Meisei Industrial Co., Ltd.TSE: 1976

Consolidated Financial Results For 3Q FY 2023

Jan 31, 2023 at 8:27 AM UTC · Issued by Meisei Industrial Co., Ltd.

[Translation for reference only]

ENGLISH TRANSLATION OF JAPANESE-LANGUAGE DOCUMENT

This is an English translation of the original Japanese-language document and is provided for convenience only. In all cases, the Japanese-language original shall take precedence.

January 31,2023

Consolidated Financial Results

for the First Nine Months of the Fiscal Year Ending March 31, 2023

Company name:	MEISEI INDUSTRIAL CO., LTD.
Listing:	Tokyo Stock Exchange, Prime
Securities code:	1976
URL:	https://www.meisei-kogyo.co.jp/en/
Representative:	Toshiteru Otani, Representative Director, Chairman and Chief Executive Officer (CEO)
Inquiries:	Susumu Yamamoto, Executive Officer, General Manager of Finance Division
	TEL: +81-6-6447-0275

Scheduled date to file quarterly securities report:	February 10, 2023
Scheduled date to commence dividend payments:	－
Preparation of supplementary material on quarterly financial results:	None
Holding of quarterly financial results presentation meeting:		None

(Note: Millions of yen with fractional amounts discarded, unless otherwise noted)

1. Consolidated Financial Results for the First Nine Months of the Fiscal Year Ending March 31,

2023 (from April 1, 2022 to December 31, 2022)
(1)	Consolidated operating results
									(Percentages indicate year-on-year changes.)
		Net sales				Operating profit	Ordinary profit	Profit attributable to
					owners of parent


Nine months ended	Millions of yen		%		Millions of yen	%	Millions of yen	%	Millions of yen	%
December 31, 2022	39,891		16.1		4,266	27.0	4,611	26.7	2,918	18.1
December 31, 2021	34,372		(4.5)		3,359	(17.7)	3,640	(14.9)	2,472	(14.6)

Note:	Comprehensive income
	Nine months ended December 31, 2022:		¥3,444 million [34.1%]
	Nine months ended December 31, 2021:		¥2,568 million [ (15.7)%]

		Net income			Diluted net
		per share		income per share

Nine months ended		Yen			Yen
December 31, 2022	58.63				－
December 31, 2021	48.31				－

(2) Consolidated financial position

	Total assets	Net assets	Equity-to-asset ratio	Net assets per share

As of	Millions of yen	Millions of yen	%	Yen
December 31, 2022	73,901	57,807	77.7	1,152.84
March 31, 2022	71,149	55,924	78.1	1,116.33

Reference: Shareholders' equity
As of December 31, 2022:	¥57,410 million
As of March 31, 2022:	¥55,562 million

Meisei Industrial Co., Ltd.

2. Cash Dividends

			Cash dividends per share

	First quarter-		Second quarter-	Third quarter-	Fiscal year-end		Annual
	end		end	end


Fiscal year ended	Yen		Yen	Yen	Yen		Yen
March 31, 2022	-	10.00	-	20.00	30.00
Fiscal year ending
March 31, 2023	-	12.00	-

Fiscal year ending				-	16.00	28.00
March 31, 2023 (Forecast)

Note: Revisions to the cash dividend forecasts most recently announced: None

3. Consolidated Earnings Forecasts for the Fiscal Year Ending March 31, 2023 (from April 1, 2022 to March 31, 2023)

(Percentages indicate year-on-year changes.)

	Net sales		Operating profit	Ordinary profit	Profit attributable to	Net income
		owners of parent	per share


	Millions of yen		%	Millions of yen	%	Millions of yen	%	Millions of yen	%	Yen
Fiscal year ending
March 31, 2023	52,000		7.5	5,600	4.9	5,800	2.8	3,950	4.1	79.33

Note: Revisions to the earnings forecasts most recently announced: None

* Notes

Changes in significant subsidiaries during the period (changes in specified subsidiaries resulting in the change in scope of consolidation): None
Application of special accounting for preparing quarterly consolidated financial statements: None
Changes in accounting policies, changes in accounting estimates and restatements of prior period financial statements after error corrections

a. Changes in accounting policies due to revisions to accounting standards and other regulations: Yes

b. Changes in accounting policies due to other reasons:	None
c. Changes in accounting estimates:	None
d. Restatements of prior period financial statements after error corrections:	None

