February 10, 2022
Consolidated Financial Results for the Third Quarter of the Fiscal Year Ending March 31, 2022
(Nine Months Ended December 31, 2021)
[Japanese GAAP] | ||
Company name: | C. Uyemura & Co., Ltd. | Listing: Second Section of the Tokyo Stock Exchange |
Stock code: | 4966 | URL: https://www.uyemura.co.jp/ |
Representative: | Hiroya Uyemura, President | |
Contact: | Shigeo Sakabe, Managing Director and Head of Corporate Management Division | |
Telephone: | +81-6-6202-8518 |
Scheduled date of filing of Quarterly Report: | February 10, 2022 |
Starting date of dividend payment: | - |
Preparation of supplementary materials for quarterly financial results: | None |
Holding of quarterly financial results meeting: | None |
Note: The original disclosure in Japanese was released on February 10, 2022 at 15:30 (GMT +9).
(All amounts are rounded down to the nearest million yen.)
1. Consolidated Financial Results (April 1, 2021 - December 31, 2021)
(1) Results of operations | (Percentages represent year-over-yearchanges.) | ||||||||
Sales | Operating profit | Ordinary profit | Profit attributable to | ||||||
owners of parent | |||||||||
Million yen | % | Million yen | % | Million yen | % | Million yen | % | ||
Nine months ended Dec. 31, 2021 | 51,641 | 27.6 | 10,154 | 55.5 | 10,555 | 55.5 | 7,302 | 48.5 | |
Nine months ended Dec. 31, 2020 | 40,460 | 8.3 | 6,528 | 21.0 | 6,786 | 22.2 | 4,916 | 27.3 |
Note: Comprehensive income (million yen) | Nine months ended Dec. 31, 2021: | 9,163 | (up 105.5%) | |||
Nine months ended Dec. 31, 2020: | 4,459 | (up 46.8%) | ||||
Net income per share | Net income per share | |||||
(basic) | (diluted) | |||||
Yen | Yen | |||||
Nine months ended Dec. 31, 2021 | 421.57 | - | ||||
Nine months ended Dec. 31, 2020 | 277.83 | - |
Notes: 1. Beginning with the first quarter of the fiscal year ending on March 31, 2022, the Company has applied the Accounting Standard for Revenue Recognition (Accounting Standards Board of Japan (ASBJ) Statement No. 29, March 31, 2020). All figures for the nine months ended December 31, 2021 incorporate this accounting standard.
2. The Company conducted a 2-for-1 common stock split effective on July 1, 2021. Net income per share has been calculated as if this stock split had taken place at the beginning of the previous fiscal year.
- Financial position
Total assets | Net assets | Equity ratio | Net assets per share | ||
Million yen | Million yen | % | Yen | ||
As of Dec. 31, 2021 | 95,330 | 75,108 | 78.8 | 4,358.52 | |
As of Mar. 31, 2021 | 85,105 | 69,473 | 81.6 | 3,929.41 | |
Reference: Shareholders' equity (million yen) | As of Dec. 31, 2021: 75,108 | As of Mar. 31, 2021: 69,473 |
Notes: 1. Beginning with the first quarter of the fiscal year ending on March 31, 2022, the Company has applied the Accounting Standard for Revenue Recognition (ASBJ Statement No. 29, March 31, 2020). All figures as of December 31, 2021 incorporate this accounting standard.
2. The Company conducted a 2-for-1 common stock split effective on July 1, 2021. Net assets per share have been calculated as if this stock split had taken place at the beginning of the previous fiscal year.
2. Dividends
Dividend per share | ||||||||
1Q-end | 2Q-end | 3Q-end | Year-end | Total | ||||
Yen | Yen | Yen | Yen | Yen | ||||
Fiscal year ended Mar. 31, 2021 | - | 0.00 | - | 180.00 | 180.00 | |||
Fiscal year ending Mar. 31, 2022 | - | 0.00 | - | |||||
Fiscal year ending Mar. 31, 2022 (forecast) | 130.00 | 130.00 |
Notes: 1. Revisions to the most recently announced dividend forecast: Yes
-
Regarding revisions to the dividend forecast, please refer to the press release "Notice regarding Revisions of Year-End
Dividend Forecast" that was announced today (February 10, 2022). - The Company conducted a 2-for-1 common stock split effective on July 1, 2021. Figures for the fiscal year ended March 31, 2021 are the actual amount of dividends before the stock split.
