Note:This document is a translation of a part of the original Japanese version and provided for reference purposes only. In the event of any discrepancy
between the Japanese original and this English translation, the Japanese original shall prevail.

Consolidated Financial Results
for the Year Ended December 31, 2022
[Japanese GAAP]
February 01, 2023
Company name: SEIKO ELECTRIC CO., LTD.
Stock exchange listing: Tokyo,Fukuoka
Code number: 6653
URL: https://www.seiko-denki.co.jp/
Representative: Hidetoshi Soeda

President and Representative Director
Managing Director, General Manager of Corporate Planning andDevelopment DivisionContact: Tsutomu Tanaka

Phone: 092-473-8831
Scheduled date of Annual General Meeting of Shareholders: March 29, 2023
Scheduled date of commencing dividend payments: March 14, 2023
Scheduled date of filing annual securities report: March 29, 2023
Availability of supplementary briefing material on annual financial results: Yes
Schedule of annual financial results briefing session: Yes(Amounts of less than one million yen are rounded down)
1. Consolidated Financial Results for the Fiscal Year Ended December 31, 2022 (January 01, 2022 to December 31, 2022)(1) Consolidated Operating Results(% indicates changes from the previous corresponding period.)
Profit attributable toNet sales
Operating profit
Ordinary profit
owners of parent
Million yen%
Million yen%
Million yen%
Million yen%
Fiscal year ended
December 31, 2022
25,007
1.7
1,440
2.5
1,612
4.7
1,082
2.5
December 31, 2021
24,596
5.2
1,406
6.1
1,540
14.3
1,056
1.6(Note) Comprehensive income:Fiscal year ended December 31, 2022:¥1,023 million [(4.8) %]Fiscal year ended December 31, 2021:¥1,075 million [(7.5) %]Basic earnings per Diluted earnings per Rate of return on
shareshareequity
Yen
Fiscal year ended
December 31, 2022
89.25
December 31, 2021
87.17
(Reference) Equity in earnings (losses) of affiliated companies:

Yen

Ordinary profit tototal assets ratio

%

9.6
10.0
Fiscal year ended December 31, 2022:
Fiscal year ended December 31, 2021:

Operating profit to
net sales ratio

%%

6.0
6.2
¥
¥

5.8
5.7
- million- million(2) Consolidated Financial Position
Total assets

Net assets

Million yen
As ofDecember 31, 2022
28,055
December 31, 2021
25,793(Reference) Equity: As of December 31, 2022:
As of December 31, 2021:

Capital adequacy ratio

Million yen¥¥

11,565
10,94011,565 million
10,940 million

Net assets per share%

Yen

41.2
42.4

952.59902.69(3) Consolidated Cash Flows
Cash flows fromoperating activities
Fiscal year ended
December 31, 2022
December 31, 2021

Cash flows frominvesting activities

Cash flows fromfinancing activities

Cash and cash
equivalents at the endof period

Million yen

Million yen

Million yen

Million yen(79)1,638(498)(1,785)

1,040
154

2,319
1,845

2. Dividends
Annual dividends
1st2nd3rdquarter-end quarter-end quarter-end

Year-end

Total

Payoutratio

Total
dividends(consolidated)

Dividends
to netassets(consolidated)

Fiscal year ended

Yen

Yen

Yen

Yen

Yen

Million yen%%

December 31, 2021

-

10.00

-

20.00

30.00

363

34.4

3.4

December 31, 2022

-

15.00

-

15.00

30.00

364

33.6

3.2

-

17.50

-

17.50

35.00

Fiscal year ending
December 31, 2023

31.0

(Forecast)(Note) Breakdown of the year-end dividend for the fiscal year ended December 31, 2022 :Commemorative dividend
5.00 yen
Special dividend- yen
3. Consolidated Financial Results Forecast for the Fiscal Year Ending December 31, 2023 (January 01, 2023 to December 31, 2023)(% indicates changes from the previous corresponding period.)
Profit attributable Basic earnings perNet sales
Operating profit
Ordinary profit
to owners of parent
share
Six months ended June 30,2023
Full year

Million yen%

Million yen%

Million yen%

Million yen%

Yen

13,300

3.7

800

14.1

820

0.25250.0

43.24

30,000

20.0

2,000

38.8

2,050

27.2

1,370

26.5

112.84* Notes:(1) Changes in significant subsidiaries during the period under review (changes in specified subsidiaries resulting in changes inscope of consolidation): NoNew(Company name:)
Exclusion:(Company name:)(2) Changes in accounting policies, changes in accounting estimates and retrospective restatement
1) Changes in accounting policies due to the revision of accounting standards: Yes
2) Changes in accounting policies other than 1) above: No
3) Changes in accounting estimates: No4) Retrospective restatement: No(3) Total number of issued shares (common shares)
1) Total number of issued shares at the end of the period (including treasury shares):December 31, 2022:
12,603,595 shares
December 31, 2021:
12,603,595 shares2) Total number of treasury shares at the end of the period:
December 31, 2022:
462,384 shares
December 31, 2021:
483,903 shares
3) Average number of shares during the period:
Fiscal Year ended December 31, 2022:
Fiscal Year ended December 31, 2021:

