TAC : Consolidated Financial Results for the Nine Months Ended December 31, 2022

TAC Co.,Ltd Consolidated Financial Results for the Nine Months Ended December 31, 2022

Summary

Consolidated Financial Results

for the Nine Months Ended December 31, 2022

February 6 , 2023

Company name: TAC Co., Ltd.

Listing: Tokyo Stock Exchange

Company code number: 4319

URL: https://www.tac-school.co.jp

Representative: Toshio Tada, Representative Director

Contact: Shoji Nonaka, Manager of IR department Tel: [phone]

Scheduled date to commence dividend payments: -

Scheduled date to submit the annual securities report of the 3rd quarter: February 10, 2023

Supplemental information for financial statements: Yes

Results briefing session: No

(Amounts rounded down to the nearest million yen)

1. Consolidated 3rd quarter results for the fiscal year ending March 2023

(From April 1, 2022 to December 31, 2022)

(1) Consolidated financial results

(% indicates changes from the previous corresponding period)

Net sales

Operating profit

Ordinary profit

Profit attributable to

owners of parent

(Yen in millions)

％

(Yen in millions)

％

(Yen in millions)

％

(Yen in millions)

％

FY2022

14,949

-4.2

341

-48.8

352

-50.3

204

-55.3

(Apr.1, 2022 - Dec.31, 2022)

FY2021

15,599

6.2

666

22.9

709

1.2

456

-4.5

(Apr.1, 2021 - Dec.31, 2021)

(Notes)Comprehensive income:FY2022(2022/12) 189 million yen (-61.1%)

FY2021(2021/12) 487 million yen (-1.3%)

Profit per share

Fully diluted profit

per share

(Yen)

(Yen)

FY2022

11.07

－

(Apr.1, 2022 - Dec.31, 2022)

FY2021

24.65

－

(Apr.1, 2021 - Dec.31, 2021)

(2) Consolidated financial position

Total assets

Net assets

Equity ratio

(Yen in millions)

(Yen in millions)

％

FY2022

21,260

6,177

29.0

(As of Dec. 31, 2022)

FY2021

21,384

6,174

28.8

(As of Mar. 31, 2022)

（Notes）EquityFY2022(2022/12)

6,168 million yen FY2021(2022/3)

6,165 million yen

2．Dividends

Annual dividends per share

1stquarter

2ndquarter

3rdquarter

4thquarter

Total

FY2021

(Yen)

(Yen)

(Yen)

(Yen)

(Yen)

(Apr.1,2021 - Mar.31,2022)

－

3.00

－

3.00

6.00

FY2022

－

3.00

－

(Apr.1,2022 - Mar.31,2023)

FY2022(Forecast)

3.00

6.00

(Note) Revision of dividend forecasts in the current quarter: None

3．Consolidated forecasts for March 2023 term (From April 1, 2022 to March 31, 2023)

(% indicates changes from the previous corresponding period)

	Net sales	Operating profit	Ordinary profit	Profit attributable to	Profit per share
	owners of parent
	(Yen in millions)	％	(Yen in millions)	％	(Yen in millions)	％	(Yen in millions)	％	(Yen)
Full year	20,450	-0.1	650	57.3	608	37.4	400	-10.1	21.62

(Note) Revision of consolidated financial results forecasts: None

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TAC Co.,Ltd Consolidated Financial Results for the Nine Months Ended December 31, 2022

• Notes
• 1. Significant changes in scope of consolidation (Changes in consolidated subsidiaries): None
  2. Application of the simplified accounting method and/or the special accounting method for quarterly consolidated financial statements: None
  3. Changes in accounting policies, changes in accounting estimates, and restatements

(3)-1 Changes in accounting policies due to the revision of accounting standards: Yes

(3)-2 Changes in accounting policies other than (3)-1: None

(3)-3 Changes in accounting estimates: None

(3)-4 Restatements: None

(4) Number of shares issued (common stocks)

(4)-1 Number of shares issued at the end of the period (including treasury shares)

(4)-2 Number of treasury shares at the end of the period

(4)-3 Average number of shares during the period

FY2022	18,504,000	shares	FY2021	18,504,000	shares
3rdquarter
FY2022	370,168	shares	FY2021	68	shares
3rdquarter
FY2022	18,442,024	shares	FY2021	18,503,932	shares
3rdquarter	3rdquarter

• This "Consolidated Financial Results" are outside the scope of the audit.
• Explanation of proper use of financial forecasts and other special notes:

The above forecasts are based on the information available at this time and on assumptions deemed to be reasonable. Therefore, the actual financial results may differ significantly from the forcasts due to various factors.

