QD Laser : Non-consolidated Financial Results for the Three Months Ended June 30, 2021

Note:This document is a translation of a part of the original Japanese version and provided for reference purposes only. In the event of any discrepancy between the Japanese original and this English translation, the Japanese original shall prevail.

Non-consolidated Financial Results

for the Three Months Ended June 30, 2021

[Japanese GAAP]

Company name: QD Laser, Inc.	August 11, 2021
Stock exchange listing: Tokyo
Code number: 6613
URL: https://www.qdlaser.com/
Representative: Mitsuru Sugawara	President and Chief Executive Officer
Contact: Shinji Konoya	Chief Financial Officer

Phone: [phone]

Scheduled date of filing quarterly securities report: August 11, 2021

Scheduled date of commencing dividend payments: -

Availability of supplementary briefing material on quarterly financial results: Yes

Schedule of quarterly financial results briefing session: Yes

(Amounts of less than one million yen are rounded down)

1. Non-consolidated Financial Results for the Three Months Ended June 30, 2021 (April 01, 2021 to June 30, 2021)

(1) Non-consolidated Operating Results				(% indicates changes from the previous corresponding period.)
	Net sales			Operating profit	Ordinary profit			Net income
Three months ended	Million yen		%		Million yen	%	Million yen		%		Million yen		%
June 30, 2021	222		-		(200)	-	(202)		-		(206)		-
June 30, 2020	-		-		-	-	-		-		-		-
	Basic earnings			Diluted earnings per
	per share				share
Three months ended			Yen			Yen
June 30, 2021			(5.96)			-
June 30, 2020			-			-
(2) Non-consolidated Financial Position
	Total assets			Net assets	Capital adequacy ratio
As of		Million yen			Million yen				%
June 30, 2021	4,367			3,602				82.5
March 31, 2021	4,675			3,808				81.5

(Reference) Equity: As of	June 30, 2021:		¥	3,602 million
As of	March 31, 2021:		¥	3,808 million
2. Dividends
						Annual dividends
			1st	2nd		3rd		Year-end	Total
			quarter-end	quarter-end	quarter-end
			Yen		Yen	Yen		Yen	Yen
Fiscal year ended March 31, 2021		-		0.00	-		0.00	0.00
Fiscal year ending March 31, 2022		-
Fiscal year ending March 31, 2022				0.00	-		0.00	0.00
(Forecast)
(Note) Revision to the forecast for dividends	announced most	recently:	No

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3. Non-consolidated Financial Results Forecast for the Fiscal Year Ending March 31, 2022(April 01, 2021 to March 31, 2022)

(% indicates changes from the previous corresponding period.)

	Net sales	Operating profit	Ordinary profit		Net income		Basic earnings per
				share
	Million yen	%	Million yen	%	Million yen		%	Million yen		%		Yen
Full year	1,260	40.8	(533)	-		(505)		-	(508)		-		(14.71)
(Note) Revision to the financial results forecast announced most recently:	No
* Notes:
(1) Accounting policies adopted specially for the preparation of quarterly Non-consolidated financial statements:	Yes

1. Changes in accounting policies, changes in accounting estimates and retrospective restatement
2. 1. Changes in accounting policies due to the revision of accounting standards: Yes
   2. Changes in accounting policies other than 1) above: No
   3. Changes in accounting estimates: No
   4. Retrospective restatement: No
3. Total number of issued shares (common shares)
4. 1. Total number of issued shares at the end of the period (including treasury shares):

June 30, 2021:	34,584,180	shares
March 31, 2021:	34,584,180	shares
2) Total number of treasury shares at the end of the period:
June 30, 2021:	80	shares
March 31, 2021:	80	shares

3) Average number of shares during the period:
Three months ended June 30, 2021:	34,584,100	shares
Three months ended June 30, 2020:	-	shares

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Quarterly Non-consolidated Financial Statements

Quarterly Non-consolidated Balance Sheets

				(Thousand yen)
			As of March 31,2021	As of June 30,2021
Assets
	Current assets
		Cash and deposits	3,224,311	2,946,189
		Accounts receivable - trade	225,970	152,216
		Merchandise and finished goods	261,265	289,099
		Work in process	161,047	127,544
		Raw materials and supplies	382,802	418,246
		Accounts receivable - other	82,688	104,550
		Prepaid expenses	11,627	12,794
		Other	97	3,874
		Total current assets	4,349,812	4,054,516
	Non-current assets
		Property, plant and equipment
		Facilities attached to buildings, net	192,569	188,355
		Machinery and equipment, net	60,076	54,454
		Tools, furniture and fixtures, net	5,433	4,756
		Leased assets, net	4,221	3,707
		Construction in progress	26,400	26,400
		Total property, plant and equipment	288,701	277,674
		Intangible assets
		Software	5,268	4,763
		Leased assets	2,964	2,635
		Trademark right	2,573	2,471
		Total intangible assets	10,806	9,870
		Investments and other assets
		Shares of subsidiaries and associates	3,372	3,372
		Guarantee deposits	22,415	22,415
		Other	40	40
		Total investments and other assets	25,827	25,827
		Total non-current assets	325,335	313,372
	Total assets	4,675,147	4,367,888

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			(Thousand yen)
		As of March 31,2021	As of June 30,2021
Liabilities
	Current liabilities
	Accounts payable - trade	218,308	185,352
	Current portion of long-term borrowings	257,964	257,964
	Lease obligations	3,744	3,774
	Accounts payable - other	133,381	100,309
	Accrued expenses	4,898	5,506
	Income taxes payable	4,415	10,199
	Provision for bonuses	51,238	73,408
	Deposits received	3,245	3,139
	Asset retirement obligations	-	29,000
	Other	13,559	15,597
	Total current liabilities	690,754	684,251
	Non-current liabilities
	Long-term borrowings	107,392	42,901
	Lease obligations	4,355	3,400
	Asset retirement obligations	59,338	30,361
	Deferred tax liabilities	4,675	4,588
	Total non-current liabilities	175,762	81,251
	Total liabilities	866,517	765,503
Net assets
	Shareholders' equity
	Share capital	2,242,753	2,242,753
	Capital surplus	4,726,525	4,726,525
	Retained earnings	(3,160,522)	(3,366,767)
	Treasury shares	(126)	(126)
	Total shareholders' equity	3,808,629	3,602,385
	Total net assets	3,808,629	3,602,385
Total liabilities and net assets	4,675,147	4,367,888

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Quarterly Non-consolidated Statements of Income

Quarterly Non-consolidated Statements of Income (For the three months)

	(Thousand yen)
	For the three months
	ended June 30,2021
Net sales	222,973
Cost of sales	186,411
Gross profit	36,561
Selling, general and administrative expenses	237,253
Operating loss	(200,691)
Non-operating income
Foreign exchange gains	168
Total non-operating income	168
Non-operating expenses
Interest expenses	820
Financing expenses	750
Rental expenses	652
Total non-operating expenses	2,223
Ordinary loss	(202,745)
Extraordinary losses
Impairment losses	2,532
Total extraordinary losses	2,532
Loss before income taxes	(205,277)
Income taxes - current	1,053
Income taxes - deferred	(87)
Total income taxes	966
Loss	(206,244)

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