Konoike Transport : Data

Chapter 05

Financial Highlights

Profit and Loss

	FY3/2013	FY3/2014	FY3/2015	FY3/2016
Net Sales	2,277	2,315	2,449	2,525
Operating Income	76	79	93	102
(Profit margin)	3.4%	3.4%	3.8%	4.1%
Ordinary income	75	80	95	107
Profit attributable to owners of parent	39	43	54	64

Financial Condition

Total assets	1,708	1,743	1,928	1,917
Shareholders' equity	692	733	829	865
Interest-bearing debt	460	408	448	421
Equity ratio (Shareholders' equity / Total assets)	40.6%	42.1%	43.0%	45.2%
D/E ratio (Interest-bearing debt / Shareholders' equity)	0.7 times	0.6 times	0.5 times	0.5 times

Cash Flows

Cash flows from operating activities	104	145	154	112
Cash flows from investing activities	(54)	(95)	(98)	(125)
Cash flows from financing activities	20	(69)	18	(52)
Free cash flows (Op. CF + Inv. CF)	49	50	56	(12)
Cash and cash equivalents at end of period	198	186	264	199

Major Indicators

Return on equity ratio (ROE)	6.1%	6.1%	6.9%	7.6%
Return On Invested Capital (ROIC)	4.2%	4.1%	4.6%	4.8%
Net Operating Profit After Taxes (NOPAT)	53	54	64	71

KONOIKE STORY

The Future and Our Strategies

Sustainability

Foundation Supporting Value Creation

Data

					(¥ hundred million)
FY3/2017	FY3/2018	FY3/2019	FY3/2020	FY3/2021	FY3/2022
2,583	2,767	2,941	3,108	2,923	3,013
102	110	109	96	39	102
4.0%	4.0%	3.7%	3.1%	1.4%	3.4%
107	115	113	95	93	118
73	70	62	45	48	79
2,046	2,118	2,132	2,234	2,587	2,577
919	978	982	961	1,015	1,109
466	427	450	551	892	756
44.9%	46.2%	46.1%	43.0%	39.2%	43.0%
0.5 times	0.4 times	0.5 times	0.6 times	0.9 times	0.7 times
165	143	58	183	144	167
(62)	(99)	(86)	(165)	(109)	(64)
14	(64)	(38)	35	311	(154)
102	43	(28)	18	35	103
313	291	222	276	622	576
8.2%	7.4%	6.4%	4.7%	4.9%	7.5%
4.6%	4.7%	4.6%	3.9%	1.4%	3.4%
70	76	76	67	27	71

Consolidated Profit Performance (5 Years)

Net Sales

Operating Income

Profit attributable to owners of parent

Operating income margin

(¥ hundred million)

(¥ hundred million)

		2,941	3,108	2,923	3,013
3,000	2,767		200
	4.0 %	3.7 %
				3.4 %
			3.1 %
2,000
	110	109			102
			96
				100
	70			1.4 %	79
1,000	62
			45	39 48
0					0
	FY3/2018	FY3/2019	FY3/2020	FY3/2021	FY3/2022

Consolidated Balance Sheet Performance (5 Years)

Shareholders' equity

Interest-bearing debt

D/E ratio (Interest-bearing debt / Shareholders' equity)

(¥ hundred million)	(times)
1,500	1.0
0.9 times

				1,015	1,109
	978	982	961	0.7 times
1,000
			0.6 times	892	0.5
		0.5 times			756
500	0.4 times		551
	427	450
0					0
	FY3/2018	FY3/2019	FY3/2020	FY3/2021	FY3/2022

Consolidated Cash Flow Performance (5 Years)

(¥ hundred million)
400	Cash flows from operating activities
	Cash flows from investing activities
	Cash flows from financing activities
	FCF (Op. CF + Inv. CF)
300				311
200			35
100			183		103
143		144
			167
	43			35
		58	18
0
		-28			-64
	-99		-109
	-86
		-165
-100		-38
	-64				-154
	FY3/2018	FY3/2019	FY3/2020	FY3/2021	FY3/2022

ROE/ROIC (5 Years)

Profit attributable to owners of parent

ROE
(¥ hundred million)				(%)
100				10.0
7.4%	6.4%			7.5%
			7.5
		4.7%	4.9%
			5.0
50
70	62		48	79
	45	2.5
0				0
FY3/2018	FY3/2019	FY3/2020	FY3/2021	FY3/2022
Net Operating Profit After Taxes
ROIC
(¥ hundred million)				(%)
4.7%	4.6%			5.0
100
		3.9%		3.4%
50				2.5
		1.4%
76	76	67	71
0			27	0
FY3/2018	FY3/2019	FY3/2020	FY3/2021	FY3/2022

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Chapter 05

Analysis of Business Status/Corporate Performance, Etc.

