NS United Kaiun Kaisha : Supplementary Material for 3rd Quarter of the fiscal year ended March 2023

FY 2022

(Ending March 31, 2023)

January 31, 2023

Financial Highlights

for Third Quarter

Contents

１．Highlights of Results in FY 2022	・・・・・・・p.２
２．Overview of Third Quarter Financial Results	・・・・・・・p.３-4
３．Forecasts for FY 2022	・・・・・・・p. 5-6
４．Activities	・・・・・・・p. 7
（ Reference ）Financial Outlook	・・・・・・・p. 8

January 31, 2023 : Financial Highlights for third Quarter	1

1. Highlights of Results in FY2022

Earnings forecast: Revised upward the forecast for net income to 27 billion yen, marking the second consecutive year of record income

[100 mil. yen]	Revenues	Operating	Ordinary	Profit Attributable
to Owners of
(Consolidated)	Income	Income
	Parent

250

Operating income (100mil yen)

	Previous	2,170	290	300	260
	forecast
	Revised forecast	2,450	320	320	270
	(ROE)	(21.2%)
	Result of
	previous fiscal year	1,959	267	266	236
	(FY2021)

*Exchange rate assumptions (year-end):

Previous forecast of 135 yen, revised forecast of 125 yen.

																			207
200
																		154
150
																	113			113
100
	41	47	56					42			48	42		41		50
		39	38			38	35
50		26	24	29
												18
0	1H	2H	1H	2H	1H	2H	1H	2H	1H	2H	1H	2H	1H	2H	1H	2H	1H	2H	1H	2H
	2013	2014	2015	2016	2017	2018	2019	2020	2021	2022

Dividend forecast: Year-end dividend is expected to be 185 yen per share (355 yen for the full year)

	[yen]		Annual Dividend
		2nd Quarter	Year-end	Total
	Previous	170	170	340
	forecast
	Revised	170	185	355
	forecast
	Result of
	previous fiscal year	95	190	285
	(FY2021)

January 31, 2023 : Financial Highlights for third Quarter	2

2. Overview of Third Quarter Financial Results

(Consolidated)			FY2021					FY2022				Changes
[100 mil. yen]	1Q	2Q	3Q	1Q-3Q	4Q	Full year		1Q	2Q	3Q	1Q-3Q		Y-o-Y
Revenues	428	469	547 1,444	515 1,959		623	685	660	1,969		＋ 524
Operating Income	47	66	88	201	66	267	112	95	93	300		＋ 99
International Shipping	45	62	83	190	59	249	113	91	83	287		＋ 97
Coastal Shipping	2	4	5	11	7	18		▲ 1	4	10	13		＋ 2

Ordinary Income	41	63	91	196	70	266	131	110	73	314	＋ 118
Profit Attributable to	36	52	71	158	78	236	105	89	59	254	＋ 95
Owners of Parent
			BCI 5TC Market Trends (from April 2021)		FY2021	FY2022
90000
80000
70000
60000
50000
40000
30000
20000
10000
0
Apr	May	Jun	Jul		Aug	Sep	Oct	Nov	Dec	Jan	Feb	Mar

January 31, 2023 : Financial Highlights for third Quarter	3

2. Overview of Third Quarter Financial Results

International Shipping Amid sluggish marine transportation demand due to accelerating global inflation and the stagnation of the Chinese economy due to the zero-Covid policy, the supply of transport capacity increased moderately due to the reduction of long-term demurrage caused by the easing of the quarantine system. Although the shipping market declined compared to the previous year, operating income increased by approximately 9,700 million yen year on year, supported by stable earnings from medium- to long-term contracts and the depreciation of yen.

Dry Bulk：While the large vessel (cape-size) market fluctuated widely, the small- and medium-sized vessel market remained relatively stable due to the tightening of supply and demand caused by the long- distance transportation of coal and grain in the context of the situation in Russia and Ukraine.

Tanker ：The market for large LPG tankers declined in the summer due to the easing of vessel supply and demand, but it turned upward around early autumn in anticipation of the winter demand season in the northern hemisphere, resulting in a generally firm market.

Coastal Shipping The volume of steel-related and electric power-related cargo transportation decreased year on year due to a decrease in domestic crude steel production and lower operating rates at thermal power plants, but overall dry bulk remained flat due to an increase in the volume of cement- related cargo transportation. The volume of tanker transportation increased due to the start of full-scale transportation on new routes. As a result, operating income in the coastal shipping segment increased by approximately 200 million yen year on year.

As a result, our consolidated financial results for the third quarter were operating income of 30 billion yen (up 9.9 billion yen year on year), ordinary income of 31.4 billion yen (up 11.8 billion yen year on year) and net income of 25.4 billion yen (up 9.5 billion yen year on year).

January 31, 2023 : Financial Highlights for third Quarter	4