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 Six Months Ended September 30, 2022
(Based on Japanese GAAP)
November 14, 2022
Company name:
MELCO HOLDINGS INC.
Stock exchange listing: Tokyo, Nagoya
Stock code:
Representative:

6676
URL https://melco-hd.jp/President and CEO

Hiroyuki Maki

Inquiries:
General Manager, IR DivisionScheduled date to file Quarterly Securities Report:

Yasukazu Kouketsu
November 14, 2022

Scheduled date to commence dividend payments:
Preparation of supplementary material on quarterly financial results:

December 6, 2022
Yes

Holding of quarterly financial results meeting:Yes

TEL 03-4213-1122(for analysts and institutional investors)(Amounts less than one million yen are rounded down)
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)
Net sales
Six months ended September 30, 2022
Six months ended September 30, 2021

Millions of yen
68,707
70,143

Percentages indicate year-on-year changes
Profit attributable toOperating profit
Ordinary profit
owners of parent% Millions of yen% Millions of yen% Millions of yen%(2.0)
3,310 (51.7)
3,318 (54.3)
2,190 (56.9)
–
6,859
67.3
7,262
69.5
5,082
79.2

Earnings per share

Diluted earnings per share

Yen
129.80326.55Six months ended September 30, 2022
Six months ended September 30, 2021

Yen––(2) Consolidated financial position
Total assets
As of September 30, 2022
As of March 31, 2022

Net assets

Millions of yen
97,66095,798Equity ratio

Millions of yen
62,87863,123

Net assets per share%
64.4
65.9

Yen
3,725.12
3,739.64

2. Cash dividends
Annual dividends per share

Year ended March 31, 2022
Year ending March 31, 2023

1st quarter-end

2nd quarter-end

3rd quarter-end

Fiscal year-end

Yen––

Yen
50.00
60.00

Yen–

Yen
60.00

Yen
110.00–60.00120.00Year ending March 31, 2023 (Forecast)Total

3. Forecast of consolidated financial results for the year ending March 31, 2023 (from April 1, 2022 to March 31, 2023)
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
150,000
4.1
6,500 (48.8)
7,000 (46.5)
5,000 (46.5)
296.32

1

4. Notes(1) Changes in significant subsidiaries during the six months ended September 30, 2022
(changes in specified subsidiaries resulting in the change in scope of consolidation):No(2) Application of special accounting methods for preparing quarterly consolidated financial statements:

No(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:
Changes in accounting policies due to other reasons:

Yes
No

Changes in accounting estimates:
Restatement of prior period financial statements:

NoNo(4) Number of issued shares (common shares)
Total number of issued shares at the end of the period (including treasury shares)
As of September 30, 2022

17,937,873 shares As of March 31, 2022

17,937,873 shares

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

1,064,486 shares As of March 31, 2022

1,064,359 shares

Average number of shares during the period (cumulative from the beginning of the fiscal year)
Six months ended September 30, 2022

16,873,494 shares Six months ended September 30, 2021

215,564,530 shares

Quarterly consolidated financial statements
Consolidated balance sheets(Millions of yen)
As of March 31, 2022

As of September 30, 2022

AssetsCurrent assets
Cash and deposits
Notes and accounts receivable - trade, and contract assets

21,834
15,93026,86614,994

Securities
Merchandise and finished goods

6,687
15,848–16,895

Raw materials and supplies
Other

5,963
3,463

8,328
3,812

Allowance for doubtful accounts

(6)

(8)

69,72270,888Property, plant and equipment
Intangible assets

11,033
2,012

11,0543,040

Investments and other assets
Investment securities

10,662

10,449Other
Allowance for doubtful accounts

2,486
(118)

2,352
(125)

Total investments and other assets

13,03012,676

26,075

26,772

95,79897,66013,466

16,421

807
861

752
511

Income taxes payable
Accrued expenses

1,507
3,142

1,089
2,920

Accounts payable - other
Contract liabilities

3,820
4,078

5,022
4,202

26
79

16
74

Other

1,826

800

Total current liabilities

29,61831,813

99
2,305

–
2,277

Provision for retirement benefits for directors (and otherofficers)

237

345

Provision for recycles
Other141
271

140
205

3,056

2,969

32,67434,782

Total current assets
Non-current assets

Total non-current assets
Total assets
Liabilities
Current liabilities
Notes and accounts payable - trade
Electronically recorded obligations - operating
Current portion of long-term borrowings

