Toumei : 【Delayed】Summary of Consolidated Financial Results for the Year Ended August 31, 2021(Based on Japanese GAAP)

Translation

Notice: This document is an excerpt translation of the original Japanese document and is only for reference purposes. In the event of any discrepancy between this translated document and the original Japanese document, the latter shall prevail.

		Summary of Consolidated Financial Results
		for the Year Ended August 31, 2021
		(Based on Japanese GAAP)
					October 13, 2021
Company name:	TOUMEI CO., LTD.
Stock exchange listing:	Tokyo, Nagoya
Stock code:	4439	URL https://www.toumei.co.jp/
Representative:	CEO		Fumihiko Yamamoto
Inquiries:	Director		Makoto Sekiyama	TEL [phone]
General Manager of Administrative Division
Scheduled date of ordinary general meeting of shareholders:	November 25, 2021
Scheduled date to file Securities Report:	November 26, 2021
Scheduled date to commence dividend payments:	November 26, 2021
Preparation of supplementary material on financial results:	Yes
Holding of financial results meeting:	Yes	(for institutional investors and analysts)

(Amounts less than one million yen are rounded down)

1. Consolidated financial results for the year ended August 31, 2021 (from September 1, 2020 to August 31, 2021)

(1) Consolidated operating results												Percentages indicate year-on-year changes
	Net sales			Operating profit	Ordinary profit	Profit attributable to
			owners of parent
	Millions of yen		%	Millions of yen		%	Millions of yen	%		Millions of yen		%
Year ended August 31, 2021	13,027		13.1	392		(53.0)		452	(51.0)			277		(54.7)
Year ended August 31, 2020	11,517		6.1	835		37.4		923	41.1				611		19.9
	Earnings per share		Diluted earnings per	Profit attributable to		Ordinary profit/total	Operating profit/net
			share			owners of				assets			sales
							parent/equity
		Yen			Yen			%						%				%
Year ended August 31, 2021	37.76		36.85				5.8						5.9				3.0
Year ended August 31, 2020	84.85		82.64				14.3						12.5				7.3
(2) Consolidated financial position
	Total assets			Net assets		Equity ratio	Net assets per share
	Millions of yen	Millions of yen					%						Yen
As of August 31, 2021				7,790					4,882					62.7						665.03
As of August 31, 2020				7,647					4,669					61.1						637.25
(3) Consolidated cash flows
	Cash flows from	Cash flows from	Cash flows from	Cash and cash equivalents
	operating activities	investing activities	financing activities		at end of period
	Millions of yen	Millions of yen	Millions of yen		Millions of yen
Year ended August 31, 2021				(446)					(36)					(368)						2,665
Year ended August 31, 2020				396					8					42						3,516
2. Cash dividends
					Annual dividends per share					Total cash		Dividend payout	Ratio of dividends
															to net assets
	1st quarter-end	2nd quarter-end	3rd quarter-end	Fiscal year-end	Total			dividends (Total)	ratio (Consolidated)	(Consolidated)
	Yen			Yen	Yen		Yen	Yen	Millions of yen		%			%
Year ended August 31, 2020	-		0.00	-		10.00	10.00		73		11.8			1.7
Year ended August 31, 2021	-		0.00	-		11.00	11.00		80		29.1			1.7
Year ending August 31, 2022	-			0.00	-				12.00	12.00				19.9
(Forecast)

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3. Forecast of consolidated financial results for the year ending August 31, 2022 (from September 1, 2021 to August 31, 2022)

Percentages indicate year-on-year changes

	Net sales		Operating profit	Ordinary profit		Profit attributable to	Earnings per share
			owners of parent
Six months ending	Millions of yen	%	Millions of yen	%	Millions of yen	%	Millions of yen	%	Yen
7,578	26.4	139	(37.2)	166	(32.1)		79	(49.9)	10.80
February 28, 2022
Full year	15,719	20.7	626	59.7	682	50.9		443	60.1	60.41
4. Notes
(1) Changes in significant subsidiaries during the year ended August 31, 2021			No
(changes in specified subsidiaries resulting in the change in scope of consolidation):
(2) Changes in accounting policies, changes in accounting estimates, and restatement of prior period financial statements
Changes in accounting policies due to revisions to accounting standards and other regulations:	No
Changes in accounting policies due to other reasons:					No
Changes in accounting estimates:							No
Restatement of prior period financial statements:					No

(3) Number of issued shares (common shares)

