NHK Spring : Consolidated Financial Results FY2024 1Q

(Percentage indicates change from the same period of the previous fiscal year)

: August 10, 2023

: －

: No

: No

Company name Code number

URL Representative Contact person

Translation

Notice: This document has been translated from a part of the Japanese original for reference purposes only. In the event of any discrepancy between this translated document and the Japanese original, the original shall prevail.

Consolidated Financial Results

for the First Quarter of the Fiscal Year Ending March 31, 2024

(Japanese GAAP)

August 10, 2023 Tokyo Stock Exchanges in Japan

: NHK SPRING CO., LTD.

: 5991

: https://www.nhkspg.co.jp/

: Takashi Kayamoto, President & Chief Executive Officer, Representative Member of the Board

: Kazuko Tachibana, Director, Corporate Communications Dept, Corporate Planning & Control Division TEL [phone]

Filing date of quarterly securities report

Payment date of cash dividends

Supplemental materials prepared for financial results

Earnings announcement for financial results

(Amounts less than one million yen are rounded down)

1. Consolidated Results for the First Quarter of Fiscal Year Ending March 31, 2024 (April 1, 2023 through June 30, 2023)

(1) Consolidated Financial Results

				Net sales		Operating profit	Ordinary profit		Profit attributable to
							owners of parent
Three months ended	Millions of yen		％	Millions of yen	％	Millions of yen		％	Millions of yen		％
June	30,	2023		179,293		15.6	4,940	(17.1)	10,285	(16.9)		7,151		(16.8)
June	30,	2022		155,036		9.4	5,962	(3.3)	12,381	43.8		8,591		52.8
Note: Comprehensive income	Three months ended June 30, 2023	(	20,829	million	25.5	%）
				Three months ended June 30, 2022	(	16,599	million	12.4	%)

		Earnings per	Earnings per
		share, Basic	share, Diluted
Three months ended	Yen	Yen
June 30,	2023	31.57	―
June 30,	2022	37.68	―

(2) Consolidated Financial Position

	Total assets	Net assets	Shareholders' equity
	to total assets
As of	Millions of yen	Millions of yen	％
June 30, 2023	634,814	382,744	57.6
March 31, 2023	606,039	365,860	57.6

Reference: Shareholders' equity (Net assets excluding non-controlling interests)

As	of	June 30, 2023	365,793 million	yen
As	of	March 31, 2023	349,221 million	yen

2. Dividends

		Cash dividends per share
	1st Quarter	2nd Quarter	3rd Quarter		Year-end	Full year
	Yen	Yen	Yen		Yen	Yen
Fiscal year ended	―	15.00	―		17.00	32.00
March 31, 2023
Fiscal year ending	―
March 31, 2024
Fiscal year ending
March 31, 2024		17.00	―		17.00	34.00
(Forecast)

Note : Revisions to the forecast of dividends since the latest announcement: No

3. Forecast of Consolidated Results for Fiscal Year Ending March 31, 2024 (April 1, 2023 through March 31, 2024)

(Percentage indicates change from the same period of the previous fiscal year)

	Net sales		Operating profit	Ordinary profit	Profit attributable to	Earnings per
		owners of parent	share, Basic
	Millions of yen		％	Millions of yen	％	Millions of yen	％	Millions of yen	％	Yen
First half	345,000		3.7	8,000	(53.7)	11,000	(60.7)	6,000	(69.8)	26.49
Full year	750,000		8.2	35,000	21.4	40,000	7.2	25,000	16.1	110.37

Note : Revisions to the forecast of consolidated results since the latest announcement: No

4.Others

(1)	Changes of significant subsidiaries in	the first	quarter of fiscal year ending March 31, 2024	： No
	(Transfer	of	subsidiaries resulting in changes	in the scope of consolidation)
(2)	Application	of	specific accounting for	preparing	the quarterly consolidated financial statements	： No

1. Changes in accounting policies, procedures and methods of presentation for preparing the consolidated financial statements

[1]	Changes due to revisions of accounting standards	: No
[2]	Changes due to other reasons	: No
[3]	Changes of estimation due to accounting issues	: No
[4]	Restatements	: No
(4) Number of outstanding shares (Common Stock)
[1]	Number of outstanding shares
	As of June 30, 2023	244,066,144 shares
	As of March 31, 2023	244,066,144 shares
[2]	Number of treasury stock
	As of June 30, 2023	17,548,994 shares
	As of March 31, 2023	17,548,689 shares
[3]	Average number of shares (Cumulative)

Three	months	ended	June	30,	2023	226,517,310 shares
Three	months	ended	June	30,	2022	228,017,873 shares

• This quarterly report is out of the scope of the quarterly review.
• Explanation about appropriate use of the financial results forecasts, and other noteworthy matters

Statements related to the future, including the forecast of financial results, were based on the information available as of the date when this document was released. Therefore, actual results may differ considerably due to various factors that might occur in the future.

