Note: This document has been translated from the Japanese original for reference purposes only. In the event of any discrepancy
between this translated document and the Japanese original, the original shall prevail.

November 10, 2022

Consolidated Financial Results for the Six Months Ended September 30, 2022
[Under Japanese GAAP]
Company name:
RIKEN KEIKI Co., Ltd.
Listing: Tokyo Stock Exchange
Securities code:
7734
URL:
https://www.rikenkeiki.co.jp/
Representative:
Junichi Koyano, President
Inquiries: Takuro Maeda, General Manager, Accounting Department, Corporate Administration Division
Telephone:+81-3-3966-1128
Scheduled date to file quarterly securities report:
November 10, 2022
Scheduled date to commence dividend payments:
December 8, 2022
Preparation of supplementary materials on quarterly financial results: None
Holding of quarterly financial results briefing:
None(Yen amounts are rounded down to millions, unless otherwise noted.)1.

Consolidated Financial Results for the Six Months Ended September 30, 2022 (from April 1, 2022 to September
30, 2022)(1) Consolidated Operating Results (Cumulative)(Percentages indicate year-on-year changes.)
Net sales

Operating profit

Net profit attributable toowners of parent

Ordinary profit

Six months ended
Millions of yen%
Millions of yen%
Millions of yen%
Millions of yen
September 30, 2022
22,404
22.6
6,408
47.4
6,633
47.3
4,546
September 30, 2021
18,278
19.0
4,346
53.4
4,503
55.6
3,167
Note: Comprehensive income
For the six months ended September 30, 2022: ¥5,610 million [36.0%]
For the six months ended September 30, 2021: ¥4,125 million [97.7%]
Eearnings per share-BasicSix months ended
September 30, 2022
September 30, 2021

%

43.5
58.1

Earnings per share- Diluted-

Yen

Yen

195.29136.11-(2) Consolidated Financial Position
Total assets

Net assets

As ofMillions of yen
September 30, 2022
73,952
March 31, 2022
71,606
Reference: Equity
As of September 30, 2022:
As of March 31, 2022:2.

Equity-to-asset ratio

Millions of yen

Net assets per share%

60,13356,858

Yen

81.3
78.4

2,582.68
2,412.75¥60,133 million¥56,160 million

Cash Dividends
First quarter-end
Yen

Annual dividends per share
Second quarter-end Third quarter-end
Fiscal year-end
Yen

Fiscal year ended March
31, 2022
21.00
Fiscal year ending March
31, 2023
40.00
Fiscal year ending March
31, 2023 (Forecast)
Note: Revisions to the forecast of cash dividends most recently announced: Yes

Total

Yen

Yen

Yen

-

39.00

60.00

-

40.00

80.00

3.

Consolidated Financial Results Forecast for the Fiscal Year Ending March 31, 2023 (from April 1, 2022 to March
31, 2023)(Percentages indicate year-on-year changes.)
Net sales
Millions of yen

Operating profit%

Millions of yen

Net profit attributableto owners of parent

Ordinary profit%

Millions of yen

Full year
42,800 14.5
11,450 36.3
12,000Note: Revision to the forecast of the financial results most recently announced: Yes

%

36.1

Millions of yen

8,400

%

40.8

Earnings per
share
Yen

360.80* Notes(1) Changes in significant subsidiaries during the period (changes in specified subsidiaries resulting in the change inscope of consolidation): None
Newly included: - companies (Company name)
Excluded:- companies (Company name)(2) Adoption of accounting treatment specific to the preparation of quarterly consolidated financial statements: None
(3) Changes in accounting policies, changes in accounting estimates, and restatement(i) Changes in accounting policies due to revisions to accounting standards and other regulations: Yes(ii) Changes in accounting policies due to other reasons: None(iii) Changes in accounting estimates: None(iv) Restatement: None
(4) Number of issued shares (common shares)(i)

Total number of issued shares at the end of the period (including treasury shares)
As of September 30, 2022
As of March 31, 2022

(ii)

23,661,000 shares
23,661,000 shares

Number of treasury shares at the end of the period
As of September 30, 2022
As of March 31, 2022

377,541 shares
384,642 shares(iii) Average number of shares outstanding during the period (cumulative from the beginning of the fiscal year)
Six months ended September 30, 2022
Six months ended September 30, 2021