Total number of issued shares at the end of the period (including treasury shares)

	As of August 31, 2021	7,341,900	shares	As of August 31, 2020	7,327,500	shares
Number of treasury shares at the end of the period
	As of August 31, 2021	377	shares	As of August 31, 2020	300	shares
Average number of shares during the period
	Year ended August 31, 2021	7,336,752	shares	Year ended August 31, 2020	7,211,590	shares

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Consolidated financial statements

Consolidated balance sheets

			(Thousands of yen)
		As of August 31, 2020	As of August 31, 2021
Assets
Current assets
Cash and deposits	3,836,419	2,985,268
Notes and accounts receivable - trade	3,081,234	3,746,212
Merchandise and finished goods	5,620	4,769
Raw materials and supplies	30,864	118,849
Other	91,738	169,688
Allowance for doubtful accounts	(32,684)	(22,167)
Total current assets	7,013,194	7,002,620
Non-current assets
Property, plant and equipment
Buildings and structures	209,701	225,418
Accumulated depreciation	(94,741)	(104,950)
Buildings and structures, net	114,960	120,468
Machinery, equipment and vehicles	25,654	28,149
Accumulated depreciation	(18,219)	(20,740)
Machinery, equipment and vehicles, net	7,435	7,409
Tools, furniture and fixtures	79,062	79,879
Accumulated depreciation	(52,987)	(57,251)
Tools, furniture and fixtures, net	26,075	22,628
Land	179,081	179,081
Total property, plant and equipment	327,552	329,587
Intangible assets	11,161	16,221
Investments and other assets
Investment securities	17,586	23,766
Deferred tax assets	55,198	52,367
Other	260,059	403,421
Allowance for doubtful accounts	(37,136)	(37,136)
Total investments and other assets	295,707	442,418
Total non-current assets	634,421	788,226
Total assets		7,647,615	7,790,846

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			(Thousands of yen)
		As of August 31, 2020	As of August 31, 2021
Liabilities
Current liabilities
Notes and accounts payable - trade	1,125,427	1,438,503
Short-term borrowings	100,000	100,000
Current portion of bonds payable	800,000	-
Accounts payable - other	264,227	313,120
Income taxes payable	140,439	66,542
Provision for bonuses	46,399	56,779
Provision for sales promotion expenses	2,649	1,148
Other	145,046	76,175
Total current liabilities	2,624,189	2,052,269
Non-current liabilities
Long-term borrowings	300,000	800,000
Asset retirement obligations	48,154	50,754
Other	6,015	5,520
Total non-current liabilities	354,169	856,275
Total liabilities	2,978,359	2,908,544
Net assets
Shareholders' equity
Share capital	605,155	607,690
Capital surplus	595,155	597,690
Retained earnings	3,457,339	3,661,087
Treasury shares	(331)	(415)
Total shareholders' equity	4,657,319	4,866,051
Accumulated other comprehensive income
Valuation difference on available-for-sale securities	11,937	16,251
Total accumulated other comprehensive income	11,937	16,251
Total net assets	4,669,256	4,882,302
Total liabilities and net assets		7,647,615	7,790,846

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Consolidated statements of income and consolidated statements of comprehensive income Consolidated statements of income

			(Thousands of yen)
		Fiscal year ended	Fiscal year ended
		August 31, 2020	August 31, 2021
Net sales	11,517,190	13,027,005
Cost of sales	7,320,919	9,010,445
Gross profit	4,196,271	4,016,559
Selling, general and administrative expenses	3,360,485	3,623,954
Operating profit	835,786	392,605
Non-operating income
Interest income	2,878	3,353
Dividend income	72	48
Gain on settlement of liabilities	80,747	54,726
Gain on sale of investment securities	29,999	-
Other	11,753	9,748
Total non-operating income	125,451	67,876
Non-operating expenses
Interest expenses	8,825	7,621
Market change expenses	27,193	-
Other	1,636	723
Total non-operating expenses	37,655	8,344
Ordinary profit	923,581	452,137
Extraordinary losses
Loss on retirement of non-current assets	0	-
Impairment losses	-	7,221
Loss on cancellation of rental contracts	-	1,675
Total extraordinary losses	0	8,896
Profit before income taxes	923,581	443,241
Income taxes - current	229,774	165,256
Income taxes - deferred	81,880	964
Total income taxes	311,655	166,221
Profit	611,926	277,019
Profit attributable to owners of parent		611,926	277,019

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