Shimizu : Consolidated Financial Report For the nine months ended December 31, 2021

This summarized English translation of the financial report was prepared for reference purposes only and is qualified in its entirety by the original financial statements submitted to the Tokyo Stock Exchange. The financial information contained in this report is derived from our unaudited financial statements. In case of any discrepancy between this translation and the Japanese original, the latter shall prevail.

	Tokyo, January 31, 2022
	SHIMIZU CORPORATION
	Consolidated Financial Report [Japanese GAAP]
	For the nine months ended December 31, 2021
Shares Listed:	First section of the Tokyo Stock Exchange and Nagoya Stock Exchange
Stock Code:	1803
URL:	https://www.shimz.co.jp/en/
Representative:	Kazuyuki Inoue, President and Director
Inquiries:	Michiho Yamaguchi, General Manager, Accounting Department
	TEL: [phone]

Scheduled date to file quarterly securities report:	February 1, 2022
Supplementary documents on quarterly financial results:	Yes (in Japanese)
Holding of financial results presentation:	Yes (for analysts and institutional investors)

1. Consolidated Financial Highlights

1. Consolidated Results of Operations

(Yen amounts have been rounded down to the nearest million)

(Percentage figures are changes from the same period in the previous fiscal year)

Net Sales

Operating Income

Ordinary Income

Net Income attributable to

shareholders of the

(Millions of Yen)

(Millions of Yen)

(Millions of Yen)

Corporation (Millions of Yen)

Nine months ended

1,003,328

(2.6%)

24,625

(65.1%)

29,920

(60.2%)

23,535

(57.4%)

December 31, 2021

Nine months ended

1,030,579

(16.8%)

70,619

(27.2%)

75,169

(27.4%)

55,217

(25.2%)

December 31, 2020

Net Income

Diluted Net Income

per share (Yen)

per share (Yen)

Nine months ended

31.50

－

December 31, 2021

Nine months ended

72.38

72.38

December 31, 2020

(2) Consolidated Financial Position

Total Assets

Net Assets

Shareholders' Equity

Ratio of Shareholders' Equity

attributable to shareholders of

attributable to shareholders of

(Millions of Yen)

(Millions of Yen)

the Corporation (Millions of Yen)

the Corporation

As of December 31,

1,977,567

793,471

787,790

39.8%

2021

As of March 31,

1,908,674

821,446

815,288

42.7%

2021

2. Dividends

End of 1Q

End of 2Q

End of 3Q

Year-End

Total

(Yen)

(Yen)

(Yen)

(Yen)

(Yen)

Year ended

－

12.00

－

18.00

30.00

March 31, 2021

Year ending

－

11.50

－

March 31, 2022

Year ending

11.50

23.00

March 31, 2022(Forecast)

(Note) Revision of the forecasts of cash dividends since the latest announcement: None

End of 2Q dividend of 12.00Yen for Year ended March 31, 2021 includes a special dividend of 2.00Yen. Year-End dividend of 18.00Yen for Year ended March 31, 2021 includes a special dividend of 8.00Yen.

End of 2Q dividend of 11.50Yen for Year ending March 31, 2022 and Year-End dividend of 11.50Yen for Year ending March 31, 2022 (forecast) include a special dividend of 1.50Yen each.

3. Forecast of Consolidated Results of Operations

for the Fiscal Year Ending March 2022 (From April 1, 2021 to March 31, 2022)

(Percentage figures are changes from the same period in the previous fiscal year)

	Net Sales		Operating Income	Ordinary Income	Net Income attributable to	Net Income
		shareholders of the
	(Millions of Yen)	(Millions of Yen)	(Millions of Yen)	per share (Yen)
	Corporation (Millions of Yen)
Year ending	1,550,000		6.4%	76,500	(23.6%)	77,000	(27.0%)	58,000	(24.8%)	77.82
March 31, 2022

(Note) Revision of the forecasts of consolidated results since the latest announcement: None