KONOIKE STORY

The Future and Our Strategies

Sustainability

Foundation Supporting Value Creation

Data

Performance and Business Status

Management Performance and Financial Condition

During FY3/2022, the economy of Japan experienced a recovery in capital investment and production, particularly in the manufacturing industry, despite a shortage of semiconductors and other issues. However, the COVID-19 pandemic has yet to subside, while state of emergency declarations and priority measures to prevent the spread of the disease have been repeatedly issued and lifted. It appears that it will take time

for socioeconomic activities to normalize. In addition, trends in COVID-19 infections in Japan and abroad, as well as the situation in Ukraine, have caused soaring prices of crude oil and other resources, stagnation in international logistics, and a depreciation in the value of the yen. We have no choice but to say that the future remains uncertain.

Amid these circumstances, the KONOIKE Group formulated single-year FY3/2022 Policy to focus on improving profit ratios. We are engaged in four initiatives consisting of improving profit ratios, improving efficiencies, strengthening competitiveness, and engaging in cross-division collaboration, and we have seen positive results in each area. Specifically, we made steady progress in 20 operating locations designated as businesses for profit improvement. In our Airport-Related Business, we have endeavored to win orders for international cargo flights, even as the recovery of international passenger flights remains uncertain. At the same time, we continue to support and transfer human resources within and outside the group, building a workforce that keeps pace with the recovery in demand.

In November 2021, we established the Sustainability Basic Policy and the Sustainability Committee. As we build on the result of activities based on our Corporate Philosophy to date, we pursue company-wide efforts to solve and eliminate issues surrounding sustainability, including the SDGs, ensuring all executives and employees can put these efforts into practice.

In terms of financial results for FY3/2022, net sales amounted to ¥301,373 million, a ¥9,024 million (+3.1%) increase year on year. In the previous fiscal year, we saw stagnation of production and logistics in Japan and overseas due to the COVID-19, a significant reduction in international passenger flights, and production cuts in the steel industry. This fiscal year, net sales were affected by the adoption of the Accounting Standard for Revenue Recognition (¥14,376 million decrease, or -4.9%). Positive factors this fiscal year included a decreasing impact of COVID-19 on production and distribution, as well as higher ocean and air freight rates, production recovery in the steel-related industry, and the opening of new distribution centers and other facilities.

Despite soaring fuel prices, operating income amounted to ¥10,288 million (157.3% increase year on year), mainly due to an effective increase in sales (adoption of Accounting Standard for Revenue Recognition: ¥23,400 million increase, or +8.0%), as well as the Structural Reform Plan launched in spring 2020, profit ratio improvements as part of our FY3/2022 Policy, introduced in April this fiscal year, personnel reassignments, including those with multiple skills, the receipt of appropriate unit prices, and advancements in operating efficiencies. Ordinary income amounted to ¥11,845 million (26.1% increase), despite a decrease in the Employment Adjustment

Subsidy. Profit attributable to owners of parent amounted to ¥7,988 million (65.2% increase), stemming from sales of strategic shareholdings.

Performance by segment was as follows. Note that segment income is operating income before deducting corporate expenses such as general and administrative expenses.

