Translation
Notice: This document is an excerpt translation of the original Japanese document and is only for reference purposes. In the event of any discrepancy between this translated document and the original Japanese document, the latter shall prevail.
Summary of Consolidated Financial Results for the Six Months Ended September 30, 2024 (Based on Japanese GAAP)
November 6, 2024 | ||||
Company name: | SATOSHOJI CORPORATION | |||
Stock exchange listing: | Tokyo | |||
Stock code: | 8065 | URL https://www.satoshoji.co.jp | ||
Representative: | Representative Director, President | Tetsuo Nozawa | ||
Inquiries: | General Manager of Financial Dept. | Akihito Okeda | TEL 03-5218-5312 | |
Scheduled date to file Semi-annual Securities Report: | November 7, 2024 | |||
Scheduled date to commence dividend payments: | November 29, 2024 | |||
Preparation of supplementary material on financial results: | No | |||
Holding of financial results meeting: | No |
(Amounts less than one million yen are rounded down)
1. Consolidated financial results for the six months ended September 30, 2024 (from April 1, 2024 to September 30, 2024)
(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 | % | ||
Six months ended September 30, 2024 | 139,794 | 3.2 | 2,775 | (2.3) | 3,045 | (2.5) | 2,826 | 1.4 | |
Six months ended September 30, 2023 | 135,511 | 0.6 | 2,839 | 2.2 | 3,123 | (3.1) | 2,786 | 30.3 |
Earnings per share | Diluted earnings per share | ||||
Yen | Yen | ||||
Six months ended September 30, 2024 | 134.18 | 131.69 | |||
Six months ended September 30, 2023 | 132.02 | 129.01 | |||
(2) Consolidated financial position | |||||
Total assets | Net assets | Equity ratio | |||
Millions of yen | Millions of yen | % | |||
As of September 30, 2024 | 172,740 | 65,690 | 37.8 | ||
As of March 31, 2024 | 172,870 | 65,202 | 37.5 |
2. Cash dividends | ||||
Annual dividends per share | ||||
1st quarter-end | 2nd quarter-end | 3rd quarter-end | Fiscal year-end | |
Yen | Yen | Yen | Yen | |
Year ended March 31, 2024 | - | 32.00 | - | 41.00 |
Year ending March 31, 2025 | - | 34.00 | ||
Year ending March 31, 2025 (Forecast) | - | 34.00 |
Total
Yen 73.00
68.00
3. Forecast of consolidated financial results for the year ending March 31, 2025 (from April 1, 2024 to March 31, 2025)
Percentages indicate year-on-year changes
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 | 285,000 | 4.0 | 6,550 | 1.1 | 6,850 | (6.1) | 5,350 | (17.4) | 253.94 |
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4. Notes | |
(1) Significant changes in the scope of consolidation during the six months ended September 30, 2024: | No |
- Application of special accounting methods for preparing semi-annual consolidated financial statements: No
- 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 September 30, 2024 | 21,799,050 | shares | As of March 31, 2024 | 21,799,050 | shares | |
Number of treasury shares at the end of the period | ||||||
As of September 30, 2024 | 670,079 | shares | As of March 31, 2024 | 764,743 | shares | |
Average number of shares during the period (cumulative from the beginning of the fiscal year) | ||||||
Six months ended September 30, 2024 | 21,068,046 | shares | Six months ended September 30, 2023 | 21,108,379 | shares |
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Semi-annual consolidated financial statements
Consolidated balance sheets
(Millions of yen) | ||
As of March 31, 2024 | As of September 30, 2024 | |
Assets | ||
Current assets | ||
Cash and deposits | 3,175 | 4,343 |
Notes receivable - trade | 6,298 | 4,629 |
Electronically recorded monetary claims - operating | 31,395 | 28,867 |
Accounts receivable - trade | 53,720 | 55,486 |
Merchandise and finished goods | 28,956 | 30,417 |
Other | 4,933 | 5,216 |
Allowance for doubtful accounts | (212) | (322) |
Total current assets | 128,267 | 128,639 |
Non-current assets | ||
Property, plant and equipment | ||
