Six-Month Consolidated Financial Report
for the Fiscal Year Ending October 31, 2021 (Japan GAAP)
Listed Company Name | Kanamoto Co., Ltd. | June 4, 2021 |
Company Code Number | 9678 | |
Listing Exchanges | Tokyo Stock Exchange, Sapporo Stock Exchange | |
URL | https://www.kanamoto.co.jp | |
Representative | Tetsuo Kanamoto | President and CEO |
Inquiries | Shun Hirose | Director & Corporate Officer, Division Manager, |
Accounting Division | ||
TEL 81-11-209-1600 |
Scheduled date for submission of Quarterly Report | June 11, 2021 |
Scheduled date for commencement of dividend payments | July 2, 2021 |
Preparation of Quarterly Settlement Supplementary Explanatory Materials | Yes |
Quarterly Earnings Briefings (For institutional investors and analysts) | Yes |
(Numbers less than one million yen have been rounded down)
1. Consolidated Operating Results for the Six-Month Period of the Fiscal Year Ending October 31, 2021
(November 1, 2020 - April 30, 2021)
- Consolidated Operating Results (Cumulative)(Percentages show the change from the prior year)
Net Sales | Operating Profit | Ordinary Profit | Profit Attributable to | |||||||||||
Owners of Parent | ||||||||||||||
Millions of yen | % | Millions of yen | % | Millions of yen | % | Millions of yen | % | |||||||
Fiscal year ending | ||||||||||||||
October 31, 2021: | 95,225 | 4.2 | 8,118 | -12.1 | 8,683 | -4.0 | 4,943 | -7.5 | ||||||
Second quarter | ||||||||||||||
Fiscal year ended | ||||||||||||||
October 31, 2020: | 91,414 | -0.5 | 9,239 | -18.0 | 9,046 | -21.4 | 5,344 | -26.3 | ||||||
Second quarter | ||||||||||||||
(Note) Comprehensive | income (millions | of yen) | ||||||||||||
Fiscal year ending October 31, 2021, Second quarter | 6,909 (29.7%) | |||||||||||||
Fiscal year ended October 31, 2020, Second quarter | 5,327 (-29.5%) | |||||||||||||
Earnings per | Earnings per | |||||||||||||
Share on a Fully | ||||||||||||||
Share | ||||||||||||||
Diluted Basis | ||||||||||||||
Yen | Yen | |||||||||||||
Fiscal year ending | ||||||||||||||
October 31, 2021: | 130.75 | - | ||||||||||||
Second quarter | ||||||||||||||
Fiscal year ended | ||||||||||||||
October 31, 2020: | 138.33 | - | ||||||||||||
Second quarter |
(2) Consolidated Financial Position
Total Assets | Net Assets | Equity Ratio | ||||
Millions of yen | Millions of yen | % | ||||
As of April 30, | 300,485 | 131,598 | 41.3 | |||
2021 | ||||||
As of October 31, | 300,748 | 126,188 | 39.6 | |||
2020 | ||||||
(Reference) Equity (millions of yen) | ||||||
As of April 30, 2021 | 123,960 | |||||
As of October 31, 2020 | 119,091 |
(Note) In the first quarter of the fiscal year ending October 31, 2021, the Company finalized the provisional accounting treatment for business combinations, and the figures for the fiscal year ended October 31, 2020 reflect the finalized content of the provisional accounting treatment.