• Integrated Solutions Business
  The impact of the Accounting Standard for Revenue Recognition amounted to a decrease of ¥8,974 million, or -4.9%. In addition, we saw the issuance of two emergency declarations, priority measures to prevent the spread of infections, and the completion of large-scale construction projects in the Environmental & Engineering-Related Business in the previous fiscal year. However, the impact of COVID-19 decreased compared to the previous fiscal year, while customers experienced production recoveries, mainly in the manufacturing industry and construction materials industry in connection with our steel-related business. Combined with the contribution of newly opened distribution centers, net sales amounted to ¥181,342 million (1.9% decrease year on year). On the other hand, profit amounted to ¥10,224 million (96.6% increase) as a result of the effect of increased sales (+¥5,450 million, or +2.9%, after taking into account the impact of the Accounting Standard on Revenue Recognition). Other positive factors included a recovery in volume, improved operating efficiencies, growth in cargo handling operations, the opening of new offices, and proactive efforts to assign personnel in the Airport-Related Business appropriately (Q4 cumulative total: 61,471 employees, up 14,002 compared with FY3/2021).
• Domestic Logistics Business
  Net sales amounted to ¥51,754 million (0.9% increase year on year), mainly due to a recovery in cargo volume, which had declined due to COVID-19. Profit rose 7.0% year on year to ¥2,985 million, resulting from efforts to improve profitability through the receipt of appropriate unit prices and bottom-to- top streamlining of in operations, in addition to the effect of increased sales.
• International Logistics Business
  Despite the impact of the Accounting Standard for Revenue Recognition (¥5,320 million decrease, -9.5%), we saw a decrease in impact of COVID-19, a sharp rise in ocean and air freight rates and the associated expansion of transaction volume to Europe via the Middle East, and an increase in transaction volume due to economic recovery in China, the United States and ASEAN, etc. As a result, net sales amounted to ¥68,275 million (21.5% increase year on year), while profit amounted to ¥3,268 million (89.5% increase).

(Note) Beginning FY3/2022, KONOIKE Transport changed the assignment of the business division for certain affiliates belonging to business divisions in each reportable segment due to changes in major customers and business details. Therefore, figures below FY3/2021 reflect the referenced changes in assigned business divisions for consolidated year-on-year comparisons.

Total assets

As of the end of FY3/2022, total assets amounted to ¥257,764 million, a decrease of ¥1,034 million compared to the end of FY3/2021.

Current Assets

As of the end of FY3/2022, total assets amounted to ¥123,899 million, an increase of ¥697 million compared to the end of FY3/2021. This result was mainly due to an increase of ¥4,681 million increase in notes and accounts receivable-trade, and contract assets, an increase of ¥219 million in other current assets, and a ¥4,305 million decrease in cash and deposits.

Fixed Assets

As of the end of FY3/2022, fixed assets amounted to ¥133,864 million, a decrease of ¥1,731 million compared to the end of FY3/2021. This result was mainly due to a decrease of ¥1,006 million decrease in investment securities and a ¥925 million yen decrease in lease assets.

Total Liabilities

As of the end of FY3/2022, total liabilities amounted to ¥144,472 million, a decrease of ¥9,526 million compared to the end of FY3/2021.

Current Liabilities

As of the end of FY3/2022, current liabilities amounted to ¥51,010 million, a decrease of ¥8,462 million compared to the end of FY3/2021. This result was mainly due to a decrease of ¥10,000 million in current portion of bonds, a decrease of ¥2,934 million in short-term borrowings, an increase of ¥3,172 million in notes and accounts payable, and an increase of ¥923 million in current portion of long-term borrowings.

Long-Term Liabilities

As of the end of FY3/2022, long-term liabilities amounted to

¥93,462 million, a decrease of ¥1,063 million compared to the end of FY3/2021. This result was mainly due to a decrease of ¥1,069 million in long-term borrowings.

Net Assets

As of the end of FY3/2022, net assets amounted to ¥113,291 million, an increase of ¥8,492 million compared to the end of FY3/2021. This result was mainly due to an increase of ¥6,836 million in retained earnings and an increase of ¥1,839 million in foreign currency translation adjustments.

Cash Flows

Cash Flows from Operating Activities

Net cash provided by operating activities for FY3/2022 amounted to ¥16,749 million, an increase of ¥2,283 million compared to FY3/2021. This result was mainly due to net income before income taxes of ¥12,014 million, depreciation and amortization of ¥8,201 million, and income taxes paid of ¥4,417 million.

Cash Flows from Investing Activities

Net cash used in investing activities for FY3/2022 amounted to ¥6,424 million, a decrease of ¥4,505 million compared to FY3/2021. This result was mainly due to ¥7,942 million in purchases of property, plant and equipment and ¥1,042 million in proceeds from the sale of property, plant and equipment.