23,279,379 shares
23,269,750 shares*Quarterly financial results reports are exempt from quarterly review conducted by certified public accountants or an
audit corporation.
*Proper use of earnings forecasts, and other special matters
The forward-looking statements such as financial results forecasts contained in this document are based on
information currently available to the Company and certain assumptions deemed to be reasonable, and the Company
does not guarantee the achievement of them. Actual financial results may differ significantly from the forecasts due
to various factors. For the assumptions underlying the financial results forecasts and cautions concerning the use
thereof, please refer to “(3) Explanation of Consolidated Financial Results Forecasts and Other Forward-Looking
Information” in “1. Qualitative Information on Financial Results for the First Six Months of the Current Fiscal Year”
on page 3 of the attachment.

○ Table of Contents of Attachment
1.

Qualitative Information on Financial Results for the First Six Months of the Current Fiscal Year.................... 2(1) Explanation of Operating Results ............................................................................................................... 2(2) Explanation of Financial Position ............................................................................................................... 2(3) Explanation of Consolidated Financial Results Forecasts and Other Forward-Looking Information ........ 3

2.

Quarterly Consolidated Financial Statements and Significant Notes Thereto .................................................... 4(1) Quarterly Consolidated Balance Sheet ....................................................................................................... 4(2) Quarterly Consolidated Statement of Income and Quarterly Consolidated Statement of Comprehensive
Income ........................................................................................................................................................ 6
Quarterly Consolidated Statement of Income ............................................................................................. 6
First six months ..................................................................................................................................... 6
Quarterly Consolidated Statement of Comprehensive Income ................................................................... 7
First six months ..................................................................................................................................... 7(3) Quarterly Consolidated Statement of Cash Flows ...................................................................................... 8(4) Notes to Quarterly Consolidated Financial Statements ............................................................................ 10(Notes on Going Concern Assumptions) .................................................................................................. 10(Change in Scope of Consolidation or Adoption of the Equity Method).................................................. 10(Notes on Substantial Changes in the Amount of Shareholders’ Equity) ................................................. 10(Changes in Accounting Policies) ............................................................................................................. 10(Changes in Presentation Methods) .......................................................................................................... 10(Business Combination) ............................................................................................................................111

1.

Qualitative Information on Financial Results for the First Six Months of the Current
Fiscal Year

(1)

Explanation of Operating Results
In the first six months of the fiscal year under review, the outlook for the Japanese economy continued toremain uncertain due to currency fluctuations with a sharp depreciation of the yen and soaring resource prices
caused by the situation with Russia and Ukraine. Meanwhile, government restrictions on economic activities
were eased even though there was a resurgence of COVID-19, and the Japanese economy avoided such a dropin economic activities as experienced in the past COVID-19 outbreaks.
In the industrial disaster prevention and safety device industry to which the Group belongs, capital investmentin the semiconductor industry in East Asia (mainly Japan, China and Taiwan), our main customer, as well as
the lithium-ion battery industry in China and the EU region, remained steady. However, sufficient caution isnecessary regarding the impact of a supply shortage of components, such as semiconductors, soaring resource
prices, and other factors, and the outlook will remain uncertain.
Under these circumstances, in addition to taking measures to prevent COVID-19, the Group has continued toreduce costs by streamlining production, thoroughly cut expenses, developed sales activities online,
aggressively invested in new product development, and enhanced its quality control and service systems.
As a result of these measures, net sales for the first six months of the fiscal year under review were 22,404
million yen (up 22.6% year-on-year), operating profit was 6,408 million yen (up 47.4% year-on-year),ordinary profit came to 6,633 million yen (up 47.3% year-on-year), and net profit attributable to owners ofparent was 4,546 million yen (up 43.5% year-on-year).
As the Group engages in a single segment of the manufacture and sale of various types of industrial
measurement devices and their related businesses, in place of the operating results by segment, sales by device
type are described below.

(i) Fixed gas detection alarm devices
Net sales of fixed gas detection alarm devices for the first six months of the fiscal year under review were
15,341 million yen (up 20.3% year-on-year).
(ii) Portable gas detection alarm devices
Net sales of portable gas detection alarm devices for the first six months of the fiscal year under review were
6,475 million yen (up 30.9% year-on-year).
(iii)Other measurement devices
Net sales of other measurement devices for the first six months of the fiscal year under review were 588
million yen (up 1.9% year-on-year).

