Note: This document has been translated from 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.
August 5, 2022
Consolidated Financial Results | |
for the Six Months Ended June 30, 2022 | |
(Under Japanese GAAP) | |
Company name: | Oenon Holdings, Inc. |
Listing: | Tokyo Stock Exchange |
Securities code: | 2533 |
URL: | https://www.oenon.jp/english/ |
Representative: | Yuji Nishinaga, President & CEO |
Inquiries: | Naoko Tanaka, General Manager of Corporate Communication Dept. |
Telephone: | +81-3-6757-4584 |
Scheduled date to file quarterly securities report: | August 5, 2022 |
Scheduled date to commence dividend payments: | - |
Preparation of supplementary material on quarterly financial results: Yes | |
Holding of quarterly financial results briefing: | Yes (for institutional investors and securities |
analysts) |
(Yen amounts are rounded down to millions, unless otherwise noted.)
1. Consolidated financial results for the six months ended June 30, 2022 (from January 1, 2022 to June 30, 2022)
(1) Consolidated operating results (cumulative) | (Percentages indicate year-on-year changes.) | ||||||||||
Net sales | Operating income | Ordinary income | Profit attributable to | ||||||||
owners of the parent | |||||||||||
Six months ended | Millions of yen | % | Millions of yen | % | Millions of yen | % | Millions of yen | % | |||
June 30, 2022 | 38,368 | 1.0 | (147) | - | (77) | - | (744) | - | |||
June 30, 2021 | 37,981 | 0.5 | 825 | 1.5 | 867 | 5.8 | 558 | 66.5 | |||
Note: Comprehensive income | For the six months ended June 30, 2022: | ¥(607) million | [-%] | |||
For the six months ended June 30, 2021: | ¥669 million | [168.2%] | ||||
Basic earnings | Diluted earnings | |||||
per share | per share | |||||
Six months ended | Yen | Yen | ||||
June 30, 2022 | (12.53) | - | ||||
June 30, 2021 | 9.40 | - | ||||
(2) Consolidated financial position
Total assets | Net assets | Equity-to-asset ratio | |
As of | Millions of yen | Millions of yen | % |
June 30, 2022 | 50,269 | 21,000 | 37.9 |
December 31, 2021 | 52,280 | 22,045 | 38.3 |
Reference: Equity | |
As of June 30, 2022: | ¥19,049 million |
As of December 31, 2021: | ¥20,013 million |
2. Cash dividends
Annual dividends per share | |||||||
First quarter-end | Second quarter-end | Third quarter-end | Fiscal year-end | Total | |||
Yen | Yen | Yen | Yen | Yen | |||
Fiscal year ended | - | - | - | 7.00 | 7.00 | ||
December 31, 2021 | |||||||
Fiscal year ending | - | - | |||||
December 31, 2022 | |||||||
Fiscal year ending | |||||||
December 31, 2022 | - | 5.00 | 5.00 | ||||
(Forecast) | |||||||
Note: Revisions to the forecast of cash dividends most recently announced: Yes
We have revised our dividend forecast for the fiscal year ending December 31, 2022 from ¥7 to ¥5. For details, please refer to today's release, entitled "Notice of the Revision to Dividend Forecast." (Japanese only)
3. Financial Forecast for the Year Ending December 31, 2022
(from January 1, 2022 to December 31, 2022) | (Percentages indicate year-on-year changes.) | |||||||||
Net sales | Operating income | Ordinary income | Profit attributable to | Basic earnings | ||||||
owners of the parent | per share | |||||||||
Year ending | Millions of yen | % | Millions of yen | % | Millions of yen | % | Millions of yen | % | Yen | |
December 31, 2022 | 81,500 | 3.7 | (850) | - | (800) | - | (1,600) | - | (26.92) | |
Note: Revisions to the financial forecast for this period: Yes
* Notes
- Changes in significant subsidiaries during the period (changes in specified subsidiaries resulting in the change in scope of consolidation): None
- Adoption of accounting treatment specific to the preparation of quarterly consolidated financial statements: None
- Changes in accounting policies, changes in accounting estimates, and restatement
- Changes in accounting policies due to revisions to accounting standards and other regulations: Yes
- Changes in accounting policies due to other reasons: None
- Changes in accounting estimates: None
- Restatement: None
- Number of issued shares (common shares)
- Total number of issued shares at the end of the period (including treasury shares)
As of June 30, 2022 | 65,586,196 shares |
As of December 31, 2021 | 65,586,196 shares |
(ii) Number of treasury shares at the end of the period
As of June 30, 2022 | 6,153,604 shares |
As of December 31, 2021 | 6,153,362 shares |
- Average number of shares outstanding during the period (cumulative from the beginning of the fiscal year)
Six months ended June 30, 2022 | 59,432,743 shares |
Six months ended June 30, 2021 | 59,433,504 shares |
- Quarterly financial results reports are exempt from quarterly review conducted by certified public accountants or an audit corporation.
