Financial results for the first half ofthe fiscal year ending March 31, 2023

October 31, 2022
Nippon Light Metal Holdings Company, Ltd.

Table of Contents
1. Financial results for the first half of the fiscal year
ending March 31, 2023
2. Forecast of consolidated financial results for thefiscal year ending March 31, 2023

2

Financial results for the first half of the fiscal year ending March 31, 2023

Financial results for the first half of the fiscal year
– compared with the same period in the previous fiscal year

(Billions of yen)

Net sales
Operating profitApril–September
2022
Results

April–September
2021
Results

253.1

236.0

＋17.1

3.7

14.0

-10.3

Change(＋7.2%)(-74.0%)-9.0

Ordinary profit

5.2

14.2

Profit attributable toowners of parent

3.8

10.8

(-64.8%)40 yen40 yen±0Interim dividends
per share(-63.4%)-7.03

Financial results for the first half of the fiscal year ending March 31, 2023

Factors behind changes in ordinary profit– compared with the same period in previous fiscal year

April–September
2021 Results-9.0 billion yen
-7.7

5.2

Other-0.1Purchased
products-2.3

New products＋5.3

Sales price-4.2

Sales volume

14.2

April–September
2022 Results

4Financial results for the first half of the fiscal year ending March 31, 2023

Segment information – compared with the same period in previous fiscal year
(Billions of yen)

Net sales

April–September April–September
2022
2021
Results
Results

Aluminum ingot
and chemicals

79.1

60.1

Aluminum sheet
and extrusions
Fabricatedproducts andothers
Aluminum foil,
powder, and paste

55.5

58.0

68.8

74.6

49.7

43.3

－－Management,
shared
Total

253.1

236.0

Operating profit

Change＋19.0

April–September April–September
2022
2021
Results
Results

Change-1.3(＋31.6%)

6.2

7.5

-2.5

(-4.4%)

0.４

4.7

-5.8

-1.8

2.1

-3.9

＋6.4

0.6

1.4

-0.8

(-62.1%)

-1.7

-1.7

±0

14.0

-10.3

(-7.8%)(＋14.8%)－＋17.1(＋7.2%)

3.7(-16.9%)-4.3(-91.2%)(―)(-74.0%)5Financial results for the first half of the fiscal year ending March 31, 2023

Aluminum ingot and chemicals
Net sales

Operating profit(Billions of yen)(Billions of yen)

79.1

80.0

60.040.0

60.1

7.5
6.2

10.0

 Sales： Demand for refractories and flocculants was solid.
 Profitability: Despite revisions to sales price, the price of raw materials such asaluminum hydroxide rose significantly, resulting in lower profits.

8.0

Nikkei MC Aluminium

12.0

6.0
4.0

20.0

2.0
0.0

Apr.-Sep. Apr.-Sep.
2021
2022
Results Results

Alumina and chemicals

0.0 Sales： The rise in sales prices reflecting aluminum ingot prices offset theimpact of a reduction in sales, resulting in higher sales.
 Profitability: In addition to a reduction in sales due to a decrease in auto
production in Japan and overseas and city lockdowns in China,
costs rose due to a spike in fuel prices, which led to lower profits.
Sales volume for Nikkei MC Aluminium (1,000 tons)
H1 FY22Results
Japan
Overseas
Total

Previousyear

65.1
67.5
69.7
68.1
134.8 135.6

Change-4%+2%-1%

6

Financial results for the first half of the fiscal year ending March 31, 2023

Aluminum sheet and extrusions
Net sales

Operating profit(Billions of yen)(Billions of yen)

60.0

40.0

58.0

55.5

6.0

Sheet Market environment: Demand for thick sheets for semiconductor manufacturing
equipment is in a correction.
 Profitability: Profit declined due to to lower sales for lithium-ion batteries and thesubstantial impact of the transfer of all equity interest in a Chinese
sheet processing subsidiary.
Sales volume for sheet business (1,000 tons)

