Consolidated Financial Results for the Six Months of Fiscal Year Ending March 31, 2024
<under Japanese GAAP>
November 8, 2023
Company name : NIKKO COMPANY
ID number: 5343 Stock listing : Nagoya Stock Exchange Main MarketURL: https://www.nikko-company.co.jp/
Representative : Akiko Mitani, Chief Executive Officer
Contact: Kazuya Nunokawa, Chief Financial Officer (Phone: +81-76-276-2121)
Scheduled date to submit Securities Report: November 10, 2023
Scheduled date to begin dividend payments: Preparation of supplementary materials for financial results :NoneHolding of financial results meeting: None
(All amounts are rounded down to the nearest million yen)
1. Consolidated Financial Results for the Six Months Ended September 30, 2023 (April 1, 2023 - September 30, 2023)(1) Consolidated operating results(Percentage figures represent changes from the same period of the previous year.)Net sales

Operating income

Profit (loss) attributableto owners of parent

Ordinary income％ Millions of yen％％
Millions of yen
Millions of yen
Millions of yen
Six months ended
6,903
1.5(204)
(172)
(198)
September 30, 2023
Six months ended
6,802
13.3
149157
September 30, 2022
Note: Comprehensive income (Millions of yen) :September 30, 2023 : (176) (-%) September 30, 2022 : 69(-%)
Net income
per shareYen(8.53)-

Six months ended
September 30, 2022

2.47

-

Net assets

Millions of yen
As of September 30,
9,038
2023
Year ended Mar.
9,246
31, 2023
Reference: Shareholders' equity (Millions of yen) :-Diluted net income
per share
Yen

Six months ended
September 30, 2023

(2) Consolidated financial position
Total assets％

Equity ratio

Millions of yen%3754.2552

6.0

September 30, 2023: 375

Mar. 31, 2023: 552

2. Dividends(Record date)

Dividend per share
1Q-end2Q-endYen

Year ended Mar.
31, 2023
Year ending Mar.
31, 2024
Year ending Mar.
31, 2024(forecast)

3Q-end
Yen

-

0.00

-0.00

Year-end
Yen

1

Annual
Yen

Yen

-

0.00

0.00

-

0.00

0.00

NIKKO COMPANY

3. Consolidated Forecast for the Fiscal Year Ending March 31, 2024 (April 1, 2023 - March 31, 2024)
The NIKKO Group will no longer disclose its projected consolidated results for periods starting from that ending in March 2019.
Details of the decision are described in “3. Projected Consolidated Results for FY2023” in the “Consolidated Financial Results for theFiscal Year Ended March 31, 2023” disclosed on May 12, 2023.
※Notes(1) Changes in major subsidiaries during the period : None
(2) Application of special accounting methods for quarterly consolidated financial statements : None
(3) Changes in accounting policies, changes in accounting estimates, or restatement
1) Changes in accounting policies due to changes in consolidated accounting methods :2) Changes other than 1) above: None
3) Changes in accounting estimates : None
4) Restatement: NoneNone(4) Number of shares outstanding (common shares)
1) Number of shares outstanding (including treasury stock) at the end of the period
September 30, 2023 :24,172,000 sharesMar. 31, 2023 :24,172,000 shares
2) Number of treasury stock at the end of the period
September 30, 2023 :
864,824 sharesMar. 31, 2023 :864,680 shares
3) Average number of shares issued during the period (cumulative; consolidated)
Six months ended September 30, 2023 : 23,307,265 shares Six months ended September 30, 2022 : 23,307,405 shares* Quarterly financial statements are not subject to a quarterly review by certified public accountants or an auditing company.

2

NIKKO COMPANY
Consolidated quarterly Financial Statements(1) Consolidated Balance Sheet
AssetsCurrent assets
Cash and deposits
Notes and accounts receivable - trade, and contract assets
Merchandise and finished goods
Work in process
Costs on uncompleted construction contracts
Raw materials and supplies
OtherAllowance for doubtful accounts
Total current assets
Noncurrent assets
Property, plant and equipment
Buildings and structures
Accumulated depreciation
Buildings and structures, net
Machinery, equipment and vehicles
Accumulated depreciation
Machinery, equipment and vehicles, net
Tools, furniture and fixtures
Accumulated depreciation
Tools, furniture and fixtures, net
Land
Lease assets
Accumulated depreciation
Lease assets, net
Construction in progress
Total property, plant and equipment
Intangible assets
Investments and other assets
Investment securities
Other
Allowance for doubtful accounts
Total investments and other assets
Total noncurrent assets
Total assetsLiabilities
Current liabilities
Notes and accounts payable-trade
Short-term loans payable
Current portion of bonds
Current portion of long-term loans payable
Lease obligations
Income taxes payable
Provision for bonuses
Provision for product warranties
Other
Total current liabilities
Noncurrent liabilities
Bonds payable
Long-term loans payable
Lease obligations
Deferred tax ｌiabilities
Provision for directors' retirement benefits
Net defined benefit liability
Other
Total noncurrent liabilities
Total liabilities
Net assets
Shareholders' equity
Capital stock
Capital surplus
Retained earnings
Treasury stock
Total shareholders' equity
Accumulated other comprehensive income
Valuation difference on available-for-sale securities
Foreign currency translation adjustment
Remeasurements of defined benefit plans
Total accumulated other comprehensive income
Total net assets
Total liabilities and net assets