Explanatory Notes

1. Changes in major subsidiaries during the period : None
2. Adoption of accounting methods specific to the preparation of quarterly consolidated financial statements : Yes
3. Changes in accounting policies and in accounting estimates, and restatements

① Changes in accounting policies due to amendment of accounting standards : Yes

②Changes in accounting policies other than ① above : None

③Changes in accounting estimates : None

④Restatements : None

The Group has applied "Accounting Standard for Revenue Recognition" (ASBJ Statement No.29, March 31, 2020) and "Accounting Standard for Fair Value Measurement" (ASBJ Statement No.30, July 4, 2019) effective from the beginning of the year ending March 31, 2022.

(4) Number of shares issued (Common stock)

① Number of issued shares at the end of the period (including treasury stock)

Third Quarter of FY2021	788,514,613	FY2020	788,514,613
ended December 31, 2021	ended March 31, 2021

②Number of treasury stocks at the end of the period

Third Quarter of FY2021	48,812,025	FY2020	25,661,068
ended December 31, 2021	ended March 31, 2021

③Average number of shares issued during the period

Third Quarter of FY2021	747,172,048	Third Quarter of FY2020	762,855,475
ended December 31, 2021	ended December 31, 2020

This report is not subject to quarterly review procedures by certified public accountants or audit firms.

Explanation regarding appropriate use of forecasts, and other specific comments

The forecast figures are based on the information that the Company is able to obtain at the present point. However, actual results may be different due to various factors, including, but not limited to, changes in the future economic conditions.

