Note: This document has been translated from the Japanese original for reference purposes only. In the event of any discrepancy
between this translated document and the Japanese original, the original shall prevail.

January 31, 2023

Consolidated Financial Results for
the First Nine Months of the Fiscal Year Ending March 31, 2023
(Under Japanese GAAP)
Company name:
Konishi Co., Ltd.
Listing:
Tokyo Stock Exchange
Securities code:
4956
URL:
http://www.bond.co.jp/
Representative:
Keiichi Oyama, Representative Director and President
Inquiries:
Shozo Arisawa, Director and Senior Managing Executive Officer
Telephone:+81-6-6228-2877
Scheduled date to file quarterly securities report:
February 8, 2023
Scheduled date to commence dividend payments:
Preparation of supplementary material on quarterly financial results: None
Holding of quarterly financial results briefing:
None(Yen amounts are rounded down to millions, 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 (cumulative)
Net sales(Percentages indicate year-on-year changes.)

Operating profit

Millions of yen%

Millions of yen%

Millions of yen%

Millions of yen%

91,220

8.9

5,178

(5.7)

5,602

(4.6)

8,489

121.2

83,765

6.0

5,493

10.8

5,875

12.4

3,838

6.6

First nine months
ended December 31,
2022
First nine months
ended December 31,
2021
Note: Comprehensive income

First nine months ended December 31, 2022
First nine months ended December 31, 2021

Basic earnings
per share¥9,038 million¥4,273 million(111.5%)((14.1%))

Diluted earnings
per share

YenFirst nine months
ended December 31,
2022
First nine months
ended December 31,
2021

Profit attributable toowners of parent

Ordinary profit

Yen

238.23-107.73-(2) Consolidated financial position
Total assets

Net assets

Equity-to-asset ratio

Millions of yen

Millions of yen

First nine months
ended December 31,
2022

133,700

79,72956.3

As of March 31, 2022

119,148

72,897

57.6

Reference:

EquityFirst nine months ended December 31, 2022
Fiscal year ended March 31, 2022

¥75,305 million¥68,664 million%

2. Cash dividends
Annual dividends per shareFirst quarter-end

Second quarter-end

Third quarter-end

Yen

Yen

Yen
As of March 31, 2022

-

22.00

-

Fiscal year ending
March 31, 2023

-

27.00

-

Fiscal year-end

Total

Yen

Fiscal year ending
March 31, 2023
(forecast)

Yen

22.00

44.00

22.00

49.00

Note: Revisions to the forecasts of cash dividends most recently announced: None
Breakdown of dividends at the end of the second quarter for the fiscal year ending March 31, 2023: Ordinary dividend¥22.00;70th anniversary of the launch of bond (synthetic adhesive) commemorative dividend ¥5.00

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

Fiscal year ending March
31, 2023

Operating profit

Profit attributable toowners of parent

Ordinary profit

Basic earnings
per share

Millions ofyen%Millions ofyen%Millions ofyen%Millions of
yen

%

Yen

122,000

7.3

6,950

(4.8)

7,250

(7.3)

9,600

86.9

269.44

Note: Revisions to the consolidated earnings forecasts most recently announced: None
The main reason for the large fluctuation in profit attributable to owners of parent is that extraordinary income of 7,184
million yen was generated during the second quarter of the fiscal year as a gain on sale of non-current assets due to thetransfer of non-current assets.

* Notes(1) Changes in significant subsidiaries during the first nine months ended December 31, 2022 (changes in
specified subsidiaries resulting in the change in scope of consolidation): None
Included: 0 companies, excluded 0 companies(2) Application of special accounting for preparing quarterly consolidated financial statements: None
(3) Changes in accounting policies, changes in accounting estimates, and restatement(i) Changes in accounting policies due to revisions to accounting standards and other regulations: None(ii) Changes in accounting policies other than (i): None(iii) Changes in accounting estimates: None(iv) Restatement: None
(4) Number of issued shares (common shares)(i)

Total number of issued shares at the end of the period (including treasury shares)
As of December 31, 2022

40,707,440 sharesFiscal year ended March 31, 2022

40,707,440 shares(ii) Number of treasury shares at the end of the period
As of December 31, 2022

5,298,753 sharesFiscal year ended March 31, 2022

5,067,401 shares(iii) Average number of shares outstanding during the period
As of December 31, 2022