Cash Flows from Financing Activities

Net cash used in financing activities for FY3/2022 amounted to

¥15,441 million, compared to net cash provided of ¥31,148 million in FY3/2021. This result was mainly due to cash outlays of ¥10,000 million in redemption of bonds, a net decrease of ¥2,976 million in short-term borrowings, and ¥1,159 million in dividends paid.

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Chapter 05

Consolidated Financial Statements

KONOIKE STORY

The Future and Our Strategies

Sustainability

Foundation Supporting Value Creation

Data

Consolidated Balance Sheets

(Millions of yen)

As of March 31, 2021 As of March 31, 2022

(Millions of yen)

As of March 31, 2021 As of March 31, 2022

Consolidated statements of income

(Millions of yen)

As of March 31, 2021 As of March 31, 2022

Consolidated Statements of Comprehensive Income

(Millions of yen)

As of March 31, 2021 As of March 31, 2022

Assets
Current assets
Cash and deposits	63,397	59,092
Notes and accounts receivable - trade	55,032	－
Notes and accounts receivable-trade, and contract assets	－	59,713
Costs on uncompleted works	85	71
Supplies	1,552	1,591
Other	3,519	3,739
Allowance for doubtful accounts	(385)	(308)

Liabilities
Current liabilities
Notes and accounts payable - trade	14,446	17,618
Short-term borrowings	7,883	4,949
Current portion of bonds	10,000	－
Current portion of long-term borrowings	1,697	2,620
Provision for director bonuses	126	320
Accrued expenses	11,277	11,652
Income taxes payable	2,374	2,716

Net sales	292,348	301,373
Cost of sales	272,787	275,527
Gross profit	19,561	25,846
Selling, general and administrative expenses	15,563	15,557
Operating income	3,997	10,288
Non-operating income
Interest income	101	65
Dividend income	279	314
Foreign exchange gains	58	215

Profit

Other comprehensive income Valuation difference on available-for-sale securities Foreign currency translation adjustment Remeasurements of defined benefit plans, net of tax Share of other comprehensive income of entities accounted for using equity method

4,6307,809

985(217)

1. 1,831

1,751381

494

Total current assets	123,202	123,899
Non-current assets
Property, plant and equipment
Buildings and structures	114,967	117,917
Accumulated depreciation	(71,327)	(73,119)
Buildings and structures, net	43,639	44,797
Machinery, equipment and vehicles	48,949	50,714
Accumulated depreciation	(40,123)	(39,915)
Machinery, equipment and vehicles, net	8,825	10,799
Land	41,908	41,661
Leased assets	7,769	5,700
Accumulated depreciation	(3,828)	(2,685)
Leased assets, net	3,941	3,015
Construction in progress	3,118	657
Other	8,991	9,077
Accumulated depreciation	(7,480)	(7,385)
Other, net	1,511	1,692
Total property, plant and equipment	102,946	102,623
Intangible assets
Goodwill	2,080	1,800
Other	4,183	4,158
Total intangible assets	6,264	5,959
Investments and other assets
Investment securities	13,296	12,290
Long-term loans receivable	398	345
Deferred tax assets	5,382	5,676
Retirement benefit asset	193	170
Other	7,280	6,975
Allowance for doubtful accounts	(165)	(176)
Total investments and other assets	26,385	25,281
Total non-current assets	135,595	133,864
Total assets	258,798	257,764

Other	11,668	11,131
Total current liabilities	59,473	51,010
Non-current liabilities
Bonds payable	55,000	55,000
Long-term borrowings	10,176	9,107
Lease obligations	2,235	2,693
Deferred tax liabilities	601	492
Deferred tax liabilities for land revaluation	1,293	1,219
Retirement benefit liability	21,092	21,502
Retirement allowance for directors	138	142
Long-term accounts payable - other	1,542	682
Other	2,443	2,622
Total non-current liabilities	94,525	93,462
Total liabilities	153,999	144,472
Net assets
Shareholders' equity
Share capital	1,723	1,723
Capital surplus	1,908	1,908
Retained earnings	107,728	114,564
Share capital	(7,288)	(6,596)
Total shareholders' equity	104,072	111,599
Accumulated other comprehensive income
Valuation difference on available-for-sale securities	4,277	4,054
Revaluation reserve for land	(5,030)	(5,182)
Foreign currency translation adjustment	(510)	1,328
Remeasurements of defined benefit plans	(1,253)	(869)
Total accumulated other comprehensive income	(2,517)	(667)
Share acquisition rights	459	－
Non-controlling interests	2,784	2,358
Total net assets	104,798	113,291
Total liabilities and net assets	258,798	257,764