-
Proper use of earnings forecasts, and other special matters
The forecasts and future projections contained herein have been prepared on the basis of forecasts as of the date
of announcement of this document. The assumptions and forecasts that form the basis of the plan are included in the stated information. Actual performance may differ substantially from forecasts for a variety of reasons.
Please refer to "(3) Explanation of Consolidated financial forecast and other forward-looking information" within "1. Qualitative information on quarterly financial results" on page 4 of the attachment to this document for cautionary statements concerning the conditions and performance forecasts that serve as the basis for these forecasts.
Content of Supplementary Materials
1. Qualitative information on quarterly financial results | 2 | |
(1) | Operating performance analysis | 2 |
(2) Financial conditions analysis | 3 | |
(3) | Explanation of Consolidated financial forecast and other forward-looking information | 4 |
2. Quarterly consolidated financial statements and notes | 5 | |
(1) | Quarterly consolidated statement of financial position | 5 |
(2) | Quarterly consolidated statement of income and | |
quarterly consolidated statements of comprehensive income | 7 | |
(3) Quarterly consolidated statement of cash flows | 9 | |
(4) | Notes to the quarterly consolidated financial statements | 10 |
(Notes related to the going concern assumption) | 10 | |
(Notes in the event of significant changes in shareholders' equity) | 10 | |
(Changes in accounting methods) | 10 | |
(Segment information, etc.) | 11 |
First Half of the Fiscal Year Ending December 31, 2022 Financial Summary
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1. Qualitative information on quarterly financial results
(1) Operating performance analysis
During the six months ended June 30, 2022, economic and social activity began to resume in Japan, as the population began adapting to life in the presence of COVID-19. On the other hand, the economic outlook remains uncertain due to rapid fluctuations in exchange rates, such as sudden depreciation of the yen, as well as the escalation of tensions in the Ukraine and further increases in ingredient prices.
In this operating environment, the Oenon Group continued to implement various measures based on the five pillars of its medium- to long-term management strategy, Long-Term Vision 100, to achieve sustainable growth of the Group and enhance its corporate value over the medium to long term.
As a result, in the six months ended June 30, 2022 net sales amounted to ¥38,368 million (up 1.0% year on year). On the profit front, the Group recorded an operating loss of ¥147 million (operating income of ¥825 million in the same period of the preceding year) and an ordinary loss of ¥77 million (ordinary income of ¥867 million), due to sharply higher prices of ingredients: crude alcohol and corn. The loss attributable to owners of the parent was ¥744 million (profit attributable to owners of the parent of ¥558 million).
Segment performance is shown below.
Sales results
Six months ended | YoY change | |||
June 30, 2022 | ||||
Segment name | Item | (Previous period | ||
(January 1 to June 30, 2022) | ||||
= 100%) | ||||
(Millions of yen) | ||||
Alcoholic beverages | Japanese | Shochu | 17,413 | 94.1 |
alcohol | ||||
Chu-hi(RTD) | 6,537 | 113.0 | ||
products | ||||
Sake | 1,627 | 105.0 | ||
Sake compounds | 831 | 98.1 | ||
Brewing and industrial | 5,025 | 108.6 | ||
alcohol for sale | ||||
Mirin (sweet sake for | 290 | 86.1 | ||
cooking) | ||||
31,726 | 100.2 | |||
Wine and spirits | 2,219 | 106.7 | ||
Others | 283 | 103.0 | ||
34,229 | 100.6 | |||
Starch for food processing | 2,053 | 110.2 | ||
Enzymes and pharmaceuticals | 1,857 | 98.2 | ||
Real estate | 190 | 111.3 | ||
Others | 37 | 108.0 | ||
Total | 38,368 | 101.0 |
(Alcoholic beverages)
In the alcoholic beverages segment, the market is struggling to expand and price competition is growing more intense, as the Japanese population is shrinking, the birth rate is falling, the population is aging, and the frequency of drinking outside the home is declining. The practice of drinking at home is becoming more entrenched, prompting an expansion of the market for chu-hi and other RTD products. We also experienced rapid growth in the market for ready-to-serve (RTS) products. These products, referred to as chu-hi base spirit, are easy to prepare and let consumers enjoy bar-like flavors from the comfort of their homes. As a result, sales of alcoholic beverages amounted to ¥34,229 million (up 0.6% year on year). In this segment, the operating loss was ¥446 million (operating income of ¥296 million in the same period of the previous year).
In the shochu category (within Japanese alcohol products), performance was favorable from Hakata no Hana, our otsu-typeshochu series and shiso shochu, Tantakatan, but lower sales of store-brand products sapped category sales. In this category, we ran a Twitter-only photo submission campaign for our shiso shochu, Tantakatan, named "Search
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Oenon Holdings Inc. published this content on 17 August 2022 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 17 August 2022 05:03:04 UTC.