SRE : Consolidated Financial Results for the first three months of the FYE March 31, 2022 (JGAAP)

Consolidated Financial Results for the first three months of the FYE March 31, 2022

(JGAAP)

Company name: SRE Holdings Corporation

Stock exchange listing:

Tokyo

Aug 3, 2021

Stock code:

2980

URL:

https://sre-group.co.jp/

Representative:

Kazuo Nishiyama, Representative Director and President

Contact:

Osamu Mashiko, Member of the Board, CFO & Division Director, Corporate Headquarters

Scheduled date of dividend payment ‒

TEL: [phone]

Scheduled date to submit the Quarterly Report: August 6, 2021

Earnings Supplementary Explanatory Documents: Yes

Holding of financial results presentation meeting: No

(Figures of less than one million are rounded down.)

1. Consolidated Results for the first three months of the FYE March 31, 2022 (April 1, 2021 - June 30, 2021)

(1) Consolidated operating results

(% shows the year-on-year change)

Quarterly Profit

Net sales

Operating profit

Ordinary profit

attributable to owners of

parent

Three months ended

Million yen

%

Million yen

%

Million yen

%

Million yen

%

June 30, 2021

1,782

71.4

175

42.6

168

34.7

115

88.0

June 30, 2020

1,040

‒

123

‒

125

‒

61

‒

(Note) Comprehensive income:

Three months ended June 30, 2021: ¥115 million (88.0%)

Three months ended June 30, 2020: ¥61 million (-%)

Basic quarterly profit per

Diluted quarterly profit

share

per share

Three months ended

Yen

Yen

June 30, 2021

7.46

7.27

June 30, 2020

4.06

3.91

(Notes) Since the quarterly consolidated financial statements were not prepared for the first three months of the FYE March 2020, the rate of increase / decrease from the same quarter of the previous year for the first three months of the FYE March 2021 is not stated.

(2) Consolidated financial condition
	Total assets	Net assets	Equity ratio
As of	Million yen	Million yen	%
June 30, 2021	13,710	8,054	58.4
March 31, 2021	12,341	7,879	63.5

(Reference) Equity capital:	As of June 30, 2021: ¥8,009 million	As of March 31, 2021: ¥7,842 million
2. Dividends
			Annual dividend per share
	End of first quarter	End of second	End of third		Year end	Total
	quarter	quarter
		Yen	Yen		Yen			Yen	Yen
FYE March 31, 2021		‒	0.00		‒		0.00	0.00
FYE March 31, 2022		‒
FYE March 31, 2022			0.00		‒		0.00	0.00
(forecast)

3. Consolidated Financial Forecasts for the FYE March 31, 2022 (April 1, 2021 to March 31, 2022)

(% shows the year-on-year change)

	Net sales		Operating profit	Ordinary profit	Profit attributable to	Basic profit per
		owners of parent	share
	Million yen	%	Million yen	%	Million yen	%	Million yen	%	Yen
Full year	11,800	60.8	1,350	27.8	1,280	25.1	835	25.2	54.40

(Note) Revision of the forecasts most recently announced: No

* Notes

1. Changes in significant subsidiaries during the first three months of FYE March 31, 2022 (changes of specified subsidiaries with change of the scope of consolidation): No
   (Note) This does not correspond to a specified subsidiary, but from the first three months of the FYE Mar 2022, Kyushu C & C Systems has been included in the scope of consolidation.
2. Changes in accounting principles, changes in accounting estimates, and retrospective restatements
3. 1. Changes in accounting principles accompanying the amendment of accounting standards: Yes
   2. Changes in accounting policies other than (i): None
   3. Changes in accounting estimates: None
   4. Restatement: None
4. Number of issued shares (common shares)
5. 1. Number of shares outstanding at end of the period (including treasury shares)

As of June 30, 2021:	15,532,615 shares
As of March 31, 2021:	15,348,151 shares
(ii) Number of treasury shares at end of the period
As of June 30, 2021:	67 shares
As of March 31, 2021:	31 shares

(iii) Average number of shares during the period

The first three months of FYE Mar 2022: 15,508,665 shares

The first three months of FYE Mar 2021: 15,147,389 shares

• The results are not subject to an audit by a certified public accountant or an auditing firm.
• Explanation concerning the appropriate use of financial result forecasts and other special notes (Note on forward-looking statements)
  Forward-looking statements such as results forecasts provided in this document are prepared based on currently available information and assumptions that are deemed reasonable, but the Company does not intend to guarantee their achievement. A variety of factors could cause actual results to differ materially from forecasts.

