Hitachi Integrated Report 202210-year Financial Data

Whatʼs Hitachi

Introduction

5-year Non-financial Data

Segment Highlights

Value Creation

Business Strategies

Adjusted EBITA
EBIT103

Millions of yen
FY2013

FY2014

U.S. GAAP (through FY2013)

Adjusted operating income

Data

https://www.hitachi.com/IR-e/library/stock/hit_sr_fy2021_4_en.pdf

Annual Securities Report
FY2012

Revenues

Corporate GovernanceCorporate Data and Stock Information

10-year Financial Data
For the year:

Sustainability

FY2015FY2016FY2017FY2018FY2019FY2020

FY2021IFRS (from FY2014)

9,041,071

9,563,791

9,774,930

10,034,305

9,162,264

9,368,614

9,480,619

8,767,263

8,729,196

10,264,602

422,028

538,288641,325

634,869

587,309714,630

754,976

661,883

495,180738,236

ーーーーーーーー

609,107855,380

358,015585,662534,059

531,003475,182644,257

513,906

183,614850,287

850,951

ーーーーーー

885,318

619,001

1,343,067

1,392,840

175,326

264,975

217,482

172,155

231,261

362,988

222,546

87,596501,613583,470

Earnings per share attributable to Hitachi, Ltd.
stockholders, basic (yen)

37.28

54.86

45.04

35.65

47.90

375.93230.4790.71

519.29603.75

Earnings per share attributable to Hitachi, Ltd.
stockholders, diluted (yen)

36.29

54.85

45.00

35.62

47.88

375.60230.2590.60

518.51602.96

EBITDANet income attributable to Hitachi, Ltd. stockholders

Net cash provided by operating activities

583,508

439,406

451,825

812,226

629,582

727,168

610,025

560,920

793,128

729,943

Net cash used in investing activities(553,457)(491,363)(612,545)(730,799)(337,955)(474,328)(162,872)(525,826)(458,840)(1,048,866)(318,923)

Free cash flows

30,051(51,957)(160,720)

81,427

291,627

252,840

447,153

35,094334,288

Core free cash flows

45,702(186,042)(176,448)

113,371

100,215

283,593

136,079

135,441

419,848

290,082(180,445)

32,968233,206(26,467)(209,536)(321,454)(320,426)

2,837(184,838)

202,739

Net cash provided by (used in) financing activities
Capital expenditures (Property, plant and equipment)

742,537

849,877

431,201

528,551

377,545374,901

414,798

399,643

359,897388,747

Depreciation (Property, plant and equipment)

300,664

329,833

350,783

366,547

302,757

265,413271,682

342,450

345,201

382,922

341,310351,426

334,814

333,730

323,963

332,920

323,145

293,799

293,571

317,383

Total assets

9,809,230

11,016,899

12,433,727

12,551,005

9,663,917

10,106,603

9,626,592

9,930,081

11,852,853

13,887,502

Property, plant and equipment

2,279,964

2,342,091

2,472,497

2,500,226

1,998,411

2,124,827

1,956,685

2,165,3112,408,887

2,478,901

Total Hitachi, Ltd. stockholders’ equity

2,082,560

2,651,241

2,942,281

2,735,078

2,967,085

3,278,024

3,262,603

3,159,986

3,525,502

4,341,836

Interest-bearing debt

2,370,079

2,823,049

3,557,356

3,604,455

1,176,603

1,050,294

1,004,771

1,485,042

2,397,356

3,126,712

4.7

5.6

6.6

6.3

6.4

7.6

8.0

7.5

5.7

7.2

R&D expenditures%
Adjusted operating income ratio
ROICーーーーー

―

8.5

9.4

6.4

7.7

Return on equity (ROE)

9.1

11.2

7.8

6.1

8.1

11.6

6.8

2.7

15.0

14.8

Return on assets (ROA)

2.5

3.5

2.9

2.4

3.0

5.0

3.3

1.3

4.8

5.2

D/E ratio (Including non-controlling interests) (times)

0.75

0.73

0.83

0.87

0.29

0.23

0.23

0.35

0.54

0.58

Total Hitachi, Ltd. stockholders’ equity ratio

21.2

24.1

23.7

21.8

30.7

32.4

33.9

31.8

29.7

31.3

10.0

10.5

12.0

12.0

13.0

15.0
75.0

90.0

95.0

105.0

125.0

26.8

19.1

26.6

33.7

27.1

20.0

39.1

104.8

20.2

20.7Dividend per share (yen)Dividend payout ratio

Before share consolidation
After share consolidation

Note 1: Terminology differs under U.S. GAAP and IFRS for the following line items (U.S. GAAP/IFRS)• Sales/Revenues• Operating income/Adjusted operating income• Net income attributable to shareholders/Net income attributable to Hitachi, Ltd. stockholders• Net income per share attributable to Hitachi, Ltd. stockholders, basic/Earnings per share attributable toHitachi, Ltd. stockholders, basic• Net income per share attributable to Hitachi, Ltd. stockholders, diluted/Earnings per share attributable toHitachi, Ltd. stockholders, diluted• Stockholdersʼ equity/ Total Hitachi, Ltd. stockholdersʼ equity

