31, 2021: ¥2,263 million

(2) Consolidated financial position

Total assets	Total equity	Total equity attributable to owners of the parent company	Ratio of total equity attributable to owners of the parent company to total assets	Total equity attributable to owners of the parent company per share
As of March 31, 2022	Mil. yen 71,463,434	Mil. yen 323,852	Mil. yen 315,653	% 0.4	yen 598.35
As of March 31, 2021	60,075,678	328,769	321,391	0.5	600.38

Note: Sizable amounts of "clearing business financial assets and liabilities" and "deposits from clearing participants" pertaining to clearing business conducted by consolidated subsidiaries Japan Securities Clearing Corporation are included in assets and liabilities of JPX Group (meaning JPX and its subsidiaries). For JPX Group's financial position excluding "clearing business financial assets and liabilities" and "deposits from clearing participants", etc., see "1. QUALITATIVE INFORMATION ON OPERATING RESULTS AND FINANCIAL POSITION - (2) Explanation on Financial Position" on Page 4 of the Appendix.

owners

(3) Consolidated cash flows

Cash flows from operating activities	Cash flows from investing activities	Cash flows from financing activities	Cash and cash equivalents at the end of the year
Year ended March 31, 2022	Mil. yen 58,191	Mil. yen (13,299)	Mil. yen (59,747)	Mil. yen 93,354
Year ended March 31, 2021	71,750	(1,513)	(33,932)	108,209

2. Dividends

Annual dividends per share	Total cash dividends	Dividend payout ratio	Ratio of dividends to total equity attributable to owners of the parent company
First quarter-end	Second quarter-end	Third quarter-end	Fiscal year-end	Total
Year ended March 31, 2021	yen －	yen 26.00	yen －	yen 42.00	yen 68.00	Mil. yen 36,471	% 70.8	% 11.8
Year ended March 31, 2022	－	26.00	－	46.00	72.00	38,057	76.3	12.0
Year ending March 31, 2023 (Forecast)	－	26.00	－	26.00	52.00	61.00

Note1: Breakdown of year-end dividend for the fiscal year ended March 31, 2021: ordinary dividend ¥32; special dividend ¥10. Note2: Breakdown of year-end dividend for the fiscal year ended March 31, 2022: ordinary dividend ¥31; special dividend ¥15.

3. Consolidated earnings forecast for the fiscal year ending March 31, 2023 (from April 1, 2022 to March 31, 2023)

(Percentages represent changes year on year)

Operating revenue	Operating income	Income before income tax	Net income	Net income attributable to owners of the parent company	Basic earnings per share
Year ending March 31, 2023	Mil. yen 132,500	% (2.2)	Mil. yen 65,500	% (10.9)	Mil. yen 65,500	% (10.8)	Mil. yen 45,500	% (10.5)	Mil. yen 45,000	% (9.9)	yen 85.30

Notes:

• (1) Changes in significant subsidiaries during the period (changes in specified subsidiaries that caused changes in the scope of consolidation): None

• (2) Changes in accounting policies/changes in accounting estimates

  • 1) Changes in accounting policies due to revisions in accounting standards under IFRS: None

  • 2) Changes in accounting policies other than the above: None

  • 3) Changes in accounting estimates: None

• (3) Number of issued shares (common shares)

  • 1) Number of issued shares at the end of the period (including treasury shares):

    As of March 31, 2022: 528,578,441

    As of March 31, 2021: 536,351,448

  • 2) Number of treasury shares at the end of period:

    As of March 31, 2022: 1,037,782

    As of March 31, 2021: 1,034,400

  • 3) Average number of shares:

    Year ended March 31, 2022: 529,487,172

    Year ended March 31, 2021: 535,304,490

(Reference) Overview of non-consolidated financial results

1. Non-consolidated financial results for the fiscal year ended March 31, 2022

(from April 1, 2021 to March 31, 2022)

(1) Operating results

(Percentages represent changes year on year)

Operating revenue	Operating income	Ordinary income	Net income
Year ended March 31, 2022	Mil. yen 52,727	% 10.7	Mil. yen 46,339	% 12.9	Mil. yen 46,451	% 12.1	Mil. yen 43,365	% (5.0)
Year ended March 31, 2021	47,642	1.2	41,055	(0.2)	41,419	(1.2)	45,643	0.5

Earnings per share	Diluted earnings per share
Year ended March 31, 2022	yen 81.90	yen －
Year ended March 31, 2021	85.27	－

(2) Financial position

Total assets	Total net assets	Ratio of shareholders' equity to total assets	Net assets per share
As of March 31, 2022	Mil. yen 233,153	Mil. yen 121,796	% 52.2	yen 230.88
As of March 31, 2021	265,247	135,331	51.0	252.81

(Reference) Shareholders' equity:

As of March 31, 2022: ¥121,796 million

As of March 31, 2021: ¥135,331 million

•This release is outside the scope of audit procedures by certified public accountants and audit firms.

•Explanation on appropriate use of forecast and other special items

This material contains an earnings forecast and other forward-looking statements which are based on available information and certain assumptions that are considered reasonable at the time of preparation. Various factors may cause actual results, etc. to be materially different from those expressed in these forward-looking statements.

DISCLAIMER: This translation may be used for reference purposes only. This English version is not an official translation of the original Japanese document. In cases where any differences occur between the English version and the original Japanese version, the Japanese version shall prevail. This translation is subject to change without notice. Japan Exchange Group, Inc., and/or its affiliates shall individually or jointly accept no responsibility or liability for damage or loss caused by any error, inaccuracy, misunderstanding, or changes with regard to this translation.

(Appendix)

Contents of Appendix

• 1. QUALITATIVE INFORMATION ON OPERATING RESULTS AND FINANCIAL POSITION …2

  • (1) Explanation on Operating Results …2

  • (2) Explanation on Financial Position …4

  • (3) Explanation on Forecast Information such as Consolidated Earnings Forecast, etc. …5

• 2. BASIC RATIONALE TO THE SELECTION OF ACCOUNTING STANDARDS…6

• 3. CONSOLIDATED FINANCIAL STATEMENTS AND NOTES …7

  • (1) Consolidated Statement of Financial Position …7

  • (2) Consolidated Statement of Income …9

  • (3) Consolidated Statement of Comprehensive Income…10

  • (4) Consolidated Statement of Changes in Equity…11

  • (5) Consolidated Statement of Cash Flows…13

  • (6) Notes on Consolidated Financial Statements …14

  (Note on Going-concern Assumption) …14

  (Operating Revenue) …14

  (Operating Expenses) …14

  (Segment Information, etc.) …14

  (Earnings per Share) …14

  (Significant Subsequent Events) …14

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