Contents

PERFORMANCE RESULTS･････････････････････････････････････････････ 2

PERFORMANCE FORECASTS･･････････････････････････････････････････ 3

BREAKDOWN OF SALES AND GROSS PROFIT (NONCONSOLIDATED)････ 4

CONSOLIDATED BALANCE SHEETS････････････････････････････････････ 5

CONSOLIDATED STATEMENTS OF INCOME･････････････････････････････ 7

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME･･････････ 8

NONCONSOLIDATED BALANCE SHEETS･･･････････････････････････････ 9

NONCONSOLIDATED STATEMENTS OF INCOME････････････････････････ 11

BREAKDOWN OF ORDERS (NONCONSOLIDATED)･･････････････････････ 12

ORDERS, SALES AND BACKLOG (NONCONSOLIDATED)････････････････ 13

ORDERS AND CONTRACTS FORECAST (NONCONSOLIDATED)･･････････ 14

- 1 -

PERFORMANCE RESULTS

(1) Consolidated																			(Billions of Yen)
		Current			Previous				Increase				Forecast		Progress
	Third Quarter	Third Quarter			(Decrease)
		From:Apr 1, 2021	〕		From:Apr 1, 2020	〕										From:Apr 1, 2021	〕	(%)
							Rate(%)
	〔To :Dec 31, 2021	〔To :Dec 31, 2020						〔To :Mar 31, 2022
Construction Contracts			916.5				925.4			(8.8)			(1.0)					1,365.0		67.1
Gross Profit		8.2%	74.9			12.5%	116.1			(41.1)			(35.5)				8.4%	115.0		65.2
Real Estate and Other			86.7				105.1			(18.3)			(17.5)					185.0		46.9
Gross Profit		18.8%	16.3			16.1%	16.9			(0.6)			(3.6)				31.1%	57.5		28.4
Net Sales		1,003.3			1,030.5				(27.2)			(2.6)					1,550.0			64.7
Gross Profit		9.1%	91.2			12.9%	133.0				(41.7)			(31.4)				11.1%	172.5			52.9
S, G & A Expenses			66.6				62.4			4.1			6.7					96.0		69.4
Operating Income		2.5%	24.6			6.9%	70.6				(45.9)			(65.1)				4.9%	76.5			32.2
Net Financial Revenue			3.5				2.9				0.6			20.6					1.0			－
Others			1.7				1.5			0.1			8.4					(0.5)			－
Ordinary Income		3.0%	29.9			7.3%	75.1				(45.2)			(60.2)				5.0%	77.0			38.9
Special Gains (Losses)			7.3				5.1				2.2			42.7					10.0			－
Income Before Taxes			37.2				80.3			(43.0)			(53.6)					87.0		42.9
Income Taxes			14.1				25.0			(10.9)			(43.6)					29.0			－
Net Income Attributable to			(0.3)				0.0			(0.4)			－					0.0			－
Non-Controlling Interests
Net Income Attributable to
Shareholders of the		2.3%	23.5			5.4%	55.2				(31.6)			(57.4)				3.7%	58.0			40.6
Corporation
(Consolidated)	Current Third Quarter	Previous Fiscal Year		Increase(Decrease)
〔	Dec 31, 2021	〕	〔	Mar 31, 2021	〕					Rate(%)
Interest-bearing Debt			544.5				422.6			121.8			28.8
[Nonrecourse Borrowings and Bonds]	[		105.6	]	[		97.6	]	[	7.9	]	[	8.2	]
(2) Nonconsolidated																			(Billions of Yen)
		Current			Previous				Increase				Forecast		Progress
	Third Quarter	Third Quarter			(Decrease)
		From:Apr 1, 2021	〕		From:Apr 1, 2020	〕										From:Apr 1, 2021		(%)
							Rate(%)
	〔To :Dec 31, 2021	〔To :Dec 31, 2020						〔To :Mar 31, 2022 〕
Construction Contracts			824.7				839.2			(14.4)			(1.7)					1,215.0		67.9
[Architectural Construction]	[		661.0	]	[		647.4	]	[	13.6	]	[	2.1	]		[		985.0	]	[ 67.1	]
[Civil Engineering]	[		163.7	]	[		191.8	]	[ (28.1)	]	[ (14.7)	]		[		230.0	]	[ 71.2	]
Gross Profit		7.4%	61.2			12.4%	103.7			(42.4)			(40.9)				7.6%	92.0		66.6
[Architectural Construction]	[	6.3%	41.8	]	[	9.3%	59.9	]	[ (18.0)	]	[ (30.1)	]		[	6.1%	60.5	]	[ 69.2	]
[Civil Engineering]	[ 11.8%	19.3	]	[ 22.8%	43.7	]	[ (24.4)	]	[ (55.8)	]		[	13.7%	31.5	]	[ 61.4	]
Real Estate and Other			45.0				43.0			1.9			4.6					120.0		37.5
Gross Profit		20.7%	9.3			23.4%	10.0			(0.7)			(7.4)				39.6%	47.5		19.6
Net Sales			869.8				882.2				(12.4)			(1.4)					1,335.0			65.2
Gross Profit		8.1%	70.5			12.9%	113.7				(43.2)			(38.0)				10.4%	139.5			50.6
S, G & A Expenses			53.2				50.1			3.0			6.1					76.5		69.6
Operating Income		2.0%	17.3			7.2%	63.6				(46.2)			(72.8)				4.7%	63.0			27.5
Net Financial Revenue			7.3				6.6				0.7			10.7					5.5			－
Others			1.1				0.4			0.7			178.8					(1.0)			－
Ordinary Income		3.0%	25.8			8.0%	70.6				(44.8)			(63.5)				5.1%	67.5			38.3
Special Gains (Losses)			14.0				5.0				8.9			178.6					16.5			－
Income Before Taxes			39.8				75.6			(35.8)			(47.4)					84.0		47.4
Income Taxes			11.3				22.2			(10.9)			(48.9)					24.0			－
Net Income		3.3%	28.4			6.1%	53.3				(24.9)			(46.7)				4.5%	60.0			47.4
(Nonconsolidated)	Current Third Quarter	Previous Fiscal Year		Increase(Decrease)
〔	Dec 31, 2021	〕	〔	Mar 31, 2021	〕					Rate(%)
Interest-bearing Debt			432.7				319.3			113.3			35.5
[Nonrecourse Borrowings]	[		28.3	]	[		29.3	]	[	(0.9)	]	[	(3.3)	]

