Consolidated Financial Results
for the First Quarter of the Fiscal Year Ending March 31, 2024
(Japan GAAP)
July 31, 2023
Company name:

Nippon Light Metal Holdings Company, Ltd.

Stock exchange listing:Tokyo Stock Exchange

Code number:

5703

URL:

https://www.nikkeikinholdings.com/

Representative:

Ichiro OKAMOTO

Contact:

Chizu ISHIKAWA

Phone:+81-03-6810-7160

President & Chief Executive Officer
Public Relations and IR Director, Planning & Supervision
OfficeSubmission of quarterly financial results:

August 4, 2023

Expected date of dividends payment:―

Preparation of supplementary materials for quarterly
financial results:
Holding of a briefing on quarterly financial results:

Yes
Yes (for institutional investors and analysts)(Amounts less than one million yen are rounded off)

1. Consolidated Financial Results for Three Months Ended June 30, 2023
(1) Consolidated Results of Operations (Accumulated Total)
Net sales

Operating profit(% figures show year-on-year change)
Profit attributable
Ordinary profit
to owners of parent
Millions ofMillions of
%
%
yen
yen

Millions ofyen%Millions ofyen%June 30, 2023

122,471

(0.6)

1,971

(42.7)

2,942(29.0)

1,181(54.8)

June 30, 2022

123,241

6.5

3,437

(53.8)

4,142(45.3)

2,614(45.9)

Three months ended(Note)

Comprehensive income:Three months ended June 30, 2023

¥3,477 million / (27.7)%

Three months ended June 30, 2022

¥4,808 million / (16.5)%

Net profit per share(basic)Yen

Net profit per share(diluted)
Yen

June 30, 2023

19.07

－

June 30, 2022

42.23

－

Three months ended(2) Consolidated Financial Position

As of June 30, 2023

Total assets

Net assets

Millions of yen

Millions of yen%

525,399

223,25939.5

526,201

220,758

39.0

As of March 31, 2023
(Reference) Shareholders’ equity:

As of June 30, 2023
As of March 31, 2023

Equity ratio¥207,748 million¥205,475 million

2. Dividends
Annual dividends per share
End of firstquarter
Fiscal year ended
March 31, 2023
Fiscal year ending
March 31, 2024
Fiscal year ending
March 31, 2024
(forecasts)

Yen

End of second
quarterYen―

End of third
quarterYear-end

Total

Yen

Yen

Yen

40.00

―

10.00

50.00

10.00

―

40.00

50.00

―

(Note) Revisions to dividend forecasts published most recently:None

3. Forecast of Consolidated Financial Results for the Fiscal Year Ending March 31, 2024
(April 1, 2023－March 31, 2024)(% figures show year-on-year change)
ProfitNet profit
Operating profit
Ordinary profit
Net sales
attributable toper shareowners of parent
Millions
Millions
Millions
Millions
%
%
%
%
Yen
of yenof yenof yenof yenSix months ending
250,000
(1.2)
4,000
9.4
4,500 (13.6)
2,000(47.4)
32.30
September 30, 2023
Fiscal year ending
550,000
6.4
17,000 125.5
16,000
80.6
7,500
4.1
121.13
March 31, 2024
(Note) Revisions to Forecast of Financial Results published most recently:
Yes
For details, please refer to “1. Qualitative Information on Quarterly Results (3) Explanation of forward-looking
information, including consolidated earnings forecasts” on p. 4 of the attached documents.

