Eagle Industry : Summary of Consolidated Financial Results for the Three Months Ended June 30, 2021

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 Three Months Ended June 30, 2021 (Based on Japanese GAAP)

				August 3, 2021
Company name:	Eagle Industry Co., Ltd.
Stock exchange listing:	Tokyo
Stock code:	6486	URL https://www.ekkeagle.com/jp/
Representative:	Representative Director, President	Tetsuji Tsuru
Inquiries:	Senior Operating Officer, Division Manager	Sumio Ikeda	TEL [phone]
	Corporate Finance & Accounting Division
Scheduled date to file Quarterly Securities Report:	August 6, 2021
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 three months ended June 30, 2021 (from April 1, 2021 to June 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		%
Three months ended June 30, 2021	35,970		40.6	2,510	-		3,360			-		2,052		-
Three months ended June 30, 2020	25,586		(29.7)	(841)	-		(14)			-		(1,329)		-
	Earnings per share		Diluted earnings per share
				Yen				Yen
Three months ended June 30, 2021			41.81				-
Three months ended June 30, 2020			(27.08)				-
(2) Consolidated financial position
	Total assets		Net assets	Equity ratio			Net assets per share
	Millions of yen		Millions of yen					%				Yen
As of June 30, 2021	174,370				94,284				49.3		1,752.74
As of March 31, 2021	176,508				92,441				47.8		1,719.40
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			-		25.00			-				25.00			50.00
Year ending March 31, 2022			-
Year ending March 31, 2022 (Forecast)					25.00			-				25.00			50.00

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
Six months ending	Millions of yen	%	Millions of yen	%	Millions of yen	%	Millions of yen	%	Yen
72,300	24.8	3,900	-	5,000	358.0	3,800	-	77.42
September 30, 2021
Full year	148,500	13.8	8,100	39.6	10,000	18.4	6,500	62.1	132.43

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4. Notes

1. Changes in significant subsidiaries during the three months ended June 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:

No

Yes

(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 June 30, 2021	49,757,821	shares	As of March 31, 2021	49,757,821	shares
Number of treasury shares at the end of the period
	As of June 30, 2021	674,208	shares	As of March 31, 2021	673,995	shares
Average number of shares during the period (cumulative from the beginning of the fiscal year)
	Three months ended June 30, 2021	49,083,735	shares	Three months ended June 30, 2020	49,084,521	shares

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Quarterly consolidated financial statements

Consolidated balance sheets

			(Millions of yen)
		As of March 31, 2021	As of June 30, 2021
Assets
Current assets
Cash and deposits	32,662	31,035
Notes and accounts receivable - trade, and contract assets	28,253	27,919
Electronically recorded monetary claims - operating	3,288	3,589
Merchandise and finished goods	7,402	8,158
Work in process	6,280	6,327
Raw materials and supplies	9,279	9,463
Other	6,288	5,393
Allowance for doubtful accounts	(344)	(344)
Total current assets	93,110	91,543
Non-current assets
Property, plant and equipment
Buildings and structures, net	23,370	23,216
Machinery, equipment and vehicles, net	23,277	23,366
Other, net	13,867	13,307
Total property, plant and equipment	60,515	59,889
Intangible assets
Goodwill	1,702	1,592
Other	1,795	1,688
Total intangible assets	3,497	3,281
Investments and other assets
Investment securities	12,077	12,567
Other	7,420	7,199
Allowance for doubtful accounts	(112)	(110)
Total investments and other assets	19,384	19,655
Total non-current assets	83,397	82,827
Total assets		176,508	174,370

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			(Millions of yen)
		As of March 31, 2021	As of June 30, 2021
Liabilities
Current liabilities
Accounts payable - trade	8,253	7,614
Electronically recorded obligations - operating	2,830	2,941
Short-term borrowings	14,754	13,868
Income taxes payable	1,431	995
Provision for bonuses	2,547	1,845
Other provisions	522	423
Other	12,398	13,746
Total current liabilities	42,737	41,435
Non-current liabilities
Long-term borrowings	23,447	20,744
Provisions	316	317
Retirement benefit liability	16,052	16,034
Other	1,513	1,554
Total non-current liabilities	41,329	38,650
Total liabilities	84,067	80,086
Net assets
Shareholders' equity
Share capital	10,490	10,490
Capital surplus	11,310	11,310
Retained earnings	68,224	69,049
Treasury shares	(226)	(226)
Total shareholders' equity	89,799	90,624
Accumulated other comprehensive income
Valuation difference on available-for-sale securities	402	388
Foreign currency translation adjustment	(2,690)	(1,982)
Remeasurements of defined benefit plans	(3,116)	(3,000)
Total accumulated other comprehensive income	(5,404)	(4,593)
Non-controlling interests	8,046	8,253
Total net assets	92,441	94,284
Total liabilities and net assets		176,508	174,370

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

Consolidated statements of income (cumulative)

			(Millions of yen)
		Three months ended	Three months ended
		June 30, 2020	June 30, 2021
Net sales	25,586	35,970
Cost of sales	20,665	27,177
Gross profit	4,921	8,792
Selling, general and administrative expenses	5,762	6,282
Operating profit (loss)	(841)	2,510
Non-operating income
Interest income	85	49
Dividend income	8	8
Share of profit of entities accounted for using equity method	719	485
Foreign exchange gains	58	188
Other	246	233
Total non-operating income	1,117	965
Non-operating expenses
Interest expenses	99	92
Loss on mothballing of operation	130	-
Other	60	23
Total non-operating expenses	290	116
Ordinary profit (loss)	(14)	3,360
Extraordinary income
Gain on sale of non-current assets	0	2
Total extraordinary income	0	2
Extraordinary losses
Loss on sale of non-current assets	0	4
Loss on retirement of non-current assets	3	16
Total extraordinary losses	3	21
Profit (loss) before income taxes	(17)	3,341
Income taxes	956	889
Profit (loss)	(974)	2,452
Profit attributable to non-controlling interests	354	399
Profit (loss) attributable to owners of parent		(1,329)	2,052

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