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

August 1, 2022

Nippon Light Metal Holdings Company, Ltd.

Table of Contents

1. Financial results for the first quarter 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 quarter of the fiscal year ending March 31, 2023

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

(Billions of yen)

April–June 2022 April–June 2021
Results
Results

Net sales

123.2

115.7

Operating profit

3.4

7.4

Ordinary profit

4.1

7.6

Profit attributable toowners of parent

2.6

4.8

Change＋7.5(＋6.5%)-4.0(-53.8%)-3.5(-45.3%)-2.2(-45.9%)3Financial results for the first quarter of the fiscal year ending March 31, 2023

Factors behind changes in ordinary profit– compared with the same period in previous year
April–June 2021
Results-3.5 billion yen

April–June 2022
Results(Billions of yen)

New products

Sales volume

Sales price

-0.4

-3.8
＋0.7

4.1

Other7.6-2.2

Purchased
products＋2.2

4

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

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

Net sales
April–June 2022 April–June 2021
Results
Results

Aluminum ingot
and chemicals
Aluminum sheet
and extrusions
Fabricatedproducts andothers
Aluminum foil,powder, andpasteManagement,
shared

Total

38.8

30.0

27.9

27.7

32.2

36.3

24.3

21.7

––

123.2

115.7

Operating profit
Change＋8.8

April–June 2022 April–June 2021
Results
Results

Change-0.3

3.7

4.0

1.2

2.6

-4.1

-1.3

0.6

-1.9

＋2.6

0.8

1.2

-0.4

(-36.6%)

-1.0

-1.0

±0

3.4

7.4

-4.0

(＋29.2%)＋0.2(＋0.6%)(-11.2%)(＋12.3%)–＋7.5(＋6.5%)(-6.3%)-1.4(-53.9%)(－)(-53.8%)5

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

Aluminum ingot and chemicals
Net sales

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

38.8

40.0

30.0

30.0

4.0
20.0

6.0
5.0

3.7

10.0

4.0

Alumina and chemicals
 Sales: Demand for products for ceramics and fire-resistant materials was solid.
 Profitability: Despite revisions to sales prices in response to the spike in the price ofraw material and fuel such as the raw material aluminum hydroxide,
higher costs had a major impact and led to a decline in operating profit.

Nikkei MC Aluminium

2.0

 Sales: Sales increased due to higher sales prices attributable to the reflection ofaluminum ingot prices.
 Profitability: Operating profit fell in Japan and overseas due to a decline in sales volume
caused by a reduction in auto production.

1.0Sales volume for Nikkei MC Aluminium (1,000 tons)
Q1 FY22

3.0

Results

0.0

Apr.-Jun. Apr.-Jun.
2021
2022
Results
Results

0.0

Japan
Overseas
Total

31.6
31.4
63.0

Previousyear

34.4
35.4
69.8

Change-8%-11%-10%6

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

Aluminum sheet and extrusions
Net sales

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

30.0

27.7

27.9

3.0

Q1 FY222.0

20.00.0

 Market environment: Demand for thick sheets for semiconductor manufacturing
equipment was solid, as in the previous fiscal period.
 Profitability: Although profit increased on higher sales prices reflecting conditions in thealuminum market, operating profit fell on the impact of the transfer of allequity interest in a Chinese sheet processing subsidiary.
Sales volume for sheets business (1,000 tons)

2.6

10.0

Sheet

1.2

Apr.-Jun. Apr.-Jun.
2021
2022
Results
Results

1.0

0.0

Results

Previousyear

Change18.2

17.8+2%

Nikkeikin Aluminium Core Technology Company
 Auto-related: Sales fell due to ongoing reductions in auto manufacturing attributable tocity-wide lockdowns in China, in addition to supply shortages forsemiconductors and other parts.
 Transportation-related: Sales to truck body manufacturers were low due to continued
production cutbacks of truck chassis.
Sales volume for Nikkeikin Aluminium Core Technology (1,000 tons)
Q1 FY22
Results

Previousyear

Change

7.7

9.5

-19%

7

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

Fabricated products and others
Net sales

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

40.0

36.3

32.2

4.0

30.0

3.0

20.0

2.0

10.0

1.00.0
-10.0
-20.0

0.6

0.0

-1.3
Apr.-Jun. Apr.-Jun.
2021
2022
Results Results-1.0

Nippon Fruehauf
 Sales: Lower production of truck chassis, due to turmoil in the supply chain causedby the shortage of semiconductors and other parts and the lockdown of cities
in China, had an ongoing impact.
 Profitability: Operating profit fell significantly due to the drop in sales and capacity
utilization, as well as higher material prices caused by a rise in market
prices for aluminum and other.