*Notes(1) Change in significant subsidiaries during the period(Changes in specified subsidiaries affecting the scope of consolidation): None
Newly added: ― (Company name: ― )Excluded: ― (Company name: ― )(2) Application of particular accounts procedures to the preparation of quarterly consolidated financial statements:
None(3) Changes in accounting policies, changes in accounting estimates, and restatements(i) Changes in accounting policies due to revision of accounting standards:
None(ii) Changes in accounting policies other than item (i) above:None(iii) Changes in accounting estimates:None(iv) Restatement:
None(4) Number of shares outstanding (common stock)(i) Number of shares outstanding at end of period (including treasury stock)
As of June 30, 2023
61,993,750 shares
As of March 31, 2023
61,993,750 shares(ii) Number of treasury stock at end of period
As of June 30, 2023
71,527 shares
As of March 31, 2023
69,643 shares(iii) Average number of shares outstanding during the term
For the three months ended June 30, 2023
61,923,051 shares
For the three months ended June 30, 2022
61,896,338 shares* Quarterly financial results are not subject to auditing by a certified public accountant or an audit firm.
* Explanations concerning the appropriate use of financial forecasts and other special notes(Note of caution concerning forward-looking statements)
The forward-looking statements such as results forecasts included in this document are based on the information
available to the Company at the time of the announcement and on certain assumptions considered reasonable, andthe Company makes no representations as to their achievability. Actual results may differ materially from theforecast depending on a range of factors. For the conditions for the premise of earnings forecasts and the precautions
when using the forecasts, please refer to “1. Qualitative Information on Quarterly Results (3) Explanation of
forward-looking information, including consolidated earnings forecasts” on p. 4 of the attached documents.

[Attached documents]
Index
Page

1. Qualitative Information on Quarterly Results .......................................................................................................... 2(1) Explanation of consolidated operating results position ........................................................................................ 2(2) Explanation of consolidated financial position..................................................................................................... 4(3) Explanation of forward-looking information, including consolidated earnings forecasts .................................... 4
2. Notes on Summary Information (Special Notes) ...................................................................................................... 6(1) Change in significant subsidiaries during the period ............................................................................................ 6(2) Application of accounting method specific to preparation of quarterly consolidated financial statements .......... 6(3) Changes in accounting policies, changes in accounting estimates, and restatements ........................................... 6
3. Quarterly Consolidated Financial Statements and Important Notes ......................................................................... 7(1) Quarterly consolidated balance sheets .................................................................................................................. 7(2) Quarterly consolidated statements of income and consolidated statements of comprehensive income .......... .... 9
Quarterly consolidated statements of income(April 1, 2023 – June 30, 2023) ............................................................................................................................ 9
Quarterly consolidated statements of comprehensive income(April 1, 2023 – June 30, 2023) ...........................................................................................................................10(3) Notes regarding the quarterly consolidated financial statements ........................................................................11(Notes on premise of going concern) ................................................................................................................11(Notes on significant fluctuations in value of shareholders’ equity, if any) .....................................................11(Segment information, etc.) ..............................................................................................................................11

1

1. Qualitative Information on Quarterly Results(1) Explanation of consolidated operating results position
During the first three months of the current consolidated fiscal year, economic activity in Japan proceeded tonormalize as restrictions related to the spread of COVID-19 were significantly relaxed, however the outlook remains
uncertain, given the prolonged conflict in Ukraine, stubbornly high raw material and fuel prices, monetary tighteningaround the world, volatility in exchange rates, and economic sentiment in China, among other factors.
The Group’s panel system division was a strong performer, and efforts were made to restore the truck body business,
which had seen sales fall sharply in the previous fiscal year due to the impact of production cuts of truck chassis. In
addition, Japan’s auto production is recovering and, although somewhat unstable, this has been positive for the Group.
However, semiconductor-related demand remains in a correction, and in addition to the slowdown in extrusion
products for automobiles in China, the drop in prices reflecting the aluminum ingot market also had an impact. As aresult, net sales came in somewhat lower than in the same period of the previous fiscal year. From a profitability
standpoint, the panel system division, the aluminum foil, powder and paste business, and the truck body business all
posted higher profit than in the same period of the previous fiscal year, but operating profit, ordinary profit, and profit
attributable to owners of parent decreased year on year due to lower demand for semiconductor-related products, suchas thick sheets for semiconductor manufacturing equipment, as well as the impact of slower auto-related sales in
China.
Consolidated Results of Operations(Millions of yen)

