Kawasaki Heavy Industries : Report of Earnings and Financial Statements for the Fiscal Year Ended March 31, 2021 (Consolidated) ...

Report of Earnings and Financial Statements for the

Fiscal Year Ended March 31, 2021 (Consolidated)

(Prepared pursuant to Japanese GAAP)

May 11, 2021

Listed company's name:	Kawasaki Heavy Industries, Ltd.
Listed on:	1st sections of the TSE, and NSE
Stock code:	7012
URL:	https://global.kawasaki.com/
Representative:	Yasuhiko Hashimoto, President and Chief Executive Officer
Contact:	Tatsuo Hoshino, Senior Manager, Accounting Department
Tel:	[phone]

Scheduled dates:

Ordinary general meeting of shareholders Commencement date of dividend payments Submission of financial statements

Supplementary materials to financial results

Financial Results Presentation

June 25, 2021

-

June 25, 2021

Available

Conducted (for institutional investors, analysts and the press)

(Amounts in millions of yen rounded down to the nearest millions of yen)

1. Consolidated Financial Results for the Fiscal Year Ended March 31, 2021

(April 1, 2020 - March 31, 2021)

(1) Operating Results

Years ended March 31		(Percentage figures indicate change compared with the previous fiscal year)
	Net sales	Operating income	Recurring profit	Profit attributable to
	owners of parent
	Millions of	%	Millions of	%	Millions of	%	Millions of	%
	yen		yen		yen		yen
2021	1,488,486	(9.3)	(5,305)	-	(2,855)	-	(19,332)	-
2020	1,641,335	2.9	62,063	(3.1)	40,429	6.8	18,662	(32.0)

Note: Comprehensive income	Fiscal year ended March 31, 2021:	¥12,848 million	-%
			Fiscal year ended March 31, 2020:	¥(3,049) million		-%
Years ended March 31
	Net income		Net income per	Return on equity		Return on assets		Operating income
	per share		share - diluted			margin
	Yen		Yen	%		%			%
2021	(115.73)		-	(4.2)		(0.1)			(0.4)
2020	111.72		-	4.0		2.1			3.8

For reference: Share of profit of entities accounted for using equity method

Fiscal year ended March 31, 2021: ¥ 411million

Fiscal year ended March 31, 2020: ¥ 1,255 million

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1. Financial Condition
   March 31

		Total assets			Net assets		Equity ratio	Net assets per share
		Millions of yen			Millions of yen	%	Yen
	2021	1,963,276			482,775	23.7	2,785.71
	2020	1,957,845			471,562	23.3	2,727.59
	For reference: Shareholders' equity	March 31, 2021:		¥ 465,332 million
					March 31, 2020:		¥ 455,627 million
(3) Cash Flow Position
	Years ended March 31				(Millions of yen)
		Cash flows from		Cash flows from		Cash flows from	Cash and cash equivalents
		operating activities		investing activities		financing activities	at end of period
	2021	34,601			(37,392)		23,093	122,166
	2020	(15,461)			(69,401)		115,803	102,546

2. Dividends

Years ended/ending March 31

Record		Dividend per share		Total		Dividends /
					dividends	Payout ratio
date or						Net assets
1Q	2Q	3Q	Year-end	Full year	paid	(consolidated)
term	(consolidated)
					(annual)
	Yen	Yen	Yen	Yen	Yen	Millions of	%	%
	yen
2020	-	35.00	-	0.00	35.00	5,846	31.3	1.3
2021	-	0.00	-	0.00	0.00	-	-	-
2022	-	-	-	-	30.00		29.5
(forecast)

Note: The Company's Articles of Incorporation stipulate that the last day of the second quarter and the last day of the fiscal year are the dates of record for dividends. Dividends forecast for the fiscal year ending March 31, 2022 has been prepared for the full fiscal year only. As it is not possible to forecast the interim and year-end dividends separately, only the total annual dividends are presented.

