Inabata : 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:	Inabata&Co.,Ltd.
Stock exchange listing:	Tokyo
Stock code:	8098	URL https://www.inabata.co.jp
Representative:	Director,President	Katsutaro Inabata
Inquiries:	General Manager,	Koichi Noda	TEL [phone]
Financial Management Office
Scheduled date to file Quarterly Securities Report:	February 10, 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	504,971		-	16,335		54.0	17,829		48.6	18,281	92.7
Nine months ended December 31, 2020	420,368		(8.3)	10,610		1.7	11,996		3.5	9,486	4.1
	Earnings per share		Diluted earnings per share
			Yen			Yen
Nine months ended December 31, 2021			303.68				-
Nine months ended December 31, 2020			157.60				-
(2) Consolidated financial position
	Total assets			Net assets		Equity ratio
	Millions of yen		Millions of yen				%
As of December 31, 2021	385,053	179,996				46.2
As of March 31, 2021	353,228	175,803				49.2

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	-	20.00	-	43.00	63.00
Year ending March 31, 2022	-	30.00	-
Year ending March 31, 2022 (Forecast)				80.00	110.00

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	650,000	-	19,500	30.2	21,000	27.2	21,500	55.9	357.77

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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	63,499,227	shares	As of March 31, 2021	63,499,227	shares
Number of treasury shares at the end of the period
	As of December 31, 2021	3,296,984	shares	As of March 31, 2021	3,302,651	shares
Average number of shares during the period (cumulative from the beginning of the fiscal year)
	Nine months ended December 31, 2021	60,199,973	shares	Nine months ended December 31, 2020	60,196,587	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	31,462	36,312
Notes and accounts receivable - trade	162,736	184,270
Merchandise and finished goods	49,210	67,325
Work in process	597	737
Raw materials and supplies	4,322	5,311
Other	9,266	12,456
Allowance for doubtful accounts	(613)	(364)
Total current assets	256,983	306,048
Non-current assets
Property, plant and equipment	14,395	14,866
Intangible assets	2,918	2,588
Investments and other assets
Investment securities	71,592	53,946
Retirement benefit asset	3,472	3,562
Other	8,411	8,793
Allowance for doubtful accounts	(4,545)	(4,753)
Total investments and other assets	78,930	61,549
Total non-current assets	96,244	79,004
Total assets	353,228	385,053
Liabilities
Current liabilities
Notes and accounts payable - trade	104,113	116,468
Short-term borrowings	33,731	51,954
Income taxes payable	3,155	4,231
Provision for bonuses	1,279	890
Other	8,310	11,898
Total current liabilities	150,591	185,443
Non-current liabilities
Long-term borrowings	7,475	5,818
Provision for retirement benefits for directors (and other	29	32
officers)
Provision for share awards for directors (and other	131	148
officers)
Provision for loss on guarantees	18	18
Retirement benefit liability	2,144	1,599
Other	17,033	11,996
Total non-current liabilities	26,833	19,613
Total liabilities		177,424	205,056

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			(Millions of yen)
		As of March 31, 2021	As of December 31, 2021
Net assets
Shareholders' equity
Share capital	9,364	9,364
Capital surplus	7,184	7,088
Retained earnings	116,794	130,674
Treasury shares	(4,155)	(4,145)
Total shareholders' equity	129,188	142,981
Accumulated other comprehensive income
Valuation difference on available-for-sale securities	39,316	27,112
Deferred gains or losses on hedges	187	291
Foreign currency translation adjustment	4,536	6,995
Remeasurements of defined benefit plans	576	604
Total accumulated other comprehensive income	44,616	35,004
Non-controlling interests	1,999	2,011
Total net assets	175,803	179,996
Total liabilities and net assets		353,228	385,053

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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	420,368	504,971
Cost of sales	387,068	461,770
Gross profit	33,300	43,201
Selling, general and administrative expenses	22,690	26,865
Operating profit	10,610	16,335
Non-operating income
Interest income	147	192
Dividend income	1,173	1,264
Share of profit of entities accounted for using equity method	200	245
Miscellaneous income	726	511
Total non-operating income	2,248	2,214
Non-operating expenses
Interest expenses	539	483
Foreign exchange losses	92	50
Miscellaneous losses	231	187
Total non-operating expenses	863	720
Ordinary profit	11,996	17,829
Extraordinary income
Gain on sale of investment securities	1,493	7,138
Total extraordinary income	1,493	7,138
Profit before income taxes	13,489	24,968
Income taxes - current	3,456	6,579
Income taxes - deferred	212	(38)
Total income taxes	3,668	6,540
Profit	9,820	18,427
Profit attributable to non-controlling interests	333	145
Profit attributable to owners of parent		9,486	18,281

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