[Delayed]Quarterly Report Q3 for the fiscal year ending December 2021

Quarterly Report Q3 for the fiscal year

ending December 2021

Nov 10th, 2021

Nittoseiko Co., Ltd.

（Securities Code 5957 in the First Section of

the Tokyo Stock Exchange）

1

Highlight of Q3 consolidated result

for the fiscal year ending December 2021

Unit : Millions of yen/%	Q3 fiscal year 2020	Q3 fiscal year 2021	YoY
	Yen	Share (%)	Yen	Share (%)	Amount		%
Net sales	23,459	100.0	30,227	100.0	6,768		28.9
Gross profit	5,385	23.0	7,805	25.8	2,420		44.9
SG & A expenses	4,670	19.9	5,140	17.0	470		10.1
Operating profit	715	3.0	2,665	8.8	1,950		272.6
Ordinary profit	832	3.5	2,837	9.4	2,004		240.8
Profit before income taxes	831	3.5	2,959	9.8	2,127		255.8
Profit attributable to	446	1.9	1,807	6.0	1,360		304.9
owners of parent
Earnings per share	12.13		48.98

●Orders for "Screw products," "Industrial machine products" and "Control products" were strong, mainly in the automotive industry. In addition, sales increased 28.9% from the previous fiscal year due to the contribution of the Group's companies, particularly Nittoseiko Analytech.

●Both "Screw products" and "Industrial machine products" were steady due to strong orders for game machines, PCs and power tools, which are in demand for staying at home.

●Profits are recovering due to value-added products in the fastener business and energy-related automated assembly lines in the industrial machinery business.

2

Consolidated net sales and operating profit by segment
Unit : Millions of yen/%	Q3 fiscal year	Q3 fiscal year	YoY
2020	2021	Amount	%
	Net sales	16,577	20,748	4,171	25.2
Fastener	Operating profit	204	1,215	1,011	494.7
Business
	Operating profit (%)	1.2	5.9
Assembly	Net sales	4,165	5,501	1,336	32.1
Machine	Operating profit	664	1,359	694	104.5
Business	Operating profit (%)	16.0	24.7
	Net sales	2,702	3,953	1,250	46.3
Control Business	Operating profit	△153	107	261	－
	Operating profit (%)	△5.7	2.7
	Net sales	14	23	9	62.0
Medical Business	Operating profit	0	△17	△17	－
	Operating profit (%)	0.9	△73.0

Segment net sales change	Segment operating profit change
（Millions of yen）	（Millions of yen）

35,000		Assembly		Medical	3,000	Assembly	Control
		Machine Control	9		261
			Machine
	Fastener	1,336	1,250
30,000		2,500	694	Medical
	4,171
25,000							-17
				2,000	Fastener
					1,011
20,000
				FY2021	1,500		FY2021
15,000				3Q
FY2020					3Q
			30,227
			1,000		2,665
	3Q
10,000
23,459
5,000					500	FY2020
					3Q
0					0	715	3

Segment result- Fastener business

Unit :	FY2020	FY2021	YoY
Millions of yen/%	3Q	3Q
Amount		%
Net sales	16,577	20,748	4,171		25.2
	Automobile	5,974	7,945	1,971		33.0
	Electrical and	2,835	3,599	764		26.9
	electronic parts
	Housing and	2,965	3,402	437		14.7
	construction
	Household	1,670	1,961	291		17.4
	goods
	IT and digital	984	939	△45		△4.6
	equipment
	Precision	608	829	221		36.3
	Equipment
	Medical	171	247	76		44.4
	Energy sector	182	132	△50		△27.5
	Others	1,188	1,694	506		42.6
Operating profit	204	1,215	1,011		494.7

・Sales of self-tapping screws and special-purpose screws were strong, especially in the automotive industry.

・Sales of precision screws for PCs and game machines were also strong. ・Overseas sales were slow mainly due to the shortage of semiconductors

caused by the COVID-19 pandemic. The Indonesian subsidiary is working to increase demand by strengthening its product supply system.

◆Automobile

・Despite the impact of production adjustments, sales were strong due to new orders for automotive ECU- related products.

◆Electrical and electronic parts ・Despite the shortage of

semiconductors and other factors, increased demand from the PC and household appliance industries due to ongoing stay-at-home demand contributed to the increase.

◆Housing and construction

・Despite concerns about the impact of soring lumber prices, the recovery in housing starts has led to increased demand for interior and construction materials.

◆Household goods

・Sales of game machines were strong due to demand for staying at home.

◆IT and digital equipment

・Sales of copy machines were strong overseas, but weak in Japan.

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Segment result- Assembly machine business

Unit :	FY2020	FY2021	YoY
Millions of yen/%	3Q	3Q
Amount		%
Net sales	4,165	5,501	1,336		32.1
	Automobile	2,864	3,217	353		12.3
	Electrical and	468	773	305		65.2
	electronic parts
	Energy sector	100	565	465		465.0
	Housing and	165	175	9		6.1
	construction
	IT and digital	49	108	59		120.4
	equipment
	Amusement	55	42	△13		△23.6
	machine
	Household	11	26	15		136.4
	goods
	Medical	45	6	△39		△86.7
	Others	408	589	182		44.4
Operating profit	664	1,359	694		104.5

・Aggressive capital investment in the automotive sector as well as in other segments also contributed to the increase in sales.

・Overseas, the recovery of the U.S. automobile market contributed to sales of automobile-related products.

◆Automobile

・Recovery due to CASE-related capital investment and resumption of postponed capital investment.

◆Electrical and electronic parts

・Affected by semiconductor shortages and other factors, but recovery due to ongoing stay-at-home demand and increased demand for PC-related and other products.

◆Energy sector

・Recovery due to gas-related capital investment.

◆Housing and construction

・Capital investment related to power tools was strong due to demand for staying at home.

◆IT and digital equipment

・Limited growth due to semiconductor shortage, but showing recovery.

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