May 12, 2023

Brief Financial Report for the Year Ended March 31, 2023
[Based on Japanese Accounting Standards] (Consolidated)
Listed Company Name:PIOLAX Inc.

Listing Exchanges:

Code No.:

5988

URL:

Representative:

President Yukihiko Shimazu

Contact:

General Manager, Management & Planning Department

Date scheduled for general meeting of shareholders:June 27, 2023

Date scheduled to submit asset securities report: June 28, 2023
Preparation of supplementary materials for quarterly financial results:
Information meeting for financial results to be held:

Tokyo Stock Exchange (Prime Market)

https://www.piolax.co.jp
Tel. :

045-577-3880

Date scheduled to start dividend payment:

Toru NagashimaJune 28, 2023

Yes

Yes (For institutional investor and investment analyst)(Amounts are rounded to the nearest million yen.)

1. Consolidated performance for the year ended March 31, 2023 (April 1, 2022 to March 31, 2023)(1) Consolidated business results(Percentage changes from previous period.)

Net sales

Net income attributable toowners of PIOLAX Inc.

Ordinary income

Millions of yen%

Millions of yen%

Millions of yen%

Millions of yen%

58,42255,144

5.9
10.0

3,9495,216-24.3
29.8

4,868
5,776-15.7
6.1

3,375
4,224-20.1
6.6

FY3/23
FY3/22(Note)

Operating income

Comprehensive income

FY3/238,221 million yen (7.3%)

Net income pershare-diluted

Net income per share
FY3/23
FY3/22

FY3/22

7,661 million yen (120.7%)

Net income totreasury shares

Ordinary income
to total assets

Operating income
to net sales

Yen

Yen%%%

99.15
121.71

-3.4
4.5

4.3
5.4

6.8
9.5(Reference) Investment profit (loss) arising from equity method

FY3/23688 million yen

FY3/22769 million yen(2) Consolidated financial position
Total assets

Net assets

Equity capital ratio

Net assets per share

Millions of yen

Millions of yen％

Yen

FY3/23
FY3/22

115,458
109,674

104,250
98,33288.9
88.4

3,015.93
2,846.39(Reference) Shareholders’ equity

FY3/23 102,670 million yen

FY3/2296,892 million yen(3) Consolidated cash flows
Net cash flows fromoperating activities
FY3/23
FY3/22

Net cash flows frominvesting activities

Net cash flows fromfinancing activities

Cash and cash equivalents
at ending of the term

Millions of yen

Millions of yen

Millions of yen

Millions of yen

6,068
6,441-5,001-3,861-2,443-4,686

29,06829,925

2. Dividends
Annual dividends

FY3/22
FY3/23
FY3/24 (forecast)End of firstquarter
Yen

End of secondquarter
Yen

End of thirdquarter
Yen

-

22.50
43.00
49.00

-

Term end

Full year

Total dividend
amount(annual)

Payout ratio(consolidated)

Dividend on
net assets(consolidated)

Yen

Yen

Millions of yen

%%

22.50
57.00
53.00

45.00
100.00102.00

1,608
3,533

37.0
100.9
112.0

1.6
3.4

(Note)
1. The end of second quarter dividend for the fiscal year ending March 31, 2024 (forecast) includes a 90th anniversary commemorative dividend of 10.00
yen.
2. We had introduced a stock compensation plan for directors, and the total dividend includes the dividend paid to the trust account.

- 1 -3. Consolidated performance forecast for the year ending March 31, 2024 (April 1, 2023 to March 31, 2024)(Percentage changes from previous period, and changes from the previous first half term for the same term)

Net salesFirst half (total sum)
AnnualOperating income

Net income attributable toowners of PIOLAX Inc.

