EXEDY Corporation (7278) FY2022 1st Quarter Financial Results

July 28, 2022
Tokyo Stock Exchange

FY2022 1st Quarter Consolidated Financial Results [IFRS](April 1, 2022 through June 30, 2022)(English translation extracted from the original Japanese document)

Company Name:
Code No.:
URL:
Representative:
Contact Person:
Telephone:

EXEDY Corporation
7278
https://www.exedy.com
Tetsuya Yoshinaga, Representative Director, President
Hiroshi Toyohara, Representative Director, Senior Executive Managing Officer,
Executive General Manager of Administrative Headquarters+81-72-822-1152

Scheduled date to file quarterly securities report: August 10, 2022
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 1st Quarter of FY2022 (April 1, 2022 to June 30, 2022)(1) Consolidated Operating Results (cumulative)(Percentage of change from previous year)
Revenue
MillionYen

FY2022 Q1
FY2021 Q164,44762,082

Profitbefore Tax

Operating Profit
Million
Yen

%
3.8
63.2

Million
Yen

%

1,034
4,138

(75.0)-

Basic Earnings
per Share

2,568
4,463

%

MillionYen%(42.5)
-

1,775
3,195

ሺ44.4)-

Million
Yen

%

1,532
2,774

(44.8)-

Total
Comprehensive
IncomeMillion
Yen

%

9,209
3,051

201.9
-

Diluted Earnings
per Share

Yen
32.65
59.14

FY2022 Q1
FY2021 Q1Profit Attributable to
Owners of Parent

ProfitYen-(2) Consolidated Financial Position
Total Assets

Equity Attributableto Owners of Parent

Total Equity

Ratio for Equity Attributableto Owners of Parent

Million Yen

Million Yen

Million Yen%

335,892
332,785

241,832
236,023

227,547
221,75667.7
66.6

FY2022 Q1
FY2021

2. Dividends
Annual Dividends per Share
1st Quarter

2nd Quarter
Yen-

FY2021
FY2022
FY2022 (Forecast)

3rd Quarter

Yen
40.00

Fiscal Year-end
Yen
50.00

Yen
-

45.00

Total
Yen
90.00
90.00

45.00

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

3. FY2022 Consolidated Financial Forecast (April 1, 2022 to March 31, 2023)(Percentage of change from previous year)
Revenue

Q2 (YTD)
FY2022

Profitbefore Tax

Operating Profit

Million Yen%

140,000
300,000

13.5
14.9

Million Yen

4,500
15,000%Million Yen(48.0)(18.2)(Note) Revisions of financial forecast from recently announced figures: Yes

5,700
16,000

Profit Attributable to
Owners of Parent%(36.9)(17.8)

Million Yen

4,000
11,000%(32.5)(11.8)

Basic Earnings
Per Share
Yen

85.24
234.40EXEDY Corporation (7278) FY2022 1st 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): None
(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
FY2022 Q1
48,593,736 shares
FY2021 Q4
48,593,736 shares
end of period (including treasury shares)②Number of treasury shares at the end
FY2022 Q1
1,665,589 shares
FY2021 Q4
1,665,564 sharesof period③Average number of ordinary shares
FY2022 Q1
46,928,166 shares
FY2021 Q1
46,904,208 shares
outstanding during the period(quarterly total)(Note) The shares held within the ESOP trust accounts (FY2022 Q1: 100,000 shares, FY2021: 100,000 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. (FY2022 Q1: 100,000 shares, FY2021 Q1: 19,200 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) FY2022 1st 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 and Quarterly Consolidated Statement of Comprehensive
Income…………………………………………………………………………………………………………….……
(3) Quarterly Consolidated Statement of Changes in Equity……………………………………………….….….….