Note 2: To represent actual management conditions more appropriately, adjusted operating income is presented as revenues less selling, general and administrativeexpenses, as well as cost of sales.
3: Adjusted EBITA = Adjusted operating income + Acquisition–related amortization + Share of profits (losses) of investments accounted for using the equity method.
4: “Core free cash flows” are cash flows presented as free cash flows excluding cash flows from M&A and asset sales, etc.
5: On October 1, 2018, the company completed the share consolidation of every five shares into one share for its common stock. The figures for basic anddiluted earnings per share attributable to Hitachi, Ltd. stockholders are calculated on the assumption that the company conducted this consolidation at thebeginning of the previous fiscal year.
6: ROA (Return on assets) = Net income / Total Assets (Average between the end of current fiscal year and the end of previous fiscal year) × 100

Hitachi Integrated Report 202210-year Financial Data

Whatʼs Hitachi

Introduction

Segment Highlights

5-year Non-financial Data

Value Creation

Number of employees

Sustainability

Corporate Governance

104DataCorporate Data and Stock Information

5-year Non-financial Data
Human CapitalBusiness Strategies

Hitachi Sustainability Reporthttps://www.hitachi.com/sustainability/download/pdf/en_sustainability2022.pdf

Safety Figures (Occurrence rate)*7*8 (Hitachi Group)

FY2017FY2018FY2019FY2020

FY2021

Hitachi Group

307,275

295,941

301,056

350,864

368,247

North America

2017

2018

2019

2020

2021

24.33

27.96

20.76

18.98

18.46

Hitachi, Ltd.

34,92533,49031,442

29,85029,485Latin America

1.62

0.44

0.57

2.12

1.69

Average service (years)*1

Hitachi Group

14.9

15.1

15.0

13.6

13.5

Europe

10.82

6.08

4.78

3.09

3.71

Turnover ratio (%)*1*2*3

Hitachi Group

5.5

6.3

5.2

4.3

7.5

India

1.44

1.44

1.63

1.07

0.53

China

1.53

1.46

1.17

1.12

1.06

Asia (excluding India, China and Japan)

4.41

3.34

2.63

1.55

1.30

29.07

12.95

5.32

Percentage of Positive Responses toEmployee Engagement Questions*4 (Hitachi Group)
Global average (%)
By region (%)

Japan
Overseas

58

60

60

62

65

Oceania

24.41

21.94

̶

̶̶

̶

56

Africa

9.93

11.76

9.72

25.37

1.43

80

Outside Japan total

7.42

7.43

5.78

4.90

3.80

Japan

1.85

1.64

1.53

1.34

1.20

Global total

4.22

4.20

3.45

2.89

2.69

40

532

̶

̶

̶

̶

Digital Talent*5 (Hitachi Group)̶approx.
30,000approx.
19,000approx.
11,000approx.
35,000approx.
23,000approx.
12,000approx.
67,000approx.
29,000approx.
38,000

18.2

18.8

19.4

19.1

20.2

Hitachi Group

7.3(3,325)8.3(3,975)

8.9(4,302)

9.5(4,641)

9.8(4,762)

Hitachi, Ltd.

4.2(577)

4.8(635)

5.5(700)

6.5(768)

6.8(785)

̶̶

Japan̶

̶

Overseas̶Global (persons)
By region

Diversity, Equity and Inclusion*2
Ratio of female employees (%)*1 Hitachi Group
Ratio of female managers(%/persons)*1*6
Ratio of female managers(%/persons)*6

Ratios of Female and Non-Japanese
Executives (Hitachi, Ltd.)

