EXEDY Corporation (7278) FY2023 3rd Quarter Financial Results
January 31, 2024

FY2023 3rd Quarter Consolidated Financial Results〔IFRS〕(April 1, 2023 through December 31, 2023)(English translation extracted from the original Japanese document)
Company Name:
Code No.:
Representative:
Contact Person:

EXEDY Corporation
Listing:Tokyo Stock Exchange
7278
URL: https://www.exedy.com
Tetsuya Yoshinaga, Representative Director, President
Hiroshi Toyohara, Representative Director, Senior Executive Managing Officer,
Executive General Manager of Administrative Headquarters
Telephone:+81-72-822-1152
Scheduled date to file quarterly securities report: February 13, 2024
Scheduled Date to commence dividend payments: None
Preparation of supplementary material on quarterly Financial Results : None
Holding of quarterly financial results briefing: None
(Note: All amounts less than one million yen is rounded off)

1. Consolidated Financial Results for the 3rd Quarter of FY2023 (April 1, 2023 to December 31, 2023)(1) Consolidated Operating Results (cumulative)(Percentage of change from previous year)
Revenue

FY2023 Q3
FY2022 Q3Profitbefore Tax

Operating Profit

Profit Attributable to
Owners of Parent

ProfitTotal
Comprehensive
IncomeMillionYen%

MillionYen%

MillionYen%

MillionYen%

MillionYen%

MillionYen%

231,881

8.7

11,52732.7

12,627

23.7

8,835

20.5

8,206

19.2

13,983

38.6

213,335

12.8

8,684

(31.3)

10,205(22.8)

7,331(22.4)

6,884(19.1)

10,087(18.6)

Basic Earnings
per Share

Diluted Earnings
per ShareYen
174.74146.64FY2023 Q3
FY2022 Q3

Yen-(2) Consolidated Financial Position
Total Assets
Million Yen
333,871
331,875

FY2023 Q3
FY2022Equity Attributableto Owners of Parent

Total Equity
Million Yen
247,679
239,901

Ratio for Equity Attributableto Owners of Parent

Million Yen
233,287
225,563

%
69.9
68.0

2. Dividends
Annual Dividends per Share
1st Quarter

2nd Quarter
Yen-

FY2022
FY2023
FY2023 (Forecast)

3rd Quarter

Yen
45.00
60.00

Yen
-

Fiscal Year-end
Yen
45.00

Total
Yen
90.00
120.0060.00(Note) Revisions of dividend forecast from recently announced figures: None

3. FY2023 Consolidated Financial Forecast (April 1, 2023 to March 31, 2024)(Percentage of change from previous year)

Revenue

FY2023Operating Profit

millions of yen%

310,000

8.5

Income before
Income Taxes

millions of yen%

millions of yen

13,00048.4

14,000%41.2

Profit Attributable to
Owners of Parent
millions of yen

9,000

%
96.1

Basic Earnings
Per Shareyen

191.64(Note) Revisions of financial forecast from recently announced figures: None

N o t e : T h i s d o c u m e n t h a s b e e n t r a n s l a t e d f r o m t h e J a p a n e s e o r i g i n a l f o r r e f e r e n c e p u r p o s e s o n l y. I n t h e e v e n t o f a n y
discrepancy between this translated document and the Japanese original, the original shall prevail.

EXEDY Corporation (7278) FY2023 3rd Quarter Financial Results※ General Notes(1) Changes in important subsidiaries during the period(Changes in specified subsidiaries due to changes in the scope of consolidation): Yes
New :1 company (name) Allegis LS 2023-10, a series of CGF2021 LLC, Excluded: - (name) (2) Changes in Accounting Policies, Accounting Estimations① Changes in accounting policies required by IFRS
：None
② Changes in accounting policies except ①：None③ Changes in accounting estimates：None(Note) For the details, refer to attachment p.10 “2. Quarterly Consolidated Financial Statements
and Principal Notes (4) Notes on Quarterly Consolidated Financial Statements”(3) Number of Outstanding Shares (Ordinary shares)①Number of shares outstanding at the
FY2023 Q3
end of period (including treasury shares)②Number of treasury shares at the end
FY2023 Q3of period③Average number of ordinary shares
FY2023 Q3outstanding during the period

