Komori : 4Q ended Mar. 31, 2023

Komori Corporation

Results of Operations for the Fiscal Year Ended March 31, 2023

REPORTED BY KOMORI CORPORATION (Japanese GAAP)

May 15, 2023

Company name:	KOMORI CORPORATION
Representative:	Mr. Satoshi Mochida
	Representative Director, President and CEO
Securities code:	6349 (Tokyo Stock Exchange)
Contact:	Mr. Iwao Hashimoto
	Director, Senior Operating Officer
	Phone: [phone]
Annual General Meeting of Shareholders:	URL (https://www.komori.com)
June 19, 2023
Payment date of year-end dividend:	June 20, 2023

Preparation of supplementary materials for financial results: Yes

Holding of presentation meeting for financial results: Yes (for financial analysts/investors)

1. Consolidated Business Results for Fiscal 2023 (April 1, 2022 to March 31, 2023)

(1) Results of operations			(In millions of yen, rounded down)
	Fiscal year ended	%	Fiscal year ended	%
	March 31, 2023		March 31, 2022
Net sales	97,914	11.7	87,623	22.0
Operating income	5,719	152.2	2,267	-
Ordinary income	6,611	93.9	3,408	-
Profit attributable to owners of parent	5,716	(7.2)	6,158	-
				(Yen)
Basic earnings per share	104.85		110.67
Diluted earnings per share	-		-
				(%)
ROE	5.4		6.1
ROA	4.1		2.3
Operating income to net sales ratio	5.8		2.6

Notes:
1. Comprehensive income:		(16.0)	%
Fiscal year ended March 31, 2023:	6,819 million yen
Fiscal year ended March 31, 2022:	8,122 million yen	825.3	%

1. Share of profit of entities accounted for using equity method: Fiscal year ended March 31, 2023: -
   Fiscal year ended March 31, 2022: -
2. Percentage figures given for the first four items in the above table represent the percentage increase/decrease on a year-on-year basis.

(2) Financial position					(In millions of yen, rounded down)
				March 31, 2023		March 31, 2022
Total assets				165,523		157,081
Total net assets				107,133		103,382
Equity ratio (%)				64.6		65.8
Net assets per share (Yen)			1,961.88		1,894.34
Note:		106,965 million yen
Equity as of:	March 31, 2023:
	March 31, 2022:	103,286 million yen
(3) Summary of statements of cash flows			(In millions of yen, rounded down)
				Fiscal year ended		Fiscal year ended
				March 31, 2023		March 31, 2022
Net cash provided by (used in) operating activities	4,475		9,281
Net cash provided by (used in) investing activities	(526)		(1,379)
Net cash provided by (used in) financing activities	(4,077)		(2,940)
Cash and cash equivalents at end of the period			60,945		60,321

(English translation of "KESSAN TANSHIN" originally issued in Japanese.)

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Komori Corporation

2. Dividends

		Fiscal year ended	Fiscal year ended	Fiscal year ending
		March 31, 2022	March 31, 2023	March 31, 2024
				(Forecast)
Annual cash dividends per share (Yen)	56.00	45.00	30.00
	First quarter period-end dividends	-	-	-
	Second quarter period-end dividends	15.00	15.00	15.00
	Third quarter period-end dividends	-	-	-
	Year-end dividends	41.00	30.00	15.00
Total cash dividends for the year (Millions of yen)	3,088	2,464	-
Dividend payout ratio (Consolidated) (%)	50.6	42.9	62.9
Ratio of dividends to net assets (Consolidated) (%)	3.1	2.3	-

3. Forecast of Consolidated Business Results for the Fiscal Year Ending March 31, 2024 (April 1, 2023 to March 31, 2024)

(In millions of yen, rounded down)

	Sixth months ending	%	Fiscal year ending	%
	September 30, 2023		March 31, 2024
Net sales	49,000	6.3	102,000	4.2
Operating income	300	(89.0)	3,300	(42.3)
Ordinary income	300	(92.7)	3,500	(47.1)
Profit attributable to owners of parent	100	(96.9)	2,600	(54.5)
Basic earnings per share (Yen)	1.83	-	47.69	-

Note:

Percentage figures given for the first four items in the above table represent the percentage increase/decrease on a year-on-year basis.

*Notes

(1) Changes in significant subsidiaries during the fiscal year under review (Changes in the scope of consolidation

accompanying changes in specified subsidiaries): No

(2) Changes in accounting policies; changes in accounting estimates; restatements

1.	Changes accompanying revisions to accounting standards:	Yes
2.	Changes other than those in item 1. above:	No
3.	Changes in accounting estimates:	No
4.	Restatements:	No

1. Number of shares outstanding (common stock)

1. Number of shares outstanding (including treasury stock) as of:

March 31, 2023: 56,890,740 shares

March 31, 2022: 58,292,340 shares

2. Number of treasury stock as of:

March 31, 2023:	2,368,980 shares
March 31, 2022:	3,768,240 shares
3. Average number of shares during the period:
Fiscal year ended March 31, 2023:	54,522,102 shares
Fiscal year ended March 31, 2022:	55,649,827 shares

(English translation of "KESSAN TANSHIN" originally issued in Japanese.)