June 2018

June 2019

July 2020

June 2021

June 2022

Number of female executives

24579Ratio of female executives (%)

2.6

5.0

7.1

10.1

12.2

Number of non-Japanese executives

576813

Ratio of non-Japanese executives (%)

6.4

8.8

8.6

11.6

17.6

Note: Executive Officers and Corporate Officers[Scope of Data]*1 Approximately 50,000 manufacturing workers not registered in the employee database and approximately 35,000 employees of somenewly consolidated companies are not included.
*2 The figures are based on enrolled employees with employment contract including those seconded from Hitachi Group to othercompanies and those taking leave, and excluding those seconded from other companies to Hitachi Group (as of March 31).
*3 Figures include only voluntary resignations.
*4 In fiscal 2021, the structure of questions measuring employee engagement was revised. In fiscal 2021, employee engagement will bebased on four points: sense of pride in working at Hitachi; whether employees can recommend Hitachi as a wonderful place to work;
job satisfaction and sense of accomplishment; and motivation to continue working at Hitachi for the foreseeable future, calculated fromthe average positive response rate.
*5 Disclosed starting in fiscal 2019. Human capital with any of the 12 capabilities necessary for digital business, such as data science andsecurity, are defined as digital talent. The digital talent figure is the human capital total within each capability (total number of persons).
*6 Rising numbers of female managers in part reflect improved coverage of our human capital databases.

Occupational Health and Safety(Hitachi Group*9, includes contractors)
Number of fatal accidents*8[Scope of Data]*7 Occurrence rate is the rate of workplace accidents per 1,000 directly contracted employees resulting in fatality or worktime loss of one day or more
*8 January to December each year
*9 Includes contractors

Sustainable Procurement Activities (Hitachi Group)

FY2017FY2018FY2019FY2020

FY2021［Human rights］2,524*10

Sustainability monitoring (companies)

131345291

271

Sustainability audits (companies)

1824

192725

Sustainability procurement seminars (companies)

65

126

59

450

359

［Environment］708*10*10 Sustainability monitoring in fiscal 2021 was focused on human rights and environmental risk assessment.

Environment
Reduction rate in CO2 emissions per unit fromproducts and services (base: FY2010)*11 (%)̶̶

192028CO2 emissions at business sites(factories and offices) (kt-CO2)

5,433

4,973

4,374

3,296

3,384

Total water use (million m3)

38.54

37.02

36.41

26.35

25.61

Waste and valuables generation (kt)

1,356

1,384

1,302

1,061

1,111

Atmospheric emissions of chemical substances (t)

4,472

4,389

3,882

2,373

2,499

*11 New indicator established in fiscal 2019
[Scope of Data]
Hitachi, Ltd. and consolidated subsidiaries.
Number of companies: FY2017: 880; FY2018: 804; FY2019: 815; FY2020: 872; FY2021: 854
Data on the environmental load from operations applies to business sites with a large environmental load that are classified as category A.**All Group business sites are classified into one of three categories: A, B, or C, based on the Criteria for Classification of Environmental
Management established by Hitachi, and the most suitable management is then conducted for each in accordance with the respective levelof environmental risk. (see page 2 of Hitachi Sustainability Report 2022)

Hitachi Integrated Report 202210-year Financial Data

Whatʼs Hitachi

Introduction

5-year Non-financial Data

Value Creation

Business Strategies

Sustainability

Corporate Governance

105DataCorporate Data and Stock Information

Segment Highlights

Segment Highlights
Hitachi Group Business Operation Framework (As of April 2022)
To further advance the Social Innovation Business and achieve growth centered on thethemes of digital, green and innovation, on April 1, 2022, Hitachi revised its business operation
framework into three segments comprising Digital Systems & Services, Green Energy & Mobility
and Connective Industries, as well as Hitachi Astemo.

Financial Institutions Business Unit
Social Infrastructure Systems Business Unit

Digital Systems & Services

Revenues, Adjusted EBITA and EBITDA by Business Segment
Billions of yen

Revenues

Adjusted EBITAEBITDA

Business Segment

FY2021

FY2022

FY2021

FY2022

FY2021

FY2022

Digital Systems& Services

2,153.6

2,290.0

281.4

300.0

358.6

354.0

Green Energy& Mobility

2,051.0

2,300.0

92.3

159.0

183.2

193.0

Connective Industries

2,752.8

2,770.0

257.8

296.0

358.9

350.0

Automotive Systems
Business

1,597.7

1,800.0

62.3

92.0

154.8

172.0

Hitachi Construction
Machinery Co., Ltd.

1,024.9

430.0

100.1

36.0

168.7

67.0

Hitachi Metals

942.7

570.0

30.7

27.0

80.7

46.0

Others

456.3

460.0

23.6

17.0

65.4

47.0

Corporate items& Eliminations(714.6)(770.0)

7.0(82.0)

22.1

215.0

1,0264.6

9,850.0

855.3

845.0

1,392.8

1,444.0

Services & Platforms Business Unit
Hitachi Systems
Hitachi Solutions

Nuclear Energy Business Unit
Energy Business Unit

Green Energy & Mobility

Power Grids Business Unit
Railway Systems Business Unit

Industrial Digital Business Unit
Water & Environment Business Unit
Building Systems Business Unit

Connective IndustriesHitachi Industrial Products, Ltd.