35,636,249 shares

As of December 31, 2021

35,626,182 shares* Quarterly financial results reports are exempt from quarterly review conducted by certified public accountants
or an audit corporation.
* Proper use of earnings forecasts, and other special matters
Forward-looking statements, including the earnings forecasts stated in these materials, are based on information
currently available to the Company and certain assumptions deemed reasonable. Results may differ materiallyfrom the earnings forecasts due to various factors. For the assumptions used as the basis for the earnings forecasts
and special remarks regarding the use of the earnings forecasts, please refer to “1. Qualitative information
regarding financial results for the first nine months (3) Explanation of consolidated earnings forecasts and otherforward-looking statements” on page 3 (Attached Material).

Konishi Co., Ltd. (4956)

Index
1.

Qualitative information regarding financial results for the first nine months.................................................... 2(1) Explanation of operating results ................................................................................................................... 2(2) Explanation of financial position ................................................................................................................. 3(3) Explanation of consolidated earnings forecasts and other forward-looking statements ............................... 3
2. Quarterly consolidated financial statements and significant notes thereto ........................................................ 4(1) Consolidated balance sheet .......................................................................................................................... 4(2) Consolidated statement of income (cumulative) and consolidated statement of comprehensive income(cumulative) ................................................................................................................................................. 6(3) Notes to quarterly consolidated financial statements ................................................................................... 8
Notes on premise of going concern ................................................................................................................... 8
Notes on significant changes in the amount of shareholders’ equity ................................................................. 8
Segment information ......................................................................................................................................... 8-1-

Konishi Co., Ltd. (4956)
1.

Qualitative information regarding financial results for the first nine months(1) Explanation of operating results
During the quarter under review, the Japanese economy showed signs of a gradual recovery amid the ongoingnormalization of life in order to achieve a balance between measures against COVID-19 and socioeconomic
activities. However, the Japanese economy still faced an uncertain outlook due to such factors as the global
surge in raw material and energy prices, concerns about the yen’s depreciation and other exchange rate trends,
and rising prices.
In this business environment, the Group saw a recovery in demand in the construction and civil engineering
fields, and sales for repair, improvement, and reinforcement in both bond and construction segments performed
well. In the Chemicals segment, sales of automotive products continued to be strong. On the other hand, thecost of raw materials continued to rise due to the impact of foreign exchange rates and the situation in Ukraine,
putting pressure on overall earnings.
As a result, the Group’s operating results for the first nine months under review were as follows. Net sales
increased 8.9% year on year to 91,220 million yen, operating profit fell 5.7% year on year to 5,178 million
yen, ordinary profit was down 4.6% year on year to 5,602 million yen, and profit attributable to owners ofparent increased 121.2% year on year to 8,489 million yen due to the recording of gain on sale of non-current
assets as described in the “Notice Concerning Transfer of Non-current Assets and Recording of Extraordinary
Income” announced on August 24, 2021.
Results by segment are as follows.
(i) Bond
In the general household field, sales through home improvement stores and convenience stores were steadyand on a par with those in the same period of the previous fiscal year. In the housing-related field,
construction costs were on an upward trend. The sales volumes of adhesives for interior work decreased as
the recovery of new housing starts was slow. In the industrial material field, the sales volumes of waterbased adhesives used in paper-related applications and elastic adhesives for use in such applications as
automotive and electrical components increased. In the construction field, the sales volumes of sealingmaterials for construction repair and construction increased. Additionally, in the civil engineering field,
construction methods for surface protection and preventing peeling performed well.
Net sales increased partly due to the correction of product selling prices. However, the prices of raw
materials used in adhesives and sealants rose and remain at unprecedented levels. Despite progress in costsaving and cost improvement, and reflecting these in selling prices, operating profits declined.
As a result of the above, net sales increased 8.3% year on year to 51,942 million yen, and operating profit
fell 12.1% year on year to 3,278 million yen.
(ii) Chemicals
Both net sales and profits were favorable overall, partly due to the effect of price revisions for purchased
products. In the chemical engineering field, sales of resin raw materials and heat-releasing materials werestrong. Automobile products performed well due to easing supply constraints and the new adoption of
products, although their demand was affected by the shortage of semiconductors and other factors. Products
for electrical machinery remained weak due to production adjustments at customers. Sales at Maruyasu &Co., Ltd. continued to show the strong performance of products for use in semiconductor manufacturing
and products for use in capacitors.
As a result of the above, net sales grew 10.7% year on year to 26,126 million yen, and operating profit
increased 36.6% year on year to 1,001 million yen.