12,132,934 shares
12,115,451 shares

(Reference) Summary of Non-consolidated Financial Results
1. Non-consolidated Financial Results for the Fiscal Year Ended December 31, 2022 (January 01, 2022 to December 31, 2022)(1) Non-consolidated Operating Results(% indicates changes from the previous corresponding period.)
Net sales
Fiscal year ended
December 31, 2022
December 31, 2021

Operating profit

Ordinary profit

Net income

Million yen%

Million yen%

Million yen%

Million yen%

18,141
19,189

(5.5)
6.7

1,174
1,149

2.2
19.3

1,415
1,412

0.2
21.3

990
1,032

(4.1)
9.6Basic earnings per share Diluted earnings per share
Fiscal year ended
December 31, 2022
December 31, 2021

Yen

Yen

81.66
85.23

-(2) Non-consolidated Financial Position
Total assets
Million yen
As ofDecember 31, 2022
25,325
December 31, 2021
23,691(Reference) Equity: As of December 31, 2022:
As of December 31, 2021:

Net assets

Capital adequacy ratio

Million yen¥¥

10,828
10,283
10,828 million
10,283 million

Net assets per share%Yen

42.8
43.4

891.88848.53

Consolidated Financial Statements
Consolidated Balance Sheets(Million yen)
As of December 31,2021
AssetsCurrent assets
Cash and deposits
Notes and accounts receivable - trade
Notes and accounts receivable - trade, and contract
assetsMerchandise and finished goods
Work in process
Raw materials
Other
Allowance for doubtful accounts
Total current assets
Non-current assets
Property, plant and equipment
Buildings and structures
Accumulated depreciation
Buildings and structures, net
Machinery, equipment and vehicles
Accumulated depreciation
Machinery, equipment and vehicles, net
Tools, furniture and fixtures
Accumulated depreciation
Tools, furniture and fixtures, net
Land
Leased assets
Accumulated depreciation
Leased assets, net
Construction in progress
Total property, plant and equipment
Intangible assets
Investments and other assets
Investment securities
OtherAllowance for doubtful accounts
Total investments and other assets
Total non-current assets
Total assets

As of December 31,2022

1,853
12,1552,327--

13,965

753
1,621
320
252
(13)
16,945

535
1,727
403
423
(16)
19,365

8,669(4,630)4,038
1,552(1,422)
130
1,394
(1,258)
135
827
476
(227)
249
18
5,399174

8,772(4,843)
3,928
1,585(1,452)132
1,415(1,318)
96
827
516
(275)
241
48
5,276
232

3,142
140(8)
3,274
8,848
25,793

3,047
142
(8)
3,181
8,689
28,055

(Million yen)
As of December 31,2021
Liabilities
Current liabilities
Notes and accounts payable - trade
Electronically recorded obligations - operating
Short-term borrowings
Income taxes payable
Contract liabilities
Advances received
Provision for loss on construction contracts
Other
Total current liabilities
Non-current liabilities
Long-term borrowings
Deferred tax liabilities
Retirement benefit liability
Other
Total non-current liabilities
Total liabilities
Net assets
Shareholders' equity
Share capital
Capital surplus
Retained earnings
Treasury shares
Total shareholders' equity
Accumulated other comprehensive income
Valuation difference on available-for-salesecurities
Foreign currency translation adjustment
Remeasurements of defined benefit plans
Total accumulated other comprehensive income
Total net assets
Total liabilities and net assets

As of December 31,2022

4,459
1,243
2,475
321
431
34
2,286
11,252

4,484
1,322
4,253404
683
1
2,016
13,167

1,237
119
1,961
281
3,600
14,853

1,009
118
1,935
259
3,322
16,490

2,607
1,958
5,570
(225)
9,910

2,607
1,974
6,229
(215)
10,594

1,204

1,107(87)
(86)
1,029
10,94025,793

(78)
(58)
970
11,56528,055

Consolidated Statements of Income and Comprehensive Income
Consolidated Statements of Income(Million yen)
For the fiscal year
ended December 31,2021
Net sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Remuneration for directors (and other officers)
Salaries and allowances
Bonuses
Retirement benefit expenses
Other
Total selling, general and administrative expenses
Operating profit
Non-operating income
Interest income
Dividend income
Foreign exchange gains
Rental income
Subsidy income
Gain on sale of investment securities
Other
Total non-operating income
Non-operating expenses
Interest expenses
Loss on abandonment of non-current assets
Guarantee commission
Other
Total non-operating expenses
Ordinary profit
Profit before income taxes
Income taxes - current
Income taxes - deferred
Total income taxes
ProfitProfit attributable to owners of parent

