Kyokuyo : Summary of Consolidated Financial Results For the Year Ended March, 2021 (Based on Japanese GAAP)

Summary of Consolidated Financial Results

For the Year Ended March, 2021

(Based on Japanese GAAP)

May 14, 2021

Company name:	KYOKUYO CO., LTD.
Stock exchange listing:	Tokyo Stock Exchange, First Section
Stock code:	1301	URL https://www.kyokuyo.co.jp/en/

(Yen in millions, rounded down)

1. Consolidated Financial Results for the Year Ended March, 2021 (April 1, 2020- March 31, 2021)

(1) Consolidated Result of Operations (cumulative)		(% figures denote year-on-year change)
	Net Sales		Operating Profit	Ordinary Profit	Profit attributable to
		owners of parent
	Million yen		%	Million yen	%	Million yen	%	Million yen	%
Year Ended March, 2021	249,197		-5.1	4,657	59.6	4,879	35.2	3,838	88.4
Year Ended March, 2020	262,519		2.5	2,918	-23.8	3,608	-18.6	2,037	-30.1

(Note) Comprehensive Income : The year ended March, 2021	¥8,410 million (445.5% )
	The year ended March, 2020	¥1,541 million (-51.1% )
		Diluted Profit	Profit to	Ordinary Profit to	Operating Profit
	Profit per Share	Shareholder's	to Net Sales
	Per Share		Total Assets ratio
			Equity ratio	ratio
	Yen		Yen	%	%	%
Year Ended March, 2021	356.95		－	10.5	4.3	1.9
Year Ended March, 2020	188.53		－	6.3	3.2	1.1

(Reference) Share of profit of entities accounted for using equity method: March,2021 ¥86million March,2020 ¥202million

(2) Consolidated Financial Position

	Total Assets	Net Assets	Equity Ratio	Net Assets
	per share
	Million yen	Million yen	%	Yen
Year Ended March, 2021	116,331	39,975	34.7	3,753.90
Year Ended March, 2020	111,184	32,593	29.4	3,046.26
(Reference) Shareholders' Equity: ¥40,382million (Year Ended March,2021),	¥32,718 million (Year Ended March, 2020)

(3) Consolidated Cash Flow

	From Operating	From Investing	From Financing	Cash and Equivalents,
	Activities	Activities	Activities	end of period
	Million yen	Million yen	Million Yen	Million Yen
Year Ended March, 2021	5,997	-527	-4,627	7,097
Year Ended March, 2020	9,410	-2,931	-4,817	6,313

2. Dividends

		Dividend per share						Ratio of Total
	1st	2nd	3rd	Year	Total		Total	Payout Ratio		Amount of
	Quarter	Quarter	Quarter	End				dividends to
			Dividend	(consolidated)
								Net Assets
										(consolidated)
	Yen	Yen	Yen	Yen	Yen		Million Yen	%	%
Year Ended March, 2020	－	－	－	70.00	70.00	754	37.1	2.3
Year Ended March, 2021	－	－	－	80.00	80.00	864	22.4	2.4
Year Ending	－	－	－	80.00	80.00			24.6
March,2022 (Estimate)

3. Forecast for the Year Ending March 31, 2022 (April 1, 2021 - March 31, 2022)

(% figures denote change from the same period in the previous year)

	Net sales		Operating Profit	Ordinary Profit	Profit attributable to	Profit
		owners of	parent	Per share
	Million yen		%	Million yen	%	Million yen	%	Million yen	%	Yen
Full	250,000		0.3	5,000	7.3	5,000	2.5	3,500	-8.8	325.35
Year

* Notes

1. Major changes among subsidiaries during period under review: None
2. Changes in accounting principles and accounting estimates, retrospective restatements:
   (i)Changes due to revisions in accounting standards, etc.: None
   (ii)Changes other than(i) : None
   (iii)Changes in accounting estimates : None
   (iv)Retrospective restatements : None
3. Number of shares issued (common shares)

(i)Number of shares issued at the end of the period
(including treasury stock)
March,2021	10,928,283	March,2020	10,928,283
(ii)Number of treasury shares at the end of the period	March,2021	170,774	March,2020	187,735
(iii)Average number of shares during the term
March,2021	10,753,590	March,2020	10,806,001