48,593,736 shares

FY2022 Q4

48,593,736 shares

1,627,629 shares

FY2022 Q4

1,639,537 shares

46,960,316 shares

FY2022 Q3

46,942,795 shares(Note) The shares held within the ESOP trust accounts (FY2023 Q3: 81,200 shares, FY2022 Q4: 89,800 shares) are
included in the number of Treasury Shares at the end of period. Furthermore, the shares held within the ESOP trust
accounts are included in Treasury Shares that are deducted in the calculation of the average number of shares forthe period. (FY2023 Q3 : 85,690 shares, FY2022 Q3 : 94,880 shares)※ Quarterly financial statements are not subject to quarterly reviews by certified accountants or audit corporations.
※ Regarding the appropriate use of Financial forecasts and other information
The above forecast is based on the information available, or the assumptions which the company thinks reasonable asof the release of this report. Actual results might be different from the above estimates due to subsequent changes incircumstances.

EXEDY Corporation (7278) FY2023 3rd Quarter Financial Results

Table of Contents of Attachments
1. Qualitative Information on Quarterly Financial Results.…………………………………………………………………
(1) Explanation of Operating Results……………...……………………………………………………………………
(2) Explanation of Financial Position...…………………………………………………………………………………
(3) Explanation of Forecast of Consolidated Financial Results and Other Forward-Looking Information………
2. Quarterly Consolidated Financial Statements and Principal Notes…………………………………………………...
(1) Quarterly Consolidated Statement of Financial Position…………………………………………………………
(2) Quarterly Consolidated Statement of Income/Consolidated Statement of Comprehensive Income …………
(3) Quarterly Consolidated Statement of Changes in Equity……………………………………………………….…
(4) Notes on Quarterly Consolidated Financial Statements…………………………………………………………
(Notes for Going Concern) …………………………………………………………………….………….………
(Change of Accounting Policy) ……………………………………………………………………………………
(Change in Accounting Estimate) ………………………………………………………………………………….
(Segment Information) ……………………………………………………………………………………………

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EXEDY Corporation (7278) FY2023 3rd Quarter Financial Results

1. Qualitative Information on Quarterly Financial Results.
(1) Explanation of Operating Results
In the Third quarter of the current consolidated cumulative period, the revenue increased due to increase in orders
mainly in the AT (Automatic Automotive Drivetrain related business) segment, as well as passing on raw material
price increase to the selling price, and the impact of foreign exchange conversion due to depreciation of the yen.
In terms of profits, Operating profit increased due to increase in sales despite higher costs caused by high inflation
etc.
The results for the third quarter of the current consolidated cumulative period were, Revenue ¥ 231.9 billion(increased by 8.7% from the same period of the previous fiscal year), Operating profit ¥ 11.5 billion (increased by
32.7% from the same period of the previous fiscal year), Profit before tax ¥ 12.6 billion (increased by 23.7% fromthe same period of the previous fiscal year), Profit attributable to owners of the parent company was ¥8.2 billion(increased by 19.2% from the same period of the previous fiscal year).

<Segment Information>
The summary by type of reportable segment is as follows.
[MT (Manual Automotive Drivetrain related business)]
Revenue was ¥53.0 billion (decreased by 0.3% from the same period of the previous fiscal year). Segment profit
was ¥6.2 billion (decreased by 2.7% from the same period of the previous fiscal year) due to higher costs causedby high inflation etc., and due to decrease in order.
[AT (Automatic Automotive Drivetrain related business)]
Revenue was ¥152.9 billion (increased by 12.6% from the same period of the previous fiscal year). This was due
to increase in orders, as well as passing on raw material price increase to the selling price, and the impact of foreignexchange conversion due to depreciation of the yen. The segment profit was ¥4.6 billion (increased by 350.1%
from the same period of the previous fiscal year) due to increase in sales, despite higher costs caused by highinflation etc.
[TS (Industrial machine Drivetrain operations)]
Revenue was ¥11.1 billion (increased by 7.8% from the same period of the previous fiscal year). Segment profit
was ¥1.6 billion (increased by 43.4% from the same period of the previous fiscal year), due to increase in sales
and cost reduction efforts.
[Others]
Revenue was ¥14.8 billion (increased by 5.5% from the same period of the previous fiscal year). Segment profit
was ¥0.8 billion (increased by 22.0% from the same period of the previous fiscal year) due to increased sales ofmotorcycle clutches in the ASEAN region and cost reduction efforts.