2
2
3
3
4
4
6

8
(4) Notes on Quarterly Consolidated Financial Statements………………………………………………….…….… 10(Notes for Going Concern) ……………………………………………………………………….……………….…. 10(Change of Accounting Policy) …………………………………………………………………………………….… 10(Change in Accounting Estimate) ………………………………………………………………….……….…….… 10(Segment Information) ……………………………………………………………………………….…………….… 10

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EXEDY Corporation (7278) FY2022 1st Quarter Financial Results

1. Qualitative Information on Quarterly Financial Results(1) Explanation of Operating Results
In this first quarter, although orders decreased due to the lockdown in China and production cuts by customers
because of the semiconductor shortages, the revenue increased from the impact of foreign exchange conversion
due to the depreciation of the yen. In terms of profits, Operating profit decreased due to the decline in orders,soaring global raw material prices and supply chain disruptions. The results for the first quarter of the current
consolidated cumulative period was, Revenue ¥64.4 billion (increased by 3.8% from the same period of theprevious fiscal year), Operating profit ¥1.0 billion (decreased by 75.0% from the same period of the previous fiscal
year), Profit before tax ¥2.6 billion (decreased by 42.5% from the same period of the previous fiscal year), Profit
attributable to owners of the parent company was ¥1.5 billion (decreased by 44.8% from the same period of theprevious fiscal year).
<Segment Information>
The summary by type of reportable segment is as follows.
[MT (Manual Automotive Drivetrain related business)]
Revenue was ¥16.8 billion (increased by 7.6% from the same period of the previous fiscal year). Segment profit
was ¥1.9 billion (increased by 3.3% from the same period of the previous fiscal year), despite soaring raw material
prices, it has been passed on to the selling prices.
[AT (Automatic Automotive Drivetrain related business)]
Revenue was ¥40.5 billion (increased by 0.7% from the same period of the previous fiscal year). Although sales
increased due to the impact of foreign exchange conversion because of the depreciation of the yen, the segment
loss was ¥0.9 billion (¥2.1 billion profits in the same period of the previous year) due to the lockdown in China andproduction cuts by customers because of the semiconductor shortages and soaring raw material costs.
[Others]
Revenue was ¥7.1 billion (increased by 14.6% from the same period of the previous fiscal year). Segment profit
was ¥0.3 billion (decreased by 39.9% from the same period of the previous fiscal year) due to soaring raw material
prices and other factors, despite an increase in sales.
<Location Information>
The summary by location is as follows.
[Japan]
Revenue was ¥28.5 billion (decreased by 1.6% from the same period of the previous fiscal year). Operating profit
was ¥0.5 billion (decreased by 78.3% from the same period of the previous fiscal year) due to a decrease in orders
by the lockdown in China and production cuts by customers because of the semiconductor shortages and soaring
raw material costs.
[Americas]
Revenue was ¥12.1 billion (increased by 17.2% from the same period of the previous fiscal year). Although revenue
increased from the impact of exchange conversion due to the depreciation of the yen, the operating loss was ¥0.5
billion (¥0.2 billion operating loss in the same period of the previous year) due to soaring raw material prices.
[Asia and Oceania]
Revenue was ¥21.7 billion (increased by 4.4% from the same period of the previous fiscal year). Operating profit
increased by ¥0.6 billion (decreased by 69.6% from the same period of the previous fiscal year) due to the lockdown
in China and the impact of decrease in production by customers due to semiconductor shortages, although revenue
increased from the impact of exchange conversion due to the depreciation of the yen.
[Others]
Revenue was ¥2.1 billion (increased by 7.1% from the same period of the previous fiscal year). Operating profit
was ¥0.2 billion (increased by 7.3% from the same period of the previous fiscal year) due to the increase in revenue
and other factors.

