Kaneko Seeds : ［Delayed］Summary of Consolidated Financial Results for the Year Ended May 31,2021(Based on Japanese GAAP)

Translation

Notice: This document is an excerpt translation of the original Japanese document and is only for reference purposes. In the event of any discrepancy between this translated document and the original Japanese document, the latter shall prevail.

Summary of Consolidated Financial Results

for the Year Ended May 31, 2021

(Based on Japanese GAAP)

																								July 13, 2021
Company name:	KANEKO SEEDS CO., LTD.
Stock exchange listing:	Tokyo
Stock code:	1376	URL http://www.kanekoseeds.jp
Representative:	PRESIDENT				MASAHIKO KANEKO
Inquiries:	SENIOR MANAGING DIRECTOR HEAD	HIROKATSU HASE	TEL [phone]
OF GENERAL ADMINISTRATION
Scheduled date of ordinary general meeting of shareholders:		August 27, 2021
Scheduled date to file Securities Report:				August 30, 2021
Scheduled date to commence dividend payments:				August 30, 2021
Preparation of supplementary material on financial results:		Yes
Holding of financial results meeting:								Yes
													(Amounts less than one million yen are rounded down)
1. Consolidated financial results for the year ended May 31, 2021 (from June 1, 2020 to May 31, 2021)
(1) Consolidated operating results																Percentages indicate year-on-year changes
			Net sales				Operating profit		Ordinary profit	Profit attributable to
							owners of parent
			Millions of yen		%	Millions of yen		%			Millions of yen	%		Millions of yen		%
Year ended May 31, 2021		60,779		4.5		1,661		11.7				1,765	9.4		1,436		27.9
Year ended May 31, 2020		58,179		(0.7)		1,487		(16.7)			1,613	(15.0)	1,122		(12.6)
			Earnings per share		Diluted earnings per	Profit attributable to		Ordinary profit/total	Operating profit/net
					share			owners of				assets			sales
									parent/equity
				Yen				Yen					%						%				%
Year ended May 31, 2021		123.09				-					6.8						3.7				2.7
Year ended May 31, 2020		95.95				-					5.6						3.5				2.6
(2) Consolidated financial position
			Total assets				Net assets				Equity ratio	Net assets per share
			Millions of yen		Millions of yen						%						Yen
As of May 31, 2021			47,452						21,696							45.7				1,859.82
As of May 31, 2020			46,792						20,401							43.6				1,748.70
(3) Consolidated cash flows
			Cash flows from		Cash flows from		Cash flows from	Cash and cash equivalents
			operating activities		investing activities		financing activities		at end of period
			Millions of yen		Millions of yen		Millions of yen		Millions of yen
Year ended May 31, 2021					2,294						(838)							(384)						5,486
Year ended May 31, 2020					589						(264)							(488)						4,411
2. Cash dividends
							Annual dividends per share							Total cash		Dividend payout	Ratio of dividends
																				to net assets
			1st quarter-end	2nd quarter-end	3rd quarter-end	Fiscal year-end			Total			dividends (Total)	ratio (Consolidated)	(Consolidated)
			Yen			Yen		Yen		Yen		Yen	Millions of yen		%			%
Year ended May 31, 2020		-		11.00		-		17.00			28.00		328		29.2			1.6
Year ended May 31, 2021		-		11.00		-		18.00			29.00		340		23.6			1.6
Year ending May 31, 2022		-			11.00		-				18.00			29.00				30.8
(Forecast)

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3. Forecast of consolidated financial results for the year ending May 31, 2022 (from June 1, 2021 to May 31, 2022)

Percentages indicate year-on-year changes

Net sales

Operating profit

Ordinary profit

Profit attributable to

Earnings per share

owners of parent

Six months ending

Millions of yen

%

Millions of yen

%

Millions of yen

%

Millions of yen

%

Yen

-

-

-

-

-

-

-

-

-

November 30, 2021

Full year

61,000

0.4

1,600

(3.7)

1,700

(3.7)

1,100

(23.4)

94.29

4. Notes

(1) Changes in significant subsidiaries during the year ended May 31, 2021

No

(changes in specified subsidiaries resulting in the change in scope of consolidation):

(2) Changes in accounting policies, changes in accounting estimates, and restatement of prior period financial statements

Changes in accounting policies due to revisions to accounting standards and other regulations:

No

Changes in accounting policies due to other reasons:

No

Changes in accounting estimates:

