February 10, 2022
Consolidated Third Quarter Results
April 1, 2021 through December 31, 2021 of Fiscal Year Ending on March 31, 2022

Figures in Million Yen, unless otherwise noted
1. Revenue and Income

from April 1, 2021 through December 31, 2021
Revenue(Note1)

OperatingIncome

Ordinary
IncomeNet Income

Net Income
Per Share(Note1)

Current Fiscal Year (FY2022)
Through 3 Quarters

24,254

1,641

1,992

1,458

144.04Yen

Converted into Million
U.S. dollars (Note2)

218.2

14.7

17.9

13.1

US$1.29

Last Fiscal Year (FY2021)
Through 3 Quarters

21,893▲681▲513▲1,478▲147.56Yen

Change to FY2022 Q1-Q3
from FY2021 Q1-Q3

2,361

2,322

2,506

2,937－Note1: “Net Income” in this paper is “Net Income attributable to owners of parent”
in current accounting standards
Note2: U.S. dollar amounts are converted from Yen, for convenience only,at the rate of US$1.00 = ¥111.14.

2. Financial Status

December 31, 2021
Total Assets

Net Assets

Capital to Asset
Ratio

End of FY 2022 Q3
42,318
17,10530.9%
December 31, 2021
Converted into Million
367.9
148.7
U.S. dollars (Note3)
End of FY 2021
40,65815,313
28.3%
March 31, 2021
Note: U.S. dollar amounts are converted from Yen, for convenience only,at the rate of US$1.00 = ¥115.02

Net Assets
Per Share
1,078.30Yen
US$9.37
940.17Yen3. Forecast of Current Fiscal Year, which will end on March 31, 2022
Forecast released(Release Date)(Note)

Revenue

Operating
IncomeOrdinary
IncomeNet Income

Net Income
Per Share

34,000

1,800

2,200

1,800

177.97Yen

Whole FY
(January 21,2022)(Note)

Note: “Net Income” in this paper is “Net Income attributable to owners of parent”in current accounting standards

Observation of Current First Half Result
During the first 3 Quarters of the Fiscal Year (FY) 2021 (April toDecember, 2021), the sales of Semiconductor-related products continued tobe strong since their recoveries during the Second Half of previous FY.
Sales of toner products are also good, thanks to the solid order inflows andalso assisted by the Yen depreciation trend that is especially strong during 3rdQuarter.

As a result, the first 3 Quarters sales numbers reached ¥24,254

million, up ¥2,361 million or 10.8% from that of previous FY.

Beginning current FY, TOMOEGAWA has adopted ASBJ Statement
No. 29 Accounting Standard for Revenue Recognition, whose effect on ourFirst 3 Quarters’ sales is ▲¥1,366 million.

If we compare current First 3Quarters’ sales and that of last FY under the previous Revenue Recognition
standard, it should have been an increase of ¥3,727 million or 17.0%.

As for the profit, our consolidated Operating Income was ¥1,641
million, up ¥2,322 million from last FY’s First 3 Quarters number, thanks to thesteady earnings production from Electronics Material Division and Imaging
Materials Division, while the business of Optical Film used on smartphones,
which provided considerable profit contribution during Second Quarter,
remains as a temporary occurrence. The multi-task worker training on ourstaff and flexible staff allocation enabled us to handle increasing andfluctuating demand with less-than estimated cost.

In addition, the effect of

the fixed cost reduction activities and structural reform activities we have been
conducting for several years, also contributed to this profit increase. The
effect of Revenue Recognition standard change on our Operating Income isabout ▲¥10 million.

The consolidated Ordinary Income, which includes the equity gainfrom an affiliated company that processes optical films used for display
products, is ¥1,992 million, up ¥2,506 million from that of same period of lastFY.

Net Income improved to ¥1,458 million, up ¥2,937 million from thatsame period of last FY, thanks to the Special Income derived from the partial
asset transfer in traditional paper business to Sanzen Paper ManufacturingCo., Ltd.

The Forecast of the reminder of FY2022
During current Fourth Quarter, several negative factors should beconsidered, such as the rebound effect of advancing scheduled shipments
during December that was made to navigate through logistics constraints,
factory shut-downs in China during Luna New Year holidays, acceleration of
the surge of material price and energy cost, and labor cost increase due tothe closure of temporary cost reduction method started during last FY.

On

the other hand, we do not foresee considerable change in strong outlook of
Semi-conductor market and toner-related market during current FY.

OnJanuary 21, 2022, under such circumstances, we announced the upwardrevision of our FY forecast and the revision of dividend forecast fromprevious no-dividend outlook.

Toward the end of current FY, we will actively make the steadyinstallment of planned construction that have been delayed by sudden
production increase or delay in arrival of necessary materials. We will also
make the active inventory clearance and evaluate the revision of the basis
used in the lower-of-cost method application, to handle the effect of the No.9
Paper Milling Machine shutdown.

By doing so, we pursue the improvementof Balance Sheet status, making sure to reach the newly published FinancialTargets, and accomplish even more improvement of our corporate structure.

Your continuous support of TOMOEGAWA will be greatly appreciated.