V Technology : Consolidated Financial Statements for the first qurter of fiscal year ending March 31, 2023

Consolidated Financial Statements

for the first quarter of fiscal year ended March 31, 2023

〔under Japanese GAAP〕

Registered Company Name: V-Technology Co., Ltd.

Code Number: 7717, Tokyo Stock Exchange

URL: https://www.vtec.co.jp

Representative: Shigeto Sugimoto (President & CEO)

Augst 10, 2022

Contact: Shogo Yoshimura (Leader of IR Group, Office of the President) TEL: [phone]

Planned Date for Submission of the Securities Report: Augst 12, 2022

Planned Date for Start of Dividend Payment: -

Supplementary materials for the financial statements: Yes

Briefing session on financial results: None

(Amounts less than one million yen have been omitted.)

1. Business Performance(April 1, 2022 through June 30, 2022)

(1) Consolidated Results of Operations	3 months ended
	June 30 ,2021			June 30 ,2022
			YoY(%)			YoY(%)
Net sales (Millions of Yen)	13,094	27.2	7,795	△ 40.5
Operating profit (Millions of Yen)	1,312	12.2	452	△ 65.5
Ordinary profit (Millions of Yen)	1,238	10.6	1,098	△ 11.3
Net profit attributable to owners of the parent (Millions of Yen)	1,145	80.9	719	△ 37.2
*Notes: Comprehensive Income	1,582	92.3	934	△ 41.0
Net profit per share (Yen)	118.49		‐	74.42	‐
Diluted net profit per share (Yen)	-		‐		-	‐
(2) Consolidated Financial Position	As of			As of
	March 31 ,2022			June 30 ,2022
Total assets (Millions of Yen)	72,601			73,774
Net assets (Millions of Yen)	34,540			34,909
Equity ratio	47.1	％	46.8	％
Net assets per share	3,534.40	Yen	3,571.42	Yen
*Reference: Shareholders' equity (Millions of Yen)	34,533			34,175
2. Dividends
			Year ended	March 31 2023
		March 31 2022	March 31 2023	Forecast
1Q-end dividends per share (Yen)			-		-		-
2Q-end dividends per share (Yen)			60.00		-		60.00
3Q-end dividends per share (Yen)			-		-		-
Year-end dividends per share (Yen)			60.00		-		60.00
Anual dividends per share (Yen)			120.00		-		120.00
(Note) Revisions to the most recently announced dividend forecast: None

3. Forecast for the Fiscal Year ending March 31, 2022 (April 1, 2021 through March 31, 2022)

(%: Changes from corresponding period of previous fiscal year)

Net sales (Millions of Yen)

Operating profit (Millions of Yen)

Ordinary profit (Millions of Yen)

Net profit attributable to owners of the parent (Millions of Yen)

Net profit per share (Yen)

(Note) Revisions to the most recently announced dividend forecast: None

45,000 △ 12.5

4,500 △ 17.6

4,400 △ 25.0

2,900 △ 30.9

299.92 ー

1. Changes in significant subsidiaries during the 3 months ended(April 1, 2022 through June 30, 2022) (Changes in certain subsidiaries resulting in change in the scope of consolidation): None
2. Changes in accounting policies, Changes in accounting estimates, or Restatement
3. 1. Changes in accounting policies due to changes in accounting standards: Yes
   2. Changes other than "a." above: None
   3. Changes in accounting estimates: None
   4. Restatements: None
4. Number of Shares Outstanding (Common stock)

			Number of shares		Number of shares
1.	Number of shares outstanding at end of year (Including treasury stock)	As of June 30,	10,057,600	As of March 31,	10,057,600
		2022		2022:
2.	Number of treasury shares at end of year	As of June 30,	388,231	As of March 31,	388,195
		2022		2022:
3.	Average number of shares outstanding (Cumulative quarterly period)	As of June 30,	9,669,397	As of June 30,	9,669,465
		2022		2021

*Brief Report of Financial Results is not subject to an audit by a certified public accountant or an audit corporation.

* Explanation of the appropriate use of earnings forecasts and other special notes

The forward-looking statements in this document, including earnings forecasts, are based on information currently available to the Company and certain assumptions that the Company believes to be reasonable.Actual results may differ materially from these statements due to a variety of factors. For the assumptions underlying the forecasts and precautions regarding their use, please refer to "1. Operating Results (3) Outlook" on page 2 of the attached materials.