-2-

Konishi Co., Ltd. (4956)(iii) Construction
In the Construction Business, repair, improvement, and reinforcement works in the infrastructure and(housing) stock markets, particularly for public works, were continuously steady. As a result, both sales andprofits increased at BOND ENGINEERING. Although orders for construction work are firm, other related
construction companies remained weak due to soaring material prices and the absence of large-scaleconstruction projects, etc.
As a result of the above, net sales increased 8.2% year on year to 13,014 million yen, and operating profit
fell 6.1% year on year to 928 million yen.
(iv) OtherThe Other segment represents the Real Estate Rental Business, etc. Net sales decreased 7.4% year on year
to 137 million yen and operating loss was 37 million yen (operating profit of 32 million yen in the same
period of the previous year).
(2) Explanation of financial position
Assets, liabilities and net assets
Total assets as of December 31, 2022 increased by 14,551 million yen from the previous fiscal year-end to
133,700 million yen.
(i) Assets
Current assets increased by 15,223 million yen from the previous fiscal year-end to 97,489 million yen.
This was mainly due to an increase of 9,251 million yen in cash and deposits, and an increase of 4,790
million yen in electronically recorded monetary claims - operating. Non-current assets fell 671 million yen
from the previous fiscal year-end to 36,210 million yen mainly due to a decrease of 320 million yen inproperty, plant and equipment and a drop of 160 million yen in investment securities.
(ii) Liabilities
Current liabilities increased by 7,520 million yen from the previous fiscal year-end to 48,715 million yen
mainly due to an increase of 6,409 million yen in notes and accounts payable - trade, and an increase of
1,235 million yen in income taxes payable. Non-current liabilities increased by 200 million yen from theprevious fiscal year-end to 5,255 million yen.
(iii) Net assets
Net assets grew 6,831 million yen from the previous fiscal year-end to 79,729 million yen mainly due to anincrease of 6,742 million yen in retained earnings.
(3) Explanation of consolidated earnings forecasts and other forward-looking statements
There are currently no changes to the earnings forecast announced on April 28, 2022.

-3-

Konishi Co., Ltd. (4956)
2.

Quarterly consolidated financial statements and significant notes thereto(1) Consolidated balance sheet(Millions of yen)
As of March 31, 2022

As of December 31, 2022

AssetsCurrent assets
Cash and deposits

26,16935,421

Notes and accounts receivable - trade, and contract
assets35,08734,649

Electronically recorded monetary claims-operating

10,637

15,427

Merchandise and finished goods

7,280

8,509

Work in process

253

307

Raw materials and supplies

1,305

1,836

Other

1,579

1,395

Allowance for doubtful accounts

(47)

(57)

82,266

97,48925,61825,297811

734

Investment securities

7,628

7,468

Other

2,842

2,728

Total current assets
Non-current assets
Property, plant and equipment
Intangible assets
Investments and other assets

Allowance for doubtful accounts

(17)

(18)

Total investments and other assets

10,453

10,17836,882

36,210119,148

133,700

Total non-current assets
Total assets-4-

Konishi Co., Ltd. (4956)(Millions of yen)
As of March 31, 2022

As of December 31, 2022

Liabilities
Current liabilities
Notes and accounts payable - trade

31,737

38,146

Electronically recorded obligations - operating

3,413

4,046

Short-term borrowings

46

62

Current portion of long-term borrowings

104

71

Income taxes payable

1,238

2,473

Provision for bonuses

1,125

615

116

79

Other

3,413

3,220

Total current liabilities

41,19548,715Long-term borrowings

256

128

Retirement benefit liability

612

691

Other

4,186

4,436

Total non-current liabilities

5,055

5,255

46,251

53,971

Share capital

4,603

4,603

Capital surplus

4,544

4,557

Retained earnings

61,164

67,907

Treasury shares(5,504)(5,904)

Total shareholders’ equity

64,80871,164

2,383

2,269

0

0

Provision for bonuses for directors (and otherofficers)

Non-current liabilities

Total liabilities
Net assets
Shareholders’ equity

Accumulated other comprehensive income
Valuation difference on available-for-sale securities
Deferred gains or losses on hedges
Foreign currency translation adjustment

