Aida Engineering : Consolidated Financial Results for the FY Ended March 31, 2023

(For reference purposes only)

Consolidated Financial Results for the Fiscal Year Ended March 31, 2023

[Japanese Standard]

May 15, 2023

Stock exchange: Tokyo

Listed company name: AIDA ENGINEERING, LTD.
Stock code:	6118 (URL https://www.aida.co.jp/en/)
Representative:	Toshihiko Suzuki, Representative Director and President (CEO)
Contact:	Hiromitsu Ugawa, Director, Managing Executive Officer, Division Manager, General Administration Headquarters	Tel: [phone]
Scheduled date of ordinary general meeting of shareholders:	June 27, 2023
Scheduled date of beginning dividend payment:	June 28, 2023
Scheduled date of filing annual securities report:	June 27, 2023
Preparation of supplemental explanatory materials:	Yes
Holding of financial results briefing:	Yes (for securities analysts and institutional investors)

(Figures are rounded down to the nearest million yen)

1. Consolidated Results for the Fiscal Year Ended March 31, 2023 (April 1, 2022 to March 31, 2023)

(1) Consolidated Financial Results

(Percentages represent change compared to the previous period)

																			Net income
				Net sales				Operating income		Ordinary income			attributable to
																		owners of parent
			Millions of yen		%		Millions of yen		%	Millions of yen	%		Millions of yen		%
	Year ended March		68,795	10.1		1,540		(38.5)		1,710	(29.7)			1,295		44.5
	31, 2023
	Year ended March		62,466		7.5		2,505		(32.7)		2,432	(35.1)			896		(31.9)
	31, 2022
	Note: Comprehensive income: Year ended March 31, 2023				1,477 million yen (-41.5%)
				Year ended March 31, 2022				2,526 million yen (-44.3%)
			Net income per			Diluted net					Ratio of ordinary	Ratio of
						Return on equity	income to total	operating income
				share			income per share
											assets			to net sales
					Yen					Yen				%			%		%
	Year ended March		21.70			21.67				1.7			1.5		2.2
	31, 2023
	Year ended March		15.02			14.99				1.2			2.2		4.0
	31, 2022
	Reference: Equity in earnings of affiliates		Year ended March 31, 2023 - million yen
									Year ended March 31, 2022 - million yen
(2) Consolidated Financial Position
				Total assets			Net assets	Shareholders'		Net assets per share
						equity ratio
					Millions of yen		Millions of yen			%					Yen
	As of March 31, 2023				116,287			78,043			67.0				1,305.47
	As of March 31, 2022				113,933			78,664			68.4				1,304.89
	Reference: Shareholders' equity	As of March 31, 2023	77,951 million yen
					As of March 31, 2022	77,901 million yen

(3) Consolidated Cash Flows

				Cash and cash
	Operating activities	Investing activities	Financing activities	equivalents at end of
				period
	Millions of yen	Millions of yen	Millions of yen	Millions of yen
Year ended March 31, 2023	(1,129)	(1,884)	(2,166)	30,508
Year ended March 31, 2022	5,905	(2,828)	(1,533)	35,030

2. Cash Dividends

		Cash dividends per share			Total			Ratio of
							Payout ratio		dividends
						dividends
	1Q End	2Q End	3Q End	Year-end	Total		(Annual)	(Consolidated)	to net assets
								(Consolidated)
	Yen	Yen	Yen	Yen	Yen		Millions of	%	%
		yen
Year ended March 31, 2022	-	-	-	25.00	25.00	1,601	166.5	1.9
Year ended March 31, 2023	-	-	-	30.00	30.00	1,921	138.3	2.3
Year ending March 31, 2024	-	-	-	30.00	30.00			49.8
(forecast)

3. Forecasts of Consolidated Results for the Fiscal Year Ending March 31, 2024 (April 1, 2023 to March 31, 2024) (Percentages represent change compared to the previous corresponding period)

								Net income	Net income
	Net sales		Operating income	Ordinary income	attributable to
		per share
								owners of parent
	Millions of yen		%	Millions of yen	%	Millions of yen	%	Millions of yen	%	Yen
Six months
ending	36,000		11.9	2,350	228.0	2,450	210.4	1,800	263.1	30.14
September
30, 2023
Full year	72,000		4.7	4,700	205.2	4,900	186.5	3,600	177.9	60.29

4. Others

1. Changes in significant subsidiaries during the period (changes in specified subsidiaries resulting in changes in scope of consolidation): None
2. Changes in accounting policies, changes in accounting estimates and retrospective restatement
3. 1. Changes in accounting policies due to revisions of accounting standards: Yes
   2. Changes in accounting policies other than "1": None
   3. Changes in accounting estimates: None
   4. Retrospective restatement: None
4. Number of issued shares (common shares)
   1. Total number of issued shares at the end of the period (including treasury shares)

As of March 31, 2023	69,448,421 shares
As of March 31, 2022	69,448,421 shares
2. Total number of treasury shares at the end of the period
As of March 31, 2023	9,736,558 shares
As of March 31, 2022	9,748,838 shares
3. Average number of shares outstanding during the period
Year ended March 31, 2023	59,703,426 shares
Year ended March 31, 2022	59,695,511 shares