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TAC Co.,Ltd Consolidated Financial Results for the Nine Months Ended December 31, 2022

Quarterly consolidated financial statements and notes

(1) Quarterly consolidated balance sheet

		(Yen in thousands)
	FY2021	FY2022
	(as of March 31, 2022)	(as of December 31, 2022)
Assets
Current assets
Cash and deposits	5,716,572	6,753,924
Notes and accounts receivable - trade	3,581,997	3,783,266
Securities	200,000	200,000
Merchandise and finished goods	444,792	464,079
Work in process	6,869	3,692
Raw materials and supplies	344,872	317,466
Accounts receivable - other	781,212	63,083
Prepaid expenses	354,030	256,295
Income taxes refund receivable	－	82,537
Other	257,101	229,874
Allowance for doubtful accounts	-8,064	-7,205
Total current assets	11,679,384	12,147,015
Non-current assets
Property, plant and equipment
Land	2,744,159	2,744,159
Other, net	2,369,778	2,298,918
Total property, plant and equipment	5,113,937	5,043,077
Intangible assets	202,075	210,004
Investments and other assets
Investment securities	582,515	560,933
Investments in capital of subsidiaries and associates	6,385	0
Deferred tax assets	372,776	315,821
Long-term time deposits	－	100,000
Guarantee deposits	2,654,130	2,133,655
Insurance funds	633,503	622,272
Other	165,522	153,262
Allowance for doubtful accounts	-25,779	-25,779
Total Investments and other assets	4,389,053	3,860,166
Total non-currentassets	9,705,066	9,113,249
Total assets	21,384,451	21,260,264

3

TAC Co.,Ltd Consolidated Financial Results for the Nine Months Ended December 31, 2022

		(Yen in thousands)
	FY2021	FY2022
	(as of March 31, 2022)	(as of December 31, 2022)
Liabilities
Current Liabilities
Notes and accounts payable - trade	515,084	563,685
Short-term loans payable	1,300,000	1,600,000
Current portion of long-term loans payable	794,792	874,947
Accounts payable - other	734,545	447,994
Accrued expenses	479,790	552,604
Income taxes payable	256,286	29,658
Provision for loss on abandonment of sales return	302,217	262,075
Provision for bonuses	197,151	71,341
Advances received	5,943,700	5,753,973
Asset retirement obligations	99,090	14,483
Other	839,657	828,423
Total current liabilities	11,462,315	10,999,187
Non-current liabilities
Long-term loans payable	3,001,071	3,259,980
Long-term accounts payable - directors' retirement	25,077	25,077
benefits
Asset retirement obligations	677,560	700,904
Provision for repairs	37,300	37,300
Other	6,453	60,567
Total non-current liabilities	3,747,463	4,083,830
Total liabilities	15,209,779	15,083,017
Net assets
Shareholders' equity
Capital stock	940,200	940,200
Capital surplus	790,547	790,547
Retained earnings	4,411,415	4,504,465
Treasury shares	-25	-75,155
Total shareholders' equity	6,142,138	6,160,057
Accumulated other comprehensive income
Valuation difference on available-for-sale securities	-15,822	-29,932
Foreign currency translation adjustment	39,645	38,265
Total accumulated other comprehensive income	23,823	8,332
Non-controlling interests	8,710	8,856
Total net assets	6,174,672	6,177,247
Total liabilities and net assets	21,384,451	21,260,264

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TAC Co.,Ltd Consolidated Financial Results for the Nine Months Ended December 31, 2022

1. Quartely consolidated statement of income and quartely consolidated statement of comprehensive income
   Quarterly consolidated statement of income

		(Yen in thousands)
	FY2021	FY2022
	(Apr. 1, 2021 - Dec. 31, 2021)	(Apr. 1, 2022 - Dec. 31, 2022)
Net sales	15,599,753	14,949,224
Cost of sales	9,493,148	9,093,543
Gross profit	6,106,604	5,855,680
Selling, general and administrative expenses	5,440,495	5,514,544
Operating profit	666,109	341,136
Non-operating income
Interest income	12,081	6,450
Insurance claim income	－	25,816
Foreign exchange gains	－	554
Gain on investments in investment securities	51,676	2,372
Share of profit of entities accounted for using equity method	3,310	－
Other	9,118	9,152
Total non-operating income	76,187	44,346
Non-operating expenses
Interest expenses	26,724	25,760
Commission expenses	5,090	5,216
Share of loss of entities accounted for using equity method	－	2,305
Foreign exchange losses	995	－
Other	309	10
Total non-operating expenses	33,119	33,292
Ordinary profit	709,177	352,190
Extraordinary losses
Loss on valuation of investments in capital of subsidiaries
－	6,385
and associates
Impairment loss	－	8,523
Loss on sales and retirement of non-current assets	1,840	2,369
Total extraordinary losses	1,840	17,277
Profit before income taxes	707,337	334,912
Income taxes - current	178,759	66,621
Income taxes - deferred	71,400	63,181
Total income taxes	250,159	129,803
Profit	457,177	205,108
Profit attributable to non-controlling interests	1,057	1,035
Profit attributable to owners of parent	456,120	204,073

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