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EXEDY Corporation (7278) FY2022 1st Quarter Financial Results(2) Explanation of Financial Position
In terms of the assets at the end of this first quarter consolidated accounting period, the total assets were ¥335.9
billion (¥332.8 billion at the end of the previous consolidated fiscal year), it increased by ¥3.1 billion (0.9%) fromthe end of the previous fiscal year. The main contents are ¥2.8 billion increase in cash and cash equivalents, ¥4.8
billion decrease in trade and other receivables due to lockdown in Shanghai, China and the stagnation of businessactivities due to a shortage of semiconductors, and ¥3.5 billion increase in inventories, ¥1.7 billion increase intangible fixed assets.
Total liabilities were ¥94.1 billion (¥96.8 billion at the end of the previous consolidated fiscal year), it decreased by¥2.7 billion (2.8%) from the end of the previous fiscal year. The main contents are ¥2.8 billion decrease in income
taxes payable, ¥1.7 billion decrease in corporate bonds and borrowings due to the repayment of borrowings, and¥1.4 billion increase in trade and other payables.
Total equity was ¥241.8 billion (¥236.0 billion in the previous consolidated fiscal year), it increased by ¥5.8 billion(2.5%) from the end of the previous fiscal year. The main contents were ¥6.3 billion increase in other componentsof equity due to an increase in the conversion difference of foreign operation due to the depreciation of the yen,and ¥0.5 billion decrease in retained earnings (¥1.5 billion increase due to the quarterly profit attributable to ownersof the parent company, ¥2.3 billion decrease due to the appropriation of surplus (dividend), and ¥0.3 billion transferof other capital components to retained earnings due to sale of investment securities).
(3) Explanation of Forecast of Consolidated Financial Results and Other Forward-Looking Information
As of today, we have revised the consolidated financial forecast for the fiscal year ending March 31, 2023, which
was announced on April 29, 2022. For the details, please refer to the "Notice of Revision of Consolidated Financial
Forecast" announced today.
This forecast is based on the premise that there will be no large-scale suspension of business activities due to the
spread of new coronavirus infections worldwide. If these premises are expected, this forecast may be revised.
The exchange rate is assumed to be ¥134 per US dollar.

3/11

EXEDY Corporation (7278) FY2022 1st Quarter Financial Results

2. Quarterly Consolidated Financial Statements and Principal Notes(1) Quarterly Consolidated Statement of Financial Position

As of March 31, 2022

As of June 30, 2022

Million Yen

Million Yen

AssetsCurrent assets
Cash and cash equivalents

55,40758,186

Trade and other receivables

53,82449,017

Other financial assets

1,974

2,219

Inventories

41,72645,276

Other current assets

2,262

2,620

Total current assets

155,192

157,317

Property, plant and equipment

162,964

164,693

Goodwill and intangible assets

2,802

2,695

195

217

3,305

2,293

45

44

Deferred tax assets

6,022

6,336

Retirement benefit asset

1,233

1,236

Non-current assets

Investments accounted for using equity method
Investments in Equity Instruments
Other financial assets

Other non-current assets

1,027

1,061

Total non-current assets

177,593

178,575

332,785

335,892

Total assets

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EXEDY Corporation (7278) FY2022 1st Quarter Financial Results

As of March 31, 2022

As of June 30, 2022

Million Yen

Million Yen

Liabilities and equity
Liabilities
Current liabilities
Bonds and borrowings

10,3818,846

Trade and other payables

36,09337,511

594

581

Income taxes payable

4,005

1,203

Employee benefits accruals

1,954

1,999

Provisions

2,240

2,269

Other current liabilities

3,636

3,895

Total current liabilities

58,90356,30527,53327,409Other financial liabilities

Non-current liabilities
Bonds and borrowings
Other financial liabilities

879

883

Retirement benefit liability

6,724

6,772

Deferred tax liabilities

1,245

966

Other non-current liabilities

1,479

1,724

Total non-current liabilities

37,85937,75596,762

94,060Share capital

8,284

8,284

Capital surplus

7,555

7,562

Treasury shares(3,768)(3,768)Other components of equity

7,524

13,793Retained earnings

202,160

201,676

Total equity attributable to owners of parent

221,756

227,547

Non-controlling interests

14,267

14,285

Total equity

236,023

241,832

332,785

335,892

Total liabilities
EquityTotal liabilities and equity

5/11

EXEDY Corporation (7278) FY2022 1st Quarter Financial Results(2) Quarterly Consolidated Statement of Income and Quarterly Consolidated Statement of Comprehensive Income(Quarterly Consolidated Statement of Income)

FY2021 1st Quarter(April 1, 2021 throughJune 30, 2021)

FY2022 1st Quarter(April 1, 2022 throughJune 30, 2022)