<Location Information>
The summary by location is as follows.
[Japan]
Revenue was ¥96.0 billion (increased by 4.6% from the same period of the previous fiscal year). Operating profit
was ¥7.1 billion (increased by 49.7% from the same period of the previous fiscal year) due to increase in sales bypassing on raw material price increase to the selling price.
[Americas]
Revenue was ¥43.3 billion (increased by 16.6% from the same period of the previous fiscal year). Despite revenue
increased by the impact of exchange conversion due to depreciation of the yen, the operating loss was ¥2.4 billion(¥0.9 billion operating loss in the same period of the previous year) due to higher costs caused by productivity
decline and high inflation etc.

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EXEDY Corporation (7278) FY2023 3rd Quarter Financial Results[Asia and Oceania]
Revenue was ¥84.4 billion (increased by 8.0% from the same period of the previous fiscal year). This was due toincrease in orders, as well as passing on raw material price increase to the selling price, and the impact of foreignexchange conversion due to depreciation of the yen. Operating profit was ¥6.3 billion (increased by 18.0% fromthe same period of the previous fiscal year) due to increase in sales.
[Others]
Revenue was ¥8.3 billion (increased by 30.3% from the same period of the previous fiscal year). Operating profit
was ¥0.5 billion (increased by 99.5% from the same period of the previous fiscal year) due to increase in sales.
(2) Explanation of Financial Position.
In terms of the assets at the end of this third quarter consolidated accounting period, the total assets were ¥333.9
billion (¥331.9 billion at the end of the previous consolidated fiscal year), it increased by ¥2.0 billion (0.6%) fromthe end of the previous fiscal year. The main contents are ¥3.9 billion increase in Other financial assets, ¥2.2 billion
increase in Investments in Equity Instruments, ¥1.6 billion increase in Trade and other receivables, 5.1 billion
decrease in Tangible fixed assets mainly due to progress in depreciation, and ¥0.8 billion decrease in Cash andcash equivalents mainly due to interim dividend payment.
Total liabilities were ¥86.2 billion (¥92.0 billion at the end of the previous consolidated fiscal year), it decreased by¥5.8 billion (6.3%) from the end of the previous fiscal year. The main contents are ¥3.9 billion decrease in corporate
Bonds and borrowings, and ¥2.1 billion decrease in Trade and other payables.
Total equity was ¥247.7 billion (¥239.9 billion in the previous consolidated fiscal year), it increased by ¥7.8 billion(3.2%) from the end of the previous fiscal year. The main contents are ¥4.4 billion increase in Other componentsof equity due to increase in the conversion difference of foreign operation due to depreciation of the yen and ¥3.3
billion increase in Retained earnings (¥8.2 billion increase due to Profit attributable to owners of the parent company,and ¥4.9 billion decrease due to Appropriation of surplus (dividend)).
(3) Explanation of Forecast of Consolidated Financial Results and Other Forward-Looking Information
There is no change in the consolidated financial forecast for the fiscal year ending March 31, 2024, which wasannounced on October 30, 2023.