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2. Dividends
Annual Dividends per Share | |||||||||
End of | End of second | End of third | Year-end | Full-year | |||||
first quarter | quarter | quarter | |||||||
Yen | Yen | Yen | Yen | Yen | |||||
Fiscal year ended October 31, | - | 25.00 | - | 40.00 | 65.00 | ||||
2020 | |||||||||
Fiscal year ending October 31, | - | 25.00 | |||||||
2021 | |||||||||
Fiscal year ending October 31, | - | 45.00 | 70.00 | ||||||
2021 (projected) | |||||||||
(Note) Has the Company revised its | most recently released dividend projection?: No |
3. Projected Consolidated Operating Results for the Fiscal Year Ending October 31, 2021 (November 1, 2020 - October 31, 2021)
(Percentages show the change from the prior year)
Net Sales | Operating Profit | Ordinary Profit | Profit Attributable to | Earnings per | |||||
Owners of Parent | Share | ||||||||
Millions of yen | % | Millions of yen | % | Millions of yen | % | Millions of yen | % | Yen | |
Full year | 190,300 | 6.3 | 15,000 | 5.3 | 15,200 | 6.5 | 9,000 | 6.3 | 238.03 |
(Note) Has the Company revised its most recently released projected consolidated operating results during the quarter?: No
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Notes
- Changes in material subsidiaries during the period under review (Changes in specific subsidiaries in conjunction with a change in the scope of consolidation): No
Company newly included (Company name) | ─ |
Company newly excluded (Company name) | ─ |
- Application of special accounting method in the preparation of quarterly consolidated financial statements: No
- Changes in accounting principles, changes in accounting estimates and retrospective restatements
- Changes in accounting policy in conjunction with revision of accounting standards: No
- Changes other than the above: No
- Changes in accounting estimates: No
- Retrospective restatements: No
- Number of shares issued (common shares)
- Number of shares outstanding at the end of the period (including treasury shares)
As of April 30, 2021: | 38,742,241 shares |
As of October 31, 2020: | 38,742,241 shares |
- Number of treasury shares at the end of the period
As of April 30, 2021: | 924,596 shares |
As of October 31, 2020: | 939,142 shares |
- Average number of shares outstanding during the period (cumulative from the beginning of the fiscal year)
Fiscal year ending October 31, 2021: Second quarter: | 37,810,252 shares |
Fiscal year ended October 31, 2020: Second quarter: | 38,633,054 shares |
Note: Quarterly earnings reports are not subject to quarterly review by certified public accountants or independent account auditors.
Note: Explanation concerning appropriate use of the projected operating results and other items to note (Note concerning forward-looking statements)
The forward-looking statements, including business results forecasts, contained in these materials are based on information currently available to the Company and on certain assumptions deemed to be reasonable. The Company does not guarantee the achievement of the projections. Actual operating results may differ substantially due to a number of factors. Please refer to "1. Qualitative Information Concerning Quarterly Consolidated Operating Results (3) Explanation Concerning Future Forecasts Including Projected Consolidated Operating Results" on Page 6 of the Attachments for the conditions used as assumptions for the projected operating results and matters to note before using the projected operating results.
(Methods of obtaining the quarterly settlement supplementary explanatory materials and the content of the quarterly earnings briefings)
The Company plans to hold an online meeting for institutional investors and analysts on Monday, June 7, 2021.
Following the meeting, the Company will upload the meeting highlights and the discussion (voice recording) on the Company's website as quickly as possible, together with the quarterly earnings briefings materials used that day.
