T&K Toka : Consolidated Financial Results March 31 2022

Disclaimer: This document is an English translation of the original document in Japanese and has been prepared solely for reference purposes. In the event of any discrepancy between this English translation and the original in Japanese, the original shall prevail in all respects.

Consolidated Financial Results

for the Fiscal Year Ended March 31, 2022

[Japanese GAAP]

May 10, 2022

Company name: T&K TOKA CO., LTD.

Stock exchange listing: Tokyo Stock Exchange

Code number: 4346

URL: https://www.tk-toka.co.jp/

Representative: Yoshikatsu Masuda, Representative Director

Contact: Hideaki Sekine, Department Manager, Finance Department

Phone: [phone]

Scheduled date of general shareholders' meeting: June 24, 2022

Scheduled date of commencing dividend payments: June 27, 2022

Scheduled date of filing securities report: June 24, 2022

Availability of supplementary explanatory materials on annual financial results: Yes

Schedule of annual financial results briefing session: Scheduled (For institutional investors and analysts)

(Amounts of less than one million yen are rounded down.)

1. Consolidated Financial Results for the Fiscal Year Ended March 31, 2022 (April 1, 2021 - March 31, 2022)

(1) Consolidated Operating Results			(% indicates changes from the previous corresponding period.)
		Net sales	Operating profit		Ordinary profit	Profit attributable to
			owners of parent
	Fiscal year ended	Million yen	%	Million yen	%	Million yen	%	Million yen	%
	March 31, 2022	44,456	5.3	228	14.8			1,992	83.1		2,651	100.4
	March 31, 2021	42,205	(12.5)	198	(63.6)			1,088	(15.9)		1,323	735.1
(Note) Comprehensive income: Fiscal year ended March 31, 2022: ¥3,990 million [32.5%]
		Fiscal year ended March 31, 2021: ¥3,012 million [－%]
		Basic earnings		Diluted	Return on			Ratio of		Ratio of
			earnings		ordinary profit	operating profit
		per share			equity
				per share			to total assets	to net sales
	Fiscal year ended		Yen		Yen				%			%		%
	March 31, 2022	117.64		116.41				5.8			2.9		0.5
	March 31, 2021	58.39		57.86				3.1			1.6		0.5

(Reference) Equity in earnings (losses) of affiliated companies: Fiscal year ended March 31, 2022: ¥738 million Fiscal year ended March 31, 2021: ¥787 million

(Note) The Company has applied the "Accounting Standard for Revenue Recognition" (ASBJ Statement No. 29, March 31, 2020) and other standards from the beginning of the reporting period. Application of these standards does not impact on sales and profit.

(2) Consolidated Financial Position

	Total assets	Net assets	Equity ratio	Net assets per share
	Million yen	Million yen	%	Yen
As of March 31, 2022	70,306	48,296	68.0	2,121.05
As of March 31, 2021	67,435	44,743	65.6	1,965.65

(Reference) Equity: As of March 31, 2022: ¥47,835 million As of March 31, 2021: ¥44,237 million

(3) Consolidated Cash Flows

Cash flows from

Cash flows from

Cash flows from

Cash and cash

equivalents

operating activities

investing activities

financing activities

at the end of period

Fiscal year ended

Million yen

Million yen

Million yen

Million yen

March 31, 2022

2,295

(971)

(1,725)

6,245

March 31, 2021

3,227

(772)

(2,643)

6,315

2. Dividends

Annual dividends

Total

Ratio of

Payout ratio

dividends to

1st

2nd

3rd

Year-

dividends

quarter-

quarter-

quarter-

Total

(consolidated)

net assets

end

(annual)

end

end

end

(consolidated)

Yen

Yen

Yen

Yen

Yen

Million yen

%

%

Fiscal year ended

-

5.00

-

10.00

15.00

337

25.7

0.8

March 31, 2021

Fiscal year ended

-

10.00

-

30.00

40.00

902

34.0

2.0

March 31, 2022

Fiscal year ending

March 31, 2023

-

20.00

-

20.00

40.00

64.9

(Forecast)

3. Consolidated Financial Results Forecast for the Fiscal Year Ending March 31, 2023 (April 1, 2022 - March 31, 2023)

(% indicates changes from the previous corresponding period)

							Profit attributable	Basic earnings
	Net sales		Operating profit	Ordinary profit	to owners of
		per share
							parent
	Million yen	%	Million yen	%	Million yen	%	Million yen	%	Yen
2nd quarter	22,560	4.2	350	11.2	820	(22.4)	480	(71.5)	21.29
(Cumulative)
Full year	46,470	4.5	1,180	416.7	2,120	6.4	1,390	(47.6)	61.67

* Notes:

1. Changes in significant subsidiaries during the fiscal year under review (Changes in specified subsidiaries resulting in changes in scope of consolidation): None
   Newly included: - (Company name:)
   Excluded: - (Company name:)
2. Changes in accounting policies, changes in accounting estimates and retrospective restatement
3. 1. Changes in accounting policies due to the revision of accounting standards: Yes
   2. Changes in accounting policies other than 1) above: None
   3. Changes in accounting estimates: None
   4. Retrospective restatement: None
4. Total number of issued and outstanding shares (common shares)
5. 1. Total number of issued and outstanding shares at the end of the period: (including treasury shares):

