NIPPON KANZAI Co., Ltd. (Securities Code: 9728/TSE Prime)

Financial Results for

the Fiscal Year

Ended March 31, 2022

May 25, 2022

Copyright (C) 2022 NIPPON KANZAI Co., Ltd.

Index

3 Consolidated Financial Results for FY3/22

12 Consolidated Financial Forecasts for FY3/23

19 Medium-Term Growth Strategies

Copyright (C) 2022 NIPPON KANZAI Co., Ltd.

2

Consolidated Financial Results for FY3/22

Copyright (C) 2022 NIPPON KANZAI Co., Ltd.

Consolidated Financial Results Highlights

Rounded down to the nearest ¥million

Net Sales

¥103,737 million (-0.4% YoY)

  • Sluggish orders for construction-related work, including large-scale projects
  • Steady renewal of existing contracts

Operating Profit

¥7,500 million (-0.6% YoY)

  • Decrease due to expenses incurred for COVID-19 countermeasures and strengthening the organization
  • Improved profitability as a result of revised rates and reviewing scope of work

Ordinary Profit

¥8,276 million (+3.7% YoY)

  • Increase in investment gains based on the equity method
  • Recognition of foreign exchange gains due to the weak yen

Profit Attributable to Owners of Parent

¥6,177 million (+20.0% YoY)

  • Decrease in tax expenses

Copyright (C) 2022 NIPPON KANZAI Co., Ltd.

4

Consolidated Financial Results Summary

Consolidated

FY3/21

FY3/22

YoY Changes

( million)

Actual

Ratio

Actual

Ratio

Amount

Ratio

Net Sales

104,124

100.0%

103,737

100.0%

(386)

-0.4%

Gross Profit

22,354

21.5%

23,201

22.4%

847

3.8%

SG&A Expenses

14,807

14.2%

15,701

15.1%

893

6.0%

Operating Profit

7,546

7.2%

7,500

7.2%

(45)

-0.6%

Ordinary Profit

7,982

7.7%

8,276

8.0%

293

3.7%

Profit Attributable to Owners of Parent

5,149

4.9%

6,177

6.0%

1,028

20.0%

*The accounting policies of overseas equity-method affiliate to which IFRS is applied have been changed from FY3/22, and the results for FY3/21 have been calculated after retroactively applying this change in accounting policies.

(¥ million)

Net Sales

Operating Profit Margin

110,000

106,300

104,124

103,737

100,000

96,478

97,929

92,490

90,000

7.2%

7.2%

80,000

6.5%

6.4%

6.0%

6.0%

70,000

60,000

Full-Year

Full-Year

Full-Year

Full-Year

Full-Year

Full-Year

FY3/17

FY3/18

FY3/19

FY3/20

FY3/21

FY3/22

Copyright (C) 2022 NIPPON KANZAI Co., Ltd.

5

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Nippon Kanzai Co. Ltd. published this content on 10 June 2022 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 10 June 2022 06:11:08 UTC.