1. Forecasts have not been changed from the announcement made on Nov 8, 2021.
2. • 2 -

PERFORMANCE FORECASTS

(1) Consolidated														(Billions of Yen)
			Current				Previous			Increase
	Fiscal Year Forecast	Fiscal Year Result			(Decrease)
		From:Apr 1, 2021			From:Apr 1, 2020						Rate(%)
	〔To :Mar 31, 2022 〕		〔To :Mar 31, 2021 〕
Construction Contracts			1,365.0					1,301.3				63.6				4.9
Gross Profit	8.4%	115.0			12.5%	162.4				(47.4)				(29.2)
Real Estate and Other			185.0					155.1				29.8				19.3
Gross Profit	31.1%	57.5			18.0%	27.9				29.5				105.8
Net Sales			1,550.0					1,456.4				93.5				6.4
Gross Profit	11.1%	172.5			13.1%	190.4				(17.9)				(9.4)
S, G & A Expenses			96.0					90.2				5.7				6.4
Operating Income		4.9%	76.5				6.9%	100.1				(23.6)				(23.6)
Net Financial Revenue			1.0					2.6				(1.6)				(62.5)
Others			(0.5)					2.6				(3.1)				－
Ordinary Income		5.0%	77.0				7.2%	105.4				(28.4)				(27.0)
Special Gains (Losses)			10.0					5.3				4.6				85.9
Income Before Taxes			87.0					110.8				(23.8)				(21.5)
Income Taxes			29.0					33.5				(4.5)				(13.5)
Net Income Attributable to			0.0					0.1				(0.1)				(100.0)
Non-Controlling Interests
Net Income Attributable to
Shareholders of the		3.7%	58.0				5.3%	77.1				(19.1)				(24.8)
Corporation
Interest-bearing Debt		Less than 480.0				422.6				57.3				13.6
(2) Nonconsolidated														(Billions of Yen)
			Current				Previous			Increase
	Fiscal Year Forecast	Fiscal Year Result			(Decrease)
		From:Apr 1, 2021			From:Apr 1, 2020						Rate(%)
	〔To :Mar 31, 2022 〕		〔To :Mar 31, 2021 〕
Construction Contracts			1,215.0					1,177.1				37.8				3.2
[Architectural Construction]	[		985.0		]	[		917.1		]	[	67.8	]	[		7.4	]
[Civil Engineering]	[		230.0		]	[		259.9		]	[	(29.9)	]	[		(11.5)	]
Gross Profit	7.6%	92.0			12.3%	144.2				(52.2)				(36.2)
[Architectural Construction]	[ 6.1%	60.5		]	[ 8.7%	80.2		]	[	(19.7)	]	[		(24.6)	]
[Civil Engineering]	[ 13.7%	31.5		]	[ 24.6%	64.0		]	[	(32.5)	]	[		(50.8)	]
Real Estate and Other			120.0					72.8				47.1				64.7
Gross Profit	39.6%	47.5			24.9%	18.1				29.3				161.9
Net Sales			1,335.0					1,249.9				85.0				6.8
Gross Profit	10.4%	139.5			13.0%	162.3				(22.8)				(14.1)
S, G & A Expenses			76.5					72.3				4.1				5.8
Operating Income		4.7%	63.0				7.2%	90.0				(27.0)				(30.0)
Net Financial Revenue			5.5					6.6				(1.1)				(17.5)
Others			(1.0)					1.8				(2.8)				－
Ordinary Income		5.1%	67.5				7.9%	98.6				(31.1)				(31.6)
Special Gains (Losses)			16.5					3.0				13.4				438.8
Income Before Taxes			84.0					101.6				(17.6)				(17.4)
Income Taxes			24.0					29.3				(5.3)				(18.1)
Net Income		4.5%	60.0				5.8%	72.3				(12.3)				(17.1)
Interest-bearing Debt		Less than 330.0				319.3				10.6				3.3

(*) Forecasts have not been changed from the announcement made on Nov 8, 2021.

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