March 31, 2022:	22,603,040 shares
March 31, 2021:	22,555,440 shares
2) Total number of treasury shares at the end of the period:
March 31, 2022:	50,214 shares
March 31, 2021:	50,154 shares
3) Average number of shares during the period:
Fiscal year ended March 31, 2022:	22,540,964 shares
Fiscal year ended March 31, 2021:	22,659,166 shares

(Reference) Summary of Non-consolidated Financial Results

1. Non-consolidated Financial Results for the Fiscal Year Ended March 31, 2022 (April 1, 2021 - March 31, 2022)

(1) Non-consolidated Operating Results			(% indicates changes from the previous corresponding period.)
		Net sales			Operating profit	Ordinary profit	Net income
	Fiscal year ended	Million yen	%	Million yen	%	Million yen	%	Million yen	%
	March 31, 2022	35,267	2.9	800	248.1	1,607	22.7	1,727	84.6
	March 31, 2021	34,263 (12.0)	230	(58.7)	1,310	-	935	-
		Basic earnings		Diluted earnings
		per share			per share
	Fiscal year ended	Yen			Yen
	March 31, 2022	76.63			75.83
	March 31, 2021	41.29			40.91

(2) Non-consolidated Financial Position

	Total assets	Net assets	Equity ratio	Net assets per share
	Million yen	Million yen	%	Yen
As of March 31, 2022	51,723	33,416	64.3	1,474.80
As of March 31, 2021	51,929	32,349	62.0	1,429.76

(Reference) Equity: As of March 31, 2022: ¥33,261 million As of March 31, 2021: ¥32,177 million

2. Nonconsolidated Financial Results Forecast for the Fiscal Year Ending March 31, 2023 (April 1 2022 - March 31, 2023)

(% indicates changes from the previous corresponding period)

	Net sales		Operating profit	Ordinary profit	Profit		Basic earnings
			per share
	Million yen	%	Million yen	%	Million yen	%	Million yen	%	Yen
2nd quarter	18,920	10.1	460	11.7	1,020	69.2	790	(18.8)	35.05
(Cumulative)
Full year	38,620	9.5	1,210	51.1	1,980	23.2	1,530	(11.4)	67.88

• These consolidated financial results are outside the scope of audit by certified public accountants or an audit firm.
• Explanation of the proper use of financial results forecast and other notes
  The performance outlook and other forward-looking statements herein are based on information currently available to the Company and certain assumptions that have been deemed reasonable, and are not intended to guarantee the achievement. Actual performance may differ significantly from these forecasts due to a wide range of factors.

3. Consolidated Financial Statements and Principal Notes

(1) Consolidated Balance Sheets

			(Million yen)
		As of March 31, 2021	As of March 31, 2022
Assets
Current assets
Cash and deposits		9,361	9,111
Notes and accounts receivable - trade	12,176	12,326
Electronically recorded monetary claims - operating		1,772	2,022
Merchandise and finished goods	4,992	4,894
Work in process		396	433
Raw materials and supplies	2,210	2,628
Other		276	406
Allowance for doubtful accounts	(24)	(481)
Total current assets		31,161	31,341
Non-current assets
Property, plant and equipment
Buildings and structures	23,669	24,867
Machinery, equipment and vehicles		20,748	22,672
Tools, furniture and fixtures	3,553	3,645
Land		6,841	7,740
Leased assets	1,226	1,149
Construction in progress		2,708	1,392
Accumulated depreciation	(35,470)	(37,024)
Total property, plant and equipment		23,278	24,443
Intangible assets
Goodwill		7	-
Other	444	460
Total intangible assets		452	460
Investments and other assets
Investment securities		10,527	11,852
Retirement benefit asset	1,341	1,476
Deferred tax assets		126	61
Other	562	679
Allowance for doubtful accounts		(14)	(10)
Total investments and other assets	12,543	14,060
Total non-current assets		36,273	38,965
Total assets		67,435	70,306

1

(Million yen)

As of March 31, 2021

As of March 31, 2022

Liabilities

Current liabilities

Notes and accounts payable - trade Electronically recorded obligations - operating Short-term borrowings

Current portion of long-term borrowings Current portion of bonds payable

Lease liabilities Income taxes payable Accounts payable - other Provision for bonuses Provision for bonuses for directors Provision for loss on business liquidation

Other

Total current liabilities

Non-current liabilities

Bonds payable

Long-term borrowings

Lease liabilities

Provision for retirement benefits for directors Provision for shareholder benefit program Retirement benefit liability

Asset retirement obligations

Deferred tax liabilities

Other

Total non-current liabilities

Total liabilities

Net assets

Shareholders' equity

6,419		7,195
3,675	3,347
4,329		4,339
976	811
-		10
303	283
180		572
613	736
590		644
6	11
-		36
489	442
17,585		18,433
-		40
3,061	2,249
692		516
29	32
12		16
243	255
93		34
818	328
154		103
5,106	3,577
22,691		22,010

Share capital	2,080	2,098
Capital surplus		2,073	2,091
Retained earnings	40,428	42,629
Treasury shares		(41)	(41)
Total shareholders' equity	44,540	46,778
Accumulated other comprehensive income
Valuation difference on available-for-sale securities	812	584
Foreign currency translation adjustment		(1,859)	(221)
Remeasurements of defined benefit plans	743	694
Total accumulated other comprehensive income		(303)	1,057
Share acquisition rights	171	155
Non-controlling interests		334	304
Total net assets	44,743	48,296
Total liabilities and net assets		67,435	70,306

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