No

Restatement of prior period financial statements:

No

(3) Number of issued shares (common shares)

Total number of issued shares at the end of the period (including treasury shares)

As of May 31, 2021

11,772,626 shares

As of May 31, 2020

11,772,626 shares

Number of treasury shares at the end of the period

As of May 31, 2021

106,548 shares

As of May 31, 2020

106,041 shares

Average number of shares during the period

Year ended May 31, 2021

11,666,385 shares

Year ended May 31, 2020

11,698,661 shares

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Consolidated financial statements

Consolidated balance sheets

			(Thousands of yen)
		As of May 31, 2020	As of May 31, 2021
Assets
Current assets
Cash and deposits	4,744,528	5,819,502
Notes and accounts receivable - trade	22,835,109	21,887,080
Merchandise	8,464,509	8,150,033
Other	1,463,318	1,608,926
Allowance for doubtful accounts	(23,063)	(21,979)
Total current assets	37,484,403	37,443,562
Non-current assets
Property, plant and equipment
Buildings and structures, net	2,011,810	2,193,242
Land	4,210,675	4,009,290
Other, net	266,289	235,076
Total property, plant and equipment	6,488,776	6,437,610
Intangible assets	96,119	733,683
Investments and other assets
Investment securities	1,981,177	2,153,610
Deferred tax assets	323,309	281,375
Other	441,919	421,366
Allowance for doubtful accounts	(23,087)	(19,177)
Total investments and other assets	2,723,319	2,837,175
Total non-current assets	9,308,215	10,008,469
Total assets		46,792,619	47,452,032

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			(Thousands of yen)
		As of May 31, 2020	As of May 31, 2021
Liabilities
Current liabilities
Notes and accounts payable - trade	22,903,100	22,522,053
Income taxes payable	234,102	250,761
Other	1,511,088	1,325,948
Total current liabilities	24,648,291	24,098,762
Non-current liabilities
Retirement benefit liability	1,403,591	1,330,235
Provision for share awards for directors (and other	16,192	39,368
officers)
Other	323,016	286,711
Total non-current liabilities	1,742,801	1,656,315
Total liabilities	26,391,092	25,755,078
Net assets
Shareholders' equity
Share capital	1,491,267	1,491,267
Capital surplus	1,765,224	1,765,224
Retained earnings	16,604,614	17,711,991
Treasury shares	(129,522)	(130,303)
Total shareholders' equity	19,731,583	20,838,179
Accumulated other comprehensive income
Valuation difference on available-for-sale securities	739,804	856,070
Foreign currency translation adjustment	(41,850)	(24,937)
Remeasurements of defined benefit plans	(28,188)	27,435
Total accumulated other comprehensive income	669,765	858,569
Non-controlling interests	177	205
Total net assets	20,401,526	21,696,954
Total liabilities and net assets		46,792,619	47,452,032

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Consolidated statements of income and consolidated statements of comprehensive income Consolidated statements of income

			(Thousands of yen)
		Fiscal year ended	Fiscal year ended
		May 31, 2020	May 31, 2021
Net sales	58,179,890	60,779,093
Cost of sales	49,047,518	51,352,635
Gross profit	9,132,372	9,426,457
Selling, general and administrative expenses	7,644,901	7,765,058
Operating profit	1,487,470	1,661,398
Non-operating income
Interest income	3,626	3,607
Dividend income	34,198	37,062
Rental income from buildings	67,269	67,956
Other	38,210	41,291
Total non-operating income	143,304	149,917
Non-operating expenses
Interest expenses	12,777	12,178
Foreign exchange losses	4,638	32,699
Other	61	758
Total non-operating expenses	17,477	45,636
Ordinary profit	1,613,297	1,765,679
Extraordinary income
Gain on sale of non-current assets	42,411	35,992
Gain on sale of investment securities	774	3,044
Compensation for forced relocation	-	166,682
Total extraordinary income	43,185	205,719
Extraordinary losses
Loss on disposal of non-current assets	31,762	41,235
Impairment losses	-	57,447
Total extraordinary losses	31,762	98,682
Profit before income taxes	1,624,721	1,872,716
Income taxes - current	492,236	470,209
Income taxes - deferred	9,982	(33,602)
Total income taxes	502,218	436,606
Profit	1,122,502	1,436,109
Profit attributable to non-controlling interests	13	43
Profit attributable to owners of parent		1,122,488	1,436,066

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