Reversal of allowance for doubtful accounts	24	7
Gain on reversal of loss on valuation of investment securities	489	0
Rental income	149	144
Employment adjustment subsidy	4,734	1,111
Other	553	484
Total non-operating income	6,390	2,343
Non-operating expenses
Interest expenses	255	299
Loss on valuation of investment securities	0	3
Bond issuance expenses	196	－
Equity in losses of affiliates	362	273
Allowance for doubtful accounts	1	91
Other	174	118
Total non-operating expenses	991	785
Ordinary profit	9,397	11,845
Extraordinary income
Gain on sales of non-current assets	236	511
Gain on sales of investment securities	752	1,056
Other	32	47
Total extraordinary income	1,022	1,616
Extraordinary losses
Loss on sales and retirement of non-current assets	111	308
Loss on valuation of investment securities	3	9
Loss on valuation of investments in capital of affiliates	73	－
Impairment loss	1,315	880
Other	8	247
Total extraordinary losses	1,512	1,446
Profit before income taxes	8,906	12,014
Income taxes - current	4,174	4,720
Income taxes - deferred	100	(515)
Total income taxes	4,275	4,205
Profit	4,630	7,809
Profit (loss) attributable to non-controlling interests	(205)	(179)
Profit attributable to owners of parent	4,836	7,988

Total other comprehensive income	1,947	2,090
Comprehensive income	6,578	9,899
Comprehensive income attributable to
Comprehensive income	6,757	9,990
attributable to owners of parent
Comprehensive income attributable	(178)	(90)
to non-controlling interests

See our FY3/2022 Securities Report for more detail regarding financial results.