(2) Explanation of Financial Position(i) Assets, liabilities and net assets
At the end of the second quarter of the fiscal year under review, assets totaled 73,952 million yen, an increaseof 2,346 million yen (up 3.3%) compared with the end of the previous fiscal year. Current assets increased
2,582 million yen from the end of the previous fiscal year to 45,834 million yen. This was mainly due to a2,142 million yen increase in notes and accounts receivable–trade, a 1,293 million yen increase in raw
materials and supplies, and a 1,154 million yen increase in work in process, despite a 1,055 million yen
decrease in cash and deposits, and a 1,293 million yen decrease in securities. Non-current assets fell 236
million yen from the end of the previous fiscal year to 28,118 million yen. This was mainly due to a 205
million yen decrease in buildings and structures, net.
At the end of the second quarter of the fiscal year under review, liabilities totaled 13,819 million yen, adecrease of 928 million yen (down 6.3%) compared with the end of the previous fiscal year. Current liabilities
fell 731 million yen from the end of the previous fiscal year to 11,400 million yen. This was mainly due to a2

405 million yen decrease in notes and accounts payable–trade. Non-current liabilities fell 197 million yen
from the end of the previous fiscal year to 2,419 million yen. This was mainly due to a 174 million decreasein long-term borrowings and a 142 million decrease in long-term lease liabilities included in other non-current
liabilities, which offset a 123 million yen increase in deferred tax liabilities included in other non-current
liabilities.
At the end of the second quarter of the fiscal year under review, net assets totaled 60,133 million yen, an
increase of 3,274 million yen (up 5.8%) compared with the end of the previous fiscal year. This was mainly
due to a 3,829 million yen increase in retained earnings as a result of recording 4,546 million yen in net profit
attributable to owners of parent and dividend payment of 907 million yen, which offset an 803 million yen
decrease in capital surplus and a 698 million yen decrease in non-controlling interests as a result of theacquisition of additional shares of a subsidiary of RKI Instruments, Inc., a consolidated subsidiary in the
United States.
(ii) Cash flows
At the end of the second quarter of the fiscal year under review, cash and cash equivalents decreased 1,987
million yen from the end of the previous fiscal year to 16,002 million yen.
Cash flows and factors affecting cash flows in the first six months of the fiscal year under review are as
follows.
(Cash flows from operating activities)
Net cash used in operating activities was 353 million yen (in the same period of the previous fiscal year, 4,833
million yen was provided by operating activities), mainly due to an increase in trade receivables of 1,964
million yen, an increase in inventories of 2,162 million yen, and income tax paid of 1,816 million yen. Thiswas despite recording profit before income taxes of 6,427 million yen and depreciation of 852 million yen.
(Cash flows from investing activities)
Net cash used in investing activities was 81 million yen, a decrease of 1,691 million yen year-on-year, mainly
due to the purchase of securities of 792 million yen, purchase of property, plant and equipment of 363 million
yen and payments into time deposits of 414 million yen. This was despite recording proceeds from redemptionof securities of 1,049 million yen and proceeds from withdrawal of time deposits of 414 million yen.
(Cash flows from financing activities)
Net cash used in financing activities was 2,965 million yen, an increase of 821 million yen year-on-year,
mainly due to dividends paid of 906 million yen and purchase of shares of subsidiaries not resulting in change
in scope of consolidation of 1,608 million yen.

(3)

Explanation of Consolidated Financial Results Forecasts and Other Forward-Looking
Information
The full-year financial results forecast has been revised from the forecast announced on May 12, 2022.
For details, please refer to the “Notice Concerning Difference between Forecast and Actual Financial Results
for the First Six Months of the Fiscal Year Ending March 31, 2023 and Revision of the Full-Year Financial
Results Forecast” announced today (November 10, 2022).

3

2.