• Index for Supplementary Information

1. Quarterly consolidated Financial Statements and Important Notes......................................................................	2
(1)	Quarterly consolidated balance sheets............................................................................................................	2
(2)	Quarterly consolidated statements of income and consolidated statements of comprehensive income .........	3
(Quarterly consolidated statements of income).................................................................................................	3
(Quarterly consolidated statements of comprehensive income) .......................................................................	4
(3)	Notes to Quarterly consolidated financial statements......................................................................................	5
(Note to going concern assumptions) ...............................................................................................................	5
(Notes on significant fluctuations in the amount of shareholders' equity)..........................................................	5
(Change in accounting policy)...........................................................................................................................	5
(Segment information, etc.) ..............................................................................................................................	6

‒ 1 ‒

1. Quarterly Consolidated Financial Statements and Important Notes

(1) Quarterly Consolidated balance sheets

				(Unit: Thousand yen)
			As of March 31, 2021	As of June 30, 2021
Assets
Current assets
Cash and deposits	2,637,195	2,868,320
Accounts receivable - trade	164,220	195,024
Operating investments in capital	830,013	1,390,585
Inventories	7,268,908	7,697,864
Other	284,166	173,552
Allowance for doubtful accounts	(1,196)	(1,196)
Total current assets	11,183,308	12,324,151
Non-current assets
Property, plant and equipment	152,969	150,027
Intangible assets
Software	473,975	490,601
Goodwill	－	161,658
Other	53,315	47,221
Total intangible assets	527,290	699,480
Investments and other assets	477,955	536,373
Total non-current assets	1,158,214	1,385,881
Total assets		12,341,523	13,710,032
Liabilities
Current liabilities
Accounts payable - trade	58,368	69,328
Short-term loans payable	722,000	465,000
Accounts payable - other	102,360	81,008
Accrued expenses	284,572	218,081
Income taxes payable	309,734	38,967
Provision for bonuses	127,060	69,609
Other		239,499	258,171
Total current liabilities	1,843,595	1,200,167
Non-current liabilities
Long-term loans payable	2,470,000	4,236,000
Liabilities related to retirement benefits	－	66,686
Other		148,040	152,578
Total non-current liabilities		2,618,040	4,455,265
Total liabilities	4,461,635	5,655,432
Net assets
Shareholders' equity
Capital stock	3,584,698	3,616,239
Capital surplus	3,584,698	3,616,239
Retained earnings	672,877	777,699
Treasury shares		(122)	(362)
Total shareholders' equity		7,842,152	8,009,814
Accumulated other comprehensive income
Valuation difference on available-for-sale securities		－	(241)
Total accumulated other comprehensive income	－	(241)
Stock acquisition rights		37,735	45,026
Total net assets		7,879,887	8,054,600
Total liabilities and net assets		12,341,523	13,710,032

‒ 2 ‒

1. Quarterly Consolidated statements of income and consolidated statements of comprehensive income (Quarterly Consolidated statements of income)

			(Unit: Thousand yen)
		For the three months ended	For the three months ended
		June 30, 2020	June 30, 2021
Net sales	1,040,312	1,782,910
Cost of sales	496,518	1,042,409
Gross profit	543,794	740,501
Selling, general and administrative expenses	420,412	564,589
Operating profit	123,382	175,911
Non-operating income
Share of profit of entities accounted for using equity	2,571	87
method
Other	5	38
Total non-operating income	2,576	125
Non-operating expenses
Interest expenses	520	7,181
Other	327	347
Total non-operating expenses	848	7,529
Ordinary profit	125,110	168,508
Quarterly Profit before income taxes	125,110	168,508
Income taxes - current	31,606	22,456
Income taxes - deferred	31,960	30,368
Total income taxes	63,567	52,825
Quarterly Profit	61,542	115,682
Quarterly Profit attributable to owners of parents		61,542	115,682

‒ 3 ‒