Note: This document has been translated from the Japanese original for reference purposes only. In the event of any discrepancy between this translated document and the Japanese original, the original shall prevail.
October 1, 2021
Consolidated Financial Results
for the Six Months Ended August 31, 2021
(Under Japanese GAAP)
Company name: | Daiseki Eco. Solution Co., Ltd. |
Listing: | Tokyo Stock Exchange / Nagoya Stock Exchange |
Securities code: | 1712 |
URL: | https://www.daiseki-eco.co.jp/ |
Representative: | Hiroya Yamamoto, President and Representative Director |
Inquiries: | Naoto Chindo, Director and General Manager of Headquarters of Planning and |
Management | |
TEL: | +81-52-819-5310 |
Scheduled date to file quarterly securities report: | October 8, 2021 |
Scheduled date to commence dividend payments: | October 26, 2021 |
Preparation of supplementary material on quarterly financial results: Yes | |
Holding of quarterly financial results briefing: | Yes |
(Yen amounts are rounded down to millions, unless otherwise noted.)
1. Consolidated financial results for the six months ended August 31, 2021 (from March 1, 2021 to August 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 | |||||||||||
Six months ended | Millions of yen | % | Millions of yen | % | Millions of yen | % | Millions of yen | % | |||
August 31, 2021 | 9,099 | 22.8 | 1,293 | 181.7 | 1,299 | 173.2 | 797 | 208.3 | |||
August 31, 2020 | 5.3 | ||||||||||
7,406 | 458 | (28.4) | 475 | (29.7) | 258 | (35.3) | |||||
Note: Comprehensive income | For the six months ended August 31, 2021: ¥973 million | [190.5 %] | |||
For the six months ended August 31, 2020: ¥335 million | [30.4 %] | ||||
Basic earnings | Diluted earnings | ||||
per share | per share | ||||
Six months ended | Yen | Yen | |||
August 31, 2021 | 47.48 | - | |||
August 31, 2020 | 15.39 | - | |||
(2) Consolidated financial position
Total assets | Net assets | Equity-to-asset ratio | ||||
As of | Millions of yen | Millions of yen | % | |||
August 31, 2021 | 21,491 | 14,660 | 64.5 | |||
February 28, 2021 | 21,275 | 13,761 | 61.3 | |||
Reference: | Equity | |||||
As of August 31, 2021: | ¥13,879 million | |||||
As of February 28, 2021: | ¥13,062 million |
2. Cash dividends
Annual dividends per share | |||||||||
First quarter-end | Second quarter-end | Third quarter-end | Fiscal year-end | Total | |||||
Yen | Yen | Yen | Yen | Yen | |||||
Fiscal year ended | - | 3.00 | - | 3.00 | 6.00 | ||||
February 28, 2021 | |||||||||
Fiscal year ending | - | 3.00 | |||||||
February 28, 2022 | |||||||||
Fiscal year ending | |||||||||
February 28, 2022 | - | 5.00 | 8.00 | ||||||
(Forecast) | |||||||||
Note: Revisions to the forecast of cash dividends most recently announced: None
3. Consolidated earnings forecasts for the fiscal year ending February 28, 2022 (from March 1, 2021 to February 28, 2022)
(Percentages indicate year-on-year changes.) | ||||||||||||||||||||
Profit attributable to | Basic | |||||||||||||||||||
Net sales | Operating profit | Ordinary profit | earnings per | |||||||||||||||||
owners of parent | ||||||||||||||||||||
share | ||||||||||||||||||||
Millions of | % | Millions of | % | Millions of | % | Millions of | % | Yen | ||||||||||||
yen | yen | yen | yen | |||||||||||||||||
Fiscal year ending | 17,500 | 17.3 | 2,100 | 74.0 | 2,105 | 69.5 | 1,278 | 85.4 | 76.05 | |||||||||||
February 28, 2022 | ||||||||||||||||||||
Note: Revisions to the earnings forecasts most recently announced: None |
- Notes
- Changes in significant subsidiaries during the period (changes in specified subsidiaries resulting in the change in scope of consolidation): None
- Application of accounting treatment specific to the preparation of quarterly consolidated financial statements: None
- Changes in accounting policies, changes in accounting estimates, and restatement
- 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: None
- Number of issued shares (common shares)
- Total number of issued shares at the end of the period (including treasury shares)
As of August 31, 2021 | 16,827,120 shares |
As of February 28, 2021 | 16,827,120 shares |
(ii) Number of treasury shares at the end of the period
As of August 31, 2021 | 27,861 shares |
As of February 28, 2021 | 16,118 shares |
- Average number of shares outstanding during the period (cumulative from the beginning of the fiscal year)
Six months ended August 31, 2021 | 16,804,574 shares |
Six months ended August 31, 2020 | 16,803,223 shares |
- Quarterly financial results reports are exempt from quarterly review conducted by certified public accountants or an audit corporation.