Provision for bonuses for directors (and other officers)
Provision for product warranties

Non-current liabilities
Long-term borrowings
Retirement benefit liability

Total non-current liabilities
Total liabilities

3

(Millions of yen)
As of March 31, 2022

As of September 30, 2022

Net assets
Shareholders' equity
Share capital

1,000

1,000Capital surplus
Retained earnings

250
64,898250
64,513

Treasury shares(3,486)(3,486)

Total shareholders' equity

62,66262,277

Valuation difference on available-for-sale securities
Deferred gains or losses on hedges

605
243

552
229

Foreign currency translation adjustment
Remeasurements of defined benefit plans

(110)
(299)

44(247)

Total accumulated other comprehensive income

438

578

Accumulated other comprehensive income

Share acquisition rights
Total net assets
Total liabilities and net assets

422

22

63,12362,87895,79897,660Consolidated statements of income (cumulative) and consolidated statements of comprehensive income(cumulative)
Consolidated statements of income (cumulative)(Millions of yen)Six months ended

Six months ended

September 30, 2021

September 30, 2022

Net sales
Cost of sales

70,143
48,427

68,70749,884Gross profit

21,715

18,823

Selling, general and administrative expenses

14,855

15,512

Operating profit

6,859

3,310

Interest income
Royalty income

0150

035

Dividend income
Share of profit of entities accounted for using equity method

142
191
25

Subsidy income
Other13463–
76

Total non-operating income

492

228

Non-operating income

Non-operating expenses
Interest expenses

42

Foreign exchange losses
Commission expenses

493183
3Other32

31

Total non-operating expenses

89

221

7,262

3,318

Ordinary profit
Extraordinary losses
Loss on retirement of non-current assets
Loss on litigation
Total extraordinary losses

23

13–

415

23

428

Profit before income taxes

7,239

2,889

Income taxes - current

2,254

646

Income taxes - deferred(97)52

Total income taxes

2,156

699

Profit

5,082

2,190

Profit attributable to owners of parent

5,082

2,190

5

Consolidated statements of comprehensive income (cumulative)(Millions of yen)

ProfitOther comprehensive income

Six months ended

Six months ended

September 30, 2021

September 30, 2022

5,082

2,190

Valuation difference on available-for-sale securities
Deferred gains or losses on hedges

(87)
(72)

(53)
(13)

Foreign currency translation adjustment
Remeasurements of defined benefit plans, net of tax

1349

9748

Share of other comprehensive income of entities accounted
for using equity method–60

Total other comprehensive income
Comprehensive income

(95)

139

4,987

2,329

4,987

2,329

Comprehensive income attributable toComprehensive income attributable to owners of parent

6Consolidated statements of cash flows(Millions of yen)Six months ended

Six months ended

September 30, 2021

September 30, 2022

Cash flows from operating activities
Profit before income taxes

7,239

2,889

Depreciation
Interest and dividend income

1,047
(142)

1,016
(91)

Share of loss (profit) of entities accounted for using equity
method(1)(25)

Interest expenses
Loss on litigation

4–2415(370)(6,950)2,066(3,319)

529
(298)

2,296
(370)

Other, net(1,488)(871)

Subtotal(432)4,008Interest and dividends received

142

293

Interest paid
Income taxes paid

(3)
(3,216)(1)(2,318)

Income taxes refund

91

124

(3,417)2,106(627)0(910)
2

Purchase of intangible assets
Purchase of short-term and long-term investment securities(310)(6,702)(1,506)(6,702)

Proceeds from sale and redemption of short-term and longterm investment securities

7,288

13,411Other, net

(34)

11

Net cash provided by (used in) investing activities

(385)

4,305

(449)
(4,668)

(449)
(0)

(636)

(1,012)

Net cash provided by (used in) financing activities(5,754)(1,462)

Effect of exchange rate change on cash and cash equivalents

1282

Net increase (decrease) in cash and cash equivalents(9,545)

5,031

Cash and cash equivalents at beginning of period

29,562

21,834

Cash and cash equivalents at end of period

20,017

26,866

Decrease (increase) in trade receivables
Decrease (increase) in inventories
Increase (decrease) in trade payablesIncrease (decrease) in accounts payable - otherNet cash provided by (used in) operating activities
Cash flows from investing activities
Purchase of property, plant and equipment
Proceeds from sale of property, plant and equipment

Cash flows from financing activities
Repayments of long-term borrowings
Purchase of treasury shares
Dividends paid7