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EXEDY Corporation (7278) FY2023 3rd Quarter Financial Results

2. Quarterly Consolidated Financial Statements and Principal Notes(1) Quarterly Consolidated Statement of Financial Position
As of March 31, 2023

As of December 31, 2023

Millions of yen

Millions of yen

AssetsCurrent assets
Cash and cash equivalents

59,53858,707

Trade and other receivables

53,92955,499Other financial assets

2,155

6,071

Inventories

44,19844,570

Other current assets

3,634

2,902

Total current assets

163,454

167,751

Property, plant and equipment

154,632

149,507

Goodwill and intangible assets

2,939

2,714

272

1,059

1,810

4,029

Other financial assets

96

89

Deferred tax assets

6,366

6,408

Retirement benefit asset

1,206

1,217

Other non-current assets

1,100

1,097

Total non-current assets

168,421

166,120331,875

333,871

Non-current assets

Investments accounted for using equity method
Investments in Equity Instruments

Total assets-4-

EXEDY Corporation (7278) FY2023 3rd Quarter Financial Results
As of March 31, 2023

As of December 31, 2023

Millions of yen

Millions of yen

Liabilities and equity
Liabilities
Current liabilities
Bonds and borrowings

8,228

5,430

Trade and other payables

37,78935,680

Other financial liabilities

545

626

Income taxes payable

1,664

923

Employee benefits accruals

2,336

2,404

Provisions

2,186

2,099

Other current liabilities

3,379

3,559

Total current liabilities

56,12750,720Bonds and borrowings

25,42324,332Other financial liabilities

1,076

1,049

Retirement benefit liability

6,609

6,734

697

1,020

Other non-current liabilities

2,042

2,337

Total non-current liabilities

35,84835,472

91,97586,192

Share capital

8,284

8,284

Capital surplus

7,541

7,540

Treasury shares(3,709)(3,682)Other components of equity

10,63915,062Retained earnings

202,808

206,083

Total equity attributable to owners of parent

225,563

233,287

Non-controlling interests

14,33814,392

Total equity

239,901

247,679

331,875

333,871

Non-current liabilities

Deferred tax liabilities

Total liabilities
EquityTotal liabilities and equity-5-

EXEDY Corporation (7278) FY2023 3rd Quarter Financial Results(2) Quarterly Consolidated Statement of Income and Consolidated Statement of Comprehensive Income(Quarterly Consolidated Statement of Income)

FY2022 3rd Quarter

FY2023 3rd Quarter(April 1, 2022 through(April 1, 2023 throughDecember 31, 2022)

December 31, 2023)

Millions of yen

Millions of yen

Revenue

213,335

231,881

Cost of sales

181,131

193,320Gross profit

32,20538,561

Selling, general and administrative expenses

24,662

27,103

Other income

2,065

746

Other expenses

923

677

Operating profit

8,684

11,527

Finance income

2,188

1,874

Finance costs

725

819

Share of profit of investments accounted for using

58

46

Profit before tax

10,205

12,627

Income tax expense

2,874

3,792

Profit

7,331

8,835

6,884

8,206

447

629

7,331

8,835

146.64174.74

equity method

Profit attributable to
Owners of parent
Non-controlling interests
ProfitEarnings per share
Basic and diluted earnings per share-6-

EXEDY Corporation (7278) FY2023 3rd Quarter Financial Results(Quarterly Consolidated Statement of Comprehensive Income)
FY2022 3rd Quarter

FY2023 3rd Quarter(April 1, 2022 through(April 1, 2023 throughDecember 31, 2022)

December 31, 2023)

Millions of yen

Millions of yen

Profit

7,331

8,835

(87)

176

(87)

176

2,843

4,967

0

5

2,844

4,972

Total other comprehensive income

2,756

5,148

Comprehensive income

10,087

13,983

Other comprehensive income
Items that will not be reclassified to profit or loss
Net change in fair value of equity instruments
designated as measured at fair value throughother comprehensive income
Total of items that will not be reclassified to profit
or loss
Items that may be reclassified to profit or loss
Exchange differences on translation of foreign
operations
Share of other comprehensive income ofinvestments accounted for using equity method
Total of items that may be reclassified to profit or loss

Comprehensive income attributable to
Owners of parent

9,152

12,629Non-controlling interests

935

1,355

Comprehensive income

10,087

13,983-7-

EXEDY Corporation (7278) FY2023 3rd Quarter Financial Results(3) Quarterly Consolidated Statement of Changes in Equity
Previous third quarter consolidated cumulative period(April 1, 2022 through December 31, 2022)
Equity attributable to owners of parent
Other components of equity