https://www.konoike.net/ir/library/valuable.html

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Chapter 05

Consolidated Financial Statements

Consolidated Statements of Shareholders' Equity

FY3/2022									(Millions of yen)
				Shareholders' equity
	Share capital	Capital surplus	Retained earnings	Share capital	Total shareholders' equity
Balance at beginning of current period		1,723	1,908		107,728	(7,288)		104,072
Cumulative effects of changes in accounting policies						(73)			(73)
Restated balance			1,723	1,908		107,654	(7,288)		103,998
Changes of items during period
Dividends of surplus						(1,159)			(1,159)
Profit attributable to owners of parent						7,988			7,988
Increase in retained earnings due to an increase in consolidated subsidiaries						93			93
Increase in retained earnings due to a decrease in consolidated subsidiaries						2			2
Purchase of treasury shares							(0)		(0)
Disposal of treasury shares				(166)			691		525
Transfer of loss on disposal of treasury shares				166		(166)			－
Reversal of revaluation reserve for land						151			151
Net changes of items other than shareholders' equity
Total changes of items during period			－	－		6,910	691		7,601
Balance at end of current period		1,723	1,908		114,564	(6,596)		111,599
			Accumulated other comprehensive income		Share acquisition	Non-controlling
	Valuation difference on		Revaluation	Foreign currency	Remeasurements of	Total accumulated other	Total net assets
	available-for-sale securities	reserve for land	translation adjustment	defined benefit plans	comprehensive income	rights	interests
Balance at beginning of current period	4,277		(5,030)	(510)	(1,253)	(2,517)	459	2,784	104,798
Cumulative effects of changes in accounting policies									(73)
Restated balance	4,277		(5,030)	(510)	(1,253)	(2,517)	459	2,784	104,725
Changes of items during period
Dividends of surplus									(1,159)
Profit attributable to owners of parent									7,988
Increase in retained earnings due to an increase in consolidated subsidiaries									93
Increase in retained earnings due to a decrease in consolidated subsidiaries									2
Purchase of treasury shares									(0)
Disposal of treasury shares									525
Transfer of loss on disposal of treasury shares									－
Reversal of revaluation reserve for land									151
Net changes of items other than shareholders' equity	(223)		(151)	1,839	384	1,850	(459)	(425)	964
Total changes of items during period	(223)		(151)	1,839	384	1,850	(459)	(425)	8,566
Balance at end of current period	4,054		(5,182)	1,328	(869)	(667)	－	2,358	113,291
FY3/2021									(Millions of yen)
				Shareholders' equity
	Share capital	Capital surplus	Retained earnings	Share capital	Total shareholders' equity
Balance at beginning of current period		1,723	1,908		103,972	(7,324)		100,278
Cumulative effects of changes in accounting policies									－
Restated balance			1,723	1,908		103,972	(7,324)		100,278
Changes of items during period
Dividends of surplus						(1,416)			(1,416)
Profit attributable to owners of parent						4,836			4,836
Increase in retained earnings due to an increase in consolidated subsidiaries									－
Increase in retained earnings due to a decrease in consolidated subsidiaries									－
Purchase of treasury shares									－
Disposal of treasury shares				(5)			36		31
Transfer of loss on disposal of treasury shares				5		(5)			－
Reversal of revaluation reserve for land						342			342
Net changes of items other than shareholders' equity
Total changes of items during period			－	－		3,756	36		3,793
Balance at end of current period		1,723	1,908		107,728	(7,288)		104,072
			Accumulated other comprehensive income		Share acquisition	Non-controlling
	Valuation difference on		Revaluation	Foreign currency	Remeasurements of	Total accumulated other	Total net assets
	available-for-sale securities	reserve for land	translation adjustment	defined benefit plans	comprehensive income	rights	interests
Balance at beginning of current period	3,294		(4,688)	237	(2,939)	(4,096)	397	2,992	99,572
Cumulative effects of changes in accounting policies						－			－
Restated balance	3,294		(4,688)	237	(2,939)	(4,096)	397	2,992	99,572
Changes of items during period
Dividends of surplus									(1,416)
Profit attributable to owners of parent									4,836
Increase in retained earnings due to an increase in consolidated subsidiaries									－
Increase in retained earnings due to a decrease in consolidated subsidiaries									－
Purchase of treasury shares									－
Disposal of treasury shares									31
Transfer of loss on disposal of treasury shares									－
Reversal of revaluation reserve for land									342
Net changes of items other than shareholders' equity	982		(342)	(747)	1,685	1,578	62	(207)	1,433
Total changes of items during period	982		(342)	(747)	1,685	1,578	62	(207)	5,226
Balance at end of current period	4,277		(5,030)	(510)	(1,253)	(2,517)	459	2,784	104,798