3. Consolidated Forecast for the Fiscal Year Ending March 31, 2022 (April 1, 2021 - March 31, 2022)
(Percentages represent year-over-year changes.)
Sales | Operating profit | Ordinary profit | Profit attributable to | Net income per share | ||||||
owners of parent | ||||||||||
Million yen | % | Million yen | % | Million yen | % | Million yen | % | Yen | ||
Full year | 65,000 | 16.2 | 12,000 | 26.4 | 12,500 | 26.0 | 8,400 | 17.8 | 474.76 | |
Notes: 1. Revisions to the most recently announced consolidated forecast: None |
2. The Company conducted a 2-for-1 common stock split effective on July 1, 2021. Net income per share in the consolidated forecast for the fiscal year ending March 31, 2022 are adjusted to reflect the stock split.
*Notes
(1) Changes in consolidated subsidiaries during the period (changes in scope of consolidation): None
Newly added: - | Excluded: - |
- Application of the specific method for accounting treatment for preparation of quarterly consolidated financial statements: None
- Changes in accounting policies and accounting-based estimates, and restatements
- Changes in accounting policies due to revisions in accounting standards, others: Yes
- Changes in accounting policies other than 1) above: None
- Changes in accounting-based estimates: None
- Restatements: None
Note: For details, see "2. Quarterly Consolidated Financial Statements and Notes, (3) Notes to Quarterly Consolidated Financial Statements, Changes in Accounting Policies" on page 7 of the attachments.
- Number of shares outstanding (common shares)
- Number of shares outstanding at the end of the period (including treasury shares)
As of Dec. 31, 2021: | 19,756,080 shares | As of Mar. 31, 2021: | 19,756,080 shares |
2) Number of treasury shares at the end of the period | |||
As of Dec. 31, 2021: | 2,523,528 shares | As of Mar. 31, 2021: | 2,075,648 shares |
3) Average number of shares outstanding during the period | |||
Nine months ended Dec. 31, 2021: | 17,323,312 shares | Nine months ended Dec. 31, 2020: | 17,697,315 shares |
Note: The Company conducted a 2-for-1 common stock split effective on July 1, 2021. The number of shares outstanding at the end of the period, number of treasury shares at the end of the period and average number of shares outstanding during the period have been calculated as if this stock split had taken place at the beginning of the previous fiscal year.
* The quarterly financial report is not subject to quarterly review by certified public accountants or auditing firms.
*Cautionary statement with respect to forward-looking statements and other special items
Forecasts of future performance in this report are based on assumptions judged to be valid and information currently available to the Company, but are not promises by the Company regarding future performance. Actual results are affected by various factors and may differ substantially. For discussion of the assumptions and notes of caution for usage, please refer to " 1. Qualitative Information on Quarterly Consolidated Financial Performance, (3) Explanation of Consolidated Forecast and Other Forward-looking Statements" on page 3 of the attachments.
C. Uyemura & Co., Ltd. (4966) Third Quarter of the Fiscal Year Ending March 31, 2022 | ||
Contents of Attachments | ||
1. Qualitative Information on Quarterly Consolidated Financial Performance | 2 | |
(1) | Explanation of Results of Operations | 2 |
(2) | Explanation of Financial Position | 3 |
(3) | Explanation of Consolidated Forecast and Other Forward-looking Statements | 3 |
2. Quarterly Consolidated Financial Statements and Notes | 4 | |
(1) | Consolidated Balance Sheets | 4 |
(2) | Consolidated Statements of Income and Comprehensive Income | 6 |
For the Nine-month Period | 6 | |
(3) | Notes to Quarterly Consolidated Financial Statements | 7 |
Going Concern Assumption | 7 | |
Significant Changes in Shareholders' Equity | 7 | |
Changes in Accounting Policies | 7 | |
Segment and Other Information | 8 |
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C. Uyemura & Co., Ltd. (4966) Third Quarter of the Fiscal Year Ending March 31, 2022
1. Qualitative Information on Quarterly Consolidated Financial Performance
(1) Explanation of Results of Operations
For the first nine months of the fiscal year ending on March 31, 2022 (hereinafter "the period under review"), the Japanese economy saw some signs of recovery with the gradual resumption of economic activities amid the lingering impact of the pandemic. However, the situation remained unstable due to the resurgence of COVID -19 caused by the spread of its variants. Also, the outlook for the Japanese economy remains uncertain amid concerns that economic activities may be affected by security issues between the United States and China, surging natural resource prices, and a shortage of semiconductors and other components.
