Unipres : Top Message updated.

Regarding consolidated financial results for the second quarter of FY 2021, although a significant improvement in revenue due to coming out of the COVID-19 pandemic, net sales was only 119.3 billion yen, operating income was -7.9 billion yen, ordinary income was -7.2 billion yen, and net income attributable to the owners of the parent was -7.7 billion yen impacted by customers' sharp production cutbacks caused by the global shortage of semiconductor supplies.

The impact of the reduced production is expected to continue in the second half of the year, leading to a significant decrease from our initial production volume forecast. Thus, we have revised the forecasts of consolidated business results for FY2021 ending March 31, 2022, announced in May 2021, downward to 268 billion yen in net sales, -3.7 billion yen in operating income, -2.4 billion yen in ordinary income, and -5.1 billion yen in net income attributable to owners of parent.
However, we have been steadily making efforts to improve profitability. In addition, at Nissan Motor Co., Ltd., one of our major customers, plans to launch a large number of new model cars globally starting in the second half of FY2020 through FY2022 are progressing smoothly, and we are taking steps to prepare for the launch of parts for the new model cars at our production sites both in Japan and overseas. We will be ready to respond flexibly to the recovery of production volume in the next fiscal year and thereafter, and build a robust revenue base that ensures steady profitability.
As for dividends, while our basic policy of paying out stable dividends remain unchanged, we regret to inform you that there will be no payment of interim dividends, in light of the much lower than previous expected. With regard to the payment of the year-end dividend, it continues to be undetermined for the time being and we will make a decision by monitoring the situation going forward and promptly announce it, as soon as it is possible to do so.

We will all strive as one Global Unipres and further deepen UPS（Unipres Production System）Activities while promoting sustainability management to aim for sustainable growth by trying to build up a robust and flexible corporate structure that can be resistance to change.

December, 2021