Daido Metal : Notice Regarding Revision of Consolidated Financial Forecast

Note:This document is a translation of a part of the original Japanese version and provided for reference purposes only. In the event of any discrepancy between the Japanese original and this English translation, the Japanese original shall prevail.

August 5, 2021

Daido Metal Co., Ltd.

Seigo Hanji

Chairman and Chief Executive Officer (Code) 7245 TSE and NSE 1st Section (For inquiry)

Hiroki Iwakura Executive Officer

Head of Corporate Planning Division

(TEL: [phone])

Notice Regarding Revision of Consolidated Financial Forecast

In the light of recent business performance, Daido Metal Co., Ltd. (hereinafter, "the Company") has revised its consolidated financial forecast for the first half of the fiscal year ending March 31, 2022, which was announced on May 14, 2021.

1. Revision of the consolidated financial forecast for the first half of the fiscal year ending March 31,2022 (April 1, 2021 to September 30, 2021)

	Net sales	Operating	Ordinary	Profit	Basic
		profit	profit	attributable	earnings
				to owners of	per share
				parent
Previous forecast (A)	Million yen	Million yen	Million yen	Million yen	Yen
	45,500	1,750	1,600	700	15.05
Revised forecast (B)	50,000	2,200	2,100	850	18.27
Difference (B-A)	4,500	450	500	150	－
Difference (%)	9.9	25.7	31.3	21.4	－
(For reference)
Previous period (6	36,349	(2,555)	(2,875)	(2,549)	(55.12)
months ended
September 30, 2020)

2. Reasons for the revision

The consolidated forecast for the first half of the fiscal year ending March 31, 2022 at this time is expected to surpass the previous forecast and hence the revision above as the recovery of demand both in Japan and overseas in the automobile and construction machinery industries, which are the main industrial fields of the Group, has been stronger than initially expected.

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With respect to the consolidated business forecast for the fiscal year ending March 31, 2022, the Company has decided to keep the previously announced forecast unchanged at this time, given the still uncertain outlook for the future due to the COVID-19 impact and the global semiconductor supply shortage.

Should any fact arise that has a significant impact on the Group's performance and revision of the forecast become necessary, the Company will make such announcement promptly.

Further, the exchange rate assumptions for the forecast are 110.58 yen to the U.S. dollar and

131.58 yen to the euro. (The exchange rate assumptions from the third quarter onward are 105 yen to the U.S. dollar and 126 yen to the euro.)

As announced on May 14,2021, dividend for the period is forecast to be 25 yen in total (interim 10 yen, year-end 15 yen).

Future prospects are prepared as information purpose only, based on the information available to us at this moment, and are under certain condition which we assumed reasonable. We will not guarantee the realization of such prospects and actual performance fluctuates due to various

factors.

(End of document)

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