Quarterly Consolidated Financial Statements and Significant Notes Thereto(1)

Quarterly Consolidated Balance Sheet(Unit: Thousand yen)
As of the end of the previous fiscal As of the end of the second quarteryear
of the fiscal year under review(March 31, 2022)(September 30, 2022)

AssetsCurrent assets
Cash and deposits

11,551,206

10,495,733

Notes and accounts receivable–trade

9,198,690

11,341,129

Electronically recorded monetary claims-operating

3,519,418

3,795,733

Securities

9,952,268

8,658,533

Merchandise and finished goods

2,744,435

2,665,703

Work in process

3,307,349

4,461,686

Raw materials and supplies

2,391,516

3,684,634

Other591,190

736,453

Allowance for doubtful accounts(3,697)(4,778)43,252,378

45,834,829

11,317,187

11,111,488

358,475

386,735

4,079,123

4,053,367

46,435

142,889

Other, net

1,639,162

1,526,889

Total property, plant and equipment

17,440,385

17,221,371

Goodwill

595,387

612,400

Customer-related assets

830,848891,796

Total current assets
Non-current assets
Property, plant and equipment
Buildings and structures, net
Machinery, equipment and vehicles, net
LandConstruction in progress

Intangible assets

Other

436,567

389,601

1,862,803

1,893,798

Investment securities

5,881,220

5,743,661

Retirement benefit asset

1,813,344

1,851,211

Other

Total intangible assets
Investments and other assets

1,359,851

1,411,558

Allowance for doubtful accounts(3,500)(3,500)Total investments and other assets

9,050,916

9,002,931

Total non-current assets
Total assets

4

28,354,106

28,118,101

71,606,484

73,952,930

(Unit: Thousand yen)
As of the end of the previous fiscal As of the end of the second quarteryear
of the fiscal year under review(March 31, 2022)(September 30, 2022)
Liabilities
Current liabilities
Notes and accounts payable–trade4,625,929

4,220,170

Short-term borrowings

995,000

975,000

Current portion of bonds payable

300,000

300,000

Income taxes payable

1,786,207

1,862,551

Provision for bonuses

920,836

1,296,228

Provision for product warranties

98,23984,892

Provision for loss on orders received

32,00839,031Other

3,372,969

2,622,271

Total current liabilities

12,131,190

11,400,145

Long-term borrowings

850,580

676,460

Asset retirement obligations

11,133

11,133

Other

1,754,861

1,731,564

Total non-current liabilities

2,616,574

2,419,157

14,747,765

13,819,302

Share capital

2,565,500

2,565,500

Capital surplus

1,885,187

1,081,772

Retained earnings

49,604,449

53,434,326

Treasury shares(226,384)(222,497)

Total shareholders’ equity

53,828,752

56,859,101

1,853,706

1,706,262

Non-current liabilities

Total liabilities
Net assets
Shareholders’ equity

Accumulated other comprehensive income
Valuation difference on available-for-sale securities
Foreign currency translation adjustment
Total accumulated other comprehensive income
Non-controlling interests
Total net assets
Total liabilities and net assets

5477,683

1,568,264

2,331,389

3,274,526

698,577-

56,858,719

60,133,627

71,606,484

73,952,930

(2)Quarterly Consolidated Statement of Income and Quarterly Consolidated Statement ofComprehensive Income
Quarterly Consolidated Statement of Income
First six months(Unit: Thousand yen)First six months of the previous
fiscal year
(From April 1, 2021 to September
30, 2021)

First six months of the fiscal year
under review(From April 1, 2022 to September
30, 2022)

Net sales

18,278,841

22,404,903

Cost of sales

9,127,858

10,426,788

Gross profit

9,150,982

11,978,115

Selling, general and administrative expenses

4,804,198

5,569,695

Operating profit

4,346,783

6,408,419

Interest income

21,65732,285

Dividend income

56,57760,895

Foreign exchange gains

47,617352,391

Insurance claim and dividend income

9,381

8,237

460

19,133

9,682-

Non-operating income

Gain on sale of securities
Gain on valuation of securities
Miscellaneous income

43,24942,149Total non-operating income

188,627

515,093

Interest expenses

24,547

22,126

Loss on retirement of non-current assets

4,117

0

Non-operating expenses

Loss on sale of securities-

17,430Loss on valuation of securities-

243,299

Miscellaneous losses

3,397

6,990

Total non-operating expenses

32,062289,847

4,503,349

6,633,665

Gain on sale of non-current assets

-

2,559

Total extraordinary income

-

2,559

Ordinary profit
Extraordinary income

Extraordinary losses
Loss on sale of non-current assets

258

1,141

Impairment losses-

26,160Loss on valuation of investment securities-

79,528Loss on disposal of non-current assets-

102,000

258

208,830

Profit before income taxes

4,503,090

6,427,394

Income taxes–current

1,277,940

1,759,373

Income taxes–deferred(2,749)128,647

Total income taxes

1,275,191

1,888,020

Net profit

3,227,899

4,539,373

60,586(6,840)3,167,312

4,546,213

Total extraordinary losses

Net profit (loss) attributable to non-controlling interests
Net profit attributable to owners of parent