4.7

4.0

H1 FY22

Results

32.0

2.0

20.0

0.0

0.4
Apr.-Sep. Apr.-Sep.
2021
2022
Results Results

0.0

Previousyear

35.3

Change-9%

Nikkeikin Aluminium Core Technology Company
 Auto and truck body-related:
Profit fell due to the impact of reduced production of autos and truck chassis
resulting from parts shortages in Japan and overseas and ongoing turmoil inthe supply chain.
Sales volume for Nikkeikin Aluminium Core Technology (1,000 tons)
H1 FY22
Results

Previousyear

Change

16.2

18.6

-13%

7

Financial results for the first half of the fiscal year ending March 31, 2023

Fabricated products and others
Net sales

Operating profit(Billions of yen)(Billions of yen)

80.0

74.6

68.8

8.0

60.0

6.0

40.0

4.0

Nippon Fruehauf
 Sales: The number of units sold fell sharply due to an ongoingdecrease in the production of truck chassis resulting from ashortage of semiconductor and other parts and supply turmoil.
 Profitability: In addition to lower sales, the increase in the price ofmaterials such as aluminum, steel and other had amajor impact, leading to lower profit.

Nikkei Panel System
20.0

2.0

2.1

0.0

0.0
-20.0

-1.8
Apr.-Sep. Apr.-Sep.
2021
2022
Results Results-2.0

 Refrigerator and freezer sector:
Demand for distribution centers such as frozen foods and e-commerce wasstrong, but delays to the construction of some major projects had an impact.
 Clean rooms: Demand for industrial clean rooms for semiconductor
manufacturing equipment manufacturers and electronicmaterials manufacturers was robust.
 Profitability: Although sales rose in divisions overall, profit declined
due to the impact of a spike in raw material prices.

8

Financial results for the first half of the fiscal year ending March 31, 2023

Aluminum foil, powder, and paste
Operating profit

Net sales(Billions of yen)

49.7

(Billions of yen)

43.3
40.0

4.0

20.0

2.0

1.4
0.0

0.6
Apr.-Sep. Apr.-Sep.
2021
2022
Results Results0.0

Toyo Aluminium Sales:
Aluminum foil division
・ Sales of foil for the outer package of lithium-ion batteries declined significantly due to theongoing drop in auto manufacturing, but net sales increased due to higher prices reflecting
the aluminum ingot market, sales price revisions, and the consolidation of a subsidiary inIndia.
Powder and paste division
・ Sales of powder products were affected by semiconductor shortages and turmoil in supply
channels, but demand for powder products for heat dissipation was solid. Although thereduced production of autos in Japan had an impact, overseas sales of paste products roseover the previous fiscal year, and sales rose for the division as a whole.
Daily necessities division
・ Although sales of house-care products for consumers and aluminum foil were down, solid
sales of packaging products for frozen foods and price revisions led to higher sales for thedivision.
 Profitability: Higher costs due to a spike in raw material prices had a major impact, andprofit declined.

9Table of Contents
1. Financial results for the first half of the fiscal year
ending March 31, 2023
2. Forecast of consolidated financial results for thefiscal year ending March 31, 2023

10Forecast of consolidated financial results for the fiscal year ending March 31, 2023

Full-year earnings forecasts – compared with the previous fiscal year
(Billions of yen)

Fiscal 2022
Forecasts(as of Oct. 31)

Fiscal 2021
Results

Change＋28.4

Net sales

515.0

486.6

Operating profit

12.5

22.2

Ordinary profit

15.0

22.9

Profit attributable toowners of parent

10.0

16.8

(-40.3%)85 yen (*)

85 yen±0

Dividends per share(＋5.8%)-9.7(-43.7%)-7.9(-34.6%)-6.8*Interim dividend: 40 yen/share; year-end forecast: 45 yen/share11Forecast of consolidated financial results for the fiscal year ending March 31, 2023

Factors behind changes in ordinary profit– compared with the previous fiscal year

Fiscal 2021
Results-7.9 billion yen
+11.5

-2.4

(as of Oct. 31)(Billions of yen)

-15.7

15.0

Other+2.0
Purchased
products

New products

Sales price-3.3
Sales volume22.9

Fiscal 2022
Forecasts12

Forecast of consolidated financial results for the fiscal year ending March 31, 2023

Segment information – compared with the previous fiscal year

(Billions of yen)

Net sales
Fiscal 2022
Forecasts(as of Oct.31)