Net sales
Operating profit
Ordinary profit
Profit attributableto owners of parent

Three months ended
June 30, 2023
122,471
1,971
2,942

Three months ended
June 30, 2022
123,241
3,437
4,142

1,181

Change

2,614

YoY

(770)
(1,466)(1,200)(0.6%)(42.7%)(29.0%)(1,433)(54.8%)

Earnings by segment
Segments(Millions of yen)
Operating profit(over previous fiscal year)

Net sales(over previous fiscal year)

Aluminum ingot
and chemicals

37,846(942)(2.4%)

3,118

(646)

(17.2%)

Aluminum sheet
and extrusions

22,938(4,965)(17.8%)(1,279)(2,458)－Fabricated products
and others

36,374

4,133

12.8%

(371)

904

－

Aluminum foil,
powder and paste

25,313

1,004

4.1%

1,522

753

97.9%

Elimination andcompany-wide

－

－

－

(1,019)(19)－

122,471(770)(0.6%)

1,971(1,466)(42.7%)Total

An overview of each business segment is provided below.
<Aluminum ingot and chemicals>
In the aluminum chemical division, sales volumes fell primarily for products for refractories and ceramics among themainstay aluminum hydroxide and alumina-related products and primarily for organ chlorine compounds amongchemical products. The revisions of sales prices, however, resulted in net sales in line with the same period of theprevious fiscal year. Meanwhile, on the profit side, profit fell slightly compared to the same period of the previous
fiscal year, due primarily to the impact of soaring raw material and fuel prices.
2

The ingot division saw an increase in sales volume over the same period of the previous fiscal year for the mainstay
secondary alloy for automobiles due to higher sales attributable to a recovery in domestic auto production and solid
sales in the US and Thailand. However, net sales decreased over the same period of the previous fiscal year due to adrop in sales prices reflecting the aluminum ingot price, among other factors, and profit also decreased over the same
period of the previous fiscal year.
As a result of the above, net sales of the aluminum ingot and chemicals in the first quarter of the current consolidated
fiscal year decreased by 942 million yen (2.4%) year on year, from 38,788 million yen to 37,846 million yen.
Operating profit amounted to 3,118 million yen, down 646 million yen, or 17.2%, compared to 3,764 million yen in
the same period of the previous fiscal year.
<Aluminum sheet and extrusions>
In the sheet product division, sales of thick sheets for semiconductor manufacturing equipment fell short of the same
period of the previous fiscal year due to a demand correction that has continued since the second quarter of theprevious fiscal year. In addition, net sales and operating profit were below the previous fiscal year’s levels due to theimpact of a decrease in sales prices reflecting the aluminum ingot market.
In the extruded product division, products for truck bodies and domestic automobiles were in the process ofrecovering, but net sales and operating profit decreased compared to the same period of the previous fiscal year due
to a decrease in sales of products for semiconductor manufacturing equipment and automobile-related products in
China, among other factors.
As a result of the above, net sales of the aluminum sheet and extrusions segment in the first three months of the current
consolidated fiscal year decreased by 4,965 million yen (17.8%) year on year, from 27,903 million yen to 22,938
million yen. An operating loss of 1,279 million yen was recorded, representing a downward change of 2,458 million
yen from the operating profit of 1,179 million yen recorded in the same period of the previous fiscal year.
<Fabricated products and others>
In the transport-related division, net sales in the truck body business increased over the same period of the previous
fiscal year due to a supply of truck chassis that was stable overall as the supply chain normalized, leading to a recovery
in production. On the profitability side, the increase in material prices slowed, and the effect of sales price revisions
began to materialize, which resulted in improvements in operating profit over the previous fiscal year.
In the panel system division, the freezing and refrigeration field saw an increase in large projects, primarily for foodfactories and low-temperature distribution warehouses, and the clean room field was supported by robust demand
from manufacturers of semiconductor-related material, parts and manufacturing equipment, leading to higher sales.
As a result, net sales and operating profit in the division as a whole increased over the same period of the previous
fiscal year.
As a result of the above, net sales in the fabricated products and others segment increased by 4,133 million yen(12.8%) to 36,374 million yen in the first three months of the current consolidated fiscal year, compared to 32,241
million yen in the same period of the previous fiscal year. Operating loss amounted to 371 million yen, a 904 million
yen improvement compared to the same period of the previous fiscal year, which saw a loss of 1,275 million yen.
<Aluminum foil, powder and paste>
In the aluminum foil division, the sale of foils for automobile lithium-ion battery exteriors increased over the same
period of the previous fiscal year due to the recovery in automobile production, and processed foil for medical productpackaging is also recovering. As a result, net sales for the division overall increased over the same period of theprevious fiscal year.
The powder and paste division saw the sales of powder products for heat dissipation, such as aluminum powder forelectronic materials and aluminum nitride, decline over the same period of the previous fiscal year due to demandcorrections related to semiconductors. In paste products, sales of mainstay automobile paints gradually recovered in
the domestic market, and sales to overseas manufacturers increased over the same period of the previous fiscal year.
As a result, net sales in the division were generally in line with those in the previous fiscal year.
In the daily necessities division, division-wide net sales exceeded the previous fiscal year’s level thanks to solid sales3

