Press Kogyo : Summary of Consolidated Financial Results for the Nine Months Ended December 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 Nine Months Ended December 31, 2021 (Based on Japanese GAAP)

									February 7, 2022
Company name:	PRESS KOGYO CO., LTD.
Stock exchange listing:	Tokyo
Stock code:	7246	URL	https://www.presskogyo.co.jp
Representative:	President & CEO			Tetsushi Mino
Inquiries:	General Manager, General Affairs Dept.	Takanori Sasaoka	TEL [phone]
Scheduled date to file Quarterly Securities Report:		February 7, 2022
Scheduled date to commence dividend payments:		-
Preparation of supplementary material on quarterly financial results:	No
Holding of quarterly financial results meeting:		No
						(Amounts less than one million yen are rounded down)
1. Consolidated financial results for the nine months ended December 31, 2021 (from April 1, 2021 to December 31, 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 December 31, 2021	110,808	-	7,997	-	7,900	-	4,045	-
Nine months ended December 31, 2020	105,398	(31.8)	296	(93.7)	389	(91.9)	(1,701)	-
			Earnings per share	Diluted earnings per share
				Yen		Yen
Nine months ended December 31, 2021		37.45		-
Nine months ended December 31, 2020		(15.69)		-

Note: From the beginning of the 1st quarter of the current fiscal year ending March 31, 2022, the Company has applied "Accounting Standard for Revenue Recognition" (ASBJ Statement No. 29). The figures for the 1st quarter of the current fiscal year above include the effects of the said standards. Accordingly, percentages of changes from the same period of the previous fiscal year are not indicated.

(2) Consolidated financial position

	Total assets	Net assets	Equity ratio	Net assets per share
	Millions of yen	Millions of yen	%	Yen
As of December 31, 2021	159,790	98,558	57.0	859.69
As of March 31, 2021	152,609	95,604	58.3	820.51

Note: From the beginning of the 1st quarter of the current fiscal year ending March 31, 2022, the Company has applied "Accounting Standard for Revenue Recognition" (ASBJ Statement No. 29). The figures for the 1st quarter of the current fiscal year above include the effects of the said standards.

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 March 31, 2021			-		0.00				-	7.50	7.50
Year ending March 31, 2022			-		9.50				-
Year ending March 31, 2022 (Forecast)										9.50	19.00
3. Forecast of consolidated financial results for the year ending March 31, 2022 (from April 1, 2021 to March 31, 2022)
								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	157,400	-	12,000	-	11,700	-		6,600	-	61.45

Note: From the beginning of the year ending March 31, 2022, the Company has applied "Accounting Standard for Revenue Recognition" (ASBJ Statement No. 29). Forecast of consolidated financial results above include the effects of the said standards. Accordingly, percentages of changes from the same period of the previous fiscal year are not indicated.

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The Company resolved acquisition and cancellation of treasury stock at the Board of Directors held on November 5, 2021. As a result, the Company completed the acquisition of 2,994,700 shares by January 13, 2022.

In the "Earnings per share" of the forecast, the impact of the acquisition and cancellation of treasury stock is taken into account.

4. Notes

1. Changes in significant subsidiaries during the nine months ended December 31, 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:

No

No

(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:	Yes
Changes in accounting policies due to other reasons:	No
Changes in accounting estimates:	No
Restatement of prior period financial statements:	No

(4) Number of issued shares (common shares)

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

	As of December 31, 2021	114,009,770	shares	As of March 31, 2021	114,009,770	shares
Number of treasury shares at the end of the period
	As of December 31, 2021	7,998,801	shares	As of March 31, 2021	5,609,495	shares
Average number of shares during the period (cumulative from the beginning of the fiscal year)
	Nine months ended December 31, 2021	108,011,354	shares	Nine months ended December 31, 2020	108,400,902	shares

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Quarterly consolidated financial statements

