Consolidated Financial Results
for the Fiscal Year Ended March 31, 2021
[Japanese GAAP]
May 13, 2021
Company name: Neturen Co., Ltd.
Stock exchange listing: Tokyo Stock Exchange
Code number: 5976
URL: https://www.k-neturen.co.jp/
Representative: Katsumi Omiya, Representative Director, Member of the Board and President
Contact: Takaaki Aoi, General Manager, Accounting Department, Administrative Headquarters
Phone: +81-3-3443-5441
Scheduled date of the ordinary general meeting of shareholders: June 25, 2021
Scheduled date of commencing dividend payments: June 28, 2021
Scheduled date of filing securities report: June 28, 2021
Availability of supplementary explanatory materials on annual financial results: Available
(Amounts of less than one million yen are rounded down.)
1. Consolidated Financial Results for the Fiscal Year Ended March 31, 2021 (April 1, 2020 - March 31, 2021)
(1) Consolidated Operating Results | (% indicates changes from the previous corresponding period.) | ||||||||
Net sales | Operating income | Ordinary income | Profit attributable to | ||||||
owners of parent | |||||||||
Fiscal year ended | Million yen | % | Million yen | % | Million yen | % | Million yen | % | |
March 31, 2021 | 42,567 | (12.8) | 920 | (55.9) | 1,475 | (28.8) | 268 | 7.0 | |
March 31, 2020 | 48,806 | (7.9) | 2,087 | (41.5) | 2,071 | (49.2) | 250 | (73.7) |
(Note) Comprehensive income: Fiscal year ended March 31, 2021: ¥1,351 million [-%] | |||||
Fiscal year ended March 31, 2020: ¥(594) million [-%] | |||||
Diluted | Ratio of | Ratio of | |||
Basic earnings | Return on | operating | |||
earnings | ordinary income | ||||
per share | equity | income to net | |||
per share | to total assets | ||||
sales | |||||
Fiscal year ended | Yen | Yen | % | % | % |
March 31, 2021 | 6.59 | - | 0.5 | 1.9 | 2.2 |
March 31, 2020 | 6.14 | - | 0.4 | 2.6 | 4.3 |
(Reference) Equity in earnings of affiliated companies: | Fiscal year ended March 31, 2021: ¥118 million | |||||||||||
Fiscal year ended March 31, 2020: ¥(471) million | ||||||||||||
(2) Consolidated Financial Position | ||||||||||||
Total assets | Net assets | Equity ratio | Net assets per share | |||||||||
Million yen | Million yen | % | Yen | |||||||||
As of March 31, 2021 | 75,574 | 62,714 | 74.4 | 1,410.69 | ||||||||
As of March 31, 2020 | 76,277 | 62,772 | 73.8 | 1,379.16 | ||||||||
(Reference) Equity: As of | March 31, 2021: ¥56,233 million | |||||||||||
As of March 31, 2020: ¥56,279 million | ||||||||||||
(3) Consolidated Cash Flows | ||||||||||||
Cash flows from | Cash flows from | Cash flows from | Cash and cash | |||||||||
equivalents | ||||||||||||
operating activities | investing activities | financing activities | ||||||||||
at year-end | ||||||||||||
Fiscal year ended | Million yen | Million yen | Million yen | Million yen | ||||||||
March 31, 2021 | 3,969 | (758) | (1,595) | 13,309 | ||||||||
March 31, 2020 | 6,298 | (4,020) | (1,810) | 11,697 |
2. Dividends
Annual dividends | Total | Ratio of | |||||||||
Payout ratio | dividends to | ||||||||||
1st | 2nd | 3rd | Year- | dividends | |||||||
Total | (consolidated) | net assets | |||||||||
quarter- | quarter- | quarter- | end | (annual) | |||||||
end | end | end | (consolidated) | ||||||||
Fiscal year ended | Yen | Yen | Yen | Yen | Yen | Million yen | % | % | |||
- | 13.00 | - | 9.00 | 22.00 | 897 | 358.3 | 1.6 | ||||
March 31, 2020 | |||||||||||
Fiscal year ended | - | 5.00 | - | 9.00 | 14.00 | 563 | 212.4 | 1.0 | |||
March 31, 2021 | |||||||||||
Fiscal year ending | |||||||||||
March 31, 2022 | - | 9.00 | - | 10.00 | 19.00 | 42.1 | |||||
(Forecast) |
3. Consolidated Financial Results Forecast for the Fiscal Year Ending March 31, 2022 (April 1, 2021 - March 31, 2022)
(% indicates changes from the previous corresponding period.)
Profit attributable | Basic earnings | ||||||||
Net sales | Operating income | Ordinary income | to owners of | ||||||
per share | |||||||||
parent | |||||||||
First half | Million yen | % | Million yen | % | Million yen | % | Million yen | % | Yen |
24,000 | 30.7 | 1,000 | - | 1,100 | - | 600 | - | 15.05 | |
Full year | 50,000 | 17.5 | 2,500 | 171.7 | 2,800 | 89.7 | 1,800 | 571.3 | 45.16 |
* Notes:
-
Changes in significant subsidiaries during the fiscal year under review: None (Changes in specified subsidiaries resulting in changes in scope of consolidation) Newly included: -
Excluded: - - Changes in accounting policies, changes in accounting estimates and retrospective restatement
- Changes in accounting policies due to the revision of accounting standards: None
- Changes in accounting policies other than 1) above: None
- Changes in accounting estimates: None
- Retrospective restatement: None
- Total number of issued and outstanding shares (common shares)
- Total number of issued and outstanding shares at the end of the year (including treasury shares):
March 31, 2021: | 43,790,500 shares |
March 31, 2020: | 43,790,500 shares |
2) Total number of treasury shares at the end of the year: | |
March 31, 2021: | 3,928,280 shares |
March 31, 2020: | 2,983,824 shares |
3) Average number of shares during the year: | |
Year ended March 31, 2021: | 40,686,347 shares |
Year ended March 31, 2020: | 40,806,829 shares |
- These consolidated financial results are outside the scope of audit by certified public accountants or an audit firm.