Nikkei Panel System Refrigerator and freezer sector: Sales to food factories were solid due to growing
demand for frozen foods and other.
 Clean rooms: Sales for industrial clean rooms related to semiconductors were strong,and sales for pharmaceutical-related clean rooms increased.

-2.0

8

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

Aluminum foil, powder, and paste

Net sales

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

21.7

24.3

20.0

10.0

2.0

1.2

1.0

0.8
0.0

Apr.-Jun. Apr.-Jun.
2021
2022
Results Results

0.0

Toyo Aluminium Sales:
Aluminum foil division
・ Sales of foil for the outer packing of lithium-ion batteries for autos fell, but net sales
surpassed levels in the same period of the previous fiscal year due to higher sales
prices reflecting the increase in aluminum ingot prices and the consolidation of a
subsidiary in India.
Powder and paste division
・ Sales of powder products fell due to semiconductor shortages and supply chain
problems, and although sales of paste products in Japan fell due to decreased autoproduction, overseas sales increased, so that division-wide net sales increased overthe previous fiscal year.
Daily necessities division
・ Sales of house-care products for consumers and aluminum foil fell, but sales of packing
products for restaurants and frozen foods recovered, resulting in an increase in sales
for the division.
 Profitability: Operating profit was down due to higher costs from the spike in raw
material prices, in addition to the impact of lower sales caused by auto
production cutbacks and other factors.

9

Table of Contents

1. Financial results for the first quarter 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 year
(Billions of yen)

Forecasts released on May 16, 2022 are left unchanged

Fiscal 2022
Forecasts

Fiscal 2021
Results

Change+53.4

Net sales

540.0

486.6

Operating profit

20.0

22.2

Ordinary profit

20.0

22.9

Profit attributable toowners of parent

14.0

16.8

(-16.7%)85 yen (*)

85 yen±0

Dividends per share(+11.0%)-2.2(-9.9%)-2.9(-12.7%)-2.8*Interim dividend: 40 yen/share; year-end forecast: 45 yen/share; dividend payout ratio: 37.6%

11

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

Segment information – compared with the previous year
Forecasts released on May 16, 2022 are left unchanged

Net sales
Fiscal 2022
Forecasts

Fiscal 2021
Results

Aluminum ingot
and chemicals

161.0

127.6

Aluminum sheet
and extrusions
Fabricatedproducts andothers
Aluminum foil,
powder, andpaste
Management,
shared

109.0

113.9

167.0153.4

Total

103.0

91.7

––

540.0

486.6

(Billions of yen)

Operating profit
Fiscal 2022
Forecasts

Fiscal 2021
Results+33.4(+26.1%)

12.5

13.0

-4.9(-4.3%)

4.0

7.5

+13.6

3.5

3.8

Change(+8.9%)+11.3(+12.4%)–+53.4(+11.0%)

4.0

1.6

-4.0

-3.7

20.0

22.2

Change-0.5(-4.0%)-3.5(-46.8%)-0.3(-7.3%)+2.4(+154.8%)

-0.3
-2.2

(-9.9%)

12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

315

300

316

312

8 9 10 11 12
Fiscal 2021

1266

250
200
150
100
5004567

8 9 10 11 12
Fiscal 2020

1234567234
FY
2022

Source: Japan Aluminum Association

14

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

Elements and sensitivity
Fiscal2022
Forecasts

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 aUSD10/BBL increase-0.6 billion yen/year(yen/kg)

Exchangerates

115(JPY/USD)

Dubai crude(USD/BBL)

8515

Consolidated earnings forecasts for fiscal year ending March 31, 2022

Dividends per share
1098765432
10Forecasts released on May 16, 2022 are left unchanged
9.0 9.0
Year-end85
8.0 8.0Interim65
Annual6.0
5.0 5.0
45
4.0
5.0
5.0
4.0
3.0
3.0

4.0

5.0(yen)

100

85

80
45

3.0

4.0

4.0

4.070
60
50
40

65

6.09030
4040

FY2012 FY2013 FY2014 FY2015 FY2016 FY2017 FY2018 FY2019 FY2020 FY2021 FY2022(Forecast)

20100

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

16

Notes on this document
1. This document is intended to provide information on the financial results for the fiscal year ended March 31, 2022, 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.