3

FY03/2023(As of Mar.31,2023)(Millions of yen)
FY03/2024(As of Sep 30,2023)

1,086
2,339
1,412
601
343
506
68
(5)
6,354

694
2,256
1,480
519
473
504
160
(5)
6,083

7,043
(5,784)
1,259
4,359(4,068)
291
1,211
(1,117)
93
702
215
(105)
110
172
2,628
48

6,918
(5,693)
1,224
4,478(4,078)399
1,226(1,137)
88
702
238
(131)
107
134
2,658
83

113
104
(3)
214
2,892
9,246

112
104
(3)
212
2,954
9,038

2,992
2,050
40
95
56
37
213
56
1,254
6,795

2,828
2,050
40
124
68
35
88
56
1,551
6,841

60
294
64
3
78
1,284
113
1,898
8,694

40
225
86
3
78
1,273
114
1,821
8,662

3,470
1,584
(4,087)
(338)
628

3,470
1,584
(4,286)
(338)
429

0(87)
10(76)
552
9,246

1(61)
6(53)
375
9,038

NIKKO COMPANY(2) Consolidated quarterly statements of income and consolidated quarterly statements of comprehensive income
Consolidated quarterly statements of income
FY03/2023(Apr.1, 2022-Sep 30,2022)(Millions of yen)
FY03/2024(Apr.1, 2023-Sep 30,2023)

6,802
4,773
2,028
2,013
14

6,903
5,002
1,900
2,105(204)

03
70
2296

02
28
20
51

108
1991

10
920(172)――118―
883
26(0)
2657
57

41216(188)10(0)
10(198)(198)

FY03/2023(Apr.1, 2022-Sep 30,2022)(Millions of yen)
FY03/2024(Apr.1, 2023-Sep 30,2023)

Net sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Operating income (loss)
Non-operating income
Interest income
Share of profit of entities accounted for using equity method
Foreign exchange gains
Other
Total non-operating income
Non-operating expenses
Interest expenses
Other
Total non-operating expenses
Ordinary income (loss)
Extraordinary Income
Gain on sales of noncurrent assets
Total extraordinary Income
Extraordinary loss
Loss on retirement of noncurrent assets
Loss on valuation of investment securities
Total extraordinary losses
Profit (loss) before income taxes
Income taxes-current
Income taxes-deferred
Total income taxes
Profit (loss)
Profit (loss) attributable to owners of parent

Consolidated quarterly statements of comprehensive income

Profit (loss)
Other comprehensive income
Valuation difference on available-for-sale securities
Foreign currency translation adjustment
Remeasurements of defined benefit plans, net of tax
Share of other comprehensive income of entities accounted for using equity method
Other comprehensive incomeComprehensive income
Comprehensive income attributable toComprehensive income attributable to owners of the parent
Comprehensive income attributable to non-controlling interests

457(198)08(7)101269018(3)
622(176)