[Reference] Outline of Non-Consolidated Financial Results

1. Non-Consolidated Results for the Fiscal Year Ended March 31, 2023 (April 1, 2022 to March 31, 2023)

(1) Non-Consolidated Financial Results

(Percentages represent change compared to the previous period)

				Net sales			Operating income	Ordinary income	Net income
			Millions of yen		%	Millions of yen		%	Millions of yen			%	Millions of yen		%
	Year ended March 31, 2023		37,591		10.8			798		(21.8)	1,390			(7.9)	1,280		-
	Year ended March 31, 2022		33,916		(6.0)	1,021		(67.7)	1,510		(60.8)	(5)		-
				Net income per share		Diluted net income per share
								Yen						Yen
	Year ended March 31, 2023				21.45						21.42
	Year ended March 31, 2022				(0.10)						-
(2) Non-Consolidated Financial Position
			Total assets			Net assets		Shareholders' equity		Net assets per share
							ratio
				Millions of yen			Millions of yen			%				Yen
	As of March 31, 2023		76,087					59,956			78.7			1,002.57
	As of March 31, 2022		78,278					61,031			77.9			1,020.79
	Reference: Shareholders' equity	As of March 31, 2023		59,865 million yen
				As of March 31, 2022		60,940 million yen

Financial results reports are exempt from audit conducted by certified public accountants or an audit corporation.

Statement for proper use of business forecast and other special remarks:(Notes on forward-looking statements)

Performance forecasts presented in these documents are based on information available as of the date of publication. Actual results may differ from these forecasts due to various factors in the future.

A financial result briefing for securities analysts and institutional investors is scheduled to be held on May 25, 2023. The briefing material will be posted on our website shortly thereafter.

1. Consolidated Financial Statements and Principal Notes

(1) Consolidated Balance Sheets

			(Millions of Yen)
		As of March 31, 2022	As of March 31, 2023
Assets
Current assets
Cash and deposits	35,031	30,510
Notes and accounts receivable - trade, and contract	17,690	22,506
assets
Electronically recorded monetary claims - operating	1,087	1,018
Finished goods	4,135	4,387
Work in process	13,019	17,022
Raw materials and supplies	4,420	4,456
Advance payments - trade	1,719	2,222
Accounts receivable - other	489	526
Consumption taxes receivable	846	1,220
Other	302	487
Allowance for doubtful accounts		(1,040)	(1,837)
Total current assets	77,703	82,522
Non-current assets
Property, plant and equipment
Buildings and structures	25,709	26,737
Accumulated depreciation		(18,481)	(19,222)
Buildings and structures, net		7,227	7,514
Machinery, equipment and vehicles	18,849	20,479
Accumulated depreciation		(13,822)	(15,092)
Machinery, equipment and vehicles, net		5,027	5,387
Land	7,263	7,297
Construction in progress	1,437	234
Other	3,925	4,245
Accumulated depreciation		(3,418)	(3,665)
Other, net		506	580
Total property, plant and equipment		21,462	21,015
Intangible assets	1,179	1,961
Investments and other assets
Investment securities	10,469	9,186
Insurance funds	1,891	571
Retirement benefit asset	820	633
Deferred tax assets	285	268
Other	153	161
Allowance for doubtful accounts		(32)	(32)
Total investments and other assets		13,588	10,788
Total non-current assets		36,230	33,765
Total assets		113,933	116,287

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				(Millions of Yen)
		As of March 31, 2022	As of March 31, 2023
Liabilities
Current liabilities
Accounts payable - trade	6,137	6,942
Electronically recorded obligations - operating	2,888	2,536
Short-term borrowings	1,094	582
Current portion of long-term borrowings			-	500
Accounts payable - other	1,612	1,329
Income taxes payable	175	345
Accrued expenses	1,128	1,089
Contract liabilities	12,091	15,407
Provision for product warranties	497	615
Provision for bonuses	1,020	961
Provision for bonuses for directors (and other			22		14
officers)
Provision for loss on orders received	211	180
Other		1,270	1,381
Total current liabilities	28,150	31,887
Non-current liabilities
Long-term borrowings	1,500	1,000
Long-term accounts payable - other	924	1,005
Deferred tax liabilities	2,336	1,870
Provision for share awards	510	649
Retirement benefit liability	1,456	1,451
Asset retirement obligations	9	9
Other		380	369
Total non-current liabilities		7,119	6,356
Total liabilities	35,269	38,244
Net assets
Shareholders' equity
Share capital	7,831	7,831
Capital surplus	12,836	13,007
Retained earnings	55,511	55,205
Treasury shares		(5,250)	(5,247)
Total shareholders' equity	70,927	70,796
Accumulated other comprehensive income
Valuation difference on available-for-sale securities	4,815	3,994
Deferred gains or losses on hedges	(295)	(173)
Foreign currency translation adjustment	2,365	3,463
Remeasurements of defined benefit plans		87	(130)
Total accumulated other comprehensive income		6,973	7,155
Share acquisition rights		91	91
Non-controlling interests		671		-
Total net assets		78,664	78,043
Total liabilities and net assets		113,933	116,287

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