270

726

Remeasurements of defined benefit plans

1,201

1,145

Total accumulated other comprehensive income

3,856

4,141

Non-controlling interests

4,232

4,423

Total net assets

72,89779,729119,148

133,700

Total liabilities and net assets-5-

Konishi Co., Ltd. (4956)(2) Consolidated statement of income (cumulative) and consolidated statement of comprehensive income(cumulative)
Consolidated statement of income (cumulative)(Millions of yen)
Nine months ended December 31, Nine months ended December 31,
2021
Net sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Operating profit
Non-operating income
Interest income
Dividend income
Share of profit of entities accounted for using equity
methodOther
Total non-operating income
Non-operating expenses
Interest expenses
Depreciation
Compensation expenses
Other
Total non-operating expenses
Ordinary profit
Extraordinary income
Gain on sale of non-current assets
Other
Total extraordinary income
Extraordinary losses
Loss on disposal of non-current assets
Other
Total extraordinary losses
Profit before income taxes
Income taxes-current
Income taxes-deferred
Total income taxes
ProfitProfit attributable to non-controlling interests
Profit attributable to owners of parent

-6-

2022
83,76566,52817,236
11,743
5,493

91,22073,80917,411
12,232
5,178

5
203

11
240

12

19

200
421

208
479

8
18
3
9
40
5,875

7
23
10
14
55
5,602

42
17
60

7,185
0
7,185

10
0
11
5,924
1,619
251
1,871
4,053
214
3,838

40
0
40
12,747
3,634
376
4,010
8,736
246
8,489

Konishi Co., Ltd. (4956)
Consolidated statement of comprehensive income (cumulative)(Millions of yen)
Nine months ended December 31, Nine months ended December 31,
2021
Profit

2022
4,053

8,736

(25)

(168)

0

(0)

Other comprehensive income
Valuation difference on available-for-sale securities
Deferred gains or losses on hedges
Foreign currency translation adjustment

253

531

Remeasurements of defined benefit plans, net of tax

(13)

(56)

5

(5)

220

301

4,273

9,038

Comprehensive income attributable to owners of parent

4,022

8,774

Comprehensive income attributable to non-controllinginterests

250

263

Share of other comprehensive income of entities
accounted for using equity method
Total other comprehensive income
Comprehensive income
Comprehensive income attributable to-7-

Konishi Co., Ltd. (4956)(3) Notes to quarterly consolidated financial statements
Notes on premise of going concern
Not applicable.
Notes on significant changes in the amount of shareholders’ equity
Not applicable.
Segment information
1.

Disclosure of net sales and profit or loss by reportable segment
Nine months ended December 31, 2021
(Millions of yen)
Reportable segments
Bond

Net sales(1) Revenues fromexternal customers(2) Intersegment sales andtransfers
Total
Segment profit

Total

Amount inconsolidated
Adjustments
statement of(Note) 2
income(Note) 3

148

83,765-83,765

348

62

411

(411)

-

12,032 83,965

211

84,176(411)

83,765

32

5,486

7

5,493

Total

Other
(Note) 1

12,027 83,617

Chemicals Construction

47,982

23,607219

123

48,201

23,731

3,731

733

5

988

5,453

Notes: 1. The “Other” category is a business segment not included in reportable segments, and includes the realestate rental business.
2. Adjustments of segment profit represent eliminations for intersegment transactions.
3. Segment profit is adjusted with operating profit in the consolidated statement of income.
Nine months ended December 31, 2022
(Millions of yen)
Reportable segments
Bond
Net sales(1) Revenues from externalcustomers(2) Intersegment sales andtransfers
Total
Segment profit or loss

Chemicals Construction

Total

Other
(Note) 1

Total

Adjustments(Note) 2

Amount inconsolidated
statement ofincome(Note) 3

51,942

26,126

13,01491,083

137

91,220-91,220

251

289

14

555

58

613

(613)

-

52,194

26,41513,02891,638

195

91,834(613)

91,220

3,278

1,001

928

5,207

(37)

5,170

8

5,178

Notes: 1. The “Other” category is a business segment not included in reportable segments, and includes the realestate rental business.
2. Adjustments of segment profit or loss represent eliminations for intersegment transactions.
3. Segment profit or loss is adjusted with operating profit in the consolidated statement of income.
2.

Disclosure of impairment loss on non-current assets or goodwill, etc. by reportable segment
Not applicable.

-8-