69―(176)―

NIKKO COMPANY(3) Consolidated Statements of Cash FlowsNet cash provided by (used in) operating activities
Income (loss) before income taxes and minority interests
Depreciation and amortization
Increase (decrease) in allowance for doubtful accounts
Increase (decrease) in provision for bonuses
Increase (decrease) in net defined benefit liability
Interest and dividends income
Interest expenses
Foreign exchange losses (gains)Share of profit of entities accounted for using equity method
Loss (gain) on valuation of investment securities
Loss (gain) on sales of property, plant and equipment
Loss on retirement of non-current assets
Decrease (increase) in notes and accounts receivable-trade
Decrease (increase) in inventories
Increase (decrease) in notes and accounts payable-trade
Other, net
SubtotalInterest and dividends income received
Interest expenses paid
Income taxes paid
Proceeds from subsidy income
Net cash provided by (used in) operating activities
Net cash provided by (used in) investment activities
Payments into time deposits
Proceeds from withdrawal of time deposits
Purchase of property, plant and equipment
Proceeds from sales of property, plant and equipment
Other, net
Net cash provided by (used in) investment activities
Net cash provided by (used in) financing activities
Repayment of long-term loans payable
Redemption of bonds
Proceeds from sales and leasebacks
Repayments of lease obligations
Purchase of treasury stock
Net cash provided by (used in) financing activities
Effect of exchange rate change on cash and cash equivalents
Net increase (decrease) in cash and cash equivalents
Cash and cash equivalents at beginning of period
Cash and cash equivalents at end of period

5(Millions of yen)
FY03/2023(Apr.1, 2022-Sep.30,2022)(Millions of yen)
FY03/2024(Apr.1, 2023-Sep.30,2023)

83
199
(6)
44(9)
(0)
10(22)
(3)
――
8(84)
(191)
213
108
352
1(10)
(26)
0316

(188)
184
0(125)
(14)
(0)
10(2)
(2)
12(1)
497(111)(163)
210(89)0(10)(9)―(108)(0)―(141)―22(119)(0)1(221)
0(2)
(222)

(49)
(20)
―(41)
(0)
(111)
895
932
1,027

(40)
(20)
24(28)(0)(64)
5(390)
1,044653

NIKKO COMPANY[Consolidated Segment Information]
Six Months ended September 30, 2022 (April 1, 2022 – September 30, 2022)
Housing & Functional
Environmental Ceramics
Equipment
ProductNet sales
Goods and services
transferred at a point intime
Goods and services
transferred over time
(Note 4)
Revenue from contracts
with customers
Other revenue(Note 5)
Sales to Outside CustomersIntersegment sales or Transfers
Total
Segment profit (loss)(Operating income (loss))

Tabletop

Other Segment(Note 1)
total

(Millions of yen, rounded down)Amounts on theconsolidated
Adjustment
financial(Note 2)statements(Note 3)

919

1,442

787

0

3,150-

3,150

3,652---

3,652-

3,652

4,571

1,442

787

0

6,802-

6,802-

-

0-

0-

0

4,571

1,442

787

0

6,802-

6,802-

-

-

--

--

4,571

1,442

787

0

6,802-

6,802

263

172

(21)

(7)

406(391)14

Note: 1. The category "Other" is new business which is a business segment not included in the reportable segments.
Note: 2. Segment income adjustment of 391 million yen consists of expenses related to departments that do not belong to
the reportable segments.
Note: 3. Segment profits and losses are adjusted with Operating income on the consolidated quarterly statements of income.
Note: 4. Goods and services transferred over time in the Housing Environment Equipment Business include goods and services thatwere applied alternative treatments and were then recognized as revenue when performance obligations were fully satisfied.
Note: 5. Other revenue is income based on accounting standards for leasing transactions.
Six Months ended September 30, 2023 (April 1, 2023 – September 30, 2023)
Housing & Functional
Environmental Ceramics
Equipment
ProductNet sales
Goods and services
transferred at a point intime
Goods and services
transferred over time
(Note 4)
Revenue from contracts
with customers
Other revenue(Note 5)
Sales to Outside Customers
Intersegment sales or Transfers
Total
Segment profit (loss)(Operating income (loss))

Tabletop

Other Segment(Note 1)
total(Millions of yen, rounded down)Amounts on theconsolidated
Adjustment
financial(Note 2)statements(Note 3)1,020

1,208893

13,124

-

3,124

3,779

-

-

-

3,779

-

3,779

4,800

1,208

893

16,903

-

6,903

-

-

0-

0-

0

4,800

1,208

893

16,903

-

6,903

-

-

-

--

-

-

4,800

1,208893

16,903

-

6,903

162

64(22)(2)

201(405)(204)

Note: 1. The category "Other" is new business which is a business segment not included in the reportable segments.
Note: 2. Segment income adjustment of 405 million yen consists of expenses related to departments that do not belong to
the reportable segments.
Note: 3. Segment profits and losses are adjusted with Operating loss on the consolidated quarterly statements of income.
Note: 4. Goods and services transferred over time in the Housing Environment Equipment Business include goods and services thatwere applied alternative treatments and were then recognized as revenue when performance obligations were fully satisfied.
Note: 5. Other revenue is income based on accounting standards for leasing transactions.

6