(Reference)Summary of Non-consolidated Financial Results
Non-consolidated Financial Results for the Year Ended March 31,2021(April 1,2020－March 31,2021)
(1)Non-consolidated											(%figure denotes year-on-year change)
	Net Sales				Operating Profit		Ordinary Profit		Profit
	Million yen		%				Million yen		%		Million yen	%		Million yen		%
Year Ended March,2021	246,277		-4.4				3,605		60.0		3,873	70.1		3,652		226.4
Year Ended March,2020	257,599		2.8				2,253		-14.8		2,276	-18.0		1,119		-27.9
	Profit per Share		Diluted Profit Per Share
						Yen						Yen
Year Ended March,2021				339.65						－
Year Ended March,2020				103.56						－
(2)Non-consolidated Financial position
	Total Assets					Net Assets		Equity Ratio		Net Assets
							per share
	Million yen					Million yen				%		Million yen
Year Ended March,2021	102,442						31,528				30.8			2,930.79
Year Ended March,2020	93,268						23,971				25.7			2,231.84

(Reference) Shareholders' Equity: ¥31,528million (Year Ended March,2021), ¥23,971 million (Year Ended March, 2020)

* The summary of financial results is not subject to audits.

*Explanation about the appropriate use of the forecasts of financial results, and other noteworthy matters.

The projections and other statements with respect to the future included in this material are based on currently available information and certain assumptions that are judged reasonable by the Company. Please be advised that the Company does not guarantee in any way the achievement of the projections and other goals in this material and that cases may occur where the actual results and other situations differ materially from the projections due to various factors.

Consolidated Financial Statements

Consolidated Balance Sheets

		(Million yen)
	As of March 31,2020	As of March 31,2021
Assets
Current assets
Cash and deposits	6,522	7,100
Notes and accounts receivable - trade	33,444	32,869
Merchandise and finished goods	31,409	32,150
Work in process	3,885	3,667
Raw materials and supplies	5,749	5,942
Other	4,246	4,927
Allowance for doubtful accounts	(5)	(8)
Total current assets	85,251	86,649
Non-current assets
Property, plant and equipment
Buildings and structures, net	6,513	6,512
Machinery, equipment and vehicles, net	3,684	4,070
Vessels, net	541	384
Land	4,041	3,763
Leased assets, net	399	345
Construction in progress	373	172
Other, net	423	467
Total property, plant and equipment	15,976	15,715
Intangible assets
Goodwill	9	－
Leased assets	2	2
Other	529	415
Total intangible assets	541	417
Investments and other assets
Investment securities	5,693	11,682
Deferred tax assets	2,411	566
Other	3,106	2,911
Allowance for doubtful accounts	(1,796)	(1,612)
Total investments and other assets	9,414	13,547
Total non-current assets	25,932	29,681
Total assets	111,184	116,331

		(Million yen)
	As of March 31,2020	As of March 31,2021
Liabilities
Current liabilities
Notes and accounts payable - trade	8,061	8,941
Short-term borrowings	25,594	8,056
Commercial papers	10,000	10,000
Lease obligations	164	143
Income taxes payable	1,032	1,721
Provision for bonuses	941	984
Provision for bonuses for directors (and other officers)	6	6
Accounts payable - other	5,843	6,323
Other	3,174	3,010
Total current liabilities	54,818	39,189
Non-current liabilities
Long-term borrowings	19,124	32,720
Lease obligations	290	253
Deferred tax liabilities	－	67
Provision for special repairs	72	82
Provision for loss on litigation	174	175
Provision for share awards for directors (and other officers)	101	69
Retirement benefit liability	3,947	3,764
Asset retirement obligations	51	29
Long-term accounts payable - other	11	4
Other	0	0
Total non-current liabilities	23,773	37,166
Total liabilities	78,591	76,355
Net assets
Shareholders' equity
Share capital	5,664	5,664
Capital surplus	1,308	1,329
Retained earnings	25,895	28,737
Treasury shares	(471)	(430)
Total shareholders' equity	32,396	35,300
Accumulated other comprehensive income
Valuation difference on available-for-sale securities	591	5,139
Deferred gains or losses on hedges	82	148
Foreign currency translation adjustment	215	95
Remeasurements of defined benefit plans	(568)	(301)
Total accumulated other comprehensive income	321	5,081
Non-controlling interests	(125)	(407)
Total net assets	32,593	39,975
Total liabilities and net assets	111,184	116,331