6

Quarterly Consolidated Statement of Comprehensive Income
First six months(Unit: Thousand yen)

Net profit
Oher comprehensive income
Valuation difference on available-for-sale securities

First six months of the previous
First six months of the fiscal year
fiscal year
under review(From April 1, 2021 to September (From April 1, 2022 to September
30, 2021)
30, 2022)
3,227,899
4,539,373

Foreign currency translation adjustment
Total other comprehensive income
Comprehensive income(attributable to)Comprehensive income attributable to owners of parent
Comprehensive income attributable to non-controllinginterests

7451,352446,661(147,443)
1,218,144

898,013

1,070,700

4,125,913

5,610,074

3,975,056

5,489,350

150,856

120,723(3)Quarterly Consolidated Statement of Cash Flows(Unit: Thousand yen)First six months of the previous
fiscal year
(From April 1, 2021 to September
30, 2021)

First six months of the fiscal year
under review(From April 1, 2022 to September
30, 2022)

4,503,090

6,427,394

Depreciation

844,368

852,809

Amortization of goodwill

73,80890,484-

26,160(1,920)629

Cash flows from operating activities
Profit before income taxes

Impairment losses
Increase (decrease) in allowance for doubtful accounts
Increase (decrease) in provision for bonuses

8,100

375,391

Increase (decrease) in provision for product warranties(36,005)(13,347)

Decrease (increase) in retirement benefit asset(67,096)(37,867)

Increase (decrease) in provision for loss on orders
received
Interest and dividend income

432

7,023

(78,235)(93,181)

Insurance claim income(9,381)(8,237)

Interest expenses

24,547

22,126(175,142)(767,688)

Loss (gain) on sale of non-current assets

258(1,417)

Loss on retirement of non-current assets

4,117

0

Foreign exchange losses (gains)

Loss (gain) on disposal of non-current assets-

102,000

Decrease (increase) in trade receivables(302,434)(1,964,992)

Decrease (increase) in inventories(752,043)(2,162,407)

Increase (decrease) in trade payables

387,653(842,025)

Increase (decrease) in accrued consumption taxes

706,186(470,044)(460)(1,703)(9,682)

243,299-

79,528

Other

576,633(492,011)

Subtotal

Loss (gain) on sale of securities
Loss (gain) on valuation of securities
Loss (gain) on valuation of investment securities

5,696,793

1,371,925

Interest and dividends received

78,68594,450Interest paid

(24,547)(22,126)

Proceeds from insurance income

19,79919,135

Income tax paid

(936,918)(1,816,714)

Net cash provided by (used in) operating activities

4,833,811(353,330)8

(Unit: Thousand yen)First six months of the previous
fiscal year
(From April 1, 2021 to September
30, 2021)

First six months of the fiscal year
under review(From April 1, 2022 to September
30, 2022)(1,321,208)(792,292)

Cash flows from investing activities
Purchases of securities
Proceeds from sale of securities

140,936

263,399

Proceeds from redemption of securities

41,0901,049,050(356,400)(414,000)

Payments into time deposits
Proceeds from withdrawal of time deposits

332,640

414,000

Purchase of property, plant and equipment(588,232)(363,014)

2,741

8,869

(33,553)(102,000)

Proceeds from sale of property, plant and equipment
Payments for retirement of property, plant andequipment
Purchases of intangible assets(23,154)(36,170)

Purchase of investment securities(2,441)(109,531)

Proceeds from redemption of investment securities

41,090-

Payments for asset retirement obligations(6,282)-(1,772,774)(81,690)

Repayments of long-term borrowings(194,120)(194,120)

Repayments of finance lease liabilities(218,280)(229,860)

Net cash provided by (used in) investing activities
Cash flows from financing activities

Net decrease (increase) in treasury shares

(85)

(349)

Dividends paid

(512,521)(906,169)

Dividends paid to non-controlling interests(33,479)(25,701)

Purchase of shares of subsidiaries not resulting inchange in scope of consolidation(1,185,072)(1,608,888)

Net cash provided by (used in) financing activities(2,143,560)(2,965,090)