Aluminum ingot
and chemicals
Aluminum sheet
and extrusions
Fabricatedproducts andothers
Aluminum foil,
powder, andpaste
Management,
sharedTotal

Fiscal 2021
Results

160.0

127.6

106.0

113.9

149.0

153.4

100.0

91.7

－515.0Operating profit
Change＋32.4

Fiscal 2022
Forecasts(as of Oct.31)

Fiscal 2021
Results

Change-1.0(＋25.4%)

12.0

13.0

-7.9(-6.9%)

1.07.5

-4.4

1.0

3.8

＋8.3
(＋9.1%)

2.5

1.6(＋59.2%)－－-4.0

-3.7

-0.3

486.6

＋28.4

12.5

22.2

-9.7(-2.9%)(＋5.8%)(-7.8%)-6.5(-86.7%)-2.8(-73.5%)+0.9(-43.7%)

13

Supplemental materials

Financial results for first half of fiscal year ending March 31, 2023

Trends in overall demand for aluminum products in Japan（1,000 tons）

400
350
300

315

316

312

304

266

250
200
150
100
500

4 5 6 7 8 9 101112 1 2 3 4 5 6 7 8 9 101112 1 2 3 4 5 6 7Fiscal 2020Fiscal 2021
Fiscal2022
Source: Japan Aluminum Association15

Forecast of consolidated financial results for the fiscal year ending March 31, 2023

Elements and sensitivity
Fiscal2022
Forecasts(as ofMay.16)

Aluminumingot390

Fiscal2021
Results

Sensitivity to ordinary profit

378

Assuming a 10 yen/kg
increase-0.5 billion yen/year

113

Assuming 10 yen
appreciation-0.5 billion yen/year

78

Assuming a
USD10/BBL increase-0.6 billion yen/year(yen/kg)

Exchangerates

115(JPY/USD)

Dubai crude(USD/BBL)

85

16

Financial results for first half of fiscal year ending March 31, 2023

Financial results of key companies –Y-o-Y change(Billions of yen)

April-September 2022 results April-September 2021 results
Net sales

OperatingprofitOrdinary
profitNet sales

OperatingprofitOrdinary
profitNippon Light Metal(Parent)

78.4

3.3

7.6

64.9

4.4

7.6

Toyo Aluminium(Consolidated)

49.9

0.1

1.0

43.5

1.4

1.8

Nikkei MC Aluminium(Consolidated)

52.9

1.3

1.5

38.0

1.7

1.8

Nippon Fruehauf(Consolidated)

25.6-2.2-2.2

32.4

0.2

0.2

Nikkeikin Aluminium CoreTechnology (Consolidated)

26.4

-0.7

-0.4

27.0

1.9

2.0
17

Forecast of consolidated financial results for the fiscal year ending March 31, 2023

Dividends per share(yen) Forecasts released on May 16, 2022 are left unchanged
109.0
9.0
Year-end
85
98.0
8.0
8
Interim
76Annual
5.0

54
32
10

6.0
5.0

4.0

5.0

5.0(yen)
10085

80

65

70
45

4540

3.0
4.0

60
50

4.0

3.090

5.0

65

6.0
3.0

4.0

4.0

4.0

30
4040

20
10F2012 F2013 F2014 F2015 F2016 F2017 F2018 F2019 F2020 F2021 F20220(Forecast)

The Company carried out a share consolidation at a ratio of 1 share for every 10 shares of common stock on October 1, 2020.

18

Notes on this document
1. This document is intended to provide information on the financial results for the fiscal year ending March 31, 2023, and future management strategies, and not to solicit the purchase or sale ofthe marketable securities issued by the Company.
2. The forward-looking statements, including future trends and earnings estimates, are not historical facts and involve risks and uncertainties, and therefore do not guarantee future performance.
Actual financial results may differ materially from the estimates due to various factors, including unpredictable changes in economic conditions. Significant factors that may affect actual
financial results include but are not limited to the economic climate surrounding the Group, social trends, and changes in the Group’s relative competitiveness in line with the demand trends forthe products and services provided by the Group.
3. The matters described in this document reflect the views of the Company at the time of its preparation and are subject to change without prior notice.
4. The Company shall assume no responsibility for any damage resulting from the use of this document.