Summary of Consolidated Financial Results for the Nine Months Ended September 30, 2021[Japan 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 Nine Months Ended September 30, 2021 (Based on Japanese GAAP)

		November 11, 2021
Company name:	ORO Co., Ltd
Stock exchange listing:	TSE
Stock code:	3983	URL https://www.oro.com
Representative:	Atsushi Kawata, Representative Director and President
Inquiries:	Yasuhisa Hino, Senior Managing Director and General Manager for Corporate Department TEL [phone]

Scheduled date to file Quarterly Securities Report:				November 12, 2021
Scheduled date to commence dividend payments:				-
Preparation of supplementary material on quarterly financial results:	Yes
Holding of quarterly financial results meeting:				None
						(Amounts less than one million yen are rounded down)
1. Consolidated financial results for the nine months ended September 30, 2021 (from January 1, 2021 to September 30, 2021)
(1) Consolidated operating results (cumulative)						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	%
Nine months ended September 30, 2021		4,071		13.8	1,452	44.8	1,453		44.2		991	45.4
Nine months ended September 30, 2020		3,578		(3.9)	1,002	(0.6)	1,007		(2.3)		681	(1.8)

Note: Comprehensive income Nine months ended September 30, 2021:	1,014 million yen	[49.6%]
Nine months ended September 30, 2020:	678	million yen	[0.5%]
	Earnings per share			Diluted earnings per share
	Yen			Yen
Nine months ended September 30, 2021	61.13			-
Nine months ended September 30, 2020	41.06			-

(2) Consolidated financial position
	Total assets	Net assets	Equity ratio
	Millions of yen	Millions of yen	%
As of September 30, 2021	7,503	6,344	84.6
As of December 31, 2020	8,608	7,216	83.8

Reference: Equity capital

As of September 30, 2021: 6,344

million yen

As of December 31, 2020: 7,216 million yen

2. Cash dividends

Annual dividends per share

1st quarter-end

2nd quarter-end

3rd quarter-end

Fiscal year-end

Total

Yen

Yen

Yen

Yen

Yen

Year ended December 31, 2020

-

0.00

-

10.00

10.00

Year ending December 31, 2021

-

0.00

-

Year ending December 31, 2021 (Forecast)

10.00

10.00

Note: Revisions to most recently released dividend forecast

: None

3. Forecast of consolidated financial results for the year ending December 31, 2021 (from January 1, 2021 to December 31, 2021)

Percentages indicate year-on-year changes

Net sales

Operating profit

Ordinary profit

Profit attributable to

Earnings per share

owners of parent

Millions of yen

%

Millions of yen

%

Millions of yen

%

Millions of yen

%

Yen

Full year

6,050

15.5

1,931

13.1

1,940

13.2

1,338

13.3

80.63

Note: Revisions to most recently released earnings forecast :

None

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4. Notes

1. Changes in significant subsidiaries during the nine months ended September 30, 2021 (changes in specified subsidiaries resulting in the change in scope of consolidation):
2. Application of special accounting methods for preparing quarterly consolidated financial statements:

None

None

(3) 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:	None
Changes in accounting policies due to other reasons:	None
Changes in accounting estimates:	None
Restatement of prior period financial statements:	None

(4) Number of issued shares (common shares)

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

As of September 30, 2021		16,606,453	shares	As of December 31, 2020	16,606,453	shares
Number of treasury shares at the end of the period
As of September 30, 2021		495,585	Shares	As of December 31, 2020	331	shares
Average number of shares during the period (cumulative from the beginning of the fiscal year)
Nine months ended September 30, 2021		16,217,005	Shares	Nine months ended September 30, 2020	16,603,437	shares

• This report is exempt from the quarterly review by certified a public accountant or audit firm.
• Explanation concerning appropriate use of the earnings forecast and other matters to note
  (Caution regarding forward-looking statements)
  Earnings forecasts and other forward-looking statements contained in this document are based on information available at the time of this document's preparation and on certain assumptions that are deemed to be reasonable. These forward-looking statements are not guarantees of future performance, and actual results, performance, achievements or financial position may differ materially from those expressed or implied herein due to a range of factors.
  (Method of obtaining supplementary materials to quarterly financial results)
  Supplementary materials to financial results are disclosed on TDnet and the Company's website on the same day.

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○Accompanying Materials - Contents

1. Quarterly consolidated financial statements and main notes …………………………………………… 4

(1) Consolidated balance sheets …………………………………………………………………………… 4

(2) Consolidated statements of income and comprehensive income ……………………………………… 6

(3) Notes on consolidated financial statements …………………………………………………………… 8 (Note on the going-concern assumption) …………………………………………………………… 8 (Note on significant changes in the amount of shareholders' equity) …………………………………8 (Segment information) ……………………………………………………………………………… 8

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Quarterly consolidated financial statements

Consolidated balance sheets

			(Thousands of yen)
		As of December 31, 2020	As of September 30, 2021
Assets
Current assets
Cash and deposits	6,293,840	5,657,489
Notes and accounts receivable - trade	1,370,614	882,836
Work in process	153,376	225,601
Raw materials and supplies	3,073	3,050
Other	100,355	99,654
Allowance for doubtful accounts	(1,120)	(553)
Total current assets	7,920,138	6,868,079
Non-current assets
Property, plant and equipment	454,454	385,629
Intangible assets	31,233	38,674
Investments and other assets
Investment securities	16,541	12,037
Deferred tax assets	88,624	101,048
Other	98,290	99,325
Allowance for doubtful accounts	(915)	(915)
Total investments and other assets	202,540	211,495
Total non-current assets	688,229	635,799
Total assets	8,608,368	7,503,878

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			(Thousands of yen)
		As of December 31, 2020	As of September 30, 2021
Liabilities
Current liabilities
Notes and accounts payable - trade	288,743	147,229
Income taxes payable	280,526	263,818
Provision for bonuses	53,222	111,621
Provision for loss on order received	30,132	28,118
Other	565,653	445,640
Total current liabilities	1,218,278	996,427
Non-current liabilities
Asset retirement obligations	114,799	114,340
Other	58,471	48,474
Total non-current liabilities	173,271	162,815
Total liabilities	1,391,550	1,159,242
Net assets
Shareholders' equity
Capital stock	1,193,528	1,193,528
Capital surplus	1,103,528	1,103,817
Retained earnings	4,922,166	5,747,386
Treasury shares	(942)	(1,721,970)
Total shareholders' equity	7,218,281	6,322,760
Accumulated other comprehensive income
Valuation difference on available-for-sale securities	7,523	4,053
Foreign currency translation adjustment	(8,987)	17,821
Total accumulated other comprehensive income	(1,463)	21,875
Total net assets	7,216,818	6,344,635
Total liabilities and net assets	8,608,368	7,503,878

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