-
Explanation of the proper use of financial results forecast and other notes (Notes on forward-looking statements, etc.)
The forward-looking statements contained in this document are based on judgments made in accordance with information available at the time of the release of this document and include many uncertain factors. Actual results may differ from these forecasts due to changes in business conditions and other factors.
For the assumptions used for the financial results forecast as well as precautions regarding the use of such forecast, please refer to "1. Overview of Operating Results, etc. (4) Future Outlook" on page 4 of the Attachments.
(Access to the materials for the financial results for the fiscal year ended March 31, 2021)
Supplementary materials for the financial results will be disclosed via TDnet and on the Company's website.
Table of Contents - Attachments | ||
1. | Overview of Operating Results, etc. .................................................................................................... 2 | |
(1) | Overview of Operating Results for the Fiscal Year under Review .................................................. | 2 |
(2) | Overview of Financial Position for the Fiscal Year under Review ................................................. | 3 |
(3) | Overview of Cash Flows for the Fiscal Year under Review ............................................................ | 3 |
(4) | Future Outlook ................................................................................................................................ | 4 |
(5) | Basic Policy on Profit Distribution and Dividends for the Current and Next Fiscal Years ............. | 5 |
2. | Basic Policy on Selection of Accounting Standards ............................................................................ | 5 |
3. | Consolidated Financial Statements ...................................................................................................... | 6 |
(1) | Consolidated Balance Sheets .......................................................................................................... | 6 |
(2) | Consolidated Statements of Income and Comprehensive Income .................................................. | 8 |
(3) | Consolidated Statements of Changes in Equity ............................................................................ | 10 |
(4) | Consolidated Statements of Cash Flows ....................................................................................... | 12 |
1
1. Overview of Operating Results, etc.
-
Overview of Operating Results for the Fiscal Year under Review
During the fiscal year under review, the Japanese economy was hit by a rapid deterioration in the economic environment due to the novel coronavirus disease (COVID-19) in the first half of the year, but it gradually began to show signs of recovery in the second half. However, in January 2021, a state of emergency was again declared in some areas of Japan, and the situation continued to be extremely severe with no time frame for the containment of the disease in sight, as there were concerns about a rebound in infections even after the lifting of the state-of-emergency declaration.
Overseas, although China and North America were able to emerge from the economic stagnation caused by COVID-19 at a relatively early stage, there are still areas where the timing of its containment is unclear, and the outlook is extremely uncertain.
Under these circumstances, the Group strove to enhance its corporate value by promoting the basic policies set forth in the 14th medium-term business plan "Accomplish V-20" (a plan for the three years from April 2018 to March 2021): (1) Rapid development and market introduction of new technologies, new products, and new businesses, (2) Securing and fostering global human resources who will forge the present and future of the Group, and (3) Building a global structure for safety, quality and CSR activities.
In addition, in response to the rapid changes in the business environment caused by COVID-19, we implemented flexible work support between sites by utilizing surplus time for education and training. At the same time, we strove to reduce costs by cutting expenditures, such as through reviewing equipment investment plans and curbing business trips.
Although orders recovered steadily from the latter half of the fiscal year under review, the decrease in orders due to COVID-19 in the first half of the year had a significant impact. As a result, net sales for the fiscal year under review were ¥42,567 million (down 12.8% year on year). Operating income was ¥920 million (down 55.9% year on year) due to the decrease in net sales, despite efforts to reduce costs. Ordinary income was ¥1,475 million (down 28.8% year on year). Profit attributable to owners of parent was ¥268 million (up 7.0% year on year), mainly due to the recording of gain on sales of investment securities, despite the recording of impairment loss on goodwill of Korea Neturen Co., Ltd.
Results by business segment are as follows.
-
Specialty Steel and Wire Products Division
Net sales of civil engineering and construction-related products increased slightly year on year, as sales volume was secured despite the postponement of construction work due to the spread of COVID-19.
Net sales of automobiles-related products decreased significantly year on year due to the significant impact of the global market slowdown caused by the spread of COVID-19 in the first half of the fiscal year under review.
Net sales of construction equipment-related products increased year on year, mainly due to increased sales volume in China, where recovery was quicker, despite the impact of the global market slowdown caused by the spread of COVID-19.
As a result, although business conditions have been steadily recovering, the sharp drop in orders in the first half of the fiscal year had a significant impact, resulting in net sales of ¥24,537 million (down 7.5% year on year). However, operating income was ¥685 million (up 27.8% year on year) as a result of the recovery in the Chinese market and the efforts to cut costs. - Induction Heating Division
Net sales of induction heat treatment-related services decreased year on year due to the significant impact of the market slowdown caused by the spread of COVID-19 in major industries such as automobiles, machine tools, and construction machinery in the first half of the fiscal year under review.
Net sales of induction heating equipment and related services decreased significantly year on year due to a
2
This is an excerpt of the original content. To continue reading it, access the original document here.
Attachments
- Original document
- Permalink
Disclaimer
Neturen Co. Ltd. published this content on 11 June 2021 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 11 June 2021 08:03:07 UTC.