In the electronic device market, which is the Uyemura Group's main market area, demand for servers remained solid backed by the commercialization of the 5G (5th generation mobile communication system) related technologies and the wider spread of telework. In the car electronics segment, the production of automobiles and other products was affected by the shortage of semiconductors although the production of semiconductors themselves continued for the supply-demand balance to improve.
In this environment, the Group has focused on the development of high value-added products, and proposal and sales activities for these products to make the operations more profitable.
As a result, consolidated sales for the period under review were 51,641 million yen (up 27.6% year-over-year), operating profit 10,154 million yen (up 55.5%), ordinary profit 10,555 million yen (up 55.5%), and profit attributable to owners of parent 7,302 million yen (up 48.5%). Due to the application of the Accounting Standard for Revenue Recognition, net sales increased by 905 million yen, and operating profit and ordinary profit increased by 106 million yen each.
The results of operations by business segment are shown as below.
1) Surface finishing materials business
Both segment sales and profit of mainstay plating chemicals for printed wiring boards (PWBs) and package PWBs saw year-over-year increases thanks to an increase in 5G and semiconductor market demand.
Consequently, sales in the surface finishing materials business increased 38.8% year -over-year to 43,276 million yen and segment profit increased 58.9% year-over-year to 9,389 million yen.
2) Surface finishing machinery business
Both segment sales and profit of the surface finishing machinery business decreased year -over-year because of a shortage of raw materials and parts as well as a hike in logistics costs, although demand for semiconductors and electronic components remained firm.
Consequently, sales in the surface finishing machinery business decreased 24.5% year -over-year to 4,351 million yen and segment profit decreased 32.7% year-over-year to 349 million yen. Due to the application of the Accounting Standard for Revenue Recognition, net sales increased by 905 million yen and segment profit increased by 106 million yen.
3) Plating job business
Both segment sales and profit of the plating job business increased year-over-year. The business environment remained challenging with the persistent slowdown of the automotive industry in Thailand and Indonesia due to the spread of COVID-19. Meanwhile, plating job operations for PWBs in Taiwan continued to show strong performance.
Consequently, sales in the plating job business increased 15.4% year-over-year to 3,371 million yen and segment profit was 22 million yen (compared with segment loss of 255 million yen in the same period of the previous fiscal year).
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C. Uyemura & Co., Ltd. (4966) Third Quarter of the Fiscal Year Ending March 31, 2022
4) Real estate rental business
Both segment sales and profit of the real estate rental business increased year-over-year thanks to the rent revision for an office building for rent in Shin-Osaka.
Consequently, sales in the real estate rental business increased 3.8% year-over-year to 628 million yen and segment profit increased 10.1% year-over-year to 383 million yen.
It is noted that sales of the segments above include intersegment sales and transfers.
(2) Explanation of Financial Position
Total assets increased 10,224 million yen from the end of the previous fiscal year to 95,330 million yen at the end of the period under review. This was primarily attributable to a 4,530 million yen increase in notes and accounts receivable-trade, and contract assets, a 1,673 million yen increase in land, and a 1,076 million yen increase in merchandise and finished goods, which were partially offset by a 1,006 million yen decrease in cash and deposits and a 366 million yen decrease in buildings and structures, net.
Total liabilities increased 4,590 million yen from the end of the previous fiscal year to 20,221 million yen. This was primarily attributable to a 1,125 million yen increase in electronically recorded obligations-operating and a 496 million yen increase in deferred tax liabilities, which were partially offset by a 752 million yen decrease in income taxes payable and a 193 million yen decrease in provision for retirement benefits for directors (and other officers).
Total net assets increased 5,634 million yen from the end of the previous fiscal year to 75,108 million yen. This was primarily attributable to a 5,764 million yen increase in retained earnings and a 1,829 million yen increase in foreign currency translation adjustment, which were partially offset by a 1,990 million yen increase in treasury shares.
As a result, the equity ratio decreased by 2.8 percentage points from 81.6% at the end of the previous fiscal year to 78.8%.
(3) Explanation of Consolidated Forecast and Other Forward-looking Statements
We have maintained the full-year consolidated forecasts that we announced in the "Notice Regarding the Differences between Consolidated Financial Forecasts and Actual Results for the First Half, and Revisions of Consolidated Financial Forecasts for FY2022" on November 11, 2021.
Actual results may differ from these forecasts due to various factors in the future.
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