TBK : Summary of Consolidated Financial Results for the Nine Months Ended December 31, 2022

February 9, 2023

Company name:

TBK Co., Ltd.

Stock exchange listing:

Tokyo

Stock code:

7277

URL

https://www.tbk-jp.com/

Representative:

CEO

Kaoru Ogata

Executive Officer and General Manager of

Inquiries:

Masahiko Kuramura

TEL 042-739-1473

Business Planning Division

Scheduled date to file Quarterly Securities Report:

February 10, 2023

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 nine months ended December 31, 2022 (from April 1, 2022 to December 31, 2022)

(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

%

Nine months ended December 31, 2022

39,630

2.6

(631)

-

(401)

-

(682)

-

Nine months ended December 31, 2021

38,633

24.6

673

304.7

1,109

92.7

745

118.0

Earnings per share

Diluted earnings per share

Yen

Yen

Nine months ended December 31, 2022

(24.06)

-

Nine months ended December 31, 2021

26.29

-

(2) Consolidated financial position

Total assets

Net assets

Equity ratio

Net assets per share

Millions of yen

Millions of yen

%

Yen

As of December 31, 2022

54,311

28,858

52.2

998.03

As of March 31, 2022

50,476

28,479

55.4

986.50

Annual dividends per share

1st quarter-end

2nd quarter-end

3rd quarter-end

Fiscal year-end

Total

Yen

Yen

Yen

Yen

Yen

Year ended March 31, 2022

-

5.00

-

7.00

12.00

Year ending March 31, 2023

-

0.00

-

Year ending March 31, 2023 (Forecast)

0.00

0.00

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

53,000

3.5

(400)

-

(400)

-

(600)

-

(21.14)

(changes in specified subsidiaries resulting in the change in scope of consolidation):

No

(2)

Application of special accounting methods for preparing quarterly consolidated financial statements:

No

(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:

No

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 December 31, 2022

29,424,635

shares

As of March 31, 2022

29,424,635

shares

Number of treasury shares at the end of the period

As of December 31, 2022

1,030,201

shares

As of March 31, 2022

1,052,351

shares

Average number of shares during the period (cumulative from the beginning of the fiscal year)

Nine months ended December 31, 2022

28,385,219

shares

Nine months ended December 31, 2021

28,371,314

shares

(Millions of yen)

As of March 31, 2022

As of December 31, 2022

Assets

Current assets

Cash and deposits

4,229

4,950

Notes and accounts receivable - trade

12,169

12,364

Electronically recorded monetary claims - operating

614

865

Inventories

6,837

8,100

Income taxes refund receivable

104

176

Other

943

776

Allowance for doubtful accounts

(10)

(11)

Total current assets

24,888

27,221

Non-current assets

Property, plant and equipment

Buildings and structures, net

4,596

4,547

Machinery, equipment and vehicles, net

8,202

8,140

Land

3,426

3,377

Construction in progress

1,660

3,522

Other, net

1,148

1,147

Total property, plant and equipment

19,035

20,735

Intangible assets

Software

154

133

Goodwill

121

54

Other

70

74

Total intangible assets

345

262

Investments and other assets

Investment securities

2,975

2,922

Investments in capital of subsidiaries and associates

1,813

1,693

Long-term loans receivable from subsidiaries and

73

76

associates

Deferred tax assets

1,198

1,247

Other

162

167

Allowance for doubtful accounts

(15)

(15)

Total investments and other assets

6,207

6,091

Total non-current assets

25,588

27,090

Total assets

50,476

54,311

(Millions of yen)

As of March 31, 2022

As of December 31, 2022

Liabilities

Current liabilities

Notes and accounts payable - trade

4,964

5,336

Electronically recorded obligations - operating

2,463

2,831

Short-term borrowings

5,504

7,154

Lease liabilities

124

73

Income taxes payable

201

59

Provision for bonuses

753

372

Provision for product warranties

36

63

Provision for share awards for directors (and other

64

75

officers)

Notes payable - facilities

178

435

Other

1,667

2,538

Total current liabilities

15,960

18,940

Non-current liabilities

Long-term borrowings

1,642

2,052

Lease liabilities

98

85

Deferred tax liabilities

1,082

1,126

Retirement benefit liability

3,088

3,123

Other

124

124

Total non-current liabilities

6,036

6,512

Total liabilities

21,996

25,453

Net assets

Shareholders' equity

Share capital

4,617

4,617

Capital surplus

264

264

Retained earnings

20,800

19,919

Treasury shares

(463)

(453)

Total shareholders' equity

25,219

24,347

Accumulated other comprehensive income

Valuation difference on available-for-sale securities

948

993

Revaluation reserve for land

20

20

Foreign currency translation adjustment

1,963

3,099

Remeasurements of defined benefit plans

(162)

(122)

Total accumulated other comprehensive income

2,769

3,990

Non-controlling interests

490

520

Total net assets

28,479

28,858

Total liabilities and net assets

50,476

54,311

(Millions of yen)

Nine months ended

Nine months ended

December 31, 2021

December 31, 2022

Net sales

38,633

39,630

Cost of sales

34,210

36,526

Gross profit

4,422

3,104

Selling, general and administrative expenses

3,748

3,736

Operating profit (loss)

673

(631)

Non-operating income

Interest income

4

6

Dividend income

90

133

Foreign exchange gains

118

348

Share of profit of entities accounted for using equity method

242

-

Subsidy income

34

119

Other

53

84

Total non-operating income

544

692

Non-operating expenses

Interest expenses

92

135

Share of loss of entities accounted for using equity method

-

311

Commission expenses

8

4

Other

7

11

Total non-operating expenses

108

463

Ordinary profit (loss)

1,109

(401)

Extraordinary income

Gain on sale of non-current assets

22

37

Gain on reversal of tax purpose reduction entry of non-current

0

-

assets

Total extraordinary income

22

37

Extraordinary losses

Loss on sale of non-current assets

0

0

Loss on abandonment of non-current assets

1

0

Loss on valuation of investment securities

-

121

Loss of Subsidy refund

0

-

Total extraordinary losses

1

122

Profit (loss) before income taxes

1,130

(487)

Income taxes - current

222

203

Income taxes for prior periods

(8)

-

Income taxes - deferred

142

(33)

Total income taxes

357

170

Profit (loss)

773

(657)

Profit attributable to non-controlling interests

27

25

Profit (loss) attributable to owners of parent

745

(682)