Million Yen

Million Yen

Revenue

62,08264,447

Cost of sales

50,60155,506Gross profit

11,481

8,941

Selling, general and administrative expenses

7,337

8,127

Other income

225

316

Other expenses

231

96

Operating profit

4,138

1,034

Finance income

556

1,734

Finance costs
Share of profit (loss) of investments accounted for using equity
method

229

224

(3)

25

Profit before tax

4,463

2,568

Income tax expense

1,268

793

Profit

3,195

1,775

2,774

1,532

421

243

3,195

1,775

59.14

32.65

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

6/11

EXEDY Corporation (7278) FY2022 1st Quarter Financial Results(Quarterly Consolidated Statement of Comprehensive Income)

FY2021 1st Quarter(April 1, 2021 throughJune 30, 2021)

FY2022 1st Quarter(April 1, 2022 throughJune 30, 2022)

Million Yen

Million Yen

Profit

3,195

1,775

68

(47)

68

(47)

Items that may be reclassified to profit or loss
Exchange differences on translation of foreign
operations
Share of other comprehensive income of investments
accounted for using equity method

(211)

7,477

(0)

4

Total of items that may be reclassified to profit or loss

(212)

7,481

(144)

7,434

3,051

9,209

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 through othercomprehensive income
Total of items that will not be reclassified to profit or loss

Total other comprehensive income
Comprehensive income

Comprehensive income attributable to
Owners of parent

2,811

8,131

Non-controlling interests

240

1,078

Comprehensive income

3,051

9,209

7/11

EXEDY Corporation (7278) FY2022 1st Quarter Financial Results(3) Quarterly Consolidated Statement of Changes in Equity
Previous first quarter consolidated cumulative period(April 1, 2021 through June 30, 2021)

Equity attributable to owners of parent

Balance as of April 1, 2021

Share capital

CapitalsurplusTreasurysharesMillion Yen

Million Yen

Million Yen

Other components of equity
Net change
in fair valueof equity
Exchange
instruments
differences
designatedon
as measured
Totaltranslation of
at fair value
foreignthroughoperations
othercomprehensi
ve incomeMillion Yen
Million Yen
Million Yen

8,284

7,571

(3,822)(1,271)

287

(984)

Profit for the period
Other comprehensive income

-

-

-

(31)

68

37

Comprehensive income

-

-

-

(31)

68

37

Purchase of treasury shares
Disposal of treasury shares
Dividends of surplus
Share-based remunerationtransactions
Transfer to retained earnings

-

-

(0)
-

-

-

-

-

7

-

-

-

-

Total transactions with owners

-

-

-

-

-

-

-

7

(0)

-

-

-

Total changes in equity

-

7

(0)

(31)

68

37

Balance as of June 30, 2021

8,284

7,578

(3,823)(1,302)

354

(947)

Equity attributable to ownersof parent
Retained
Total
earnings
Million Yen
Million Yen
Balance as of April 1, 2021

Noncontrollinginterests

Total

Million Yen

Million Yen

192,878

203,927

12,803

216,730

Profit for the period
Other comprehensive income

2,774
-

2,774
37

421
(181)

3,195
(144)

Comprehensive income

2,774

2,811

240

3,051

Purchase of treasury shares
Disposal of treasury shares
Dividends of surplus
Share-based remunerationtransactions
Transfer to retained earnings(1,407)(0)(1,407)(629)(0)(2,037)

-

7

-

7

Total transactions with owners

-

-

-

-

(1,407)(1,400)(629)(2,030)Total changes in equity

1,367

1,411

(390)

1,021

Balance as of June 30, 2021

194,245

205,338

12,414

217,752

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EXEDY Corporation (7278) FY2022 1st Quarter Financial Results

Current first quarter consolidated cumulative period(April 1, 2022 through June 30, 2022)

Equity attributable to owners of parent

Balance as of April 1, 2022
Profit for the period
Other comprehensive income

Other components of equity
Net change
in fair valueof equity
Exchange
instruments
differences
designatedon
as measured
Totaltranslation of
at fair value
foreignthroughoperations
othercomprehensi
ve incomeMillion Yen
Million Yen
Million Yen