of house-care products and the effect of price revisions for aluminum foil in consumer products, as well as strong
sales of packaging products for frozen foods.
As a result of the above, net sales of the aluminum foil, powder, and paste segment in the first quarter of the current
consolidated fiscal year increased by 1,004 million yen (4.1%) year on year, from 24,309 million yen to 25,313 million
yen. On the profit side, in addition to an increase in sales in each division, the effect of revisions to sales prices
addressing the spike in fuel and raw material costs from the previous fiscal year had an impact. As a result, operating
profit increased 753 million yen (97.9%) over the same period of the previous fiscal year, from 769 million yen to
1,522 million yen.
(2) Explanation of consolidated financial position
Status of assets, liabilities, and net assets
As of the end of the first quarter of the current consolidated fiscal year, total assets decreased by 802 million yen
compared to the end of the previous consolidated fiscal year, to 525,399 million yen as a result of a decrease in notes
and accounts receivable – trade and contract assets due to progress in collecting trade receivables and other factors.
Liabilities decreased by 3,303 million yen compared to the end of the previous consolidated fiscal year to 302,140
million yen due to a reduction in notes and accounts payable – trade attributable to the payment of trade payables andother factors. Net assets increased by 2,501 million yen compared to the end of the previous consolidated fiscal year
to 223,259 million yen due to an increase in foreign currency translation adjustment in response to the depreciating
yen and other factors. The equity ratio rose from 39.0% at the end of the previous consolidated fiscal year to 39.5%.
(3) Explanation of forward-looking information, including consolidated earnings forecasts
We have revised the consolidated earnings forecasts for the first half of the current fiscal year that were released on
May 15, 2023, as follows.
Consolidated earnings forecasts for the first half of the fiscal year ending in March 2024 (April 1 – September 30,
2023)

Previous forecasts (A)announced on May 15,
2023
Revised forecasts (B)announced on July 31,
2023
Amount of change(B-A)
Percent change (%)(Ref)
Results of the first halfof the previous fiscal
year(Fiscal year ended
March 31, 2023)