Index

１．Qualitative Information on Financial Results for the First Quarter of the Fiscal Year	4~5
(1)Explanation of Operating Performance	4~5
(2)Explanation of Financial Condition	5
(3)Explanation of Consolidated Forecast and Other Forecasts	5
2．Consolidated Financial Statements and Major Notes	6~8
(1)Consolidated Balance Sheets	6
(2)Consolidated Statements of Income	7
(3)Notes on Consolidated Financial Statements	8

１．Qualitative Information on Financial Results for the First Quarter of the Fiscal Year

(1) Explanation of Operating Performance

During the first quarter of the consolidated fiscal year under review, the global economy became more uncertain as the economy slowed down in the U.S., China, and other countries due to soaring resource prices caused by the escalating situation in Ukraine and other factors, lockdown of major cities based on China's "zero- corona policy," global disruptions in supply chains, high global inflation and tight monetary policies in the U.S. and other countries.

Net Sales & Incomes

As for the Group's consolidated business results for the first quarter of the current fiscal year, net sales were 7,795 million yen (13,094 million yen in the same period last year), operating income was 452 million yen (1,312 million yen in the same period last year), ordinary income was 1,098 million yen (1,238 million yen in the same period last year, net income attributable to owners of the parent was 719 million yen (1,145 million yen in the same period of the previous fiscal year).

Orders &Backlogs

Orders received by the Group in the first quarter of the current fiscal year totaled 9,914 million yen(18,616 million yen in the same period of the previous fiscal year). The order backlog was 44,841 million yen (46,461 million yen in the same period of the previous year).

Business Segments

Segment results are as follows. Effective from the first quarter of the current fiscal year, the Company has changed the classification of its reportable segments, and the following comparisons with the same period of the previous fiscal year are based on the figures for the same period of the previous fiscal year, which have been reclassified into the new segment classification.

(FPD Equipment Business)

In the FPD (flat panel display) equipment business, supply chain disruptions due to lockdowns in major Chinese cities, sluggish panel prices, and other factors caused delays in business negotiations and other activities, as well as moves to review capital investment plans.

The order amount for the Group's FPD equipment business in the first quarter under review was 4,747 million yen (17,339 million yen in the same period of the previous year), and the order backlog was 32,738 million yen (40,720 million yen in the same period of the previous year).

Consolidated results of the Group's FPD Equipment business for the first quarter of the current fiscal year, net sales were 6,187 million yen (10,438 million yen for the same period last year), and operating income was 697 million yen (1,176 million yen in the same period of the previous fiscal year).

(Semiconductor and Photomask Equipment Business)

In the semiconductor and photomask equipment business, capital investment in silicon wafers and other equipment remained strong due to the global expansion of semiconductor demand.

Orders received by the Group in the semiconductor and photomask equipment business during the first quarter of the current consolidated cumulative period were 4,882 million yen (1,171 million yen in the same period of the previous year), and the order backlog was 12,103 million yen (5,741 million yen in the same period of the previous year).

Consolidated results of the Group's semiconductor and photomask equipment business for the first

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quarter of the current fiscal year, net sales were 1,322 million yen (2,550 million yen for the same period last year), and operating loss was 197 million yen (operating profit was 163 million yen for the same period last year).

1. Explanation of Financial Condition
   Total assets
   Total assets at the end of the first quarter of the current fiscal year increased by 1,172 million yen from the end of the previous fiscal year to 73,774 million yen. This was mainly due to an increase of 3,708 million yen in "work in process" and decreases of 1,167 million yen in "cash and deposits" and 852 million yen in "notes and accounts receivable-trade".
   Liabilities
   Liabilities increased by 804 million yen from the end of the previous fiscal year to 38,865 million yen. This was mainly due to increases of 1,929 million yen in "electronically recorded monetary obligations" and 807 million yen in "advances received," and decreases of 530 million yen in "notes and accounts payable-trade" and 701 million yen in "long-term loans payable.
   Net assets
   Net assets increased by 368 million yen from the end of the previous fiscal year to 34,909 million yen. This was mainly due to an increase of 285 million yen in "foreign currency translation adjustment.
2. Explanation of Consolidated Forecast and Other Forecasts

Regarding the forecast of business results for the fiscal year ending March 31, 2023, we have taken into consideration the consolidated business results for the first quarter of the current fiscal year and future trends. As a result, there are no changes to the forecasts for the fiscal year ending March 31, 2023 from those stated in the "Summary of Consolidated Financial Results for the Year Ended March 31, 2022" released on May 13, 2022.

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