Ordinary income

Net income
per share

Millions of yen%

Millions of yen%

Millions of yen%

Millions of yen%

Yen

29,80063,000

7.6
7.8

1,300
4,000

-21.3
1.3

1,700
4,600

-17.6
-5.5

1,300
3,100

-9.7
-8.2

38.19
91.06

- 2 -PIOLAX Inc. (5988) Brief Financial Report for the year ended March 31, 2023

4. Consolidated financial statement(1) Consolidated balance sheet(Millions of yen)

FY 2021(As of March 31, 2022)

FY 2022(As of March 31, 2023)

AssetsCurrent assets
Cash and cash equivalents

35,50536,973

Notes and accounts receivable-trade

12,187

13,549

1,566

1,640

Marketable securities

2,535

1,864

Goods and finished products

5,321

5,554

Material in progress

2,082

2,186

Raw materials and inventory goods

2,859

3,047

Electronically recorded monetaryclaims-operating

Income taxes receivable
Other current assets
Allowance for bad loans
Total current assets

88

322

2,022

1,806

-34

-38

64,13566,906

Fixed assets
Tangible fixed assets
Buildings and structures
Accumulated depreciation

18,28819,097-10,578-11,281

Buildings and structures (net)

7,710

7,816

Machinery equipment, and vehicles

31,49334,595-24,894-27,799

Accumulated depreciation
Machinery equipment and vehicles (net)
Tools, furniture and fixture
Accumulated depreciation
Tools, furniture and fixture (net)Land
Lease asset
Accumulated depreciation

6,599

6,796

30,27731,585-28,145-29,154

2,132

2,431

5,603

5,830

570

452

-150

-36

Lease asset (net)

419

415

Construction in progress

1,271

2,224

Total tangible fixed assets

23,73625,514

Other1,705

1,607

Total intangible fixed assets

1,705

1,607

Investment securities

18,72320,064

Deferred income taxes

409

354

Other assets

963

1,019

-0-8

20,09621,429Intangible fixed assets

Investments and other assets

Allowance for bad loans
Total investments and other assets
Total fixed assets
Total assets- 3 -45,53848,551

109,674

115,458

PIOLAX Inc. (5988) Brief Financial Report for the year ended March 31, 2023
(Millions of yen)

FY 2021(As of March 31, 2022)

FY 2022(As of March 31, 2023)

Liabilities
Current liabilities

2,680

2,756

Lease obligation

262

115

Accrued income taxes

359

282

Accrued bonuses to employees

917

936

Accounts payable-trade

Asset removal liabilities-18

Other current liabilities

4,601

4,171

Total current liabilities

8,821

8,281

Long-term liabilities
Lease obligation
Deferred tax liabilities

142

162

1,976

2,276

Provision for directors’ stock benefit

93

113

Net defined benefit liability

217

269

Asset removal liabilities

81

100

Other long-term liabilities
Total long-term fixed liabilities
Total liabilities

75

2,519

2,927

11,341

11,208

2,960

2,960

Total equity
EquityCommon stock
Capital surplus

2,572

2,572

Retained earnings

93,221

94,362

Treasury stock-4,677-4,670Total shareholders’ equity

94,077

95,225878

1,009

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

-0-0

2,097

6,375

Remeasurements of defined benefit plans

-160

59

Total accumulated other comprehensive income

2,814

7,445

Non-controlling interests1,440

1,579

Total equity

98,332104,250

109,674

115,458

Total liabilities and equity- 4 -PIOLAX Inc. (5988) Brief Financial Report for the year ended March 31, 2023

(2) Consolidated statements of income and Consolidated comprehensive income(Consolidated statements of income)(Millions of yen)

FY 2021(April 1, 2021 to March 31, 2022)

FY 2022(April 1, 2022 to March 31, 2023)

Net sales

55,14458,422

Cost of sales

40,06643,730Gross profit

15,077

14,691

Selling, general and administrative expenses

9,860

10,742

Operating income5,216

3,949

Interest income

148277

Dividend income

3359

Gain on sales of investment securities

05769

688

Non-operating income

Equity method investment gain
Other
Total non-operating income

97

292

1,050

1,324
19

Non-operating expenses
Interest expense

8

Loss on valuation of derivatives

50-

Loss on disposal of property and equipment

7050

Foreign exchange loss

137

297

65LeasesCompensation expenses

200-

Other

16

32490

404

5,776

4,868

Impairment loss

182

111

Total extraordinary loss

182

111

5,594

4,756

Corporate taxes

1,412

946

Income taxes-deferred-110338

Total corporate taxes

1,302

1,285

Current net income

4,292

3,471

Net income attributable to non-controlling interests

6896

Net income attributable to owners of PIOLAX Inc.

4,224

3,375

Total non-operating expenses
Ordinary income
Extraordinary loss

Net income before taxes and other adjustments- 5 -