Buildings and structures, net | 6,115 | 5,818 |
Land | 13,001 | 14,348 |
Other, net | 2,544 | 3,969 |
Total property, plant and equipment | 21,661 | 24,136 |
Intangible assets | 186 | 305 |
Investments and other assets | ||
Investment securities | 20,498 | 17,193 |
Deferred tax assets | 90 | 89 |
Retirement benefit asset | 1,079 | 1,032 |
Other | 1,157 | 1,431 |
Allowance for doubtful accounts | (71) | (87) |
Total investments and other assets | 22,755 | 19,659 |
Total non-current assets | 44,602 | 44,100 |
Total assets | 172,870 | 172,740 |
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(Millions of yen) | ||
As of March 31, 2024 | As of September 30, 2024 | |
Liabilities | ||
Current liabilities | ||
Accounts payable - trade | 55,178 | 51,843 |
Electronically recorded obligations - operating | 13,127 | 10,874 |
Short-term borrowings | 18,165 | 27,087 |
Income taxes payable | 1,147 | 1,134 |
Contract liabilities | 451 | 731 |
Provision for bonuses | 1,489 | 1,509 |
Other | 2,570 | 2,258 |
Total current liabilities | 92,128 | 95,439 |
Non-current liabilities | ||
Long-term borrowings | 10,657 | 7,426 |
Deferred tax liabilities | 4,311 | 3,650 |
Retirement benefit liability | 172 | 207 |
Provision for retirement benefits for directors (and other | 58 | 57 |
officers) | ||
Other | 338 | 268 |
Total non-current liabilities | 15,538 | 11,610 |
Total liabilities | 107,667 | 107,049 |
Net assets | ||
Shareholders' equity | ||
Share capital | 1,321 | 1,321 |
Capital surplus | 818 | 732 |
Retained earnings | 51,919 | 53,904 |
Treasury shares | (872) | (806) |
Total shareholders' equity | 53,186 | 55,151 |
Accumulated other comprehensive income | ||
Valuation difference on available-for-sale securities | 9,920 | 8,229 |
Deferred gains or losses on hedges | 0 | (3) |
Foreign currency translation adjustment | 1,711 | 2,003 |
Total accumulated other comprehensive income | 11,632 | 10,229 |
Share acquisition rights | 369 | 293 |
Non-controlling interests | 14 | 15 |
Total net assets | 65,202 | 65,690 |
Total liabilities and net assets | 172,870 | 172,740 |
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Consolidated statements of income (cumulative) and consolidated statements of comprehensive income (cumulative)
Consolidated statements of income (cumulative)
(Millions of yen) | ||
Six months ended | Six months ended | |
September 30, 2023 | September 30, 2024 | |
Net sales | 135,511 | 139,794 |
Cost of sales | 125,245 | 129,192 |
Gross profit | 10,265 | 10,601 |
Selling, general and administrative expenses | 7,425 | 7,826 |
Operating profit | 2,839 | 2,775 |
Non-operating income | ||
Interest income | 3 | 14 |
Dividend income | 320 | 358 |
Rental income | 63 | 52 |
Purchase discounts | 20 | 20 |
Share of profit of entities accounted for using equity method | 20 | 28 |
Foreign exchange gains | 23 | - |
Other | 30 | 55 |
Total non-operating income | 482 | 529 |
Non-operating expenses | ||
Interest expenses | 132 | 157 |
Loss on sale of trade receivables | 13 | 1 |
Rental expenses | 24 | 34 |
Foreign exchange losses | - | 10 |
Other | 27 | 55 |
Total non-operating expenses | 198 | 259 |
Ordinary profit | 3,123 | 3,045 |
Extraordinary income | ||
Gain on sale of non-current assets | 2 | 477 |
Gain on sale of investment securities | 881 | 525 |
Total extraordinary income | 884 | 1,003 |
Extraordinary losses | ||
Loss on sale and retirement of non-current assets | 0 | 5 |
Loss on valuation of investment securities | - | 3 |
Loss on sale of investment securities | 3 | 6 |
Loss on sale of shares of subsidiaries | - | 68 |
Loss on valuation of shares of subsidiaries and associates | 26 | - |
Total extraordinary losses | 31 | 83 |
Profit before income taxes | 3,977 | 3,965 |
Income taxes - current | 1,121 | 1,069 |
Income taxes - deferred | 67 | 67 |
Total income taxes | 1,189 | 1,137 |
Profit | 2,787 | 2,827 |
Profit attributable to non-controlling interests | 1 | 1 |
