Nifco : Summary of Consolidated Financial Results for Fiscal Year Ending March 31, 2020 -Highlight-

Corporate Name: Nifco Inc. (URL: https://www.nifco.com/en/)	May 18, 2020
Stock Exchange: TSE 1st section; Code Number: 7988
President & CEO: Toshiyuki Yamamoto
Inquiries to: Junji Honda, Executive Managing Officer & CFO ([phone])
Ordinary general meeting of shareholders to be held on: June 18, 2020
Dividend disbursement to be started on: June 19, 2020
Yuka Shoken Hokokusho to be submitted on: June 18, 2020
		Highlight

Summary of Consolidated Financial Results

for Fiscal Year Ending March 31, 2020

(These figures are rounded down to the nearest million yen.)

1. Consolidated Financial Results for FY2019 (April 1, 2019 to March 31, 2020)

(1) Consolidated financial results

(The percentages denote year-on-year change.)

Net sales

Operating income

Ordinary income

Profit attributable to

owners of parent

Million yen

%

Million yen

%

Million yen

%

Million yen

%

FY2019

288,012

-0.3

29,737

3.1

28,765

-0.0

18,321

-11.7

FY2018

288,902

6.5

28,834

-6.7

28,778

-5.3

20,753

-2.1

Note: Comprehensive income:

16,923 million yen in FY2019(14.3%),

14,802 million yen in FY2018(-43.0%)

Profit attributable

Diluted profit

attributable to

Return on equity

Ordinary income /

Operating income /

to owners of

owners of parent per

(ROE)

Total assets

Net sales

parent per share

share

Yen

Yen

%

%

%

FY2019

177.87

171.43

11.3

9.8

10.3

FY2018

199.90

192.73

13.2

10.2

10.0

(2) Consolidated financial position

Total assets

Net assets

Net assets ratio

Net assets per share

Million yen

Million yen

%

Yen

FY2019

304,184

168,786

54.8

1,630.57

FY2018

284,842

160,690

55.7

1,538.96

Reference:

Equity

capital:

166,658 million yen in FY2019 , 158,787 million yen in FY2018

(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 the period

Million yen

Million yen

Million yen

Million yen

FY2019

35,829

-21,617

1,040

88,552

FY2018

37,371

-14,884

-7,076

74,200

2. Dividends

Dividend per share

Total amount

Payout ratio

Ratio of dividends

At end of

At end of

At end of

At end of

FY

of dividends

(consolidated

to net assets

first quarter

second quarter

third quarter

FY

(annual)

basis)

(consolidated basis)

Yen

Yen

Yen

Yen

Yen

Million yen

%

%

FY2018

―

31.00

―

31.00

62.00

6,428

31.0

4.1

FY2019

―

31.00

―

31.00

62.00

6,361

34.9

3.9

FY2020

―

―

―

―

―

―

(forecast)

Note: The forecast for dividend per share hasn't been decided at the present time.

3. Forecasts for FY2020 (April 1, 2020 to March 31, 2021)

The world economy has been substantially affected by the pandemic spreading of COVID 19. In the automotive industry, which is a core customer for Nifco Group, production cutbacks and shutdowns continue on a global scale due to the decline in production activities caused by measures to prevent the spread of infection. As such, the Group's production and sales activities have also been significantly affected.

It is difficult to make a reasonable estimation of company earnings because of the uncertainty over the convergence of infection and the lack of recovery in demand. We have decided, therefore, not to make any forecasts for FY2020 at the present time. We will announce forecasts as soon as it is possible to reasonably estimate the earnings of the company.

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4. Others

1. Changes in principal subsidiaries during the fiscal year (changes in specific subsidiaries, which involve changes in the scope of consolidation): Yes

New consolidation： －company

(company name)： －

Exclusion： 1 company

(company name )：Nifco KTS GmbH

Note: There was an absorption-type merger on July 31, 2019 whereby 100% owned subsidiary Nifco KTS GmbH was absorbed by 100% owned subsidiary Nifco KTW GmbH (current Nifco Germany GmbH) which is the surviving company. As a result of this merger, Nifco KTS GmbH was excluded from specific subsidiaries.

(2) Changes in the principles and procedures of accounting concerning the preparation of consolidated financial statements and in the methods of presentation, etc. (stated in "Changes in Significant Accounting Policies for Preparing Consolidated Financial Statements")

1)	Changes following the revision of accounting standards, etc.:	Yes
2)	Changes other than 1):	None
3)	Changes in accounting estimates:	None
4)	Retrospective restatement:	None

1. Number of shares outstanding (common stocks)
2. 1. Number of shares outstanding at end of the period (including treasury stocks):107,508,954 in FY2019; 107,508,954 in FY2018
   2. Number of treasury stocks at end of the period: 5,300,563 in FY2019; 4,330,549 in FY2018
   3. Number of average shares outstanding during the period: 103,006,564 in FY2019; 103,817,569 in FY2018

*This financial summary is not subject to audit procedures based on the Financial Instruments and Exchange Act. At the time of this disclosure, the audit procedures for the consolidated financial statements have not been completed.

• Proper use of forecasts and other special instructions

Forward-looking statements or projections included in this document, including earnings projections, are based on currently available information and certain premises that are judged to be rational at the time of this writing. Actual results may differ greatly from the forecast figures depending on various factors.

(Consolidated Financial Statements)

Segment Information
[Business segment information]
- For FY2018 (April 1, 2018 to March 31, 2019)				(Unit: Millions of yen)
	Reportable segments				Elimination
	Industrial plastic						Consolidated
	Bedding &			Others	Total	& corporate
	parts &		Total	figures
	furniture				expenses
	components
Net sales and segment profit (loss)
Net sales
(1) Sales to customers	262,829	25,940		288,770	131	288,902	-	288,902
(2) Inter-segment sales	67	-		67	315	382	(382)	-
Total	262,896	25,940		288,837	447	289,284	(382)	288,902
Segment profit (loss)	30,431	4,020		34,451	171	34,623	(5,788)	28,834

- For FY2019 (April 1, 2019 to March 31, 2020)				(Unit: Millions of yen)
	Reportable segments				Elimination
	Industrial plastic						Consolidated
	Bedding &			Others	Total	& corporate
	parts &		Total	figures
	furniture				expenses
	components
Net sales and segment profit (loss)
Net sales
(1) Sales to customers	260,640	27,239		287,879	132	288,012	-	288,012
(2) Inter-segment sales	79	-		79	271	351	(351)	-
Total	260,719	27,239		287,959	404	288,363	(351)	288,012
Segment profit (loss)	30,708	4,363		35,071	89	35,160	(5,422)	29,737

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