Profitattributable to Net profit per
shareowners ofparentMillions ofYenyen

Net sales

OperatingprofitOrdinary
profitMillions ofyenMillions ofyenMillions ofyen

250,000

2,500

2,500

1,000

16.15

250,000

4,000

4,500

2,000

32.30

－

1,500

2,000

1,000

－

－

60.0

80.0

100.0

－

253,094

3,657

5,207

3,804

61.44

In the panel system division, which was a strong performer in the first quarter, and in the aluminum foil, powder andpaste division, which achieved earnings exceeding the same period of the previous fiscal year, we expect similar
results from the second quarter, and earnings are expected to continue improving in the truck body business as well.
Moreover, while the demand outlook in China is uncertain, automobile production is recovering in Japan, and as aresult we expect operating profit, ordinary profit and profit attributable to owners of parent to be higher than we
4

previously forecasted (on May 15, 2023) in the first half of this consolidated fiscal year.
Given the uncertain demand outlook for semiconductors and China’s automobile sector, we have not changed ourconsolidated forecasts for the fiscal year ending on March 31, 2024 released on May 15, 2023.
We have not changed our dividend forecasts for the fiscal year ending on March 31, 2024 (interim dividends of 10
yen and year-end dividends of 40 yen per ordinary share).
(Note) The forward-looking statements such as results forecasts included in this document are based on theinformation available to the Company at the time of the announcement and on certain assumptions consideredreasonable. Actual results may differ materially from the forecasts depending on a range of factors.

5

2. Notes on Summary Information (Special Notes)(1) Change in significant subsidiaries during the periodNone(2) Application of accounting method specific to preparation of quarterly consolidated financial statements
None(3) Changes in accounting policies, changes in accounting estimates, and restatements
None6

3. Quarterly Consolidated Financial Statements and Important Notes(1) Consolidated Balance Sheets(Millions of yen)
As of March 31, 2023

AssetsCurrent assets
Cash and deposits
Notes and accounts receivable - trade, andcontract assets
Merchandise and finished goods
Work in process
Raw materials and supplies
Other
Allowance for doubtful accounts
Total current assets
Non-current assets
Property, plant and equipment
Buildings and structures, net
Machinery, equipment and vehicles, net
Tools, furniture and fixtures, net
LandConstruction in progress
Total property, plant and equipment
Intangible assets
Goodwill
Other
Total intangible assets
Investments and other assets
Other
Allowance for doubtful accounts
Total investments and other assets
Total non-current assets
Total assets

7

As of June 30, 2023

31,305

33,106

150,709

142,758

44,576
20,71529,332
16,062(366)
292,333

44,46323,17029,775
19,330(430)
292,172

58,83947,4885,873
55,046
7,003
174,249

59,35647,9105,869
55,145
6,207
174,487

1,771
10,392
12,163

1,727
10,21911,94648,009(553)
47,456
233,868
526,201

47,340(546)
46,794233,227
525,399

(Millions of yen)
As of March 31, 2023
Liabilities
Current liabilities
Notes and accounts payable - trade
Short-term borrowings
Income taxes payable
Provision for recall
Other
Total current liabilities
Non-current liabilities
Bonds payable
Long-term borrowings
Retirement benefit liability
Provision for environmental measures
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
Deferred gains or losses on hedges
Revaluation reserve for land
Foreign currency translation adjustment
Remeasurements of defined benefit plans
Total accumulated other comprehensive
incomeNon-controlling interests
Total net assets
Total liabilities and net assets

8

As of June 30, 2023

68,53993,157
1,025
168
33,590196,479

67,421
92,916722
152
33,149194,360

801
69,612
18,571
12,693
7,287
108,964
305,443

870
68,672
18,772
12,168
7,298
107,780
302,140

46,52519,087130,938(95)
196,455

46,52519,007
131,500(98)
196,934

3,535

4,413

(39)
145
5,826
(447)

(22)
145
6,784
(506)

9,020

10,814

15,283
220,758
526,201

15,511
223,259525,399

(2) Quarterly Consolidated Statements of Income andQuarterly Consolidated Statements of Comprehensive Income
Quarterly Consolidated Statements of Income(April 1, 2023 – June 30, 2023)(Millions of yen)Three months ended
June 30, 2022

Net sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Operating profit
Non-operating income
Foreign exchange gains
Other
Total non-operating income
Non-operating expenses
Interest expenses
Other
Total non-operating expenses
Ordinary profit
Profit before income taxes
Income taxes - current
Income taxes - deferred
Total income taxes
ProfitProfit (loss) attributable to non-controllinginterests
Profit attributable to owners of parent