NHK SPRING CO., LTD（5991）

FYE 2024 First Quarter Consolidated Financial Results

Quarterly Consolidated Financial Statements

(1) Quarterly Consolidated Balance Sheets

		(Millions of yen)
	As of March 31, 2023	As of June 30, 2023
Assets
Current assets
Cash and deposits	72,948	80,086
Notes and accounts receivable - trade,	146,793	148,324
and contract assets
Merchandise and finished goods	33,396	31,054
Work in process	13,114	15,576
Raw materials and supplies	33,339	34,210
Partly-finished goods	11,648	11,965
Other	26,024	28,027
Allowance for doubtful accounts	△27	△28
Total current assets	337,237	349,218
Non-current assets
Property, plant and equipment
Buildings and structures	160,712	163,622
Accumulated depreciation	△108,933	△110,904
Buildings and structures, net	51,779	52,717
Machinery, equipment and vehicles	296,394	305,167
Accumulated depreciation	△237,348	△244,935
Machinery, equipment and vehicles,	59,045	60,232
net
Land	31,520	31,843
Leased assets	1,258	1,048
Accumulated depreciation	△787	△608
Leased assets, net	470	440
Construction in progress	14,314	15,267
Other	86,964	91,492
Accumulated depreciation	△77,825	△80,950
Other, net	9,138	10,542
Total property, plant and equipment	166,269	171,043
Intangible assets	3,317	3,355
Investments and other assets
Investment securities	62,287	73,218
Long-term loans receivable	1,796	1,790
Deferred tax assets	10,161	9,943
Retirement benefit asset	14,410	14,686
Other	12,200	13,263
Allowance for doubtful accounts	△1,642	△1,704
Total investments and other assets	99,214	111,197
Total non-current assets	268,801	285,596
Total assets	606,039	634,814

1/4

NHK SPRING CO., LTD（5991）

FYE 2024 First Quarter Consolidated Financial Results

		(Millions of yen)
	As of March 31, 2023	As of June 30, 2023
Liabilities
Current liabilities
Notes and accounts payable - trade	91,525	94,006
Electronically recorded obligations -	18,147	18,191
operating
Short-term borrowings	21,167	20,504
Lease liabilities	484	482
Income taxes payable	4,400	4,326
Provision for bonuses	10,038	13,664
Provision for bonuses for directors (and	261	110
other officers)
Notes payable - facilities	1,273	1,484
Other	24,316	26,887
Total current liabilities	171,615	179,658
Non-current liabilities
Bonds payable	11,000	11,000
Long-term borrowings	17,090	16,460
Lease liabilities	759	741
Deferred tax liabilities	12,351	14,972
Retirement benefit liability	22,506	22,966
Provision for retirement benefits for	578	462
directors (and other officers)
Provision for officers' retirement	843	949
benefits
Other	3,435	4,860
Total non-current liabilities	68,563	72,411
Total liabilities	240,179	252,069
Net assets
Shareholders' equity
Share capital	17,009	17,009
Capital surplus	19,826	19,826
Retained earnings	275,386	278,683
Treasury shares	△15,703	△15,704
Total shareholders' equity	296,518	299,815
Accumulated other comprehensive income
Valuation difference on available-for-	27,217	34,161
sale securities
Foreign currency translation adjustment	21,018	27,326
Remeasurements of defined benefit plans	4,468	4,489
Total accumulated other comprehensive	52,703	65,977
income
Non-controlling interests	16,638	16,951
Total net assets	365,860	382,744
Total liabilities and net assets	606,039	634,814

2/4

NHK SPRING CO., LTD（5991）

FYE 2024 First Quarter Consolidated Financial Results

1. Quarterly Consolidated Statement of Comprehensive Income (Quarterly Consolidated Statements of Income)
   (Three Months ended June 30, 2023)

			(Millions of yen)
		Three months ended	Three months ended
		June 30, 2022	June 30, 2023
Net sales	155,036	179,293
Cost of sales	136,597	161,165
Gross profit	18,439	18,128
Selling, general and administrative expenses	12,476	13,187
Operating profit	5,962	4,940
Non-operating income
Interest income	131	309
Dividend income	1,256	1,512
Share of profit of entities accounted for		83	320
using equity method
Foreign exchange gains	5,144	2,974
Other	448	449
Total non-operating income	7,064	5,566
Non-operating expenses
Interest expenses	84	50
Other	561	170
Total non-operating expenses	646	221
Ordinary profit	12,381	10,285
Profit before income taxes	12,381	10,285
Income taxes	3,390	2,911
Profit	8,990	7,373
Profit attributable to non-controlling		399	221
interests
Profit attributable to owners of parent	8,591	7,151

3/4