Total

Hitachi Industrial Equipment Systems Co., Ltd.
Hitachi Global Life Solutions, Inc.
Hitachi High-Tech Corporation

Automotive Systems Business

Hitachi Astemo

Hitachi Construction Machinery Co., Ltd.
Hitachi Metals, Ltd.
Segment

Business Unit

Main Group Companies

Listed Company*Fiscal 2022 outlook is as of July 29, 2022.
Please refer to the following URLs for details on performance by division and performance by former division.
https://www.hitachi.com/New/cnews/month/2022/04/220428/2021_Ansup.pdf
https://www.hitachi.com/New/cnews/month/2022/07/220729/2022_1Qsup.pdf

Hitachi Integrated Report 202210-year Financial Data

Whatʼs Hitachi

Introduction

5-year Non-financial Data

Segment Highlights

Value Creation

Business Strategies

Sustainability

Corporate Governance

106

Data

Corporate Data and Stock Information

Corporate Data and Stock Information (As of March 31, 2022)
Corporate Name
Hitachi, Ltd.
(Kabushiki Kaisha Hitachi Seisakusho)

URL
https://www.hitachi.com/

Head Office
6-6, Marunouchi 1-chome, Chiyoda-ku,
Tokyo 100-8280, JapanFounded1910 (Incorporated in 1920)

Capital Stock461,731 million yen

Number of Employees(consolidated)368,247

Number of Shares Issued(common stock, including treasury stock)968,234,877

Number of Shareholders
238,967

Administrator ofShareholdersʼ Register

Tokyo Securities Transfer Agent Co., Ltd.
3-11, Kanda Nishiki-cho, Chiyoda-ku,
Tokyo 101-0054, Japan

Stock Exchange Listings
Tokyo, Nagoya

Accounting Auditor
Ernst & Young ShinNihon LLC

Contact
Hitachi, Ltd.
TEL: +81-3-3258-1111

Shareholder Composition

10 Largest Shareholders
Name

Share ownership Shareholding ratio(shares)(%)*2

Class of shareholders

Number ofshareholders

Share ownership(units)The Master Trust Bank of Japan, Ltd. (Trust Account)

181,747,800

18.79

Governments andmunicipalities

292

Custody Bank of Japan, Ltd. (Trust Account)

63,047,700

6.52

Financial institutions

205

3,407,137

State Street Bank and Trust Company 505223

22,788,025

2.36

Financial instruments
business operators

76

246,473

Nippon Life Insurance Company

20,000,099

2.07

2,426

129,714

Hitachi Employees’ Shareholding Association

19,551,338

2.02

SSBTC CLIENT OMNIBUS ACCOUNT

18,282,639

1.89

Nonindividuals

1,112

4,291,973

JP Morgan Chase Bank 385632

17,799,073

1.84

Individuals

157

1,413

State Street Bank West Client - Treaty 505234

16,509,187

1.71

234,989

1,582,410

NATS CUMCO*1

15,671,900

1.62

Total

238,967

9,659,212

State Street Bank and Trust Company 505001

14,656,120

1.52

Number of shares less than one
unit (shares)―

2,313,677*1 NATS CUMCO is the nominee name of the depositary bank, Citibank, N.A., for the aggregate of thecompanyʼs American Depositary Receipts (ADRs) holders.
*2 Treasury stock (998,721 shares) is not included in the shareholding ratio calculation.

Other institutions
Foreigncorporations,etc.

Individuals and others*Of 998,721 shares of treasury stock, 9,987 units are included in the“ Individuals and others ” column, while 21 shares are included in the“Number of shares less than one unit” column.
Individuals and others

Ratings
Rating Company

Long-term

Short-term

S&P Global Ratings Japan Inc.

A

A–1

Moody’s Japan K.K. (Moody’s)

A3

P–2

Rating and Investment Information, Inc. (R&I)

AA-a-1+

Independent Assurance of Environmental, Social and Governance Data
To ensure the reliability of the data disclosed we have received independent assuranceof key environmental, social and governance performance indicators by KPMG AZSA
Sustainability Co., Ltd. in the Hitachi Sustainability Report 2022.

16.38%

Governments and municipalities

0.00%

Foreign corporations,etc. (individuals)

Financialinstitutions

0.01%

35.27%

Share ownership

9,659,212 units
Foreigncorporations, etc.
(non-individuals)

Financial
instruments
business operators

2.55%

44.43%

Other institutions

1.34%

Indicators Subject to Independent Assurance

Hitachi Group Ratio and number of female managers, number of sustainability audits,and CO2 emissions at business sites.
Hitachi, Ltd. Ratio of non-Japanese executives, female executives, and ratio andnumber of female managers.

Integrated Reports Inquiries
Investor Relations Division+81-3-3258-1111