3. Forecast of Consolidated Earnings for the Fiscal Year Ending March 31, 2022

(April 1, 2021 - March 31, 2022)

(Percentage figures indicate change compared with the previous fiscal year)

	Net sales		Operating income	Recurring profit	Profit attributable to	Earnings
		owners of parent	per share
	Millions of	%	Millions of	%	Millions of	%	Millions of	%	Yen
	yen		yen		yen		yen
Full year	1,500,000	0.8	30,000	-	20,000	-	17,000	-	101.77

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Notes

1. Changes affecting the status of material subsidiaries (scope of consolidation): None
2. Changes in accounting policies, changes in accounting estimates, and correction of errors
3. 1. Changes in accounting policies in accord with revisions to accounting standards: None
   2. Changes in accounting policies other than (1): None
   3. Changes in accounting estimates: None
   4. Correction of errors: None
4. Number of shares issued and outstanding (common stock)
5. 1. Number of shares issued as of period-end (including treasury stock)

March 31, 2021:	167,080,532 shares
March 31, 2020:	167,080,532 shares

(2) Number of shares of treasury stock as of period-end

March 31, 2021:	38,282 shares
March 31, 2020:	36,587 shares

1. Average number of shares during respective periods

March 31, 2021:	167,043,192 shares
March 31, 2020:	167,044,577 shares

(Reference) Financial Results of the Company for the Fiscal Year Ended March 31, 2021 (April 1, 2020 - March 31, 2021)

(1) Operating Results

	Years ended March 31			(Percentage figures indicate change compared with the previous fiscal year)
			Net sales				Operating income	Recurring profit	Net Income
			Millions of	%		Millions of	%	Millions of	%	Millions of	%
			yen				yen		yen		yen
	2021		1,098,661 (12.1)		(50,722)	-	(35,544)	-	(35,788)	-
	2020		1,250,354	4.6		20,463	34.6	17,141	80.0	10,822	(28.3)
			Net income		Net income per
			per share			share - diluted
			Yen				Yen
	2021		(214.24)			-
	2020		64.78			-

1. Financial Condition
   March 31

	Total assets		Net assets	Equity ratio	Net assets per share
	Millions of yen		Millions of yen	%	Yen
2021	1,630,571		287,749	17.6	1,722.61
2020	1,609,205		323,836	20.1	1,938.63
For reference: Shareholders' equity	March 31, 2021:	¥ 287,749 million
			March 31, 2020:	¥ 323,836 million

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*Report of Earnings and Financial Statements are not subject to audit. *Appropriate Use of Financial Forecasts and Other Important Matters

Forward-Looking Statements

These materials contain various forward-looking statements and other forecasts regarding performance and other matters. Such statements are based on information available at the time of their preparation, and do not mean that the Company promises to achieve these figures. Actual results may differ from those expressed or implied by forward-looking statements due to a range of factors. For assumptions underlying earnings forecasts and other information regarding the use of such forecasts, refer to "1. Overview of operating results (4) Consolidated earnings outlook" on page 12 in the Accompanying Materials.

How to Obtain Supplementary Material on Financial Results and Details of the Financial Results

The Company plans to conduct a presentation for institutional investors, analysts and the press on Tuesday May 11, 2021, and to post the presentation material on financial results to be used for the presentation on TDnet and the Company's website simultaneously with the announcement of financial results.

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Accompanying Materials - Contents

1.	Overview of operating results	6
	(1)	Consolidated operating results	6
	(2)	Consolidated financial condition	11
	(3)	Cash flows	11
	(4)	Consolidated earnings outlook	12
2.	Basic rationale for selecting accounting standards	12
3.	Consolidated Financial Statements	13
	(1)	Consolidated balance sheets	13
	(2)	Consolidated statements of income and comprehensive income	15
	(3) Consolidated statement of changes in net assets	17
	(4)	Consolidated statements of cash flows	20
	(5)	Notes on financial statements	21
		Notes on the going-concern assumption	21
		Related to consolidated statements of balance sheets	21
		Related to consolidated statements of income	21
		Segment information	22
		Per share data	25
		Material subsequent events	25
4.	Supplementary information on earnings forecasts for the fiscal year ending March 31, 2022	26

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