Exchangedifferencesontranslation offoreign
operations

Net change infair value ofequityinstruments
designated asmeasured atfair value
through othercomprehensiv
e income

Total

Share capital

Capital surplus

Treasury shares

Millions of yen

Millions of yen

Millions of yen

Millions of yen

Millions of yen

Millions of yen

8,284

7,555

(3,768)

7,274

250

7,524

Profit for the period

-

-

-

-

-

-

Other comprehensive income

-

-

-

2,355

(87)

2,268

Balance as of April 1, 2022

Comprehensive income

-

-

-

2,355

(87)

2,268

Purchase of treasury shares

-

-

(0)

-

-

-

Disposal of treasury shares

-

(15)

59

-

-

-

Dividends of surplus

-

-

-

-

-

-

Share-based remuneration transactions

-

(7)

-

-

-

(329)

Transfer to retained earnings

-

-

-

-

(329)

Total transactions with owners

-

(22)

59

-

(329)

(329)

Total changes in equity

-

(22)

59

2,355

(417)

1,939

8,284

7,534

(3,709)

9,629

(167)

9,463

Equity attributable to owners ofparentRetained
Total
earnings

Non-controllinginterests

Total

Balance as of December 31, 2022

Millions of yen

Millions of yen

Millions of yen

Millions of yen

Balance as of April 1, 2022

202,160

221,756

14,267

236,023

Profit for the period

6,884

6,884

447

7,331

-

2,268

488

2,756

6,884

9,152

935

10,087Purchase of treasury shares

-

(0)

-

(0)

Disposal of treasury shares

-

44

-

44

(4,459)(4,459)(1,350)(5,809)(7)

Other comprehensive income
Comprehensive income

Dividends of surplus
Share-based remuneration transactions
Transfer to retained earnings
Total transactions with owners

-

(7)

-

329

-

-

-

(4,130)(4,422)(1,350)(5,772)

Total changes in equity

2,754

4,730

(415)

4,315

Balance as of December 31, 2022

204,915

226,486

13,852

240,338-8-

EXEDY Corporation (7278) FY2023 3rd Quarter Financial Results

Current third quarter consolidated cumulative period(April 1, 2023 through December 31, 2023)
Equity attributable to owners of parent
Other components of equity

Exchangedifferencesontranslation offoreign
operations

Net change infair value ofequityinstruments
designated asmeasured atfair value
through othercomprehensiv
e income

Total

Share capital

Capital surplus

Treasury shares

Millions of yen

Millions of yen

Millions of yen

Millions of yen

Millions of yen

Millions of yen

8,284

7,541

(3,709)11,454(815)

10,639Profit for the period

-

-

-

-

-

-

Other comprehensive income

-

-

-

4,247

176

4,423

Balance as of April 1, 2023

Comprehensive income

-

-

-

4,247

176

4,423

Purchase of treasury shares

-

-

(0)

-

-

-

Disposal of treasury shares

-

2

27

-

-

-

Dividends of surplus

-

-

-

-

-

-

Share-based remuneration transactions

-

(2)

-

-

-

-

Transfer to retained earnings

-

-

-

-

-

Total transactions with owners

-

0

27

-

-

-

Total changes in equity

-

0

27

4,247

176

4,423

8,284

7,540

(3,682)

15,701(639)

15,062Equity attributable to owners ofparentRetained
Total
earnings

Non-controllinginterests

Total

Balance as of December 31, 2023

Millions of yen

Millions of yen

Millions of yen

Millions of yen

Balance as of April 1, 2023

202,808

225,563

14,338239,901

Profit for the period

8,206

8,206

629

8,835

-

4,423

725

5,148

8,206

12,6291,355

13,983Purchase of treasury shares

-

(0)

-

(0)

Disposal of treasury shares

-

29

-

29

(4,931)(4,931)(1,301)(6,232)