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○Attachments Table of Contents | ||
1. Qualitative Information Concerning Quarterly Consolidated Operating Results ................................ | 5 | |
(1) | Qualitative Information Concerning Consolidated Operating Results ......................................... | 5 |
(2) | Qualitative Information Concerning Consolidated Financial Position .......................................... | 5 |
(3) | Explanation Concerning Future Forecasts Including Projected Consolidated Operating Results ..... | 6 |
2. Quarterly Consolidated Financial Statements and Significant Notes Thereto ................................... | 7 | |
(1) | Quarterly Consolidated Balance Sheets................................................................................. | 7 |
(2) | Quarterly Consolidated Statements of Income and Quarterly Consolidated Statements of | |
Comprehensive Income ...................................................................................................... | 9 | |
(Quarterly Consolidated Statements of Income) ................................................................. | 9 | |
(Consolidated Six-Month Period Ended April 30).............................................................. | 9 | |
(Quarterly Consolidated Statements of Comprehensive Income) ......................................... | 10 | |
(Consolidated Six-Month Period Ended April 30)............................................................ | 10 | |
(3) | Quarterly Consolidated Statements of Cash Flows ................................................................ | 11 |
(4) | Notes Concerning Quarterly Consolidated Financial Statements ............................................. | 14 |
(Notes Relating to the Going Concern Assumption) ........................................................... | 14 | |
(Note on Significant Changes to Shareholders' Equity)....................................................... | 14 | |
(Supplemental Information) ........................................................................................... | 14 | |
(Segment Information).................................................................................................. | 14 |
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1. Qualitative Information Concerning Quarterly Consolidated Operating Results
- Qualitative Information Concerning Consolidated Operating Results
During the six-month period under review, Japan's economy continued to face difficult conditions due to the impact of the spread of COVID-19. Although the economy continues to move toward normalization due to the effects of a range of government policies, the future still remains uncertain given the spread of mutated strains of COVID-19 and the re-issuing of the declaration of a state of emergency.
In the construction industry in which the Group is involved, public sector investment continued to be strong, centered on disaster recovery, infrastructure-related construction, and promotion of Japan's National Resilience Plan. Meanwhile private sector construction investment, which has been on a downward trend, remained weak, although there were signs of a gradual recovery.
In such circumstances, based on the three key measures of the Medium-Term Corporate Management Plan "Creative 60" (FY2020-2024), the Group will promote business alliances and M&As that can be expected to generate significant synergies in order to strengthen the foundation of the Alliance Group in Japan and abroad. At the same time, we are striving to accumulate and share solutions for the sustainable development of the Group and the enhancement of corporate value.
For the six-month period under review, the Group reported net sales of ¥95,225 million, up 4.2% compared with the same period of the prior year. In terms of earnings, operating profit decreased 12.1% from the same period of the prior year to ¥8,118 million, ordinary profit declined 4.0% year on year to ¥8,683 million, and interim period profit attributable to owners of parent declined 7.5% year on year to ¥4,943 million, reflecting investment in human resources for the future and strict control over used construction equipment sales aimed at extending the operating life of rental assets.
Operating results for each of the Company's business segments were as follows.
< Business related to the Construction Equipment Rental Division >
In the construction-related business, which is Kanamoto's core business, although private sector construction investment remained weak, rental demand for construction equipment was solid overall due to strong public sector investment centered on construction related to disaster recovery and reconstruction work as well as disaster prevention and mitigation in various regions, and maintenance and renewal of aging social capital.
In addition, the Group is promoting the enhancement of service quality and the strengthening of its business structure through the appropriate deployment and efficient operation of rental assets while also strengthening its ability to respond to needs for the development of equipment that applies IoT and ICT- related technologies.
Used construction equipment sales fell 27.9% year on year, as disposals were proceeded with as planned at the beginning of the period.
Reflecting these factors, the Group posted net sales in the construction-related businesses of ¥86,603 million, an increase of 4.3% year on year, and operating profit of ¥7,341 million, a decrease of 14.6%.
< Other businesses >
In the Group's other businesses, net sales increased by 3.3% year on year to ¥8,622 million and operating profit increased by 27.1% to ¥544 million, as the business related to the Steel Sales Division as well as the business related to the Information Products Division and welfare-related business performed well.
(2) Qualitative Information Concerning Consolidated Financial Position
With regard to the business combination with KANAMOTO AUSTRALIA HOLDINGS PTY LTD conducted on October 15, 2020, although provisional accounting treatment was carried out in the previous consolidated fiscal year, it was finalized in the first quarter under review. As a result of the finalization of the said provisional accounting treatment, a review of the allocation of acquisition costs is applied in the
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Kanamoto Co. Ltd. published this content on 31 October 2021 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 30 October 2021 00:06:01 UTC.