Profit attributable to owners of parent | 2,786 | 2,826 |
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Consolidated statements of comprehensive income (cumulative)
(Millions of yen) | ||
Six months ended | Six months ended | |
September 30, 2023 | September 30, 2024 | |
Profit | 2,787 | 2,827 |
Other comprehensive income | ||
Valuation difference on available-for-sale securities | 2,085 | (1,691) |
Deferred gains or losses on hedges | 5 | (3) |
Foreign currency translation adjustment | 509 | 279 |
Share of other comprehensive income of entities accounted | 6 | 12 |
for using equity method | ||
Total other comprehensive income | 2,606 | (1,402) |
Comprehensive income | 5,394 | 1,424 |
Comprehensive income attributable to | ||
Comprehensive income attributable to owners of parent | 5,392 | 1,422 |
Comprehensive income attributable to non-controlling | 1 | 2 |
interests | ||
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Consolidated statements of cash flows
(Millions of yen) | ||
Six months ended | Six months ended | |
September 30, 2023 | September 30, 2024 | |
Cash flows from operating activities | ||
Profit before income taxes | 3,977 | 3,965 |
Depreciation | 506 | 514 |
Increase (decrease) in allowance for doubtful accounts | (16) | 28 |
Increase (decrease) in provision for retirement benefits for | (16) | (0) |
directors (and other officers) | ||
Decrease (increase) in retirement benefit asset | 26 | 47 |
Increase (decrease) in retirement benefit liability | 8 | 5 |
Interest and dividend income | (324) | (373) |
Interest expenses | 132 | 157 |
Share of loss (profit) of entities accounted for using equity | (20) | (28) |
method | ||
Loss (gain) on sale of investment securities | (878) | (518) |
Loss (gain) on sale of shares of subsidiaries and associates | - | 68 |
Loss (gain) on sale and retirement of non-current assets | (1) | (472) |
Decrease (increase) in trade receivables | (3,663) | 3,795 |
Decrease (increase) in inventories | 1,819 | (570) |
Increase (decrease) in trade payables | 4,727 | (6,725) |
Other, net | 587 | (552) |
Subtotal | 6,863 | (659) |
Interest and dividends received | 321 | 372 |
Interest paid | (130) | (160) |
Income taxes paid | (1,427) | (1,055) |
Net cash provided by (used in) operating activities | 5,626 | (1,503) |
Cash flows from investing activities | ||
Purchase of property, plant and equipment | (3,318) | (3,118) |
Proceeds from sale of property, plant and equipment | 2 | 585 |
Purchase of intangible assets | (24) | (7) |
Purchase of investment securities | (13) | (111) |
Proceeds from sale of investment securities | 1,195 | 738 |
Loan advances | (12) | (151) |
Proceeds from collection of loans receivable | 73 | 159 |
Purchase of shares of subsidiaries and associates | - | (444) |
Purchase of shares of subsidiaries | - | (34) |
Proceeds from sale of shares of subsidiaries | - | 42 |
Other, net | 66 | 33 |
Net cash provided by (used in) investing activities | (2,030) | (2,309) |
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(Millions of yen) | ||
Six months ended | Six months ended | |
September 30, 2023 | September 30, 2024 | |
Cash flows from financing activities | ||
Net increase (decrease) in short-term borrowings | (530) | 6,746 |
Proceeds from long-term borrowings | 1,000 | - |
Repayments of long-term borrowings | (2,433) | (1,361) |
Purchase of treasury shares | (0) | (123) |
Dividends paid | (800) | (861) |
Other, net | 0 | 236 |
Net cash provided by (used in) financing activities | (2,764) | 4,636 |
Effect of exchange rate change on cash and cash equivalents | 107 | 28 |
Net increase (decrease) in cash and cash equivalents | 938 | 852 |
Cash and cash equivalents at beginning of period | 3,286 | 3,115 |
Increase in cash and cash equivalents resulting from inclusion of | - | 315 |
subsidiaries in consolidation | ||
Cash and cash equivalents at end of period | 4,224 | 4,283 |
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