KONOIKE STORY

The Future and Our Strategies

Sustainability

Foundation Supporting Value Creation

Data

Consolidated Statements of Cash Flows

		(Millions of yen)
	FY3/2021	FY3/2022
Cash flows from operating activities
Profit before income taxes	8,906	12,014
Depreciation	8,138	8,201
Impairment loss	1,315	880
Amortization of goodwill	365	279
Increase (decrease) in allowance for doubtful accounts	305	(93)
Increase (decrease) in retirement benefit liability	330	500
Increase (decrease) in provision for directors' retirement benefits	(6)	12
Interest and dividend income	(381)	(380)
Rental income	(149)	(144)
Loss on valuation of investment securities	3	9
Loss on valuation of investments in capital of affiliates	73	－
Loss (gain) on valuation of investment securities	0	3
Gain on reversal of loss on valuation of investment securities	(489)	(0)
Interest expenses	255	299
Bond issuance expenses	196	－
Foreign exchange losses (gains)	(81)	(184)
Share of (profit) loss of entities accounted for using equity method	362	273
Employment adjustment subsidy	(4,734)	(1,111)
Gain on sales of non-current assets	(236)	(511)
Loss (gain) on sales of investment securities	(752)	(1,046)
Loss on sales and retirement of non-current assets	111	308
Decrease (increase) in trade receivables	599	(4,095)
Decrease (increase) in inventories	96	(28)
Decrease (increase) in other assets	(238)	(220)
Increase (decrease) in trade payables	516	2,959
Increase (decrease) in other liabilities	(1,049)	383
Other, net	637	1,434
Subtotal	14,095	19,741
Interest and dividends received	395	357
Interest paid	(232)	(306)
Rent revenue	128	123
Employment adjustment subsidy received	4,549	1,251
Income taxes paid	(4,470)	(4,417)
Net cash provided by (used in) operating activities	14,465	16,749
Cash flows from investing activities
Decrease (increase) in time deposits	608	(170)
Net decrease (increase) in short-term loans receivable	(77)	8
Purchase of property, plant and equipment	(12,665)	(7,942)
Proceeds from sales of property, plant and equipment	1,533	1,042
Purchase of intangible assets	(917)	(982)
Purchase of investment securities	(75)	(101)
Proceeds from sales of investment securities	806	1,651
Long-term loan advances	(11)	(9)
Collection of long-term loans receivable	40	20
Purchase of shares of subsidiaries resulting in change in scope of consolidation	(36)	－
Payments for sales of shares of subsidiaries resulting in a change in scope of consolidation	－	(37)
Other	(134)	95
Net cash provided by (used in) investing activities	(10,929)	(6,424)
Cash flows from financing activities
Net increase (decrease) in short-term borrowings	(1,181)	(2,976)
Proceeds from issuance of bonds	34,803	－
Redemption of bonds	－	(10,000)
Proceeds from long-term borrowings	922	1,570
Repayments of long-term borrowings	(758)	(1,562)
Dividends paid	(1,416)	(1,159)
Dividends paid to non-controlling interests	(27)	(29)
Repayments of finance lease obligations	(863)	(906)
Proceeds from share issuance to non-controlling shareholders	－	48
Other, net	(329)	(423)
Net cash provided by (used in) financing activities	31,148	(15,441)
Effect of exchange rate change on cash and cash equivalents	(158)	364
Net increase (decrease) in cash and cash equivalents	34,526	(4,751)
Cash and cash equivalents at beginning of period	27,691	62,217
Increase in cash and cash equivalents resulting from inclusion of subsidiaries in consolidation	－	162
Cash and cash equivalents at end of period	62,217	57,628