Share-based remuneration transactions

-

(2)

-

(2)

Transfer to retained earnings

-

-

-

-

(4,931)(4,904)(1,301)(6,205)

Other comprehensive income
Comprehensive income

Dividends of surplus

Total transactions with owners
Total changes in equity

3,275

7,725

54

7,778

Balance as of December 31, 2023

206,083

233,287

14,392

247,679-9-

EXEDY Corporation (7278) FY2023 3rd Quarter Financial Results(4) Notes on Quarterly Consolidated Financial Statements(Notes for Going Concern)
Not applicable(Change in Accounting Policy)
Not applicable(Change in Accounting Estimate)
Not applicable(Segment Information)(1) Overview of Reportable Segments
The reportable segments are components of business activities for which discrete, and such information isregularly reviewed by the Company’s Board of Directors to make decisions about the allocation of resources
and assess its performance.
The Company and its consolidated subsidiaries are mainly engaged in the manufacture and sale ofautomotive parts. From the aspects of function, technological specification and productive structure, theproduct lines of the Company are classified roughly into 3 group, "Manual Transmission Parts", "AutomaticTransmission Parts" and “Industrial machine Drivetrain Parts”. The Company, in corporation with its
consolidated subsidiaries, design business strategy and conduct business for these 3 product lines inside
Japan and overseas. Accordingly, the reportable segments of the Company are composed of 3 segments, "MT(Manual Automotive Drivetrain related business)" which manufactures and sells Manual Transmission Parts,"AT (Automatic Automotive Drivetrain related business)" which manufactures and sells Automatic Transmission
Parts and “TS (Industrial machine Drivetrain operations)” which manufactures and sells parts for construction
machinery and industrial vehicles
The segment information for the third quarter of the previous fiscal year is disclosed based on the reporting
segment classification for the third quarter of the current fiscal year.
(2) Information of Revenue, Profit and Loss by Segment and The Amount of Other Important Items.
Previous third quarter consolidated cumulative period (April 1, 2022 to December 31, 2022)(Million Yen)
Reportable Segment

MT

AT

TS

Total

Other
(Note 1)

Adjustments
Consolidated(Note 4)

Revenue
External Customers
Intersegments (Note 2)
Total
Segment Profit (Note 3)

53,204

135,799

10,340199,343

13,993-

213,335

230

445

40

715

4,095

(4,810)-53,435

136,243

10,380200,058

18,087(4,810)213,335

6,329

1,028

1,117

8,474

639

(428)

8,684

Finance Income

2,188

Finance Costs

725

Share of profit of investments accounted for using equity method

58

Profit before Tax

10,205(Note) 1. Other includes businesses which is not part of any of the reportable segments, and contain clutches
for motorcycle operation, transport operation, etc.
2. Amount of intersegments transactions is based on market price.
3. Segment profit is based on operating profit on quarterly consolidated income statement.
4. Elimination of intersegment transactions and corporate expenses are included in adjustments.

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EXEDY Corporation (7278) FY2023 3rd Quarter Financial Results

Current third quarter consolidated cumulative period (April 1, 2023 to December 31, 2023)(Million Yen)
Reportable Segment

MT

AT

TS

Total

Other
(Note 1)

Adjustments
Consolidated(Note 4)

Revenue
External Customers
Intersegments (Note 2)
Total
Segment Profit (Note 3)

53,048

152,933

11,143

217,124

14,757-

231,881

217

446

47

710

3,983

(4,694)-53,265

153,379

11,190217,835

18,740(4,694)

231,881

6,159

4,625

1,602

12,386779(1,638)

11,527

Finance Income

1,874

Finance Costs

819

Share of profit of investments accounted for using equity method

32

Profit before Tax

12,627(Note) 1. Other includes businesses which is not part of any of the reportable segments, and contain clutches
for motorcycle operation, transport operation, etc.
2. Amount of intersegments transactions is based on market price.
3. Segment profit is based on operating profit on quarterly consolidated income statement.
4. Elimination of intersegment transactions and corporate expenses are included in adjustments.

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