-
Proper use of earnings forecasts, and other special matters
The earnings forecasts are based on information available as of the date of disclosure of this material. These statements are not guarantees of future performance, and actual results may differ materially from these forecasts due to a variety of reasons.
Daiseki Eco. Solution Co., Ltd. (1712) | ||
Attached Material | ||
Index | ||
1. Qualitative information on quarterly consolidated financial results ......................................................... | 2 | |
(1) | Explanation of operating results......................................................................................................... | 2 |
(2) | Explanation of financial position........................................................................................................ | 3 |
(3) | Explanation of consolidated earnings forecasts and other forward-looking statements..................... | 3 |
2. Quarterly consolidated financial statements and significant notes thereto ............................................... | 4 | |
(1) | Quarterly consolidated balance sheet ................................................................................................. | 4 |
(2) | Quarterly consolidated statement of income and quarterly consolidated statement of comprehensive | |
income ................................................................................................................................................ | 5 | |
Quarterly consolidated statement of income (cumulative)................................................................. | 5 | |
Quarterly consolidated statement of comprehensive income (cumulative)........................................ | 6 | |
(3) | Notes on the quarterly consolidated financial statements................................................................... | 7 |
Notes on premise of going concern .................................................................................................... | 7 | |
Notes on significant changes in the amount of shareholders' equity.................................................. | 7 | |
Segment information, etc. .................................................................................................................. | 7 |
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Daiseki Eco. Solution Co., Ltd. (1712)
1. Qualitative information on quarterly consolidated financial results
Forward-looking statements in this document are based on our views as of the end of the quarter under review.
-
Explanation of operating results
During the six months ended August 31, 2021, the Japanese economy continued to face difficult conditions due to the impact of the novel coronavirus disease (COVID-19) as there was increasing weakness in some parts of the economy despite the economic recovery trend. Regarding the outlook, although a recovery is expected to continue due to the effect of various policies to prevent the spread of infections and due to improvements in overseas economies, it is necessary to pay careful attention to the rising risk of a downturn due to the spread of infections and closely monitor the impact of fluctuations in financial and capital markets and other factors.
In the construction industry, to which the Company group (the "Group") belongs, despite the pickup trend in private-sector capital expenditure mainly in manufacturing, the impact of COVID-19 and other factors are uncertain and the business environment is expected to remain unpredictable.
Against this backdrop, in the Group's core business of Soil Investigation and Measures, we focused on winning orders for high-margin projects and consulting sales. Although low-price competition intensified in metropolitan areas, the volume of orders received and unit prices of orders were strong, and the completion of multiple construction projects ordered in the previous fiscal year and large-scale infrastructure improvement projects, etc. contributed to business performance. In addition, as a result of the higher proportion of high-margin projects, consolidated business results for the six months ended August 31, 2021 were as follows: net sales of ¥9,099 million (up 22.8% year on year), operating profit of ¥1,293 million (up 181.7% year on year), ordinary profit of ¥1,299 million (up 173.2% year on year), and profit attributable to owners of parent of ¥797 million (up 208.3% year on year).
Operating results by segment are as follows.
Soil Investigation and Measures Business
As demand for soil treatment continued to recover, we focused on winning orders for high-margin projects and consulting sales. The construction project ordered in the previous fiscal year for the Higashi-Meihan Expressway is proceeding toward completion and the large-scale infrastructure improvement project in the Chukyo area for the Gifu Recycling Center drove the business performance. As a result, net sales increased 25.9% year on year to ¥7,547 million, and operating profit increased 135.2% year on year to ¥1,265 million.
Gypsum Board Recycle Business
The volumes of waste gypsum board processed by Green Arrows Central Co., Ltd. and Green Arrows Kyushu Co., Ltd. both increased significantly year on year. Furthermore, amid off-season demand from major customers for soil solidifiers, we strengthened sales activities in distributor sales and direct sales routes. As a result, net sales increased 20.1% year on year to ¥1,081 million, and operating profit increased 64.9% year on year to ¥309 million.
Other
The PCB Consulting Business and the Bio Diesel Fuel (BDF) Business were solid, but sales for the General Waste Treatment Business decreased compared to the same period of the previous fiscal year. As a result, net sales increased 0.4% year on year to ¥619 million, and operating profit increased 16.0% year on year to ¥79 million.
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Daiseki Eco.Solution Co. Ltd. published this content on 01 October 2021 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 01 October 2021 06:11:16 UTC.