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Chapter 05

Sustainability Data

Category		Indicators	Units	FY3/2020	FY3/2021	FY3/2022
		Actual Solar Power Generated*1	Total Power Generated	kWh	15,263,726	16,776,309	16,390,422
			Diesel	kℓ	30,333	25,847	25,393
			Electric Power	Thousand kWh	96,147	94,684	95,829
			Kerosene	kℓ	126	87	55
			Gasoline	kℓ	938	910	786
		Total Energy Input	A Fuel Oil	kℓ	347	346	387
		Volume*2	BC Fuel Oil	kℓ	1,575	1,614	1,636
			Town Gas	km3	67	71	113
			Natural Gas	km3	1,935	2,082	1,967
			Propane Gas	t	52	56	54
			Coal Coke	t	11,169	12,064	12,475
			CO2 Emissions*2	t-CO2	186,363	170,625	166,991
		CO2 Emissions	CO2 Emissions Reduction Due to Solar Power Generation*1	t-CO2	7,449	7,885	7,425
			Reduction in CO2 Emissions from Modal Shift (t-CO2)*2	t-CO2	7,063	5,734	5,721
			Diesel	t-CO2	78,259	66,684	65,514
			Electric Power	t-CO2	52,977	50,585	44,998
			Kerosene	t-CO2	313	218	136
Environment		Gasoline	t-CO2	2,175	2,111	1,824
			A Fuel Oil	t-CO2	939	937	1,048
		Detail of CO2 Emissions*2
		BC Fuel Oil	t-CO2	4,724	4,842	4,907
			Town Gas	t-CO2	149	158	251
			Natural Gas	t-CO2	4,295	4,623	4,367
			Propane Gas	t-CO2	155	167	162
			Coal Coke	t-CO2	35,406	38,243	39,545
			Other	t-CO2	6,971	2,056	4,238
			Post-post-newlong-termregulation-compliant vehicles	Vehicles	213	266	308
			Post-newlong-termregulation-compliant vehicles	Vehicles	479	478	463
		Low-Emission Vehicle	New long-termregulation-compliant vehicles	Vehicles	212	153	131
		Hybrid Vehicles	Vehicles	43	42	42
		Implementation Status*3
		Electric Vehicles	Vehicles	8	8	9
			CNG Vehicles	Vehicles	15	13	14
			LPG Vehicles	Vehicles	1	1	1
		Transportation Ton-	Transportation Ton-Kilometers	10 ,00 t/km	18,121	17,558	17,297
		CO2 Emissions	t-CO2	27,023	28,448	28,000
		Kilometers*3
		Output Level		0.578	0.628	0.608
	Work Hours	Front-Line Workers*3	Annual Work Hours (Avg.)	Hours	2,307.6	2,215.3	2,250.9
	and Days of		Days of Paid Leave Taken (Avg.)	Days	12.8	11.1	11.3
	Paid Leave	Career-Track*3	Annual Work Hours (Avg.)	Hours	2,109.6	2,137.8	2,204.1
	Taken
	Days of Paid Leave Taken (Avg.)	Days	7.8	8.2	8.5
			Number of Employees	People	8,582	8,530	8,456
		Front-Line Workers*3	Percent of Female Employees	%	8.2	8.7	8.9
People	New Graduates Hired	People	175	127	151
	Mid-Career Hires	People	683	397	451
	Human		Number of Employees	People	1,065	1,077	1,057
		Percent of Female Employees	%	16.0	16.1	16.2
	Resources
		Number of Managers (Office/Department Manager and Above)	People	457	459	455
		Career-Track*3	Percent of Female Managers	%	2.6	2.6	2.9
			New Graduates Hired	People	50	53	38
			Mid-Career Hires	People	33	5	8
			Percent of Disabled Persons Hired (Data from June each Fiscal Year)	%	2.5	2.5	2.4
			Workplace Accidents	Incidents	131	109	105
			Automobile Incidents	Incidents	61	58	58
Technology	Safety and Quality*1
Quality Incidents	Incidents	62	40	39
			Rate of Incidents		2.34	2.31	2.05
			Rate of Lost Worktime Incidents		0.39	0.36	0.31
			Directors	People	8	7	5
			Including Outside Directors	People	3	3	3
		Composition of the	Including Female Directors	People	1	1	1
Governance	Board of Directors*3	Full-Time Audit & Supervisory Board Members	People	4	4	4
			Including External Audit & Supervisory Board Members	People	2	2	2
			Including Female Audit & Supervisory Board Members	People	0	1	1
		Board of Directors*3	No. of Board Meetings Held	Times	16	15	16

*1 KONOIKE Group total *2 Japan consolidated total *3 Non-consolidated

KONOIKE STORY

The Future and Our Strategies

Sustainability

Foundation Supporting Value Creation

Data

Company Data

Group Network

Operating Bases in Japan (As of September 1, 2022)

No. of Bases in Japan	193
Konoike Transport Co., Ltd.		164		Hokkaido and Tohoku Areas
■ Head Office		2		Branches	1
Branches		18
		Office	4
Office		144
Affiliated Group Companies		29
Chubu Area			Kanto and Koshinetsu Areas
Branches		2
	Branches	7
Office		16
	Office	63
			1
Affiliated Group Companies	Affiliated Group Companies	16

0Tokyo Head Office

Kyushu Area

Branches	2	Osaka Head Office
Office	5			Kansai Area
Affiliated Group Companies	3			Branches	6
		Chugoku and Shikoku Areas	Office	52
		Affiliated Group Companies	8
		Office	4
		Affiliated Group Companies	1

Operating Bases Overseas (As of September 1, 2022)

No. of Bases Overseas (12 Countries)	33
●Affiliates	31
	Bases in North and Central America
(■ Branches and Warehouses of Affiliates)
▲Rep. Offices	2		United States

Los Angeles

Bases in Asia		Tianjin
			Qingdao
			Wuxi	Changshu	Mexico
			Suzhou
			Shanghai
	China		Guadalajara
New Delhi	Hangzhou
Ningbo
Gurgaon		Shenzhen	Xiamen
Bangladesh		Bases in Europe
	Guangzhou
			Hong Kong

India	Dhaka Myanmar	Hanoi

Hai Duong

Yangon			Thailand	Hai Phong	Manila
			Da	Nang	Cabuyao	Düsseldorf
Bangkok					Viet Nam
						Baria Buntau		Philippines	Germany
					Ho Chi Minh

Singapore

Singapore

Indonesia

Jakarta

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