9

Three months ended
June 30, 2023

123,241
102,698
20,543
17,106
3,437

122,471
103,520
18,951
16,980
1,971

757
1,212
1,969

698
1,247
1,945

306
958
1,264
4,142
4,142
389
1,146
1,535
2,607

330
644
974
2,942
2,942
516
1,139
1,655
1,287

(7)

106

2,614

1,181

Quarterly Consolidated Statements of Comprehensive Income(April 1, 2023 – June 30, 2023)(Millions of yen)Three months ended
June 30, 2022
ProfitOther comprehensive income
Valuation difference on available-for-salesecurities
Deferred gains or losses on hedges
Foreign currency translation adjustment
Remeasurements of defined benefit plans, netof taxShare of other comprehensive income of entities
accounted for using equity method
Total other comprehensive income
Comprehensive income
Comprehensive income attributable to ownersof parent
Comprehensive income attributable to noncontrolling interests

10

Three months ended
June 30, 2023

2,607

1,287

31

880

(276)
2,221

17
1,357

(205)

(56)

430

(8)

2,201
4,808

2,190
3,477

4,284

2,975

524

502

(3) Notes regarding the quarterly consolidated financial statements(Notes on premise of going concern)
Not applicable(Notes on significant fluctuations in value of shareholders’ equity, if any)
Not applicable(Segment information, etc.)
I. First Three Months of the Fiscal Year Ended March 31, 2023 (April 1, 2022, to June 30, 2022)
1. Information on net sales and profit (loss) by reporting segment(Millions of yen)
Reporting segments
Quarterly
Adjust- consolidated
Aluminum Aluminum Fabricated Aluminum
ments*1
profit/loss
ingot andsheet and products and foil, powder,Total
posted*2chemicals extrusions
othersand paste
Net sales
Net sales to external－
38,78827,90332,241
24,309123,241
123,241
customers
Intersegment sales－
16,370
6,443
3,501
73
26,387(26,387)
or transfers
Total
55,15834,34635,742
24,382
149,628(26,387)
123,241
Segment profit (loss)
3,764
1,179
(1,275)769
4,437(1,000)3,437
Notes:*1 The 1,000-million-yen negative adjustment to segment profit (loss) represents corporate expenses and mainlycomprises expenses related to General Affairs, HR, Accounting, and other head office administration
departments of the Company and Nippon Light Metal Company, Ltd.
*2 Segment profit (loss) is adjusted with operating profit on the quarterly consolidated statements of income.
2. Information related to impairment loss of non-current assets and goodwill by reporting segment:
Not applicable
II. First Three Months of the Fiscal Year Ending March 31, 2024 (April 1, 2023, to June 30, 2023)
1. Information on net sales and profit (loss) by reporting segment(Millions of yen)
Reporting segments
Quarterly
Adjustconsolidated
Aluminum Aluminum Fabricated Aluminum
ments*1
profit/loss
ingot andsheet and products and foil, powder,Total
posted*2chemicals extrusions
othersand paste
Net sales
Net sales to external－
37,84622,93836,37425,313
122,471
122,471
customers
Intersegment sales－
79
12,185
6,710
3,163
22,137(22,137)
or transfers
Total
50,03129,64839,53725,392
144,608(22,137)
122,471
Segment profit (loss)
3,118(1,279)
(371)
1,522
2,990
(1,019)
1,971
Notes:*1 The 1,019-million-yen negative adjustment to segment profit (loss) represents corporate expenses and mainlycomprises expenses related to General Affairs, HR, Accounting, and other head office administration
departments of the Company and Nippon Light Metal Company, Ltd.
*2 Segment profit (loss) is adjusted with operating profit on the quarterly consolidated statements of income.
2. Information related to impairment loss of non-current assets and goodwill by reporting segment:
Not applicable11