For the fiscal year
ended December 31,2022

24,59620,181
4,415

25,007
20,536
4,470

253
1,026
356
66
1,306
3,008
1,406

262
1,045
361
72
1,287
3,030
1,440

0
82
15
45
39
183

0
84
10
14
44
64
15
234

26
6
9
7
49
1,540
1,540
521
(37)
484
1,056
1,056

33
0
10
17
63
1,612
1,612
524
4
529
1,082
1,082

Consolidated Statements of Comprehensive Income(Million yen)
For the fiscal year
ended December 31,2021
ProfitOther comprehensive income
Valuation difference on available-for-sale securities
Foreign currency translation adjustment
Remeasurements of defined benefit plans, net of tax
Total other comprehensive income
Comprehensive income
Comprehensive income attributable toComprehensive income attributable to owners ofparent

For the fiscal year
ended December 31,2022

1,056

1,082(7)151219
1,075(96)927(59)
1,023

1,075

1,023

Consolidated Statements of Changes in Net Assets
For the fiscal year ended December 31,2021(Million yen)
Shareholders' equity
Share capital
Balance at beginningof period
Changes during
periodDividends ofsurplus
Profit attributable toowners of parent
Purchase of treasury
shares
Disposal of treasury
sharesNet changes in
items other thanshareholders' equity
Total changes
during period
Balance at end ofperiod

Balance at beginningof period
Changes during
periodDividends ofsurplusProfit attributable toowners of parent
Purchase of treasury
shares
Disposal of treasury
sharesNet changes in
items other thanshareholders' equity
Total changes
during period
Balance at end ofperiod

Capital surplus

2,607

1,942

Retained earnings
4,817

Total shareholders'equityTreasury shares
(229)

9,136

(302)

(302)

1,056

1,056

15(0)

(0)

521-

15753

4773

2,607

1,958

5,570

(225)

9,910

Accumulated other comprehensive income
Valuation difference Foreign currency
Total accumulated
Remeasurements ofon available-for-saletranslation
other comprehensive
defined benefit planssecurities
adjustment
incomeTotal net assets

1,211(103)

(98)

1,010

10,147(302)
1,056
(0)
21(7)

15

12

19

19(7)

15

12

19

793

1,204(87)

(86)

1,029

10,940For the fiscal year ended December 31,2022(Million yen)
Shareholders' equity
Share capital
Balance at beginningof period
Changes during
periodDividends ofsurplus
Profit attributable toowners of parent
Purchase of treasury
shares
Disposal of treasury
sharesNet changes in
items other thanshareholders' equity
Total changes
during period
Balance at end ofperiod

Balance at beginningof period
Changes during
periodDividends ofsurplus
Profit attributable toowners of parent
Purchase of treasury
shares
Disposal of treasury
sharesNet changes in
items other thanshareholders' equity
Total changes
during period
Balance at end ofperiod

Capital surplus

2,607Retained earnings

1,958

5,570

Treasury shares(225)

Total shareholders'equity
9,910

(424)

(424)

1,082

1,082
-

15

1025-

15

658

10

684

2,607

1,974

6,229

(215)

10,594

Accumulated other comprehensive income
Valuation difference Foreign currency
Total accumulated
Remeasurements ofon available-for-saletranslation
other comprehensive
defined benefit planssecurities
adjustment
incomeTotal net assets

1,204

(87)

(86)

1,029

10,940(424)
1,082
25(96)

927(59)

(59)

(96)

927(59)625

1,107(78)(58)

97011,565

Consolidated Statements of Cash Flows(Million yen)
For the fiscal year
ended December 31,2021
Cash flows from operating activities
Profit before income taxes
Depreciation
Amortization of goodwill
Increase (decrease) in retirement benefit liability
Increase (decrease) in allowance for doubtful accounts
Interest and dividend income
Interest expenses
Decrease (increase) in trade receivables
Decrease (increase) in inventories
Increase (decrease) in trade payables
Loss (gain) on sale of investment securities
Loss (gain) on valuation of investment securities
Increase (decrease) in advances received
Increase (decrease) in contract liabilities
Other, net
SubtotalInterest and dividends received
Interest paid
Income taxes paid
Net cash provided by (used in) operating activities
Cash flows from investing activities
Payments into time deposits
Proceeds from withdrawal of time deposits
Purchase of property, plant and equipment
Purchase of intangible assets
Purchase of investment securities
Proceeds from sale of investment securities
Other, net
Net cash provided by (used in) investing activities
Cash flows from financing activities
Net increase (decrease) in short-term borrowings
Proceeds from long-term borrowings
Repayments of long-term borrowings
Purchase of treasury shares
Dividends paid
Repayments of lease liabilities
Net cash provided by (used in) financing activities
Effect of exchange rate change on cash and cash
equivalents
Net increase (decrease) in cash and cash equivalents
Cash and cash equivalents at beginning of period
Cash and cash equivalents at end of period

For the fiscal year
ended December 31,2022

1,540
319
23
69(1)
(82)
26(1,219)
650
652
0(20)
234
2,191
82(23)
(612)
1,638

1,612
387
5(6)
2(84)
33(1,788)45
93(64)
252
(179)
310
84(32)
(441)
(79)

(65)
131
(1,672)(78)(113)
14(1,785)(3)3(476)(71)(34)
70
12(498)

(974)
1,600
(133)
(0)
(302)
(33)
154

1,754
(228)
(424)
(60)
1,040

17

10

25
1,820
1,845

473
1,845
2,319