Consolidated balance sheets

			(Millions of yen)
		As of March 31, 2021	As of December 31, 2021
Assets
Current assets
Cash and deposits	17,151	18,540
Notes and accounts receivable - trade	34,360	31,871
Merchandise and finished goods	1,381	1,410
Work in process	12,644	14,917
Raw materials and supplies	1,748	1,587
Income taxes receivable	10	5
Other	1,653	4,711
Allowance for doubtful accounts	-	(13)
Total current assets	68,950	73,030
Non-current assets
Property, plant and equipment
Buildings and structures, net	11,499	11,805
Machinery, equipment and vehicles, net	17,127	16,485
Land	32,223	32,209
Other, net	10,949	13,560
Total property, plant and equipment	71,800	74,060
Intangible assets
Other	637	609
Total intangible assets	637	609
Investments and other assets
Deferred tax assets	636	847
Retirement benefit asset	3,571	3,680
Investment and other assets	7,089	7,637
Allowance for doubtful accounts	(76)	(76)
Total investments and other assets	11,221	12,089
Total non-current assets	83,658	86,759
Total assets	152,609	159,790
Liabilities
Current liabilities
Notes and accounts payable - trade	24,176	25,023
Short-term borrowings	7,213	7,753
Income taxes payable	366	1,003
Provision for bonuses	2,637	1,665
Provisions	77	80
Other	7,238	10,463
Total current liabilities	41,709	45,990
Non-current liabilities
Long-term borrowings	2,571	2,225
Deferred tax liabilities	1,870	2,131
Deferred tax liabilities for land revaluation	7,601	7,601
Provisions	205	181
Retirement benefit liability	2,115	2,174
Asset retirement obligations	404	405
Other	526	521
Total non-current liabilities	15,295	15,241
Total liabilities		57,005	61,231

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						(Millions of yen)
					As of March 31, 2021	As of December 31, 2021
Net assets
Shareholders' equity
Share capital					8,070	8,070
Capital surplus				2,074	2,074
Retained earnings				59,941	62,143
Treasury shares				(1,619)	(2,562)
Total shareholders' equity				68,466	69,725
Accumulated other comprehensive income
Valuation	difference	on	available-for-sale	1,561	1,938
securities
Revaluation reserve for land			17,255	17,255
Foreign currency translation adjustment	629	1,183
Remeasurements of defined benefit plans	1,031	1,032
Total accumulated other comprehensive income	20,477	21,410
Non-controlling interests				6,660	7,422
Total net assets					95,604	98,558
Total liabilities and net assets				152,609	159,790

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Consolidated statements of income (cumulative) and consolidated statements of comprehensive income (cumulative)

Consolidated statements of income (cumulative)

			(Millions of yen)
		Nine months ended	Nine months ended
		December 31, 2020	December 31, 2021
Net sales	105,398	110,808
Cost of sales	95,998	93,213
Gross profit	9,400	17,594
Selling, general and administrative expenses	9,103	9,596
Operating profit	296	7,997
Non-operating income
Interest income	18	17
Dividend income	126	186
Rental income from non-current assets	53	49
Other	149	35
Total non-operating income	348	289
Non-operating expenses
Interest expenses	162	109
Foreign exchange losses	64	249
Other	27	28
Total non-operating expenses	255	387
Ordinary profit	389	7,900
Extraordinary income
Gain on sale of non-current assets	11	13
Gain on sale of investment securities	-	41
Gain on insurance claims	1	-
Total extraordinary income	13	55
Extraordinary losses
Loss on sale of non-current assets	3	0
Loss on retirement of non-current assets	51	185
Impairment losses	73	-
Loss on valuation of investment securities	161	-
Provision for environmental measures	179	-
Loss on liquidation of subsidiaries	-	605
Loss on COVID19	1,612	-
Total extraordinary losses	2,082	791
Profit (loss) before income taxes	(1,679)	7,163
Income taxes - current	670	1,713
Income taxes - deferred	(320)	(144)
Total income taxes	349	1,568
Profit (loss)	(2,028)	5,594
Profit (loss) attributable to non-controlling interests	(327)	1,549
Profit (loss) attributable to owners of parent		(1,701)	4,045

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