Number of issued shares (common shares)

a. Total number of issued shares at end of period (including treasury shares)

As of December 31, 2022	56,386,718 shares

As of March 31, 2022	56,386,718 shares

b. Number of treasury shares at end of period

As of December 31, 2022	6,587,291 shares

As of March 31, 2022	6,614,632 shares

c. Average number of outstanding shares during period

Nine months ended December 31, 2022	49,786,665 shares

Nine months ended December 31, 2021	51,177,972 shares

Note: The figures stated for the number of treasury shares at end of period include shares of the Company that are held by a trust established to distribute shares to officers (Officers' Share Distribution Trust). The calculation used to calculate the average number of outstanding shares during period excludes treasury shares, which include shares of the Company held by the Officers' Share Distribution Trust.

Meisei Industrial Co., Ltd.

The quarterly financial results are not subject to quarterly review.
Proper use of earnings forecasts and other special notes (Caution regarding forward-looking statements)
The forward-looking statements, including earnings forecasts, contained in these materials are based on information currently available to the Company and on certain assumptions deemed to be reasonable. These statements do not purport to be a promise by the Company to realize such statements. Actual business and other results may differ substantially due to various factors.

Meisei Industrial Co., Ltd.

Quarterly Consolidated Financial Statements

(1) Quarterly consolidated balance sheets

		(Millions of yen)
	As of March 31, 2022	As of December 31, 2022

Assets
Current assets
Cash and deposits	27,192	28,867
Notes receivable, accounts receivable from	21,203	21,162
completed construction contracts and other

Securities	300	300
Costs on construction contracts in progress	554	968
Merchandise and finished goods	278	312
Raw materials and supplies	190	189
Other	143	456
Allowance for doubtful accounts	(16)	(15)
Total current assets	49,847	52,242
Non-current assets
Property, plant and equipment
Buildings and structures	10,040	10,096
Machinery and vehicles	4,798	4,989
Land	11,200	11,433
Other	2,212	2,375
Accumulated depreciation	(13,148)	(13,583)
Total property, plant and equipment	15,102	15,311
Intangible assets	74	67
Investments and other assets
Investment securities	3,731	3,765
Investment property	2,007	1,972
Retirement benefit asset	30	10
Deferred tax assets	15	-
Other	431	633
Allowance for doubtful accounts	(91)	(101)
Total investments and other assets	6,124	6,281
Total non-current assets	21,301	21,659
Total assets	71,149	73,901

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Meisei Industrial Co., Ltd.

		(Millions of yen)
	As of March 31, 2022	As of December 31, 2022

Liabilities
Current liabilities
Notes payable, accounts payable for construction	6,582	7,659
contracts and other

Accounts payable - trade	181	226
Short-term borrowings	960	－
Income taxes payable	847	427
Contract liabilities	1,201	1,359
Provision for bonuses	432	152
Provision for bonuses for directors (and other	85	－
officers)

Provision for warranties for completed construction	94	49
Provision for loss on construction contracts	－	3
Other	1,490	2,187
Total current liabilities	11,876	12,067
Non-current liabilities
Long-term borrowings	－	800
Retirement benefit liability	175	109
Provision for retirement benefits for directors (and	168	138
other officers)

Provision for share awards for directors (and other	112	115
officers)

Deferred tax liabilities	1,948	1,978
Deferred tax liabilities for land revaluation	483	483
Asset retirement obligations	16	16
Other	442	386
Total non-current liabilities	3,348	4,027
Total liabilities	15,224	16,094
Net assets
Shareholders' equity
Share capital	6,889	6,889
Capital surplus	999	1,000
Retained earnings	48,317	49,635
Treasury shares	(3,071)	(3,050)
Total shareholders' equity	53,134	54,473
Accumulated other comprehensive income
Valuation difference on available-for-sale securities	932	1,017
Revaluation reserve for land	958	958
Foreign currency translation adjustment	427	861
Remeasurements of defined benefit plans	108	100
Total accumulated other comprehensive income	2,427	2,937
Non-controlling interests	362	396
Total net assets	55,924	57,807
Total liabilities and net assets	71,149	73,901

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