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Komori Corporation

Reference: Overview of Non-Consolidated Performance

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

(1) Non-Consolidated Operating Results		(In millions of yen, rounded down)
	Fiscal year ended	%	Fiscal year ended	%
	March 31, 2023		March 31, 2022
Net sales	70,525	19.9	58,815	16.2
Operating income (loss)	4,428	-	(159)	-
Ordinary income	5,445	352.0	1,204	-
Profit	7,720	71.1	4,513	-
				(Yen)
Basic earnings per share	141.60		81.11
Diluted earnings per share	-		-

Note:

Percentage figures given for the first four items in the above table represent the percentage increase/decrease on a year-on-year basis.

(2) Non-Consolidated Financial Condition			(In millions of yen, rounded down)
			March 31, 2023		March 31, 2022
Total assets			138,298		129,750
Total net assets			98,029		92,714
Equity ratio (%)			70.9		71.5
Net assets per share (Yen)		1,797.99		1,700.44
Note:		98,029 million yen
Equity as of:	March 31, 2023:
	March 31, 2022:	92,714 million yen

* Implementation status of audit procedures

This financial flash report (Kessan Tanshin) is not subject to auditing by a certified public accountant or auditing firm.

* Disclaimer regarding the appropriate use of performance forecasts and other remarks

The aforementioned forecasts are based on management's assumptions and beliefs held in light of information currently available to it and accordingly involve risks and uncertainties that may cause actual results to differ materially from forecasts. These uncertainties include, but are not limited to, changes in economic conditions, market trends, changes in foreign currency exchange rates and other factors.

For qualitative information regarding consolidated operating results forecasts, please refer to "1. REVIEW OF OPERATIONS AND FINANCIAL CONDITION (4) Outlook" in page 11 of the attached material.

Materials for the summary result presentation in Japanese will be disclosed through the Tokyo Stock Exchange's Timely Disclosure Network, known as TDnet, on May 22, 2023. The same materials will be posted on Komori's website. Also, English translation of these materials will be posted on the Company's website at: https://www.komori.com/contents_com/ir/index.htm

(English translation of "KESSAN TANSHIN" originally issued in Japanese.)

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Komori Corporation

Index

1. REVIEW OF OPERATIONS AND FINANCIAL CONDITION
2. 1. Fiscal 2023 Operating Results
   2. Fiscal 2023 Financial Condition
   3. Fiscal 2023 Consolidated Cash Flows
   4. Outlook
3. FUNDAMENTAL APPROACH TO THE SELECTION OF ACCOUNTING STANDARDS
4. CONSOLIDATED FINANCIAL STATEMENTS
5. 1. Consolidated Balance Sheets
   2. Consolidated Statements of Income and Consolidated Statements of Comprehensive Income
   3. Consolidated Statements of Changes in Net Assets
   4. Consolidated Statements of Cash Flows
   5. Notes to Consolidated Financial Statements (Notes on Premise as a Going Concern) (Changes in Accounting Policies) (Consolidated Segment Information)
      (Per Share Information) (Important Subsequent Events)

1. 5 P. 5 P. 10 P. 11 P. 11

P. 13

1. 14 P. 14 P. 16 P. 18 P. 20 P. 21 P. 21 P. 21 P. 21 P. 27 P. 28

(English translation of "KESSAN TANSHIN" originally issued in Japanese.)

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Komori Corporation

1. REVIEW OF OPERATIONS AND FINANCIAL CONDITION

(1) Fiscal 2023 Operating Results

(1) Overview

During the fiscal year ended March 31, 2023, the global economy benefited from ongoing recovery resulting from progress in the normalization of economic activities premised on embracing the new normal of living with the risk of COVID-19 infection. On the other hand, the outlook remained unclear due mainly to consistently high energy costs in the face of continuing geopolitical risks, the shortage of semiconductor and other parts supply on the back of recovery in demand, and foreign exchange fluctuations resulting from monetary tightening undertaken by major countries.

(2) Consolidated Performance

Given the above environment, the domestic printing machinery market has seen an ongoing trend toward executing investment aimed at improving productivity, enhancing efficiency and otherwise streamlining printing operations in light of surging costs for energy and printing supplies as well as labor shortages. Amid this trend, Komori secured a robust volume of orders for such products as sheet-fed offset presses and thereby achieved growth in net sales, thanks to the positive effect of its marketing activities focused on delivering proposals designed to enhance ROI via the use of "advance" models. In the printed electronics (PE) business, showings of semiconductor manufacturing equipment were similarly strong, contributing to higher net sales for this business. In North America, demand remained on a recovery track since 2022 despite the impact of interest rate hikes and inflation. With consistently strong demand offsetting these negative factors, net sales in this region remained virtually unchanged from the previous fiscal year. In Europe, although demand has been negatively affected by ongoing geopolitical risks and surging energy prices, net sales in this region were supported by post-pandemic economic recovery and thus grew larger, especially in western European countries. In Greater China, on the other hand, net sales declined from the previous fiscal year due to the significant impact of economic downturn resulting from repeated resurgences of the pandemic since the beginning of the fiscal year and the subsequent enforcement of "zero- COVID" policy. However, demand in this region has returned to a recovery track despite temporary turmoil following the lifting of the "zero-COVID" policy in December 2022. While Other Regions, which include ASEAN and India, remained stagnant in terms of recovery in demand in the previous fiscal year, Komori has seen a turnaround of this trend in these regions in the fiscal year ended March 31, 2023. Thus, drastic recovery in demand enabled the Company to achieve higher sales in India and elsewhere.

(English translation of "KESSAN TANSHIN" originally issued in Japanese.)

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