303,767

1,174,065

Net increase (decrease) in cash and cash equivalents

1,221,244(2,226,046)

Cash and cash equivalents at beginning of period

13,932,676

17,989,503-

238,914

15,153,921

16,002,371

Effect of exchange rate change on cash and cash
equivalents

Increase in cash and cash equivalents resulting from
inclusion of subsidiaries in consolidation
Cash and cash equivalents at end of period

9

(4)

Notes to Quarterly Consolidated Financial Statements(Notes on Going Concern Assumptions)Not applicable.
(Change in Scope of Consolidation or Adoption of the Equity Method)(Material Changes in the Scope of Consolidation)
RIKEN KEIKI GmbH is included in the scope of consolidation due to its increased importance from thefirst quarter of the fiscal year under review.
(Notes on Substantial Changes in the Amount of Shareholders’ Equity)

During the second quarter of the fiscal year under review, capital surplus decreased by 803,415 thousand
yen due to the acquisition of additional shares of RKI Instruments, Inc., a consolidated subsidiary of theCompany, from non-controlling shareholders.
As a result, capital surplus was 1,081,772 thousand yen at the end of the second quarter of the fiscal year
under review.
(Changes in Accounting Policies)(Adoption of the Implementation Guidance on Accounting Standard for Fair Value Measurement)
The Company has adopted the “Implementation Guidance on Accounting Standard for Fair Value
Measurement” (ASBJ Guidance No. 31, June 17, 2021; hereinafter referred to as the “Implementation
Guidance on Fair Value Measurement Accounting Standard”) from the beginning of the first quarter of the
fiscal year under review, adopting the new accounting policies defined in the Implementation Guidanceon Fair Value Measurement Accounting Standard prospectively, according to the transitional treatment
specified in Paragraph 27-2 of the Implementation Guidance on Fair Value Measurement AccountingStandard. This has no impact on the quarterly consolidated financial statements.
(Changes in Presentation Methods)(Quarterly Consolidated Statement of Cash Flows)“Loss (gain) on valuation of securities,” which was included in “Other” under “Cash flows from operating
activities” in the first six months of the previous fiscal year, is stated separately from the first six monthsof the fiscal year under review due to its increased materiality. The quarterly consolidated financial
statements for the first six months of the previous fiscal year have been reclassified to reflect this change
in presentation method.
As a result, the 566,950 thousand yen presented in “Other” under “Cash flows from operating activities”
in the first six months of the previous fiscal year has been reclassified into “Loss (gain) on valuation of
securities” of 9,682 thousand yen and “Other” of 576,633 thousand yen.

10

(Business Combination)

Transactions under common control, etc.
Additional acquisition of subsidiary’s shares
1.

Overview of transactions(1) Name and business description of constituent company
Name of constituent company:

RKI Instruments, Inc.

Description of business:

Sales and after-sales maintenance services for gas detection alarm
devices(2) Date of business combination
July 1, 2022
(3) Legal form of business combination
Acquisition of shares from non-controlling shareholders(4) Name of the company after business combination
Name to remain unchanged.
(5) Other matters concerning the overview of transactions
The Company acquired the shares of RKI Instruments, Inc., a consolidated subsidiary that sells gas
detection alarm devices and provides after-sales maintenance services in the United States, in order
to increase its ownership interest. After the acquisition, the Company’s voting rights ratio in RKI
Instruments, Inc. increased from 75.0% to 100.0%.
2.

Overview of accounting procedures adopted
In accordance with “Accounting Standard for Business Combinations” (ASBJ Statement No. 21,
January 16, 2019) and “Implementation Guidance on Accounting Standard for Business
Combinations and Accounting Standard for Business Divestitures” (ASBJ Guidance No. 10, January
16, 2019), the transaction is treated as a transaction under common control with non-controllingshareholders.

3.

Additional acquisition of subsidiary’s shares
Consideration for acquisition cost and breakdown by type
Consideration for the acquisition

Cash

Acquisition cost
4.

1,609,550 thousand yen
1,609,550 thousand yen

Changes in the equity interest of the Company in relation to the additional acquisition from noncontrolling shareholders(1) Major factors for changes in capital surplus
Additional acquisition of subsidiary’s shares(2) Amount of capital surplus decreased due to transactions with non-controlling shareholders
813,870 thousand yen

11