Ohba : Summary of Consolidated Financial Results for the Three Months Ended August 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 Three Months Ended August 31, 2021 (Based on Japanese GAAP)

				October 14, 2021
Company name:	OHBA CO.,LTD.
Stock exchange listing:	Tokyo
Stock code:	9765	URL http://www.k-ohba.co.jp
Representative:	Representative Director,President	Shigeru Tsujimoto
Inquiries:	Senior Executive Officer	Hirofumi Katayama	TEL [phone]
Scheduled date to file Quarterly Securities Report:	October 14, 2021
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 three months ended August 31, 2021 (from June 1, 2021 to August 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		%
Three months ended August 31, 2021	2,568		59.0		8		-		10			-		6		-
Three months ended August 31, 2020	1,615		68.0		(202)		-		(196)			-		(142)		-
	Earnings per share			Diluted earnings per share
				Yen				Yen
Three months ended August 31, 2021				0.42					0.42
Three months ended August 31, 2020			(8.62)					-
(2) Consolidated financial position
	Total assets				Net assets		Equity ratio
	Millions of yen			Millions of yen					%
As of August 31, 2021		12,396						9,305				72.6
As of May 31, 2021		13,674						9,299				65.7
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 May 31, 2021		-		7.00				-				8.00			15.00
Year ending May 31, 2022		-
Year ending May 31, 2022 (Forecast)				8.00				-				12.00			20.00

3. Forecast of consolidated financial results for the year ending May 31, 2022 (from June 1, 2021 to May 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	16,000	0.9	1,400		4.9	1,450		5.1	950	11.4	58.31

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4. Notes

1. Changes in significant subsidiaries during the three months ended August 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

Yes

(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 August 31, 2021	18,000,000	shares	As of May 31, 2021	18,000,000	shares
Number of treasury shares at the end of the period
	As of August 31, 2021	1,795,447	shares	As of May 31, 2021	1,708,716	shares
Average number of shares during the period (cumulative from the beginning of the fiscal year)
	Three months ended August 31, 2021	16,244,908	shares	Three months ended August 31, 2020	16,475,736	shares

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Quarterly consolidated financial statements

Consolidated balance sheets

			(Thousands of yen)
		As of May 31, 2021	As of August 31, 2021
Assets
Current assets
Cash and deposits	3,002,039	1,594,149
Notes and accounts receivable - trade	2,763,978	-
Notes and accounts receivable - trade, and contract assets	-	3,148,750
Costs on service contracts in progress	1,002,566	538,166
Real estate for sale	5,634	5,634
Other	119,834	260,633
Allowance for doubtful accounts	(513)	(210)
Total current assets	6,893,540	5,547,124
Non-current assets
Property, plant and equipment
Buildings and structures	1,983,570	1,983,907
Accumulated depreciation	(774,219)	(790,721)
Buildings and structures, net	1,209,350	1,193,186
Machinery, equipment and vehicles	752,310	752,310
Accumulated depreciation	(460,571)	(470,631)
Machinery, equipment and vehicles, net	291,739	281,679
Land	2,657,285	2,657,285
Other	848,414	846,762
Accumulated depreciation	(638,843)	(656,309)
Other, net	209,570	190,453
Construction in progress	-	4,000
Total property, plant and equipment	4,367,946	4,326,604
Intangible assets
Software	137,161	126,523
Other	1,781	1,750
Total intangible assets	138,942	128,273
Investments and other assets
Investment securities	1,174,022	1,202,109
Long-term accounts receivable - other	224,002	224,002
Retirement benefit asset	600,737	685,181
Deferred tax assets	14,784	16,512
Other	410,962	417,252
Allowance for doubtful accounts	(150,170)	(150,170)
Total investments and other assets	2,274,339	2,394,887
Total non-current assets	6,781,229	6,849,765
Total assets		13,674,769	12,396,890

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			(Thousands of yen)
		As of May 31, 2021	As of August 31, 2021
Liabilities
Current liabilities
Accounts payable - trade	869,267	347,322
Short-term borrowings	-	150,000
Current portion of long-term borrowings	60,000	45,000
Income taxes payable	462,354	21,172
Advances received on service contracts in progress	1,103,036	1,265,599
Provision for bonuses	392,136	63,684
Provision for loss on order received	-	3,374
Provision for shareholder benefit program	15,955	-
Other	769,519	397,435
Total current liabilities	3,672,270	2,293,589
Non-current liabilities
Retirement benefit liability	11,495	12,912
Asset retirement obligations	250,538	250,815
Deferred tax liabilities	430,635	525,469
Other	9,847	9,087
Total non-current liabilities	702,516	798,284
Total liabilities	4,374,787	3,091,874
Net assets
Shareholders' equity
Share capital	2,131,733	2,131,733
Capital surplus	771,471	772,075
Retained earnings	6,475,454	6,543,266
Treasury shares	(939,040)	(1,010,567)
Total shareholders' equity	8,439,619	8,436,508
Accumulated other comprehensive income
Valuation difference on available-for-sale securities	385,765	405,260
Remeasurements of defined benefit plans	158,875	154,717
Total accumulated other comprehensive income	544,640	559,977
Share acquisition rights	315,722	308,530
Total net assets	9,299,982	9,305,015
Total liabilities and net assets		13,674,769	12,396,890

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Consolidated statements of income (cumulative) and consolidated statements of comprehensive income (cumulative)

Consolidated statements of income (cumulative)

			(Thousands of yen)
		Three months ended	Three months ended
		August 31, 2020	August 31, 2021
Net sales	1,615,466	2,568,707
Cost of sales	1,134,827	1,862,046
Gross profit	480,638	706,660
Selling, general and administrative expenses	683,507	697,792
Operating profit (loss)	(202,868)	8,867
Non-operating income
Interest income	8	11
Dividend income	361	1,216
Insurance claim and dividend income	177	197
Gain on sale of securities	2,649	1,027
Other	3,724	3,546
Total non-operating income	6,920	5,998
Non-operating expenses
Interest expenses	258	73
Delinquency charges	-	3,227
Other	440	907
Total non-operating expenses	698	4,207
Ordinary profit (loss)	(196,646)	10,659
Extraordinary losses
Loss on retirement of non-current assets	246	0
Loss on valuation of investment securities	20,363	-
Total extraordinary losses	20,609	0
Profit (loss) before income taxes	(217,256)	10,659
Income taxes	(75,169)	3,836
Profit (loss)	(142,086)	6,822
Profit (loss) attributable to owners of parent		(142,086)	6,822

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