Translation
Notice: This document is an excerpt translation of the original Japanese document and is only for reference purposes. In the event of any
discrepancy between this translated document and the original Japanese document, the latter shall prevail.

Summary of Consolidated Financial Results
for the Three Months Ended June 30, 2021
(Based on Japanese GAAP)
Company name:TOYO KANETSU K.K.
Stock exchange listing: Tokyo
Stock code:
6369
URL https://www.toyokanetsu.co.jp
Representative:
President and Representative Director
Toru Yanagawa
Inquiries:
Managing Officer
Takeshi Yonehara
Scheduled date to file Quarterly Securities Report:
August 13, 2021
Scheduled date to commence dividend payments:–Preparation of supplementary material on quarterly financial results: Yes
Holding of quarterly financial results meeting:
NoTEL

August 12, 2021

03-5857-3333(Amounts less than one million yen are rounded down)
1. Consolidated financial results for the three months ended June 30, 2021 (from April 1, 2021 to June 30, 2021)(1) Consolidated operating results (cumulative)
Percentages indicate year-on-year changes
Profit attributable toNet sales
Operating profitOrdinary profit
owners of parent
Millions of yen% Millions of yen% Millions of yen% Millions of yen%
Three months ended June 30, 2021
18,014–711–
919–590–Three months ended June 30, 2020
9,798
24.3
757
–
735 987.9
465 126.3
Earnings per share

Diluted earnings per share

YenYenThree months ended June 30, 2021
72.26–
Three months ended June 30, 2020
55.08–
(Note)From the beginning of the 1st quarter of the current fiscal year ending March 31, 2022, the Company has applied “Accounting Standard
for Revenue Recognition” (ASBJ Statement No. 29). The figures for the 1st quarter of the current fiscal year above include the effectsof the said standards. Accordingly, percentages of changes from the same period of the previous fiscal year are not indicated.
(2) Consolidated financial position
Total assets
Net assets
Equity ratio
Net assets per share
Millions of yen
Millions of yen%
Yen
As of June 30, 2021
61,50836,09658.7
4,413.53
As of March 31, 2021
58,76436,48462.1
4,461.06(Note) From the beginning of the 1st quarter of the current fiscal year ending March 31, 2022, the Company has applied “Accounting Standardfor Revenue Recognition” (ASBJ Statement No. 29). The figures for the 1st quarter of the current fiscal year above include the effectsof the said standards.
2. Cash dividends
Annual dividends per share

Year ended March 31, 2021
Year ending March 31, 2022

1st quarter-end

2nd quarter-end

3rd quarter-end

Fiscal year-end

Yen––

Yen
0.00

Yen–

Yen
115.00Yen
115.000.00–

105.00105.00Year ending March 31, 2022 (Forecast)Total

3. Forecast of consolidated financial results for the year ending March 31, 2022 (from April 1, 2021 to March 31, 2022)
Percentages indicate year-on-year changes
Profit attributable toNet sales
Operating profit
Ordinary profit
Earnings per shareowners of parent
Millions of yen% Millions of yen% Millions of yen% Millions of yen%
Yen
Full year
54,70025.4
2,370(9.7)
2,670 (12.5)
1,750(1.6)
209.121

4. Notes(1) Changes in significant subsidiaries during the three months ended June 30, 2021
(changes in specified subsidiaries resulting in the change in scope of consolidation):(2) Application of special accounting methods for preparing quarterly consolidated financial statements:

NoNo(3) Changes in accounting policies, changes in accounting estimates, and restatement of prior period financial statements
Changes in accounting policies due to revisions to accounting standards and other regulations:
Yes
Changes in accounting policies due to other reasons:No
Changes in accounting estimates:
No
Restatement of prior period financial statements:
No(4) Number of issued shares (common shares)
Total number of issued shares at the end of the period (including treasury shares)As of June 30, 2021

9,323,074 shares As of March 31, 2021

9,323,074 shares

1,144,990 shares As of March 31, 2021

1,144,747 shares

Number of treasury shares at the end of the period
As of June 30, 2021

Average number of shares during the period (cumulative from the beginning of the fiscal year)
Three months ended June 30, 2021