Share capital

CapitalsurplusTreasurysharesMillion Yen

Million Yen

Million Yen

8,284

7,555

(3,768)

7,274

250

7,524

-

-

-

6,646

(47)

6,599

Comprehensive income

-

-

-

6,646

(47)

6,599

Purchase of treasury shares
Disposal of treasury shares
Dividends of surplus
Share-based remunerationtransactions
Transfer to retained earnings

-

-

(0)
-

-

-

-

-

7

-

-

-

(329)

-

-

-

-

(329)

Total transactions with owners

-

7

(0)

-

(329)

(329)

Total changes in equity

-

7

(0)

6,646

(377)

6,269

Balance as of June 30, 2022

8,284

7,562

(3,768)13,920(127)

13,793Equity attributable to ownersof parent
Retained
Total
earnings
Million Yen
Million Yen

Noncontrollinginterests

Total

Million Yen

Million Yen

202,160

221,756

14,267

236,023

Profit for the period
Other comprehensive income

1,532
-

1,532
6,599

243
835

1,775
7,434

Comprehensive income

1,532

8,131

1,078

9,209

Purchase of treasury shares
Disposal of treasury shares
Dividends of surplus
Share-based remunerationtransactions
Transfer to retained earnings(2,346)(0)(2,346)(1,060)(0)(3,406)

-

7

-

7

Balance as of April 1, 2022

Total transactions with owners

329

-

-

-

(2,017)(2,340)(1,060)(3,400)Total changes in equity

(485)

5,791

18

5,809

Balance as of June 30, 2022

201,676

227,547

14,285

241,832

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EXEDY Corporation (7278) FY2022 1st 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 2 group, "Manual Transmission Parts" and "AutomaticTransmission Parts". The Company, in corporation with its consolidated subsidiaries, design business strategy
and conduct business for these 2 product lines inside Japan and overseas. Accordingly, the reportablesegments of the Company are composed of 2 segments, "MT (Manual Automotive Drivetrain related
business)" which manufactures and sells Manual Transmission Parts and "AT (Automatic Automotive
Drivetrain related business)" which manufactures and sells Automatic Transmission Parts.
(2) Information of Revenue, Profit and Loss by Segment and The Amount of Other Important Items.
Previous first quarter consolidated cumulative period (April 1, 2021 to June 30, 2021)(Million Yen)
Reportable Segment

Other(Note 1)

Adjustments
Consolidated(Note 4)

MT

AT

Total

15,60540,27455,8796,203-

62,802

66

562

628

1,705

(2,333)-

15,67040,83756,507

7,908(2,333)62,082

1,806

2,129

3,935

557

(354)

4,138

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

556

Finance Costs

229

Share of loss of investments accounted for using equity method(3)

Profit before Tax

4,463(Note) 1. Other includes businesses which is not part of any of the 2 reportable segments, and contain
industrial machine drivetrain operation, 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) FY2022 1st Quarter Financial Results

Current first quarter consolidated cumulative period (April 1, 2022 to June 30, 2022)(Million Yen)
Reportable Segment

Other(Note 1)

Adjustments
Consolidated(Note 4)

MT

AT

Total

16,79740,541

57,337

7,110-

64,447

81

174

255

1,306

(1,561)-

Total

16,87840,71557,5938,416(1,561)64,447

Segment Profit (Loss) (Note 3)

1,865

(874)

991

335

(292)

1,034

Revenue
External Customers
Intersegments (Note 2)

Finance Income

1,734

Finance Costs

224

Share of profit of investments accounted for using equity method

25

Profit before Tax

2,568(Note) 1. Other includes businesses which is not part of any of the 2 reportable segments, and contain
industrial machine drivetrain operation, clutches for motorcycle operation, transport operation, etc.
2. Amount of intersegments transactions is based on market price.
3. Segment profit (loss) is based on operating profit (loss) on quarterly consolidated
income statement.
4. Elimination of intersegment transactions and corporate expenses are included in adjustments.

11/11