8,178,182 shares Three months ended June 30, 2020

28,449,028 shares

Quarterly consolidated financial statements
Consolidated balance sheets(Millions of yen)
As of March 31, 2021
AssetsCurrent assets
Cash and deposits
Notes and accounts receivable - trade, and contract assets
Investments in leases
Merchandise and finished goods
Work in process
Raw materials and supplies
Other
Allowance for doubtful accounts
Total current assets

As of June 30, 2021

7,413
13,489
550
57
6,732
2,523
863
(13)

8,362
20,638
461
52
809
2,459
910
(17)

31,61633,676

Non-current assets
Property, plant and equipment
Buildings and structures, net
Machinery, equipment and vehicles, net
Tools, furniture and fixtures, net
LandConstruction in progress
Other, net

4,14271628410,122
356
18

4,222
794
383
10,326369
42

Total property, plant and equipment

15,641

16,138

481

533

9,909
42
452
847(227)

9,835
211
480
860
(227)

Intangible assets
Investments and other assets
Investment securities
Deferred tax assets
Retirement benefit asset
Other
Allowance for doubtful accounts
Total investments and other assets
Total non-current assets
Total assets

3

11,024

11,16027,147

27,832

58,76461,508(Millions of yen)
As of March 31, 2021
Liabilities
Current liabilities
Notes and accounts payable - trade
Short-term borrowingsCurrent portion of long-term borrowings
Accrued expenses
Income taxes payable
Contract liabilities
Provision for bonuses
Provision for loss on order received
Provision for warranties for completed construction
Other
Total current liabilities
Non-current liabilities
Bonds payable
Long-term borrowings
Deferred tax liabilities
Deferred tax liabilities for land revaluation
Retirement benefit liability
Asset retirement obligations
Other
Total non-current liabilities

As of June 30, 2021

1,091
3,620
8
3,778
914
2,354
25930
348
681

1,534
6,120
54,083452
2,191––
400
1,053

13,086

15,840

1,000
4,580
2,138
1,095
107
230
41

1,000
4,580
2,104
1,095
381
311
98

9,193

9,571

Total liabilities

22,28025,412

Net assets
Shareholders' equity
Share capital
Capital surplus
Retained earnings
Treasury shares

18,5801,273
16,148(2,933)

18,5801,273
15,789(2,934)33,06832,709

Accumulated other comprehensive income
Valuation difference on available-for-sale securities
Deferred gains or losses on hedges
Revaluation reserve for land
Foreign currency translation adjustmentRemeasurements of defined benefit plans

3,937
9106(833)
195

3,868
6106(808)
210

Total accumulated other comprehensive income

3,415

3,384

0

2

36,48436,09658,76461,508

Total shareholders' equity

Non-controlling interests
Total net assets
Total liabilities and net assets

4Consolidated statements of income (cumulative) and consolidated statements of comprehensive income(cumulative)(Millions of yen)Three months ended
June 30, 2020Three months ended
June 30, 2021

Net sales
Cost of sales

9,798
7,476

18,014
15,486Gross profit2,321

2,527

Selling, general and administrative expenses

1,563

1,816

Operating profit

757

711

Non-operating income
Interest income
Dividend income
Foreign exchange gains
Other4145
–
25

1156
31
33

175

222

17178
212–
1198

14

Total non-operating income
Non-operating expenses
Interest expenses
Foreign exchange losses
Other
Total non-operating expenses
Ordinary profit

735

919

Extraordinary income
Gain on sale of non-current assets
Gain on sale of membership1––
9

Total extraordinary income

190
270––

Extraordinary losses
Loss on retirement of non-current assets
Retirement benefits for directors (and other officers)
Loss on disaster90

Profit before income taxes

Total extraordinary losses

727

928

Income taxes - current
Income taxes - deferred

321(59)392(54)

Total income taxes

262

337

Profit

465

590

465
(0)

590
(0)

662
3(128)
17(68)
(2)
25
15

555

(30)

Comprehensive income

1,020

560

Comprehensive income attributable toComprehensive income attributable to owners of parent
Comprehensive income attributable to non-controlling interests

1,021
(0)

560
(0)

Profit attributable toProfit attributable to owners of parent
Loss attributable to non-controlling interests
Other comprehensive income
Valuation difference on available-for-sale securities
Deferred gains or losses on hedges
Foreign currency translation adjustment
Remeasurements of defined benefit plans, net of tax
Total other comprehensive income5